How Technology Can Help Solve the Restaurant Labor Shortage
Labor shortages, low recruitment, and high turnover rates have challenged the restaurant industry for years. But the problem is now bigger than ever. According to the U.S. Bureau of Labor Statistics, the number of people employed in food services nationwide dropped by more than two million between February 2020 and May 2021. As we emerge from the depths of the pandemic, many foodservice workers who were furloughed or laid off during lockdowns and the economic plummet are simply not coming back to the industry.
There are several reasons for this restaurant labor shortage, including competition for workers driving up pay, hostile customers, and health concerns. Additionally, after shutdowns when employees explored other options, many employees decided that working in the hospitality industry may not be the best career path for them. As a result, many restaurants are leveraging technology to compensate for their hiring difficulties. Let’s take a look at three popular restaurant technology solutions that are helping to combat the restaurant labor shortage.
Self-Service Kiosks
Self-service has been growing in popularity across a variety of industries for years. Many consumers even prefer interacting with technology over humans. Kiosks are ideal for quick service, fast casual, and even table service environments, and many restaurateurs are turning to these contactless ordering and payment options.
Kiosks allow restaurants to eliminate the need to have multiple front-counter staff or servers available to take orders or check out customers, enabling them to reallocate labor to other, more important functions, such as food prep. Customers like the increased control of placing their own order and knowing it will be entered correctly, just as they want it.
Kiosks also increase ticket size. One reason is that customers feel more comfortable ordering what they want. Another is that the machine never fails to reliably and consistently upsell and cross-sell, promoting meal deals or adding a side, drink, or dessert.
The use of kiosks also encourages social distancing, increasing the comfort level of patrons who are still concerned about safety. Plus, antimicrobial materials, easily cleaned surfaces, and contactless options are available, further mitigating the spread of germs.
Mobile POS
Like kiosks, mobile point of sale (POS) solutions have gained in popularity as restaurants look for new ways to increase efficiency and revenue. Mobile POS can help mitigate the restaurant labor shortage, because arming employees with POS tablets enables them to do their jobs more effectively.
As a result of the pandemic, many restaurants have augmented their traditional in-house dining (and expanded their capacity) by adding outdoor seating areas. Deploying mobile POS streamlines service to these areas, as servers can take orders and payments on the spot instead of running tickets and cards back and forth from indoor terminals.
With a reduction in wait staff, many restaurants are using mobile POS to expedite the order-taking process. Orders are sent directly to the kitchen, speeding up the food prep time. Mobile POS also allows wait staff to enter orders and check out customers more efficiently and accurately, enabling the restaurant to leverage the technology to serve more customers despite the restaurant labor shortage.
In addition, mobile POS is also ideal for line-busting applications, helping restaurants reduce customer wait times during peak, high-volume periods. Servers can take customers’ orders while they are in line. Faster, more accurate service increases throughput and customer satisfaction, both of which result in higher revenue.
Digital Ordering
Even before the pandemic, the restaurant industry was undergoing a shift away from in-house dining in favor of online ordering, curbside pickup, and delivery. In 2019, the National Restaurant Association and Technomic Inc. reported that 78% of operators were prioritizing plans for off-premises programs, and that consumers indicated nearly 60% of their restaurant occasions were off-premises. Of course, the pandemic accelerated that shift, and customer preferences changed.
Digital ordering offers customers the option to order from your restaurant the way they prefer to interact with your brand. In-house diners can also leverage digital ordering apps, reducing restaurants’ need to rely on a large wait staff to take orders at the table. Customers also appreciate being able to place orders and even pay on their personal devices rather than dealing with publicly-handled menus or billfold.
Make sure you invest in technology that enables your business to attract new customers and retain existing patrons who prefer digital interaction with your brand via their smartphone, tablet, or laptop. Not only will digital ordering increase revenue, but the automation will save your restaurant the unnecessary labor costs typically associated with manual order taking. You can successfully navigate the restaurant labor shortage by strategically allocating your employees where they are needed most.
Choosing Your Tech Wisely
Smart restaurant owners are looking to leverage new technology to combat the restaurant labor shortage and help their hospitality business adapt to the new normal. When you give your staff the tools they need to do their jobs well, they can create satisfying experiences for customers, which could increase not only your revenue but also your staff’s motivation to remain in your employ.
