Can a Restaurant Sustain without ‘CRM Software’? (Here is the answer)

4 min readNov 8, 2019
Can’t a Restaurant sustain without CRM software

Welcome readers. The topic of the article is very well recognisable by the title only. Still, I am copying again, Can’t a restaurant sustain in the market being a technophobe. before proceeding I wanted to explain why we selected the topic…
so 1 month back we called a restaurant owner to pitch about our CRM for Restaurants, What he replied is…

I don’t know about CRM software, right now getting good sales and new customers so we don’t need any kind of changes, after explanation he asked rudely — can’t our restaurant survive in the market without using technology such as your CRM software? We don’t believe in spending money on expensive technology.
Then he ended the call.
He is not alone…there are so many like him, who don’t know (don’t want to know) the worth CRM & how it can change their business future.

Significance of CRM Software for Restaurants

There is numerous business person in the restaurant industry having small knowledge about the worth of CRM and usage and whole working process. So the question here…is your restaurant remains in the market without using CRM or any other technology in 2k19…so your answer is…YES.

Can survive but not for a long time, especially in this New-Age where restaurant technology & trends are changing rapidly. Without using proper Restaurant management software such as restaurant billing software, CRM software, automation marketing tools, you can survive but you can’t win the battle.

When we talk about the Restaurant Industry there is an enormous growth in the tech market.
According to a new report by Grand View Research — The global CRM Software market is expected to reach USD 81.9 billion by 2025.

Similarly, Restaurant CRM Market Growing Massively by 2019–2026. This growth trend is expected to continue in the coming years because of CRM suites.
When I talk about the benefits of CRM in a restaurant, Restaurant marketing software & management solutions is highly effective in increasing retention & customer loyalty in restaurants.

Importance of CRM for Restaurants

Additionally, they have also assisted in increasing revenues while simultaneously making the process of acquiring and retaining customers easier.

There are mainly two types of CRM solution used by business –
* On-Premises
* Cloud-Based CRM

As per the study, there is 2008, 88% of business prefer on-premise CRM and Cloud-based CRM was used by 12% only. But now the situation is almost the opposite, 87% of CRM systems are now powered by the Cloud. Businesses are turning toward Artificial intelligence-powered CRM software because of more productivity.
(Why cloud-based CRM software, that will discuss in the later)

Growth of CRM software from 2008 till today

Related — AI in Restaurants; What is it & How it Works for Restaurant?

So what does Restaurant CRM Actually perform-

Why CRM for Restaurants has significant value in the growth of the business? We have already discussed the importance of restaurant CRM software, here will learn in detail. So let’s start.

If you run a restaurant, then you must know that becoming a successful restaurant owner is not easy, although there are numerous free restaurant marketing ideas available on the google which you can explore and get your business on track.

A. Customer Behaviour Analysis

Go for AI-enabled CRM software which helps you with big data analytics and deep learning. You must be thinking what is it?
So it is actually sorting out a large number of customer data to uncover hidden patterns, trends and customer preferences. to discover important information for quick decision making.

B. Focus On Retention Instead of Aquisition

CRM helps you to keep customers coming back to your restaurant, it clarifies the factors that contribute to repeat dining..e.i. to get repeat customers for you. Now the question is how?
Well, as I explained above about customer behaviour analysis right, so after that you’ll be able to find out your existing customer’s preference; likes dislikes, favourite dish, visits days and many more.
Here would like to add one point — If you focus on repeat customer they become your most loyal customer and help your restaurant to attract new customers.

Also Read — 6 outstanding ways to attract new customers to the Restaurant!

Let’s dig into repeat customer statistics –

Retaining existing customer is 7x times less expensive than acquiring a new one.

80% of your future profit comes from 20% of your repeat customers.

The probability of selling to an existing customer is 60–70% & The probability of selling to a new prospect is 5–20%.

80% of businesses surveyed rely on email marketing for customer retention.

A 5% increase in customer retention through a restaurant loyalty program can lead to an increase in profits of between 25 and 95%.

c. Run ROI-Based Marketing Campaigns

Wanna know why I penned ‘ROI-Based’? Let me explain, Restaurant business people are kind of less-tech-savvy persons. They run marketing campaigns but sometimes don’t get that impressive results. But we have designed bingage as the easiest to use and affordable restaurant marketing automation software with all the automation feature that enables running impactful personalised marketing campaign with higher ROI.

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Hope you like the article, if I missed any important please let me know in the comment section.

Thank you :-)

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