As per Statista, the online food delivery sector is expected to generate a revenue of USD 151,526 Million in 2021.
The revenue is expected to grow at an annual growth rate (CAGR 2021-2024) of 6.36%, resulting in a projected market volume of USD 182,327 Million by 2024.
Platform-to-consumer is the largest market segment with an expected market volume of USD 79,608 Million in 2021.
These figures clearly indicate that the online food delivery industry is growing at an unprecedented rate. The ongoing pandemic is the main factor behind the rapid growth of the industry and surge in the online food delivery platforms. Along with the demand for online food delivery, there has been observed a rise in the delivery-related expectations. Customers no longer want to wait hours for their orders. Besides, they also expect facilities like tracking the order in real-time to know its updated status.
Meeting such expectations has become a big hurdle ahead of the fast-casual and quick service restaurants. Quick Service Restaurants or QSRs mainly serve fast-food cuisines that require minimal preparation time. Domino’s, Subway, and McDonalads are a few examples of such type restaurants. Delivering the order as quick as possible is not the only challenge in front of the quick service restaurants. Here are five of the other main pitfalls that they are facing:
Order management includes managing the order preparation time, ensuring there timely dispatch, assigning the right rider, and taking care of dynamic enroute order clubbing. An efficient order management contributes to timely delivery, customer satisfaction, and low delivery cost. On the contrary, lack of management or mismanagement leads to increased delivery cost as well as poor customer service.
Reducing delivery cost
Bringing down the delivery cost is one of the major challenges faced by quick service restaurants. There are various factors that contribute to the increase in the total delivery cost. Controlling all these factors is a great concern for QSRs.
Extending real-time order tracking
Tracking the order live is yet another problem for the QSRs, especially ones that are using traditional order management systems. Poor visibility can not only lead to increased delivery cost, but also leads to poor customer experience.
Improving route efficiency
Route planning and optimization is one of the biggest challenges for those restaurants that are not using any software for delivery management. Manually planning routes can cause problems like delayed deliveries and high cost of delivery.
Managing riders (part time or full time, or both) is one of the biggest challenges in front of quick service restaurants. Rider management includes assigning orders to the right riders, keeping a tab of the deliveries, monitoring their performance, and much more.
How QSRs can overcome food delivery-related challenges?
One solution that can help QSRs to overcome almost all the major problems is upgrading their last-mile delivery operations. Yes, you read that correctly. Improving the final-mile delivery processes by integrating a last-mile delivery solution is a perfect way to get rid of delivery-related problems and deliver an excellent customer experience. Now, you must be thinking which last-mile delivery solution is the best and how can it help to fix your delivery problems. Let’s answer both these questions-
Which is the best last-mile delivery solution?
Since the industry is flourishing and businesses are relying on cloud-based solutions, Shipsy’s SaaS-based last-mile delivery solution would be perfect for a full-fledged restaurant, QSR, and other food delivery businesses. The solution can be customized as per your specific business requirements. Moreover, the deployment can also be done in no time. On top of that, you don’t need to worry about the maintenance part.
How does a last-mile delivery solution help to troubleshoot food delivery problems?
A last-mile delivery solution, particularly from Shipsy, come up with top-notch features including the following:
- Auto dispatch– To automatically allocate orders to the available riders.
- Real-time order tracking- To allow both the restaurant and the rider to track the order in real-time.
- Rider management- To help the QSRs manage the performance of part-time and full-time riders.
- Delivery management- To find out glitch in the delivery processes and manage them efficiently.
- Route planning and optimization- To display the most efficient routes for order deliveries.
- Dedicated driver application- To allow drivers to manage their trips effortlessly.
- Dynamic enroute order clubbing- To assign new orders to a rider who has been assigned deliveries in a particular location.
Beside the aforementioned ones, there are many other benefits of Shipsy’s last-mile delivery solution. To know more about them or to schedule a demo of the solution, feel free to contact Shipsy’s professionals.