Data insights from the POS systems are helping restaurants improve revenue and customer experience as experts’ foresight the increasing demand from POS data.
In recent years, restaurant management and POS systems have experienced a dramatic change. These changes encompass both hardware and software that top-performing restaurants are using to improve business operations as well as customer satisfaction to reduce costs and increase revenue ultimately.
Robust data mining and reporting and analytics tools that generally lack in older solutions have emerged as core components of the next-generation systems. Restaurant operators have started collecting, integrating, and analysing data from sources like POS transactions, guest-facing apps, and loyalty programs. Experts believe that the goal now is to better understand the guests at an individual and an aggregate level, to identify opportunities for business development.
Since the POS systems with data reporting and analysis have the capability to analyze staff performance and menu item profitability; the analysis helps guide the future selection items and prices. Experts suggest that data analytics is assisting restaurants to extract meaningful insights tended, for example, determining the economic sense behind selling low-margin dishes that have high demand.
According to The 2019 Smart Decision Guide to Restaurant Management and POS Systems by Starfleet Research, 84% of full-service restaurants, and 72% of quick-service restaurants, report to have achieved a “dramatic” or “significant” improvement in revenue after deploying the new age POS systems. Since, the next-generation POS systems have built-in capabilities that generate all types of actionable insights, even on ad hoc basis; it provides the ability to make more informed decisions about all aspects of the business.
According to the survey report, other than the change in POS software, the adoption of new hardware has also brought in positive changes. Two in three restaurant managers cite the benefits of mobile devices that are replacing stationary terminals as one of the top reason to upgrade the POS systems. Experts believe that the allure of mobility, which enables tableside ordering and payment processing, has the most significant impact on purchase decisions.
Other than POS, technology upgrades that protect against data theft are also necessary to meet regulatory requirements. Experts believe that automation, flexibility, mobility, and customizability are the hallmarks of next-generation of POS solutions and restaurant management. So are the user-friendly interfaces with extended features and functionality.
Predicting the demand over the next few years, experts suggest that POS data reporting and analysis must also include business intelligence and market analytics and encompass virtually every aspect of a restaurant’s operations.
For restaurants, primary drivers of success have always been improving the quality of food, the service and the atmosphere, but experts believe that today, an equally important factor for success is the quality of ‘restaurant-going experience.’ Since consumer surveys too point that people, especially millennials, prefer spending their money on experiences, restaurants can monetize on that and provide opportunities for memorable and shareable experiences.
Other key drivers that include marketing, CRM, and customer loyalty program features to built-in labour management capabilities and inventory control.
Experts believe that the fact that technology is fundamentally transforming the restaurant-going experience, it is essential to consider for restaurants to look for new and innovative ways to catapult their businesses to higher levels of guest satisfaction and operational efficiency. Combined, the two goals translate into positive financial outcomes.
Having the right technology capabilities and using them diligently are the key factors to drive continuous operational improvement and stay ahead of the competition.