Felipe Athayde’s Post

Why are restaurant consumers looking for more quality and a brand led experience? At the recent MCA Restaurant Conference in London, Katie Gallagher, Senior Insight Manager at Lumina Intelligence - Food & Drink presented extracts from their new report on the Restaurant Sector. This included an overview of the sector, the impact of the cost of living crisis, menu tracking and trends and current menu management strategies and much more.  Katie has kindly shared this presentation - Enjoy! #hospitalitysector #strategy #marketing #research

Every restaurant is a unique ecosystem and pricing should be unique to your restaurant. I’m often asked ‘How do you go about pricing wine and spirits for your restaurants?’ On the surface this is a simple question, but the reality is far more complicated. Traditionally the metric of cost of goods sold (COGS) is the North Star for most operators. ‘I’ve budgeted to run a 24.6% blended beverage COG so I’ll mark everything up 4x’. This is COG strategy. The problem with this is operators chase % rather than $. COG strategy will ALWAYS hinder growth and profitability. There is an alternative - PROFIT strategy. Give your operation a competitive edge, cultivate regulars and increase profit.

Let us craft a bespoke strategy that elevates your average order value (AOV) to new heights and sets your restaurant apart in the crowded marketplace. 🚀 Swipe left & Unlock the proven methods to boost your AOV and transforming your restaurant's profitability into a gourmet masterpiece. But remember: it's not just about following the recipe; it's about tailoring it to suit your unique flavor profile. 🌟 This is where EZ steps in. . . #AOVStrategies #ProfitMaximization #TailoredSolutions #EZConsultancy

Last week, our partner Stephan M. Tanaja and I discussed how menu engineering is a key element to optimize revenue in the restaurant business. A recent McKinsey study on Revenue Growth Management highlighted similar opportunities that we often see with our F&B clients, for example: ☕️⁠ A coffee brand might focus on increasing its prices on smaller-size beverages as a means of encouraging customers to trade up to larger sizes.
 🍔 A burger brand may choose to raise prices on premium offerings, noting that customers of their lower-priced offerings are the most price sensitive.
 🍝 ⁠A full-service restaurant brand could limit unique SKUs or reduce premium ingredients in favor of classic ones to maintain sticky price points for core traffic-driving items. See the comment section below for the link to the study 👇🏼

Like it or not, eating in the comfort of home can be more attractive than the hassle (& expense) of dining out, pushing restaurants to meet the consumer in new ways. Restaurant licensing into the retail food & beverage space isn’t new, but its importance has soared in recent years.It’s crucial for restaurants to be where consumers shop, providing more ways & occasions to experience the brand. It’s what not only helps build smaller restaurant brands but reinforces recognition of established restaurants in unexpected ways. And what restaurant brand doesn’t want to multiply its market share, purchase power and profitability? Read more (link in comments below) and follow our series of posts. . . . #collaboration #BrandLicensing #Brandrepresentation #BSLG #BusinessExpansion #strategicpartnerships #elevateyourbrand #broadstreetlicensing #growwithlicensing #broadstreetlicensinggroup #brandlicensing #brandlicense #licensing

Uncorking Opportunity: 🍾 The Benefits of a By-The-Glass Program in Boosting In the ever-evolving world of wine, a by-the-glass program on a restaurant's wine list is not just a convenience; it's a strategic move that benefits both patrons and owners alike. 🥂 A by-the-glass program opens up a world of possibilities for patrons eager to explore different wines without committing to an entire bottle. It provides a low-risk opportunity for customers to venture beyond their comfort zones, encouraging them to try new varietals, regions, or wineries. This diversity enhances the overall dining experience, allowing patrons to tailor their wine choices to complement different courses or simply to suit their evolving taste preferences. Unlike purchasing a full bottle, opting for a by-the-glass pour is a more affordable way for patrons to experiment with premium or unique wines. This affordability encourages adventurous choices, fostering a culture of exploration and creating a positive association between the restaurant and the discovery of new and exciting wines. A by-the-glass program allows restaurant owners to manage inventory more effectively. Instead of committing to selling entire bottles, owners can allocate a portion of their inventory to by-the-glass options, reducing the risk of overstocking or having to discount full bottles to clear inventory. This targeted approach ensures that every pour contributes positively to the bottom line. We went more in depth on the topic in our first blog post. Check it out at: https://lnkd.in/gXjM_Xhw Cheers! 🍷

Interesting video/report about specific restaurant chain…declines. What common links/theads do you find for these brands restaurant chains opeating in challenging times, to say the least. Among others, I note, (1) not relevant-distinct to the times and especially mindset of GenZ type consumers, (2) the system collapsed during and could not adapt to the post-Covid situations that affected consumer (new…) buying patterns and finally, (3) menu (let’s call it…) non-approachability-hardly-any innovation mentality. You? What do you think? https://lnkd.in/gtd3y6Fg

The Cheesecake Factory's Q1 revenue hit $891.2M. Their strategy of diversifying with brands like North Italia and Culinary Dropout is driving results. Find out how they keep winning in the competitive food industry https://bit.ly/3QY1ICx #CheesecakeFactory #MULO #FoodIndustry #GrowthStrategy

Transform your culinary vision into a market sensation with Alphabets Group. Unlock tailored strategies for your restaurant or food business that blend trend analysis and innovative concepts, ensuring every dish serves up success. Connect with us to elevate your operations and efficiency. Taste the future of food industry excellence today! #FoodBusinessGrowth #RestaurantInnovation #CafeTrends #BarManagement #FoodProductDevelopment #MarketResearchCuisine #TrendAnalysis #FoodIndustryExcellence #AlphabetsGroup #CulinarySuccess"

🌟 Restaurant Promotion Showdown: A Lesson in Value Perception! 🌟 🍽️ Scenario 1: Your Classic Discount Deal • Imagine your favorite $60 meal for two. • Restaurant #1 offers a straightforward deal: 25% off! • Savings? A cool $15. Sounds good, right? 🥂 Scenario 2: The Value Perception Game-Changer • Now, picture the same $60 meal at Restaurant #2. • But here’s the twist: Instead of a discount, they include a free bottle of wine (menu price $25) and a delicious dessert for each diner (menu price $6 each). • Perceived savings? A whopping $37! 💡 Behind the Scenes: • Cost Analysis: Restaurant #1 loses $15 straight from their cash register. • Clever Economics at Restaurant #2: The wine? Costs them just $8. The dessert? Merely $1 each. Their total spend? Only $10! 🚀 Business Impact: • Customers at Restaurant #2 feel like they’re getting a 247% greater value compared to Restaurant #1. • Both the customer and Restaurant #2 come out as winners. The customer feels delighted by the perceived value, and the restaurant enhances customer satisfaction without breaking the bank. 📈 The Marketing Takeaway: • Restaurant #2’s strategy isn't just about offering more; it's about creating a perception of higher value. • This approach can be a game-changer in positioning your business as a market leader. It’s not just what you offer; it's how you make your customers feel about what they receive. 🔥 For Business Owners: • Ask yourself: Are you playing the straight discount game, or are you ready to rethink your strategy to create a perception of greater value? • Sometimes, it's the art of the offer that wins the customer, not just the numbers! 👉 Share your thoughts! Which approach would you use in your business? #BusinessStrategy #ValuePerception #MarketingTips