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On Wed, 31 Jul, 4:06 PM UTC
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Yum! Brands to Expand Voice AI Technology to Hundreds of Taco Bell U.S. Drive-Thru Locations in 2024, with a Future Vision to Bring the Technology to Its Brands' Drive-Thrus Around the World
Yum! Brands, Inc. (NYSE: YUM) announced today the expansion of Voice AI technology across Taco Bell drive-thru locations in the U.S., targeting hundreds of stores by the end of 2024. The Company aspires to implement Voice AI technology in drive-thrus at its brands globally in the future. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240731239498/en/ The rollout of Voice AI technology in Taco Bell, currently in more than 100 Taco Bell U.S. drive-thrus across 13 states, is designed to enhance back-of-house operations for team members and elevate the order experience for consumers. Benefits include easing task load for team members, improving order accuracy, providing a consistent, friendly experience, and reducing wait times, while driving profitable growth for Taco Bell, Yum! Brands and their franchisees. "Yum! Brands is integrating digital and technology into all aspects of our business with exciting new capabilities, and AI is a core piece of that strategy," said Lawrence Kim, Chief Innovation Officer, Yum! Brands. "We're expanding and accelerating our AI capabilities like Voice AI to deliver leading-edge technologies to our franchisees and to enhance the consumer and team member experience. With over two years of fine tuning and testing the drive-thru Voice AI technology, we're confident in its effectiveness in optimizing operations and enhancing customer satisfaction." Yum! Brands and Taco Bell have collaborated closely, including incorporating input from Taco Bell franchisees, so that Voice AI benefits both team members and consumers. This technology takes advantage of Taco Bell's strong drive-thru customer experience ecosystem, which is powered by digital menu boards, Yum! Brands' propriety Poseidon POS system and the next generation of the Taco Bell Rewards loyalty program which the brand is excited to integrate later this year. The Voice AI technology uses a holistic approach that leverages feedback, data, and insights to enhance consumer relationships with an emphasis on intuitive, user-friendly technology to create a seamless ordering experience. "Innovation is ingrained in our DNA at Taco Bell, and we view Voice AI as a means to improve the team member and consumer experiences," said Dane Mathews, Chief Digital & Technology Officer, Taco Bell. "Tapping into AI gives us the ability to ease team members' workloads, freeing them to focus on front-of-house hospitality. It also enables us to unlock new and meaningful ways to engage with our customers." In addition to the expansion of Voice AI across Taco Bell U.S. drive-thrus, five KFC restaurants in Australia are simultaneously testing Voice AI technology in drive-thrus, which is also being positively received by consumers and restaurant team members. Yum! Brands has been both acquiring and creating technologies, and in select cases working with leading partners, powered by its global scale that enable and accelerate easy experiences, operations and insights for consumers and team members while driving profitable growth for franchisees. The Company has made massive strides in scaling its proprietary digital and AI-driven ecosystem in partnership with franchisees, equipping them with distinctive capabilities to differentiate its brands. 2023 marked a significant milestone for successfully scaling Yum! Brands' suite of proprietary technologies globally. In 2023, Yum!'s digital sales approached $30 billion with over 50% of its sales coming through digital channels as of the first quarter of 2024. The Company's digital business has more than doubled since 2019, demonstrating the power of its digital ecosystem and capabilities to meet changing consumer needs around the world. About Yum! Brands Yum! Brands, Inc., based in Louisville, Kentucky, and its subsidiaries franchise or operate a system of over 59,000 restaurants in more than 155 countries and territories under the company's concepts - KFC, Taco Bell, Pizza Hut and the Habit Burger Grill. The Company's KFC, Taco Bell and Pizza Hut brands are global leaders of the chicken, Mexican-style food, and pizza categories, respectively. The Habit Burger Grill is a fast casual restaurant concept specializing in made-to-order chargrilled burgers, sandwiches and more. In 2024, Yum! was named to the Dow Jones Sustainability Index North America for the eighth consecutive year, and the company was recognized among TIME Magazine's list of Best Companies for Future Leaders, Newsweek's list of America's Most Responsible Companies and USA Today's America's Climate Leaders. Yum! also received widespread recognition in 2023, including being listed on the Bloomberg Gender-Equality Index; and Forbes' list of America's Best Employers for Diversity. In addition, KFC, Taco Bell and Pizza Hut brands were ranked in the top five of Entrepreneur's Top Global Franchises Ranking for 2023.
[2]
Taco Bell announces an expansion to its voice AI initiative in the U.S.
Yum! Brands (NYSE:YUM) announced on Wednesday the expansion of Voice AI technology across Taco Bell drive-thru locations in the U.S. The AI initiative is being aimed at hundreds of Taco Bell stores by the end of 2024. Currently, Voice AI technology is being used at more than 100 Taco Bell U.S. drive-thrus across 13 states. The AI initiative is designed to enhance back-of-house operations for team members and elevate the order experience for consumers. Benefits called out by the restaurant company include easing task load for team members, improving order accuracy, providing a consistent, friendly experience, and reducing wait times. For investors, the AI initiative is anticipated to help drive profitable growth for Taco Bell, Yum! Brands, and their franchisees. "Yum! Brands is integrating digital and technology into all aspects of our business with exciting new capabilities, and AI is a core piece of that strategy," stated Yum! Brands Chief Innovation Officer Lawrence Kim. "We're expanding and accelerating our AI capabilities like Voice AI to deliver leading-edge technologies to our franchisees and to enhance the consumer and team member experience. With over two years of fine tuning and testing the drive-thru Voice AI technology, we're confident in its effectiveness in optimizing operations and enhancing customer satisfaction." In addition to the expansion of Voice AI across Taco Bell U.S. drive-thrus, five KFC restaurants in Australia are simultaneously testing Voice AI technology in drive-thrus, which is also being positively received by consumers and restaurant team members. The restaurant sector has seen mixed early results in general with the use of AI at drive-thru windows.
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Yum! Brands announces plans to implement voice AI technology at hundreds of Taco Bell drive-thru locations in the United States by 2024, aiming to enhance customer experience and operational efficiency.
Taco Bell, a subsidiary of Yum! Brands, is set to revolutionize its drive-thru experience with the expansion of voice AI technology across hundreds of U.S. locations in 2024 1. This move comes as part of Yum! Brands' broader strategy to integrate artificial intelligence into its operations, enhancing customer service and operational efficiency.
The voice AI system, developed in collaboration with Yum! Brands' in-house AI division, is designed to take customer orders at drive-thru locations 2. This technology aims to streamline the ordering process, potentially reducing wait times and improving order accuracy. The AI system is capable of understanding and processing natural language, allowing for a more intuitive and efficient customer interaction.
Taco Bell has already conducted successful pilot programs for this technology. The initial tests, which began in early 2023, demonstrated positive results in terms of customer satisfaction and operational efficiency [1]. These encouraging outcomes have prompted the company to accelerate the rollout of the voice AI system to a broader range of locations.
While the implementation of AI technology raises questions about potential job displacement, Yum! Brands emphasizes that the voice AI system is intended to complement rather than replace human workers [2]. The company suggests that this technology will allow employees to focus on other aspects of customer service and food preparation, potentially enhancing overall service quality.
The expansion of voice AI technology at Taco Bell is part of a growing trend in the fast-food industry. Other major chains, including McDonald's and Wendy's, have also been exploring similar AI-driven solutions for their drive-thru operations [2]. This industry-wide shift towards AI integration suggests a transformative period for fast-food service and customer interaction.
This initiative aligns with Yum! Brands' broader strategy to leverage AI across its various brands, which include KFC, Pizza Hut, and The Habit Burger Grill, in addition to Taco Bell [1]. The company views AI as a key driver for improving customer experience, operational efficiency, and potentially, financial performance in the competitive fast-food market.
As Taco Bell moves forward with this large-scale implementation, the company will need to address potential challenges such as system reliability, customer privacy concerns, and the need for seamless integration with existing operations [2]. The success of this rollout could set a precedent for future AI adoptions in the fast-food industry and beyond.
Reference
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