11 Ways Mobile Technology Helps Restaurants
Can mobile technology help the restaurant and retail industry? Consider a 2018 Pew Research Survey showing that 94% of adults aged 18-29 in the United States own a smartphone. Also, 89% of smartphone users are 30-49 years old.
If restaurants, cafes, or retail companies want to reach their target demographics, they must connect with them through the devices they use the most: their smartphones.
The same survey showed that 49% of Millennials prefer a digital restaurant receipt to a paper receipt.
That age group is the most opinionated, adept, and engaged group of mobile users anywhere.
While there are many more, here are the top eleven reasons mobile technology is worth the effort.
1. Increased Visibility
Brands can use mobile technology to know when guests are in or around different locations. Marketing specials, upselling, or encouraging guests to visit again are also productive uses of mobile technology.
2. Better Connections
The flexibility that mobile devices provide is one of the most significant benefits. Mobile ordering, for instance, can make the ordering experience more straightforward for customers, and it might even make the lines shorter and increase business efficiency. Mobile ordering also reduces human errors, another plus which can improve guest satisfaction. Hosts and servers will also spend less time on the phone.
One restaurant using this technology for its benefit is Subway, which allows users to choose and pay for their meal before leaving their home or office and allowing guests to pick it up without any wait at the restaurant. The chain now has shorter lines and wait times in its stores. Starbucks also uses mobile technology ordering and has seen results similar to Subway. In fact, as of July of 2016, mobile orders and payment account for 20% Starbucks' transactions or about $9 million every week.
3. Online Ordering
According to Facebook's restaurant report, digital channel sales are on pace to reach 30% of total sales for U.S. restaurants by 2025. Additionally, 60% of U.S. consumers already order delivery or takeout once a week. Especially within the restaurant industry's unstable pandemic climate, it's crucial to capitalize on online orders as much as possible. Online marketing to tell guests about online ordering capabilities is paramount.
4. Increased Profits
Surveys have shown that customers who use traditional loyalty programs total about 12%, but when they had the chance to pay from a smartphone, that increased to 18-28%. When customers had the additional option to order online, that number increased to 15-35%.
One restaurant that has used mobile technology successfully is Earl of Sandwich. Their customers spend an average of 22% more when using the restaurant's mobile technology.
5. Improved Loyalty
One business that has used a loyalty program successfully is Chili's. Their loyalty program is entirely digital. The chain provides personalized offers to customers based on their purchases. Chili's offers challenges to customers so they can gain points, which allow them to try a new menu item. Additionally, Chili's has small kiosks at tables so customers can participate in the program while dining, thus accumulating points.
Taking virtual loyalty a step forward, Bloom Intelligence offers a loyalty program that integrates with Cisco Meraki access points. The access points ping off of guest cell phones (whether or not they connect to WiFi) tracks their visits on autopilot. After a custom visit duration, Bloom can automate a loyalty offer and send it directly to customers based on their customer profile contact information.
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