What’s Next for Restaurants: AI, Online Ordering, and Catering Evolution
By Sterling Douglass, CEO and Co Founder of Chowly
Independent restaurant operators are entering a stretch of rapid change. Digital systems are shaping revenue, margin, and guest flow in ways that can no longer be treated as optional. Every conversation I have with operators points in the same direction: restaurants earn more when the digital storefront becomes a controlled engine instead of a scattered collection of tools.
Three forces are defining the next era of growth: AI-driven visibility, first-party online ordering, and the rising demand for catering.
1. AI Is Reshaping How Guests Find Restaurants
AI & LLM Search for Restaurants
A year ago, AI-driven discovery accounted for 0.25% of restaurant website traffic across the Chowly Platform. Today it’s 2% — an 8x jump in six months. If that pace holds, we’ll be looking at 10–20% of traffic by early next year. That shift is already reshaping the top of the funnel for independent restaurants.
When someone asks an AI model:
“Where can I get great Mediterranean food near Streeterville?”
The answer comes from structured data — not ads, not directories, not scrolling.
What makes this transition meaningful is that operators don’t need a technical background to participate. Over the past months, we’ve rebuilt our marketing websites with full markdown files, structured menu content, dietary tags, and behind-the-scenes context that large language models can understand instantly. Operators don’t see this work on the surface, but they feel it through increased visibility and better high-intent traffic.
AI is rewarding restaurants with accurate, consistent data. Hours, menu items, pricing, categories, and brand context must stay aligned across every channel. When that happens, visibility rises automatically. The operators preparing for this shift now are going to lead the next discovery cycle.
2. First-Party Online Ordering is the Profit Engine
The New Table Stakes for Online Ordering
Direct ordering protects margin and supports predictable growth. Operators are shifting from treating first-party channels as optional to treating them as core to the business. Direct ordering produces stronger basket sizes, better retention, and more control over guest relationships.
Three elements define the new standard for online ordering:
• Integration with the point of sale to eliminate rework
• Cross-sells built directly into the cart to increase average order value
• Loyalty and promotions embedded in the checkout flow and synced with the POS
These elements give operators more control over pricing, menu accuracy, communication, and repeat revenue. I see consistent patterns across restaurants that consolidate these systems: higher weekly revenue, stronger guest frequency, and fewer leaks through third-party fees.
The Chowly Platform brings ordering, loyalty, payments, and guest profiles into one place. The result is a predictable revenue engine that relies on controlled channels instead of marketplace volatility.
3. Catering is Quietly Becoming One of the Biggest New Revenue Streams
Where Catering Is Going (and Why It Matters)
Catering demand is rising in every major market. Scheduled orders, large basket sizes, predictable workflows, B2B repeat business — these patterns directly support profitability. I hear it repeatedly: operators want revenue they can count on.
The challenge has always been fragmented workflows. Catering runs on different prep times, delivery needs, staffing plans, and customer expectations. Most tools were never built to solve that complexity.
We are expanding the Chowly Platform to support catering with:
• Dedicated catering ordering pages
• Purpose-built prep and delivery logic
• Calendar views for scheduled orders
• AI-driven B2B list building
• Event-based digital marketing playbooks
Pulling It All Together
Here is the pattern emerging across the highest-performing independent restaurants:
• AI visibility fuels discovery
• First-party ordering captures more margin
• Catering adds predictable high-value revenue
When these pieces operate inside one platform, restaurants gain clarity, control, and stronger weekly revenue without adding more work. Independent operators deserve systems that support real growth, not more logins and scattered tools.
My focus at Chowly is simple: build one platform that helps restaurants make more money with less effort. AI-ready visibility, integrated first-party ordering, and expanded catering capabilities form the foundation of that direction.
The future will reward operators who take control of their digital storefront and build direct relationships that pay off with every order, every visit, and every catered event.
