A recent industry white paper cites ten percent of online purchases come from a smartphone or tablet computer.  The same source predicts that by 2017, that percentage will be up to 50 percent.

There is no doubt that online and mobile commerce is getting more pervasive.

Some may refer to this as the beginning of Web 3.0, the convergence of social and commercial media, or what is becoming known as social commerce, wherein smart marketers use the power of social media to drive word-of-mouth information and then offer customers a way to make an immediate purchase.

As we look towards the future, we see social commerce as a turning point for online businesses.  It gives users the power to make direct purchases of products recommended by friends.  Their credit card, address and personal information may even be eventually synced with their social media accounts.  The act of making purchases will be easier.

NetWaiter has provided restaurants an early avenue into social commerce for several years in the form of our Facebook integration.  When a customer places an online order through NetWaiter, they have the opportunity to use their Facebook account to login, which also provides the option to post a message about their order to their Facebook page.  Not only does the post give restaurants immediate promotion, but there is also a link back to the restaurant’s NetWaiter site for others to view the menu and place their own orders.

The truth is - customers have always had the power of word-of-mouth advertising.  For the most part, it was simply passed on in personal conversations.  Because much more is on the web now, word-of-mouth advertising provides restaurant owners significantly more leverage and the ability to capture additional sales.

According to the Pew Research Center, as of 2013, 56% of all adults living in the U.S. have a smartphone.  Even more notable, within the important demographic range of 18 to 49 years of age (a sweet spot for online ordering customers), the number of smartphone owners jumps to 74.5%.

That works out to about 137 million people with smartphones.  It is still too early to say and be taken seriously, but we, at NetWaiter, believe online and mobile ordering is to restaurants what drive-thru windows were to fast-food places in the '60s - a game changer for how the public gets their takeout food.

Online ordering, however, offers enhanced accessibility from a customer's mobile device.  That's why NetWaiter places so much emphasis on mobile ordering and provides each client their own branded mobile site for easy menu navigation and ordering.   Consider these recent statistics from Google:

•    95% of smartphone users conduct restaurant searches.
•    64% of those searches convert to purchases in one hour; 90% convert within one day.
•    77% of those using NetWaiter for a delivery order prefer to prepay online rather than pay in person.
•    30%: The average industry increase in ticket size seen from mobile and online orders.

Google's Think Insights recently published statistics that reminded us that not only is it important to have a mobile website, but it is also important to have a mobile website that delivers users quickly to what is important.

First, the broad view:

• When they visited a mobile website, 74% of people say they're more likely to return to that site in the future.
• 67% of mobile users say that when they visit a mobile website, they're more likely to buy a site's product or service.
• 48% said that if a site didn't work well on their smartphones, it made them feel like the company didn't care about their business.

Then there is the importance of a functional mobile website.

• 61% of users said that if they didn't find what they were looking for right away on a mobile website, they'd quickly move on to another site.
• 79% of people who don't like what they find on one site will go back and search for another site.
• 50% of people said that even if they like a business, they will use them less often if the website isn't mobile-friendly.

Think in terms of what an online ordering customer is looking for. Menu is at the top of the list. On the mobile website pages NetWaiter makes available for client restaurants, we design them so that the prospective customer is taken directly to the menu.

When designing a mobile  website, make sure a link to the menu is clearly visible on the first screen. 

Much has been made of the Millennial generation. As customers, these young folks--18 to 39 years old--are an important group.  There are more than 80 million of them in the U.S. That's a lot of restaurant meals. Coincidentally, you will also find that this group is most apt to use online ordering.

A few facts about Millennials:

• They want one-to-one interaction with the brands they use. They are inundated with commercial messages, and more and more they are blind to them. Engagement is the key to this group. They pay attention only to those who understand them and their lifestyle.
• Millennials rely on their mobile devices. According to Millennial Marketing, 75% percent of this group use their smartphone as a personal shopping assistant, and 73% are transacting directly on their mobile devices.
• Millennials check their Facebook status six to eight times a day on their smartphones.
• Millennials see their smartphone as the principal lifeline to their world. According to a study by Zipcar, thirty percent of people falling into the Millennial label said giving up their mobile phone would have the greatest negative impact on their life -- two to nearly three times higher than any other age group in the survey. The answer in every other age group--their car. Translated: Millennials would rather give up their car than their smartphone.

What do you do with this information? Reflect it in your marketing. Select events and causes that matter to Millennials. Base the decor and the artwork in your restaurant on what you known Millennials like (you can find this information on the Internet).

And make sure your Millennial customers know you offer online ordering, because--you know--Millennials love their smartphones.

If you are trying to decide on increasing the amount of money and energy you put into social networking for your restaurant, this might help you make the decision.

According to a recent study by the Pew Research Center, the number of U.S. adults using social networking stands at 72%. That's up from 67% less than a year ago. When Pew first did this study in February 2005, only 8% of online adults used any of the social networks.

No one is surprised that the highest numbers are in the younger age brackets, but seniors are making gains. Consider this information:

• Six out of ten Internet users age 50-64 are social networking site users.
• Adoption rates for those 65 and older have tripled in the last four years (from 13% in the spring of 2009 to 43% in 2013).

If your customer base boasts some diversity, also consider that, according to the study, social media usage extends across a broad range of demographic groups, with especially high adoption rates among Hispanics, college graduates, and those with incomes of $75,000+. 

Read more: http://www.marketingprofs.com/charts/2013/11514/who-uses-social-networks-age-race-gender-and-income-breakdown#ixzz2dxEsLWVB

The advantages of online ordering are undisputed.  Customers love the convenience and accuracy.  You love that you can sell more meals without the added traffic in your restaurant.

So how do you encourage your customers to order more online?  Here are some simple steps you can take to make the online option more appealing.

Make the Order Online button more visible on your website.  We at NetWaiter are forever amazed at restaurants that require you to click through two or three screens before there is anything that tells the customer they can order online.  That button should be on your homepage, preferably at the top so the client does not have to scroll down.

A call-to-action.  Something as simple as, "Order Now!" is enough to get folks to click on the button. Maybe enclose it in a blinking star - the web is so distracting that sometimes you need some extra pizzazz to call attention to the otherwise obvious.  If you want to get serious, you can add a discount offer - 50% off your second dessert when you order online.

Offer curbside service.  For some people there is only one thing better than walking into a restaurant and picking up an order ready to go - pulling up to the restaurant and having them bring it out to them.  They don't even have to get out of the car.  Allow the customer to enter their vehicle description when placing the order.

This threat to restaurants keeps coming back.

A new study by the NPD Group, as reported in FastCasual.com and Supermarket News, predicts that within the next decade the market for prepared food and ready-to eat meals will increase more than 10 percent, compared to a 4% increase for commercial foodservice.

Supermarkets, convenience stories and even drug stores will be taking a bigger chuck of the traditional restaurant business.

Clearly these are restaurant customers who are interested in convenience. The key to not losing business share is to be more convenient. Online ordering can be a valuable ingredient in your marketing toolbox to reach these customers.

Some of the benefits of online ordering over ready-to-eat meals at retail outlets:

Selection--Ready-to-eat meals rely on a limited selection to appeal to all customers. Online ordering allows your customers to tailor their meal  from your menu.

Freshness--Ready to eat meals are typically prepared days in advance. Even hot food in the supermarket deli has been on display for hours, and picked over. Restaurant meals are fresh and cooked to order.

Time--A meal that has been ordered online is ready to go. Customers only need to park, walk into the restaurant and walk out of with their purchase. A ready-to-eat meal means negotiating a crowded supermarket parking lot, finding out what selection is and is not available, standing in the check-out line and then getting out of the parking lot.

Online ordering is the boost you need in the ever-competitive food service industry. 

Online ordering is the best weapon for addressing change in the restaurant industry…

The Orlando Sentinel, citing several respected industry sources, reports that restaurants that have not spent a huge amount of energy trying to capture the lunch crowd are now refocusing their efforts.

Mid-day meals typically mean lower profit margins and diners that are in a hurry.  Competition for the business, however, has forced restaurants to refocus their efforts.  Some restaurants are at a disadvantage here, reports the article, “… when diners eat out at lunch, they often want something quick — a problem for some sit-down chains.”

A weakness for restaurants in the lunch business is the lack of a good online ordering system.  Ordering online is ideal for the mid-day customer who wants to spend a limited time away from their desk or, better yet, get it delivered.

To compete, it’s important to emphasize the convenience of online ordering to customers, either for pickup or delivery.  You can do this through conversations with customers, in-store signage, messages on receipts, and email campaigns through your NetWaiter Management Console.

“A recent industry survey revealed that the lunch crowd accounts for 34% of restaurant traffic,” said Jared Shimoff, Sr. Director at NetWaiter.  “If that’s part of your business, you certainly want to keep it and expand it.  Online ordering is a key tool for that opportunity.”

Everyone likes to feel as if they are an insider, that they know things other folks don't know.  This includes secret menu items at restaurants.

What's better than a secret menu?  A ‘secret’ menu only available to online customers.

"Online ordering is a natural for ‘secret’ menu items," says Jared Shimoff, Sr. Director at NetWaiter.  "Obviously, it’s impossible to keep things a secret when you post information online, but keeping certain menu items exclusive to your online menu will encourage people to gravitate to your online site and help set your online menu apart from menus at other restaurants."

Often times, secret items are similar to regular items, but in different presentations.  For instance, McDonald's purported Monster Mac - a Big Mac with eight patties (can you say heart attack?).  The ingredients are already on hand.  Alternatively, secret menu items can also allow you to experiment with new offerings before rolling them out to the mainstream.

"If you have a secret menu or customers know the secret menu, they feel like they're insiders," Bret Thorn, senior food editor of Nation's Restaurant News, told NPR News.  "They feel a kind of personal connection to the restaurant; they feel they know something that maybe not everybody else does.  And everyone loves that."

Takeout continues to grow as a percentage of takeout business for restaurants. No wonder when many popular meals are more expensive to make at home (according to this Yahoo article) than ordering at a restaurant. And that says nothing about your time involved in putting the meal together. 

Take full advantage of that takeout market with online ordering from NetWaiter.