The digitization of the HoReCa business was fast even before the COVID outbreak. The pandemic has boosted the trend and now digital systems like Ordering Stack are not a fancy add-on, but the core way to support goals and KPIs of every modern restaurant or cafe,
The pandemic was both a brutal hit to the traditional restaurants and a huge boost for digital ordering. While the majority of the restaurants have been closed due to the lockdown and restrictions, online ordering thrived, with Uber Eats doubling its earnings in the second quarter of 2020.
But this is only a part of a bigger picture
HoReCa in a post-pandemic world
According to the Eurostat data, the performance levels of the hospitality sector was in June 2020 at half of what it was in the last quarter of 2019. After a short revive in the last quarter of 2020, the business has witnessed a further decline in the first quarter of 2021.
The value of the online food ordering market is expected to spike from $126.91 billion in 2021 to $192.16 billion by 2025. The growth is fueled both by the new habits shaped by the pandemic as well as the fact that the industry is recovering after the madness of lockdown and restrictions.
The reshaping of buying habits is one of the crucial elements of the new reality. And this reshaping is mirrored by the changes in the way the companies are operating and how the software supports their goals.
What key KPIs to pick when running HoReCa business
In the post-pandemic, hybrid world, companies need to blend online and offline sales. And this gets reflected in the KPIs that support reaching business goals in the new reality.
Order Value
One of the most obvious ones. Order Value reflects the value of a single order, no matter if it is done online, offline, or in any hybrid mode available. Once the company starts to consider the order “a cart” and is fully aware of the possibility of the cart value optimization, the new ways of doing business open.
First of which is using the digital tools of cart value optimization.
How Ordering Stack helps
Ordering Stack comes as a great tool to build up the order value by flexible interface optimization. Every piece can be customized and adjusted to better fit the company or customer needs. Also, Ordering Stack supports extensive testing and analytics to deliver the most efficient environment possible.
Considering that, the system supports the process both as the main tool (to optimize the interface) and auxiliary one (to count and analyze the outcome).
Order volume
Another indicator joined with the order value. The order volume refers to the number of goods that are purchased in a single order. Usually – the more the better, but not in all cases. Sometimes this indicator performs the auxiliary role only to deliver more information on the order and stocks ratio.
But in most cases, the main goal is to encourage the customer to buy more during a single order.
How Ordering Stack helps
Ordering Stack supports this goal with multiple built-in options to cross- and up-sell. In the basic configuration. These tools are ready to use out-of-box, without the need to tune them or configure them in a timely manner. Finally, it not only changes the number of products in the basket, but also significantly increases the average value of the order.
Also, Ordering Stack is a cloud-based, stable solution and by that, the tool supports building up the order volume as a stable and reliable environment to experiment and run new scenarios. Thus, there is no risk that the system will not accept new types of promotion or selling techniques.
Last but not least, the tech support team from Ordering Stack is there to help or build in the desired feature.
Time-saving
“Time is money” is an aphorism attributed to Benjamin Franklin. Yet the saying had appeared before in various contexts. Mr. Franklin used this aphorism to point out the monetary costs of laziness.
In the business context, this applies to performing all back office duties that are not directly related to earning money. In the restaurant, it applies to all paperwork like entering the menu, managing it, or cooperating with marketplaces and integrations. While not directly a “time-wasting”, these duties stack up to manhours, which are paid.
And cutting the non-performing time can be a great goal to achieve.
How Ordering Stack helps
Automation is one of the core functionalities of the Ordering Stack. There are multiple workflows that can be automated using our system, with menu management and integration with external partners being the top (but not the only) example. Also in combination with a self-service kiosk, it allows you to move employees to other positions and reduce the queue.
Ordering Stack has multiple features that support the restaurant back office, like delivery area management, workflow management, or queuing both the orders and the work to be done. With the software being placed in the cloud, it is easy to manage not only one restaurant but all localizations at a time. And by that, savings scale up with the size of the business.
New customers acquisition
This is the second pillar, apart from the cart value, of building up the cash flow. The supply of new customers is the key aspect of earning more money and spreading the word. The more customers there are, the more likely they are to recommend the restaurant to their peers and by that, build up the customer base.
Also, once the client has purchased, the way to loyalize him or her can be initiated.
How Ordering Stack helps
Ordering Stack brings multiple marketing integrations to the table, with the ability to process and queue the orders from multiple channels. And there is the prime advantage given by implementing the system – new channels can be established at will.
By that, the company needs not to implement multiple new tools or means to start searching the customers in new environments, be that Facebook or one of the available marketplaces like Uber Eats.
Building customer loyalty
As mentioned above, once the customer had purchased, the work toward making him or her loyal can be started. According to Accenture, 57% of customers spend more on products from brands they claim loyalty to. Thus, making the customer loyal is profitable twofold:
- The customers buy for more
- The company pays less for an acquisition
How Ordering Stack helps
Ordering Stack comes as support by skyrocketing the customer experience of the customer. The system offers multiple ways to boost the overall purchasing process, from more convenient ordering options to digitalization of the process to provide new, more sophisticated payment options.
But again, there is also the aspect of automation not to be underestimated. With Ordering Stack the customer gets better service, faster delivery, and multiple convenient ways to order his or her meal. And the great experience is the way to make the customer loyal. According to the SuperOffice, up to 86% of buyers are willing to pay more of a service with a superior customer experience.
Summary
The modern restaurant business is challenging and complicated. The sector is yet recovering from the blow dealt by the COVID-19 pandemic. But the digital revolution has been there before and the pandemic has only boosted the rapidity of the changes.
Ordering Stack is the best solution to deal with modern challenges. If you wish to discuss this more or talk about the ways to support the daily operations of the restaurant, don’t hesitate to contact us now!
