The Philippines faces a boom in food delivery services, but it’s not always easy for restaurant owners. We dive into the five top challenges they have with delivery operations.
How to Solve the Delivery Challenges that Restaurants Face Today
Spurred by COVID-19 restrictions and the rapid growth of third-party delivery companies, numerous Philippine restaurants and cafes now offer food delivery that integrates contactless delivery options.
The Philippines is a food-loving nation with over 90,000 registered food outlets serving over 180 million inhabitants. According to FoodPanda, order count increased to twelve times its original numbers before the pandemic. While restaurant partners grew five times more. And this comes to no surprise: food delivery was already on an upward trajectory that was estimated to reach 15.8m users by 2025. The pandemic only accelerated its growth.
But as alluring as the numbers look, offering food delivery service for your restaurant isn’t easy. So, what do you, as a restaurant owner, need to know before plunging head-first into this new venture?
Let’s do a deep dive into the common struggles that many restaurant owners encounter when setting up their restaurant delivery operations.
1. Order and delivery management
Most Philippine restaurants that offer food delivery use third-party management service providers such as GrabFood and FoodPanda. This is efficient and cost-effective, since restaurant owners don’t need to maintain a team of delivery drivers or vehicles to reach customers.
Effective management of the order-taking and delivery system is vital for business success. Restaurant owners need to carefully plan and manage their processes and staff to ensure the best service possible.
Some of the typical snags include mistakes in orders, as well as incorrect or incomplete delivery instructions. Other common delivery problems are unplanned traffic jams and forgotten food items. These cause delays and result in poor customer experience.
How to Improve Your Food Delivery Service:
There are a few ways to combat these issues mentioned above.
- Make sure your kitchen completes orders on time
- Have a system to ensure the right order is picked up
- Reduce your average delivery time with fast service to your drivers
- Use a professional third-party delivery service
- Expand your delivery hours and service areas
One such example of this is GrabFood; they offer 24-hour delivery services to cater to those who work the night shift or just want a late night snack.
2. Communication channels from back-of-house to the delivery rider
The success of any multi-team project depends on the ease and efficiency of communication between the different members. A lack of clear and open communication leads to slow, inefficient, and low-quality services.
This also applies to restaurants where the back-of-house (BOH) can only prepare food if they get the right order. The right order is assured by the front-of-house (FOH) staff, who relay this info to BOH.
One way to prevent the problem of incorrect orders is to implement a central point of sales system which records and relays orders directly to those who prepare them. Another way is to have dedicated staff to take orders from an online channel or social media. Instagram, Facebook, or Viber are popular choices for restaurants.
It’s best to incorporate as many of your existing communication practices into your delivery service, so your staff can easily adjust to these changes. Always be open and communicate with them about anything that needs improvement.
3. Fluctuating prices
The restaurant business is a cutthroat industry, with more competitors cropping up all over. Many small eateries and restaurants offer competitive pricing policies, like takeout discounts and loyalty programs, to attract and maintain customers.
So, how can you apply similar strategies to your delivery services?
Including your business cards and flyers with your deliveries can be a way to offer discounts. Throw in some promo material with deals for pick up orders or even a simple stamp card. You can also see if the app you’re partnered with lets you waive delivery fees for first time customers.
Doing things like this helps you compete with the typical dine-in experience. Plus, it encourages customers to choose your restaurant over others next time they need delivery for a night of Netflix or the latest sports game.
4. High food quality standards
Remember when ramen restaurants rarely allowed customers to have their food packed for takeout? It was because the restaurant wanted customers to enjoy their food as it should be, rather than receiving complaints about food quality that is lost in transit. After all, no one likes soggy noodles.
To maintain and quality, a restaurant should invest in proper staff training on maintaining proper packaging practices. This includes securing all the items in a strong bag and using specially designed food containers. If half the chicken tinola spills before getting there, your restaurant won’t look good and your customers will be disappointed.
It’s also a good idea to pear down your delivery menu, since not all foods will survive the trip. Pick your best items to really showcase what makes your dishes so delicious.
Even if customers can’t experience your restaurant in person, you want to impress them. Maintaining high-food quality while delivering it is tough, but it’s still possible using the above advice.
5. Technology in food delivery
The COVID-19 pandemic changed the way all restaurants operate. Because fewer customers are willing to dine in, delivery services have skyrocketed.
That means many had to pivot their business model to offer delivery services. That said, you need the right systems and technology in place to run smoothly. Otherwise, given the smaller margins on delivery orders—you risk losing it all.
Make sure you have reliable and easy-to-implement software in place to ensure your delivery operations are worth it.
Ready to deliver good customer service?
Crafting an excellent delivery menu, integrating the right technology, and ensuring communication with your team, are all crucial. Get these right, and you’ll go a long way in ensuring the satisfaction of your customers.
Another way to level up your delivery services is to leverage a POS system like Mosaic. With it, you can seamlessly integrate with food delivery platforms like Grab minus the hassle and complication of coding. Use it to directly receive orders from the app, effortlessly make menu and promo changes, and get all your data in one place.
As a result, you can efficiently and effectively complete orders, improve customer service, and increase revenue.
Ready to reach more hungry customers? Contact us now for a free consultation!