A recent article from RunningRestaurants.com cited some interesting facts:

Fact #1 - Most restaurant owners spend 90% of their marketing dollars in an effort to drive new traffic.

Fact #2 – Business from new customers typically represents only about 10% of a restaurant’s growth opportunity.

Essentially, the majority of growth potential for your restaurant lies with your existing customers. NetWaiter can help you cultivate those customers to become better customers.

A normal “phone-in” customer is impossible to track.  NetWaiter customers, however, are tracked and their information is accessible in your NetWaiter Management Console.  With that information, you can pursue several tactics to enhance your existing business.  Here are just two very quick tips -

1.    Launch an Email Campaign – Let customers know about special offers, upcoming events, and promotions.
TIP: Email customers who have not ordered in a while. Let them know about your newest dish or treat them to a complimentary dessert with their next order.

2.    Examine your menu for items that complement each other.  Sam Walton discovered people who bought milk (a low-profit item) often bought bananas too (a high-profit item).  Sam’s solution: position bananas near the milk to help drive-up profits.  
TIP: Find a popular low-profit meal that customers often order (your “milk”) and offer a promotion on a high-profit item if they order it with the “milk” item.

The best part of these marketing efforts - they cost nothing but the time it takes to create them.  The information and tools are already available through your NetWaiter Management Console.

There are many local businesses and offices - accounting agencies, real estate companies, non-profit groups, law firms, etc. - that bring in catered meals on a regular basis.

Whether it’s a board meeting, an extended client session, or employee luncheon – it’s often desirable for them to have it catered in.

The receptionist or administrative assistant is often responsible for placing these types of orders.  Make sure these local businesses (and their office assistants) know your restaurant offers online ordering.  Once they experience the ease and convenience of ordering online, they will return again and again.

Andrea Snyder of Urban Cookhouse, with multiple locations in Alabama, says that online ordering results in larger orders, especially at the catering level.  "When these large orders come in via telephone, customers often try to negotiate, which cuts into our profit margin.  Catering orders coming in online, however, obviously bypass that process.  The customers are happy to trade saving a few dollars for the convenience NetWaiter provides them."

Make sure your local businesses know your restaurant is the best bet (and most convenient) for their catering needs!

Don't overlook your wait staff as marketers.  The best way to spread the message of your online ordering system is through your employees.  Make sure they understand how it works and how convenient it is for customers.

Don’t forget to double check orders.  Online customers are your best customers - make sure their order is accurate.  With all of the information printed, there’s no excuse for overlooking the request for extra dressing.

Don’t forget to tell phone callers they can order online.  Some restaurants go so far to include messages about their NetWaiter site for customers that are on hold.

Don’t forget to post your QR Code.  All Smartphone users should be offered the ability to scan your QR code to link them directly to your mobile ordering site.

Don’t make your customers click around to start their order.  Place your “Order Online” button on your homepage, with one click access, so it’s visible at the top of your site, without the need to scroll.

If you don't have online ordering from NetWaiter, don't go another day without it.  You’re missing out on valuable sales.  Takeout customers look for convenience.  If you’re not offering it, customers are going elsewhere.

This month, we wanted to highlight some NetWaiter tools available to restaurant owners. 

NetWaiter Social Widget – About a year ago, we unveiled the NetWaiter social widget.  If enabled, this field appears on the front page of a NetWaiter site, allowing restaurants to post announcements, updates, or promotions.  You can advertise the soup-of-the-day, a special on a popular appetizer, or some other message that lets your customers know what’s going on at your restaurant.  Customers can also use it to interact with your restaurant, leave comments, or giving a ‘thumbs-up’ to one of your posts.  Of course, as owner, you have control over what messages are displayed and can edit posts in the NetWaiter Management Console.

Hide / Show Functionality - Many restaurants have special dishes or items with limited quantities.  “Homemade Lasagna” is a good example.  If your restaurant were to run out of Lasagna, or any other dish, you can simply ‘Hide’ the item in your Management Console to temporarily make it disappear from your online menu.  When it becomes available again, simply ‘Show’ the item.  This prevents the need to delete and re-add items, and also keeps hidden items in the same position on your menu.

Variable Prep Times – NetWaiter just released a new feature that allows restaurants the ability to configure Prep Times based on the time and day of the week.  The normal "Default Prep Time" allows restaurants to indicate when an order could be made immediately available (i.e. 15 mins).  During rush periods, however, it may take longer for meals to be prepared.  This feature lets restaurants configure different Prep Times based on the day and time.  Is Friday at 6:00pm busy for your restaurant?  Solution: set your Prep Time to 25 minutes, rather than your normal 15 minutes.

Remember the supermodel Cindy Crawford? Her motto was, "The camera never blinks." She realized she had to look stunning all the time.  For restaurants, the motto is, "Yelp never blinks." Anyone can put a review of your restaurant on Yelp, and once a bad review is up there, it’s virtually impossible to remove.

How important are Yelp ratings for your restaurant?  According to a recent article in the Economic Journal and reported by Mashable.com, a Yelp rating increase of just a half-star can translate to a rise in peak-hour traffic by as much as 19%.


But here’s the inside story - according to Mashable, Yelp rates restaurants between 1 and 5 stars, and they round to the nearest half-star.  "A restaurant with a rating of 3.24 will show 3 stars.  A restaurant with five or more reviews and a slightly higher average of 3.26 rating will display 3.5 stars."  What a difference .02 can make!

Here are some tips for dealing with Yelp reviews:
•    Ask customers who are in your restaurant several times a week to review your restaurant on Yelp.  A few sentences will do it.  Each rating will show you who posted the review.  Perhaps you can reward them with an appetizer or free drink the next time they’re in.
•    People always remember the last thing you did for them.  If a customer complains because the food took too long to prepare, or their order was wrong, what they will remember more than the foul-up is your sincere apology and how you bent over backwards to make things better.  This should help prevent bad reviews.
•    It's all about providing consistently good service.  Day in and day out, give your customers the best.  That's what gets the best ratings and that's what brings customers back.

While the economy may be showing signs of vibrancy, consumers remain cautious. A recent article in PMQ Pizza Magazine, however, reports that loyalty programs can be an effective weapon for restaurants in these times.

“Acquiring new customers is incredibly expensive," said Logan LaHive, founder and CEO of a loyalty program developer in Chicago. "Because you get 80% of your revenue from 20% of your customers, rewarding loyalty is the best tactic."

If you use or are thinking about implementing a loyalty program, here’s some useful information:

•    A recent study revealed that 33% of consumers view loyalty programs as very important during tough economic times.
•    The same study reveals that consumers spend 17% more on visits that include a loyalty program.
•    Loyalty programs are not viewed as giving away products or providing heavy discounts, which may cheapen your restaurant in the eyes of customers.
•    When a customer enrolls in a program, you officially establish a relationship, as opposed to someone using a coupon that you may never see again.
•    Refrain from asking customers for all of their information at once. Start with a name and email address. Later, you can ask for their mailing address, phone number, and more.
•    A loyalty program that works in unison with a recognized charity is often viewed favorably by customers.

With the widely recognized importance of social media, NetWaiter recently introduced another Facebook integration, called the NetWaiter Ordering App for Facebook.

With NetWaiter’s new Facebook App, customers are able to place orders directly from a restaurant’s Facebook page.  When customers visit a restaurant’s Facebook page, they can simply click “Order Online” and place their order.

According to a recent study by the National Restaurant Association, more than 95% of restaurant owners and managers acknowledge they will be on Facebook within two years.  "Social media is an increasingly popular way for restaurants to connect with customers,” said Jared Shimoff, a Sr. Director at NetWaiter.  “The new NetWaiter Ordering App for Facebook provides restaurants more exposure and allows customers another easy way to place orders,” added Shimoff.

This new Facebook App is not NetWaiter's first foray into social media.  In 2010, NetWaiter became the first online ordering provider to integrate Facebook into the ordering process.  When a customer orders online from a restaurant using NetWaiter, they can click a Facebook icon to quickly login and complete their order.  With the customer’s permission, a post is made to their wall/timeline that lets their friends know about their recent order.  The post includes the restaurant’s logo and a link for the customer’s friends to view their menu and also order.

The NetWaiter Ordering App is easy to install.  Restaurants can start the installation process from their NetWaiter Management Console and have it working on their Facebook page immediately.

Part of running any successful business is making it easier for customers to purchase your product.  It’s the same for restaurants. 

As Rob Hough, of Technisource, said in a recent QSR article, “Sometimes technology can boost customer experience." 

We agree, especially if an improved customer experience makes it easier for customers to make a purchase.  So, the question is: How does NetWaiter improve the customer experience?  We polled some clients to hear what they have noticed with their customers.  Here is what they shared:

Denise Pontillo of Pontillo's Pizza, with multiple locations in New York, says that it's all about convenience.  "We get a lot of customers ordering from the office.  They don't want to get on the phone at work, so they get online, sometimes from their cell phone, and schedule their pick-up or delivery.  The convenience is what they are looking for."

Steve Osterholz of The Jackson Underground Cafe, in North Carolina, agrees and says, "It's all about convenience.  People really like it.  They are creatures of habit.  NetWaiter automatically has their last order in the system.  Customers love to just re-order.  It is a more convenient platform to use."

Mark Forinash of Cafe Moxo in Springfield, Illinois, reveals that his customers’ convenience really pays off.  "We've seen online ordering ticket sizes double.  When customers call in, there is a lot of background noise.  Employees try to take their time, but they're often in a hurry.  Unconsciously, the customer keeps the order short.  With NetWaiter though, people can take their time and go through the menu at their own pace."

Andrea Snyder of Urban Cookhouse, with multiple locations in Alabama, says that online ordering results in larger orders for her restaurants too.  "We use NetWaiter for our catering business.  A lot of pharmaceutical reps and law offices order from us.  When these large orders come in via telephone, customers often try to negotiate, which cuts into our profit margin.  Catering orders coming in online, however, obviously bypass that process.  The customers are happy to trade saving a few dollars for the convenience NetWaiter provides them."

Customer is king in any business.  By encouraging your takeout customers to use NetWaiter, their improved experience will lead to your improved bottom line.

As you know, the "if you build it, they will come" strategy for marketing your restaurant is not the ideal way to maximize profits.  There is a little more to it.  Here are some tips to developing an online strategy for your business:

-    Takeout Customers are Different than Dine-in Customers.  Dine-in customers enjoy the ambiance and the ability to relax.  Takeout customers look for accuracy, convenience, and quality.  They want to get in and get out with as little fuss as possible.  What can your restaurant do to ensure your takeout customers have optimum convenience?

-    The Takeout Lunch Crowd is Huge.  Many people like to pick-up a quick lunch so they can take it back to their office and continue working.  Office parks, large service employers, and others are gold mines for online ordering.  How can you promote your online takeout business to nearby offices?

-    Think Like a Takeout Customer.  We didn't know we needed cell phones until we all bought one years ago.  Now we can't live without them.  The same can be true for takeout.  Often times, after a customer places their first order online, they never call-in again.  Thankfully, this helps with restaurant efficiency.  How can you inform ‘phone-in’ customers about your online ordering site?

-    Realize the Growth of Mobile Ordering.  According to Cornell University, 60% of respondents between ages 18 and 34 ordered online – more than any other age group.  Younger respondents are also more likely to order via Smartphone (8%).  If the last figure does not impress you, bear in mind that study was published in March 2011.  Since then, mobile has gone crazy.  According to a May 2012 figure, released by the National Restaurant Association, 46% of those surveyed said they would order via Smartphone if available.  How does your restaurant accommodate customers with Smartphones?

Online and mobile ordering is a boost to business.  Realizing that online and mobile customers have different needs will allow your restaurant to reap the maximum benefit.  If you need help answering any of the above questions, NetWaiter can help.