When you think about selling a meal or meal component,
have you continued to say no way, not at all, or I tried it and it did not work
for me? Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® wants you
to rethink your position. Ask yourself why us and why now?
Here are some insights and research excerpts from our
friends at Paytronix.
That will help you understand why many restaurants, c-stores, and delis utilize
online ordering, and why it might be time for you to test the waters.
“While restaurants, namely quick service (QSRs), have
embraced digital ordering, not all convenience stores have taken the leap.
Early adopters, such as United Dairy Farmers (UDF), are discovering that adding
order and delivery to their digital guest engagement platform is a great way to
increase sales on high-margin in-store merchandise, such as fresh-baked items
and signature ice cream treats.
But adding digital ordering doesn’t stand alone. It must be
considered as part of a much larger digital guest engagement ecosystem.
During the pandemic, digital orders emerged as a key part
of the mix and are now expected by most customers. The nature of digital orders
has changed as well. While delivery was king before and during the height of
the pandemic, more recent data indicates that takeout orders now dominate this
digital channel, with numbers even higher than they were pre-pandemic. Takeout
jumped from approximately 35 percent of orders in January 2020 to nearly 64
percent now.
What’s more, to meet customers where they are, brands must
have a mobile app, and that app must work perfectly with loyalty rewards, your
messaging platform and your CRM (customer relationship management).
Sticking a Toe in the Water
As more and more c-stores expand their physical footprint
to accommodate bakery and hot grill items, moving these fresh food items has
become a big priority. Like QSRs, c-stores are gravitating toward a takeout
model.
C-stores that facilitate this upswing in takeout orders
through third-party services are finding a new, receptive client base waiting
for them. Google Ordering is one example, with merchants who implement Google
Ordering achieving a 0.08 percent lift in orders.
For UDF, which has 170 retail locations throughout the
greater Cincinnati area as well as Dayton and Columbus, Ohio, online ordering
was a natural extension of its existing U-Drive Plus loyalty program. With
loyalty members driving 37 percent of overall sales, UDF welcomed online orders
via its website or mobile app. Customers can now order ahead for a coffee and
freshly baked doughnuts, and then pick up their breakfast on the way to
work.
Digital ordering also makes it easier for fuel buyers to
get in and out of UDF stores and enjoy the brand’s growing assortment of “Oven
Side” bakery products, hot food and ice cream treats. Customers are encouraged
to shop in whatever way best meets their needs. Whether it’s supporting an
in-store visit, an at-home delivery or a curbside pickup, the UDF guest
engagement platform captures each transaction and builds a comprehensive view
of guest preferences.
This further allows UDF to segment guests by fuel buyers
vs. merchandise buyers, or even lapsed fuel buyers vs. those with high fuel
buying frequency. Once UDF knows how frequently a guest visits and what they
are purchasing, the retailer can create a personalized cadence.
UDF can generate a 1-to-1 win back campaign or a 1-to-1 visit
challenge for individuals. It can experiment with incentives — will a guest
respond to Red Bull or Monster? — and continually finetune its loyalty
campaigns so that they are always delivering value to customers.
Smart brands are aligning their guest engagement platform
to bring online ordering together with loyalty, mobile apps, CRM and messaging.
Many will face the temptation to go with a best-of-breed approach and find just
the right point solution for each component. The challenge with that approach
is that if the pieces aren’t perfectly aligned, it can create operational
inefficiencies that will act as a barrier to achieving the most out of the
solution. With today’s demanding guests, it is best to create the easiest path
to the strongest level of guest engagement. “
Are you looking for a new partnership to drive sales? Are
you ready for some fresh ideations? Do your food marketing tactics look more
like yesterday than tomorrow? Visit GrocerantGuru.com for more information or contact: Steve@FoodserviceSolutions.us Remember success does leave clues and we just may have the
clue you need to propel your continued success.
