Restaurants, healthcare facilities, college campuses, and active adult communities share a common challenge: today's customers expect more than current systems can deliver. Customers have come to expect to order and pay for food services however they prefer, whether through table service, a mobile app or self-service kiosk. With this emerging preference-driven dining experience, customers expect efficiency and personalization, yet most foodservice providers lack the infrastructure to meet these demands.

The newly released 2025 FSM Impact Study canvasses opinions of 412 executive decision-makers, influencers and end-users in foodservice management across healthcare, higher education, restaurants, and active adult industries. The findings reveal a critical preparedness gap: while 68% of foodservice managers aim to offer preference-driven dining, 60% report budget or resource constraints, and half say their current infrastructure is insufficient. Outdated systems have left organizations struggling to keep pace with changing guest expectations.

This gap represents an opportunity for these industries to unify real-time data and modernize operations, redefine guest satisfaction, streamline workflows, and unlock significant revenue potential. Foodservice providers can turn technology adoption into a strategic advantage rather than a reactive necessity.

Technology as the Great Enabler

FSM leaders across each sector agree that modern technology is the foundation of future growth. 64% believe modern point-of-sale (POS) platforms directly improve both profitability and the guest experience. Nearly half (49%) would consider switching providers, with that figure climbing to 60% in restaurants. Despite this, only 40% are ready to act.

This hesitation often stems from the perceived complexity of integration. Many operators still run multiple disconnected systems, using one for payments, another for inventory, and a third for staffing. Siloed guest data across fractured platforms makes it much harder to deliver personalized service at scale.

Forward-thinking operators are already demonstrating the power of unified platforms. When guest data, operational insights and payment systems speak the same language, the impact is tangible: service becomes faster and more tailored, staff are empowered with better insights, and guest interactions feel more meaningful.

Preference - Driven Dining 

The 2025 FSM Impact Study outlines a three-part framework for food service management leaders to close the preparedness gap and fuel drive better guest engagement:

1. Guest-Centered Intelligence: Use unified guest data and analytics to anticipate needs, personalize service and build loyalty.

2. Operational Transformation: Streamline workflows, modernize POS and inventory systems and empower staff with the right tools at the right time.

3. Continuous Innovation: Adopt cloud-native solutions that evolve with changing guest and employee expectations, enabling new revenue streams and ongoing adaptability.

Key Findings by Sector:

How Restaurants Can Deliver on the Promise of Preference-Driven Dining

Restaurants are increasingly prioritizing personalization and efficiency to meet evolving diner expectations, with 68% of restaurant operators aiming to deliver preference-driven experiences. Food service solutions enable restaurants to track preferences, make bespoke recommendations, and streamline operations, making this tailoring achievable. This industry shows strong willingness to adapt, recognizing that modernized systems are now as critical to competitive advantage as the meal itself.

Rethinking Food Service in Healthcare

Healthcare foodservice is under pressure to modernize, with 68% of healthcare providers citing operational efficiency as their top priority. Serving patients, staff and visitors with diverse needs, operators must balance speed, personalization and compliance. Modern solutions like mobile ordering and integrated kitchen management streamline workflows, improve accuracy and unlock revenue. Efficiency, personalization and technology now define success in healthcare food service.

Driving Student Engagement through Modern Campus Dining

With 58% of higher education foodservice leaders viewing the dining experience as essential, campus dining teams see mobile ordering and flexible menu options as key for tech-savvy students with diverse dietary needs. By adopting integrated, data-driven solutions, they can deliver faster, safer and more personalized dining experiences that boost satisfaction and loyalty for students, staff and visitors alike.

Personalized Dining in Active Adult Communities

As a necessity-focused sector which prioritizes their primary goal of care, this sector modernizes more reactively: 74% of active adult foodservice executives cite replacing aging systems as a trigger for change. However, dining is no longer just a support service; it has become central to resident satisfaction and engagement. Technology enables residents to personalize meals for dietary needs, health goals, or taste preferences, and increases speed of service - freeing staff to focus on care and service.

The Future of Foodservice

As the 2025 FSM Impact Study makes clear, foodservice leaders believe modern dining is driven by preference and efficiency. Those who embrace unified technology platforms will be able to close the preparedness gap, turning data into insights, and routine transactions into personalized experiences that drive loyalty and revenue.

Dive Deeper into FSM Insights

Ready to transform your foodservice operations and deliver personalized, efficient dining experiences? Get your free copy of the 2025 Agilysys FSM Impact Study for detailed findings, actionable strategies, and expert recommendations to close the preparedness gap, boost guest satisfaction, and drive revenue growth.