Click and collect emerging as revenue driver for casual dining sector
While home delivery is the food service trend of the moment, click and collect –
the practice of ordering food online and collecting it from a restaurant – is also
emerging as another revenue opportunity for town centre restaurants, according
to the latest GO Technology report from Zonal.
Of the 5,000 UK adults surveyed by CGA, one
in five (22%) have used click and collect.
Despite being a modest figure relative to
delivery, which more than half (58%) of GO Technology
respondents have embraced, click and collect is still in
its relative infancy in the branded restaurant sector, but
as operators adopt it, more consumers are likely to use
the service.
However, for it to be successful, location is everything
with large proportions of click and collect consumers
based in city centres (28%) or town centres (30%), where
the distance needed to travel to restaurants is often low.
Unsurprisingly, it is less popular with consumers located in
suburban and rural areas.
This suggests that click and collect is a convenient way
for consumers to pick up a meal when there’s no time to
prepare food (35%) or as an alternative to a traditional
takeaway (40%) when travelling home from work or a day
out shopping. And it seems busy parents are fond of click
and collect with more than half (56%) using the service.
“Our GO Technology research shows that convenience
is key when it comes to click and collect and it’s most
appealing to those who are looking to grab something
appetising for the family on their way home.
“This is where click and collect wins over delivery, as
you don’t run the risk of arriving home after the delivery
person. But, in order to deliver a seamless experience,
integrated technology is vital to customer satisfaction,”
said Zonal Marketing Technologies Commercial Director,
David Charlton.
For those operators that do embrace click and collect
the rewards are there for the taking as the demographic
alignment with delivery consumers is 90%, but the
margins tend to be more favourable on click and collect.
Also, click and collect consumers are more loyal to the
brands they like (48%) compared to the all-consumer
average (36%), so repeat visits are to be won if a
customer’s experiences good.
With an average of 9.7 brands in their repertoires, click
and collect users have plenty of other places to go if their
experience isn’t good.
That puts pressure on operators to nail the basics, like
getting orders right and having them ready on time –
the top two frustrations of click and collect users. The
integration of ordering and operational systems can
solve these problems and ensure a smooth click and
collect service.
Charlton added: “Having the right technology
infrastructure in place is key to click and collect success.
With click and collect customers also more likely to engage
directly with brands, rather than third party providers,
operators need to make sure that it’s easy for them to
access the service through their own websites and apps,
which in turn help to build sales and loyalty.”
Because click and collect consumers tend to be
early adopters, it has the potential to become more
mainstream over the next few years, with a fifth (22%)
of consumers who have not yet used click and collect
finding the idea appealing.
Karl Chessell, CGA Business Unit Director, Retail and
Food, concluded: “With visits to restaurants, pubs and bars
largely flat, click and collect offers an opportunity to add
incremental sales, build brand loyalty and recover some of
the margin that is lost on third party delivery.
“Smartphones have made it easier than ever for
consumers to order their food, and our GO Technology
survey shows there is a worthwhile market to be won. But
click and collectors’ expectations are high, and there is a
heavy responsibility on brands to