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Paytronix report: First-party ordering spurs revenue growth

Tuesday 2 April 2024 15:27 CET | News

US-based digital customer engagement provider Paytronix has published the 2024 Paytronix Online Ordering Report, showing that first-party shopping increases revenue.

 

The 2024 Online Ordering Report from Paytronix has found that guests transacting directly with a brand order 35% more items per check compared to those who order via third-party marketplaces. Online ordering represented 27% of all orders for restaurants and convenience stores in 2023, and operators in the top 25% of online ordering volume saw online orders jump to 62% of all their orders.

Officials from Paytronix said that the biggest takeaway is that while third party marketplaces have their uses, a first-party online ordering platform is key to a brand’s online ordering success. Moreover, those brands that build a robust digital guest engagement platform that includes loyalty and a mobile app are better equipped to leverage modern AI tools, get closer to their guests, and deliver a powerful omnichannel guest experience.

Paytronix has published the 2024 Paytronix Online Ordering Report, showing that first-party shopping increasing revenue.

Paytronix' report outlines how to optimise all of the systems and operations integral to a fully integrated guest engagement platform, with clear steps on how to:

  • Convert guests from third-party marketplaces to a first-party online ordering system

  • Consolidate technology for efficiency and better guest engagement

  • Use artificial intelligence to increase guest engagement

  • Leverage customer data for a personalised experience

The Paytronix report also celebrates the introduction of artificial intelligence (AI) tools and their advanced personalisation capabilities, which make off-premises experiences feel as engaging as in-person ones. The report outlines how successful brands are leveraging AI to segment guest data, create personalised marketing campaigns, build rewards, and optimise menus to the needs of their customers. Operators are using these platforms to boost order frequency, anticipate future needs, and increase customer lifetime value.

Additional findings

Paytronix found that customers who order both in-store and online exhibit high order frequency, retention, and 35% higher lifetime value compared to those who only order in-store. First-party platforms are preferred during lunch and dinner, leading to 30% higher spending per transaction. Late-night orders tend to favour third-party apps.

Mobile apps contribute to 34% of digital orders and users have a 45% higher Customer Lifetime Value (CLV) than web users. Quick Service Restaurant (QSR) loyalty members place 38.4% of their orders online, while Full-Service Restaurant (FSR) counterparts do so 30.2% of the time. Loyalty programme members visit establishments over 40% more frequently than non-members.

The Paytronix Online Ordering Report offers insights for improving online ordering strategies for restaurant and convenience store marketers and leaders.

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Keywords: ecommerce, report, checkout optimisation , loyalty programme, artificial intelligence
Categories: Payments & Commerce
Companies: Paytronix
Countries: World
This article is part of category

Payments & Commerce

Paytronix

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