PYMNTS-MonitorEdge-May-2024

52% of Diners Would Order More Pickup If Offered Discounts

As restaurants look to drive adoption of pickup channels, PYMNTS research finds discounts are key.

How incentives impact consumers takout choices

For PYMNTS’ February study, “Connected Dining: Rising Costs Push Consumers Toward Pickup,” we surveyed more than 2,100 U.S. consumers in January about their restaurant dining habits and expectations. The findings revealed that offering financial rewards for different ordering channels can go a long way toward driving purchases.

For instance, 53% of consumers said they would be more inclined to choose pickup for their next restaurant order if the given eatery offered them a 5% discount on their purchase. This share is higher than the 49% of consumers who would be incentivized by the option to collect their items from a guaranteed no-wait pickup line and the similar share that said the same of being offered a gift card to save on their next order.

How incentives impact takeout choices

Yet while consumers are more motivated by financial discounts than by the promise of shorter wait times for pickup, the reverse holds for delivery. The most commonly cited incentive that consumers reported would make them more likely to order their next meal for delivery is a guaranteed maximum wait time.

Fifty-five percent of consumers stated that, if restaurants promised them that they would get their delivery order in a set amount of time or be offered a significant discount, they would be more likely to order their next meal via the channel. Meanwhile, 54% said they would be more likely to order delivery if the courier was not allowed to accept tips, and 52% said the same if offered a 5% discount.

Notably, only 37% of delivery customers stated that they would be more inclined to order delivery for their next meal if offered a gift card or voucher for reduced prices on their next purchase. This disparity between the effectiveness of the incentive for delivery relative to pickup suggests that consumers may be more likely to expect to return to brands from which they order pickup than those from which they order delivery.

PYMNTS-MonitorEdge-May-2024