Wendy’s to expand AI-powered drive-thrus, digital kiosks

NORTH AMERICA – QSR giant Wendy’s has announced plans to fast-track the rollout of digital kiosks, digital menu boards, and drive-thru AI voice technology, President and CEO Kirk Tanner announced during an earnings call on February 13.

In 2024, Wendy’s expanded its digital strategy by installing digital menu boards in more than 300 company-owned and franchised locations, while voice-enabled AI technology was integrated into approximately 100 restaurants.

The brand has consistently explored advanced solutions, from chatbots to underground robotics and machine learning, to enhance operational efficiency.

Its drive-thru AI initiative, first launched in 2023, was extended to franchisees the following year.

Last year, Wendy’s allocated over US$53 million toward its digital transformation.

The adoption of digital menu boards, AI voice technology, and self-service kiosks has streamlined ordering processes and allowed crew members to focus on other essential tasks.

Looking ahead to 2025, the company plans to raise capital expenditures to between US$100 million and US$110 million, focusing on global restaurant expansion and further technological enhancements aimed at improving customer experience, increasing loyalty, and optimizing efficiency, according to CFO Ken Cook.

Strengthening its mobile platform has also contributed to significant digital growth. Year-over-year digital sales surged nearly 40%, while the digital sales mix increased by 130 basis points to 19% in the fourth quarter compared to the previous quarter.

Additionally, loyalty membership saw a 25% rise from the previous year, reaching 46 million members.

Wendy’s digital strategy aligns with its 2025 goals, which include driving menu innovation, offering greater value, and strengthening customer loyalty.

CEO Kirk Tanner emphasized that combining innovation, marketing, and execution capabilities will help achieve a seamless customer experience.

He highlighted the company’s commitment to operational excellence by enforcing clear standards, consistency, and accountability across all locations.

To support franchisees and restaurant teams, Wendy’s will invest in additional field resources, further enhancing service quality and boosting restaurant-level margins.

More details on these investments will be disclosed during an investor day on March 6.

This earnings update follows the company’s recent announcement of plans to expand its presence in high-growth categories such as chicken and beverages, reinforce its value-driven Biggie Bag platform, and strengthen engagement with loyalty members.

Additionally, Wendy’s intends to invest in breakfast menu innovation to sustain sales momentum.

By the end of 2024, Wendy’s reported same-store sales growth of 4.1% in the U.S., with a 0.9% increase in the fourth quarter.

The brand outperformed the quick-service restaurant burger category in both traffic and dollar growth, reinforcing its competitive position in the market.

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