New trends might appear in the food and beverage industry in 2023 due to recent challenges including the pandemic and inflation.
This observation is from foot traffic analytics firm Placer.ai, Los Altos, California, in its new report New Year, New Food: 5 Dining Trends For 2023, which outlines the trends.
“Dining trends will no doubt evolve and surprise in 2023,” the report said. “One thing’s for sure: Restaurants, grocers and convenience stores alike will continue to innovate and elevate the dining experience to compete for the attention of consumers.”
The report’s five trends:
C-Store Food Rivals QSRs
The role of convenience stores in dining will keep growing, the report said, citing Wawa, Pennsylvania-based Wawa as an example embracing the c-store dining trend and making a full-fledge pivot toward attaining QSR status.” Wawa, the report said, has outperformed the QSR space at large in terms of visits.
For example, in November, visits to Wawa were up 1.7% year over year, while fast food/QSR visits overall were down 2.6%.
“As budgets remain tight heading into 2023, value perception over traditional QSRs has many consumers turning to c-stores for quick, filling and budget-friendly eats,” said the report. “And c-stores are leaning into this shift in consumer demand, offering fresh menu items that challenge the perception of gas station food.”
Nostalgia Plays
Throwback menu items, such as adult happy meals at Chicago-based McDonald’s, or Irvine, California-based Taco Bell’s Mexican Pizza, will continue to be a popular tactic at some restaurants, the report said.
“But fast-food chains don’t have to go back as far as childhood to give customers a feeling of nostalgia,” it said. “Our next trend for 2023 is discontinued dishes re-staking their claim on QSR menus.”
Comfort Foods
Many people have turned to comfort foods to lighten the stress of the last few years, the report said, and brands specializing in baked goods and other snacks might experience continued success in 2023.
The report noted Insomnia Cookies, Philadelphia, which delivers treats when most other stores have closed for the night.
“The company started as a haven for college students up late studying or partying,” the report said. “And while the brand still attracts a heavy dose of sugar-crazed academics—note the spike in back-to-campus visits in mid-August—the brand’s allure has expanded to all ages and professions.”
Ready To Eat
Consumers who think grocery store prepared meals give them more bang for their buck, particularly during this time of high inflation, has popularized this offering—and is “even giving restaurant chains a run for their money.”
“The pandemic ushered in an era of meals at home and inspired a growing segment of home cooks,” said the report. “As the pandemic waned, inflation tightened budgets, driving many to cut down on eating out and have more meals at home.”
Consequently, grocery stores are offering more ready-to-eat or ready-to-prepare meals. “And while, traditionally, exploring new flavors has been the cornerstone of eating out, curated meal kits from the grocery store are often a far better way to try something different and get value for money,”
Influencer Effects
Not going anywhere in 2023 are social media and celebrity collaborations in food, the report said. Supermarket chain Erewhon, Los Angeles, enjoyed success with celebrity-inspired drink launches in 2022, the report said.
“The high-end grocery store’s smoothies are branded with the names of celebrities and social media influencers that go just as viral,” said the report, noting drinks inspired by Hailey Bieber and Kourtney Kardashian. “The smoothies not only get more visitors in the door but also showcase some of the unique ingredients found on Erewhon’s shelves as well as encourage membership signups as customers look to take advantage of smoothie promotions.”
Expect trends to evolve throughout 2023, Placer.ai said. It’s certain, however, that restaurants, grocers and convenience stores “will continue to innovate and elevate the dining experience to compete for the attention of consumers.”