Big data has become a very important for modern businesses. Franchises are among the businesses that have benefited from major breakthroughs in data science.
A lot of franchises rely on data technology. Some big data startups even specialize in serving franchises, such as FranConnect. Smart franchise owners can also find ways to use big data to grow their companies more effectively.
There is no doubt that 2020 was a challenging year for the food franchise industry, but 2021 and beyond are set to be brighter times. By 2027, it’s estimated that the market size of global full-service restaurants will reach £1.2 trillion, with a compound annual growth rate of 4.7%, meaning that now is an excellent time to find the right franchising opportunity for you.
There are a lot of compelling reasons that big data is helping franchises grow and maintain profitability. Some of the benefits are listed below.
1. Choose the right franchise wisely with AI and data mining tools
Before you definitively settle on one franchise, carefully weigh up which is the right franchising opportunity for you. Deciding whether you want to get on board with a well-established company or whether you prefer a relatively new franchise will allow you to tailor your needs to what companies are looking for in their franchises. Consider potential investments capital, the possibility of loans and the projected profits of your food franchise. Furthermore, pick the right geographical location that will work most smoothly and generate the maximum revenue.
This can be done a lot easier with big data technology. Companies like FranConnect use AI tools to help aspiring business owners discover the best franchising opportunities. They can also use data mining tools to look through databases of franchises and use filters to find those that are best suited to their needs.
2. Keep your customers happy by machine learning to optimize your strategy
When you have chosen your franchise, made it your own, and everything is up and running, offer customers the details they want. Dining consumers appreciate consistently high-quality food and drink, friendly and knowledgeable staff, short waiting times for their meals and a relaxed yet energizing ambience. Providing regular staff training can ultimately help your profits as it will keep customers coming back time and time again.
With health trends increasing, a menu that includes vegetarian, vegan, organic and gluten-free options can be an alluring attraction for health-conscious consumers. The inclusion of potential allergens on the menu can also allow people to rest easy as they choose their meals.
Machine learning technology has made it a lot easier for companies to optimize their customer satisfaction strategies. Companies can see what KPIs are playing a role in customer satisfaction results and improve on them.
3. Promote your business on multiple platforms with AI
Choosing the right marketing strategy can be fundamental to the success of your restaurant franchise. There is a multitude of options such as more traditional television, radio and print advertising. However, you can also opt for the less expensive choices like promoting your business on social media, sending out leaflets door-to-door and even using emails. Social media influencers can have a positive impact on your business if you can enlist their support.
Remember that designing a website that is easy to navigate and offers the option of viewing menus, booking tables and ordering online will enhance your business too.
AI also makes it a lot easier to automate and streamline your marketing strategies. Tools like Hootsuite use AI to automatically post and optimize content and streamline customer engagement.
4. Offer a takeaway option
Takeaway has been the mainstay for the hospitality industry for the last year. With worldwide lockdowns in place, there has been an exponential growth in orders from people who want to experience the quality of restaurant food in the comfort of their own home. Offering a variety of options such as collection and delivery is an excellent way to tailor a bespoke service to your customers’ needs.
It can also be helpful to provide various platforms for them to place their orders, including telephone, in-person, and online ordering, ensuring that you reach the widest customer base possible. Drive-thrus are also a quick and easy choice for customers who want to impulsively grab a bite on their travels with this sector of the industry having seen a boost in what was otherwise a challenging 2020. Giving customers the option of contactless delivery can be an excellent incentive for them to place an order with you because it reduces any COVID-related anxieties.
Takeaways will boost your business and increase your overall profits. In 2021, revenue in the online food delivery industry is projected to increase to £109,648m, with further growth to US$182,327m by 2024, meaning that a significant slice of your restaurant franchise revenue could come from this source.
5. Ensure you have COVID-safe procedures in place for dining-in
As customers eagerly return to dining-in when COVID lockdown restrictions start to ease, offering them the peace of mind that they’ll be safe is imperative. Making a risk assessment to identify any potential hazards allows you to see exactly which areas you need to take care of.
Keep protocols in place for staff, such as the wearing of appropriate PPE, regular hand washing, and disinfection of utensils, surfaces, tables, chairs, and restrooms following use. Install screens between customers for indoor dining and follow the social distancing guidelines that are in place in your area. Keep your restaurant well ventilated and consider consulting professionals on the best ventilation system to put in place.
Providing soap and hand sanitisers for customers and staff can also help to minimise the risk of infection or transmission of COVID-19. This will not only help keep customers safe, contented, and worry-free, but it will protect your staff and ultimately keep your business running smoothly too.
In the warmer months, outdoor dining can provide a superb inducement for customers to come and enjoy a meal and drinks at your establishment. Not only does it decrease the risk of COVID, but it also offers them the chance to revel in the sun as they eat. Even in the cooler seasons, installing outdoor heat lamps and marquees can facilitate outdoor dining and increase the number of tables you have on offer, which ultimately will boost your overall revenue. Unlike some other types of franchise, restaurant and food franchises have year-round demand, making them fantastic business opportunities.
Big data can also help with this issue. You can use big data to undertsand how vectors work with Covid-19. This helps companies make sure that they have data-driven social distancing guidelines in place.
Big Data is Crucial for Successful Franchises
There are a lot of compelling reasons to invest in big data as a business owner. Franchises also can use big data to their advantage. The aforementioned benefits can go a long ways.
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