TLDR
What if you could transform each transaction into a more profitable one with just a few strategic tweaks? Boosting your restaurant’s average order value (AOV) isn’t just about increasing prices; it’s about enhancing the customer experience and leveraging smart tactics to encourage more spending. Research shows that even a modest increase in AOV can lead to substantial profit improvements, given that fixed costs remain the same. In this blog, we'll explore 10 practical strategies to boost your AOV from innovative mobile app features to enticing loyalty rewards. Dive in to discover how you can drive more value from every order and watch your profits soar.
Offer In-App Upsells and Suggestive Selling
Implementing in-app upsells and suggestive selling is a powerful strategy to boost your restaurant's average order value. By leveraging your mobile app's capabilities, you can present enticing add-ons and complementary items to customers during the ordering process.
Personalized Recommendations
Utilize data from previous orders to offer personalized upsell suggestions. For example, if a customer frequently orders a burger, suggest adding bacon or upgrading to sweet potato fries. This tailored approach can significantly increase restaurant order value-boosting strategies.
Ambee Coffee Example
Ambee Coffee is upselling its items from different categories in the per diem app. They offer complimentary breakfast sandwiches, pastries and beverages to customers who order their coffee drinks. This bundled approach encourages customers to spend more per order.
Timed Promotions
Implement limited-time offers within your app to create a sense of urgency. For instance, during lunch hours, promote a "Lunch Special" that includes a drink and side with any main course purchase. These time-sensitive upsells can effectively increase restaurant sales with mobile apps.
By incorporating these upselling techniques for restaurants, you can subtly guide customers towards higher-value purchases, ultimately improving your bottom line.
Implement an App Loyalty and Rewards Program
Implementing a loyalty and rewards program through your restaurant's mobile app is a powerful strategy to boost your average order value and encourage repeat business. By integrating with Square Loyalty, you can create a seamless experience for customers to earn and redeem points.
Customize Your Rewards Structure
Design a points system that incentivizes higher spending. For example, Lucky Coffee Roasters offers 15 points per dollar spent, encouraging customers to increase their order size. Consider tiered rewards or exclusive perks for high-value customers to drive larger purchases.
Gamify the Experience
Create engaging challenges or milestones within your app to make earning rewards fun. Offer bonus points for trying new menu items or ordering during off-peak hours. This not only increases order frequency but also average order value as customers strive to reach new levels or unlock special rewards.
Provide Free Delivery Over a Minimum Order Value
Implementing a free delivery threshold is a powerful strategy to increase your restaurant's average order value. By setting a minimum order amount for free delivery, you incentivize customers to add more items to their cart, boosting your overall sales.
Set the Right Threshold
Carefully calculate your minimum order value for free delivery. It should be high enough to offset delivery costs while still being attainable for customers. For example, Tikka Shack waives their delivery fee for orders over $49, encouraging customers to reach this threshold.
Highlight the Savings
Communicate the free delivery offer throughout the ordering process. Display a progress bar showing how close customers are to qualifying, creating a sense of achievement as they add items.
Suggest Modifiers
Use your mobile app to recommend complementary items that will help customers reach the free delivery threshold. This not only increases order value but also enhances the dining experience.
By implementing this strategy, you'll not only boost your restaurant order value-boosting strategies but also improve customer satisfaction. Free delivery is a powerful motivator that can significantly impact your bottom line and customer loyalty.
Let Customers Build Custom Meal Packages In-App
One of the most effective restaurant order value-boosting strategies is to empower customers to create their custom meal packages directly within your mobile app. This approach not only enhances the user experience but also significantly increases the average order value.
Customization Drives Sales
By implementing the "build-your-own" feature, you tap into the growing consumer demand for personalization. This strategy allows customers to tailor their meals to their exact preferences, often resulting in larger orders. For example, Crave Cookies implements this brilliantly with their "Crave Pack," where customers can select their favorite cookie flavors to create a personalized dozen.
Implement Tiered Pricing
Consider offering tiered pricing for custom packages, incentivizing customers to add more items for better value. Chip City's "Buy 5, Get 1 Free Cookie" deal exemplifies this approach, encouraging larger purchases while still providing perceived value to the customer. By integrating these custom package features into your mobile ordering app, you create a win-win situation that satisfies customers and increases sales simultaneously.
Set a Store Credit or Gift Card Balance in Your App
Implementing a store credit or gift card system in your restaurant's mobile app can significantly boost your average order value and encourage customer loyalty. This strategy leverages the power of prepaid balances to increase spending and repeat visits.
Incentivize Higher Spending
Offer bonuses for loading larger amounts onto gift cards or store credit balances. For example, give a 10% bonus when customers add $100 or more to their account. This restaurant order value boosting strategy encourages customers to commit more money upfront, increasing their likelihood of placing larger orders.
Create Special Promotions
Use your app to promote limited-time offers for gift card purchases. For instance, during slower periods, offer a $25 bonus when customers buy a $100 gift card. This tactic not only increases immediate sales but also ensures future visits and potentially higher order values.
Integrate with Loyalty Programs
Combine store credit with loyalty programs to maximize impact. For example, Lucky Coffee Roasters gives 15 points per dollar spent, which can be redeemed for store credit. This integration of loyalty programs for restaurants with store credit creates a powerful incentive for customers to increase their average order value with each visit.
Use Targeted Push Notifications to Encourage Reorders
Push notifications are a powerful tool for increasing your restaurant's average order value when used strategically. By leveraging data from your mobile ordering app, you can create personalized, timely messages that entice customers to place larger orders.
Segment Your Audience
Break down your customer base using Square customer groups based on their ordering habits, preferences, and frequency. This allows you to craft targeted messages that resonate with each segment, increasing the likelihood of conversion.
Time Your Notifications Wisely
Send push notifications when customers are most likely to order. For example, if a customer typically orders lunch around noon, schedule a notification with a tempting offer just before their usual ordering time.
Highlight Popular Combinations
Use your app data to identify frequently paired items and promote these combinations through push notifications. For instance, "Add our famous garlic bread to your pasta order for just $2 more!" This upselling technique can significantly boost your restaurant order value-boosting strategies.
Offer Limited-Time Deals
Create a sense of urgency with time-sensitive offers. "For the next hour, get free delivery on orders over $30!" This encourages customers to act quickly and potentially increase their order size to meet the threshold.
By implementing these targeted push notification strategies, you can effectively increase restaurant sales with mobile apps while providing value to your customers.
Further App-based Strategies to Increase the AOV
Enable Easy One Tap Reordering
Allowing customers to reorder their previous orders with just one tap is a simple yet powerful strategy to increase order value. Customers are more likely to add items to their usual order when it's this convenient.
Offer High-Quality Visual Menu
A visual menu with photos of your dishes and ingredients can help customers visualize your offerings and inspire them to order more. Customers spend 26% more time browsing visual menus, leading to potential increases in order value.
Launch Subscription Programs
Subscription options like weekly or monthly deliveries of specific products are a proven way to increase order value. Customers value the convenience and savings that come with subscriptions.
Assign Product Tags
Assigning product tags like "staff favorite", "customer favorite", or "chef's choice" can draw customers' attention to specific menu items and prompt them to add those products to their orders.
Final Thoughts
Implementing these 10 strategies through your restaurant's mobile app can significantly boost your average order value. By leveraging technology to enhance customer experience, streamline ordering processes, and incentivize larger purchases, you position your business for increased profitability. Remember, the key is to consistently analyze data, refine your approach, and adapt to changing customer preferences. As you integrate these tactics, you'll likely discover additional opportunities unique to your restaurant. Stay innovative, prioritize customer satisfaction, and watch as your average order value—and overall revenue—grow. With a well-executed mobile app strategy, your restaurant can thrive in today's competitive digital landscape.