Over the past few years, restaurant operators have had to deal with multiple constraints – smaller, more streamlined menus, a shrinking supply of ingredients, and labor challenges that have made it difficult to innovate. But according to Technomic’s recently released State of the Menu 2024 report, which is based on input from the top 500 chain restaurants, limited-time offerings are helping to address a number of these issues – and are a growing area of focus in restaurants for that reason. Technomic’s research found that from 2020 to 2023, LTOs increased by 52.7 percent. These short-lived offers can give restaurants freedom to innovate, so brands can retain their streamlined core menus but pour some creativity into a special. They give restaurants a chance to offer premium ingredients or special presentations that can motivate guests to visit and help restaurants boost the value of the experience they provide. To be sure, LTOs require planning and resources to be successful, though work-arounds are emerging in that area. (Premier, for one, recently launched a Menu Innovations Program for its members that includes a prepackaged LTO concept each quarter. It includes everything an operator needs to prepare an LTO for launch, from recipes to marketing materials.) Is there room for your restaurant to use more LTOs to drive innovation in the kitchen – as well as improve guest engagement? Looking back at the past year can reveal some clues as to what we can expect in the year ahead. For many restaurants last year, food became more creative again as restaurants looked for ways to provide fresh experiences to guests while sticking to small core menus and tight budgets. One approach restaurants used accomplished this – and are likely to use again this year – is offering a rapid progression of limited-time offers. Technomic research found that in October alone, restaurants introduced more than 2,200 new menu items, of which a whopping 93 percent were limited-time offers. These items are vehicles that enable restaurants to inject something new into the menu on a frequent basis. Restaurant Business reported that some restaurants have been offering limited-time menu items with shifting seasonal ingredients, variations on core menu items, and more innovative items that allow chefs to test potential new offerings or show off a skill that might not have a chance to shine on a core menu. As you look ahead to the rest of the year, are there opportunities to more frequently change up your offerings with items that can refresh the experience you offer guests? Every season has its signature flavors, local specialties and guest cravings ― and as Starbucks demonstrated with its relaunch of its pumpkin-spice latte in August (when much of the U.S. was still sweltering in temperatures in the 80s and 90s), you have a number of weeks before and after the season to build momentum around a menu item’s comings and goings. Tapping into your POS data can help you capitalize on remaining seasonal ingredients in your inventory as you make way for foods that will help you build your next seasonal menu. Use it to pinpoint which ingredients you’re using in each dish and how quickly you’re using them, which can help you plan upcoming specials and avoid disappointing guests looking for a particular item. If you have a surplus of apples this fall, for example, try creating a special, low-priced menu item around them that you won’t be offering for much longer. Limited-time offers (LTOs) can not only help you use up this season’s inventory but also bring loyal guests back and get them excited about what’s coming next. As David Portalatin, food industry adviser at NPD, told Marketwatch, “A well-executed LTO can boost sales and serve as a competitive edge for restaurant operators and help food service manufacturers test new products and concepts.” Use the weeks before your menu changes to promote future items: Share samples with guests, collect feedback about what’s going over well and what needs adjustment, and consider offering an on-trend promotion that will bring guests back when you launch next season’s menu
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