Toast Restaurant POS Review

Transcription

1 Company Overview The Toast Restaurant POS system was developed by three former co-workers who had a great deal of experience creating some of the earliest mobile commerce apps for the iphone. While out to dinner one night, the partners realized that there was a need for an improved customer experience in the credit card processing space, driven by technological innovations. Through discussions with restaurant owners, they found that restaurant POS systems were difficult to use, complicated to maintain, and expensive to fix. The partners began developing a unique cloud-based platform to manage all of the restaurant's operations. Toast Restaurant POS is loaded with tons of great tools and features that would be tremendous assets for all restaurant owners and managers. So if you re a merchant that s looking for the best restaurant POS system for your business, read this full on review of the kickass Toast system designed specifically for restaurants. The ability to manage every aspect for your restaurant from one centralized platform can save you tons of time and money, not to mention headaches. We especially love Toast s dedication to customer service. That can be hard to find these days. While all these features are great, we really wish Toast s Restaurant POS system would also offer their customers the ability to pick their own credit card processor, rather than forcing them to go through Toast. Credit card processing fees can be very complicated and the industry s pricing structure is pretty complex. While it may seem like Toast is simplifying that decision, oh and you better believe they ve put together a pretty convincing argument, we think it s important for you to compare credit card processors and find the right terminal for your business to ensure low cost credit card processing fees. 1

2 Toast Restaurant POS Product Overview Toast is an all-in-one restaurant POS system that manages all aspects of restaurant operations with an emphasis on streamlining restaurant operations while enhancing customers experience. Jam packed with features, they offer a cloud-based platform that is agile, mobile, and seamless. Toast acts as a restaurant s credit card processor and runs on Android operating systems. Toast s systems are built exclusively for restaurants and other food services. It can be customized to fit any type and size of restaurant whether they are full service and fine dining restaurants, quick service restaurants, bars and clubs, or franchises or restaurant groups. What appears to set the Toast Restaurant POS system apart from the competition is their dedication to customer service and satisfaction. Standard Features Tableside Ordering Toast offers two ways to take orders, either with their custom-built Android tablets or with the desktop terminals. Both are touchscreen interfaces that are highly intuitive and easy to use. The tablets are built with the same Toast Restaurant POS system as the terminals and kitchen display screens. 2

3 This means that servers can submit the order tableside and, before they even walk away from the table, that order is already pushed to the proper prep station in the kitchen. As an added convenience, servers will be notified on their tablet as soon as an order is ready to go. This eliminates the need for the server to go back and forth into the kitchen, leaving them more time to tend to their diners needs. This not only enhances the customer experience, but also reduces turn time which directly positively impacts a restaurant s bottom line. Kitchen Display System Toast s Kitchen Display System (KDS) is the tablet s counterpart located in the kitchen. These wallmounted displays complement kitchen printers for those who want both. The system allows managers to configure the routing preferences so that the designated stations and kitchen printers receive incoming orders based on what s being ordered. Those working in the kitchen have the ability to view all of the open tickets, mark the order as completed, and track how long it takes to fill each order. Managers can even program the tickets to turn yellow or read after a given amount of time to call attention to orders that are taking too long to be marked as completed. Another great feature of the KDS is the integration with online ordering. Orders are automatically sent to the KDS which eliminates the need for manual entry. All the features of the Kitchen Display System help to streamline back-of-house operations increasing table turnover and revenue. Credit Card Processing With the Toast Restaurant POS tablets, credit cards are accepted and swiped and receipts are printed right from the table. The servers don t have to walk back to the terminals to process the transactions. This speeds up both transaction times and table turnover time. Toast handles the credit card processing for all of their subscribers. It appears as though they negotiate rates with each account they onboard. They offer a flat rate credit card processing structure, which means that restaurant owners will know the exact rate they are going to pay regardless of the type of card that is used. There are however, some pros and cons to a bundled pricing offering. We d be really excited to see an interchange plus pricing structure and the ability to compare credit card processors and choose your own. Toast says they insist on acting as the processor for their subscribers because it allows them to offer unique POS features and functionalities. Toast s CRM allows customers to tie their rewards 3

4 accounts to their credit cards to automatically earn points when they pay with their cards. The Toast Restaurant POS system also allows you to accept American Express cards. While it s a bit risky, restaurant owners can choose to have credit cards processed as if their system was offline. A receipt will be printed without waiting for official authorization. This has the benefit of increasing transaction speeds but there is also the risk of a credit card ultimately being declined. Receipts The Toast Restaurant POS system also gives diners the ability to choose how they want to receive their receipts. They are given the option to receive , text, or physical receipts. Regardless of the option chosen, the receipts can be branded with the restaurant logo and a personalized message. Digital receipts benefit both the customers and the restaurants. They are more convenient for customers and it provides the restaurant with valuable customer data for the Toast CRM. Splitting Checks One of the most annoying things a server faces is when a party of eight hands over eight credit cards after a huge order and expects him or her to sort out their check and properly charge each person for what they ordered. Toast makes this process tremendously easier with their touch screen, drag-and-drop list of ordered items. Servers are able to split both the check and individual menu times across any number of guests. That means if 3 out of the 8 people shared an appetizer, the cost of that appetizer can be split between those three people. 4

5 Tips When diners check out, the system asks the customer if they d like to tip and offers options dictated by the restaurant (10%, 15%, 18%, 20%, etc.). While some people may not like this extra pressure to tip, it does simplify the process and take the guesswork out of tipping. This feature can easily be disabled. The system also allows servers to declare negative tips. At the end of each day, managers can automatically calculate and distribute tips to the right people. Customer Support Toast prides itself on customer service. Because of this, they provide a multitude of tools and services to support their customers. Once restaurants have made the decision to purchase a subscription, a Toast Restaurant POS system expert works with the purchaser to customize the entire platform. They assist in setting up everything from the menus and employee database to the seating layout in the restaurant. That s huge considering customer service in the credit card processing industry is generally at a low level and we like companies who make the effort to go the extra mile. Toast s goal is to be a plug-and-play system that individuals can pull out of a box and plug in and go. When purchases receive their terminal and tablets, they are preprogrammed and ready to be used right away. Toast does offer on-site installation for every customer at a small fee. 24/7 support from a US-based team is included in the monthly subscription fee. Should a user have any issues with the platform, they can quickly and easily submit support tickets through the POS system and get back to work. While Toast s Restaurant POS system is fairly easy to use, the number of features on the platform can take some time to master. Because of this, Toast provides training for anybody at the restaurant who will be interacting with the software to ensure they are comfortable using the tools they have access to. They ve also invested in creating a Training Center, which includes video tutorials and hands-on demos that are available for everyone from restaurateurs to servers to anyone visiting the Toast website. 5

6 If any questions aren t answered through the tutorials, there is a comprehensive, searchable database with troubleshooting tips, FAQs, and articles. This database contains information on just about everything someone would need to know about the platform, payments, hardware, and much more. Any questions that can t be answered by the Training Center or the searchable database can be answered by calling in to the support team. CRM System for Restaurants In addition to Toast s powerful internal reporting tools, they ve also built a CRM system for restaurants that is integrated into the Toast Restaurant POS system in an effort to centralize all customer data collected through each transaction or interaction. The CRM collects basic customer information while also creating a detailed customer profile including what they ate and when. Over time, this will provide restaurant owners with an understanding of who their regular customers are and who the biggest spenders are. Utilizing this automatically collected customer data, restaurants can enhance their guests experience in multiple ways. Repeat customers can quickly and easily reorder their favorite items with one click. Regular customers can also receive more personalized treatment if the data is leveraged effectively. Marketing materials such as s and promotions can also be more targeted based on the customer's history of interactions with the restaurant. Customer reports can be used to identify which regular guests haven t visited the restaurant in a while and use that information to them a promotion to bring them back. Menu Software As part of Toast s installation process, a menu specialists will set up the restaurant s entire menu, including groups, subgroups, items, and modifiers, before even receiving the device. That means when you take the terminal and tablets out of the packaging and plug it in, the menu will already be programmed on all the devices and online ordering pages. Because everything is touch screen and intuitive, making changes to the menu is extremely quick and easy. Changes can be made from anywhere by those who have the appropriate authority to do so and updates are published to all devices instantly. Restaurants that offer happy hour or any other type of time-specific pricing can automatically program that into the Toast Restaurant POS system, saving them the trouble of updating the menu manually every day. Another great feature is the 86 Countdown. Here, servers can quickly enter the number of servings left before an item is sold 6

7 out for the night. This starts a countdown, updated automatically in real-time as orders come in, which saves servers from accidentally submitting an order for an out of stock item, resulting in unhappy customers. Employee Management System for Restaurants Toast s labor management software is designed to save managers time by automatically tracking each individual s hours, pay, overtime, and productivity. Each employee is given a 4-digit pin number that s used to clock-in and out on the Toast tablets. Managers have access to time cards directly through the platform. Individual employees can also be given special permissions to view certain reports, based on their role in the restaurant. Managers, for example, can have access to approve voids or discounts while servers may not. The Toast Restaurant POS system provides an end-of-shift review that illustrates a breakdown of activity by employee. Managers can quickly and easily see if there are any tasks that have not been completed, ensuring that nothing is overlooked. Furthermore, productivity reports display detailed information about each server including total sales, average table turn over times, tips collected, and any items voided or discounted. Because Toast is a cloud-based system, these reports and reviews are all able to be viewed from anywhere. Add-On Features Inventory Management Toast s inventory management software is integrated into the POS system. It s jam-packed with powerful data tools that allow restaurant owners to effectively and easily manage their inventory and make decisions based on quantitative reports. When food costs in the restaurant industry can run as high as 38%, it s extremely important to accurately keep track of inventory and a recent study showed that nearly half of all small businesses either don t track inventory at all or track it manually. 7

8 Real-time tracking let s restaurants track their food inventory along with the suppliers and pricings. The tool makes it easy to know when and what to reorder so money isn t wasted on unnecessary ingredients. An inventory variance report also tracks the actual inventory to what it should be so in order to identify any variances that may have occurred due to theft, burned food, or waste. Furthermore, the Toast Restaurant POS system s handheld tablet allows the user to take the spreadsheet to where the food is being stored in order to save time and minimize errors. The software also empowers restaurant owners to make more informed decisions to improve their bottom line. The recipe costing tool tracks what goes into each dish and breaks down food costs, portion costs, and recipe costs. A menu engineering chart analyzes a restaurant s best selling dishes alongside the most profitable items in order to identify which items are contributing to or hurting the bottom line. Gift Cards Gift cards are integrated into Toast s all-in-one cloud-based software. This makes it very easy for restaurant owners and managers to sell, track, and complete transactions with gift cards, whether they re physical or digital. For physical plastic gift cards, Toast provides complete customization, print, and programming of the cards to integrate with your system. Gift cards are a great option to provide to customers because studies show that 68% of gift card users spend 38% more than the face value of the card. To issue digital gift cards, customers simply have to supply basic contact information and the amount they would like to purchase. The gift card is then ed or texted to the intended recipient with a personalized message and the purchase is automatically stored in the Toast Restaurant POS CRM. In addition to storing the purchase, in-depth gift card reporting provides a breakdown of all outstanding active gift cards by card number, including purchase date, initial value, most recent transaction, and more. The system also simplifies the process of selling gift cards by allowing servers to select gift card options just like they would choose any menu item. Gift cards can simply be swiped to be activated and loaded with the amount requested. Should the value on a gift card need to be adjusted, employees with the proper user permissions can easily adjust the balance on the Toast Restaurant POS platform. 8

9 Restaurant Loyalty Program Toast has integrated a restaurant loyalty program within their platform, making it very easy and seamless for diners to enroll, earn points, and redeem rewards. When paying for their meal on the Toast tablet, they simply check a box on the screen if they want to opt in to the loyalty program. Interested diners simply submit their address and are ed a unique code and rewards account number they can use each time they come in. Like the gift cards, all member information is securely stored in Toast s CRM. Furthermore, restaurants have the ability to completely customize the loyalty program to suit their needs. Restaurants can choose from options such as dollar to points exchange or points milestones, among others. Online Ordering, Takeout, and Delivery Toast s online ordering system eliminates many of the challenges that occur when outsourcing the process, such as online ordering commission fees, time-consuming menu management, and inconsistencies in restaurant branding. Toast enables restaurants to offer optimized online ordering directly from the restaurant from any device, desktop, tablet, or mobile phone, eliminating commission fees. Restaurants are able to customize the ordering page to ensure it is consistent with their brand and is providing the desired customer experience. Because the Toast Restaurant POS system provides an all-in-one restaurant management platform, both menu management and kitchen workflows are streamlined and simplified. Online menus can be synced with the Toast Restaurant POS menu and changes to the menu can be made in real-time from anywhere. Orders are automatically sent directly to the proper prep station in the kitchen, which results in much faster order completion. Toast also allows their customers to switch on and off online ordering, or change approximate pick up or delivery times, based on how busy their kitchen is at the time. 9

10 Consistent with the rest of the tools provided by the platform, a powerful reporting tool provides quantitative data about online ordering. The dashboard tracks multiple key metrics such as average check amounts, total orders, top menu items, and average delivery times for each individual delivery driver. Restaurant customers who place orders online or over the phone are tracked in the CRM to streamline future orders with tools like Integrated Caller ID. Integrations Toast is constantly expanding its number of external integration with third-party applications. A full list of integrations can be found on Toast s website. Furthermore, the Toast Restaurant POS system has an open API which means restaurant owners are able to build their own integrations. Toast Restaurant POS Pricing Subscription The cost of a subscription to Toast s Core Software depends on the restaurant's needs. The cheapest option is the Express package starting at $79 per month. It isn t the most robust option, but it has the right amount of features to be perfect for quick service restaurants like cafes or pastry shops. The next step up is the Professional package that starts at $99 per month. It includes all the features of the Express package, plus more tools that are tailored to full-service and fast casual restaurants. Toast offers custom enterprise pricing for larger restaurants or chains that require more than six terminals. The Enterprise Software is built to manage diverse multi-location restaurants. It includes the same features as the Core Software in addition to powerful tools that allow restaurateurs to manage all their locations in one place, at once. Additional features are available for an additional monthly fee. Inventory Management: $75 Online Ordering: $50 Loyalty Programs: $25 Digital and Physical Gift Cards: $50 To get a better understanding of what features are included with each package, check out Toast s package comparison guide. 10

11 Upfront Costs Implementation Toast is committed to their customers success and want to ensure a smooth transition and rollout of the software. Because of this, implementation package costs vary based on the unique customer s needs. The Toast Restaurant POS system provides a customized training program to ensure successful, well, implementation of their software. In addition to the training program, Toast s Training Center has a database of instructional videos and interactive tutorials in both staff training and management training. Hardware The Toast Restaurant POS platform runs on an Android OS. They offers what they call the Toast Terminal Bundle. The bundle starts at $1,362 and includes all the components necessary to operate a restaurant: 10 inch terminal Built-in card reader Receipt printer ⅘ port switch Cash drawer Customers also have an option of purchasing the bundle with a 15 or 22 inch screen. Toast also provides the option of purchasing each component separately. The Toast terminals are hardwired so they don t require a wifi connection. Toast also offers a completely offline mode so that the terminals and tablets can fully function even without internet connection. Some hardware that restaurants already have are compatible with Toast Restaurant POS software however, because they take the time to configure each device so it s optimized for each restaurant, Toast recommends using their hardware in order to ensure proper functionality. Terminals: Elo Touch I-series: 10, 15, and 22 11

12 Handheld Tablets: Samsung Galaxy Tab 4 (7 ) and OnePlus (5.5 ) Receipt Printers: Epson T20 Thermal Printer and Epson U220B Kitchen Printer Wireless Connectivity: Meraki Router and Open Mesh Access Points Accessories: APG Cash Drawer, Honeywell 1400G Scanner, Brecknell 6710u Scale, and Pole Display Pos-X XP-8200 Toast also offers financing options to qualified applicants. This more flexible option allows their customers to pay for the entire Toast Restaurant POS package in low monthly installments as opposed to paying everything up front. This is especially great for restaurants that are just starting out and may be strapped for cash. Support & Software Updates Toast claims to place a high value on customer service and the support they provide is evidence that they mean what they say. The subscription cost includes access to US-based team of trained employees who provide support via phone, , and web 24/7/365. Toast s cloud-based monitoring allows the team to anticipate issues and deploy solutions without impacting restaurant operations. This is a huge benefit for any restaurant because reduced downtime in the POS system means more accurate real-time reporting and accounting. Software updates are also included in the software subscription, which means that any new features that are made available in the software area also made available to the restaurants at no additional cost. This ensures restaurants are always equipped with the most up-to-date software and most powerful features. Toast Restaurant POS Drawbacks While it s great that encrypted, secure credit card processing is included as a standard feature of any Toast Restaurant POS package, the fact that subscribers don t have flexibility to choose their own credit card processor is a major drawback. On the one hand, if a restaurant owner is happy with the rates they are currently receiving, Toast does offer to match those rates. On the other hand, while this sounds like an ideal situation, it may not be as simple as it may seem. Sometimes credit card processors will add some hidden fees to keep the rate low while the overall fees are still high. It appears as though the Toast Restaurant POS does not have any hidden fees, which is promising. The simple fact that subscribers have no choice is a cause for concern. It s very important for all merchants to check their credit card processing rates annually to make sure they re getting the best rate possible. Conclusion Overall, the Toast Restaurant POS system is a great option for restaurants and cafes of all kinds. Toast enables restaurant owners and managers to make well-informed decisions that are backed with plenty of data. Additionally, the integration between the front-of-house and back-of-house is pretty darn good. Not to mention, their commitment to customer service is a huge plus. 12

13 While it is a great platform, the one thing we would definitely change is the ability for customers to choose their own credit card processing option. Regardless of which credit card processor a restaurant chooses to utilize, it is extremely important to compare the rate they provide with the other available options on an annual basis. Those who opt for the Toast Restaurant POS system will not have this option available so it s critical to do plenty of research before making a decision. 13