Boosting Revenue and Enhancing Customer Experience with Online Ordering

In the modern era of technology, the restaurant industry has embraced online ordering as the new standard. The surge in takeout and delivery services has driven the growing popularity of off-premise dining, making online ordering a ubiquitous practice. The onset of the COVID-19 pandemic acted as a catalyst, expediting the widespread adoption of online ordering. Restaurants swiftly adjusted to this change, ensuring the continuity of their operations and catering to evolving customer preferences.

Online ordering solutions have proven invaluable, offering both convenience and efficiency. They have not only sustained restaurants through turbulent times but have also diversified their revenue sources and enhanced their online visibility.

The Growth of Online Ordering: A Statistical Overview

The statistics surrounding online food ordering highlight the rapid growth and immense potential of this industry. Here are some key statistics that showcase the power of online ordering for restaurants:

  • 300% Faster Growth: Since 2014, online food ordering has grown 300% faster than dine-in, accounting for approximately 40% of total restaurant sales.
  • Projected Revenue: The revenue in the online food delivery segment is expected to reach $339,257 million in 2022, with an annual growth rate of 8.29%. By 2026, the projected market volume is estimated to be $466,472 million.
  • Increasing Customer Demand: Nearly 60% of diners expect to order more online in 2022, with 42% planning to order directly from restaurants, compared to 14% who plan to use third-party apps.
  • Mobile Dominance: One-third of customers place more orders on mobile apps compared to three months ago, and customers tend to spend more when ordering through a restaurant app.
  • Profitability Boost: Restaurants with an online ordering system experience a 30% higher increase in takeout profits compared to those without.
  • Rising User Base: The number of Americans using apps to order food and groceries is expected to rise from 27.9 million to 30.4 million in 2022.
  • Effective Marketing: 92% of top-performing restaurants offer mobile order-ahead and loyalty rewards programs, attracting and retaining customers.
  • Time-saving Convenience: Nearly 28% of people order food online to save time on cooking and cleaning.
  • Technological Adoption: Over 80% of restaurants are turning to technology, such as online ordering, reservation and inventory apps, and restaurant analytics, to run their businesses successfully and efficiently.
  • Projected Revenue Increase: It is projected that online ordering food revenue will rise to $220 billion in 2023, accounting for 40% of restaurant sales.

These statistics highlight the growing demand for online ordering and its potential to drive revenue growth for restaurants. By embracing online ordering solutions, restaurants can streamline their operations, enhance customer experience, and tap into the lucrative online market.

The Advantages of Online Ordering for Restaurants

The advantages of online ordering extend beyond revenue growth. By implementing an online ordering system, restaurants can create a seamless ordering experience for their customers while benefiting from the following advantages:

Simplified Ordering Process

Online ordering simplifies the entire ordering process for both customers and restaurants. Traditionally, customers had to make phone calls or visit the restaurant to place an order, leading to potential mistakes and delays. With online ordering, customers can browse the menu, customize their orders, and make payments hassle-free. This convenience not only enhances the customer experience but also saves time and reduces errors for restaurant staff.

Efficient Customer and Order Management

An online ordering system provides restaurants with an efficient customer and order management solution. It offers a complete sales dashboard with information about new, active, and canceled orders, as well as lifetime sales details. Notifications via email or SMS help restaurant staff execute orders faster, and GPS systems enable accurate and timely deliveries. With streamlined order management, restaurants can ensure efficient operations and improved customer satisfaction.

Real-time Expense Monitoring

Online ordering systems provide real-time insights into the cash flow of a restaurant, allowing owners to track expenses incurred during order preparation and compare them to the cost charged to customers. By monitoring costs and analyzing profitability, restaurants can make informed decisions and optimize their pricing strategies. This level of financial transparency helps restaurants achieve better profitability and make data-driven business decisions.

Free and Targeted Marketing

By embracing online ordering, restaurants can leverage free and cost-effective digital marketing opportunities. Establishing an online presence through a website, mobile app, and social media platforms allows restaurants to reach a wider audience and promote their brand. Social media advertising, email marketing, and online reviews can attract new customers and enhance customer loyalty. With targeted marketing campaigns, restaurants can drive traffic to their online ordering platforms, increase sales, and establish a strong brand presence.

Valuable Customer Data

Online ordering systems provide restaurants with valuable customer data, including ordering trends, preferences, and purchase history. This data enables restaurants to personalize their offerings, tailor promotions, and provide a customized ordering experience. By understanding customer preferences and behaviors, restaurants can build stronger relationships, increase customer loyalty, and drive repeat business.

Convenience of Mobile Ordering

Mobile ordering has become increasingly popular, with customers preferring the convenience of placing orders anytime, anywhere using their smartphones or tablets. By offering a mobile app or a mobile-friendly website, restaurants can cater to this growing demand and ensure a seamless ordering experience for their customers. Mobile ordering eliminates the need for phone calls, allows customers to take their time browsing the menu, and offers the flexibility to order on the go.

Competitive Advantage

Restaurants that embrace online ordering gain a competitive advantage in the market. As customer expectations shift towards digital solutions, restaurants without online ordering options may lose business to competitors. By offering a user-friendly online ordering platform, restaurants can attract new customers, retain existing ones, and differentiate themselves from competitors. Online ordering positions restaurants as innovative, customer-centric establishments that prioritize convenience and efficiency.

Revenue Growth Potential

Online ordering has the potential to significantly boost revenue for restaurants. Studies show that orders placed online tend to be 20% larger on average, as customers have more time to explore menu options and are often enticed by add-on deals and promotions. By optimizing their online ordering platforms, restaurants can increase order values, encourage repeat business, and drive overall revenue growth.

Greater Reach and Market Penetration

With online ordering, restaurants can reach a larger audience beyond their physical location. Online ordering platforms enable restaurants to cater to customers within their delivery range and expand their reach without significant investments in staff or infrastructure. By making their menus accessible online, restaurants can attract customers who prefer the convenience of delivery or takeout, effectively tapping into a broader market and maximizing their revenue potential.

The Future of Online Ordering for Restaurants

The statistics and advantages of online ordering for restaurants demonstrate its transformative power in the industry. Online ordering has become an essential component of restaurant operations, providing convenience for customers and revenue growth opportunities for businesses. As technology continues to evolve, online ordering is poised to become even more prevalent, with advancements in mobile apps, artificial intelligence, and personalized experiences.

To stay competitive and meet customer expectations, restaurants must embrace online ordering solutions and leverage the benefits they offer. By implementing a user-friendly and efficient online ordering system, restaurants can streamline operations, enhance customer experience, and drive revenue growth in an increasingly digital landscape. Online ordering is not just a trend; it is a fundamental shift in consumer behavior that restaurants must embrace to thrive in the competitive market.

As the restaurant industry continues to evolve, online ordering will remain a key driver of success. By adopting innovative online ordering solutions, restaurants can position themselves as industry leaders, cater to changing customer preferences, and unlock the full potential of the digital marketplace.



Bernie Fussenegger
Bernie Fussenegger,
Marketing,Branding & e-Commerce -Consultant
Click to learn more about Bernie Fussenegger

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