TouchBistro has shared more clarification with us as it relates to their report. Our open ended questions prompted them to share more quality insight.
Instead of looking specifically at the use of third-party food delivery apps, TB’s survey looked at online ordering as a whole. This includes takeout and delivery orders placed through any online ordering platform (direct from a restaurant’s website, a popular third-party app like Uber Eats, or another type of app).
Their research found that 34% of restaurants are currently offering direct online ordering through their website. Third-party apps are indeed popular, but they are not the only online ordering platforms being used. In most cases, restaurants are using more than one platform at the same time.
For example, they found that 35% of restaurants were using some online ordering platforms prior to the pandemic, but then added new platforms after the pandemic began.
The survey results were about ALL forms of online ordering, whether on the restaurant’s website or through a third-party app, inclusive of online ordering for pick up OR delivery.
In the chart below, it shows that 76% of the restaurants surveyed have seen online ordering increasing sales by 16% or more. Specifically, one-third of restaurants have seen an uptick in sales volume from the online ordering platforms they use at a rate between 16%-20%. A further 21% of restaurants have seen an uptick in sales volume from online orders at a rate between 21%-25%.
The mean increase reported was 19.9% and the median increase was 18%.
This increase can in part be attributed to the fact that customers are spending 11-20% more on takeout orders than they are spending on dine-in orders.
TB asked restaurateurs what accounts for the ticket size increase and 17% said more add-ons/custom modifiers, while 31% said more items per check. 50% of those surveyed said both add-ons and more items per check were responsible for the increase.
Unfortunately, TB did not clarify with restaurant owners whether this increase is gross or net.
All of the operators in their survey did report on whether they saw an increase from online sales. 95% of the restaurants reported seeing some increase in sales volume from online ordering.
Diving into the numbers, only 1% of those surveyed said they saw no increase in sales from online ordering, and just 4% saw a less than 10% increase (in the graph above, both these numbers are grouped under the <10% column).
TB’s research found that only 3% of the restaurants conducted 50% or more of their business through online ordering. The mean is around 34%. That leaves 50% or more customers are still ordering directly from the restaurant on the phone, at the counter, or in the dining room.
Good stuff. Thanks to Touchbistro for following up.