Though the restaurant industry has begun to stabilize after years of pandemic-induced bankruptcies and closures, 2022 revealed new challenges that have dragged sales for many surviving eateries.
Sky-high inflation has forced many operators to hike their menu prices and rethink their hiring strategies, while the Starbucks union’s success is stoking labor anxiety among owners and sparking organizing among workers at other chains. Rising development costs are also hampering the expansion plans of some restaurant chains, especially those that are targeting coveted real estate that can accommodate one or multiple drive-thrus. The passage of the FAST Recovery Act in California, which would create a council to regulate fast food wages and working conditions at chains with more than 100 restaurants, has also put operators on edge.
To navigate these obstacles, many restaurants are doubling down on transformational innovations. Chains across categories are overhauling their loyalty programs to better entice consumers and grow their digital sales, while some restaurants are embracing robotic automation, self-order kiosks and other technology to lower costs. Other chains are tapping fresh talent to lead their companies through uncertain times.
Restaurant Dive has closely followed these disruptions and the industry’s response this year. Check out seven articles highlighting some of the biggest factors operators need to keep in mind as they set their goals for 2023.
