Pizza Hut introduced online food orders in 1994, and established the first online food ordering service. Since then, online food orders have gained so much popularity because of their benefits to both restaurants and customers.

Many restaurants are adopting the online food ordering service since it allows their business to grow. Let’s learn the definition and advantages of an online food ordering system for a restaurant owner.

What exactly is an online ordering system?

An online food ordering system is the software or application that allows restaurants and takeaways to accept and manage online orders from their customers. It helps increase sales by making your specialty dish accessible across the town or city.

You will need two major components to send your restaurant business online: an ordering website or application and an admin management interface. The customer will place an order via mobile app or website, and you will receive its information on the admin management interface.

restaurant online ordering system

What are the advantages of an online ordering system?

Online ordering service benefits both customers and business. The main advantages of restaurant’s online ordering system include:

  • You can digitize all your incoming and outgoing restaurant business transactions, which makes it easier to keep a record of all your income.
  • You can gain loyal customers by providing discounts, promotions, and other loyalty programs through an online ordering system.
  • The online ordering system fulfills all the orders in a unified manner, leaving less room for error.
  • Online ordering service provides a friendly and delightful experience, making them place orders more often from your restaurant.
  • You can choose from several online ordering system options available at competitive prices.
  • The automated order fulfillment process helps your business save a lot as you don’t have to spend additional manpower.

Also, read – 25 Food Business Ideas in India [With Low Investment]

Different kinds of online ordering systems

If you are upgrading your business with the help of a restaurant’s online ordering system, you have two options to select the system. The first is marketplace systems, and the second is self-service systems.

Marketplace Online Ordering Systems

This system uploads your restaurant’s menu and allows you to start accepting orders immediately. Most restaurant businesses choose this system as it also draws lots of traffic to their website, which helps gain new customers.

You have to pay a % for each order placed through this system. However, marketplace online ordering systems help you generate more sales, but you will lose a % on each sale. You should choose this system if you have more regular customers and want to go online.

Self-Service Online Ordering Systems

These systems are less expensive than marketplace online ordering systems. These systems charge you only a fixed monthly cost and a one-time setup fee. If you can wait to start your business online, you should choose this system.

A self-service online ordering system allows you to create your own online ordering system. You can easily customize the system or add more items to the menu whenever you want.

Also, read – What is Contactless Delivery: How to do & its Importance?

The working concept of an online food ordering system

As a business owner, you may consider making your brand popular on the internet. Fortunately, an online food ordering system makes your brand visible and makes it easier for hungry customers to place orders on their suitable devices. Generally, the marketplace ordering system consists of a website or mobile app where customers place their orders after going through the menu online.

Here’s a brief explanation of how an online ordering system works.

  • Your customer is more likely to browse for your brand name via a third-party food ordering platform. Your customers will now reach your online ordering platform and browse your restaurant’s menu.
  • Online food ordering systems also allow customers to search for their favorite dish or choose whatever food item they see on the list. They will add them to a virtual cart and enter the necessary delivery information, such as whether they prefer delivery or takeaway.
  • Once customers confirm their order, a payment page will open. They can select any mode of payment according to their preference.
  • After they make payment, you must assign your delivery boy or rider to deliver the order to the customer.

Also, read – What is Menu Engineering?

How can you set up a good online ordering system for your restaurant?

If you are adopting an online food ordering system, you should ensure the system has multiple options and a user-friendly interface. For setting up a good online ordering system, you should make sure that the system you choose offers these features, including:

  • Full menu integration
  • Customer profiles
  • Various payment options
  • Reward schemes and coupons
  • Advanced analytics
  • Control over your branding and customer base

Now, to set up a good online ordering platform, you should follow these steps:

  • Let your customers create profiles to save payment information for quick orders.
  • You can also offer coupons and reward schemes to make your customers return.
  • With the help of powerful analytics, you can better understand your customers’ purchase patterns.
  • It would be best if you made your business information visible to your customers, such as contact details, address, and opening & closing hours.
  • You can also provide a FAQ section to reduce barriers to placing an order.

What to consider before choosing an online ordering system?

Some factors help you consider which restaurant’s online ordering system will suit your brand. It would help to consider these things when choosing an online ordering system.

  • A modern, friendly, and easy-to-navigate user interface to attract customers.
  • The ease of customization allows you to create websites according to your brand.
  • Flexible delivery options for every customer.
  • Loyalty and rewards programs encourage customers to come back.
  • Device compatibility for flawless ordering.
  • Compatibility with your, restaurant POS system


Setting up a restaurant online ordering system helps your business to open a new door to success. When looking for an online ordering system, you should ensure it contains all the necessary features to support your business. With an online ordering system, keep all your customers happy by accepting orders they place over the internet.