Top Tech: Food Hall Edition
2023 Guide to the Essential Technology for a Profitable Food Hall
Navigating the path to a successful food hall operation involves choosing the right technology from the start. As the landscape of available platforms evolves, the selection and installation process for this wide range of interdependent systems can be daunting. Add to that the importance of identifying many of these systems well in advance of the opening date. However, having these basic “hard systems” selected and specified from the start will not only ensure accurate costs before opening but also avoid the costly consequences of retrofitting these systems after construction is complete. Choosing the right technology will lay the foundation for operational excellence, cost savings and best-in-class customer experience. The following article explores the key systems that need to be "hard-wired" into your food hall and some of the key software platforms that can be added once the build is complete. Let's get started...
HARD-WIRED SYSTEMS
The following are operational systems that are best implemented during the build-out of your food hall. While many different software platforms can be added after, the more complex systems often require hard wiring, power, and dedicated spaces within the operation. Here are the systems you want to select before construction starts:
WIFI
Easy access to high-speed Wi-Fi is not only essential to your communications systems but is a basic customer expectation of any food hall. When planning your IT infrastructure, keep in mind that at least two separate WIFI systems will be needed – one for guests and one for operations, so make sure to factor this into your pre-opening budget. For efficient operation of the guest WIFI, integrate guest tracking and email capture into the guest connection. Capturing this information will allow you to build valuable mailing lists for future marketing efforts. However, be sure to comply with automatic opt-in requirements to avoid breaking anti-spam laws. By seamlessly combining these WIFI systems, you will improve customer satisfaction and communication efficiency while easily meeting their digital needs.
POINT OF SALE (POS)
Easy access to high-speed Wi-Fi is not only essential to your communications systems but is a basic customer expectation of any food hall. When planning your IT infrastructure, keep in mind that at least two separate WIFI systems (these can be VLANs on the same WiFi system to cut down costs) will be needed – one for guests and one for operations, so make sure to factor this into your pre-opening budget. For efficient operation of the guest WIFI, integrate guest tracking and email capture into the guest connection. Capturing this information will allow you to build valuable mailing lists for future marketing efforts. However, be sure to comply with automatic opt-in requirements to avoid breaking anti-spam laws and make sure to comply with any local GDPR laws to ensure sensitive customer information is not compromised. By seamlessly combining these WIFI systems, you will improve customer satisfaction and communication efficiency while easily meeting their digital needs.
Technical considerations should include:
Ease of use (for vendors and guests)
Hardware durability
Programming flexibility
Back-end reporting
On-site support
Cash handling and financial reporting
Seamless integration with essential 'plug-in' technologies, such as delivery apps, buzzer/pick-up systems, and loyalty programs, is another crucial feature to minimize additional customization costs. (Short List: GoTab, Clover, Toast, Square, Lightspeed, Tevalis)
SELF-ORDERING KIOSKS
Self-ordering kiosks are an emerging trend in Food Halls, offering customers a seamless and convenient way to place their orders. While these units create a fast and efficient ordering process, they do tend to cut down on the exploratory aspect of the Food Hall experience – so it is both an experiential and operational decision. Nonetheless, many operators have found success with these units that allow your guests to browse menus, customize their meals, and complete transactions at the screen, reducing wait times and improving order accuracy. By streamlining the ordering process, self-ordering kiosks give your guests the ability to skip the line at each vendor and pay multiple vendors with a single purchase. This can lead to increased second orders and beverage sales for your business. It is important to make sure that these touchscreen units seamlessly synch with your Point-of-Sale System to avoid costly integration charges or missed orders. (Short List – all with POS options: Toast, Lightspeed, Square Kiosk Buddy)
DIGITAL VIDEO SCREENS & CONTENT MANAGEMENT SYSTEM
Digital entertainment and advertising are critical components to driving footfall and capturing incremental revenue for your food hall. Below are the critical components to build into the experience from the start.
Large-scale video screens strategically placed in the dining areas create an engaging and dynamic atmosphere. Customers can take advantage of branded content created for vendors, making each vendor kiosk stand out and leaving a lasting impression on visitors. Additionally, the ability to stream televised events such as sports, news, and entertainment provides entertainment value and keeps customers entertained and engaged while dining.
Digital Advertising Screens with Smart Screen Technology: Incorporating smaller digital advertising screens with smart screen technology in various places throughout your food hall can pave the way for significant additional revenues. (See Unleashing the Full Profit Potential of Your Food Hall ) By blending branded food hall content with advertising spots on these smaller screens, your business can attract advertisers looking to reach a captive and diverse audience of diners. The data gathered from integrated “smart screen” technology allows the food hall to track customer engagement with the video screens and offer concrete metrics to potential advertising customers and brands, making it an attractive advertising platform.
Content Management System: The content management system serves as the backbone of the entire digital video display network. Its seamless toggle functionality between branded content, advertising content, and local programming ensures the food hall can adapt to different events, promotions, or seasons. This flexibility is essential in capturing future advertising revenue as it allows for customization and targeted advertising opportunities. (Short List: Signage live, Spinetix)
SECURITY & FOOTFALL CAMERAS
Security cameras are an indispensable component of any food hall, serving multiple purposes to ensure safety, deter theft, and create operational visibility for food hall managers and vendors. Not only are they often a requirement by insurance companies, but they also contribute to cost reduction by deterring theft and creating a sense of security for guests. While security cameras provide crucial surveillance, the most effective strategy is to integrate them with footfall-tracking software for an added layer of capability.
Footfall tracking software gives your food hall invaluable business intelligence data to support operations and help establish other revenue streams (like digital advertising) for your business. Some of the benefits are:
Calculating the business conversion ratios.
Understanding guest usage patterns within the space.
Pinpointing the business volumes to allow for tighter staffing levels.
Establishing the guest dwell times for different dayparts.
Building these units during the development phase will reap rewards over the life of the business. (Short List: Countwise, Camlytics, VCount, SMS Store Traffic, Cisco Meraki)
PAGER SYSTEM FOR FOOD PICKUP
These easy-to-use and intuitive buzzer systems for food pick-up can be acquired from various online vendors at a reasonable cost. However, make sure that whatever system you choose has an existing integration with your Point-of-Sale system. Custom integration can be expensive, so selecting a system that works harmoniously with the existing POS is essential to avoid unnecessary costs. It is also important to thoughtfully design the placement and housing of these pager units at each vendor kiosk. Unsightly buzzer systems strewn about the counter can create a negative impression on guests. Instead, try to integrate the power and housing for these units discreetly out of sight to maintain a clean and organized appearance for customers.
Additionally, ensuring that the pager system offers a notification option via text messages to guests further enhances its convenience and functionality. By providing this alternative, the need for physical buzzers is eliminated, streamlining the pickup process. Moreover, collecting guests' phone numbers through the notification system presents an opportunity for future marketing efforts and building customer relationships. (Short List: Aidbell, Pager Genius, Pagertec, LRS)
MUSIC & LIGHTING
In a food hall, music, and lighting play important roles in shaping the overall guest experience. Investing in top-quality systems is essential to create the right ambiance that activated all dayparts and keeps your guest coming back.
Music Streaming System
The music streaming system that you specify will have a big impact on the atmosphere of your food hall. The right music system can set the perfect baseline of energy that enhances the overall experience, while a low-quality set-up may become nothing more than a distracting layer of static. To ensure an exceptional music experience, consider the following tips:
Overbuild the Speakers: Taking inspiration from nightclubs, opt for oversized speaker units and mount them off the walls rather than embedding them in ceiling tiles. This design choice allows the speakers to be operated at a volume level of 5 or 6, producing a crystal-clear soundscape that guests can still comfortably talk above.
Inclusive Licensing Fees: make sure that your chosen background music provider handles all licensing fees with music royalty agencies on a song-by-song basis. This proactive approach prevents unexpected bills from the plethora of predatory music licensing agencies while keeping your music system legally compliant.
Curate Music Selections by Daypart: make sure your music service allows you to tailor your music playlists based on different parts of the day, aligning the music selections with the energy levels during those periods. Look for a service with an app that allows you to provide in-the-moment feedback on your playlist to keep the music selection fresh and on brand for your food hall. Ideally, the music selection even reflects local taste in music. This thoughtful programming adds a dynamic touch to the food hall experience and keeps the atmosphere at the right levels throughout the day. (Short List: GrayV, Soundsuit, Sirius XM for Business, Mood Media, TALEA)
Lighting System
There are three key components to consider when designing the lighting system for a food hall.
.Day Part Lighting: The ability to change the lighting to match the requirements for the time of day is essential. A system that can be programmed or integrate the use of an astronomical clock and/or daylight sensors, to automatically adjust the lighting throughout the day is ideal, as it eliminates the reliance on the manager on duty to manually adjust the lighting. This versatility allows for a seamless transition from a vibrant and energetic atmosphere during peak hours to a more relaxed and cozy setting during quieter periods. Slow, gentle transitions between lighting levels should be used to avoid altering guests.
Color temperature: Playing a vital role in the food presentation and the appearance of guests, choosing the right color temperature of lighting is critical. Remember to have your lighting designer select lights that maintain a consistent color temperature across different fixtures and are specifically chosen to complement the food's presentation and the guests’ appearance. Avoid raw fluorescents and certain LEDs that make food appear unappetizing and guests look pale. Including warm-toned lighting as a specification in the lighting plan can create an inviting and flattering ambiance for all visitors. Position of lighting is also crucial to ensure the reduction of possible shadowing on dishes while customers take photos for their social media.
Zoning: All of the different areas within your food hall, such as the bar, restrooms, and dining room, will each require a distinct lighting scheme to set the right mood. Having the ability to raise and lower the lighting levels in different zones allows for tailored lighting experiences in each area, enhancing the overall visual appeal and atmosphere of the food hall.
By carefully considering these components and incorporating them into the music and lighting systems, you can create an environment that makes your food hall a sought-after destination for foodies and socialites alike.
PHONE CHARGING STATIONS & CONVENIENCE OUTLETS
Providing easy ways for your guests to charge their mobile devices is no longer optional, so make sure you build this into your food hall’s infrastructure. There are a couple of ways to integrate phone charging solutions into the food hall design.
First, consider providing charging lockers where guests can safely stash their devices while charging. These units are available for purchase and offer a safe and convenient solution to this universal issue. Unfortunately, these units can also look pretty functional and unappealing, so make sure to design them thoughtfully in the interior. (Short List: ChargeTech, KwikBoost, LocknCharge)
Another way to accomplish this is to sprinkle convenience outlets throughout the space. Place the outlets only in areas where you want guests to linger or in sections that are typically harder to fill up. That way, you can maximize your available space, encouraging guests to spend more time and enjoy their dining experience. Another popular approach is to place outlets under the bar counter and at integrated outlets built into communal tables. During the day, the outlets can be open and readily available for guests to charge their devices, and during busier times or in the evening, they can be discreetly hidden, maintaining a clean and clutter-free appearance. These thoughtful amenities elevate the overall experience, making your food hall a preferred destination for digital natives.
DEDICATED IT ROOM
Having a dedicated IT room might not be the most exciting thing to talk about, but it is a super important component for running a smooth food hall operation. Make sure you've got a secure and temperature-controlled space, far away from all grease, heat, and drainage common to all food halls. The last thing you want is your critical back-end systems (like WiFi, POS, Music, or Lighting) getting knocked out, causing major downtime, which costs the business money. So, don't skimp on a small IT room, and make sure you plan it right from the get-go. Centrally locating your IT & AV room may not be possible, and having only one may mean individual line lengths are excessive, so you may need to consider a main room and one or more satellite rooms.
BACK OF THE HOUSE WORKSPACE
An often underestimated yet indispensable component of every food hall is the Back of the House (BOH) workspace and management office. This unassuming backstage area plays a pivotal role in ensuring the seamless functioning of the food hall, serving as the operational nerve center for the business.
A well-designed BOH workspace isn't a one-size-fits-all endeavor and should include individual workstations appropriate to the size of the management team. Each workstation should come equipped with work lighting, ergonomic office furniture, plenty of power outlets, and dedicated WIFI to pave the way for the smooth and efficient operation of the business. The space should also include a secure General Manager's office, outfitted to provide a small amount of privacy and security not only for concentrated work but for HR conversations, cash handling, secure filing, and the food hall’s security camera back office station.
By strategically incorporating these hard systems during the construction phase, your food hall will be equipped to optimize efficiency, customer satisfaction, and ultimately, profitability.
SOFT SYSTEMS
These systems are equally important to maximize the revenue potential for your food hall, but they are much less difficult to swap out that the ‘built’ systems above. Below is a brief overview of some software essentials that any operator should keep in mind:
MARKETING SOFTWARE
There are a variety of software platforms available to help your business with marketing, social media, and advertising. Here are some must-haves:
·Website Building Software: While there are companies who will manage this on your behalf, the ability of your team to update the vendors and events on your website is critical. Keeping this information accurate and up-to-date will build confidence in your business and encourage guests to check back to find new events and activations. Make sure that whatever back-end system you use to create your website has an intuitive and easy-to-use interface that your management team can absorb. A beautiful or overly complicated website that you cannot update is of no use to anyone. (Short List: Squarespace, Bento Box, Wix, WordPress.)
Social Media Planner: Many food hall operators use social media as their primary marketing vehicle. Making these different channels work for your business requires visibility on the impact of different posts, as well as coordination of the content as it goes out. Implementing a social media tracker and coordinator will give you confidence that your efforts on social media are working and are impactful for your business. (Short List: Sprout Social, Hootsuite, Trello)
Email Marketing Platform: One of the most effective platforms for any food hall, email marketing also requires an easy-to-use platform to create content and manage subscriptions. Fortunately, there are a wide variety of low-cost, off-the-shelf solutions that work great and will keep you in compliance with local anti-spam laws. (Short List: Constant Contact, Brevo, Zoho Campaigns, Mailchimp)
QR CODES
QR codes have emerged as a transformative tool for the restaurant and food hall industry, streamlining operations and providing a much-needed contactless ordering platform during the pandemic. Now that guests are once again comfortable with communal dining experiences, QR codes have morphed into a way to enhance the food hall offering with a new assisted service model. This innovation allows guests to order, pay and have food delivered to nearly any location within a food hall – without having to get up or wait in line. While this model does require additional staffing for food runners throughout the space, QR codes can allow your guests to easily order drinks, second servings, or desserts all on one tab without having to get up from their seats or stand in line at a stall. This is great for families or people with mobility issues as they can enjoy more of a full service experience. A great option to add into the food hall experience after opening.
(Short List: MenuQR, Toast, Zomato, and Square.)
COMMUNICATION PLATFORMS
With dozens of vendors, staff members, managers, and support personnel, keeping everyone in your food hall informed and aligned can be a major challenge. The following systems can help herd the cats within your organization:
·Staff and Vendor Communication – Setting up several low- to no-cost text channels is probably the most effective way to keep all the different players in the loop for moment-to-moment updates. Busy vendors and line staff often do not have time to check their email, but a quick text or chat notification will get read within minutes. Consider setting up multiple chat channels on a single platform – One for managers, one for staff, and one for vendors. (Short List: WhatsApp, Slack, Google Chat)
Scheduling Software: Another essential software for food hall operators, these tools allow your staff to create work schedules, clock in and out, communicate schedule changes, and request and approve time off all from a smartphone or desktop computer. (Short List: 7Shifts, Sling, Deputy)
Maintenance Tracking: This software allows your team and your vendors to log maintenance issues into a tracking software and see, in real-time, the process in place to resolve these issues. It also allows your management team to follow up on outstanding issues and take corrective action. It can be an effective and low-cost solution to coordinating all maintenance requests and actions in one place. (Short List: MaintainX, UpKeep, Fiix, Maintenance Connection)
EVENT MANAGEMENT SOFTWARE
A game-changer for any food hall company looking for group events. This software supports the entire event management process and includes lead generation, booking status, BEO creation, internal staff and vendor communication, sales tracking, and digital marketing. Highly recommended for food halls going after the group customer. (Short List: Tripleseat, Eventsquid, Eventbrite)
CONCLUSION
Harnessing the power of the latest technology is a great way to prepare your food hall for operational excellence, seamless guest experiences, and enhanced revenue streams. By integrating hard-wired systems with adaptable software platforms, food hall entrepreneurs can not only navigate the complexities of the industry but also redefine it, ensuring that every visit to their establishments is a tantalizing fusion of culinary delight and cutting-edge innovation.
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A very special thank you to technical services expert Bruno Veninga for his invaluable contribution to this article (and for introducing me to much of the content above).
Onset Hospitality is a high-impact hospitality and restaurant consulting firm specializing in new builds, acquisitions, repositioning projects, and mixed-use developments. We offer a comprehensive suite of development services including market analyses, food and beverage programming, concept development, chef partnerships, and ongoing operational support. With Onset Hospitality's expertise, businesses can navigate the complexities of the new build developments, maximizing the value of the asset and ensuring exceptional experiences for the life of the project.
