How payment platforms can enable QSRs to drive customer loyalty and increase revenues
Now more than ever, the QSR industry is compelled to step up their digital strategies in order to overcome the unprecedented challenges brought about by COVID-19.
As the industry becomes more competitive and the future uncertain, it is high time for QSRs to digitalize in order to remain relevant to consumers and keep their business
thriving.
QSRs are traditionally reliant on in-store traffic, but now there is a massive shift to contactless service, digital ordering, takeaway, and third-party delivery platforms. With government restrictions at varying degrees in different states, the industry is seeing enormous transformation in how businesses operate. But one thing that has not changed is that consumers are still looking for quick service. Consequently, QSRs are still striving to cut costs, reduce wait times, and increase average transaction values – objectives that could be easily achieved with the right technology and digital strategy.
Michel van Aalten, Country Manager for Australia and New Zealand at Adyen, notes that creating a seamless checkout experience across different sales channels is one of the key drivers of reducing wait times, whether in-store or takeaway or even for delivery.
“It is of utmost importance to offer customers a consistent payment experience regardless of the channel that they choose to use. Consumers want to be treated in a similar fashion,” he said.
He adds that using the right payment platform enables QSRs to understand their customers better and increase revenue as it contains a wealth of information about customer behavior that could better inform loyalty programs. These digital platforms also help reduce cash handling, thereby improving consumer confidence and offering them the flexibility to pay via different methods.
In order for QSRs to offer personalized experiences and build loyalty, they first have to identify their customers and track their spending behavior. This may be possible for purchases made online as well as at the point-of-sale (provided that customers present their loyalty card), but a more efficient and cost-effective way to do it is through a unified payments platform where QSRs can have a single view of the customers, regardless of which channel they order and pay on – fixed counter, online, in-app, or on a kiosk.
“The beauty of having a unified payments platform is that loyalty cards are no longer required, and the debit or credit card is used as the identifier instead,” van Aalten explained.
According to Deloitte, customer spending and frequency of visit increases by 20% and 6% respectively when technology is used to place an order.
“The restaurant industry is transforming and competition is more intense than ever before. Winning restaurant brands will be those that best understand their customers, capitalize on digital technology options and analytics, and seize upon the opportunity to engage customers in a highly personalized way...This is about more than designing and implementing technology systems. Using data to anticipate needs and inform decisions should be a mainstay of a restaurant chain’s culture,” adds Deloitte.
Payments have long been viewed by QSRs as a cost center but it is important to note that having the right payments partner can help QSRs get the appropriate technology to drive customer loyalty and increase revenue.
“The key for QSRs is to walk in the shoes of their customers and to take those first steps in their digital journey. By working with the right payments partner, QSRs can unlock capabilities that not only bring in higher revenues but also ensures that the technology is implemented effectively across their different franchises,” van Aalten concluded.
In photo: Adyen ANZ country manager Michel van Aalten/Supplied
