The pandemic has led to the opening of off-premise-only locations and the adoption of front-of-house technologies that may alienate older consumers.
GLORestaurants face a dual challenge as the population in the United States continues to age. They not only need to innovate their digital technologies but also ensure that the in-restaurant experience maintains its quality.
According to the U.S. Census Bureau, the median age in the country has been increasing steadily due to declining birth rates over the past two decades. This ongoing trend suggests that the younger population is not growing rapidly, leading to a rise in the median age.
This demographic shift implies that restaurants should not solely prioritize digital technologies favored by younger consumers, such as delivery aggregators, direct ordering apps and websites, loyalty apps, and QR codes. They must also focus on the in-restaurant experience, as older consumers prefer the traditional brick-and-mortar setting.
Research conducted by PYMNTS indicates that while the majority of young consumers now prefer off-premise channels, older consumers still choose on-premise dining. For example, a smaller percentage of Generation Z and millennials purchased their most recent restaurant meal inside the restaurant compared to baby boomers and seniors.
Furthermore, PYMNTS’ report reveals that Generation Z is significantly more likely to use third-party food aggregators compared to baby boomers and seniors. Despite the aging population and the preference for on-premise dining among older consumers, many restaurants are neglecting the needs of this demographic. The pandemic has led to the opening of off-premise-only locations and the adoption of front-of-house technologies that may alienate older consumers.
Restaurants are introducing changes like QR code menus and even more advanced technological innovations such as robotic servers or fully robotic locations. However, these changes can frustrate older consumers who miss the familiar and personal dining experiences they have enjoyed for decades.
A previous study by PYMNTS revealed that a significant majority of restaurant consumers consider staff friendliness as the most important aspect a restaurant should provide. Many respondents also believe that restaurants are becoming increasingly understaffed and less personal.
In summary, as the population ages in the United States, restaurants need to balance their digital innovations with maintaining the quality of the in-restaurant experience. They should consider the preferences of older consumers who still prefer on-premise dining and value personalized service.
Access report mentioned in this article here:
Digital Divide: Technology, The Metaverse And The Future Of Dining Out
Digital Divide: How High-Tech Consumers Connect To Subscription And Loyalty Offerings
