On August 13, Jason Rusk delivered the keynote address at the Fast Casual Executive Summit held in Denver. During his speech, Rusk focused on the fast-casual dining sector’s rapid evolution, emphasizing how innovation is driving positive changes within the industry.
Jason Rusk, EVP of restaurant operations for Wonder, speaks at the Fast Casual Executive Summit in Denver. Photo: Willie Lawless/ Networld Media Group
Jason Rusk serves as the Executive Vice President of restaurant operations for Wonder Group Inc., a venture capital-funded food technology startup designed to function as a comprehensive meal app that connects consumers with high-quality food from vetted restaurants.
He spoke at the Fast Casual Executive Summit in Denver, Colorado, on October 13. This summit, managed by Networld Media Group, which owns Fastcasual.com, QSRweb.com, PizzaMarketplace.com, and FoodTruckOperator.com, provides attendees with two and a half days of seminars and workshops aimed at fast casual industry leaders.
In his keynote, Rusk highlighted the necessity for brands to adapt to the changing landscape of the industry. With three decades of experience in the restaurant sector, he has pinpointed various disruptors within the fast-casual space that are evolving alongside shifting consumer preferences.
“Our industry has a long-standing tradition of adapting and changing,” Rusk remarked to a packed ballroom of summit participants. “The world is transforming around us, and we must guide our teams into the future. We need to lead them through these changes.”
A Historical Perspective
Rusk traced the origins of the restaurant back to Paris in 1765, where the concept began as soup kitchens. The advent of the Industrial Revolution brought with it the era of fine dining, led by the Ritz-Carlton hotel chain. The 1950s saw the emergence of quick-service restaurants (QSRs), which continued to thrive in the 1970s with the introduction of drive-thrus. By the 1980s, consumers had more disposable income and sought higher quality dining experiences, leading to a rise in experimental and casual dining options. The 2000s marked the rise of fast-casual restaurants, catering to busy lifestyles and the demand for customization.
Rusk noted that revenue from fast-casual dining is projected to double in the coming years, indicating that change is ongoing.
The COVID-19 pandemic dramatically reshaped the industry almost overnight, introducing social distancing measures, restaurant closures, contactless ordering, and a surge in third-party delivery services, all of which have become standard in the post-COVID landscape. Today, the restaurant sector faces challenges from rising costs and shifting consumer behaviors.
“Everyone in this room has played a role in disrupting the restaurant industry,” Rusk stated. “It’s fascinating to consider.”
Consumer Expectations Today
Rusk outlined what modern consumers prioritize: convenience, diverse cuisines, affordable dining options, high quality, and reduced friction. His company, Wonder, strives to meet these demands by functioning as a “superkitchen” that offers a wide array of cuisines with an emphasis on quality, convenience, and choice. With state-of-the-art, fully integrated kitchens, Wonder collaborates with 30 different restaurants, partnering with top chefs to ensure consistency in their offerings.
“Consumers are evolving, and we must evolve with them,” Rusk stated. “Adaptability is crucial for growth.”
Wonder operates with a focused delivery radius and provides options for dine-in or carryout meals. Their flexible kitchens can quickly adapt to future trends and are capable of producing a wide range of cuisines, from fast casual to fast fine dining, eliminating options that lead to indecision. Wonder has also teamed with Walmart to operate smaller kitchens that provide access to up to ten cuisine types. Each kitchen can produce around 550 Stock Keeping Units (SKUs).
Rusk emphasized that consumer demands are driving change, rather than the industry itself. Wonder leverages technology to ensure consistent and precise food production by its team members.
Orders are made as they come in, with equipment designed for flexibility that can be rearranged overnight to produce a completely new cuisine by the following day.
This adaptability is vital as consumer tastes continue to evolve.
“We offer every major cuisine type, from fast casual to fine dining, all prepared quickly and at various price points,” Rusk explained. “Consumers enjoy total customization and control, allowing them to place orders from multiple restaurants in a single transaction.”
By the end of 2023, Wonder plans to have expanded from 10 to 25 locations.
Challenges from Disruptors
Rusk pointed out that significant disruptors are challenging established players in the restaurant sector. He posed the question: what happens if businesses fail to embrace disruption? He illustrated this by referencing the impact of digital cameras on Kodak’s film business and how Amazon outperformed Sears. While Amazon looked toward long-term customer relationships, Sears focused on immediate needs, and similarly, Uber transformed transportation while traditional taxis remained stagnant.
“It can be challenging to grasp that this disruption can happen to us,” Rusk noted. “But this is precisely what’s occurring in our midst… fast casual dining has disrupted casual dining.”
To ensure they remain relevant amid disruption, Rusk shared insights from Sony’s gamble on the digital camera market, which defied Kodak’s film model. He pointed out that Uber embraced innovation, whereas taxis did not evolve or integrate technology into their services.
“The world only progresses forward; it doesn’t move backward,” Rusk emphasized. “Although it may be tempting to maintain the status quo and do what you do well, the reality is that disruption is imminent, and our industry is on the brink of another transformative change.”
Rusk offered two essential principles for restaurants aiming to navigate these changes successfully. Firstly, as the world evolves, businesses must adapt. Secondly, restaurateurs need to guide their teams through these transitions.
Leadership is paramount in motivating employees and customers to embrace change, he stated.
“People are more important than the process of change,” Rusk advised.
To facilitate effective leadership, he outlined three guiding principles. First, leaders should “lead with love,” encouraging individuals to excel while prioritizing their well-being. Second, they should always strive to do the right thing, no matter the difficulty. Lastly, they should adhere to the golden rule: treat others as they wish to be treated.
“If you follow these principles,” Rusk concluded, “you will help pave the way for the next generation of restaurant leaders.”
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