Today, off-premise driven by technology, and a generation that grew up on convenience is changing the restaurant model again, likely forever. By now, we have all heard the term ghost restaurants or virtual restaurants, and that this is the next big thing. The definition of a ghost restaurant depends on who you talk to but basically, it is defined as a restaurant that only offers delivery — no storefront. The savvy restaurants are using this model to their advantage, and more innovation around ghost restaurants is happening all the time.Read More
When the tech giant Amazon rolled out its Amazon Go stores, the company was on the verge of changing traditional retail as it did with the E-commerce space.
These stores allow customers to pick up items and they don't have to go to a cashier, instead, they are charged automatically for the items they leave with.
However, the first Amazon Go stores in Seattle, Chicago, and San Francisco were delayed in 2017 because the company struggled with having more than 20 people inside.
According to a recent report from the "Wall Street Journal," the store's technology has trouble in "bigger spaces with higher ceilings and more products.”
But that isn't stopping Amazon from developing larger spaces with more products and the company has started testing in “a larger space formatted like a big store," as "WSJ" reports.
Watch the recent episode of The Barron Report above to learn more about the Amazon Go stores and how they are changing the retail space forever.
The company has said that it isn't going to use this technology at Whole Foods, the organic grocery chain it acquired in June 2017.
But could that have changed after the success of Amazon Go stores?Read More
The food delivery platform Uber Eats has been quietly testing a new feature on its app in India.
Uber Eats has been experimenting with native ads where restaurants that offer promotions like a bundle of a few food items for a discount gets the restaurant promoted placement in the app.
With a new section called "Specials," Uber Eats is even paying some of the restaurants to offer these discounts.
"We’re always experimenting with ways to make it easier to find your favorite foods on Uber Eats," said an Uber spokesperson in a statement.
"The feature allows restaurants to create a bundled meal at a certain price point, such as a chicken sandwich, french fries and a drink at a price that’s less than the sum of its parts," writes "Tech Crunch."Attracting more customers that have plenty of other options could offset the discount. Businesses could also use it to bundle high-margin items, like soft drinks, with meals, or to get rid of overstock."
Learn more about the impact of Uber Eats' promoted placements on restaurants in the recent episode of The Barron Report above.
Uber Eats has emerged as one of the most popular delivery services out there. This company has quickly conquered the market and is currently offering food delivery for 50 percent of the U.S. population and has the lofty goal of serving 70 percent of the U.S. population by the end of this year.
But as the platform becomes more saturated with restaurant options, it has become more difficult for restaurants to be seen on the delivery app. So restaurants have tried to reach more eyeballs with quicker delivery times since the delivery times are featured as specific categories on the app.Read More
Now that content is readily available for instant streaming on so many platforms like Hulu and Netflix, consumers are no longer willing to pay premium pricing for cable.
Although there are still 91 million customers with cable, Telco TV, or Satelite dish, according to "Cord Cutters News" over 13,000 people a day are canceling traditional TV.
In the months of July, August, and September- cable, Telco TV, or Satelite dish lost at least 1.1 million subscribers, as reported by the research firm MoffettNathanson.
"Satellite TV providers had their worst quarter on record with a loss of 726,000 subscribers, the firm says. Cable operators have been hit with a tough trend, too. So far this year, they have lost nearly 1.1 million subscribers, their worst losses at the three-quarter mark since 2014. So far this year, traditional pay-TV providers have lost 2.8 million subscribers," writes "USA Today."
However, "Cord Cutters News" claims that this is likely an underestimate.Read More
Large corporations have been noticing how consumers have been favoring products made by independent startup food companies, since a good chunk of those provide craft, high-quality, niche, and, a lot of times, healthier products.
Needless to say, big food wants in. Especially, since this specialty food segment has a tremendous growth potential.
So, how is big food seeking innovation?
Companies like Campbell Soup, Chobani, Kellogg, Kraft Heinz, Nestlé, PepsiCo, and Tyson are creating innovation centers and/or partnering with existing incubators to help niche brands grow and flourish.Read More
On this episode of The Takeout, Delivery, and Catering Show, Valerie and Erle speak with Gracie Prasanson, director of sales for Jason’s Deli and a member of the Catering Council for Multi-Unit Operators, about how restaurant operators working with third-party service providers can make sure that a strong foundation is in place, and known risks are mitigated so that your restaurant does not get outmaneuvered by the third-party provider.Read More
When the tech giant Amazon announced that it was deliberating on where to set-up its second headquarters, this ignited a bidding war from different cities in the country.
Amazon received 238 proposals and in January announced the 18 finalists that included L.A. and Chicago. But this month, the Seattle-based company finally made its decision.
Amazon, which is the world's third-most valuable company, is investing $5 billion to build the new office and will be getting $2 billion in tax credits.
The new developments are expected to create over 25,000 jobs in both the NYC and D.C. areas.
So why did Amazon pick these cities?
"Amazon talked up Long Island City’s breweries, waterfront parks and easy transit access. Rents there are typically lower than in Midtown Manhattan, which is just across the East River. The former industrial area also has a clock counting down the hours until the end of U.S. President Donald Trump’s first term in office," writes "Reuters."Read More
When customers add their name to a waitlist app for a restaurant they are agreeing to share their data.
Now these apps are more than just a system to put guests on a list for a table, they are collecting valuable data on users.
Nowait, a waitlist app that was acquired by Yelp for $40 million, was started because the founder saw the potential in an app that would offer a virtual waitlist.
Users could see what the wait is ahead of time and add their name to the list (like call-ahead seating) without stepping foot into the restaurant. Customers would then be contacted when their table was ready.
Nowait gained traction quickly in the market and had a network of over 4,000 restaurants enrolled in the system. Restaurants like Buffalo Wild Wings, Chili’s, On the Border, and Mellow Mushroom were some of the big chains using the service, which ranged from $179-249 a month.Read More
The restaurant reservation service Resy announced that it has acquired another reservation company Reserve.
This means Resy is making a big play to take OpenTable's customers.
OpenTable was the first to dominate the market. The online reservation service company, based in California which was formerly partnered with Yelp, was purchased by the Priceline Group in 2014 for $2.6 billion.
About 50,000 restaurants use OpenTable currently. Resy, on the other hand, serves about 10,000 restaurants but after the acquisition of Reserve, the company will be serving 14,000 restaurants.Read More