Ways to Maximize the Profitability of Your Pizzeria Delivery Services

Ways to Maximize the Profitability of Your Pizzeria Delivery Services

Ways to Maximize the Profitability of Your Pizzeria Delivery Services

Today’s consumers are all about convenience when it comes to food. We’ve already passed the point where restaurant spending has exceeded grocery spending and the National Restaurant Association predicts that over the next 10 years, a greater proportion of meals will no longer be cooked at home.  These trends will lead to an even greater rise in pizzeria delivery services and adding this option to your restaurant can be transformative for your bottom line. 60% of restaurant operators said that offering delivery has generated incremental sales growth for their business.

If you don’t already offer pizzeria delivery services, this year might be the time to start. Choosing the right pizza point of sale (POS) system can help. If you already deliver, there are a number of ways to maximize the profitability of your pizzeria delivery services.

Get the Word Out with Increased Marketing

Offering delivery services is only the first step. You need to advertise your services to reap the full potential of the program, especially if delivery is a new option for you. Here are some ways to help diners associate delivery with your brand:

  • Marketing to current customers: 
  • Your customer database and the behavioral insights it provides are a gold mine. Leverage the information your POS collects to market your pizzeria delivery services to customers who may not know you offer delivery. Your POS should allow you to send personalized promotions and targeted offers based on past ordering histories or delivery zone
  • Include eye-catching signage in your location. Digital signage is a great way to display current menu offerings and provide visual appeal to the in-store experience. You can also use it to call attention to new features such as delivery.
  • You can include a flyer and coupon in every pizza box to kick-start the program. A small discount could be the push customers need to order their first delivered pizza.
  • Marketing to non-customers:
  • Be sure your website is optimized for local search.  If someone searches “Pizza delivery in Houston,” for example, you want your pizzeria to come up.
  • Social media advertising can be effective, especially if done around big pizza ordering days such as the Super Bowl or March Madness.

Leverage Third-Party Delivery Services

Third-party delivery services such as DoorDash can provide an alternative if you don’t want to implement your own in-house delivery service. Third-party platforms can take a significant portion of your total sales (PMQ reports up to 30%), but you avoid the added labor and management costs associated with delivery like extra employees, more training, and vehicle fleet costs.

Providers such as  DoorDash also offer on-demand services to supplement your own in-house delivery. You can request drivers as needed, which can be especially helpful during peak times or unexpected labor gaps. 

No matter the option you choose, third-party providers can provide a great way to increase your reach, get your brand in front of more customers and grow revenue. As a bonus, orders placed off-premise are often higher than dine-in sales:  1 in 4 customers said they spend more on off-premise dining than on regular restaurant experiences. 

Streamline the Delivery Process

A more efficient delivery process is a more profitable one. Saving even a minute or two per delivery adds up to a significant amount in time, resource and cost savings. And because industry competition is so tight, small lags in efficiency can mean the difference in losing a customer to the other guys. Start by hiring the best drivers—the most professional, punctual, safe, and courteous ones—because they represent your brand. 

  • Ask for Staff Feedback: Often, the best ideas on streamlining operations come directly from the staff that does it every day. Take the time to get input from your delivery drivers on questions such as: Are there any bottlenecks that consistently get in their way?  Do they have any suggestions for how to speed up the process? Finding these things out straight from the source can help your pizzeria eliminate processes that aren’t working well and add new ones that make delivery more efficient.
  • Integrate Google Maps: Google Maps integration with your food delivery software will send the shortest, fastest routes to your drivers. It can provide real-time updates based on traffic conditions, so that they don’t run into any unexpected construction zones or traffic jams. Google Maps integration also tracks driver mileage and delivery time to help you determine your highest-performing drivers. It provides visibility into delivery zones, helping you to determine where to set them and allowing customers to see where you deliver.

Technology is Key for More Profitable Pizzeria Delivery Services

Your pizza POS is the backbone of your operations, and it has a crucial effect on your overall restaurant profitability. An integrated system is essential, so that all orders, no matter how they are placed—in person, online, in-app, through a third-party, or over the phone—are processed accurately and in the correct sequence for maximum efficiency. 

Your POS should bring everything together, from your ordering platforms and kitchen display system to inventory and labor management, loyalty programs, driver dispatch, and food delivery software. It should allow you to make menu changes across all platforms, include foolproof cash management tools and driver reminders, and provide reports and analytics so that you can continuously track your success. Delivery may just be one piece of the pie, but if you do it right, it can be a substantial slice. 

HungerRush provides technology solutions designed by restaurant professionals with customer needs in mind, especially the needs of pizzerias. For more information on how our POS can improve your pizzeria delivery services and increase your profit margin, contact us to New call-to-action .

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Delivery Services for Fast Casual Restaurants: Why It’s Crucial for Your Bottom Line

Delivery Services for Fast Casual Restaurants: Why It's Crucial for Your Bottom Line

The popularity of both fast casual restaurants and restaurant delivery services continues to rise. We have entered an age where customers want convenience over all else, which is an area where fast casual restaurants thrive. 

Much to the customers’ benefit, the most competitive restaurant owners combine the two to get the best of both worlds. They do this with food delivery software that integrates seamlessly with their fast casual point of sale (POS).  This combination streamlines food delivery operations and helps to increase profits for fast casual restaurants.  

Not convinced? Here’s what your fast casual restaurant could achieve by offering delivery services: 

Reach a Wider Customer Base

According to QSR Magazine, digital delivery sales are expected to grow at a compound annual rate of over 22% through 2023. Implementing delivery services not only gives your fast casual restaurant a seat at the table when it comes to business growth, but also allows it to reach customers who otherwise may not have come into your restaurant. 

Some people prefer to have food delivered to their home or office instead of picking it up or dining in-house. Others are house-bound and physically cannot pick food up themselves. Offering delivery services not only opens your fast casual restaurant up to a broader customer base, but it also provides options for teenagers or elderly customers who cannot drive, customers that are sick, or people who are busy at work. 

Reaching a wider customer base doesn’t just mean more customers, it also means more brand exposure. Word-of-mouth marketing and online reviews are priceless. By offering customer conveniences like delivery services, you strengthen your customer relationships and gain the opportunity for more loyal customers. 

Expand Your Restaurant’s Geographic Service Area

In addition to making your restaurant appeal to more people,  you can also expand your geographic service area with both in-house and third-party delivery services. In order to handle the increased demand, pair in-house delivery services with on-demand delivery services, such as DoorDash or other partners. 

Before, you may have just been able to service a smaller radius around your restaurant’s location with your own delivery drivers, but the rise of on-demand delivery services has significantly increased the reach with which restaurants can serve customers. In fact, the number of food delivery app downloads is up 380% compared to three years ago. These services are often willing to drive farther to pick up orders and deliver them than what you may have been able to offer through your own drivers. You can also cut back on the delivery staff you keep on-hand, which means you can stretch your resources farther. 

In order to accomplish this successfully, ensure your on-demand delivery services are integrated into your restaurant’s POS software, so you can see how much of your business is coming through third party delivery. 

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Turn Slow Season into Grow Season

It’s normal to have slow periods in the restaurant business. Sometimes these are measured in hours—like from 2:00pm to 4:00pm—and others are entire days, like weekdays, snowy, rainy, or especially cold days. Even entire seasons can be off-peak. It’s not abnormal, but it is unfortunate. Luckily, there are ways to encourage more sales during these periods. Offering delivery services allow you to serve customers during times that would normally be slower. 

If you have times where you experience a dip in foot traffic because customers don’t want to leave their homes to visit your restaurant, it’s safe to assume they don’t want to leave their homes to go grocery shopping, either. These times are when delivery is more appealing to customers than ever. 

Fast casual restaurants can encourage slow period sales even more by offering special deals or promotions for delivery customers, like $5 burgers on Tuesdays or an exclusive winter menu special. Tie these promotions in with loyalty rewards, and you can encourage even more sales. 

Increase Customer Satisfaction by Offering Food Delivery

Delivery services provide convenient, flexible dining options to your customers. They can enjoy their favorite meals in the comfort of their own homes, while working at their offices, or at get-togethers with loved ones, all without being interrupted or having to leave to go get food. 

Offering the convenience of delivery expands the options for customers to order however they choose, improving their customer experience with your brand. They can order over the phone, online, or with their mobile devices. They can get food delivered wherever they want, and at whatever time of day works best for them. They can even order ahead to have food delivered later. 

When you offer these conveniences to your customers, you are letting them know that you respect their lives, time, and preferences. You are essentially telling them that you understand what they want and are willing to provide it. When people find brands that prove this, they reward them with their loyalty. 

How Delivery Grows Your Fast Casual Restaurant’s Profit Margins

Increased Average Ticket Size

Delivery orders tend to have a higher ticket value than in-store orders. Over 20% of consumers say they spend more on off-premises food orders than when dining in. This occurs for many reasons—people are enticed by upselling prompts on mobile apps and online ordering platforms, they are able to take more time to browse the menu before ordering, or they feel more comfortable placing larger orders when there is nobody around to pass judgment. 

Reduced Labor Costs

When it comes to delivery orders, you don’t need nearly as much labor in order to fulfill them. You save on hosts, servers, dishwashers, and with on-demand delivery services, you don’t always need a delivery driver. All of these areas lead to reduced labor costs, which, in turn, leads to a higher profit margin for your business. 

More Repeat Customers

You can also increase sales for your fast casual restaurant by encouraging delivery customers to come in when they’re interested in a dine-in experience. 76% of consumers said they were likely to dine at a restaurant that they previously enjoyed delivery from. Use your fast casual restaurant POS software to regularly follow up with these customers with both dine-in and delivery specials.

More satisfied customers means more sales, higher ticket prices, and a wider customer base—all which lead to more profit and success for your fast casual restaurant. It’s a smart idea for fast casual restaurants to leverage delivery services and capitalize on the growing demand for convenience. 

HungerRush offers an industry-leading fast casual POS system that includes food delivery management that works to improve profits for fast casual restaurants. For more information on our game-changing restaurant technology,  New call-to-action  with HungerRush today! 

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Increase Profit Margins with the Right Pizza POS System

Increase Profit Margins with the Right Pizza POS System

Americans eat approximately 100 acres of pizza a day! By the end of 2018, there were almost 77,000 pizzerias in the U.S. working to meet the demand. With so much competition, it’s not enough just to make great pizza—you also need to create a fantastic customer experience every step of the way. Savvy pizzeria owners are leveraging technology to gain a competitive edge. Here’s how the right pizza point of sale (POS) system can help you build better customer relationships and increase your profit margins.

Focus on Pizza Delivery Operations

The 2018 Pizza Power Report from Pizza Magazine (PMQ) revealed that the two biggest desires of pizza consumers are customization and faster delivery. Moreover, a survey by AlixPartners showed that 71% of the people who order delivery would prefer to receive it directly from the restaurant, rather than from a third-party delivery service such as GrubHub or DoorDash. 

Knowing this, your pizza POS system should have several features that will improve delivery efficiencies and optimize delivery operations.  

  • It’s important to have an intuitive driver dispatch screen in your point of sale software with color-coded order timing and alerts that visually show which drivers are on the road or in the store, and how long they have been there, so you can help better gauge delivery times.

  • When the POS includes a mapping engine, you also can give your drivers optimal routes and turn-by-turn directions based on the most up-to-date information. This keeps them off of their own phones during a delivery.

  • Another useful feature is the ability to manage multiple delivery zones by creating a geofence perimeter around your delivery area, then adding the zone name, fee, and driver compensation.

Make pizza customization easy and convenient with online and mobile ordering.

Repeat customers are key. Research has shown, and probably your own personal experiences have proven, that attracting new customers costs five times as much as retaining existing ones. It pays to increase focus on providing an exceptional customer experience to earn repeat business to your pizzeria. If patrons are happy with their end-to-end pizza purchase (from multiple ordering channels to consumption), they’ll be more likely to come back—especially when prompted by personalized offers created from your pizza POS system.

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Offer multiple ordering channels for placing a pizza order

Multiple ordering channels , including both online and mobile, are an essential convenience you should offer if you are looking to increase revenue, especially from the younger, tech-savvy generation. These customers tend to dine out more often and have come to expect the availability of digital ordering. Online ordering solutions generate more revenue, with the average online food purchase averaging 15% more compared to in-store ticket sizes. Customers are less inhibited when ordering in comfort and with the privacy of their own devices, rather than standing in line or waiting on hold by phone.

It’s important that all of your food ordering channels work with your point of sale software. This creates a single source of orders coming through your POS into your kitchen display so that will be fulfilled in the order they were received – regardless of where they originated. 

All of your ordering channels should also include a consistent brand and user experience that’s simple for customers to set up and use, and allows them to earn and redeem loyalty rewards. By using your Pizza POS system to manage in-store, phone, online and mobile orders your messaging can be the same and the experience for customers consistent.

Make it easy to customize their pizza order

One way you can use your Pizza POS system to increase customer satisfaction is to give them the all the same customization options they need to make ordering as easy as possible – whether in-store or online. Intuitive order screens should include ingredient information, accurate pricing for add-ons, combo pricing, and suggestive selling prompts that will increase ticket size.

Process pizza orders quicker and accurately.

“Hangry” is a real thing, and it’s not pretty. To avoid hangry customers, you need an intuitive pizza POS system that helps you get their orders done quickly and correctly. Ensuring order accuracy reduces wasted food and prep time.  

Getting the orders prepared in the correct order is also critical. Your pizza POS system should integrate orders from all channels—mobile, online, phone, and dine-in—so that your kitchen staff can process them quickly and in order. Using the POS to manage all of the pizza order intake also reduces the possibility of a dropped or overlooked order, thus increasing customer satisfaction and retention.

With such high customer expectations and heavy competition, operating a pizzeria is no small task. It requires you to perform a constant balancing act between costs and profits, labor and traffic, inventory and sales. The best way to make sure you are tipping the scales in your favor is to leverage innovative POS technology designed specifically for a pizza shop.

HungerRush Pizza POS solution is backed by thorough knowledge of the industry and reliable 24/7/365 US-based customer support. To find out more about how our integrated POS solutions can help you improve your efficiencies, connect with your customers, and increase your pizza profits,  New call-to-action

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Must-Have Pizza POS Features that Will Grow your Pizzeria

Must-Have Pizza POS Features that Will Grow your Pizzeria

Pizzerias rely much more heavily on technology today than they used to. Pizza POS software developers are always innovating and adding new features as needs arise in this ever-evolving industry. As customer demands grow and preferences change, you need to make sure your pizza POS is equipped with the right tools for the job.

Here are must-have features worth considering:  

Mobile and Online Ordering

Are they worth looking into?

Mobile and online ordering services have become quite popular additions to the standard pizza POS system. Should you look into implementing these?

Short answer: Yes.
A mobile and online ordering service offers a wide range of benefits:

  • It creates additional revenue channels for your business.
  • It helps build your online presence, putting your business in front of more eyes.
  • It puts you on the same playing field as larger, more established pizza chains.

As with any key business investment, do your homework to make sure it’s the right one for you. Find a partner that will allow you to configure and brand the user interface. This will allow you to deliver a seamless and familiar customer ordering experience across all your channels.

Beyond that, it should also be fully integrated with your pizza POS system, for a few reasons:

  • It reduces order errors.
  • It provides better customer information and management.
  • It offers insightful reporting across multiple locations to make real-time, informed decisions.

In addition, a mobile app supplements the online ordering experience for customers on their smartphones, making reorders as easy as possible. Any changes they make to their orders can be set up to appear in real-time on the mobile app.

The best options will align with your branding for your website and mobile app, and will sync incoming orders with your pizza POS system. You should also look for one that can seamlessly integrate with your inventory management and reporting capabilities, so you can manage inventory, compare sales across platforms and stores, and build campaigns to further increase revenue.

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Loyalty and Reward Program

Can they help your pizzeria?

If you don’t already offer a loyalty and rewards program, you’re leaving money on the table. Successful programs keep customers coming back for more pizza and more frequent orders. Some programs are easier to manage than others, however. An integrated loyalty program is one of the easiest and most beneficial for both you and your customers and it is what your customers expect. A good loyalty program retains, and grows, customers by delivering targeted offers to segments of your customer base to drive repeat business.

You’ll know when you’ve found the right solution if it offers these three functionalities:

  • Fast and easy customer sign up.
  • Integrates with your pizza POS, including online and mobile app access.
  • The ability for customers to accrue points/rewards based on dollars spent.

Some Thoughts on Third Party Food Delivery Services

To use or not to use at your restaurant?

When you consider implementing any new offer you have to look at the potential benefits and drawbacks. Take third-party food delivery services, for example.

One the one hand, you have the potential to compete more effectively with larger pizza brands and increase your reach. On the other hand, you could possibly tarnish your pizzeria’s reputation if the delivery service doesn’t provide the level of quality and service both you and your customers expect.

But then again, handling food delivery entirely in-house means you risk:

  • Wasting too much time and resources on managing drivers
  • Cutting into profit margins
  • Paying for drivers during non-peak hours

So how do you solve this?

Consider implementing a hybrid solution used only during peak times or for deliveries that are out of your standard service area.

“If your store doesn’t really have an online presence (online ordering, website), then it’s (third-party service) a good fit for you.”

–RobT, Think Tank member

It’s better to be flexible and adapt to new customer demands, rather than risk stagnating and stifling your own growth. As the world shifts to be more mobile, your pizza POS should align with that. Consider investing in a solution that includes these features so you can better meet the needs of your customers.

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3 Ways to Optimize Your Pizza Delivery Operations

3 Ways to Optimize Your Pizza Delivery Operations

According to the 2018 Pizza Power Report from Pizza Magazine (PMQ), consumers want their pizza the way they want it and as fast as they can get it. In the U.S., delivery orders account for almost $9.8 billion of pizza sales every year and you want your share of that pie. Here’s how optimize your delivery operations, give customers the delivery experience they want and ensure your business gets a healthy slice of the pizza delivery market.

1. Customer Convenience and Customization

The delivery process begins when a customer places a pizza order. The more you can streamline this stage, the more profits your pizzeria will reap. It’s all about convenience: the less effort a customer has to make to place a pizza order and have it appear at their front door, the more likely they’ll reorder from you. Your online and mobile ordering platforms should have an intuitive and branded user interface that provides a seamless integration to your POS system to ensure that all orders are accurate and on time. This will directly affect customer satisfaction rates and increase your customer retention rate.

Additionally, customers want their pizza the way they want it, so your online and mobile ordering channels need to make order customization as effortless as possible. Customers should be able to edit items, add ingredients, and customize their pizza to order.  Provide your customers with robust customization options and you’ll see your order size increase.  (You might also be interested in reading our blog: Top Tips for Optimizing Your Online Pizza Ordering Experience for Customers.)

Digital orders also tend to be larger than those placed in-store— online ordering check averages are 15% higher than in-store check averages — especially when you select a system that includes suggestive selling prompts to increase average ticket size.  So give customers the convenient and intuitive ordering methods they desire, the ability to customize easily, and get ready to watch your delivery revenue increase. 

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2. Driver Dispatch Support and On-Demand Logistics Service

Once you’ve received and prepared the pizza orders, you need to get the pies to their destinations as efficiently as possible. If your driver dispatch support isn’t organized, you risk not only disappointing your customers but also frustrating your drivers, who then have to deal with customer complaints. Not only invest in a pizza delivery system that eliminates order errors with reminders to ensure items aren’t forgotten, make sure it includes order detail auditing, and alerts to track kitchen and driver performance. Other key delivery support tools include an integrated mapping engine to get your drivers to the right place via the best and fastest route, and “time on the road” estimates to let you know when to expect them back for the next pickup. The system should also allow you to create and manage multiple delivery zones with custom fees and driver compensation for each, and it should share this information seamlessly between the point of sale (POS), online ordering, and mobile ordering apps.

Too many unexpected delivery orders than you have drivers? Partner with a pizza POS provider that has an integrated third-party logistics service such as DoorDash that has an on-demand delivery option. That way you can take advantage of those unexpected times when there is a surge in delivery orders, a driver that calls in sick, peak hours or even deliver to areas out of your standard service.

3. Speed of Service

The average wait time customers expect between order and delivery is typically 30-40 minutes. Anything more than that, and they start getting antsy — or hangry. If you don’t have the necessary pizza delivery tools in place, you won’t be able to provide the fast delivery service your customers demand. And delivery orders not only need to be fast, they also need to be accurate. Wrong pizza orders are tough to remedy because drivers are remote. Inefficient delivery service can be worse than not offering delivery at all as it can ruin your business reputation and end up costing you customers instead of keeping them. A pizza delivery system that can optimize all aspects of your delivery operation will increase customer satisfaction and ensure repeat business. 

If you’re not providing fast, reliable pizza delivery as part of your customer experience, it’s a safe bet you’re losing money to competitors who are. Let HungerRush’s pizza POS experts show you how we can help grow your pizzeria. New call-to-action .

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