Catersource | Winter 2024

COVID-19 fundamentally changed corporate drop-off catering. While many caterers are thriving again, capitalizing on new opportunities and improved operational efficiencies, they are doing so in an entirely new environment.”

between 2022 and 2023. Eventually this will drive improved delivery catering opportunities. Employees The hospitality industry no longer attracts young talent as it once did, leading to a smaller pool of candidates to fill key positions. Millennials and Generation Z are often perceived as entitled by older generations, yet many employers recognize that these younger workers are talented but may have different work expectations and values. With the exception of sales, remote work is generally not feasible in the catering industry, but retaining young talent requires listening to their needs. Skilled workers remain essential, and catering’s hands-on nature makes it difficult to accommodate remote arrangements. Clients Client profiles haven’t dramatically changed, but new opportunities have emerged in amenity services, such as subsidized coffee and lunches for large employers to encourage employees to return to the office. During the pandemic, clients were generally understanding of the challenges faced by caterers, but there’s been a shift to a younger cohort of catering buyers who are more transactional and less collaborative than their predecessors. These younger clients prefer efficiency over relationship-building, which contrasts with traditional catering practices. Caterers now find themselves confirming orders more frequently due to a lack of communication from these clients. Last-minute orders have

become commonplace, presenting both challenges and opportunities, as clients who plan better may be more demanding. Clients are increasingly interested in diversity, equity, and inclusion (DEI) policies, sustainability, and women- owned business status. However, price remains a primary deciding factor for caterers, often requiring them to have these policies merely to “check the box.” The competitive landscape Prior to COVID-19, corporate caterers faced competition from third- party delivery services like DoorDash and Uber Eats. The pandemic intensified this competition, as these services provided affordable options for clients. Now, caterers compete for clients who value quality over the lowest price, seeking to reclaim their market share. Food While COVID-19 didn’t fundamentally change caterers’ menus, it did lead to significant scaling back during the peak of the pandemic. Some caterers suspended their standard menus and are just beginning to resume their pre- pandemic offerings. Ongoing trends toward local, sustainable ingredients and allergen awareness continue to drive culinary changes in the industry. COVID-19 fundamentally changed corporate drop-off catering. While many caterers are thriving again, capitalizing on new opportunities and improved operational efficiencies, they are doing so in an entirely new environment. As companies encourage or demand that employees return to work, they will be using

food to attract and retain talent. This battle will be fought in part with food and beverage services. The industry may never return to its former state,

but these adaptations may help caterers thrive in a transformed market.

Paul Neuman has been in the food business for over four decades, coming from a family

with three generations of history in the New York food world. His career included building successful full service and delivery catering businesses in New York City and Philadelphia. In the pre-pandemic era, his Neuman’s Kitchen business was one of the top 10 largest caterers in New York. Since recently selling his New York business to a large contract foodservice company, he joined Certified Catering Consultants. Paul’s particular areas of expertise include creating and building drop- off catering divisions for caterers, restaurants, and food retailers. He brings the knowledge necessary to help both start up and established caterers to increase revenues and profitability. The Certified Catering Consultants (CCC) will offer free half-hour appointments on site during Catersource + The Special Event 2025 to address your catering-related challenges, identify your highest value opportunities, and/or help you improve your business and ROI. The CCC team has been consulting with caterers for over 20 years and many of them ran businesses of their own— or still do!

CATERSOURCE ■ WINTER 2024

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