Artificial Intelligence (AI) has emerged from the pages of sci-fi literature to become an all-pervasive force that’s an everyday life staple. Like other consumer-facing sectors, AI has become a key enabler for the food service industry. A 2023 survey reveals that 31-41% of stakeholders in restaurant businesses plan on investing in AI for things like purchasing, consumer marketing, and even demand forecasting.
Undoubtedly, AI is revolutionizing food service, one innovation at a time.
What are AI-driven trends gaining momentum at present? Let’s find out in today’s article.
Top 5 AI Trends in the Food Service Sector
The food service sector is vast. From commercial businesses like restaurants, fast food chains, cafes, and food trucks to non-commercial catering services in school cafeterias, hospitals, and more — the sector’s operational requirements are diverse. The challenges faced by the industry are just as complex.
Tackling such challenges without technology has remained a major pain point in the past. Legacy solutions are unable to keep up with the ever-evolving needs of the sector.
Thankfully, AI has proven to be the holistic solution for the most common problems faced by the food service industry and its stakeholders. That’s why, the top five AI trends that are sweeping the food service sector are:
Optimizing Supply Chain Management
The food service industry supply chain comprises a complex network of suppliers, distributors, restaurants, fast food chains, etc. Because the industry deals with perishable items often needing specialized transportation, even a small mistake in the supply network can lead to catastrophic outcomes.
The lack of visibility and real-time updates in supply chain logistics often impacts the operations of commercial food service businesses.
However, AI-driven solutions can optimize supply chain logistics by:
- Accurate demand forecasting
- Offering real-time updates on the delivery status of raw materials
- Performing stringent stock monitoring
- Delivery route optimization
- Enhancing visibility,
- And more
So, AI-based solutions can help overcome such challenges and streamline the food service supply chain. When the supply chain is adapted to suit the challenging requirements of food service, its entire line of operations, from sourcing to serving, can become more resilient.
Reducing Food Waste
Data reveals the food service business loses $25 billion in food waste every year. That’s roughly 12 tons of food—wasted. Commercial eateries may end up over-ordering their inventory due to supply chain goof-ups. Or they may not be able to sell all their items.
Poor inventory management is a leading cause of food waste, besides other factors like bad storage, incorrect portion sizes, spillage, or imperfect cooking.
AI-based applications can scour historical data and provide insights that improve inventory management. You can even rethink your portion sizes to prevent your patrons from wasting food. Intelligent sorting can reduce food spoilage by ensuring raw materials and food are refrigerated and used within their respective timelines.
Customizing Food Recommendations and Predicting Preferences
Global fast-food giant McDonald’s has been using AI-based solutions to optimize its menus in its drive-throughs and restaurants. The menus show personalized recommendations to frequent customers based on the availability of the food items. In addition, smart menus also recommend related items, like a salad with a burger or a bottle of water.
In its drive-throughs, the display board showcases menu items depending on the time of the day, weather, traffic conditions, etc.
All of this is made possible with the introduction of technology like predictive AI, Natural Language Processing (NLP)-based customer sentiment analysis of reviews, data analysis, and more.
Those in food service, especially commercial businesses, can take a cue from McDonald’s and use it to ramp up their game.
Enhancing Food Safety
Whether you’re a food truck owner, a school catering service provider, a pub, or a restaurant, ensuring food safety is your prerogative. Your food must be safe for consumption and adhere to the safety protocols outlined by the Food and Drug Administration (FDA). However, achieving that in real-life scenarios can be difficult.
AI-based applications like Machine Learning (ML), computer vision, predictive analysis, and the like can help you enhance food safety.
Early adopters in the food service industry are already using AI for biosurveillance of food items. From detecting disease-causing microbes to finding the possibility of food-borne illnesses in certain items, the current use cases prove that the possibilities are endless.
You can also deploy AI in food sorting, storing, and sourcing to ensure you’re serving only the best to your customers.
Since the quality of food is intricately related to the reputation of food businesses, implementing AI-driven solutions has other advantages, too. It can make your business resilient to common food safety-related concerns and make your customers happy. Happy customers always lead to consistent and increased sales, boosting your bottom line.
Incorporating Sustainable Food Service Management Practices
AI is also helping the food service industry adopt sustainable practices. It can be used to reduce food wastage, optimize resource utilization, and promote holistic, sustainable practices. As a food service sector stakeholder, you can ensure that your operations are seamless and effort-efficient.
In the long run, streamlined operations play a key role in reducing the overall carbon footprint of eateries.
As you can tell, these AI trends in food service are not only helping the food service industry manage its challenges, but they’re also setting a precedent for others. While it will take time for businesses at all levels to start using AI in their daily operations, the future seems possible and within reach.
Challenges to the Adoption of AI in Food Service
Early adopters are already making the best use of AI to future-proof their businesses. However, there are challenges to more significant and more widespread adoption. If the food service industry is to take greater strides toward enhancing its operations with AI, it must address the following challenges:
Lack of Access
Implementing AI in food service requires access to data and technology, both of which require financial support. For smaller commercial and non-commercial food businesses, investing money in cutting-edge tech or accessing large volumes of data remain major constraints.
Combined with a lack of awareness about the latest developments in the field, AI adoption remains scanty. It’s only when the tech is made more affordable and data accessible that large-scale adoption of AI can be a possibility.
Data Safety and Security Concerns
Stakeholders in the food service industry not only need access to data but must also ensure that their customer’s information remains secure.
McDonald’s has been utilizing the car number plate data of their customers to showcase a predictive menu at their drive-throughs. However, the data is collected with the consent of the consumers. For smaller restaurants or similar food service businesses that operate only on a local scale, doing so may not be feasible.
In addition, safely acquiring and storing data also remains a concern.
Lack of Trained Resources
Using new-age tech requires education and acumen. But, the food service industry is not centralized and comprises stakeholders of different skill levels. Not everyone has the skills or the technical prowess required to handle AI in food tech.
The industry needs awareness and training programs to equip these stakeholders with the know-how required to make proper use of AI. Until that happens, widespread adoption will remain only partly possible.
To sum it up, AI is the secret ingredient that all commercial as well as non-commercial food service businesses need to stay on top of their game. However, it will take time before the AI revolution reaches the grassroots of the sector. That said, as of now, the future looks bright.
For the rest, only the future will tell.
Hyperlinks:
https://partech.com/2023/07/07/tips-for-tackling-food-waste-in-your-restaurant/
Sources:
https://appinventiv.com/blog/ai-in-food-industry/
https://foodchainmagazine.com/news/five-benefits-of-ai-in-the-food-industry/
https://www.ficsi.in/blog/the-role-of-ai-in-revolutionising-and-benefiting-the-food-industry/
https://deonde.co/blog/ai-in-food-industry/
https://hospitalityinsights.ehl.edu/food-service-industry-all-your-questions-answered#
https://www.foodnotify.com/en/blog/food-waste-facts-restaurants
https://www.ucdavis.edu/blog/how-artificial-intelligence-may-improve-food-safety
Ref:
https://procureconsupplychain.wbresearch.com/blog/mcdonalds-ai-data-optimize-supply-chain
https://www.fastcasual.com/blogs/4-ways-ai-can-rescue-restaurant-operations/
https://www.tvo.org/article/ai-is-growing-in-the-food-service-industry-and-nothing-will-stop-it#