Tech investment high on agenda of hospitality leaders for 2024

14-Dec-2023 - Last updated on 14-Dec-2023 at 11:07 GMT

Tech advantage: many sector leaders claim they will spend more on technology solutions in 2024 (credit: Getty/Morsa Images)

Three in five hospitality leaders plan to invest in new technology solutions in 2024 – with employees being their main area of focus.

The latest edition of the Business Confidence Survey compiled by CGA by NIQ and Fourth revealed 61% of leaders intend to implement new solutions over the next 12 months while another 20% intend to do so within the next three years. Only 15% think all their required technology is already in place.

Research found sector leaders recognise the important role of tech in managing and engaging teams with just over half (55%) saying staff scheduling and rota management is a top-three benefit from investment in technology, and more than a third think it helps with payroll (41%) and employee onboarding (35%).

Commercial advantages

Investment can lead to significant commercial advantages, the Business Confidence Survey indicated. Four in five (81%) leaders agree that it can increase productivity while three in five (63%) think it improves employee engagement.

It can also help businesses improve their stock efficiencies with significant numbers citing better inventory management (43%), recipe and menu compliance (37%) and supplier management (24%) as top-three benefits.

Sebastien Sepierre, managing director – EMEA, Fourth, said: “The current economic climate has revealed the need for leaders to identify efficiency measures wherever possible, and investment in technology could hold the key to streamlining operations across the board.”

Tech at heart of hospitality

Karl Chessell, CGA by NIQ’s director - hospitality operators and food, EMEA, added: “Technology is at the heart of hospitality now and these numbers show leaders recognise the need for smart and sustained investment.

“With recruitment and retention such big issues for all employers, digital solutions are going to be especially important in delivering good experiences for staff and retaining top talent.

“Capital is squeezed at many businesses and many areas will be battling for investment in 2024 but deploying the right tech from the right partners can deliver big competitive advantages in a tough market.”

The Business Confidence Survey was collated via responses from leaders at CEO, MD, chair, board and other senior management levels and in October 2023.