Fast-food chains miss out on digital-savvy customers
Tabsquare.AI has developed a platform that helps them acquire and re-engage customers.
Diners are deciding where to eat well before they step inside a restaurant, a trend that’s catching many operators off guard.
“Clearly, there is a shift in diner preferences,” Sameer Kaushik, vice president of business development for the Asia-Pacific at TabSquare.AI, told the QSR Media Asia TabSquare Conference & Awards 2025 in Singapore.
“Today, people decide where they want to dine much earlier. Even inflation and rising costs, which limit what diners can be charged, are contributing factors,” he added.
Online menus, delivery apps, and reservation systems have made it easier for diners to explore options and make decisions from the comfort of their homes or workplaces. Many operators struggle to adapt to this shift in the absence of an optimized online presence and effective digital marketing.
Kaushik cited what happened in Singapore last year, when more than 3,000 restaurants closed partly due to a labor shortage and stiff competition.
After speaking with more than 500 restaurant operators, TabSquare found that most were concerned about attracting more customers.
To address this, TabSquare developed MunchMate, an artificial intelligence (AI)-powered consumer marketing platform that targets diners with personalised offers.
Kaushik said the tool uses more than 100 data signals such as spending patterns and dining habits. The result is a higher likelihood of returning customers and more tailored promotions.
“With this, we can precisely target consumers who are more likely to return to your restaurants,” he said. For example, if a customer rarely orders beverages, they could get a free drink offer, or if they typically order a main dish only, they can be presented with a combo upgrade.
TabSquare is pilot-testing MunchMate with several clients across the region and reports early gains, including a 30x return on existing diners and a 15x return on new customers.
A diner-facing version of the platform is also being developed to help users discover restaurants and promos aligned with their preferences, Kaushik said.
