In a recent episode of the Restaurant Technology Guys podcast, Jeremy Julian sat down with Joe Gaskowski, senior editor at Restaurant Business, to explore the rapidly evolving landscape of restaurant technology. Their conversation delved into the major trends shaping the industry, with a focus on the rise of AI, dynamic pricing, and the integration of third-party delivery services.
Introduction to AI in the Restaurant Industry
As Joe Gaskowski highlighted, AI was the defining trend of 2024 and continues to gain momentum. From automating drive-thru orders to crafting marketing emails, AI is being adopted across the spectrum of restaurant operations. Interestingly, AI is not only the domain of large chains. Smaller operators are utilizing AI to enhance their inventory management, sales forecasting, and even menu innovation. This flexibility makes AI a valuable tool for restaurants of all sizes.
The Controversy of Dynamic Pricing
Dynamic pricing, the practice of adjusting prices based on demand, was a hot topic during their discussion. Although dynamic pricing isn’t new—happy hour pricing is a classic example—the announcement of its implementation by large chains like Wendy’s sparked consumer outrage. Critics often misconstrue dynamic pricing as surge pricing, resulting in misconceptions about its application. Joe and Jeremy discussed how this pricing strategy, when communicated effectively, can benefit both restaurants and consumers.
Adoption of Voice AI: A New Frontier
Voice AI is another area where the restaurant industry is seeing significant advancements. While many consumers have encountered AI when ordering pizzas over the phone, its integration into drive-thrus is the next frontier. Major chains like Taco Bell and McDonald’s are exploring voice AI to streamline operations and improve customer service. Voice AI presents an opportunity to enhance the customer experience by reducing wait times and ensuring order accuracy.
The Impact of Third-Party Delivery Services
Joe and Jeremy also examined the evolving role of third-party delivery services like DoorDash and Uber Eats. While these platforms were a lifeline during the pandemic, the focus now is on leveraging them strategically to drive sales rather than diminish profits. Restaurants are becoming more deliberate about how they use these services to complement their existing operations.
Technology in Casual Dining
The conversation turned to casual dining, a sector that has faced significant challenges in recent years. Tech innovations offer a pathway to revitalization. Tools such as tablet-based ordering and payment systems can speed up service, while loyalty programs help gather valuable customer data to drive repeat business. These technologies can transform casual dining into a more efficient and engaging experience for consumers.
Looking Ahead: The Future of Restaurant Tech
As the podcast wrapped up, Joe Gaskowski shared his predictions for the future of restaurant technology. He envisions voice AI becoming the default mode for drive-thru and phone orders due to its operational and customer service benefits. Additionally, he predicts a continued consolidation of technology vendors, fostering better integration across restaurant systems.
Jeremy and Joe’s discussion underscores the critical role technology plays in shaping the future of dining. From AI innovations to strategic use of delivery platforms, restaurants are embracing digital transformations to meet modern consumer expectations and overcome industry challenges.
For those looking to delve deeper and stay updated with industry trends, Joe recommends checking out Restaurant Business Online and connecting via LinkedIn. As the restaurant industry navigates these changes, staying informed is key to leveraging technology for success.
Stay tuned to the Restaurant Technology Guys podcast for more insights and discussions on making restaurant operations smarter and more efficient.
