August 8, 2016
Insights

Introducing Quantifind for Restaurants

The restaurant industry – including quick-serve, fast casual, and casual dining establishments – faces unprecedented challenges. Across the board, brands must compete with an increasingly complex and hard-to-anticipate set of competitors, offerings, and consumer preferences.

But a new offering from Quantifind — SIGNUM for Restaurants — eliminates those competitive blindspots, focuses marketers on revenue-driving insights, and sheds light on the best way to steal market share.

Restaurant Industry Trends

The last several years have seen an explosion of diversity in both restaurant concepts and menu choices, driven by changing consumer tastes as well as new innovative restaurants.

The 200,000 fast food restaurants in the United States generated $200 billion in revenue in 2015 and are expected to grow 2.5% annually for the next several years. They are coming back from a recent slump since the recession, but growing more slowly than their long-term average rate.

These restaurants are having a difficulty competing with the newer, alternative forms of food services, specifically fast casual restaurants. Restaurants such as Panera Bread, positioned somewhere between fast food (McDonalds) and casual dining restaurants (Olive Garden), offer freshly prepared, high quality foods in a more upscale and inviting atmosphere – thereby appealing to a growing number of diners.

What’s driving this trend lies in generational differences and tastes. People under age 30 (one third of the US population) increasingly favor not only the newer fast causal restaurants, but also full-service restaurant options according to the National Restaurant Association’s 2015 Restaurant Industry Forecast.

Several fast-food chains like Yum Brands and McDonald’s have taken action, innovating their menu items and offering healthier menu items, with varied results. The key is to know what does and doesn’t drive revenue, not only for your own brand, but for your competitors.

The New Competitive Landscape

In the continued “share of stomach” war for the more demanding and selective younger generations, several drivers have grown more prominent in driving restaurant sales:

  • Healthier, all-natural ingredients, free of GMOs and artificial flavors and colors
  • Locally-sourced food items
  • Diet-specific foods (e.g. gluten-free, vegan, paleo)
  • Regionalized food and franchise diversity
  • Stronger and exotic flavor options
  • Non-traditional locations, catering and delivery
  • Unique dining experiences
  • Technology (e.g. Wi-Fi, mobile ordering, mobile payments, etc.)
  • Good working conditions and “living wages” for employees
  • Operators are now forced to walk a tightrope between catering to these precise tastes and becoming too niche and alienating their traditional guests.

Eliminating Competitive Blindspots

To address the new competitive dynamic and subtleties that fast food, fast casual and fine dining marketers need to cater to, Quantifind has identified a number of common blindspots facing restaurant brands. We have focused on addressing:

  • Which demographics and interest groups represent the biggest opportunities to grow?
  • Where are Limited Time Offers driving sales, with which customer segments, and why?
  • What day-parts is my brand strongest or weakest in vs. my competitors and how can I grow them?
  • How is my brand performing relative to my category?
  • Which competitors are impacting my business the most, where, with whom, and why?
  • Where are my best opportunities to steal market share?

Signum for Restaurants

Quantifind’s Signum for Restaurants helps leading brands find signals in their data that tie directly to sales. Our intuitive explanatory analytics platform reveals not just what drives brand revenue, but competitors’ as well – and enables brands to discover their biggest growth opportunities.

“Quantifind helps us discover new ways to understand our business. The platform filters out noise and focuses on the data patterns that correlate most closely with our business KPIs. It’s a highly differentiated approach that helps Taco Bell continue to understand our customers.”

Lynn Hemans, Sr. Director of Business and Social Intelligence, Taco Bell

Signum for Restaurants solution includes:
  • 80+ leading brands across Quick Serve, Fast Casual, and Casual Dining restaurants
  • More than 700 million consumer conversations spanning the last five years
  • 5 million purchase transactions from 50,000 consumers
  • 15 demographic classifications (Gender, Age Groups, Ethnicities, Geographies)
  • 40+ interest groups (with more available on request)
  • 50 discussion topics (e.g. menu items, meals, price, service, operations, etc.)