Month: September 2018

NO PRICING STRATEGY

Tuesday, September 25th, 2018

It´s important to think clearly about how you want to price your menu.

You have a choice …. Do you want to be seen as high end? Do you want to price yourself equal to your main competitors, or do you want to have low prices in the hopes of driving traffic?

 

There are three basic pricing strategies you can use depending upon your market.

1. UNDER MARKET — This is the low price strategy. I think the key to success with this strategy is to offer high value at a low cost.

2.  AT MARKET — In this strategy, you are competing at the same level as your peers so you have to offer a compelling USP, high food quality and above average service to attract customers.

3. ABOVE MARKET — In some ways this is similar to the Under Market strategy. You are using price to distinguish yourself. I think in this case, you have to deliver exceptional quality and service to reinforce the value implied by your higher price.

 

How would your business fair in The Price is Right? 

Let me know in the comments below which pricing strategy you prefer. 

 

DOES YOUR RESTAURANT OFFER PARKING?

Thursday, September 13th, 2018

 

This is not always the case … but more often than not, if customers cannot find a place to park, they may not come to your restaurant or at the very least; you are limiting your customer base.

 

So I think that parking needs be taken into account before the lease is signed.

  •  Are spaces included in the lease?
  • Are they adequate to what you will need?

If there is no dedicated parking, count the spaces immediately surrounding your location.

  • Are there enough?
  • How much competition is there for those parking spaces?

 

Is there a public car park that’s close enough to become part of your parking?

Is the public transport good enough to make parking less of a concern?

If ‘none of the above’ apply to you … consider if you will you have enough pedestrian traffic to offset any lack of parking?

Let me know in the comments below your thoughts on this blog post!     

NOT ON TREND

Thursday, September 6th, 2018

Restaurants, like people, have lifespans. They have beginnings and ends. Most restaurants die out before they are 10 or 20 years old.

One reason that a restaurant fails is when the owner has the unreasonable and incorrect belief that they never need to change.

 

 

Just as a restaurant needs a physical update every few years, so does the overall concept as foods fall out of favor, tastes change and what people find fashionable or interesting years ago is now old and stale.

Sometimes an update can be simple such as printing a new menu with a handful of new items. Or adding a new mixed drink program. Or offering live music on the weekend.

Other times, a more extensive revamp is required to keep the brand relevant. This may include a new logo, new interior decoration, a new menu and more.

I guess the moral of the story here is to not take what you have for granted and always keep looking at ways to improve.

 

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