QSR Insights: Mobile Ordering

Pizza Hut is nearing the end of its record-breaking year for online sales. This success dates back to 1994, when Pizza Hut launched “PizzaNet” online, which was so ahead of its time that many consumers did not quite fully understand how it worked. Pizza Hut has since been one of the leaders in digital ordering in the pizza category. It now offers mobile ordering through an app, and with digital sales amounting to nearly a third of annual revenue; Pizza Hut has passed the $1 billion milestone in 2014.

In a world of overstimulation, a mobile app is the secret to extending communication beyond the in-store experience. Mobile apps can be used to provide coupons and offers, build brand loyalty, and even to deliver branded content; but if consumers lean toward the convenience factor, a mobile app should also allow them to place an order.

The Starbucks and Chipotle mobile apps have had success in using mobile payment. Both allow their customers to place orders through the app so their food or drink is prepared upon arrival. Both apps have been largely successful with their respective consumers, and other QSR’s look to follow their lead.

Chick-fil-A is currently testing a new ordering app in six locations with hopes to rolling out nationally. Similar to the Chipotle app, Chick-fil-A is allowing its customers to find a location, order food and select a pick up time.

According to SmartBrief, only 22% of restaurants in the US have mobile apps. Keep in mind that not all of those are used for placing orders.

Sources: http://www.smartbrief.com/poll/12/10/13/does-your-restaurant-have-mobile-site-or-app#.UqpPSePZ-kA

Photo Credit: Flickr via  Selbe B

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