Research has found that 86 percent of consumers are now using off premise services at least monthly. Houston restaurants need to factor in that trend and adapt to the shift in the market. Getty Images

The past year revealed a continued increase in the number of people ordering out at home or in the office, rather than dining in a restaurant.

Independent Market Alliance, a network of independent market share leaders in broadline foodservice distribution with 16 brands, found staggering statistics in their research demonstrating that 86 percent of consumers are now using off premise services at least monthly and a third are using it more than they did a year ago. This trend has driven a dramatic increase in third-party delivery service options, further facilitating growth.

Furthermore, consumers now want to better understand the full lifecycle of single-use packaging from how it was made and impact on the environment. With 24 percent of consumers always or usually considering sustainability when purchasing, sustainability has truly become a competitive focus that cannot be ignored, but not willing to compromise on functionality.

Adapting to consumer habits

Restaurants that have traditionally relied on a delivering an exceptional dine-in experience are now being faced with the challenge of creating that same customer experience through their packaging consumed offsite.

Diners expect to receive the same quality of food when they order delivery or take out as they would receive sitting down at a restaurant – from temperature, crispiness to the utensils needed to consume. Quality and the menu item's ability to travel well is important to consumers in the consumers decision-making process as 90 percent at least sometimes think about how well that particular food will travel, according to a recent study by the Cleveland Research Company Foodservice Council.

To combat this, restaurants operators are looking to new delivery solutions such as switching to temperature-control packaging with proper ventilation and carrying packages that separates different foods to prevent sogginess and loss of texture. This is key to succeeding the age of third-party delivery services, as nearly 60 percent of consumers would see the restaurant at least partially at fault if the delivered food is of reduced quality or took too long to arrive, per the study.

There is still a gap, in many instances, between the customer demand and traditional restaurant operators adapting to advanced packaging either due to cost of packaging or lack of product knowledge. National chains have begun to bring in third-party organizations with the core competencies in off-premise product knowledge for guidance and solutions as to what the offsite dining experience could look like. IMA has become a resource to help provide more understanding between cuisine type and the right packaging.

Third-party delivery and packaging innovation

While traditional sit-down restaurants and even their fast-casual counterparts haven't always had the at-home or offsite experience in mind, the rise of third-party delivery systems has led to additional considerations across all operators. In fact, the Cleveland Research Council's Online Food Consumer Survey (Gojak, et al., 2019) shows that 50% of U.S. consumers surveyed have used a restaurant delivery service at least once.

Customers who see that their food provider understands that safety is a priority have increased loyalty to establishment. As a result, the rise of tamper-free packaging has become a staple in food service within the past 18 months albeit providing the security through a label, a stapled bag or even more advanced with plastic seals

Tamper-free food packaging is taking on a higher profile as consumers fret about the possibility of delivery passing through hands of "touchy" third-party workers. Through simple innovations such as seals and button-top lids, tamper-free packaging goes a long way to give consumers peace of mind and demonstrate that operators are concerned about their well-being.

Bottom line, delivery demand is growing given structural tailwinds from shifting consumer demand for convenience and off-site consumption, and operators for both fast casual and traditionally dine-in restaurants must adapt.

Factoring in sustainability 

Sustainability is a frequently used buzzword in the foodservice industry that many do not fully understand. While sustainable and biodegradable are often used interchangeably in the foodservice industry, the word "biodegradable" has been greenwashed and actually means the package will degrade sometime in the next 500 years not what most consumers assume as compostable meaning it will biodegrade between 90 and 120 days

IMA and other industry leaders typically define sustainability of products by items that can be broken down within 90 and 120 days and are made of substrates that can be easily recycled by the average consumer. Many are now looking for ways now to develop these products to be truly sustainable in a way that is cost efficient enough to appeal to operators and help stop this greenwashing

Because operators don't always see the added value of innovative packaging, the additional price tag that comes with also ensuring that packaging is sustainable prevents wider use of sustainable materials in today's take out landscape. For that reason, most operators are just beginning to truly explore the cross over between sustainability and customer experience.

In 2020, operators will still find the greatest success from targeting the customer experience, but as researchers invest in affordable solutions, sustainability in single-use packaging will continue to gain importance.

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Stephanie Nicholson is the senior director of business development and national accounts for Independent Marketing Alliance, a network of independent market share leaders in foodservice distribution with 16 brands.

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Abbott assembles expert team to help lure U.S. Space Academy to Texas

space race

State Rep. Greg Bonnen of Friendswood has been tapped to lead a new team that will promote Texas as the future home of the U.S. Space Academy.

Bonnen, a neurosurgeon, chairs Houston Physicians’ Hospital and the powerful Texas House Appropriations Committee. His House district is close to NASA’s Johnson Space Center.

Gov. Greg Abbott appointed the seven-member team. Last month, President Trump signed an executive order establishing the Presidential Commission on the U.S. Space Academy. Commission members, who held their first meeting this month, will recommend a permanent location for the academy.

Texas officials are pushing a site near Johnson Space Center to host the academy. Alabama, Colorado and Florida are among Texas’ competitors.

In a joint statement, U.S. Sen. Ted Cruz and U.S. Rep. Brian Babin, both of Texas, issued a statement backing the state’s bid for the academy. Cruz lives in Houston. Babbin lives in Woodville, about 55 miles south of Beaumont.

“America’s space program is built across the country, but Texas is where the pieces come together,” the lawmakers said. “We are ready to lead the next generation of space pioneers and look forward to showing why Texas is the right home for the U.S. Space Academy.”

The academy’s curriculum will include technical education, leadership development and public service components. Graduates will be set up for careers in the U.S. military, civil service, and aerospace sectors.

The Abbott-appointed team will work with the Texas Space Commission to prepare the state’s proposal for the academy.

In addition to Bonnen, team members with ties to Houston include:

  • Robert Ambrose, who grew up in Houston. He worked at Johnson Space Center before becoming associate director of the Texas A&M Space Institute.
  • Former NASA astronaut Nancy Curry-Gregg, director of the Texas A&M Space Institute. She earned a doctoral degree from the University of Houston and previously worked at Johnson Space Center.
  • Former NASA astronaut Jack Fischer, senior vice president of Houston-based Intuitive Machines. The company builds spacecraft, delivers payloads to the moon and launches satellites.

“Texas is the home of America’s human spaceflight program,” Abbott said in a release. “No state can match what Texas brings to this mission.”

“NASA’s Johnson Space Center, world-class universities, a premier commercial space industry, major military installations, and an unmatched aerospace workforce give Texas every asset the United States Space Academy requires,” the governor added.

Houston space companies take off with new tech, deals and contracts

space update

Space City has had a busy month.

Houston-based aerospace institutions Venus Aerospace, Axiom Space, and Aegis Aerospace have each recently announced advancements in their respective fields that include expansions and new contracts from U.S. and international government agencies.

Here’s the latest:

Venus launches new test stand

Earlier this month, Venus Aerospace added infrastructure to support the ongoing progress of its Rotating Detonation Rocket Engine (RDRE) with the opening of its new propulsion test stand at the Houston Spaceport.

The Texas Space Commission's Space Exploration and Aeronautics Research Fund is funding the test stand, which is part of a larger effort from the state to increase investments in the aerospace economy. The ribbon-cutting event on Sept. 10 welcomed officials from Venus Aerospace, the Texas Space Commission, the Houston Spaceport, Houston business and local community leaders.

With the new stand, Venus will be able to test at higher thrust and for longer durations, which will allow the company to better replicate real-life conditions.

"Building and testing propulsion systems at this pace requires the right infrastructure around the technology," Sassie Duggleby, CEO and co-founder of Venus Aerospace, said in a news release. "We're grateful to the Texas Space Commission and the State of Texas for investing alongside companies like Venus. Public investment like this helps companies move faster and keeps critical aerospace capability growing here in Texas."

Venus closed a $91 million Series B in July and expanded its leadership team.

Axiom partners in Europe

Axiom Space has signed a memorandum of understanding with the European Space Agency for “sustained European access to low-Earth orbit (LEO)” following the retirement of the International Space Station, according to a news release from the company.

Under the agreement, Axiom and the ESA agreed to explore future astronaut missions on the ISS and Axiom Station, research, transportation and spacesuit partnerships. The organizations will explore using the ESA’s European Cargo Return service and potentially a future European crew vehicle to support operations at Axiom Station, the company's forthcoming commercial space station. The partnership could also involve Axiom's AxEMU spacesuit for orbital and lunar applications, according to the release.

“With the upcoming de-orbitation of the ISS, it is our duty to anticipate and prepare future solutions to ensure our access to low-Earth orbit,” Daniel Neuenschwander, director of human and robotic exploration at ESA, said in the release. “The two documents signed today underline both our commitment to safeguard our ability to pursue in-orbit science and to keep offering flight opportunities to our European astronaut corps, as well as the growing interest of international partners for our ongoing project to develop an autonomous European cargo vehicle.”

The announcement comes as Axiom has made several international moves this year. The company shared plans to establish Axiom Space Switzerland this summer and launched Axiom Space Japan in July.

"The path to a sustainable human presence in space runs through international collaboration — reliable supply chains, shared innovation, and partners who bring real capability," Jonathan Cirtain, CEO and President of Axiom Space, said in the release. "Europe's contributions to microgravity science and deep space technology make ESA exactly that kind of partner. This MoU strengthens our work together, and we look forward to ESA and its member states joining us as customers for future astronaut missions."

Aegis expands DoW deal

Webster, Texas-based Aegis Aerospace announced that it has won a new task order to continue supporting the U.S. Space Force’s Space Test Program.

The contract starts in October and covers designing, building, testing and operating Department of War payloads or equipment on NASA, government, and commercial launch vehicles and platforms. The contract was issued by the USSF Space Systems Command, Space Test Program under NASA Johnson Space Center’s Research, Engineering, and Mission Integration Services 2 (REMIS 2).

Currently, the company is working on three payload facilities on the ISS and has plans for two more in development.

“Aegis Aerospace is grateful to continue our exceptional payload integration support to the USSF and the STP to meet their critical mission objectives,” President Matt Ondler added in the release. “This work is more important than ever to maintain U.S. superiority in space. This new contract will take us beyond the current life of the ISS and see us integrate and test payloads on commercial space stations, free-flyers, and cislunar missions.”