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Taking an omnichannel approach to marketing

Consumer habits have changed; so should restaurant marketing.

Sponsored by Vericast

When it comes to eating out, consumers’ behavior isn't what it used to be, but many restaurants’ marketing approach is the same-old, same-old. Our experience shows that while a large percentage of restaurants have shifted to digital and launched mobile apps, a one-dimensional approach—no matter how high tech—is insufficient to connect with consumers today. To remain competitive, operators will need to shift their strategy.

According to the National Restaurant Association's 2022 State of the Restaurant report, 51% of adults surveyed say they aren’t dining at restaurants as often as they would like, which is an increase of 6 percentage points from before the pandemic.

To capture more consumer visits, restaurant brands need to engage in an omnichannel marketing strategy that drives both reach and frequency. Here’s what operators need to know about omnichannel marketing now:

Right time, right strategy

As recently as a decade ago, a restaurant might have shared its promotions, offers, and news on its website, its Facebook page, and in banner ads. Those that are still stuck in that brand-centric, multichannel approach are missing out on a huge opportunity to link those touchpoints together to create a unified—and more satisfying—customer experience.

Today, operators need to center on customers more than their brand. To do that they cannot be solely focused on the walled gardens like Instagram and Facebook. The Pew Research Center found in 2022, that only 32% of 13- to 17-year-olds (a coveted QSR demographic) use Facebook, a drop from 71% in 2015. Restaurant operators must embrace consumer-first marketing strategies across multiple digital platforms that allow customers to engage with their brand universally and harmoniously. For example, if a customer visited a restaurant’s website and started an order there, they could also track that order in progress on their mobile device, and they could encounter ads for that restaurant and relevant offers in their social feeds as well. The result is increased customer satisfaction, increased customer base, improved loyalty, and boosted revenue.

“Omnichannel is more than selling your restaurant’s products and services,” says Peter Boivin, Head of Industry, Restaurant at Vericast. “It’s an opportunity to connect with your customers where they are and to serve up a great brand experience that is customized to their specific needs."

Indeed, some of the most successful restaurants of 2021—brands like Brinker International, parent of Maggiano’s and Chili’s—grew their omnichannel approach. Nation’s Restaurant News reports that nearly one-fifth of the chains on its 2021 Top 500 list grew their average unit volumes, many by double-digit percentages, through omnichannel digital expansion.

As high inflation and other challenges have increased operators’ need to find more ways to grow frequency without impacting already slim margins, taking an omnichannel approach will continue to be important in the future.

Kick it old-school, too

Despite that most Americans—about 85%—own a smartphone and that the number of restaurants that have an app for them to download continues to expand, there is no single place consumers seek information about restaurants.

According to the January 2022 Prosper Insights & Analytics MBI Study, 35% of dining out purchase influence is driven by digital media, 30% by print media, 10% by television media and 9% by radio.

It may seem old-fashioned, even outdated, but consumers, including younger generations, are still looking at print advertising. In fact, according to Vericast’s Restaurant Report, 42% of consumers surveyed use print ads to help them plan restaurant visits.

Print advertising can also push consumers to a restaurant’s digital channels. Vericast’s report, based on a September 2021 survey of 1,802 consumers, also notes that after seeing a print ad, 72% of Gen Zers and 74% of millennials will go online to review a menu or download an app. Additionally, 23% of Gen Z consumers will go online after seeing a print ad to order at a restaurant (versus just 9% of baby boomers). Operators trying to attract families may find it helpful to know that 65% of millennial parents and 51% of Gen Zers will look through print ads for restaurants.

Indeed, the results speak volumes. Certain quick-service restaurant chains using services such as Vericast’s Save Direct Mail to deliver value messages experienced up to a 36% visit lift compared to control locations.

The big benefits

Research shows that loyal customer relationships are built through communication and that restaurant operators reap the biggest benefits when they routinely interact with customers. By taking an omnichannel approach—continuously being on many channels digital and otherwise—operators can make the offline-online experience consistent and seamless.

It takes a bit more time and energy to implement an effective omnichannel marketing strategy—and perhaps a strategic partner, as well. But the benefits of retaining more customers and continuing to grow your business far outweigh the investment.

Ready to get more insights into omnichannel marketing strategy and elevate your brands’ efforts? The team at Vericast can help.