The latest figures from the National Restaurant Association paint a promising picture for the U.S. restaurant market. Overall, restaurant sales are on track to reach $863 billion by the end of the year.
Many restaurants are realizing, however, that they need to provide their customers with delivery options to tap into the market’s full revenue potential, and are partnering with third-party delivery services to give customers the option to order their favorite meals, while raking in extra revenue. The new Order To Eat Tracker highlights how several major brands are embracing third-party delivery services, loyalty programs and other ordering solutions in an effort to win over customers.
Recent Developments From The Restaurant F
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Rewards programs continue to be one of the restaurant industry’s favorite tools to retain customers, with several companies rolling out their first rewards offerings.
Quick service restaurant (QSR) chain Boston Market is among the restaurant brands making their first forays into loyalty rewards. The chain recently debuted its Rotisserie Rewards loyalty program through its mobile app. The program offers online and mobile customers one loyalty point for every dollar they spend at the restaurant. Points can be collected and redeemed for free food items or holiday meals for multiple guests.
Delivery service provider Grubhub, meanwhile, launched its own loyalty system. The program, known as Perks, offers customers redeemable points that can be used through the mobile app. Loyalty points can be redeemed at brands like Taco Bell and Red Lobster.
Grubhub is also working with food magazine Bon Appétit on a new del
ivery-only restaurant model. The two companies are working together on a “virtual restaurant” that will fulfill orders for online delivery. Available orders will include popular dishes from Bon Appétit’s magazine pages and Instagram feed. Orders can be placed using the Grubhub app.
Deep Dive: How Third-Party Delivery Apps Disrupt The Restaurant Biz
Partnerships with delivery services like DoorDash, Grubhub, Postmates and Uber Eats are becoming increasingly important for restaurants to reach consumers in their homes. These partnerships can present their own issues for the restaurants, however, such as high order volumes that leave employees scrambling.
The Tracker’s Deep Dive highlights the benefits and potential pitfalls that third-party delivery aggregators can bring to their restaurant partners.
Tech Helps
Taco Bell Patrons ‘Own Their Ordering Experience’
Mexican-inspired chain Taco Bell is among the major restaurant brands that has partnered with delivery service provider Grubhub to reach customers. In addition to its delivery efforts, Taco Bell is rolling out self-ordering digital kiosks to its restaurants nationwide.
In the Tracker’s Feature Story, Taco Bell Senior Director of IT Rafik Hanna explains how these solutions fit with the restaurant’s omnichannel ambitions, while enabling customers to “own their ordering experience” and access a more personalized ordering experience.
Download the Tracker to read the Feature Story.
About The Tracker
The Order To Eat Tracker, a PYMNTS and Paytronix collaboration, is a monthly report that examines the evolving restaurant space. The report highlights how fast food, fast-casual and QSR establishments are embracing technology, enhancing loyalty offerings and working with aggregated service providers to offer more seamless in-house and delivery ordering experiences, and improve customer engagement.