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News / Business

McDonald’s plans touch-screen order kiosks

Burger chain to add table service in its ‘experience of future’

By Samantha Bomkamp, Chicago Tribune
Published: November 18, 2016, 5:31pm

NEW YORK — McDonald’s on Thursday announced a bold plan to roll out its “experience of the future” concept, including kiosk ordering and table service, to restaurants in Chicago and other big U.S. cities in an effort to better compete with “better burger” rivals.

The burger chain has nearly 500 redesigned restaurants around the country so far.

The world’s largest burger chain will first focus the rollout in its hometown of Chicago and a handful of other big U.S. cities, including Boston and Washington, D.C.

But the company says it will eventually unveil the concept, which has already shown significant success in other countries like the U.K. and Australia, in all of its 14,000 U.S. restaurants. It didn’t offer a timeline or overall cost for the rollout.

“Food ordering is one of the most enjoyable moments at restaurants, but at McDonald’s that can be one of the most stressful moments,” CEO Steve Easterbrook said. The aim is to eliminate that frustration, while also bringing employees out from behind the counter to interact with customers.

With the ability to customize, upgrade and add-on items themselves, customers also tend to spend more per visit, Easterbrook said.

The plan to eventually redesign and upgrade all U.S. restaurants signals a significant change in the look and feel of eating at McDonald’s, and it also brings a great deal of risk.

The ambitious remodeling effort was announced by Easterbrook and other company executives Thursday morning at a redesigned restaurant in New York City.

The redesigns will include the option of ordering at a bank of kiosks, though counter service also will be available for those who are paying with cash or prefer not to use the touch-screen machines.

After using a kiosk, a customer takes a Bluetooth-enabled number placard to a table where an employee brings the food. Customers can pay at the kiosks using a credit or debit card, or Apple or Android pay.

The changes will be funded in large part by the franchisees that operate McDonald’s restaurants, but the company said it will contribute in some ways as well.

It’s not clear exactly how much the remodels will cost, and the price will vary depending on what technology the restaurant currently offers. Ordering kiosks alone can cost $60,000.

Incoming McDonald’s U.S. President Chris Kempczinski said that while the plan is significant, he also promised further improvements in food quality and promotions like all-day breakfast, which have been the driver of more than a year of improving sales at the chain.

“It’s a great start, a significant step forward, but it’s also a sign of things to come,” he said.

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