Set Up Restaurant Online Ordering: A Complete Guide for Owners

Set Up Restaurant Online Ordering: A Complete Guide for Owners

Contents

What is Restaurant Online Ordering?

Restaurant online ordering allows customers to browse a digital menu, place orders, and make payments through a restaurant's website, a dedicated mobile app, or a third-party platform. This system offers significant benefits for both restaurants and their patrons. For restaurants, advantages include increased sales volume due to broader reach and convenience, improved order accuracy by minimizing human error in phone orders, streamlined operations, and valuable customer data collection for marketing and service personalization. Customers, on the other hand, enjoy the convenience of ordering from anywhere at any time, the ability to easily customize orders, transparent pricing, and often, features like order tracking and saved preferences for faster reordering.

There are primarily two types of online ordering systems. Direct ordering systems are hosted on the restaurant's own website or a proprietary app, giving the establishment full control over branding, customer data, and often avoiding hefty commission fees. Third-party platforms, such as DoorDash, Grubhub, and Uber Eats, list multiple restaurants on their app or website, providing access to a large existing customer base but typically charge significant commission fees, often ranging from 15% to 30% per order. Some systems may also offer a hybrid approach, combining elements of both.

The landscape of online ordering has evolved dramatically, especially accelerated by changing consumer behaviors. The COVID-19 pandemic significantly boosted its adoption as diners sought contactless and convenient ways to enjoy restaurant meals. This shift has permanently altered the restaurant industry, making online ordering an essential component for competitiveness rather than just a niche offering. Implementing an online ordering platform can help restaurants meet modern customer preferences. Industry reports suggest that operators offering seamless digital ordering are seeing increased traffic and higher average checks. 

 

Read more: Top Tips for a Winning Restaurant Online Ordering System (eats365pos.com)

 

Types of Online Ordering System

Selecting the most suitable online ordering system is a critical decision for your restaurant's success. A direct comparison reveals distinct advantages and disadvantages for different system types.

 

Direct Online Ordering Platforms

Direct ordering platforms are integrated with your restaurant POS, encompass website and app solutions enabling customers to order directly. These platforms seamlessly feed orders into the POS for streamlined processing and unified management. 

Pros: Retain full control over your brand identity and customer experience. You own the customer data, which is invaluable for marketing and building loyalty. Generally, transaction fees are lower than third-party aggregators, often consisting of a flat monthly fee or lower per-transaction processing fees, leading to better profit margins on online orders.

Cons: You are responsible for marketing your online ordering system to attract customers. Initial setup might require more effort compared to simply listing on an aggregator.

 

Read more: Choosing the Best POS System for Quick Service Restaurants (eats365pos.com)

 

Online Order through Third-Party Aggregators

Third-Party Aggregators (e.g., Uber Eats, DoorDash, Grubhub) offer online ordering through their own website and app platforms. Customers order via these platforms, and the aggregators handle the delivery logistics, often charging restaurants commissions and fees for the service and visibility.

Pros: Instant access to a large, existing customer base actively looking for food delivery and takeout options. Marketing and discoverability are largely handled by the platform. 

Cons: Commission fees can be substantial, significantly impacting profitability per order. You have limited control over the customer experience and typically do not get direct access to customer data. Brand visibility might be diluted among numerous competitors on the platform. 

 

Factors to Consider when Choosing Online Ordering Method

When making your choice, consider your restaurant's size and budget. Small, independent restaurants might start with a cost-effective direct ordering system that integrates with their existing POS to maintain margins, or use a third-party platform selectively to gain initial visibility. Larger establishments or those with an established brand might invest in a robust, highly customizable direct ordering system for greater control and data ownership. 

Key factors to evaluate include:

  • Commission Fees & Pricing Structure: Compare the percentage per order versus flat monthly fees or per-transaction fees. Understand all payment processing charges.

  • Features: Look for essential features like intuitive menu management, customizable modifiers, secure payment processing, order confirmation and tracking capabilities, delivery zone management (if self-delivering), and promotional tools.

  • Integration Capabilities: Seamless integration with your Point of Sale (POS) system is crucial for operational efficiency, automatically sending online orders to your kitchen display system (KDS) or printers. Also, consider integrations with accounting software or loyalty programs.

  • Hardware Requirements: Determine if any specific tablets, printers, or other hardware are needed and factor in those costs.

  • Customer Support: Reliable and accessible customer support from the system provider is essential for troubleshooting issues quickly.

Review your vendor’s detailed pricing schedule—look for one-time setup fees, premium feature charges, hardware costs, higher processing rates if you bypass their preferred gateway, and possible fees for exceeding order thresholds.

Set Up Restaurant Online Ordering: A Complete Guide for Owners

Setting Up Online Ordering: Step-by-Step Checklist

Implementing an online ordering system involves several key stages. A methodical approach will help you navigate the process of implementing online ordering for restaurant services smoothly.

  1. Choose Your System & Plan: Based on your research from the previous section, select the online ordering system and the specific service plan that best fits your restaurant's needs, budget, and technical capabilities.

  2. Account Creation and Configuration: Sign up with your chosen provider. This typically involves providing business information, contact details, and banking information for payouts. Configure basic settings such as restaurant hours for online orders, preparation times, and service options like pickup or delivery.

  3. Menu Digitization and Integration: This is a critical step.

    • Upload Menu Items: Accurately input all menu items, including names, detailed descriptions, and current prices.

    • High-Quality Photography: Use appealing, professional-quality photos for your dishes. Visuals significantly influence customer choices.

    • Modifiers and Customization: Set up options for customers to customize their orders, e.g., choice of toppings, spice levels, side dishes. Ensure these are clearly presented and priced.

    • Categorization: Organize your menu into logical categories, e.g., Appetizers, Main Courses, Desserts, Drinks for easy browsing.

  4. Payment Gateway Setup: Integrate a secure payment gateway to process online transactions. Popular options include Stripe or PayPal, or the provider might have its own integrated solution. Ensure the system is PCI DSS compliant to protect customer cardholder data. 

  5. Define Delivery and Pickup Logistics:

    • Pickup: Clearly specify pickup instructions, location within the restaurant, and estimated ready times.

    • Delivery: Define your delivery zones, set delivery fees,  and establish minimum order values for delivery. If using third-party delivery drivers through your system, configure those integrations.

  6. Set Up Order Notification and Management: Determine how your restaurant will receive and manage incoming online orders. This could be through a dedicated tablet, direct integration with your POS system, email notifications, or an app. Ensure staff are trained on how to acknowledge and process these orders promptly.

  7. Website/Platform Customization: If using a direct ordering system, customize its appearance to match your restaurant's branding. Upload your logo, choose brand colors, and if possible, use a custom domain name for a professional look. 

  8. Thorough Testing: Before going live, conduct extensive testing.

    • Place several test orders for both pickup and delivery.

    • Test different menu items and modifiers.

    • Verify that payment processing works correctly.

    • Check the order notification system and ensure orders print or display correctly in the kitchen.

    • Assess the overall user experience from the customer's perspective.

 

KPI to Track for Online Orders

Monitoring specific metrics will help you measure the success of your online ordering system and identify areas for refinement.

  • Online Order Volume: Total number of online orders over a specific period.

  • Average Order Value (AOV): The average amount spent per online order.

  • Conversion Rate: Percentage of website/app visitors who complete an online order.

  • Order Accuracy Rate: Percentage of orders fulfilled correctly without errors.

  • Preparation Time: Average time taken to prepare an online order.

  • Delivery Time : Average time from order placement to delivery completion.

  • Customer Acquisition Cost (CAC) for Online Orders: Cost to acquire a new online ordering customer.

  • Customer Retention Rate for Online Orders: Percentage of online customers who place repeat orders.

  • Revenue from Online Orders: Total sales generated through the online ordering channel.

  • Online Ordering Percentage of Total Sales: Online sales revenue as a proportion of your restaurant’s total revenue.

 

Ready to Streamline Your Ordering Process?

Taking your restaurant online is a smart move in today’s digital age. As you explore the best solutions, remember that Eats365's POS offers robust online ordering features integrated with your POS for streamlined operations and valuable data insights.

Contact us today to learn more about how Eats365 can elevate your restaurant’s performance.

 

FAQ

What's the cost to create online ordering for a restaurant?

Costs vary. Free options have high transaction fees. Subscription services offered by POS systems usually range from $50-$500+/month. Factor in setup fees, platform fees, and potential integration costs.

 

Is creating online ordering worth it for a small restaurant?

Absolutely! Online ordering expands your reach, boosts sales, and offers convenience. Even a simple system can significantly increase revenue and customer loyalty, especially post-pandemic.

 

Can I create online ordering that integrates with my POS?

Yes, many platforms offer POS integration! This streamlines order management, avoids manual entry errors, and accurately updates inventory. Ensure the chosen platform supports your existing POS.

 

What features are essential when I create online ordering?

Mobile responsiveness is key! Include clear menus, easy customization options, secure payment processing, accurate order confirmation, and options for pickup/delivery. Customer accounts are a plus.

 

How do I promote my new online ordering system?

Use social media, email marketing, and website banners. Offer launch discounts or promotions. Encourage online reviews. Ensure your Google Business Profile is updated with the ordering link!

 

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