Forklore: Building Trust in Restaurants with Blockchain

While flavor and affordability are still key considerations, diners are increasingly prioritizing the integrity and sustainability of food sources when choosing where to eat. This growing demand presents new challenges and opportunities for eateries to address.

To aid in this evolution, researchers at the University of Missouri are delving into the impact of an innovative method: a system that allows patrons to monitor ingredients as they move from source to plate, shaping customer preferences.

“Consumers are showing rising interest in the origin of their meals, asking questions about ethical sourcing and consumption safety,” observes Pei Liu, hospitality management professor in the College of Agriculture, Food and Natural Resources.

Currently, confirming this data is difficult, as most restaurants rarely supply thorough, standardized sourcing information. This gap can create mistrust. However, Liu and her team have explored a promising tool: blockchain.

Blockchain presents a shared, secure, and clear method of recording data through a network of computers. Every validated event is linked with a digital signature to the one before it, making the information virtually unalterable and building security into shared systems.

Restaurants utilizing blockchain to enhance supply chain visibility – a practice commonly known as food traceability – can promote confidence in sustainable food choices, research indicates. This trust elevates not only the dining experience but also the establishment’s reputation. The research reveals patrons are more inclined to accept higher prices if blockchain integration diminishes concerns about food safety. As safety proves the most influential factor for consumers, this assurance can lead to increased profitability.

Demonstrating Transparency

Liu’s work was motivated by collaborative discussions with experts in the Textile and Apparel Management Department within the College of Arts and Science, who shared how blockchain aids supply chain visibility in the fashion industry. This prompted her to explore a similar application of tracking ingredients using a radio-frequency identification (RFID) tag throughout the food supply chain.

The RFID label is scanned at each step: during ingredient sealing and palletizing for transport, upon entering quality-assurance cold storage, and again when leaving. Further scans happen as it exits manufacturing, enters distribution, and starts toward the restaurant. Finally, at the restaurant, it’s scanned when put in cold storage and one last time before cooking.

This comprehensive process is accessible to diners through a QR code on menus. Because the blockchain database is permanent, customers can be certain they have genuine insight into their food’s origin.

“Diners can see when their dishes were prepared, which farm supplied the ingredients, the farm’s location, and how those ingredients were transported,” Liu clarifies. “Our insights will assist restaurants in establishing stronger relationships with their customers.”

Some eateries, primarily in major U.S. coastal cities and in European countries, are already adopting this approach.

After introducing this concept to study participants, Liu investigated how three consumer concerns affect their view of blockchain’s clarity.

Initially, Liu anticipated food safety, health consciousness, and environmental concerns would be equally significant for respondents. She discovered that health and environmental worries generated less uncertainty than safety. Diners with greater concerns about food safety were most engaged by blockchain’s improved transparency, Liu explained.

The findings also revealed that when transparency reduces food safety anxieties by providing simple, clear information, customers are more willing to spend more on their meals.

Demographic characteristics impacted views on food sustainability and receptiveness to blockchain as a potential solution.

“Older patrons and those with advanced education levels were more receptive to the clarity provided by blockchain,” Liu noted.

In upcoming work, Liu will examine if simply stating that a menu is blockchain-verified lowers concern or if diners require direct access to the data to feel assured.

The study, “Sustainable food traceability on blockchain: exploring consumer decisions in restaurants through the uncertainty reduction theory,” appeared in British Food Journal.

Collaborators included Song-yi Youn from Mizzou’s College of Arts and Science and Qianni (Jacqueline) Zhu, a doctoral candidate at Mizzou.