C-store Operators Advance Foodservice Through Technology & Automation
NATIONAL REPORT — It's no surprise that convenience store operators are searching for ways to make their prepared food and beverage operations better, faster and smoother. The importance of foodservice as a category, combined with ongoing difficulties around hiring and retaining employees and the emergence of innovative technology, is pushing retailers to explore new ways to enhance their foodservice operations — many of them involving some form of automation.
However, increased investment in automation does not mean customers should expect to see robots flipping burgers any time soon. In fact, some of the most useful advances may never be seen by customers at all.
When La Crosse, Wis.-based Kwik Trip Inc. launched its fried chicken program, it also embarked on a partnership with Mendota Heights, Minn.-based Restaurant Technologies' Total Oil Management (TOM) system, which automates the volume and quality of oil — including managing oil delivery, recycling, filtration and usage. Over the last five years, the solution has contributed to safety and efficiency in Kwik Trip's kitchens, while easing the demand on employees.
"With the help of Restaurant Technologies, our kitchens stay cleaner, we have less spilled oil, and our coworkers appreciate that they do not have to manually dump oil in the fryer and haul out waste oil," said Paul Servais, retail foodservice director at Kwik Trip, which operates 800-plus convenience stores. "We hire many people from the food industry and as soon as they get into the kitchen and see our oil management system, they are instantly happy."
Kitchen advances aren't limited to fryers. Overall, the state of automation and operational assistance is "promising," according to Danielle Fantasia, marketing manager at MTI Products, an equipment manufacturer based in Hudson, Mass. "Equipment today is more reliable, user-friendly and designed to address key challenges such as limited space, labor shortages and the need for consistent quality," she said.
The c-store industry is increasing its demand for more advanced features, she added. "They want equipment that integrates seamlessly into their operations — think connectivity with inventory systems, real-time monitoring and predictive maintenance," Fantasia reported.
Retailers looking to invest in automation and related tech should proceed with some caution, though, according to Mathew Mandeltort, a foodservice veteran and founder of ChefWorthy, an online platform for rating and reviewing equipment, products and services.
Following initial activity by early adopters, the mainstream foodservice industry has slowed its integration of automation, robotics and artificial intelligence (ARA), he noted. After experiencing the technologies' real-world challenges and limitations, potential users are waiting for the next generation of innovation to address them. He cited McDonald's pulling back from an AI-powered voice ordering system due to problems with accuracy and order identification as an example.
Ongoing costs, not just the cost of the initial investment, are also important to consider. "Currently, the ARA technology providers are the ones that provide the service and maintenance [S&M]," Mandeltort said. "Not only does this make availability of S&M an issue, but pricing as well. There are no competitors to help with pricing."
[Read more: Finding the Synergies Between Foodservice & Retail]
Instead of adding an all-new form of assistive technology, retailers may benefit from turning to food management platforms that help them do what they already do — but better. These specialized solutions can enhance existing foodservice programs.
"Often, groups try to use enterprise resource planning software not designed for foodservice, or develop internal tools centered around checklists and excel spreadsheets. While these solutions are a good first step to understanding execution, the disconnected tools mean network reporting is laborious and clunky, and in-store execution needs to be physically observed," said Wynne Barrett, cofounder and vice president of business development for Hopkinton, Mass.-based Supplyit by Jera Concepts, a fresh food management platform that helps retailers run their operations more efficiently.
"A good solution should help build a forecasted plan, give employees the tools to execute the plan and provide the transparency into employees' execution. Transparency provides teachable/trainable actions and allows a company to understand whether the plan was good," Barrett explained. "Determining whether the plan was any good can only be determined if you know if it was executed properly."
Addressing the Pain Points
Industry experts say c-store operators looking to invest in kitchen automation will get the most bang for their buck if they seek out equipment and solutions that enhance consistency.
"Without a doubt, the area that stands to gain the most from automation is consistency in high-demand dayparts and popular food items. Convenience stores operate in fast-paced environments where speed and reliability are critical, especially during peak times like breakfast, lunch and late-night snacking," Fantasia said. "Automation ensures that food quality remains consistent, while reducing labor requirements and operational complexity."
She also sees retailers prioritizing practical attributes in kitchen equipment, such as:
- Speed: This is valued above almost everything else as kitchen equipment needs to keep up with the demand of customers who visit c-stores for fast service.
- Ease of use: Operators need equipment that is simple to learn and operate, even for employees with minimal training.
- Ability to clean: Cleanliness is a non-negotiable.
- Compact & ventless design: Equipment with a small footprint fits the space constraints of most c-stores, and ventless units avoid the complex installation of ventilation systems.
- Versatility: Retailers want equipment capable of handling a variety of menu items, with the ability to switch seamlessly between product types without major adjustments.
Kitchen equipment that cuts down on the number of necessary tasks is already available and useful, even if it doesn't reinvent the wheel, Mandeltort noted.
"There are quite a number of types of 'smart equipment' currently in the market that facilitate consistent and quick production like programmable countertop combi ovens or programmable high-speed ovens, which take the place of multiple pieces of equipment. Or smart coffee brewers, which enhance the quality of coffee and hold it at optimal temperature," he said.
Barrett cautions retailers to stay vigilant after implementing new equipment or solutions because even if they make the best possible decision for their program, the human element can be a wild card.
"In-store execution of the plan is probably the biggest [issue]," Barrett said. "Employees often believe they know better than the data being delivered to them, so even well-crafted production plans are not followed."
Employees also have personal preferences or biases upon which they act. For example, they might not follow recipes or make items they think will sell well because they like them better.
Another item Barrett said he and his team constantly counsel on is product line justification.
"We have a group with whom we work that had five breakfast sandwich carriers and each store was allowed to make what they wanted, which meant that the store-to-store customer experience wasn't the same. They have simplified the offering and now buy more of less products, and the store-to-store customer experience is the same," he relayed.
"Our motto is 'do what you do well or don't do it' and if that means simplifying the offering, then so be it," he continued. "The same can be said of software."
Choosing the Right Tools
The retail foodservice market is likely to collectively grow its use of automation and advanced kitchen tech, but individual needs will differ. Operators must carefully consider what equipment and solutions will realistically do for them, rather than assume newer is better.
"ARA/smart equipment is a tool to be used in furtherance of a business objective or solving a pain point," Mandeltort advised. "Are you experiencing a consistency issue? Are you experiencing a quality issue? Can you legitimately lower labor costs? Will you enhance your customer service and customer experience? Will you achieve operational efficiencies? Will you save money? Will you make more money?"
The relative newness of most forms of foodservice automation means that it is imperative for retailers to do their research and due diligence to determine whether equipment and solutions will be genuinely helpful to them, or will not prove as effective as advertised.
"Don't succumb to the hype. Showroom demonstrations are insufficient. Ask for references. Go see one in action in the field — you might have to travel, but it's going to be worth it," said Mandeltort. "Talk to the people that have to actually operate it or interact with it."
Retailers also shouldn't assume new equipment or solutions are safe to set and forget, so he recommends starting out running a legacy setup and ARA equipment in parallel so that stores aren't left adrift if something goes wrong.
"Think of ARA equipment like a self-driving car. Given the current state of technology, do you really want to fall asleep behind the wheel and leave the car on its own? Probably not," he said.
Finally, convenience retailers looking to optimize how they manage their foodservice operations should include data as a key priority, according to Barrett.
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