Consumers spend 41% to 50% of their food dollars away from home. That is a staggering number when you do the math and realize this clocks in at $1.3 trillion.
This growing segment represents meals and snacks supplied by food service and restaurant establishments outside the home and is an increasingly important part of our shared culinary experiences.
This could be the meal that you had at the office café, the burrito you grabbed at your local fast-casual eatery, the hot dog from the cart in the park, or the steak you enjoyed at a national chain. You might have grabbed a weigh-and-pay option from your grocery store or even a reheated breakfast sandwich at a coffee shop. They all helped you get through the day and put fuel in the tank to fuel your adventures.
The point is that with pick-up, take-out, dine-in, app-enabled, and delivery-based options at our fingertips around the clock, this has become big business. So, let’s start thinking about this in a more intentional way and in a way that is designed to increase guest satisfaction and drive results.
I’ve spent a lifetime in food and beverage – having served college students in university dining rooms, fine dining and catering in every possible setting, patients in their rooms following surgery, and fans in large stadiums. Every one of these has distinct nuances, but there is truly more in common than there are differences.
Let’s dig in and talk about how we can better serve guests in this growing away-from-home food marketplace.
Remember, your business is not that special!
There is a propensity for organizations to believe that their business is special and if there are subsets within that business (for example if you serve multiple markets like higher education, corporate dining, and leisure), that those businesses are very different and special as well.
I hate to break this to you, but you are not that special. You may find that 10% to 20% of your business brings a bit of nuance, but fundamentally the similarities far outweigh the differences, and once you embrace the overlap, you will not only find ways to improve and scale but to accelerate your success as well. Absolutely lean into those differences and the benefits you can bring from your competition, but do not waste time trying to cater to differences that simply don’t exist.
Your employee experience is probably terrible, so start there!
How you treat your team is how they will treat guests and that will be the perception of your service. With that in mind, take a hard look in the mirror and determine where you want to start to improve those experiences. Without top-tier talent, and a defined plan to retain them, you will never deliver the service that your guests demand. This begins with a leadership team who understands the power of respect, communication, recognition, and development.
Traditionally the hospitality industry, for all its commitment to treating guests well, has underperformed when it comes to taking care of their teams. Externally, uncover your reputation in the marketplace and work to rehabilitate as needed to attract the type of people you need to craft loyalty building experiences. Internally, live up to your commitment to treat your team well with dignity and respect each day. Ensure competitive pay, make sure they get their breaks, develop them to grow, and recognize their great work.
Embrace personalization to drive loyalty
Today’s guest is looking for experiences that feel “just for them.” This could take the form of a made to order (MTO) station, live interactive cooking experiences, the ability to add or remove ingredients from a dish, or even options to top off an existing dish with a few complementary ingredients. Couple this with a dash of guest understanding and you are off to races in terms of creating personalized moments. Other ways to bring this to life are developing a team that is skilled at learning guest names and preferences as well as being able to suggest complementary items and anticipate needs.
Leverage technology to save time and efficiency
Mobile ordering and reservations have become price of entry. Consumers expect to be able to view your menu, order take out, or place a reservation on their mobile devices. Consider what your guests will most value and ensure that you build that into the user experience.
The challenge for dining experiences within work or school environments is the need to blend this with other parts of the campus experience. For example, a student at a university may not want a stand-alone app in the way they would for a national brand.
Rather, they are looking for a multi-tasker that can serve as their student ID, unlock their door, give them access to the dining program, register for classes, and customize a latte at the campus coffee shop. The same will hold true for employees in an office or manufacturing facility and patients at a hospital. Think through that cohesive, unifying experience and keep the user in mind throughout development.
Comfortable spaces and motivating third places
Ray Oldenburg coined the phrase “third place” in 1989. This refers to places outside the home (first place) and work (second place) where people meet to connect and engage. You can even consider a dining facility within a work environment as a “third place,” as it should serve as an oasis from the daily grind.
Careful attention to design and ambiance is crucial when you design a compelling third place. How does it blend with the larger setting (such as a workplace or medical center), but also does it stand alone well with functionality and comfort? Considering the overall purpose of the space and the needs of the users is key during the ideation, understanding what kinds of use cases the space may experience.
For example:
Do you need lots of space for solo diners with plugs and a way to prop up a mobile device?
Are there large groups that need more community tables and conversational groupings?
What is the right blend of tables, banquettes, soft seating, and solo dining carousels?
Understanding your guest persona and the functionality of the space should drive your decision making here.
Above all, Hospitality!
Regardless if you are operating a free standing restaurant, corporate office building café, or a suite at a sporting venue, hospitality matters above all. If you compete on innovation, price, or quality alone, you will find yourself easily commoditized.
This is where the fundamentals of hospitality can help you differentiate and build guest loyalty. It begins with a team that is steeped in kindness and obsessed with the guest experience. The best organizations have adopted a learning and development approach that coaches the steps of guest service, customer journey, and problem solving.
As previously mentioned, this starts with selecting the right team, developing them to deliver excellence, and then recognizing and sustaining a culture of hospitality. While you certainly are serving food, it is about the experience you provide and how you make your guests feel that will drive their loyalty.
The message here is clear: keep people front and center!
Work to understand your guests and ensure the smoothest customer journey you can orchestrate for them each day. This is an ever-growing market segment and requires an intentionality of purpose and execution to drive success.
Creating unique dining experiences away from home requires a blend of execution, hospitality, innovation, and attention to detail. These are the types of experiences that bring customers back again and again - and help set you apart from your competition.
Meet Tony Johnson
Tony is the Chief Experience Officer (CXO) for 4xi Global Consulting and leader of the Evolving Experience practice. Tony is an internationally recognized thought leader and influencer in Customer and Employee Experience.
He hosts the wildly successful Customer Service Academy podcast and is the author of two books on leadership and CX.
Tony has worked with some of the top organizations across the globe, including 3M, Baylor Scott and White Health, University of Virginia, Siemens, SHRM, and many many more.
Tony is available to help your organization with:
Executive and leadership coaching
CX and EX strategy creation
Inspirational keynote talks
Fractional Chief Experience Officer
Fractional Chief Training + Development Officer
Evolving Experiences, a 4xi brand, focuses on Customer Experience (CX) and Employee Experience (EX) as growth engines. By creating fierce loyalty with both employees and customers, organization can differentiate themselves in an ever-changing and competitive marketplace.
Let’s talk about your employee experience, guest experience, fan experience, student experience, patient experience, or traveler experience to craft compelling moments that build lifelong loyalty.
4xi: Inspiring a brighter future, together.
4xi Global Consulting & Solutions is a team of talented leaders from both the client-side and service provider side, creating an impact on the Human Experience (HX) for people at work, in education, rest, and at leisure.
We believe in a people-first, experience-led philosophy; whether client, employee, or guest – their experience is the fundamental foundation of success.
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