Retail

The data-driven drive-thru: 4 ways AI is flipping the QSR playbook

By Saurabh Malhotra, and Shreyans Sharma

April 23, 2025 | Article | 5-minute read

The data-driven drive-thru: 4 ways AI is flipping the QSR playbook


The data-driven drive-thru: 4 ways AI is flipping the QSR playbook

Retail

The data-driven drive-thru: 4 ways AI is flipping the QSR playbook

By

Saurabh Malhotra

and

Shreyans Sharma

April 23, 2025 | Article | 5-minute read

The data-driven drive-thru: 4 ways AI is flipping the QSR playbook

The data-driven drive-thru: 4 ways AI is flipping the QSR playbook

The quick-service restaurant (QSR) industry is at a pivotal moment. Rapidly shifting consumer expectations, rising operational costs and fierce competition are reshaping the landscape. Customers demand seamless, hyper-personalized experiences—whether dining in-store, ordering online or engaging via loyalty programs. Simultaneously, the increasing influence of delivery platforms, evolving sustainability regulations and labor challenges make operational efficiency more critical than ever.

 

Undoubtedly, one emerging force that will shape the future of the QSR industry is agentic AI, which has the potential to redefine efficiency, productivity and customer experience. This new wave of AI that goes beyond traditional data science and automation to act autonomously, adapt to real-time scenarios and optimize decision-making across multiple business functions can affect everything from dynamically adjusting pricing and promotions based on demand patterns to orchestrating kitchen workflows and personalizing customer interactions.

 

The use of AI in the QSR industry is evolving fast, and understanding its use cases is imperative for leaders looking to maintain a competitive edge. It requires a mindset shift in how you harness data, engage customers and execute marketing strategies. We’ll look at four key areas that innovation in AI can drive sustainable growth today for QSR brands, along with real-world examples (and results) from our own work.

1. Drive smarter decisions by unlocking the power of data

1. Drive smarter decisions by unlocking the power of data



In the fast-paced QSR industry, data has become the new currency—abundant, high-frequency and invaluable. Yet, with data scattered across POS systems, mobile apps, delivery platforms, customer feedback channels and QSR loyalty programs, tapping its full potential can be challenging. The solution lies in creating a unified, 360-degree view of the customer, a critical asset for delivering personalized experiences.

 

How can AI unlock QSR data for decision-making?

  • Predictive demand forecasting: Anticipating busy periods and adjusting operations accordingly
  • Optimized menu pricing: Dynamically adjusting prices to reflect real-time demand
  • Operational insights: Delivering real-time analytics that guide daily decisions
  • Targeted marketing campaigns: Hyper-personalized promotions that resonate with individual customer behaviors

QSR data intelligence in action: A real-world success story

QSR data intelligence in action: A real-world success story



Leveraging proprietary QSR data models and over 250 data connectors, combined with Personalize.AI’s real-time data processing capabilities, our clients have transitioned from static dashboards to dynamic, conversational analytics using agentic AI-powered analytics workflows. For example, one leading chain used Personalize.AI to reduce analysis time by 35%, driving rapid, informed decision-making.

2. Elevate the customer experience with AI-powered engagement

2. Elevate the customer experience with AI-powered engagement



Customers are constantly sharing their experiences—both positive and negative—across social media, online reviews, websites and delivery apps. But without the right tools, these valuable insights remain scattered, making it difficult to see the bigger picture.

 

How can AI help boost engagement in the QSR industry?

  • Analyze sentiment: Identify trends, recurring issues (like long wait times or inaccurate orders) and emerging opportunities to improve service
  • Proactively address concerns: Enable real-time interventions that enhance customer satisfaction
  • Personalize interactions: Through AI-driven chatbots and automated systems, customers receive tailored assistance—from instant order support to personalized menu recommendations

Using AI to transform customer engagement in the real world

Using AI to transform customer engagement in the real world



By leveraging ZS’s Personalize.AI, a purpose-built SaaS solution for AI-powered personalization, a fast-growing QSR brand transformed customer engagement through gamified challenges tailored to individual behaviors, preferences and life cycle stages. This approach fostered deeper brand loyalty and increased repeat purchases. As a result, the brand achieved a 27% increase in opt-ins, a 16% boost in revenue per challenge and scaled challenge launches by 16x, enhancing customer experience while maximizing marketing ROI.

3. QSR personalization at scale: Turning customer transactions into relationships

3. QSR personalization at scale: Turning customer transactions into relationships



QSR businesses that use blanket promotions rather than tailoring offers to their customer preferences are leaving key elements of the relationship on the table (no pun intended) and missing valuable opportunities to leverage the data that they already have to produce more value and loyalty.

 

How can AI scale personalization in the QSR industry?

  • Target the right customer: Deliver the right product recommendation at the right moment
  • Optimize pricing: Ensure dynamic pricing models bring customers in while maximizing profitability
  • Re-engage shoppers: Identify opportunities to engage with disengaged shoppers and trigger personalized incentives to drive them back
  • Scale personalization efforts: Manage millions of personalized communications without overwhelming resources

Using AI to drive loyalty and revenue in practice

Using AI to drive loyalty and revenue in practice



By leveraging advanced AI, machine learning (ML) models and generative AI, we were able to help a leading U.S. restaurant chain revolutionize customer engagement through personalization, experimentation and loyalty programs. Through more than 100 million personalized emails delivered to customers every week, with ai-generated text- and image-content variants and large-scale offer experimentation, the company realized a 5% revenue lift, more than 15% engagement boost and 50% cost savings on loyalty operations.

4. Redefine QSR loyalty programs for maximum engagement and ROI

4. Redefine QSR loyalty programs for maximum engagement and ROI



In a highly competitive QSR market, loyalty programs can make a brand stand out. But traditional loyalty programs are often too limited. Customers want rewarding experiences that go beyond simple point systems. Successful QSR brands are integrating gamification, real-time rewards and AI-driven engagement to keep customers coming back.

 

How can you leverage AI to maximize loyalty programs?

  • Real-time optimization: Using experimentation and predictive analytics to continuously refine reward structures
  • Gamification and instant rewards: Transforming simple point systems into dynamic, engaging customer journeys
  • Budget efficiency: Leveraging analytics to allocate budgets more effectively across channels and customer segments

Beyond theory: Transforming a QSR loyalty program for millions of customers

Beyond theory: Transforming a QSR loyalty program for millions of customers



We transformed a legacy loyalty program into an AI-powered, cloud-native ecosystem that dynamically adapts to the evolving behavior of over 50 million customers. By migrating to Google Cloud and integrating cutting-edge AI and ML algorithms, our solution delivers for the company hyper-personalized, real-time rewards that not only boost engagement by 8% but also streamline loyalty budget allocation—reallocating more than 25% to the most profitable customers. This innovative approach slashed maintenance costs by 50% and empowers the brand to continuously optimize every customer touch point, ensuring each interaction drives both value and profitability.

The future of the QSR industry belongs to those who innovate

The future of the QSR industry belongs to those who innovate



The QSR industry is undergoing a digital transformation, and AI is the key differentiator that will separate the leaders from the laggards. By embracing data intelligence, customer-centric personalization and AI-powered automation, QSR brands can drive efficiency, enhance customer satisfaction and unlock new revenue streams.

 

The right solution brings all these elements together in one seamless platform, and our platform, Personalize.AI, is designed to do just that. With intuitive, user-friendly interfaces built for nontechnical users, decision-makers no longer need analysts to interpret complex data points. Instead, they gain direct access to actionable insights, empowering smarter, data-driven decisions.

 

By leveraging an AI platform like Personalize.AI, custom fit to the domain, QSR brands can create hyper-personalized experiences, build lasting customer loyalty and drive sustainable growth—turning everyday transactions into deeper, repeatable relationships.



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