Everything You Need to Know
When third-party food delivery apps like Grubhub, Eat24, DoorDash, and others came around, they appeared a boon to the industry. For a smaller transaction fee, restaurants could acquire and fulfill online orders from customers all around the city. It served as an additional source of revenue for the restaurants.
The best part was that they were not required to pay for their own online ordering system while investing in delivery drivers. The boon has turned into a sour reality as we have come past several years. For many restaurants, working with third-party online ordering services might be challenging in several ways.
The Problem with Third-party Online Ordering Apps & Food Delivery Services
- Restaurants have to depend on fulfilling customer orders from 3rd party delivery companies. But they have to maintain different tablets for all these orders. It is complicated to manage orders from all these other tablets.
- The orders coming from different 3rd party delivery companies don’t get printed in the kitchen as their order protocols are limited & they can only send fax. Restaurants have to maintain a fax machine for these orders; they have to pay monthly fax fees in addition.
- Restaurants need to enter all the 3rd party orders into their POS to consolidate all the orders, Orders get printed in the kitchen in the design the cooks are used to.
- Restaurants don’t know how many orders were fulfilled from the 3rd party delivery companies & how much they will get paid at the end of the week.
Entering the 3rd party orders manually into POS consumes a lot of time & is very error-prone.
#Increased Labor and Food Costs
Higher labor and food cost are a significant challenge in going forward with the third-party food delivery and online food ordering experiences. As your business will be reaping the benefits of more customers, it will effectively have to incur higher food and labor costs. It would include hiring more staff to work during peak hours, training, purchasing more raw materials, and storage.
#Inability to Manage Delivery Services
Controlling the entire delivery experience is crucial to keeping costs manageable. Based on the distance, third-party food delivery services will charge around 20–30% as service charges. In a typically low-margin industry, delivery management effectively equates to maintaining profitability. Still, customers expect it.
The only solution is to ensure reduced costs and transparent pricing through apps. Operators reduce the requirement for increased staff members during peak working hours when the third-party delivery app gets integrated into the respective POS.
#Customers Not Engaging with the Restaurant Brand
When customers start using third-party online food ordering services, they become the end customers of the app and not the restaurant. They will be paying for the app. The only time they will be interacting with the restaurant brand is while tasting the food.
As customers continue ordering through third-party apps, it becomes impossible for restaurants to create a fulfilling and engaging customer experience. They do not interact with the restaurant’s staff. They never, and they indeed do not set foot in the restaurant’s premises. This implies that the customers miss out on around 90 percent of the overall restaurant experience.
#No Access to Customer’s Data
One of the not-known demerits of integrating with third-party ordering services is the lack of access to relevant customer data. As orders are made directly on the third-party app, restaurants have no access to the data. In most cases, restaurants do not even receive access to essential information like the customers’ contact numbers or email addresses.
It turns out to be a significant problem in the long run. Restaurants will not make contacts or market to the respective customer base. They cannot even perform in-depth analysis about the online customer demographics.
#The Reputation Issue
The restaurants do not receive effective results concerning branding while working with a third-party food ordering app. Moreover, the restaurants get the overall blame for any negative customer experience at the same time.
According to a study report, it was estimated that around 82% of customers blame the restaurant and not the app or the driver for wrong food delivery. For small-scale, local restaurants, a handful of negative customer reviews can be damaging enough to negatively impact the overall bottom line.
How can sVang Help?
With sVang’s third party order integration for (Full Service, Quick service restaurants)
1) Manage your delivery business from a single tablet
2) Integrate Orders directly Into Your POS
3) Auto-accept and print your orders
4) Print all your online orders automatically in the kitchen
5) Per station ticket printing with custom design
6) Cloud printing solutions that support leading printers
With sVang You Can
- Execute delivery orders efficiently and accurately
- Provide great service to your customers while saving time and money
- Increase your sales by getting all your online orders auto-confirmed & printed directly in the kitchen
- Don’t miss any orders
- Increase kitchen efficiency
- No need to maintain multiple 3rd party printers
Right from order integration to delivery management, customer ordering, menu management, customer loyalty, marketing services, and reporting & analytics, sVang serves to be your one-stop destination for managing your restaurant most professionally.
With sVang, restaurants can go ahead with third-party integrations seamlessly without giving in to the challenges imposed by the industry. Restaurants can sit back and focus on improving efficiency and brand reputation.
Conclusion
sVang can help you streamline your online food ordering and delivery processes through a third-party integration with its comprehensive range of restaurant management services.
Click here to get started with sVang today!
