The AI Hype Cycle

Everyone's selling "AI" to restaurants right now. AI scheduling. AI inventory. AI marketing. AI everything.

Some of it is revolutionary. Some of it is regular software with a buzzword attached.

Here's our honest take on what works, what doesn't, and what's coming next.

AI That Works Today

1. Demand Forecasting

What it does: Predicts how busy you'll be based on weather, events, historical data, and trends.

ROI: 15-25% reduction in food waste, better staffing

Our take: This is proven technology. If you're not using it, you're leaving money on the table.

Recommended solutions: Toast, Restaurant365, or built into many modern POS systems

2. Menu Optimization

What it does: Analyzes which items sell, at what margins, and suggests pricing/positioning changes.

ROI: 10-15% improvement in menu profitability

Our take: Works very well, especially for delivery where you have good data.

Recommended solutions: This is core to what Chowfly does

3. Review Response

What it does: Generates personalized responses to customer reviews across platforms.

ROI: Hours saved weekly, improved response rates

Our take: Good for volume, but always review before posting. AI can miss context.

Recommended solutions: Yelp's built-in, or tools like Broadly

4. Inventory Management

What it does: Predicts ingredient needs based on forecasted demand, reduces waste and stockouts.

ROI: 20-30% reduction in waste, fewer 86'd items

Our take: Game-changer for restaurants with high ingredient variety

Recommended solutions: MarketMan, BlueCart, or integrated POS solutions

AI That's Overhyped

1. AI Phone Ordering

The promise: AI answers your phone and takes orders.

The reality: Works okay for simple orders. Falls apart with modifications, questions, or accents.

Our take: Give it 2-3 years. Not ready for prime time.

2. AI-Generated Marketing Content

The promise: AI writes your social media posts and email campaigns.

The reality: Generic content that sounds like every other restaurant.

Our take: Use AI as a starting point, but add your voice. Cookie-cutter content doesn't build brands.

3. "AI" Loyalty Programs

The promise: AI personalizes rewards for each customer.

The reality: Most are just rules-based systems labeled "AI."

Our take: Basic loyalty programs work fine. Don't pay extra for an AI label.

AI That's Coming

Dynamic Pricing (1-2 years away)

Automatically adjust delivery prices based on demand, time of day, and competitor pricing.

We're building this at Chowfly. Early results are promising.

Automated Quality Control (2-3 years)

Computer vision that checks orders before they leave the kitchen.

Already in testing at major chains. Coming to independents soon.

Predictive Labor Scheduling (Available now, getting better)

AI that schedules staff based on predicted demand, employee preferences, and labor laws.

Worth exploring if you have complex scheduling needs.

How to Evaluate AI Products

Before buying anything labeled "AI," ask:

What specific problem does this solve? (Not "efficiency" or "optimization"—specific problems)

What's the proven ROI? (Get case studies, not promises)

How long until I see results? (If it's more than 30 days, be skeptical)

What data do you need from me? (More data required = longer time to value)

What happens if I cancel? (Can I export my data?)

The Bottom Line

AI is real and it's here. But not every "AI" product is worth your money.

Focus on proven applications: forecasting, menu optimization, and inventory management. Be skeptical of phone bots and "personalized" content generators.

And always calculate the ROI before signing a contract.

AI for Restaurants: What Actually Works (And What's Just Hype)