Improve Your Restaurants Income During & After This Pandemic

Improve Your Restaurants Income During & After This Pandemic

First of all, PLEASE take advantage of everything the government and banks are offering to keep your business ready to open its doors again when this Pandemic is over.

Don’t give up. You’ve worked too hard!

The hospitality industry is a competitive market, and it is never easy to know the right time to re-cost out your menu.

I believe this is the right time.

It will get your mind working in a positive way instead of feeling you have no control over your restaurant’s future. You have control, get your menu inline while you have this time, and improve your bottom line when you re-open!

Let the country and those in power do their jobs tell us what we need to be doing to get us through this crisis while planning your return to your business.

Improve Your Restaurants Income During & After This Pandemic

Many independents may have great food and service and know-how to run a restaurant, but it isn’t enough. You must always control costs and manage profit margins.

Writing the menu is the fun part.

But you always need to know how much to charge so you can be sure to make a profit.

Food cost and portion control are two things that will help you price your menu correctly, but you also must be careful not to price yourself out of the local market.

So it makes sense to re-cost out your menu at least once I prefer twice a year. During this challenging time of COVID-19, it could be the best thing to do to secure your restaurant’s future.

Rising food costs is one of the biggest challenges, so when food costs fluctuate, you must stay on top of your menus, perhaps changing ingredients in a dish, renegotiating with suppliers, and adjusting pricing if necessary. However, even as base costs increase owners are often reluctant to take the option of raising menu prices

Food and wage costs are rising, so it’s inevitable it will be passed onto your customers. That doesn’t mean you have to boost all your rates.

Re-costing out your menu will help you see what you need to remove and what you may need to add to stay in the price ranges your target audience can afford.

If you don’t cost out your menu, you will not know the proper markup.

You will not know if your purveyors are overcharging you for the ingredients/products you are purchasing.

These are just some of the things you need to have a handle on when developing and costing out your menu.

What You Should Consider When Pricing Your Menu

Competition Pricing Method

Assigns prices based on the general market price or those of the competition·

Price the item the same as your competition

Price is slightly lower to attract those looking for a deal·

Price higher to attract those looking for more top quality

Demand-Driven Pricing Method

Supply and Demand

The demand for food is higher than the amount, so people are willing to pay for it. Sports stadiums and airports gouge prices because guests do not have the option of going somewhere else. Restaurants with specialty menu items or unique atmosphere can do this because guests are paying for the food and experience.

Maintain balance in price so as not to drive customers away.

Evaluate Current Profitability

Know the highest-grossing items, the ones that make the most profit. In a seafood restaurant, the lobster often achieves the highest gross profit. Maximize profit by raising other prices slightly, or train servers to promote lobster as a particular or featured item.

How to Develop a Profitable and Tempting Menu

I can show you how to create menu selections that deliver the flavor and visual appeal while considering targeted food cost, profit, and the consistency your customers will expect.

Click On The Resource Link Below