OPINIONTechnology

Is technology ready to integrate with catering capabilities?

Managing Editor Sara Rush takes a look at the intersection of off-premise and tech.

Off-premise: It’s the topic that everyone loves to hate. The rapid uptick in consumer demand for delivery has left many operators playing catch-up or going the trial-and-error route. 

While many operators didn’t see how quickly this delivery craving would come, neither did some technology vendors—and that’s where much of the friction started. For the most part, suppliers were not ready to integrate with the onslaught of third-party deliverers, which has led to decreased efficiency and higher labor costs to manage the digital orders, with a sometimes questionable return.

But finally, it looks as if vendors are catching up. Online ordering platform Olo and cloud-based POS vendor Toast are testing the next generation of mobile ordering and processing tech. Instead of needing seven tablets to collect orders coming in from different third-party partners, both are proving that integration is possible. It must come as a huge relief to operators—there is a solution rolling out. 

But with all the focus on individual delivery, is another moneymaking off-premise channel being overlooked in the integration of tech? Catering is already a $58 billion industry, and it’s expected to keep growing through the next few years.

“Delivery is extremely important to catering,” says Melissa Wilson, principal for Technomic. But, at this point, most restaurants are keeping their catering delivery services in-house to ensure the brand experience isn’t lost in transit. 

"There are third-party delivery providers opening a catering arm, but there's not a trust level there yet." Melissa Wilson, Technomic

Now, though, thanks to the barrage of third-party delivery sites for individual orders, consumers are used to the ease of ordering through digital platforms. While catering may be a different kind of order, consumers see it the same way: ordering from a restaurant.

In fact, according to Technomic’s Catering Insights program, 68% of consumers say ease of ordering is extremely important in deciding where to place a catering order—much of which can be tied to the availability of technology. So as operators continue to explore their platforms and partnerships in a tough market in which off-premise is helping to boost sliding sales, they shouldn’t forget to examine and question the tech that makes it happen. 

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