Upselling is an optimization strategy used by businesses to invite their customers to upgrade and add on to their orders. Essentially, this technique is used to entice the customer to purchase more items than they anticipated.
Upselling has been used as a business strategy for years, and while the restaurant industry has been utilizing upselling for a while, it hasn’t been the most effective. Every time servers ask customers if they would like to add a dessert, drink, or an extra side to their order, they are trying to upsell. This approach is tedious and sometimes even uncomfortable for the diner.
New restaurant technology has actually made the upselling experience more efficient and pleasant for businesses and consumers alike. Digital and automated upselling features can be offered through self-service kiosks and online ordering platforms. Business automation ecosystems allow for seamless usage of automated upselling, which increases revenue for businesses and creates a personalized ordering experience for customers.
Why Automated Upselling?
Automated upselling is a prime way to create loyal relationships with customers while increasing your own profits. Here’s how:
#1 Increased Revenue
Research on automated upselling suggests that the technology increases an average ticket by 12-22%. It does so by suggesting add-ons to a customer’s order that they might also be interested in ordering, and it creates these calculated, personalized suggestions by taking into account the user’s order history in addition to their current order
Because the technology would be in forms such as self-service kiosks, the customer only engages with the technology, thus reducing potential anxiety caused by feeling rushed when waiting in line to order from a cashier or having others judge their order when speaking with a cashier.
Instead, the technology provides appropriate suggestions in a relaxed and easy-going environment that allows the customer to take their time with their order and add the upselling suggestions the system provides.
#2 Client Comfort
Often in an interpersonal upselling situation, diners are put on the spot when the server makes a suggestion or recommendation. It can be difficult for customers to decide that quickly and saying no can feel embarrassing to them. Customers also do not want to offend the server, so rejecting the server’s upsell pitch seems too harsh.
As a result, many customers often say yes to an add-on to avoid the discomfort that comes with saying no. Being put in an uncomfortable position where the diners seem to have virtually no choice but to say yes can create an unpleasant dining experience. Automated upselling completely removes this pressure.
By making the suggestions through a machine, automated upselling gives the consumers the freedom to make their own decision without worry.
#3 Strong Customer Relationships
Automated upselling systems customize suggestions to suit individual users. One way in which this process occurs is by the system maintaining a record of each user’s order history. Algorithmic suggestions are based on these order histories and other user activity such as, clicks and time spent looking at a particular item.
These suggestions provide customers with ease of access in ordering, consequently encouraging them to return to the restaurant for another frictionless service experience.
By making the ordering process personalized and as easy as possible for the customer, automated upselling makes sure your clients get the best dining experience possible.
Automated and effective upselling can give your business an incredible boost. The next time you are looking to grow your business and get the most bang for your buck, consider investing in automated upselling. By providing your patrons a pleasant and convenient restaurant experience, you will see them coming back for more.