Mobile order-ahead is showing no signs of slowing down, with restaurant delivery expected to grow three times faster than dine-in between 2018 and 2023. In fact, a National Restaurant Association study found that 37 percent of restaurants now offer mobile ordering, and that 32 percent accept mobile payments. It’s projected that digital orders will account for $32 billion in sales by next year.
This ballooning growth has not deterred fraud in any way. Overall fraud increased by 13 percent in the past year, with fraud targeting restaurants increasing by an overwhelming 60 percent — more than four times above the 13 percent increase for general fraud.
In the July Mobile Order-Ahead Tracker, PYMNTS explores the latest developments in the mobile order-ahead and quick-service restaurant (QSR) space, including new players entering the delivery scene, third-party apps designed to help small coffee shops and how voice assistants are taking the world of digital ordering by storm.
An industry study found that 54 percent of consumers order food via mobile because of its convenience, followed by speed at 22 percent and order accuracy at 14 percent. These factors make mobile ordering the most preferred way to order food for 35 percent of consumers, beating out options such as drive-thru and in-person ordering.
Delivery apps are adding new capabilities to meet this demand for mobile ordering, with Uber Eats currently testing a dine-in option. The new feature allows customers to place orders which can then be picked up to go or eaten at the restaurant. This is the latest of the app’s many initiatives to diversify its functionalities, including the launch of a click-and-collect option in Europe earlier this year and the more recent addition of an order tracking feature.
Food delivery service Just Eat is looking to take advantage of the United Kingdom’s growing gift card market via a partnership with payments provider epay. More than 70 percent of British consumers have reported purchasing a gift card in the past year, with 44 percent of Britons aged 18 to 34 purchasing at least one every other month.
For more on these and other mobile order-ahead news, download this month’s Tracker.
Mobile order-ahead and rewards programs are immense sales drivers for Starbucks, Dunkin’ and other large coffee chains, but the resources required to offer such perks are largely out of reach for smaller chains and independent coffee shops. For this month’s Feature Story, PYMNTS spoke with Nick and Brenden Martin, co-founders of mobile order-ahead app Joe Coffee, about how the company provides independent coffee shops with a unified mobile order-ahead and rewards program and how it keeps the ordering experience secure.
Find the rest of our Feature Story in the July Mobile Order-Ahead Tracker.
Deep Dive: Voice Assistants For mobile Order-Ahead
Voice-activated search engines such as Siri, Cortana and Alexa are growing increasingly popular, so it’s only natural that QSRs and mobile ordering providers want to leverage this technology. Popular chains such as Wingstop, Domino’s and Starbucks are leading the charge with offerings that provide convenient ordering processes for both consumers and staff. This month’s Deep Dive explores how voice recognition technology is increasing its presence in the QSR space, and the security and privacy concerns that come with implementation.
About the Tracker
The Mobile Order-Ahead Tracker™, done in collaboration with Kount, serves as a monthly framework for the space, providing coverage of the most recent news and trends, along with a provider directory highlighting the key players across the segments that comprise the mobile order-ahead ecosystem.