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Eatos

The Pros and Cons of Third-Party Online Ordering Platforms vs. In-House Systems

Updated: Oct 2


A person using the eatOS app to place a food order on a smartphone

So, you've finally decided to jump on the online ordering bandwagon – good for you! But now comes the million-dollar question: should you use a third-party platform like DoorDash or Uber Eats, or build your in-house system? It's a tough decision with pros and cons on both sides.


No worries, I'm here to break it down for you so you can make the best choice for your restaurant. Let's dig into the pros and cons of each approach, and then you can decide which one is your perfect match.


Third-Party Platforms: Convenience Meets Cost


Pros:


  • Easy Peasy Setup:  Let's face it, building your online ordering system is no walk in the park. Third-party platforms offer a plug-and-play solution, getting you up and running in a jiffy.

  • Massive Reach: These platforms have a huge customer base, which means instant exposure for your restaurant. Think of it as free advertising.

  • Marketing Muscle: Many platforms offer marketing tools and promotions to help you attract new customers and boost sales.

  • Delivery Network: No need to worry about hiring drivers or managing logistics – the platform takes care of it all.


Cons:


  • Commission Fees:  These can eat into your profits pretty quickly, especially if you're a smaller restaurant.

  • Less Control: You're at the mercy of the platform's design, branding, and customer service.

  • Data Ownership: You may not have access to all the customer data you'd like, which can limit your marketing efforts.

  • Competition:  Your restaurant is listed alongside countless others, making it harder to stand out.


In-House Systems: Control & Customization Galore


Pros:


  • Brand Ownership:  Your online ordering platform is an extension of your brand – you have complete control over the look, feel, and customer experience.

  • Customer Data: You own all the valuable customer data, which you can use for targeted marketing and loyalty programs.

  • Lower Costs:  While there's an initial investment, you'll save on commission fees in the long run.

  • Direct Relationship with Customers:  You can communicate directly with customers and build stronger relationships.


Cons:


  • Higher Upfront Costs:  Building and maintaining your system requires a financial investment.

  • Technical Expertise: You'll need someone with technical skills to set up and manage the system.

  • Marketing Efforts:  You'll be responsible for driving traffic to your online ordering platform.

  • Delivery Logistics: If you offer delivery, you'll need to handle the logistics yourself.


So, Which One is Right for You?


The best approach depends on your restaurant's unique needs and budget. Here are a few factors to consider:


  • Budget:  How much are you willing to invest upfront?

  • Tech Savviness:  Do you have the in-house expertise to build and maintain your system?

  • Brand Control:  How important is it for you to have complete control over the branding and customer experience?

  • Marketing: Are you comfortable with handling your marketing efforts, or do you prefer the platform to do the heavy lifting?

  • Delivery:  Do you want to offer delivery, and if so, do you have the resources to handle it yourself?


A person finalizing an order using the eatOS app on a smartphone, showcasing the seamless and user-friendly in-house online ordering experience

Hybrid Approach: The Best of Both Worlds


If you're still on the fence, consider a hybrid approach. You can use a third-party platform to get started and gain exposure while you work on building your system. Once your in-house system is up and running, you can gradually transition away from the third-party platform.


No matter which path you choose, the most important thing is to offer your customers a convenient and seamless online ordering experience. With so many options available, there's no reason not to take advantage of this growing trend and boost your restaurant's sales! Arrange for a product demo today.

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