{"id":17303,"date":"2022-09-19T11:27:51","date_gmt":"2022-09-19T03:27:51","guid":{"rendered":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/?p=17303"},"modified":"2022-10-27T19:23:04","modified_gmt":"2022-10-27T11:23:04","slug":"restaurant-management-a-5-step-guide-to-maximum-profitability","status":"publish","type":"post","link":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/blog\/restaurant-management-a-5-step-guide-to-maximum-profitability\/","title":{"rendered":"How the Best Restaurants Outperform and Profit"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"17303\" class=\"elementor elementor-17303\" data-elementor-settings=\"[]\">\n\t\t\t\t\t\t\t<div class=\"elementor-section-wrap\">\n\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-978caaf elementor-section-boxed elementor-section-height-default elementor-section-height-default exad-glass-effect-no exad-sticky-section-no\" data-id=\"978caaf\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-7bb6404 exad-glass-effect-no exad-sticky-section-no\" data-id=\"7bb6404\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-429b4b5 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"429b4b5\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.5.5 - 03-02-2022 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h1 class=\"elementor-heading-title elementor-size-default\">Restaurant Management: A 5-Step Guide to Maximum Profitability <\/h1>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0b2a570 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"0b2a570\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.5.5 - 03-02-2022 *\/\n.elementor-widget-image{text-align:center}.elementor-widget-image a{display:inline-block}.elementor-widget-image a img[src$=\".svg\"]{width:48px}.elementor-widget-image img{vertical-align:middle;display:inline-block}<\/style>\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-masthead-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"Masthead image for an article on 5 steps restaurants should take to maximize profitability.\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-masthead-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-masthead-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-masthead-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-masthead.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-96ff484 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"96ff484\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.5.5 - 03-02-2022 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#818a91;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#818a91;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p>A restaurant might win awards, have loyal customers, and be well-critiqued. But at the end of the day, there&#8217;s only one metric that keeps it open: profitability. The best restaurants not only provide top-tier experiences, they also identify opportunities for long-term profits long before others can. In this <span class=\"notion-enable-hover\" data-token-index=\"1\" data-reactroot=\"\">guide<\/span>, we go through what makes successful restaurants, and provide <span class=\"notion-enable-hover\" data-token-index=\"3\" data-reactroot=\"\">management<\/span> tips for you to keep ahead of the most common issues faced in the industry.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c9710d3 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"c9710d3\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">1. Know Your Numbers<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-777ac7b exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"777ac7b\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>These three words apply to literally any business. Making good food is just a small (although extremely important part) of successful restaurant management. Staying on top of your budget is paramount in order to survive, scale, and prosper.<\/p><p>Firstly, work out your pro forma budget. This is the projected budget you would have for the coming period, which can be calendar months or four weeks, depending on your accounting practices. Ideally, this should be based on historical P&amp;L and adjusted for future forecasts.<\/p><p>Some examples include:<\/p><ul><li>Leaner months, and months with higher volumes that you can respectively plan for<\/li><li>Ingredient prices that change with the seasons<\/li><li>Inflation<\/li><li>Scheduled maintenance of equipment<\/li><\/ul><p>In an ideal scenario, your restaurant would be making 15% to 20% in profits. As a general guide, this means allocating 60 to 65% of your budget (which comes from the previous month&#8217;s revenue) to your Prime Costs, which is the Costs of Goods Sold (COGS) + Cost of Labour. Meanwhile, the remaining 25% or so will go to your overheads.<\/p><p><span style=\"font-style: inherit; font-weight: inherit;\">The reality is that most restaurants average single-digit profit margins. To hit that much-sought 20%, one has to get on top of their prime costs.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e8e4623 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"e8e4623\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-1-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"Budget allocation for restaurants split between cost of goods &amp; labour, profit and overheads.\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-1-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-1-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-1-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-1.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6a8ff3a exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"6a8ff3a\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Prime cost: COGS<\/h3><div>\u00a0<\/div><p>Of all the expenses you have, COGS is perhaps the one you have the most control over through smart pricing and menu engineering (see Section 4). COGS of your food is the cost of whatever inventory you have used in that time frame.<\/p><p>COGS is calculated as: (Value of Inventory used + Spoilage) <strong>\u00f7<\/strong> Total Revenue<\/p><p><span style=\"font-style: inherit; font-weight: inherit;\">An ideal total COGS would be around 30%, although this might vary depending on the budgeting of your business\u2019s other costs and the kind of restaurant you are running.<\/span><\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\">Prime cost: Labour<\/h3><div>\u00a0<\/div><div><p>It might sound counter-intuitive, but getting on top of your labour costs means investing in retaining manpower. Loyal, well-trained staff can do wonders for revenue and ensure smooth operations.<\/p><p>The National Restaurant Association in the US estimates that the average restaurant loses <a href=\"https:\/\/decisionlogic.co\/restaurant-employee-turnover-cost\/\">$150,000 yearly in staff turnover<\/a>. This is because well-trained staff bring food quickly to the table, are good at upselling and pushing menu items, and make less mistakes.<\/p><p>If you have a system for inventory (and you should), there shouldn&#8217;t be a reason why you don&#8217;t have one for training, promoting, and rewarding staff too.<\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\"><span data-token-index=\"0\" data-reactroot=\"\">Overheads<\/span><\/h3><div><span data-token-index=\"0\" data-reactroot=\"\">\u00a0<\/span><\/div><div><p>While overheads like utilities, rental, and nonfood supplies cannot be avoided, strategic management can help you save on costs. Savings on utilities can be achieved by doing the homework on your equipment (opting for an eco-friendly dishwasher for example), while things like cleaning supplies and towels can be bought in bulk if you have the storage space.<\/p><p>After paying for so many tangible things \u2013 labour, goods, and space \u2013 marketing often becomes an afterthought, which is a major mistake that many restaurateurs make.<\/p><p>Fortunately, there are <a href=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/tag\/blog\/5-digital-marketing-strategies-every-restaurant-and-fb-business-should-know\/\">ways to make your marketing dollar generate outsized returns<\/a>. Consider Oddle&#8217;s many value-added services. Oddle&#8217;s e-Shop has a lower cost compared to most marketplace platforms. It also runs a <a href=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/tag\/blog\/oddle-believes-reservations-should-be-free\/\">free restaurant reservation system<\/a>, as Oddle believes in helping restaurants thrive by maximising their sales \u2014 and then growing with them.<\/p><p>This is exemplified in Oddle Tickets, a prepayment solution where restaurants are only charged a 3.4% fee when tickets are bought and used. This generates immediate cash flow as both your restaurant and Oddle are securing confirmed sales \u2013 unlike other reservation systems which only represent potential earnings. The use of tickets also minimises no-shows, which, on average, accounts for a hefty 30% loss of revenue. Prepayment has also been shown to increase spending from customers, as shown in a study done by the University of Denver\u2019s Daniels College of Business.<\/p><p><span style=\"font-style: inherit; font-weight: inherit;\">Thankfully for restaurateurs, much of sales conversions now happen online-to-offline (O2O) \u2013 so there&#8217;s no need to take out costly print or television ads. With the help of a tech-driven, merchant-centric platform like Oddle, it&#8217;s easy to generate outsized returns on an overhead like marketing.<\/span><\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\"><span data-token-index=\"0\" data-reactroot=\"\">Get your guys on board<\/span><\/h3><div><span data-token-index=\"0\" data-reactroot=\"\">\u00a0<\/span><\/div><div><p style=\"font-size: 20px;\">A good captain is one whose ship can run perfectly fine even if they had to take the day off. Your restaurant management\u00a0team should also be running their departments by the numbers \u2013 the head chef and bar manager should be buying ingredients and planning menu items with costs and risks in mind; and the GM should be planning staff schedules with military precision.<\/p><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5dcb8e8 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"5dcb8e8\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">2. The Five \u2018Sauces\u2019 of Revenue Growth<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f6ec7b6 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"f6ec7b6\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-size: 20px; font-style: inherit; color: #454545; font-family: 'DM Sans'; font-weight: inherit;\">When you have optimised your costs, it&#8217;s time to look at increasing your revenue \u2013 something that can be hard to do in an industry that&#8217;s fraught with obstacles.\u00a0<\/span><\/p><p><span style=\"font-style: inherit; font-weight: inherit;\">We work with many restaurants, and the same few problems come up time and again: rising COGS, unreasonable landlords and high rental, manpower costs and shortages.<\/span><\/p><p>Successful restaurants face these problems too, but they stay ahead by constantly increasing their revenue in addition to cost management.<\/p><p>They do this by increasing one or more of the following factors:<\/p><ul><li>Number of customers<\/li><li>Frequency of purchase<\/li><li>Average order value<\/li><li>Restaurant occupancy<\/li><li>Table turnover rate<\/li><\/ul><p>The beauty of this guide is that all of the factors above are multiplicative. Should you grow each of these categories by just 15%, your total revenue will have more than doubled.<\/p><p>In <a href=\"https:\/\/www.peterlesar.com\/\">Peter LeSar&#8217;s<\/a> best-selling book, <em>Restaurant Strong,<\/em> he states that &#8220;stacking up large numbers of loyal customers with high lifetime values is the growth model of restaurants&#8221;. The goal is therefore to attract new customers, re-attract diminished customers, and convert both groups to loyal ones.<\/p><p><span style=\"font-style: inherit; font-weight: inherit;\">One only needs to look at one of the most successful restaurant groups in the world, McDonald&#8217;s. It&#8217;s a restaurant that has multi-generational loyalty, high profit margins, and a constant stream of new menu items to garner curiosity and attract new fans.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0989e13 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"0989e13\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">3. Make Your C.A.S.E. Capture, Aggregate, Segment, and Engage Your Customers<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0d24844 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"0d24844\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Now that we&#8217;ve discussed multiplying revenue, it\u2019s time to look at how you can increase the number of your customers and retain them. According to <a class=\"notion-link-token notion-enable-hover\" href=\"https:\/\/blog.hubspot.com\/service\/customer-retention\" target=\"_blank\" rel=\"noopener noreferrer\" data-token-index=\"1\" data-reactroot=\"\"><span class=\"link-annotation-unknown-block-id-895189451\">consumer research<\/span><\/a>, just \u201ca 5% increase in customer retention can increase company revenue by 25-95%.\u201d. By ensuring that your regular customers return, along with creating new, repeat customers, restaurateurs can improve sales predictability and consequently achieve more accurate budgeting. <\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-809f188 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"809f188\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-2-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-2-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-2-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-2-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-2.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-09919c3 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"09919c3\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Capture and Aggregate<\/h3><h3 style=\"font-size: 1.66667rem; font-style: normal;\"><span style=\"color: #454545; font-family: 'DM Sans'; font-size: 20px; font-weight: 400;\">\u00a0<\/span><\/h3><div style=\"color: #454545;\"><p style=\"font-size: 20px;\">As they say, data is king. Oddle gives you a 360-degree overview of your customer database by combining data from Oddle\u2019s Payment Terminals, QR Ordering, and its<span data-token-index=\"1\" data-reactroot=\"\"> free restaurant Reservation system<\/span>. Meanwhile, its Merchant Marketing solutions give you the ability to discern actionable insights from the data you receive. This way, you get consistent customer and sales data, which makes <span data-token-index=\"3\" data-reactroot=\"\">management<\/span> of your pro forma budget easier.<\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\">Segment<span style=\"color: #454545; font-family: 'DM Sans'; font-size: 20px; font-weight: 400;\">\u00a0<\/span><\/h3><div><span style=\"color: #454545; font-family: 'DM Sans'; font-size: 20px; font-weight: 400;\">\u00a0<\/span><\/div><div><p style=\"font-size: 20px;\">When all your data is in one place, you can segment them into two broad categories: active and inactive. From your active pool of customers, you can further discern your loyal customer base and your \u2018growth pool\u2019, i.e. the customers with high income potential that you want to be returning and spending more.\u00a0<\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\">Engage<span style=\"color: #454545; font-family: 'DM Sans'; font-size: 20px; font-weight: 400;\">\u00a0<\/span><\/h3><div>\u00a0<\/div><div><p style=\"font-size: 20px;\">With your customers segmented, you can now tailor your actions to the particularities of each group. Entice new customers to return with loyalty programmes, keep returning customers coming back with new promotions, and re-engage lapsed customers with bigger vouchers.\u00a0<\/p><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-be8dbc9 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"be8dbc9\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-3-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-3-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-3-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-3-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-3.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0257727 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"0257727\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">4. The Price Is Right \u2014 Or Is It?  <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-169bb16 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"169bb16\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Getting your menu and price management right can increase your average order value, a key revenue multiplier. This can be done by providing customers with incentives to spend more.<\/p>\n<p><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">Consider:<\/span><\/p>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Add-ons that you can upsell<\/h3>\n<div>&nbsp;<\/div>\n<div>\n<p style=\"font-size: 20px;\">Providing the option to add an egg to a pasta dish, or a few grams of truffles on top of a baked potato \u2013 which your servers can actively upsell \u2013 potentially increases your average order value. By asking a simple question, \u201cWould you like fries with that?\u201d, McDonald\u2019s has added&nbsp;<a href=\"https:\/\/abcnews.go.com\/Business\/story?id=7310121&amp;page=1\" target=\"_blank\" rel=\"noopener noreferrer\" data-token-index=\"1\" data-reactroot=\"\">millions to their revenue<\/a>&nbsp;since they started the practice back in the 1970s.<\/p>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Self-service options<\/h3>\n<div>&nbsp;<\/div>\n<div>\n<p style=\"font-size: 20px;\"><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">Providing customers with at-the-table ordering solutions like Oddle&#8217;s QR ordering can save you manpower and enhance customer service. Plus, digital orders tend to be larger than orders made face-to-face. Oddle&#8217;s QR ordering solution, for example, has seen a broad 20% increase in average orders.<\/span><\/p>\n<p style=\"font-size: 20px;\"><span style=\"color: var(--ast-global-color-2); font-family: 'Work Sans'; font-size: 1.66667rem; font-weight: bold; letter-spacing: 0px;\">Bundling menu items<\/span><span style=\"letter-spacing: 0px;\">&nbsp;<br><\/span><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\"><br>Combo meals and prix-fixe menus \u2013 especially when prepaid using a service like \u2018Tickets\u2019 (part of Oddle\u2019s<\/span><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">&nbsp;<\/span><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\" data-token-index=\"1\" data-reactroot=\"\">free restaurant reservation system<\/span><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">) \u2013 can help you plan your inventory. For combo or set meals, customers also get a sense of value.<\/span><span style=\"letter-spacing: 0px;\"><br><\/span><\/p>\n<div>\n<p style=\"font-style: normal; font-weight: 400; font-size: 20px;\"><span style=\"color: var(--ast-global-color-2); font-family: 'Work Sans'; font-size: 1.66667rem; font-weight: bold; letter-spacing: 0px;\">Loyalty programs<\/span><\/p>\n<div><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">Encourage and reward customer loyalty by offering discounts, freebies, and more. This does not have to be explicit if, for example, giving out discount vouchers for the next visit does not reflect your brand. Building customer profiles and offering repeat customers some champagne on a special occasion are subtle ways of rewarding loyalty.<\/span><\/div>\n<div><span style=\"font-style: inherit; font-weight: inherit; letter-spacing: 0px;\">&nbsp;<\/span><\/div>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\"><span data-token-index=\"0\" data-reactroot=\"\">Menu engineering<\/span><\/h3>\n<div><span data-token-index=\"0\" data-reactroot=\"\">&nbsp;<\/span><\/div>\n<div>\n<p style=\"font-size: 20px;\"><span style=\"letter-spacing: 0px;\">Smart menu pricing can maximise your profitability. While an ideal COGS (see above section on Prime Costs) is 30%, this does not have to be flatly applied to all menu items. For example, if steak sells in large quantities at your restaurant, you can let it have a higher COGS (by virtue of pricing it lower) and keep it below the price threshold that puts people off from ordering it.<\/span><\/p>\n<\/div>\n<\/div>\n<p style=\"font-size: 20px;\">\n<\/p><\/div>\n<\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b41b478 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"b41b478\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-4-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-4-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-4-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-4-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-4.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9229c36 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"9229c36\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p style=\"font-size: 20px; font-style: normal; font-weight: 400; color: #454545; font-family: 'DM Sans';\">More importantly, pricing decisions should be made based on data. Look at transaction patterns and numbers \u2013 which Oddle provides across its products \u2013 to figure out which items sell well, and when.<\/p>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Dollars and sense<\/h3>\n<div>&nbsp;<\/div>\n<div style=\"color: #454545;\">\n<p>Creating a sense of value or lower prices by using price psychology can do wonders for moving profitable items on your menu. There\u2019s a reason why so many items are priced with a .99 or .90 value \u2014 it works. Customers might be conscious of what you\u2019re doing when you charge $13.90 instead of $14 for a burger, but they still somehow register it as a measurably better deal.<\/p>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">Other times, you can offer an extremely profitable item for a steep discount or in a bundle to create perceived value. Take the McDonald\u2019s value meal, where, for just a few dollars more, you can get a drink and side at roughly a 50% discount with your burger. However, McDonald\u2019s still makes money off these add-ons since their profit margins on them is close to 90%.<\/span><\/p>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\">Your revenue sources<\/h3>\n<h3 style=\"font-size: 1.66667rem; font-style: normal;\"><span style=\"color: #939393; font-family: 'DM Sans'; font-size: 20px; font-weight: 400;\">&nbsp;<\/span><\/h3>\n<div>\n<p style=\"font-size: 20px;\">Times have changed, and so should restaurant <span class=\"notion-enable-hover\" data-token-index=\"1\" data-reactroot=\"\">management<\/span>. Delivery and online traffic are channels that can no longer be ignored as they are significant revenue drivers. As a <span class=\"notion-enable-hover\" data-token-index=\"3\" data-reactroot=\"\">guide<\/span>, delivery should at least bring in 20% of your revenue, especially since it can scale beyond the number of tables and covers you have. E-store merchandise that easily fits into your kitchen SOPs \u2013 like bottling jams or sauces that you already make \u2013 can also be an additional source of revenue. These items can easily be integrated into an existing Oddle e-Shop that is used for deliveries.<\/p>\n<\/div>\n<\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-95db049 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-heading\" data-id=\"95db049\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">5.<span data-token-index=\"1\" data-reactroot=\"\"> Real Estate<\/span><\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-edc3ba7 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"edc3ba7\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p style=\"font-size: 20px; font-style: normal; font-weight: 400; color: #454545; font-family: 'DM Sans';\"><span style=\"color: var(--ast-global-color-2); font-family: 'Work Sans'; font-size: 1.66667rem; font-weight: bold;\">Take control of your precious real estate with Oddle\u2019s free restaurant reservation system<\/span><\/p><p style=\"font-size: 20px; font-style: normal; font-weight: 400; color: #454545; font-family: 'DM Sans';\"><span style=\"font-style: inherit; font-weight: inherit;\">Physically, real estate refers to your restaurant floor space. Are your tables too far apart or too close to each other? Do you have too few tables? Are you always seating 2 pax at a 4 pax table? Managing your restaurant occupancy is a balance between maximising it, but also ensuring customers remain comfortable.<\/span><\/p><p style=\"font-size: 20px; font-style: normal; font-weight: 400; color: #454545; font-family: 'DM Sans';\"><span style=\"font-style: inherit; font-weight: inherit;\">Then there&#8217;s your table turnover rate. Are you making at least 2 turns a shift? Hitting your optimum turnover rate is a game of knowing your average service cycle, minimising the time between each turn (something that can be done with the help of a digital floor plan like Oddle&#8217;s), and preventing no-shows.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bb7fd9e exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-image\" data-id=\"bb7fd9e\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"768\" height=\"412\" src=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-5-768x412.jpg\" class=\"attachment-medium_large size-medium_large\" alt=\"User interface of Oddle\u2019s free restaurant reservation system, showing the customisable floor plan that merchants can use.\" loading=\"lazy\" srcset=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-5-768x412.jpg 768w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-5-300x161.jpg 300w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-5-1024x550.jpg 1024w, https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-content\/uploads\/sites\/6\/2022\/09\/B2B-Increasing-Revenue-for-Restaurants-visual-5.jpg 1200w\" sizes=\"(max-width: 768px) 100vw, 768px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c97db67 exad-sticky-section-no exad-glass-effect-no elementor-widget elementor-widget-text-editor\" data-id=\"c97db67\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p style=\"font-size: 20px; font-style: normal; font-weight: 400; color: #454545; font-family: 'DM Sans';\">Using Oddle&#8217;s <span class=\"notion-enable-hover\" data-token-index=\"1\" data-reactroot=\"\">free restaurant reservation system<\/span> not only means you cut down on costs (since it&#8217;s free), but can also leverage on the Tickets function, where customers prepay and are more invested in showing up. With Tickets, Oddle takes a small 3.4% cut, so it&#8217;s also incentivised to help sell more.<\/p><h3 style=\"font-size: 1.66667rem; font-style: normal;\">Digital real estate<\/h3><div>\u00a0<\/div><div style=\"color: #454545;\"><p>Just like how prime real estate for F&amp;B are areas with high footfall, prime real estate online are places where your brand will get quality attention. Online-to-offline sales are a key part of any F&amp;B business, and marketing spend is equivalent to &#8220;rental&#8221; in this online space.<\/p><p>Oddle&#8217;s Marketing as a Service (MaaS) solution allows you to take full advantage of the kind of conversions that being in prime digital real estate brings \u2013 think targeted EDMs that bring back existing customers,\u00a0or top-of-funnel social media advertising that brings your brand tens of thousands of eyeballs.<\/p><p>At a time when striking the right chord with netizens can easily bring you the attention of millions, we&#8217;d say that the management of your digital real estate is even more valuable than any amount of physical footfall.<\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Restaurant Management: A 5-Step Guide to Maximum Profitability A restaurant might win awards, have loyal customers, and be well-critiqued. But at the end of the day, there&#8217;s only one metric that keeps it open: profitability. The best restaurants not only provide top-tier experiences, they also identify opportunities for long-term profits long before others can. In &hellip;<\/p>\n<p class=\"read-more\"> <a class=\"\" href=\"https:\/\/oddle-staging-site.oddle.me\/en-hk\/blog\/restaurant-management-a-5-step-guide-to-maximum-profitability\/\"> <span class=\"screen-reader-text\">How the Best Restaurants Outperform and Profit<\/span> Read More &raquo;<\/a><\/p>\n","protected":false},"author":8,"featured_media":17312,"comment_status":"closed","ping_status":"open","sticky":false,"template":"elementor_header_footer","format":"standard","meta":{"_mi_skip_tracking":false,"site-sidebar-layout":"default","site-content-layout":"default","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":""},"categories":[26,41,32],"tags":[],"_links":{"self":[{"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/posts\/17303"}],"collection":[{"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/comments?post=17303"}],"version-history":[{"count":95,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/posts\/17303\/revisions"}],"predecessor-version":[{"id":17614,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/posts\/17303\/revisions\/17614"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/media\/17312"}],"wp:attachment":[{"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/media?parent=17303"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/categories?post=17303"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/oddle-staging-site.oddle.me\/en-hk\/wp-json\/wp\/v2\/tags?post=17303"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}