Article

Industry trends: Consumers will spend more for transparency, authenticity, safety

Watch for menu trends at airport bars and lounges, Hollywood and convenience stores.

October 17, 2014 by Alicia Kelso — Editor, QSRWeb.com

If you can Google a trend, you've missed it. So says Suzy Badaracco, toxicologist, chef and registered dietitian.

During this week's Fast Casual Executive Summit in Denver, Badaracco and Betsy Craig, CEO and founder of MenuTrinfo, provided their take on what menu trends restaurant operators should be paying attention to, as consumers continue to climb out of the economic downturn.

Food safety

Craig, who works with restaurant companies to ensure food safety and build nutritionals, has a unique perspective on the shift toward transparency.

"There are trends in our industry now that are life-changing. I started in the industry at a Ponderosa in 1978. Nobody talked about having a food allergy then. Now we know more and if you give a peanut to a child that has a peanut allergy, it can be detrimental," she said, adding that over 100,000 consumers are talking about food allergies every month via Google search.

The latest food code released, in 2013, was the first that mentioned food allergies.

"That shows it's becoming more and more relevant," Craig said. In some states, a food allergy poster is mandated, similar to the one restaurants have for the Heimlich maneuver.

Gluten-free and GMO instances

Similarly, there has been an increase in the search and discussion surrounding gluten-free. Craig said there are 2.4 million to 3.4 million hits on Google about this topic every month.

"That's gigantic. People are eating gluten-free because they feel better," she said.

The anti-GMO movement has also experienced a groundswell, she said, adding that we're years behind Europe on regulations.

"There are people who believe this (GMOs) is the end of the world. In Europe they identify all GMOs that are put it in all of the products. More of our customers are asking if we can identify GMOs," Craig said. "I think we'll see more legislation happen with this, following Vermont which has already passed GMO legislation."

Menu regs

When the nutritional information portion of Obamacare was passed in 2010, many operators scrambled to figure out the logistics. But the final regulations have yet to be issued and Craig said there are still many question marks remaining.

"You have to have some leeway as a brand, but what you're going to share with the public will be mandated," she said. That includes some "gotchas," including:

How will customizable dishes like pizza and frozen yogurt be handled?
What establishments are covered by the new regulations?
Must information be provided regarding alcoholic beverages?
When will the new regulations come into effect?

Understanding consumers

Badaracco profiles menu trends based on consumer behavior research and confidently states that we're sliding into full recovery from the economic downturn. Such a position leads to different consumer demands, including more transparency and authenticity from restaurant brands.

"They are interested in the food source. They don't want you to mess with it. They want to know exactly where their food is coming from," she said. "They also want customization and are attracted to (brand) legacy and roots."

Healthier food and healthier kids' food is also on an upward trajectory. But health in this sense is defined as "free from," more than lower calorie/fat, etc. Consumers, in other words, want simple, unprocessed ingredients.

Other trends

Consumers want more protein because they associate it with weight loss and feeling satiated.
Snacking is "becoming a villain," because consumers aren't replacing meals with snacking, they're doing both. Millennials are driving a "clockless eating" trend, which allows chefs to be more adventurous.
We're swinging back toward indulgence, including exotic and experimental.
Meatless and flexitarian are becoming more mainstream.

Badaracco suggested looking to Hollywood and airport bars and lounges to see what's coming down the pipe.

"Watch celebrities, Hollywood. That tends to have a big influence on these sorts of trends," Badaracco said. "Airport bars are huge right now – tequila bars. Beer and wine is moving to fast casual, and experiences such as cocktails and food pairings. All of this is fun and flirty and a sign of recovery. Happy hour is back."

Also, watch convenience stores.

"They're turning into little c-restaurants, like tiny little Whole Foods," Badaracco said. "There are a lot of fast casual copycats out there. The good news is everyone wants to be you. The bad news is everyone wants to be you."