Elevate Takeout Profits with Third-Party App Strategy
Third-party delivery and takeout apps introduced a world of convenience for diners and a valuable expanded revenue stream for restaurants. Polled diners are 66% more likely to order takeout than they were prior to the pandemic, and customers continue to value online orders. Restaurant owners need to know how to leverage the increased customer pool that apps provide in a smart, sustainable way to grow their business.
Take Advantage of the Third-Party App Audience
Maximizing the value of online ordering means rethinking how you use third-party apps. Currently, many restaurants do not use apps to the full benefit of their own profits & growth.
When diners order exclusively through third-party apps, the business that benefits the most is the app, not the restaurant. These third-party orders put the app’s brand first, come with costly commissions—as high as 30%—and often prevent restaurants from accessing valuable customer data that can be used in targeted marketing campaigns.
However, it is possible to leverage apps to your restaurant’s advantage. Third-party apps have the potential to expand your audience, which can be invaluable to your restaurant. According to Toluna research, 53% of surveyed diners open up a third-party app unsure of what they wanted to order—meaning over half of users might open the app to discover and order from your restaurant. That represents a huge opportunity for your restaurant’s growth.
Ensure Customers Order Directly from You
Once customers discover your restaurant through a third-party app, it’s time to convert them into a diner who orders directly from you. Direct orders give customers all of the convenience of online ordering that they appreciate from apps, but they also benefit your restaurant because they put your brand front and center, avoid high commission fees, allow you to collect valuable customer data and give you more control over the customer’s experience. All of these factors add up to more profitability for your restaurant, with little change needed on the customer’s part.
According to our survey, 75% of restaurant owners agree that converting third-party app customers to direct-order diners is an important part of their business strategy. Despite this, only 46% of respondents had a plan in place to do so. Simple, actionable solutions are needed.
The good news is that there are multiple ways to convert third-party diners and many of them can fold into your existing marketing efforts. Here are just a few of the solutions available:
1. Slip a card into their takeout bag.
When diners order through a third party, slip a card into their delivery or takeout bag to let them know that they can order from you directly. It’s one of the easiest ways to raise awareness among your existing customers.
2. Offer promos on direct orders.
A discount on a customer’s first direct order is a great way to catch their attention. Pair this with the above card for maximum impact.
3. Select your preferred ordering channels.
Your Google profile allows you to select your preferred ordering channel, so make sure it points to your most profitable one: direct orders.
Order Up More Online Profitability Solutions
Our free e-book offers even more detail about how to boost your online order profitability. This digital guide gives you a detailed breakdown on how to take control of your takeout and raise your profits among new customers, existing ones and how to streamline your order management for maximum productivity.
For every step of your online profitability journey, ChowNow helps you achieve your goals. With the right tools for commission-free website and app ordering, marketing resources to help convert diners and drive repeat orders, as well as order aggregation features to easily manage incoming app orders, ChowNow raises your restaurant’s profitability potential.
Download our online order profitability e-book to learn more!