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Downsizing the Menu to Upsize Restaurant Revenue

Woman in restaurant holding menu

 

Downsizing the Menu to Upsize Restaurant Revenue

 

Once a necessity during the tumultuous year the foodservice industry has faced, now smaller streamlined menus are here to stay. And with good reason. Trimming and slimming down your menu adds well deserved money back to your bottom line, benefiting both you and your customers.

 

Long before COVID-19, if you remember back that far, Technomic had already acknowledged simplification of menus. Their Canada’s Shrinking Menus 2018 report noted that restaurant operators had been gradually cutting back on their menus since 2013.

 

Technomic reported that operators were being strategic about how and where to spend their money while dealing with the labour issues in the Canadian workforce.

 

Their Post-Pandemic Playbook continues the same macrotrend, stating labour issues already felt in foodservice pre-pandemic could be worse as former employees find other opportunities.

 

They also predict that many operators will likely focus on menu items that are revenue and profitability drivers, post-crisis.

 

Simplifying the menu makes good business sense: assisting cost control, reducing labour costs and keeping customers happy.

 

Cost Control

Smaller menus naturally use fewer ingredients. A tighter food inventory provides operators with many cost-control options without hurting menu quality.  In fact, menu quality will naturally improve.

 

James Keppy, corporate chef for Maple Leaf Foods, is busy helping operators streamline menus and promoting value-added ingredients to help chefs in their kitchens.

 

“Operators need to do a few things well. No one can afford to have their menu be a book anymore,” says Keppy.

 

“Inventory items need to be reduced so that they can be controlled and better utilized in multiple applications across the menu. This inventory reduction affords little to no waste.”  

 

Technomic’s State of the Canadian Menu 2021 report agrees and suggests operators adapt products to various dayparts, mealparts, menu categories and ordering options. They state that menu streamlining will be a necessity for operators amid and after the pandemic, sticking around as a long-term trend. Multiple applications increase efficiency on several fronts, from labour to storage to spending.

 

Fewer ingredients mean you will be ordering larger quantities of your staples, allowing for bulk purchases and economies of scale.

 

The time it takes to manage inventory decreases from counting to reordering. With a tighter handle on inventory, food waste is also significantly reduced.

 

Consumers continue to look for customization when ordering. A smaller menu can still accommodate these requests. Operators can rethink well-performing ingredients and use them strategically in their offerings. But that also means eliminating poorly performing ingredients.

 

Keppy agrees. “If there are inventory items present that are costly but show low sales on the menu mix, they are a drain on your resources in both money and storage.

 

“Menu items and their ingredients that travel well are important. Maple Leaf Pulled Pork and Beef can be customized by individual operators with their seasonings and sauce and will keep their heat for delivery. These products can be used for sandwiches, build your own tacos, and for mac and cheese topping.”

 

Labour Costs

Relying on menu fundamentals is key, according to Technomic’s State of the Canadian Menu 2021 report. Operators scaled back their menus to focus on core items. Smaller SKU counts helped operators reduce operational complexity by streamlining their menus, reducing waste and staffing needs, and increasing speed of service. 

 

“Smaller menus factor in labour. This could lead to the elimination or doubling up of stations in the kitchen,” says Keppy.  

 

With fewer items on the menu, it is faster to train new employees — front of house and back of house. Wait staff will have more comprehensive menu knowledge and can effectively upsell and educate customers. Kitchen staff can quickly become experts on recipes, leading to faster service and higher quality dishes.

 

Additional benefits of having fewer moving parts, people and ingredients are increased efficiency and minimal mistakes — everybody wins in this scenario.

 

Happy Customers

Everyone wants to be happy. Smaller menus help your customers get there. It is easier for your customers to understand who you are and what makes you awesome if they aren’t getting lost in your menu.

 

Visually, the menu will be more appealing in print and online. The physical menu will have white space and room to move, taking advantage of menu psychology theories. Plus, the digital menu will be simpler to scroll.

 

“Keep the menu easy to read and therefore easier to make a menu choice… especially if your customers are reading and ordering from a phone,” says Keppy.

 

Smaller menus increase the perception of quality over quantity and don’t overwhelm indecisive guests.

 

As ticket times decrease, customers get their orders faster, and that makes them ecstatic.

 

Gearing Down to Go Up

“Do what you are good at and what you are known for while still offering items that appeal to the general groups of meat eaters, vegetarian and vegans, healthy eaters and indulgent consumers. If you are a chicken place, offer fried, grilled and a plant-based version,” says Keppy. 

 

He also reminds us that “no matter what you offer, always consider the quality and appearance on the plate as well as in the takeout container.”

 

Shrinking your menu is all about dollars and cents, and just makes good sense. Your operation will be stronger, more focused and even better than before. Your customers will thank you, and so will your bank account.

 

 

 

Visit chefconnexion.com for more articles and expert advice

 

Written by Cheri Thompson

 

 

 

 

 

 

Flanagan Foodservice at 9:42 AM
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Does Restaurant Catering have a Future?

People enjoying a meal

 

Does Restaurant Catering have a Future?

 

Could catering help restaurants bolster their bottom line? The question may seem counterintuitive since catering, like other areas of foodservice, has been hard-hit by the pandemic. But restaurateurs who have weathered pandemic restrictions and public hesitancy about dining out may be considering whether or not to add a catering operation. 

 

The pros and cons of adding a catering operation

Glenn Whitehead, owner of Plant Matter Kitchen and Plant Matter Café in London, Ontario, says, “Adding any possible revenue stream is probably just good common sense, to be honest. […] If you own a business right now and you’re open, then offering whatever you can is certainly something that I would strongly suggest.”

 

Jeff Dover, principal at fsSTRATEGY Inc., a foodservice and hospitality industry consultancy, adds, “The pro is that catering is more profitable than the restaurant business. Some of the fixed costs that impact the profitability of restaurants are known. You know how many orders, of what, and at what time. It also makes use of kitchens and kitchen labour that are idle or have excess capacity during COVID.”

 

On the con side, he points out that pandemic gathering limits affect the size of events, decreasing demand for catering. And many businesses that used to have staff meals catered now have those staff working remotely for the foreseeable future. No staff = no office catering.

 

Is the future in event or office catering?

Which has a better future: event (e.g., weddings) or office catering? The answer depends on whether you’re looking at the short term or beyond.

 

Dover says he’d choose event catering because these contracts “are typically larger and can involve alcohol-generating additional revenues.” He also notes the pent-up demand for event catering. 

 

Public health restrictions, however, continue to restrict catering demand for such events. Whitehead is well aware of the pandemic’s impact on this part of his business. He catered hundreds of events before COVID-19 took hold, but that business dried up once restrictions hit. “Basically, we haven’t done a thing in a year,” he says.

 

Many variables influence when a hundred or more people will be able to get together again, Whitehead says. He doesn’t anticipate catering large events of any kind before mid- to late-2022. However, he does see opportunity in catering office lunches, especially in office towers where there are multiple businesses open with non-skeletal staffing.

 

Think of catering differently

 

Adding a catering operation requires fresh thinking about what catering means and how to plan carefully, especially as the third wave of the pandemic is making its presence felt in Canada.

 

Whitehead says, “Looking for other [revenue] streams is a critical piece to try to get enough sales to cover things and keep moving forward.”

 

Rather than the traditional weddings and conferences, foodservice operators looking to get into catering need to consider smaller-scale approaches that can generate revenues in the short term. In addition to the office lunch trade, options include catering meals for small gatherings at people’s homes and meal kits, both of which have become more popular during the pandemic.

 

Technomic, Inc., which provides insights to the foodservice industry, reports that for the second quarter of 2020 in Canada “45% of younger consumers, including Gen Zers and millennials, are buying more meal kits now from restaurants compared to before the pandemic.”

 

Whitehead says that with people being more cautious but also bored of cooking, restaurants can offer them more variety through items like meal plans and seasonal kits. “It’s a little bit less catering and more meal kits, but I would put it under that same category.”

 

He has always offered a meal plan service, with clients who come twice a week to pick up several days’ worth of assembled meals. “They don’t have to do anything but heat them up,” he says, “so that’s certainly an option that I think will continue to grow.”

 

Tips for adding a catering operation

Operators exploring adding a catering operation should think about the following considerations.

 

  • Investments — The equipment you need depends on the type of catering you’re doing. Dover suggests you may need smallwares for preparing and transferring food, and equipment to reheat or finish food on site. Whitehead advises you keep any investments to scale.
  • Menu — “Play off your existing menu,” he says, “because every time you add or change something, you’re adding to your food costs [and potentially] everything else, like labour.” Dover suggests you select menu items that travel well, and you should also consider special diets.
  • Marketing — “Try to get the word out without investing too much money, effort, or energy,” Whitehead recommends. He suggests marketing through social media and flyers attached to pickup and delivery orders.
  • Feedback — Improve your catering efforts based on the feedback you receive, Whitehead advises. 
  • Adaptability — If there’s one thing we know about the pandemic environment, it’s that restrictions and rules can change with little notice as the situation evolves. Factor flexiblity into your catering operation. 

 

Written by Marlene Cornelis.

 

Visit chefconnexion.com for more expert tips

 

 

 

 

 

Flanagan Foodservice at 3:07 PM
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10 Creative Marketing Strategies

Restaurant worker on an ipad

10 Creative Marketing Strategies to Increase Revenue

 

Marketing your restaurant brand successfully, meaning you’re actually experiencing a return on your marketing dollars, can often seem an insurmountable task.  

 

It’s important to keep in mind that some of the most effective restaurant marketing strategies are designed to produce long-term results, as guests need constant visual reminders and communication about your brand to persuade their decision-making.

 

Here are 10 restaurant marketing strategies to leverage with the core objective of increasing revenue in the short- and long-term: 

 

1. Targeted Digital Advertising

Instagram and Facebook have made it extremely easy to attract and gain new guests with targeted digital advertising. Set your ad objective to target audiences similar to who follows your social pages, and drive them right to your website for reservation bookings. You can track the results, and not only begin seeing your social community grow, but also your reservation bookings.

 

2. Ticketed Events and Experiences

Create a seasonally inspired ticketed experience or event that requires guests to secure their spot in advance with a ticket. Not only does this guarantee a full house, but also allows you to manage the profit margin to increase your revenue, while creating a unique experience for guests. Try EventBrite for ease of ticket management. 

 

3. Promotional Marketing

Promotional marketing has a reputation of hurting the bottom line, but that isn’t always the case if planned strategically. There are many ways to maintain your brand experience and reputation, while offering a nominal perk to encourage guests to dine with you, and spend a little bit more. The objective with promotional incentives should be to increase the average check, by upselling the order on profitable menu items. Themed menu nights, pre-set menus, menu specials, alcohol features, and combos are all forms of promotional restaurant marketing that can increase revenue.

 

4. Sampling and Tastings

What better way to encourage sales than by giving someone a complimentary experience first! This marketing tactic allows you to communicate one on one the key selling features of the menu item or beverage, while making the guest feel special with a complimentary tasting. Work with your suppliers to create the experience and provide additional support and product, which will also reduce your expenses and increase your profit. 

 

FACT: Customers are 93% more likely to purchase an upgraded bottle of wine ($10 more) when offered a sampling. 

 

5. Pop-Up

Why wait for the guests to come to you, when you can go to them? Pop-up carts, booths, and street activations can be very a cost-effective way of reaching a new audience and marketing your brand experience directly. Be sure to hand out a promotional piece, such as a complimentary appetizer or dessert card, to invite guests to your physical location to dine again!  

 

6. Private Label Products To Go

Consider leveraging your most popular dishes, sauces, or made-in-house products that have the highest profit margin, and packaging them to go for guests to enjoy at home. This out-the-door form of marketing keeps your brand top of mind in guest homes, sparks word-of-mouth advertising, and provides your business with another revenue stream. 

 

7. Dining Rewards

Most restaurant point-of-sale systems have built-in rewards programs that track guest’s information and dining history. The systems are extremely sophisticated, and often provide digital marketing opportunities to reward guests based on their dining behaviour and milestones, such as birthdays and anniversaries. Whether it’s a complimentary birthday dessert or points towards achieving a unique experience, be sure to maximize the preexisting marketing tools in your point-of-sale, or reservation booking systems, to encourage repeat business. 

 

8. Brand Collaborations

You know the saying – “Keep your friends close, and your enemies closer”? This rings true for restaurant competitors too! Over the last few years, as restaurants have struggled with new industry challenges, we’ve witnessed the birth of restaurant and chef collaborations with the objective of bringing unique experiences to guests and driving new business. Consider hiring a well-known chef to design your seasonal menu, or feature some unique menu items designed by another popular restaurant that serves a different type of cuisine, or collaborate on a pop-up to share costs. The ideas are endless, and with the right collaboration the results can be very positive for the bottom line.  

 

9. Google Business

When it comes to marketing your restaurant brand, Google Business is a tactic that many restaurant brands have still not tapped into fully. Google Business pages provide a platform where you can showcase images, post daily updates, create digital promotions for guests, link to your website and social platforms, and encourage guests to reward you with 5-star reviews. When a guest Googles your brand, your Google Business page is likely the first thing that pops up, which is why it’s so critical to manage this platform. The best part, all of the digital tools are free. 

 

10. Own Your Restaurant Website

Let your website be the front door to your restaurant where diners can learn about you before they make a reservation. Your online strategy isn’t complete without one and sites such as the all-in-one platform Sociavore was developed for independent restaurant operators like you to be in full control of your brand, content, online ordering and reservation booking system. Your website attracts visitors and drives sales, so take control of your online presence. Book a Sociavore demo here.

 

Take your marketing efforts to a more profitable level by implementing one or more of these creative strategies for your restaurant brand. 

 

Written by Kate Engineer, originally posted on chefconnexion.com.

 

Visit chefconnexion.com for more articles

 

 

 

 

Flanagan Foodservice at 1:11 PM
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Managing guest expectations during times of constant change

Managing guest expectations during times of constant change through effective communications tactics

 

Social media icons on a tablet

 

Keeping your guests informed and up to date about what to expect when dining at your establishment has never been so critical to the success of your foodservice operation. The restaurant industry remains in a state of constant change, and to maximize the allowable dining capacities, you need to up your communications game.  

 

Start off by keeping these key questions top of mind for a more tactical approach to your communications: 

  1. What do guests want to know right now about my restaurant?
  2. How will the message we’re communicating make them feel?
  3. Where and how do they want to receive messages?
  4. How will they respond and how can our team be ready?

Transparency is a Winning Tactic

First and foremost, a transparent and authentic approach is critical in achieving effective communications that will leave your restaurant guests feeling comfortable, safe and informed about the NEW dining experience at your establishment. Be first to share your health and safety procedures, operational changes such as seating and team updates, and menu modifications, so guests know upfront what to expect without having to ask. This tactic will help to demonstrate that your team takes the changing circumstances seriously, you’re informed, and you want to provide the best guest experience. 

 

 

Consistent and Timely Information is Key for Restaurant Marketing

In a recent poll, 59% of respondents shared that they use Google to find out information about a restaurant, while 41% use Instagram.

 

Reservation booking platforms, search engine listings, your website, social media, and review websites all share pertinent information about your restaurant that informs guests decision-making. The information listed on these digital touch points must to be current and consistent for maximum awareness. There is nothing more frustrating for a guest than showing up to find a closed restaurant, when online it says it’s open. 

 

Here is the key information guests are looking when they search; be sure to keep it updated:

  1. Health policies and procedures
  2. Hours of operation and seating times
  3. Menus 
  4. Reservation system 
  5. Takeout and delivery options
  6. Specials 
  7. Contact information

 

 

TIP:  Help reduce email inquiries, direct messages, and phone inquiries by providing a few frequently asked guest questions and up-to-date team responses on your website, Facebook, and Google Business page! 

 

 

Focus on the Fun

It’s easy these days to overuse the pandemic in our communication, however when the time is right, focus on the new and exciting things happening at your restaurant to entice guests back in to dine and continue to take out. New menu items, improved service, seasonal drinks, revamped décor and design, weekend events, and special occasion celebrations are all things to communicate that will remind guests of why they should choose to dine with you versus a competitor.  Promote what you’re best known for, and feature it on all of your communications platforms! 

 

 

Get Even More Social

Social media is your simplest and quickest way to share what’s happening at your establishment with guests, and to spark two-way communication. Up your posting to daily, and share the unique brand experiences that will excite guests the most. With health and safety top of mind for diners, ensure your photography and video content showcase your team following the proper procedures, in order to resolve any guest concerns; transparency is absolutely the best policy. When boosting your social media presence be prepared for increased guest inquiries through direct messages and comments, and have a plan in place to respond within less than 24 hours. The FAQs and responses are also a useful tool when responding on social media. 

 

 

Land in the Inbox

Whether you send monthly emails or have never sent email communication from your brand, now is the time to get in the inbox. You’ll be fighting for space, however email communication is a great tactic to provide more detailed information for guests to help keep them informed of your weekly or monthly happenings. E-newsletters should be short and sweet, with a catchy subject line, and include hyperlinks either back to your website or a direct email for more information. Utilize email communication to feature operational and safety news, menu features, and special events.  

 

 

 

TIP:  Can’t afford a graphic designer? Try Canva at no charge for a well-designed branded e-newsletter you can create in no time. 

 

Guests are eager and excited to get back to in-dining, and the most effective approach to filling your seats is to communicate timely and accurate information that sets a clear guest expectation. Your brand can’t over-communicate right now; it’s time to get loud!

 

Written by Kate Engineer and shared with permission from chefconnexion.com

 

Visit chefconnexion.com for more great tips

 

 

 

 

Flanagan Foodservice at 1:21 PM
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Add smoke flavour to your menu

Where there’s smoke, there’s fire: how to add smoke taste to your menu

Smoke on a black background

 

Our love affair with the scent and flavour of smoke is primal, evoking memories from deep within us. Canadian diners continue to be enchanted with all things smoke.  

 

Gone are the days where customers only want smoky flavours associated with BBQ. Smoke continues to waft across menus. Although proteins (both animal and plant-based) continue to dominate the smoky spotlight, this delectable flavour profile now permeates salads, desserts and even drinks.

 

Go all in with in-house smoking or utilize the flavour packed offerings from Canadian suppliers who know their smoke. Fan those delicious smoky flames and ignite your menu.

 

Not fizzling out

 

Smoking and smoke flavours have been around for millennia, but restaurant customers still can’t get enough as smoke continues to waft through menus across the country.

Technomic’s foodservice industry intelligence platform tracks flavours and preparations on menus. And they see smoke!

 

Among the foodservice establishments Technomic tracks, 45% of operators have menu items featuring smoke flavour or smoke preparation methods. And depending on the segments, the rate is even higher. Food Trucks – 75%, Upscale CDR – 68%, Fine Dining – 66%.

 

It all makes sense when you consider that poutine appetizers, specialty burgers, sushi and even breakfast platters boasting this flavour profile continue to show growth. When you look at meal parts, desserts that feature smoke are showing an astonishing 33% growth.

 

Yes, smoke for dessert. And well beyond s’mores, banana boats and mountain pies. How about Smoky Banana Bourbon Bites, Apple Pie with Smoked Cheddar Crust or Smoky Spiced Chocolate Cake?

 

 

Blaze a trail  

Hanging out at the cottage, delighting in bonfires and watching grandpa at the BBQ are fond memories evoked by the smell and taste of smoke for Victoria Horton, sales and quality assurance for Horton Spice Mills.

 

“People love smoky flavours because of the memories. It reminds us of summertime, nice weather and social gatherings.” And who isn’t craving that right now? “The scent gives us a moment to reminisce, but the flavour is delicious and keeps us coming back for more,” she adds. 

 

“Operators should add smoky flavours for the experience,” Horton suggests. “And for the nostalgia.”

 

“Smoking meats and other ingredients takes time. It’s a low and slow process,” she reminds us. “If operators want to achieve dishes with smoky flavours without all the work and time needed, spices and seasonings can do the trick. Add them before, add them after, or both, to whatever you are cooking.”

 

Horton Spice Mills has a few items that can bring smoke to a dish without all the time and effort. How about a Smoky Salted Caramel Pear Tart using their smoked salt. Or a quick Portobello Mushroom Paprikash with smoked paprika.

 

“Our chipotle seasoning adds a hint of smoke and we have created a Smoked Montreal Steak Spice,” says Horton. 

 

All fired up

“Smoky flavours offer a sensory experience like no other,” says Steve Hutchinson, VP of marketing for foodservice for Parmalat/Lactalis.

 

“It’s a flavour adventure not easily replicated with in-home dining and can therefore make dining out an incredible experience. Operators who can create these unique smoky flavour experiences and link it to their signature dishes can keep customers coming back.”

 

Cheese and cheddar are top ingredients paired with smoke. Lactalis takes it a step further with Balderson’s Double Smoked Cheddar. Using it on the menu can impart intense wood smoke flavour, and the fact it pairs well with dark and amber beers, ales and lagers is a bonus.

 

Kick it up a notch higher and pair smoky appetizers with smoke-infused cocktails. A Manhattan, Bloody Mary or Martini will take centre stage when you add smoky elements – infused spirits, smoked ice cubes, smoking the glass or adding a smoked garnish. 

 

Smoke signals

“Differentiation and craveability are key to gaining new customers,” says Unilever Corporate Chef Kyla Tuori, who has been working with operators to help their businesses excel for the past 14 years.

 

“The flavours we associate with “smokiness” add complexity to so many recipes, craveable enough that they are now being incorporated into vegetables dishes,” she says.

 

“Smokiness in your dishes allows for simple, yet impactful, enhancements for a variety of cuisines. Adding smoke flavour, or the process of smoking can be introduced as a subtle background note or leading flavour.”

 

Not all operators have access to smoking equipment or the inclination to add another process to their busy kitchens. But there’s always another way.

 

Says Chef Kyla, “Unilever created the Knorr Intense Flavours Deep Smoke. This concentrated liquid seasoning allows you to easily add the rich smoky taste.” 

 

She also reminds us that yes, smoky is amazing but adding other flavours can further enhance your dishes. Knorr Citrus Fresh Flavour is a great example of a complement to smoky dishes but can also be used multiple places on your menu.

 

Where there’s smoke, there’s fire. Grab your ingredients, add the fuel of your imagination and creativity, stay true to your brand and add some major heat to your menu.

 

Written by Cherie Thompson and shared with permission from Chef Connexion. For more great articles and recipes visist chefconnexion.com.

 

Visit chefconnexion.com

Flanagan Foodservice at 12:56 PM
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