Shake Shack Kiosk News
Click for full image of Shake Shack iPad Kiosk
In the analyst call from November 2022 Shake Shack management noted that given the results so far, they plan on expanding self-order kiosks to fully 100% of their restaurants. In 2023, the fast-casual anticipates 65–70 total openings, about 40 of which will be corporate run. Noted on QSRmagazine. Shareholder Letter explains it all. Worth noting Shake Shack originally contemplated going “cashless”, but decided not to. See related post below.
In Brief Summary
- iPad tablet on counter
- Compare to Panera implementation
- Currently 6 drive-thrus with another 3-4 planned.
- 10-15 new drive thrus in 2023
- 177 licensed SS globally
- Figure 30 more in 2023
- Food and Paper biggest expense
- Strong international base
- Raised prices 2%
- While our sales have continued to grow, we are not staffed to optimal levels, which is impacting our ability to be open full hours consistently in all channels. It is also weighing on our throughput. Investments in our Team Members and added training and retention initiatives are a key priority, as is streamlining work in the Shacks. As one example, we are bringing digital kiosks, our highest margin channel, to all Shacks by the end of 2023.
Excerpt
CFO Kate Fogertey said kiosks are Shake Shack’s most profitable channel and produce the highest in-store checks. Units with kiosks also boast better labor utilization rates than those without.
By the end of 2022, about 20–30 existing stores will have added kiosks, leaving 60–70 in line for 2023.
Broadly, Fogertey said, kiosks represent a “really great lever” for Shake Shack to lean on to help streamline labor and address the front-of-house opportunity. She added a good portion of guests prefer them over traditional cashiers when given the choice. In many locations, Shake Shack has five or six kiosks alongside one or two cash registers. “And you see a number of people … instantly go toward the kiosk,” Fogertey said. “If you haven’t used one before, I highly encourage you do.”
Beyond labor, customers appreciate the ability to sit with the menu and page through, she noted. Shake Shack sees that translate through orders as they tack on premium offerings. Guests will view LTOs and navigate order flow with upsell throughout. “We’re having a burger, we’re going to have our shake and our fry and our lemonade,” Fogertey said. “And they can visually see all of that.”
More Posts
- Shake Shack Not Going Cashless After All(Opens in a new browser tab)
- POS SDK Square – With New SDK, Square Wants to Open New Scenarios for POS | PCMag.com(Opens in a new browser tab)
- Food Kiosk – Chicken Shack Deploys Order Kiosks(Opens in a new browser tab)
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