COVID’s Lasting Legacy on Food Service: How Restaurants Evolved Beyond the Pandemic

Deepak Srinivasan
September 30, 2025

When the pandemic struck, the U.S. food service industry faced an unprecedented collapse. Just five years later, we see a fundamentally new model for how restaurants operate, hire, and serve communities.  

According to Forbes, restaurant sales only bounced back to pre-COVID levels in 2022, but the industry went on to hit a new record in 2023, generating $981 billion in total revenue. And, the industry remains one of the top employers in America, comprising 15.9 million projected to work in restaurants by the year 2025.  

That said, the industry continues to deal with a number of challenges. Operators point out employment issues, accounting for a problem 70% of operators deal with, resulting in many businesses applying technology, simplifying menus, and increasing pay to maintain relevance and remain competitive.  

The classic 24/7 food restaurant service is also evolving. With a drop of 11% 24/7 restaurants in the last 5 years, increases in labor continue to challenge late-night dining and its prospects.  

Overall, these statistics tell a story: COVID didn’t just halt the restaurant industry’s activities; it forever altered the landscape of that business model. The businesses that reacted appropriately are not only thriving, but they are also paving the way for a new chapter in dining in America.  

In this blog post, we’ll cover the long-term changes COVID has made to restaurants, the trends still affecting the industry, and how operators can create long-term growth in this new world.

Technology Became the Lifeline of Restaurants

When dining rooms went dark almost overnight, technology became the thread that kept restaurants connected to their guests. Online ordering turned into the main revenue stream, and POS systems had to handle delivery apps, curbside pickups, and contactless payments all at once.  

In fact, over the last year, nearly 60% of restaurant orders were made through apps rather than third-party platforms, a habit that was born in the pandemic and hasn’t slowed down.  

  • POS systems, QR code menus, and self-service kiosks have taken root as the new standard for modern food service. These areas are more than labor-saving; they act as safety nets, especially if staffing levels remain unpredictable.

  • Marketing and loyalty generated through automation became the new norm for restaurants after the pandemic. Connecting digitally to send offers and rewards to loyal customers, as well as trying to reach back to lapsed customers, made every operator’s marketing budget worthwhile.

  • Using cloud-based restaurant management solutions is second nature to managers now. The use of spreadsheets and disconnected systems is obsolete now. Managers now access, monitor, and operate inventory, staffing, payroll, and scheduling in ways that can be managed from any computer or mobile app.  

The Change in Consumer Expectations

The first major change sparked by COVID was not inside the kitchen; it was in the minds of guests. Diners no longer think only about flavor and ambiance. They now consider convenience and personalization as part of their dining experience.

Safety-first dining became a baseline.  

While contactless menus, QR code ordering, and digital payments once represented an innovation, most guests considered these changes requirements throughout the pandemic. Today, many guests still expect seamless, touch-free interaction. What began as precautionary measures has become the norm of operations.

Convenience became king.

Takeout, delivery, and curbside pickup reached maximum capacity and alterations during the lockdown period. Here is what really matters: guests did not abandon these conveniences once given the opportunity to do so. Instead, what indisputably emerged is that diners blended their new conveniences into their daily dining experience.  

Personalization is the new differentiator.  

Diners want to feel known. They expect menu recommendations based on previous orders, loyalty programs based on their preferences, and even a recognition of dietary preferences prior to asking. Restaurants that understand this shift create emotional connections, turning guests into regulars.

Supply Chain & Menu Evolution

The COVID pandemic exposed the shortsightedness of global supply chains. Staples suddenly went missing, food prices swung wildly, and chefs had to create substitutes from thin air.  

Local sourcing gained traction.

Many operators were forced to use nearby farms and producers out of necessity, but they discovered a bonus: guests loved it. Knowing their food was fresh, local, and sustainable had become part of the value equation and helped create community.  

Menus became shorter and smarter.  

Long menus had gone the way of plenty. Restaurants shifted to flexible, shortened menus that reduced spoilage while providing an opportunity to feature the best sellers. Less wasted food means a less costly operation, and things just move easily in the kitchen.  

Transparency became the baseline.

People want to learn where their food comes from, how it is grown, and the overall impact. COVID has made guests seek more honesty and accountability, with sourcing and sustainability as they have ever before.

Workforce Redefined

Perhaps no challenge during the pandemic was felt as deeply as staffing. Restaurants faced walkouts, closures, and an ongoing struggle to find and retain employees. But the workforce that emerged from COVID is different, and so are their expectations.

70% of operators indicate that they are having a difficult time hiring staff, forcing many businesses to consider new technology, streamline their menus, and/or raise wages to remain competitive.  

Automation filled the gaps.

Smart tools streamlining scheduling, payroll, and even onboarding have become lifesavers. It cut away at repetitive admin work, freeing managers up to support the leadership team and enhance guest experience.

Flexibility took center stage.

Employees are looking for good hours, fair wages, and working conditions that are supportive. The “old way” of overworked shifts with high turnover just isn't sustainable. Operators that encourage work-life balance will see stronger teams and, therefore, profitability.

Upskilling and cross-training have grown in importance.  

The pandemic taught staff and owners how to adapt and make a few seconds of “thinking on your feet”. A server, and be a bartender, a line cook can manage the prep area, and a manager can run/implement tech systems. All of this flexibility will help restaurants grow through uncertainty.

The workforce crisis has also changed the way restaurants consider being an employee-centric workplace. The culture is changing to one of respect and growth, in addition to how much you're getting paid.

Increasing Green Initiatives in the Restaurant Sector  

Sustainability is no longer optional; it is an expectation. Increasingly, diners are aware of their choices and the environmental impact of their choices, placing pressure on the restaurant industry to evolve to remain relevant. Some of the trends driving change in the industry include:

  • Awareness of Consumers: Guests are more aware about the way their meals are manufactured and transported, as well as awareness of the environmental impact of their choices.
  • Waste Reduction: Reducing food waste and improving supply-chain management are becoming 'table stakes' to remain competitive.
  • Sustainable Packaging: Use of sustainable packaging is no longer a differentiator for both takeout and delivery; it is a given.
  • Brand Loyalty: Restaurants instilling green initiatives create a deeper connection with the sustainable lifestyle guest.
  • Strategic Advantage: Sustainability equals benefits; improving operational efficiencies and long-term growth; and can differentiate your brand through eco-friendly practices.  

By acting in a sustainable manner, as part of their day-to-day operations, restaurants signal to their customers an awareness and concern for sustainability, thus creating loyal customers who want to support brands that make decisions aligned with their values.

How NOVA Powers Post-COVID Restaurants

1. A True All-in-One AI-Native Platform

The Challenge: Juggling multiple disconnected apps (POS, marketing, payroll, CRM, inventory) creates inefficiencies, errors, and higher costs.


How NOVA Helps: NOVA combines everything into one seamless AI-native platform — POS, CRM, marketing, scheduling, and inventory — giving operators a single source of truth.


The Result: Full visibility and control over operations, reduced tech overhead, and more time to focus on growth.

2. Built-In Resilience

The Challenge: Sudden supply chain disruptions, unpredictable labor availability, and shifting consumer behavior keep restaurants on edge.


How NOVA Helps: NOVA automates routine tasks, dynamically updates menus, and streamlines supply chain decisions with real-time analytics.


The Result: Restaurants stay agile, anticipate challenges before they become crises, and run smoothly even in volatile conditions.

3. Future-Proof Growth

The Challenge: Expanding to new locations or adapting to new dining models often means starting from scratch with systems and processes.


How NOVA Helps: NOVA scales effortlessly across multiple locations and adapts to changing guest expectations with customizable workflows.


The Result: Operators can grow with confidence, maintaining consistency while staying flexible to new trends.

4. Data-Driven Decisions, Smarter Operations

The Challenge: Many owners rely on gut feel or outdated spreadsheets, leading to overstaffing, overordering, and wasted resources.


How NOVA Helps: NOVA’s AI forecasts demand, optimizes staffing, and highlights waste trends — turning raw data into actionable insights.


The Result: Leaner operations, reduced costs, and smarter decision-making at every level.

5. Enhanced Guest Engagement

The Challenge: Generic promotions and one-size-fits-all loyalty programs fail to keep guests coming back.
 

How NOVA Helps: NOVA automates loyalty campaigns and targeted promotions based on guest history and preferences.
 

The Result: Stronger guest relationships, higher repeat visits, and increased lifetime value.

6. AI Marketing That Works While You Sleep

The Challenge: Hiring a marketing agency or managing campaigns manually is expensive, time-consuming, and often out of reach for smaller operators.
 

How NOVA Helps: NOVA’s AI-native marketing engine handles the full cycle — segmentation, personalized promotions, and ROI tracking — without external help.
 

The Result: Agency-quality campaigns at a fraction of the cost, driving consistent guest traffic and revenue.

7. Your Own Restaurant Webstore

The Challenge: Third-party delivery apps eat 20–30% of revenue in commissions, reducing profitability and customer ownership.

How NOVA Helps: NOVA enables restaurants to launch their own branded restaurant webstore, giving guests a direct, commission-free way to order.

The Result: More revenue kept in-house, reduced dependency on third-party platforms, and stronger direct customer relationships.

With NOVA, restaurants don’t just survive post-COVID challenges; they thrive. By addressing each of these pain points head-on, NOVA becomes the AI-native growth engine that powers smarter operations, deeper guest loyalty, and long-term profitability.

Metrics That Matter: KPIs for Post-COVID Restaurant Success

The restaurant industry has shifted into a digital-first, guest-centric world. For owners, success now depends on tracking the right numbers — not just revenue and covers, but the deeper signals that show whether operations are truly future-ready. Here are the four KPIs that top-performing restaurants monitor closely in the post-COVID era, and how NOVA makes them easy to manage.

1. Percentage of Digital Orders
 

The pandemic cemented digital ordering as a permanent behavior. Today, more than 60% of restaurant orders are placed through apps or online platforms. Owners who fail to track this metric risk falling behind guest expectations. With NOVA, every order — in-store, online, or via third-party apps — feeds into one dashboard, giving you a complete picture of digital demand and helping you optimize across all channels.

2. Average Order Value (AOV) Growth

Revenue growth today isn’t just about serving more tables — it’s about maximizing the value of each order. Top operators focus on increasing AOV through smart upsells, personalized promotions, and well-designed loyalty programs. With NOVA, restaurants can analyze guest purchase behavior and automatically suggest add-ons or upgrades that align with customer preferences. The result: higher check sizes, stronger margins, and happier guests who feel understood — not oversold.

3. Loyalty and Repeat Visits
 

Loyal customers are the true growth engine of any restaurant. Repeat guests typically spend 67% more than new ones, yet many operators lack visibility into how much of their revenue comes from loyal diners. NOVA makes it simple: its built-in CRM and loyalty tools track guest behavior, automate personalized offers, and encourage repeat visits — turning occasional diners into regulars.

4. Staff Turnover
 

High employee turnover remains one of the industry’s costliest challenges, with the average restaurant facing rates above 70%. Not only does this drain profits, it disrupts service quality. NOVA helps tackle this by automating scheduling and payroll, reducing stress for both managers and staff. By creating fairer, more predictable shifts, operators can boost retention and keep their teams stronger for longer.

By monitoring these four KPIs, digital orders, food waste, loyalty, and staff turnover, owners gain actionable insights into both operational efficiency and guest satisfaction. And with NOVA powering the data behind these metrics, restaurants don’t just measure performance; they continuously improve it.

What’s Next: Building on COVID’s Legacy

So where does the industry go from here? If COVID was the turning point, the years ahead will be about building stronger, more flexible models.

  1. Hybrid dining will define the future.

Guests expect to move easily between dine-in, delivery, and pickup. Restaurants that blend these seamlessly will stay ahead.

  1. Automation will expand.  

From kitchen operations to predictive inventory and beyond, automation will cut costs and boost consistency.

  1. Restaurants as community hubs.  

Food has always been about connection. Post-pandemic, restaurants have a unique chance to position themselves as gathering spaces, places where people find not just meals but belongings.

COVID was a crisis, but it left behind a roadmap for resilience. Operators that embrace this roadmap will shape the restaurant industry for decades to come.

Conclusion: Turning Survival into Success

The impact of COVID on restaurants was fast and brutal. As disruptive as the pandemic has been, its long-term impact on food service is not only challenges, but opportunities. Food service has emerged leaner, smarter, and more human and technological in both mindset and practice.

The restaurant industry trends we see today, like digital-first operations, flexible menus, sustainable practices, and staff engagement, are more than just trends. They are the new building blocks of success in restaurants.

Restaurant operators who embrace hospitality-driven technology, sustainability, and a guest-first mindset will emerge as the leaders during this next decade of food service.

NOVA is committed to helping operators not only keep up with this responsive reality, but also find a way to unlock growth in it.

Explore how NOVA helps restaurants thrive in 2025. Schedule your demo today.