Restaurant tech | KRG Hospitality

Cheeseburgers and French fries in takeout containers on pass

October 12, 2021by David Klemt David Klemt No Comments

SevenRooms Announces Olo Partnership

SevenRooms Announces Olo Partnership

by David Klemt

SevenRooms continues to grow and develop innovative partnerships.

The platform’s newest partnership benefits the hospitality industry, operators, and consumers.

In joining forces with Olo, SevenRooms further helps restaurants, bars, and hotels position themselves to succeed in an increasingly digital world.

The Bleeding Edge

Olo, which literally stands for “Online Ordering,” predates the iPhone.

In fact, the company launched before smartphones were more than niche devices.

Upon its inception, Olo’s service consisted mainly of sending mobile coffee orders to restaurant printers via text message.

Like SevenRooms, Olo seeks to stay ahead of the consumer behavior curve:

2005: Olo launches, anticipating coffee drinkers will eagerly embrace mobile ordering.
2008: The company predicts fast-casual restaurants will become faster than fast food.
2012: Olo envisions the redesigning of kitchen restaurants to include pickup windows.
2015: The platform sees the future for foodservice is delivery.

Now, Olo is dedicated to making sure online ordering customers benefit from the industry’s digital transformation.

The Partnership

SevenRooms ensures clients who also use Olo can capture their off-premise customers’ information. That data then creates profiles for those customers automatically.

This partnership leverages SevenRooms CRM and marketing automation integration. Operators will be able to send post-order surveys to off-premise, online ordering customers automatically.

So, operators can learn what is and isn’t working off-premise; elevate the experience of off-premise customers to increase online order frequency; convert those customers to in-person guests; encourage repeat visits; and increase profitability.

Moving forward, SevenRooms and Olo users will get to know their off-premise customers better.

“To meet the ever-evolving needs of our hospitality clients, we’ve continued to seek out strategic partners who help us provide an even more comprehensive solution to operators,” says SevenRooms CEO and founder Joel Montaniel. “Our integration with Olo delivers on our promise of offering a 360-degree platform focused on helping operators build deeper, direct relationships across on- and off-premise experiences. This partnership facilitates better operational efficiency and online data capture, ultimately helping operators optimize the profitability of their delivery and takeout business while strengthening customer relationships. We are excited to welcome Olo to our partner network, and look forward to our continued collaboration to drive better, more streamlined solutions for the industry.”

Learn more about SevenRooms here. Click here to learn more about Olo.

Image: call me hangry 🇫🇷 on Unsplash

Pepper hotel concierge robot by SoftBank Robotics

July 2, 2021by David Klemt David Klemt No Comments

Restaurant Tech Map Illustrates Innovation

Restaurant Tech Map Illustrates Innovation

by David Klemt

The hospitality industry’s embracing of new technologies is experiencing rapid and welcome acceleration in less than two years.

In comparison to the restaurant technology map by TechTable and Better Food Ventures from 2019, there are two entirely new categories: Shared / Ghost Kitchens, and Food Safety / Quality.

More than a dozen platforms on the 2021 map from TechTable and Culterra Capital (sponsored by Back-of-House) now fall into those two categories.

Changing Landscape

It’s a sign of current industry trends and what will matter to guests moving forward that ghost kitchens and food safety are emerging as separate tech segments.

Obviously, the pandemic didn’t create the ghost kitchen category. However, it did fuel a meteoric rise in delivery and takeout. In turn, ghost kitchens are more prevalent than ever.

After all, a former Uber executive Travis Kalanick owns CloudKitchens and Applebee’s is testing a ghost kitchen pilot program.

What was once the domain of murky, unpermitted virtual brands is now its own successful business model.

However, today’s guest isn’t concerned solely with convenience. In general, guests now take their health and safety more seriously since the pandemic

Tech platforms that can ensure the food guests are consuming is safe will ease some concerns.

Increase in Platforms

Again, in comparison to just two years ago, the acceleration in new tech for the industry is astounding. It’s also long overdue.

As a whole, the hospitality industry has been surprisingly slow to take on new tech. Although, it’s fair to say that there wasn’t much new to adopt until somewhat recently.

Now that there’s more to try out, operators seem keen to embrace tech that can help them streamline operations; improve inventory monitoring and ordering; hire employees and manage teams; engage with and market to customers intelligently; and much more.

Even better, the above map doesn’t include all of the available platforms. That’s excellent news as it means operators have an increasing number of choices to help improve their business in every category of operation.

For example, Barventory isn’t listed within the Purchasing / Inventory / Ordering segment. The platform makes taking inventory, gaining a real-time inventory snapshot, and efficient ordering a breeze. Barventory also features the world’s first live keg scale.

It’s challenging to find positives from the past 14 to 15 months. However, one good thing may be the leaps in technology our industry is experiencing.

If they continue, these innovations may make it easier for operators and their employees to recover.

A concept’s tech stack is crucial to operations and will only grow more important moving forward. Whether opting for a full KRG Hospitality package or the Mindset program, we can help operators make informed tech selections.

Map by TechTable and Culterra Capital, sponsored by Back-of-House

Featured image: Pepper by SoftBank Robotics (photo by Alex Knight on Unsplash)

Statue of McDonald's mascot Ronald McDonald waving

June 21, 2021by David Klemt David Klemt No Comments

McDonald’s Facing Privacy Lawsuit

McDonald’s Facing Privacy Lawsuit

by David Klemt

A McDonald’s customer in Illinois, a state with some of the strictest privacy laws in America, is suing the fast food giant.

The largest fast food chain in the world is testing artificial intelligence in select drive-thrus throughout the Prairie State.

In theory, the technology will become a valuable operational element and enhance the guest journey.

However, one plaintiff in Illinois says McDonald’s is violating the state’s Biometric Information Privacy Act (BIPA).

AI-powered Drive-Thrus

Two years ago, McDonald’s made two significant technology company acquisitions.

In March of 2019, the fast food company purchased Dynamic Yield for a reported $300 million. Six months later, McDonald’s acquired Apprente.

The former acquisition brought “decision tech” to the QSR, using its digital billboards and ordering kiosks to make recommendations to guests depending on preferences, item popularity, and time of day.

The latter purchase is intended to bring automated voice ordering to McDonald’s drive-thrus through artificial intelligence.

Per CNBC, McDonald’s CEO Chris Kempczinski says AI is delivering an 85-percent order accuracy rate in its test stores. Currently, AI is taking 80 percent of the orders at ten Illinois McDonald’s locations.

Clearly, McDonald’s is investing in tech the company believes will enhance and speed up the guest drive-thru experience.

Lawsuit

Shannon Carpenter’s class-action lawsuit alleges that McDonald’s “violated BIPA because it failed to obtain proper consent prior to collecting and disseminating Plaintiff’s and the other class members’ voiceprint biometrics who interacted with its AI voice assistant at its Illinois locations.”

Carpenter filed the lawsuit after visiting a McDonald’s location last year in Lombardi, Illinois. The location is one of ten test stores.

The complaint also says, “McDonald’s AI voice assistant goes beyond real-time voiceprint analysis and recognition and also incorporates “machine-learning routines” that utilize voiceprint recognition in combination with license plate scanning technology to identify unique customers regardless of which location they visit and present them certain menu items based on their past
visits.”

In short, the plaintiff is alleging that McDonald’s is violating Illinois’ BIPA law by:

collecting biometric information (voiceprints in this case specifically) without consent;
not making the company’s data retention policies public;
failing to declare how long customer biometric data will be stored; and
not starting how the company intends to use the collected biometric data.

So far, McDonald’s has not released a statement addressing Carpenter’s lawsuit.

Customer Data

How much is one’s privacy worth? The price of a Big Mac or a Quarter Pounder combo?

Guest data and user privacy is a hot-button topic. For example, Apple made big news this year with the rollout of iOS 14.5 and its accompanying privacy features.

Carpenter’s lawsuit against McDonald’s carries implications for how businesses can collect and use guest data.

However, it also highlights an element of operating a restaurant in our tech-driven world.

It has been suggested by some business experts that the adage “cash is king” should be replaced by “data is king.” And yes, customer/guest data is incredibly valuable.

But so is reassuring guests that their data is safe with a given business. Operators, therefore, should be transparent about what guest data they’re collecting and what they intend to do with it.

And, as the McDonald’s lawsuit makes abundantly clear, there are laws governing the collection and handling of guest data. Operators should ensure that they and their partners are handling guest data legally, ethically, and responsibly.

Image: Vijaya narasimha from Pixabay

February 26, 2021by David Klemt David Klemt No Comments

Self-ordering Kiosks Gaining Ground

Self-ordering Kiosks Gaining Ground

by David Klemt

Ordering kiosks and the convenience they offer have become more commonplace, even before the pandemic plunged its claws into the world.

In addition to the convenience factor, self-ordering kiosks provide guests with a contactless option that keeps them and front-of-house workers safer than ordering face to face.

Proliferation

This technology was on its way from trend to operational mainstay long before Covid-19 savaged the planet and tore through the hospitality industry.

The presence of ordering kiosks at the National Restaurant Association Show reportedly tripled from 2017 to 2018. Quick-service, fast-casual restaurants and limited-service were earlier adopters of self-ordering tech.

It took just a couple of years for McDonald’s, as an example, to outfit thousands of locations with such kiosks.

For several months, industry pros and experts have been saying there clearly defined types of guests with which operators will have to contend post-pandemic:

Those who will comfortably return to restaurants and bars, treating them as they did pre-pandemic.
Those who will return to in-person restaurant and bar visits cautiously.
Those who won’t return to in-person dining until they have been vaccinated and are confident others have been as well.

One can see how self-ordering kiosks appeal to cautious guests, along with those who will use them but take their order to-go.

Types of Kiosks

Anecdotal evidence suggests there are three types or styles of kiosks that are most prevalent: terminals, tablets and tabletop systems.

Ease of function and integration has made tablet-based systems popular.

Toast and TouchBistro are two of the most popular restaurant POS systems on the market, and both offer kiosk functionality. Toast is Android-based, TouchBistro is iOS-based.

Some operators choose to mount their tablet-based kiosks on countertops, some create ordering locations with tablets affixed to stands.

There are also kiosk terminals that are similar in size to ATMs, not based on tablets, and Windows-based.

ADA Compliance

Similar to how it’s important for operators to consider their guests and comfort levels with new (or newer) tech, consideration must be paid to ADA compliance when choosing kiosks.

No guest should feel alienated, excluded, forgotten about, or valued less than other guests. Counter- and table-top ordering devices should be easily accessible by all guests, as should tablet-based systems mounted to free-standing pedestals.

Operators who choose larger ordering terminals must appraise such systems on their ADA compliance. Last week, the Kiosk Manufacturers Association posted a 14-point ADA compliance checklist that end users can use to assess whatever kiosk is under consideration.

Kiosk Manufacturers Association ADA checklist

Image: Kiosk Manufacturers Association

One can read through the checklist in its entirety here, which includes such considerations as:

Depth, clearance, maneuvering and protruding objects.
Assistive considerations like Braille and tactile guidance.
Assistive technologies such as speech-output enabled display screens.
The Big Seven: Captions, contrast, audio, focus, target size, errors and labels

Self-ordering tech and kiosks will continue to evolve and become part of everyday operations for several foodservice business categories. While they may not become commonplace in the fine-dining space, they’re likely to dominate QSRs and fast-casual, and gain more traction in casual and family dining.

Not every restaurant, bar or hotel will benefit from this self-ordering kiosks. Operators who want to implement this tech must consider initial investment, POS integration, hardware, guest comfort, and ADA compliance.

Image: Christiann Koepke on Unsplash