Product Hub July 21, 2021
As Restaurants Reopen, So Do Promo Opportunities
Branded umbrellas and creative takeout packaging are among the trends expected to remain long after COVID.
The coronavirus pandemic sent eateries across the country into freefall.
“The restaurant industry world got flipped upside down,” says Tom Rector, CEO of Screenbroidery (asi/305623), a distributor firm based in Indianapolis, IN.
A survey by the National Restaurant Association late last year found that 17% of U.S. restaurants – about 110,000 establishments – have permanently shut down since COVID began. The ones that remained have had to be flexible and change their business models – switching to takeout only or increasing outdoor dining. As the country returns to normal, many of those pandemic-era dining trends – and the promo associated with them – remain popular.
“There were a lot of different things that became popular over the last year,” says Rich Carollo, president of supplier Lion Circle (asi/67620) and owner of Flo & Santos, a family restaurant in Chicago. “We had to adjust quickly.”
During the pandemic, signage spelling out COVID precautions was key, as were paper products and takeout packaging, Carollo adds. Outdoor dining was huge even in the colder months. “We gave away blankets and gloves to promote outdoor seating during the Chicago winter,” Carollo says.
Though trends like PPE and precautionary signage are less in demand now, outdoor dining still resonates. “Tents and umbrellas are still extremely popular,” Carollo says. “It’s a great promo opportunity to place a logo or brand name on these outdoor products.”
Many restaurants switched to using QR codes – allowing diners to access menus from their smartphones. Prior to the pandemic, that technology was all but obsolete, Rector says, but the demand for contactless ordering brought it back to the forefront. He doesn’t expect it to go away anytime soon. QR codes “got a new life, and now menus are a waste of money,” Rector adds.
As the restaurant industry rebounds, it’s also seeing a higher-than-usual turnover rate. In May, the quit rate for the food service sector was 5.7% according to the Bureau of Labor Statistics – higher than the quit rate across all sectors. For the promo industry, the high turnover rate translates to an increase in uniform purchases.
“We’re currently seeing a trend where restaurants will order 50 uniforms of a variety of sizes instead of an individual uniform for one employee,” Rector says. “Since the turnover is so high, bars and restaurants want a bunch of uniforms that they can give out at once.”
The pandemic forced many restaurants to develop takeout service for the first time ever. Even though indoor dining is returning, many eateries continue to offer takeout. “We gave out logoed containers for takeout as well as desserts in a branded box,” Carollo says. “This has become very popular, especially for small businesses who had to adjust to takeout. I see this trend continuing.”
The ongoing popularity of takeout presents an opportunity for the promo industry, particularly if they can offer restaurants creative packaging options to help them stand out. “We try to tell a story, even with our packaging,” Rector says. “Restaurants want their customers to remember them, even during takeout.”
With the food industry still in flux, now might be the perfect time to help restaurant clients rebrand themselves. Since all eateries are undergoing a natural transition back to normal, Carollo says, there’s a great opportunity to rethink logos, branding colors and other marketing materials.
“Things are changing fast in the [restaurant] industry,” Rector says. “Looking towards the future, I expect to see outdoor dining, takeout and QR codes to stick around the most.”
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