The quick-service market is saturated. It’s hardly a news flash, but it drives home the point that for a company to thrive in the space it must rise above the noise generated by a smorgasbord of competitors. When it comes to capturing market share, it’s less about who yells the loudest (think employees being sent street-side to wave sale signs at passing motorists) and more about which brands’ personalities leave a lasting impression on customers and make them want to come back for an experience unlike others.

Enter the skating Carhop, a SONIC Drive-In tradition and top-of-mind association with consumers. SONIC is unabashedly quirky–and in a good way. Customers enjoy the unique drive-in format, the popular line of plush kids’ meal toys shaped like Tots–and most importantly, the ability for its employees to have fun at work. You may be reading this at a desk or on a mobile device. Think of how much more fun you’d be having if you were reading while on a pair of skates.

The skating Carhop position is considered a brand treasure at SONIC. In order to celebrate it and promote it internally, the company hosts an annual competition each year to crown the top skating Carhop in the country. In addition to an online entry method, SONIC hosts regional submission events across the country to help Carhops get entered and give them an opportunity to shine. Last Saturday, one of those events took place in Phoenix. Amid the crowd of Carhop entrants, we spotted something not seen every day, a skating Tot–or “skater” Tot. It wasn’t there to wave down passing motorists, but simply to bring a little more joy to the crowd in classic, quirky SONIC fashion.

*Crossposted from the Crossroads blog.

Burger King, Sonic, Starbucks and Pizza Hut have all toyed with alcohol sales to varying degrees. But it’s unlikely that these QSRs or any others will extend alcohol to national distribution any time soon due to criticism of this practice by watchdog groups, and the abundance of beverage alternatives.

History shows that parent and consumer advocacy groups have influence with QSRs. A prime example of this is the Children’s Food and Beverage Advertising Initiative (CFBAI).  Participants in the Better Business Bureau (BBB) promise to devote 100% of their child-directed advertising to “better-for-you” foods. Both McDonalds and Burger King are members.

Alcohol sales at QSRs have also been strongly discouraged by groups such as Alcohol Justice (formerly Marin Institute) and The American Council on Alcohol Problems.

Beverage offerings have been expanded greatly over the last few years with very little of that expansion attributed to alcoholic options. Smoothies, coffee, frozen drinks, lemonade blends, sports drinks, and soft drink personalization tools such as Coca-Cola’s Freestyle have made appearances at QSRs around the country.  With all the variety, restaurants are increasingly able to provide customers with satisfactory beverage options without the need for alcohol.

While it is unlikely that QSRs will embrace alcohol sales nationally, concepts such as the Whopper Bar provide a different model that might allow alcohol a foothold in the QSR industry.  Some key aspects of the Whopper Bar that make it more alcohol-friendly include:

1. No drive-thru: Even if alcohol is not available via the drive-thru, selling alcohol at a location with a drive-thru option brings the drinking and driving issue to the forefront.
2. It is designed to sell higher-end items and competes more with fast casual and casual dining restaurants, which traditionally offer alcohol.
3. Many locations are in nightlife friendly areas such as University CityWalk at Universal Orlando Resort, Miami Beach’s tourist-heavy South Beach, and the Rio casino in Las Vegas.

As QSRs continue to expand beverage offerings, alcohol is not likely to be the next big thing, at least at the traditional QSR.

Photo credit: Shinya Suzuki. Used under Creative Commons 2.o Generic (CC BY 2.0) license.

The return to Americana is a cultural movement characterized by the celebration of all things American. Americana refers to cultural artifacts, cooking, art, architecture, and history that distinctly reflect the US culture. Norman Rockwell paintings. Apple pie. Red, white and blue. Anything vintage America is up for grabs.

Throughout history, we’ve seen that recession and conflict overseas have a tendency to band people together under shared interest and struggles, reinforcing national pride. Over the past couple years, a love affair with American heritage has grown and been fostered through various industries as Americans rediscover the history, diversity and culture of their country. To see this movement in action, the fashion industry is a great place to start as they’re leading it with vintage full skirts, cat-eye sunglasses, acid wash denim, Native American prints, leather fringe bags and American flags.

As chefs and foodies rediscover the diversity of American cuisines/ingredients, interest in American regional cooking and food traditions will continue to grow. The annual National Restaurant Association survey, What’s Hot in 2012, cites several top food trends that fall within the Americana Movement. These should be watched closely as many will ultimately filter through to the QSR world.

• Locally sourced meats and seafood and locally grown produce
• Hyper-local sourcing (e.g. restaurant gardens)
• Farm/estate-branded ingredients
• Food trucks/street food
• Soul/comfort/Southern cuisine
• Artisan cheeses, specialty bacon, ice cream, spirits

Within the QSR industry, the appeal of Americana is not confined to the menu. It also comes through in the store design and the experience. Sonic Drive-In, Krispy Kreme Doughnuts and Five Guys Burgers all provide an experience that provides homage to simpler times.

The diverse nature of this trend makes it one of the most promising food industry trends over the next decade. It’s simply a renewed appreciation for American culture.

Photo credit: ginnerobot

Your most vocal customers are typically those that would rank you as a one or a five on a five-point scale. They either really love you or they really don’t at all.

But in our social world, we’re getting twos, threes and fours coming out of our ears. It’s no longer difficult to express every complaint: slow service, cold food, wrong order, etc. Companies aren’t only encouraging it, they are rewarding it. Customers are savvy. They see someone complain and get freebies back. Not all customers are trying to get something in return, but they do know they can be heard.

American Express released their 2012 Global Customer Service Barometer which revealed that:

• 93% of consumers say companies fail to exceed their customer service expectations
• 55% walked away from an intended purchase in the past year because of a poor customer service experience
• 17% of consumers say they’ve used social media at least once in the last year to obtain a customer service response
• 21% of those were willing to pay a premium at companies that provide great service
• Social media users tell three times as many people about positive service than the general population

It’s hard not to put a focus on customer service in social media. However, Forbes recently directed companies to dump their customer-service oriented social media strategy. They discuss the importance of using social media as a tool that ladders up to brand and business objectives.

It all boils down to knowing your customers. Know what they want. Know what they need. Be true to your brand.  Social media can be most powerful when all of those are combined.

I recently helped our client, SONIC Drive-In, coordinate a video shoot for a new show debuting this summer celebrating the most cherished fast food restaurants in America. Half of the all-day shoot took place inside the kitchen and focused on giving viewers a behind-the-scenes look at some of the brand’s iconic menu offerings.

Once I settled down from the rush of the production (and the sugar rush unleashed by unlimited access to SONIC’s 398,292 unique drink combinations) my thoughts turned once again to how crucial it is for public relations professionals in the quick-serve restaurant industry to experience the operations side of the business.

For any restaurant, but particularly a drive-in format where the customer never sees the kitchen up close, opportunities are few and far between to experience first-hand the teamwork and ordering ballet that take place during every shift.

Not only does it give you a genuine appreciation for the front-line workers in the company, it opens your eyes to new insights and perspective that can directly impact or inspire your work back at the office. A good number of employees at SONIC’s corporate office have worked at least a day at a drive-in. While I haven’t suited up for a shift (my first job as a 15 year old was in fast food, however), I’ll keep looking forward to witnessing the magic in the kitchen and the hard-working folks who make it happen.

Want to increase consideration, recommendations and repeat visits? Plan for a mobile-friendly experience.

The modern cellphone has morphed into an instant messenger, mailbox, camera, flashlight, computer, map, dictionary, newspaper, personal assistant and social media portal all in one.

Because of these features, smartphone adoption is on the rise, and nearly 50% of all mobile phones are now smartphones–with the vast majority being iPhones and Androids.

You see customers using their mobile phones in your restaurant every day.  They stand in line or sit at a table for one seemingly alone, except for their instant connection to friends, co-workers, news stories, photos, etc.–all enabled via their faithful smartphone companion.

So what does this mean for your business? A lot.

In fact, in a recent study, Lab42 found that 95 percent of surveyed smartphone users say their devices have a role in their dining choice prior to eating out, and 23 percent of users say their device comes in handy every single time they eat out.

How are people using their devices before the meal? To find you, to see what hours you’re open, to decide if your menu fits their immediate need, and to connect with friends about their dining plans. According to the survey results:

• 20% use their phones to communicate plans
• 19% use their phones to look for a restaurant
• 18% use their phones to check out the menu
• 18% use their phones to get directions to the restaurant

How do people use their phones while dining out? Taking photos (of your store, your employees and your product) and communicating with friends–likely about their dining experience. Survey results said:

• 19% post a Facebook status update
• 24% take photos
• 18% check-in at the restaurant
• 13% search for places to go after dining out

Most people still use their devices after the tab is settled. The reasons for using the device after dining include using social media and posting a photo, both of which can be key drivers of repeat visits and likelihood to recommend. The survey found:

• 22% post a Facebook status update after eating
• 22% find directions home
• 14% post photos

Today’s customer is mobile, on-the-go and always connected. Make sure your restaurant–and its mobile web presence–are prepared to meet your customer’s needs before, during and after their visit.

Photo credit: Tony Alter

Go Greek or go home. That’s the sentiment from the yogurt giants regarding the new “Healthy and Indulgent” trend: Greek yogurt. This yogurt segment helped rocket previously unknown brands like Chobani and Fage to the top of the yogurt category in market share.

And now, frozen treat chains like TCBY and Ben and Jerry’s, are catching on, turning Greek yogurt into a frozen treat packed with twice the protein and lower in calories than regular ice cream. National retail sales of Greek yogurt more than doubled in 2011 according to Mintel.

As dessert trends go, if it’s going to be a “bad for you” dessert, then make it smaller. Brands like Chili’s have seen the increase in dessert orders by switching from the uber-indulgent, calorie-busting, plate-filling desserts to small, even quaint, portion sizes.

Can the QSR category learn from these fast-growing trends? I think they can. Here are a few ideas that would coax me into pulling a couple extra bucks out of my wallet:

• Update the formula – Take what you do well in desserts, cut back the sugar content and add healthy benefits like whole fruit or protein powder. We already know healthy options attract a broader customer base like Millennials, so why not extend those to desserts?
• Reinvent the “Value Meal” – Take your basic desserts, cut the size and offer them as an add-on to the value meal for a smaller price. Two or four ounces of an indulgent treat are a lot more palatable than 12+ ounce gut busters after a large meal.
• Sell sample platters – People love to try and share desserts. Offer them tiny versions of all flavor varieties…they may just come in outside of mealtimes to check it out.

What other successful dessert trends are you seeing?

In November 2008, a deal-of-the-day website named Groupon launched. Heard of it? Yes, we all know and have likely used Groupon or the many competitors that have been established since.

QSR Magazine points to a 2011 study by ForeSee that showed 65% of online shoppers subscribe to at least one daily deal email. Two-thirds of these subscribers had purchased a deal in the last three months and 89% of them redeemed it.

So we can see that these deals are popular among consumers but how are they impacting your business?

The daily deal has changed the way consumers buy and a result, the way businesses think about using these incentives. In a time when consumers are more aware of their spending, the daily deal has traditionally provided the opportunity to generate trial. The discounts are significant and, based on the statistics above, many consumers take advantage of those savings.

While these deals may encourage trial initially, it becomes a challenge for businesses to hold on to the deal hunters and turn them into loyal customers. The consumer mindset is to wait for another deal that will inevitably come through with the next email.

What was once a reliable short-term tactic has made merchants stop and think about the long-term impact on their profit.  As a result of hesitation, new options for businesses have sprouted up recently.  Enter the next iteration of the daily deal known as the inverted deal.

According to another recent QSR Magazine article, the “inverted deal” does everything right that the daily-deal model does wrong. The discount is delivered to consumers when they buy something for the first time. Like a credit, it is baked into the payment versus pre-paid up front. Consumers make their purchase decisions before the discount is applied so they are aware of the full price value of the item or service.

In addition, the credit is thought of as bonus savings so consumers are more likely to spend more than the deal amount. After the initial savings, repeat visits encourage progress toward additional credits and savings. This model resembles a loyalty program more than the daily deal ever did.

There are several companies and mobile apps popping up that utilize this model. Time will tell if these become as widespread as Groupon. One thing is for sure, there are now more choices for you to find the best solution for your business.

In a recently published research study by Technomic, 33% of all breakfast coffee drinkers stated that they were loyal to a particular brand of coffee. The marketing repercussions of this are significant.

If your chain has its own distinctive coffee flavor or uses a branded coffee that consumers find appealing, you can count on one-third of your customers to keep coming back just because they love your coffee.

Add to this fact that speed is the key driver to customer loyalty for both QSR and convenience store chains, and you have the two most important ingredients to a successful daypart. The Service Management Group (SMG), which measures customer loyalty for many of the leading QSR chains, reports that speed is one of the key drivers for customer loyalty—and that it is even more critical at breakfast.

This same Technomic study also reported that 46% of all consumers eat breakfast out occasionally on weekdays. That compares to 39% who reported that behavior in 2009—an 18% increase in just two years.

The question for chain brand stewards is how to best take advantage of these encouraging trends?

Several QSR chains have already begun co-branding on coffee.  They have concluded that it’s easier to ride on the back of an existing brand of coffee than try to build your own loyalists from scratch.  And, you obviously broaden your market when you co-brand by adding those loyalists to the mix of potential users of your brand.

Speed is a much more difficult attribute to achieve. Obviously, you have to have the physical plant and processes to enable quick service to be the rule rather than the exception. But as important, if not more important in achieving speed, is the menu.  The more options you offer for breakfast, the longer the customer will wait for their choice. Keeping breakfast simple is one of the keys to keeping breakfast fast.

Customers are telling us that they are eating breakfast out more often and that there are two keys to getting their business: give them coffee they like and make the whole experience quick.

Photo credit: Seth Sawyers

As Facebook continues its reign as the number one social networking site, even small changes to its platform are met with considerable interest.

So when Facebook announced a new timeline layout – and mandated that all brand pages follow the timeline format by March 31 – it spurred significant debate.

Whether you personally love or hate the new timeline format, many brands are taking advantage of the new platform to tell compelling and creative stories about themselves.

In the QSR category there are many brand narratives unfolding in bold imagery and succinct copy points: heritage, quality, local, global, natural, sustainable, fun, taste and LTOs.

And research indicates that the new timeline format is driving greater brand engagement.  According to the website All Facebook, Facebook post engagement soared 176 percent in the first quarter of 2012.

So how can you maximize the new timeline to drive greater customer engagement from Facebook?

According to author John Souza, the founder and chief strategist of Social Media Magic and author of The Only Business Book You’ll Ever Need, the most successful company timelines are the ones that maximize milestones, larger images, highlighting and pinning, along with the new about section.

Milestones

Businesses need to include milestones that will resonate with their core audiences. This is a really great tool for those companies that have not successfully leveraged key moments in their companies’ histories in the past.

Images

A picture’s worth a thousand words. This reality is one of the reasons behind Pinterest’s success. Marketers should focus on incorporating vibrant images in conveying their brand’s story.

Highlighting And Pinning

Find posts that generated the highest level of engagement among your target audience. Marketers can now make individual stories more prominent in size, or pin them to the top of their company’s timeline.

This is a huge opportunity for marketers to showcase content that really engaged their community. It also provides a way for essential posts to cut through the clutter and drive attention to what’s important to your audience and brand. 

About

Revisit the bio your company has been using. The new “about us” section featured prominently below your timeline cover provides a small space of opportunity to tell the world about your business. Keep this description to a minimum. It should be a brief, but strong, statement that sums up your brand. Don’t forget to leave room to include a web address.

When combined, these features can provide an unparalleled method of creating a comprehensive and cohesive overview of who you are as a brand.

Timeline requires marketers to get more creative in order to best express a compelling brand story and engage audiences. It’s a marketing game changer, and it alters the rules of online promotion.

Not only does it present marketers with a novel way of highlighting their brand’s history and growth, it might be just the marketing fix they’ve been looking for.