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Addressing the Challenges of Fragmentation in Restaurant Tech
As a restaurant operator, you are well aware of the challenges of managing technology in a fragmented landscape. In a recent study by Treasure Data, 54% of organizations stated that their biggest barrier to leveraging data was fragmented or siloed data.
Our recent industry panel, "Building an All-In-One Guest Engagement Ecosystem," with leading brands Jollibee, Costa Vida, Lazy Dog Restaurants, and CBS Northstar, shed light on some crucial insights that can help you navigate these challenges effectively.
One of the key topics discussed during the panel was the need for system consolidation. With various technologies and systems in place, it can be overwhelming to ensure seamless operations and a consistent customer experience across all franchise locations. Fragmentation can lead to inefficiencies, increased costs, and a lack of standardization.
However, the panelists highlighted the importance of approaching system consolidation strategically. To avoid any negative impacts, it's essential to consider the needs of franchisees and customers. While consolidation brings benefits such as improved data management, streamlined operations, and cost savings, it should be implemented carefully, taking into account the unique requirements of each franchise location.
The panel also emphasized the role of a unified point of sale (POS) system and effective customer data platform (CDP) as the core of your business. While exploring new technologies like online ordering and seamless in-store to off-prem experiences, maintaining a unified POS and CDP system ensures consistency and seamless operations. It acts as the backbone of your restaurant tech infrastructure, enabling efficient management of orders, payments, and customer data.
Jarrod East, of Lazy Dog Restaurants stated, "We're consolidating our back office solution—(looking at) the main components and considering what we can tag on from there. You have to get the basics and the fundamentals right. I know a lot of people are saying the POS system's going away, but it's still your record of truth. And you have to make sure that's in place."
While technology plays a crucial role in the restaurant industry, the leaders reminded us of the importance of hospitality and personal service. Technology should enhance the guest experience rather than replace the human touch. By leveraging restaurant tech, you can improve efficiency, offer personalized experiences, and create loyalty programs that resonate with your customers.
On the topic of leveraging tech in restaurant loyalty, Kevin Bentley of Jollibee Foods stated, "From a loyalty perspective, our industry is missing it. As I look at the other industries, the hotel industry, and the retail industry, there's a different spin on loyalty. It's not all about discounts— and we need to get away from that as well. How do we start to offer our guests a unique experience that means more to them than just 10 percent or 15 percent off an item? So, when I think about loyalty, I'm looking at it from the perspective of how I create an experience that resonates with my guests."
It's essential to stay updated with the latest trends and advancements in restaurant tech. However, it's equally important to approach technology implementation with a strategic mindset, considering the unique challenges of fragmentation. By consolidating systems, leveraging a unified POS, and prioritizing hospitality, you can overcome these challenges and drive success in the ever-evolving restaurant industry.