Article contributed by Jessica Strom, CBIZ Marks Paneth
As a leader in CBIZ Marks Paneth’s Restaurant Industry practice, alongside Kurt Kiess and Richard Jania, I’ve witnessed the remarkable resilience and adaptability of restaurants across a vast spectrum.
From Michelin-starred to quick serve, our clientele encompasses a diverse culinary landscape from cozy neighborhood bistros to nationally recognized chains, each facing unique challenges and opportunities in today’s dynamic environment.
As we work with our CBIZ Marks Paneth clients, we see a year of strategic navigation. While the industry has weathered extraordinary storms in recent years, 2024 presents its own set of hurdles and possibilities.
Let’s dive into the key trends shaping the restaurant landscape. We think it begins with tackling challenges head-on. These include cost pressures in a volatile economy and inflation, coupled with rising food and labor costs that continue to squeeze profit margins.
Restaurants must thoughtfully adjust menu pricing while implementing creative strategies to retain customer loyalty.
The next key is for restaurant operators to embrace the evolving consumer: Diners are increasingly health-conscious, demanding plant-based alternatives and sustainable practices.
Understanding evolving preferences and adapting menus accordingly is crucial for continued success.
We are often asked about the long-term impact of the pandemic on the industry. At the top of that list is navigating the delivery disruption as ghost kitchens and third-party delivery platforms have irrevocably altered the dining landscape.
Traditional restaurants must skillfully leverage technology to enhance the in-person experience while exploring potential partnerships within the delivery model.
From quick serve to fine dining, there is a challenge to attract and retain top talent as the labor shortage remains a pressing concern.
Cultivating a positive work environment, offering competitive wages, and exploring automation opportunities are essential for building a strong workforce.
In this world of AI, our clients are dependent on finding the right technology. We suggest a strategy in which you look at the addition of each tech solution as the addition of a strategic partner.
Today’s point-of-sale systems, pay-at-the-table technology, and social media engagement tools offer unprecedented opportunities to streamline operations, enhance customer experiences, and gather valuable insights to inform decision-making.
We also see many of our client restaurants that “get it” mastering the art of digital marketing.
Those operators have embraced social media platforms like Instagram and TikTok to provide powerful platforms to showcase culinary creations, engage with customers, and build brand awareness.
With all the tech talk, there’s still a place for traditional collaboration. Why not look at creating strategic partnerships for increased reach?
Collaborations with local businesses, delivery services, and even hotels can expand a restaurant’s visibility and attract new customer segments.
One of the interesting changes we saw in 2023 was the return of sustainability to our restaurant clients’ agendas after prioritizing clean and sustainable practices during COVID-19. Sustainability today is a business imperative.
Implementing eco-friendly practices—from sourcing local ingredients to utilizing sustainable packaging—not only resonates with environmentally conscious consumers but can often reduce operational costs, creating a win-win scenario.
At CBIZ Marks Paneth, we’re committed to supporting restaurants in navigating these challenges and seizing emerging opportunities.
Our team of experienced professionals offers comprehensive financial, tax, and consulting services tailored to the industry’s unique needs.
We’re ready to assist you with financial strategies for long-term stability. From budgeting and forecasting to navigating complex lease agreements, we’ll ensure your financial foundation is rock-solid.
Our team can help you maximize your operational efficiency. We’ll analyze data, identify inefficiencies, and implement best practices to streamline your business, maximizing profitability and customer satisfaction.
Many of our clients look for our guidance in staying ahead of industry trends. We bring a deep understanding of evolving menu trends, labor management strategies, and technological advancements to ensure you’re always at the forefront of innovation.
In the rapidly evolving restaurant industry, success hinges on agility, adaptability, and a steadfast commitment to exceeding customer expectations.
CBIZ Marks Paneth stands as your trusted partner in navigating the new normal and achieving long-term success.
We’re just a phone call away. Reach out today to discuss your restaurant’s unique challenges and opportunities.
Together, we’ll unlock your full potential and build a thriving business in the years to come.
Call us at (212) 710-1708 or contact us via email at jessica.strom@cbiz.com.
Jessica Strom, CPA, is a Managing Director in the Commercial Business Group of CBIZ Marks Paneth with nearly 20 years of experience serving privately owned, closely held businesses in restaurants; professional services, such as law and engineering; wholesale and retail distributors; and financial services companies.
Her expertise in the restaurant industry spans across fine dining, casual and fast casual, and quick service establishments. Ms. Strom is responsible for overseeing all aspects of audit, review and compilation engagements, and frequently assists her clients with forecast and projection modeling, as well as developing internal control structures and best practices.
Ms. Strom is based in the firm’s New York City headquarters.
