Panera Pins Profit Future On Success Of Technology Initiatives

Panera Bread is determined to boost its sagging profit margins by using technology to streamline ordering, payment and other processes. The keystone of the cost-cutting plan is converting all of its bakeries to the Panera 2.0 initiative – only 100 of its 400 shops have yet to adapt – and so far customer response to rapid pick-up service, delivery to tables, fast-lane kiosks, customizable ordering and mobile payment options, has been positive. Though the company’s sales rose in the third quarter, profit dropped 17 percent because of escalating costs.