Forget the classic buffet of stale, day-old fare once prevalent in America’s casinos. The dining landscape in these establishments is now just as competitive and diverse as the world beyond blackjack tables and slots. In casinos, excess is everywhere. People expect an array of choices for gambling, entertainment, and, of course, food. That’s why several quick-service operators are investing in the space.
Acquiring new restaurant technology can be a tricky business. Because of ever-decreasing prices, an operator may not want to be the first to buy a new application or software system. Plus, no one wants to invest in untested equipment, regardless of its technological prowess.
As with many nontraditional settings, college campuses have a lot of built-in advantages. There’s a captive audience of busy, hungry students with disposable income. But getting a quick-service brand into the college environment isn’t a sure thing. Competition is stiff, and college students are more discriminating than ever.
For years, Richard Pink mused about expanding his family’s iconic Pink’s Hot Dogs beyond its famed Hollywood location. But he was turned off by the daunting idea of building out the company, hiring more employees, and keeping tabs on franchisees. So he found another way.
Forget the rock-hard pretzels and suspicious-looking hot dogs that cart vendors were once known for. Nowadays, the mobile foodservice space is populated by specialty coffee concepts, gourmet popcorn carts, and Korean barbecue on wheels. And business is booming for these operators as they look to economize and get in front of consumers in new ways.
It might seem like quick-serve concepts and hospitals are headed for an epic breakup, as some brands have come under fire for their presence in places meant to heal. The American Hospital Association labeled unhealthy foods “environmental inconsistencies,” whether they’re served out of vending machines, cafeterias, or franchised units in hospital food courts.
Grab-and-go items, once a staple of nontraditional spaces like college campuses and airports, have gone mainstream.
Today, operations ranging from convenience stores to standalone quick-service restaurants are adding prepackaged items like fresh carrots with ranch dip, pre-made chicken wraps, or yogurt parfaits. And they’re doing so for a good reason: Every day, 28 million Americans eat a grab-and-go snack, according to data from consumer market research firm The NPD Group.
Once slandered as the “B word,” bankruptcy is finding new life as an opportunity for new beginnings. Blue-chip brands like Eddie Bauer, Delta Air Lines, and the Chicago Cubs are among the list of house-hold business names that have filed for bankruptcy in modern times, times in which even city governments—the most notable being Detroit—have looked to bankruptcy to solve fiscal woes. Those once-bankrupt American institutions, along with more than 1 million personal bankruptcies each year, suggest that the “B word” may have has lost at least some of its bite.
In the last few years, Wall Street has shown an increased appetite for restaurant companies as a whole, and it’s fast-casual brands in particular that increasingly grab investors’ attention.
That was perhaps no more evident than in 2013, when enthusiasm for fast-casual restaurant concepts reached new heights with gangbuster initial public offerings (IPO) from Potbelly and Noodles & Company. The IPOs raised about $100 million each, and stock prices of both companies more than doubled on their opening days of trading.
Gone are the days of big-box fast-food joints, sterile plastic booths, and mystery kitchens. Limited-service brands are getting makeovers, and the results are sleeker, more attractive restaurants that are giving customers even more reason to trade down from full-service experiences.