Running a waitlist vs. accepting reservations: Which is best?

Skip the article and turn takeaways into action by scheduling a call with our team.

As restaurant owners and managers know, managing guest flow and table turnover can have a major impact on all aspects of a restaurant’s success. From customer experience to the bottom line, the ideal scenario is table turns that give guests enough time to enjoy their meal without lingering too long afterward. As professionals, your job is to set the stage for that ideal experience, many times starting with the initial contact guests have with your restaurant.

Below, we break down the benefits of each model to help guide you in determining which is best for your restaurant’s bottom line.

Restaurant manager extending hand for a handshake.

Running a waitlist vs. accepting reservations

In today’s digital age, the choice between running a waitlist vs. accepting reservations isn’t just about preference—it’s about optimizing your operations and enhancing the guest experience. Let’s explore the pros and cons of each model to help you make the best decision for your establishment.

Accepting Reservations: Advantages and disadvantages

Reservations have been a convenience typically offered by higher-end restaurants for decades. Although in today’s tech-driven society, reservations are becoming a tool used by restaurants of all demographics. Reservation systems, like Yelp Guest Manager, offer both guests and restaurant staff specific advantages, like:

Predictable service flow: With reservations, restaurant management can better predict staffing needs and prep work. Your front-of-house team knows exactly how many guests to expect and when they’ll arrive, allowing for more streamlined service.
Reduced wait time: Guests appreciate knowing they have a guaranteed table at a specific time, eliminating the uncertainty of wait times and improving the overall dining experience.
Professional image: Some establishments use reservations to create an air of exclusivity and sophistication, which can enhance their brand perception.
Personalized service: Higher-end restaurants can use reservation systems to track customer preferences and important dates, allowing them to create a more personalized guest experience.

However, reservation systems aren’t always the best solution and come with specific challenges as well, including:

No-shows and late arrivals: Even with confirmation calls and text message reminders, no-shows significantly impact revenue. Last-minute cancellations can leave empty tables during peak hours that could have been filled by other guests.
Multiple reservations: Some customers will make multiple reservations to accommodate any changes in their schedules, which results in empty tables that could have gone to paying guests.
Reservation platform costs: Some reservation systems charge cover fees per-seated guest, which can affect your pricing strategy and profit margins.
Less flexibility: Reserved tables can’t be used for walk-ins, potentially limiting your ability to maximize table turns during busy periods.

Running a waitlist: Pros and cons

A "please wait here to be seated" restaurant sign.

Modern restaurant waitlist systems have evolved far beyond the traditional paper list at the host stand. Digital waitlists offer convenient management features that can transform your operations and set the tone for a positive guest experience, even when there is a longer-than-normal wait time. Advantages include:

Joining a waitlist remotely: Through products like Yelp Guest Manager, guests can join a restaurant waitlist remotely to help cut their wait time once they arrive. This creates a better guest experience and reduces congestion at the host stand on busy nights—a benefit to all restaurant staff.
Real-time updates: Waitlist apps automate queue management by calculating estimated wait times and sending SMS messages to guests when their table is ready, which is an advantage for both the customer and the restaurant’s host stand.
Canceled party notifications: Waitlist apps also allow guests to “leave the line” digitally, which can help expedite the process for hosts and other waiting guests during peak hours.
Flexible seating: Without reserved tables, you have more freedom to accommodate different party sizes and optimize table turnover.
Data-driven insights: Digital waitlist platforms provide valuable analytics about average wait times, peak hours, and table turns, helping restaurant managers make informed operational decisions.

While modern waitlist management systems offer several advantages, some drawbacks still exist, no matter how advanced the system may be, like:

Guest frustration: During busy periods, longer wait times can lead to disappointed customers who might choose to dine elsewhere. While real-time updates through a waitlist app are convenient, it can be a deterrent during busy times if the wait is exceptionally long.
Less predictability: It’s harder to forecast staffing needs and food prep when you don’t know exactly how many guests will arrive.

Finding the sweet spot: Hybrid waitlist and reservation solutions

If you’re trying to decide whether to run a waitlist or accept reservations, consider blending both systems. Yelp Guest Manager offers both online reservation and waitlist options. Tables can also be listed on Yelp, Google, Apple Maps, and various social media platforms, offering multiple ways for guests to find your restaurant and secure a table. The flexibility of Yelp Guest Manager gives your staff the freedom to focus on the in-person guest experience and streamline their operations. Here are a few examples of how to build the best hybrid system:

The 50/50 rule: For casual dining, it’s best to offer different opportunities for different guests. Allocate 50-60% of tables for reservations on Yelp Guest Manager, and keep the remainder open for walk-ins. This offers an option for guests who want to plan ahead, while maintaining flexibility for spontaneous diners.
Planned dining experiences: Fine dining establishments may benefit from operating primarily as reservation-based but using a digital waitlist for last-minute cancellations and no-shows. The waitlist feature helps fill empty tables quickly through POS integration and real-time updates.
On-the-fly dining: Quick service restaurants typically rely on waitlist-based systems during peak hours but accept reservations for large parties and during off-peak times. Use a waitlist system that integrates with your POS system for seamless table management.

Technology that streamlines guest management

Restaurant staff use a table management system to organize seating and improve service efficiency.

Today’s restaurant technology offers numerous options to streamline guest management and optimize restaurant operations. Let’s check out four technologies that can positively impact your guest management systems:

Waitlist management app: Products like Yelp Guest Manager provide accurate estimated wait times and send automated texts to guests when their table is ready.
Digital check-in options: Products like Yelp Kiosk, which integrate with Yelp Guest Manager, allow guests to check in at self-service kiosks or iPads at the host stand or online through the restaurant website or app.
Table management systems: Integrates with your POS system for better service flow upon seating, allows for online ordering or bill payment through a widget, and offers guests the opportunity to provide feedback about their dining experience.
Automated voice answering: Products like Yelp Host can answer calls to assist with reservations, share current wait times, handle spam, and provide freedom for your staff to focus on guests.

Things to consider when choosing a service model

A bustling restaurant dining area filled with guests enjoying their meals.

While there are several service models to consider, your guests’ preferences and staff’s needs should be the main factors in determining which option to choose. Consider these factors:

Restaurant style: Fine dining typically benefits from reservation-heavy systems, casual restaurants often thrive with waitlist-focused approaches, and family-style restaurants might prefer a hybrid model.
Customer demographics: Business crowds appreciate the ability to make reservations for a guaranteed table, younger diners may prefer the flexibility of a digital waitlist, and restaurants that thrive on tourists typically benefit from a hybrid option.
Operational capabilities: Staff experience, training, and front-of-house management style can greatly impact your decision. It’s also important to examine your technology and determine which systems can sync to streamline operations.

Find the right solution for your restaurant

There are pros and cons to both accepting reservations and running a waitlist. It’s imperative to examine your restaurant’s unique needs, clientele, and operational goals to choose the right guest management approach. While weighing your options, don’t forget that Yelp is here to offer assistance.

Yelp Guest Manager and Yelp Kiosk can provide the help you need to ensure your tables are always filled, your guests are satisfied, and your bottom line is healthy, no matter which model best suits your restaurant.