So, how do you narrow the manufacturing field as quickly as possible?In our near five decades of experience partnering with chains to develop the equipment they need, the fundamental criteria they apply in their sourcing decisions have proven quite consistent—and they’re all specifically related to the nature of a chain operation, with multiple locations. Chains Demand Food Equipment Quality That Can Meet 3 Critical Performance Specs Foremost is achieving a higher output volume and low lifecycle cost that will exact the return on investment that purchasing execs and influencers inside the chain must have to defend their sourcing decision. But chains also test for output consistency—which tends to have an even tighter tolerance than volume capability—because consistency is a hardline spec for a foodservice chain’s brand-management leaders. To meet these higher thresholds, experienced chain execs avoid the temptation to engage offshore manufacturers or even American-based companies that source components overseas. While many foreign manufactures have improved their capabilities in the last decade or so, the quality in parts and workmanship isn’t quite there to satisfy the chain standard. But, closely related to the volume spec, chains also need state-side technical support that can solve problems quickly and mitigate downtime. Chains Seek Food Equipment Design That Feeds Two Rising Kitchen Trends Two aspects of foodservice continue to trend smaller: Staff and kitchen space. Both have a residual impact on how chains make their food equipment sourcing decisions. Smaller staff isn’t necessarily by choice. Even well after the pandemic, labor continues to be a top-two operator challenge (alongside food costs). Whether facing high turnover or solving labor-gap issues by hiring younger, chains seek food equipment manufacturers with the skill to design for simplicity—in terms of user-friendliness for training and safety purposes, as well as cleaning. Smaller kitchen space, on the other hand, often is by choice, as chains look for ways to expand seating, as well as drive-thru and carryout functions. In effect, kitchens are getting tighter and being forced to operate faster and more efficiently. So, chains are calling on manufacturers that can design for equipment versatility. Chains Look for Production Efficiency That’s Unique to Food Equipment Specialists Relating back to the hard truth of a tight timeline, the most underestimated food equipment development criteria also play a key part in meeting the ROI threshold. Chains prefer manufacturers with experience in foodservice and tend to gravitate toward those that don’t venture into any other industry. The knowledge base streamlines design on the front end because food specialists can ask the right questions and preempt the likely challenges. They also have manufacturing capabilities and processes built for the foodservice industry, with engineering, prototyping, testing, and phased approvals that support and sync up with the development procedures chains have in place on their end, further saving time and money.

Once imagined as an innovative solution for nuanced applications, indoor farming is showing widespread potential as a realistic foodservice supply source—and not just for its fresh advantages, but for the way it meets other demand trends as well.Here are 5 examples, across 5 different foodservice segments, to paint a picture of how and why indoor farming is taking root in foodservice. 1.  Vertical Farming as a Supplier to Major Foodservice Chains For 7-Eleven, the world’s largest convenience store chain, partnering with an indoor-farm supplier is enabling the brand to take a unique leadership position in the c-store industry’s broader strategy of competing with QSRs and other limited-service restaurant chains. As a result of the deal, 7-Eleven will be able to source, year-round, fresh, pesticide-free lettuce for its prepackaged salads at all 1,300 of its California locations. Not only does this serve the chain’s ongoing effort to optimize food quality, but sourcing indoor farming for its environmental virtues—dramatically reduced land and water use—also represents a formidable contribution to the foodservice industry’s sustainability effort. 2.  Vertical Farming as a Unique Solution for Restaurant Independents Consumer demand for fresh foods, along with local sourcing, has everything to do with why the farm-to-table concept is so attractive to independent operations looking for ways to differentiate in their respective markets. That’s why forerunners in the effort, like Gather in Omaha, are practicing their own indoor farming on-site. And, like 7-Eleven, they’re finding it offers multiple benefits. According to Agrotonomy, which published a recent article on Gather, beyond providing “a true farm-to-table experience, their crops have a remarkably low carbon-footprint with zero food miles (and) . . . a higher nutrient density, while featuring an increase in flavonoid and antioxidant levels.” 3.  Vertical Farming as an Emerging Prospect in Healthcare Foodservice Where else would the healthier advantages of fresh produce, grown on-site, make more sense than inside a café at a leading-edge healthcare provider like the Mayo Clinic? Foodservice staff at the clinic’s Dan Abraham Healthy Living Center Café in Rochester, Minnesota, are operating a hydroponic micro-farm inside the kitchen. Not only is this better enabling them to meet Mayo’s higher standards for food quality, safety and nutrients, but they’re also seeing bottom-line benefits—namely, higher foot traffic. Thus, as Foodservice Director reported just last month, “It’s likely Mayo will expand the micro-farms to other parts of its sprawling Rochester campus, as well as to other Mayo campuses around the country.” 4.  Vertical Farming as a Supplier for College, University and K12 Foodservice Foodservice management giant, Compass Group, has already expanded its indoor-farm sourcing nationwide through a partnership with a leading provider of indoor hydroponic farms. Chartwells recently covered the story and quoted Compass Education CEO, Gary Snyder, who explained why it made sense to translate the company’s success with indoor, vertical farm sourcing in fine dining over to its K12 and C&U facilities. “Beyond the powerful educational and dining opportunities that come from harvesting produce directly from these tech-enabled farms, they further reduce our environmental footprint and support our client partner’s reduced or net zero carbon goals.” 5.  Vertical Farming as a Promising Solution in Foodservice Distribution Perhaps what is most telling about the potential for vertical farming to meet consumers’ fresh produce demand are the results from a 2023 survey conducted by Netled in partnership with Iowa State University CyBiz Lab. Reaching out to multiple purchasing professionals among the top-10 U.S. foodservice and retail distributors, they found 67% had sourced from vertical farm suppliers in 2022. Among them, all said they are somewhat or extremely likely to expand this sourcing in the future. Meanwhile, among those who hadn’t sourced from vertical farms before, 67% of that group also said they are somewhat or extremely likely to do so in the future.

before the pandemic.” (MarketPlace.org citing Labor Dept. numbers, Jan. 2024.)Zooming out, more high-school graduates are also choosing the workforce over higher education, with the U.S. college enrollment rate continuing to trend down, dropping to its lowest mark in 30 years at just 61% (NewsNation, April 2024).For foodservice operators who are insatiably hungry for staff, taking a longer look at the teen segment of the labor pool can be a wise move. The key is knowing how to attract these young go-getters for their unique expectations—and leverage them for their unique advantages. Here are 6 insights to help operators do just that. 1.  Teenage Foodservice Employees Want Flexibility . . . to a Point Study after study reveals how younger generations place work-life balance at the top of their employment criteria—especially high-schoolers who are juggling more activities than most adults. In real-life scenarios, according to a 2024 Deloitte survey, Gen Z’s “strong preference for flexible work is driving greater demand for part-time jobs, job-sharing options, and models such as four-day work weeks.” So, flexibility is absolutely critical to attracting teen talent. And many tech platforms are available to take the ‘crazy’ out of this kind of scheduling. However, it’s also critical that employers don’t bend too far to the will of these recruits. Just as many studies are revealing how teenagers benefit from (and unknowingly want) structure. The bottom line, it’s about predictability as much as flexibility, and teenagers can appreciate an employer who not only upholds a commitment but expects them to do the same. 2.  Teenage Foodservice Employees Want a Youth-Friendly Culture The value employers can extract from this maxim extends beyond recruiting itself. Teens want to work where teens are part of the fabric of the business. In hospitality settings like foodservice, this means the patronage as much as the staff. When operators develop ways to engage with teens in the community through things such as; school sponsorships, youth-event promotions, employment-scholarship opportunities, or even by offering teen-oriented LTOs on the menu, they stand to see both labor and customer gains. 3.  Teenage Foodservice Employees Like Outside-the-Box Incentives Still, other ways in which operators have to be creative with teen recruiting are completely in line with the cultural aspect. The digital-age cohort is conditioned to immediacy; like pay-on-demand and apps that make training, scheduling, and other communications quick and easy. Higher wages for hard-to-staff shifts can be attractive, as well as special rewards in partnership with other businesses in the community, from fitness centers to entertainment venues; even other food service operations that aren’t direct competitors. 4.  Teenage Foodservice Employees Offer a Unique Expertise As the restaurant industry continues to adopt more technology platforms, the evolution can seemingly outpace the technical skills of a seasoned staff. Comical but true, an infusion of teenagers born into the digital age can ease the pain. For them, fielding digital orders, managing social media pages, and even assisting coworkers with system interfacing and data inputs can be a no-brainer. They can do the heavy lifting in these areas and quite possibly troubleshoot when needed. At the same time, for the more old-school aspects of a commercial kitchen . . . 5.  Teenage Foodservice Employees Present a Reality Best Met with Simplicity For many teens, a position in foodservice will be their first job. And, while they can certainly grow in that position to the extent it becomes their career, those with the kind of work ethic and dedication necessary for a career are likely using the job as a springboard to something else. All this to say that, even for the upside potential of today’s go-getter teen labor segment, the longer learning curve of inexperience will always be a factor. To optimize this segment is to shorten that curve with workflow systems and food equipment specifically designed to promote efficiency and consistency, while also being user-friendly with minimal training needed. . . . which dovetails into this last point. 6.  Teenage Foodservice Employees Call for Labor-Law Diligence Arguably, this should’ve been the very first insight on this list. But, let’s face it, the topic of regulations isn’t the quickest way to engage a reader. So, instead, it’s an extremely important conclusion. Optimizing the teenage labor force absolutely begins and ends with staying up-to-date on local and state labor laws, as they vary across the country and change with relative frequency. But this doesn’t necessarily mean operators need to bury themselves in the books. From seeking out and specifying food equipment designed well enough to stand outside of regulatory age restrictions to leveraging technology that can assist with scheduling compliance for minors, all sorts of suppliers and resources can ease the hardship of compliance. The point is that, by keeping this issue top of mind, operators can preempt many regulatory challenges associated with teen employment.

The good news is that consumer perception of c-stores is dramatically shifting away from “gas station food,” especially among the Millennial and Gen Z segments becoming the dominant market share.With that perception, however, comes an expectation that must be sustained, not just by virtue of food quality, but also by offering a steady churn of new surprises.To that end, here are 4 investments c-stores should consider if they want to optimize this unstoppable trend. C-Stores Serious About Foodservice Should Invest in Culinary Expertise Outside of major national chains, culinary leadership is a missing piece for most c-stores and a glaring gap for those who want to compete directly against QSRs for consumer spending. Unlike the more transactional, purchase-and-resell categories of packaged food, tobacco, fuel and merchandise, foodservice originates within the c-store and involves a more nuanced management of inputs. In c-stores that own the future, the foodservice category will function like a restaurant in that it will be managed by someone with expertise in recipe creation and menu innovation, ingredient sourcing, equipment specifying, food safety, hospitality and food-oriented brand building. This piece by CSNews provides a fascinating breakdown of this role and its critical-factor importance that emanates from the foodservice consumer’s expectation now sitting firmly above “gas station food.” “‘Guests’ (relational) vs. ‘customers’ (transactional) are looking for quality, service, cleanliness, consistency, speed of service and variety—not to mention value and the ability to customize the food they might buy from you.” Dovetailing closely behind that . . . C-Stores Serious About Foodservice Should Invest in Made-to-Order Customization is a major part of this and a big c-store advantage over restaurants, particularly in a tough economy. But, in the spirit of that rising expectation for c-store foodservice, “freshness” also lends credence to this argument. CSNews’ 2024 Foodservice Industry Deep Dive Report reveals how freshness continues to climb and has pushed its way “into the top three factors consumers account for when buying prepared food.” At 40%, it came in right behind “food quality” (42%) and “price/value” (44%). Meanwhile, UniPro’s own 2024 Foodservice Report is even more directly compelling, citing a recent survey statistic that “66% of customers either agree or completely agree with the statement, ‘I wish I could get MTO food from a convenience store.’” Further reinforcing MTO options as a true pathway to owning the future, it’s no coincidence that 72% of those making this request “are members of Gen Z.” In light of this MTO demand, c-stores with the culinary perspective of restaurants can leverage their advantages over those same restaurants to create unique opportunities. Take our recently published blog on prepared snacks, for example. C-Stores Serious About Foodservice Should Invest in Food Promotions Again, it’s about shifting from a transactional to a more relational mindset, and one that elevates the quality and value distinction of the food the same way restaurants seek to do. Obviously, pricing will continue to be a component of promotions. c-stores that own the future will build on this with tactics that make food the centerpiece rather than a promotional kicker. They’ll showcase their food across everything from digital ads to pump toppers. They’ll talk to their dining market in real-time on social media and craft meals that are “Instagram worthy.” They’ll attend foodservice trade shows beyond NACS and explore menu-reach opportunities like food-centric sponsorships and restaurant-style popups. Dovetailing closely behind that . . . C-Stores Serious About Foodservice Should Invest in Loyalty The digital-app front runners are already moving beyond ordering and payment to marketing and loyalty, launching proactive, database-driven programs that personalize offers and fine-tune their timing. The irony here is that, compared to QSRs, convenience stores already demonstrate a stronger loyalty connection with their customers. The challenge is acquiring them in the first place. While c-stores lead in retention, with 80% of their loyalty members returning every month, versus 62% for QSRs and 58% for FSRs, they trail both for signups—only 35 per store per month against 110 for QSRs and 70 for FSRs. (Restaurant Dive, July 2024) The solution is to ramp up loyalty promotion alongside food promotion, including market engagement to research and improve offer relevance and leveraging such unique advantages as fuel and a broader product line that make c-stores a more necessary visit for consumers—especially in today’s inflationary environment, when even QSRs are struggling to attract with value.

up to 25% in revenue and traffic during months with successful LTOs.” (Datassential, Chain Competitor How to…, April 2024)Beyond these more common-knowledge advantages, however, are other ways to further expand the potential of your LTO strategy and optimize your investment.Here are 5 next-level tactics worth exploring. 1. Think Beyond Seasonal Whether it’s a pumpkin spice beverage in October, a BLT sandwich spin in August, or some other kind of calendar-based idea, seasonal-inspired LTOs will always have a place on the rotational menu for their popularity and potential. But, according to Datassential, “three factors rank above in-season items when piquing consumer interest: fresh ingredients, premium/high quality ingredients and new/unique flavors.” So, while creativity is the name of the game for LTO success (though, even marketable menu innovation can be simple), staying true to the authenticity of the eating experience goes much further to optimizing the payoff. 2. Think Beyond Your Pantry & Staff Among all the challenges operators associate with launching an LTO, getting staff trained to introduce and consistently prepare a new, temporary menu item tops the list. Yes, keeping the recipe simple by using a few ingredients you already source or by putting a little twist on a menu staple is one way to overcome this issue. But that doesn’t mean you have to stunt your innovative spirit. Beyond your pantry and your staff’s culinary experience are equipment solutions that can simplify preparation, effectively turning even the most unusual creation into a consistent kitchen routine. If you’re inspired, on the clock, tight on budget—or all of the above—and your search for one of these solutions comes up empty, thinking strategically applies here too. For example, does the equipment manufacturer have foodservice expertise? Or, is the equipment versatile enough to add value should the LTO not land on your permanent menu? 3. Think Beyond the Concept of Limited ‘Time’ Leverage the intrigue of an LTO to dine-in only and market it that way. It’s a hook with multiple benefits. First, it can capture more customers because off-premises orders often involve one person eating alone; whereas dine-in rarely does. It also allows you to explore LTO concepts in the traditional add-on, check-bump menu items that don’t typically make it into a to-go order bag—the appetizers, drinks and desserts that, incidentally, represent the fastest LTO comebacks in the post-pandemic rebound. 4. Think Beyond the Experimental Aspect In other words, market test before the market test by surveying your customers ahead of any initial LTO development. It’s a great way to get more out of your mobile-app investment and another reason to build your loyalty/rewards club. Alternatively (or in tandem), you can also simply ask patrons to answer a question or two on their bill. Still, yet another exciting opportunity is to research new concepts by way of a popup-style taste-testing event & promotion, which is a traffic draw unto itself. 5. Think Beyond Sales Think profits. “Offer” doesn’t necessarily imply “discount.” More than an opportunity to drive traffic and sales, LTOs represent an opportunity to expand margin. The creativity is the draw for its intrigue, but the quality (as reinforced by #1 above) has to be there. If it is, nudge the pricing higher. Consumers will pay for it, even in this inflation era, as purchase decisions become more about value than affordability.