News Bites – August 2025
GoTo Foods Partners with Wing and DoorDash to Pilot Drone Delivery in Texas
GoTo Foods partnered with Wing and DoorDash to test drone delivery services starting in June, now operational in Texas. Participating brands—Auntie Anne’s, Jamba, McAlister’s Deli, and Schlotzsky’s—offer drone deliveries in three markets. Deliveries target customers within a four-mile radius, enhancing convenience and modernizing experiences. Moreover, the trend of drone delivery is growing, with restaurants like Wendy’s, Chick-fil-A, Chipotle, and Jersey Mike’s exploring this technology.
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Consumers Demand Tech Efficiency: 80% Weigh It Heavily in QSR Decisions
The “2025 Restaurant Tech Report” by Canopy reveals technology heavily influences quick-service restaurant choices for four out of five consumers. Self-service kiosks attract frequent users with quick ordering, customization, and greater accuracy, though 80% have reported issues. Although AI drive-thrus offer good experiences, misunderstandings and upselling problems persist with 30% of orders still facing errors. Payment tech issues affect 76% of customers, leading to a preference for digital wallets due to speed and reliability.
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Chipotle Implements Drone Deliveries in Texas with New Zipotle Service
Chipotle launched “Zipotle” delivery in Rowlett, Texas, using Zipline drones, offering guests convenient food access in challenging areas. The autonomous “Zips” pick up orders from a “Zipping Point” and deliver them, even to locations like backyards or parks. Currently supporting up to 5.5-pound orders, this system aims to eventually manage eight pounds. Operating from 12 to 8 p.m. initially, the service intends to enhance delivery efficiency and environmental impact.
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Restaurant Prices Surge: July Sees Full-Service Menu Prices Outpace Inflation
In July, the Consumer Price Index rose 0.2% monthly and 2.7% annually, with restaurant prices outpacing grocery prices. Restaurant pricing increased 3.9% over 12 months, driven by 4.4% in full-service and 3.3% in limited-service sectors. July’s gap between grocery and restaurant inflation widened, impacting restaurant sales trends, with costs expected to persist. So, the industry faces tough decisions on pricing and profitability amidst prolonged inflationary pressures and upcoming tariffs.
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Automation Advances as CAVA Invests Alongside Chipotle in Hyphen Technology
CAVA invested $5 million, with another $5 million commitment, in Hyphen to automate digital orders, joining Chipotle’s $15 million stake. CAVA’s first investment aims to test automation, enhancing order accuracy and speed without replacing human roles. Hyphen’s technology builds digital orders using robotics, boosting efficiency and guest experiences. The funding will expand Hyphen’s automated makeline across the country to support operational excellence in fast-casual dining.
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Check out last month’s news bites: News Bites – July 2025!