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A Step-by-Step Guide to Adding Delivery

In a world where consumers are increasingly turning to an on-demand lifestyle, restaurants are seeing a rise in demand for food delivery. Strategy firm Pentallect published a 2018 study that found the third-party delivery industry is slated to grow 13.5 percent annually, compared to the predicted 3 percent growth rate for the restaurant industry overall.

The growth in demand for delivery will also bring an increase in sales throughout the restaurant industry. By 2020, Morgan Stanley predicted the food delivery industry could account for 11 percent of all restaurant sales, or a $32 billion opportunity.

The convenience of delivery isn’t always convenient for a restaurant. New technology, training, and an overall change in restaurant operations might cause you a few headaches, but if done properly, delivery can pay off big.

For restaurants who already offer take-out options, going the extra step to offer delivery could lead to an increase in sales and repeat customer traffic. Olo, an online and mobile ordering platform, looked at its data and “found that brands that enable delivery through Olo’s Dispatch product have roughly 50 percent higher subtotals compared with in-store pickup order subtotals. [It] also found that guests who ordered delivery are more likely to be repeat guests, compared with non-delivery guests,” according to an Olo’s “Want to Scale Delivery?” report.

Incorporating delivery into a restaurant doesn’t happen overnight. In order to capitalize on this new revenue stream, restaurants should have a well thought out strategy to avoid confusion for both employees and consumers. Olo’s “Want to Scale Delivery?” report carefully outlines how to prepare and execute delivery at a restaurant.

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