Industry News | July 18, 2013
Delivery Could Boost Sales, Especially With Hispanics
According to Restaurant DemandTracker, a recent survey of restaurant customers in the United States shows that some customers are looking for quick-service restaurants to offer delivery.
Offering delivery is something that Burger King has already started to offer in some locations, and other quick-service restaurant chains are reported to be considering. The survey asked people who are aware of each of the 20 largest quick-service restaurant chains what changes the restaurant could make that would cause the person to visit or use that restaurant more often.
Among the top 20 quick-service chains, Wendy’s has the highest number of people (14 percent) who say they would use that brand more often if delivery service was available.
McDonald’s has the second-highest number at 12 percent, and Subway, Church’s Chicken, Popeyes and Taco Bell each had 11 percent say they would use that brand more often if delivery was available.
For Burger King, 8 percent of those aware of the brand said they would use it more often if delivery service was offered.
Analyzing the demographic profile of those who said they would like these chains to offer delivery service, Restaurant DemandTracker found that delivery service is particularly appealing to certain groups of people.
People who are 18–34, those who are single and living alone, and lower-income restaurant goers were more interested than other demographic groups. In addition, Hispanics were far more interested in the idea, with one in three of those interested in delivery service being Hispanic, compared to one in sevent of the total population of quick-service customers being Hispanic.
“As quick-service restaurant companies consider offering delivery, it’s important to understand to which restaurant consumers that service would most appeal,” says David Decker, president of Consumer Edge Insight.
“Our research suggests that delivery appeals the most to young, single people living alone, who therefore might not be able to justify a very high minimum order size,” he adds. “And Hispanics are especially interested in delivery, likely in part driven by their lower rate of car ownership. Any quick-service chain considering offering delivery should carefully consider the local market profile of each of their locations to determine which locations might make the most sense, as well as carefully considering the operational challenges of offering delivery.”
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