Applebee’s and IHOP Introduce AI Personalization to Enhance Customer Experience
Applebee’s and IHOP are preparing to roll out AI-powered personalization tools aimed at revolutionizing how customers interact with their menus. By analyzing past purchases and user behavior, the new system will recommend customized food items and exclusive deals. This move follows a growing trend among restaurant chains to use artificial intelligence to improve service quality, increase upselling, and enhance customer retention. As restaurants seek to modernize and stay competitive, introducing AI in dining experiences may soon become the industry standard.
AI personalization tools change the dining game
Dine Brands, the parent company behind Applebee’s and IHOP, is taking a bold step forward by adopting an AI personalization engine. This system leverages machine learning algorithms to understand customers’ previous orders and the preferences of similar diners, allowing restaurants to deliver menu suggestions tailored to individual tastes. The ultimate goal is to drive customer engagement and increase average order value through strategic upselling.
Unlike gimmicky tech fads or one-time viral campaigns, this AI engine builds lasting customer relationships. IHOP already collects valuable user data through its loyalty program, and this system will turn that information into actionable insights. Whether it’s a regular craving for pancakes or a preference for gluten-free options, the AI can fine-tune its suggestions accordingly. This not only simplifies decision-making for the customer but also strengthens brand loyalty.
Restaurant chains tap into AI for smarter service
Applebee’s and IHOP aren't alone in this digital evolution. Fast-food giants like Wendy’s, Taco Bell, and McDonald’s have already begun deploying AI across drive-thrus and kiosks. Wendy’s AI chatbot takes customer orders with minimal human involvement, while McDonald’s has reactivated plans to integrate AI at drive-thru lanes. Taco Bell, not to be left behind, plans to introduce “Voice AI” to over 100 drive-thru locations, demonstrating just how rapidly AI is becoming part of the mainstream dining experience.
What sets Dine Brands apart is its holistic approach. Beyond customer-facing features, they’re exploring AI tools for internal operations. From smart cameras that alert staff when tables need cleaning to an AI app that assists restaurant managers in real-time decision-making, AI is helping streamline service behind the scenes. This dual-focus strategy positions Applebee’s and IHOP as leaders in tech-forward dining, creating a smarter, more responsive experience for both customers and staff.
AI personalization and the future of restaurant loyalty
Loyalty is no longer just about reward points—it’s about relevance. AI personalization enables Applebee’s and IHOP to create truly meaningful interactions with their guests. Instead of offering generic deals, customers could receive time-sensitive offers based on their dining history, location, and dietary preferences. This creates a sense of individual attention and care, which can lead to increased frequency of visits and higher lifetime customer value.
From a business perspective, implementing AI personalization tools means better targeting, higher conversion rates, and more efficient marketing spend. It allows restaurants to anticipate demand, optimize menu offerings, and reduce waste. More importantly, it builds trust by showing customers that their preferences are understood and valued. As diners begin to expect this level of customization, restaurants that fail to adapt may find themselves left behind.
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