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Fast food and food delivery gradually began changing that equation. In 2022, with the introduction of ChatGPT, we saw restaurants – and just about everyother industry – look for ways to incorporate artificial intelligence within their customer operations.
Loyaltyprograms are the secret sauce for keeping customers hooked, whether you're a cozy corner café or a massive restaurant chain. Whether you’re a mom-and-pop diner or a fancy spot downtown, a good loyaltyprogram keeps things fresh, and those repeat visits rolling in.
In the restaurant industry, advances in payment processing and payment technology are driving significant changes, influencing everything from customer experience and operational efficiency to revenue generation and security. According to Statista , the global online food delivery market size was valued at $151.5
Loyalty is a huge factor now as guests desire rewards and perks for sticking with a favorite small business, and repeat customers are keeping many restaurants going. If restaurant operators are not attuned to this, they will find it very difficult to exist in the very near future. Customer habits have also shifted after the pandemic.
As a result, restaurants have turned to third party delivery providers in order to help meet the growing demand for off-premise orders, but these providers are cutting into restaurant’s razor thin profit margins. By using loyaltyprograms as a way to encourage customers to order directly.
Not all restaurants have seen a dip in sales as a result—Chipotle, for example, reported a surge in sales in spite of the fact that the chain has raised regular menu prices twice and delivery prices three times since August 2020. Rewards for Loyalty. It’s a strategy that seems to be paying off. A More Seamless Approach.
Here’s how loyaltyprograms often pan out: A customer downloads the app. Although the average consumer belongs to 15 or so loyaltyprograms, they use fewer than seven. So how can you make your loyaltyprogram stand out instead of going stale? Does that sound familiar?
Modern Restaurant Management (MRM) magazine asked restaurant industry experts for their views on what trends and challenges owners and operators can expect to see in 2025. After a challenging 2024, it’s promising to see restaurant operators looking ahead to 2025 with optimism.
Digital loyaltyprograms surged 124 percent during the height of the pandemic, helping restaurants drive more frequent visits and higher check averages from devoted customers, according to market researcher NPD Group. Having a loyaltyprogram today is table stakes. Loyalty Lessons Learned.
The best customers are returning ones as members of top-performing loyaltyprograms are 77 percent more likely to choose their brand over competitors. Loyaltyprograms create those moments and start those familiar brand conversations, giving customers extra incentive to come back and stay engaged.
More than eight in ten restaurant operators expect 2025 sales to meet or exceed 2024 levels, but rising competition will require differentiation through experience, service, and innovation, according to The National Restaurant Association’s 2025 State of the Restaurant Industry report.
Over the past year, many restaurants have reduced the stress of the system by having consumers order online, by phone or mobile app, while additionally offering curbside delivery at the nearest point of retail. Throughout 2021 and beyond, that answer will largely depend on how restaurants adjust their loyaltyprograms.
Offering the right type of discount will help operators win more loyal customers. The food and grocery delivery space is booming – and it shows no signs of slowing down. It’s always smart to consider current events and local happenings when deciding on discounts for delivery services. Loyalty Rewards.
As consumers expect more convenient ways to get their favorite meals – even more so than ever before amidst the pandemic – adding delivery has enabled restaurants to meet those demands and grow digital sales. In fact, delivery has become mission critical. Launching and scaling delivery involves a lot of moving parts.
The 5 Must-Have Restaurant Customer Retention Strategies for 2025 These are the absolute must-have retention strategies every restaurant operator should use if they want to grow their customer base this year. People love the feeling of being rewarded for their dedication, and a good program ensures they feel appreciated every time they visit.
” Those words from Katherine Pendrill, Senior Manager, Content Marketing at TouchBistro, should be quite telling for restaurant operators as they point out the opportunity that exists to reach a valuable audience. On average, Gen Z diners say they'd only wait up to 33 minutes for a delivery order. average of 43 percent.”
Less than two decades ago, restaurant-quality meal delivery was largely limited to pizza and Chinese takeout. Today, the global food delivery app industry is predicted to reach $320 billion by 2029 — up from $140 billion in 2022. When it comes to delivery, you can take the process into your own hands.
These changes are driven by a combination of consumer demands, technological breakthroughs, and the industry’s need to adapt to economic and operational challenges. From reimagining workflows to enhancing guest interactions, technology is shaping how restaurants, bars, and hospitality businesses operate.
workers now operating in a hybrid model, restaurants can focus on becoming the go-to destination for office-day meals through targeted promotions, convenient ordering options and other innovations. In our study, 35 percent of diners report increasing their takeout orders, and 28 percent use delivery more often. The reason?
Enter the cloud, which helps restaurant operators deliver services and make informed business decisions based on up-to-date data, right here, right now. This allows restaurant operators to know, for instance, what’s selling faster than hot cakes or which dishes are performing poorly. Time to Get Your Head in the Cloud.
"We are seeing many restaurants, chains and independents use price value messages to win new customers and grow visits and loyalty with existing customers. In China, where 53 percent of traffic is driven by deals, operators such as KFC, McDonald’s, and local chains like Dicos are engaging in price wars.
Many have started offering their menus on third-party delivery websites. Some have white-labeled those same delivery services for integration within their organizations, and others have built out programs for pick up or delivery entirely in house. Looking at the data proves much of what we already know.
Have you noticed how food delivery apps are becoming essential in attracting and retaining diners? Today, more than ever, restaurants are turning to custom-built apps to improve convenience, streamline operations, and foster customer loyalty. The global online food delivery market size was valued at USD 221.65
Building an integrated tech stack is essential for independent restaurants that want to streamline operations and improve customer service. When integrated with other systems, it allows for easy syncing with online orders and real-time inventory management, making operations smoother and more organized.
New concepts, ghost kitchens, and delivery-only brands are popping up constantly, making it harder for any single restaurant to stand out. Whether youre an independent operator or part of a small chain, visibility is everything. Do they prefer takeout, delivery, or in-person dining? We now live in a digital-first world.
Maximizing this opportunity for free marketing is key to developing deep relationships with customers and building customer loyalty. Promotion and LoyaltyPrograms. Direct Delivery. Play to Your Strengths.
Every online order, email sign up, and reward program interaction generates valuable insightsbut if that data just sits there, youre missing a major opportunity. When used strategically, customer data can help you personalize marketing, streamline operations, and create a better dining experience for your guests.
Most of the restaurant technology tools operators use every day were first introduced years ago, but it wasnt until the 2020 Tech Boom, brought on by COVID-19, that widespread adoption became essential. If customer retention is a priority consider a digital loyaltyprogram or automated marketing tools. Consider your budget.
The pandemic has challenged the relationship between restaurant operator and guest. Brands that have shifted to a more customer-centric approach have an understanding of loyalty as being earned and not sold. Loyaltyprograms are commonplace today, a necessity and important part of restaurant marketing strategy.
For operators, restaurant apps mean higher sales, greater customer retention, and smoother day-to-day operations. Beyond mobile ordering, restaurant apps support operations in ways that were never available before. Online ordering and delivery apps. Here is an example of a restaurants branded app.
"As awful as it was, the pandemic pushed restaurants to completely rethink their operations in order to survive, and some of the changes they made during the pandemic have continued to be beneficial to those restaurants and industry at large." The pandemic made speed, accuracy, and seamless ordering non-negotiable.
As the QSR industry becomes increasingly crowded, understanding operations from the inside out is more crucial than ever. As competition intensifies, companies must innovate and streamline operations to stay ahead. Here are my top tips on driving streamlined operations that generate results.
In 2025, the US online food delivery market is expected to reach $424.9 Whether theyre grabbing takeout on the way home from work or scheduling a delivery for later that day, digital ordering has become the norm. Third-party delivery apps take a big cut of every salesometimes as much as 30%. billion in revenue.
Delivery, takeout and drive-thru. 5-11 with 800 US respondents, one in three (36 percent) consumers reported using delivery, takeout and drive-thru “more or much more” vs. pre-pandemic. Those using delivery “much more” jumped from 19 percent in April to 37 percent in August. Chief among those habits?
When drive thru, curbside, and delivery became the primary (or only) service models, and digital transactions soared, brands such as McDonald’s, Starbucks, and Domino’s didn’t need to build from the ground up, and instead focused on optimization. Mobile-Based LoyaltyPrograms. Delivery Reimagined.
This inflation at the customer–facing end of the restaurant business has largely been fuelled by rapidly increasing operating costs – by as much as 11.7 These increased menu prices deter more diners, and then the operators are again forced to increase costs or decrease spending on quality products to survive.
Personalization is key to successful loyaltyprograms, according to the 2024 Paytronix Loyalty Trends Report. "Top "Loyalty innovation is not always true innovation," Lynch added. "It’s "Restaurants have a loyaltyprogram but haven’t put in place many best practices (i.e.
How the customer prefers to order (for delivery, for pick-up or to dine-in). Company information is any data generated by your company during your regular operations. LoyaltyPrograms. When registering for a loyalty, your customers give you some of their information to qualify. Company Information. Online Ordering.
Restaurant operators are now looking for solutions to retain customers as colder weather and economic conditions threaten their bottom line. Customers now expect more than a simple rewards program or general mailing list. Enhancing the In-Person Experience.
Use Third-Party Apps as a Gateway to Direct Ordering Third-party delivery apps like Uber Eats, DoorDash, and Grubhub can help you reach new customers, but they come with a big downsidehigh commission fees that eat into your profits. To make the most of your rewards program, you need to share it with your target audience.
According to Adams, the team hit the ground running and worked with its partners to helps tailor programs to help restaurants pivot their business models. "Everything Orders from online channels and delivery partners had to be manually entered into its previous Point-of-Sale (POS) system, and manually delivered to the kitchen.
Simplifying LoyaltyPrograms Efficiency in integrating loyaltyprograms can distinguish between successful and failed initiatives. Franchises need to ensure that loyaltyprograms are consistent across all locations. This means easy sign-ups, uncomplicated point systems, and a hassle-free redemption process.
Adaptability became non-negotiable as takeout, delivery, and digital ordering shifted from secondary revenue streams to essential lifelines." – Noah Glass, Founder & CEO of Olo The pandemic was a transformative period for the restaurant industry, leading to significant changes in how both restaurants and consumers operate.
“This is an alarming statistic for restaurant owners and operators, potentially leading to an increase in lost revenue or creating new peak hours,” Bill Mitchell, Executive Chairman of HungerRush, and former President of Global Operations of Papa John’s International, told Modern Restaurant Management (MRM) magazine.
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