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How to boost your business profitability

30/1/2015

 
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Branding & Collateral

In the hospitality industry we know better than anyone the power of a first impression. What does your branding, collateral and fitout say about your business? 

From the signage and the look of your shop-front to the presentation of the interior. Is it clean, clear and well presented? It's important that this is the case. 

Your business should stand out for the right reasons. Don't let customers choose your competitor because your not making a good first impression. 

Simple things can make all the difference. 
They should all come together to create an ambience that is inviting. 


Ensure:
  • Prominent signage
  • Appropriate lighting
  • An inviting interior 
  • Clean and well maintained premises

Customers often make a snap decision when walking down a busy street full of competing businesses. Potential customers can make a connection with the look of the business and the quality of the food. 

Get  your branding and the presentation of your business right and you increase the likelihood of potential customers choosing you.

Layout 

The layout of your establishment should be something you consider in your quest for profitability.

A well considered layout can increase the amount of patrons you are able to serve at the one time. Many businesses make the mistake of having too many tables of four at the expense of tables for two.

Consider square tables instead of round ones. This allows for tables to fit more closely side by side.

A POS system will help you look at your sales report history. This will give you an insight into the most popular group sizes in your establishment.

Don't only consider your floor layout. What about your menu? Make it clear and easy to read. People need to quickly find their way around the different food choices. If items are easy to locate, patrons will order quicker and tables will be freed up sooner.

Table Turnover

Serve more people in the same amount of time. It's an efficient way of becoming more profitable.

One way to do this is through the increasingly popular trend of two sittings. 20% of restaurants in Australia now have limits on how long patrons can occupy a table. According to dimmi.com.au 50% of customers have settled their bill within 90 minutes of sitting down. A total of 85% have done so within two hours.

It must be a balance though. If your customer service starts to slip the extra profitability will be short lived.

Customer Service & Up Selling

Simple and easy to implement sales and customer service techniques can ensure a win-win situation where both customer service and profitability increase. 

Staff should:

  • Greet customers when they enter and ensure they are promptly looked after
  • Offer recommendations
  • Know the menu well
  • Be aware of any specials
  • Recommend an accompanying drink with a menu selection
  • Offer an accompaniment while they wait for their entrees or mains
  • Offer dessert
  • Ask if patrons enjoyed their meals

All these techniques will speed up service time. It also and encourages patrons to order more menu items. Above all they will appreciate the extra help they get from staff. 

Via: SMH; Hospitality Magazine, LinkedIn

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