Eating is something that everyone loves to do,agree?
And what’s better than sitting in the luxury of your home, watching some show or film and in the middle of it suddenly you wish to have something! So what you will do?
The best option that you will do is you will order your favourite food online.. Not only you, 95 out of 100 people will prefer to order food using food ordering applications.
- Pick up your mobile
- Select the restaurant
- Place Order
- Eat! & Enjoy!
Online Food Ordering System is a simple and convenient way for customers to order food online, without going to the restaurant.
It has become crucial and trendsetter in the current food industry, where every restaurant needs to have their own online food ordering system to compete in the market and serve customers in a better way.
But have you ever wondered,
- How the online food ordering system works?
- How online food ordering system will boost your hotel or restaurant sales?
- How you can develop & run your own online food ordering business?
This is all I have covered in this article with some exciting info-graphics & images to make your reading more interactive & easy for you to understand.
So STAY TUNED & READ TILL END!!
Let’s dive into deep and first understand what is Booking System and why it is important in online food industry.
Booking system is a platform to book any service or product like tickets, appointments, Room, food, beer, etc…
Nowadays, people wants all kind of service under their fingers and that’s the reason technology provide different amazing solutions so a user can book services online.
If you want to integrate Booking System for your business then you need to have your website or mobile application where people can visit your web/app and book a service/product that you want to provide them.
Types of Booking System
Booking system has two types:
1) Traditional (Paper-based) Booking System
2) Electronic Booking System (Online and Offline Software).
1. Traditional Booking System
Before this digital era started, people prefer to use a paper-based system to record data and book services or products.
Problems in Traditional Booking System:
This paper-based manual traditional method has many problems like below….
1. Time Consuming:
Many of you may have a question in your mind that the paper-based system is very easy to record any data so how it will consume time? so my dear friend, record any data that might save your time but finding that data takes too much time. You need that data for billing, accounts, Booking status, inquiry purpose, etc…
2. Human Errors:
We are humans and we are born to make mistakes, but what if we make mistakes in our daily routine business life? It will directly affect our business, correct?
Human Errors like write wrong details of customers, billing amount calculation, hard to find services that your customer used, etc…
Let me explain this human error’s case with real-time example-
Suppose, Mr. Robert, want to book your hotel room so he will call you or visit your hotel. now you need to ask several details like name, number, address, time, date, payment modes and all of these details you need to write in your daily book (register). What if you entered any details wrong? - Customer will face high level of disappointment from you which might be lose customer’s trust which is dangerous for your business.
3. High Manpower:
Paper-based system requires manpower to manage your customer and their data. you need a person to calculate bill amount, you need a person to see which services your customer is used, to record your customer’s data in a daily book, to manage your daily, weekly, monthly, and yearly accounts, to manage your phone inquiry, to handle your visitor etc…
4. Phone Always Busy:
Mr. Robert wants to book your service but your phone is engaged every time, so what he will do? he will directly find your competitor and book service. What about you? you will lose your customer.
Remember, If a customer is in need then they are not loyal to any particular business, they will directly use similar services from your competitors. (If you are alone service provider in the industry then it’s okay!)
5. Slow Cash Flow:
Mr. Robert enjoyed your service and now need to wait for his bill, then he will pay you cash (74% customer’s bargain when they pay cash), you need to calculate the amount and then pay payment receipt to Mr. Robert. But what about those who are behind Mr. Robert? They need to wait for their turn, correct? possible that some of them are busy and hurry so this incident might make a bad impact on your business management.
Customers don't prefer to revisit that hotel/ restaurant which takes too much time in food delivery and billing.
6. Multiple Bookings:
As a human, we can’t remember all the things so there are many chances to forget some important information about your customers.Suppose, Mr. Robert, book your hotel/restaurant table at 9 PM for a day after tomorrow, as a human, you might forget to recheck that date’s booking list and you booked the same service on the same date and time for someone else.What will happen? customer disappointment of multiple booking, because any one of then need to lose their service and choose any other room/table.
To avoid all kinds of problems in your business, you need to use the Electronic Booking System which will provide you the best solutions for all kinds of problems.
People can use an electronic booking system with an offline and online system.
Let’s discuss the Online Booking System in detail so you will get an overall idea about how it changes the food industry.
2. Online Booking System (Electronic)
How many of you book tickets, tables, rooms with the help of the internet once in a lifetime? I think almost everyone, right?
Online Booking System allows users to book any service with the help of the internet, service provider just need to have any platform like a website or mobile application to implement this online booking system.
Let’s bring back to Mr. Robert, and see how he will book your service with the help of the Internet?
That’s IT, Only 5 Steps Needed to book and pay for any service with the help of online booking system!
Now let’s see some important benefits of an online booking system...
Benefits of Online Booking System
1. Time Saviour:
As we can see in Mr. Robert’s example, Online Booking System will save your customer’s time and your time too as you don't need to write your customer’s data manually, and you don't need to explain your service information as well.
2. Error Free:
You can manage your customer’s information without any error (unless the customer fills the wrong information).
3. Helps in Marketing:
Your customer will visit your website/mobile application to book service which means they will inform about your other services as well. An online booking system will ask and reviews user experience which helps to advertise your business to other users as well.
4. Less Manpower:
Customer Management, Accounts, Billing, Invoice all data are managed electronically which reduces manpower and provides you secure data.
5. Booking Management:
You can manage your bookings so effectively and efficiently and handle multiple bookings at the same time. An online booking system allows customers to book out of business hours as well.
6. Billing / Invoice
Many online booking system comes with integrated billing and invoice management so you can provide bill and invoice as per their services. You can track your past billing data as well for accounting purposes.
7. Account Management:
With the help of the online booking system, you can manage your accounts very easily and error-free. You have all the information which you needed to manage your daily/weekly/monthly/yearly accounts.
8. Increased Profits:
Online booking system will help you to sales more because as per human behaviour your customers will buy more when they will see other items in your menu or bucket list.
9. Business Insights:
You will get your business insights with the help of the online booking system. You will get information about how many users book your service, how many visit your website/mobile app, etc...
Types of Online Booking System
Nowadays, the Online Food ordering system is on high demand due to some food ordering service providers like Grubhub, Takeaway, Justeat, Zomato, Swiggy, Ubereats, etc…
So today let’s discuss, Online food ordering system in detail and in the future we will discuss other booking systems.
Online Food Ordering System
Those who are new in the food industry and looking to start own restaurant business might be wondering what all this hullabaloo about Online Food Ordering, correct? so let’s understand it in detail.
Most people eat dine-in food where people need to visit selected restaurants/hotels and book tables. lately, they order food and enjoyed breakfast/lunch/dinner.
You also did the same thing when you have a plan for eating food outside? correct?
But Nowadays, people prefer to order food online instead of going outside.
Emerging of technology and change in people’s buying behaviour, Online Food Ordering System comes into the food industry where people can order online food from service providers or restaurants and enjoy the food without going to that place.
Online Food Ordering and Delivery has grown 300% faster than dine-in traffic since 2014” - Research
Now, let’s understand the actual need for an online food ordering system in the current food industry.
Need Of Online Booking System in the Food Industry
In this digital world, technology is growing very fast and it will do something innovative every time to reduce people’s time, money and power. It allows people to choose quality service with easy to use method.
Websites are the digital identity (virtual place) for any business which proves as a cornerstone of your online presence. It provides each and every information about your business to your customers like business timings, information about products/services, with just a few clicks on the internet.
So in this ideal world to have a website for your hotel/restaurant is the fundamental requirement for your online restaurant’s identity. As we know people live in a world of Zomato, Uber-eats and Grubhub.
As per the research concluded - Almost 70% of people look up restaurants online before thinking of ordering or dining-in there.
So to have websites & Mobile apps, serves as a first impression to your customers.
Many of you have already developed amazing website & mobile apps for your existing business but doesn’t add a system where your audience can order food online, It’s a high time to offer online food ordering service to your customer because nowadays people prefer to order food online more than dine-in.
Recent research says - Approx 74% of users choose online food orders while they are home and 26% of users order food online in their workplace. (between 2014 to 2018)
Benefits of online food order in the workplace are,
In both cases, Hotel/Restaurant is the winner, as people order food online while they are in the home or workplace.
What Research and Statistics Says About Online Food Ordering System?
“By 2020, restaurants who won’t offer online food ordering and delivery service will lose over 70+ of their customers.”
Currently out of the total traditional food ordering market, 58% is offline while 42% is conducted online. The global food ordering and the delivery sector is growing at an annual rate of 3.7%.
Food delivery sales have grown 20 percent while the overall number of deliveries increased 10 percent over the last five years, according to the NPD Group.
“In 2018, Frost & Sullivan estimated the Industry at $82 billion in terms of gross revenue bookings and is set to more than double by 2025, backed by a cumulative growth rate of 14%.”
“60 percent of U.S. consumers order delivery or takeout once a week.”
According to Verified Market Research, the Global Online Takeaway Food Delivery Market was valued at USD 48.18 Billion in 2018 and is projected to reach USD 112.53 Billion by 2026, growing at a CAGR of 15.8% from 2019 to 2026.
72% of people has suggested the mobile online ordering apps to introduce the facility of ordering food beforehand on-the-go and then keep the option open of walking into the restaurant or getting it delivered to their place depending on their convenience.– National Restaurant Association.
So as per the current market trend if restaurateur wants to compete in the market and provide the best customer service then they need to have a business website and mobile application with the food ordering system.
Is an Online Food Ordering System for your Business?
You must need to implement an online food ordering system into your business because it will help you to grow your business with the help of technology.
Now, Let me tell you where you can implement this online food ordering system:
For your Restaurant
For your independent use
For your food ordering system
This online food ordering system you can implement in your hotel or restaurant business so people can order food online without dine-in your place. With the help of this system, you can offer various options to your customers like, order online, dine-In, take-away (self-pickup), order for a friend, etc… when your customers see this kind of options provided by you so they will really impress by your management and service.
If you don’t own a restaurant or hotel but provide food delivery service from your home then you can also implement this food ordering system and manage your food ordering system and increase your customer base.
If you want to start your online food ordering service like just eat, Ubereats, Grubhub, etc… then you must have to add this online food ordering system which will allow your customer (restaurant owner) to list their hotel/restaurant, people can easily order food from listed restaurants, and delivery men can manage their delivery.
Now let’s see what kind of features need to have an online food ordering system.
Features of Online Food Ordering System
There are different features for different businesses so let’s discuss some of the main features of the online food ordering system which require to have in any kind of food ordering/delivery business.
Online Food Ordering System has three main users: (you can add multiple users as per your requirement)
- Delivery Boy
- Registration and Login/Logout
- User Profile Management
- Advanced Search Option
- Map Integration
- Filters and Categories
- List of Foods
- Detail of Food
- Rating and reviews
- Discounts Coupon System
- Add to cart
- Add to as Favourite
- Payment Gateway
- Track Order
- Notifications and reminders
- User Profile Management
- Content Management
- Payment Management
- Order Management
- Food and Menu Management
- Filter and Category Management
- Payment Gateway
- Notification and Reminders
- Cook and Staff Management
- Inventory Management
- Discount Management
- Dashboard with statistics
- Advanced Search Option
- Booking System
- Rating and Review Management
- Notification and Reminders
- User Profile Management
- Live Tracking
- View Customer Information
- Activity Management
- Order Status
- Rating and Review Management
How does the Online Food Ordering System Works?
Let’s view step by step process of the entire food ordering system, and understand how every user is related to each other in a systematic manner...
1. Customer on Food Portal:
Your target audience will search for a food portal/application to order food online. they will get information about the food order portal from different mediums like social media promotions, email and SMS marketing, word of mouth, advertisements, SEO, local business listings, etc...
As a restaurateur, you need to have a website or mobile application or both. we can suggest you to have a website and mobile application both because it will help you to provide the best user experience and your customer will trust you more so they can visit your website/mobile application again and again.
But if you have any problems like budget and you don't want to spend more on starting your business then you can go with a mobile-friendly website (responsive) or cross-platform mobile application or native app.
READ MORE - Cross-platform and Native Mobile Application
2. Search and Choose food with quantity:
After land on your website or mobile application, your user needs to search for food from the advanced search option where the user can search for food with different keywords, filters, and keywords.
Users can view selected food’s information like food images, price, status (available or not) and they can choose single or multiple quantities.
61% of regular diners would prefer online food ordering system over walk-ins if the same quality service is maintained.
3. Finalised order:
After selecting food, if they want to purchase it then they can add to cart and finalise food order or they can add into a wish-list for future order to save their time.
4. Payment by customer:
Customers can pay through different payment methods like net banking, payment gateways like PayPal or any other, Credit/Debit Card, or choose cash on delivery option.
5. Online store owner:
Online store owners will receive food orders then they will assign to related restaurants.
6. Restaurant Process Order:
Restaurant will accept order and start preparing food. when ever food is ready they will pack it properly for delivery.
7. Merchant or 3rd party delivery service:
Delivery men reach to restaurant and pick food parcel and deliver to the customer.
8. Delivery received by customer:
Customer will receive delivery and picked food which he/she wants to eat. Customers can add ratings/reviews to delivery boy and restaurant.
9. Ratings-reviews to the Restaurant and Delivery Boy
Customer will write ratings and reviews to the restaurant and delivery boy after accepting food delivery, which will indicate customer satisfaction.
Advantages of Online Food Ordering System
1. Work 24/7
With the help of an online food ordering system, you can provide full-time service so your user can order food at any time. (You can customise your working hours as well)
2. Hassle-Free Order Bookings:
You can track records of every order and manage their cooking and shipping very easily.
you will get each and every insight about your business and customer’s orders from your website and mobile application.
4. Increase Revenue:
More online orders means more sales. Online Food ordering system will help you to increase your restaurant business. customer loves fast delivery of food and taste of food. If you provide this two things in your business then you will definitely increase your revenue in short time.
5. Payments are easier and faster:
customers can pay money through different payment gateway or cash as well so it is very easy and fast for them.
6. Cut your workload:
You can save your time from data entry and handling phone calls. you just need to manage your client’s orders and provide quality food and service.
7. Improve customer convenience:
Customers can order and enjoy their food in their pyjamas. The online food ordering system will help to improve customer convenience by providing easy order, secure payment, fast delivery, and quality food.
8. Flexible Menu Management:
You can customise your menu items at your preference and availability of your food items. You can update food status so the user can view that food items are available for order or not.
9. Enhanced Productivity
As you need to deliver quality food on time that’s why you need skilled cooks who will prepare food very fast so the delivery boy delivers it quickly.
10. Effective online Promotion:
Online food ordering system asks users to provide reviews and ratings which help your business’s online promotion and advertising
11. Error Free:
Ordering system provides you exact details of the customers and delivery boy, delivery time and address, payment method without any error. (unless customer enter wrong information)
12. Less Manpower:
Online food ordering system will help you to use less manpower because there is no need to manage billing and invoices, accounts, Bookings, etc…
13. Offers and Deals:
With the help of different offers and deals, your customer can buy more food from you because Online Food Ordering websites always provides your customer’s coupons while placing their order. also, if your customers are registering for the first time online stores provide vouchers use at the time of placing orders.
“68% of all food service delivery orders are on a high demand because of the easy access to coupons and other discounts”
14. Loyalty System:
Your customers remain loyal from your services if you are continuously providing quality food and easy mode of payment and bookings. your customer can add ratings and reviews as well which helps you to earn customer experience.
15. Up-selling Opportunity:
Research says that people buy more when they order online. customer may visit your website for chicken curry and they will buy their favourite Ice-cream as well. online food ordering system will create up-selling opportunities for your business.
Disadvantages of Online Food Ordering System
- Delivery Errors:
sometimes it’s arduous to find customer’s address for delivery men or there are many chances to delay in delivery because heavy traffic, vehicle problem, etc… or restaurants deliver wrong food to the customer, so this kind of delivery errors may happen with wrong management. delays in food delivery can damage the brand reputation and can contribute negative feedback.
Solution: Improve your work management and train your staff very well so this kind of situation never happens in the future. confirm the customer’s address by calling them or ask them to guide delivery men. If delivery men face any vehicle problem then prepare any other delivery men who will deliver on behalf of him.
- Food Quality:
Food Industry runs on quality if you provide the best taste and maintain that quality then World is yours! but If you provide low quality of food then it will directly affect your food business as everyone prefers to eat hygienic and yummy food. customer will directly give ratings and reviews about your food item, and others will also choose you based on the reviews.
Solution: Always deliver fresh food and maintain food quality.
- Competitor’s Offers:
If your competitors provide food items with 10 - 50% discounts then also it will affect your business.
Solution: If you can afford then you can also provide some discounts on your food items, but remember, there are many foodies who want to eat quality and fresh food so if your food tastes like by them, then they may want to eat your food again and again.
Nowadays, customers become smarter and they know that heavy discounts mean less food Quantity/Quality.
- Limited Food Items:
If you provide limited food items then it will also affect your sales because people like to view different options in the food menu.
Solution: you can ask suggestions with your customers that what they want to eat and add that item in your food menu. This activity will help you with customer engagement and build trust.
- Time Consuming:
If you take too much time in making food then it will also affect your business because people order food online just because they want food very quickly.
Solution: Train your cook and staff so they can prepare food asap.
Future of Online Food Ordering and Delivery
In the past, people have to visit a particular hotel/restaurant or dial number to order food. nowadays people prefer to order food from their mobile apps or from the restaurant/hotel’s website.
Now let’s assume, How people can order food in the future with the help of technology?
- vIRTUAL aSSISTANT
- sOCIAL mEDIA
- Smart watch & TV
Customers can order food with the help of Virtual Assistants like chatbot, Voice, etc… there are many big brands like domino's, just eat already used this kind of service.
Customers can order by their social media accounts as well with the help of @ and #. Domino's offer this type of service where people can order pizza on Twitter.
As per allied market research, The smartwatch market size was valued at $9,264.9 million in 2017 and is projected to reach $31,070.6 million by 2025 where smart TV’s total unit sale is 114 million in 2018. demand for smartwatches and smart TV's will increase year by year, there are many chances that people may want to order their food with these devices in the future.
In the future, the delivery method also improves with the help of technology so some of the better delivery options are...
- Delivery By Robots
- Delivery with Drones
Demand of robotics and with the advancements in artificial intelligence will increase many chances that in the future, robot may press your doorbell to deliver your pizza.
Delivery with drones is definitely going to happen in upcoming years as it is under the testing process by many companies where drones can deliver your food.
By reviewing these future plans of online food ordering and delivery we are so sure that the future is bright for Food Industry.
A Free bit of Advice
You may get an idea about the current online food ordering industry and consumer behaviour towards restaurants/hotels. we hope you understand that the Online Food Ordering System is the key component to attract your audience and earn more profit.
There are many online food ordering systems available in the market offer the best service so choose wisely and compare above all features of the food ordering system that you want to add to your business website/mobile application.
You don’t need to add all the features and functionalities in your food ordering system, you can customise as per your budget, time and requirement.
Have an App Idea for your food business? Book your free consultation now!