It’s no secret that in the competitive world of business, innovation, creativity, and understanding the benefits of franchising are important ingredients in the recipe of long-term success.

This is especially true for restaurant franchises, a sector where the benefits of franchising are clearly evident through unique trends, dining experiences, and creative marketing campaigns. It’s no surprise that with over 22 million daily visits to a restaurant in Canada, Canadians crave choice in their dining experiences and industry has responded with more options year over year.

Staying ahead in technology adoption is key to maintaining a competitive edge as a restaurant owner helping to attract and maintain a loyal customer base.

MTY Group is here to help franchisees navigate the competitive and exciting world of restaurant franchises drawing from our 40+ years of experience supporting thriving brands in Canada such as TacoTime, Mucho Burrito, Thai Express & more.

Success for our community of over 7,000 franchise owners is achieved through the ongoing support and training from MTY; ensuring they are well-equipped to run their businesses and fully utilize the benefits of franchising. Our franchisees understand that to be successful they need to be passionate, involved, hands on, and always pushing for growth.

In this 4-part series of top trends in restaurant franchising, we will break down some of the global restaurant trends that franchise operators should be aware of in order to thrive in this rapidly evolving industry.

Technology Innovation and the Benefits of Franchising

In part 1 below, we’re looking at rising trends in technology that are already reshaping how consumers shop, eat, navigate, and stay loyal.

In the ever-evolving digital age, technology integration, coupled with the benefits of franchising, stands out as a beacon guiding the path to success for franchises across the globe. While we refrain from making absolute predictions, we’re here to explore the technological trends that are reshaping the franchising experience.

Embracing Digital Transformation

The rise of online ordering and delivery platforms has become a cornerstone in the relationship between franchises and their customers. As we navigate the tech-driven landscape of 2024, it’s evident that investing in a seamless online presence is not just an option but a necessity. Mobile apps are no longer just a feature; they’re the interface through which customers engage and buy. Crafting a user-friendly, efficient app can significantly enhance the customer experience, making it more convenient and personalized.

Considerations for Franchisees in 2024:

Online Ordering & Customer Experience

Safe to say that with the rise of 3rd party delivery applications, online ordering has been a focus for most restaurants across the world, underscoring the benefits of franchising in embracing new technologies. In Canada, apps like Skip The Dishes, Uber Eats, and Door Dash are commonplace options for consumers to access hundreds of restaurant options from the palms of their hands.

These done for you delivery services make it convenient for consumers to order and as a result have gained traction, especially with quick service style restaurants.

As a restaurant, you can be optimizing your delivery menu and delivery experience to stand out among the competition. Some restaurants have opted to print and insert personalized notes into their delivery packaging in order to stimulate positive sentiment and foster customer reviews. Other restaurants allocate a separate marketing budget for delivery app promotions to stand out on these apps which generate significant traffic and eyeballs from their users.

Although taking advantage of third party delivery apps can be a benefit to getting exposure and sales for your business, it normally comes with a service fee between 20-30%. Although this fee is significant, it can be justified as a marketing cost to acquire new customers and offer a good first impression. In the end, restaurants should still consider complimenting their 3rd party delivery with an in-house delivery or pickup system of their own to improve their profitability and reach when available. Ultimately the more tools you can take advantage of, the more opportunities you have to provide exceptional food and experience.

Marketing

Marketing is historically a big driver for change and innovation across different industries. Consumers are increasingly distracted by all the noise on the internet and social media. As we move into 2024, that trend will continue, emphasizing the need for franchises to adapt, a key benefit of franchising.

Although traditional marketing will always have a place, the impact of creative digital marketing continues to be underestimated and represents an opportunity for businesses to stand out.

Bringing in new customers continues to be a core pillar in long-term restaurant success. As a restaurant owner with the support of MTY, you have a team dedicated to social media and other digital marketing channels; focusing on national trends, showing personality and delivering on customer experience even before customers show up.

This level of marketing support across all of our brands significantly boosts restaurant visibility and fosters long-term customer loyalty, creating a unique selling proposition and competitive edge.

In addition, influencer marketing has continued to grow in popularity because of the honest and trustworthy nature of their content which carries the added bonus of reaching their own online community. As a result, restaurants can exponentially increase their visibility through a well-defined social media strategy and transition that into long-term customer loyalty.

Utilizing AI and Automation:

Artificial Intelligence (AI) and automation are no longer futuristic concepts; they are the driving forces behind operational efficiency. Franchisees can leverage AI for customer service, ensuring quick responses and personalized interactions. Moreover, automated inventory management systems streamline operations, reducing errors and enhancing overall efficiency. While we tread cautiously on predicting the future, it’s clear that those embracing AI and automation are better positioned for success in the evolving market.

By leveraging artificial intelligence and automation, business owners can streamline different areas of their business which can have a big impact on overall profitability. It’s no secret that the rising costs of food and wages are top of mind, however business owners can use new tools and technologies to help become more efficient which will improve their bottom line.

One new application of automation that has generated a lot of interest and a controversial response is McDonald’s first totally automated restaurant concept in Texas. In this article by Global News, we get an introduction into more futuristic restaurant models that use robots and automation to streamline processes and order fulfillment.

This is a perfect example of how technology and be used by businesses to improve profitability and streamline their operations without impacting customer experience, demonstrating the practical benefits of franchising in modern business environments.

Recommendations and the Benefits of Franchising

It’s evident that technology integration is a key player in the future of franchising. Understanding and leveraging the benefits of franchising in conjunction with technology is not just a tool but a strategic partner in navigating the complexities of the industry.

Whether you’re looking to start your first franchise or expanding your restaurant portfolio, consider brand adaptability and innovation as part of your criteria. Franchise applicants should be concerned that the brand they choose is not only staying current but is actively seeking new ways to meet customer needs and preferences.

The long-term vision of any franchise system should emphasize technology integration as a fundamental aspect of a sustained success. MTY Group is committed to technology growth adaptation and technology and is set up for this. This assures franchise applicants of our commitment to future-proofing our business.

You’re not alone in your journey to franchise success. At MTY, we understand that technology is an important building block in any growing restaurant. That’s why our team and our 60+ brands are actively incorporating the newest trends to equip our franchisees with the tools they need.

Afterall, your success is our success.

If you’re looking to get started with your first restaurant, do it it with a focus on technology; a proven concept, and the support of an entire organization to guide you through the process.

Find your next franchise with MTY Group