Artificial intelligence restaurant applications
Artificial intelligence (AI) felt like something straight out of a science fiction novel just a few short years ago. Today, AI is a part of daily business conversations. Some businesses are using AI-powered technology without even realizing it through their third-party service providers.
AI has become big business. The global market was worth $196.36 billion in 2023, according to Grandview Research. North America’s share of the market was 36.8 percent 2023.
As we convene at the Las Vegas Convention Center and walk the show floor at Pizza Expo on March 19-21, you will see AI having a larger presence. You’ll explore new exhibitors completely dedicated to AI. You will also find artificial intelligence being integrated into familiar exhibiting companies. Get curious. Ask about their AI technologies. Ask for demonstrations to better understand it. Pizza Expo gives you an opportunity to get up close with this emerging tech.
Thanks to artificial intelligence-powered applications, people are seeing that AI is more than robots that can make food or be a food runner in front of the house. AI has a broad spectrum of applications that restaurant operators can take full advantage of. The technology can be especially intriguing as operators look for efficiency and labor cost savings. There are three over-arching areas where AI is helping restaurants that you may want to consider. They are:
- Data Crunching. From scheduling, inventory and equipment maintenance to marketing and sales, AI is accessing and tracking data in real time, analyzing it and reporting its findings almost immediately. Some of these tasks would take an operator several minutes, hours or even days to report.
- Taking Orders. AI has been a game changer in voice and text ordering. Voice channels have made it easier for customers to order anywhere. ChatBots are taking the labor strain away from the ordering process. AI is also being integrated into Voice Over Internet Protocol (VoIP).
- Creating Content. In this new world, you can ask an AI system to create written content for you. It’s important to give the AI the right prompt to solicit accurate content and even more important to analyze the content for brand fit, edit and tailor that content for your intended use. Graphics and photography are also being generated by AI. It’s vital to analyze the images closely for abnormalities and inconsistencies. There is also much debate currently around copyright of AI-generated content.
Working with AI ChatBots
Let’s talk specifically about using AI ChatBots like OpenAI’s ChatGPT and GPT4 and Google’s Bard (now Gemini). We are hearing a lot about these interfaces in the news and on social these days. Much like when search engines came onto the scene in the 1990s, you need to understand when and how to use AI systems.
There are several applicable ways AI systems can assist a pizzeria operation. We’ve seen instances where the ChatBot helped an operator come up with interview questions based on a specific job description. In another instance, the interface helped an operator work through brainstorming a new initiative. Other successful prompts and responses have been around providing better SEO keywords and descriptions for pizzeria websites and review site descriptions.
The key to on-point responses lie in the prompts you provide. A few tips for better prompts are: be specific about what you are looking for and the kind of response you expect; offer examples and context, reframe your question and ask again. Sometime language and phrasing can interfere with getting the response you are looking for.
Let’s use an AI ChatBot to talk about artificial intelligence, going straight to the source in an interview of sorts.
My first question for ChatGPT was, “How can AI help me at my restaurant?”
ChatGPT provided several benefits (some you would expect, while others you may be surprised by). I selected a half dozen interesting benefits of the several results provided.
ChatGPT’s response:
- Personalized Recommendations: AI can analyze customer data to provide personalized menu recommendations based on individual preferences, dietary restrictions, or past orders.
- Table Management: AI-powered systems can help optimize table turnover and manage reservations efficiently. This ensures that the seating process is smoother and customers experience minimal wait times.
- AI-Powered Marketing: Use AI to analyze customer data and create targeted marketing campaigns. This could involve sending personalized promotions, discounts, or loyalty rewards to encourage repeat business.
- Facial Recognition for Loyalty Programs: Implement facial recognition technology for loyalty programs. This allows for a seamless check-in process and provides a personalized experience for regular customers.
- Predictive Maintenance for Equipment: AI can predict when kitchen equipment might need maintenance or replacement, helping prevent unexpected breakdowns and ensuring smooth kitchen operations.
- Menu Optimization: Analyze customer feedback and sales data to optimize your menu. AI can help identify popular dishes, highlight underperforming items, and suggest adjustments to maximize profitability.
AI Limitations in the Restaurant Space
While the ChatBot knows how AI can help restaurants, I was curious to know if the ChatBot could understand and relay the limitations of AI. It’s vital for any business owner who is looking at AI for assistance to understand its limitations. So I asked ChatGPT, “What limitations does AI have in helping my restaurant?”
Here are eight limitations from ChatGPT:
- Initial Cost and Implementation Time. Limitation: Implementing AI solutions may require an initial investment in software, hardware, and staff training. The setup process can also take time.
- Data Quality and Privacy Concerns. Limitation: AI relies on quality data for accurate predictions and analysis. Poor data quality can lead to unreliable insights. Additionally, concerns about customer data privacy need to be addressed to comply with regulations.
- Lack of Customization. Limitation: Some low-cost or free AI solutions may have limited customization options. Tailoring AI systems to specific restaurant needs may require more advanced and costly solutions.
- Dependence on Data Availability. Limitation: AI algorithms require sufficient historical data to make accurate predictions. New or small restaurants with limited data may not benefit as much from predictive analytics.
- Complexity and Technical Expertise. Limitation: Implementing and managing AI solutions may require technical expertise. Small restaurants without dedicated IT staff may find it challenging to handle complex AI systems.
- Integration Challenges. Limitation: Integrating AI solutions with existing restaurant systems can be challenging. Compatibility issues may arise, especially if the AI tools are from different vendors.
- AI Misinterpretation. Limitation: AI systems may misinterpret customer requests, leading to
errors in orders or customer
service. Fine-tuning AI algorithms is an ongoing process to minimize such occurrences. - Ethical Considerations. Limitation: There are ethical considerations, such as bias in AI algorithms, that need to be addressed. Biased algorithms can lead to discriminatory outcomes, impacting customer satisfaction and reputation.
AI is an emerging technology and with any new tech, it will advance and newer, better models will launch. AI is a space as a small business owner you should keep an eye on.
DENISE GREER is Executive Editor of Pizza Today.