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The Unintended Consequences of Fast-Food Ordering Kiosks | Entrepreneur

by Brand Post
September 27, 2024
in Business
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The Unintended Consequences of Fast-Food Ordering Kiosks | Entrepreneur
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Self-service kiosks have become a staple in fast-food restaurants, offering convenience and a streamlined ordering process. Although these touchscreens have transformed the front-end experience, they have also created some unexpected challenges for kitchen staff and operations.

Fast-food chains like McDonald’s have embraced this technology to reduce labor costs and improve customer service, but the results have been mixed. These varied results highlight some of the unintended consequences of automation, according to CNN, which used a combination of expert interviews, data from industry analysts and real-world examples from major fast-food chains for the article. CNN also included insights from data analytics firm Placer.ai on how kiosks have impacted labor reallocation and restaurant operations.

Related: Considering franchise ownership? Get started now to find your personalized list of franchises that match your lifestyle, interests and budget.

Increased workload for kitchen staff

One of the unforeseen impacts of self-service kiosks is the added pressure on kitchen staff. As customers take their time to explore menus and customize orders, the volume of food ordered tends to increase compared to traditional cash-register orders. This means more complex and larger orders hit the kitchen, often all at once, during busy periods.

For kitchen staff, this translates into a heavier workload and the need to manage more detailed orders faster, leading to delays and increased stress. So, rather than reducing operational strain, kiosks have sometimes shifted the burden to the back of the restaurant. The expectation that automation would ease pressure has proven only partially accurate, especially in high-traffic locations.

Related: See Entrepreneur’s 2024 Top Franchise Suppliers List

Encouraging customers to spend more

A notable (and positive) consequence of self-service kiosks is their effect on customer spending habits. With visuals that make add-ons and upgrades more prominent, customers are often prompted to purchase more than they might when ordering face-to-face. From extra sides to dessert suggestions, kiosks subtly encourage larger orders, increasing the average ticket size.

Although this is a positive outcome for revenue, it also adds to the kitchen’s workload and can create longer wait times during peak hours.

Related: Don’t Have Time to Start a Business? This Doctor, Lawyer and Now Part-Time Franchisee Would Disagree.

Lessons for future automation

The experience with kiosks offers valuable insights for other fast-food technologies, particularly artificial intelligence (AI) at drive-thru lanes. As chains experiment with AI to improve efficiency, understanding the potential for unintended consequences — such as increased back-end stress or shifts in customer behavior — is crucial.

While kiosks have improved the ordering process for customers, the strain they place on other parts of the business shows that careful planning is necessary when integrating new technology. The industry’s experience with self-service kiosks holds lessons for the future of automation, showing that efficiency gains can often come with trade-offs.

Related: Find Out Which Brands Have Ranked on the Franchise 500 for Longest, Earning a Spot In our New ‘Hall of Fame’

Read More: CNN



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Tags: ConsequencesentrepreneurFastFoodfranchiseInvestmentKiosksOrderingUnintended

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