Tips to increasing your profitability
People are watching their pounds and pence and there’s no doubt that trading is tough. But opportunities still exist to connect with customers (and new customers) in ways that reflect how and why people turn to a takeaway.
So do things differently. Take the opportunity to adapt your offer to the changing market conditions. A number of interesting reports and surveys have been looking into consumer attitudes recently and what they tell us can help maintain your profitability.
There are a number of options to demonstrate value and care for consumers facing difficult times. With 94% of consumers saying they’re more likely to remain loyal to a brand that offers transparency, instead of painting an ‘always positive’ picture, brands will let customers in and lift the lid on business decisions they’ve been forced to make and the reasons why.
Brands should shift to acknowledge these price or product changes openly and upfront, rather than reactively when they get rumbled by the public. Communicating and, most importantly, proving any social, environmental or economic good the brand is doing in the world has never been more important.
We’ve pulled out some of the main points for you to take a look at.
- Saving money is becoming more compelling
Price sensitivity is on the increase; 58% agree it’s worth adding more items to a home delivery to qualify for free delivery.
Collection deals are particularly appealing to more than half of consumers who perceive click-and-collect to be cheaper than ordering home delivery. - Young tummies keep us going
Young people are ordering more food delivery compared to pre-pandemic and are still spending on takeaways, which is an important indication to increase our efforts.
16-34 year olds are bucking the overall trend. This group is more likely to say they are spending more on takeaways/home deliveries than before the pandemic. - Home working and the hybrid worker
32% of workers have ordered takeaway/home delivery to a workplace and would do so again.
Competitors are catering their services for changing needs of the hybrid worker. - Eco-friendliness is still a big consideration factor
60% of consumers say that environmentally friendly takeaway/home delivery packaging is worth paying more for.
Why does this matter?
With the cost-of-living emergency worsening, the pressure is on food and beverages brands to decide the appropriate way to respond.
Transparency is the new currency
With rising costs and potential changes to products and pricing, brands will need to acknowledge these changes openly and upfront rather than reactively when confronted by their customers.
With 94% of consumers saying they’re more likely to remain loyal to a brand that offers transparency, instead of painting an ‘always positive’ picture, brands will let customers in and lift the lid on business decisions they’ve been forced to make and the reasons why.
Making a difference will make all the difference
With consumers becoming savvier about where their disposable income goes, it’s never been more important to communicate the good your brand is doing in the world to give you the edge.
Strive to remain empathetic. Be open, upfront about shortfalls but continue to prove you are doing good in the world.