Evaluation of Table Reservation Systems for Restaurants

Anderegg Diego, Berger Tanja, Malicovscaia Iana, Zhang Xi

July 4, 2014

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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

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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

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Methodology

Benchmarking of Systems and Needs / Conclusion / Recommendations

Interviews / Primary ResearchCriteria Catalogue Interviews Round IIInterviews Round I

Literature Research / Desk ResearchReservation Systems Criteria Typology Existing Systems

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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 2013;Prewitt, 2005

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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

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Typology of Restaurants

Almanza, Canziani and McKeig, 2010; Demen Meier, 2005; Gastro Suisse, 2013

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The Systems on the (Swiss) Market

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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

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Results I City fast casual

No ORS is used Most important

factors are the closeness to companies

Not the target of ORS

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Result II Country fast casual

Participation in ORS is not seen as essential

Systems should be easy to handle

Used as a marketing platform

Fees per booking

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Results III City moderate

Prefer fees per booking

Limited number of bookings

Not keen on ORS

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Results IV Country moderate

Does not really need ORS

Visual attractiveness Integration with the

offline systems Announcement of

upcoming events Marketing tool

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Results V City upscale

Support Collaboration with

SM Web-based usage Billboard effect Offline integration Individual upload of

information Marketing

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Result VI Country – upscale

Want to change the content on their own

Marketing effects Importance of 360°

panorama pictures

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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 / casualBookable, 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

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Limitations

Qualitative data Questions perceived

differently Representativeness

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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), 464–469.

Gao, L., Hwang, J. & Jang, W. (2010). Joint demand and capacity management in a restaurant system. European Journal of Operational Research, 207, 465–472.

Demen Meier, C. (2005). Proposition d’une typologie des entreprises de la restauration en Europe [Proposition of restaurant business typologies in Europe]. In Hermés & Lavoisier (Eds.), Tourisme et PME (pp. 257–283).

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, 316–326

Kimes S. E. (2009). How restaurant customers view online reservation systems. Cornell Hospitality Report, 9(5), 4–15.

Kimes, S. E. (2011). The future of distribution management in the restaurant industry. Journal of Revenue & Pricing Management, 10(2), 189–194.

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), 1–6.

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