Thursday, February 19, 2009

How To Put A Visor On A Lacrosse Helmet

MENUS A 6 EUROS TO WEATHER CRISIS CRISIS AGAINST

This is still definitely a tough winter for the hotel in Alicante. The most obvious evidence of this, I found over the past where I've seen several places in Alicante offer a menu of the day for 6 to 7 Euros. Looking back I think, that from the years 97 and 99 had not seen at this price menus.

personally think that the strategy of lowering prices at these levels in a desperate attempt to increase sales and weather the crisis can not offer long-term success. Consider that if the 90 and it was difficult to get return to a menu of thousand pesetas, is surely much more difficult if not impossible, to defend this price almost three decades later. A simple costing

quickly shows that selling a menu of seven Euros, the prices paid for raw material to date, it is impossible to obtain an operating margin that will address all the costs involved in a successful catering business. Take this example reference. (Daily menu with starter, main course, dessert, bread and a drink.)



COST SHEET 1 muffin bread € 0.25

First course.
(
Average cost of a hot dish, or
a salad or a cold starter) Cost Price € 1.50



Second course (meat or fish of some
6, € a kilo, paying about 150 Gr
per serving plus the fitting) cost price € 1.50


Dessert (Media drawn between the value of
a piece of fruit or a scoop of ice cream or dessert
economic homemade flan
type) Cost Price € 0.70


drink.
(average cost of a glass of wine,
or a soda or mineral water) cost price of € 0.60


________ TOTAL COST OF RAW MATERIAL
€ 4.55 RETAIL PRICE € 6.50
€ 2.5 GROSS PROFIT GROSS PROFIT PERCENTAGE
30%


immediately obvious that the resulting operating margin is totally inadequate to cover the costs incurred the sale of this menu as water, electricity, wages, taxes, social insurance, consulting, troubleshooting, cleaning materials, etc, etc. If it is difficult to cover expenses in these circumstances, the fact of a profit no matter how small it is impossible.

Thus, it is possible that many of the establishments who opt for this strategy are the possibility that the more menus of 6 Euros sold more money lost. It is true that we are going through difficult times require new initiatives and strategies for business collections are maintained, but these strategies have to consider the profitability of the products offered
is adequate. You have to take this as an opportunity to manage better and more accurate, something that previously I was not absolutely necessary, now it is.

must focus efforts on ensuring the continuance of the business rather than short-term survival, and for it to focus on the three most important things restaurant: the team, customers and quality. The lower the price so drastically surely resulting in decreased quality and this coupled with the low profitability of this cuisine can not bring anything good.
is then propose more economical consumer choice, but maintain a good level of occupancy without having to bear an excessive fall in margins, half rations, media menus, combo platter of the day, economic tasting menu, family and group discounts, promotions for dinner on weekdays, so ultimately find solutions to recover lost customers and avoid lose most simple issues or offer price.
If we redesign our culinary adapting to the times of crisis we need to do to analyze the demands and consumer trends, focus on customer behavior, as with the current situation that has changed their demands, expectations and above all their spending capacity: How much would you spend
consumption at all times? Want
dishes to share?
Looking for half portions, menu or a dish?
"The most important thing is the price? Want
offers, promotions and discounts?
What kind of food you looking for?, Do you prefer quantity or price?
To achieve this we ask the following questions: What services
I lost customers? "Dinner weekdays, dinner weekends, lunch a la carte menu of the day ....? How many customers have I lost?
How has spending per customer at any time of consumption? How to spend less? Where to meet: the dessert wines, extras, more economical dishes ...?
What dishes have fallen in demand and which have grown proportionally? Do you have to do with the price? Does the current mix of demand generated by the same level I% gross margin?
My personal cost is right for each service? Do I have to adjust the schedules?
My "foodcost" is correct? Am I buying it? Should I check the purchase price? Do I have too much product in stock? Do I work with competitive suppliers?
My value proposition is competitive with my direct competitors? Where I can improve it?
Do I have to increase my promotional activity? What tipo de promociones puedo hacer que sean interesantes para los clientes y no perjudiquen en exceso mi rentabilidad? ¿Capto clientes nuevos? ¿Mi ocupación es superior a la de mis competidores?
¿Mi servicio se ajusta en calidad y tiempos a lo que desean los clientes? ¿Y mi oferta gastronómica? ¿Somos consistentes en la calidad? ¿Cuál es el índice de repetición de mis clientes habituales?
¿Mi equipo humano esta motivado y capacitado?
Por otra parte la manera mas eficaz de optimizar los gastos de nuestro negocio es prestando mucha mas atención en puntos que antes no reparábamos, o so lo hacíamos era de pasada como el ahorro de energía y agua que pueden hacer bajar nuestras utility bills, create and monitor a monthly pension income statement, the monthly inventories and updating or building in case of absence of technical and cost to all our dishes and menus.

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