Aug 08, 2025
4 MIN READ

Weathering the Storm: Why Customer Loyalty Beats Cost-Cutting

Originally published in Nation’s Restaurant News

Amid today’s financial headwinds, restaurants across the spectrum—from quick-service establishments to full-service venues—are facing challenges on multiple fronts: food costs continue climbing, labor expenses are at an all-time high, and the overall cost of doing business shows no signs of stabilizing.

These challenges aren’t occurring in a vacuum. As inflation impacts household budgets, consumers have become increasingly selective about their dining choices, and many are choosing to simply eat at home more frequently. The result is many QSRs have seen sales soften in late 2024 and into 2025.

The traditional response is understandable: reduce costs, adjust portions, introduce value meals. This approach offers immediate relief to the bottom line, but often comes at a cost — potentially compromising the very customer experience that builds long-term success.

Loyalty is the real growth driver

In our work with QSRs, we’re seeing that most forward-thinking restaurants are shifting beyond cost management to focus on maximizing value from their existing customer base. In fact, 52% of QSRs reported to Nation’s Restaurant News that increasing customer frequency is their top priority this year.

But how do restaurants boost frequency?

By building genuine loyalty. While traditional loyalty programs still have their place, what drives customer commitment is evolving rapidly. Generations from Gen Z through Millennials and beyond are prioritizing speed and convenience above traditional perks. They’re looking for effortless ordering, quick service, and a frictionless experience from start to finish.

Customer experience drives growth

Technology is playing an important role in improving speed and convenience, from self-serve kiosks to mobile apps to computer vision technology that optimizes drive-thru efficiency. At SoundHound AI, we’re seeing increases in customer satisfaction scores (CSATs) through our customers’ deployment of AI agents.

A leading retail market-style food chain, a new SoundHound AI customer, recently saw an increase in CSAT scores of 15% after only two weeks of using our voice AI for phone ordering. Drive-thrus are seeing an 11% increase in service speed, according to internal SoundHound benchmarking, while simultaneously improving order accuracy.

Customer experience has become paramount to drive up CSAT scores and increase loyalty. It’s worth noting that restaurants today aren’t just competing with their traditional rivals. They’re being measured against the instant gratification offered by technology leaders like Netflix and Amazon. Long wait times, order inaccuracies, and inconsistent service can significantly impact customer satisfaction scores.

Voice AI addresses these challenges directly—processing orders more efficiently, capturing details with consistent accuracy, and ensuring calls are answered promptly every time.

Voice commerce Is coming

Imagine this scenario: You’re navigating traffic after a long day, and you’re thinking about that Double Smashburger with the perfect combination of toppings. You’d prefer not to wait in line or navigate a mobile app. You simply want to place an order and pick it up with minimal effort. It’s the kind of moment voice commerce is built for.

Voice commerce gives restaurants like yours a chance to engage customers while they’re still on the move. It lets drivers order directly from the in-car voice assistant and make payment through a saved account; the assistant then guides them to your restaurant using the voice navigation system. We’re talking about reaching people at the exact point they’re thinking, “What should I eat?”—and making it effortless for them to place an order without even touching their phone.

This isn’t speculative technology. Our recent study reveals that 77% of regular food orderers would prefer using voice commerce over traditional drive-thru experiences. This means they’re not just open to this idea—they’re already asking for it.

This is the type of experience that will drive up net new revenue and escalate return visits.

The speed and convenience mandate

The strategic imperative is clear: optimize for speed and convenience at every customer touchpoint. Brands that successfully deploy technology to eliminate friction, reduce wait times, and enhance accuracy will capture disproportionate market share, even in constrained economic conditions.

An important insight for established brands: While your culinary excellence and brand heritage remain vital assets, they increasingly matter most after you’ve delivered on the fundamental expectations of speed and convenience.

As we navigate these challenges together, the question isn’t whether technology will transform the restaurant experience—it’s which restaurants will lead the transformation and reap the rewards of increased customer loyalty, frequency, and revenue growth.

For more insights on navigating these challenges and to learn about our upcoming plans for voice commerce, I invite you to explore our Restaurant Solutions page and schedule a consultation with one of our voice AI specialists.

Ben Bellettini is SVP of Sales, Restaurants, at SoundHound AI, leading all merchant customer facing functions. With over 15 years of sales leadership, predominantly serving restaurant and retail verticals at companies like Yelp and Postmates, he is dedicated to the growth of SoundHound AI’s evolving Restaurants business. He aims to accelerate the deployment of technology and innovation that changes how consumers engage with businesses. Ben earned his bachelor’s degree in communications from Saint Mary’s College.

Interested in Learning More?

Subscribe today to stay informed and get regular updates from SoundHound Inc.

Subscription Form Horizontal