62% of Restaurants Feel Unprepared for a Mobile Future

A recent survey of food and beverage leaders by Oracle Food and Beverage highlights that while a large percentage feel confident in their restaurant’s current use of mobile technology, only 48% feel prepared to capitalize on future innovations. Sixty-two percent of respondents expressed doubts over their ability to keep up with the speed of mobile technology changes. And more than half (59%) agreed that their company faces the threat of disruption from their more mobile-enabled competitors.

The rise of mobile ordering and on-demand food delivery services are completely changing the restaurant and guest experience.

The study's findings point to a clear and urgent need for restaurants to embrace the right mobile and back-end technology to drive higher ticket value, turn tables faster and enable more cross and upsell. In addition, the findings highlight the need to embrace mobile technology to avoid being outpaced by the competition, help cut labor costs and improve the guest experience – all critical components to revenue growth.

Cutting Costs, Saving Time Equals Increased Revenues

Restauranteurs are investing in mobile technology to cut costs and save time in areas such as hiring less serving staff but more runners, keeping a close eye on stock levels to avoid over-ordering and waste, and the ability to quickly change the menu and offer specials when there is an over-stock of inventory.  

• 84% of food and beverage executives believe the adoption of guest-facing apps drives down labor costs
• 96% agree, with 40% strongly agreeing, that expanded mobile inventory management will drive time and money savings

Improving Loyalty and the Dining Experience

Today’s foodies are satiated with choices. In addition to great food, what drives their loyalty is easy ordering and delivery, fast, seamless payments, and a personalized experience.

• 86% of operators say branded mobile apps increase their speed of service and therefore revenue
• 93% believe their guest-facing apps enhance the guest experience, promote loyalty and drive repeat business

Perceived Future Benefits of Mobile Technology

Restaurants are already using mobile devices for table reservations, taking orders, and processing payments, but what value do restauranteurs believe will come from future mobile innovations?

• 82% believe partnerships with third-party delivery services like Uber Eats and GrubHub will help grow their business
• 89% believe check averages will increase thanks to in-app recommendations
• 95% believe the guest experience and customer loyalty will continue to improve

The Road Ahead

While most organizations rated themselves as highly able to meet new consumer demands, an undercurrent of anxiety about the future was also apparent with only 48% of respondents reporting that they have the tools they need to meet the mobile demands of tomorrow. The mobility study findings show a clear path for restaurateurs including applying mobile innovation to broader areas such as inventory efficiency, getting new customers in the door, serving them more efficiently, and keeping them coming back.

For this survey, Oracle queried 279 leaders in the food and beverage industry who use mobile technology in their organizations during the summer of 2018. 45% of those surveyed were from full-service restaurants, 24% from fast casual and 23% from quick service. Seventy-one percent of respondents are director level or higher, with 45% hailing from companies that generate more than $500M in annual revenue.