16.1 C
New Delhi
Sunday, November 24, 2024

Digital Menus: The silent killer of your restaurant’s profit margins

Published:

QR code menus have become a popular trend in the restaurant industry, especially during the Covid-19 pandemic, as they reduced the need for physical menus and promote touchless ordering.  This was possibly the biggest opportunity for technology led players to contribute to one of the largest industries globally!!

While it did help the industry during the period, today, many restaurants in India are losing billions because of QR code menus.

Given the shift in the market tendencies in the last couple of years, the expectation has been that the world will become one digital ecosystem. While that is true, humans crave physical interactions. Touch and feel is an important part of our existence. While people adapted to various digital tools to tide over Covid, in the post-Covid world, as the dust settles people are back to their older ways of doing things. For the younger audiences some of this has stayed relevant, for people in their mid 30s, tier 2 & 3 India and beyond, they have continued to look for older world mechanics, like our dear old hard bound menu!!!

Ever since the industry took shape, we have been trained to deal with hard bound menus to make our food choices. A habit, which we continued to live with for the longest time. To believe that tech could disrupt this is a misconception that saw growth of many brands and believers in the tech world with little understanding of human behaviour.

The belief that the world will change forever is a misnomer.

Many organizations and their investors who believed that the shift is permanent are today struggling and looking to make most of their investments during Covid period sustainable.

The fundamental tendency of any large uneducated market is that many people in India are not familiar with QR codes. While companies like BharatPe have made the exercise very easy, when it comes to eating out the world looks for experience. Also the fact that scan or menus is not as seamless as payments, has lead to a disgruntled consumer.

Digital menus are an effort!!! Players offering these solutions do not believe in these theories. They believe the shift is permanent and here to stay!!!

The use of technology, while critical, is a difficult pill to swallow beyond payments. A change of habit which takes them away from how they have been designed to think and operate. The fact that companies like Zomato have cautiously chosen not to fiddle with the menus of any listed restaurant on the app is a reflection of the role all these small part play in the overall conversion cycle of a restaurant business. While this could look like a wrong move to the believers in the tech world, it’s a sharp reflection of observational brilliance and a conscious business call by the leadership. The fact that food is a creative experience, and the menu being the 1st step of engagement, any change in the basic engagement of the consumers behaviour can set a discomfort which could stay with the customer for a much longer time. The hero, which is the food, can lose its significance with a small push which the customer is not comfortable with.  

Also the fact that  many restaurants have not implemented the QR code menus correctly, constant issues with flipping the page, instructions on how to scan the code, lack of trained staff to help customers who are having trouble with the QR code menu has lead to frustration among customers and may deter them from returning to the restaurant.

Finally, some customers may simply prefer physical menus, as they find it easier to browse and compare items. This preference can result in a negative customer experience, which can harm the restaurant’s reputation and lead to a decrease in business.

While QR code menus can be a useful tool for restaurants, they can also lead to financial losses if not implemented correctly. Restaurant owners should consider their customer base and resources before implementing QR code menus and ensure that they provide clear instructions and staff training to avoid frustration among customers.

SnackTeam
SnackTeamhttps://snackfax.com
SnackTeam is a specialised group of editorial staff motivated to improve the lives of individuals and society. The team intends to bring the most authentic, well-researched and dependable content for you and your loved ones every day.
Subscribe to our Newsletter!

Stay updated on the latest news, trends, and top startups with Snackfax's daily newsletter!

Related articles

Recent articles

× Drop a, Hi?