AI seems to be popping up just about everywhere you look, and the restaurant industry is no exception. If you’ve ever used an app to order from your favorite local restaurant and noticed personalized recommendations based on your past orders, or even been offered a special deal from a national chain based on your location, you may have experienced AI in action.
Even beyond the ordering process, AI is also behind automated chatbots that handle reservations and robotics technologies that have learned to mimic the movement of professional chefs.
What’s more AI’s role in the restaurant industry is expanding at an incredible rate, especially in the corporate sector. According to a recent article by World Metrics, 85% of industry experts believe AI will have a significant impact on industry growth.
As organizations continue prioritizing AI over digital technologies more and more, we’re learning that there are several ways to leverage it, from streamlining back-of-house operations to optimizing the customer experience.
The benefits are clear: AI can help businesses run more efficiently, reduce costs, and offer personalized experiences that keep customers coming back. From the consumer standpoint, this means faster service, more accurate orders, and uniquely personalized dining experiences.
While it’s still very much in its infancy, there are many brands and companies at the forefront of this revolution. In this guide, we’ll take a look at how these industry disruptors are paving the way for the future of restaurants.
Yum Brands AI Implementation
Yum Brands is the parent company behind fast food giants like KFC, Pizza Hut, and Taco Bell, and over the past few years, they’ve led the charge in AI adoption. More than any other major fast food corporation, Yum Brands has heavily invested in artificial intelligence and AI startups to revolutionize how they operate, serve customers, and tap into their vast amounts of data.
One of the key areas Yum Brands has focused its AI efforts on is in reinforcement learning. Unlike traditional programming, where an AI follows pre-set instructions, reinforcement learning allows AI systems to learn and improve from their interactions with the environment. In simpler terms, AI gets better at making decisions the more it’s used, much like how people learn from experience.
Yum Brands has applied this technology across multiple aspects of its business, including back-office operations, customer insights, and marketing strategies. But where it’s really making waves is in customer-facing solutions, particularly at Taco Bell.
Starting in 2021, Yum Brands rolled out AI-powered drive-thrus at five locations. As of August 2024, this same technology can be seen at hundreds of U.S. Taco Bell locations across the U.S, reducing wait times, improving order accuracy, and allowing employees to focus on other important tasks.
PizzaBox’s AI-Driven Subscription Management Platform
Pizzeria owners are now gearing up for a new wave of AI tech with PizzaBox AI, a revolutionary Pizza Subscription Management Platform developed by industry radical Andrew Simmons. Known for shaking up the pizza world, Simmons’ latest initiative is set to change how pizzerias operate and how customers enjoy their favorite slices.
In today’s market, subscription services are everywhere we look, from Spotify to Netflix.
Now, PizzaBox AI is bringing that same model to the pizza industry. Powered by RestoGPT’s advanced AI technology, PizzaBox AI’s subscription service guarantees customers one pizza per week for an entire year.
For an annual price of $197, pizzerias can sell specific subscriptions, such as a weekly medium pizza. It’s a win-win situation. Customers get their favorite pizza regularly without having to think twice, and pizzerias secure upfront revenue that helps stabilize their business.
Better yet, the company handles the subscription service from beginning to end, from payment processing to creating branded customer ordering pages, as well as automated redemption codes and consumer account management.
Inventory Management with CLEARCOGS and LeanPath
Generative AI is making a big impact in the restaurant industry as well, not just in customer-facing roles but also behind the scenes, helping food service providers become more sustainable.
Experts suggest that AI has the potential to cut food waste in restaurants by as much as 25% through the use of predictive analytics.
Companies like LeanPath and CLEARCOGS are at the forefront of this movement, using data analytics and in-kitchen monitoring to reduce waste and lower food-production costs. These platforms combine culinary experience with artificial intelligence to turn data into actionable insights that help prevent waste before it occurs.
By analyzing patterns in food usage, predicting demand, and identifying areas where waste is most likely to occur, these intelligent systems have helped kitchen staffs across the country refine their inventories and menu offerings.
Popmenu’s AI Features
Popmenu has long been a pioneer in integrating AI into restaurant technology. Early on, the company set the standard for how AI can support and transform the industry. Today, Popmenu’s AI features are designed to tackle some of the most significant challenges faced by restaurant operators, from bridging labor gaps to managing key tasks like creating marketing content and handling customer calls.
40% of restaurant operators turned to new tech after the pandemic, as they were struggling with limited time and resources. Still, many find it difficult to consistently engage with their guests. Popmenu’s AI stepped in to fill this gap, automating marketing efforts across digital channels in a way that’s both personalized and effective.
By analyzing billions of guest interactions, Popmenu’s AI can pinpoint which marketing strategies are driving the most sales and provide operators with a playbook for continued growth. This means restaurant owners can focus on what they do best — serving great food.
Pushing the AI Envelope with EMERGING
It’s an exciting time to be in the hospitality industry. From menu generation to performance forecasting and waste reduction, AI is rapidly transforming how restaurants operate. The pace of change is quick, and the innovation potential seems limitless.
Here at EMERGING, we work hard to stay ahead of these advancements as the industry continues to embrace AI integration. As a leading growth equity firm for ResTech, our mission is to collaborate with restaurant owners, helping them understand the full potential of AI and data science, so they can run their businesses more efficiently and profitably.
As AI continues to shape the future of the restaurant industry, EMERGING will be here to guide you through these changes.
