Technological Developments and the Foodservice Industry
Advances in technology are changing the way many industries are doing business. Technology is becoming more widespread within industries; coupled with cheaper costs technology is forming a viable and more effective way for companies to do business. The use of the internet for business transactions has provided a platform from which businesses can make the transaction easier and more accurate, thereby reducing customer frustration. Lower frustration means a better experience for the consumer. One industry that has made some of the most changes due to technology is the foodservice industry.
Two Technological Advances
The mission of the foodservice industry is to efficiently bring the product, food, to the consumer. Technological advancements have not altered this basic framework, rather the way that transactions take place between the vendor and the customer. What used to be a face-to-face interaction between vendor and customer is being replaced by electronic interaction via the Internet and cell phones. The pizza delivery and sports stadium foodservice markets are two prime examples of how technology is changing the way that consumers are experiencing food.
Companies such as Domino’s Pizza and Pizza Hut have long benefited from the convenience created by the traditional pizza delivery model. Customers typically decide on what they want to order, pick up the telephone, and place an order with one of these companies. Anywhere from 30 minutes to an hour later, a deliveryman shows up, drops off the order, and collects payment. Today, the Internet is playing an increasing central role by replacing the telephone in this model. Now, a customer logs onto a companies website, “builds” their order, and pays via credit card. After that, the transaction occurs exactly as before.
Using the Internet in this scenario creates several advantages. “It's a very powerful tool which allows us to take an order...