We're Still Debating Whether Or Not Free WiFi Is Good For Business?
from the wasn't-this-settled-already? dept
We thought that the whole debate over whether or not free WiFi helped businesses like restaurants had been settled years ago when restaurants like Panera shared some data on how much more business it drove. However, it seems some are still resisting this, so we get yet another series of articles asking whether or not free WiFi is good for business. There are definitely more businesses offering it these days, so that should be something of an answer itself. But it's surprising to see someone in the article include that old line about how restaurants are worried about people clogging up its tables. We've seen reports in the past showing that free WiFi actually tends to bring in people during off-peak times. As for the peak times? While there may be some freeloaders, it's not all that pleasant for them to hang out in a crowded restaurant or cafe either.
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Filed Under: business models, free, freeloaders, restaurants, wifi
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The Third Place
Tom Gergets, director of technology and infrastructure for McDonald's U.S. operations, said in the Network World article that "people are using restaurants very differently these days as lifestyles have changed. We've really had to contemporize and create modern, relevant in-restaurant experiences."
I think some restaraunts are realizing that if they can be a gathering place instead of just a place to eat -- the so-called "Third Place" -- they have the opportunity to make more money. It seems rather dumb to throw potential customers out of your place of business because they're using some of your bandwidth and don't happen to be buying anything at that particular moment. Why wouldn't a business owner want somebody in their place who at least has the potential to buy something rather than them going somewhere else? Is space really that big a deal? If so, buy/rent a bigger place. I would think that too many people in your restaraunt is the kind of problem you want to have.
For example, I have a Panera bread near where I live. If I go there earlier on a weekend day, I'll almost always see a group of students meeting there. It's perfect for those group project assignments. Everyone knows where it is, it's a neutral area, and you can get coffee and food while you're there, and you get free WiFi. Sure, you might have someone who "freeloads" and doesn't buy anything, but chances are someone is going to buy something. It's the proverbial win-win.
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Re: The Third Place
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thats called greed/laziness
Sit someone in one place for 6 hours, even if its wifi mooching, and they're going to buy/eat/drink something. Heck, the fact that americans are supposedly getting fatter and fatter should guarantee that even moreso.
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Re: thats called greed/laziness
Nice. Sounds like a way to describe a modern day Wimpy from the old Popeye cartoons...
"I'd gladly buy a hamburger from you on Tuesday for some free WiFi today."
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Re: Re: The Third Place
I get the feeling, based on reading the article, that it's just a matter of time before most places offer WiFi for free. It's related to the whole discussion around micropayments. Even if McDonald's charged a very small amount for its WiFi, Panera is still free and therefore much less hassle. As in, the difference between 0 cents and 1 cent is incredibly more than the difference between 1 cent and 2 cents. I think the next step for McDonalds or any business that takes this "third place" concept seriously is to have free WiFi, especially as the number of WiFi capable devices continues to grow.
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Re: Re: The Third Place
I love my town.
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Re: Re: The Third Place
that said, I still hate McDonalds food and I haven't been to one in months, if not years.
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It certainly has been working as an incentive for me for as long as I remember (but then again, I am getting old, so my mememory... oh, never mind :)
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free
I have met some wonderful folks at locations with free wi fi and have had some great food / drinks because I only went to the place of business because it had free wi fi.
BUT if your free wi fi connection is slow I'm outta there and no matter how good your food and or service is I'm not staying.
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go backwards... great idea!
1. All file-sharing: bad. 2. Piss off and confuse website visitors by having all links open in new window so they can't leave our precious site. 3. Charge for wifi for new revenue stream because manager can't stand freeloader in cafe.
These businesses will gradually lose market share or go extinct.
Why not have some fun with the wifi thing? If you have a freeloader, just get some staff to stand right there and start various forms of ridicule until they leave! Just standing there with a dirty look is a good start. Or even just run the vacuum cleaner right next to them so their precious music is inaudible. If the cement-head doesn't grasp that, move up to making jokes about them, then finally stick your face right up to their monitor and loudly say "not looking at your usual child porn today?"
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Re: go backwards... great idea!
true customer service is a dying art form. it used to be that people would pay a higher price for the same quality just because the customer service was outstanding. we have a restaurant where the staff knows all the regulars by name and what their usual food and/or drink is. they are also nice to the people who just come in to sit because they sometimes order stuff and don't cost them anything, but it is the only place like it around here, why have people lost the view that everyone is a prospective customer and to be treated with the utmost courtesy and respect?
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I mean come on
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Bringing in people on off-peak hours is good; driving away people at peak hours is not as good. But this is something that could be controlled by the management; other places I visit post notices that patrons are limited to half an hour without ordering anything during peak hours, and that seems like a good compromise.
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wifi in chain cafes and restaurants
I go to our local mom and pop coffee shop and connect for free.
I echo everyone else saying it is stupid to pay for wifi when I pay for drinks.
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On the other hand...
a place to sit while I consume my {Coffee,Lunch,...}
I will (and do) move on to another place. Where I work,
the businesses are jammed during peak times to a ridiculous
degree. If I was managing one of these places I'd be sorely
temped to provide WiFi only during non-peak times.
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Free WIFI as a consumer choice
Some offer free WIFI but ask you to get their password - that is fine too. But the free is what I seek and use to consume.
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Businesses still think about Wi-Fi costs...
One thing that I maybe didn't draw out enough in the article was that -- whether right or wrong -- businesses (especially the large chains) feel that SOMEBODY has to pay for the Wi-Fi service -- they feel that it's expensive to set up and maintain Wi-Fi networks and access points and then they get into questions of: who is going to be the defacto help desk if the network goes down or there's some type of security-related issue? Their internal IT department? Joe working behind the counter? That all costs money. Which is why the majority of big chains have outsourced the entire operations (networks, help desk) to third parties. They want to offer the service (they know it's important), but they just don't want the perceived headaches that go along with it.
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wi-fi access in restaurants
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Supply and Demand
As is customary on Techdirt, I'm now going to patent that system and sue anyone who tries it.
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