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Daily news and analysis about the food tech revolution

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Q&A: How BentoBox Helps Restaurants Take Back Their Customer Relationships Through Tech

Before the off-premises boom, there was no question of restaurants owning their relationships with customers. One pandemic and a whole lot of digital tools later, and that ownership is a little less certain, and restaurants often give up valuable customer data and feedback to bigger tech companies (e.g., third-party delivery services). Now, however, a number of tech companies are promising to change this by putting more digital interactions with customers back restaurants hands, so to speak.

A company called BentoBox does it by helping restaurants create and manage their own digital storefronts. The BentoBox platform facilitates a number different areas of running a restaurant in the digital age: online order management, website design, dine-in order and pay, digital gift cards, and event management, to name a few. These and other features promise to give restaurants a direct relationship to their customers, even when those interactions are entirely conducted through a website or mobile app.  

Ahead of The Spoon’s upcoming Restaurant Tech Summit on August 17, we caught up with Krystle Mobayeni, CEO and Founder of BentoBox, who will also be speaking at the event. Read our full Q&A with her below, and if you haven’t already, grab a ticket to the virtual show here.

This Q&A has been lightly edited for clarity.

1. What problem does BentoBox solve for restaurants/the restaurant industry?

BentoBox helps translate restaurants’ on-premise experience to their digital storefront in a way that matches their standards of hospitality. We do this through a full-service website, commerce, and marketing platform that helps operators cultivate stronger guest relationships — and drive high-margin revenue through their websites.

2. What is the biggest change in terms of the restaurant industry’s approach towards technology as a result of the pandemic?

Before the pandemic, restaurants and technology co-existed. Restaurants focused on their dining rooms and adopted piecemeal technology tools along the way. Restaurants also viewed the guest experience in the brick and mortar as separate from the guest experience online. The pandemic has shown that restaurants need to think about these as one holistic experience and embrace the right technology to connect the on-premise and off-premise experiences. 

With that, the pandemic has rapidly accelerated the shift to a single, modern restaurant experience where restaurants can connect with their guests across all channels. With the support of the right technology, restaurants can build direct relationships and more personal ones to stay resilient and thrive going forward. 

3. What are the most important first steps a restaurant should take when going online?

The most important first step is aligning with the right technology partner. Restaurant operators didn’t get into this industry to be marketers or technologists; they sought to create meaningful experiences with food.

Understanding restaurant operators don’t have the time or expertise to be restaurant website designers, my best advice is to seek out a technology partner who understands what the restaurant needs. While local designers or design agencies can be an effective means to get online, these solutions are often expensive and time-consuming. It is important for restaurants to find a partner that makes their website a reflection of their brand with elevated design, built-in marketing tools and the opportunity to drive revenue the same way they do in their brick and mortar. 

4. What is the biggest challenge for restaurants right now when it comes to digitization? 

As the world has evolved over the last year and a half, restaurants’ core purpose of providing a hospitable and memorable experience has remained constant. However, the technology that has been introduced to help them enter the digital world and make things easier, has in many cases proved far more complex and fragmented than it should be. 

Not surprisingly, this fragmentation and complexity has led to frustration and takes away from the restaurants ability to provide a seamless experience for their diners. It’s crucial for technology providers to be aware of this and work to provide end to end solutions to eliminate these breakage points. 

5. What are you most excited about when it comes to the impact of restaurant technology?

Restaurant technology has the power to help restaurant owners with their business and give diners an enhanced dining experience. When restaurants have the right technology partner, it changes the way diners interact with restaurants. They have more ways to experience a restaurant outside of the brick and mortar location. For restaurant owners, they have the opportunity to focus on better serving their communities and expanding their reach both locally and abroad. It also gives restaurants a more diversified stream of revenue, which helps them become stronger businesses.

6. What do you think the restaurant industry will look like in five years?

The pandemic catapulted the digital transformation of the restaurant industry and in five years, I see restaurants having a direct-to-diner experience with their customers, much like the transformation of retail going direct-to-consumers. Through restaurant technology innovation, restaurants will have the tools and data to build strong brand affinity among diners and tailor their customers’ experiences to make every diner feel like a regular. 

Q&A: Tools for the Data-Driven Restaurant, According to Sevenrooms Founder Allison Page

The restaurant industry faces a lot of question marks right now, but one certainty is that future dining room and off-premises experiences will generate and include a lot more data.

Founder and Chief Product Office Allison Page created Sevenrooms on the idea that restaurants need to be able to better understand their customers through this data. In doing so, businesses can ultimately provide a better, more efficient and enjoyable restaurant experience for everyone. The company’s front-of-house-focused software gives restaurants insights about these customers by providing data collected throughout the guest journey: from reservations and waitlists to online ordering and review aggregation, to name just a few areas.

Allison will be discussing data with other panelists at The Spoon’s upcoming Restaurant Tech Summit, a day-log virtual event that will discuss the state, present and future, of restaurant tech. As a teaser, we recently got some high-level thoughts from her around the future of the data-driven restaurant. Full Q&A is below. And if you haven’t already, grab a ticket to the show here.

1. What problem does SevenRooms solve for restaurants/the restaurant industry?

When we started SevenRooms, our goal was to provide hospitality operators with better access to their guest data. Before SevenRooms, if you asked an operator who their biggest spenders, best tippers or brand advocates were, they would have no idea. Ten years later, access to actionable data has changed the way operators think about data (hint: it’s no longer a dirty word) and the role it plays in their day-to-day operations. 

Since the onset of the pandemic, our solution has provided even greater benefits for operators, especially in light of staff shortages across the world. We give them a platform that helps them punch above their weight class and do more with less. Over the past 18 months, we have continued to help them automate so many of the manual processes that enabled them to add headcount, without having to hire more staff. This includes guest profiles that build themselves, marketing automation to leverage that data, and, subsequently, the insight needed to provide personalized, unmatched experiences whether a guest is on- or off-premise. 

Now, as the world and restaurant industry reopens, operators realize the importance of owning their direct channels instead of solely relying on third-party platforms. With a fully integrated guest experience and retention platform like SevenRooms, they now have the tools they need to acquire, engage and retain more guests. 

2. What is the biggest change in terms of the restaurant industry’s approach towards technology as a result of the pandemic? 

At the start of the pandemic, we saw many restaurants rush to tech as a solution to many of the challenges they had to face. This led to quick, not always great, decisions, and many lessons learned over the past 18 months. The biggest takeaway from the pandemic is that operators now understand the importance of a direct relationship with their customers. 

Before COVID, restaurants were leveraging third-parties for reservations and online ordering. But when the pandemic started, restaurants began to understand the impact of outsourcing all of their customer relationships to third-party brands. For many restaurants, this meant that when they were mandated to close they didn’t have access to guest data that would allow them to email their customers and let them know they were now available for takeout only. Many months and negative press articles later, it’s been proven that the economics of a third-party-only strategy are not sustainable. 

The past year has also highlighted the importance of working with technology providers who seamlessly integrate across a restaurant’s existing tech stack. This helps create operational efficiencies, versus slowing them down and creating extra work. With restaurants more short-staffed than ever before, it no longer makes sense to use 10 different systems to do 10 different things in your restaurant. Operators want one system, one vendor, one support team and one invoice. They don’t have the bandwidth to have inefficiencies in their tech stack, especially when they’re putting out fires, navigating government regulations and keeping guests and staff safe.  

3. In your eyes, how has the emphasis on takeout and delivery formats impacted the front of house? 

Speaking from the SevenRooms perspective, we saw an opportunity to combine the data collected during takeout and delivery with in-person dining data to get a holistic 360-degree view of the customer. This has created an incredibly powerful data set for restaurant operators to provide exceptional experiences to their guests across both on- and off-premise. 

The shift to off-premise dining during the pandemic meant that operators could no longer have the face-to-face hospitality interactions they were accustomed to. This meant that they had to completely adjust their operations to provide that same level of service and hospitality via delivery and takeout instead. For some of our restaurant partners, many who had never offered takeout, this meant reimagining their operations, physical spaces and menus for delivery and pickup. 

The biggest impact to the front of house has been being able to capture and leverage more data on their customers. For the first time, operators now have a single source of truth on their guests — across both on- and off-premise. This includes who their regular or big spender online ordering customers are, whether they have any specific preferences and allergies and so much more. Data enables operators to not only personalize the experience for guests when they order delivery, but also understand the types of experiences they want when they dine in person. Most importantly, this data can be used to ‘surprise and delight’ guests and to create personalized marketing campaigns that will boost revenue and retention. 

For example, take an NYC diner that only orders from their neighborhood Italian restaurant for delivery, even though they live on the same block as the restaurant. With access to this data, the restaurant knows the customer’s address and can create specific, personalized promotions for that guest. Perhaps a Wine Wednesday experience featuring the wine they order the most, a complimentary appetizer or special treat in their bag, or a handwritten note from the general manager inviting them into the restaurant to try a new pasta dish. Data helps operators build long-lasting relationships with guests that keep them coming back for years to come. 

4. What is the biggest challenge for restaurants right now when it comes to digitization? 

Right now, the biggest challenge for restaurants when it comes to digitization is working with vendors who are on their side. In other words, working with technology vendors who are aligned with their success and 100% focused on building solutions that help them run their businesses more effectively. When business priorities are misaligned, what’s best for the restaurant falls to the wayside. Restaurant operators need to learn to ask the hard questions of their tech vendors to ensure they have their best interests in mind. 

Another challenge falls in the realm of the platforms and integrations restaurants choose to use within their tech stacks. Oftentimes, restaurants are using systems that don’t speak to each other – making it almost impossible to put together a seamless experience for guests, let alone a consistent one. The key to a good digital guest experience is in a seamlessly integrated tech stack.

5. What are you most excited about when it comes to the impact of restaurant technology?

When thinking about SevenRooms, I’m most excited about how we can help restaurants stay in business longer and generate more revenue. Also, how operators can use restaurant technology to impact the way someone feels and the experiences they have both in a dining room and at home.  

I’m also incredibly excited about all of the different ways data is starting to be used throughout the industry. It now touches so many areas of hospitality businesses — helping operators to be more efficient in everything they do, from inventory and menu planning, to employee scheduling and marketing, to reservations and online ordering. At SevenRooms, we are continuing to talk about the importance of data, especially from a 360-degree perspective, and how it can contribute to a restaurant’s bottom line for years to come. Today, it’s so much easier to really understand the ROI of every tech platform because the data is available and becoming more actionable and easier to digest for operators. It’s wonderful to see technology leading the charge when it comes to innovation in these areas. 

6. What do you think the restaurant industry will look like in five years? 

Data-enabled with a human touch. Over the next five years, we’re going to see more data-powered experiences, more personalization and deeper relationships between restaurants and customers than ever before. 

On-premise operators have no choice but to think about data and the role it plays in bringing hyper-personalized experiences to the table. This largely stems from the fact that guest expectations are higher than ever coming out of the pandemic. Over the course of the past year, consumers have learned how to make gourmet meals at home, the ins and outs of baking the perfect sourdough bread, even turning to meal kits for date nights. They have more options available to them than ever before. When they dine out, they want the experience and hospitality that comes with the food, not just the food itself. If they aren’t getting the experience they need or want, there’s another option waiting right next door. 

We’re at the early innings of a data revolution for the hospitality industry. Over the next five years, hospitality experiences are only going to become more personalized and tailored to the wants and needs of guests – to the levels we see on an everyday basis from the likes of Amazon and Spotify today. The restaurant industry has been through a lot over the past year, but it’s one of the most inspiring industries to work in and be a part of every day and I’m excited to see what the next five years hold. 

Front-of-House Igloo? Chicago Asks Residents to Redesign the Outdoor Dining Experience for Winter

We’ve said it multiple times in the last couple of weeks: winter is coming for outdoor dining. And when it arrives, restaurants may be even more limited as to how they can serve dine-in customers in the midst of a pandemic and reduced capacity mandates for the dining room.

Chicago, a city that’s no stranger to harsh winters, is preemptively dealing with this situation by challenging residents to redesign the outdoor restaurant experience. Dubbed the Winter Design Challenge and done in partnership with IDEO, BMO Harris Bank, and the Illinois Restaurant Association, the contest is looking for outdoor dining ideas that can adhere to safety restrictions around COVID-19 while still allowing restaurant customers to eat outdoors.

Participants can submit ideas through September 7. Chicago Mayor Lori Lightfoot’s office told NBC Chicago that winners will receive $5,000 each and “opportunities to start their idea at restaurants and bars around the city.”

Sam Toia, president and CEO of the Illinois Restaurant Association, added that, “We need out-of-the-box thinking to address the hardship facing our industry.”

We’ve seen some of that outside-the-box thinking already in the restaurant industry, from outdoor self-service kiosks to greenhouse-like buildings that enclose individual tables. But winter weather provides a whole new set of challenges that a few heat lamps may not be enough to solve. 

A panel of local judges will pick one winner from the following categories: outdoor structures; indoor-adjacent spaces; and cultural change/other ideas.

Ideas are already pouring in, including heated tent rentals, blankets, solar-powered pergolas, and actual igloos. There are also several suggestions to simply not open, which underscores how divided the general public remains about eating in restaurants in the time of a pandemic.

Submissions will be accepted through September 7 at 11:30 PST. All suggestions should address on-premises dining, not delivery or takeout.

Whatever winning solutions emerge from this could provide a blueprint for other cities around the country when it comes to addressing the upcoming winter. Chicago may have a reputation for harsh weather, but it’s hardly the only city in the U.S. to endure snow, ice, and sub-zero temperature. It wouldn’t be surprising if more cities launch their own challenges in the coming weeks in a collective effort to pull the restaurant industry through the changes and prevent even more from having to permanently close their doors.

TouchBistro Acquires Loyalty and CRM Company TableUp

Restaurant management platform TouchBistro today announced its acquisition of TableUp, a company that makes loyalty and marketing software for the restaurant biz. Terms of the deal were not disclosed.

TouchBistro said in a press release sent to The Spoon that it will fully integrate TableUp’s CRM and loyalty capabilities into its existing platform. Dubbed TouchBistro Loyalty, the new product will be released in phases, with an introductory product hitting North American markets “in the coming weeks,.” Through it, TouchBistro’s restaurant customers will be able to use the software to power loyalty programs, create more personalized marketing campaigns for guests, and offer more promotions. 

Once a simple POS system, TouchBistro has been steadily adding features to its platform to transform it into the kind of all-in-one front-of-house management tool most restaurant tech companies are peddling these days. In 2019, TouchBistro launched its own reservations and guest-management features. Its system works for both in-house orders and those for off-premises.

That ability to serve to-go customers is a must nowadays for restaurant tech systems. With many dining rooms still shuttered because of the pandemic, restaurants have little choice but to focus on their off-premises strategies. Restaurant tech companies in turn must broaden their systems’ capabilities to meet those new requirements. We’ve seen the likes of Sevenrooms, Presto, Toast, and others do just that over the last few months in an attempt to stay relevant in world where the restaurant front of house is becoming alarmingly less relevant. 

At the moment, loyalty programs and personalized marketing don’t rank as high on the list of customer concerns as things like cleanliness or ease of use with new off-premises-focused tools. However, loyalty and marketing features themselves aren’t going by the wayside anytime soon, even if a lot of restaurant dining rooms are. That makes TouchBistro’s acquisition of TableUp a worthy long-term play as restaurant tech companies continue to redefine themselves.

Report: 66% of Consumers Are Not Ready for Restaurant Dining Rooms

Around 66 percent of consumers said they would not be willing to eat in a restaurant’s dining room immediately, according to new research from Washington State University’s Carson College of Business and covered by RestaurantDive. Another 47 percent said they planned to wait another three months before venturing out to eat. 

Of those surveyed for the report, 21 percent said they would eat in restaurant dining rooms “soon after” they reopen. “Over time, others will join this group of consumers — assuming that there is not a second wave of COVID-19 infections,” Dr. Dogan Gursoy, a professor of Hospitality Business Management at Washington State University, told the Bellingham Herald recently. About 50 percent of respondent said they would wait at least one to three months before eating out. 

The report also found that casual restaurants will be the first type of eating establishment customers will patronize. Think Outback Steakhouse or Applebee’s, or any of the hundreds of thousands of independent sit-down restaurants in the U.S. Well, at least those that have managed to keep the lights on during state-mandated dining room shutdowns. 

Consumers surveyed for the report said that sanitation efforts like masks for servers, hand sanitizer stations, and other visible efforts, like seeing staff clean tables and chairs, will be the most important safety precautions. 

As states reopen, rules, regulations, and practices vary from one to the next in terms of keeping customers safe. All states that have allowed dining rooms to reopen have set rules in place around reduced capacity for customers, with some at 50 percent and some as low as 25. Reservations are being encouraged, even for quick-service chains you’d have never in the past imagined having to book a table for, and many businesses are limiting the size of large parties to between 6 and 10 people. Meanwhile, the National Restaurant Association has thorough guidelines about updated cleaning and sanitizing procedures for restaurants as they start to invite customers back. 

Even so, consumers are wary when it comes to mingling with the outside world again, which means no matter how visible and effective a restaurant’s sanitization strategy is, it needs to also continue its off-premises strategy. Dr. Gursoy recommended having such a strategy in place for the next three to six months, since limited capacity in the dining room will make it next to impossible to turn a profit.

Granted, there’s no guarantee off-premises orders will make a restaurant money either, especially not when it comes to delivery. Add a possible second wave of coronavirus infections to the mix, and it looks like we’re still a long ways off from the restaurant industry having a true recovery. 

Presto Is Giving Away Free Kiosks to Restaurants in a Bid to Keep the Front of House Relevant

Presto this week joins the growing list of companies offering restaurants deals on hardware and software solutions geared towards the off-premises model most businesses now have to employ to stay alive. In an email sent to The Spoon, the company said it is making its Presto Kiosk product “absolutely free” to restaurants. 

Presto, which counts Denny’s, Outback Steakhouse, and Applebee’s among its clients, has up to now made a name for itself through products designed for the restaurant dining room, from wearable technology for servers to tabletop order and pay terminals for guests. However, with most dining rooms shut down now in an effort to help slow the spread of COVID-19, it makes sense Presto is now promoting its self-service kiosk, which is the most to-go friendly option of all its products.

Like other kiosks, Presto’s is a standalone device guests can use to browse a restaurant menu and order and pay for their items. The kiosk software integrates with a restaurant’s main POS system and, according to the company email, “enables guests to order and pay safely without requiring any interaction with the restaurant staff.”

The company says it is waiving the integration and deployment costs of these kiosks, which restaurants can use “without any contractual obligations,” and that the devices can be set up and running in a matter of days. Existing presto customers who use the company’s tabletop terminals will have access to a software update that can repurpose the devices for taking to-go orders.

The question is whether it will be enough to help Presto keep its footing in a restaurant industry that suddenly finds itself with no dine-in guests, no servers, and really no front of house at all. Presto doesn’t yet offer any devices geared towards delivery or drive-thru orders, so highlighting its kiosk option is the company’s one way to stay relevant in this era of social distancing.

Plus, takeout is starting to look a little risky as an order channel. Earlier this week, Starbucks announced it was getting rid of takeout as an option because of the amount of foot traffic it was causing in the store. In an even more drastic move, McDonald’s completely shuttered all its U.K. restaurants as well as 50 locations in the U.S. Wendy’s also discontinued takeout services this week. Since these massive chains tend to set the standards everyone else follows, it could be a matter of just days before other restaurant chains start getting rid of takeout options.

On the other hand, a device that enables contactless to-go orders might be the only thing saving some restaurants who have no drive-thru option and may not be able to pay Grubhub its 30 percent commission fee for each order.