Where do you see the future of the restaurant industry? Any emerging trends you're excited about?

The restaurant industry has experienced considerable change in the last 5-6 years, much of it coming during and immediately following the pandemic. As operators scrambled to find ways to survive when dining rooms were forced to close or restrict seating capacities, many of those adjusted methods continued in the years that followed. Consumer preferences changed, and the restaurant industry adapted.

Franchise Update asked several multi-unit franchisees what excites them about the future of the restaurant industry. Many of their responses were extensions of the changes we have seen taking place in recent years and how they will impact the future. When you add in the increased use of technology and AI in operations, the restaurant industry will look much different by the end of the decade.

Several franchisees cited shifting consumer interests, which have led to multiple avenues for sales. While owners previously gauged profitability by how full their dining rooms were, carryout and third-party delivery services now account for a large portion of their revenue. Customers increasingly prefer off-premise dining, and restaurants have adjusted their expectations to better serve their needs.

Other restaurant owners expressed optimism about the role in which technology will continue to play in their daily operations. Technology tools help with hiring and training, and predictive analytics can assist in assessing customer flow and labor scheduling. Consumers increasingly value consistency and convenience, and online ordering and self-serve kiosks can provide greater efficiency while improving the customer experience.

Imagine a hypothetical situation in which you could have lunch with anybody you would like. Maybe it would be a beloved family member who passed away, a famous historical figure, or an extremely successful businessperson who could share valuable advice. We asked several multi-unit restaurant franchisees that question, and they provided an interesting mix of answers.

See the Franchisee Bytes section below to learn more about their ideal lunch partner. Skip Russell Company: Russell Restaurants Brands: 5 Newk’s Eatery Years in Franchising: 31 I find that guests are getting more savvy, and a lot of them want to see their food being prepared and to see real ingredients. Between our catering business and the rise of digital ordering, our four walls are expanding.

We are no longer limited by the number of seats in the dining room, and that’s a massive opportunity for growth. Matt Langdon Company: SHS Management Brands: 6 Penn Station East Coast Subs Years in Franchising: 32 I see the QSR space evolving into more of a takeout and off-premises dining business. The days of consistently packed dining rooms are fading.

Today, 20-25 percent of our orders come through third-party delivery, which has shifted how we make our first impression. With many customers never stepping inside, features such as packaging, accuracy, and presentation have become critical. A mistake on a takeout or delivery order can create a poor first impression and potentially lose a customer permanently.

Tom Kazbour Company: Kazbour Operating Group Brands: 63 Hungry Howie’s Years in Franchising: 42 The restaurant business is full of opportunities today, more than ever. Consumers expect convenience, speed, and great quality, and the brands that can deliver all three with consistency are the ones that will grow. I’m excited about: Technology that enhances, not replaces, great operators Delivery and off‑premise innovation Labor tools that help teams work smarter New ways to create ownership opportunities for employees At the end of the day, the basics never change: serve great food, take care of people, and operate with passion.

But the tools we have today let us scale that passion faster and farther. Todd Rogers Company: Viking Group Inc. Brands: 17 Donatos Pizza Years in Franchising: 31 The pizza restaurant industry is currently facing several challenges.

Changing consumer habits, including the rise of GLP-1 medications, are influencing how people eat. Younger generations also have different eating habits than prior generations, and third-party delivery platforms have expanded the number of options consumers can have delivered to their homes. However, even with those challenges, I am optimistic about the long-term outlook and believe the restaurant industry will rebound from this.

Concepts that focus on strong operations, great people, technology, and product innovation will come out stronger. I am particularly excited to see how technology can help improve cost controls, sales forecasting, and labor scheduling across restaurant operations and benefit both our operators and our customers. Jim D'Aquila Company: Virentes Hospitality Group Brands: 5 Shipley Donuts, 3 Saigon Hustle, 1 Sweet Paris Years in Franchising: 17 What excites me most about the future of the restaurant industry is the growing importance of differentiation.

Three areas stand out: Snackability: The quick-service space is shifting as consumers increasingly look for smaller, more flexible eating occasions throughout the day outside of traditional mealtimes. Brands that lean into small-sized snackable menu items that work across multiple dayparts have a real opportunity to drive frequency and stand out. Global flavors: Outside of our current brands in our portfolio, Vietnamese food particularly excited me.

American diners are more adventurous than ever, and Vietnamese cuisine is perfectly positioned to meet this cultural moment. Rice-based, gluten-free, fresh, and grilled, Vietnamese food checks every box that today's health-conscious, flavor-forward consumer is looking for, and those consumers are entering their biggest spending years right now. Yet no scaled national Vietnamese cuisine concept has risen to meet them, presenting a large opportunity.

Blurring of dining formats: The line between QSR and fine dining is disappearing. Consumers want both quality and convenience. Brands that can deliver a high-quality, differentiated product with speed and consistency will win.

Shipley already delivers that with a handmade daily product, fast service, and an everyday price point. That is exactly where the industry is heading. Franchisee Bytes Person you would most like to have lunch with?

**Abraham Lincoln. I would love to know how he kept it all together when our country was at its lowest. His leadership was just incredible.

** -David Weeks, CEO, The Bean Team, 9 Barberitos, 8 Dunkin’, 4 Newk’s Eatery, 1 Dunkin’/Newk’s co-brand My late father, who passed away at a young age. -Mike Kulp, CEO, KBP Brands, 828 KFC, 119 Arby’s, 85 Sonic, 56 Taco Bell **Businesswoman and entrepreneur Emma Grede. Her approach to brand building, collaboration, and empowerment is incredibly inspiring.

She leads with authenticity and has built brands that resonate on both cultural and personal levels.** -Misha Punwani, Multi-Unit Franchise Owner, 16 Playa Bowls **The founding leaders of the three major religions. I’d love to hear their vision firsthand and ask how they’d see the world today.

** -Christopher Aslam, CEO & Principal, Rock Strategies and various entities, 59 Jack in the Box, 5 Golden Chick, 5 Hawaiian Bros Island Grill Kenny Chesney. -Joey Pierson, CEO & CFO, Tacala Companies, 381 Taco Bell, 38 7 Brew **My late father and grandfather. Both were instrumental in building the idea of entrepreneurship in my life.

** -Alex Karcher, Operating Principal, JCK Restaurants, 61 Carl’s Jr., 11 Jersey Mike’s Subs, 8 The Human Bean, 8 Dave’s Hot Chicken, 1 Hawaiian Bros Island Grill **Warren Buffett and other leaders I can learn from.