The outbreak of COVID-19 has made online food delivery a popular channel to preserve the restaurants’ revenue while increasing their customer outreach. A restaurant has two options for an online food delivery system – an in-house delivery system or a third-party service.
Even though restaurants can enjoy several benefits by teaming up with a third-party service, they charge hefty commissions, further pushing the expenses. An in-house delivery system ensures that doesn’t happen.
To operate an in-house online food delivery system for restaurants, they are needed to employ staff trained in delivery, providing them with the necessary mode of transport to deliver food parcels.
Advantages of Having an In-House Delivery System
The Restaurant Industry & Market Evolution published a report which said the percentage of online orders received by restaurant operators through direct channels was 43%. Half of this percent was reported to prefer ordering via the restaurant’s mobile number or on WhatsApp.
Given below are the reasons why the best online food ordering system for restaurants is an in-house delivery system:
1. Full Control Over Delivery System
An in-house delivery system ensures that the restaurants fully control the delivery experience, which helps meet customer expectations. In case of route optimization or mismanagement, they can make changes directly. Having a third-party food ordering platform means placing a request with them when such situations arise. Plus, the restaurants can train their staff how they want to and optimize a customer’s experience.
Since they have absolute control over the staff, the restaurants can set their delivery guidelines for better efficiency of delivery operations. There are loads of food delivery software installed, which helps automate and streamline the delivery system wholly.
2. Customers Provided with Better Services
Having an in-house delivery system means a restaurant can train its staff however they want and use a delivery model and product offering of its own choice. This, in turn, ensures the customers are getting a top-notch food delivery experience, which encourages them to order again. Everything is under the restaurant’s control, ranging from taking orders to the appointment of a delivery executive.
A restaurant can be assured that the right kind of service is being provided to its customers as its employees manage the entire order circle. If any customer makes a special order, there is a better chance of providing an On-Demand food delivery software that helps retain existing customers.
3. Delivery Time is Reduced
The food delivery executives of a third-party service usually have to juggle between multiple orders. So, it might lead to delayed orders when placed through a third-party food delivery platform, affecting a restaurant’s reputation.
As the orders are specific to a particular restaurant, the delivery executives have to tackle fewer orders which means food can be delivered in less time and optimized delivery time. Moreover, the number of orders serviced in a given timeline increases.
4. Profit Margin is More
One advantage that makes an in-house delivery system very attractive is better profit margins. It helps the restaurant in keeping a better profit from each order, thereby increasing its revenue. Recurring costs and hidden commissions charged by the food delivery services can also be avoided. A research study shows that it is 50% less costly to maintain an in-house delivery system than using third-party apps.
To accommodate the expense of paying a considerable amount of commission to delivery apps, a restaurant has to adjust its online menu prices. This discourages the customers from ordering in, which means the restaurant loses money. Without third-party platforms in the mix, it can reduce its menu prices, attracting potential customers towards delivery.
5. Brand Loyalty Increases
An integrated in-house delivery service means a restaurant can keep its brand perception consistent, which can help it stand out from its competitors. The added convenience provided makes it look good in front of its customers, giving them an incentive to return again and again.
Many competitors employ the same food delivery system; increased brand loyalty warrants these competitors do not overshadow a restaurant’s business.
Besides the advantages mentioned above, incorporating an in-house food delivery service will lead to better management of orders and elimination of communication barriers. So, all-in-all, it’s best to incorporate an in-house delivery system rather than opting for third-party delivery services.