In a surprising turn of events, SoundHound AI, Inc. (NASDAQ: SOUN) witnessed a substantial 47% increase in after-hours trading following a day of relatively lackluster performance, where it experienced a minor decline of nearly 1%.
The company, headquartered in Santa Clara, CA, specializes in the development and commercialization of advanced artificial intelligence technologies for voice, sound, and natural language processing.
Price Catalyst
The significant surge in stock value was attributed to SoundHound AI’s recent collaboration with Jersey Mike’s, a prominent sandwich chain, to introduce a cutting-edge voice AI ordering system. This collaboration aims to enhance the overall customer experience by leveraging state-of-the-art technology.
Partnership with Jersey Mike’s
The innovative voice AI ordering system, optimized for natural human speech, allows customers to effortlessly place phone orders for pick-up without the need for linguistic adjustments or awkward interactions with the software. Initially deployed across 50 locations, the system covers Jersey Mike’s entire menu, facilitating seamless order placement and accurate responses to menu inquiries.
Impact on Customer Experience
Moreover, SoundHound’s advanced AI system is equipped to handle a wide range of menu-related questions, including inquiries about specials, promotions, operating hours, parking, and allergens. This comprehensive functionality not only enhances customer satisfaction but also optimizes operational efficiency by freeing up staff to focus on delivering exceptional in-store service.
Market Outlook and Financial Performance
Scott Scherer, Chief Information Officer of Jersey Mike’s Franchise Systems, Inc., underscored the significance of leveraging AI technology to ensure prompt and accurate order fulfillment, praising SoundHound’s expertise in delivering tailored solutions for the restaurant industry.
In addition to its stock surge, SoundHound received a favorable buy rating from Landeburg Thalmann, projecting a target price of $4 per share. Despite the recent increase, the current stock value remains at $3.32, indicating potential for further growth and market expansion.
Conclusion
As SoundHound AI continues to innovate and cultivate strategic partnerships, its trajectory in the artificial intelligence market remains promising. The collaboration with Jersey Mike’s exemplifies SoundHound’s commitment to advancing customer service excellence through technological innovation.
