While phone orders dominated delivery only a few years ago, the balance between food orders placed over the phone versus those placed online have nearly switched. In 2017, 43% of food delivery orders were made online and according to numbers from investment firm Cowen online food delivery sales are expected to reach $55 billion in 2022, up from $20 billion in 2017.
Online ordering – The stats low down:
With the advent of mobile, coupled with the on-demand economy, consumers have moved from ordering offline to ordering online because it is easy, convenient and completely transparent. Data from Deloitte Digital reports that 40% of consumers prefer to order food online. Pizza accounts for some 60% of the online food delivery market – a $10 billion market. Not only that but according to survey by orderTalk at least 45% of U.S. adults believe that within the next 12 months, they will increase their use of online ordering, with nearly two thirds of Americans already in the habit of ordering digitally via an app or website. Other studies are also showing that there is a strong relationship between online ordering and brand loyalty. The National Restaurant Association/LevelUp whitepaper revealed that consumers who have placed an order online visit the restaurant 67% more frequently than those who haven’t and they spend 26% more than they would have in-store!
Online ordering – The bottom line:
Now, we could keep spouting stats all day long but the bottom line is clear; online ordering has gained huge popularity and has become almost a necessity for the modern restaurant. Businesses are under increasing pressure to provide frictionless mobile ordering experiences or face losing potential customers if they do not feature this service. “Restaurant operators seeking to gain more visits and grow the bottom line must decide which convenience enablers, digital or non-digital, are worth their investment.” Warren Solochek, NPD’s Snr. VP, Industry Relations.
Online ordering – What to do?
While signing up with third-party online ordering marketplace, such as GrubHub, UberEats, Eat24 etc. offer a quick and easy solution to gain exposure and reach new customers, over time, the fees associated with them are enough to wipe out a painful chunk of revenue, with questionable return. Instead restaurants’ should look to either investing in an in-house ordering system coupled with robust delivery management software. Opting to use an online ordering software native to your point of sale system has many advantages compared to those exclusively using a third-party service. These perks include increased profits (as much as 35%!), insights on individual customers, a customizable user experience and interface, and more.
Here at FoodTec online ordering is second nature to us. With our Web Ordering Suite your online store can have all the flexibility that your brick and mortar store has. We have also loaded it with up-sell features to ensure you can maximize cart value, plus, it is fully integrated with your POS so it is reliable and rock-solid.
Why not get in touch with us today to find out more about our platform and how we can help you grow your online ordering business.