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How Does Online Ordering Affect the Restaurant Industry

In: Proceedings of the 2023 5th International Conference on Economic Management and Cultural Industry (ICEMCI 2023)

Author

Listed:
  • Yijia Hao

    (Windermere Preparatory School)

Abstract

In modern society, more people have decided to eat by ordering deliveries rather than visiting physical restaurants. This is becoming an increasing trend that influences almost everyone nowadays. The question arises: What will happen to physical restaurants? Will their profitability be negatively affected due to less demand? Therefore, I have chosen this topic to assess the effects of the gradually increasing online ordering platforms on physical restaurants. In this essay, we will first talk about the current trend and market situation, how this trend started, and whether this trend changed the consumer’s behavior. We shall examine the theoretical benefits of online ordering and how they can affect the demand for physical restaurants. Then, we will reveal how previous research and reports have approached this and whether online ordering can increase the sales revenue of physical restaurants. After this, we will examine the correlation between the users of delivery apps and the sales revenue of US restaurants. Finally, developing an online ordering system will benefit physical restaurants by increasing their sales revenue from methodologies and analyzing and explaining the reasons and possible causes. This work has been done to address how physical restaurants can ride on this trend and boost their sales revenue through online order platforms.

Suggested Citation

  • Yijia Hao, 2024. "How Does Online Ordering Affect the Restaurant Industry," Advances in Economics, Business and Management Research, in: Feng-xia Cao & Satya Narayan Singh & Ahmad Jusoh & Deepanjali Mishra (ed.), Proceedings of the 2023 5th International Conference on Economic Management and Cultural Industry (ICEMCI 2023), pages 599-605, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-368-9_71
    DOI: 10.2991/978-94-6463-368-9_71
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