McDonald’s Dropping Drive-thru AI Ordering Technology in July
McDonald’s announced that by July 26, 2024, it will discontinue its artificial intelligence (AI) ordering technology at more than 100 drive-thru locations in the United States, marking a setback in the fast-food industry’s adoption of AI. The iconic fast-food giant collaborated with IBM to develop and test voice-automated ordering systems. However, customers complained about the technology getting orders wrong, perhaps owing to problems with the technology’s failure to decipher accents and background noise.
“AI is clearly going to be a part of restaurant automation and efficiencies going forward, but the technology is still in its infancy,” said David Henkes, Senior Principal and Head of Strategic Partnerships at Technomic. “The McDonald’s experience and commitment to AI shows the potential upside, but it also shows the limitations of the technology at the present time.”
McDonald’s and IBM initially partnered three years ago to utilize Automated Order Taking (AOT) technology to simplify and streamline the ordering experience for customers and restaurant staff. IBM says AOT offers some of the most comprehensive technology in the industry. Despite halting this specific AI project, McDonald’s remains committed to exploring other AI-driven solutions. The company plans to continue collaborating with IBM on other AI-related technology, including a long-term scalable voice ordering solution, to stay competitive and enhance the customer experience.
Read more McDonald’s related content on Loyalty360 here.
Dunkin’ Launches Summer Dunkin’Tern Campaign
Dunkin’ launched its latest summer campaign to boost customer engagement. It features a new class of Dunkin’Tern content creators led by actor Will Arnett and popular content creator Corporate Natalie. During the campaign, content creators in food, music, gaming, and fashion will introduce projects promoting the brand’s Refreshers, Iced Coffee, and Sparkd’ Energy drinks.
The campaign rollout includes four 15-second spots by creators and a 30-second hero ad. The campaign marks a shift from previous celebrity-centric marketing efforts, such as those featuring Ben Affleck, although the campaign kicks off with a 30-second “Orientation” commercial that introduces the team and features a malfunctioning robot that looks like Affleck.
The campaign will run all summer, with the intern team releasing “summer projects” promoting iced drinks. Joey Fatone and A.J. McLean will create a song for the brand’s first EP. Meanwhile, chef Nick DiGiovanni will craft an “Iced Coffee Mixology” menu, while designer Yoon Ahn will release a capsule collection. Popular Twitch streamer SypherPK will incorporate Sparkd’ Energy by Dunkin’ into a gaming activation, while Miss Massachusetts USA 2024 Melissa Sapini, actress Maia Reficco, plant stylist Hilton Carter, and others will also participate.
The campaign’s creative was developed with Artists Equity, the production company founded by Affleck and Matt Damon. Artists Equity has produced several notable campaigns for Dunkin’, including a Super Bowl ad featuring Damon, Tom Brady, and Jennifer Lopez.
Read more news about Dunkin’ on the Loyalty360 website here.
Verizon Leverages Generative AI to Enhance Customer Loyalty
Verizon is utilizing generative AI technology to prevent 100,000 customers from leaving this year. The company hopes that by accurately predicting call reasons, efficiently connecting them with the right agents, and reducing in-store visit times, more customers will keep their Verizon service. The telecom giant handles approximately 170 million calls annually and, with the help of generative AI, can predict the reason for a customer’s call 80% of the time.
Verizon introduced several generative AI-backed initiatives early this year, focusing on enhancing customer service. Similar to Swedish fintech company Klarna, which uses generative AI to reduce response times and cut costs, Verizon has already deployed four generative AI products for commercial use, according to CEO Hans Vestberg. The brand counts 1,500 data points for each phone number, and the company runs its own data inside the Verizon network using large language models. With around 70 million store visits each year, the company can personalize offers, reducing store visit times by approximately seven minutes per visit. In 2023, Verizon reported nearly 145 million wireless retail connections with a churn rate of about 1%.
Read more news about Verizon on Loyalty360’s website here.
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Original Article Links:
McDonald’s pulls AI ordering from drive-thrus — for now
Dunkin’ readies celeb-heavy ‘intern’ class for summer of culture plays
Verizon uses GenAI to improve customer loyalty