Fast-food Giant Halts AI Order Taking

Roughly three years after first experimenting with artificial intelligence-driven ordering technology, McDonald’s is pulling the plug…for now.

The fast-food behemoth made its interest in artificial intelligence abundantly clear in 2019. In Q2 of that year, the company purchased Dynamic Yield for a reported $30o million. Immediately after making the acquisition, McDonald’s implemented Dynamic Yield’s machine-learning tech to an estimated 8,000 drive-thrus.

KRG Hospitality readers may recall that the fast-food company faced a class-action privacy lawsuit in Illinois. The plaintiff alleged that McDonald’s “violated BIPA because it failed to obtain proper consent prior to collecting and disseminating Plaintiff’s and the other class members’ voiceprint biometrics who interacted with its AI voice assistant at its Illinois locations.”

Around six months after making that acquisition, McDonald’s picked up Apprente. Interestingly, the voice-powered ordering tech platform had only been founded in 2017.

Following the purchase, the Apprente team became founding members of McD Tech Labs, a group that fell under the McDonald’s Global Technology Team umbrella. Two years later, McDonald’s would sell McD Tech Labs to IBM.

Put simply, McDonald’s was interested in testing voice-activated “automated order taking” (AOT). In theory, an effective platform could take orders, speeding up drive-thrus and streamlining operations.

Well, it appears that the answer is no. At least, not to the standards of McDonald’s, and satisfaction of the company’s guests.

Continue reading on KRGHospitality.com to learn more.

Restaurant Concept Development: From Idea to Execution

written by Nathen Dube, RSE

Creating a restaurant concept is an intricate process that requires blending creativity, an understanding of a given market, and business acumen.

From the initial idea to the grand opening, each step is crucial in ensuring that the restaurant not only stands out in a competitive market but also delivers a memorable dining experience.

In this comprehensive guide, we’ll explore the essential stages of restaurant concept development, providing insights and strategies to turn your vision into a thriving reality.

1. Ideation: Craft Your Vision

The journey of developing a restaurant concept begins with a compelling idea. This idea should reflect your passion, culinary expertise, and a clear understanding of your target market.

Below, how to start down the path from vision to reality.

Identify Your Niche

A deep understanding of the niche you want to fill in the market is critical. Are you aiming for a high-end fine dining experience, a casual eatery, a fast-casual concept, or a food truck?

Research current market trends, consumer preferences, and gaps in the market to find your unique angle.

Define Your Concept

Your concept should be a detailed description of your restaurant’s identity. This includes the cuisine, service style, ambiance, target audience, and overall theme.

For example, are you creating a rustic Italian trattoria, a chic urban sushi bar, or a family-friendly diner?

Create a Vision Statement

A vision statement is a concise description of what you want your restaurant to achieve, and how it will stand out. This statement will guide your decisions throughout the development process.

2. Market Research: Understanding the Landscape

Thorough market research is essential to validate your concept and refine your strategy. This step involves analyzing the competitive landscape, understanding customer preferences, and identifying potential challenges.

Analyze Competitors

Visit and analyze restaurants that could be considered competitors. Evaluate their strengths and weaknesses, menu offerings, pricing strategies, and guest experience.

Understanding what works and what doesn’t can help you position your restaurant effectively.

Understand Your Target Audience

Identify your target demographic in terms of age, income, lifestyle, and dining preferences. Conduct surveys, focus groups, and interviews to gather insights into what will attract and resonate with your guests.

Evaluate Location Options

Location is a critical factor in the success of a restaurant. Analyze different locations based on foot traffic, accessibility, visibility, and proximity to competitors. Consider the demographics of the area to ensure they align with your target audience.

3. Business Planning: Laying the Foundation

A well-crafted business plan is essential for securing funding and guiding the execution of your restaurant concept. It should outline your strategy, financial projections, and operational plan.

Executive Summary

Provide a concise overview of your restaurant concept, including the vision statement, target market, and unique selling proposition (USP).

Market Analysis

Summarize your market research, including competitor analysis, target audience insights, and location evaluation.

Marketing Strategy

Detail how you plan to attract and retain customers. This includes branding, advertising, promotions, and social media strategies.

Operational Plan

Describe your restaurant’s daily operations, including staff roles and responsibilities, supplier relationships, and inventory management.

Financial Projections

Provide detailed financial projections, including startup costs, operating expenses, revenue forecasts, and break-even analysis. This section should also include funding requirements, and potential sources of financing.

To continue reading for many more insights, visit KRGHospitality.com .

The 2024 Spirited Awards: Top 4 Finalists

We’re excited to share the top finalists in each of the 2024 Spirited Awards categories, announced by the Tales of the Cocktail Foundation.

It’s a monumental task to come up with the top-ten nominees , I’m certain. So, I can only imagine what it’s like to remove six well-deserving nominees from each category.

As regular readers of KRG Hospitality probably know by now, I do have a bit of bias for venues and industry pros in Las Vegas, New Orleans, Chicago, and basically the entirety of Canada. The same can be said for Bar Hacks podcast guests.

However, I’m just excited to see such amazing people, venues, and outlets receive Spirited Awards recognition. This time around, I’ll keep my bar biases to myself.

With that said, we do know four of this year’s recipients already. We’ll learn who took home the rest of the awards on Thursday, July 25.

Helen David Lifetime Achievement Award presented by William Grant & Sons

• Hidetsugu Ueno

Timeless International Award presented by Tales of the Cocktail Foundation

• Café Pacifico — London, UK

Timeless U.S. Award presented by Tales of the Cocktail Foundation

• The Buena Vista — San Francisco, CA

Tales Visionary Award Presented by Johnnie Walker

• Colin Asare-Appiah

Congratulations to the winners above, and cheers to the finalists below!

US Categories

US Bartender of the Year presented by Pernod Ricard

• McLain Hedges — Yacht Club, Denver, CO
• Christine Kim — Service Bar, Washington, D.C.
• Kapri Robinson — Allegory, Washington, D.C.
• Masa Urushido — Katana Kitten, New York, NY

Best US Bar Mentor presented Jameson Irish Whiskey

• Anu Apte
• Jason Asher
• Kate Gerwin
• Alex Jump

Best US Brand Ambassador presented Tales of the Cocktail Foundation

• Tad Carducci — Gruppo Montenegro
• Benny Hurwitz — Campari American Whiskeys
• Anna Mains — Monkey Shoulder
• Natasha Sofia — Mijenta Tequila

Best US Bar Team presented by William Grant & Sons

• Century Grand — Phoenix, AZ
• Jewel of the South — New Orleans, LA
• Pacific Cocktail Haven — San Francisco, CA
• Service Bar — Washington, D.C.

Best US Cocktail Bar presented by Del Maguey Mezcal

• Double Chicken Please — New York, NY
• Happy Accidents — Albuquerque, NM
• Overstory — New York, NY
• Yacht Club — Denver, CO

Best US Hotel Bar presented by Grey Goose

• Allegory at the Eaton Hotel — Washington, D.C.
• Little Rituals at the Residence Inn/Courtyard by Marriott — Phoenix, AZ
• Pacific Standard at the KEX Portland — Portland, OR
• The Sazerac Bar at The Roosevelt New Orleans — New Orleans, LA

Best US Restaurant Bar presented by Tales of the Cocktail Foundation

• Cleaver – Butchered Meats, Seafood & Classic Cocktails — Las Vegas, NV
• Jaguar Sun — Miami, FL
• Kumiko — Chicago, IL
• Palomar — Portland, OR

Best New US Cocktail Bar presented by Diageo Bar Academy

• Cobra — Columbus, OH
• Medium Cool Cocktail Lounge — Miami Beach, FL
• Paradise Lost — New York, NY
• Superbueno — New York, NY

For the International, Global, and Writing & Media category finalists, plus the official press release, please continue reading at KRGHospitality.com .

Drink Donnybrook: The Sazerac

We celebrate the Sazerac, nearly 200 years old and known to many as America’s first cocktail, on Sazerac Cocktail Day, which falls on a Sunday this year.

Refreshingly, we know who should credit for its creation. Further, we can trace it back to a year, and even a location.

In that regard, this won’t be like other Drink Donnybrook articles. The only bold, debate-inducing claims I can really make relate to the base spirit, year of creation, and that my first-ever Sazerac was awful. Oddly, this less-than-stellar Sazerac was made for me at an incredibly popular bar in New Orleans.

Well, sometimes bartenders have off days. I’ve been back to that bar, and had a great time with a great Sazerac. It’s absinthe under the bridge.

Speaking of absinthe, that anise-flavored spirit is a core element of this classic cocktail. Much like some people say “No Negroni without Campari,” there’s no Sazerac without an absinthe rinse.

Now, onto the base of this legendary drink. While bartenders have been making it with rye whiskey for decades, the original recipe calls for Cognac. More specifically, it was made with Sazerac de Forge & Fils. Voila—the drink bears the name of the brandy used at its creation. (Hey, speaking of brandy, check out my Donnybrook article about the Brandy Alexander .)

Cold water, an ice cube, and Peychaud’s bitters round out the ingredients list for a Sazerac. And it’s that last item that reveals the drink’s creator.

The Official Cocktail of New Orleans

Roughly a decade into the 1800s, Antoine Peychaud arrived in New Orleans, Louisiana. Reliable records are a bit difficult to come by, so we don’t know his precise arrival date.

However, historians seem confident that Peychaud did open an apothecary in New Orleans in 1832. (According to one source I came across, Pharmacie Peychaud was opened in 1841.) The next time you’re in NOLA, you can visit the location of said apothecary: 437 Royal Street. Originally, the address was 123 Royal Street. Today, it’s the home of James H. Cohen Antique Weapons & Rare Coins. It’s a fun spot to pop into, by the way.

As you’re likely well aware, apothecaries were precursors to pharmacists and chemists. They served their communities from ye olde apothecary shoppes, and their medicine often consisted of alcohol.

Peychaud crafted his namesake bitters and used them to create an elixir that treated his customers’ illnesses. That medicinal elixir would become the Sazerac. Again, this potion was made with Sazerac de Forge & Fils Cognac, absinthe, and Peychaud’s bitters.

Intriguingly (to me), the Sazerac House—a must-see attraction in NOLA—claims the Sazerac became famous in the 1850s at the Sazerac Coffee House. So, it could’ve taken the Sazerac 20 years to evolve from medicine to cocktail.

On the topic of cocktails, some people attribute Peychaud with inventing the word “cocktail.” Many historians have labeled this claim as false.

Over time, it became difficult to source the cocktail’s eponymous brandy, so the recipe changed to rye whiskey. Some bartenders craft their Sazeracs with other spirits, and will even split their bases. For example, you should try a Sazerac made with a split base of Cognac and rye.

Continue reading on KRGHospitality.com .