Last week, I attended the IFMA 2024 Virtual Marketing & Sales conference. Having been a part of the planning committee this year, I was looking forward to participating and seeing how everything would come together. Over 30 insightful sessions were conducted, highlighting the current trends and the future of the foodservice industry.
AI Spotlight
Artificial Intelligence (AI) was a major topic in several sessions. The conversation showcased how AI can be utilized differently across various segments.
One of the key highlights was a panel discussion featuring representatives from three different segments – an operator in college and university, a manufacturer, and a supply chain distributor – each sharing their unique AI integration experiences. For instance, Garett Distefano from U Mass Amherst shared how his college dining hall used AI to analyze pictures of leftovers on trays and utilized the findings to help reduce food waste from 9% to 6%. This practical use-case of AI shows how technology can promote sustainability and operational efficiency in diverse settings.
There is no “one size fits all approach to AI” and as Brandon Beals from DOT Food stated, “AI is not here to take your job. It’s here to be a companion in your job”. Simply said, AI is a great tool to enhance, not replace, the professional roles in the industry. At Tibersoft, we recently shared our approach to AI in this blog. We’ve seen its strength in sharpening precision in our current insights offering as well as increasing speed to insight.
Evolving Sales Strategies & Product Based Selling
One presenter shared how sales teams or brokers can benefit from understanding their operators’ market segment and product needs before making the sales call and tailoring the presentation around them. For instance, if the product being presented is yogurt, and it’s being sold into K-12 vs fine dining, it’s the same product but the sales process couldn’t be more different. For example, for K-12, you might highlight the nutritional compliance aspect and provide recipe ideas that are easy to serve in classrooms such as a fruit parfait. However, in fine dining, you could suggest blending it into a chicken marinade with earthy spices and lemon to make a new menu item utilizing some of today’s flavor trends. Same product, with a very different product-focused sales approach.
With most foodservice manufacturers targeting the same top 10 segments, from emerging chains to education, differentiation is vital. Arming sales teams with actionable data can provide a much-needed competitive edge, enabling tailored pitches that resonate with the customer. This well-curated data can be the edge your team needs and be a differentiating factor. I’ve seen how impactful it has been firsthand within our Tibersoft client community.
Combo Meals and Limited Time Offers (LTOs) Driving the Market
So far in 2024 these two tactics have been critical in attracting and retaining customers, especially with 70% of consumers feeling restaurants are charging too much according to one study cited. This aligns with the fact that the percentage of consumers cutting back on dining out has been on a gradual upward trend this year. The importance of LTO and combo meals is a driving factor in growth and strategy across every type of restaurant and C-Stores in 2024.
In Conclusion
The steady growth trend in the foodservice operator spending, projected by IFMA is 0.9% for 2024 and 1% for 2025 (real growth rate). This suggests that the industry will continue to evolve at a measured pace, and we can expect similar market dynamics heading into next year.
For Tibersoft, staying ahead of these trends means continually evolving our solutions to better support our clients. The insights from the conference reaffirm our commitment to integrating cutting-edge technology, fostering strategic partnerships, and leveraging data to drive success in the foodservice sector. As the industry continues to evolve, we look forward to applying these insights and helping our clients navigate the future with confidence.
