Hi-Tech Without Hi-Touch

A new report in Business Insider finds that maybe the halo has been broken. Mobile ordering is expected to be a $38 billion industry by 2020, accounting for more than 10 percent of total fast-food sales, according to a "BI Intelligence" report. And while supermarkets have rushed to add mobile ordering for their delis and grocerants, perhaps it's time to take more of a wait-and-see approach. 

In January, Starbucks reported that the number of transactions in its stores dropped 2 percent in the most recent quarter, in large part due to problems caused by mobile ordering. Starbucks recently admitted, according to BI, that some of its customers say they have walked out of stores after seeing the crowds waiting for mobile pickups. 

Customer complaints about wait times averaging 20 to 30 minutes forced Chipotle to invest in a new system to fulfill online orders, which the company rolled out in late February. Shake Shack, reports that the influx of app orders can have a "slowdown impact" at its busiest locations at peak hours. Sweetgreen was once forced to email customers who had ordered from a New York City location to say that mobile orders had been delayed by roughly 15 minutes.  

McDonald's announced it would launch mobile order-and-pay technology in all 14,000 of its U.S. restaurants by the fourth quarter of this year, a major change that the chain is hoping will give its traffic a much needed boost -- or not! 

BI goes on to correctly point out that “if chains want mobile ordering to succeed, it isn't as simple as just adding an app. These chains will need to create an entirely new ordering experience, inside and outside of the store." Mobile food for thought.