Digital transformation shapes the customer experience in all kinds of businesses. With the rise of artificial intelligence (AI) and machine learning, digital technology is fast becoming a cornerstone of any business model. Restaurants that embrace digital innovation could see increased customer satisfaction levels and improve their profit margins.
If you’re considering digital transformation techniques for your restaurant but aren’t sure where to start, you’ve come to the right place. In this article, we’ll explore different types of restaurant automation to show you precisely how digital transformation can improve the customer experience in your business.
Digital transformation means automating business processes that were previously done manually. It’s about leveraging technology to carry out operations in all areas of a business. In some companies, it might mean setting up AI chatbots to respond to customer messages or using advanced data analytics software to improve marketing efforts.
In a restaurant setting, digital transformation is about utilizing new technology to address pain points and better meet customer demands. For example, digital transformation can improve the customer experience through speeding up wait times — by simplifying the restaurant’s ordering process, food can be served more quickly. We’ll look at this in more detail below as we explore specific ways for restaurant managers to bring technology into their businesses.
Digital technology can be used in various stages of the customer journey in your restaurant, from placing orders to receiving the food. Automation is also possible in other aspects of your restaurant’s operations, such as your marketing plan.
The six options below can help you initiate a digital transformation strategy for a better customer experience and smoother business processes.
Self-service kiosks are a simple way to streamline your restaurant’s ordering system and better meet customer expectations. They make it easy to change and update the menu, provide a safe ordering experience, and allow patrons to customize orders. A kiosk can also work with a kitchen display system to send real-time order updates to your back-of-house team, ensuring faster response times and seamless service.
You might think the cost of self-service kiosks puts them out of reach for your restaurant. But your restaurant doesn’t need custom, freestanding kiosks like those you might have seen in McDonald’s.
All you need to set up a kiosk is a tablet, Square Kiosk mount, and the KioskBuddy app. KioskBuddy provides a simple user experience, letting customers leave special instructions, choose between dine-in and takeout, and pay on their own using a credit card or digital wallet.
KioskBuddy has already helped various food businesses harness digital transformation to boost the customer experience. For example, yAAAs! Cookies in Atlanta used KioskBuddy after losing its employees during a rough patch. The app allowed customers to keep placing orders without a staffed ordering point, and the business owner was able to focus on preparing delicious treats.
Some businesses choose to set up contactless payment options in their restaurants to provide a great customer experience. Many restaurant-goers like the ease and speed of contactless payments — they can wrap up their dining experience more quickly and continue their day.
In fact, more and more people are going totally cashless in their day-to-day spending, meaning your restaurant could be missing out on essential business if you don’t allow this type of payment processing.
Contactless payment options can be used whether you use self-service kiosks or have customers check out with a member of your staff.
Once your restaurant has digitized the ordering and payment processes, you could complete the automation of your customer journey by using robot servers to deliver food to tables.
Robotic food delivery systems have already been implemented in large quick-service restaurant chains like Chick-fil-A. Autonomous AI-assisted robots take food from the kitchens to the tables. The robots are programmed to “understand” the layout of the restaurant space and have sensors to ensure they don’t bump into customers or serving staff.
Robot servers can help businesses reduce labor costs and ensure uninterrupted customer service, even during busy times.
Digital transformation initiatives like this might seem out of reach for smaller businesses — but the technology will likely become more accessible in terms of pricing over the coming years. So it’s definitely something to keep an eye on!
Customer retention is critical for restaurants, and digital loyalty programs can effectively boost customer loyalty and ensure your diners come back time and again.
Loyalty programs let customers earn freebies or discounts in exchange for their purchases. This means they’re more likely to visit your business regularly, boosting customer spending.
Loyalty programs also let restaurant managers collect customer data with built-in customer relationship management (CRM) tools. You’ll be able to collect names and email addresses for your mailing list, along with metrics on individuals’ purchase history and spending habits. As we discuss further below, data collection can help you provide a better experience to your diners.
Data analytics can help you gain a better understanding of your customer base and their preferences.
Sales data lets you see your most popular dishes, what meals people don’t seem to order, and what inventory you need to order more often. You can also gain a clearer picture of peak ordering times and common menu customizations. Analyzing and understanding this data can empower you to make better decisions about menus and staffing.
Restaurants using digital channels and data analytics understand what makes each customer unique, which allows them to grow their restaurants and clientele organically. For example, restaurants can see how often a specific customer orders from them, their purchase history, and variations of their order. This data can help restaurants plan specials, upsell products, and generally create a more personalized experience for that customer.
Social media has become integral to the digital customer experience for foodies and restaurant-goers. It’s not just about sharing food photos — it’s about creating a brand for your diners to connect with.
Wendy’s is an interesting example of how to use social media to develop a brand and gain a loyal online following. The company focuses on humor — its X (formerly Twitter) account often teases the people who engage with it. By leaning into this comic persona, they’ve gained 3.8 million followers on X and 1.1 million followers on Instagram. They can then use this platform to share promotions and encourage more customers to eat with them.
When used correctly, social media can boost customer engagement and foster a loyal following that dines with you time and again. Making fun of customers won’t work for everyone — but engaging with your followers can let you discover precisely what they want when dining out.
Prioritizing digital transformation can improve the customer experience in a restaurant business by answering customer needs. Increasing your digital transformation efforts lets you use the power of technology to streamline your operations and provide a more customer-centric service. From data analytics to self-service kiosks, there are many ways to boost your customer experience through digital means.
KioskBuddy makes it easy to set up self-service ordering in your restaurant. Customers can place their orders on a tablet and pay without staff assistance. It’s quick and easy to set up and integrates with the Square point-of-sale system.
Download KioskBuddy now and bring the digital world into your restaurant.