The Importance of Repeat Customers for Restaurant Businesses

The Importance of Repeat Customers for Restaurant Businesses

Restaurants are businesses that have high fixed costs , its a business that can be better described as feast or famine. A restaurant has costs such as rent, electricity, cable, gat, etc that end up costing a fortune and as a result, if a restaurant doesn't bring enough revenue to break even, then you're losing a lot of money. 

Revenue in restaurants is key, Restaurants do crazy deals to get more revenue in the door. A lot of restaurants offer discounts or partner with discount sharing sites such as Groupon or LivingSocial. Such services take around 20% of the total bill cost as a "Marketing Fee". Discount partners is just an example of the lengths restaurants will go to get more revenue in the door, but there are solutions to having a stable revenue model and increasing sales. Focus on customer loyalty 

Returning Customers make up over 50% of a Restaurants revenue

In a study done by the National Restaurant Association  - Repeat customers are vital to the success of a restaurant business. 

  • 71% at Quick Service Restaurants
  • 68% at Fast Casual
  • 64% at Casual Dining
  • 63% at Family Dining
  • 51% at Fine Dining 

Keeping customers happy is very important, and restaurants should always strive to focus on customer loyalty. 

 

 You can read more restaurant writings on our website -- Saborpos.com

The Restaurant Study done by the NRA Link -->Here

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