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Menu Engineering - Tips to higher profits! Print
Wednesday, 10 September 2014 12:11

Many Restaurateurs possess an undying passion for their business and rely upon skills such as creativity, communications and a great service approach.  Sadly there remains the “red-headed” step-child known as operations often overlooked since it’s not sexy or flashy such as a new culinary creation or hyped-up marketing campaign.

          Chief among these operational “devil-in-the-details” is optimizing sales through analytics.  The menu is the single most important sales and marketing communications tool for any restaurant and needs to be much more than just a “list” of offerings.  The format of your menu often can drive sales of low contribution margin items and drag sales of high contribution margin items depending entirely upon the location of the menu items and equally important their category.

          A recent analysis of a clients’ tri-fold menu determined that although they are a casual dining operation with a full menu, guests were primarily ordering sandwiches and soups (at over 70% of sales) while higher profits items such as appetizers, desserts and some beverages were a combined less than 20% of sales.  This imbalance in the sales mix can contribute to a diminishing contribution margin over time.  Their sales data suggests that guests’ perception of the operation was of a casual, sandwich and soup shop that is primarily an option for lunch.

          We discovered it was the location within the menu that was driving the sales imbalance of the top two menu sales categories.  Furthermore the sandwich category had a combined food cost of 37% while the entrée category had a combined food cost of 26% suggesting an increase of entrée sales could drop more to their bottom line over time.  Combined with the operators desire to have a better balance to their sales mix across the menu we suggested to re-direct the sales mix through menu engineering.

          Simply put menu engineering is the practice of creating a menu format, layout and design appropriate to the operation that will deliver a sales mix of menu items that will maximize the sale of high contribution margin items.   From our list of suggestions it appears the best option for this operator may be to use two menu formats, one for lunch and another for dinner.

          The lunch menu option is a single page format with items listed on the front and back.  Categories and items within them will be arranged to drive sales of high contribution margin items and slow the drag of high food cost items on sales.  The dinner menu option is a single-fold ‘book style’ menu format that offers information about the concept and boilerplate information on the front cover while the interior pages will be dedicated to the major menu categories.  The back cover will host beverages, sides and details on catering.  Focusing the major menu categories on the two interior pages, in the appropriate manner, will assist in driving sales of lower food cost items with a higher contribution margin.

          In conclusion while Menu Engineering is a science, it’s not “rocket science” and so may be applied by restaurateurs within any food service segment and volume level.  For single-unit operators this practice is even more important as smaller operations may not have the volume of multiple-unit or chains and therefore need to render as much revenue as possible from every sale.

          The Menu Spring is a food and beverage focused consulting group located near Tampa, Florida.  Their core capabilities include culinary and operations consulting from concept development through consumer food trends research.  Each client is treated with individual care on a case-by-case basis with a focus on their needs and goals.  Should you desire to learn more please review the information at their website: www.themenuspring.com .

Last Updated on Wednesday, 10 September 2014 12:13
 
Latest quick-serve strikes call for civil disobedience! Print
Friday, 05 September 2014 11:08

NRN.com - Dozens of workers were arrested Thursday for blocking traffic and other acts of civil disobedience during the latest in a series of staged strikes at quick-service restaurants around the country, according to various reports.

It was the seventh such event organized by grassroots groups funded by the Service Employees International Union, or SEIU, since November 2012. The movement is pushing for an increase in the hourly minimum wage to at least $15, as well as the right for restaurant workers to unionize without retaliation. Organizers called for acts of civil disobedience to raise awareness for their cause.

According to USA Today, protesters were arrested in New York, Detroit, Chicago and Las Vegas. Thousands of workers carried picket signs in more than 100 cities. Continue

 
HIV Positive applicant wins Federal suit against restaurant Print
Friday, 05 September 2014 10:54

News-journal.com - An agreement reached Tuesday in federal court requires the parent company of a Longview Popeye’s Chicken & Biscuits to pay $25,000 to a man who said he was denied employment because he has the virus that causes AIDS.

The consent decree between the Equal Employment Opportunity Commission and Famous Chicken of Shreveport also orders the company to train its management in federal anti-discrimination laws with additional hours of school for its human resources director.

The federal commission brought its complaint Sept. 23, 2013, on behalf of Noah Crawford on Sept. 12, 2013. The complaint says Crawford, who was not a plaintiff in the federal case, had learned three months before applying for work at a Longview Popeye’s in 2011 that he had tested positive for HIV.

Crawford had revealed his condition during an interview, when asked why he had checked a box marked “medical” on his application. Continue

Last Updated on Friday, 05 September 2014 10:58
 
Register for FREE tickets to the Florida Restaurant & Lodging show! Print
Thursday, 04 September 2014 15:57


Flhip.com
invites you to attend the Florida Restaurant and Lodging Show.
Use the link below to register at no charge as our guest.

Visit Us at Booth: 1951
Visit Our Website
Restaurants save time
by using our Vendors

Flhip.com helps restaurants all over the country find the best possible products and services for their restaurants at the best possible pricing.Visit http://flhip.com/request-quote.html and select the products and service you are looking for and FLHIP will go to work and do the searching for you through our preferred vendors,
Vendors see new restaurants opening soon!
Flhip offers Vendors the opportunity to get in the door first of new restaurants opening soon across the Country before your competitors. Whether you are selling advertising to bring 'em in the front door or Waste or Oil removal out the back, Flhip has just one goal and that is to get you in the door to the decision maker and beat your competition to the sale. Each week we research, document and enter hundreds of new restaurants who will be opening in the near future and need your services before they can open. The information comes from a variety of sources such as public records, Press Releases, internet articles, Social Medias including Facebook, Twitter, Urbanspoon, Yelp, referrals and more. Each new listing is researched prior to being added to our databases.We invite everyone to contact us and let us show you the Leads for free to see if they would help you get in the door first of these soon to open restaurants. Contact us to see what you may be missing at 772-231-5826 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it To see leads for free in your Sales area, Click Here!

Just click the link below to pre-register for the show and
receive your badges in advance by mail!

 

 
Yelp escapes extortion lawsuit unscathed, except for its reputation Print
Wednesday, 03 September 2014 23:02

Engadget.com - For years, businesses have accused Yelp of running an extortion racket. If companies refused to pay for ads, Yelp would allegedly pull down some of their positive reviews (and wreck sales) until they gave in. Well, those accusations don't appear to hold much legal water; an appeals court has upheld a California judge's dismissal of a 2010 class action lawsuit that claimed Yelp was committing civil extortion. Needless to say, the recommendation service is ecstatic. It cites the ruling as proof that the shops simply had an "axe to grind" and were either trying to "draw attention away" from bad reviews or else prop up review manipulation schemes. Continue

 
Ketchup Banned in Florida Restaurant! Print
Wednesday, 03 September 2014 21:11

WESH.com -  A FLORIDA RESTAURANT IS TAKING A STAND AGAINST KETCHUP. OF ALL THINGS. IN FORT MYERS THEY HAVE BANNED ONE OF THE MOST POPULAR CONDIMENTS IN THE COUNTRY. FRENCH TRAINED CHEF OCHED THE RESTAURANT TWO YEARS AGO AND SAYS HE NEVER EVEN STOCKED KETCHUP, AND THE MENU INCLUDES BURGERS AND FRIES, HE SAYS PEOPLE SHOULD TRUST HIS COOKING ABILITIES. THAT IS THE WAY I MAKE IT, YOU LIKE IT, YOU EAT IT, AND IF YOU DON'T YOU DON'T HAVE TO COME BACK. A WOMAN PULLED OUT CHEESE AND KETCHUP AND I ASKED HER TO TO DO THAT AND SHE NEVER CAME BACK. HE SAYS HE HAS BUILT UP A BASE OF CUSTOMERS. I CAN SEE THAT, YOU WORK SO HARD TO MAKE IT TASTE GOOD AND WE DUMP THE STUFF ON IT. I'M THE SAME WHY WITH A GRILLED STEAK, DON'T PUT SAUCE ON IT. TRY THAT STEAK FIRST. WITH THAT SAID, I WOULD LIKE KETCHUP ON ANY M I FRIES.Read more:http://www.wesh.com/news/chef-bans-ketchup-from-restuarant-in-fort-myers/27851148#ixzz3CI0SdI00

Last Updated on Wednesday, 03 September 2014 21:46
 
Homeless man Arrested/ charged with murder at McDonald's restaurant! Print
Wednesday, 03 September 2014 21:07

WPTV.com -For most of the day Tuesday, only the drive-thru lane was open at a McDonald’s on US 1, just south of State Road 60.

Most of the night Monday, it was a crime scene. Police say Kevin Adorno, 28, of Unionville, Connecticut was on his cell phone outside the restaurant when he was attacked by knife-wielding 59 year-old Rene Herrera Cruz.

Police say after the stabbing, Cruz threw the murder weapon into the bushes outside of the restaurant and then ran across the street to a Burger King where he discarded a second knife before police caught him.

Adorno went back inside the McDonald's where he collapsed.  Rescue crews transported Adorno to Indian River Medical Center where he died a short time later. Continue

 
Tommy Bahama to open five stores in Florida in October! Print
Wednesday, 27 August 2014 09:04

Heraldtribune.com - Tommy Bahama, the restaurant and retail clothing line inspired by the islands, will continue to expand in Florida by opening five new stores in the state this year.

The retailer is opening a 4,400-square-foot retail store inside the Mall at University Town Center on Oct. 16. Tommy Bahama operates a restaurant and small retail store on St. Armands Circle already. Additionally, Tommy Bahama has new locations planned for Naples, Jupiter and St. Petersburg.

Tommy Bahama is known for its relaxed feel and beach-side theme in its clothes and restaurants. It opened its first island location in 1996 in Naples, where it began offering resortware to residents and tourists alike along the Gulf Coast. By the end of the year, the brand will have 20 stores in Florida.

Tommy Bahama will open one restaurant, bare and store concept at Harbourside Place in Jupiter, just north of West Palm Beach, on Nov. 6. The 8,890-square-foot space will connect the restaurant and bar with a retail storefront. Continue

 
Muscle Maker Grill plans to open 22 new restaurants accross the country.! Print
Wednesday, 27 August 2014 09:01

/PRNewswire/ -- Muscle Maker Grill®, a fast-casual restaurant franchise that serves freshly prepared meals with its guests' health in mind, announces it will be opening 22 new locations throughout the country, which will raise the number to over 75 units.

"This is a significant achievement for Muscle Maker Grill and we are thrilled to report our steady growth and continued expansion into the Midwest and Western markets," saidRod Silva, founder of Muscle Maker Grill. "Our truly unique concept of great food with your health in mind is gaining popularity throughout the U.S. and we look forward to helping each of our new franchisees grow their local presence with unparalleled corporate support."

Recent store openings includeLas Vegas, NV,Dallas, TX, a third location inConnecticutlocated inHamdenand a second location inStaten Island, NY, located on Clove Road. An additional 22 new franchises will result in the development of restaurants in the following locations: Continue

 
Former restaurant owner wins $644 K suit against state of MS! Print
Friday, 22 August 2014 11:18

Sunherald.com -  A family that owned a restaurant in Bay St. Louis before Hurricane Katrina has won $644,000 in a lawsuit, with jurors ruling that land Mississippi took to build a new small-craft harbor was private property, not state tideland.

The verdict came Monday after a weeklong trial in Hancock County, Paul Scott, a lawyer for the Murphy family, said.

Testimony showed that the Murphy family, which operated Dan B's beachfront restaurant, had deeds showing their property extended beyond a decades-old retaining wall to the water's edge, Scott said. The Murphys had owned the land since the 1980s, he said.

Pamela Weaver, a spokeswoman for Secretary of State Delbert Hosemann, declined to comment Wednesday. Hosemann's office administers state tidelands. The state could choose to pay the judgment or appeal. Continue

 
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