Owners, it's time to evaluate your relationship w/ Purveyors

It's time to sit down and reevaluate all of your purveyors, set up meetings with them and their supervisors to discuss your terms, rates and conditions. Meet with all food brokers / manufactures of your top 10 highest usage items to negotiate rebates. Do not sacrifice quality, if anything evaluate your items to ensure you are getting the best you can. Food quality is still an expectation of our guests, not a goal.

Be Encouraged
KB

How Do You Build Sales in a Down Market?

How do you build top line sales in a down market? In any market you build sales simply by building relationships with your staff and your guests. As the owner / proprietor of a restaurant people what to “know” who is in charge. Remember your guest’s names, their likes dislikes, their desires etc. Get to know your guests on a personal level. Show them that you care about them and in return they will show you that they care about you and frequent your business more often. Remember the TV show Cheers? “Were everybody knows your name” Be that restaurant, encourage your staff to do the same.
Encouraged Ken Boyle

Can This Restaurant Be Saved?

Regardless of how you got yourself into this position, there is a process that will help you see your way out, and ad in making the right decision for you and your business. The following steps if followed will properly direct your steps:

1st – You Must conduct an honest evaluation of your business. Remove the emotion from the table, brutal honesty?

2nd - Get Honest feedback from Guests! DON'T get defensive, thank them for their honest feedback Ask Guests- What they think of your restaurant? How are you perceived? What is needed to increase the number of visits? Why do they choose to come to your restaurant? Ask what they think about your location? If you are blaming your Employees remember Employees reflect leadership.

3rd - Are you consistently executing the basics? Consistency with Food Quality, Guests Service, Is your restaurant consistently clean and organized? Is your restaurant a good value for guests? When guests first walk in is there a positive feeling? Guests want restaurants to be predictable. Consistent - Food Quality, Guest Services, and Cleanliness Organization are the Big 3.

4th - Are you making money? Are you paying your bills without pulling funds out of your savings account?

These 4 steps will allow you to better evaluate your situation; they are not the end all save all questions but should give you a much clearer picture of your business. Again take the emotion off the table this is business.

In Fort Worth, Texas a Restaurant Cafe was burdened with high debt and overhead costs which was leading the business to bankruptcy. They hired a restaurant consultant, hired a restaurant accounting firm. Renegotiated their lease, restructured the corporation. Restructured their debt and put in place management systems and controls. End Result improved profitability within six months.

Another example was a Las Vegas India restaurant struggling with consistency in revenue. They hired a restaurant consultant, wrote a business plan and implemented the plan. Additionally they hired a marketing staff member, implemented management systems and controls and restructured some debt obligations with creditors then paid others off in full. Result improved top line sales, controlled flow through to make the business a reasonable investment.

What to do about Food During Times like this?

To simply answer the above question is .......TO DO IT BETTER ! Times like these is when restaurants must execute, every time, all the time at a very high level. Every item that leaves the kitchen needs to be perfect. The days of selling inferior product is gone. Guest will not tolerate sub par product. Additionally, to consistently executing, restaurateurs must not scarifies quality. Keep purchasing the same level of quality meats, cheeses, and produce that your client base is accustom too. Here are some suggestions: Change portion sizes, remove one usage items from the menu, remove your bottom 10 selling items, add better price point items to your menu, add daily specials, etc. Example would be: before you would sell your fish and chips platter for $10.99 which included 5 fish sticks, fries & slaw at a COS of 35%. I would suggest offering this platter for $6.99 with 3 fish sticks, fries & slaw. at a COS of 30% Your direct COS would decreased by 5%. Your gross profit on this line item would be effected by 30%. Although in today's market it is wise to keep the guests count coming vs. having to close the doors. These are some suggestions that may not be the right thing for your specific restaurant, if you feel you need additional suggestions seek a experienced consultant.
Be encouraged, Ken Boyle

Developing Habits

This week make it a priority to praise your staff more than you criticize, catch each one of your team members doing something good and then tell them" remember your developing habits.
Be encouraged Ken Boyle

Can you Be Successful in the Restaurant Biz Today?

The questioned asked by many restaurateurs as of late is "How can I be successful in the restaurant business, in the climate of today? My response would be, Yes ....., although it's going to be challenging and it will force you the stretch yourself and your business.

One way you can be successful in the restaurant biz in Today's market is by developing the correct Habit's. (Service habits, Consistent Portioning habits, Marketing Habits) People (adults to kids )are creatures of habits and if you as the Leader do not guide them, they will develop their own. If Leadership does not develop the correct habit's they will go astray. So another question is are you OK with that? As the leader you must clearly communicate the expectation and then follow-up follow-up and thirdly follow-up and hold them accountable to that.

Be encouraged -Ken Boyle
http://www.rcgtoday.com/

Industry isn't Dead we just need to Reevaluate

The Restaurant industry isn't dead, it's just time to reevaluate your units, your priorities and your Brand. QSR are having positive comp store sales, so casual theme'ers need to offer a Great Value at a phenomenal price point. Don't sacrifice quality, just get more creative. My preference would be to have a daily "fresh choice list" in order to utilize all product in house. Another immediate change needs to be is to remove any single usage item form your inventory Immediately. If food or Beverage is not turning with in 10days you need to remove that items as quickly as possible.