Pandemic Reflections: What Lessons Has the Restaurant Industry Learned?, Part One

"The pandemic forced the restaurant industry to reinvent itself overnight, moving from a primarily in-store dining experience to an omnichannel, digital-first business. These changes have become permanent shifts in how they target customers, market themselves, and design their offerings."

As we mark the fifth anniversary, MRM magazine surveyed restaurant insiders about the pandemic’s lasting impact on their businesses and the industry. For the second part, click here. For the third part, click here. 

One of the biggest struggles for restaurants post-covid is staffing. Finding reliable, long-term employees is a bit harder, and incentives including competitive pay as well as a positive work-life balance can help address retention. Escoffier is aiding restaurant owners and managers by preparing qualified candidates ready for engaged employment.

Special events have become a big reason for going out, making unique dining experiences more important than ever.

Customer habits have also shifted after the pandemic. Special events have become a big reason for going out, making unique dining experiences more important than ever.

Loyalty is a huge factor now as guests desire rewards and perks for sticking with a favorite small business, and repeat customers are keeping many restaurants going. Building strong relationships with diners has always been key to long-term success but now even more so.

– Jackie Abril-Carlile, Auguste Escoffier School of Culinary Arts Culinary Instructor and Executive chef and general manager at North Mountain Brewing

Everything Has Changed

At the onset of COVID, most fast casual restaurants went from primarily dine-in business to mostly takeout and delivery models. This trend has held on in the last five years. While working hard to bring customers back into the restaurant is very important for success, it has become more important to figure out the third-party equation in terms of pricing, commissions and fees, and value – which is ultimately the difference between success and failure.

The focus now is finding the minimum necessary seating capacity while maximizing kitchen efficiency and service throughput.

Today, driving positive customer feedback via online channels is now equally as important as having a great location. If restaurant operators are not attuned to this, they will find it very difficult to exist in the very near future. 

Additionally, the approach to restaurant development has completely changed. Tables and chairs take a backseat to efficient space. Instead of simply trying to fit as many seats as possible into a space, the focus now is finding the minimum necessary seating capacity while maximizing kitchen efficiency and service throughput. This shift ensures that operations run smoothly, and sales revenue is optimized.

Nothing Has Changed

Despite all the changes in the restaurant industry, the fundamentals remain the same: customer experience is still king. No matter how much technology evolves, or trends shift, people will always come back for quality food, great value, and friendly service. These core elements never go out of style.

Customers want meals that taste great and to feel like they’re getting their money’s worth – all in a friendly, welcoming atmosphere. While the ways we order and dine may have changed, the reasons people choose a restaurant haven’t. Delivering on these basics is what keeps customers coming back. And if you can exceed their expectations, it's even better. 

How Do You Stack Up?

In today’s post-pandemic environment, a solid tech stack is a game-changer for restaurant brands, driving efficiency and better customer experiences. Aligning tech with business goals is a must. Whether it’s speeding up order times, improving inventory management, or boosting loyalty programs, every tool should serve a purpose. 

Brands today need to remember that implementation capability is just as important as solutions integration capability. Before rolling out new tech, you should test and pilot new features prior to making any long-term or significant commitments.

– Bob Andersen, President of The Great Greek Mediterranean Grill

The lockdown encouraged us to be smarter about using our resources, to save both money and planet earth. We’ve found ways to use less plastic and recycle more. In terms of pricing, we did have to raise our prices a bit in 2021 due to cost increases, and we’ve been able to keep them steady, fortunately. The main part of our business is catering, which of course was all but dead during the pandemic. I’m happy to say it’s come back, with people holding big business and social events again. 

We also learned during the pandemic about the value of taking care of our good staff.

Another big change has been that the pandemic changed peoples’ dining habits. They don’t dine in the restaurant as much, but our takeout and delivery business has increased. At our NYC property, the busiest days have shifted from from a Friday, for example, to Wednesday or Thursday. New Jersey weekday dine-in business is slower, but folks still come out on the weekends, after working from home all week.

We also learned during the pandemic about the value of taking care of our good staff. While we had to decrease some people’s hours, we were able to hold on to everyone and didn't have to let anyone go, which has helped us maintain our terrific level of service and quality over time.

– Ranbir Bhatia, Catering Director and General Manager, Benares Catering and Benares Restaurant

Customers have always had a desire for convenience, and when the pandemic hit, customers were forced to use apps and delivery services, most for the first time. In turn, this shift forced the restaurant industry to adapt and innovate at a high speed. Post-pandemic, those customer trends have remained and are just an expected part of how customers engage with restaurants. At Teriyaki Madness (TMAD), we’ve prioritized staying ahead of the curve with tech innovation and putting a major focus on creating an exceptional guest experience.

In 2024, we launched Mad Dash, which totally changed curbside pickup. Customers order on the TMAD app, and the system tracks their physical arrival in real time through GPS Tracking, so their food is hot and ready when they arrive and we meet them on the curb before they pull up – they don't even have to park! It’s faster than a drive-thru!

This focus on convenience and a great guest experience has been a huge hit:  97 percent of customers who use our Mad Dash curbside program allow us to track their phones, and 90 percent give it five stars. TMAD's Mad Dash program success has proven that the right technology, which improves the customer experience and speed of service, has been a worthwhile investment for the brand.

– Jodi Boyce, CMO, Teriyaki Madness

During the shutdown, we  installed ventilated windows and expanding the upstairs dining area to create more space. Staffing also required adjustments, as many longtime servers hesitated to return. Now, five years later, business has largely returned to normal. Thank God, people accepted eating indoors again. For the most part, things have gone back to normal.

Our resilience  was largely due to a strong partnership with ConnectOne Bank. We had the bank’s crucial support, from helping  navigate shifting PPP regulations to providing temporary mortgage relief that eased cash flow challenges. Amid the uncertainty, they offered steady guidance and direct assistance. As government policies constantly changed, the bank remained proactive  ensuring we got the help we needed without any missteps.

– John Campbell,  owner of  RiverPalm Terrace

Small businesses had no choice but to dive headfirst into digital marketing during the pandemic. With face-to-face interactions off the table, they turned to whatever tools could keep them connected with customers online. Social media, email, and digital ads became lifelines—helping small businesses stay visible and build relationships through personalized messages. Facebook, Instagram, and TikTok became the main hubs for engagement, with businesses getting creative—live streams, stories, anything to keep people tuned in.

Small businesses did what they always do—adapt.

Meanwhile, email allowed for more targeted, meaningful communication, and SMS/text gave businesses a direct line to their most engaged customers. Of course, budgets were tight, and keeping up with shifting trends and algorithm changes felt like a full-time job.

But, small businesses did what they always do—adapt. They leaned into a multichannel approach that blended online and offline experiences, keeping them in front of customers no matter where they were. The pandemic changed how businesses market, no doubt about it. But it also fast-tracked the adoption of technology and AI, setting small businesses up for smarter, more sustainable growth moving forward.

– Dave Charest, Director of Small Business Success at Constant Contact

The pandemic exposed the need for greater supply chain visibility and traceability in the restaurant industry, as some operators struggled with shortages, delays, and food safety concerns. The ability to track ingredients in real time—knowing where they come from, when they’ll arrive, and what alternatives are available—has become essential for managing inventory, adjusting menu offerings, and ensuring compliance with evolving regulations. A key part of this shift is efficient data sharing across the supply chain. By using standardized identifiers and digital tracking/communication systems, restaurants can seamlessly communicate with distributors, reducing inefficiencies and responding quickly to disruptions.

The pandemic exposed the need for greater supply chain visibility and traceability in the restaurant industry.

Meanwhile, the U.S. FDA’s new Food Traceability Rule (FSMA Rule 204) underscores the importance of product traceability, requiring more detailed record-keeping for certain high-risk foods. GS1 Standards help facilitate traceability by enabling consistent product identification and data sharing, making it easier to track inventory, anticipate shortages, and improve overall supply chain performance. 

We’ve learned that relying on fragmented systems leaves businesses vulnerable and that real-time visibility and standardized traceability enabled by digital communication are key to keeping operations running smoothly.

– Jeff Cowan, Senior Director of Customer Success, GS1 US

Five years later, if there’s one thing the restaurant industry has learned, it’s that you have to be scrappy, adaptable and ready to roll with the punches—even more than we were already used to. At Salad House, we’ve figured out that the restaurants that made it through didn’t just rely on good food, they built real connections with their communities, got creative with how they operate and weren’t afraid to try new things from menu updates to marketing plans.

For us, it's all about menu optionality and community connection.

Tech helped keep things running as smoothly as possible, especially for off-premise, but at the end of the day, it’s about taking care of your people and giving guests a reason to keep coming back. For us, it's all about menu optionality and community connection. The playbook is always changing, but one thing stays the same: if you’re not hustling and evolving, you’re falling behind.

– Joey Cioffi, Founder and CEO, Salad House

Five years ago brings us to 2020—one of the toughest years in recent history. One of the biggest lessons I learned is to never take things for granted. You always need to evolve and, within your principles, adapt your offerings. For example, during the pandemic, we created a special takeout menu because much of our regular menu wasn’t suited for to-go orders.

You always need to evolve and, within your principles, adapt your offerings.

Supporting your staff is crucial. Everyone in a restaurant matters—the chefs, servers, dishwashers, prep cooks, hosts, managers—each person plays an essential role in achieving the team’s final result. No one is more or less important; success is truly a team effort.

Above all, love what you do. Working in a restaurant isn’t easy. The job demands long, tough hours, being on your feet, and managing physically demanding tasks. While others are enjoying holidays and weekends, you’re hard at work. But with passion and pride in what you do, that hard work shines through, and it makes all the difference.

– Iliana de la Vega, Chef and Owner of El Naranjo

Nothing about operating and sustaining a profitable restaurant during COVID was easy. However, honeygrow was in better shape than most restaurant brands. The honeygrow model is built for contactless ordering and delivery. We already had a mobile ordering app, curbside and traditional delivery, and our stir-frys and salads travel well. 

This reflects a behavioral shift where the convenience factor of 'DoorDashing' and 'Ubering' have morphed into verbs.

Combining those factors with the flexibility of customization, honeygrow has become an easy choice where everyone can find or create something they like. Today, third-party delivery is continuing to grow and becoming a more significant source of our revenue. This reflects a behavioral shift where the convenience factor of “DoorDashing” and “Ubering” have morphed into verbs. 

Aside from being well prepared to continue serving guests during COVID, it was also a time that we needed to do some internal reflection and refining after learning some difficult lessons about honeygrow’s recent expansion. The fierce realizations about what was required to grow the brand was exactly what we needed. We emerged from COVID as a company intensely focused on the customer experience, starting with the accuracy of the order, the quality of the product, and the strength of leadership from within. Over the last four years, we have been on an incredible growth journey, opening over 30 new locations and recently expanding into Ohio.

– Amy DePaoli, Director of Marketing of honeygrow

Five years after the COVID-19 pandemic, the restaurant industry has fully embraced a digital-first dining experience, transforming how guests interact with restaurants. Online reservations, digital waitlists, and QR code menus have become standard, allowing for seamless, contactless experiences that customers now expect. Mobile ordering, self-checkout kiosks, and AI-driven personalization have further streamlined operations, reducing wait times and improving customer satisfaction.

Restaurants that invested in technology-driven solutions—from automated table management to personalized guest engagement—have gained a competitive edge.

Restaurants that invested in technology-driven solutions—from automated table management to personalized guest engagement—have gained a competitive edge. Data-driven insights now help restaurants optimize staffing, predict demand, and enhance loyalty programs. As digital convenience continues to shape the industry, successful restaurants are those that balance high-tech efficiency with high-touch hospitality, ensuring that technology enhances, rather than replaces, the human connection in dining.

– Mary Fabro, Chief Operating Officer, Hostme

Running a bar has always been about creating an experience, but five years after the pandemic, that experience looks a little different. Before 2020, the idea of takeout cocktails seemed ridiculous. Who would order a bar-quality drink to go? Then, when survival depended on it, bars adapted. The laws changed, and suddenly bartenders were bottling house cocktails, creating DIY drink kits, and turning curbside pickup into a serious revenue stream. Customers loved it, and even though restrictions are long gone, they never let it go. People still grab a handcrafted Old Fashioned or margarita to take home, something that would have been unheard of just a few years ago.

People want control over their experience.

Some changes were temporary, but others are here to stay. Contactless service started as a way to minimize touchpoints, but it turned out to be exactly what customers wanted. QR code menus, mobile ordering, and tap-to-pay are no longer conveniences, they are expectations.

People want control over their experience. They like ordering on their own time, paying instantly, and skipping the wait. Even the way people interact with a bar has changed. Some guests still love chatting with a bartender, while others prefer to handle everything from their phone.

Five years later, the industry has not just bounced back, it has evolved. Customers have more options than ever, and the businesses that succeed are the ones that embrace that shift.

– John Felico, author of DRAFTING A DREAM, serial entrepreneur, advisor, and restaurant owner  

The evolution of the restaurant sector in the last five years has been nothing but transformative, with technology playing a key role in its resilience. With restaurants continuing to deal with the labor shortage that has persisted since the pandemic, technologies like mobile ordering and contactless payment solutions, self-service kiosks, and cloud-based POS systems have become essential tools for optimizing operations, enhancing customer experiences, and managing ongoing staff shortages. Evolving customer expectations and guests using multiple technologies in their daily lives have driven restaurants to embrace new technology.

Today’s diners demand convenience, speed, and personalization, and want to control the pace of their dining experience.

Today’s diners demand convenience, speed, and personalization, and want to control the pace of their dining experience. Restaurants must adapt to stay competitive. For example, during the pandemic, the rise of online ordering and delivery platforms exploded and was fueled by overwhelming customer demand. Now, mobile apps, self-service kiosks, and AI-powered chatbots are becoming standard because customers expect efficiency and minimal wait times. Ultimately, customer expectations set the pace for technological adoption.

By implementing new mobile POS technology and contactless payments, restaurants not only empower guests to control the pace and quality of their overall dining experience but also see shorter table turn times, while significantly easing the workload on their teams. Mobile ordering and payment solutions allow guests to place and pay for orders seamlessly, reducing the strain on limited staff. This speeds up service and improves order accuracy, leading to higher customer satisfaction.

By leveraging smart digital solutions, restaurants have the freedom to do what they want to do—streamline operations, increase revenue, and enhance guest satisfaction without needing a massive workforce. Another key advantage is data-driven decision-making which enables restaurants to use customer insights from digital loyalty programs and POS systems to personalize promotions, optimize menu offerings, and drive repeat business.

To achieve sustainable growth, restaurants must strike a balance between leveraging technology and preserving quality guest-server interactions. Thoughtfully designed technology should complement, not replace, the warmth and hospitality that define great dining experiences.

– Tony Fernandez, CEO and President of MTech Mobility  

2025 marks five years since the pandemic reshaped the restaurant industry, and as many can attest, one of the biggest lessons we’ve learned is the critical role of agility and technology in sustaining long-term success. The shift in consumer behavior, favoring off-premise dining, digital ordering, and contactless experiences, accelerated innovation at an unprecedented rate. At Marco’s Pizza, we leaned into technology-driven solutions, optimizing our online ordering platforms, enhancing delivery efficiencies, and investing in machine learning to streamline operations, improve demand forecasting, and support franchisees.

The ability to meet guests where they are, whether through delivery-only kitchens, app-based ordering, or frictionless pickup experiences, has become essential to modern restaurant growth.

Additionally, the rapid rise of third-party delivery services and non-traditional models like ghost kitchens has transformed how restaurants expand and serve customers. The ability to meet guests where they are, whether through delivery-only kitchens, app-based ordering, or frictionless pickup experiences, has become essential to modern restaurant growth.

The pandemic also reinforced the importance of franchisee and team member support. Supply chain disruptions and labor shortages highlighted the need for strong operational systems and a resilient workforce culture. We’ve placed greater emphasis on simplifying back-of-house operations, training teams for efficiency, and strengthening franchisee relationships to navigate industry shifts together. The brands that have successfully adapted, leveraged technology, flexibility, and committed to excellent customer experience across all brand touchpoints are the ones that continue to thrive in this new era of dining.

– Gerardo Flores, Chief Development Officer of Marco’s Pizza

The pandemic forced the restaurant industry to reinvent itself overnight, moving from a primarily in-store dining experience to an omnichannel, digital-first business. These changes have become permanent shifts in how they target customers, market themselves, and design their offerings. 

Post pandemic the mix of in-store dining and mobile app, delivery or online orders has completely flipped as customers demand more convenient ways to order and frictionless pickup. This has forced even traditional restaurants to invest in digital channels, find delivery partners and embrace the drive-thru locations. Digital isn't optional—it’s an essential revenue stream.

Restaurants have had to rethink how their food holds up during transit—leading to packaging changes and menu tweaks to ensure quality control.

With fewer in-person interactions, restaurants needed to find new ways to maintain brand connection and customer loyalty—even when people were ordering from their couch. Restaurants have relied more and more on data insights to better understand their customers' psychographics—segmenting customers based on behavior, frequency, and ordering habits.  

One of the biggest challenges post-pandemic? Making food travel well for delivery.  Restaurants have had to rethink how their food holds up during transit—leading to packaging changes and menu tweaks to ensure quality control. Leading brands such as Shake Shack have experimented with off-premise kitchen models to expand delivery reach without opening new stores. The future of menu strategy is delivery-optimized, data-driven, and experimental.

COVID forced restaurants to rethink customer retention—moving beyond discounts and into long-term engagement strategies. Successful loyalty models use data-driven behavioral insights to reward and incentivize incremental visits. Loyalty has evolved beyond point-based rewards—subscription dining, behavioral incentives, and gamification now drive long-term engagement.  

Perhaps the biggest takeaway of the post-pandemic world is that restaurants must now think like digital eCommerce brands. Restaurants are no longer just restaurants—they’re tech-enabled, experience-driven brands. Without strong customer insights, predictive modeling, and analytics, brands can’t build effective loyalty programs or personalized marketing strategies. 

The playbook of restaurant success has changed. Restaurants today must blend instinct with data-driven decision-making when scaling, expanding, or introducing new offerings. Success is about merging hospitality, personalization, and digital-first marketing. 

– Mike Ford, CEO of Skydeo

Over the past five years, the restaurant industry has undergone a seismic shift, shaped by the pandemic, labor shortages, rising costs, and evolving consumer expectations. One of the most important lessons has been the need for adaptability—not just in operations, but in how restaurants engage their guests. Today, community-driven marketing has become a game-changer. Guests are more likely to support brands that align with their values, and restaurants that invest in purpose-driven engagement—whether through social impact initiatives, loyalty programs, or digital innovation—are the ones fostering deeper customer loyalty and long-term success.

Technology is no longer optional; it’s essential for survival and growth.

Another key takeaway is that technology is no longer optional; it’s essential for survival and growth. From streamlined online ordering to AI-powered personalization, restaurants that embrace tech solutions are better equipped to navigate challenges and maximize efficiency.

However, the most successful operators balance automation with genuine human connection. Whether it's a heartfelt social media interaction or a cause-marketing initiative that turns customer engagement into community impact—such as programs like GiftAMeal—the brands that thrive are those that use technology to enhance, not replace, the personal touch that makes dining out special.

– Andrew Glantz, CEO of GiftAMeal

For the next part, cliick here.