Technology plays a crucial role in streamlining restaurant operations, enhancing customer experiences, and driving growth. However, as restaurant owners and operators look to build or upgrade their tech stacks, they face a critical decision: should they opt for best-in-class solutions for each specific need, or is an all-in-one platform a more efficient approach? This blog explores the pros and cons of each option, offering insights to help you make the best choice for your restaurant.
Best-in-Class Solutions: Tailored Excellence
Pros:
Specialisation: Best-in-class solutions offer specialised features that cater to specific aspects of restaurant operations, such as reservations, point-of-sale (POS) systems, inventory management, or customer relationship management (CRM). This specialisation often means these solutions are more advanced in their specific domain, offering deeper functionality and customisation.
Flexibility: By choosing individual best-in-class solutions, restaurants can mix and match technologies based on their unique needs, ensuring they’re getting the best tool for each aspect of their operations.
Innovation: Because these solutions focus on a specific niche, they are often at the forefront of innovation within their domain, quickly integrating new technologies and trends.
Cons:
Complexity in Integration:Utilising multiple specialised solutions can lead to challenges in integration, as not all systems may work seamlessly together. This can result in data silos and inefficiencies in operations.
Higher Costs: Investing in several best-in-class solutions can be more expensive than a single all-in-one platform. Subscription fees, integration costs, and the need to potentially hire experts to manage and maintain multiple systems can add up.
Management Overhead: Each solution comes with its learning curve, updates, and support needs, requiring more time and resources for staff training and management.
All-in-One Platforms: Streamlined Simplicity
Pros:
Integration: All-in-one platforms are designed to offer a cohesive experience, with various functionalities integrated into a single system. This eliminates data silos and ensures smoother operations across all areas of the restaurant.
Cost-Effectiveness: Generally, all-in-one solutions can be more cost-effective than the cumulative expense of multiple best-in-class systems. With a single subscription, you get a range of functionalities.
Simplified Management: Managing a single system is inherently simpler. Training staff, performing updates, and accessing support become more straightforward, freeing up time and resources for other tasks.
Cons:
Jack of All Trades, Master of None: While all-in-one solutions cover a wide range of functionalities, they may not offer the depth or customisation that a specialised solution does in each particular area.
Limited Flexibility: With an all-in-one platform, restaurants are somewhat at the mercy of the provider for updates and new features. If the platform is slow to innovate in a particular area, the restaurant might miss out on leveraging new technologies that could benefit its operation.
Potential for Unnecessary Features: These platforms often come with a wide range of features, not all of which may be relevant to every restaurant. This can lead to paying for functionalities that go unused.
Making the Choice: Aligning with Your Restaurant’s Needs
The decision between best-in-class solutions and an all-in-one platform ultimately depends on your restaurant’s specific needs, goals, and resources. Here are some considerations to guide your choice:
Assess Your Specific Needs: Understand the unique challenges and opportunities within your restaurant. Are there areas where specialised functionality could drive significant improvements? Or would a streamlined, integrated system better suit your operational model?
Consider Your Growth Plans: If you’re planning to scale, think about how your tech stack will need to evolve. Flexibility and the ability to integrate innovative solutions might become increasingly important.
Evaluate Your Resources: Consider both the financial and human resources available to manage your tech stack. A larger, more tech-savvy team might handle a complex ecosystem of best-in-class solutions, while smaller teams may benefit from the simplicity of an all-in-one platform.
Building your restaurant’s tech stack is a critical decision that can significantly impact your operation’s efficiency, customer satisfaction, and bottom line. Whether you choose best-in-class solutions for their specialised functionality and innovation or opt for the streamlined simplicity of an all-in-one platform, the key is to select a strategy that aligns with your restaurant’s needs and growth objectives. By carefully considering your options and making an informed decision, you can ensure your technology investment supports your restaurant’s success in the competitive hospitality landscape.
Digital transformation shapes every corner of the business landscape, and the restaurant industry is no exception.
The dynamic, fast-paced nature of this sector demands tools that not only keep up but push the pace on efficiency and customer satisfaction. Driving profits and increasing customer lifetime value are also key goals vital for long term growth.
The restaurant EPOS system is the pivotal technology that modern restaurants cannot afford to overlook. It is clear a restaurant POS system software is more a necessity than a luxury in 2024. Integrated with other hardware and software solutions it can become the centrepiece of your restaurant operation.
There are many reasons why you should use a POS system for restaurant. This blog explores five of the main reasons.
Enhanced Efficiency and Speed
A sophisticated POS system for restaurant is designed precisely to streamline every operational aspect—from taking orders directly at the table to processing payments swiftly and all points in-between.
The system minimises human error, reduces waiting times, and ensures a smooth workflow between the kitchen and the dining area.
Staff can manage orders more effectively, with updates and changes instantly communicated, leading to a significant improvement in service speed and customer satisfaction.
A solution such as the Aloha restaurant POS system software enhances speed and efficiency in several ways:
Faster order preparation: Aloha integrates seamlessly with kitchen display systems (KDS). Orders can be sent from the handheld device to the restaurant POS system software to the KDS in seconds. No more jammed printers and flying pieces of paper, the integration brings efficiency. Orders can be fired to multiple prep areas.
Streamlined operations: the Aloha EPOS restaurant software streamlines operations, increases efficiency, boosts revenue, and offers features like fraud prevention, labour control, stock control, allergen control, and more to enhance overall efficiency in managing a restaurant business.
Guest management and labour control: the system helps in managing guest reservations, seating, ordering, billing, loyalty programs, and also assists in scheduling staff efficiently to keep labour costs down and maximise productivity.
Mobile ordering and stock control: with robust handheld technology for mobile ordering and tight stock control features like accurate purchase forecasting and real-time management reporting, Aloha EPOS ensures efficient transactions at the front of the house and effective inventory management.
Improved Customer Experience
In today’s market, a memorable dining experience is as much about the service as it is about the food. A restaurant EPOS system enhances customer experience by ensuring orders are taken accurately and bills are settled quickly. Moreover, with integrated CRM capabilities, restaurants can offer personalized services based on customer preferences and past orders. This level of personalization and efficiency not only delights customers but also encourages repeat business, fostering loyalty in a competitive landscape.
Fully integrated with Aloha restaurant EPOS software, the Paytronix guest engagement platform offers several features that enhance customer experience, including:
Loyalty programs: Paytronix provides a comprehensive loyalty program that helps businesses engage with customers and improve loyalty programs.
Online ordering: The platform integrates online ordering with loyalty programs, creating a seamless experience for customers and increasing order frequency by, on average, 18%.
Omnichannel messaging: Paytronix delivers omnichannel messaging capabilities, allowing businesses to reach customers through various channels for a more personalized experience.
AI Insights: by incorporating Artificial Intelligence capabilities, Paytronix enables businesses to gain deeper insights into guest behaviours and preferences, leading to more tailored and effective marketing campaigns.
Payments integration: The platform includes payment integration features, streamlining the payment process for customers and enhancing overall convenience.
Inventory and Stock Management
Effective inventory management is vital for maintaining profitability in the restaurant business. With a restaurant EPOS software, owners can keep a real-time tab on stock levels, track ingredient usage, and even predict future inventory needs based on historical data. This precision reduces waste, lowers costs, and ensures that the restaurant never runs out of customer favourites.
Automated alerts for low-stock items and the ability to place orders directly with suppliers make inventory management a breeze, allowing restaurateurs to focus more on their culinary creations and less on backend operation.
Comprehensive Reporting and Analytics
The EPOS software for restaurant offers advanced reporting and analytics tools that provide insights into sales, customer preferences, and operational efficiency. These data points are invaluable for making informed decisions about menu changes, marketing strategies, and operational improvements. By understanding customer behaviour and operational efficiencies, restaurants can tailor their offerings to meet market demand, optimize costs, and boost profitability.
Aloha EPOS offers real-time reporting solutions, enabling businesses to track sales efficiently. Moreover, Aloha EPOS provides a 360-degree view of the business with the ability to monitor key performance indicators (KPIs) in real-time from anywhere thanks to Aloha Pulse.
Integrated payment solutions
In an age where contactless and mobile payments are becoming the norm, restaurants need to adapt to these changing consumer preferences. A modern POS system offers a variety of payment solutions, ensuring that transactions are not only fast but also secure. These systems support the latest in payment innovation, providing customers with the convenience and flexibility they expect.
Aloha works with mobile payment solutions providers to offer an intuitive and convenient mobile payment option to your diners.
With the mobile payment app customers can:
Pay at table – they can check, split and pay their bill at the table without a waiter. Ideal for groups
Order and collect – customers can order and pay for their food for pick up
Order at table – customers can place their order for food, extras and drinks without a waiter
At the same time, you enjoy two key benefits:
Enhanced operations – save on average 7 minutes per table
Improved loyalty – you can offer promotions and tailored offers to your guests
Conclusion
As we move further into 2024, the argument for adopting a POS system in restaurants becomes increasingly compelling. From streamlining operations and enhancing customer experience to providing actionable insights through data analytics, the benefits are clear to see.
Implementing a restaurant POS system is not just about keeping pace with technology—it’s about setting your operation apart in a crowded and competitive field. Embracing this technology is a step toward not just surviving but thriving in the dynamic world of the restaurant industry.
Our best of breed Aloha solution will help you break from the pack. Contact us today for impartial advice on the best solution to meet your needs.
The hospitality landscape is constantly changing, and convenience is king, especially when it comes to ordering food. Customers expect more than just a transaction; they desire a seamless and personalised ordering experience. If your restaurant isn’t offering online ordering, you’re missing out on a significant opportunity to cater to these expectations and drive business growth.
But fear not! Implementing an online ordering system doesn’t have to be daunting or expensive. In fact, with the right system in place, it’s easier and more affordable than you might think. Let’s explore why online ordering is a must for restaurants and how it can revolutionise your business.
Advantages of Online Ordering for Restaurants
Online ordering offers several key advantages for restaurants, including streamlining operations, increasing revenue, and improving order accuracy. Let’s dive into each of these benefits and see how they can transform your business.
Streamlining Restaurant Operations
Running a restaurant is no easy feat, but online ordering can help simplify and streamline your operations. By centralising your online ordering system with one provider, you can integrate various functions such as ordering, payments, and menu optimisation into a single, easy-to-use platform.
This streamlines your operations, saving time and resources for both your team and your customers. Additionally, a unified system provides enhanced analytics and reporting, giving you valuable insights into guest data and supporting better decision-making and business planning.
Increasing Restaurant Revenue
Boosting revenue is crucial in the competitive restaurant industry, and online ordering can help you achieve this goal. By investing in a scalable online ordering system, you can save money in the long run and accommodate future growth without breaking the bank.
Moreover, powerful analytics and reporting tools provided by online ordering systems allow you to identify trends and patterns in customer behaviour. Armed with this information, you can optimise everything from pricing to promotions, ultimately improving profitability and revenue.
Improving Order Accuracy
Order accuracy is paramount in the restaurant business, and online ordering systems can significantly reduce errors compared to traditional phone orders. When customers can specify their selections and preferences online, they feel more in control of their orders, leading to increased satisfaction and loyalty.
Furthermore, online ordering systems can facilitate upselling opportunities by promoting recommended menu items and limited-time offers. This can incentivise customers to spend more per order and drive additional revenue for your restaurant.
How to Get Started with Online Ordering
Now that you understand the benefits of online ordering, it’s time to take the plunge and get started. Here are a few tips to help you navigate the process:
- Choose the right online ordering system for your restaurant, considering factors like features, integrations, and cost.
- Follow industry best practices for a successful implementation to optimise your usage and maximise benefits.
- Promote your online ordering platform to raise awareness among customers and incentivise them to place orders online.
Online ordering is no longer a luxury; it’s a necessity for restaurants looking to thrive in the digital age. By embracing online ordering, you can streamline operations, increase revenue, and improve customer satisfaction—all while staying ahead of the competition.
Now is the time to launch online ordering for your restaurant. Don’t miss out on this opportunity to take your business to new heights.
As we approach April 1st, 2024, operators across various sectors are gearing up for the implementation of the National Living Wage (NLW) and other wage rate increases. This move, following the acceptance of the Low Pay Commission’s (LPC) recommendations, aims to fulfil a Conservative manifesto pledge to abolish low pay, defined as below 66% of median earnings. While this is a significant step towards ensuring fair compensation for workers, it also poses challenges for businesses, particularly those in sectors where labour costs constitute a substantial proportion of turnover.
Throughout the year, industry representatives have been actively engaging with the LPC and government officials, highlighting the potential adverse effects of such significant wage increases on businesses within the sector. It’s essential to recognise that these increases do not merely impact entry-level staff but have broader ramifications throughout the management structure.
Let’s delve into the new rates set to come into effect:
National Living Wage (21-years-old and over)
Rate from 1 April 2024: £11.44
Increase in pence: £1.02
Percentage increase: 9.8%
18- to 20-year-old rate
Rate from 1 April 2024: £8.60
Increase in pence: £1.11
Percentage increase: 14.8%
16- to 17-year-old rate
Rate from 1 April 2024: £6.40
Increase in pence: £1.12
Percentage increase: 21.2%
Apprentice rate
Rate from 1 April 2024: £6.40
Increase in pence: £1.12
Percentage increase: 21.2%
Accommodation offset
Rate from April 1, 2024: £9.99
Increase in pence: £0.89
Percentage increase: 9.8%
The LPC’s aim was to ensure that the NLW reached 66% of median earnings, a target they believe has been achieved. However, the forecasted level to reach this, as of March 2022, was £11.16 per hour. The significant rise in average earnings has pushed this target level higher. Additionally, other wage bands have also increased to prevent too great a discrepancy between them.
Strategies for Operators to Navigate the Wage Increase:
- Better Align Staffing Needs to Optimise Labour Costs: It may sound obvious, but it’s often overlooked, cutting staff isn’t the solution. The key is to manage the value equation in the eyes of customers and avoid raising prices while cutting service levels. Operators should align staffing needs with consideration given to peak versus off-peak staffing rotas.
- Take a Demand-Based Approach to Pricing: Reviewing item-level data across the estate will reveal which restaurants could be organised into different price bands based on customer reactions to previous price moves. Understanding customer willingness to spend ensures they see value for money without crossing price barriers.
- Leverage Technology: In today’s hospitality landscape, technology plays a pivotal role. From kitchen automation to online ordering, technology can enhance the customer experience while allowing staff to focus on delivering exceptional service.
- Have a Long-Term Game Plan: Unlike food inflation, labour costs can be planned for. Operators need a long-term plan to address these costs, making price changes in smaller increments spread over time. This approach allows for testing and assessment before full implementation.
- Streamline Your Menu: Reduce labour costs and improve execution by streamlining the menu. Evaluate menu items for operational impact and consider whether profitable items may be slowing down service. Identify bottlenecks and adjust menu offerings accordingly.
While the upcoming wage increases present challenges for operators, proactive planning and strategic decision-making can help navigate these changes effectively. By prioritising employee well-being, investing in development, and leveraging technology, businesses can adapt to the new landscape and continue to thrive in the ever-evolving market. Let’s embrace these changes as opportunities for growth and progress.
We spent the morning on Tuesday this week, networking with the hospitality tech community and the operators they serve.
The restaurant industry is witnessing a significant transformation, propelled by the integration of automation into its operations. This change is not just about adopting new technologies but also redefining the customer journey to enhance their experience and streamline business processes. As we delve into various industry verticals, from upscale dining at JKS Restaurants to the bustling environment of Ballie Ballerson and the unique demands of food halls like Sessions and Market Halls, the impact of automation becomes increasingly apparent.
A recent survey by Tech on Toast highlighted a critical issue: 78% of customers stated their experience could be negatively impacted by delays in being seated, ordering, and paying. These are pivotal moments in the customer journey where efficiency can either make or break the dining experience. Further research by McKinsey supports this, showing that reducing wait times can not only improve customer satisfaction but potentially increase restaurant revenue by nearly 15%.
Addressing Efficiency and Productivity
In response to these challenges, industry leaders are turning to automation to streamline operations. For example, innovative solutions like restaurant ePOS software are being implemented to reduce wait times during crucial customer journey stages. These technologies are not just about speeding up transactions but also enhancing the overall service quality, leading to a more satisfying dining experience.
The Perceived Wait Time Dilemma
Insights reveal that once a wait surpasses three minutes, customers’ perception of time begins to distort, feeling much longer than it actually is. This perception can deter customers from returning, highlighting the importance of adopting technologies that minimise wait times and simplify transactions.
Operational Benefits and Customer Satisfaction
The adoption of automation technologies has shown substantial benefits in operational efficiency and customer satisfaction. For operators, this means not only smoother day-to-day operations but also an opportunity to significantly enhance the dining experience, turning first-time visitors into regular patrons.
The Shift Towards Off-Premise Dining
With off-premise dining expected to account for over 50% of restaurant sales by 2025, the need for efficient, automated systems becomes even more critical. This shift demands solutions that can handle the increased volume and complexity of orders without compromising service quality.
Looking to the Future
The ongoing advancements in hospitality technology promise to reshape the industry landscape further. As automation becomes more integrated into operations, we can anticipate improvements in customer experiences and significant business growth. This evolution towards a more digital, efficient operation model offers a win-win for both operators and customers alike.
In conclusion, the journey towards operational efficiency through automation is not just a trend but a strategic move to adapt to the evolving expectations of customers and the dynamic needs of the restaurant industry. By embracing these changes, restaurants can look forward to not only saving time and money but also securing a competitive edge in the market.
Investing in a new EPOS software solution is a significant undertaking both in terms of time and money. It is easy to make mistakes when choosing a restaurant EPOS software.
When considering the implementation of a restaurant EPOS software system to streamline your restaurant’s operations, selecting the right one is obviously crucial. The POS system you opt for will serve as the engine of your operation ensuring efficiency and streamlining operations.
Given its significance, it’s imperative to avoid errors during the purchase process, as a poor choice could result in being saddled with an ineffective system that offers no benefit and will leave you out of pocket. Below are the five most common mistakes made by purchasers of POS systems.
1. Buying the cheapest EPOS
The saying is “buy cheap, buy twice”. You certainly don’t want to be buying a restaurant EPOS twice – it needs to be a carefully thought-out and balanced decision. Unlike the worst restaurant pos systems, a great EPOS for restaurant will generate a return on investment from day one.
You may find a cheap restaurant EPOS system that does the basics, but you need to carefully weigh up whether it will give you the functionality you need – not just today but in the future.
Also, look into the hidden costs – the basic EPOS for restaurant software may be “cheap’ but if you need to pay extra to unlock features then it is a false economy and it can quickly start to add up and even surpass the more expensive solution.
With a fully-fledged EPOS software for restaurant, you will get more than just order processing and you will get additional features such as stock control, multi-site reporting, guest management and handheld ordering.
2. Choosing the wrong supplier
A trustworthy supplier ensures a dependable EPOS system for restaurant. Therefore, investigate potential EPOS system for restaurant suppliers before deciding.
Key questions to pose to your prospective EPOS supplier might encompass:
What is the duration of the company’s operation in the industry?
• What is the scale of the company? How many staff members are dedicated to support the EPOS systems for restaurants?
• What does the after-care service consist of? Is it phone based? Is there an actual human you can speak to?
• What can they provide in terms of client references? Are they successful businesses and can you speak to them for an unbiased view?
• Do they offer any value addition? Can they offer unbiased consultancy, and do they offer the full solution such as hardware and integrated software?
• What do their support contracts cover? Are there any hidden charges?
• Do they offer any training sessions or guidance materials for the product?
3. Overlooking future needs
An EPOS system becomes a repository for a vast array of your business information, making it crucial to choose a solution that won’t require replacement in just a few short years.
Therefore, it’s advisable to seek a solution that not only resolves your current challenges but also aligns with your future needs. Begin with a forward-looking strategy, outlining your objectives for the next five years (or more!), prioritizing your requirements, and ensuring that your plan is in harmony with your financial resources.
A cloud-based solution offers scalability as and when you need it – simply increase user licenses as your business grows and you open more sites. With a monthly licensing model, you can keep track of your investment while also ensuring that your software is fully up to date with all the latest features. New functionality is updated automatically – you never get left behind. With minimal implementation required and working on iPad/Android tablets the initial investment of time and money is very affordable.
4. Expecting a one-size-fits-all system
Every sector comes with its distinct demands, and each enterprise has its specific needs as well.
Discovering an EPOS that fulfills all your criteria right off the bat can be challenging. Therefore, aiming for a system that meets roughly 95% of your needs, with the option for customisation to cover the remaining aspects, is a practical approach.
Look for a solution which integrates online ordering, mobile payment apps, kitchen automation and loyalty programmes to manage all the key aspects of your operation.
5. Insufficient Training and Support
You may be tempted to cut costs on training and support. Resist this temptation at all costs.
It is a vital investment in your business to ensure that your staff get the most and best training they can. Learning from product experts means they will get exposure to the best practices that will ensure you get the best from your investment and will increase your staff’s efficiency in using the system.
Great after-care is vitally important. Look for a solution that covers all your opening shifts – having to pay per call outside covered hours can prove much more costly than investing in an annual support contract!
What NFS Technology offers
As a leading supplier NFS Technology offers:
Award-winning training and support – available 24/7, 365 days a year. Your support calls will be answered by a real human – not a chat bot. With their extensive IT expertise and hospitality experience you can rely on them to answer any questions promptly and knowledgeably.
Our helpdesk team is comprised of industry experts. Our training plans are designed so that you and your teams get the maximum return on your investment.
You will also be assigned a dedicated account manager to support you and guide you post-installation. We are supplier agnostic so we will only give advice and recommend solutions that align with your long-term business goals.
A long-term partnership – we have been supplying solutions for nearly thirty years and we work with many leading bar and restaurant operators from award-winning independents to large international chains. Our client references speak for themselves.
Check out this success story to discover how our solution is driving growth at the leading bar operator BrewDog.
Best of breed solutions – we provide best of breed solutions managing all aspects of our clients’ operation encompassing order processing, kitchen automation, enterprise management reporting, guest management, handheld ordering, stock control and labour management. And much more!
For group operators we offer enterprise solutions custom built to enable them to manage their whole estate from one powerful dashboard enabling them to make impactful decisions even on the fly.
Integration with leading partner solutions – we work with a carefully selected partner network. One size does not fit all so integration is a great way of delivering the solution that will truly meet your needs.
NFS solutions are designed to integrate seamlessly with loyalty programmes, kitchen display systems, mobile ordering apps, digital signage and online ordering to digitally transform your operation and provide an ecosystem that is future proof.
Conclusion
Choosing the right solution for your restaurant needs to be a considered choice – one that cannot be made on cost alone.
As we have shown, there are several factors to consider – from scalability to support to integration capabilities. You need to evaluate whether your supplier is going to be a long-term partner who can offer the best solutions that will help your business grow – today and into the future.
Contact us today to see how we can digitally transform your business.
Customer satisfaction has always reigned supreme in the hospitality business – probably more than in any other consumer-facing industry.
So restaurants constantly seek innovative ways to keep their clientele happy and engaged. These days, technology plays a huge role in achieving this.
Among the tools available, Customer Engagement Platforms (CEPs) and Customer Relationship Management (CRM) systems stand out as powerful instruments for nurturing customer relationships and driving business growth.
So what’s the difference between the two – and which one is for you?
Understanding the distinctions between these differing client engagement software platforms can help you make informed decisions about which solution best suits your needs.
So, let’s dig into the comparison between Customer Engagement Platforms and Customer Relationship Management systems – and explore how each customer engagement tool can elevate your business.
Customer Engagement Platform (CEP)
Comprehensive insight: CEPs offer a comprehensive view of your customer interactions across various touchpoints, including social media, email, website visits and more. This fully rounded perspective gives you a deep understanding of your customers’ behaviour patterns and preferences in depth.
Customised engagement: Through advanced analytics and AI-driven insights, CEPs help you create personalised engagement strategies. With the help of data-driven intelligence, you can tailor your interactions with customers – such are marketing emails and offers – delivering relevant content and offers at the right time and through the preferred channels.
Omnichannel ability: One feature of these customer engagement tools is their ability to integrate seamlessly with multiple communication channels. Whether it’s email, messaging, live chat, or social media, these customer engagement platforms put you right in touch with your customers across diverse platforms, making sure your messaging is consistent and cohesive.
Making predictions: CEPs use predictive analytics to forecast customer behaviours and identify the potential opportunities and risks for your business. By analysing historical data and trends with these customer engagement platforms, you can anticipate your customers’ needs and proactively address issues.
Automated workflows: CEPs streamline your business processes by using workflow automation, eliminating the need for manual tasks while improving the efficiency of your operations. By automating routine processes such as nurturing leads, follow-ups and customer support ticketing, your business can make the most of its resources and focus on the activities that add value.
Customer Relationship Management (CRM)
A centralised database of customers: A CRM is a customer interaction platform that centralises your customer information – everything from contact details to purchase history and communication preferences. By consolidating data from various sources in a single place, CRM systems provide a unified view of customer interactions, so your different departments can collaborate and co-ordinate their efforts.
Sales pipeline management: By tracking leads, opportunities, and deals throughout the sales cycle., your CRM provides a real-time view real-time of sales performance and forecasting.
Enhancing customer service: The CRM streamlines support processes and supports resolutions. By tracking customer inquiries, complaints and feedback, they ensure you can deal with issues promptly, enhancing customer satisfaction and encouraging loyalty.
Managing marketing: With a CRM, you can create targeted marketing campaigns by segmenting customers based on their demographics, behaviour and preferences. Then you can use automation tools to create personalised campaigns that resonate with specific audience segments.
Integration ability: CRMs integrate seamlessly with other business applications, such as marketing automation platforms, ERP systems and epos platforms. This means your company has consistent data., even across a broad group.
5 factors you need to consider
So – is a Customer Engagement Platform or a Customer Relationship Management system right for you?
Every business is different, but this is exceptionally so when it comes to hospitality, and there are 5 things you should consider when making your decision about your customer experience management platform:
- Your business goals: Is your main focus customer engagement and loyalty, or are you more interested in firming up sales processes and driving revenue growth?
- Customer insight: How deep do you need to go when capturing and understanding customer insights? Do you need advanced analytics capabilities to draw actionable insights from customer data, or is a centralized database for managing customer interactions enough?
- Scalability and flexibility: How scalable and flexible is the platform you are looking at? Will it grow to fit in with your future plans, and is it flexible enough to integrate with other systems you need?
- Your users: Who’s going to be using the system in your restaurant, and how user-friendly is it? Will deployment and training be easy?
- ROI: Assess the cost carefully and determine what level of return on investment you expect to achieve – don’t forget to factor in implementation costs, maintenance and potential revenue gains or cost savings.
The expert touch
There’s no doubt that both Customer Engagement Platforms and Customer Relationship Management systems are huge assets to any hospitality business, fostering insightful relationships with customers and enabling your business to provide the kind of exceptional customer experience you need to succeed.
Both are an essential part of the digital toolkit now available to restaurateurs to sharpen up their business. They integrate in particular with epos systems that enable operational efficiencies such as tableside ordering and payment, speeding up service, and also online reservations and ordering.
The modern-day diner is highly demanding, and competition remains intense. Providing diners with the convenience, choice and seamless service they now require is essential if your business is to stand out from the rest and foster the loyalty that brings repeat business.
Ultimately, though, the key to success lies in selecting the right solution that best aligns with your business needs and empowers you to cultivate lasting relationships with your customers.
Expert help is, of course, on hand from companies such as NFS Restaurant Technology, and you should seek those who offer a consultative approach that understands your business and guides you through the maze of good decision making.
Platforms that provide you with deep customer insight are an invaluable part of this. By understanding the unique strengths and capabilities of CRMs and CEMs, and aligning them with your business objectives, they will help you elevate your hospitality business and deliver exceptional customer experiences.
Explore more benefits for your restaurant:
Restaurant operations are notoriously difficult to organise, because of their immense complexity – not only are there everyday issues of the business to sort out, but there are also the ever-evolving behaviours of customers to satisfy.
It’s not surprising, then, that the integration of restaurant management technology has become the secret of success for many operations.
Restaurant systems are sophisticated solutions designed to streamline operations, enhance customer experiences and elevate profitability. From optimising order processing to facilitating inventory management, it’s fair to say that these systems are revolutionising the way modern restaurants operate.
A restaurant management platform integrates various functionalities, including point of sale, inventory management, and customer relationship management, eliminating the need for multiple disparate systems.
As your restaurants grow and evolve, management systems offer scalability, allowing for seamless expansion and integration of additional features and modules.
In helping you grow your business in what is always an incredibly crowded market, restaurant management software helps give you a competitive edge, whether you run a single independent outlet or a whole group.
7 top benefits of restaurant management systems:
- Better relationships with your customers
- An end-to-end view of your business
- Analysis and forecasting
- Employee satisfaction and retention
- Better labour and stock control
- Enhanced financial management
- Targeted marketing for wider reach.
Better relationships with your customers
Restaurant’s relationships with customers have always been intense and important, but since the days of the pandemic they have evolved to cater for new and changed demands.
Customers now have a strong emphasis on convenience and speed as well as on the quality of food and service you provide. Restaurant systems that include EPOS are an immense help in this area, making it quicker for customers to place their order and also to pay.
For instance, serving staff provided with Epos on a tablet or phone can send orders direct from the table to the kitchen so food preparation can begin immediately, and service is faster. There’s no room for human error, either, so fewer dishes get sent back and there’s less waste.
Once the meal is over, your staff can take payment at tableside so the customer can pay and go. It adds up to a satisfying customer experience that encourages loyalty and repeat visits.
Restaurant management systems also make it easy for customers to order online or to make a table reservation, a valuable and convenient service that also cuts down the time your staff have to spend on the phone.
An end-to-end view of your business
The complexity of restaurant operations can mean it’s tricky to keep an overview. A restaurant management system is available online and provides up to date reports on all aspects of your business from automated inventory showing stock levels to sales.
For groups, this online availability of reports is invaluable when keeping track of the position of the business at any given time.
Analysis and forecasting
Data has become the lifeblood of most organisations these days. Coupled with effective analysis, it gives insight into everything from customer preferences to your busiest times and best-selling dishes. It can even provide forecasts to help you anticipate when extra labour etc is likely to be required.
Employee satisfaction and retention
A real hot potato in the industry, which has seen such labour shortages in recent years that some outlets have decided to curtail their hours or even shut on certain days of the week.
Restaurant management systems can help you provide a healthy and enjoyable working environment that encourages valuable staff to stay and reduces the time you need to spend recruiting and training.
A restaurant order management system reduces the amount of time serving staff need to spend running back and forth to the kitchen with orders, and also minimises admin when it comes to taking reservations – when customers can do it themselves online, staff involvement is minimised.
It all allows more time for your people to engage with customers, building loyalty and creating the friendly impression they will appreciate – and it makes the working day more rewarding for your staff and encourages them to stay.
Managers can also track employee performance metrics, identify training needs, and recognise top performers, fostering a culture of accountability and excellence.
Better labour and stock control
The cost of living crisis has exacerbated problems for the industry as restaurants struggle to cope with increases in the cost of supplies and balance that with keeping customers happy.
A restaurant order management system will give you far better control of your stock, providing real-time information on inventory and also on your supply chain.
The same systems make it easier to control labour, highlighting busy and quiet times and enabling you to have the right staffing levels at the right times.
A further enhancement that keeps things running smoothly is integration with restaurant maintenance software, which helps identify potential equipment issues, enabling proactive maintenance and minimising downtime.
Enhanced financial management
Using the reports generated by your restaurant software on sales, expenses and profits, empowers you and your managers to make data-driven decisions and take measures that optimise financial performance.
By tracking costs and identifying areas of inefficiency, restaurant management platforms enable proactive cost control measures, ultimately boosting your profitability.
Targeted marketing for wider reach
Special offers can make a huge difference to your hospitality business, keeping existing customers happy and enticing those who have never tried your restaurant to give it a to.
When it comes to loyal customers, your restaurant management platform and CRM can give incredible insight into their preferences. By capturing data every time they book or eat, you identify their preferences so you can produce timely and appropriate marketing emails that you know will hit the mark.
For instance, if you know they visited last Valentine’s Day, you can offer them two free glasses of champagne this year; or you can send them a birthday greeting that will put your restaurant top of their mind when they want to celebrate.
Restaurant management software also helps you with your social media presence, alerting you to any adverse reviews so you can put the situation right immediately and put a shine on your reputation.
Conclusion
Deploying carefully-selected restaurant software represents a strategic investment in operational efficiency, customer satisfaction, staff retention and financial performance – and it’s an investment that provides definite ROI.
By leveraging the power of technology, you can optimise your processes, empower their staff, and deliver unparalleled dining experiences. From order management to inventory control, these systems serve as the cornerstone of modern restaurant operations, paving the way for sustained success.
Whether your business is a bustling bistro or a multi-location group, the benefits of a restaurant management system are undeniable. And in a world where customers are increasingly demanding, staff are hard to find and competition is raging, it can give you the edge you need to succeed.
Discover more about how a restaurant management system will benefit you:
As the curtain fell on 2023, restaurant operators gathered at trade shows and industry conferences, reflecting on the challenges faced and absorbing crucial insights that will undoubtedly influence the trajectory of the dining landscape in the coming years. From loyalty programmes to the rise of AI and the resilience of takeout services, three pivotal lessons emerged, charting a course for success in 2024.
1. Loyalty Programmes: Beyond Discounts and Deals
Trade shows in 2023 echoed a resounding message: loyalty programmes have become instrumental in determining restaurant success. The data unveiled a staggering statistic: 57% of consumers express a heightened likelihood of visiting a restaurant equipped with a loyalty programme. However, the lesson learned transcends the mere allure of discounts; it’s about offering an elevated experience. Loyalty programmes have evolved beyond conventional tactics, incorporating perks like queue skipping and exclusive experiences. Restaurants have discovered that strategic loyalty programmes, designed with insight, can be powerful tools for not only retaining existing customers but also attracting new ones. In an era of intensifying market competition, loyalty programmes stand as gateways to sustainable growth.
2. AI and Chatbots: The Groundbreaking Frontier
The pervasive growth of artificial intelligence (AI) took centre stage in 2023, with a particular focus on the revolutionary potential of ChatGPT. While the full spectrum of AI applications in restaurants is still unfolding, one consensus emerged: it is a groundbreaking technology that demands attention. Restaurants, fascinated by the possibilities, began experimenting with AI chatbots to unravel their capabilities. The future portends a transformative role for chatbots in customer interactions and service delivery, promising to revolutionise the entire restaurant experience.
3. Traffic Challenges and the Resilience of Takeout
Amidst the ebb and flow of traffic challenges, restaurants discovered an unexpected bastion of resilience in takeout services. The percentage of pickup and delivery orders relative to the total remained unwavering, signifying an enduring demand for off-premise dining. Despite indications of a plateau in this channel, operators expressed an unwavering commitment to investing in takeout services. The lesson learned was clear—restaurants must strategize and innovate in the takeout space. Adapting to consumer preferences and ensuring a seamless experience for those who prefer the convenience of dining at home is paramount in navigating the evolving dining landscape.
The trade shows of 2023 not only provided a retrospective on the challenges faced by the restaurant industry but also illuminated a path forward. Loyalty programmes, the transformative potential of AI, and the enduring significance of takeout services are the pillars guiding restaurants in 2024. Armed with these insights, restaurants can boldly face the challenges ahead, adjusting strategies to align with evolving consumer behaviours and harnessing technology to craft unforgettable dining experiences. The future of the restaurant industry lies in embracing innovation, staying attuned to customer preferences, and unlocking the transformative power of emerging technologies.
In the wake of its initial surge during the pandemic, online ordering has transformed into an indispensable revenue driver for restaurants and convenience stores. Recent data from Paytronix highlights that, on average, digital orders contribute to 25–30% of a typical restaurant’s overall revenue. As the digital landscape continues to evolve, the question arises: should businesses opt for third-party marketplace services, first-party online ordering platforms, or find a balance between the two to maximise their benefits?
The Dilemma of Third-Party Marketplaces
While third-party marketplaces offer a quick entry into the digital realm, convenience comes at a significant cost. These external platforms can absorb nearly a third of the profits from the digital ordering channel, compelling restaurants to increase prices. However, this strategy becomes unsustainable due to inflation and the lack of ownership over customer data.
Despite the drawbacks, third-party delivery aggregators play essential roles in guest acquisition and cost-effective outsourcing of delivery services, especially for smaller operators looking to establish an online presence swiftly.
The Power of First-Party Online Ordering
Recognising the limitations of third-party solutions, businesses are strategically transitioning to first-party ordering platforms. The 2023 Online Ordering Report from Paytronix emphasises the advantages of first-party guests over those who come through third-party platforms.
First-party guests tend to
– Order more frequently and choose higher-value items.
– Tip more generously, especially in times of inflation.
– Show a higher likelihood of participating in a brand’s loyalty programme.
Ordering directly from a restaurant’s website or mobile app provides businesses with valuable, actionable data, including customer identity, dining behaviour, and demographics. Armed with these insights and greater control over the guest experience, businesses can formulate a comprehensive guest engagement strategy, fostering customer loyalty and maximising revenue.
Guest Preferences Drive the Shift
The shift towards first-party ordering aligns with customer preferences. DoorDash’s admission in 2021 revealed that 43% of its customers preferred ordering delivery through a restaurant’s website or app, compared to only 27% who preferred third-party platforms. Customers opt for third-party marketplaces primarily for convenience, while some believe they cannot order delivery directly from their desired restaurant or convenience store.
Building a Comprehensive Digital Guest Engagement Strategy
Implementing first-party ordering platforms is about more than just maximising profits; it’s about meeting customer expectations. Over the past three years, customers have consistently shown a preference for the convenience and direct interaction offered by ordering directly from businesses.
While the transition may require a commitment to change, the long-term benefits outweigh the challenges. By embracing first-party online ordering, restaurants and convenience stores can cater to their best customers’ preferences, foster loyalty, and, most importantly, take control of their digital destiny in an ever-evolving market. As the digital landscape continues to evolve, businesses must make strategic decisions to stay ahead and provide the seamless, personalised experiences that today’s consumers demand.
Tips for Converting Guests and Seizing Opportunities
Now that online ordering is considered table stakes for most operators, first-party online ordering systems have become powerful platforms that integrate fully with other critical guest engagement functions and operational systems. Combining first-party ordering and loyalty programmes, for example, delivers more personalised digital guest engagement that leads to longer-lasting, more profitable relationships.
Once a first-party online ordering platform is in place, businesses can follow these tips to convert guests from third-party marketplaces:
- Raise awareness:
– Utilise in-store signage, compelling website offers, targeted email campaigns, retargeting ads, and engaging social media posts to create awareness about your online ordering system.
- Exclusive Loyalty App:
– Develop a loyalty app with exclusive offers for online take-out and delivery orders.
– First-party ordering shows a loyalty attachment rate of 41%, a significant contrast to the meagre 3% associated with third-party ordering.
- Utilise third-Party assistance:
– Redesign take-out and delivery bags with a QR code or URL, encouraging guests to use your website or mobile app for future orders.
– Leverage third-party marketplaces to promote your loyalty programme and facilitate the conversion effort.
- Curate Marketplace Presence:
– Adjust the number of items you sell on third-party platforms, and use the bio section to highlight the option of ordering the full menu directly from you.
As the online food ordering landscape undergoes significant changes, businesses must adapt and take control of their digital guest engagement. To stay competitive and navigate ongoing changes, restaurants and convenience stores must assert control over their digital presence, enhance customer retention, and leverage the benefits offered by first-party online ordering platforms. In a landscape where customer loyalty is paramount, mastering the digital shift through first-party online ordering not only secures a sustainable revenue stream but also establishes a direct and enduring connection with guests. As businesses prepare for continued transformation, the integration of technology and strategic engagement becomes the key to thriving in an ever-changing market.
