Online orders quite literally saved the food and beverage industry throughout the pandemic. With most storefronts temporarily closing their doors to stop the spread of the Covid-19 virus, the public turned to sales ordering apps. Given the uncertainty of the times, these food sales apps undoubtedly saved the day for food and beverage (F&B) companies.
At the same time, these apps also kept food and beverage suppliers visible to their customers. Sales agents were able to monitor orders and track shipments to their customers from their home screens. Managers could support their sales representatives by directing them to accounts in need of attention.
Sectors of the food and beverage industry
Which sectors of the food and beverage industry can a food sales app help the most? Any business that runs its own sales and marketing teams and accepts online orders, actually! More specifically, having a cloud-based sales ordering app can benefit both commercial and non-commercial sectors of the food and beverage industry.
Commercial
When an establishment’s primary goal is to sell food or beverages to generate profits, it’s considered a commercial food service business, or a ‘market-oriented food service’. This sector accounts for the bulk of the food and beverage industry’s players, accounting for 77% of total food purchases made outside the home. This sector includes trendy downtown restaurants, mom-and-pop food trucks – even vending machines.
Since commercial food and beverage operations exist to turn a profit, they usually make additional investments to enhance the customer experience. This could mean a higher staff-to-customer ratio, more efficient ordering and payment systems, or a dining area conducive to a great dining experience. The name of the game is to always remain financially viable for revenue generation.
Non-commercial
In contrast, the primary objective of non-commercial food and beverage operations – or ‘cost-oriented enterprises’ – is to provide a service. As the name implies, non-commercial operations exist to provide additional services to an existing organization. Owners of these establishments are more focused on providing a service that has less to do with food and more to do with fulfilling a demand. Think of the school lunchroom, the hospital cafeteria, or the country club restaurant. Usually, customers or end-users go to these places for other purposes (studying, getting treatment, playing, etc). Buying food at these places is secondary, but necessary.
While turning a profit isn’t out of the question, non-commercial food operations aren’t focused on it. Often, these operations are subsidized by the parent company. That means that establishments are more concerned with simply breaking even to continue fulfilling the need. Even if they fail to earn a profit, these establishments are in no danger of closure or bankruptcy. Having consistent food service operations on the premises is far more important to the overall business than generating revenue.
Food and beverage and sales apps
Companies serving both sectors of the food and beverage industry may find using a food sales app advantageous. Ideally, a mobile sales platform can provide automated services and instant information, allowing sales representatives to do more of what they do best: selling.
The many benefits of having a sales app include:
Reduce lost sales
An effective sales app should have a feature that allows field sales agents to monitor item inventory, even when they’re out on sales calls. Closing a deal only to learn the item in question is either already out of stock or expired doesn’t reflect well on the company, to say the least. Keeping an accurate stock count is easier with inventory management software and sales apps.
Improve sales
Given the urgency of food and beverage transactions, many deals can’t wait. Produce can spoil and prices can fluctuate – costing you more without actually getting more. Having complete and accurate information about a product’s availability and pricing enables customers to decide if they want to proceed with the sale. Faster transactions result in salespeople being able to sell more.
Provide a warning price list
During negotiations, agents might have the power to lower unit prices to remain competitive. Instead of having to call the office or the manager to get approval for each price adjustment, a sales app can set the price ranges the agents have to work with. Many F&B items have fluctuating prices due to seasonal availability, overall supply, and fuel and transport costs.
A warning price list includes a product’s lowest possible selling price (while still turning a profit, of course), and is intended only for clients who meet certain conditions. The minimum price is often the nearest price to the break-even point. Having an app that alerts the agent if they’re hovering at the minimum or warning levels can help prevent agents from overcommitting to discounts. At the very least, it can help keep agents stay within a profitable range.
Find the best sales ordering app
The food and beverage industry covers many products that are at the mercy of price and availability changes. Having a reliable F&B sales app to aid field sales representatives in providing accurate and timely information to clients can help them close deals faster. In doing so, sales reps can sell more products to more customers without worrying about a lack of inventory or inaccurate pricing.
Skynamo is the leading customer relationship management (CRM) software in the food and beverage industry.
The field sales CRM app is designed for distributors, wholesalers, and producers in the food and beverage industry, especially for those who have sales teams in the field and want a clear line of sight into sales, customers, and profitability.
This cloud-based app allows agents to carry the most accurate, real-time product in their pockets. Skynamo also helps agents maintain a database of their customers, including their purchase histories and other relevant information. This enables them to keep a closer tab on what their clients need, rather than just what they can sell.
Are you eager to make sense of sales? Please contact us. We would love to know more about your company and curate a uniquely tailored solution for your business. We’ll even prepare a short demonstration to show you how we can help.
