The ramifications of third-party delivery will continue to unfold in 2020. Sales growth among the Top 500 restaurant chains grew just 3.6% between 2017 and 2018. Third-party delivery sales grew by 55% according to Technomic.
Smart operators have responded by promoting their own delivery and take-out capabilities. Panera Bread® was first by ramping up its own delivery service to capture off-premise business catering with success. Others, such as Bloomin’ Brands® and Red Robin®, ramped up staffing to speed carry-out to their customers. Even The Cheesecake Factory® now offers free delivery to those with a $15 ticket. Investment in technology, staffing, merchandising, packaging and menu innovations were all at play at the end of 2019 to address the delivery juggernaut.
As you build your strategy, some key insights are worthy of consideration. A Technomic® survey found that only 11% of consumers would have dined in at the restaurant if delivery was not available. The same report found that 55% of consumers believe that third-party orders arrive faster than when a restaurant delivers the order. With an average ticket of a delivery order now at $34, many regional chains and independent operators understand the power of third-party providers.
DoorDash® is a leader in third-party delivery. Technomic reports the average number of transactions with a DoorDash customer is 2.46 times per month (just behind Uber Easts at 3.08 times per month). Whether you view third-party companies an ally or villain, insights from a market leader is of great value to you when it comes to menu items ordered by consumers or businesses. DoorDash shared some insights from their deliveries in 2019 that are thus worthy of note:
Overall, 66% of DoorDash customers say that food delivery is their preferred method for eating, second only to making their own meal from scratch and carry-out from a restaurant.
These and other insights can help make your menu planning a success in 2020. From the menu items you offer to the condiments that ride along, there is not denying the importance of a great delivery strategy this year.