OpenTable’s new AI feature allows restaurants to gain insights into customer dining habits, based on data collected through POS integrations. By analyzing factors such as drink preferences, spending levels, and review behaviors, the platform aims to provide tailored recommendations for staff, helping to enhance the diner experience. However, this technology has sparked discussions about data privacy and the accuracy of the insights it generates. Kat Menter, a Michelin-starred restaurant host, first noticed the AI-assisted tags while reviewing data from her restaurant, highlighting public concerns about the potential misrepresentation of dining behaviors. The data collected by OpenTable includes arrival times, order details, and bill amounts, which are then used to generate non-identifiable guest data summaries. Users are able to adjust their data-sharing preferences to ensure greater control over their personal information, although the platform’s privacy policy uses vague language regarding the extent of data collection and its implications.
While OpenTable claims the AI does not access personal guest data and is used solely for categorizing large data sets, such as identifying a ‘glass of cabernet’ as ‘red wine,’ there are still concerns about how this information might influence restaurant interactions. For example, data from a single business dinner might categorize a customer as a high spender, or dining with friends who order cocktails could label an individual as a cocktail lover, potentially distorting their preferences. OpenTable suggests these insights are merely suggestions and not definitive indicators of customer behavior. The company also mentions that the use of POS data is dependent on the privacy settings chosen by the user, allowing for the adjustment or opt-out of data sharing at any time. Despite these assurances, the broader implications of such data collection and its potential impact on consumer privacy continue to be a topic of debate.
OpenTable’s AI-powered insights are available to restaurants on the OpenTable Pro plan, which is currently in a beta phase, and the data is shared across the platform’s restaurant network where enabled. While the system aims to improve hospitality experiences through personalized service, it also raises questions about the extent of data tracking and its impact on consumer privacy. Users can turn off the ‘Point of sale information’ setting to stop their order history from contributing to future data insights. This transparency helps users understand the level of tracking involved in modern dining practices and empowers them to take control of their personal information. As the use of AI in consumer services continues to expand, the balance between personalized experiences and data privacy remains a critical issue for both consumers and businesses alike.
With the increasing integration of technology in everyday services, the discussion around data privacy has become more relevant than ever. OpenTable’s approach highlights the broader trend of companies leveraging AI to gain deeper insights into customer behavior, which can be both beneficial and concerning. While personalized service offers a more tailored experience for diners, the collection and use of such data also pose challenges in terms of consumer consent and data security. As more businesses adopt similar technologies, the need for clear and transparent data policies becomes essential to protect user privacy while still allowing for enhanced customer experiences. OpenTable’s initiative serves as an example of how AI can be used in the hospitality industry, but also underscores the importance of maintaining control over personal data and understanding the implications of such technologies in the modern digital landscape.