Dragontail Systems (ASX:DTS) combines AI with food delivery in Texas
  • Artificial intelligence company Dragontail Systems (DTS) has combined its restaurant optimization tech with DoorDash
  • DoorDash is a food delivery aggregator — meaning users can order food through the DoorDash platform to be delivered from their chosen restaurant
  • The company claims this integration of artificial intelligence with a delivery aggregator is the first of its kind
  • The first restaurant to use the new tech will be Papa's Pizza in Galveston, Texas
  • Dragontail shares were up four per cent at market close, worth 13 cents each

Artificial intelligence (AI) specialist Dragontail Systems (DTS) has combined its proprietary Algo food delivery tech with aggregator DoorDash.

According to Dragontail, this integration of software is the first of its kind around the globe. Essentially, the software will combine a restaurant's kitchen operations with its aggregator delivery platform.

A food delivery aggregator — such as DoorDash — acts as a middleman between a restaurant and a customer. Through a platform like a mobile app, the aggregator lets users place orders which get sent through to the restaurant and the restaurant takes care of the dispatch and delivery.

The difference between an aggregator like DoorDash and a service like Uber Eats — known as a new delivery app — is that Uber Eats goes one step further and supplies its own couriers for restaurants that don't ordinarily deliver.

With the new Dragontail and DoorDash integration, however, a restaurant can combine its own fleet of delivery drivers with DoorDash drivers. What's more, the tech uses the Dragontail Algo AI algorithm to determine which is the most accurate and effective delivery method on any order.

The first restaurant to use the integrated software will be Papa's Pizza in Galveston, Texas.

Papa's Pizza is already an Algo user. The AI tech is designed to improve efficiency throughout the food delivery process. From kitchen flow management to quality control to customer communication, the whole automatic process brings more clarity and ease to the food delivery process.

Dragontail Managing Director Ido Levanon said this integration with DoorDash has implications beyond Papa's Pizza.

"This is a very exciting development for the company, and we expect this first-of-a-kind solution to be a game-changer for every delivery restaurant, by combining DoorDash's extensive operations with Dragontail's full restaurant AI-based optimization system," Ido said.

Of course, Papa's Pizza is by no means a top-tier client. However, should the Dragontail integration prove to dramatically increase productivity, as the company claims it will, this could be an important proof-of-concept for other restaurants keen to improve their processes.

The market has responded tentatively to today's news with Dragontail shares rising four per cent over the trading session. At market close, shares were worth 13 cents each in a $32.35 million market cap.


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