Restaurant Industry Trends: What Operators Need to Know for 2026 and Beyond

The restaurant industry is having a moment—and not entirely the kind anyone would choose. On one hand, the numbers look promising: the National Restaurant Association projects $1.5 trillion in restaurant sales for 2025, a 4% bump from the same period last year, with 200,000 new jobs bringing total employment to 15.9 million. That makes restaurants the second-largest private-sector employer in the country.

On the other hand, restaurant operators are juggling more pressures than a circus act: food costs that keep climbing, labor market challenges that refuse to quit, shifting consumer preferences, and economic uncertainty that makes planning feel like guesswork. Roughly 61% of operators reported traffic declines between 2023 and 2024, and over a third said their restaurants weren't profitable last year. Even some legacy brands are showing cracks under these economic pressures.

As Michelle Korsmo, president and CEO of the National Restaurant Association, put it: "The fundamentals of the restaurant industry are strong, and operators are optimistic about the year ahead. Growth will come from restaurant operators finding the balance of value and experience for consumers, and innovating breakthrough efficiency in their operations."

That balance is exactly what this guide is about. We're going to dig into the key trends and restaurant industry trends shaping 2025—from AI and automation to menu innovation, from sustainability to solving the ongoing labor puzzle. Whether you run a full service restaurant, a quick service restaurant, casual dining spot, or something in between, you'll find actionable insights to help you stay ahead of what lies ahead.

1. Technology integration and digital transformation

Remember when the fanciest technology in a restaurant was a digital cash register? Those days feel like ancient history. In 2024, 73% of restaurant operators increased their technology investments, and that momentum hasn't slowed. The restaurants pulling ahead aren't just buying gadgets—they're building systems that connect every part of their operation. Technology adoption continues its upward trend across all segments.

Online reservation systems and table management

The phone used to be the lifeline between your restaurant and your customers. Now it's often a bottleneck. Modern reservation systems do more than book tables—they track guest preferences, predict no-shows, and optimize seating to squeeze every dollar from your floor plan.

The real win? Commission-free direct bookings. When guests book through your website or Google profile instead of third-party platforms, you keep more revenue and build a direct relationship. That guest data becomes gold for personalized marketing down the road. Some operators are seeing table turnover improve by 15-20% just from smarter seating algorithms. Platforms like EatApp let restaurants accept reservations directly from their website, Google Business Profile, and social media channels—all without paying per-cover fees to aggregators.

QR code menus and contactless ordering

QR codes were the pandemic's unexpected gift to restaurants—and they're sticking around. Beyond the hygiene benefits, digital menus let you update pricing and menu offerings instantly, run dynamic promotions, and upsell with photos that paper menus can't match. Plus, when customers order from their phones, your staff can focus on hospitality instead of order-taking.

The key is making sure the customer experience doesn't feel impersonal. The best implementations use technology to free up staff time for genuine human connection, not to replace it entirely. Many restaurants are finding success with contactless dining solutions that balance efficiency with hospitality.

Point-of-sale system innovations

Today's POS systems aren't just cash registers—they're command centers. They track inventory in real time, flag potential food waste, manage labor scheduling, and generate reports that used to require a dedicated accountant. The integration is the magic: when your POS talks to your reservation system, your inventory, and your marketing platform, you get a picture of your business that was impossible just a few years ago.

Yet 42% of operators still rely on pen-and-paper or spreadsheets for scheduling, inventory, or sales tracking. That manual approach worked when margins were fatter, but with rising costs squeezing every percentage point, those clunky workflows are costing real money.

Mobile apps and loyalty programs

Loyalty programs have evolved beyond punch cards. The most effective ones today integrate with your POS, track consumer behavior across channels, and deliver personalized offers that actually move the needle. Here's a stat that should get your attention: increasing customer loyalty by just 5% can grow lifetime profits per customer by up to 86%, according to Brand Keys data.

The trick is making your program worth joining without giving away the farm. The best loyalty programs offer real value—early access, personalized recommendations, birthday surprises—without training customers to expect constant discounts. Maintaining customer loyalty requires this delicate balance.

2. AI and automation in restaurant operations

Artificial intelligence has moved from science fiction to daily reality in restaurants. According to Deloitte's State of AI in Restaurants Survey, 63% of restaurants now use AI daily, and 82% of executives plan to increase their AI investments in the next fiscal year. This isn't about robots replacing cooks—it's about smart systems handling the tedious stuff so humans can do what humans do best.

AI-powered chatbots and voice ordering

Drive-thru AI has had some public stumbles (bacon on ice cream, anyone?), but the technology is maturing fast. Brands like Taco Bell have rolled out AI voice ordering across hundreds of locations, processing millions of orders and reducing wait times. The key is starting small: AI handles the routine orders while humans step in for complex requests.

Ed Lee, managing director at Deloitte Consulting, explains it well: "Even if you aren't ready for robotics or fully automated workflows, automating a few high-impact steps with AI-powered technologies can help to transform the kitchen. You can work more efficiently without increasing headcount—and your employees could have a better experience, too."

Predictive analytics for inventory and forecasting demand

Forecasting demand used to mean looking at last year's numbers and hoping. AI in restaurants changes that equation entirely. Machine learning models can factor in weather, local events, social media buzz, and dozens of other variables to predict what you'll need before you need it.

Chili's reported saving 600 labor hours weekly through improved forecasting accuracy. When you're running on thin margins, that's the difference between profit and loss. The practical starting point: pick one area—say, prep scheduling—and test an AI tool there before rolling out across kitchen operations.

Kitchen automation and robotics

Kitchen robots are no longer curiosities—they're working tools. From burger-flipping machines to automated pizza makers, these systems excel at repetitive tasks that are hard to staff consistently. They don't call in sick, don't get burned, and produce remarkably consistent results.

That said, the economics only make sense for high-volume operations with standardized menus. If you're running a 50-seat bistro, a $100,000 robot probably isn't your answer. The real kitchen automation opportunity for most restaurants is in prep—automatic slicers, portioning systems, and inventory tracking that catches waste before it hits the trash.

AI-driven personalization and marketing automation

This is where AI really shines for restaurants of all sizes. Tools like Toast IQ can analyze your sales data and suggest menu optimizations, identify your most profitable customers, and automate marketing that feels personal without requiring a marketing team. One restaurant owner reported completing a menu rework in three hours that used to take weeks.

The 41% of operators who say they're extremely likely to adopt AI forecasting tools aren't chasing restaurant trends—they're chasing margin. In an industry where 3-5% profit margins are normal, the operational efficiency gains from smart restaurant automation can double your profitability.

3. Sustainability and eco-conscious dining

The National Restaurant Association named "Sustainability and Local Sourcing" the number one trend in its What's Hot 2025 Culinary Forecast. That's not an accident. One in three consumers says recycling and waste reduction initiatives influence where they choose to eat, with Gen Z being the most sustainably aware group of diners.

Local sourcing and farm-to-table practices

"Local" has become a selling point, but it also makes practical sense given supply chain disruptions in recent years. Restaurants that build relationships with regional farmers often get fresher ingredients at competitive prices while creating stories that resonate with guests. Strong supply chains built on local partnerships have proven more resilient over the past few years.

The key is authenticity. Customers can smell greenwashing a mile away. If you're highlighting local sourcing, be ready to talk about your suppliers by name. Some restaurants have even started "know your fisherman" programs that connect diners directly with the people catching their seafood.

Food waste reduction strategies

Food waste costs the average restaurant 4-10% of food purchases. That's money literally going in the trash. Smart operators are attacking this from multiple angles: better portioning, creative use of trim and scraps, dynamic menu pricing to move items before they spoil, and donation partnerships that turn waste into tax deductions and community goodwill.

The technology tie-in matters here too. AI-powered inventory systems can predict what you'll need with much greater accuracy than gut feel, reducing both waste and the dreaded "86" moments when you run out of a popular dish mid-service. Restaurant analytics can help identify patterns in waste and optimize purchasing decisions.

Sustainable packaging and eco-friendly operations

With delivery and takeout now representing a significant chunk of restaurant sales, packaging matters more than ever. McKinsey research shows roughly half of consumers are open to paying more for eco-friendly packaging. The challenge is finding options that are genuinely sustainable, affordable, and practical for your operation.

Asia is leading the way here—McDonald's locations in South Korea are using cups and lids made from recycled plastic bottles, while Singapore locations have switched to eco-friendly tableware. American operators are catching up, with more options hitting the market every month.

4. Online ordering and third-party delivery evolution

A majority of adult diners (82%) plan to order delivery in 2025, according to the NRA. That's not going away. But the relationship between restaurants and delivery services is evolving—and smart operators are taking back control.

First-party vs. third-party delivery platforms

DoorDash holds about 67% of the U.S. food delivery market share. Those platforms bring visibility and convenience, but commission fees of 15-30% eat deeply into margins that were already thin. More restaurant owners are investing in their own ordering systems—apps, websites, and even text-to-order options—that let them keep more of each sale while building direct customer relationships.

The winning strategy for most isn't either/or—it's both. Use third-party platforms for discovery and new customer acquisition, but incentivize direct ordering through loyalty programs, exclusive menu items, or simple price advantages.

Ghost kitchens and virtual restaurant brands

Ghost kitchens—delivery-only operations without customer-facing space—peaked during the pandemic and have since normalized. They're not replacing traditional restaurants, but they're carving out a permanent niche. For existing restaurants, virtual brands offer a way to reach new customers without new real estate.

Here's a practical test: take your best-selling item and ask whether it could stand alone as a delivery concept. Some operators have found success launching virtual brands from existing kitchens, capturing incremental revenue with minimal additional cost.

5. Menu innovations and food trends

Menu innovation has returned to the global restaurant industry after years of pandemic-era caution. But here's the thing: diners aren't looking for the same old industry trends dressed up differently. Maeve Webster, president of Menu Matters, found that the overriding need state for 2025 was simply "just give me something new." Consumers are looking for experiences that wake them up and show them something unexpected.

Plant-based and flexitarian menu options

Plant-based meat alternatives had their moment in the spotlight, but the conversation has shifted. It's less about replacing meat entirely and more about offering creative options that appeal to health-conscious diners regardless of their dietary identity. Meatless sushi, cauliflower steaks, and protein-boosted salads are winning over omnivores who simply want variety.

The protein trend is real: Technomic reports 45% of consumers have increased beef consumption specifically to add more protein to their diets—up from 32% a few years ago. Chains like Sweetgreen and Panda Express are responding with protein-centric meals marketed around their nutritional profile.

Health-conscious and functional ingredients

The wellness movement has changed how diners think about restaurant food. Functional ingredients—those with specific health benefits beyond basic nutrition—are showing up everywhere from smoothie bars to fine dining. Adaptogens, probiotics, and anti-inflammatory spices are no longer just health food store territory.

The GLP-1 weight loss drug phenomenon has pushed protein even further into the spotlight. Restaurants are adding protein counts to menus and fortifying items in unexpected places—lattes, pancakes, even desserts. Technomic notes that 41% of consumers are more likely to try a unique flavor if it promises health benefits.

Global flavors and fusion cuisine

Consumer appetites for global flavors continue to grow, reflecting shifting consumer tastes and shifting tastes across demographics. Korean influences, African grains like injera, and mashups that blend cultural traditions are all gaining traction. The most interesting development is what Technomic calls "inherivation"—taking inherited cuisine traditions and adapting them for contemporary tastes.

Think modern adaptations of traditional mix coffee in South Korea, or Mexican restaurants rethinking classics like chiles en nogada for current diners. Even comfort foods are getting this treatment—omakase-style approaches applied to burgers, fried chicken, and pizza.

Limited-time offers and experiential dining

LTOs aren't new, but their strategic importance is growing. With 72% of consumers actively seeking value menu options, limited-time offers give restaurants a way to drive foot traffic without training customers to expect permanent discounts. The FOMO factor works: when something is available for only a few weeks, people show up.

Pop-up concepts and tasting events are gaining momentum too. About 70% of adults—including 79% of Gen Z—said they'd be interested in tasting events at restaurants featuring curated menu selections. Creating experiences that customers can't replicate at home or find at grocery stores is becoming a key differentiator in the dining experience.

6. Labor trends and workforce challenges

The labor story in restaurants has shifted. The "Great Resignation" has morphed into what experts call the "Great Stay," where workers hold onto jobs amid economic uncertainty. That sounds like good news, but 77% of operators still report that recruiting and retaining employees remains their top challenge.

Addressing the restaurant labor shortage

Full service restaurants remain 233,000 positions below pre-pandemic employment levels. The labor market is softening—unemployment is rising, especially among workers 24 and under—but that's creating more competition for fewer positions rather than solving the fundamental staffing puzzle.

Meanwhile, minimum wage increases continue spreading across states. Alaska, Oregon, and Washington D.C. joined 21 other states in raising minimums during 2024-2025. Quick service labor costs rose 6.3% in 2024, partly driven by these increases. Labor costs remain a persistent pressure point for restaurant owners across all segments.

Employee retention and workplace culture

The retention numbers tell an interesting story. Black Box Intelligence reports that non-management turnover in full service restaurants is now 11 percentage points lower than in 2019. Companies in the lowest 25% for turnover rates delivered about 1.0 percentage point higher same-store traffic growth than their peers. Reduced turnover means better execution, better guest satisfaction, and better results. Texas Roadhouse, for example, has consistently outperformed competitors by investing in their workforce.

A positive workplace culture matters more than ever. With 63% of all new hires in 2025 being Gen Z—74% in full service—operators need to adapt their employer branding, onboarding, and engagement strategies. Gen Z workers prioritize flexible scheduling, professional development, and genuine connection with their work. The operators winning the talent war are those who treat these as features, not costs. A comprehensive restaurant training manual can help standardize onboarding and set new hires up for success.

Technology solutions to reduce labor dependency

This is where technology adoption circles back. When you can't fill positions, you need new technologies to help existing staff work smarter. Automated confirmation and reminder systems cut phone time. Self-service kiosks handle routine orders. AI scheduling optimizes coverage without overstaffing. Leveraging technology effectively has become essential for operational success.

The 37% of operators planning to adopt automated labor management and recruitment systems aren't trying to eliminate jobs—they're trying to make existing jobs more manageable and productive. Modern shift management software can help optimize scheduling while accommodating employee preferences. When your best server doesn't have to answer phones all night, they can focus on the customer experience that keeps people coming back.

7. Guest experience and personalization

Here's a number worth remembering: 64% of full service customers prioritize experience over price. In an era of economic uncertainty, people are still spending on restaurants—but they're spending selectively on experiences that feel worth it. Consumer spending patterns reflect this shift toward value-driven choices.

CRM systems and guest data management

The dining experience starts before guests arrive. CRM systems that track guest preferences, dining history, and special occasions let you deliver personalized service that feels genuine rather than scripted. Knowing that a regular always orders the salmon medium-rare with extra lemon isn't creepy—it's hospitality that drives customer satisfaction.

The data advantage extends to marketing too. Segmenting your guest database lets you send targeted promotions that actually resonate instead of blasting generic discounts to everyone. A birthday offer to a regular hits different than the same offer to someone who visited once two years ago. Guest management platforms with built-in CRM capabilities—like EatApp—make this kind of personalized outreach practical even for operators without dedicated marketing teams.

Creating memorable dining experiences

Lizzy Freier, director of menu research and insights for Technomic, puts it well: "For consumers, the value equation can involve much more than price. They have expectations about quality and expectations about the experience." Diners are looking for menu items that are hard to make at home, higher quality proteins and global ingredients they can't find at grocery stores. It's that 'wow' factor that restaurants can deliver.

Operators are prioritizing on-premise service across segments. 90% of fine dining operators and 60% of quick service operators say on-premise visits will be more important in 2025 than off-premise. Even Subway is investing in warmer lighting and wood tones to make stores more inviting places to linger. The physical space matters again. Engaging restaurant customers through thoughtful experience design has become a competitive advantage.

8. Beverage trends and non-alcoholic options

The beverage category is seeing some of the most dramatic shifts in the entire industry. Non-alcoholic cocktail sales have increased 350% year-over-year compared to the previous year. That's not a typo—and it represents a massive opportunity for operators willing to take their mocktail programs seriously.

The rise of mocktails and non-alcoholic beverages

The "mindful drinking" movement isn't about teetotalism—it's about choice. Many consumers want sophisticated, interesting drinks without the alcohol. Low-ABV cocktails and wines with reduced alcohol content are gaining traction alongside completely non-alcoholic options.

The margin opportunity is real. Non-traditional beverage choices are seeing 35% spending growth rates, and well-crafted mocktails can command prices comparable to their alcoholic counterparts. When traditional soda costs are rising, creative alternatives like flavored waters, house-made lemonades, and functional beverages can actually improve your bottom line.

Functional drinks and wellness beverages

Wellness beverages—drinks with added functional benefits like energy, relaxation, or gut health—are moving from specialty cafés to mainstream menus. Cold brew coffee tops the National Restaurant Association's beverage charts, driven partly by millennial demand for wellness-driven options.

The practical approach: start small. Add one or two well-crafted mocktails to your menu, train staff to recommend them confidently, and track the results. Many operators are surprised by the uptake when they give non-alcoholic options the same attention as their cocktail program.

9. Value-focused strategies and economic pressures

Consumer sentiment is cautious heading into 2026. The University of Michigan's consumer sentiment index reached its lowest point since July 2024 in February, driven by pessimism about inflation. Higher-income households (over $100,000 annually) still drive nearly 60% of food-away-from-home spending, but lower-income consumers are tightening belts. Consumer spending continues to shift as households navigate economic pressures.

Balancing quality with affordability

The gap between restaurant price inflation and grocery inflation has narrowed to its lowest point since early 2023, which helps. But restaurant prices are still rising faster, making affordability a constant challenge. The 47% of operators planning to add new value promotions in 2025 are responding to real pressure from price-conscious consumers. Rising ingredient costs compound the challenge.

Yet value doesn't have to mean cheap. Mike Kostyo, vice president at Menu Matters, warns that "operators who go all in on value pricing shoot themselves in the foot. Too many low-priced deals can devalue the menu." The winning approach combines competitive pricing on entry points with premium options for those willing to spend more.

Creative value propositions beyond discounting

Rather than straight discounting, 55% of operators are incorporating value-focused limited-time offers that drive increased traffic and foot traffic. Bundle deals, combo pricing, and loyalty rewards let you deliver perceived value without training customers to expect permanent price cuts.

Portion size adjustments offer another lever. Offering multiple portion options at different price points—a lunch-sized portion at a lower price, a full dinner serving at the regular price—lets customers choose the value proposition that works for them while maintaining your brand positioning.

10. Social media and digital marketing trends

Social media has changed how restaurants get discovered, build buzz, and stay top-of-mind. The platforms keep evolving, but the fundamental truth remains: people trust recommendations from real people more than any ad you could buy.

Influencer marketing and user-generated content

The influencer game has matured. Micro-influencers with engaged local followings often deliver better ROI than celebrities with millions of followers. User-generated content—customers posting about their experience—provides authentic social proof that no marketing budget can replicate.

Creating Instagram-worthy moments isn't about gimmicks—it's about giving people something worth sharing. A beautifully plated dish, an unexpected presentation, or a memorable detail can turn every customer into a potential promoter.

TikTok and viral food trends

TikTok has become a primary discovery platform for younger diners. Viral trends can drive massive foot traffic practically overnight—but they can also fade just as fast. The restaurants winning on TikTok are creating content that feels authentic rather than produced, showing the personality behind the brand.

The practical application: your team is already on their phones. Empower them to create content that showcases your restaurant's personality, and be ready to capitalize when something catches fire.

Online reputation management

Reviews matter enormously. Black Box Intelligence data shows that full service restaurants with the lowest turnover rates consistently earn higher guest ratings—especially for food, service, and cleanliness. The connection between operations and reputation is direct and measurable.

Responding thoughtfully to negative reviews, encouraging satisfied customers to share their experience, and monitoring your online presence across platforms isn't optional anymore. It's part of running a restaurant in 2025. Integrating with platforms that help you manage your online reputation can streamline this process.

How to stay ahead of restaurant industry trends

The restaurant operators thriving in 2025 aren't necessarily the ones with the biggest budgets—they're the ones who treat trend awareness as an ongoing practice rather than an annual review. Here's what that looks like practically.

Start with your data. Your POS system, reservation platform, and customer feedback contain insights about what's working and what isn't. Most operators have access to more information than they're using. Restaurant analytics can help you make sense of it all. Before chasing the next big thing, make sure you understand what's driving your current success and where you're losing ground.

Test before you commit. Pilot new menu items as LTOs before adding them permanently. Trial technology solutions at one location before rolling out system-wide. The restaurants that succeed with innovation are usually the ones who fail fast and learn faster.

Invest in systems, not just tools. Individual technology solutions are less valuable than integrated systems that share data and automate workflows. A reservation system that talks to your CRM that talks to your marketing platform creates compounding value that standalone tools can't match. The best restaurant management software connects all these pieces together.

Keep your team in the loop. Your front-of-house staff hear what customers want every day. Your kitchen team knows which dishes are working and which are struggling. Create channels for that intelligence to flow upward and inform your decisions.

EatApp's reservation and guest management platform helps operators build the integrated systems that turn trend awareness into action. With commission-free bookings from your website, Google, and social media, plus a built-in CRM that tracks guest preferences and dining history, you can deliver the personalized experiences that drive customer loyalty. Automated confirmations and reminders reduce no-shows and free your team from phone duty, while detailed analytics help you spot trends and optimize operations.

Ready to see how EatApp can help your restaurant stay ahead? Start your free trial today and discover what smarter reservation management can do for your business.