A point you should know about online orders: 19

Do you own a restaurant and often ask yourself whether online orders are good or not? Are your online sales percentages high or low? Here’s a summary of a study I came across, conducted in the U.S. market. While this study is for reference purposes only and not formal or certified, it provides insights into market trends that can be useful for analysis.

Key Insights from the Study:

1. Online Ordering Frequency

• About 60% of customers in the U.S. order online at least once a week. You can use this data to forecast future sales trends.

1. Use of Third-Party Services

• 31% of customers use third-party delivery services rather than ordering directly from the restaurant. Are you ready to lose 31% of your potential customers in exchange for the commission charged by these services? It’s a critical point to consider carefully.

1. Average Online Order Spend

• The average customer spends $50 per online order. Evaluate your profit margins to determine if it’s worth sacrificing 20-25% of revenue for third-party commissions.

1. Pre-Order Services

• 20% of customers are willing to spend more at restaurants offering pre-order services. This indicates a need for such services, especially in certain types of restaurants.

1. Growth in Online Ordering

• Online order growth has increased by 300% since 2014, indicating a significant change in consumer behavior and lifestyle. Factors like Netflix, the internet, and video games likely contributed to this trend.

1. Preference for Direct Payments

• 70% of customers prefer paying directly to the restaurant over third-party services due to easier problem resolution in case of errors.

1. Millennial Preferences

• 57% of millennials prefer online ordering while enjoying video games or Netflix, highlighting how these companies have influenced consumer behavior, leading to greater isolation and boosting the demand for online ordering and delivery services.
• 59% of millennial restaurant orders are delivery orders, further supporting this observation.

1. Faster Delivery Demands

• 33% of customers are willing to pay extra for faster delivery services.

1. Third-Party Services Perception

• 87% of users of third-party delivery services said these platforms made their lives easier.

1. Restaurant Loyalty Programs

• 45% of customers mentioned that having a restaurant-specific app or loyalty program would encourage them to order more frequently.

1. Preference for Online Orders

• 63% of consumers stated that they prefer ordering online over physically going to the restaurant.

1. Impact of Delivery Services

• 60% of restaurant operators reported that delivery services gradually increased sales, so don’t expect a rapid boost in sales from the first day.

1. Barriers to Online Ordering

• Among customers who haven’t ordered food online:
• 31% prioritize speed as a crucial factor.
• 26% said discounts and offers would motivate them to order more than speed.

1. Smartphone Ordering Potential

• Online food orders via smartphones in the U.S. are expected to reach $38 billion, reflecting global growth trends, not just in the U.S.

1. Mobile App Ordering Growth

• Ordering via mobile apps grew by 18% compared to phone orders due to the ease of ordering, registering, and payment—an example of cannibalization.

1. Third-Party Delivery Benefits

• Working with third-party delivery companies increased sales by 10-20% in some restaurants, allowing operators to focus on operations without the distraction of managing deliveries.

1. Future Delivery Sales Growth

• Delivery sales are projected to rise by 20% next year due to changing consumer lifestyles and habits.

1. Data Privacy Concerns

• 43% of restaurant professionals expressed concerns about indirect use of their customers’ data by third-party services, fearing the data might be sold to competitors.

By analyzing these insights, you can better understand the current and future dynamics of online food ordering, helping you make informed decisions for your restaurant.