Forty-one percent of the average restaurant’s revenue is now generated online, according to the Restaurant Friction Index, a PYMNTS and Paytronix collaboration that surveyed 501 U.S. restaurant managers and 2,146 consumers.
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This share of revenue coming through digital channels such as mobile apps, aggregators and websites is far more than the 32% the average restaurant generated onsite and the 26% generated over the phone.
Restaurants are acutely aware of the importance of delivering their customers a consistent ordering experience, no matter how orders are placed.
In fact, 41% of restaurants now consider it “very” or “extremely” important to make the integration of physical and online customer experiences a part of their broader innovation strategies.
Between one-quarter and one-third of restaurants are planning to invest more in cross-channel capable innovations going forward. PYMNTS research shows that 58% of restaurants currently allow their customers to pay with contactless cards in-store, for example, but 34% plan to adopt in-store contactless card options in the future.
Similar patterns are found regarding restaurants’ plans to adopt digital wallets, drive-thru pickup, automatic menu updates and other features.
Loyalty programs are also on many restaurants’ innovation agendas. Just 57% of all restaurants currently offer loyalty and rewards programs, but another 25% plan to invest in them in the next three years.
It is therefore clear that investments in loyalty programs, along with other key digital ordering features, are poised to play a crucial role in restaurants’ customer engagement strategies in the future.
As the data about where restaurants generate revenue shows, integrated digital ordering and payment options are no longer competitive differentiators but rather foundational to the restaurant business.
