How foodservice is reshaping the retail experience

Harnessing the power of technology to seamlessly blend shopping and dining
November 13, 2023
NRF 2024: Retail’s Big Show

Step into the future at the Foodservice Innovation Zone at NRF 2024: Retail's Big Show and explore new technologies and innovations that are transforming the customer foodservice experience.

Register now!

Foodservice in retail isn’t just about the food court at the mall anymore. Instead, it’s about convenience stores brewing barista-quality coffee, clothing stores with chic cafés and home goods outlets offering wine and tapas.

Grocery stores have long known the secret sauce, offering in-house bakeries and deli counters, but now they’re upping the ante with sushi bars and even fine dining. Bookstores cozy up with cafés, turning the simple act of shopping into an experience that encourages customers to linger.

The vision is clear: Any retail space can be a space for foodservice. That’s the whole idea behind the “why” in the Foodservice Innovation Zone at NRF 2024: Retail’s Big Show.

‘A symphony of technology’

The fusion of foodservice into retail isn’t without its challenges. It requires a symphony of technology to orchestrate a seamless experience.

Point-of-sale systems have evolved to manage both merchandise and menu items. Inventory management software that once only tracked the latest fashion trends now also ensures fresh ingredients are in stock for the lunch rush. Self-service kiosks and mobile ordering apps let patrons customize their meal just as they would a personal shopping order, with the added convenience of payment integrations that manage both retail and food purchases.

Moreover, the Internet of Things has paved the way for smart kitchen equipment to communicate with inventory systems, alerting staff when it’s time to reorder supplies or when a particular dish is trending among shoppers. Digital signage dynamically adjusts to display mouth-watering promotions alongside the latest sale, enticing customers with a holistic sensory experience.

A commonality of needs

The intersection of foodservice and retail technologies is most apparent in the shared need for operational efficiency and enhanced customer experience.

Retailers that have historically leveraged data to understand buying behaviors are now applying similar analytics to foodservice offerings. They are using customer data to personalize dining experiences, suggest pairings of products with meals and even offer discounts through loyalty programs that span both domains.

The use of robotics and automated systems for checkout and meal preparation is also a shared technological venture. Robots that were once exclusive to warehouses for stocking shelves are crafting salads or assembling pizzas, making the foodservice within retail spaces not just a novelty, but a beacon of modern efficiency and innovation.

Meeting consumer expectations

The opportunities for incorporating foodservice into retail are as vast as the palate. Retail locations can establish themselves as destinations rather than mere points of purchase. By offering fresh and appealing food options, they cater to the growing demand for convenience and quality.

Moreover, integrating foodservice can increase dwell time, which statistically can lead to higher retail sales. It transforms shopping from a task to a leisure activity.

For instance, a clothing retailer can offer a café that serves refreshments mirroring the sophistication of its brand, thereby enhancing the overall brand experience. Similarly, a bookstore might offer literary-themed cocktails or coffee blends, deepening the thematic connection customers have with their products.

Retail technology

Check out NRF’s coverage on retail technology and the latest on restaurants in the industry. 

Retailers can also harness the power of seasonal offerings and limited-time menus to create a buzz, just as they do with seasonal sales. Such strategies can draw crowds, generate social media interest and invigorate sales.

The convergence of foodservice and retail is not just a passing fad but an evolution of consumer expectations. As technology continues to streamline these integrations, the only limit is creativity. Retailers that successfully marry the convenience of foodservice with the pleasure of shopping are set to savor the sweet taste of success in this evolving marketplace.

From vending machines offering gourmet bites in high-end boutiques to micro-markets in bookstores, foodservice is infusing flavor into the retail sector in the most unexpected places. Register now for NRF 2024: Retail’s Big Show to experience the Foodservice Innovation Zone, a place where foodservice, retail and innovation meet.

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