6 Ways Cafe’s Can Apply AI to Increase Their Value

by Vanessa Lovie 15th of February, 2024
6 Ways Cafe’s Can Apply AI to Increase Their Value
6 Ways Cafe’s Can Apply AI to Increase Their Value

With over 2,000 cafes for sale in Australia, a competitive advangage is important. In the next 5 years Artifical Intelligence (AI) is going to change the way most businesses operate, there has not been such a huge shift in technology since the internet. Business owners need to be prepared for that shift and now is the time to embrace the technology and see how it can work at their cafe.

As you know, the more profitable a cafe is, the better value it can receive when it is time to sell. AI can help you to drive that profitability and access resources that previously would only have been availabe to large companies. 

Customer Service and Engagement


Chatbots: Implement AI-powered chatbots to your cafe's website or social media platforms. These chatbots can handle customer inquiries, take orders, provide menu recommendations, and offer customer support outside of business hours. They can also setup up bookings and manage orders. This reduces the pressure on staff and help to streamline the busiest time of your day. 

Personalized Marketing: Use AI to analyze customer data and preferences to create personalized marketing campaigns. This could include personalized emails, targeted social media ads, or customized offers and discounts. The more you know about your clientele the better you can engage with them.

Inventory Management

Demand Forecasting: AI can predict future sales trends based on historical data, weather, local events, and more. This helps in efficient inventory management, ensuring that the cafe has the right amount of stock at the right time. Say for instance you have a yearly event in your town and the population increases, AI can help you prepare for this and automatically order the necessaery supplies. 

Automated Ordering Systems: AI can automate the reordering process for essential items, reducing the risk of running out of stock and saving time on manual inventory checks. It also reduces the wages in paying staff to run stocktakes and manage inventory. 

Operational Efficiency

Kitchen Automation: Some cafes are experimenting with AI-driven tools in the kitchen, such as automated coffee machines that learn customers' preferences over time. There is alot of development happening with machine learning and creating ways to reduce the manual labour. 

Employee Scheduling: AI tools can analyze peak times and staff availability to optimize work schedules, ensuring the cafe is adequately staffed during busy periods while controlling labor costs. They can help to create rosters and notify employees of changes. 


Sales and Customer Analytics

Sales Data Analysis: Use AI to analyze sales data to understand popular items, peak times, and customer preferences. This information can guide menu adjustments, pricing strategies, and promotional activities. Its important to know which items on your menu are making you the most profit, and which are not working. It can also be used when analysing new suppliers and working out the profit margin of new products. 

Customer Feedback Analysis: AI can analyze customer feedback from various sources, like online reviews and social media, providing insights into customer satisfaction and areas for improvement. It can collect responses, and give you a guide forward. 

Enhancing Customer Experience

AI-Enabled Ordering Kiosks: Implement self-service kiosks that use AI to guide customers through the ordering process, provide recommendations, and upsell products. Increasingly consumers was an easy and smooth process, 

Loyalty Programs: Use AI to tailor loyalty programs to individual customer preferences, encouraging repeat business and increased customer loyalty.

Smart Energy Management

Energy Usage Optimization: Utilize AI for managing energy consumption more efficiently, such as smart thermostats and lighting systems, to reduce overhead costs.

In 2024 if you work on implementing some of this AI technology into your cafe then it could be in a better position when its time to sell. Buyers want a business that is profitable and easy to manage. AI can help your cafe be more effecient, profitable and scalable. 

Whilst AI can help you to understand your cafe better and streamline activities, it is still a business that requires good food, coffee and hospitality. So it will never be void of the human touch. 

Tags: selling exit strategy tips

About the author

Vanessa Lovie

CEO Bsale Australia

Vanessa is the current manager and CEO of Bsale Australia. Over the past 11 years as a business owner, she understands what it takes to grow a ...

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