Restaurant Technology Guide
Everything you need to know about restaurant technology in 2025. Build a tech stack that increases efficiency, reduces costs, and improves guest experience.
30 min read
Updated Jan 15, 2025
5,500 words
Table of Contents
Introduction: Why Restaurant Technology Matters
Chapter 1: Point of Sale (POS) Systems
Chapter 2: Online Ordering Systems
Chapter 3: Kitchen Display Systems (KDS)
Chapter 4: Reservation and Waitlist Systems
Chapter 5: Custom Mobile Apps
Chapter 6: Inventory Management
Chapter 7: Building an Integrated Tech Stack
Chapter 8: Technology Implementation Best Practices
TL;DR - Quick Summary
Modern restaurants need a connected tech stack including POS, online ordering, kitchen display, and reservation systems. The key is choosing systems that integrate well together. Prioritize commission-free online ordering (like RestauNax) to protect your margins. Consider the total cost of ownership, not just monthly fees. Start with essentials and add capabilities as you grow.
Introduction: Why Restaurant Technology Matters
Restaurant technology has evolved from a nice-to-have to a competitive necessity. The right technology stack can be the difference between a struggling restaurant and a thriving one.
The technology imperative:
- 70% of consumers prefer to order online vs. over the phone
- Restaurants with modern POS systems see 15-25% efficiency gains
- Kitchen display systems reduce ticket times by 10-20%
- Digital loyalty programs increase visit frequency by 20-30%
- Integrated inventory management reduces food waste by 5-10%
Technology benefits:
- Increased operational efficiency
- Better customer experience
- Data-driven decision making
- Reduced labor costs
- Higher revenue per customer
- Improved accuracy
- Scalability for growth
The challenge: With hundreds of restaurant technology vendors, choosing the right systems is overwhelming. This guide helps you understand each category, evaluate options, and build an integrated tech stack.
Chapter 1: Point of Sale (POS) Systems
Your POS system is the central hub of your restaurant technology. It processes payments, tracks sales, manages menus, and integrates with other systems. Choosing the right POS is your most important technology decision.
What a modern POS should do:
- Process all payment types (card, contactless, mobile)
- Manage menus and modifiers
- Split checks and handle tips
- Generate sales reports
- Integrate with other systems
- Support multiple terminals
- Work offline (for internet outages)
- Provide cloud access to data
POS system categories:
Legacy/Traditional POS
- On-premise servers
- High upfront cost ($5,000-20,000)
- Limited integrations
- Examples: Aloha, Micros
Cloud-Based POS
- Data stored in cloud
- Monthly subscription model
- Regular updates
- Better integrations
- Examples: Toast, Square, Clover, Revel
Comparing Popular POS Systems
Toast POS
- Best for: Full-service restaurants
- Pricing: Hardware from $0 (with higher processing fees) to $800+, Software from $0-$165+/month
- Strengths: Restaurant-specific features, integrations, kitchen display
- Considerations: Locked into Toast processing, can be expensive at scale
Square for Restaurants
- Best for: Quick-service, small restaurants
- Pricing: Free tier available, Plus from $60/month
- Strengths: Easy setup, no contracts, affordable
- Considerations: Limited for complex full-service needs
Clover
- Best for: Quick-service, retail-restaurant hybrids
- Pricing: $1,349 hardware + $84.95+/month
- Strengths: Versatile, good app marketplace
- Considerations: Pricing can be confusing, depends on reseller
Revel Systems
- Best for: Multi-location, enterprise
- Pricing: $99+/month per terminal
- Strengths: Scalability, customization, robust reporting
- Considerations: Higher learning curve, higher cost
Questions to ask POS vendors:
- Total cost of ownership (hardware, software, processing fees)?
- What integrations are available?
- Contract length and cancellation policy?
- Customer support availability?
- Offline functionality?
- Training and onboarding process?
- Menu management capabilities?
- Reporting and analytics features?
Chapter 2: Online Ordering Systems
Online ordering is no longer optional—70%+ of consumers expect it. The critical decision is whether to use commission-based third-party platforms or invest in your own ordering system.
The commission problem:
Third-party delivery apps charge 15-30% commission on every order:
- $30 order with 20% commission = $6 to platform
- Restaurant keeps $24 minus food cost (~30% = $9)
- Remaining: $15 to cover labor, rent, and profit
- On a 5% profit margin, that commission eliminates profit entirely
Online ordering options:
Third-Party Marketplaces
- DoorDash, UberEats, Grubhub
- Pros: Built-in customer base, no setup required
- Cons: 15-30% commission, don't own customer data, race to bottom on pricing
White-Label Ordering Platforms
- ChowNow, BentoBox, Olo
- Pros: Commission-free, own your data, branded experience
- Cons: Monthly fees, need to drive your own traffic
POS-Integrated Ordering
- Toast Online, Square Online
- Pros: Seamless integration with POS
- Cons: Limited compared to dedicated platforms
All-in-One Platforms (RestauNax)
- Custom website with built-in ordering
- Mobile app with your branding
- Commission-free transactions
- Marketing tools included
- Best for: Restaurants wanting complete digital presence
Essential Online Ordering Features
Customer-facing features:
- Mobile-responsive design
- Menu with photos and descriptions
- Item customization/modifiers
- Order scheduling
- Multiple payment options
- Order tracking
- Account creation optional
- Guest checkout available
Restaurant-facing features:
- Real-time order notifications
- Order throttling during busy times
- Prep time management
- Modifier management
- 86'd item marking
- Delivery zone management
- Driver dispatching (if applicable)
Marketing features:
- Coupon and promo codes
- Upselling suggestions
- Loyalty program integration
- Email collection
- Customer data access
- Abandoned cart recovery
Integration requirements:
- POS integration (automatic order entry)
- Kitchen display integration
- Accounting software connection
- Loyalty program sync
- Payment processor compatibility
Choosing your strategy:
For maximum reach: Use third-party apps for discovery + commission-free platform for direct orders. Promote direct ordering with incentives.
For maximum profit: Commission-free platform only. Invest in marketing to drive traffic. Build email list and loyalty program.
Recommended approach: Start with commission-free platform (like RestauNax) as primary channel. Use third-party sparingly for new customer acquisition. Incentivize direct ordering with loyalty points or discounts.
Chapter 3: Kitchen Display Systems (KDS)
Kitchen Display Systems replace paper tickets with digital screens, improving kitchen efficiency and accuracy. A good KDS can reduce ticket times by 10-20% and virtually eliminate ticket errors.
How KDS works:
- Order enters POS
- Order displays on kitchen screen(s)
- Kitchen staff prepares items
- Items marked as complete
- Expo coordinates final assembly
- Order marked ready
KDS benefits:
- No lost or smudged tickets
- Color-coded urgency indicators
- Automatic routing to stations
- Real-time communication
- Detailed timing data
- Reduced verbal communication
- Better expo coordination
KDS configurations:
Single Screen
- All orders display on one screen
- Best for: Small kitchens, limited menu
Station-Based
- Orders route to relevant stations
- Grill sees grill items, fryer sees fried items
- Best for: Larger kitchens with specialized stations
Expo Screen
- Aggregates all items for final coordination
- Shows which items are ready
- Best for: Coordinating multi-item orders
KDS Features to Look For
Display features:
- Large, readable text
- Color coding (new, in-progress, overdue)
- Timer displays
- Item routing logic
- Order bumping
- Recall capability
Communication features:
- Two-way with FOH
- Order modification alerts
- Rush/VIP marking
- All-day counts
Reporting features:
- Ticket time tracking
- Station performance
- Item prep times
- Historical trends
Hardware considerations:
- Screens: 19" minimum, touchscreen preferred
- Mounting: Wall or counter
- Environment: Grease-resistant, heat-tolerant
- Backup: Paper printer fallback
Popular KDS options:
Toast KDS
- Best for Toast POS users
- Seamless integration
- Easy setup
Fresh KDS
- Works with many POS systems
- Highly customizable
- Good for complex operations
Lightspeed KDS
- For Lightspeed POS users
- Cloud-based
- Good reporting
Square KDS
- Simple and affordable
- Best for QSR
- Limited features
Implementation tips:
- Map your kitchen workflow first
- Determine station assignments
- Set appropriate ticket time targets
- Train entire kitchen team
- Start alongside paper tickets
- Adjust routing and settings
- Go fully digital once comfortable
Chapter 4: Reservation and Waitlist Systems
Reservation systems manage bookings and waitlists, helping you optimize seating and provide better guest experiences. They've become more important as customers expect to book online.
Reservation system benefits:
- 24/7 online booking
- Reduced phone calls
- Better table utilization
- Guest data collection
- No-show reduction
- Waitlist management
- Marketing opportunities
Key features:
Booking management:
- Online reservations
- Widget for your website
- Google Reserve integration
- Real-time availability
- Table assignment
- Party size management
- Special requests handling
Table management:
- Floor plan display
- Table status tracking
- Server section assignment
- Wait time estimation
- SMS notifications
- Guest paging
Guest management:
- Guest profiles
- Visit history
- Preferences and notes
- VIP tagging
- Spending data (if POS-integrated)
- Marketing opt-ins
Comparing Reservation Platforms
OpenTable
- Largest network (30+ million users)
- $249-699/month + per-cover fees
- Best for: High-end dining seeking exposure
- Considerations: Expensive, covers come from OpenTable network
Resy
- Growing network, trendy restaurants
- Custom pricing
- Best for: Upscale, independent restaurants
- Considerations: Less network effect than OpenTable
Yelp Reservations
- Integrated with Yelp reviews
- $249/month, no cover fees
- Best for: Restaurants active on Yelp
- Considerations: Tied to Yelp ecosystem
SevenRooms
- Full CRM capabilities
- Custom pricing
- Best for: Groups, data-focused operators
- Considerations: Higher cost, more complexity
Toast Tables
- Integrated with Toast POS
- Included in higher Toast tiers
- Best for: Toast users
- Considerations: Limited standalone value
Tock
- Prepaid/deposit model
- Best for: Tasting menus, ticketed events
- Considerations: Specific use case
Free/Low-cost options:
- Google Reserve (free, basic)
- Hostme (from $39/month)
- Tablein (free tier available)
Decision factors:
- Do you need the network effect? (OpenTable, Yelp)
- Budget for monthly fees + per-cover costs?
- POS integration requirements?
- CRM and marketing needs?
- Waitlist vs. reservations priority?
Chapter 5: Custom Mobile Apps
A custom mobile app puts your restaurant directly on customers' phones—prime real estate for driving orders and building loyalty.
Why consider a custom app:
- Direct ordering channel (no commissions)
- Push notification marketing
- Loyalty program integration
- Stored payment methods (frictionless ordering)
- Customer data ownership
- Brand presence on home screen
- Increased order frequency from app users
App user behavior:
- App users order 3-5x more frequently
- Average order value 15-20% higher from app
- Push notifications have 5-10x engagement vs. email
- 70% of app orders are repeat customers
App must-haves:
Core functionality:
- Menu browsing with photos
- Online ordering (pickup + delivery)
- Order tracking
- Payment storage
- Order history
- Loyalty program
Engagement features:
- Push notifications
- Exclusive offers
- Saved favorites
- Personalized recommendations
- Easy reordering
Technical requirements:
- iOS and Android versions
- Fast performance
- Offline menu browsing
- Secure payment processing
- POS integration
Mobile App Options
Custom Development
- Complete control and customization
- Cost: $50,000-200,000+
- Timeline: 3-6 months
- Best for: Large brands with specific needs
- Considerations: Ongoing maintenance costs
White-Label App Platforms
- Pre-built app you customize
- Cost: $200-500/month
- Timeline: 2-4 weeks
- Examples: ChowNow, Lunchbox
- Considerations: Less customization
All-in-One Platforms (RestauNax)
- App included with website and ordering
- Cost: Included in subscription
- Timeline: 1-2 weeks
- Best for: Complete digital presence solution
- Features: Ordering, loyalty, push notifications
DIY App Builders
- Build your own with no-code tools
- Cost: $50-200/month
- Timeline: 1-2 weeks
- Examples: GoodBarber, Appy Pie
- Considerations: Limited features, less professional
Making the decision:
Get an app if:
- You have 30%+ repeat customers
- Online ordering is significant revenue
- You have a loyalty program
- You want to reduce third-party dependence
- You're willing to promote app downloads
Wait on an app if:
- Just starting out
- Low repeat customer rate
- Minimal online orders currently
- No resources to promote downloads
Promotion is critical: An app nobody downloads provides no value. Budget for:
- Table tents and signage
- Staff training to promote
- Incentives for downloads
- Social media and email marketing
- In-store QR codes
Chapter 6: Inventory Management
Inventory management technology helps you track ingredients, reduce waste, and control food costs. For restaurants operating on thin margins, better inventory management can be the difference between profit and loss.
Manual vs. automated inventory:
Manual challenges:
- Time-consuming counts
- Human error in tracking
- Delayed cost information
- Reactive vs. proactive management
- Difficult to identify theft/waste
Automated benefits:
- Real-time inventory levels
- Automatic par level alerts
- Theoretical vs. actual variance tracking
- Recipe costing
- Vendor management
- Purchase order generation
Inventory management features:
Stock tracking:
- Real-time inventory counts
- Multiple location tracking
- Ingredient-level detail
- FIFO/expiration tracking
- Waste logging
Ordering:
- Par level management
- Automatic reorder suggestions
- Vendor catalog integration
- Purchase order generation
- Invoice reconciliation
Analytics:
- Food cost percentage
- Item-level profitability
- Waste analysis
- Variance reporting
- Usage trends
Inventory System Options
MarketMan
- Full-featured inventory platform
- Multi-location support
- $239-419/month
- Best for: Mid-size to large operations
BlueCart
- Ordering focused
- Inventory add-on available
- Free tier available
- Best for: Vendor ordering optimization
Restaurant365
- All-in-one back office
- Accounting + inventory
- Custom pricing
- Best for: Multi-location groups
Lightspeed Inventory
- For Lightspeed POS users
- Integrated experience
- Included in advanced tiers
- Best for: Lightspeed ecosystem
Toast Inventory
- For Toast POS users
- Good integration
- Add-on pricing
- Best for: Toast users
Spreadsheet tracking:
- Google Sheets/Excel
- Free
- Manual data entry
- Best for: Starting out, simple menus
Implementation tips:
-
Start with high-value items
- Track top 20 ingredients by cost first
- Expand coverage over time
-
Establish counting procedures
- Weekly counts for high-value items
- Monthly full inventory
- Consistent timing and staff
-
Set realistic par levels
- Based on historical usage
- Account for seasonality
- Adjust as you learn
-
Train your team
- Receiving procedures
- Storage standards
- Waste logging
- Counting accuracy
-
Review weekly
- Variance analysis
- Cost percentage trends
- Order optimization
Chapter 7: Building an Integrated Tech Stack
The power of restaurant technology comes from integration. Siloed systems create data gaps, manual work, and inefficiencies. An integrated tech stack provides seamless operations and complete visibility.
Integration benefits:
- Single source of truth
- Automated data flow
- Reduced manual entry
- Real-time reporting
- Better decision making
- Staff efficiency
Core integration points:
POS → Accounting
- Sales data flows automatically
- Labor costs tracked
- Eliminates manual journal entries
- Examples: QuickBooks, Xero integration
POS → Kitchen Display
- Orders flow directly to kitchen
- No ticket printers needed
- Real-time communication
Online Ordering → POS
- Online orders enter POS automatically
- No re-keying orders
- Unified reporting
POS → Inventory
- Sales deduct from inventory
- Theoretical cost calculation
- Variance tracking
Reservation → POS
- Guest data sync
- Spending history visible
- Better service customization
Email/SMS → CRM
- Customer data unified
- Marketing automation
- Personalization enabled
Recommended Tech Stacks by Restaurant Type
Quick Service (QSR)
- POS: Square or Toast
- Online Ordering: RestauNax or native
- KDS: POS-integrated option
- Loyalty: POS-native
- Total: $150-400/month
Fast Casual
- POS: Toast or Revel
- Online Ordering: RestauNax
- KDS: Toast KDS or Fresh
- Loyalty: Integrated or third-party
- Reservation: Not typically needed
- Total: $300-700/month
Full Service Casual
- POS: Toast
- Online Ordering: RestauNax
- KDS: Toast KDS
- Reservation: Yelp or OpenTable
- Loyalty: RestauNax or POS-native
- Inventory: MarketMan or POS-native
- Total: $500-1,200/month
Fine Dining
- POS: Toast or Revel
- Online Ordering: RestauNax (if applicable)
- KDS: Optional
- Reservation: Resy or Tock
- CRM: SevenRooms
- Inventory: Restaurant365 or MarketMan
- Total: $800-2,000/month
Multi-Location
- POS: Toast or Restaurant365
- Online Ordering: RestauNax
- KDS: Toast or Fresh
- Reservation: SevenRooms or OpenTable
- Inventory: Restaurant365 or MarketMan
- Accounting: Restaurant365 or dedicated
- Total: $1,500-5,000/month
Integration checklist before buying:
- Does it integrate with my POS?
- Is integration native or via third-party?
- What data syncs and how often?
- What does integration cost?
- Who handles integration support?
Chapter 8: Technology Implementation Best Practices
The best technology fails without proper implementation. Follow these practices to ensure successful technology adoption.
Implementation phases:
Phase 1: Planning (2-4 weeks)
- Define goals and requirements
- Research and select vendors
- Negotiate contracts
- Create implementation timeline
- Assign project owner
Phase 2: Setup (1-2 weeks)
- Hardware installation
- Software configuration
- Data migration
- Integration setup
- Testing
Phase 3: Training (1-2 weeks)
- Management deep-dive training
- Staff hands-on sessions
- Written guides/checklists
- Practice in test mode
Phase 4: Go-Live
- Soft launch (limited)
- Full launch
- Parallel systems if needed
- Extra support coverage
Phase 5: Optimization (Ongoing)
- Address issues quickly
- Refine processes
- Advanced feature adoption
- Regular vendor check-ins
Avoiding Common Pitfalls
Pitfall 1: Inadequate training
- Symptom: Staff avoids using system, finds workarounds
- Solution: Multiple training sessions, varied formats, ongoing support
- Budget: 2-3x more training time than you think
Pitfall 2: Poor change management
- Symptom: Staff resistance, low adoption
- Solution: Involve team in selection, communicate benefits, celebrate wins
- Key: Address "what's in it for me" for each role
Pitfall 3: Underestimating data migration
- Symptom: Missing history, incorrect menus, integration errors
- Solution: Plan migration thoroughly, test extensively, keep backup
- Budget: Time for data cleanup before migration
Pitfall 4: Going live during busy times
- Symptom: Chaos during service, poor customer experience
- Solution: Launch during slower periods, soft launch first
- Timing: Tuesday-Thursday lunch, not Friday dinner
Pitfall 5: No ongoing optimization
- Symptom: Using 20% of features, missing value
- Solution: Schedule monthly reviews, attend vendor training
- Mindset: Technology is a journey, not a destination
Success factors:
- Executive sponsor who drives adoption
- Project manager for implementation
- Super users in each department
- Clear success metrics
- Celebration of milestones
- Feedback loop for continuous improvement
When to get help: Consider a technology consultant if:
- Multi-location implementation
- Complex integrations
- Limited internal IT resources
- Major system overhaul
- Time-sensitive implementation
Frequently Asked Questions
What's the most important restaurant technology to invest in?
A modern POS system is the foundation—it impacts every transaction and integrates with other systems. After POS, prioritize online ordering (commission-free) to protect margins and meet customer expectations. Kitchen display systems provide significant efficiency gains for any restaurant with moderate order volume.
Should I use third-party delivery apps or my own online ordering?
Use both strategically. Third-party apps charge 15-30% commission but provide exposure to new customers. Your own online ordering system (like RestauNax) is commission-free and builds direct relationships. Use third-party for acquisition, incentivize customers to order direct for repeat orders.
How much should I budget for restaurant technology?
Expect to spend $300-1,500/month on essential technology for a single location, depending on your restaurant type and needs. This includes POS, online ordering, and basic integrations. Budget additional for implementation, hardware, and training. Technology typically delivers 3-10x ROI through efficiency gains and increased revenue.
Does my restaurant need a custom mobile app?
A custom app makes sense if you have strong repeat business (30%+), significant online ordering revenue, and resources to promote app downloads. Apps drive 3-5x more frequent orders from users. If you're just starting or have low online ordering volume, focus on a mobile-responsive website first. RestauNax includes a custom app with their platform.
What integrations should I prioritize?
Start with POS to online ordering (eliminates re-keying orders), POS to kitchen display (improves efficiency), and POS to accounting (automates bookkeeping). As you grow, add inventory management and reservation system integrations. Always verify integration capabilities before purchasing any new system.
How do I train staff on new restaurant technology?
Plan 2-3x more training time than you think you need. Use multiple formats: hands-on practice, written guides, video tutorials. Create super users in each department. Train during slow periods with adequate coverage. Go live during a slower shift with extra support. Schedule follow-up training after 2-4 weeks.
Ready to Grow Your Restaurant?
RestauNax provides everything you need: custom website, online ordering, mobile app, and marketing tools—all with zero commission fees.