The onset of COIVD 19 has changed the restaurant operations across the globe. Restaurants are rapidly shifting and adapting towards delivery and take away model as customers are now preferring contactless delivery or take away rather than dining in at restaurants.
The popularity of deliveries has increased 300 times (source: Yelp Data) since COVID 19 crisis. Going online and processing delivery and take away orders is of the highest priority for restaurants as restaurateurs look to overcome the impact caused by COVID 19.
There are two ways by which restaurants can go online, one way is by listing themselves on third party aggregator platforms and the other way around is by getting their own in house online ordering system.
Over the years, it is evident that third party aggregator platforms are not a suitable model for restaurants to operate and get profits. Restaurants are well off by operating with their own in the house online ordering system. To convince you further, here are six reasons why you need to have an in house online ordering system and delivery channel integrated with a POS system rather than a third party integration!
Six key benefits of in house online ordering system
1. No more per order commission rates
It is a well-known fact that third party aggregator apps like Swiggy, Zomato, and Grubhub are charging close to 25% commission per order. This eats into the profit margins of restaurants, consumers are also aware of the same and 70% of Consumers (source: Hospitality Technology)Prefer to Order Direct from Restaurants, Not Third-Party Services. By having an own app that is synced with a POS system for processing online orders, restaurants can avoid paying huge commission margins per order thereby boosting revenue and profits.
2. Complete access to customer data
Customer data is highly crucial and important for restaurants, but third party aggregators do not share customer data with restaurant partners and have been accused of using restaurant data to analyze customer ordering patterns to launch their labels. In a recent survey, 43% of restaurant professionals (source: Hospitality Technology)believe third-party apps interfere with the direct relationship between a restaurant and its customers by withholding customer data.
By having your own online ordering app that is synced with a back end POS system you’ll be able to save all your customer data including their mobile number, address, and ordering history. This helps restaurants run marketing campaigns and offer personalized ordering experience to get customers to order again to their restaurants through their app.
3. 100% error-free order processing rates
By having an in house online ordering system integrated with the POS system, you do not have to approach anyone else to update your menu, change selling prices, and update stock. Any updates made in thePOS system are directly reflected in the customer’s mobile, so there is no way the customer places an order for an item that is out of stock. This improves the customer experience and stickiness of the app among customers. Once customers sign up and have a smooth ordering experience, 80 percent (source: McKinsey & Company) never or rarely leave for another platform.
4. No more hefty marketing costs!
Aggregators charge a hefty amount to boost your restaurants in their app to improve visibility and increase the number of orders. By having your own app for processing online orders you will be able to place advertisement and banners in the home screen of your own app promoting your today’s specials and other promotional offers free of cost.
The number of orders received by a restaurant is directly proportional to the popularity of the restaurant in the vicinity and also the quality of food and service offered by the restaurant. By saving on aggregator commission rates, restaurants can use the same to promote themselves in the neighborhood and improve the quality of food and service.
5. Super fast and personalized delivery experience. Every time.
33 percent of consumers (source: Nation's Restaurant News) say they would be willing to pay a higher fee for faster delivery service. By using a delivery app powered by real-time navigation, your delivery fleet will be able to reach the customer’s place in record time. Restaurants managers and customers are also updated in real-time with the order status avoiding hiccup’s and ensuring hassle-free operations
6. Safety, hygiene, and delightful customer experience guaranteed with every order!
Unlike aggregator’s delivery executives who shuffle between multiple restaurants, your own delivery executives traverse just between your restaurant and customer places which helps restaurants monitor the delivery executive’s health and hygiene standards closely. Moreover, customers will also be confident that the highest safety and health standards are implemented by your restaurant for food delivery.
Also, restaurant’s despite paying hefty commission still do not precisely know in what state was it delivered and with what ease was the order delivery co-ordinated with the customer. All of this plays a crucial role in defining the customer experience with your brand. Sadly, third party delivery services and their delivery executives do not care about the customer experience as they do not represent your brand directly.
By having your own delivery fleet powered by an in house delivery management app, restaurants gain full control of the delivery operations, thereby improving food safety and customer experience which is very essential in the coming days.
Overall, a direct restaurant in house online ordering system gives you access to more profit and more control, These are the two important factors to successfully set up a delivery and take out model, that would help restaurants to weather through the current situation.
Be the boss of your online business. Setup your own in house online ordering and delivery system.
