Blockchain, a decentralized and tamper-resistant digital ledger, securely records every transaction with cryptographic safety, creating a permanent and transparent record accessible by both restaurants and consumers. By integrating Radio Frequency Identification (RFID) tags on food components, blockchain can track the process at every stage, from farming and shipping to storage and preparation in restaurants, according to a report in the newspaper.
The study, led by Associate Professor Bai Liu, concluded that blockchain tracking significantly enhances trust in food and boosts the reputation of restaurants. Importantly, consumers with greater concerns about food safety appreciated the added transparency and were willing to pay higher prices for these assurances, potentially increasing restaurant revenues.
Interestingly, while health awareness and environmental concerns were important to diners, safety concerns were the dominant factor affecting their trust. This innovative approach is inspired by the successful use of blockchain in the fashion industry to track cotton through complex supply chains, and the research team is looking to apply this technology more broadly in restaurants, where some establishments have already begun verifying menus using it.
Future studies aim to determine whether consumers need to view blockchain data directly or if merely knowing that menus are verified using blockchain is sufficient to reduce uncertainty and gain consumer trust.
