Food Halls Haul in Diners

Food halls are booming these days, and the secrets of their success offer valuable lessons for grocerants too.

“They’re a representation of where the restaurant industry as a whole is going: Boutique. Local. Instagram-able,” according to the Chicago Tribune. “They fulfill consumer demand for quick and diverse food options, with a curated set of both popular restaurant outposts and newcomers.”

Experts note that food halls are diverse, offering an experience and a form of entertainment. They are destinations for people seeking a snack or wanting to spend hours wandering the booths.

Foodservice industry consultant Aaron Allen says food halls are widespread in New York and Los Angeles, with a total of 35 to 40 food halls in the United States and as many as 200 expected within three years. Most food halls will be clustered around urban food destinations like Chicago, which is home to one of the earlier iterations, Lettuce Entertain You’s Foodlife, which opened in the city’s Water Tower Place in 1993.

Food halls may seem like the latest craze feeding a foodie culture, but their roots go back to centuries-old European markets and even outdoor farmers markets. The shiny new versions have been created for the “fast and finicky” public, according to Allen.

For operators, food halls provide a shared space where lower overhead and fewer headaches allow cooks and chefs to focus on the food. In the background, business managers are working to build the right mix of restaurants, with food options that speak to a variety of tastes and budgets. Some food is meant to be eaten on-site, while other goods are intended to be taken home in market baskets and bags.

As grocery stores rebrand in the age of delivery, meal kits, online shopping and more big mergers, traditional retailers can learn a lot from food halls. The same delivery services that threaten frequent grocery store visits will open up in-store space, allowing for a mix of local food truck purveyors, restaurants and bakers to create local food destinations within stores.

Grocerant-Ready Ideas:

• Food truck nights with local trucks in the parking lot
• Part of the prepared food section devoted to local restaurant best-sellers
• In-store restaurant space redesigned to fit a few smaller food stalls