Restaurant Industry Trends

1. RESTAURANT INDUSTRY TRENDS
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2. AARONALLEN
25 TRENDS TO WATCH
SHIFTING TECTONIC PLATES
The tectonic plates of the restaurant industry are shifting at a faster rate than in decades prior. The Fast
Casual segment is growing at a faster rate than the industry overall and is cannibalizing others (currently
generating around $20b annually but projected to hit $100b within a decade). QSRs are acting more like Fast
Casual and are up-scaling their products, guest experience and pricing. Restaurants in general are acting
more like grocery stores and grocery stores more like restaurants; Home Meal Replacement is the
battleground. The casual dining players performing the best are migrating up the pricing continuum to make
more room for Fast Casual and protect eroding margins. The unit economics have fundamentally and forever
changed. The worst place to be in the restaurant industry today is the Casual Dining segment with a check
average of less than $20. There’s much more at play here and it’s important stuff. (We do half-day seminars
on the subject.)
2 © 2012, Aaron Allen
www.aaronallen.com

3. AARONALLEN
25 TRENDS TO WATCH
THE SHRINKING BOX
Doing more with less has been
a recession-era mantra for
restaurants, especially when it
comes to the unit ’ s footprint.
Downsizing with a special
emphasis on design innovation
has become commonplace in
chain concepts, as well as
independents, with both
operating with less square
footage than ever before.
Photo Credit: Aaron Allen
3 © 2012, Aaron Allen
www.aaronallen.com

4. AARONALLEN
25 TRENDS TO WATCH
WHOLE COOKERY
The “ Whole Cookery ”
serving style focuses on an
all-inclusive experience to
tantalize your taste buds
and appreciate every piece
of the animal. At Cask &
Larder in Winter
Park, Florida, you get your
own dedicated Chef for the
evening, and he or she
delivers the whole animal to
your table. The Whole
Cookery Feast includes a
starter course, sides &
dessert.
Photo Credit: http://www.caskandlarder.com/
4 © 2012, Aaron Allen
www.aaronallen.com

5. AARONALLEN
25 TRENDS TO WATCH
MICRO-REVIEWS
Gone are the days where a
restaurant’s reputation could be
decided by a single critic.
Nowadays that job belongs to a
cast of thousands, and with it
comes the responsibility of online
reputation management.
Before, customers would tell a
few friends and neighbors; now
they tweet 10,000 from the table
through pictures and
commentary.
Photo Credit: http://twitter.com/Yardy_Shannon
5 © 2012, Aaron Allen
www.aaronallen.com

6. AARONALLEN
25 TRENDS TO WATCH
SPICY VODKA INFUSIONS
Infused vodkas are a staple in most
restaurants these days. Cherry, orange,
maybe even a blackberry if you’re lucky. But
what about bacon? Watermelon-jalapeño?
Habanero?
Restaurants like Croce’s in San Diego have
stepped outside the norm and started to play
with bolder ingredients. The bacon and ghost
chili infused vodka (one of the hottest
peppers known to man) is the fiery secret
ingredient in the restaurant’s complex Bloody
Mary.
Photo Credit: http://www.croces.com/
6 © 2012, Aaron Allen
www.aaronallen.com

7. AARONALLEN
25 TRENDS TO WATCH
PHILOSOPHICAL
RESTAURANTS
Ubuntu: It’s a humanist philosophy
focusing on people ’ s allegiances and
relations with each other. It emphasizes
community, sharing and generosity ~
essentially, the essence of being human.
It’s also the name of a restaurant/wine
shop/yoga studio in NYC.
Restaurants are extending their missions
beyond just good food, good service, and
good atmosphere. It goes beyond the
customer and includes providing a
sustainable workplace environment, as
well as an interconnectedness with their
providers and local communities.
Photo Credit: http://ubuntunapa.com/Ubuntu-story/
7 © 2012, Aaron Allen
www.aaronallen.com

8. AARONALLEN
25 TRENDS TO WATCH
INSTAGRAM IT
A picture is worth… well… a
lot these days. Instagram ’ s
following has increased over
400% in the last seven months
to 80 million users, and some
of the most influential chefs
and restaurateurs are taking
advantage of the boom.
New York City's Comodo
restaurant has capitalized on
this foodie trend by launching
an Instagram menu. By taking
advantage of photos
customers have snapped and
hash tags, the Comodo has
assembled a collection of
some of their most popular
dishes. Favorites? The
swordfish ceviche, seared
duck breast and poblano
Photo Credit: http://extragr.am/chefjgv, http://tinyurl.com/cpveseh
pepper pasta.
8 © 2012, Aaron Allen
www.aaronallen.com

9. AARONALLEN
25 TRENDS TO WATCH
RETRO COCKTAILS
Retro cocktails such as the
classic Martini, Sidecar,
Gimlet, Manhattan and Tom
Collins are back in vogue.
Media, advertising, and
popular hit television shows
such as Mad Men are all
celebrating the past in ways
like never before.
Photo Credit: http://strandedfoodie.com/2012/11/stranded-foodie-thanksgiving-pear-ginger-sidecar-cocktail-recipe/
9 © 2012, Aaron Allen
www.aaronallen.com

10. AARONALLEN
25 TRENDS TO WATCH
ON-SITE GARDENS
The path from farm to table might be
shorter than you think. More chefs are
turning to neighborhood--and even
rooftop--gardens to procure the freshest
of ingredients.
Take Bell Book & Candle on NYC’s west
side. Their seasonal menu revolves
around local, organic, sustainable and
overall responsible procurement. The
menu cycles are seasonal and heavily
influenced on production from the
aerophonic roof-top tower garden.
Photo Credit: http://www.bbandcnyc.com
10 © 2012, Aaron Allen
www.aaronallen.com

11. AARONALLEN
25 TRENDS TO WATCH
COMMUNITY-OWNED
Community members
invest in a local collective
business because it works
to serve their needs. And
keeping it local not only
focuses on the needs of
the community but can be
a powerful driver for social
change. Seen as a plus
by consumers, community-
owned businesses keep it
“all in the family,,” so to
speak.
Photo Credit:
http://www.standard.co.uk/incoming/article7599694.ece/ALTERNATES/w460/Co+oph
ttp://www.goinglocal-info.com/.a/6a00d8357edf6c69e20120a921e02e970b-320wi
11 © 2012, Aaron Allen
www.aaronallen.com

12. AARONALLEN
25 TRENDS TO WATCH
GOURMET DOUGHNUTS
The doughnut has dropped its
humble origins and finds a
gourmet side with flavors like
pistachio, banana-salted
caramel, and hazelnut praline.
New fillings include crème
brulee and maple bacon, even
whiskey and foie gras at LA’s
UMAMIcatessen.
International takes on
doughnuts are gaining
popularity, too, with European
style kolaches, Turkish lokmas,
Portuguese malasadas, and
French Kouign-amann.
Photo Credit: http://doritedonuts.com, http://tinyurl.com/a2ant5u
12 © 2012, Aaron Allen
www.aaronallen.com

13. AARONALLEN
25 TRENDS TO WATCH
PSYCHOGRAPHIC HIRING
Psychographic hiring goes
beyond skills, and zeroes
in on recruiting people on
the basis of their attitudes
and tastes. How do these
individuals view
themselves? Employers
are looking to hire like-
minded people in
restaurants like Seasons
52, where employees buy
into a healthy lifestyle and
are all part of the mission
statement.
Photo Credit: https://www.facebook.com/seasons52/photos_stream
13 © 2012, Aaron Allen
www.aaronallen.com

14. AARONALLEN
25 TRENDS TO WATCH
HOLD THE FUSS
With a full-throttle emphasis on
natural, simple, and fresh
ingredients, chefs are finding that
less is more. Less sauces, less
processing and less calories are
making these straight-forward
menu offerings more nutritious
and flavorful, with less guilt for
consumers.
Photo Credit: http://www.dmagazine.com
14 © 2012, Aaron Allen
www.aaronallen.com

15. AARONALLEN
25 TRENDS TO WATCH
CAUSE MARKETING
Consumers gravitate towards brands that
reflect how they see themselves. So
places like Starbucks not only engages in
causes that tie into the brand’s promise
but do so in a seamless way.. Judging
from the public ’ s warm embrace of
Starbucks cause marketing, many see
something of themselves here.
Photo Credit: http://starbucks.com
15 © 2012, Aaron Allen
www.aaronallen.com

16. AARONALLEN
25 TRENDS TO WATCH
MINIMALISM
Less is more is taking center
stage in restaurant décor as
well as the more simplistic
center-of-plate offerings.
Restaurant interiors are less
fussy with a nod towards
sleeker, more modern looks.
Design elements set out to
expose the essence or identity
of the restaurant through
eliminating all non-essential
forms, features or concepts.
These days, the simpler the
elements, the bigger the effect.
Photo Credit: http://www.thecoolist.com/restaurant-design-10-amazing-temples-of-cuisine/
16 © 2012, Aaron Allen
www.aaronallen.com

17. AARONALLEN
25 TRENDS TO WATCH
DOGGIE DINING
More and more restaurants
are becoming dog friendly in
the same way that they have
become kid friendly over the
years. With 70 million dog
owners in the U.S. alone, it’s
no wonder restaurants and
hotels are loosening their pet
restrictions and cashing in. In
some operations, not only are
dogs allowed, there are
separate menus catering to
their every whim.
Photo Credit: http://www.gasparsgrotto.com
17 © 2012, Aaron Allen
www.aaronallen.com

18. AARONALLEN
25 TRENDS TO WATCH
COFFEE PAIRINGS
Forget wine and cheese. This year you
are more likely to have your cheese
paired with coffee. Food writer James
Chatto touts coffee from the breakfast
table straight through dessert,
comparing it to wine in its complexity
and versatility.
At Splendido, a fine dining
establishment in Ontario, coffee is just
as complex an accompaniment to food
as wine. Just as a wine maker uses
fermentation to dramatically effects the
taste of wine, a coffee expert creates a
unique product by roasting coffee to a
variety of levels.
Photo Credit: http://nycmugged.com/blog/wp-content/uploads/2011/01/1993-David-and-Martha-Dallis.jpg
18 © 2012, Aaron Allen
www.aaronallen.com

19. AARONALLEN
25 TRENDS TO WATCH
GYPSY KITCHENS
Kitchens are popping up in places
never imagined. Underground
supper clubs and off the grid
secret locales all add a sense of
excitement and discovery to the
already alluring and evolving
culinary landscape. This air of
mystery and secrecy plays
directly to the consumers
heightened sense of discovery.
Photo Credit: http://velocult.com/wp-content/uploads/2010/11/supperclubopening.jpg
19 © 2012, Aaron Allen
www.aaronallen.com

20. AARONALLEN
25 TRENDS TO WATCH
HOUSE SODAS & HEIRLOOM
BEVERAGES
Do-it-yourself soda kits have
made it easier for both the home
cook and restaurateur to build
their own beverage.
Some restaurants are perking
up their menus simply by
bringing fresh ideas to the
beverage section. At Dat Dog in
New Orleans, patrons can order
nectar infused soda with a
splash of chardonnay. Other
flavors popping up on drink
menus: lavender-
vanilla, tangerine, and
persimmon.
Photo Credit: http://www.torontolife.com/daily/wp-content/uploads/2012/05/may12Soda.jpg
Photo Credit: http://l.yimg.com/ea/im_siggkuPuL8Vuf9djvGwT5HjxaQ---x240-q80/img/-/110510/sodasiphon_16shn89-16shn8d.jpg
20 © 2012, Aaron Allen
www.aaronallen.com

21. AARONALLEN
25 TRENDS TO WATCH
CLANDESTINE DINING
Want to really experience a
foodie’s ultimate head trip: eat
in the dark. In customers’
unrelenting search for the new
and different, gourmands find
a little bit of darkness brings
the lightness of being to their
favorite pastime. Not fit for
the masses, but for a select
few, it’s nirvana.
Photo Credit: http://opaque.com
21 © 2012, Aaron Allen
www.aaronallen.com

22. AARONALLEN
25 TRENDS TO WATCH
NUTRITIONAL DISCLOSURES
With the popularity of apps
like ‘Lose it,’ which allows
people to quickly track
daily food consumption,
consumers are demanding
more nutritional
information. And that puts
the burden of compliance
squarely in the hands of
restaurateurs. This can be
costly and time consuming,
but foodservice operators
need to stay ahead of the
curve.
Photo Credit: http://caloriecount.com, http://www.loseit.com/
22 © 2012, Aaron Allen
www.aaronallen.com

23. AARONALLEN
25 TRENDS TO WATCH
iPAD MENUS
iPads are turning up
everywhere, so it ’ s no
surprise restaurants would
be turning to the iPad as a
way to bring today’s menu
offerings to its clientele.
There are numerous upsides
to using iPads and other
methods of digital
paper, including the halo of
being “with it,” as well as the
environmental “greenness” of
the choice.
Outback Steakhouse co-
founder Chris Sullivan sees
not just current novelty but
future potential in the
iPad, and is investing his
fortune and know-how in this
trend.
Photo Credit: http://www.apple.com/ipad/business/profiles/carmel-cafe/
23 © 2012, Aaron Allen
www.aaronallen.com

24. AARONALLEN
25 TRENDS TO WATCH
WIRELESS PAYMENT
Money is slowly but surely
becoming a thing of the
past, at least when it comes
to cash on hand. Wireless
payments have surpassed the
green stuff in a big way and
are being utilized not only in
online transactions but in
virtually all points of
commerce. Restaurateurs
are not exempt, and those
who have not embraced this
mode of payment should
reconsider..
Photo Credit: http://technology.inc.com/wp-content/uploads/2011/05/Google-mobile-payment-2.jpg
24 © 2012, Aaron Allen
www.aaronallen.com

25. AARONALLEN
25 TRENDS TO WATCH
THE SNACK OCCASION
With an emphasis on smaller,
more frequent meals, the
foodservice industry has
given birth to a fourth day
part: snack time. Consumer’
mid-afternoon need or desire
for a pick-me-up helps feed
the pipeline, which
simultaneously fattens the
bottom line.
25 © 2012, Aaron Allen
www.aaronallen.com

26. AARONALLEN
25 TRENDS TO WATCH
AMERICANS WILL START TO SPEND
MORE AS A % OF INCOME
With an economy that
continues to tighten the
screws on the middle
class, it was only
matter of time until
Americans were forced
to spend more as a
percentage of income.
For the poor, this is
nothing new, but for the
vast majority of
Americans, the shifting
reality is something
new playing out daily.
Source: BRS/USDA, Euromonitor Data, complied July 2012, data for 2009
Data represents money spent on food at home
26 © 2012, Aaron Allen
www.aaronallen.com

27. BONUS TRENDS
We believe hospitality is about always giving a little extra, so here's our version of a "bakers dozen."

28. AARONALLEN
25 TRENDS TO WATCH
ANALYTICS/KPI’s
Restaurateurs are analyzing
more data than ever before
through KPI ’ s, or key
performance indicators.
Virtually everything can be
analyzed and quantified, from
an employee ’ s performance
to pizza delivery’s stats. A
deep dive into an operations’
analytics reveals all sorts of
usable information in real
time, information that
translates into time and
money savings.
Photo Credit:
http://www.rdspos.com/portals/0/Images/ncr%20aloha%20pulse.png
Photo Credit: http://www.retailresellernews.com/July_09_2012/Posiq-Analytics-7-9-12.jpg
28 © 2012, Aaron Allen
www.aaronallen.com

29. AARONALLEN
25 TRENDS TO WATCH
INTELLECTUAL PROPERTY &
TRADEMARKS
Following on the heels of anti-
smoking and nutritional laws,
the legal system is taking aim
at intellectual property and
trademarks. Moving forward,
restaurateurs will have to take
greater care protecting
properties and trademarks,
including recipes and trade
dress. It pays to be proactive
on this so that years of sweat
and hard work aren’t stolen by
a copycat with a thumb drive.
Photo Credit: http://www.schneidermike.com/wp-content/uploads/2010/08/mcdowells-
mcdonalds.png
29 © 2012, Aaron Allen
www.aaronallen.com

30. AARONALLEN
25 TRENDS TO WATCH
GROCERY STORES CLAW BACK
CUSTOMERS
The grocery and foodservice
industries have been locked
in a competition for share of
dollar for as long as anyone
can remember. While
restaurants have gained
market share in recent
decades, grocery businesses
have had enough and are
pulling out all the stops to
reduce the trend.
30 © 2012, Aaron Allen
www.aaronallen.com

31. AARONALLEN
25 TRENDS TO WATCH
FARMS VERSUS GOLD
With the world ’ s population
growing at an unprecedented
rate, it will take a 25%
increase in food agriculture
production to keep pace.
Because farms are shrinking
at the same time food
consumption is increasing,
farmland is good as gold. In
the future, farmland will
become even more precious.
After all, if you can’t eat, who
cares about gold?
31 © 2012, Aaron Allen
www.aaronallen.com

32. AARONALLEN
25 TRENDS TO WATCH
CELEBRITY FARMER
Thanks to local celebrity
chefs, many farmers are
enjoying newfound rock star
status. With farmers’ names
featured on menus, farmers’
food celebrated in tasting
demonstrations, and a
growing presence in media
and viral, these farmers are
learning the value of their own
brands.
Photo Credit: http://images.teamsugar.com/files/upl1/1/15259/41_2008/Top-Farmer_0.xlarger.jpg
32 © 2012, Aaron Allen
www.aaronallen.com

33. Contact us about tailored workshops for at least 75 more specifically relevant trends presented in
person to "your audience" (whether that’s a handful of senior executives or a few hundred of your
colleagues.)
www.aaronallen.com
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© 2012, Aaron Allen
www.aaronallen.com