Because of its rarity, it has an essence and as such offers a marketing opportunity.
What special is your restaurant offering on Leap Day?
Because of its rarity, it has an essence and as such offers a marketing opportunity.
What special is your restaurant offering on Leap Day?
“Approximately $100,000 of the money will go to the landlord to secure a 7 year lease and $50,000 of the money will go to the frontage of the building .......an awning and French doors ( and likely a sidewalk cafe). The other hundred thousand will be utilized for working capital. If by chance we can make a profit, profit sharing with our "investors" will be discussed."
Asking customers to finance new projects is an old tradition, however asking them to finance an existing location is fairly novel.
President George W Bush today reassured all Americans by stating that we are not headed for a recession. Quoting AP sources
“Bush's view of the economy was decidedly rosier than that of many economists, who say the country is nearing recession territory or may already be there. "I'm concerned about the economy," he said. "I don't think we're headed to recession. But no question, we're in a slowdown."
“we’re in a slowdown”, and they say our president isn’t eloquent.
Municipalities have noticed and some are enacting laws to lower the volume in eating establishments. Eating as a process does not require high decibel accompaniment, or does it? Perhaps we have evolved further and now we are not capable of eating with continual audio/video inputs.
“You can do that by creating a remarkable service or product. You can do it by paying them with cash. Or you can do it with free. Free undermines the typical human's proclivity to ignore every offer. Even if it's a penny, we'll ignore it. Free changes that. In other words, buying attention is a marketing expense, and one way to budget for that is to deduct it from the cost of your product. As Tim O'Reilly says, piracy is not the enemy, obscurity is.
The interesting thing about most products and services is that we won't buy them until we know what they are and what they do. And often the best and only way to do that is to use them... You can view that as a problem or you can see it as an opportunity. Up to you.
Marketing is not advertising, not any more. It is often found in the way you make something, talk about it and yes, price it.”
Free is the most used word in marketing, or it is tied with the word “love” in an effort to get you to notice a product. Restaurateur’s have vast experience with giveaways. Restaurants as a matter of course often give away samples to generate interest in a new menu item or to introduce a new restaurant concept. There is a huge difference between giving something away free and offering a complimentary introduction to a new product. Restaurants need to be very aware of how they give away “free”. Free is of no value if it does not connect with the customer. When it does connect, free is a wonderful marketing tool!
“Think about the last five or so products you purchased; how many of them were influenced by recommendations of friends or even random strangers? If you are like most Americans, the vast majority of your purchasing decisions involve some form of peer interaction.
It comes as no surprise that Nielsen reports that 78% of consumers trust their peers opinions.”
Creating customer advocacy is the path!
“As a researcher and practitioner in the field of personality, I have seen first-hand that the personal characteristics of those who view entrepreneurship as a feasible career choice, persist at it, and succeed at it, can be distinctive. Nascent entrepreneurs are often relatively comfortable with ambiguity, uncertainty and risk, strongly influence events (what psychologists refer to as self-efficacy), and have high levels of work motivation.”
That about covers it! If you can not handle ambiguity, you need to hire someone who does. Entrepreneurship is all about blazing a trail where there are no road markers. It is just you and the elements.
Businesses that thrive moving forward will be ones that understand the value of the customer experience. Businesses no longer operate in a vacuum where they are immune from the forces of the marketplace. Creating an exceptional customer experience is the only path to success.
What path are you on?
Most consumers actually feel more pain from these small cuts than from big ones. You miss your daily java jolt a lot more than, say, a new car you'd only hoped to buy sometime this year.
Small cuts can also have a big effect on the economy. If cutting back becomes a cultural mind-set, it can be very hard to turn around.
"The new status isn't how much you've got, but your ability to show what you don't spend," says futurist
"This is a seminal moment. It's not a fad that will die out when the economy picks up."
Trends guru Faith Popcorn puts it this way: "It's cooler not to spend."
When it’s cooler not to spend many businesses will feel pain if they do not heed the wisdom of providing an exceptional customer experience.
“Xiang Yu was a Chinese general in the third century B.C. who took his troops across the
“Closing a door on an option is experienced as a loss, and people are willing to pay a price to avoid the emotion of loss,” Dr. Ariely says. In the experiment, the price was easy to measure in lost cash. In life, the costs are less obvious — wasted time, missed opportunities. “
General Yu closed the door on his troops. He enabled them to succeed because he left them no other option. To often options paralyze decision making in entrepreneurs.
Close a few doors!
All in all it was a textbook experiment in marketing.
One of the major factors in entrepreneurial success is that the entrepreneur often does not know that something can’t be done that way. Everyone and everything tells you how things can’t be done. Seth Godin’s post highlights “a simple secret of success: ignore the sticker.” By not knowing the entrepreneur is not laden with other people’s limits.
Go ahead and do it. You can always ask forgiveness later. I suspect you will find that having accomplished the task, no one will seek your contrition.
“For starters, most Burger King units generate between 50 and 60 percent of their daily total sales averages at the drive-thru. That’s just the tip of the iceberg: The National Restaurant Association’s 2007 Quickservice Restaurant Survey reveals that 89 percent of operators believe their drive-thrus will represent an even larger portion of sales in 2008. That alone speaks volumes for its value to the American consumer, insiders argue. Don’t forget, these are the same consumers demanding car manufacturers install more cup holders,”
Drive by a Quick serve concept at lunch and you will no doubt discover a line cars queuing up to purchase at the drive-thrus. Those vehicles unless they are hybrids are burning fossil fuels and creating greenhouse gases. Some municipalities are banning drive-thrus, others are starting to discuss the concept.
The carbon footprint of restaurant is a discussion that needs to be started. If you wait long enough, municipalities will tell you what you need to do. Perhaps you would rather participate in the discussion?
The latest retail sales figures for January indicate that consumers are curtailing restaurant expenditures, Fear Not! Here is a restaurant that has survived, revolution, insurrection, war, war, war again, kings, emperors, depression, countless recessions, outdoor plumbing, lack of electricity, renovations, time and time again and a seemingly infinite amount of dining trends Check out Botin Restaurant, Madrid
(tip: Nevada Smith)
For other ideas check out Forbes' list
Delivery to your client’s office is an opportunity to market your services to your client’s guest. Take advantage of it. Always bring some extra menus and tastefully intersperse among your offerings. Leave business cards on the table or with the receptionist.
Restaurants offering pizza delivery have perfected the art form by leaving menus and coupons for your next order. The next step however should be to call the customer back after an appropriate time and ask how the meal met their expectations.
Never forget every delivery however small is a sales opportunity.
“good matchmaker as someone who constantly looks for ways to connect good people, ideas and institutions without the expectation of payback.”
Valentines Day is a good time to remember that a restaurateur has a unique ability to bring people together, whether it is business or pleasure. If your privy to the needs and skill sets of your guests, it is your responsibility to help them connect. Some restaurants actively market their status as a networking hub, or a place to have a power lunch. All restaurateurs have the ability to connect people.
Who have you matched up recently?
How can you incorporate the concept of directing smiling into your restaurant? The benefits are as big as a smile
When a customer walks in, we judge them. There is a human need to judge regardless of how much we discuss, teach, educate and instruct. The trait is no doubt adaptive as our ancestors survived because they were able to determine if friend or foe was approaching based on their looks, dress and carriage. The skills that were very useful on the eastern plains of Rift Valley are a hindrance in modern day restaurant settings.
It does matter, you can not know who that person is by what they look like, how they walk, talk or with whom they journey. Not everyone needs to be your customer however everyone is crucial to the viability of your restaurant. The deal that you have bought into when you created the restaurant was that you would give everyone exceptional services. Being aware that you prejudge helps to mitigate some of the notions you have and a great deal of the minutia that hampers your restaurant from providing exceptional customer service every time.
“There are huge numbers of little recipes that all add up to create wealth. To illustrate that point, I use the example of coffee shops in the
Ideas, not physical assets are the new coin of the realm. Ideas create wealth and they do so in a non rival fashion, Only one person can eat a piece of bread, however and infinite number can make bread from the original recipe. Restaurateur’s need to view their ideas and not so much their output as their true contribution. The idea of the single lid has minimized storage and increased efficiency in coffee shops. What other ideas can be integrated in the restaurant every day?
“Most merchants would include “happy customers” as a key part of their mission. Oddly, new research shows that sad customers are likely to spend more money when shopping. Merely watching a sad video clip caused subjects to pay nearly four times as much for a water bottle than subjects who watched an emotionally neutral clip…
…this research suggests comfort food is a part of a broader phenomenon in which individuals reward themselves when feeling down. “Comfort shopping” is apparently part of that same group of behaviors.”Sad customers spend more money, interesting. The goal is still to make the customers happy. The goal is to create an exceptional experience that they will tell their friends about. It is nice that sad customers spend as long as your restaurant is not making them sad.
According to Wikipedia some actions that portend a good year!
“If the customer's information is technically correct but incomplete, or uses her own words and not yours, get over it. A word-smithing scold is old.”
Creating customer advocacy involves a sense of participation and ownership by the customer. Correcting someone over a word-smithing faux pas is a horrible return on investment. Allow the advocate to put their own spin on things. You may find that it helps to evolve the concept.
“So, when we do something and realize that it’s no longer worth our time, we should decide to stop. Don’t hesitate to leave it unfinished. Just because you start doing something, it doesn’t mean that you must finish it. Save your time and get more value by doing something else.”
Too often because we have invested time and energy in one direction, it becomes very difficult to let go. Seth Godin makes the same point in his book “The Dip”, sometimes there is much more value in stopping what you are doing and investing your energy in a more productive undertaking. Give your self permission to sometimes leave projects unfinished.
If your state is having a primary, go out and vote today. If your state is not having a primary, go out and vote anyway. I am from
“Think of life as a dance, the goal is to enjoy each step, not reach a certain spot on the dance floor by the end of the song.”
Too often in business we are so focused on a particular outcome that we neglect to enjoy the steps, the actual living that occurs in the moment. The journey is the destination. "Think of life as a dance!"
More pizza dough is rolled, more cheese is layered on the dough, a greater variety of toppings are applied to that dough, more chickens are legged, quartered and winged, more delivery persons are working today, then on any other day of the year.
Beer here! Enjoy!
Phil's official forecast as read 2/2/08 at sunrise at Gobbler's Knob:
Here Ye! Here Ye! Here Ye!
On Gobbler's Knob on this fabolous Groundhog Day, February 2nd, 2008
Punxsutawney Phil, the Seer of Seers, Prognosticator of all Prognosticators,
Rose to the call of President Bill Cooper and greeted his handlers, Ben Hughes and John Griffiths.
After casting a weathered eye toward thousands of his faithful followers,
Phil consulted with President Cooper and directed him to the appropriate scroll, which proclaimed:
"As I look around me, a bright sky I see, and a shadow beside me.
Six more weeks of winter it will be!"
The members of the Groundhog Club’s
“PHIL, PHIL, PHIL”, is the shout from the assembled believers.
“We Believe, We Believe, We Believe”, they exclaim!
“PHIL, PHIL, PHIL.”
“look what light through yon horizon breaks, hark it is the east and the sun rises!”
“The Association's Restaurant Performance Index (RPI) – a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry – stood at 98.7 in December, down 0.3 percent from November and its lowest level since February 2003. “
The reading indicates that restaurant business activity is now at the horrible trough levels of January and February 2003. The fundamentals have not changed however, your customer is seeking an interesting experience and you need to deliver. In this type of environment review your expenditures however resist with every fiber of your being the temptation to cut expenditures that impact the customer experience.
Let’s look at an example.
Meal cost: $100.00
Sales Tax cost (10%) 10.00
Tip (20%) $20.00
Total Charge $130.00
The net fee using a 2% credit card processing fee is $2.60, that translates to a net fee on the transaction of 2.6%. The restaurant’s transaction costs have just gone up 30%. There is nothing you can do about the sales tax cost, however the tip piece becomes low hanging fruit. By passing on the credit card fee (in this case let’s assume the entire amount $.40) to the server the restaurant reduces it total transaction cost to $2.20 or net cost of 2.2% per transaction. The server receives 19.60 in tips from this $20.00.
The main arguments why every restaurant does not do this are
1) The move is seen as miserly and anti employee and in the end the employee will find another way to extract their pound of flesh from your restaurant.
2) The belief that servers will encourage customers to use cash or will frown on customers who use American Express which is a higher transaction cost (3%) card
Both of these arguments are flawed, one you need to create an environment where your employees are valued members of the restaurant and the reason for the charged is explained and transparent. Two, any employee that places the customer experience secondary to their needs should immediately be asked to find another line of work.