A Data-Driven Perspective on Off-Premise Dining

March 14, 2024

As consumer preferences continue to shift towards off-premise dining, restaurants can implement a range of strategies to increase their revenue.

One significant trend that has emerged in recent years is the increasing popularity of off-premise dining (takeout, drive-thru, and pick-up). But how exactly is the demand for off-premise dining evolving among diners? And what can restaurant owners do to keep up? Let's look at the data to understand the current trajectory.

  • Preference for Off-Premise Dining: Recent studies have revealed that more than half of all diners, that is, 52% of the total population, consider takeout as an essential part of their lifestyle. This points towards a considerable and rising demand for off-premise dining options. This trend could be attributed to the fast-paced lifestyles and those who find it more convenient to order food and enjoy it from the comfort of their homes or workplaces. This data underscores the need for business owners to provide efficient and quality online ordering services to cater to customer preferences.
  • Industry Growth Projections: The restaurant industry's growth is expected to be primarily driven by off-premise dining by 2030. Many restaurant owners intend to incorporate more off-premise ordering options, such as takeout and delivery, to increase revenue. This shift in strategy is likely due to the ongoing concerns over the cost of third-party commission fees. Despite these challenges, online ordering platforms remain a crucial part of their operations, with 95% of restaurants reporting using at least one online platform. To protect their direct sales, restaurants should ensure that their direct order channels are priced the same as, or less expensive than, third-party options.

Restaurants can capitalize on the growing preference for off-premise dining by taking strategic steps to leverage their own online ordering or mobile app platforms and harnessing first-party data effectively:

  • Step 1: Establish Online Ordering or Mobile App Platforms: Creating online ordering or mobile app platforms allows restaurants to provide a seamless and branded experience for customers placing off-premise orders. 
  • Step 2: Collect Customer Data: From the moment customers place their first order, it's crucial to start collecting first-party data. This includes order history, preferences, contact details, and feedback. Restaurants can implement mechanisms to incentivize customers to provide this data voluntarily, such as loyalty programs or personalized offers.
  • Step 3: Analyze and Utilize Data: Once collected, restaurants should leverage first-party data to gain insights into customer behavior, preferences, and ordering patterns. Advanced data analytics can help restaurants tailor their menu offerings, marketing campaigns, and operational strategies to meet customer needs better.

Off-premise diner demand is significant and evolving rapidly. To thrive in this dynamic landscape, restaurants must stay attuned to data-driven insights, embrace innovation, and continuously adapt their strategies to meet diners' demands. By strategically leveraging their online ordering or mobile app platforms and harnessing first-party data, restaurants can meet the growing demand for off-premise dining, foster customer loyalty, and drive sustainable growth.

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