The restaurant industry is one of the fastest growing sector in the Middle East and has grown exponentially over the last few years, and expected to grow at a CAGR (compound annual growth rate) of around 8% to reach US$ 29.3 billion by 2020, driving big operators and restauranteurs to optimize their operations, keep up with the latest trends, and work towards better customer service solutions.
Health conscious and wellness meals are predominately the hottest of the trends up there with the delivery frenzy and aren’t going anywhere anytime soon, but let’s take a look at what else is happening there.
Wellness Warriors
Dubai has no shortage of great eateries, and sourcing ingredients is no longer as challenging as it used to be in previous years with the new locally sourced organic and socially conscious food markets.
Menus continue to get healthier as operators search for customer-serving options. Gluten-free, keto-friendly and paleo menu options have grown in popularity as wellness and diet-friendly dishes become a priority to consumers.
Veganism is a trend that Prince Khaled bin Alwaleed have been uncompromisingly promoting with plans to change the hospitality and food service industry in the Middle East by introducing his new venture, Folia in partnership with vegan Chef Matthew Kenney. Folia, a vegan menu at the Four Seasons Hotels now counts the Los Angeles at Beverly Hills and the Bahrain Bay Four Seasons locations.
Dubai Municipality has now issued a new law enforcing the mention of calorie count on menus as part of their efforts to efforts to raise awareness about the nutritional values of the meals consumed by diners and giving them the ability to choose foods that suit their health status.
The Deliverution
Delivery makes significant progress as the introduction of delivery kitchens in the UAE could further improve the delivery economics.
Research from McKinsey, based on a six-month study covering 16 countries around the globe including the Middle East, provides insight into this fast-changing market. Worldwide, the market for food delivery stands at over AED 340 billion, or 1% of the total food market and 4% of food sold through restaurants and QSR chains. It has already matured in most countries, with an overall annual growth rate estimated at just 3.5% for the next five years.
The evolution in new delivery is driven by the alternatives offered to consumers who wish to have a good quality possibly Michelin-starred meal in the comfort of their home without the hassle of cooking.
This trend is both beneficial to the consumer and the operator, as it serves as an added income. Third-party logistics services make much more sense to franchise restaurants because it allows them to continue to interface with and own the relationship with their customer.
Backstage Experience
For decades, quality of food and service has been at the center of the restaurant industry and the UAE has been at the forefront of this world. However, with so many dining concepts excelling on both the food and service front, what makes a restaurant more distinguished than the rest of them?
In response to the continuous out-of-the-box restaurant marketing, some of the industry’s leaders have taken an avant-garde approach and introduced off a-la-carte menus highlighting unconventional, behind-the-scenes experiences that the diners will never forget.
Iconic eateries in the UAE have adopted this one-hit wonder and introduced “secret menus” and off menu dishes like B.B. Social Dining in DIFC. Some outlets even went off to create concepts based on experimental dining such as Inked and Concrete at Al Serkal Avenue, both with private dining options, experimental dining concepts, and Chef’s tables.
