Blog

Does your QSR's online ordering partner have these 4 key qualities?

Selecting a food ordering app should be done with great consideration to whether the company you're considering is almost as invested in your success as you are. These four key qualities indicate you're on the right track with the provider you're considering.

July 15, 2019 by Robert Kim

Sixty-two percent of consumers say that they're more likely to patronize a restaurant that offers online ordering capabilities, a fact that shows distinctly how big a chunk of revenue digital orders represent for QSRs today. In fact, on average, consumers spend 26% more on food when they order online or via mobile, putting digital food orders on track to hit $38 billion by 2020. 

So what can QSRs do to level up their digital presence and grow revenue, without giving up too much of their margins to a partner or vendor? First, it's important to recognize that QSR owners have a number of challenges when they initially work with a food ordering app, including the struggle many encounter managing orders from the web, via mobile devices and in-store orders simultaneously. 
This array of order origination only adds to the difficulty operators already have in properly designing or redesigning their stores in ways that maximize throughput. Additionally, with so many food apps and delivery services to choose from, many operators also encounter difficulties establishing answers to questions like: 

• What's a standard fee or percentage that apps charge per sale?
• What amount of money constitutes a good investment in the future and when am I getting fleeced?

As the co-founder of a food ordering app, my day-to-day job is looking at QSRs with an eye toward how they might improve their capabilities related to online ordering including recommendations about everything from a store's physical layout and digital footprint, to ways to increase throughput and improve sales. 

However, only 53.9% of QSR managers view ordering through a third-party app positively today, which means that many food ordering apps aren't taking a restaurant-first approach to their business, nor are they doing all that they could be doing to set up QSRs for success. But operators must always remember, you're in the driver's seat when it comes to partnering with a food ordering app. 

For instance, when I begin work with a QSR or new client, I remind them that a good partner will listen and cater to their needs, so here are qualities every QSR should look for in the right food ordering app partner:

• They both understand and help improve logistics to ensure a restaurant's pickup area is appropriately located to ensure maximum ease of traffic flow. The provider should visit in-person and advise you, based on what their customers are currently using and what's working for them. 
• They will invest in your successby working to prepare your QSR to meet the challenges of food ordering via app. This may mean, for instance, that they provide something like shelving or other organizational tools to ease operations or prevent orders from piling up on a small counter. If you're having issues maximizing your space, let your partner know so the two of you can problem solve together.
• They do not mandate an an exclusivity agreement. Quality food ordering app partners understand that it's not in the best interest of most QSRs to sign exclusivity agreements. Likewise, they should let their QSR partners determine which services are best for their businesses, whether that be one or five. The bottom line is that the best vendors look at this as a partnership and will not make you sign contracts or exclusivity.
• They will work to determine how food ordering app data can help you make better business decisions by sharing insights gleaned from the QSR's business for their use without cost. Similarly, good partners have a treasure trove of data at their disposal, while the best partners will work with you on campaigns to attract new customers and encourage repeat visits. 

A good partner will help you navigate the challenges of a digital-first world and ultimately show they are nearly as invested in the success of your business as you are. 

Photo: iStock
 

About Robert Kim

---

Robert Kim is a Co-Founder of Ritual, the mobile pickup app connecting restaurants with customers to offer a simple time-saving way to, pay for and pick up lunch and coffee orders for themselves and colleagues On the platform, restaurants have seen 3-4x growth in repeat customers & order sizes.

Connect with Robert: