Serving the “Need States” of Online Customers, Part 3 – Impulse Customers

Posted by Tim on December 1, 2014
This is Part 3 in a series of articles about attracting the “need states” of online restaurant customers - the needs and key decision-making points of each customer segment.  Part 1 addressed Special Occasion Customers.  Part 2 addressed Routine Customers.  Today we address Impulse Customers.

Impulse Customers.  These are folks that make spontaneous dining decisions.  Here’s what you need to capture their attention:

  • Good Web Visibility.  This is especially needed with mobile devices where the likelihood of an impulse purchase increases. Make sure your website is mobile friendly.  Your NetWaiter site is already optimized for mobile devices, so you can redirect visitors directly to your custom NetWaiter page if needed.
  • Price Point.  The price point for this type of customer is often lower.  They may also trend towards ordering more snacks, rather than full meals.  They want to see options that fit their lower price points when searching your online menu. 

Impulse customers can also be found locally.  Make sure you do things that attract these patrons.

  • Email Marketing.  More and more people live their lives through their smartphones.  Reaching them while they’re ‘on-the-go’ isn’t a bad thing.  If they like what they see, they may be inclined to take action right then.
  • The LTO.  Limited time offers tap into the marketing tactic of “get it now or miss out.”  Offer them a special online-only deal, with a very limited window for them to take advantage.  Just make sure the offer gets to them before lunch/dinner.
  • Make It Effortless.  With NetWaiter, over 68% of customers choose to pre-pay online for their pickup or delivery order, if provided a choice.  Pre-payment makes it a smooth, quick transaction.

It’s also important to keep in mind that the need states of customers change.  Every customer, at one time or another, will be in one of these three need states we discussed.  Appeal to each one of these need states, and you will reliably attract more customers.

Important Stats on Mobile Devices and Restaurant Technology

Posted by Tim on November 14, 2014
Recent research by the National Restaurant Association reveals stats that show just how important your restaurant's online ordering business is to certain customer segments:

Consumers that own smartphones or tablets:
  • 90% of 18 to 34-year-olds.
  • 89% of 34 to 44-year-olds.
  • 62% of 45 to 55-year-olds.
  • 60% of 55 to 64-year-olds.
  • 34% of those 65 and over.
Takeaway: Mobile devices are quickly becoming the instrument of preference when it comes to online ordering.
 
Consumers that report they use restaurant technology more than they did two years ago:
  • 53% of 18 to 34-year olds (Millennials).
  • 43% of 35 to 44-year olds.
  • 26% of 55 to 64-year olds (Baby Boomers).
 
Takeaway: Millennials are still the sweet spot for online ordering, but the customer base is expanding in all age segments.

What Influences Customers Online?

Posted by Tim on November 7, 2014
What influences a customer when making a purchase online?  Although these stats* apply to all online purchases, they are very much applicable to restaurants and restaurant online ordering.


Site Speed and Visuals:
•    After waiting 3 seconds, 57% of visitors will abandon a site if it’s still loading.  80% of those people will never return.
•    Visitors will leave a site within 10 to 20 seconds if it doesn’t immediately resonate with them or provide value.
This is why it’s critical your online ordering site is fully branded to your restaurant.  Customers need to ‘connect’ with your brand immediately or you may lose their business.  If your website links to a portal – you’re most likely losing a lot of business.
•    92.6% say visuals are the top factor influencing a purchase decision.
Showing high quality images of items on your menu can really benefit online sales.

Checkout Process:
•    67.4% of shoppers across all types of sites will abandon the checkout process.  That means just over 30% of visitors complete a purchase they start.  
With NetWaiter, nearly 80% of visitors complete a transaction after they select their first item.  That’s a HUGE difference.

Top Reasons for Abandonment Include:
•    41% - Hidden charges at checkout.
•    10% - Lengthy checkout process.
NetWaiter’s goal is to get the customer through the ordering process in as few clicks as possible – hence our very high conversion rate.

Other Interesting Information on Abandonment:
•    Men are more likely to abandon a purchase.
•    25 to 44 year-olds are the worst offenders when it comes to giving up on a purchase.
Considering the importance of this age group to online ordering.  This is why it’s critical to make the online ordering experience quick and easy for customers.
*Credit to The Marketing Donut and other sources.

What It Takes To Attract Millennials

Posted by Tim on November 7, 2014
All posts tagged 'Yelp'

How a Restaurant Doubled Its Online Business in Two Months

Posted by Tim on January 20, 2015
Recent articles about a Florida-based restaurant chain focused on how they doubled their online ordering in their restaurant in two months, from 2 to 3 percent of their volume to more than 5 percent.  Some of what they did was just good sense.  Other things were a bit more innovative.

Here are three that worked well:

  • Revamped their website.  Their new website was easier to navigate and, more importantly, the button for online ordering was moved right up to the front where visitors could find it quickly.
  • Updated Directory Listings.  Each store did a painstaking search of all the directories they were listed in, correcting erroneous info and making updates.  Google algorithms like correct, consistent information. Click-through rates skyrocketed after that information was corrected.
  • Wooed Influential People.  Food bloggers and Yelp Elite members were invited for special events and private tastings.  This resulted in a lot of buzz on social media – Facebook, Twitter, Instagram, and blogs.  Some locations jumped as many as two stars in their Yelp rating.  A half-star increase in your Yelp rating can result in a 19% increase in business, according to a 2012 report by Economic Journal.  That’s worth the investment. 

Don’t Ignore Restaurant Search and Review Apps

Posted by Tim on May 16, 2014
Here are two numbers that will catch your attention – 200,000 and 250,000.

According to Yelp, during a recent business quarter, consumers called businesses through Yelp's mobile app 200,000 times a day and generated over 250,000 directions a day.  These numbers refer to all businesses, but as we all know, restaurants represent a sizeable chunk of Yelp’s listings.

These aren’t numbers to ignore.  There are a variety of mobile apps available and some of them can play a big role bringing in business.  Here are some tips on how to make the most of them:

Find out where customers are hearing about your restaurant – Yelp is the 800-pound gorilla of restaurant search/review, but there are others, both locally focused, as well as broader reaching apps.  Have your wait staff survey customers to identify your top three sources of referrals.  You should monitor your listings on those sites regularly.

Use what’s available to help you promote your restaurant – Each site is different, but many of them allow photos (which you should include), the opportunity to make special offers, and a place to add a business description.  According to Yelp, people stay on a business page two-and-a-half times longer when it has photos.

Don’t forget Online Ordering – Make mention of your NetWaiter online ordering capabilities as prominently as you can.  Include a link to your branded online ordering site so customers have easy access to order from your menu.  If a customer links to your NetWaiter site from their mobile device, they will automatically be routed to your mobile NetWaiter site.

How to Handle Online Complaints and Bad Reviews

Posted by Tim on March 21, 2014

Has your restaurant ever been blindsided by an online complaint?  It doesn’t matter if it’s about your online business, or an in-restaurant experience – it’s not a good feeling.  Whether it’s legitimate, or something totally unwarranted – you need to know how to respond. 

Often it’s based on a misunderstanding or a failure to respond early, when a complaint is fresh.  A recent webinar from the National Restaurant Association had some tips on how to respond to these online complaints.

• Don’t be the last person to find out about a problem at your restaurant, or with a takeout order. Get familiar with the tools.  Use Google Alerts, monitor Yelp.  Have systems in place. 

• This isn’t personal, so don’t get defensive.  Your goal is to neutralize these incidents. 

• Take responsibility online.  Denying that it happened is usually the wrong tactic.  If it’s a completely false or bogus complaint, contact the site (i.e. Yelp) and have them remove it. 

• Get the response public and prominent.  Don’t be the 75th person to comment.  Tell the complainant that you want make it right.  Make sure everyone sees it. 

• Treat your online communication as carefully and as thoughtfully as you would in-person.  You don’t want these things going viral.

• If you are posting online, keep everything positive.  If a customer persists with negativity, take the conversation offline by suggesting they call you. 

• Train employees with your approach to handling complaints so that your staff speaks in one voice. 

• If complaints are routine or happening in patterns, it can indicate a weakness in your operation.  Use that information to your benefit and correct the issues. 

Be persistent to make things right.  People tend to remember the last thing you did for them.  It could be a big problem or small dilemma, but if you bend over backwards to make things right, that’s what they will remember most. 

 

Controlling Your Online Presence

Posted by Tim on November 15, 2013

Customers resort to online searches, especially through their smartphones, to find restaurant information more and more these days.  Bad online information, however, can hurt you.  A recent industry study revealed that 68% of people are not likely to visit a restaurant, café, or bar after encountering incorrect online information about the business.

Here are a few tips about managing your restaurant’s online presence:

Know Where You Are Listed - The numerous online outlets—Yelp, Foursquare and others—enable customers to identify, rate, and comment on the restaurants they patronize.  Be sure to regularly search for your restaurant online.  If you find a place where you are not listed, check into what it takes to get listed.  More importantly, if you see incorrect information, have it fixed ASAP.

Know What Counts - The aforementioned study also said that 60% of consumers say the menu is the most important factor in selecting a restaurant online.  For all of your online listings, you can link customers to your custom NetWaiter menu.  It will be available to consumers online and via mobile.  Photos are good, too – a few pictures of your restaurant (inside and out) are helpful selling tools.

Keep Online Information Updated - Remember, nobody likes a restaurant with bad or outdated online information.  Check and update your information regularly.  And most importantly:

Make sure your restaurant’s online ordering capabilities via NetWaiter are prominent - The quicker you can get customers to your online ordering site and placing their order, the better your bottom line will be. 

Quick! Get Some Video on YouTube

Posted by Tim on August 29, 2013

A recent article in the online version of QSR quotes a 2012 Nielson study revealing that more than 90 percent of consumers say that recommendations from friends and family have the biggest effect on their purchasing behavior.

The Zocalo Group, a marketing agency in Chicago, reveals which social media tools work best for restaurants.

Although it is frustrating that they don't include any quantifiable numbers in the article, according to Paul Rand, the CEO of Zocalo, the #1 most credible source is YouTube. This is followed by someone liking a brand page and sharing it. The third favorite online vehicle for consumers is online brand reviews. 

The information was collected for Highly Recommended, a book Rand will release soon.

Rand says brands also shouldn’t be afraid to ask guests to give a recommendation. “Whether you’re large or small, give people opportunities to do what you want them to do," he told QSR Magazine. "People will recommend all day long when you ask them to do it.” 

The Cindy Crawford School of Yelp

Posted by Tim on October 9, 2012

Cindy Crawford

Remember the supermodel Cindy Crawford? Her motto was, "The camera never blinks." She realized she had to look stunning all the time.  For restaurants, the motto is, "Yelp never blinks." Anyone can put a review of your restaurant on Yelp, and once a bad review is up there, it’s virtually impossible to remove.

How important are Yelp ratings for your restaurant?  According to a recent article in the Economic Journal and reported by Mashable.com, a Yelp rating increase of just a half-star can translate to a rise in peak-hour traffic by as much as 19%.


But here’s the inside story - according to Mashable, Yelp rates restaurants between 1 and 5 stars, and they round to the nearest half-star.  "A restaurant with a rating of 3.24 will show 3 stars.  A restaurant with five or more reviews and a slightly higher average of 3.26 rating will display 3.5 stars."  What a difference .02 can make!

Here are some tips for dealing with Yelp reviews:
•    Ask customers who are in your restaurant several times a week to review your restaurant on Yelp.  A few sentences will do it.  Each rating will show you who posted the review.  Perhaps you can reward them with an appetizer or free drink the next time they’re in.
•    People always remember the last thing you did for them.  If a customer complains because the food took too long to prepare, or their order was wrong, what they will remember more than the foul-up is your sincere apology and how you bent over backwards to make things better.  This should help prevent bad reviews.
•    It's all about providing consistently good service.  Day in and day out, give your customers the best.  That's what gets the best ratings and that's what brings customers back.

Getting Your Restaurant Online

Posted by Tim on January 11, 2011

Lunch MeetingWhether you’re a beginner or a pro, when it comes to getting your restaurant more online exposure, it can seem a little daunting.  It’s actually not that hard.  With just a few moments of your time, you can establish accounts with a number of online sites that will provide your restaurant more online exposure.  NetWaiter can help walk you through the basics:

Accepting Orders Online - This is easy.  If you’re considering NetWaiter, or already have an account, an online ordering site is provided for your restaurant.  In addition, a mobile site customized for your restaurant is also provided, giving customers maximum accessibility to your restaurant and menu.  Best of all – it’s very easy to setup.

Make a Name for Yourself and Get Connected - This is important.  If customers become more aware of your restaurant online, it will drive sales, both online and in-house.  Also, if you don’t monitor your online presence, you won’t know what is being said about your restaurant - good or bad!

While the Internet evolves daily, every restaurant can benefit from joining a few major websites.  Click on any of the following for a step-by-step guide to creating an account.  Here’s an overview:

Yelp
- Driven by actual customers, who can add information, photos, and reviews of your restaurant.


Google Places
- Maintained by Google (they’re a tiny company, maybe you’ve heard of them?).  This is where a lot of customers will land when doing a web search for your restaurant based on name, type of food, and/or area.


Insider Pages - Citysearch
- Quickly growing as a competitor to Yelp!  Insider Pages is more of a “listing” service, while Citysearch contains a lot of what Yelp! has and more.


Urbanspoon
- A basic listing/review website with an easy to use interface.  One of the first to have an iPhone application and is now starting to get into online reservations.


Foursquare
- Foursquare is quickly growing as the mobile “check in” app.  Users can “check in” to your restaurant when they’re physically there and let their friends know what they’re up to.  As a restaurant owner, you can offer them discounts/perks for checking-in and/or being a frequent customer.

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