Restaurants Seek Tech Solutions
The rising cost of doing business, coupled with a slowdown in consumer spending, is putting Irish restaurateurs under pressure, according to the latest survey by Square, a payments technology company.
The survey findings reveal that the top pressures include the rising cost of rent and utilities (40%), balancing the need to raise prices without losing price-sensitive customers (37%), increasing the cost of supplies and materials (36%), and growing staff costs (33%).
Alongside rising costs, the research highlighted concerns about changes to consumer spending habits.
Nearly two-thirds (63%) of consumers admitted they are dining in restaurants less often than they did 12 months ago, while more than four in five (82%) reported cutting back on restaurant spending.
To mitigate rising financial pressures, business owners have turned to cost-cutting measures, with many looking for better prices and partnerships with suppliers (48%), undertaking energy-saving measures to reduce utility bills (42%), and reducing their menus or products (33%).
A further 30% have also started automating internal systems to make better use of staff time.
Restaurant owners are increasingly looking to technology as a solution to their financial challenges. Nearly two-thirds (62%) say they are likely to implement AI into their business practices.
Yet despite this enthusiasm, there remains a tech skills gap: nearly a quarter (21%) also say that implementing new technology is one of their most challenging tasks.
Commenting on the findings, John O’Beirne, CEO at Squareup International, said:
“Whether it’s automating staff rotas, streamlining payment processing or optimising menu options, technology can bring incremental efficiencies that will have a big impact on the viability and success of hospitality businesses.”
There are signs that business owners are starting to unlock budget for new technology, with three in five (60%) saying they invest up to €5,000 per year.
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