Quick-service The product innovation process of restaurant chains quick-service restaurant chains Michael C. Ottenbacher
Heilbronn University, Heilbronn, Germany, and
523
Received 20 May 2008 Revised 24 July 2008, 23 September 2008 Accepted 24 September 2008
Robert J. Harrington
University of Arkansas, Fayetteville, Arkansas, USA
Abstract
Purpose – This paper aims to outline the innovation process activities described by quick-service restaurant (QSR) managers and to compare it with an earlier QSR process model and with those used in other food service settings. Design/methodology/approach – Six semi-structured interviews with QSR chain executives in the USA were conducted to better understand the underlying factors and dimensions that describe successful innovation process practices. Findings – For new QSR menu innovations, the development teams follow a structured approach to reduce the likelihood of failure due to issues such as poor consumer demand or implementation. QSR screen new food innovations approximately five times during the development process. Furthermore, today’s QSR innovation process integrates more sophisticated market research technology and a post-audit is carried out after the new food concept has been launched. In comparison with studies of Michelin-starred chefs QSR development teams use an approach that is much more explicitly structured as a whole due to the larger scale roll-out as well as greater cross-functional and regional differences to consider in the QSR setting. Research limitations/implications – The study was conducted in only one country and on a small sample. Based on an analysis of the findings, the innovation development process of QSR can be broken down into 13 main steps. Compared with earlier hospitality innovation studies, the process in this setting includes multiple screenings for high-risk
References: Booz, Allen & Hamilton (1982), New Product Management for the 1980s, Booz, Allen & Hamilton, New York, NY. Burns, T. and Stalker, G.M. (1961), The Management of Innovation, Tavistock Publications Limited, London. Christensen, C. (2007), “Innovation: a happy meal for McDonald’s”, Forbes, available at: www. forbes.com/claytonchristensen/2007/08/31/christensen-innovation-mcdonalds-pf-guru_ in_cc_0904christensen_inl.html (accessed January 28, 2008). Cooper, R.G. (2001), Winning at New Products: Accelerating the Process from Idea to Launch, 3rd ed., Perseus Books, New York, NY. Costa, A. and Sarkar, S. (2008), “Do too many chefs really spoil the broth? Collaborative product innovation in the foodservice industry”, 15th International Product Development Management Conference Proceedings, Hamburg, pp. 3-19. Feltenstein, T. (1986), “New-product development in food service: a structured approach”, Cornell Hotel & Restaurant Administration Quarterly, Vol. 27 No. 3, pp. 62-71. Ghauri, P.N., Gonhang, K. and Kristianslund, J. (1995), Research Methods in Business Studies: A Practical Guide, Prentice-Hall, London. Gubman, E. and Russel, S. (2006), “Think big, start small, scale fast: growing customer innovation at McDonald’s”, Human Resources Planning, Vol. 29 No. 3, pp. 21-2. Harrington, R.J. (2004), “Part I: the culinary innovation process, a barrier to imitation”, Journal of Foodservice Business Research, No. 3, pp. 35-57. Johne, A. and Storey, C. (1998), “New service development: a review of literature and annotated bibliography”, European Journal of Marketing, Vol. 32 Nos 3/4, pp. 184-251. Jones, P. (1996), “Managing hospitality innovation”, Cornell Hotel and Restaurant Administration Quarterly, Vol. 37 No. 5, pp. 86-95. Katz, P. (2008), “Fast-food innovation”, Food Product Design, available at: www. Foodproductdesign.com/articles/781conceptsplus.html (accessed January 28, 2008). Moskowitz, H. (2001), “Creating new product concepts for foodservice – the role of conjoint measurement to identify promising product features”, Food Service Technology, Vol. 1, pp. 35-52. 540 National Restaurant Association (2007), Restaurant Industry to Continue to be Major Driver in Nation’s Economy through Sales, Employment Growth in 2008, available at: www. restaurant.org/pressroom/pressrelaease.cfm?ID ¼ 1535 (accessed February 3, 2008). Ninemeier, J.D. and Perdue, J. (2005), Hospitality Operations: Careers in the World’s Greatest Industry, Pearson Education, Upper Saddle River, NJ. Ottenbacher, M. and Gnoth, J. (2005), “How to develop successful hospitality innovation”, Cornell Hotel and Restaurant Administration Quarterly, Vol. 46 No. 2, pp. 205-22. Ottenbacher, M. and Harrington, R.J. (2007), “The innovation development process of Michelin-starred chefs”, International Journal of Contemporary Hospitality Management, Vol. 19 No. 6, pp. 444-60. Robinson, C., Abbott, J. and Shoemaker, S. (2005), “Recreating cheers: an analysis of relationship marketing as an effective marketing technique for quick-service restaurants”, International Journal of Contemporary Hospitality Management, Vol. 17 Nos 6/7, pp. 590-9. Rosenau, M.D., Griffin, A., Castellion, G.A. and Anschuetz, N.F. (1996), The PDMA Handbook of New Product Development, John Wiley & Sons, New York, NY. Rudolph, M.J. (1995), “The food product development process”, British Food Journal, Vol. 97 No. 3, pp. 3-11. Schumpeter, J. (1934), The Theory of Economic Development, University Press, Cambridge, MA. Svejenova, S., Mazza, C. and Planellas, M. (2007), “Cooking up change in haute cuisine: ` Ferran Adria as an institutional entrepreneur”, Journal of Organizational Behavior, Vol. 28, pp. 539-61. Urban, G.L. and Hauser, J.R. (1993), Design and Marketing of New Products, 2nd ed., Prentice-Hall, Upper Saddle River, NJ. Werner, W.B., Feinstein, A.H. and Hardigree, C.E. (2007), “The risk to the American fast-food industry of obesity litigation”, Cornell Hotel and Restaurant Administration Quarterly, Vol. 48 No. 2, pp. 201-14. Corresponding author Michael Ottenbacher can be contacted at: mottenbacher@hotmail.com Quick-service restaurant chains 541 To purchase reprints of this article please e-mail: reprints@emeraldinsight.com Or visit our web site for further details: www.emeraldinsight.com/reprints