The Always-On System for Converting 3rd-Party Orders Into 1st-Party Guests

Want a systemized way to earn more revenue from your guests that works in the background, every day?

Here’s your checklist.

If I ask restaurants what they need as it relates to marketing efforts, a lot of them would say new guests. Unless you’re a brand-new store, I’m guessing you have enough guests. They’re just not spending as much with you as they could be.

As I like to say: acquisition costs dollars, retention costs pennies.

It’s also a whole lot easier to set up a system for increasing repeat visits than it is to attract new ones.

In an effort to increase retention and spending from guests who have already had an experience with us at Salad House, I recently decided to ask AI for some help.

“I’m the CMO of Salad House, my primary function is improving performance marketing. What 3 questions should I be asking you?”

(And yes, this is the type of everyday activity I do to help with performance marketing. Wait, you don’t do the same thing?!!)

This was the prompt I put into a new platform that can analyze all of our guests purchase behavior with AI and a deep knowledge base of restaurant best practices. It’s called Hang. I have to say, I’ve been really impressed with the data. I’ve been getting out of it in terms of how easy it is to get and also the quality. But more on that later ..

The question that mattered most:

It did give me two other answers, but it suggested I start with this one, and when it showed me what the opportunity looked like, I knew it had to be prioritized.

"Cross-channel converts spend 2.6x more on your first-party channels. Even converting just 5% of your 3P-only customers at that spend level would represent ~$1.8M in incremental first-party revenue — without marketplace commission fees eating into it."

I immediately jumped into "build a system and get it done" mode, cause that’s who I am, and then realized I should write it all down.

Then I realized I could share it with all of you who are probably now wondering the same thing if you didn’t ask your AI already this month or this week or even today a similar question...

Your checklist for increasing first-party orders and converting third-party customers into first-party customers:

First and foremost: Stop promoting them.

Full stop, (literally)

Remove all logos and mentions of any third-party marketplaces from your website, email, social media, or any other owned marketing channels. They’re not gonna promote you for free, so why should you promote them?!!?

Optimize Your 3rd Party Pages

1. Follow Their Best Practice Suggestions

Have a great photo at the top of your page, have pictures on all of your items, add full descriptions for each menu item, you know… If you’re gonna have guests ordering there, you might as well create the best experience.

2. Preferred Pricing

Increase your prices by 20 to 25% over what you charge for people who order direct.

3. Direct-Only Menu Items

Offer exclusive online combos, family bundles, or secret menu items that aren't available on the apps.

4. Reduce Menu Offerings to Only Best Sellers

The smaller your menu, the more orders you will get as you reduce indecision. Also, for those specialty items that guests really fall in love with, they’ll have to order those from you directly. See number three.

Optimize Your 1st Party Ordering

1. Most Loved / Popular Section

Have a most loved, most popular or frequently ordered section at the top of your online ordering. Choose 4 to 8 items that guests most frequently order and put them right at the top to increase conversions. You can take one or two of these spaces to promote something that you know increases frequency.

2. Offer Bundles and Combos

If it looks like a deal, it smells like a deal and it feels like a deal, guess what… It’s a deal. If you know guests are likely to order side items, drinks, or other menu pairings, do the work for them.

3. Great Looking Photos

Every item on your menu should have a great looking photo of the food.

4. Full Menu Item Descriptions

Every item on your menu should have a rich menu item description that includes all of the main ingredients / toppings, similar to what you would have on an in-store menu.

5. Reduce Clicks

Remove as many clicks as you can in the process it takes to place an order.

6. Fast Reorder UX

Make it easy for your guests to be able to order their favorite and or recently ordered menu items.

7. Feature higher-margin items more aggressively on direct

If you’re going to guide choices anywhere, guide them where you make more money and build the relationship.

8. Use upsell logic

Add fries/drink prompts only on direct ordering.

9. Digital Wallet Integration

If possible, make sure you can accept Apple Pay or Google Pay.

Optimize Your Website

1. Order Now Buttons

Ensure you have prominent order now buttons anywhere a guest goes on your website, especially right at the top when they first get to the homepage.

2. Direct Ordering Link for All Locations

If you have multiple locations, make sure the direct ordering link for that store is on each of their corresponding location pages.

Always On Systems

1. Links In Bio - Social Media

Put direct links to your online ordering in your social media bios. On Facebook, include the direct link for online ordering in the caption of your content.

2. Google Business Profile Optimization

A. Direct Order Link

Put your direct order link in the Google Menu URL and Order URL fields.

B. Preferred Online Ordering

Set up your preferred ordering link on your Google Business Profile for every location.

C. Remove Third-Party Ordering Links on Google

If guests are already on your page, why send them somewhere else? Remove them

3. Rewards System

Have a loyalty system that rewards guests for ordering directly from you. Offer a reward for placing a first order. Also, if possible, have a tiered rewards system where guests earn exponentially better rewards the more they order.

4. Bag Stuffers

Insert, staple to bag, attach to box top, etc a bag stuffer that asks a guest for feedback with the incentive to receive a discount or reward for placing an order. Example: “Answer 2 questions and get $10 off your next order.”

Have a QR code that takes them to a landing page that collects name, email (phone number optional), and asks the 2 questions.

Set up an automated follow-up email thanking them for the feedback and instructions on how to redeem the $10 offer. Be sure to set up another automated email for 7-10 days later if they did not take advantage of the offer.

Pro-tip: Use tech like Ovation to do all this for you automatically.

5. Packaging Messaging

Include similar messaging as on your bag stuffers on your printed packaging materials.

6. Welcome Flow Email

In your automated welcome email flow for each guest, include one email fully dedicated to explaining all the advantages of ordering directly from you (rewards, saving money / no fees, exclusive items, etc).

7. Paid Search On Your Own Brand Name

Include your brand name in Google search ads with a link driving traffic to direct ordering.

8. Run Direct Only Promotions

Occasionally run promos or flash sales that can only be accessed through your online ordering.

9. Staff Scripts for Pickup Guests

“Order from our site next time, you’ll earn rewards.”

10. Checkout Capture

Require email/SMS capture at checkout (even for guests who don’t opt into marketing yet). If you have a guest's contact info, you can get messages to them about coming back.

11. Channel-Based Segmentation + Automation

Tag guests by last order source (3rd party vs direct). Triggered win-back automation:

PS This is what Hang suggested doing (so we are!)

This Is the Always-On Conversion Engine

Now that's an always-on system that doesn't require you to reinvent the wheel constantly or come up with crazy campaigns that take a lot of bandwidth. Walk through this step by step, and you'll have a system that not only gets you more direct orders to begin with but also converts guests over to ordering from you directly.

Did I accidentally miss anything? What other ways are you using to convert from 3rd to first party?

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Do you need help with your marketing? Send me an email [email protected]

- Rev Ciancio

WHAT DOES REV DO?