Find the best Online Ordering Systems

Online ordering is making a big impact on the restaurant industry. A 2017 survey conducted by Morgan Stanley found that 52 percent of take-out or delivery orders were made online, through a restaurant website, delivery service website or mobile app.

The widespread popularity of online food ordering is nowhere more evident than in the growth of third-party apps such as GrubHub and UberEats. More than 3 million people placed an order through GrubHub in the past year alone.

But the convenience these services provide do not come cheap for restaurant partners. Restaurants often pay hefty commission fees—between 15 to 35 percent—in exchange for using these third-party platforms.

Budget-conscious small and midsize restaurants can choose from a variety of in-house online ordering software—most of which do not charge commission fees that eat into their bottom line. Unfortunately, choosing an online ordering software platform requires a great deal of time and research.

This buyer's guide will help restaurant owners and operators get an understanding of what's out there in the online ordering software market and what common features to look out for when shopping for a system.

Here's what we'll cover:

What is Online Ordering System Software?

Common Features of Online Ordering System Software

What Type of Buyer Are You?

Benefits of Online Ordering System Software

What Is Online Ordering Software?

Online ordering software lets customers place an order to a restaurant through a webpage or app, with the option for delivery or pick-up.

Here's a breakdown of how online ordering works:

• Your customer places an order for menu items through your website or app

• You receive a notification through your online ordering software

• Depending on the system, or your personal preference, the order is automatically processed or you can choose to review and approve the order

• Your customer receives a confirmation of their order

• Your kitchen staff starts cooking

Beyond those basic ordering capabilities, online ordering software also helps restaurant operators capture valuable customer data.

This gives you the ability to know who your customers are, as well as make informed decisions about what your restaurant can do to drive sales and loyalty.

Common Features of Online Ordering Software

Online ordering software will offer some, if not all, of the following features:

What Type of Buyer Are You?

The target audience for online ordering software are restaurant operators and owners who are looking for a quick and efficient way for their customers to order food items online, whether via their website or through an app.

Restaurant owners seeking POS integration: These buyers are looking for an online ordering system that will integrate with their restaurant POS.

With an online ordering software that integrates with an existing POS, online orders are being sent directly into the POS system and routed to the kitchen. All orders are handled entirely via the POS system and accounted for in the restaurant's entire sales reporting.

Restaurant owners seeking a standalone platform: These buyers are looking for a standalone online ordering platform, independent from their restaurant POS.

Because standalone platforms specialize in online ordering, buyers of these platforms are typically highly focused on the online ordering and delivery aspect of their business. In most cases, online ordering and delivery consists of the majority of their business.

These platforms may come with extras such as 24/7 customer support, the ability to send coupons or discounts and advanced SEO tools. They are also likely to take some form of commission or transaction fee on every order.

Benefits of an Online Ordering Software System

More than ever, restaurants are recognizing that there is a significant chunk of money to be made in the online food ordering and delivery space. Here are some of the benefits of implementing online ordering software:

Simplify the ordering process: Phone orders can disrupt the workflow within a restaurant, keeping customers waiting on the line or causing incorrect orders. Online ordering lets customers make specific orders at their own convenience.

Customers have a clear view of the menu items laid out in front of them and are able to communicate what they want, with minimal communication issues. That, in turn, frees up time for your employees to focus on running your restaurant.

Revel Systems' customizable online ordering dashboard.

Manage your online ordering system in real-time: Things move fast in the food industry. Naturally your online ordering system should reflect the time sensitivities of the restaurant industry.

Whether it's featuring a weekend special or simply removing a dish from the menu, having a white-label online ordering system enables you to make changes on the fly anytime you want.

Update and edit your menu on TouchBistro's dashboard.

Valuable insight into sales and customer data: It's crucial to track and analyze how your restaurant is performing in online sales.

One of the biggest advantages of having an online ordering system is the ability to have an overview of your sales reports and understand what your metrics are, at the highest level.

These reports can also give you a more detailed insight into your sales such as average order, top-selling menu items and customer demographics, which you can then leverage for targeted marketing promotions.

Market Trends to Understand

As online ordering becomes the norm in the food culture, a battle for customers is heating up between third-party services such as GrubHub or Uber Eats and in-house software platforms. Here are some of the trends to watch:

Sales and customer analytics are key to remaining competitive. Tracking customer data is crucial for restaurants in the online ordering and delivery space. Online ordering help you capture more of your customers' data, provide a more detailed understanding of what's working and what isn't, and can manage create loyalty programs for your customers.

Online ordering via mobile apps will increase. A study of 126 restaurants by Gartner found that 75 percent of brands offered a mobile app (content available to Gartner customers). For busy customers on the go, mobile apps provide not just a quick and convenient way to place orders, but a great way to build customer loyalty.

"Mobile app customers tend to order more often and have a higher average ticket than in-store customers," Curt Garner, chief digital and information officer at Chipotle told Adweek. "Rapid reorder of favorite and recent orders is a great example of one of these features."