Off-premise dining potential has evolved into a major revenue driver for fast casual and casual restaurants. Beyond takeout, this segment of the hospitality industry holds untapped opportunities. By unlocking the hidden off-premise dining, restaurants can boost profitability, attract new customers, and enhance overall brand loyalty. Here, we unveil three transformative strategies to help restaurants thrive in the off-premise landscape.
1. Separate Off-Premise Profitability from In-Premise Business
Understanding the unique financial dynamics of off-premise dining is essential for maximizing its potential. To achieve this, restaurants must treat off-premise operations as a distinct revenue center.
- Why It Matters:
Off-premise dining often incurs additional costs, such as packaging, delivery app commissions, and dedicated staff. Without separating these expenses from in-premise operations, it’s challenging to assess true profitability. - How to Implement:
- Work with your accountant to design a custom general ledger (GL).
- Classify off-premise revenue and related expenses like packaging and delivery commissions separately.
- Monitor profitability metrics specific to your off-premise dining potential.
This granular approach provides actionable insights, enabling restaurants to adjust pricing, refine processes, and optimize overall performance.
2. Use Delivery Apps to Boost On-Premise Traffic
Delivery platforms are more than just fulfillment tools—they are powerful marketing channels that can drive off-premise dining potential into on-premise success.
- Leverage Delivery Apps Strategically:
- Ensure every off-premise customer receives a seamless experience, from packaging to timeliness.
- Include promotional materials or exclusive on-premise offers in off-premise orders to encourage visits to your restaurant.
- Engage customers through personalized thank-you notes, inviting them to explore your in-premise offerings.
This strategy transforms off-premise dining potential into on-premise foot traffic, building stronger brand connections and increasing dine-in revenue.
3. Turn Delivery Apps into a Customer Acquisition Funnel
Delivery apps are the starting point for acquiring new customers. To fully capitalize on their off-premise dining potential, redirect these app users to your website and establish a direct relationship.
- Steps to Build Loyalty Through Off-Premise Channels:
- Include a QR code or link with every delivery order that directs customers to your website.
- Create an enticing loyalty program that rewards customers for ordering directly.
- Use customer data to craft personalized newsletters, exclusive offers, and updates.
By managing your guest list and maintaining regular communication, you retain control over the customer relationship, reducing dependence on third-party platforms and maximizing your off-premise dining potential.
Benefits of Optimizing Off-Premise Dining Potential
When restaurants embrace these strategies, the benefits extend beyond just increased sales:
- Enhanced Profitability: Separating off-premise revenue ensures better cost control and accurate financial analysis.
- Stronger Customer Relationships: Transitioning delivery app users to direct channels builds lasting loyalty.
- Increased Brand Awareness: Leveraging delivery platforms as marketing tools expands your reach and attracts new guests.
- Balanced Revenue Streams: A well-managed off-premise channel complements and enhances in-premise dining operations.
Conclusion
The off-premise dining is vast, but success requires intentional strategy and precise execution. By separating profitability, leveraging delivery apps, and building direct customer relationships, restaurants can create a seamless synergy between off-premise and in-premise operations.
Don’t let the challenges of off-premise dining deter you; instead, transform them into opportunities for growth. Adapt, innovate, and thrive in this ever-evolving landscape. Unlock the true potential of off-premise dining and watch your restaurant flourish.