PYMNTS-MonitorEdge-May-2024

Toast Sees 40% Increase in ResTech Locations, as Food Inflation Boosts Need for Efficiency Tools

Restaurant-based digital tech platform Toast said it saw a record increase in new location adds, as economic conditions push consumers and businesses to find new cost savings amid rising prices.

According to the company’s second quarter earnings release, the 40% increase in locations pushed its total user base to 68,000 establishments, while also spurring a 57% increase in revenues for the three months ended June 30.

“With restaurants operating in a challenging environment, the benefits that Toast’s platform provides our customers are even more important, and true to our mission we are focused on helping restaurants adapt and thrive,” Toast CEO Chris Comparato said in a statement.

Toast acquisition of employee scheduling and communications company Sling last month is also giving the company a boost as its team management solution enables more efficient control of labor costs, payroll and employee communications.

In addition, Toast also highlighted demand for its newly added mobile ordering, payments and digital menu solutions that lets guests scan QR codes to gain access to menus, order and pay their bill from the phones.

“We continue to balance disciplined investments to enhance our platform and drive sustained growth, with a commitment to increasing efficiency,” Comparato said.

In terms of buying Sling, PYMNTS wrote that Toast was working in the way of many major players, trying to meet numerous restaurant customer needs whenever they can.

Read more: Toast Acquires Sling as POS Providers Roll Out Full ResTech Stacks

Sling’s features will now be folded into Toast’s Payroll and Team Management products, which come with payment features.

Aman Narang, Toast co-founder and COO, said this would allow for a better suite of team management products for restaurants, with more resources for new hire onboarding and payroll processing.

“Our customers will benefit from the ability to simplify communication across their team, control their labor costs and efficiently manage their teams through one integrated platform,” Narang said.

PYMNTS-MonitorEdge-May-2024