Restaurant And Hospitality News – April 27, 2015
By Christine Kern, contributing writer
In news this week, Chili’s unveils a new loyalty program and wait-list service, the IoT is taking over food service, Papa John’s rolls out PayShare and upgrades ingredients transparency, and corporate travel trends for 2015 include stagnant budgets and creative booking.
Chili’s Introducing new Integrated Loyalty Program and Wait-List Service
Chili’s is now offering a double dip to its customers, with a new loyalty program that integrates with the order-and-pay tablets in use in the chain as well as a new service that notifies guests by text when their tables are ready for them, according to Mobile Commerce Daily. The new loyalty program is called “My Chili’s Rewards,” and it was introduced during the 2015 third quarter earnings call as an effort to boost sales and in-store traffic. “By rewarding customers for repeatedly visiting Chili’s and letting them use the points they have accrued at all locations, Chili’s will see their regulars become even more regular – especially because those customers are treated to an experience, and benefits, that isn’t available to casual diners,” said Shira Anderson, marketing manager at Como, Israel. The “NoWait” app is schedule to be introduced in July, allowing hosts to offer more accurate wait times to guests and to send texts to customers when tables are ready. The app also places guests’ names on the wait list. “One of the biggest consumer frustrations–in any context–is lack of transparency,” according to Anderson. “Programs like Chili’s new loyalty platform enable chains to simulate the experience that consumers’ expect at their local establishment–personal attention, relevant updates, and a little extra in the form of rewards such as redeemable points. When it comes to dining out, consumers who are made to feel special will associate that feeling with the establishment that is rewarding them for their patronage, and continue to patronize it in turn.”
Food Service Operators Are Moving To the IoT
The Internet of Things is taking over in many kitchens as food service operator switch to the new technology, according to Tech Alabama. Using computers, smartphones, or tablets, owners and operators can now monitor air and food temperatures from remote locations with an IoT application platform called SNAP. "It enables things that might not have the ability to communicate or to have intelligence before. We have that capability," says Synapse Foodservice product manager Jonathan Heath, who is working with Huntsville business Creative Catering through the company's pilot program. Storing food at proper temperatures is crucial for operators who want to turn a profit. The technology allows them to be proactive when temperatures go out of range and adjust the system to avoid spoilage or loss. The SNAP platform can also monitor lighting, inventory and workflow, among other solutions.
Papa John’s Introduces PayShare Solution And Updates Its Ingredients Information
Papa John’s has introduced PayShare, a first-of-its-kind digital solution that allows customers to split the cost on any mobile or online order. “In today’s ‘sharing economy,’ consumers split fares for car services and share their homes on vacation rental sites, so why not share the pizza bill, too?” explained Papa John, founder, president and CEO of Papa John’s. According to Bob Kraut, Papa John’s chief marketing officer, PayShare will alter the way customers see their orders, allowing “customers to focus on enjoying their favorite pizza with their friends and family, not on how they’re going to get paid back.” The chain has also given its digital and social channels a “facelift,” by sharing new ingredient statements, definitions, and details. The revamped digital channels provide consumers with details and background on their favorite ingredients and can be found here. Meeting the increasing demand for transparency by consumers, Papa John's is enhancing its social content with a series of Instagram and Vine videos, accompanied by Twitter and Facebook content focusing on each ingredient category. "Our industry is changing and consumers are demanding transparency—and as a leader in an industry in which some of our competitors don't publicly list their ingredients, we want to give that information to our customers," said Bob Kraut, Papa John's chief marketing officer. "We want our customers to believe what we believe: that we have better ingredients. And what better place to share that belief than on the social channels that our customers use on a daily basis?"
Corporate Travel Trends For 2015
This article from eHotelier.com examines some of the expected trends in corporate travel for 2015 and how hotels can respond to these changing needs. This year, travel managers are anticipating rising prices in most areas of corporate travel, without any accompanying increases in travel budgets. David Reimer, general manager, American Express Global Business Travel Asia has predicted that overall corporate travel budgets will remain flat, even as companies adjust their travel policies in 2015. While companies are not likely to raise budget limits, they do recognize that travel boosts revenue, which means that corporate travelers will be looking for more and more deals on flights and accommodations. For 2015, more business travelers will be likely to be asked to stay at company-preferred hotels, to use online sites and apps, and do more research online before booking. Over 50 percent of business travelers will be Millennials by 2020, who expect more services from providers for their investments. The article also predicts that increasingly companies will turn to gamification strategies to engage their employees and modify their travel behavior.