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2024 State of the Industry

Future of In-Restaurant Dining

Q2, 2024

The restaurant industry is undergoing a significant transformation, driven by the increasing incorporation of technology to enhance the dining experience. Amidst this shift, restaurants face challenges such as the rise of third-party delivery platforms which, while expanding reach, also risk diluting direct customer relationships and personal interactions. To remain competitive and relevant, restaurants must focus on strategies that not only cater to the digital age but also foster a deeper connection with diners through personalized experiences and robust digital ordering systems.

Through the innovative use of technology, like Artificial Intelligence (AI), restaurants have the potential to redefine the dining experience, making it deeply personal, engaging, and memorable. Leveraging open technology platforms can also help restaurants to effortlessly integrate innovation with consistency throughout their operations. By embedding agility and innovation into their core operations, restaurants can navigate the fast-paced culinary landscape, enhancing their role in our lives and reshaping the way we experience dining.

This report outlines a strategic approach for leveraging modern technology to elevate the dining experience, emphasizing the need for the industry to blend tradition with innovation to meet changing consumer demands. It calls for a redefinition of convenience that extends beyond simple meal provision to creating memorable, engaging, and health-conscious dining experiences.

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As consumers continue to reshape their expectations,

enterprises must contend with a uniquely challenging landscape.

The consumer technology landscape is forever changing.

From Pinterest to TikTok, WeChat to Instagram, new experiences can rapidly gain consumer adoption and relevance.

Consumer, Technology, Incisiv

From augmented reality to voice, smartwatches to chatbots, consumers are constantly embracing new interaction paradigms.

Commoditized convenience is eroding loyalty and margin.

Consumers expect convenience. If you can't deliver it, they'll go elsewhere - e.g. next day shipping becoming the new standard.

Walmart will reportedly lose USD 1 billion on eCommerce revenue of USD 21 billion this year as it faces challenges in its bid to complete against Amazon – from trouble integrating its DNVB acquisitions to impact on margin from its next-day delivery operations.

Consumers value experiences that are curated to fit their lives better.

They want to engage, be served, and transact at their time, their pace, their place. They have little patience, infinite choice and the freedom to swipe left at the slightest hint of friction.

Consumer, Experience, Incisiv

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