From Manual Notes to AI: How Bikky is Changing the Restaurant Game
In a recent episode of The Restaurant Report, host Paul welcomed Abhinav Kapur, founder and CEO of Bikky, a customer data platform serving brands like Bojangles, Dave's Hot Chicken, and Eggs Up Grill. Kapur shared insights on how restaurants can leverage data and AI to improve operations and customer relationships. The origin story is compelling – Kapur's journey began seven years ago when he observed his mother-in-law, a restaurant operator, manually recording customer information and struggling to understand the impact of promotions on guest behavior.
Bikky's platform addresses a fundamental challenge in the industry: tracking the customer journey by consolidating data from various sources like point-of-sale systems, online ordering platforms, and reservation systems. This comprehensive view enables restaurants to measure the effectiveness of marketing promotions and menu changes not just through top-line sales, but through specific metrics like traffic, frequency, and customer retention. Kapur revealed that typically 80% of guests never return after their first visit, while the 20% who do come back generate between 50-75% of a brand's revenue.
When discussing AI's potential in restaurants, Kapur cautioned against expecting immediate game-changing applications. He suggested that initial adoption would likely focus on automating low-hanging fruit – mundane tasks that pull operators away from their core mission of delivering excellent food and guest experiences. For example, AI could help manage review responses or handle voice ordering, freeing staff to focus on in-restaurant experiences. Kapur noted that technology adoption in restaurants is typically consumer-driven, as seen during the pandemic when digital ordering surged and restaurants had to adapt quickly.
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The conversation turned to operational innovation, with Kapur acknowledging the potential for AI and automation to improve restaurant economics. He referenced Sweetgreen's "Infinite Kitchen" concept, which delivers significantly better store-level margins (25% versus 18% for traditional stores) through automation and design optimization. This trend toward smaller footprints with greater throughput capacity could reshape how restaurants look and operate in the future, especially as off-premise dining continues to dominate at around 70% of business.
On industry trends, Kapur offered a nuanced view of the casual dining segment's recent performance. While some brands like Chili's and Red Robin have shown surprising upswings, he noted that the broader casual dining sector remains challenged, just "less negative" than before. Fast casual and QSR concepts, meanwhile, are experiencing positive low to mid-single-digit traffic growth. The squeeze on casual dining comes from fast casual offering similar food quality at lower prices, while QSR delivers convenience.
Looking ahead, Kapur emphasized that AI will make data insights more accessible and actionable for busy operators. "Everything with what AI will do generally speaking is make insights more accessible," he explained, suggesting that even restaurant owners without data expertise will be able to harness their information more effectively. This democratization of data could help more restaurants execute the timeless formula for success that Kapur identified: great value, great food, and great marketing.
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