Hyper-personalised pricing, more smart-tech amongst projected trends in 2022
Customers do not have a single acceptable price point for each menu item, one analyst suggested.
(Editor’s Note: This is the second part of a broader feature on what’s in store for the QSR and fast casual restaurant industry in 2022. For the first article, click here.)
This year, restaurants will further invest in automation to meet growing off-premise demand whilst aiming to offset labour costs, differentiate with data-led, personalised prices and would likely focus on simplifying the delivery experience, analysts have projected.
Speaking on personalisation, Simon-Kucher & Partners consultant Giulia Favetti observed that QSRs have already been adapting digital experiences based on customer behaviours per se, expecting this to “snowball” over the coming months and resulting in increased complexity and differentiation in pricing.
“We see QSRs hyper-personalising offers – transcending traditional customer segmentation to tailor offers to a specific customer, driving and altering explicit behaviours,” she said.
“Customers do not have a single acceptable price point for each menu item; this price deviates by factors such as location, time of day and purchase occasion. QSRs which understand this will seek to take advantage of their data sets to develop dynamic pricing models which are better able to monetise these opportunities. This will also extend beyond the menu to promotional offers.”
Deliverect general manager for Australia and New Zealand Jeremy Van Dille expects artificial intelligence to “play an increasing role” in personalisation with customers, expecting it to only improve engagement.
In the context of automation, he expects “smart-tech” such as robots and drones to be further incorporated across value chains, from warehouses to cloud or virtual kitchens.
“Virtual brands and dark kitchens have seen some growth in Australia. One problem facing this trend, however, is the cost of employment and the lack of available staff,” he explained, adding that POS solutions would “come in handy.”
“Tipping point” for delivery aggregators
The supercharged growth of delivery aggregators due to chains’ reliance on the channel and consumer demand are now at a “tipping point”, Favetti has suggested.
“Penetration is now at an appropriate point where profitability must now be considered versus pure customer acquisition from the aggregator’s perspective. As a consequence, delivery is becoming more expensive for customers, with aggregators trying to balance their books with service fees and other surcharges in addition to existing delivery fees and higher menu prices. Accordingly, we expect this to be a huge focus area for the industry as financial objectives become more important to aggregators,” she said.
Van Dille added that the delivery channel itself is seeing increased traction with FMCG suppliers such as supermarkets, aiming to connect with their own customers and grow their base.
“Delivery will no longer [be] confined to takeaways,” he said.
Citing internal data, Pureprofile chief executive Martin Filz observed a 54% rise in spend via e-commerce in the last 12 months to December 2021, encouraging brands to think about offering further ease in their online ordering platforms whilst thinking about transforming their locations as destinations.
“How easy is it for me to order online today? How easy is the process? How simple is the selection process? And can I do an easy click-and-collect? Can I do a simple delivery?” he said.
Filz also saw a 2 to 7% increase in spending over the two-week Christmas and New Year period of 2-7% for this year versus last year.
