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3 Myths about Digitization of Your Restaurant
The restaurant industry is currently on the cusp of a digital revolution. However, it is increasingly clear that digital transformation is not just a trend; it is a necessity.
Restaurants that are slow to embrace these digital changes not only risk not thriving in the modern age, but also falling behind their competitors in a race they may never recover. Join us in this blog as we debunk the most common myths associated with digitizing the customer experience and shed light on the reality of this transformational journey.
A common myth is that digital transformation will depersonalize the customer experience. Businesses often worry that they will lose touch with their customers if they don’t interact with them directly. In fact, digital touchpoints can dramatically improve the customer experience. These digital interfaces enable customers to interact efficiently, get fast service and do everything using their phones. At the same time, restaurants can collect, analyze and use data efficiently for further personalization or targeting.
For example, users can easily select menu options depending on their needs, access allergen or dietary information, view a menu in their language, or read specific details on the items being sold. These ultimately lead to a more enjoyable and personalized dining experience.
Furthermore, accessing information such as allergies, specific dietary requirements, etc. becomes much more accessible thanks to digital menus. Customers can quickly identify ingredients they may be having trouble with, ensuring a safe and enjoyable dining experience. This not only demonstrates a restaurant’s commitment to customer safety, but also underscores the restaurant’s commitment to providing personalized service. In addition, these digital interfaces can offer personalized recommendations. By analyzing a customer’s past orders and preferences, these systems can recommend dishes to suit their taste, encouraging them to explore new dishes or additional options, like wine or dessert.
Another common misconception is that digital transactions are just a supplement to a restaurant’s traditional orders. The reality is exactly the opposite; Digital sales are booming in the restaurant industry. The digital landscape is rapidly becoming a key driver of customer growth and engagement. By underestimating the importance of digital transactions, restaurants risk losing a significant portion of their revenue and potential customer base.
The reasons for this change are multifold. Digital selling offers unparalleled convenience to customers. With just a few clicks on their smartphone, they can place orders, make reservations, or even pay bills, all from the comfort of their home, on the go or when they are in the restaurant. The flexibility and speed of digital transactions has made restaurants more accessible and simpler than ever.
Additionally, the digital landscape offers countless opportunities for restaurants to interact with their customers. Loyalty programs, personalized promotions, and feedback mechanisms can all be seamlessly integrated into digital platforms. These tools not only improve the customer experience, but also enable restaurants to build lasting relationships with their customers. Having these long lasting relationships drastically increases sales from existing loyal customers.
Many restaurants believe that having an online presence through a third-party marketplace is enough to enter the digital age. However, this approach, while it seems practical, comes with a host of significant downsides that can hinder your restaurant’s long-term success.
One of the most obvious problems is the high commission imposed by these marketplaces on your sales. While they provide access to a broader customer base, the cost of doing business on these platforms can significantly reduce the profitability of your business, while these costs add up over time.
Additionally, third-party marketplaces offer minimal brand advertising. Your restaurant identity becomes secondary to the market itself. Customers often remember to order from the marketplace, not your restaurant. This lack of brand visibility can make it difficult for you to stand out in a crowded market and can lead to a lack of customer loyalty towards your restaurant.
Regarding customer retention, there are very few third-party marketplaces that will build customer loyalty on your behalf. The relationship between the customer and the platform is often stronger than the relationship between your customer and your restaurant. This means repeat business won’t necessarily be redirected to you. Loyalty efforts are often driven by the market, not your unique brand. To truly thrive in the digital age, restaurants must overcome reliance on third-party marketplaces. It is imperative to establish a live online presence, complemented by retention strategies. This means investing in your own website or mobile app, where customers can interact directly with your brand.
Check also our blog to find out why you need your own online ordering and delivery platform
The restaurant industry is at an important crossroads in its digital transformation journey. It is no longer a question of “if” but “when” restaurants should embrace digital change. Whether your restaurant is already a digital powerhouse or just getting started, now is the time to act.
Give your customers an easy and fast way to order and pay from everywhere. Increase your revenue and make your restaurant operations efficient.