With the impending minimum wage increases, quick-serve restaurants are looking for innovative ways to cut corners. Enter self-ordering kiosks.
According to The Columbus Dispatch, the typical store will have at least three kiosks and the brand is focusing on high-volume locations.
David Trimm, the chief information officer at the Ohio-based fast food chain, believes that the kiosks reduce the store’s labor costs, but also that they will increase sales with the younger generation.
“They are also trying to enhance the customer experience. Younger customers prefer to use a kiosk,” said Trimm. He also mentioned that they will help alleviate the long lines during peak hours.
“They are looking to improve their automation and their labor costs, and this is a good way to do it,” said Darren Tristano, vice president at Technomic, a food-service research and consulting firm. “This move puts them at the forefront of the kiosk and tech movement.”
Then with the increases in minimum wage, operators have no choice but to find someway to cut labor costs.
“With government driving up the cost of labor, it’s driving down the number of jobs,” said Andy Puzder, Carl’s Jr. and Hardee’s CEO. “You’re going to see automation not just in airports and grocery stores, but in restaurants.”
Again, this isn’t good news for the employees, many of which who support minimum wage increases. Many worker don’t realize what these spikes really mean for them.
“Wherever cities implemented big minimum-wage hikes to $10 an hour or more last year, the latest data through December show that job creation downshifted to the slowest pace in at least five years,” wrote Investor’s Busines Daily’s Jed Graham.