5 POS Trends for Quick Service Restaurants
How point-of-sale (POS) systems and connected products like kiosks and AI are changing quick-service restaurants (QSRs) like Domino's, Chick-fil-A, and more.
Point-of-sale (POS) systems were born of the humble cash register to execute and record sales transactions. Today, POS systems are everywhere, from retailers to solopreneurs. In particular, POS systems are essential technology in every quick-service restaurant’s (QSR) toolbox. Often being integrated into all facets of the QSR, from mobile ordering to inventory to drive-thru, POS systems are connected products a fast-food restaurant simply can’t do without.
POS — and connected products — are at the forefront of the acceleration in technology inside restaurants, freeing employees to do higher-value activities, empowering customers, and making restaurants more revenue (and profit).
What technological advancements are driving these benefits? Let’s explore 5 exciting POS trends in the QSR space.
1. Integrating Connected Products in the QSR
Today’s restaurant is not just about food service. It is also a technology hub. Kitchen display systems, self-service kiosks, digital menu boards, drive-thru, payments terminals — and even fryers and grills — all become part of the system of connected products that makes a QSR work. As a result, the software that directs the devices to function as designed plays a central role in restaurant operation.
In a QSR, connected products must work together, supporting ordering and delivery of food. Thus, the management and maintenance of these connected products (including the POS system) is essential to the business model.
Successful restaurant chains depend upon connected products to operate.
Imagine entering Chick-fil-A during a busy lunch hour. The line is long, but you know you won’t need to wait until you approach the counter. There is a Chick-fil-A staff member holding a tablet taking your order even at the back of the line. Within minutes, your order has been relayed to the kitchen and is being prepared. Chick-fil-A’s connected product prowess is one-of-a-kind. Their proprietary approach to POS uses Kubernetes and Intel NUCs at 3,000+ franchises to drive more revenue per square foot than any other QSR. This is just one example of how connected products increase efficiency and enhance customer service in QSRs, but their effectiveness is not limited to front-of-house operations.
Connected products can relay fulfilled orders to your inventory management platform to estimate when ingredients are low and automatically order more. They can track sales and provide insights to help restaurant managers make informed decisions about new promotions or products. They can optimize staff scheduling to peak hours and employee availability. They can even remotely monitor equipment and flag maintenance alerts.
New connected products for the restaurant industry are released every day, transforming the way QSRs operate and setting new standards for efficiency, customer engagement, and overall business success.
2. Self-Service Kiosks
The rise of self-service kiosks (and related self-service technology) is changing the customer dining experience at quick-service restaurants for the sake of autonomy, convenience, and customization. With self-service kiosks, QSRs benefit from more than staffing efficiency improvements. They also benefit from strategic upsell opportunities.
One of the standout, surprise business features driving the self-service movement inside the restaurant is its ability to increase basket size. Self-service kiosks, mobile applications, and online ordering platforms present customers with suggestions based on previous orders or active promotions, encouraging them to explore new menu items or revisit a favorite.
Because they remove the gaze of staff, self-service technology also makes customers feel more free — that is, free to order more food and beverages.
Sixty-six percent of consumers actually prefer self-service kiosks over staffed checkouts according to a PYMNTS Intelligence Report. The report identified Generation Z and Millennials as the top supporters of self-service kiosks. The combined market share of these two generations illustrates self-service’s importance in current and future restaurant success.
McDonald’s was one of the first to adopt self-service technology and its investment has paid off. Orders via kiosks, app, or delivery accounted for 40% of McDonald’s sales during Q3 2023. The restaurant recently debuted kiosks that accept cash payments to expand its self-service capabilities to a new customer demographic.
But what do cashiers do if they aren’t taking orders? The short answer is anything.
In today’s restaurant landscape, every team member plays a critical role in the restaurant’s success. Self-service technology gives QSRs the flexibility to staff employees where they will make the most impact, optimizing operations and providing high levels of customer service.
The Guide to Connected Products
Kiosks, point-of-sale (POS) systems, access control, security, or camera systems — just to name a few — are all examples of "connected products." Bookmark this guide and learn more about this space.
The Guide to Connected Products
Kiosks, point-of-sale (POS) systems, access control, security, or camera systems — just to name a few — are all examples of "connected products." Bookmark this guide and learn more about this space.
3. Omnichannel Food Ordering
Restaurants are no longer limited to in-person interactions. QSRs have been developing new ways to connect with customers from the advent of the drive-thru. Today, the channels available to reach new customers are seemingly endless. And customers expect restaurants to provide options on where they place their orders. QSRs that embrace the omnichannel ordering trend can create a cohesive and flexible ordering experience no matter the platform.
Domino’s Pizza has pioneered using POS to support omnichannel food ordering. The delivery-focused pizza chain is constantly innovating to improve customer experience. In recent years, Domino’s has given customers the ability to place orders not just through its website and app, but from a Ford car, a Samsung Smart TV, over text message, and even over Twitter by sending a pizza emoji. Domino’s dedication to connecting with its customers in new and different ways could be considered extreme, but QSRs should consider how new channels like online ordering, mobile apps, third-party delivery services, and self-service kiosks could positively impact sales and customer experience.
Owned channels enable restaurants to maintain direct relationships with their customers. Some may prefer a more traditional counter service or drive-thru interaction, but incorporating connected products allows QSRs to interact with customers in a way that suits their lifestyle. These interactions serve to enhance customer satisfaction and loyalty.
The pandemic accelerated many of these behavior changes. People looked to restaurants to provide no-contact food delivery. Most restaurants looked to third-party services like UberEats and DoorDash to quickly launch a delivery capability. Even post-pandemic, third-party delivery has stuck. Many POS systems now provide built-in integrations with third-party delivery companies to easily update menus and manage interactions with customers.
4. Artificial Intelligence
Artificial Intelligence has gone from a buzzword to being deployed by QSRs to manage customer service interactions — but it’s still to be seen how it all plays out.
AI-powered technologies such as chatbots and voice assistants are being used to offer an interactive customer experience. The tools allow customers to place orders, ask questions, and receive recommendations in real time, improving service speed and customer satisfaction. AI chatbots answer questions for customers online and in stores but are not always limited to text. QSRs like Taco Bell and White Castle are among many that have begun implementing AI drive-thrus. The technology has been introduced to varying success and so far leaves a lot to be desired. Current attempts highlight the potential for innovation and challenges with replacing human interaction that should be addressed ahead of widespread adoption.
AI drive-thrus still need some time to cook, but that doesn’t mean restaurants should abandon AI overall. Business-related applications like McDonald’s “Ask Pickles” AI chatbot are designed to help workers by supplying quick answers to questions about standard operating procedures. And restaurant operations are seeing major benefits from AI assistance. QSRs are leveraging AI to support inventory management and employee scheduling.
AI systems can analyze sales data to predict inventory needs, reducing waste and ensuring popular items are always in stock. AI-driven scheduling tools can optimize staff shifts based on predicted customer traffic, leading to better service during peak hours without overstaffing during less busy times. AI’s data analysis and related insights also provide restaurant operators the ability to make informed business decisions to enhance profitability, presenting a myriad of potential benefits.
5. Kitchen Robots
Is the automation of the cook underway? By integrating robotic technology, restaurants can transform the way food is prepared and served.
One of the most accessible developments in restaurant automation is the emergence of robot cooks. Robot cooks can fry chips and cook burgers, make salads or serve as autonomous delivery robots. Using machines to do the labor can reduce labor costs and increase food consistency, taking over repetitive and time-consuming cooking tasks.
Though less like a robot, in some circumstances machine automation in the food prep process has come far enough to take staff completely out of the equation. Employee-free QSRs like Pizza Forno are fresh-baked food vending machines. The fully automated pizza vending machine takes orders before preparing and cooking pizzas on-demand. Pizza Forno has a small footprint compared to a conventional cooking facility and can be placed in areas with heavy foot traffic, appealing to customers seeking a quick and convenient dining option.
Is the future of quick-service employee-free? Right now, it seems unlikely. But employing a blend of robotic cooking technologies and automated service solutions can lead to faster service, reduced overhead, and enhanced customer satisfaction.
Transforming Fast Food With Technology
For QSRs, technology investment is essential to remain competitive and meet customer expectations. By embracing trending innovations, QSRs can significantly enhance operational efficiency and customer relationships. Whether your goal is to place employees where they can create the most value, increase basket size, or gather data to inform new initiatives, technology is available to support you.
Strategic investment in POS upgrades, connected products, and remote monitoring and management will help your restaurant thrive now and in the future. How do you plan to take advantage of these trends?