TRENDS DISCUSSION IN THE RESTAURANT INDUSTRY
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Trends Discussion in the Restaurant Industry
Article Summary
The article titled "Building Restaurant Loyalty in the 'New Normal'" by Hutchinson
(2021) and published in the
QSR Magazine
highlights the efforts that restaurants have
established to establish customer loyalty due to the Covid-19 pandemic. Specifically, the
author believes that restaurants must implement new programs that register higher
effectiveness in fostering customer loyalty. Some of these programs may include giving
surprises in gifts, personalized rewards, collaborative partner rewards, unique experiences,
and points-fueled journeys. Each of these approaches can empower restaurants to develop a
broader customer base and appeal to existing customers to increase the levels of loyalty. In
the case of experiences, restaurants need to understand customers' expectations in line with
the Covid-19 protocols and high levels of hygiene. Many customers expect minimal contact
as they enjoy their dining experiences, which will compel restaurants to develop innovative
solutions to transform customer experiences irrespective of the pandemic.
Analysis
Hutchinson (2021) highlights the latest trends in the restaurant industry because of
Covid-19. Restaurants experienced multiple adverse effects because of the pandemic. Most of
them remained closed during the first months of the pandemic. However, restaurant owners
adopted new approaches to meeting customer needs after many states eased the lockdown
situation. Currently, restaurants face a critical challenge in fostering customer loyalty as many
customers are yet to return to normalcy in the case of their consumer behaviors when it
comes to restaurant dining (Mehrolia, Alagarsamy, & Solaikutty, 2021). Hutchinson (2021)
provides timely approaches that the restaurant industry can utilize to meet customer needs
while increasing revenue during an economically difficult period. The article is of great
relevance to the restaurant industry because it provides timely solutions and offers the right
approach to enhancing customer loyalty.
Hutchinson (2021) categorically highlights the need for restaurants to implement new
strategies after the transformations that have taken place in the past year. Many restaurants
implemented new business models through innovative approaches to remain operational,
protect the wellbeing of customers and employees, and register a measure of profitability. As
a result, restaurants are operating under a new set of rules and priorities due to the Covid-19
pandemic. If restaurants are to survive and operate beyond the pandemic, they need to
implement innovative ways of enhancing customer loyalty. Particularly, the efforts to foster
customer loyalty after massive transformations may prove difficult for restaurants. Customer
satisfaction is only possible if restaurants can guarantee hygienic experiences, fast
transactions, and minimal contact (Gursoy & Chi, 2020). Moreover, customers expect
restaurants to reinforce their online operations and make it easier to order products and
receive deliveries promptly. Providing these experiences is one of the most effective ways of
enhancing customer loyalty in the current difficult period.
The article is relevant to my career area of interest because I would like to play an
active role in the restaurant industry. I conceive that the industry needs to develop resilience
and innovative ways of responding to customer needs, irrespective of the changes in the
business environment. Covid-19 has been one of the unfortunate events that have challenged
the existence of the restaurant industry. For this reason, Hutchinson (2021) offers reliable
solutions for restaurants that are seeking to increase the level of customer loyalty by offering
outstanding experiences and other attractive programs. Many restaurants can relate to the
realities highlighted in this article regarding the massive transformations that have taken
place over the last year in response to a global pandemic.