By Lea Mira and Debbie Carson, RTN staff writers - 6.30.2025
In the race to deliver seamless digital ordering, personalized guest engagement, and operational efficiency, restaurant operators are faced with a pivotal question: Should they build custom technology in-house or partner with specialized vendors? From fast-food giants to full-service chains, the “build vs. buy” dilemma has become one of the most consequential decisions shaping the future of restaurant tech.
For Red Lobster, the answer came after a hard-earned lesson. The 700-unit seafood chain had originally been an early adopter of Olo’s online ordering platform, but in 2023 it decided to go it alone, developing a homegrown digital ordering solution. Less than two years later, it reversed course. This summer, Red Lobster announced it had rejoined the Olo ecosystem with an expanded partnership, citing the platform’s enhanced capabilities, cost-effectiveness, and ability to keep pace with technology trends.
“We’re incredibly excited to launch first-party catering for the first time in Red Lobster’s history,” said Nichole Robillard, the chain’s Chief Marketing Officer. “Catering+ will open entirely new revenue opportunities, while Sentiment gives us powerful insights to enhance our guest experience across all locations. While we gained valuable learning from our internal development efforts, we’re thrilled to be partnering with Olo again.”
The partnership will include a phased rollout of Olo’s Order suite, Sentiment platform for reputation management, and Catering+ solution with integrated POS automation. It marks a milestone for Red Lobster, not just in returning to a vendor, but in reaffirming the notion that restaurants may be better served by focusing on hospitality and leaving technology innovation to tech companies.
Red Lobster’s experience underscores a broader trend: restaurant brands are realizing that maintaining competitive, scalable, and secure digital platforms is far more complex than it may appear. Building in-house requires constant innovation across multiple domains, from AI integration and real-time analytics to data security and uptime reliability. For many, the effort and resources required to stay ahead in all these areas have proven unsustainable.
Still, some restaurants are charting a different course—and finding success. One notable example is Crust Pizza Co., a fast-growing fast-casual brand based in Texas. At the helm of its tech transformation is CTO Nick Fontenot, who brings two decades of entrepreneurial grit to the role. Fontenot led the brand away from third-party systems like Toast in favor of a fully custom-built technology ecosystem that encompasses everything from point-of-sale and loyalty to scheduling, training, and data forecasting.
“The decision was driven by a need for control, flexibility, and long-term scalability,” Fontenot recently explained. “We kept running into roadblocks with third-party systems—limited customization, slow support, and features that didn’t align with how Crust actually operates. By building our own platform, we’re solving problems specific to our model and creating a unique guest and employee experience.”
Crust Pizza’s approach is grounded in deep integration and adaptability. Instead of bouncing between disconnected systems, everything lives within one cohesive ecosystem. With full ownership of its data and tools, the brand can iterate quickly based on real-time feedback from store-level teams.
But the journey hasn’t been without its trade-offs. “The biggest early challenge has been time,” said Fontenot. “Building a custom POS from scratch takes patience, planning, and testing. We had to slow down to get the foundation right.”
Fontenot emphasized the importance of keeping frontline operators involved. “If something’s not working or could be better, we can respond fast—because we built it. More importantly, it shows that we’re investing in their success. We’re giving them a tool that was built with their daily workflow in mind.”
This philosophy extends to Crust’s employee-facing tools. The team developed a mobile-first app that consolidates scheduling, time tracking, shift swaps, and communication into a single interface. It’s helped streamline onboarding, training, and day-to-day operations. According to Fontenot, the feedback has been overwhelmingly positive. “It’s eliminated a lot of back-and-forth and given us a consistent, professional communication channel that actually matches the scale of where we’re headed.”
On the data side, Crust is positioning itself to use real-time analytics to drive everything from labor efficiency to modifier trends to site selection for new locations. The brand is also laying the groundwork for predictive tools and AI-driven personalization in its loyalty program, which is being gamified to drive engagement through exclusive rewards and tier-based perks.
Fontenot advises other brands to be intentional about taking the build path. “First, be real about why you’re doing it. Building your own tech stack isn’t about chasing buzzwords. It’s a serious commitment of time, money, and brainpower. But if you’ve outgrown off-the-shelf systems and you know what problems you’re trying to solve, it can be a total game-changer.”
That said, he warns against trying to do too much at once. “Start small and solve real problems first. Don’t try to rebuild the whole thing in one shot. Focus on one pain point and build from there.”
Not every brand has the bandwidth or resources to take this route. For many, third-party solutions remain the most practical way to implement best-in-class tools quickly and cost-effectively. Even Domino’s and Wingstop—two companies often held up as examples of successful in-house development—have spent years and millions of dollars building their platforms and hiring hundreds of tech staff. McDonald’s, which made headlines for acquiring AI and personalization startups to bolster its tech stack, ultimately sold off those assets, deciding they were better managed by dedicated tech firms.
For most, the future lies in a hybrid model. Many brands are choosing to build proprietary systems for customer-facing applications where differentiation matters most, such as loyalty and digital ordering, while relying on third-party providers for commodity functions like payments or delivery integration. This approach balances control and speed, allowing restaurants to focus their resources where it matters most.
Ultimately, the question isn’t whether to build or buy. It’s about knowing what your restaurant does best and choosing the strategy that supports that strength. As Olo’s CEO Noah Glass put it, “Restaurants achieve better outcomes when they focus on what they do best: creating exceptional dining experiences.”
In the rapidly evolving landscape of restaurant technology, the winners won’t necessarily be those who build everything from scratch or those who buy every tool off the shelf. The winners will be the ones who make smart, strategic decisions about when to innovate, when to partner, and how to keep the guest experience at the center of it all.
