If you are managing a restaurant, then you already know that how challenging it is! Specially when it comes to maintaining margins. So, the question arises that how can you keep your restaurant standing when the economy gets rocky? The F&B industry has been feeling the pain of the sluggish economy and it’s unlikely to get better soon. So, how do you maintain your profits? The most ambitious restaurateurs feel that they’re not going to sit back and wait.
So, this time we’ll tell you about how you can maintain margins along with serving your customers with amazing service.
Know where to cut and it better not be marketing
Cost-cutting might come handy when you are maintaining margins but make sure that you don’t stop investing in marketing. Investing could be in terms of money or in terms of time.
At Schlesinger’s Chop House, a fine-dining steakhouse in the Virginia shipyard town of Newport News, Flo-Ann Weaver, the general manager, said nothing’s more important than providing excellent service, but you have to get people in the door in order to do that. So Schlesinger’s, which opened in 2008—during the worst of the most recent recession—has increased its marketing efforts.
You’ve got to think of different ways to do it. If people who used to eat out four or five times a month are now eating out two or three times a month, when they do, they want to feel like they’re getting good value. Service is number one. People also want cleanliness, great food and large portions.
Margins can be maintained easily if you to go with social media marketing. It’s free of cost, might take a bit efforts but definitely worth it.
Sweat the small stuff
You have to sweat the small stuff because food prices are rising, and you have to keep your price point down. You have to be on your game, or you’re not going to make it. When you are buying the raw materials, make sure that they are fresh so that they can last longer.
Actually, “sweating the small stuff” has never been more important than it is now, and it means different things to different restaurants. At fine-dining restaurants, is the busboy refolding a cloth napkin for a patron who left his table to go to the bathroom? Is the waitress at a casual restaurant refilling a water glass without being asked? At fast-food restaurants, is a crew member assigned to wipe ketchup off the tables?
No business can run successfully unless it’s backed by the loyal customers and employees. You can run loyalty marketing programs for your customers. These programs often offer special deals to the general public, but as the name implies, they target a business’ most loyal customers, not coupon-clippers driven more by price than by food and service.
Your regulars are the better customers. They’re more likely to be around longer, so you want to reward them. The loyalty program is for them.
For maintaining margins, restaurateurs are always looking for innovative ways to make money. To get the customers into your door every time, without having to compromise with the quality of the service is the goal, isn’t it?