Top Hospitality Trend Predictions for 2023

As we look to the year ahead, the hospitality trends taking center stage in 2023 will likely be a far cry from the more frivolous things we might have been talking about a few years ago, such as instagrammable interior styles or video worthy dishes; even though these things will still have their place, the priorities in 2023 will be much more fundamental around the core concepts affecting the way businesses are run.

1. Sustainability

Sustainability is a vital issue for all businesses and is a key priority that customers are factoring into their decisions on which brands and outlets to support. With the ever increasing threat of climate change and resource deficits, it's vital for all hospitality venues to be considering how they can run their operations more sustainably and in turn, in a more financially viable way.

Some of the ways restaurants, bars and cafes are taking a more sustainable approach include:

• Limiting food waste - whether that's by using every part of the food possible, simplifying their menu, being considerate about portion sizes or using technology to keep track of inventory. Taking steps to continually decrease the amount of food that is thrown away will not only help the planet but will help to increase margins and profits as well.

• Reducing energy consumption for all aspects of running a venue, for example by opting for lower energy appliances, using LED lighting, reducing refrigeration needs and opting for passive design techniques.

• Sourcing locally and being agile when it comes to ingredients and suppliers as a way to minimize the energy required to move food from source to table.

• Reducing water use with more efficient processes and appliances.

• Limiting the use of ice.

• Eradicating or at least minimizing the use of single use plastics 

• And incorporating sustainable design through eco-friendly or recycled materials, including reused or recycled items in fit-outs, considering the future use of elements within the design and most importantly building environments that will stand the test of time.

2. Adopting Smart Technologies

The hospitality industry has been one of the slower industries to embrace smart technologies but the pandemic has really moved things forward on that front. Everyone learnt they had to adapt and become more agile. With the need to do things in a more efficient and financially savvy way, smart technologies are being implemented, not only to make ordering, booking and paying more convenient for customers but also to improve efficiencies in managing inventory and running the back of house, this will allow businesses to be smarter about pricing, keep track of costs of goods and make it easy to adapt quickly, adjusting dishes or updating prices to maintain appropriate margins.

3. Taking a Staff First Approach

With staff in such short supply going into 2023 many businesses will need to take a staff first approach. This means prioritizing the culture of the business, and looking at ways to not only attract new talent but retain the existing team. Young people are looking for more diversity and excitement in their roles and also value work-life balance more than ever before. Consider ways you can create an attractive culture for this generation of new hospitality workers - whether that's by providing opportunities to learn and develop new skills, creating an exciting culture, incorporating additional benefits or incentives such as profit share or team days out, or providing extra flexibility to give people the balance they want - making this your priority will give you the best chance of having the right team on board in the year ahead.

A great book to return to for inspiration on this subject is Danny Meyer’s Setting the Table - although this book was written over 15 years ago the approach of putting staff first and his concept of Enlightened Hospitality seems more relevant than ever.

4. Creating Unique and Specialized Experiences

Customer expectations for unique experiences is at an all time high. Interest in food and cooking has been gaining momentum for years but the pandemic further heightened that interest, with people were cooking more at home, learning more about ingredients and processes and also yearning to travel. This has culminated in an even greater desire for trying new cuisines, seeking out new experiences and knowing more about the foods and styles of food we are consuming. There is no longer a big market for generic or generalized venues offering an array of cuisines or an indistinct menu. Venues are having to become very specific and specialized about what they offer to attract customers. We are seeing a trend for smaller but much more specialized menus for example inspired by a specific region of a country or by interesting fusions such as Japanese/Italian or Vietnamese/Peruvian. Possibly less well known cuisines are also on the rise such as West African or Colombian menus and Korean food is still making waves as the popularity of  ‘swicy’ (sweet and spicy flavours) continues.

Whether you are a food focused venue or not you can take this trend for specialized experiences and apply it to your brandt, if not in your menu then through other aspects of your concept such as your drinks offer, interior design, service style or entertainment, but look to offer something which stands out in the market and fills a gap and a need which your target customers will value.

A great book to read for inspiration on this trend is Restaurant Strong by Peter LeSar who presents his framework for creating a unique concept and marketing it to attract new guests and turn them into loyal customers. 

While there are some big challenges ahead for the hospitality industry the best brands and businesses can thrive during hard times by being the ones that connect with what customers want and what staff members need, so now may be a perfect time to do some planning and analysis of your brands mission and direction. Consider the changing behaviors of your target market, and make some tweaks or even big steps to update your offer and operations and set yourself up for success in 2023.

Fab Design can help you review your venue and create a strategy for updating your concept or space.

Thanks and have a fab day!