Inflation is taking a bite out of consumers' wallets. As a result, they are only spending 30% of their monthly food budgets on restaurants as of April 2024, which fell from 40% in 2022, according to data from a Popmenu study.

Resy CEO Pablo Rivero is joined by Yahoo Finance senior reporter Pras Subramanian to discuss the state of the consumer and the restaurant industry.

Rivero comments on what's still powering reservation numbers "Consumers are looking for the opportunity to connect, right? At the end of the day that's why they go to restaurants. They want to connect over the table, and they also want to have a unique experience."

While technology has aided the business, there are still challenges it faces: "Bots are a problem. We do hear from restaurants that it does hurt them from a revenue perspective. They lead to a lot of no shows and late cancellations, which at the end of the day, at the restaurant every table counts...We have a team that is focused on managing this from a reservation fraud perspective. We're investing in our products to identify those bad actors, to ensure that we're protecting the consumer and the restaurant as well."

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This post was written by Nicholas Jacobino