TD Bank recently conducted a survey of 253 participants at the 2025 Restaurant Finance & Development Conference in Las Vegas, Nevada about AI and other technology advancements.
The survey found that, increasingly, restaurant franchise leaders are turning to emerging technologies to fuel their growth. AI and automation are expected to have the greatest impact on the industry over the next 12 months.
Restaurant and franchise professionals identified labor efficiency, training and scheduling (40%) as the top area where AI can deliver meaningful improvements, followed by consumer data analysis/market trend prediction (34%) and customer experience/personalization (28%)—demonstrating AI’s growing role beyond back-of-house operations.
It turns out AI may be a useful solution for the industry challenges operators are currently facing, including:
- A shrinking labor pool (54% say it's the industry's biggest challenge)
- Recent tariffs (26%)
- Immigration reform (25%)
- Shifting interest rates (10%)
“As restaurant operators navigate rising costs and workforce constraints, AI is emerging as a potentially material lever for long-term growth and sustainability,” said Mark Wasilefsky, head of TD Bank’s Restaurant Franchise Finance Group. “From labor management to customer engagement, strategic integration of AI can streamline operations, enhance service, and strengthen margins.”
It's not all doom and gloom, however. Franchise professionals remain optimistic heading into the new year, as 82% of respondents expect improved or stable industry growth in 2026, while 60% are confident their business will achieve positive traffic over the next 12 months.
AI can help with this growth, as well, by enhancing services like mobile ordering, which topped the list of growth drivers in 2026.
“The past few years have underscored just how resourceful and future-focused restaurant leaders truly are,” said Wasilefsky. “Those who embrace innovation and work with financial partners are reshaping the competitive landscape. By strengthening core operations and pursuing growth with intention, operators can capture emerging opportunities and build lasting momentum in a rapidly evolving marketplace.”
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