McDonald's Menus Will Soon Use AI

On March 25, McDonald’s announced it would be buying the tech startup Dynamic Yield for $300 million to improve personalisation and customer experience using artificial intelligence.

McDonald’s CEO Steve Easterbrook said that the Israeli startup would help increase the role technology and data plays in McDonald’s future.

The first implementation of Dynamic Yield’s AI will be seen in the drive-thru menus for budding customers. The menu will look at many factors such as traffic levels nearby, historical sales data in the area, currently popular items and even the weather, so if it is a hot day expect to see McFlurrys being promoted by the AI to cool you off in the summer heat. Not only will the AI help customers but it will also help the employees. If the queues are long, the AI can promote items that are faster for the staff to make. Another possibility in the future would be for the AI to track your personal purchase history using your car number plate.

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The AI has been trialled in several restaurants, and it is expected to reach out to over 1000 restaurants in the next 3 months with the end goal being that the AI will be available in all 14,000 US restaurants.

Dynamic Yield, which was founded in 2011, has had its fair share of big time clients. Sephora turned to Dynamic Yield to personalise product recommendations, which aids in the so called ‘retail apocalypse’ where consumers are abandoning iconic brands for lesser known generic brands. This applies to many other companies such as Lacoste, IKEA and Ocado. Dynamic Yield is also named a leader in Gartner’s 2018 Magic Quadrant for Personalisation Engines, so McDonald’s has good reason to buy this innovative startup that is helping pave the way for AI.



EnterpriseAryan Nevgi