San Francisco has seen the emergence of a digital platform. August 2014 witnessed the inception of Uber Eats. With contactless delivery, order pickup, and takeout operations, it has expanded to 45 nations. The California-based app is undoubtedly the leader in this booming industry. Can entrepreneurs also rule this market? Yes, they can do so by creating an online food ordering app solution.
How is a digital food order management system advantageous?
Real-time monitoring of inventory – There is no need to hire staff and manage large volumes of stocks. Operating an online food ordering solution is highly cost-effective. The expenses are minimum as large warehouses are not necessary to store ingredients. Instead, micro fulfilment centres (MFCs) can be set up across locations close to eateries.
Live alerts will be shared regarding the level of food items. Techpreneurs can team up with restaurants across cities and towns. As a result, they will know the status of finances, home delivery, order volume, and packing.
Several sources of revenue – Starting a food ordering business offers a higher return on investment (ROI) for entrepreneurs. They will earn a commission per order from customers, delivery fees, monthly and yearly subscription plans from regular users, and packing charges.
Besides that, surge pricing is another way for digipreneurs to increase their wealth. They can impose differential meal costs on customers. It is based on factors like the distance from the restaurant to the user’s location, time of delivery, and weather conditions.
Steady rise in order volume – Techpreneurs can provide customers with a variety of choices. They will witness a rise in demand by including dishes and cuisines. How to do that? Owners of a food delivery app can join hands with bistros, burger chains, cafeterias, dark kitchens, pizzerias, restaurants, sandwich shops etc. As a result, a bigger menu with tasty dishes can be showcased. This contributes to greater revenue. One of the key benefits is that menus of brick-and-mortar eateries are limited.
Strategic partnerships with brands – Eats Pass is the monthly subscription plan of Uber Eats. Premium users get abundant discounts, free home delivery, and low prices on certain items.
Recently, the American giant has tied up with Hulu, an online streaming platform. It is offering a 6-month free subscription plan for new customers of the food delivery app. To avail of the service, they must also be existing members of Hulu.
Similar to that, entrepreneurs can get into a productive partnership with brands across industries. Eventually, this will lift the credibility of their food delivery platform and increase sales.
Automation of business activities – Eliminating human intervention and replacing it with modern software is the hallmark of digitization. An online food ordering app does that exactly.
It removes intermediaries in basic tasks like customer support, implementation of promotional campaigns, dispatch of packages, order taking, and processing of transactions. Hence, this leads to a decrease in operating expenditure and streamlining of the daily business activities.
Swift fund management – Be it a standalone or a multi-chain restaurant, monitoring the inflow and outflow of finances is essential. Entrepreneurs can computerize their account books and tax returns. Moreover, they can view the financial status of their business operations anywhere and anytime.
Insightful information is shared about average order volume, daily active users (DAU), costs, gross meal value (GMV), revenue, and profits. Eventually, this helps them make a proper decision while increasing the size of their business.
Besides that, techpreneurs can have 360-degree control over the inflow and outflow of funds. They can join hands with banks, credit and debit card companies, and fintech enterprises.
Entrepreneurs can offer tailormade discounts, offers, and promo codes based on the location of customers, the nature of restaurants, and the type of target market.
Analysis: why virtual restaurants have a strong future ahead?
The Covid-19 pandemic and trends like digitization, enhancement in Internet connectivity, and rapid smartphone penetration have fuelled the need for digital restaurant management apps.
Digipreneurs can set up dark kitchens with a minimum investment. Further, an automatic food order management solution can be set up. Entrepreneurs will know data about the current and upcoming orders. This will give them a clear view of the daily business activities.
Operating online, they can recover the initial costs by outsourcing the delivery activities. Entrepreneurs can partner with a third-party logistics (3PL) firm and decrease the expenditure on commission paid to delivery executives and fuel. The total labour charges are negligible since gig workers can be hired instead of full-time workers.
What are the food ordering trends to watch out in the future?
Ordering by tweeting – No wonder, foodpreneurs need to stay active on social media platforms. Twitter is a hub of insightful content as celebrities and individuals, and influencers are always active. Entrepreneurs can offer an “Order by Tweet” option. Users have to create a profile on the social network and post requirements for the food they want.
Techpreneurs can enable personalization for customers by allowing them to share emojis. Customers can place an order by mentioning an emoticon. The interactive characters will vary depending on the mood of users and the nature of the food item.
Order from car – Right from March 2009, Uber has been successful in the taxi business. It also allows travellers to use the Uber Eats app, locate a nearby restaurant, and place an order directly. Customers can choose specific eateries depending on their route. This entire process happens in-transit. Frequent passengers will also get handsome discounts.
Order via virtual assistant (VA) –, Amazon Alexa, Google Assistant, and Siri of Apple are the most popular smart assistants in the world. Netizens can use them, utter a few commands, and get appropriate responses. Similarly, customers can place orders in a simplified manner. Wonder how? They can open their wearable devices and choose their food items quickly. Later, users can track the arrival of the delivery personnel in a real-time manner.
Times are changing now and digitization cannot take a backstep. Entrepreneurs can enrich their business fortunes. They can obtain an online food ordering app solution and multiply their wealth.