Serving Security: The Ultimate Guide to Cybersecurity for Restaurants

Restaurants handle sensitive customer information on a daily basis. Payment card data, reservation records, loyalty program details all flow through digital systems. Protecting this data requires robust cybersecurity for restaurants. Preventing data breach events depends on identifying network vulnerabilities. From mobile ordering apps to cloud-based point-of-sale platforms, digital transformations streamline dining experiences but also expand the risk footprint. A single breach can disrupt service, damage reputation and incur hefty fines. 

For independent diners or large franchises, understanding cybersecurity fundamentals is crucial. Moreover, evolving regulations such as the Payment Card Industry Data Security Standard demand strict adherence to data protection standards. As threats escalate, restaurant managers and IT teams must collaborate closely. 

Effective cybersecurity for restaurants demands a layered approach. This guide explores restaurant cyber risk management and food service data security in depth.

Why cybersecurity for restaurants matters

Data breaches can cost millions in fines, brand damage and lost customer trust. In 2024, a high-profile attack targeted a U.S. national burger chain, exposing millions of payment records and triggering regulatory investigations. 

Cybersecurity for restaurants is no longer optional. Modern dining depends on digital ordering, contactless payments, online reservations and centralized inventory systems. Each innovation introduces new attack surfaces and network vulnerabilities. Without proactive measures, restaurants risk service interruptions, data loss and compliance failures that can shut down operations temporarily or permanently.

Moreover, evolving customer expectations demand secure experiences. Guests want assurance that their payment security is robust and personal data is safe. Integrating cybersecurity into core business processes enhances resilience, maintains PCI compliance and strengthens brand credibility. Ultimately, investing in restaurant cybersecurity best practices delivers both operational stability and business growth. Investment in network security restaurant solutions, payment security restaurant protocols, and robust monitoring underpin restaurant data breach prevention efforts.

Common cyber threats facing restaurants

Restaurants face a range of digital threats that target payment processing, network infrastructure and staff credentials. Understanding these risks is the first step in building an effective cyber defense strategy.

  • Point-of-sale (POS) malware

Point-of-sale malware remains one of the leading causes of data breach events in the food service sector. Attackers inject malicious code into POS devices, capturing card data in real time. Once credentials are stolen, fraud can spread across payment networks. 

To counter this threat, restaurants should implement POS security for restaurants practices such as regular software updates, application whitelisting and endpoint encryption. These measures help to prevent unauthorized code execution and ensure that payment data remains secure during processing. This approach enhances malware protection across terminals.

  • Phishing and social engineering

Front-line staff often represent the weakest security link. Phishing campaigns leverage deceptive emails or SMS messages to trick employees into revealing login credentials or clicking malicious links. Social engineering can also occur over phone calls or in person, especially during busy service hours. 

Regular simulated phishing exercises, clear reporting channels, and comprehensive security awareness programs help to reduce this risk. A culture of vigilance ensures that suspicious requests are flagged and investigated promptly.

  • Network vulnerabilities

Unsegmented networks allow attackers to move laterally once they gain initial access. Restaurants that host guest WiFi on the same network as POS or back-office systems risk exposing critical infrastructure to outsiders. 

Network segmentation, combined with firewall controls and secure wireless configurations, mitigates these network vulnerabilities. By isolating guest traffic from internal assets, restaurants can maintain a secure environment while still offering convenient internet access to patrons.

  • Other threats 

Ransomware attacks lock down servers or digital signage systems, demanding payment to restore service. Distributed denial-of-service (DDoS) attacks can overload online ordering portals, disrupting revenue streams. Emerging risks such as IoT device exploits like smart thermostats or kitchen sensors further expand the attack surface. 

A holistic cybersecurity for restaurants approach addresses all potential entry points, from digital ordering apps to temperature control systems. Recent industry research indicates that 60% of food service data security incidents involve POS system compromises.

Key components of an effective restaurant cybersecurity strategy and best practices

A robust cybersecurity framework combines technical controls, policy enforcement and ongoing monitoring. Core components include securing payment systems, network defenses and data protection protocols. Following these restaurant cybersecurity best practices reduces risk and simplifies compliance.

Securing point-of-sale systemsProtecting POS systems is foundational to any cybersecurity for restaurants plan. Endpoint encryption ensures card data remains unreadable if intercepted. Application whitelisting restricts execution to known verified software, blocking malware attempts. Automated patch management keeps operating systems and payment applications up to date, closing security gaps. Tokenization replaces sensitive card numbers with unique identifiers, reducing the value of stolen data. By integrating multiple layers of defense, restaurants can harden POS terminals against both external attacks and insider threats. 
Network segmentation and firewallsSegmenting networks separates public, guest and operational traffic, isolating guest WiFi traffic from POS and back-office servers. Firewalls enforce strict rules between segments. Virtual LANs and software-defined networking provide flexible segmentation, improving threat containment. Next-generation firewalls offer intrusion detection and prevention capabilities, alerting staff to anomalous activity. Together, segmentation and firewall controls form a robust perimeter that guards against lateral movement and unauthorized access. 
Data encryption and protectionEncrypting data at rest and in transit is critical for securing sensitive information. Transport Layer Security (TLS) protocols protect data as it moves between devices, mobile ordering apps, and cloud servers. Full-disk encryption secures local storage on servers and POS terminals. Backup encryption ensures offline copies remain protected, enabling swift recovery after an incident. Additional measures such as secure key management, hardware security modules, and regular vulnerability scanning further strengthen data protection. Employing encryption throughout the data lifecycle addresses a core requirement of PCI compliance. 
Staff training and awarenessEven the most advanced technology cannot fully protect an organization without well-trained personnel. Employee training programs empower staff to recognize threats, follow security protocols and report suspicious incidents promptly. Effective initiatives include structured modules that cover phishing recognition, password hygiene and safe device usage. Interactive workshops and digital learning platforms reinforce concepts over time. Gamified quizzes and leaderboards increase engagement. Clear policies should define acceptable use of devices, internet access and remote work procedures. Periodic simulated phishing exercises test employees in real-world scenarios. Results highlight vulnerabilities and guide targeted training. Automated reporting features streamline incident response, enabling IT teams to contain threats quickly. Reinforcement sessions for staff who fall for simulations help close knowledge gaps. By combining continuous training with simulated exercises, restaurants transform staff into active defenders and improve employee training outcomes. 

Regulatory compliance

Understanding and adhering to relevant regulations is essential for any restaurant aiming to secure customer data and satisfy audit requirements. The Payment Card Industry Data Security Standard (PCI DSS) sets baseline controls for payment environments.

Understanding PCI DSS requirements:

PCI DSS outlines twelve core requirements, including maintaining secure networks, encrypting cardholder data and monitoring access. For restaurants, key areas often involve regular vulnerability scanning, logging and monitoring POS systems, and implementing strong access controls. Achieving compliance involves quarterly network scans, annual self-assessments and, for larger merchants, third-party audits.

Maintaining compliance:

Compliance is an ongoing effort, not a one-time project. Automated compliance management tools track system changes, highlight configuration drift, and generate audit-ready reports. A dedicated compliance officer or security manager ensures that updates to PCI DSS versions are understood and implemented. Regular reviews of policies, periodic staff training and thorough documentation help sustain a compliant posture. Successfully navigating PCI compliance requirements enhances overall payment security posture.

Beyond PCI DSS:

There are other regulations that may apply to restaurants. For instance, local data protection laws governing personal information. By integrating compliance into daily operations, restaurants can avoid fines, legal exposure and negative publicity. A well-executed compliance strategy supports both risk management and customer confidence.

Implementing a cyber incident response plan for restaurant cyber risk management

No security program is foolproof. Restaurants must prepare for potential incidents with a formal Cyber Incident Response Plan (CIRP). Such a plan outlines roles, processes and communication protocols in the event of a breach.

  1. Preparation involves establishing an incident response team, defining roles and responsibilities, and assembling response templates. Contact lists for IT staff, legal counsel and public relations must be current.
  2. Identification relies on monitoring logs, intrusion detection alerts and user reports to detect anomalies. Rapid discovery of a data breach or malware infection reduces dwell time.
  3. Containment requires isolating affected systems, revoking compromised credentials and applying emergency patches. Network segmentation helps to limit spread.
  4. Eradication and recovery involve removing malware, rebuilding or restoring systems from encrypted backups, and verifying restoration integrity. Conducting forensic analysis determines the root cause. 
  5. Finally, post-incident review documents lessons learned, updates policies and refines response playbooks. A clear plan ensures that cybersecurity for restaurants remains resilient under pressure.

Future trends in restaurant cybersecurity

As technology evolves, restaurants must adapt to emerging threats and innovations.

  • Artificial Intelligence and threat detection: AI powered security platforms analyze network traffic patterns to detect anomalies in real time. Machine learning models can identify novel malware signatures and flag suspicious user behavior, reducing response times.
  • Zero trust architectures: Zero trust principles never trust, always verify apply to internal and external access. Micro segmentation and continuous authentication ensure that no device or user is implicitly trusted, minimizing attack surfaces.
  • Cloud native security solutions: Migrating POS and inventory systems to the cloud offers scalability and centralized security controls. Cloud native security platforms provide automated compliance checks, unified dashboards, and integrated encryption services.
  • Blockchain for data integrity: Emerging blockchain based systems promise immutable transaction records. For loyalty programs and supply chain tracking, blockchain can secure data integrity and enhance transparency.

By embracing these trends, restaurants can stay ahead of attackers. Continuous evaluation of new technologies and strategic partnerships with managed security providers help maintain a robust cybersecurity posture. Next gen network security restaurant platforms will reshape threat detection. Staying current with emerging models is fundamental to sustained cybersecurity for restaurants.

Conclusion and next steps

Cybersecurity for restaurants demands a comprehensive, multi layered approach. From securing point-of-sale systems to conducting simulated phishing exercises, each element contributes to a resilient defense. Regulatory compliance, incident response planning and continuous staff training form the backbone of a robust security program. AI driven threat detection, zero trust architectures and cloud native tools represent the next frontier in restaurant cyber risk management.

Restaurants that invest in restaurant cybersecurity best practices not only protect customer data but also safeguard brand reputation and revenue streams. The cost of prevention is far less than the cost of recovery. Now is the time to assess existing security measures, identify gaps and implement a tailored cybersecurity roadmap. By doing so, restaurants can serve guests with confidence, knowing that networks, devices and data remain secure. Embracing restaurant cyber risk management and food service data security best practices positions operations for long term success.

Sustainable Tech in Restaurants: Smart Innovation for a Greener Future

The future of hospitality isn’t just fast, efficient or digital—it’s sustainable. As diners grow more conscious of where their food comes from, how it’s made and its environmental impact, the pressure on restaurants to operate responsibly is greater than ever. In this evolving landscape, sustainable tech in restaurants has emerged not just as a trend, but as a critical strategy for long-term success.

Whether you’re a quick-service operator or managing a high-end dining brand, integrating sustainable technologies into your restaurant operations can help cut costs, reduce waste and build deeper trust with customers who care about more than what’s on the plate.

Why sustainability now?

Sustainability is no longer a side dish—it’s become a main ingredient in how restaurants are evaluated by guests, employees and regulators alike. With climate change, resource scarcity and shifting consumer expectations front and center, restaurants that don’t make intentional moves toward eco-efficiency risk falling behind.

An ever-increasing number of diners across generations are opting for restaurants that are committed to sustainability. Meanwhile, tech-forward solutions are making it easier than ever to implement sustainability without sacrificing service quality or profit.

Where tech meets sustainability

At the intersection of operational efficiency and environmental stewardship, you’ll find a host of technologies that allows restaurants to reduce their ecological footprint without overhauling their business model. Here’s a closer look at some of the most impactful tools:

1. Smart inventory management

Food waste isn’t just an environmental issue—it’s a financial one. Smart inventory systems, often powered by AI, track shelf life, forecast demand and help order only what’s needed. This prevents excess stock, reduces spoilage and minimizes unnecessary packaging waste.

2. Energy-efficient equipment

Energy-guzzling fryers, walk-ins and dishwashers are being replaced by ENERGY STAR certified appliances that use less water and power without compromising performance. Many of these devices also come with IoT features that monitor energy usage and suggest optimization strategies.

3. Waste tracking tech

Platforms that use smart scales and AI can track what’s being tossed in the trash—and why. Identifying patterns in plate waste or prep losses allows kitchens to fine-tune recipes, portion sizes and prep processes.

4. Eco-friendly packaging automation

Sustainable packaging alone isn’t enough—it has to scale efficiently. Automation platforms now allow restaurants to streamline sustainable to-go packaging workflows, ensuring eco-friendly containers are used consistently and appropriately without slowing down service.

5. Carbon tracking software

Several platforms have emerged to help restaurants calculate their carbon footprint across operations—from supplier transportation to kitchen emissions—and suggest offsetting initiatives or operational tweaks.

Benefits beyond the environment

Adopting sustainable tech in restaurants isn’t just about saving the planet (though that’s a worthy goal). There are concrete operational benefits that make the case even stronger:

  • Reduced operating costs through lower utility bills and waste disposal fees.
  • Stronger brand loyalty from environmentally conscious consumers.
  • Increased staff retention, especially among younger employees who prioritize values-driven employers.
  • Positive PR and industry recognition, which can attract partnerships and local support.
  • Compliance with evolving regulations, as sustainability mandates become more common at local and federal levels.

In short: sustainability pays off—in goodwill, in efficiency and, increasingly, in profit.

Making sustainable tech work for you

Every restaurant is different, and there’s no one-size-fits-all roadmap for becoming a sustainable operation overnight. The key is to start smart and scale intentionally. Here’s how:

  • Assess where your biggest environmental impact lies—is it energy use, water waste, food waste or packaging?
  • Pick one area to tackle first and find a technology partner that aligns with your budget, scale and goals.
  • Train your team thoughtfully, making sustainability part of the culture—not just a checkbox.
  • Measure and share your progress, using dashboards, customer-facing displays or sustainability sections on your website and menu.

Being transparent with your audience about your efforts—flaws and all—builds credibility and fosters community support.

Looking ahead: tech that grows with you

Sustainability is a journey, not a destination. And the good news is, many of the technologies making waves in this space are becoming more affordable and scalable.

Expect to see growth in:

  • AI-powered demand forecasting that minimizes overproduction
  • Reuse-oriented delivery systems that collect and sanitize reusable containers
  • Blockchain-based sourcing tools that verify sustainable supply chains
  • Solar-integrated POS kiosks for outdoor operations and pop-ups

As more restaurant tech platforms bake sustainability into their core features, choosing eco-conscious tools won’t just be the right move—it’ll be the easiest one.

Final Thoughts

Sustainable tech in restaurants is more than a buzzword—it’s a blueprint for building resilient, future-ready businesses. At a time when guests are looking not just for great meals but meaningful values, making sustainable choices with the help of technology sends a message that your brand is invested in both flavor and the future.

Digital Menus Are Taking Over. Are You Ready?

In a world where your guests can hail a car, stream a movie or buy a couch with a tap, the idea of handing them a laminated menu is starting to feel… quaint. Restaurants that continue to lean solely on static, printed menus may be missing out on serious revenue and operational agility. Studies have revealed that 85% of eateries use digital code menus and many are layering on real-time pricing and AI-driven recommendations to personalize the experience even further.

In other words, the menu is no longer just a list—it’s a live digital interface, a sales tool, and a brand differentiator all wrapped into one. And the real question is: are you letting it work for you?

QR menus: more than a pandemic fix

Let’s talk about those scannable little squares. QR code menus were initially hailed as a stopgap solution during the peak of COVID-19. Fast forward a few years, and many diners now expect them as the norm—particularly Gen Z and millennial customers who value low-contact, fast-access service.

But the utility of QR menus goes far beyond hygiene. Imagine changing your menu items, descriptions or pricing mid-shift based on inventory or customer feedback—with zero printing costs or service interruptions. That’s not just tech; that’s flexibility.

Plus, smart QR menus can connect directly to digital ordering platforms, making it easier for guests to browse, build their order, and even pay—all from their own device. That kind of frictionless experience doesn’t just delight customers; it shortens table turn times and frees your staff to focus on high-impact service moments.

Dynamic pricing: surge strategy meets hospitality

Here’s where digital menus start flexing real muscle. Dynamic pricing—automated price adjustments based on demand, time of day or supply costs—is making its way from Uber and airline seats into dining rooms. Sounds aggressive? It doesn’t have to be.

Smart dynamic pricing can boost revenue during peak hours while encouraging traffic when business slows. A brunch hotspot in Chicago, for example, might charge a few dollars more for avocado toast on Saturdays between 10am and noon when lines are out the door. Later that afternoon, that same dish might be discounted slightly to coax in the post-brunch crowd.

What makes this possible is the marriage of cloud-based menu software with real-time POS data. Restaurant operators can schedule pricing shifts in advance or let the system adjust autonomously based on customer behavior and sales patterns.

Of course, transparency matters. Nobody likes a surprise price hike. But when explained as a “smart pricing” model—helping restaurants stay efficient and reduce waste—many guests are receptive. Some even find it refreshingly modern.

AI-powered suggestions: personalized, profitable, predictive

Now we’re getting into the fun stuff. One of the most promising menu innovations is using artificial intelligence to anticipate what your guests are likely to order—and gently nudge them toward high-margin or complementary items.

Say a customer frequently orders spicy dishes and dines solo on weekday evenings. Your system can recognize this pattern and suggest a new limited-time spicy entrée with a cold beer pairing the next time they scan your QR menu. Or if it’s someone’s first visit, AI can highlight your top five reviewed items, drawing from menu analytics and regional preferences.

This level of personalization doesn’t just help guests find what they’ll love—it increases check averages and reduces indecision at the table. Some restaurants have even reported an increase in sales of up to 30% when recommendations are tailored instead of generic.

It’s not just the menu—it’s the experience

What’s really happening here is that menus are becoming part of the service experience itself. They speak on behalf of your brand before a server even greets the table. A digital menu with clear visuals, allergen filters, and smart suggestions instantly tells guests: this restaurant is modern, efficient, and attentive to individual needs.

And if you’re running multiple locations or constantly updating your offerings, digital menus save time and sanity. No more reprinting costs. No more staff confusion over which items are sold out or updated. The consistency alone is worth its weight in cardstock.

Upgrade the menu, upgrade the business

There’s a reason tech-forward restaurants are leaning into digital menu innovation. It touches every corner of the operation—from marketing to kitchen timing, staffing to guest retention. And the beauty is, you don’t have to overhaul everything at once.

Start with QR codes. Layer in dynamic pricing once you understand customer behavior. Add AI-enhanced suggestions when your team is ready to take that next leap. Whatever your pace, one thing is clear: static menus are fading, and interactive digital platforms are here to stay.

Robots in Restaurant Service: The Rise of Automated Cooking and Serving Technologies

From front-of-house to the kitchen line, robots are making their mark on the restaurant industry in ways that go far beyond novelty. No longer reserved for sci-fi movies or international fast-food chains, robots in food service are now a practical solution to real-world problems—labor shortages, operational inefficiencies, and shifting guest expectations.

As automation technology becomes more accessible and affordable, U.S. restaurant operators are beginning to recognize its transformative potential. Whether you’re overseeing a multi-unit franchise or managing a single independent venue, it’s time to look seriously at what robotics can do for your business.

The workforce challenge driving automation

One of the biggest accelerators of robot adoption in food service has been the ongoing labor crisis. Even though the restaurant industry is witnessing growth, labor shortages continue to be a serious challenge, with operators struggling to fill key roles in both front-of-house and back-of-house.

In this context, robots are stepping in not to replace people, but to support strained teams. Automated solutions handle repetitive, time-consuming tasks—freeing up human staff for higher-value interactions and improving overall efficiency.

Key examples of this support include:

  • Robotic fryers that manage cooking times with precision
  • Dishwashing bots that handle sanitation tasks with minimal supervision
  • Service robots that deliver food from kitchen to table, reducing server fatigue

A glimpse inside the robotic kitchen

Today’s smart kitchens are no longer solely defined by connected sensors and cloud-based POS systems. They now include fully automated cooking technologies capable of preparing everything from burgers to grain bowls.

Notable innovations include:

  • Automated cooking stations: Miso Robotics’ Flippy is a high-profile example—a robotic arm that fries items consistently without breaks or errors.
  • Precision pizza bots: Companies like Picnic Works offer robotic systems that assemble pizzas with precision and speed, reducing food waste and labor costs.
  • Wok and stir-fry automation: Robots from companies like Botinkit and Hyphen prepare complex dishes on-demand, with programmable cooking parameters and customizable recipes.

These systems are not just novelties—they’re delivering measurable improvements in throughput, portion control, and consistency.

Service robots: enhancing the guest experience

In the dining room, robots in food service are becoming increasingly visible. From robotic hosts to tray-carrying servers, these machines are improving speed of service while reducing physical strain on human staff.

Popular features include:

  • Autonomous delivery: Robots like Servi by Bear Robotics navigate dining rooms autonomously, delivering meals and clearing dishes.
  • Voice-enabled hosts: Some brands are experimenting with AI-powered greeters who can manage check-ins, waitlists, and basic FAQs.
  • Mobile kiosks: Used in fast-casual and QSR formats, mobile serving robots can also handle payment processing, minimizing friction at busy locations.

These solutions are particularly appealing in high-traffic or labor-constrained environments like airports, mall food courts, and hotel restaurants.

ROI and operational Impact

While upfront investment in robotics may seem daunting, many early adopters are reporting strong returns within 12 to 24 months. The combination of labor cost savings, increased throughput, and enhanced guest satisfaction contributes to a compelling ROI.

Operational benefits include:

  • Consistency: Robots follow exact specifications every time, reducing customer complaints related to portioning or preparation errors.
  • Speed: Automation streamlines order fulfillment, enabling shorter ticket times during peak periods.
  • Hygiene and safety: Robots reduce human contact with food and equipment, minimizing health risks in sensitive environments.

It’s worth noting that many vendors now offer leasing or subscription models, reducing capital expenditure and making these technologies more accessible to smaller operations.

Is your restaurant ready for robotics?

Before jumping into the robotics revolution, it’s important to evaluate your specific needs and operational goals. Here are a few guiding considerations:

  1. Assess repetitive tasks: Identify jobs that are manual, repetitive, or consistently underperforming.
  2. Start small: Pilot one robotic solution—such as a fryer or server—and evaluate its performance before expanding.
  3. Consider space constraints: Some robots require specific kitchen layouts or infrastructure changes.
  4. Train your team: Human-robot collaboration is most effective when your staff understands how to work with the technology.
  5. Monitor guest feedback: Involve your guests in the transition and gather their insights—they may love the convenience or have suggestions to improve the experience.

The future is human–robot collaboration

While robots in food service are becoming more common, they’re not a replacement for the hospitality and warmth that define great dining experiences. Instead, they function best as collaborative partners—handling the behind-the-scenes precision so your team can focus on customer connection.

Forward-thinking restaurants are already experimenting with hybrid staffing models, where automation handles prep, plating, or delivery, and staff focus on upselling, storytelling, and curating memorable moments. For further insight into how technology is supporting this shift, you can read our related article, Revolutionize Your Restaurant with AI-Powered Ordering Solutions.

Final thoughts

The rise of robotics in food service isn’t about technology for technology’s sake—it’s a strategic evolution. For restaurant operators navigating high costs, staffing gaps, and changing guest expectations, automation offers both relief and a competitive advantage. Whether you’re considering your first robotic kitchen assistant or exploring full-scale automation, now is the time to explore what’s possible.

Revolutionize Your Restaurant with AI-Powered Ordering Solutions

Everybody knows that the restaurant industry is fiercely competitive. With customer expectations evolving by the day, restaurant owners and managers are looking for more than just great food and service. They want tools that can personalize experiences, streamline operations, and keep guests coming back. Enter AI-powered ordering and personalization—a transformative tech trend that’s no longer just for major chains like McDonald’s or Panera Bread. It’s fast becoming essential for restaurants of all sizes.

Whether you’re running a fast-casual hotspot or managing a multi-location fine dining operation, AI has the potential to elevate the guest experience while boosting your bottom line.

From Gimmick to Game-Changer: The Rise of AI in Ordering

A few years ago, the idea of AI in restaurants conjured images of flashy robots or sci-fi-style service. Today, it’s more nuanced—and practical. Artificial Intelligence is now embedded in everything, from self-service kiosks to loyalty programs, allowing operators to analyze customer data and respond with meaningful, personalized service.

What does this look like in real life?

  • A regular customer walks in, and your digital menu app instantly recommends their favorite lunch combo.
  • A drive-thru system automatically adjusts its upsell suggestions based on weather, time of day or previous orders.
  • A new diner ordering via your website sees curated menu options based on their dietary preferences and local trends.

These aren’t futuristic predictions—they’re today’s AI-driven capabilities.

The Personalization Payoff

Personalization is where AI shines brightest. In fact, recent industry reports show that 71% of consumers expect personalized interactions from brands—including restaurants. And personalized recommendations, when done right, can significantly increase check size and repeat visits.

Here’s how personalization is being used effectively:

  • Smart recommendations: AI algorithms analyze order history, browsing behavior and customer profiles to recommend menu items tailored to individual tastes.
  • Dynamic promotions: Send time-sensitive discounts or offers triggered by customer behavior—like a coupon for dessert to someone who always skips it.
  • Predictive ordering: For regular customers, some systems can prepare favorite items ahead of arrival—talk about the royal treatment.

Not only do these features boost customer satisfaction, but they also collect valuable insights that inform future marketing campaigns, inventory decisions and staffing needs.

Where You’ll See AI in Action

While personalization may start at the menu, the real innovation lies in the AI-powered ordering platforms that fuel it. Here are the key technologies reshaping restaurants:

  • Self-service kiosks with adaptive learning to improve upsells
  • Voice assistants that let guests order conversationally, even from their cars or smart devices
  • AI chatbots on websites and apps for quick order-taking and real-time customer support
  • Integrated online ordering systems that adapt based on local inventory, weather and promotions

These innovations fit restaurants across the boards, regardless of size, cuisine, location or target market. 

Benefits Beyond the Buzz

Let’s move beyond the tech jargon for a moment. Why should you, a busy restaurant professional juggling labor, inflation and margins, care about this?

Here’s what AI-powered ordering can do for your business:

  • Boost average check sizes: With smart upsells and personalized suggestions, your guests are more likely to try that appetizer or beverage they didn’t originally plan on.
  • Increase throughput: Faster ordering means shorter lines, quicker table turns and more satisfied customers.
  • Improve accuracy: AI-driven order systems reduce the human errors that come with mishearing or miskeying.
  • Enhance guest retention: Personalized service creates emotional loyalty—something that’s hard to put a price on.

The icing on the cake? AI systems learn and improve over time, getting smarter with every interaction.

Getting Started: What to Know Before You Invest

AI isn’t a plug-and-play fix—it’s a strategic investment. Here are a few things to consider before diving in:

  1. Define your goals: Are you looking to improve speed, loyalty or revenue? Choose tools that align with your core challenges.
  2. Choose scalable solutions: Opt for platforms that can grow with your operation, whether you’re managing one location or twenty.
  3. Train your team: The best tech only works when your staff knows how to use it confidently and consistently.
  4. Protect customer data: AI thrives on data—but make sure you’re choosing platforms with robust security and compliance standards.

The Human Touch Still Matters

AI doesn’t replace hospitality—it enhances it. When technology handles the transactional parts of service, your team is freed up to focus on what they do best: connecting with guests.

The operators who win in today’s market are those who blend smart automation with authentic human service. Think of AI not as a replacement, but as your new MVP behind the scenes.

Final Thoughts

AI-powered ordering and personalization aren’t just trends—they’re signals of where the restaurant industry is heading. And for restaurateurs trying to navigate a changing landscape, embracing this technology could be the key to staying competitive, efficient and wildly relevant.

Scammers charging restaurants thousands, promising a Keith Lee visit

Lee has become one of the most influential food reviewers on TikTok, with over 16 million followers. But he said he would never charge a restaurant.

Scammers are targeting Indianapolis restaurants, claiming for thousands of dollars they will get viral food critic Keith Lee to come to the businesses.

Lee, a professional MMA fighter, has become one of the most influential food reviewers on TikTok, with over 16 million followers. His reviews typically consist of him eating takeout in his car and rating every detail, including the service he received. 

Since his reviews can sometimes make or break a restaurant, owners always try to get his attention, which these scammers in Indianapolis took advantage of. He addressed the scam in a video for his followers. 

“I would rather not make this video but it’s come to my attention, people scamming on my behalf and I don’t want nobody falling victim to it,” said Lee. 

The social media star said it was leaked to the public that he would be in Indianapolis for the NBA All-Star Game Weekend. 

Scammers took advantage of the information, going to local restaurants and charging anywhere from $7,000 to $20,000 promising Lee would dine at their restaurant, and bring with him a crowd of new customers. 

“That’s not true,” Lee said. “We’re going to Indianapolis for the game, and the game only. Yes, we might try some food while we’re there. But we’re not going there for the food tour.”

Lee said he never charges restaurants he reviews for his appearance or publicity.

“No place that we go to do we charge small restaurants for anything. We don’t charge for reviews. We don’t charge if there’s a line out the door. We don’t charge even if you open three or four locations after we leave. At no point do I want any money from any small restaurant,” Lee goes on. “I’m not charging those restaurants anything. And if anybody has ever told you anything differently, they’re lying. They’re not with me.”

Lee continued, “If you are a restaurant owner and you see me while we are in Indianapolis, don’t come to me and my family and say, ‘You took this money and you didn’t show up for a review.’ I didn’t take no money. I’m not showing up for a review. I didn’t promise anything. I’m going to play basketball. I don’t want no smoke.” 

Boost Engagement Through Visual Communication

The world of food franchising has been a catalyst for pioneering innovations that have had a ripple effect across multiple industries. After all, the McDonald brothers, with the pivotal support of Ray Kroc, changed our approach to franchising altogether. And it’s safe to say that the food franchising industry brought Henry Ford’s approach to process optimization to a whole new level.

Yet, there remains one area ripe for innovative change: engaging communication for all stakeholders (and no, I’m not talking about customer-facing menu boards, point-of-purchase advertisements, drive-through displays, or slick commercials). You see, flashy menu items and endearing mascots have been part of the secret recipe (pun intended) for countless successful food franchises. However, most companies’ communication efforts stop there.

While customers are constantly inundated with engaging visual messaging, the other critical stakeholders – the internalones, like home office staff, frontline team members, franchisors, and corporate leadership – often find themselves overlooked. This oversight presents untapped potential to extend a franchise’s reach and impact from the inside out.

In our hyper-visual 21st century, it’s visual communication that holds the key to unlocking this opportunity. Research shows that visuals elevate comprehension, retention, and emotional connections while also driving adoption, efficiency, and decision-making. In a nutshell, it’s the secret sauce (here I go again) that can bring internal stakeholder engagement to new heights, leading to increased performance, profitability, and loyalty.

As the food franchising industry looks to the future, the question they must ask is: How can we effectively incorporate visual communication with our stakeholders, starting now?

Franchisees’ Staff

Franchisees’ team members represent the first contact customers have with your brand, and that first impression matters. These teams often consist of younger individuals, Gen Z in particular, who happen to be the most visually literate generation in history. While there are several ways to incorporate visual communication with younger staff, a great place to start is with your training and onboarding processes. Rather than relying on traditional methods like employee handbooks and lengthy oral presentations, embracing visual storytelling, or even livening up your PowerPoints with graphics and memorable animations makes a world of difference.

It’s worth noting that social media apps like TikTok, Instagram, and Snapchat, all extremely visual-based platforms, are sacred to this generation, so finding ways to bridge the gap between their personal and professional communication styles is key to true engagement and connection. Consider beginning your visual communication efforts with topics like food safety, equipment training, and quality protocols.

Franchisees

For franchisees, mastering visual communication is essential for conveying the franchisor’s values and corporate-led initiatives. Effective communication with franchisees involves not just informing but also persuading, and for that, the message needs to be both actionable and memorable. Visual aids serve as powerful tools to not only narrate the franchisor’s vision but vividly illustrate the story from start to finish. This comprehensive approach empowers franchisees to emotionally invest in the brand’s journey and move forward with confidence.

Picture this: You’re at the annual franchisee meeting. Instead of stepping up to the podium for a traditional speech, you dim the lights and launch into a dynamic video presentation. The screen comes alive with a vibrant montage of real-life franchise success stories, underscored by an inspiring soundtrack. As the narrative unfolds, animated graphs and bold text emphasize key performance metrics, while testimonials from satisfied customers and employees add a personal touch. The combination of these elements not only informs but also emotionally engages your audience. You get to their head and to their heart. Now, your franchisees are no longer passive listeners; they’re active participants on a sensory-rich voyage that showcases the future direction and potential of the franchise. This not just ‘sells’ your vision — it makes the audience feel like they are a part of it. By the time the lights come up, your franchisees are energized, motivated, and ready to commit to the shared goal, setting the stage for a collaborative and prosperous future.

Franchisors’ Staff

Your internal staff is the home office support crew that ensures operations run smoothly. To boost the efficiency of your internal processes, from quality assurance to change management, visual communication is key. By incorporating visually engaging tools — think interactive demo videos and captivating slide shows — staff can quickly digest complex information, sort through the corporate chaos, and take the right next step. Our experience at The Sketch Effect has shown that when QSR brands embrace these methods, they not only expedite learning and retain crucial information more effectively but also streamline their operations. Adopting this visual-forward approach not only boosts retention but also saves time for everyone involved, making it a win-win.

Corporate Leadership 

Given the fast pace of the food service industry, a leadership team’s ability to translate abstract ideas into practical solutions is paramount. Visual communication serves as the bridge between high-level vision and on-the-ground execution, between cerebral concept and actionable steps.  Allow me to paint the picture: imagine the all-too-familiar scenario where leaders are bogged down by complex spreadsheets and lengthy reports. This is where the strategic use of visuals can make all the difference. I recommend adopting a simple visual scoreboard to track your Key Performance Indicators (KPIs). It’s similar to glancing at a scoreboard during a game, instantly knowing what you need to do to win. The most effective scoreboards present essential metrics at a glance, driving the team’s focus and efforts toward those strategic objectives.

Taking your stakeholder engagement strategy to the next level doesn’t have to be complicated; it just has to be intentional. Embracing visual communication as a core strategy will allow you to address the unique needs of your internal stakeholders with precision and creativity. So, why wait? The time to act is now: infuse your presentations with vibrant visuals, enrich your messages with engaging animations, and paint a brighter future through the art of visual storytelling.

Restaurant operators see gig work as labor solution, NRA says

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While employment is likely to grow, finding staff is still a significant challenge for many operators, with 45% of surveyed restaurateurs reporting inadequate staffing to meet extant consumer demand.

restaurant worker PPE
dapiki moto. (2020). “New Normal” [Photograph]. Retrieved from Unsplash.

Dive Brief:

  • The restaurant industry is projected to grow employment by about 1.1 million positions between the end of 2023 and 2032, according to projections developed by the National Restaurant Association and based on Bureau of Labor Statistics data.
  • While employment is likely to grow, finding staff is still a significant challenge for many operators, with 45% of surveyed restaurateurs reporting inadequate staffing to meet extant consumer demand, the association said in its State of the Restaurant Industry 2024 report released Tuesday.  
  • About a quarter of surveyed operators reported that they would consider using “gig workers,” or independent contractors supplied by a third-party service, to supplement existing staff.

Dive Insight:

Hudson Riehle, SVP of of the NRA’s research and knowledge group, said the use of such workers in restaurants was in its earliest stages. But with nine in 10 operators citing recruitment and retention as a major challenge, according to the report, gig work in the industry may grow in coming years. 

“It definitely is embryonic at the moment,” Riehle said in an interview with Restaurant Dive. Riehle cited the industry’s reputation for flexibility in hours and employment as one of the conditions that could enable the growth of gig economy work in foodservice. Technology, Riehle said, has made it possible for apps or services like Qwick or Gigpro, to offer workers to restaurants on a temporary basis.

“The majority of restaurant industry workers are part-time workers to begin with,” Riehle said. “So it’s entirely natural that the infrastructure to support not only that [gig] recruitment, but retention is developing and will continue to develop.”

Proponents of gig work, like DoorDash, have tended to highlight “flexibility” as a justification for classifying workers as independent contractors, arguing that classification allows for irregular shifts initiated at-will by workers. That classification excludes workers from many of the benefits and stability associated with employment, according to the Department of Labor.

While selectively beneficial for employers, that exclusion has led to significant political conflict between gig platforms, organized labor, state regulators and self-organized groups of workers. The long-running battle over California’s gig worker classification laws — which saw a strong standard passed by the state before being overturned by a referendum and is now mired in legal conflict — is one example. New York City’s ongoing fight over a minimum pay rate for gig workers in food delivery, which began with significant worker self-organizing in 2021, is another.

Hiring independent contractors through a third-party service to undertake the same labor as regular staff may draw regulatory scrutiny. The Department of Labor will implement a rule in March that would make it harder to classify workers as independent contractors. Businesses that exercise considerable control, surveil or discipline workers, set prices for labor or use workers in roles that are core to the business, or uses that do not require specialized skills and initiative work workers, may run afoul of the rule by classifiying those workers as independent contractors, according to a Federal Register discussion of the rule and its rationale.

Outside of gig work, the NRA report found many restaurants, about 47%, think the use of technology in their segment will become more common, but more than two-thirds, 69%, see the use of technology as a method to augment or increase the productivity of workers rather than an avenue toward reducing staffing.

Keeping the tip credit quickly emerges as a top restaurant concern for 2024

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New efforts to kill the credit are arising in Illinois and Maryland, adding to the activity in four other states and on Capitol Hill. Meanwhile, lawmakers in Washington, D.C., are considering a measure to fix the results of losing the credit there.

Bills to kill the credit are expected to be introduced in the Illinois legislature. | Photo: Shutterstock

Legislation phasing out Illinois’ tip credit is expected to be introduced in both houses of the state legislature later this week, following the reintroduction of a bill in Maryland to kill the employer concession there.

An effort to eliminate the credit has been expected in Illinois since Chicago lawmakers voted in October to roll back the break for employers there.

Indications that a state bill is imminent drew an immediate statement of opposition from the Illinois Restaurant Association.

“This legislation will do more harm than good as it will fundamentally change the way all restaurants operate,” the group warned in a statement issued to the media. “These changes will lead to job cuts, an increase in labor costs, and ultimately force restaurant owners to make difficult decisions.”

The developments in Illinois and Maryland come as the City Council of Washington, D.C., is considering a proposal that would address the aftereffects of reducing the tip credit there in May and July of last year. Among other things, the measure aims to counter the negative impact on the struggling local restaurant industry by seeking a reduction in the cost of liquor liability insurance.

The flurry of activity comes as New York City’s restaurant trade strives to thwart the intentions aired by some Albany lawmakers to end the tip credit within the Empire State. The New York City Hospitality Alliance recently released research data that shows 54% of Big Apple’s restaurateurs expect the economic impact of ending the employer concession would force them to close at least one of their operations within the state.

Meanwhile, the union-backed group One Fair Wage is collecting signatures in Ohio to let voters decide in November if the state should keep the tip credit there. The referendum aims to raise the minimum wage for all workers in the state through an amendment to the state constitution. The revision would also end the tip credit by 2029.

A similar push for a referendum is underway in Massachusetts, though that measure calls for phase-out through legislation rather than an amendment to the state constitution.

Simultaneously, labor advocates in Arizona are scrambling to collect the 255,949 signatures that must be gathered by July 3 to get a tip-credit referendum on the November general-election ballot. The proposal would phase out the credit by 2028.

The State Supreme Court rather than voters or legislators will decide if Michigan keeps its tip credit. The high court is expected to rule on the issue by summer.

All of the state efforts to eliminate the credit would be moot if a piece of federal legislation called the Raise the Wage Act should win Congressional approval. The bill would end the tip credit nationwide within six years of passage, entitling all restaurant workers, tipped or not, to at least $17 an hour unless their state minimum wage is higher. The measure was introduced by Sen. Bernie Sanders in July, but has yet to progress, signaling the odds are against passage near term.

Still, the flurry of activity underscores that preserving the tip credit has emerged as a top priority of the restaurant industry this year. In releasing its annual State of the Industry report on Tuesday, the National Restaurant Association included that imperative in its list of key legislative concerns the trade will likely face in 2024.

Until Washington, D.C., outlawed its tip credit in November 2022, the industry had not seen a major jurisdiction outlaw the credit since Maine killed its version in November 2016 via a ballot initiative. Because of an outcry from servers, lawmakers in the state re-instituted the employer break about seven months later.

Seven states disallow employers from taking a tip credit: California, Minnesota, Nevada, Washington, Oregon, Montana and Alaska.

The tip credit allows restaurants to count gratuities toward the minimum wage due servers, bartenders and other regularly tipped employees. On a federal basis, employers can pay the tipped workers just $2.13 an hour if the individual collects at least another $5.12 in tips, bringing them up to the mandated minimum wage. Otherwise, the employer is required to make up the difference.

Taylor Swift’s Eras Tour Generated $100 Million for U.S. Restaurants

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The “Swift Lift” is real.

Taylor Swift may have just become the self-professed chairman of the Tortured Poets Department, but she’s also clearly in charge of the U.S. economy.

A so-called Swift Lift has benefited restaurants and hotels across the United States, with eateries in the 20 cities that Swift has already visited gaining an extra $100 million in sales, according to a new report from Mastercard. The payments company examined businesses in the immediate vicinity of stadiums (within 2.5 miles) up to the surrounding 10-mile radius, giving us a look at how local economies fared.

“In every U.S. city throughout the tour, the boost in restaurant sales was clear and consistent,” Michelle Meyer, the chief economist and head of the Mastercard Economics Institute, told Robb Report in an email. “If there was ever any doubt about the power of the consumer to drive economic growth, The Swift Lift shows they were able to shake it off.”  

Overall, spending at restaurants within 2.5 miles of the stadiums increased 68 percent per day, while the more general area saw a bump of 7 percent. Santa Clara, California, experienced the largest jump in the immediate vicinity, with an extra 172 percent in restaurant sales. Kansas City, Missouri (even before Swift went public with her relationship with Travis Kelce), and Glendale, Arizona, saw the next largest bumps, with 171 percent and 169 percent, respectively.

When looking more generally at the same ZIP code as the concert venue, restaurant sales skyrocketed a whopping 205 percent. And during Swift’s shows, 27 percent of the entire city’s restaurant spending happened within 10 miles of the stadiums. On a typical Saturday, just 6.5 percent of restaurant spending happens there.

While restaurants received a good deal of help from Swift—who herself loves to dine out with friends—hotels and accommodations also experienced the Swift Lift. In the immediate vicinity of venues, spending at hotels and the like increased 47 percent, while the larger area saw a 32 percent bump. That was led by Foxborough, Massachusetts, where accommodation sales jumped 101 percent. After that, more modest yet still notable increases were seen in places like Cincinnati, Ohio (64 percent), and Pittsburgh, Pennsylvania (54 percent).

Swift’s impact on the U.S. economy has been well noted, with even the Federal Reserve weighing in on how much she’s helped boost sales across the country. And now, with the Eras Tour having just resumed in Asia and soon going to Europe, the pop star is likely to have international economic influence. She’s already changed the musical landscape, so why not go ahead and change the financial one too?