Yum Brands appears undeterred by McDonalds experience
of ConsumerAffairs
Fast-food restaurants are struggling to hire and retain staff, even as they are raising wages. So Taco Bell is bringing on artificial intelligence (AI) to lend a hand. The chain, owned by Yum Brands, said it plans to employ AI voice technology in drive-thrus at hundreds of U.S. locations.
In the months ahead, its possible customers will interact with a computer and not a human being when they place their order. Will it work?
If you will recall, McDonalds tried using AI in the ordering process with mixed results. In June, the company informed franchises that it was ending its AI experiment at about 100 locations.
The partnership with AI produced correct orders about 85% of the time, according to company executives. The other 15% of orders went viral on social media after the computer made up hilarious food combinations.
One video on TikTok showed a customer who ordered ice cream and some water, but was baffled when the order also included four packets of ketchup and three patties of butter.
Worth the risk?
Taco Bell may be willing to risk unproven technology in a bid to ease staffing crunches and save money, especially at California locations, where the minimum wage recently rose to $20 an hour.
According to a survey of California restaurant operators, conducted by the Employment Policies Institute, the minimum wage increase is already having a big impact. The survey found that 67% believe the wage increase will cost their restaurant at least $100,000 per location. One in four said it would cost more than $200,000 per location.
Nearly all of those surveyed 99% said prices will increase to cover the added cost, with 73% saying prices will significantly increase.
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-07-31 13:52:59
