Casual dining giants Applebee’s and IHOP, both under the Dine Brands umbrella, are stepping into the future, and they’re bringing artificial intelligence along for the ride. Recent reports indicate ambitious plans to integrate AI across various facets of their operations, from enhancing the customer experience through personalized recommendations and deals to streamlining internal processes like tech support for franchisees. This move signals a significant shift in how traditional restaurant chains are leveraging technology, aiming to boost efficiency, improve customer satisfaction, and ultimately, drive sales in an increasingly competitive market.
One of the most anticipated applications is an AI-powered “personalization engine.” Imagine walking into an Applebee’s or ordering online from IHOP and receiving tailored suggestions based on your past orders, preferences, or even the time of day. This goes beyond simple “customers who bought this also bought that” recommendations. With sophisticated AI, the engine could potentially analyze factors like your usual order patterns, dietary restrictions you’ve previously indicated, or even predict what you might enjoy based on trending items or seasonal specials popular with similar demographics. This isn’t just about making ordering easier; it’s about creating a more engaging and potentially higher-spending customer journey. By intelligently recommending complementary items or offering customized deals, these chains hope to increase average check sizes and foster greater customer loyalty, much like how streaming services curate content or e-commerce sites personalize product feeds.
The AI push isn’t limited to the customer-facing side. The news also highlights the use of AI for back-of-house tasks, specifically mentioning enhanced tech support for franchisees. While details are sparse, this could involve AI-powered chatbots or systems capable of quickly diagnosing and resolving common technical issues that arise in restaurant operations, reducing downtime and freeing up human support staff for more complex problems. The mention of testing “AI-powered cameras” further hints at potential operational efficiencies. These cameras could theoretically be used for tasks like monitoring food quality, ensuring portion control, managing inventory levels by tracking ingredients, or even optimizing staff placement during peak hours. The potential for AI to act as an extra set of vigilant eyes could significantly impact everything from waste reduction to food safety compliance.
IHOP’s partnership with Google Cloud specifically targets enhancing the online ordering experience. This collaboration is likely aimed at leveraging Google’s robust AI and cloud infrastructure to create a more seamless, intuitive, and efficient digital ordering platform. AI could power improved search functionality, make accurate predictions about delivery times, optimize routing for delivery drivers, or even use natural language processing to understand complex orders placed via voice assistants. As online ordering and delivery become increasingly critical revenue streams for restaurants, investing in cutting-edge AI to power these platforms is no longer a luxury but a necessity to remain competitive against digitally native food delivery services and other chains with advanced tech stacks. A clunky or slow online experience can quickly turn away potential customers.
Applebee’s and IHOP’s embrace of AI reflects a broader trend across the traditional service industry. As AI technology matures, it offers tangible solutions to long-standing challenges related to operational efficiency, customer engagement, and personalized service delivery. However, the successful implementation of AI in a restaurant setting isn’t without its hurdles. Ensuring data privacy, training staff on new technologies, and maintaining the human element of hospitality are crucial considerations. Will an AI-recommended dish truly feel personal? Can AI tech support truly understand the nuances of a franchisee’s issue? These are questions that will be answered as these technologies roll out. Nevertheless, the commitment from such prominent chains suggests a belief that AI can provide a meaningful competitive advantage. The future of casual dining may well involve AI working alongside human staff, creating experiences that are both more efficient and more tailored to the individual diner.