1851

<a href="https://www.yum.com/wps/portal/yumbrands/Yumbrands?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Yum! Brands</a>, parent company to <a href="https://www.kfc.com/franchising?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">KFC</a>, <a href="https://franchise.pizzahut.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Pizza Hut</a>, <a href="http://www.tacobellfranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Taco Bell</a> and <a href="https://www.habitburger.com/franchise/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Habit Burger Grill</a>, recently announced its plans to <a href="https://www.yum.com/wps/portal/yumbrands/Yumbrands/news/press-releases/yum+brands+undertakes+to+acquire+dragontail+systems%2C+an+innovator+in+kitchen+order+management+and+delivery+technology?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">acquire</a> technology solutions company Dragontail Systems Limited for $72.5 million. This deal is the latest in a series of moves Yum! Brands is taking to establish digital supremacy in the quick service restaurant space.<a href="https://www.dragontail.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Dragontail Systems Limited</a> manages and optimizes the entire QSR process from food preparation all the way to delivery to a customer. Its AI component automates kitchen flow, dispatches delivery drivers, works with third-party delivery partners and allows customers to track their orders.“With Dragontail, we expect to tap into the power of AI to accelerate and further enhance our delivery technology capabilities, especially at Pizza Hut, and optimize the end-to-end food preparation process,” said Yum! CFO <a href="https://www.linkedin.com/in/christopher-turner-192239112?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Chris Turner</a> in the company’s press release.Dragontail’s technology is already operating in 1,500 Pizza Hut locations in 10 countries, and Yum! Brands eventually plans to have it in all brand stores worldwide. This is the third acquisition in three months for the restaurant operator. In March, Yum! Brands announced it would be <a href="https://www.yum.com/wps/portal/yumbrands/Yumbrands/news/press-releases/yum+brands+to+acquire+kvantums+leading+artificial+intelligence-based+consumer+insights+and+marketing+performance+analytics+business?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">acquiring Kvantum</a>, an AI-based consumer insights and marketing performance analytics company. Just a few weeks later, Yum! Brands announced it had also acquired omnichannel ordering and marketing platform <a href="https://www.businesswire.com/news/home/20210324005416/en/Yum%21-Brands-to-Acquire-Leading-Omnichannel-Ordering-and-Marketing-Platform-Company?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Tictuk Technologies</a>.Many other QSR brands are following suit in the quest for digital innovation, especially when it comes to machine learning and AI. Although consumer demand for convenience and speed was already increasing, the pandemic accelerated the need ten-fold.<a href="https://www.chick-fil-a.com/franchise?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Chick-fil-A</a> and <a href="https://www.mcdonalds.com/us/en-us/about-us/franchising/franchising-faq.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894#:~:text=The%20total%20investment%20necessary%20to,be%20paid%20to%20the%20franchisor." target="_blank" rel="nofollow">McDonald’s</a> are currently using Fingermark’s Eyecue technology to <a href="https://www.qsrmagazine.com/sponsored/ai-making-drive-thrus-more-efficient-ever-heres-how?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">analyze and improve their drive thru experience</a>. The platform uses machine learning to analyze trends, gather and display data, identify slowdowns and even suggest when it’s time to open a second window or send in extra personnel.<a href="https://www.restaurantbusinessonline.com/financing/artificial-intelligence-takes-hold-us-restaurants?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">McDonald’s also acquired Dynamic Yield</a> back in 2019, which uses insights such as the time of day, weather and busyness of the store to display or not display certain menu items. The result was higher average checks per customer.&nbsp;Since some customers still prefer to order over the phone no matter how sophisticated the app is, brands like <a href="https://biz.dominos.com/franchise/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Domino’s</a> and <a href="https://www.wingstop.com/own-a-wingstop?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Wingstop</a> are investing in <a href="https://www.restaurantbusinessonline.com/financing/dominos-works-keep-its-technology-edge?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">voice-activated ordering</a> to use voice-activated assistants like Amazon’s Alexa and Google’s Home to digitize that order taking process.These moves to make the ordering and delivery experience as fast and seamless as possible are not unfounded. Profits from digital orders have been steadily increasing over the past few years worldwide. Although there was an <a href="https://www.qsrmagazine.com/news/digital-orders-skyrocketed-124-percent-2020?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894#:~:text=Quick%20service%20digital%20orders%2C%20which,62%25%20of%20all%20digital%20orders." target="_blank" rel="nofollow">uptick in 2020 due to the pandemic</a>, those numbers aren’t expected to slow down any time soon.Looking at <a href="https://www.qsrmagazine.com/technology/yum-acquire-digital-ordering-company-dragontail-725-millionhttps://www.qsrmagazine.com/technology/yum-acquire-digital-ordering-company-dragontail-725-million?utm_source=1851franchise.com&utm_medium=article&utm_campaign=yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited-2715894" target="_blank" rel="nofollow">Yum! Brands specifically</a>, the company recorded an all-time high of $17 billion in digital sales for 2020. In Q1 of this year, digital sales hit another all-time high of $5 billion, with a 16% increase year over year in deliveries.As brands heavily invest in digital solutions, whether it's through a mobile app that tracks a customer’s location to get them to order ahead of time or a digital menu board that suggests higher-priced items, one thing is clear — the path to optimizing the customer journey and giving companies unparalleled insight into consumer behavior are deeply intertwined.

Yum! Brands Is on a Journey to Digital Supremacy With Latest Acquisition of Dragontail Systems Limited

1851 Franchise

QSR brands are investing heavily into AI and machine learning technologies to optimize customer experience and improve operations. 

yum-brands-is-on-a-journey-to-digital-supremacy-with-latest-acquisition-of-dragontail-systems-limited

Melting Pot

Photo of interior of Melting Pot restaurant

Lexington Herald Leader: This Restaurant Chain Eyes a Return to Lexington After 10 Years

melting-pot-return-to-lexington

Keke's Breakfast Cafe

Keke's Breakfast Cafe - John and Kimberly Ehrhard - 1851 Franchise

Empowering Leadership, One Pancake at a Time: How John and Kimberly Ehrhard Are Building a Franchise Legacy with Keke’s Breakfast Cafe

john-kimberly-ehrhard-kekes-franchise

Comfort Keepers

More Than a Caregiver: Loretta Smith's Support Extends to Fellow Caregivers, Clients and the Community

more-than-a-caregiver-loretta-smiths-support-extends-to-fellow-caregivers-clients-and-the-community

Photo of Melting Pot CEO John "JC" Crawford

Melting Pot Names New CEO, Celebrates 50th Anniversary With Continued Growth and Leadership Promotions

melting-pot-franchise-mid-year-2025

Layne's Chicken Fingers

Texas Layne’s Franchisee Secures Real Estate in Austin, Set To Open Early Next Year

texas-laynes-franchisee-secures-real-estate-in-austin-set-to-open-early-next-year

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Drone Delivery Takes Flight in QSR: The Future of Franchise Operations?

drone-delivery-takes-flight-in-qsr-the-future-of-franchise-operations

Chick-fil-A Tops Customer Satisfaction Rankings for 11th Year as Challenger Brands Gain Ground

chick-fil-a-tops-customer-satisfaction-rankings-for-11th-year-as-challenger-brands-gain-ground

Technomic Releases Annual Ranking of the Top 15 Fast-Food Chains in the U.S.

technomic-releases-annual-ranking-of-the-top-15-fast-food-chains-in-the-us

Rising Jobless Claims Could Signal Challenges — and Opportunities — for Franchising

rising-jobless-claims-affect-franchising

Hardee’s Lawsuit Highlights the Risk of Going Off-Model in Franchising

hardees-franchise-lawsuit-paradigm-investment-group

Hooters Leans Into Franchising With Closure of 30 Company-Owned Stores - Agg - 1851 Franchise

Hooters Leans Into Franchising With Closure of 30 Company-Owned Stores

hooters-franchise-model-company-owned-closures

The Ultimate Guide to Selling Franchises: How To Create a Strong Incentive

how-to-build-strong-incentives-to-attract-prospective-franchisees

How Vishal Juneja Turned a Family Tradition Into a Paris Baguette Franchise

How Vishal Juneja Turned a Family Tradition Into a Paris Baguette Franchise Built on Heart and Community

Yum! Brands Is on a Journey to Digital Supremacy With Latest Acquisition of Dragontail Systems Limited

MORE STORIES LIKE THIS