Smoothie King’s Strategy to Win Back Customers From Aggregators

Ordering delivery from restaurants used to be an occasional treat, but the pandemic and related restrictions have changed the way Americans eat, making delivery a mealtime mainstay in many households. This genie seems to be out of the bottle and isn’t going back, with many consumers looking for convenient ordering and delivery options to satisfy their cravings for convenience. Delivery aggregators have emerged as a key component in this shift, enabling consumers to seamlessly navigate apps to order, pay for and receive food from some of their favorite restaurants.

Aggregators have helped many restaurants reach new customer segments and stay afloat during the pandemic, but they have their drawbacks. These services charge restaurants fees, and data access is also an issue for partnering restaurants.

In the January Order To Eat Tracker®, PYMNTS examines how restaurants are working to take control of the customer relationship with loyalty programs and customized mobile ordering features.

Around the Order to Eat Space

Aggregators have allowed restaurants to reach more customers and focus on other aspects of their operations, but convenience comes at a price. Quick service restaurant (QSR) giants are also feeling the pinch, and some are streamlining their menus to emphasize efficiency or even outright protesting third-party delivery aggregators. One restaurant chain, for example, is taking a stand by giving away gift certificates for locally-owned restaurants to more than 2,600 customers in multiple cities across the United States. Domino’s said the move was intended to highlight the high fees charged when restaurants use delivery services. It encouraged gift card recipients to skip apps and order from local restaurants instead if they were not planning to order from Domino’s.

The focus might be on delivery, but some restaurants are also innovating in other areas. Fast food titan Burger King plans to streamline the drive-thru experience for its customers by offering a digital menu and testing pickup areas specifically for customers who made mobile orders. The chain also intends to use predictive sales technology, offer loyalty programs and accept contactless payments via new digital ordering screens.

For more on these and other food delivery headlines, read the Tracker’s News and Trends section.

Smoothie King on Using Aggregators to Connect to Customers in a Post-Pandemic World

Specializing in handcrafted, organic, additive-free smoothies, Smoothie King had adopted a digital platform for takeout orders shortly before the pandemic began. Most company operations were still traditional, however, with the client ordering and paying at the counter. In March 2020, this had to change — and quickly — as the pandemic changed the way customers ordered and enjoyed food.

In this month’s Feature Story, Dan Harmon, president and chief operating officer at Smoothie King, discusses the ins and outs of integrating digital experiences and adopting food delivery.

Deep Dive: How Efficient Delivery, Advanced Tools and Loyalty Can Help Restaurants Keep up With Aggregators in 2022

Spurred by the pandemic, the quick adoption of food aggregators and delivery services expanded restaurants’ reach and made dining on restaurant food at home a staple of many consumers’ lives. It also allowed for the rise of virtual — or ghost — kitchens across the country. The restaurant industry and consumer dining trends have been forever and irrevocably altered. The pandemic may have been the primary driver behind these changes, but they’re very unlikely to reverse course, even after consumers return to normal activities. Restaurants and food-service brands that wish to engage consumers and retain their loyalty should adopt digital features.

This month’s Deep Dive looks at how to do just that while improving convenience and efficiency.

About The Tracker

The Order To Eat Tracker®, a PYMNTS and Paytronix collaboration, examines the latest developments in the order-to-eat space across the globe.