Danny Klein’s Post

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Editorial Director at QSR and FSR magazines

Just finished being interviewed by The New York Times (that was definitely a first ...) The reporter asked me what I'd call this era of QSR drive-thru. My answer: The Era of Optimization. Kind of popped out of my brain since I didn't know it was coming, but what I was trying to get at was the "definition of speed" is now as much a perception game as it is about the clock. Why are OCBs and other tech so popular? Customers are used to not only instant gratification (why they like getting orders taken quickly but appear willing to wait afterward) but instant confirmation in their purchase. I can't order soap these days without getting an email back. And so, we're moving beyond the era of cheap and quick and food as fuel, with all the trade-offs that customers accept. Too many options. Drive-thru isn't a fast-food play, either (Chipotle has more than 500 order-ahead lanes). In turn, things like accuracy, ease of ordering, customer service, and fostering non-static interactions are all factoring into whether or not a guest drives away feeling like the experience was "convenient."

Any discussion around the inevitable hangover from the crush of drive-thru development in the last few years? Development costs - both real estate and construction - have been through the roof and many of the deals we've seen built in the last 18 months were underwritten using peak-COVID drive-thru performance that has since faded. A massive increase in competitive drive-thru density + high dev costs will likely mean a good chunk of less than ideal outcomes in the years ahead.

Atul Sood

Business Development Leader and Advisor

10mo

Can you post the article when it’s live? Always love when interviewers become the interviewed.

Phil Keren

Senior Editor, Club + Resort Business (WTWH Media LLC)

10mo

Danny, When will the NY Times story with your comments be published/posted?

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Sherri Kimes

Revenue Management Expert

10mo

I like your comment about the definition of speed being about perception. David Maister published a super-interesting paper on the psychology of waiting lines that gets right at this. (https://davidmaister.com/articles/the-psychology-of-waiting-lines/). Danny Klein, as you point out, perceived wait matters more than the actual wait. And, I agree on all of the other factors that go into the experience being perceived as 'convenient'. The more we can reduce customer friction, the better. Looking forward to seeing the NYTimes article!

Scott Lawton

CEO & Cofounder | Hospitality Industry, Team Building

10mo

Bingo

Terry Buster

Director of Information Technology with expertise in Microsoft 365 and Technical Support

10mo

It’s definitely a interesting time to be in the IT side of restaurants, and trying to balance what is still a very shifting front.

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Bobby Marhamat 🌶

CEO @ Raydiant | Brick-and-Mortar Growth Expert | Advocate for Retailers and Restaurateurs | Hot Pepper Enthusiast

10mo

The blend of technology and in-person experiences will be the future of brick-and-mortar locations. Interesting post, Danny, can't wait to see the article.

Stacy Schulist

Product Marketing Leader | Business Strategist | Brand Builder | Restaurant Expert

10mo

So true. The bar continues to raise, giving operators more opportunities to delight and to fail. Can't wait to read the article Danny!

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Scott Taylor, CFE

Chief Executive Officer

10mo

Bullseye for sure

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