Exploringthe rise of contactless restaurant technology
Technology has been progressively invading the thehospitality industry for many years, accelerating further due to the nearlyglobal adoption of smart devices. Amidst this climate, multiple hospitality businesseshave identified the potential of contactless modules in delivering a safe,convenient and empowering consumer journey.
The importance of contactless hospitality in today'sdynamic world is only becoming more and more imperative!
Contactless technologies in theF&B sector
Today, 7 out of 10 restaurants enable mobile pay and QRcodes instead of traditional transaction methods. Gen Z, in particular, shows preferencefor contactless technology with 70% of Gen Z guests feel safe and comfortablewhile using options such asflexible payment options.
Contactless technologies offer restaurants multiplebenefits:
Increase operational efficiency
One of the most time-consuming aspects of the F&Bindustry is collecting orders, sending them to the kitchen and then processingthe bill manually. A contactless dining solution like an online ordering moduleenables guests to send orders directly to a kitchen display system (KDS) andeven split the bill amongst a group of diners. It eliminates low-value steps inthe process and accelerates the response time within a restaurant.
The faster a restaurant turn tables, the more tablesthey can seat, which increases the number of sales as well as overall guestsatisfaction.
Enhance the service quality
There is a common misconception about contactless diningtechnology taking away the personal and service aspect of hospitality; but thisfar from the truth. Rather, contactless technology speeds up the entire processof ordering and payment, and reduces many routine tasks so that employees canfocus more on their customers and be attentive to their needs.
Online ordering solutions and other customer-facingmodules offer more autonomy to guests over their meal preferences. This, inturn, makes the diners more confident about what they order and even allows theopportunity to add special instructions, add-ons, dietary preferences, orallergies.
Menu optimisation
Menu testing and optimisation are some of the often-unsungbenefits of contactless restaurant technology. Instead of continuously spendingon reprinting menus or changing prices, digital menus and ordering systemsenable restaurateurs to make changes to their offerings and run tests in realtime.
As a result, the F&B industry is blessed withbenefits such as:
· Discoverhow much guests are willing to pay for specific items or add-ons;
· Adjustprices in real time based on the time of day or season;
· Testdifferent imagery for items and conclude which type of image results in themost purchases and,
· Adjustand test where items appear on the menu to increase item visibility and sales.
Boost average sales value
Ine-commece, most of us are familiar with the"suggested for you" feature and add-ons, which are known to encourageadditional purchases. The same consumer behaviour can be leveraged byrestaurant owners when they use contactless solutions such as digital menuboards or online ordering apps. In fact,contactless orders and payments have been proven to increase average checksizes by about 27%.
For example, when a consumer orders their favouritecoffee, the restaurant can suggest a complimentary cake or even an add-on ofwhipped cream which will entice the consumer to purchase these additionalitems.
Provide next-level personalisation
Thanks to the data monetisation capabilities ofcontactless digital solutions, restaurateurs can now provide hyper-personalisedoffers at every stage in the consumer journey. Contactless transactions occurthrough digital solutions such as table booking software, online ordering apps,or even customer-facing ePOS solutions which collect data about consumerpurchasing patterns.
Restaurateurs can analyse this data, which providesinsights into consumer preferences, including which seasons bring more sales,guest dietary restrictions, or what kind of items guests like to purchasetogether. Consequently, this enables restaurants to personalise offers, promotemenu combos, send targeted promotions, and upsell additional items, which leadsto higher average order values and increased revenue per customer.
Concerns about adopting contactlesstechnology
Despite their many benefits, contactless modules comewith some challenges. One major issue surrounding contactless technology is itsreliance on wireless communication, such as NFC (Near Field Communication) orRFID (Radio Frequency Identification), which can be vulnerable to interceptionor hacking.
Further, the collection and storage of personal data,such as PII or biometric data, have led to concerns regarding the potentialmisuse or mishandling of this sensitive information in case of databreaches.
Another challenge businesses may face is compatibilityissues. Contactless technology requirements may differ on different devices andplatforms, leading to compatibility issues between other systems. Businessesand guests alike will need specific devices to access this technology withoutlimitations.
The final concern surrounding contactless innovations istheir reception by different generations of customers. While Gen Z andmillennial audiences may love the idea of digital gadgets, older consumers maystill find it inconvenient or distrustful. For example, a generation used tomaking cash purchases may consider contactless payments difficult to navigateor a security risk.
Tips for restaurateurs to gocontactless
What do restaurateurs need to keep in mind when adoptingcontactless tech into their operations?
Dos of contactless tech
It is essential to keep all contactless systems anddevices user-friendly with clear instructions on how to use contactless menus,orders, or payment methods.
All of the staff need to have the right skill level onthe contactless modules as well. This will allow them to assist customers andaddress any questions or concerns they may have.
Most importantly, it is essential that restaurantschoose software that promises robust cybersecurity standards. Solutionproviders who comply with GDPR and other cybersecurity standards will enable businessesto maintain the security and integrity of guest data and ensure guest loyaltyin the long run.
Don’ts of contactless tech
Restaurants cater to diverse age groups of guests.Outlets must not make contactless technology the only option. Some customersmay prefer traditional menus, ordering at the counter, or paying with cash, andrestaurants must also accommodate such needs.
Another element to not overlook is the importance ofstaff interaction and customer service. Contactless technology does enhanceefficiency, but in hospitality, it should never completely replace the humantouch.
Never disregard the importance of training staff members.The training aspect should not be limited to understanding the technologymodules but also the importance of abiding by specific cybersecurity standardsand proper operational and guest data management.
The Future of hospitality amidstcontactless technology
The F&B sector can expect an increasing prevalenceof contactless options with the use robotics, artificial intelligence (AI), andcomputer vision technologies that create better experiences for guests andstaff alike. Gartner's research predicts that by 2024, 80% of ordering andreplenishment will be touchless for most organisations.
Consumerexpectations keep evolving. It is essential that hospitality adopt their servicedelivery because the future is predicted to be contactless.