Well, that’s a wrap on 2025. Happy New Year!
Now is a time for celebrations, resolutions, and of course, “Top 5” lists. In that spirit, we gathered our panel of experts together for a look back at the Top 5 Restaurant Stories from the year that was.
What were the big restaurant stories that made major headlines this year? What restaurant industry news had us all buzzing about at the trade shows and happy hours? What were the big restaurant tech innovations that made us excited, anxious, or a little of both?
Here’s what the experts had to say:
Costs were up on everything from ingredients and supplies to labor and rent in 2025. Restaurant owners really felt the pricing pinch. Owners and operators have responded to this pinch by adapting.
Rachel notes that “Rising costs forced many operators to rethink portion sizes, raise menu prices, and find new ways to protect their margins.”
Ashley adds that “A combination of other factors added to this pressure, including tariffs, sourcing issues, and new restaurant recession indicators, such as reduced traffic and lower consumer spending.”
Ashley also predicts that pricing pressure will be an even bigger story in 2026.
Restaurant owners weren’t the only ones feeling the pressure from higher prices in 2025. Consumers paid more everywhere — at the grocery store, the big box stores, and at restaurants. But there is a limit to how much you can raise your menu prices before you start to lose customers.
One of the big restaurant stories this year was the impact of consumer anxiety on spending at restaurants. As Nick points out, “We’re seeing a growing divide between two different types of consumers – those that can afford to spend on lavish dining experiences and those who are feeling real economic pressure.”
“As a result,” says Nick, “we’ve seen growth in fast food and value-focused offerings, and we’ve also seen growth in high-end dining. Meanwhile, the middle is getting squeezed out.”
The emphasis on a standout customer experience is greater than it has ever been. This was one of the biggest restaurant stories of the year. As costs have risen and consumers have grown more anxious about an uncertain economy, restaurants have found that they need to provide more than high quality food and excellent service to keep people coming in.
Nick explains, “Consumers are increasingly focused on value and experience.” We’ve heard over and over from restaurant owners and operators in 2025 who are paying closer attention to delivering on these expectations.
That means paying closer attention to things like ambience, menu design, and personalization. A growing number of restaurants have also adopted loyalty programs as a way to provide this personalization.
These days, customers may be willing to shell out for increasingly expensive meals, but they want to get their money’s worth. Many restaurants spent 2025 getting creative about how to deliver that value.
Another top restaurant industry news story in 2025 was the continued generational shift in customer behavior. Not only is there pressure on restaurants to create more inviting and engaging experiences, but we’re also collectively learning how to cater to younger consumers.
Nick observes that “Trends in social media like TikTok have changed how restaurants reach consumers. This change is also forcing restaurants to redefine value for a new generation.”
He points out that this trend is especially visible in the chain restaurant space, where familiar brands have taken steps to reinvent their image. For example, Nick says, “Chili's has been particularly successful at shifting its approach to meet younger consumers where they are.”
While other fast-casual chains struggled in 2025, Chili’s succeeded by embracing social media, nostalgia-powered redesigns, and a value-focused menu.
Most of the changes highlighted above point to gradual shifts in costs, consumer expectations, and customer demographics. But all of these shifts are also happening against the backdrop of a more dramatic and transformative change. The biggest news story of the year, both in restaurants, and really in every industry, has been the integration of AI into everything we do.
“From kitchen automation to personalized marketing,” Rachel says, “restaurants embraced smarter systems to increase efficiency and improve the guest experience.”
Spencer echoed this sentiment, noting that “I think everything revolved around AI this year, and around what is possible with AI.”
It seems certain that AI will continue to dominate headlines in 2026. During a recent webinar about AI in restaurants, Gordon Food Service Head of Marketing Kathleen White reported that “Thirty-five percent of chains plan to implement AI within the next year to improve their business performance.”
So clearly, this story isn’t going away. This technology is already changing the way we do things in our industry. Are you ready to take advantage of it in 2026?
Schedule your free, personalized consultation with one of our in-house restaurant tech experts today and make sure you have everything you need to succeed in the New Year.