How Grubhub Attracts Restaurants to its Platform
Grubhub and Seamless have built a robust ecosystem that connects hungry customers with local restaurants. How do these platforms get restaurants to sign up with them? Unlike some other services, Grubhub doesn't rely solely on an inside sales team that cold-calls restaurants throughout the day. Instead, they have adopted a more strategic approach that leverages word of mouth, online referrals, and targeted sales strategies.
The Power of Word of Mouth and Inbounds
After a period of time, the success of Grubhub and Seamless began to spread. Word of mouth became a powerful tool as satisfied customers shared their positive experiences with others. Additionally, the initial positive results from restaurants that joined early on started to attract more restaurants. The organic growth through word-of-mouth eventually led to more and more restaurants proactively reaching out to Grubhub to request inclusion in their platform.
In recent years, the platform has also integrated referral networks, which have further enhanced its acquisition strategies. These networks incentivize existing restaurants to refer new ones to the platform, creating a positive feedback loop.
Benefits for Restaurants on the Grubhub Platform
Grubhub and Seamless offer several significant benefits to restaurants. Firstly, they provide a prime placement online in a location where people are actively searching for food delivery options. This placement helps ensure that more potential customers see the restaurant's offerings.
Secondly, Grubhub handles all order-taking and payment collection on behalf of the restaurant. This eliminates the need for individual staff members at the restaurant to manage orders, significantly reducing the operational burden. Additionally, electronic orders are typically more accurate, reducing the risk of incorrect orders. Since payment is collected upfront, there's no worry about customers not paying once their food is delivered.
Strategic Sales Approaches
Grubhub's sales approach is structured around commission-based salespeople. These individuals are motivated to sign up as many restaurants as possible because their compensation is tied directly to the number of successful sign-ups. This incentivizes a more targeted and effective sales strategy.
The salespeople focus on understanding the needs and concerns of restaurant owners. They provide detailed information about the platform's features, success stories, and the benefits that individual restaurants can expect. By doing so, they help address any hesitations or doubts that potential sign-ups might have.
Furthermore, these salespeople often work closely with the restaurant's existing staff or management. This allows for a more personalized approach, building trust and understanding between the platform and the restaurant.
Conclusion
Grubhub's success in attracting restaurants to its platform is a testament to the power of strategic sales and strong benefits. From the word-of-mouth referrals that spread through the restaurant community to the commission-driven sales strategies that incentivize more sign-ups, the platform has developed a comprehensive approach to growth. By understanding and addressing the needs of restaurants, Grubhub continues to build a robust network that benefits both customers and businesses alike.
Whether it's through online referrals, word-of-mouth, or targeted sales incentives, Grubhub has established itself as a leading force in the delivery marketplace, consistently attracting new restaurants to its platform.