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Why are food ordering platforms are winning?

Jul 18, 2019 6:18:47 PM

The answer lies in the difference in the business model itself.

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I think it is time to face the reality and agree on the fact that most restaurants are not really very good in marketing themselves or they are not really well organised in terms of lead generation and customer retention.

In most cases I even wonder if there is even a marketing component included in the price of a dish

Lately we have been seeing an increased activity on Facebook by almost every restaurant around us, while that could be considered as a marketing activity, I would say that it is not a well thought out marketing plan because most restaurants post images of the dishes they make on their Facebook page without a real call to action.

By and large restaurants don’t do a lot to reach out directly to their customers partly because not all of them have got a really good marketing acumen or a budget to play with.

By taking advantage of the deficit in the marketing budget of the restaurants the platforms thrive

To understand this further, we have to go to the basics by looking at the business model of a restaurant vs. an aggregation platform, I would certainly say that Menulog has got a really attractive business value to the customers at the expense of the restaurants, after all besides operations, the single biggest component of Menulog’s charges is marketing.

So unless something radical happens there is little chance that an individual restaurants could actually win the battle against these ordering platforms.



So instead of constantly dancing to the tune of the giants, you have to come up with a strategy to provide your customers with your own ordering platform, such that they don't have to go to 3rd party ordering systems like Menulog or UberEats. 

Look at what one of our client's Zak's Pizza & Grill is doing: 

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While Zak's is on both Menulog and UberEats, the message to their customer's is simple. Download Our App and get better deals. This creates an incentive for the customer to download the app, while providing the restaurant with a means to create a lasting relationship their customers. This is win-win.  

 Restoplus creates iOS and Android apps in your restaurant's name, with the quality that's in par with the big guys like McDonald's & KFC. So checkout our website for more information about a getting a mobile app for your restaurant and provide your customers with a great ordering experience all the while building your brand and your customer database. 

Take your first step toward eradicating commissions. Talk to our friendly staff by clicking on the chat icon below about the strategies you could use to convert your regulars to your mobile app. 

Commissions are unsustainable.

#SayNoToCommissions #SupportLocalBusiness

Sowdri Murugesan
Written by Sowdri Murugesan

As the founder and CTO of Restoplus our objective is to make mobile apps affordable for restaurant owners

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