Criterion 1.8: The Future of Foodservice and Employee Amenities

B E N C H M A R K I N G SURVEYS | DATA | INSIGHTS

SURVEY REPORT

1.8 The Future of Foodservice and Employee Amenities September 2024 Proudly brought to you by 4xi Global Consulting

Dear CRITERION Members, We are excited to share our latest survey results from CRITERION! When we created this final survey for the CRITERION series, we wanted you to think about what the next five years may look like in the workplace.

This survey asked what key trends will continue or fade away, and what may impact the future of foodservice and employee amenities. As you are aware, this survey is on The Future of Foodservice and Employee Amenities at work. We asked questions that included your opinion on where employee foodservice and amenities are heading.

We inquired about your view on employee amenities in areas such as commuter solutions, childcare, commuter subsidies, the hybrid office, the importance of coworking space, and how the traditional office may change.

We also touch on sustainability and zero waste targets, how artificial intelligence and mobile technology will impact the amenity space, plant-based option importance, healthy options, and so much more. No one can predict the future; however, post-COVID we have certainly learned how much this industry adapts to change and how we need to constantly be ready for what we may encounter in the future.

Managing food service is a process of constant change. In the past, we have dealt with financial spending and the P & L being a major focus and then shifting to workplaces seeing the benefit of a subsidized offer, to keep employees on site and productive, which far outweighed the cost of the subsidy. Then, post-Covid the challenges of predicting who will be onsite, and more importantly, what days of the week. Keeping abreast of what office amenities are important to employees will remain critical as we evolve into what the new normal of the hybrid workplace will be.

Regarding commuter solutions, the respondents to this survey feel commuter solutions will be especially important in the next five years (62%). Several food service topics will remain important such as sustainability, zero waste, plantbased options, healthy options, and flexible and dynamic coffee being offered.

Seventy-seven percent feel plant-based options will be part of the standard offer. Not only are food service topics important but, so is technology according to our results. Technology, specifically artificial Intelligence (AI), will be a crucial factor in the future of work. On a scale of 1-5 the score landed at 4.15 for AI’s importance, which makes it significantly important. Regarding mobile technology, 100% of responders answered it will play a significant role in the future of food service.

2

Since none of us holds a crystal ball, we do not know what the future will truly look like but based on our experience, ever-changing workplace flexibility, and key learnings, we must continue to familiarize ourselves with the current and future trends.

In this comprehensive report, you will find:

Top five highlights of the findings

Visual view of the results per question

Specific survey questions and results

4xi has considered it a privilege to have had you as a CRITERION member. We are working diligently on “CRITERION 2.0” which will kick off with an annual Customer Experience (CX) Survey in September 2024. As a participant, you will receive the results along with a research report that details the state of CX. We anticipate the full report being available in January. The second annual survey and report will be on the Away from Home Markets and be released in early March with the report coming later in the year. We will send you each survey to ensure we have your input on these important topics.

Please reach out if you have a specific research or survey projects you would like us to conduct, as I would be honored to assist.

Sincerely,

Ann McNally Ann McNally Practice Lead CRITERION Benchmarking 4xi Global Consulting & Solutions e: annmcnally@4xiconsulting.com p: (732)677-9060 w: www.4xiconsulting.com

TOP

HIGHLIGHTS

feel technology will play a significant role in the future of food service.

100% feel the hybrid workplace will play an important 94% role in the future workplace.

83%

feel artificial intelligence will have a high impact on employee amenities. feel that plant-based options will be part of the standard food offer.

% commuter solutions will be extremely 62% feel important in the future.

3

HIGHLIGHTS OF THE RESULTS 4

Commuter Solutions 7%

Somewhat Not Important

31%

Somewhat Important

62%

Feel They Will Be Extremely important

The Most Impactful Commuter Solution - Ranked

#1 Flexible arrival/departure schedules #2 Ride share programs #3 Public transportation subsidies #4 Company busses and shuttles #5 Bike storage (and changing rooms)

Amenity services in order of importance

#1 Flexible workspaces #2 Free meals/snacks #3 Mental health support #4 Fitness facilities #5 On-site childcare Hybrid workplace will play a significant role in the future 4.69 Overall

6

Do you have co working options?

38%

53%

Have you made changes to your co working space?

93%

%

7

Co-working Evolution Over the Next 5 Years

54% More flexible and dynamic 31% Less relevant 15% Replaced by remote work solutions Demand for Commuter Solutions Over the Next 5 Years

54% Increase significantly 23% Increase moderately 15% Stay the same 8

Future of Work Accommodating Remote Workers 23%

Partial integration with designated remote days

77%

Fully integrated remote work set up

Importance of Supporting Hybrid Workers 15%

Stay the same

85%

Increase significantly

9

Flexible workspace and retaining top talent level of importance 4.77 Overall

10

The Importance of Healthy Eating Options in the future of Foodservice 7%

Neutral

50%

43%

Primary focus

Equally important to other options

Importance of plant-based options as part of the standard offer 8%

Neutral

23%

Somewhat

77%

Very likely

11

Importance of Sustainability to Future Employees 4.77 Overall

Zero Waste Importance in the Future 7.5%

Increase moderately

7.5%

Stay the same

85%

Will increase significantly

12

Role/ Importance of Technology in Foodservice in the Future

100%

Central role

13

Importance of Artificial Intelligence on Employee Amenities 4.15 Overall

Artificial Intelligence likely to impact on to Foodservice 32%

Somewhat likely

68%

Very likely

14

Foodservice Innovations to Most Impact in the Future Tie between

31% Personalized meal plans 31% Automatic ordering and delivery systems Tie between

15% AI 15% Healthy Options 8% Sustainability

15

Onsite amenity least important in 5 years Childcare

Prediction on employee wellness practices

Other Future Trends 55%

Consumer personalization

7%

Sustainability

7%

Health and wellness

100%

They will expand

16

31%

Technology Advancements

17

Postcard to the Future of Foodservice

Design & Curated Work Experiences: Personalized experiences from recruitment, onboarding, commuting, home/campus experience, and home again.

+ Food

+ ness t i F h+

Life

Workplace an d the facilitat employee amenities will become or of the ov er as opposed to the driver all work experience . Work expe the future rience will more consum be all about how to mak of able, more in e work te more seamle ss, and thos grated with life, e are the key we need to fact attr into the futu act and retain the be ors as st talent re.

Healt

Work = Life = Work Our HQ will be to our cultu a museum/homage re and histo ry.

18

ry chnology, ve High end te ased options t-b healthy plan m. are the nor

focus on y that willcommunity, it iv ct a d le tially ion, engagement, pandemic ct e an experien Work will brs to optimize satisfaes, HAPPINESS!). Pomstute is the factotion, and happiness (y a week, 2 hour com want to collabora alize that the 5 dayan alternative. People nsumed by people re f life and there is hey want, not be coill become a waste o ork when and how t s of the future w ers of culture consume w the past. WorkplaceThey will be remind go. Latent work as inns not destinations. to go, not have to dation, attractios where people choosemunity use, accommo fice: Half the and place be turned into come is the Espresso Of space will d retail. The futur hotels, an e the experience. size, twic

It didn’t change as much as we thought.

Focused on well being, more personalized workplace becomes a place people look forward to coming into or visiting . Hybrid and work from home solutions more advanced and integrated.

Choices, cho of how, whe ices, and more choices re, and whe n we work.

Technolo working stgya , flexible tions

Technology!

19

SURVEY RESULTS

20

How important will commuter solutions (e.g., transportation, transportation subsidies, bike storage, ride sharing) be in employee amenities?

7% 31%

62%

Extremely important

Somewhat not important

Somewhat important

Extremely not important

Neutral

What would you say will be the number one most impactful commuter solution?

#1 Flexible arrival/departure schedules #2 Ride share programs #3 Public transportation subsidies #4 Company busses and shuttles #5 Bike storage (and changing rooms) 21

Please rank the below amenity services in order of importance .

#1 Flexible workspaces #2 Free meals/snacks #3 Mental health support #4 Fitness facilities #5 On-site childcare

How significant will the support for hybrid workers be in the future workplace?

4.69 Overall

22

What other workplace amenities will rise in importance over the next 5 years?

Regional Offices (Lighthouses) and Local Community Hubs to provide more flexibility for employees and ease commute.

Integrated workplace experiences, no matter where the employee is.

Foodatainment: making the food experience central to the workplace community.

The office will be an experience (a treat) to come in and taste the culture of the organization and connect with colleagues and friends.

Cool breakroom and pantry programs focused on the needs of the local working group i.e.

Tech, call center, creative etc.

Total Flexible Working (TFW)

More pantries with better offerings.

Eliminate vending and replace it with micromarkets. Food oasis with smaller footprints.

Comprehensive (and subsidized) commuter solutions. More community programming (speakers, classes, events). Employee Apps will become prevalent. Flexible working 24/7 come when you want schedules....

Flexible working needs to be cemented as a policy, both in terms of days required in, but also time in the office. Right now, there are unwritten policies, so uncertainty remains. The ability to work from other company locations, including branches. A commitment to an equitable approach - making more amenity & other programs available across locations (even if a subsidy for a local gym), Reducing some of the ivory tower perks - many leaders talk about appreciating their employees but when they have access to many free office perks and many employees don’t even have a cafe, there is a clear disparity.

Work from home support, Concierge services, Continues education and training

23

Do you have co-working options today?

38%

54%

8% Other

If you said yes to co-working options, what are they?

24

Local hubs

Capital One Cafe network

Starbucks!

Hotel lobbies, Santander Work Cafes, Starbucks, Restaurants.

You can avail yourself of drop in seats at some locations, but they are limited in number. You cannot just drop in to any floor.

What changes do you foresee in the future of co-working spaces?

Percentage of Respondents

100%

92%

75% LEGEND They will become more popular They will remain the same

50%

They will decline in popularity They will be replaced by other solutions They will disappear completely

25%

0%

Other

0%

0%

8%

0%

0%

Future Of Co-Working Spaces

25

How will the concept of the traditional office evolve over the next five years?

Percentage of Respondents

100%

75% LEGEND

50%

It will become more flexible and dynamic

53%

It will remain largely the same It will become less relevant

30%

It will be replaced by remote working solutions It will disappear completely

25%

0%

Other

15% 0%

0%

0%

Traditional Office Evolution in 5 Years

26

How do you anticipate the demand for commuter solutions will change in the next five years?

8% 15% 54%

Increase significantly

Decrease (0%)

Increase moderately

Other

Stay the same

23%

27

How do you believe the future office will accommodate remote working?

23%

Fully integrated remote work setups Partial integration with designated remote days

77%

Minimal integration No integration Office-based work will return to prominence

How do you see the importance of supporting hybrid workers evolving?

15% Increasing significantly

85%

Increasing moderately Staying the same Decreasing

28

How important will flexible workspaces be in attracting and retaining talent?

4.77 Overall

What role will technology play in the future of foodservice?

100%

Central role (ordering, delivery, payments) Supporting role (enhancing service) Minimal role

29

What role do you believe healthy eating options will play in the future of foodservice?

7% They will become the primary focus

43%

They will be equally important as other options

50%

They will remain a niche offering They will decrease in importance Other

30

How likely is it that plant-based menu options will become a standard offering in foodservice?

8% Very likely

15%

Somewhat likely

77%

Neither likely nor unlikely Somewhat unlikely Very unlikely

How important will sustainability practices (e.g., zero waste, local sourcing) be to future employees?

4.77 Overall

31

How do you see the importance of zero waste initiatives in foodservice evolving?

7.5% 7.5% Increasing significantly Increasing moderately Staying the same Decreasing moderately

85%

Decreasing significantly

What role will mobile technology (e.g., apps, mobile payments) play in the future of foodservice?

Central role

100%

Supporting role Minimal role

32

How significant will the impact of artificial intelligence (AI) be on employee amenities?

4.15 Overall

How likely is it that Artificial Intelligence (AI) will significantly impact the foodservice industry?

32%

Somewhat likely

68%

Very likely

33

Percentage of Respondents

Which type of foodservice innovation do you believe will be most impactful?

50% 31% 31% 25%

15% 15% 8% 0%

0% Types of Foodservice Innovation Automated ordering and delivery systems Personalized meal plans Sustainability-focused solutions

34

Health and wellness-oriented options AI-driven menu optimization Other

Percentage of Respondents

Which workplace amenity do you think will be least important in five years?

53%

50% 39% 25% 8% 0%

0%

0%

0%

Least Important Workplace Amenities Fitness facilities

Flexible workspaces

On-site childcare

Mental health support

Free meals/snacks

Other (please specify)

35

What is your prediction for the future of employee wellness programs?

They will expand and become more comprehensive

100%

They will remain the same They will be reduced

36

Percentage of Respondents

What future trend do you think will have the most impact on the foodservice industry?

53%

50% 31% 25% 8%

8% 0%

0%

0%

Least Important Workplace Amenities Sustainability practices

Consumer personalization

Technological advancements

AI and automation

Health and wellness focus

Other

37

If you were to to write a postcard to the future of what foodservice and Postcard the Future of Foodservice employee amenities will look like in 5 years’ time what would you say?

Design & Curated Work Experiences: Personalized experiences from recruitment, onboarding, commuting, home/campus experience, and home again.

+ Food

+ ness t i F h+

Life

Workplace an d the facilitat employee amenities will become or of the ov er as opposed to the driver all work experience . Work expe the future rience will more consum be all about how to mak of able, more in e work te more seamle ss, and thos grated with life, e are the key we need to fact attr into the futu act and retain the be ors as st talent re.

Healt

Work = Life = Work Our HQ will be to our cultu a museum/homage re and histo ry.

ry chnology, ve High end te ased options t-b healthy plan m. are the nor

focus on y that willcommunity, it iv ct a d le tially ion, engagement, pandemic ct e an experien Work will brs to optimize satisfaes, HAPPINESS!). Pomstute is the factotion, and happiness (y a week, 2 hour com want to collabora alize that the 5 dayan alternative. People nsumed by people re f life and there is hey want, not be coill become a waste o ork when and how t s of the future w ers of culture consume w the past. WorkplaceThey will be remind go. Latent work as inns not destinations. to go, not have to dation, attractios where people choosemunity use, accommo fice: Half the and place be turned into come is the Espresso Of space will d retail. The futur hotels, an e the experience. size, twic

It didn’t change as much as we thought.

Focused on well being, more personalized workplace becomes a place people look forward to coming into or visiting . Hybrid and work from home solutions more advanced and integrated.

Choices, cho of how, whe ices, and more choices re, and whe n we work.

Technolo working stgya , flexible tions

Technology!

Author:

Published by: ANN MCNALLY

Practice Lead CRITERION Benchmarking Ann worked on the client side of the business for over a decade at both Morgan Stanley and Bristol-Myers Squibb. One of the biggest challenges she faced was senior executives regularly asking how their company compared to others. It ranged from various topics from what and how they offered their amenities to miscellaneous operational questions on just about anything. Ann created CRITERION to help companies answer those questions.

Ann had the privilege to lead a survey team at Bristol Myers Squibb where the team created a survey process for 17 departments across facilities. As an experienced leader and subject matter expert Ann will help clients get the answers they are looking for with CRITERION.

PUBLISHER 4xi Global Consulting EXECUTIVE TEAM Simon Elliot Managing Partner & Co-Founder Barbara Boden Managing Partner & Co-Founder Tony Johnson Leadership Advisory Council Chief Experience Officer (CXO) SUPPORT SERVICE Hannah Spearman Graphic Design & Creative Services

annmcnally@4xiconsulting.com

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