Square Teams With US Foods as Restaurants Face Digital Opportunities

Square has launched a partnership with foodservice distributor US Foods.

“For over a decade, hundreds of thousands of food and beverage businesses have relied on Square to power their operations,” the companies said in a news release Thursday (July 25). “As the foodservice industry evolves and competitive pressures increase, this collaboration with US Foods will accelerate restaurants’ ability to adopt Square’s truly differentiated technology designed to help them grow and succeed.”

According to the release, US Foods already provides customers with access to tech solutions like the CHECK Business Tools program. Now, as a CHECK program provider, Square’s solutions for food and beverage businesses will be available to US Foods’ thousands of customers across the U.S.

This suite of tools aims to help modernize restaurant operations, drive traffic and simplify staffing, US Foods said on its website.

“Restaurant operators today are tasked with navigating numerous operational challenges, from labor management to growing sales and managing cash flow,” said Ming-Tai Huh, head of food and beverage at Square. “US Foods shares our commitment to empowering restaurants with the tools and services they need to drive operational efficiency and find success. We’re confident we can bring Square’s comprehensive, easy-to-use, and time-saving suite of solutions to more and more restaurants.”

Square has been rolling out a number of restaurant-related tools this year, and also recently released its Quarterly Restaurant Report, which found that average hourly earnings for restaurant workers have jumped by 66% since 2017 compared to 40% for retail workers.

“Bars and full-service restaurants rely more on higher-skilled employees who perform hard-to-automate tasks, which increases payroll costs,” Huh said in a news release at the time. “It’s the exact opposite situation for QSRs and cafes. These sellers can more easily use technology to automate and streamline operations, helping lower operating costs for front and back of house.”

Meanwhile, PYMNTS wrote earlier this week that the restaurant industry is facing “a pivotal opportunity with the rise of frictionless digital payments, responding to growing customer demand for convenience.”

But in spite of these advancements, adoption rates lag because of entrenched use of traditional payment methods and ongoing staffing challenges.

PYMNTS Intelligence’s new study, “Why More Restaurants Need to Bite Into Digital Transformation,” looks at how consumers are embracing technologies like digital wallets, mobile apps and QR codes because they meet the preferences of tech-savvy diners, while also enhancing operational efficiency and helping staff to elevate the overall dining experience.

“To stay competitive in this digital-first era, restaurants must integrate these modern payment solutions to ensure seamless dining experiences and avoid falling behind more innovative competitors,” PYMNTS wrote.