
How Restaurants Are Embracing AI to Drive Efficiency in 2025
Toast polled 755 restaurant-decision makers, here’s how those operators are feeling about AI in 2025.

Tessa ZuluagaAuthor


Menu Engineering Worksheet
Use this menu engineering worksheet, complete with intricate menu engineering formulas, to determine areas of strength and weakness in your restaurant's menu.
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Artificial intelligence is trending in every space, and the restaurant industry is clearly no exception. In 2025, AI has become more than a buzzword for restaurant operators —it’s a strategy. But the question isn’t if restaurants are looking to use AI; it’s how they’re incorporating it into their businesses and why.
The latest Toast data provides insights into how operators are thinking about AI. From automation to benchmarking, AI is the shiny new toy in the restaurant tech space.
From May 17, 2024, through June 2, 2024, Toast polled 755 restaurant decision-makers in the United States. Survey respondents consist of restaurants with 16 or fewer locations and include a representative market mix of quick-service restaurants (QSRs) and full-service restaurants (FSRs). While some Toast customers are included in this survey, it is a broad view of independent restaurants. This is a blind survey, meaning respondents did not know that Toast was fielding the study. Insights from this survey are directional and should not be interpreted as precise.
Key takeaways:
Operators are looking for ways to improve their business through using artificial intelligence (AI), which rose by 7 percentage points from last year.
Over half of restaurants are currently using or plan to use AI
Restaurants are most commonly using AI for optimizing menu performance
Smaller FSRs (29%) are utilizing AI for optimizing pricing more so than other segments
About 38% of restaurants say they are extremely likely to use benchmarking in the future
Small FSRs are significantly more interested in using AI for shift optimization, voice AI ordering, marketing assistance, and quoting wait times
About 70% of respondents said they are very or extremely interested in using AI to implement dynamic pricing
Let’s dive in.
2025 restaurant AI insights
The rising popularity of AI
Artificial intelligence (AI) is steadily transforming the restaurant industry.
Currently, over half of restaurants either use AI in their operations or plan to adopt it in the near future. This adoption has seen year-over-year growth of 7 percentage points, signaling that operators are increasingly exploring innovative solutions to address challenges. From optimizing labor schedules and inventory management to leveraging AI-driven marketing insights, restaurants are clearly tapping into this technology to stay competitive.
Think of AI as the ultimate sous chef, one that can analyze data faster than you can chop an onion. The possibilities are endless, and restaurants are diving in headfirst to see how this digital helper can whip up success.
How operators are using AI today
Restaurants most commonly use AI to optimize menu performance. According to Restaurant Online, the average customer only spends about 3 minutes looking at the menu. That’s barely enough time to decide between soup or salad, let alone scan through an extensive list of entrées. It’s crucial that restaurants make those three minutes count — and they’re looking to AI for help.
For example, AI can:
Identify poor-performing items to eliminate, helping limit food costs
Highlight more profitable items on a menu to draw attention to top moneymakers.
Create a system for regular menu analysis, ensuring offerings stay fresh and profitable.
To learn more about menu engineering, check out this article.
Smaller full-service restaurants (29%) are utilizing AI to optimize pricing more than other segments. Pricing changes and how “dynamic pricing” is defined can vary — from a happy hour for discounted drinks during typically slow periods, to full-scale menu changes that discount when demand is slower. Dynamic Pricing was defined in the survey as raising prices during times of high demand/foot traffic and lowering prices during times of slow demand/foot traffic.
It’s unclear how many restaurants will implement dynamic pricing that results in higher prices at certain hours, which could hurt their relationship with their guests and turn them off from the restaurant altogether. Currently, only 7% of restaurant operators surveyed said they offered some form of dynamic pricing, including lower-priced items for lunch vs. dinner and promotions like discounted drinks for happy hour.
AI can also analyze customer data to create personalized pricing through loyalty programs. This can help restaurants maintain profitability while offering promotions to price-sensitive customers. This approach to pricing can help restaurants reduce food waste, optimize inventory management, and aim to increase profit margins while maintaining customer satisfaction.
Areas operators are looking to use AI in the future
Restaurant operators are increasingly looking to AI solutions to streamline their operations and boost efficiency. Let’s get into where operators are focusing their AI efforts in the near future.
Automation
AI automation can help take day-to-day tasks off operators’ plates (figuratively, not literally… yet). Here are four areas where restaurants see opportunities for automation:
Inventory management - AI can track and project inventory levels and send alerts when it’s time to restock essentials.
Employee scheduling - AI can pick up on scheduling patterns and request offs to automate your weekly schedule.
Guest/customer management - AI can improve how restaurants interact with and understand their customers. For example, improving waiting lists so that they accurately predict wait times.
Upselling - AI can suggest common upsells on takeout/delivery apps to make larger order sizes. For example, “add on bacon to burger for an extra $2”.
These tasks add up quickly, and automation can save operators valuable time. This way, they can focus on running smooth, successful services.
Benchmarking
Having a firm grip on what is going on in the industry is essential to restaurant success. It’s vital to stay up to date with the current state of restaurant sales. Benchmarking is the process of comparing your business to industry averages. With 38% of restaurants indicating they are "extremely likely" to implement AI benchmarking tools in the future, this technology is becoming a crucial component of strategic planning.
Common goals for benchmarking include:
Improving costs - Compare food and labor costs to similar establishments.
Service quality - Analyze customer satisfaction and table turnover rates.
Operational efficiency - Assess kitchen workflows and peak performance times.
Data is only powerful if it's personal. Toast Benchmarking shows your performance compared to similar concepts in your area- so you can spot trends, keep an eye on the local competition, and get ahead.
By leveraging AI for both automation and benchmarking, restaurants can make more informed decisions and optimize their operations.
Areas small FSRs are looking to use AI in the future
Smaller full-service restaurants (FSRs) often face resource constraints that make operational efficiency critical. Here’s where small FSRs are focusing their AI efforts:
Shift optimization - AI-powered scheduling tools can analyze historical data, such as sales patterns and staffing needs, to create optimized schedules that reduce labor costs while preventing employee burnout.
Voice AI ordering - When staff can’t answer the phone, voice AI steps in. This technology can handle calls, take orders, book reservations, and answer FAQs seamlessly.
Marketing assistance - Limited budgets don’t have to mean limited impact. AI can analyze customer data to create targeted promotions, recommend personalized menu items, and craft engaging email campaigns.
Quoting wait times -AI takes the guesswork out of quoting wait times, ensuring customers aren’t left frustrated and hangry.
AI: Because running a restaurant is hard enough already
The future of restaurants lies in embracing tools that make operations smarter. AI empowers restaurant operators to focus on what they do best: providing exceptional dining experiences. By automating routine tasks and delivering actionable insights, it allows restaurateurs to reclaim their time, make informed decisions, and adapt quickly in a fast-paced industry.
Already a customer? Toast's new AI assistant, Sous Chef is here to help. Sous Chef is designed to save you time by quickly generating insights from your sales summary, product mix, and labor cost breakdown data. If you want to be a part of the early access group to test out this exciting new product, grab a time slot here.
Not a customer yet? No worries! Toast offers a suite of tools designed to streamline operations, improve efficiency, and grow your business. Learn more about how we’re empowering restaurants and request a free demo today.
Methodology
2024 Survey Methodology
1To help better understand the restaurant industry, Toast conducted a blind survey of 755 restaurant decision-makers operating 16 or fewer locations in the United States including both Toast and non-Toast customers from May 17, 2024 to June 2, 2024. Respondents include a mix of both full-service and quick-service restaurants. Respondents were not made aware that Toast was fielding the study. Panel providers granted incentives to restaurant respondents for participation. Using a standard margin of error calculation, at a confidence interval of 95%, the margin of error on average is +/- 4%.
2023 Survey Methodology
2To help better understand the restaurant industry, Toast conducted a blind survey of 847 restaurant decision-makers operating less than 15 locations in the United States including both Toast and non-Toast customers from May 26, 2023 to June 20, 2023. Respondents include a mix of both full-service and quick-service restaurants. Respondents were not made aware that Toast was fielding the study. Panel providers granted incentives to restaurant respondents for participation. Using a standard margin of error calculation, at a confidence interval of 95%, the margin of error on average is +/- 3%.Is this article helpful?
DISCLAIMER: This information is provided for general informational purposes only, and publication does not constitute an endorsement. Toast does not warrant the accuracy or completeness of any information, text, graphics, links, or other items contained within this content. Toast does not guarantee you will achieve any specific results if you follow any advice herein. It may be advisable for you to consult with a professional such as a lawyer, accountant, or business advisor for advice specific to your situation.
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