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Restaurants Need Online Ordering to Survive – 10 Key Reasons

August 23, 2023
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Convenience is king and restaurants that embrace technology are reaping the rewards. One such technological advancement that has transformed the dining landscape is online ordering. Offering online ordering for your restaurant can be a game-changer, providing a plethora of benefits that cater to the modern customer's preferences and busy lifestyle. In this blog post, we'll explore the advantages of implementing online ordering and introduce you to five popular online ordering providers to get you started.

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The Benefits of Online Ordering for Restaurants

1. Increased Revenue

By offering online ordering, you open your doors to a broader customer base, including those who prefer takeout or delivery. This can lead to a significant increase in sales and revenue. For instance, imagine a small Italian restaurant that traditionally relies on dine-in customers. By introducing online ordering, they tap into a new market of busy professionals who want to enjoy their favorite dishes at home. This expanded customer base results in a noticeable boost in monthly revenue.


2. Expanded Customer Base

Online ordering allows you to reach new customers who discover your restaurant through online platforms and apps, expanding your loyal customer base. For example, a local pizzeria adopts an online ordering system and lists its menu on popular food delivery apps. As a result, they start receiving orders from nearby neighborhoods that were previously unaware of their delicious pizza. These new customers become regular patrons, contributing to the restaurant's growth.


3. Enhanced Customer Convenience

Today's customers value convenience above all. With online ordering, they can browse your menu, customize their orders, and schedule deliveries or pickups at their convenience. Consider a family with a busy schedule. They want to order dinner but don't have the time to call the restaurant and wait on hold. Online ordering allows them to place an order in minutes, specifying the exact time they want their meal ready for pick-up on their way home from work, making their evening hassle-free.


4. Reduced Wait Times

Online orders are processed faster and with greater accuracy than phone orders, reducing wait times for customers and increasing satisfaction. For instance, a bustling burger joint experiences long wait times during peak hours due to phone orders and in-house customers. After implementing online ordering, they notice a significant reduction in wait times as orders are sent directly to the kitchen, ensuring timely preparation and happier customers.


5. Order Accuracy

With online ordering, there's less chance of miscommunication between customers and staff, leading to fewer order errors. An example of this is an Asian fusion restaurant with a complex menu with various customization options. When customers order over the phone, misunderstandings often lead to incorrect orders. Online ordering eliminates this issue, as customers can select their preferences from a digital menu, resulting in precisely what they want.


6. Increased Order Value

Online menus can be designed to encourage upselling and cross-selling, leading to higher average order values. A Mexican restaurant offers online customers the option to add guacamole or upgrade to a larger meal for a special price. Many customers take advantage of these online-exclusive offers, increasing the average order value compared to dine-in orders.


7. Efficient Order Management

Online orders can seamlessly integrate with your restaurant's POS system, streamlining order management and reducing manual data entry. A busy café implements online ordering that directly syncs with their POS system. When a customer places an order online, it's automatically sent to the kitchen and registered in their POS, reducing the risk of order mix-ups and freeing up staff to focus on other tasks.


8. Data Collection and Analysis

Online ordering platforms provide valuable data about customer preferences and behaviors, helping you make informed marketing decisions. A fine dining restaurant uses online ordering data to discover that their vegetarian dishes are highly popular. They decide to run a targeted email campaign promoting these dishes, resulting in increased orders and positive customer feedback.


9. Reduced Phone Traffic

As more customers opt for online ordering, your restaurant's phone lines become less congested, allowing staff to focus on in-house customers. An Italian restaurant sees a significant decrease in phone orders after introducing online ordering. This not only reduces the workload on their phone operators but also leads to quicker responses for customers who do call with questions or reservations.


10. Improved Marketing Opportunities

Online ordering platforms often include marketing tools that let you promote special offers, send targeted promotions, and engage with customers through email or push notifications. A local bakery uses its online ordering platform to send out weekly email newsletters with exclusive discounts to subscribers. As a result, they see a surge in online orders from their loyal customer base.


Popular Online Ordering Providers

To help you get started with online ordering, here are five popular online ordering providers:

  • Chowbus: One of the fastest growing POS providers in the country, Chowbus offers a best-in-class ordering experience for customers.

  • Grubhub for Restaurants: One of the giants in the food delivery industry, Grubhub connects your restaurant to a vast customer network and provides online ordering solutions.

  • Square for Restaurants: Square's integrated platform includes online ordering capabilities, making it easy to manage orders, payments, and customer relationships in one place

  • Toast: Known for its user-friendly interface and comprehensive features, Toast offers online ordering and delivery solutions designed to boost sales and streamline operations.


Conclusion

Embracing online ordering can be a pivotal step in the success of your restaurant. It not only caters to the preferences of today's tech-savvy customers but also opens up new revenue streams and operational efficiencies. So, why wait? Start exploring these online ordering providers and take your restaurant to new heights of success.

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