The Rise of Kiosks in US Fast Food Joints: A Blend of Consumer Preference and Cost-Efficiency

Why are kiosks becoming more prevalent in US fast food joints? There are several compelling reasons for this trend, deeply rooted in both consumer preference and cost-efficiency. In this article, we explore these factors and their impact on the fast food industry.

Reasons for the Increase in Kiosks

One of the main reasons for the emergence of kiosks in fast food joints is the ability to maintain them without incurring the costs associated with paying a living wage to staff. Additionally, kiosks often perform their tasks efficiently, reducing the potential for human error and ensuring greater accuracy in order-taking.

Addressing Staffing Shortages

Staffing Shortages in the US contribute significantly to the push towards automation. Many areas of the US, especially urban and suburban regions, face a shortage of low-wage workers. This makes it challenging for restaurants to staff positions effectively. Moreover, current technology, while advancing, cannot fully support human workers, necessitating a shift towards automation.

Avoiding Human Error

Another key reason is the desire to avoid the blame game. When orders are taken manually, customers might hold the person taking the order accountable if the order is incorrect. However, with kiosks, customers are responsible for their own choices, leading to greater satisfaction as they can blame themselves, rather than a person.

Automation Trends in the Fast Food Industry

The trend towards automation is not limited to just one area but is spreading across most industries, including fast food. Large fast food giants like McDonald's are leading the charge with a significant upgrade plan for their kiosks. Over the next two years, McDonald's aims to equip 1000 stores per quarter with self-ordering technology.

Consumer and Business Decisions

The shift towards automation in the fast food industry can be attributed to two major factors: consumer preference and cost-efficiency.

Consumer Preference

Over the long-term, consumer preference is driving this trend. People are embracing digital ordering due to its convenience, efficiency, and accuracy. Research shows that 26% of people under 34 and 16% of people over this age prefer automated ordering methods. This demographic shift is making it clear that the future lies with greater automation in fast food.

Cost-Efficiency

The cost of labor is another driving force behind the move towards automation. As workers demand higher wages, the fast food industry is increasingly turning to automated ordering kiosks to reduce labor costs. While training staff to use the new technology requires a short-term investment, the long-term benefits in terms of reduced labor costs are significant. Additionally, kiosks can streamline upselling and offer greater convenience to customers, making the overall experience more appealing.

Impact on Fast Food Workers

The rise of kiosks does not bode well for all fast food workers. While some people prefer dealing with humans, the number of human workers needed is likely to decrease if most customers prefer automation. However, on the flip side, faster service through automated systems may enable fast food companies to open new locations, potentially creating more job opportunities.

In conclusion, the trend towards automation in the fast food industry is a response to both consumer demands and business needs. While it is unlikely that we will completely replace human interaction with robots, the current trajectory suggests that increased automation is the future. As we embrace this new era of dining, it is crucial to consider the social and economic implications of this shift towards automation.

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