Restaurant operators are still grappling with how to increase sales. Restaurants have a profit margin of 3-8 percent on average. Restaurants are known for their high operating costs. The COVID-19 outbreak added another element of uncertainty to an already shaky profit margin.
It may appear that figuring out how to improve restaurant sales is a difficult task, but don’t overthink it. Even a slight increase in restaurant sales will help to boost profit margins and keep you on track for success.
Get to know your brand.
“To know thyself is the beginning of wisdom,” Socrates famously stated. We got some great branding advise from the philosopher (outside of a cliche caption for cheesy Instagram posts).. Know what your brand stands for. Understand what your brand is not. Make the necessary adjustments to your strategy.
McDonald’s makes no attempt to provide table service. Takeout may not be available at a high-end steakhouse in your neighbourhood. These choices would be out of character for them.
Consider your brand when you devise a strategy to boost restaurant revenue. Don’t pretend to be something you’re not. Don’t make an effort to appeal to every possible buyer. Consider your brand and your target market. Then, to fit you and your target customer, devise a killer marketing approach.
Make the most of your team’s assets
After that, think about where your team excels. To begin, make a list of who will be on your squad. Who can assist you with your marketing efforts? Is it just you who’s experiencing this? Is there a marketing department at your company? Do you have any tech gurus or social media gurus on your team?
Take some time to think about your team’s strengths and whether you have the resources to recruit marketing aid from outside sources. If it’s just you, that’s fantastic. It’s also fantastic if you have a dedicated marketing team. Knowing your team’s capacity and strengths will allow you to efficiently utilise your team’s time and enhance restaurant sales.
Make the necessary preparations
You can build a plan to reach your restaurant revenue targets once you’ve examined your brand and your team’s capabilities. Taking even a few minutes to think about what makes the most sense for your restaurant will simplify the process of increasing sales.
When deciding on new marketing methods, keep three things in mind:
Your company’s identity
Your group’s advantages
Your marketing objectives (i.e. boosting restaurant revenue)
Determine which tactics for expanding restaurant sales will benefit your business the most, based on your strategy.
Collaboration with delivery and reservation services is a good idea. In the last few years, the use of food delivery apps has skyrocketed, and it shows no signs of slowing down. 46 percent of those who use these apps said they used them to hunt for suggestions when they didn’t know what to order. Because almost half of customers are willing to explore new restaurants, getting your business on these apps is an excellent marketing approach for meal delivery services.
Organize gatherings. You can use events in a variety of ways to attract new customers. For an event, collaborate with another local business to engage with their customers. Make it a night with a theme. Book parties and celebrations in a private area of your restaurant.
To reach out to new customers, use social media. By organising freebies, you can encourage your fans to share your posts. Or, in exchange for a feature, encourage local foodie accounts to give you a try for free. Maintain a constant and engaging feed to entice potential clients to test your company.
Make your Google Places listing stand out. Every month, Google receives approximately one billion restaurant queries. Optimize your Google company listing so that relevant searches can lead to new customers. Make sure all of your company’s information, such as hours, website, and phone number, is up to date. This additional information will assist potential consumers in finding your restaurant and determining when they should visit.
How to increase restaurant revenue by keeping existing customers
New customers are fantastic, but gaining them necessitates a significant amount of time and money. According to Narvar, getting a new customer can cost anywhere from five to twenty-five times more than keeping an existing one. What can you do, though, to keep your present customers? We have a few suggestions for you.
Increase table turnover and service speed. The number of parties you serve divided by the number of tables you have equals your table turnover rate (example: 30 parties/10 tables = 3 turnover rate). It’s a terrific method to keep clients happy and serve more by training your team on how to shift tables faster and implementing technologies that can aid with speed of service.
New ordering mechanisms should be implemented. According to Statista, there has been a 66 percent year-over-year decrease in people dining in restaurants as of January 2021. Customers’ interactions with restaurants have changed as a result of the COVID-19 outbreak, but that doesn’t mean you have to lose business. Try to give your customers a variety of ways to enjoy your cuisine. If you haven’t already, consider adopting mobile ordering, curbside pickup, delivery, or takeout options.
Make a customer loyalty programme. Introduce a digital loyalty programme or stick with a punch card method. According to Bond, most consumers (71%) who use loyalty programmes consider them to be an important component of their business relationship.
Knowing how to increase restaurant sales takes planning. Consider your brand and your team’s capacity as you craft a plan.
Start by gathering info on your brand and your customers. Then, grab a few ideas and try them out. A successful strategy takes some experimentation. Be open to trying a few things if one idea isn’t working. Now, go tackle your restaurant sale like a pro.
