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Run the Numbers Part 1: The Annual Impact of Increasing Order Volume 10-20%

Updated: Mar 4


In the fast-paced world of Quick-Service Restaurants (QSRs), growth and efficiency are key to success. In this blog post, we'll explore how implementing self-service kiosks can significantly boost order volume, driving growth and profitability for your QSR.


Understanding the Impact:

Imagine this: your QSR is buzzing with activity, but you're constantly looking for ways to enhance operations and attract more customers. Enter self-service kiosks – a game-changer in the QSR industry.


The Setup - your single location QSR may look like this:

Let's take a closer look at your QSR's performance without self-service kiosks. For the sake of this exercise, let's assume:

  • 60 orders daily with an average order value ranging from $9 to $15

  • Operating for 50 weeks (6 days a week)

  • Profit margins on food sales at an industry average of 7.5%


The baseline figures on this above QSR looks like this at the end of the year, for example sake let's say 2022:


Low End

High End

Daily Gross Revenue ($9/$15 /order*60 orders per day)

$540/day

$900/day

Weekly Gross Revenue ($540/$900/day)

$3,240/week

$5,400/week

Annual Gross Revenue (50 weeks)

$162,000

$270,000

The Potential of Self-Service Kiosks:

Now, let's introduce self-service kiosks into the equation. With the implementation of these kiosks, your QSR can streamline ordering processes, reduce wait times, and enhance the overall customer experience.


Projected Performance:

We'll focus solely on the impact of increased order volume while keeping the average order value constant. Imagine your daily rush period getting 10%-20% more efficient as your kiosk takes on more orders and your cashiers keep similar output.

Here's a simplified breakdown:

  • Low End: 10% increase in order volume per day

  • High End: 20% increase in order volume per day


Calculation:

  • Low End: 6 additional orders/day 6 days/week for 50 weeks = 1,800 additional orders/year

  • High End: 12 additional orders/day 6 days/week for 50 weeks = 3,600 additional orders/year


Annual Potential Growth of isolating only growing order volume at the same avg order value:


Low End (+10%)

High End (+20%)

Daily Gross Revenue (@ same average order value)

$594/day

$990/day

Weekly Gross Revenue

$3,564/week

$5,940/week

Annual Gross Revenue

$178,200

$297,000

Previous Year's Gross Revenue

$162,000

$270,000


In 1 year, with consistent foot traffic, you're looking at:

Low end: scaling from Annual Profit: $162,000/year up to Annual Profit: $178,200/year


Conservative figure: +$16,200 annual profit growth


High end: scaling from Annual Profit: $270,000/year up to Annual Profit: $297,000/year


Our company average growth: +$27,000 annual profit growth


The Bottom Line:

Remember this is only looking at growth in order volume with average order value size staying the same year over year. We'll split that out next.


By harnessing the power of self-service kiosks, your QSR can unlock its full potential and drive growth through increased order volume. With more customers served and more orders processed, your business stands to thrive in the competitive QSR landscape.


Investing in self-service kiosks isn't just about embracing technology – it's about driving tangible results for your QSR. With increased order volume and improved efficiency, self-service kiosks offer a promising pathway to growth and success.


Ready to Elevate Your QSR Experience?

Contact us today to learn more about how self-service kiosks can transform your QSR and propel your business forward.

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