The Future of Mobile Ordering for Small Business Owners

Boost Your Business with Mobile Ordering

It’s no secret: starting your own small business takes a lot of bravado. Small business owners are the visionaries – the hard-working risk-takers that are willing to do what it takes to transform their passion into a paycheck. Part of being a successful business owner is staying open-minded and keeping up with the latest trends to satisfy customers’ needs. In a world where consumers have become accustomed to instant gratification and ease-of-use in ordering online, food ordering apps for restaurants are quickly becoming a new consumer standard. 

We Want it Now: Meeting a Growing Demand in a Millennial Market

food ordering apps for restaurants

As consumers become more familiar with online ordering in both retail and culinary trends, food ordering apps for restaurants are quickly becoming the new standard. Business Insider Intelligence Reports find that orders placed by smartphone and mobile apps will become a $38 billion industry by 2020. In just two years, it is projected that these orders will comprise 11 percent of all quick-service restaurants sales.

Now more than ever, millennials are enjoying their meals from home. In fact, when millennials order from restaurants, they’re dining in just 42 percent of what they used to. Data show that millennials are utilizing takeout services 40 percent of the time, and delivery 19 percent of the time, according to a recent study performed by Restaurant Business. As a small business, it is essential to target this growing demographic of diners who seek convenience and quality. 

Branding Wins Big on Mobile

By creating a recognizable, branded ordering app for your business, you are able to insert yourself right where young consumers spend their time: on their mobile phones. The busy modern consumer demands streamlined purchasing, the ability to shop without long lines and an efficient purchasing experience. Food ordering is no different.

By developing a food ordering app for your restaurant, you will require fewer staff to take payment and fill orders. The use of an app can also work to limit long lines and wait times, meaning that you can service more customers per hour and increase your revenue

 

Create Loyalty 

customer loyalty

Not only does the use of a mobile ordering app increase efficiency and productivity, it provides business owners with the ability to connect with their consumers on an intimate level. Loyalty programs can be attached to your ordering app to increase engagement with existing customers, strengthening the bond between business and consumer.

Hazlnut works to create systems that feature the branding elements that attracted your consumers in the first place. These systems work seamlessly with PoS systems like Clover, to allow for mobile ordering while increasing loyalty and providing marketing opportunities.

When creating your unique ordering app with Hazlnut, it’s important to consider your brand’s goals and to tailor your loyalty program accordingly. Thinking about what action you would like your consumers to take will work to promote behaviors that are right for your business. Creating a loyalty system that’s in-brand and features rewards and instructions that are simple and easy to understand will be the most enticing to consumers.  

Ready to take your business to the next level? Schedule a demo today

Are You Being Left Behind?

Are You Being Left Behind?

Top 5 Reasons Restaurants Need a Mobile Ordering App

As technology keeps improving and becomes increasingly more ubiquitous, restaurants are turning more frequently to mobile applications (iOS and Android) to enhance the customer experience. Restaurants are creating mobile apps that track loyalty and make menus available.

According to a recent statistic from the Pew Research Center, 40% of U.S. adults have ordered food online. This trend is projected to go even higher in the near future. By 2020, 70% of all foot traffic will be outside of the restaurant. That’s a staggering number.

As technology becomes more powerful, the cost for small businesses to adopt such technologies is becoming increasingly less expensive. Restaurant owners can (now more than ever) take advantage of mobile trends to increase revenues and improve the customer experience.

If that isn’t enough to decide if mobile ordering makes sense, here are a few more reasons to consider:

1. Improved customer experience

With a mobile ordering app, customers have the flexibility to order when they want and where they want. This leads to shorter lines and improves efficiency with the customer buying cycle. Employees will spend less time on the phone taking orders and more time with guests dining in the restaurant.

2. Larger average check size

When customers place orders through their phones, check sizes increase 23% on average compared to their in-store counterparts. Why is this? Seeing a menu in digital form is a lot easier to digest. Not only this the ordering process is much smoother and flows in a much more natural progression. One of the main reasons check sizes are larger, on average, is because ordering apps never forget to upsell the customer. Maybe they wanted that guacamole after all!

3. Increased take-out revenue

Not only are check sizes increasing, but take-out revenue grows on average by 30%. Some restaurants have even seen their take-out revenues double.

4. Customers are connected now more than ever

A recent study by the Pew Research Center found that 8 out of 10 Americans shop online on the web or through their smartphone. In addition, 51% shop exclusively on their phones. This number is only projected to increase as customers become more connected.

5. Improves the ordering process and reduces mistakes

Also, the ability to see and build orders in a mobile app also helps reduce human errors. This in turn increases order accuracy and improves the customers overall satisfaction.

 

5 Key Trends in Mobile Ordering

5 Key Trends in Mobile Ordering

Millennials + Smartphone Apps 

While mobile ordering may seem like a new trend, it’s been fermenting for some time. What once started as order-by-fax is now done almost exclusively by smartphone apps. Most people enjoy the convenience of being able to order at any time, skipping the lines upon arrival, and millennials, especially, have grown up with the internet and apps being as ubiquitous as the fax machine once was.

To get an idea of where the industry is headed, here are some recent statistics about the growing demand of mobile ordering:

94% of millennials already use their smartphone in restaurants, bars, and coffee shops

Millennials are the most connected generation and you would be hard pressed to find one who isn’t connected in some way.So why not put all of that energy to good use at your restaurant? According to a report by Oracle Hospitality, a mere 6% said they would not use their smartphones in a food related establishment.


56% of millennials want to be able to order from their smartphone

According to the same report56% of millennials want to be able to order from their phone and 38% have already ordered takeout/deliver.

This is a trend that continues to climb as technology makes mobile ordering that much more convenient and when available, they will use it.


Millennials eat out 23% more per week than non-millennials

While millennials do eat out way more than baby boomers and Gen-Xers, they are also a healthy bunch who prefer local and fresh restaurants over fast food joints.

And while this demographic visits fast food restaurants more than any other, they won’t recommend it to a friend. Instead, they prefer fast casual much more.


Mobile Ordering is Expected to Become a $38 Billion Industry by 2020

Mobile payments are not only gaining popularity in the retail sector, restaurants (QSR specifically) are also building mobile ordering platforms as a way to increase sales and build stronger relationships with their customers.

While this technology is still relatively new, it is growing and is predicted to become a $38 billion industry by 2020, accounting for 10.7% of total QSR industry sales.


30% Increase in Order Value When Ordered via Mobile

mobile restaurant ordering trends

Some of the bigger chains are seeing enormous ROI when implementing a mobile ordering platform.

For example, Taco Bell sees 30% higher average order values on mobile compared to in-store. In addition, Starbucks is seeing 10% of all purchases increasing company sales.