Author: Fernando Garcia — January, 2025
Frustrated with labor shortages? Wishing there was a solution that paid for itself? Dissatisfied with waste that’s costing you money? Looking for a solution that will provide you flexibility, convenience, and reliable data? Kiosks are your answer.
You might think that kiosks are a pandemic trend, and like most trends, will fade away, but that’s not true. Yes, kiosks are a technological trend, but they’re a trend that is here to stay, especially with the convenience and ease they provide your guests. Guests expect to interact seamlessly between physical and digital experiences, known as phygital, and this has revolutionized customer engagement and service delivery.
Although large chain restaurants have implemented kiosks, smaller franchises and family-run restaurants are slowly adding them. There might be some belief that kiosks are too expensive or that their customers will not want to order from kiosks. Yet, the kiosk trend is here to stay, and two of the most compelling reasons for investing in kiosks are financial benefits and the valuable insights offered.
Some guests want to take their time to review the menu while relaxing; they don’t want to be rushed by someone at the counter or others in line, and they want to personalize their items.
The hospitality and restaurant business was greatly affected by the pandemic, and to survive, restaurants had to adapt to new technologies, which have transformed the industry. Guests have grown comfortable with ordering and customizing their selections online, using contactless payment methods, having their orders ready quickly, and not waiting in lines for a table; they want flexibility in their restaurant experiences.
Flexibility takes different forms with guests. For example, some guests want to take their time to review the menu while relaxing; they don’t want to be rushed by someone at the counter or others in line, and they want to personalize their items. Other guests know exactly what they want because they order the same menu items each time. They expect to get their orders quickly and accurately. Guests like earning and redeeming loyalty points, and they expect quality service.
Kiosks offer user-friendly and interactive options, enhancing the guest ordering experience. In restaurants facing staffing challenges, kiosks can help maintain service quality by allowing employees to be reassigned to focus on order preparation and personalized customer service, rather than managing a cash register where the risk of human error, longer queues, and unhappy guests might be more likely.
Kiosks streamline ordering by enabling guests to customize their orders and pay in one convenient location, using their preferred payment method: credit or debit cards, and mobile wallet. Plus, “Leading kiosk solutions also come with the latest security controls and software, demonstrating how OEMs continue to invest in ensuring the security of financial transactions and safeguarding sensitive customer data and financial information” (Denney-Thompson, 2024).
Kiosks are easy for an operation to manage and use, making quick menu adjustments, adding or subtracting promotions, as well as providing quick data and insights into inventory and waste. No more running out of a product since managers can quickly look at their inventory and place accurate orders. No more losing profit due to over-ordering certain products that don’t sell.
Another benefit of kiosks, according to Race (2024) is:
[they] can leverage data-driven algorithms and persuasive design to upsell products to customers, such as suggesting larger sizes, combos, or add-ons. They can also display high-margin items, such as beverages, desserts, or sides, more prominently and frequently than low-margin items. Kiosks do not have any biases, fatigue, or hesitation when upselling, and can do so consistently and effectively.
Upsells and add-ons can boost profit up to 40% per average order compared to a traditional point of service, an employee in front of a cash register.
A higher AOV increases profit and provides a return on an operation’s investment in kiosks. Additionally, kiosks display guest loyalty status and allow them to redeem their points earned or earn coupons for future orders, which promotes engagement and loyalty, resulting in more orders. “Kiosks can enhance…revenue and profitability, and give them [restaurants] a competitive edge in the market,” Race(2024) states. Tens of thousands of new restaurants open each year, and for a restaurant to stay competitive and relevant, it must embrace new technology: kiosks.
As the restaurant industry evolves, it is essential to stay adaptable and embrace technology that resonates with tech-savvy patrons. Interactive touchscreen kiosks provide a seamless and enjoyable ordering experience, allowing guests to take their time, customize orders to meet dietary preferences or tastes, and place and pay for their meals with ease. By visually confirming their selections before finalizing, guests ensure order accuracy, reducing waste and enhancing their overall experience—leaving them satisfied and happy. Guest satisfaction increases with the use of kiosks.
Many smaller, family-run restaurants or franchises have disparate avenues for collecting and reviewing data, which takes time away from other essential daily operations. However, kiosks are efficient in collecting data, allowing business teams to easily and quickly review information hourly and daily. They can see how “kiosks gather valuable data on customer preferences, ordering habits, and busy times. Analyzing the data helps understand customer behavior, leading to better inventory, staffing, and marketing decisions” (Fussenegger, 2024).
Easy menu management allows restaurants to optimize their menu design, layout, and content to better serve their customers. “This wealth of information enables QSRs to make informed decisions regarding menu optimization, staffing levels, and promotional strategies, driving growth and profitability,” according to “5 Compelling Reasons Your QSR Needs Self-Service Kiosks in 2024,” (2024). Providing guests who speak other languages the opportunity to read a menu in their language will promote a sense of comfortability and guest loyalty. They will return to a place that allows them to read in their home language.
Data empowers restaurants to gain valuable insights into customer behavior, helping them identify popular menu items, spot underperforming options, track peak hours, and uncover friction points that may lead to order abandonment. With this knowledge, teams can proactively address challenges, such as optimizing staff schedules during busy times. By leveraging this data, operations managers can streamline menu offerings and implement strategies that foster growth and maximize earnings.
Food waste is a problem in the restaurant industry. Teams know how costly it is to throw away inventory that goes bad, and it’s frustrating. Data from kiosks can provide real-time insights into inventory, allowing managers to order what is needed rather than over–or under–estimate food stock, thus reducing food waste and boosting profit.
Kiosks and their improved technology allows restaurants to future-proof their businesses. They offer a scalable solution that adapts to changing customer demands and technological advancements and the goal of increasing profitability. The kiosk trend is here to stay; they resolve labor issues, provide insights into your business, and increase profitability.
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