Evaluation of Table Reservation Systems for Restaurants

1
Evaluation of Table Reservation Systems for
Restaurants

• Anderegg Diego, Berger Tanja, Malicovscaia Iana,
  Zhang Xi
• July 4, 2014

2
Content

• Problem Setting / Methodology
• Reasons for Implementing
• Aspects to Consider
• Typology of Restaurants
• The Systems on the Market
• First round of Interviews / Criteria Catalogue
• Second Round of Interviews
• Matching
• Conclusion and Recommendation
• Limitations

3
Problem Setting

• There are many ORS on the market
• Limited research about ORS
• Creation of guidelines necessary
• Identification of services which are demanded by
  restaurants

Based on Kimes, 2011, Heo,, Hu, Lee and Mattila,
2013 Gao, Hwang and Jang, 2010 Prewitt, 2005
4
Methodology
5
Reasons for Implementing an ORS

• 24 / 7 reservations
• Additional services
• Segmentation / statistics
• Promotions
• Consistent service quality
• Revenue management

• Loss of personal interaction
• An unsuitable ORS can cost time and money
• Not all customers go online

Kimes, 2009 Kimes, 2011 Beard and Kimes
2013Prewitt, 2005
6
Aspects to Consider Before Implementing an ORS

• Customer preferences
• Incrementality of the business
• Additional services
• Trends (mobile, computerized
• revenue management)
• Commoditization

Miller and Washington, 2012 Kimes, 2009 Kimes,
2011
7
Typology of Restaurants
Almanza, Canziani and McKeig, 2010 Demen Meier,
2005 Gastro Suisse, 2013
8
The Systems on the (Swiss) Market
9
First round of Interviews / Criteria Catalogue

• 24 criteria were found
• Time on the market
• Price
• Independency
• Panorama pictures
• Booking processes
• Confirmation
• Additional services
• High profile
• Integration with the offline system
• Statistics, marketing
• Support

10
Results I

• No ORS is used
• Most important factors are the closeness to
  companies
• Not the target of ORS

• City fast casual

11
Result II

• Participation in ORS is not seen as essential
• Systems should be easy to handle
• Used as a marketing platform
• Fees per booking

• Country fast casual

12
Results III

• Prefer fees per booking
• Limited number of bookings
• Not keen on ORS

• City moderate

13
Results IV

• Does not really need ORS
• Visual attractiveness
• Integration with the offline systems
• Announcement of upcoming events
• Marketing tool

• Country moderate

14
Results V

• Support
• Collaboration with SM
• Web-based usage
• Billboard effect
• Offline integration
• Individual upload of information
• Marketing

• City upscale

15
Result VI

• Want to change the content on their own
• Marketing effects
• Importance of 360 panorama pictures

• Country upscale

16
Matching
Restaurant type Matching systems Systems to consider additionally
1. City fast casual / business dining Bookatable (light package), Localina (light package), Zagat, tourismus-schweiz, Freetable
2. Country fast casual / business dining Bookatable (light package), Localina (light package), Zagat, Freetable
3. City moderate / casual Bookable, Localina, Zagat Freetable
4. Country moderate / casual Bookable, Localina, Zagat Freetable, tourismus-schweiz
5. City upscale Bookatable, Besttable, Lunchgate, Localina Freetable, iTaste, OpenTable
6. Country upscale Bookatable, Besttable, Lunchgate, Localina Freetable, OpenTable, iTaste,
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Conclusion and Recommendation

• Not efficiently adopted
• Most restaurants do not see a need of adopting a
  system
• Fees per booking are preferred
• Perceived as a marketing tool
• Upscale restaurants are keen on the systems
• Different solutions for upscale and moderate /
  casual needed

18
Limitations

• Qualitative data
• Questions perceived differently
• Representativeness

19
Bibliography I

• Almanza B., Canziani B. M., McKeig M. J. (2010,
  July 30). Assessing the utility of restaurant
  descriptors and typologies for advancing the body
  of knowledge in restaurant management. Paper
  presented at the International CHRIE Conference.
  Amherst University of Massachusetts.
• Beard, J. Kimes, S. E. (2013). The future of
  restaurant revenue management. Journal of Revenue
  and Pricing Management, 12(5), 464469.
• Gao, L., Hwang, J. Jang, W. (2010). Joint
  demand and capacity management in a restaurant
  system. European Journal of Operational Research,
  207, 465472.
• Demen Meier, C. (2005). Proposition dune
  typologie des entreprises de la restauration en
  Europe Proposition of restaurant business
  typologies in Europe. In Hermés Lavoisier
  (Eds.), Tourisme et PME (pp. 257283).
• GastroSuisse (2013). Branchenspiegel Industry
  report. Zürich GastroSuisse.

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Bibliography II

• Heo, C. Y., Hu, C. ,Lee, S., Mattila, A.,
  (2013). Restaurant revenue management Do
  perceived capacity scarcity and price differences
  matter? International Journal of Hospitality
  Management, 35, 316326
• Kimes S. E. (2009). How restaurant customers view
  online reservation systems. Cornell Hospitality
  Report, 9(5), 415.
• Kimes, S. E. (2011). The future of distribution
  management in the restaurant industry. Journal of
  Revenue Pricing Management, 10(2), 189194.
• Miller, R. K. Washington, K. (2012). Dining
  the Internet. Restaurant, Food Beverage Market
  Research Handbook, (4), 239-242.
• Prewitt, M. (2005). Operators see pros, cons in
  online-reservations boom. Nation's Restaurant
  News, 39 (9), 16.

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