The start-up company Hi Auto, which developed pioneering AI-based voice technology for the quick service restaurant (QSR) industry, has announced the completion of a $15 million Series A funding round. The round was led by Delek Motors, the Zisapel family, the Vasuki technology investment fund, and a strategic investor from the restaurant industry. Following the round, Hi Auto has raised a total of $23 million since its founding.
The company says that Hi Auto’s cloud-based service platform (SaaS) "automates the ordering process in drive-thru restaurants and provides 96% accuracy in orders, with a completion rate of over 90% without employee intervention. In a period when labor costs are soaring, especially in California, which has set a $20 per hour minimum wage for fast food workers, drive-thru restaurant managers are making every effort to maintain speed, accuracy, and profitability."
"70% of fast food restaurant revenues in the United States with drive-thru originate from the drive-thru. Hi Auto’s AI system frees employees to focus on other high-value tasks such as food preparation and improving the customer experience. The solution integrates with existing sound systems and point-of-sale systems at drive-thru restaurants, and this capability has accelerated installations in leading chains," the company added.
Roy Beharav, co-founder and CEO of Hi Auto, said: "The rising cost of labor and high turnover continue to make restaurant operations challenging, creating bottlenecks and impacting service quality. Our AI-based ordering system operates non-stop at the level of a skilled worker – one who never misses work due to illness, provides near-perfect accuracy, and always offers upgrades and add-ons to customers. This funding will allow us to expand our market share and improve the product at a time when we are signing agreements with leading brands in the fast food industry."
Hi Auto’s client list includes top brands like Bojangles, Checkers & Rally's, Lee's Famous Recipe Chicken, Popeyes UK, and Burger King in New Zealand. Additionally, Hi Auto is conducting paid trials with several leading fast food chains to strengthen its market position.
Dynamic Ability to Offer Upgrades and Add-Ons that Increase Revenue
"One of the standout features of Hi Auto’s technology is its dynamic ability to upsell orders," the company says, adding that "the system’s algorithms recommend real-time add-ons and premium products based on factors such as stock levels, time of day, and weather. According to the company, these context-aware 'nudges' help increase the average order size at restaurants, making the AI system not just a tool for saving time but also a driver for revenue growth."
Regarding this, the CEO said: "The system determines which products to promote and when, whether it’s a lunch in a busy urban restaurant or a late-night meal in a quiet suburb. We are seeing an increase in revenue from customers, which positively impacts the bottom line of fast food restaurants. Previous attempts to develop a widely deployed AI-based ordering system in the restaurant industry have failed. Our focus on real-world conditions, such as complex menus, the interface between the employee and AI, and the customer experience, has allowed us to solve problems that alternative solutions couldn’t handle. Our goal is to become the default solution for voice ordering systems in fast food restaurants worldwide."