- Marina Nazario/Business Insider
Shake Shack is opening a cashless location for the first time.
The burger chain will open a cashless kiosk in New York City later in October, CNBC reported Monday. Customers will reportedly order via phones or kiosks and then receive a text from the location when their order is ready for pickup.
Shake Shack CEO Randy Garutti told CNBC that the location would serve as a testing site to see whether certain aspects of cashless ordering could be applied at other restaurants.
Shake Shack isn’t the only chain exploring cashless payments. In January, the popular salad chain Sweetgreen transitioned to accepting payments via only its app or a credit card.
Going cashless tends to cut service time, as employees no longer have to spend time counting money. It also reduces the threat of theft and robbery.
But cutting cash isn’t without problems. Some customers may be confused by the new ordering methods. Further, a 2015 report found that about 7% of US households didn’t have a bank account, something that would exclude them from ordering at cashless locations.