Contactless dining

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Contactless dining is a restaurant dine-in experience that allows a guest to view the menu, place orders, and make payments without interacting closely with a server or touching shared public surfaces. The form of dining has emerged in global popularity during the COVID-19 pandemic.

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It is enabled via technology such as near-field communication and QR codes, in which a restaurant customer scans a sticker to access the restaurant menu or payment system online.

While already commonplace in other countries such as China since 2013, [1] contactless dining has only recently gained popularity in the more service-based restaurant industry of the US, in which low-wage hourly employees receive tips from customers based on their service. [2]

Contactless dining has the benefits of quicker service, reducing contact between people, and higher margins from sales. [3] By removing the manual ordering and billing system, the model also decreases pressure on servers, helps restaurants increase operational efficiency, and improves the dining experience for customers. [4] This online ordering and payment system also allows customers to save their payment information and verify the accuracy of their order. [5]

History

In 2011, the Chinese payment platform Alipay launched a QR code payment method. [6] In 2013, the Chinese mobile application WeChat enabled users to accept payment with QR codes. [1] The feature only required vendors to print a QR code, which made the systems easy to adopt for restaurants. Restaurants could also enable customers to scan a QR code to order dishes directly through the menu on their phone. [7] In 2016, more than 600,000 restaurants in China supported payments via the Alipay App. [8] As of 2019, 93.2% of Chinese diners paid their restaurant bills through Alipay or WeChat Pay. [9]

In the US, QR codes have been offered as a method of accessing restaurant menus[ citation needed ] or are printed onto receipts for guests to scan and access an online survey. Starbucks has deployed NFC-enabled machines for payments. [10] However, a full system that enabled guests to place orders and make payments online while sitting at a restaurant table did not become more widely known until the COVID-19 pandemic in the US. The Centers for Disease Control and Prevention and other state restaurant associations encouraged the use of contactless payments and digital menus in their reopening guidelines for the pandemic. [11]

In January 2020, Indian tech startup Digital Waiter launched a contactless dining service in multiple countries starting from India. In April, India-based food delivery start-up Zomato introduced a contactless dining service with menu-viewing, ordering, and payment functionality. In May 2020, PayPal introduced contactless QR codes for payment for a range of countries. [12] Mobile ordering platform LevelUp partnered with point-of-sale provider Toast to accept QR codes for touchless pay in restaurants. [13] In July 2020, Coca-Cola launched a contactless pouring option for its drink dispensers that was adopted by Wendy's and Five Guys. [14] Small and medium-sized restaurants have since been experimenting with a range of similar systems to meet new public health guidelines. [15]

Technology and Use

Contactless dining typically consists of digitalized s menus, ordering, and payments, which represent each step of the traditional dine-in experience in which a restaurant guest needs to interact with a server or item. [16] Contactless dining systems can convert paper menus into QR code menus and also manage waitlists, as well as provide other services to restaurants.[ citation needed ] [17] By speeding up the payment process, contactless payments allows for shorter meal durations and additional guests to be seated during busy periods. [18]

Related Research Articles

<span class="mw-page-title-main">Point of sale</span> Time and place where a retail transaction is completed

The point of sale (POS) or point of purchase (POP) is the time and place at which a retail transaction is completed. At the point of sale, the merchant calculates the amount owed by the customer, indicates that amount, may prepare an invoice for the customer, and indicates the options for the customer to make payment. It is also the point at which a customer makes a payment to the merchant in exchange for goods or after provision of a service. After receiving payment, the merchant may issue a receipt for the transaction, which is usually printed but can also be dispensed with or sent electronically.

<span class="mw-page-title-main">Mobile payment</span> Payment services via a mobile device

Mobile payment, also referred to as mobile money, mobile money transfer and mobile wallet, is any of various payment processing services operated under financial regulations and performed from or via a mobile device. Instead of paying with cash, cheque, or credit card, a consumer can use a payment app on a mobile device to pay for a wide range of services and digital or hard goods. Although the concept of using non-coin-based currency systems has a long history, it is only in the 21st century that the technology to support such systems has become widely available.

<span class="mw-page-title-main">QR code</span> Type of matrix barcode

A QR code is a type of two-dimensional matrix barcode, invented in 1994, by Japanese company Denso Wave for labelling automobile parts. A QR code consists of black squares arranged in a square grid on a white background, including some fiducial markers, which can be read by an imaging device, such as a camera, and processed using Reed–Solomon error correction until the image can be appropriately interpreted. The required data are then extracted from patterns that are present in both the horizontal and the vertical components of the QR image.

<span class="mw-page-title-main">EZ-Link</span> Contactless smart card used in Singapore

The EZ-Link card is a rechargeable contactless smart card and electronic money system that is primarily used as a payment method for public transport such as bus and rail lines in Singapore. A standard EZ-Link card is a credit-card-sized stored-value contact-less smart-card that comes in a variety of colours, as well as limited edition designs. It is sold by TransitLink Pte Ltd, a subsidiary of the Land Transport Authority (LTA), and can be used on travel modes across Singapore, including the Mass Rapid Transit (MRT), the Light Rail Transit (LRT), public buses which are operated by SBS Transit, SMRT Buses, Tower Transit Singapore and Go-Ahead Singapore, as well as the Sentosa Express.

<span class="mw-page-title-main">NETS (company)</span> Singaporean electronic payment service provider

Network for Electronic Transfers, colloquially known as NETS, is a Singaporean electronic payment service provider. Founded in 1986 by a consortium of local banks, it aims to establish the debit network and drive the adoption of electronic payments in Singapore. It is owned by DBS Bank, OCBC Bank and United Overseas Bank (UOB).

Mobile ticketing is the process whereby customers order, pay for, obtain, and validate tickets using mobile phones. A mobile ticket contains a verification unique to the holder's phone. Mobile tickets reduce the production and distribution costs associated with paper-based ticketing for operators by transferring the burden to the customer, who is required to contribute the cost of the physical device (smartphone) and internet access to the process. As a result of these prerequisites, and in contrast to paper-based systems, mobile ticketing does not follow the principles of universal design.

Alipay is a third-party mobile and online payment platform, established in Hangzhou, China in February 2004 by Alibaba Group and its founder Jack Ma. In 2015, Alipay moved its headquarters to Pudong, Shanghai, although its parent company Ant Financial remains Hangzhou-based.

A payment processor is a system that enables financial transactions, commonly employed by a merchant, to handle transactions with customers from various channels such as credit cards and debit cards or bank accounts. They are usually broken down into two types: front-end and back-end.

The National Payments Corporation of India is an organization that operates retail payments and settlement systems in India. The organization is an initiative of the Reserve Bank of India (RBI) and Indian Banks’ Association (IBA) under the provisions of the Payment and Settlement Systems Act, 2007, for creating a robust Payment & Settlement Infrastructure in India.

An automated restaurant or robotic restaurant is a restaurant that uses robots to do tasks such as delivering food and drink to the tables and/or cooking the food.

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<span class="mw-page-title-main">GoPago</span>

GoPago was a cloud-based mobile payment platform with an integrated point of sale system, based in Pasadena, CA. GoPago's payment platform allows customers to purchase orders in advance of arriving at brick-and-mortar merchants and merchants to manage orders in real-time. In August 2012, GoPago released GoPago LIVE, an application-based tablet point of sale system, which are free to merchants. GoPago's mobile payments platform is cloud-based, which allows transactions processing without near-field communications or QR-code technologies. On December 11, 2013, Amazon reached an agreement with GoPago to buy a license to its technology and hire certain members of its engineering team. On December 20, 2013, mobile commerce company DoubleBeam acquired all of the assets of GoPago, including all customers, systems, products, brand name and IP portfolio. On February 20, 2015, DoubleBeam was acquired by Verifone, Inc, and GoPago was subsequently rebranded as Verifone Cloud POS.

WeChat Pay, officially referred to as Weixin Pay in China, is a mobile payment and digital wallet service by WeChat based in China that allows users to make mobile payments and online transactions. As of March 2016, WeChat Pay had over 300 million users. WeChat Pay reached 1.133 billion active users in 2023. WeChat Pay's main competitor in China and the market leader in online payments is Alibaba Group's Alipay. Alibaba company founder Jack Ma considered the red envelope feature to be a "Pearl Harbor moment", as it began to erode Alipay's historic dominance in the online payments industry in China, especially in peer-to-peer money transfer. The success prompted Alibaba to launch its own version of virtual red envelopes in its competing Laiwang service. Other competitors, Baidu Wallet and Sina Weibo, also launched similar features.

ChowNow is an online food ordering platform that connects customers with local restaurants. Christopher Webb and Eric Jaffe, American entrepreneurs, founded the company in 2011 with headquarters in Los Angeles, California.

<span class="mw-page-title-main">KakaoPay</span> Digital wallet service in South Korea

Kakao Pay is a mobile payment and digital wallet service by Kakao based in South Korea that allows users make mobile payments and online transactions. The service supports contactless payments using near-field communications and QR codes.

QR code payment is a contactless payment method where payment is performed by scanning a QR code from a mobile app. This is an alternative to doing electronic funds transfer at point of sale using a payment terminal. This avoids a lot of the infrastructure traditionally associated with electronic payments such as payment cards, payment networks, payment terminal and merchant accounts.

<span class="mw-page-title-main">Faster Payment System</span> Real-time gross settlement payment system in Hong Kong

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Presto is a technology platform for the restaurant industry developed by Redwood City-based E la Carte. The company targets the customer-facing technology market for full-service and quick-service restaurants. Their products consist of computer vision, speech recognition, AI, tabletop tablets, and server tablets. As of October 2019, customers include Applebee's, Chili's, Outback Steakhouse, Denny's, Checkers, and Red Lobster.

<span class="mw-page-title-main">Touch 'n Go eWallet</span> Malaysian e-wallet service

Touch 'n Go eWallet is a Malaysian digital wallet and online payment platform, established in Kuala Lumpur, Malaysia, in July 2017 as a joint venture between Touch 'n Go and Ant Financial. It allows users to make payments at over 280,000 merchant touch points via QR code; pay for tolls, street parking, payment on e-hailing, car-sharing apps or taxis via RFID or PayDirect; pay bills; top-up mobile prepaid; pay for purchases on e-commerce websites or apps; order food delivery; perform peer-to-peer money transfers; renew car insurance and purchase unique insurance plans; and purchase movie, bus, trains, and airline tickets.

<span class="mw-page-title-main">UnionPay (application)</span> Mobile payment application

The app of UnionPay is a mobile and online payment service, developed and operated by UnionPay, the national Chinese bank card clearing service. Launched in 2017, it was designed to compete with the existing third-party Chinese mobile payment platforms, Alibaba Group's Alipay and Tencent's WeChat Pay. The mobile app allows the user to add their UnionPay bank card, and use it for various types of online and mobile payments, including in-app online payments, QR code payments, as well as contactless payments on NFC-enabled devices using UnionPay's QuickPass feature.

References

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