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Even as economic transactions evolve to become increasingly cashless, there are still a few places where it’s nice to have money—the ice cream truck, a farmer’s market, and fast-food chains with dollar menus. In a way, McDonald’s is the perfect place to spend the last few bills burning a hole in your pocket. And now, it’s gotten a little bit easier.

McDonald’s recently introduced self-service kiosks that accept cash and provide change, a marked improvement from current devices that require credit card payments. The devices currently are available only in a handful of locations; they are optional for franchised stores. As they get more widely implemented in locations across the country though, screens behind the counter will be modified as well, to encourage customers to order at kiosks.

The shift to digital orders has been hastened by recent customer service data, showing that self-service models are often more efficient. Because it takes less time to place an order, they support more frequent visits. The screens also consistently offer well-placed suggestions, resulting in more add-ons per order. Furthermore, customers are already accustomed to the process, considering that online orders through phone apps and delivery services make up around 40 percent of McDonald’s sales. Thus, customers likely will find the kiosks beneficial, though others might reject the additional burden imposed on them by the retailer, which forces them to take on yet another role.

The embrace of kiosks also could reflect a less savory motivation. In this view, McDonald’s installation of self-service machines represents a response to union demands. Higher minimum wages established in various states have forced corporations to pay their workers more, prompting some of them to explore non-human service options. For example, California’s minimum wage for fast food workers has reached $20 per hour. Rejecting such allegations, McDonald’s has committed to reassigning cashiers to other roles, including bringing food to customers who order digitally or entering new “guest experience lead” roles, to assist consumers with any technical difficulties that might arise.

These and other new roles also might become increasingly necessary. Implementing the kiosks will add some potentially unforeseen complexities, in that the restaurants’ supply chains will need to expand to support mobile ordering and delivery, together with traditional service interactions and self-service options. Thus, more employees might be assigned to preventing customer errors or shoplifting, both of which typically increase with the use of self-checkout models.

Discussion Questions

  1. What other industries might replace customer-facing service roles with digital models? Which industries should not? Why?
  2. What are some advantages and disadvantages of implementing a self-service checkout model in fast food? Is the effort worthwhile?

Sources: Daniela Sirtori, “McDonald’s Rolls Out Kiosks that Take Cash, Pushing Diners away From Cashiers,” The Economic Times, September 11, 2024; Nathaniel Meyersohn, “McDonald’s Touchscreen Kiosks Were Feared as Job Killers. Instead, Something Surprising Happened,” CNN, September 20, 2024; Taylor Herzlich, “McDonald’s Rolls Out Self-Serve Cash Kiosks That Could Make Human Cashiers Obsolete,” New York Post, September 11, 2024