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In This Case, An Infographic is Worth 1,000 Words

Posted by Dan on March 9, 2015
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The amount of technology being thrown at restaurant owners in today’s competitive marketplace is mind boggling. There are POS systems, kitchen systems, tablets for waiters, and tablets at the tables.  It’s enough to make your head explode.

Making it even more difficult, all of this is happening in a challenging environment. 70% of restaurants in the U.S. are independently operated, and those owners have little time to sit down, weigh all the factors, and determine which technology to invest in.

Online ordering for restaurants, though, is a technology that all independent owners need to evaluate. That’s why NetWaiter assembled this easy-to-digest restaurant infographic about what technology means to a restaurateur, and especially what online ordering means to a restaurant. We’ve culled through the research and selected the numbers that illustrate why online ordering is one of the most significant breakthroughs in the restaurant industry since the implementation of drive-thru windows.

Why, of all the technologies available, is online ordering the most important for restaurants?

Online ordering takes an already growing segment of a restaurant’s business and allows it to grow even more.  According to a recent survey by Technomic, takeout orders are the fastest-growing slice of the pie for casual dining and other full-service restaurants. Over the past three years, takeout sales at full-service restaurants have grown an average of 8% per year, about twice the rate of overall sales growth for restaurants in that category. Factor in, as reported in this infographic, that when a takeout order is placed online, there is a 95% rate of return for that customer (either online or in-person).

The same Technomic study asked consumers what they would have done if they hadn't ordered takeout or delivery the last time they chose that option. An astounding 76% would not have eaten a restaurant meal at all, and another 11% would have purchased a meal at a fast-food restaurant. Not only are you grabbing a larger slice of the pie by growing your takeout business, but the overall pie is growing, too. A restaurant can serve more meals without expanding its physical footprint, and the wait staff does not take on a larger load, because those meals are eaten off premises.

This restaurant infographic also addresses two other elements of the takeout picture that are equally important. The first is the role of mobile devices, particularly smartphones. 50% of restaurant searches are done on a smartphone, and two-thirds of those looking for a restaurant intend to make a purchase that very same day.

Curiously enough, the Pew Research Center reports that, “Nearly all young adults (ages 18-29) make sure their phones are never too far away at night; fully 90% sleep with their cell phone on or right next to their bed.”

By the way, those young adults that sleep with their phones next to them are categorized as millennials, the demographic with the largest share of people who have used online ordering. 58% of millennials report that they use more restaurant technology than they did two years ago. Millennials also make up the largest group of smartphone owners – a whopping 90%.

The result is a perfect storm for online ordering. 1) It’s a growth market. 2) The lead edge of the demographic that most prefers it is coming into their prime years as consumers. 3) The technology that supports it is ubiquitous.  There are about 182 million smartphones in the U.S., according to one estimate. 

Numbers You Can’t Ignore

Posted by Tim on February 20, 2015
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A number that everyone in the restaurant industry has consistently speculated about was recently revealed.  According to BI Intelligence, Americans spend $70 billion a year for takeout and delivery of restaurant food.  Of that amount, the share that is ordered online is a whopping $9 billion, or just under 13%.

Here are some other important numbers to consider:

•    When restaurants enable online ordering, total orders per month at their establishment increase by an average of 11%.

•    The mobile component of digital ordering is growing at an even faster rate and now makes up about 23% of online food orders.

•    An online customer is more likely to re-order within 60 days, compared to a walk-in customer, simply because online ordering is so convenient.

With these kinds of numbers, the next question becomes, what type of online ordering should you choose for your restaurant?

•    Branded or Not?  NetWaiter is a branded online ordering system.  As opposed to portals, which feature hundreds of restaurants, NetWaiter provides an online ordering site specific to your restaurant, reflecting the look and feel of your brand.
 
•    Get Paid or Not?  NetWaiter processes payments instantly and directly to clients.  Portals are infamous for charging customers directly and then holding onto the money for weeks or longer.  Full control over payment processing is an important question to answer.

•    Mobile or Not?  The numbers clearly indicate how critical mobile ordering is to your restaurant.  Make sure your site is fully functional on all mobile devices.

•    Customer Access or Not?  Online ordering opens up a world of opportunities for restaurants.  Having access to your customer information is the first step to maximizing those benefits.  Not all systems provide that access, especially portals.

If you already have a NetWaiter site, rest easy knowing that you have the premier online ordering system in the industry.  If you want to read more about implementing online ordering and the various options available to restaurants, read this whitepaper from NetWaiter.

What to Talk About on Social Media

Posted by Tim on February 11, 2015
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When it comes to social media, your restaurant probably has one or all three of the following: a Facebook page, a Twitter account, and a presence on Instagram.


What should you talk about?


A recent survey of more than 1,200 restaurant consumers asked what guides their choices when they decide where to dine or order takeout/delivery.


  • 83% said that treating employees well is important. Highlight your employee-of-the-month on social media. Did someone get a promotion, graduate from college, or do something great for a customer? That’s more social media material. 
  • 73% indicated that support of their local community influences their restaurant choice.  When you support a local community event, take some photos and post them online.  It makes a difference. 
  • When you promote menu items, keywords such as “fresh”, “locally-sourced”, “whole grain”, and anything “all-natural” are great to mention.


And to no one’s surprise …


  • The survey revealed that the convenience of an online ordering system shares the top spot with taste and quality, which is why you should always make your online ordering easily available to all customers.

Will the Practice of Tipping Change?

Posted by Tim on January 29, 2015
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A number of articles about tipping, which is one of the most customary practices in U.S. restaurants, have been written to re-examine it at all levels.  This humorous video outlines some arguments against tipping and gives everyone some ‘food for thought’.

Restaurant Technology Increases Business

Posted by Tim on January 23, 2015
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Research from the National Restaurant Association indicates that technology, including restaurant online ordering, is playing a larger role in how restaurants attract more customers.

A quick look at some of the information reveals that:

•    36% of customers say they are more likely to use technology options in restaurants than they were two years ago.
•    65% have noticed that restaurants offer more of these options.
•    8 in 10 consumers agree that restaurant technology enhances convenience.
•    7 in 10 say it speeds up service and increases order accuracy.
•    About one-third say that technology options compel them to choose one restaurant over another.
•    About one-third also say that technology options cause them to order takeout and delivery more often.

And interestingly enough,  
•    45% say that technology makes interacting with restaurants more fun.  

New Features Make It Easier for You and Your Customers

Posted by Tim on January 23, 2015
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New features have come to NetWaiter, aimed at making the workflow in your restaurant smoother, and enhancing the customer experience.

New Order Dashboard - Any manager or employee at your restaurant can now see orders as they arrive on any device.  The new Order Dashboard is compatible with all computers, tablets, and smartphones.  New orders flash on the screen until the information has been viewed.  An audible chime can also be played to alert the staff.  Simply click to view the order details and print it to an attached printer, if desired.  Access to the new Order Dashboard is possible from the Dashboard section of the NetWaiter Management Console.

New Quick-Print Application - NetWaiter recently released an upgrade to the Quick-Print App that provides restaurants instantaneous order printouts.  Included in those enhancements is the ability to use one Quick-Print App for more than one account.  For instance, if your restaurant has a catering business in addition to your regular takeout/delivery menu, orders from both sites can be sent to the same Quick-Print App.

Curbside Pickup Enhancements - Now it’s easier for a customer to enter their car information during the ordering process (assuming you offer Curbside Pickup).

New Promotion Code Options - Additional types of promotions are now available from the Promotions section of the Management Console.

How a Restaurant Doubled Its Online Business in Two Months

Posted by Tim on January 20, 2015
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Recent articles about a Florida-based restaurant chain focused on how they doubled their online ordering in their restaurant in two months, from 2 to 3 percent of their volume to more than 5 percent.  Some of what they did was just good sense.  Other things were a bit more innovative.

Here are three that worked well:

  • Revamped their website.  Their new website was easier to navigate and, more importantly, the button for online ordering was moved right up to the front where visitors could find it quickly.
  • Updated Directory Listings.  Each store did a painstaking search of all the directories they were listed in, correcting erroneous info and making updates.  Google algorithms like correct, consistent information. Click-through rates skyrocketed after that information was corrected.
  • Wooed Influential People.  Food bloggers and Yelp Elite members were invited for special events and private tastings.  This resulted in a lot of buzz on social media – Facebook, Twitter, Instagram, and blogs.  Some locations jumped as many as two stars in their Yelp rating.  A half-star increase in your Yelp rating can result in a 19% increase in business, according to a 2012 report by Economic Journal.  That’s worth the investment. 

Important Words and Info in Your Online Menu

Posted by Tim on December 31, 2014
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Restaurateurs have discovered something, and it applies equally to online ordering at restaurants as it does offline ordering.  More detailed descriptions of your menu items, especially when using some key words, helps increase sales, and at higher prices.

Here are a few tips on fleshing out your online menu, and keep in mind that the addition of some of these key words can also help your SEO rankings:

Mention preparation methods – Words such as grass-fed, house-made, in-house and artisanal are all associated with higher prices.  One study found that the average price of an order of French Fries goes up $1.68 when the words hand-cut are included in the description.

What’s the source of the food? – 86% of consumers in a global survey rank ingredient transparency high on the scale of importance.  This used to be a tactic of smaller chains and independent restaurants, but now you see larger chains boasting the origins of their beef and vegetables, or where they may get their catch-of-the-day.  “Locally grown … (fill in the blank)” or a specific region (Northwest, Chilean, etc.) can help boost orders, even at higher prices.

Dietary considerations – Vegetarians, vegans, and those on a gluten-free diet all have a challenge when ordering from restaurants.  Making note of these issues on your online menu will make you a favorite and help increase your sales among people that fit these profiles.  A simple icon attached to a menu item can identify if it’s vegan, gluten-free, etc. 

Add a Personal Touch to Online Ordering

Posted by Tim on December 13, 2014
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In a recent survey by the National Restaurant Association, more than half of the individuals who have not used online ordering say they prefer dealing directly with people.  The good news: you know their objection, and now you can address it.

Here are some tips to make the online ordering experience more personal:

•    Encourage employees to address customers by name when they pick up their order or during a delivery.  Their name is already included with their order information.  Try to connect with them as personably as possible - treat them like a customer, rather than an order number.

•    During a pickup or delivery, employees can also acknowledge special requests – “Your dressing is on the side, just like you requested.”

•    Periodically, at the beginning of the day, have a manger contact a customer that had a large takeout order the night before.  Inquire about their experience and how they enjoyed their food.  Whether by email or phone, you may learn some valuable information.  At the same time, customers will be pleasantly surprised that you contacted them to check on their experience.

What impresses customers is the unexpected.  All you need is a few delighted customers to post something nice online and to tell their friends.  It’s only a matter of time before the customers that prefer to deal directly with people realize it’s time to start ordering online.

Expect Success (with a Simple Plan)

Posted by Tim on December 13, 2014
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With some simple planning, you can expect your online ordering initiatives to be successful.  Here are some key components to think about:  

Stress the Benefits to your Managers – Online ordering is a way for your restaurant to capture more business without expanding your “brick and mortar” footprint.  It can significantly improve your bottom line and customer satisfaction – both of which should be a primary focus of your managers.

Involve Everyone – Make sure everyone knows how they fit into a successful operation.  The kitchen needs to properly packages each order and the hostess or counter staff needs to be able to organize each order so the pickup process is smooth and fast.  Leveraging your team is important because they interface with your customers every day and can make the takeout process good or bad for customers.

Launch Sequence – A common tactic for multi-unit restaurants is to roll out online ordering at only one or two locations to start.  Managers can refine their operations and pass on the ‘best-practices’ to the other locations.  While each location is going to have its unique quirks, it’s important to maintain consistency as best as possible.

Some Restaurants Perform Better Than Others – It’s not a failure if one location isn’t performing as well as another.  Every location will be a little different and it’s a function of many factors.  Local demographics play a huge role.  Restaurants in an area where the millennial market is strong will adapt to online ordering more quickly.  Local businesses and office lunch orders could significantly benefit certain locations more than others.  Every location will have different levels of success, but you can still expect all of them to be successful!
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  • Millennials – adults 18 to 35 years old – are the ideal candidates for restaurant online ordering.  Many of them don’t remember a time before the Internet.  Most of them have a connected device within arm’s reach, day or night, whether it’s a laptop, tablet, or smartphone.  Restaurant online ordering is natural for them.

    There are, however, some things you need to know about this group – things that can make a difference for your restaurant and your online ordering business…

    20% Less.  Millennials, as a group, currently eat out 20% less than other demographic groups. The Great Recession affected them profoundly.  They aren’t afraid to cook for themselves; however, they don’t like to cook all of the time.

    The Amazon Generation.  Millennials don’t remember a time when there was no Amazon.com.  The result: they expect a user-centric, friction-free experience with their business transactions.

    Loyalty.  Millennials are loyal, so much so that they don’t need or care a lot about loyalty programs.  A friction-free experience is much more important.  As a group, millennials are the least likely to review sites such as Yelp when making decisions.  They know what they want.

    Window of Opportunity.  More than 50% of millennials make their buying decision in the six-hour window before they eat, with 29% of that group admitting that the window is closer to one-hour.  17% of millennials don’t even plan that far in advance.  Getting your message to them when they are deciding is important.  Millennials also like businesses that communicate with technologies they prefer – Facebook, Twitter, and Instagram.

    Key Lessons:
    •    Millennials expect consistent and convenient service more than discounts and loyalty clubs.
    •    Communicate frequently and with the right platforms to reach millennials.  Stay top-of-mind so they choose your restaurant whenever they decide to place an order.
    •    Make your takeout and delivery as convenient as possible.  Millennials may dine at restaurants less, but they don’t always want to cook for themselves.  Your restaurant’s online ordering site is the key to their dilemma.

Serving the “Need States” of Online Customers, Part 2 – Routine Customers

Posted by Tim on October 29, 2014
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This is Part 2 in a series of articles about attracting the “need states” of online customers - the needs and key decision-making points of each customer segment.  The last piece addressed Special Occasion Customers.  Today we address Routine Customers.

Routine Customers.  According to a recent survey in the restaurant industry, about 30% of patrons account for 60% of the traffic in a restaurant.  These are the customers you want.  What interests these Routine Customers?

• Convenience.  There are things you can do to enhance convenience beyond just the ability to order from a mobile phone – specified takeout parking and a separate pickup line for takeout orders inside your restaurant are both great.  If possible, you can step it up another level and add curbside delivery in your parking lot.

• Outreach to the local area.  We know of a sandwich shop that partnered with a property manager, supplying complementary salads as part of a tenant appreciation day at a local office complex.  Each complimentary salad included a card with an online ordering promo code.  Every person within the office complex immediately knew about their restaurant, how good their salads are, and had a discount on their next online order. 

• More outreach. Respond to what’s going on in the community.  Harsh weather?  What kind of special offer can you email to your customers to help alleviate their pain?  A well-known burger chain in California sent their mobile truck to the site of some local flooding a number of years ago and handed out free burgers.  Talk about developing word of mouth!

Up Next: Part 3 - Attracting impulse customers to order online.

New Upgrades for NetWaiter; Mobile Ordering Enhanced

Posted by Tim on October 18, 2014
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You may have noticed NetWaiter recently released some upgrades to its restaurant online ordering system.  So far, the customer feedback has been great and we hope you’re hearing good things too.  Here are a few of the upgrades:

More Attractive Site – NetWaiter has created a smoother, more attractive site for customers as they navigate their way through your online ordering site.  The general ordering process has not changed much, however, please feel free to evaluate your custom site design to determine if any ‘refreshing’ may be warranted.

Enhanced Mobile Ordering – Your site is now more user friendly on mobile devices.  Your previous mobile site has been upgraded for easier navigation and performance.  NetWaiter has also extended the Group Ordering feature to be available from mobile devices.  Previously, customers could only join a Group Order from their mobile device.  Now you can initiate a Group Order from any device/computer.

Stronger URL Branding – Previously, when a customer visited your NetWaiter online ordering site, the URL would be shown as www.netwaiter.com/Your_Restaurant. Now, your restaurant name is shown first, to better reflect your restaurant and brand: Your_Restaurant/netwaiter.com.  You do not need to make any changes to the links you have on your website – customers will automatically be redirected.

Serving the “Need States” of Online Customers, Part 1 – The Special Occasion Customer

Posted by Tim on October 18, 2014
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Making sure your restaurant attracts as many online customers as possible depends, in part, on understanding the “need states” of customers – the needs and key decision-making points of each customer segment.  This is the first of three articles looking at the various types of online customers and their specific needs.  Part 1 looks at Special Occasion Customers.  Part 2 will discuss Routine Customers, and Part 3 will address Impulse Customers.   

Special Occasion Customers.  These patrons want to celebrate a special event – i.e. a birthday or job promotion - with a special takeout meal they can enjoy at home or at some other special location.

• Reliable, dependable service.  Customers know they can depend on you to come through when it really counts.  Their online order is ready when they come in, and the food is always great.

• Attractive, leak-proof containers.  No one wants to mar the occasion by having to clean up a mess.  Also, make sure those containers allow for the best presentation of the meal.  Customers don’t want to open a container and be confronted with “takeout mush.”

• Special Offers.  You might be able to make an extra sale if you offer something special - like a pair of candles to complement their nice meal.  This customer can be easily upsold items because they are ordering for a “special” dinner.  The best way to capture that extra revenue is to cross-sell, like suggesting side orders with entrees.

• What type of special occasion?  You can ask the customer as part of the checkout process: Is this a special occasion? If so, what type?  Based on their answer, you may be able to provide them something special to recognize their celebration.

Tips for Effective Facebooking and Tweeting for your Restaurant

Posted by Tim on October 3, 2014
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You regularly send out messages to your social media followers – Facebook and Twitter – about news, deals, restaurant online ordering, takeout, and other general information about your restaurant.  But how do you know that your messages are effective, and you’re not just throwing meaningless content out there?

Here are a few tips:

Maintain your brand voice. Whatever your brand image, make sure you keep it consistent.  It’s who you are – don’t deviate from your image.

Watch what gets action. If you see spikes in comments, likes, or sharing and retweeting, then you have hit a nerve with your audience. Did you get a lot of action when you posted info about your new recyclable takeout containers?  Or, something simple like Taco Tuesday?  If so, that’s important to your audience.

Include photos and video. People look before they read. Photos of attractive dishes, a video of the final preparation of a menu item, or just your chef slicing onions faster than the eye can see. All are interesting to the social media follower.

Keep an ear out for oversaturation. There is such a thing as too much. Don’t sacrifice quality for quantity. You don’t want to annoy people. 

And for Twitter only…

Pin important Tweets. This makes sure it stays at the top of your profile. Do this to attract attention to special offers and information that you don’t want your followers to miss. 

Request a retweet. Ask specific folks to help spread the word about your restaurant and let them magnify your voice. 

Use Online Ordering to Tackle Sales this Fall Sports Season

Posted by Tim on September 19, 2014
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Fall is a triple witching time for a restaurant’s takeout and delivery business.  Summer travel schedules are mostly done, allowing for more routine dining.  Takeout and delivery gets a boost in business from the double punch of college and professional football games. Then add October for playoff baseball and the World Series.  Some people love ordering in and enjoying the game at home, rather than visiting their local watering hole.

What sells during game time?  Wings see a 45% increase in takeout orders during football season, while orders for beef and broccoli see a 26% jump in the Chinese food category.  Pizza, of course, is off the charts during sporting events.

What can you do to draw that online takeout business to your restaurant?  Here are some tips:

•    Promote specials to customers ordering online.  Order an appetizer for a game and get 50% off a second appetizer.
•    Craft entree and combos that are particularly applicable because they work well for takeout.  These online combos should be “guy-oriented” – like pizza, wings, sandwiches, chips and guacamole - things that go well with sporting events and groups of enthusiastic spectators.

Is Your Restaurant Online Ordering Skyrocketing or Slumping?

Posted by Tim on September 19, 2014
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NetWaiter is often asked, “How can my restaurant’s online ordering sales skyrocket immediately?”

First and foremost, every restaurant is different.  We know - that line is never fun to hear, but it’s true.  If people don’t like your restaurant’s food, they aren’t going to like it any better because of the way they ordered it.  Thankfully, restaurant owners using NetWaiter are smart, sell great food, and their customers love ordering online.

There are many traits that successful restaurants have in common.  After speaking with a lot of owners and managers, we’ve compiled a list of the most important factors needed to launch your online ordering sales into orbit and some tips to assist:

Embrace Online Ordering and “Take Ownership” of It. Get everyone at your restaurant to embrace one of the most powerful sales tools you have.  “Take ownership” of your online business.  Few parts in any business are autonomous and require little to no strategy or thought.  Give it some attention and thought and it will reward you significantly.

Get The Word Out.  Like anything, people need to know you offer something if you expect them to take advantage of it.  
-    STEP 1: Make sure you have at least one ‘Order Online’ button on your homepage.  DO NOT make people search or scroll to find your online ordering menu.  You should also have links to place orders on other pages of your website for easy access.
-    STEP 2: DO NOT link your ‘Order Online’ buttons to another page, forcing customers to, yet again, click another button.  Send customers directly to your online ordering menu.  They love online ordering because it’s convenient.  Forcing them to click around your site or search for your online ordering menu will only irritate them.
-    STEP 3: Get employees to help spread the word to all of your customers.  

Simple Advertising.  Some of the following tactics are very simple to implement and will help you advertise your online takeout and delivery business.  
-    1) Attach ‘flyers’ to all phone-in orders that mention your website and online ordering.  (TIP: Order some inexpensive or free business cards from a place like vistaprint.com).  This is also a great tactic if you are trying to convert expensive portal customers to order directly from you.  A small promotional discount for ordering directly from you will go a long way.
-    2) Display signage inside your restaurant.  The next time a customer is in the mood for takeout, they’ll visit you online first.  
-    3) Mention your online ordering system and website address to all phone-in customers.  The truth is – they don’t want to be calling you anyway.  They would rather place their order online and you do too – average order sizes are much larger online.
-    4) If someone calls your restaurant during a rush, there is a good chance you’ll put them on hold. Make sure your on-hold message mentions your website and the ability for them to order online.   

Your goal is to have skyrocketing online sales, but don’t get discouraged by a slow start.  With additional NetWaiter features, like our Facebook integration, email marketing, and promotional system, you’ll be able to kick things into high gear.  It’s all about building momentum.  The nice thing about it – once you have it, it’s hard to slow down.

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