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Restaurant Profitability Tips .pdf

Original filename: Restaurant Profitability Tips.pdf
Title: Fusion SEO- Restaurant profitability tips.docx
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Restaurant Profitability Tips
Protecting your profit margins protects your business. You have to constantly watch
your profit line in order to be successful and profitable in your business.
These 8 tips will increase your restaurant’s profitability and help keep your doors open!
1. Make your menu count
Your menu is your primary selling tool. Make sure that it is properly costed and that the
projected product mix delivers desired blended cost of goods results. Also be sure to
use item placement and callout boxes to drive sales to items that represent the brand
and that deliver profit. Don’t be afraid to team up with a consultant for ensuring your
menu is perfect- the return on investment will be immediate.
2. Buy the right food items for your menu specifications
One top grade way of increasing profits is to analyze the menu and purchase high
quality ingredients where it matters. In dishes where it doesn’t influence taste, texture or
quality, conventional ingredients will save you money and improve profitability.
3. Purchase in bulk for reduced costs
Negotiate with food vendors to score better deals on items that you can sell at a
premium. Make sure these items are well promoted
4. Skip the automatic water service

Serve tap water on request only. Instead promote sparkling water, filtered water, tea,
coffee, and alcohol. It’s simple, but reducing water service to “request only” will increase
your sales and profits.
5. Be sure to offer a round menu offering
Include the options of add-on beverages, salads, appetizers, entrees, side items, addon toppings and desserts. On table promotional tools like inserts, table tents and
promotional signs help promote rounded offerings, but pre-shift meetings will ensure
that servers are promoting and selling effectively.
6. Market your cocktails
Effectively promoting and marketing your cocktails offerings should be routine and
systematic. Cocktail lists should be a prominent part of your menu. Of the three
categories (liquor, beer and wine) liquor out performs wine and beer as the most
profitable item. Educate your servers to sell cocktails and you may land a pre-dinner
beverage sale as well as a glass of wine to marry with the entrée.
7. Turn slow days and hours into cash cows
Every business has a few hours or days that are quieter than the rest. Turn those times
into revenue boosters by promoting specials, events or highlights for that specific time.
Don’t let your business stay open without customers - put your business to work!
8. Educate serving staff
Serving staff should be able to tactfully promote profitable items, suggest dessert and
effectively manage a flawless guest experience. Suggest spiels or trigger phrases that
servers can use to help sell more profitable items. These additional sales make a big
difference for their income as well as the business’ revenue and they're easy to execute.

Blue Orbit Restaurant Consultants

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