WEBVTT - Kiosks Can Boost Guest-Check Average and Margin 0:00:23.239 --> 0:00:25.600 Welcome to Chopping it Up. I'm your host, Mike Hanlon, 0:00:25.640 --> 0:00:28.680 the senior Restaurant and food Service Analyst at Bloomberg Intelligence. 0:00:29.280 --> 0:00:32.480 Our research and that of bi's five hundred analysts around 0:00:32.520 --> 0:00:36.320 the globe can be found exclusively on the Bloomberg terminal. Today, 0:00:36.320 --> 0:00:39.360 we're joined by Brandon Barton, the CEO of Bite, the 0:00:39.440 --> 0:00:43.040 leading provider of intelligent KIOSK solutions for fast, casual and 0:00:43.120 --> 0:00:46.320 quick service restaurants. Thanks for doing this, Brandon. 0:00:46.240 --> 0:00:48.919 Mike, thank you so much. Really appreciate having me on. 0:00:49.400 --> 0:00:51.080 Yeah, you got it, man. I know you've been traveling 0:00:51.120 --> 0:00:53.920 a lot lately. Where you were at home this week? 0:00:54.160 --> 0:00:55.880 You on the road? What have you been up to? 0:00:56.240 --> 0:00:58.800 I'm mat this, this is the office, I'm at home. 0:00:59.480 --> 0:01:01.360 It's nice to be on the road. Next week home, 0:01:01.400 --> 0:01:03.600 the week after that, on the road next week after that. 0:01:03.680 --> 0:01:05.319 Life will the startup CEO? 0:01:05.400 --> 0:01:07.600 You know? Yeah, yeah, I know. A last time we 0:01:07.640 --> 0:01:10.119 spoke at Prosper he said you were busy. It's cool man, 0:01:10.400 --> 0:01:12.240 I know you're a big wine guy. You have anything 0:01:12.640 --> 0:01:14.119 you're looking forward to drinking this weekend? 0:01:14.640 --> 0:01:15.840 Well, not even this weekend. 0:01:16.280 --> 0:01:18.280 You know, I've tried to make a little you know 0:01:18.520 --> 0:01:20.560 thing happen at every time I go to these events 0:01:20.600 --> 0:01:22.440 in the conferences, I didn't do it a prosper because 0:01:22.480 --> 0:01:24.760 I wasn't not there for a long enough amount of time. 0:01:24.800 --> 0:01:27.560 But I like to bring big bottles of wine and 0:01:27.600 --> 0:01:31.080 introduce people to you know, old wines and what they 0:01:31.120 --> 0:01:34.880 taste like. So there's a nineteen eighty one shob that 0:01:34.959 --> 0:01:40.720 I'm bringing to fs Tech next week. But other than that, no, 0:01:40.959 --> 0:01:43.280 just you know, at home, just drink the casual stuff, 0:01:43.400 --> 0:01:46.000 cheap stuff, just you know, dinner wine, table wine. 0:01:46.240 --> 0:01:49.640 Okay, cool. Talk to me a little bit about your 0:01:49.680 --> 0:01:51.200 career journey prior to bite. 0:01:51.520 --> 0:01:53.040 Yeah, thank you for asking. 0:01:53.160 --> 0:01:58.000 So I have spent my entire career in restaurants, if 0:01:58.000 --> 0:01:59.360 you really want to go back to it starts when 0:01:59.360 --> 0:02:01.640 I was fourteen years old and you know, needed to 0:02:01.680 --> 0:02:04.280 make make some money to you know, get the new 0:02:04.320 --> 0:02:06.960 Jordans and whatnot. So I was busing tables at this 0:02:07.360 --> 0:02:11.360 amazing little burger restaurant in Bay Ridge called Skinflints. But 0:02:12.120 --> 0:02:16.000 you know, I had not exactly realized that, let's say, 0:02:16.000 --> 0:02:18.239 being a restaurant tour was a career path for me 0:02:19.200 --> 0:02:22.080 until I was fortunate enough to go to Cornell. 0:02:22.160 --> 0:02:23.800 But I didn't go to the hotel school. 0:02:23.720 --> 0:02:25.679 Figured out that there was the best hotel school in 0:02:25.720 --> 0:02:28.560 the world there and immediately transferred in. So my passion 0:02:28.560 --> 0:02:32.360 for a restaurant goes way back. But after college, I 0:02:32.440 --> 0:02:35.079 worked in a couple of amazing restaurant groups, including Union 0:02:35.080 --> 0:02:38.200 Square Hospitality Group, where you know, I didn't get an MBA, 0:02:38.320 --> 0:02:41.000 but I got an MBA in hospitality from Danny and 0:02:41.320 --> 0:02:44.840 the amazing crew that's there, Randy Gurrudy, Terry Coglin, Wilkodera, 0:02:45.280 --> 0:02:47.600 those folks who were coming up at the same time 0:02:47.639 --> 0:02:50.359 as I was. But then I made the switch over 0:02:50.440 --> 0:02:52.760 to tech. You know, there was always a part of 0:02:52.760 --> 0:02:56.320 me that wanted to make a big, scalable impact on 0:02:56.400 --> 0:03:00.239 the business. And you know, after working in a couple 0:03:00.280 --> 0:03:03.000 of different restaurant tech startups, I found myself as the 0:03:03.040 --> 0:03:06.000 fourth employee at Rezi and so we set out with 0:03:06.120 --> 0:03:11.480 an incredible aspiration to beat up Open Table. Open Table 0:03:11.560 --> 0:03:14.080 was charging restaurants a dollar per guest to come in, 0:03:14.120 --> 0:03:15.840 and we didn't think that that was right. The busiest 0:03:15.880 --> 0:03:19.120 restaurants were being charged way more proportionally than they should 0:03:19.120 --> 0:03:21.440 be than the value they were given to Open Table. 0:03:22.639 --> 0:03:24.480 You know, by signing up all these people to Open 0:03:24.480 --> 0:03:26.640 Table's platform, and I'm very proud of the work that 0:03:26.680 --> 0:03:30.000 we did at Rezi to really be a contender. 0:03:30.040 --> 0:03:30.360 If not. 0:03:30.919 --> 0:03:33.160 Now it's a two horse race, if you will, as 0:03:33.240 --> 0:03:37.160 Resi's announced their acquisition of Talk, so we acquired Reserve, 0:03:37.200 --> 0:03:39.600 which was a competitor at the time. So now it's 0:03:39.640 --> 0:03:42.240 you know, Resie and Open Table still fighting that battle. 0:03:42.280 --> 0:03:46.680 But needless to say, I've had a ton of years 0:03:46.680 --> 0:03:49.480 in restaurants and restaurant technology, more than i'd probably like 0:03:49.520 --> 0:03:50.200 to admit. 0:03:50.000 --> 0:03:53.840 On the air, bay Ridge man, that you got your 0:03:53.840 --> 0:03:55.920 start in bay Ridge as some great restaurants there. In 0:03:55.920 --> 0:03:58.000 the mid two thousands, I spent a lot of money 0:03:58.040 --> 0:04:00.800 at the Pearl Room and one on one's you know, 0:04:00.960 --> 0:04:04.760 it's funny, Mike, you'll you'll relate here. Everyone gets gaga 0:04:04.800 --> 0:04:07.560 about this espresso martini thing, and let me tell you 0:04:07.680 --> 0:04:10.200 the Pearl Room was serving espresso martinis back then. 0:04:10.520 --> 0:04:14.680 Yeah, and you know, for what it's worth, you know, 0:04:14.840 --> 0:04:16.640 I don't know if this is a New York scene, 0:04:16.640 --> 0:04:19.480 but it certainly was a Brooklyn Third Avenue scene that 0:04:19.520 --> 0:04:21.640 you and I both probably have shared drinks in the 0:04:21.680 --> 0:04:24.800 same room. And it's fun there's a night life there. 0:04:25.560 --> 0:04:28.840 It's its own little thing. And some of the funny 0:04:28.880 --> 0:04:32.039 things that I think, you know, we look at today 0:04:32.080 --> 0:04:34.640 and say that's like like an espresso martini or like 0:04:34.680 --> 0:04:37.279 the obsession with bagels and everything. It's like, yeah, this 0:04:37.400 --> 0:04:40.080 might have came out of you know, Italian American culture 0:04:40.080 --> 0:04:42.599 in Bay Ridge, you know, twenty years ago. 0:04:42.720 --> 0:04:47.120 So yeah, yeah, for sure, great spot. So how long 0:04:48.400 --> 0:04:50.839 have you been at Bite and what attracted you to 0:04:50.920 --> 0:04:51.240 the role. 0:04:51.560 --> 0:04:54.120 Yeah, I mean, look, I've been at Bite essentially since 0:04:54.120 --> 0:04:57.440 the beginning. I after my time at Rezi, I met 0:04:57.480 --> 0:04:59.919 the two co founders of Bite, Sas and Jeff and 0:05:00.000 --> 0:05:03.880 and they were working on this you know, audacious project 0:05:03.880 --> 0:05:06.599 to put kiosks into restaurants. It was after a little 0:05:06.640 --> 0:05:09.920 bit of a pivot, and they came to me knowing 0:05:09.960 --> 0:05:11.800 that I knew how to do go to market for 0:05:11.839 --> 0:05:14.240 restaurant companies and I had the restaurant experience, and said, 0:05:15.000 --> 0:05:16.440 we'd love to you know, we'd love to have you 0:05:16.480 --> 0:05:18.960 consult And so I had breakfast with them at my Aleino. 0:05:19.080 --> 0:05:21.560 Back then, I was like a four or five day 0:05:21.600 --> 0:05:24.159 week breakfast at my Aleno, you know, meeting with people 0:05:25.000 --> 0:05:27.599 type of schedule. And so I met with them and 0:05:27.640 --> 0:05:30.360 after this breakfast, I said, this is a big deal. 0:05:30.520 --> 0:05:33.200 And I went ahead and called my friends at Chickshak 0:05:33.240 --> 0:05:35.880 at the time, who were using Kiosk in their astplace location, 0:05:36.520 --> 0:05:39.359 and I said, Hey, is is this like a fad 0:05:39.480 --> 0:05:41.159 or is this is this something that's going to change 0:05:41.200 --> 0:05:45.880 the industry? And everyone said the latter. So I joined 0:05:45.960 --> 0:05:48.000 up with the co founders. A few months later. They 0:05:48.000 --> 0:05:50.719 made me CEO of the company, and Jeff, myself and 0:05:50.760 --> 0:05:53.400 Thoughs have been really been running the company since together. 0:05:53.560 --> 0:05:55.479 So it's been. 0:05:55.680 --> 0:05:58.760 Since twenty eighteen, so we've been on the journey for 0:05:58.800 --> 0:05:59.159 a while. 0:05:59.400 --> 0:06:02.440 Yeah, it's it's been interesting, you know, because Jack in 0:06:02.480 --> 0:06:04.600 the Box tried to roll these out a long time ago, 0:06:04.680 --> 0:06:07.720 and then they actually removed them from the restaurants. You know, 0:06:07.760 --> 0:06:11.320 it's interesting how much consumer behavior has changed over the 0:06:11.400 --> 0:06:12.479 last handful of years. 0:06:12.360 --> 0:06:16.160 Right, Yeah, I mean clearly, things like the pandemic had 0:06:16.200 --> 0:06:18.280 accelerated things now. Not in the beginning, of course, when 0:06:18.320 --> 0:06:20.440 we were all afraid to touch a you know, a 0:06:20.480 --> 0:06:25.120 shopping cart, never mind a kiosk, right, but you know, 0:06:25.680 --> 0:06:29.880 the adoption of technology by consumers has skyrocked it in 0:06:29.960 --> 0:06:33.680 every category. So This is not age restricted to gen 0:06:33.760 --> 0:06:34.200 z likes. 0:06:34.360 --> 0:06:34.880 No, no, no, no. 0:06:35.480 --> 0:06:38.000 Everybody knows how to order online, which means you know 0:06:38.000 --> 0:06:40.360 how to order off a Kiosk. And in a lot 0:06:40.360 --> 0:06:43.120 of cases, and I'm not saying nessay a lot of people. 0:06:43.120 --> 0:06:46.000 I'm saying a lot of cases, meaning there are times 0:06:46.000 --> 0:06:48.800 when somebody wants to go order from a cashier, and 0:06:48.839 --> 0:06:51.040 there are times when you might have your hands full 0:06:51.120 --> 0:06:53.440 or be listening to your favorite podcast like this one 0:06:53.720 --> 0:06:55.280 and not want to talk to anybody and not want 0:06:55.320 --> 0:06:57.440 to interrupt that to have to go into line and order. 0:06:57.960 --> 0:07:00.960 And so there's just a lot of scenarios in which 0:07:01.040 --> 0:07:05.520 Kiosk becomes the ideal scenario. And I think the prevalent 0:07:05.720 --> 0:07:07.680 idea for the industry at this point is to meet 0:07:07.720 --> 0:07:10.000 guess where they are. So you see a lot of 0:07:10.000 --> 0:07:13.320 innovation in drive through. You see a lot of amazing 0:07:13.480 --> 0:07:16.240 order ahead and voice AI and all this other stuff 0:07:16.400 --> 0:07:19.160 coming out, and Kiosk is a part of that. You know, 0:07:19.200 --> 0:07:21.200 it's not just going to be this one channel of 0:07:21.240 --> 0:07:25.040 walk in order but order ahead sometimes sometimes with the Kiosk, 0:07:25.120 --> 0:07:30.840 and we're part of that unifying the guest experience into 0:07:31.400 --> 0:07:34.000 a solid hospitality experience. 0:07:35.400 --> 0:07:38.080 I'd imagine you've gain a lot of inquiries from restaurant 0:07:38.240 --> 0:07:40.520 chains with significant exposure to California. 0:07:41.800 --> 0:07:45.760 Totally true, and you'd have to think that part of 0:07:45.760 --> 0:07:48.200 that is the increase in minimum wage two twenty dollars 0:07:48.280 --> 0:07:53.320 an hour any attack. Look Throughout my career, the through 0:07:53.360 --> 0:07:57.200 line has been how do I help restaurants create more 0:07:57.320 --> 0:08:00.000 ebitdah like, how do I help them become more profitable 0:08:00.120 --> 0:08:03.720 by using and leveraging technology? And that's purely based on 0:08:03.760 --> 0:08:05.000 my love for restaurants. 0:08:05.120 --> 0:08:05.880 I want to see. 0:08:06.320 --> 0:08:08.320 I was part of one of the most amazing restaurants 0:08:08.320 --> 0:08:10.960 in New York called Tabla. It had an amazing, you know, 0:08:11.000 --> 0:08:14.440 incredible eleven year twelve year run and then closed and 0:08:15.000 --> 0:08:18.120 the number of the number of things that we tried 0:08:18.120 --> 0:08:20.840 to do to make a three hundred and fifty seat 0:08:20.880 --> 0:08:24.640 Indian restaurants survive in New York at the time, it 0:08:25.040 --> 0:08:27.600 really spurred this idea of how do we make sure 0:08:27.600 --> 0:08:30.000 that we can preserve restaurants the way that they are 0:08:30.080 --> 0:08:33.200 and have people who operate well stay open. And you 0:08:33.240 --> 0:08:35.760 can see, you know, there's been a slew of bankruptcies lately, 0:08:35.880 --> 0:08:39.200 and you might point, you know, there might be a 0:08:39.200 --> 0:08:41.280 through line here on the folks that were not early 0:08:41.400 --> 0:08:45.000 enough to adopt new technologies, order ahead, move on to 0:08:45.080 --> 0:08:49.120 the third parties and not innovate as part of these 0:08:49.200 --> 0:08:52.240 these folks that are essentially you know, not surviving, and 0:08:52.280 --> 0:08:56.120 so long story short, you know, we strive to kind 0:08:56.160 --> 0:09:00.000 of make the profitability of the restaurant better. In Californi, 0:09:00.600 --> 0:09:04.000 there's increased pressure on the P and L because of labor, 0:09:04.360 --> 0:09:07.199 and so if we can enable their staff to do 0:09:07.320 --> 0:09:10.319 more by just keeping the staff the way they are. 0:09:10.640 --> 0:09:13.960 There's a misnomer that there's people getting fired because of chaosis. 0:09:13.960 --> 0:09:16.800 This is just not true. It's really about supplementing what 0:09:16.840 --> 0:09:18.600 they can do so they may be able to get 0:09:18.600 --> 0:09:22.280 the drinks faster if they're not taking the order, which 0:09:22.320 --> 0:09:25.480 is a really transactional part of the hospitality experience. 0:09:26.480 --> 0:09:29.280 Yeah, for sure, you're freeing them up for more high 0:09:29.320 --> 0:09:31.079 value jobs, right than just taking that. 0:09:31.120 --> 0:09:33.160 Order exactly, and not even just high value. 0:09:33.240 --> 0:09:39.200 There's very few pure play cashiers in the entire restaurant industry. 0:09:39.360 --> 0:09:42.240 That is always a fraction of their job. Okay, and 0:09:42.280 --> 0:09:44.720 so if we could take that fraction away, can the 0:09:44.760 --> 0:09:47.320 dining room be cleaner, can the bathrooms be cleaner, can 0:09:47.440 --> 0:09:51.000 the food come out quicker? And so we see our 0:09:51.040 --> 0:09:55.040 restaurants have increased revenue, not just because we are efficient 0:09:55.160 --> 0:09:58.840 and great at presenting them the guests with items that 0:09:58.840 --> 0:10:01.040 they want to order. We'll talk about our AI that 0:10:01.120 --> 0:10:04.199 does that, but also because food production can go quicker 0:10:04.240 --> 0:10:06.120 and the line can be smaller. There's all these other 0:10:06.160 --> 0:10:10.120 benefits that don't get factored in. But we're happy about 0:10:10.160 --> 0:10:11.880 all the brands that we work with in California. It 0:10:11.920 --> 0:10:17.040 certainly is a place. But now Washington, Oregon, New York, 0:10:17.960 --> 0:10:21.280 other places that are considering raising the minimum wage will 0:10:21.320 --> 0:10:22.520 see the same effects. 0:10:23.000 --> 0:10:25.640 Yeah, for sure. Congrats on the Portillo's deal. 0:10:25.960 --> 0:10:26.280 Thank you. 0:10:26.720 --> 0:10:29.960 I've read that they're testing that they're kios in California. 0:10:29.440 --> 0:10:32.080 Right, Yeah, they are, well, not just in California, downtown 0:10:32.200 --> 0:10:36.240 Chicago to some of their busiest stores. That test is 0:10:36.280 --> 0:10:39.959 going really well, and probably by the time we're talking 0:10:39.960 --> 0:10:41.840 about this is even more news to come of that. 0:10:42.480 --> 0:10:47.640 And you know, talk about an environment where you're putting 0:10:47.720 --> 0:10:51.080 Kiosk to the test. Those restaurants, I believe their average 0:10:51.080 --> 0:10:54.440 store volume is nine million dollars. That's so on the 0:10:54.559 --> 0:10:57.720 far end of what an average unit volume for a 0:10:57.800 --> 0:11:01.400 restaurant brand like that is uh, you know, we have 0:11:01.880 --> 0:11:04.040 tons and tons of volume that are being done and 0:11:04.080 --> 0:11:06.400 the guests are adopting it. It just this is the 0:11:06.520 --> 0:11:08.440 this is the thing that's different than five years ago 0:11:08.520 --> 0:11:11.440 or six years ago. If you put Kiosk in your 0:11:11.480 --> 0:11:13.720 restaurant and do it smart and in the right way 0:11:13.760 --> 0:11:16.760 and have the right hospitality that you're teaching your your 0:11:16.760 --> 0:11:20.040 team that goes along with that, guests are very willing 0:11:20.080 --> 0:11:22.199 to adopt Kiosk as part of their ordering process. 0:11:23.000 --> 0:11:25.840 Yeah, we had uh, we had mic Osamlu the CEO 0:11:26.360 --> 0:11:30.199 on the pod. I guess it was last year. I'm 0:11:30.200 --> 0:11:34.559 a fan, super sharp, sharp guy. Great conversation. What kind 0:11:34.600 --> 0:11:37.520 of average check increases are your Kiosk customers getting from 0:11:37.520 --> 0:11:40.440 the technology and how much of the improvement is more 0:11:40.480 --> 0:11:44.080 consistent up selling versus maybe just giving customers more time 0:11:44.120 --> 0:11:45.000 to browse the menu. 0:11:45.320 --> 0:11:47.680 Yeah, it's a great question. I think it's hard to 0:11:47.760 --> 0:11:52.880 parse the division of those things. We have been, you know, 0:11:53.080 --> 0:11:55.160 using AI before it was cool to say you are 0:11:55.480 --> 0:11:58.520 and even from the beginning. One of the reasons that 0:11:58.600 --> 0:12:01.760 I joined Bite was because Sauce our Cto was so 0:12:02.840 --> 0:12:07.000 incredible at this and he was able to create an 0:12:07.040 --> 0:12:10.559 algorithm using you know, some of the most advanced kind 0:12:10.559 --> 0:12:14.480 of machine learning technologies to learn how people like to order, 0:12:14.880 --> 0:12:18.920 and then you know, offer items to guests that may 0:12:19.040 --> 0:12:21.080 or may not know those items exist and might go 0:12:21.200 --> 0:12:24.200 along with the meal that they're having. And so we 0:12:24.320 --> 0:12:27.720 typically will see a twenty percent increase in average check. 0:12:27.800 --> 0:12:32.000 Sometimes it's way bigger than that. Sometimes, you know, in 0:12:32.040 --> 0:12:34.960 certain scenarios where there's not tons of things to upsell, 0:12:34.960 --> 0:12:37.200 that might be more in the ten to fifteen percent range. 0:12:37.559 --> 0:12:42.680 And the idea of upselling, we as consumers know that 0:12:42.760 --> 0:12:45.679 as somebody asking you to buy something, but it's very different. 0:12:45.720 --> 0:12:48.320 On a kiosk, it's just presenting a bunch of options, 0:12:48.720 --> 0:12:51.520 and so there is this light touch to it where 0:12:51.559 --> 0:12:54.560 it's just a guest opting in to the idea of 0:12:54.600 --> 0:12:57.480 buying something or adding double meat or I didn't know 0:12:57.520 --> 0:13:01.360 that you could put extra chi on this for fifty cents, 0:13:02.320 --> 0:13:04.600 where those are not questions that you would get when 0:13:04.640 --> 0:13:06.959 you're ordering with somebody. Imagine if every time you ordered 0:13:06.960 --> 0:13:08.840 a burger, like you want double cheese, you want double meat, 0:13:08.840 --> 0:13:10.800 do you want you know sidur fries? Would you like 0:13:10.840 --> 0:13:14.880 to know upsize that This is not a hospitality experience, 0:13:14.880 --> 0:13:17.640 whereas using a digital experience you could put a lot 0:13:17.679 --> 0:13:20.240 of options to people they opt their way into them. 0:13:20.280 --> 0:13:23.480 But our intelligence is showing guests things that they are 0:13:23.559 --> 0:13:26.760 highly likely to want to order. And that's based off 0:13:26.800 --> 0:13:29.080 of our data that we have with the restaurant. But 0:13:29.160 --> 0:13:31.040 not only that data, but we use the data from 0:13:31.080 --> 0:13:35.599 the entire you know, eight years of doing this, and 0:13:36.200 --> 0:13:39.719 we can draw conclusions about what, I don't know, what 0:13:39.800 --> 0:13:42.640 trends there might be in certain regions, or if it's 0:13:42.679 --> 0:13:45.480 cold not to sell ice cream, you know, which seems 0:13:45.480 --> 0:13:48.000 pretty simple to do, but yet at the same time 0:13:48.000 --> 0:13:51.719 it's very effective for guests increase in average. 0:13:51.520 --> 0:13:55.040 Check Okay, cool, I guess kind of on that same vein. 0:13:55.120 --> 0:13:57.160 Are any of your customers using the data in their 0:13:57.200 --> 0:14:02.040 loyalty programs or face recognition to provide customers in even 0:14:02.080 --> 0:14:03.800 more personalized Kiosk experience? 0:14:03.880 --> 0:14:04.599 Oh? Absolutely so. 0:14:05.120 --> 0:14:08.240 We do have facial recognition. It was also something that 0:14:08.240 --> 0:14:11.480 wowed me back at that breakfast. Facial recognition is opt 0:14:11.520 --> 0:14:13.640 in by a guest and it's opt in by the brand. 0:14:13.760 --> 0:14:17.520 Every brand doesn't necessarily have to use that, and the 0:14:17.559 --> 0:14:20.400 facial recognition is great because sometimes the idea of let's 0:14:20.400 --> 0:14:22.520 say type your phone number in for loyalty, or scan 0:14:22.680 --> 0:14:24.960 this thing so that we can recognize who Mike is 0:14:25.000 --> 0:14:28.160 on this next order, that sometimes feels. 0:14:27.920 --> 0:14:28.480 Like a lot to do. 0:14:28.880 --> 0:14:30.720 And imagine you could just walk up to a screen 0:14:30.880 --> 0:14:33.240 and it knows that's you, and it says your last order, 0:14:33.760 --> 0:14:36.200 you know, was this exact bowl with this add on 0:14:36.360 --> 0:14:38.360 and not this one and take this out and put 0:14:38.360 --> 0:14:42.240 this in. It's a lovely way to have a very 0:14:42.320 --> 0:14:48.080 light touch loyalty, right, and recognize somebody and then give 0:14:48.120 --> 0:14:51.240 them personalized recommendations. So one of the things the algorithm 0:14:51.240 --> 0:14:54.160 will do is understand if you like things that are spicy, 0:14:54.720 --> 0:14:56.880 will suggest more things that are spicy to you. 0:14:56.960 --> 0:14:57.160 Right. 0:14:57.280 --> 0:14:59.760 That might be, you know, instead of just the regular prize, 0:14:59.760 --> 0:15:02.000 maybe it's the spiced curly fries I don't know, that 0:15:02.040 --> 0:15:02.880 go along with something. 0:15:03.440 --> 0:15:04.880 And therefore we. 0:15:04.840 --> 0:15:09.120 Are moving more towards that personalization. I think the next 0:15:09.160 --> 0:15:12.360 step here is not just to understand your behavior as 0:15:12.400 --> 0:15:15.080 a guest on a Kiosk, but your behavior as a 0:15:15.080 --> 0:15:19.880 guest in the entire ecosystem for that restaurant. So that 0:15:20.000 --> 0:15:22.840 means if I could pull your order from the app 0:15:22.920 --> 0:15:25.400 last time and say do you want to reorder this? 0:15:26.000 --> 0:15:27.600 It might not be what you want to do at 0:15:27.600 --> 0:15:29.360 that moment because you were ordering for you and your 0:15:29.400 --> 0:15:33.680 family versus ordering for just yourself, But that becomes the 0:15:33.720 --> 0:15:36.880 next step in this idea of personalization. You have one 0:15:36.920 --> 0:15:39.720 account with this and regardless of the digital channel that 0:15:39.760 --> 0:15:43.120 you go through, you'll have access to that order history. 0:15:43.200 --> 0:15:45.240 And this is why you hear many brands, I'm sure 0:15:45.280 --> 0:15:47.880 as you listen into earnings calls as I do, talking 0:15:47.880 --> 0:15:50.400 about one hundred percent digital because they want to have 0:15:50.440 --> 0:15:52.680 this holistic view of the guests and make sure to 0:15:52.720 --> 0:15:54.840 service them the best way they can in each one 0:15:54.840 --> 0:15:55.600 of these channels. 0:15:56.760 --> 0:15:59.520 Yeah, it's really interesting what percentage of people are opting 0:15:59.600 --> 0:16:03.440 in and how are restaurant chains kind of motivating them 0:16:03.480 --> 0:16:04.600 to do so. 0:16:05.120 --> 0:16:07.720 Yeah, I mean, look, I think it varies. You know, 0:16:08.120 --> 0:16:12.240 it's above fifty percent. You know, the opt in is again, 0:16:12.280 --> 0:16:16.120 it's light. It's not an idea of having to let's say, 0:16:16.920 --> 0:16:19.000 use a clear machine at the airport where it's like 0:16:19.360 --> 0:16:23.120 put your irises in the exact spot. Okay, you know, 0:16:23.880 --> 0:16:26.680 we have a fairly high accuracy, and I think the 0:16:26.760 --> 0:16:31.880 motivation is for your the customers that are our frequent customers. 0:16:31.960 --> 0:16:34.760 I remember the first restaurant that we launched in New York. 0:16:35.080 --> 0:16:36.920 I would sit it was a couple of blocks away 0:16:36.920 --> 0:16:39.160 from our office, and I would sit there and watch, 0:16:39.520 --> 0:16:41.320 and we had some people that would come in and 0:16:41.360 --> 0:16:43.280 clearly they were like busy at work, they had a 0:16:43.280 --> 0:16:46.040 half hour to get lunch. They'd come in and with 0:16:46.120 --> 0:16:48.240 a couple of taps on a screen, they'd have their 0:16:48.320 --> 0:16:50.760 order done. Whereas if it's the first time you're experiencing 0:16:50.760 --> 0:16:52.880 the brand, you might want to, as you said, take 0:16:52.880 --> 0:16:54.160 your time browse the menu. 0:16:54.960 --> 0:16:55.280 I have. 0:16:55.840 --> 0:16:59.480 We've had some fun with Dig. Tracy Kim, the CEO there, 0:16:59.480 --> 0:17:02.440 she's actually and uh And it was just on on 0:17:02.480 --> 0:17:06.600 my podcast a Simmer talking about how some guests are 0:17:06.720 --> 0:17:09.960 using this to better navigate a menu because a menu 0:17:09.960 --> 0:17:12.720 board doesn't have a full description of it and if 0:17:12.720 --> 0:17:14.960 it did, it would be overwhelming. Right, So what is 0:17:15.000 --> 0:17:18.520 in the health bowl or the Caesar salad bowl or 0:17:19.000 --> 0:17:21.280 you know, in their case, like the roast chicken plate. 0:17:22.680 --> 0:17:24.680 You can look much deeper into it on a person, 0:17:24.760 --> 0:17:26.280 you know, a screen that's personalized to you. 0:17:26.480 --> 0:17:29.000 So, yeah, Digs great, they have great chicken thighs. I'm 0:17:29.480 --> 0:17:31.760 I frequent it when I'm up at our seven thirty 0:17:31.800 --> 0:17:32.320 one lev. 0:17:32.480 --> 0:17:36.520 I think it's one of the best values, especially if 0:17:36.560 --> 0:17:39.560 you are factoring in your health. They have such an 0:17:39.560 --> 0:17:42.879 incredible healthy menu, So if you're looking at to you know, 0:17:42.920 --> 0:17:44.880 for a healthy lunch, option digs the spot. 0:17:45.000 --> 0:17:47.800 Yeah, they do a great job. What's the forty five 0:17:47.840 --> 0:17:48.360 percent role? 0:17:51.200 --> 0:17:51.240 Le? 0:17:51.560 --> 0:17:54.360 So I listened to one of your podcasts you were 0:17:55.520 --> 0:17:58.359 on with Rev. Ciancio, and I think it was something 0:17:58.359 --> 0:18:04.080 about about customers walking by, you know, I you know, 0:18:04.160 --> 0:18:06.840 because some places the line is too long, right. We 0:18:06.920 --> 0:18:10.240 see that in a you know, I see that, you know, 0:18:10.760 --> 0:18:11.679 in drive throughs. 0:18:11.760 --> 0:18:11.879 You know. 0:18:12.000 --> 0:18:14.359 McDonald's some years ago was talking about how they have 0:18:14.480 --> 0:18:17.399 five more than five cars in the line, people will 0:18:17.440 --> 0:18:19.879 just drive past. And ye know, Chick fil A has 0:18:20.040 --> 0:18:22.320 a lot higher to like demand and people are more 0:18:22.359 --> 0:18:24.800 willing to wait, so it might be twenty five cars, right, 0:18:24.920 --> 0:18:29.840 And so that is impacting restaurants, especially in the city. Right, 0:18:29.880 --> 0:18:32.120 if people see long lines, they might go elsewhere, right. 0:18:32.200 --> 0:18:36.359 It impacts restaurants everywhere. Yeah, so I think the status 0:18:36.480 --> 0:18:38.239 forty five percent of guests that see a line are 0:18:38.240 --> 0:18:40.800 going to are gonna, you know, walk out the door right, 0:18:40.880 --> 0:18:43.000 a lot of more than three people, right, And so 0:18:44.320 --> 0:18:46.399 you know, thank you for bringing that up. Even in 0:18:46.480 --> 0:18:50.160 places that are you know, pay less, like at Chipotle, 0:18:50.200 --> 0:18:52.280 where you're going to walk through an experience, they always 0:18:52.320 --> 0:18:54.960 will have a line. But when that line gets long enough, 0:18:55.280 --> 0:18:57.840 there's something that we call que rejection. And so the 0:18:57.920 --> 0:19:01.280 idea is that you know, same thing, whether it's within 0:19:01.320 --> 0:19:04.000 your car or not. You're seeing a line and you're saying, no, 0:19:04.080 --> 0:19:05.840 I'm not going here, that's gonna take too long. 0:19:05.960 --> 0:19:08.720 Now. By the way, the Chipotle line, the Sweet Green line. 0:19:08.480 --> 0:19:11.399 They're fast. That it's not that these lines are slow, 0:19:11.800 --> 0:19:13.560 but the perception of it is that it is. And 0:19:13.600 --> 0:19:17.639 so if you can offset some of those orders to 0:19:18.119 --> 0:19:21.480 a kios that's sitting on the side, you know, easily 0:19:21.560 --> 0:19:24.639 accessible by the guests, people are way more willing to 0:19:24.680 --> 0:19:27.720 wait for their food than they are to wait to 0:19:27.840 --> 0:19:30.520 order their food, because then it seems like you're waiting twice, 0:19:30.640 --> 0:19:32.879 you know, Like I said before, I mean, I'm a 0:19:32.960 --> 0:19:35.600 very digital focused person. So I'd love to get my 0:19:35.720 --> 0:19:37.760 order in and then check my app and see what 0:19:37.800 --> 0:19:39.840 the score of the game was last night. Check Fantasy 0:19:40.560 --> 0:19:44.640 you know, see the Giants lose again and and then 0:19:44.840 --> 0:19:46.480 you know my salads ready perfect? 0:19:47.080 --> 0:19:49.920 Yeah, all right, good stuff. What's the impact of kios 0:19:49.920 --> 0:19:52.680 on on employee turnover and satisfaction? 0:19:52.960 --> 0:19:53.200