| Is it possible to run a successful restaurant during | | | | something that brings you back repeatedly. |
| tough economic times? Can these restaurants not | | | | An example is the top two fast food burger |
| only survive, but continue to grow? Absolutely. | | | | joints; McDonald's and Burger King. On the surface |
| While it is not always easy, and may take a bit of | | | | they are very similar. They both have comparable |
| creative thinking, there are successful restaurants | | | | menu selections, offering burgers, fries, chicken |
| that have managed to improve their profitability in | | | | sandwiches, salads, and breakfast items. |
| spite of the downturn in the economy. These | | | | However, each of these two operations has |
| restaurants realized that many people are still | | | | differentiated themselves from the other. No one |
| working, and that they are still going out to eat, | | | | confuses a flame-boiled Whopper with a Quarter |
| both as a matter of convenience, and for | | | | Pounder, and BK doesn't have anything that |
| entertainment. | | | | tastes like a Big Mac. Which one is better is a |
| The restaurants that have been successful cover | | | | matter of personal choice, but the point is, they |
| the spectrum of restaurant concepts, and are in | | | | are very different in spite of their similarities. |
| many aspects very different from each other. | | | | Brand |
| These businesses do share a few things in | | | | Why has McDonald's managed to grow their |
| common. | | | | profits while the local burger drive-thru struggled |
| Value | | | | to survive? Among other things, it is the power |
| People want to get a good value for their money. | | | | of the brand. People recognize the name, and |
| For some, that means spending as little as | | | | when they are unsure of where they want to go, |
| possible. However, for many others it is feeling | | | | they will choose what is familiar. Now I'm not |
| that what you get is worth the amount you | | | | suggesting that you should try to compete with |
| spent, regardless of what that amount is. The | | | | McDonald's popularity, but you don't have to. If |
| customer could spend $10 in Restaurant A and | | | | your restaurant is located in a small mid-west |
| feel disappointed, and the next night spend $10 in | | | | town, you don't have to try and convince the |
| Restaurant B and feel like he had gotten a very | | | | people on the west coast that you are good, you |
| good deal. | | | | just have to be famous in your neighborhood, |
| Businesses refer to the concept of "perceived | | | | because that is where your customers are |
| value." Every customer that walks through the | | | | coming from. |
| door has a different perception of what is or is | | | | Building brand power doesn't happen overnight, but |
| not a good value, and they base that perception | | | | there are a couple of things that you can do to |
| on different things. It could be portion size, or | | | | make sure that it does happen for you. |
| quality of the food, the ambiance of the dining | | | | The first step is marketing. Just because you |
| room, or even the service they get from their | | | | make the best chicken in town doesn't mean the |
| server. The bottom line is, if they are going to | | | | customers will come. In order to get people |
| return to a restaurant they have to feel like the | | | | through the doors you need to tell them that you |
| cost of the experience was money well spent. | | | | are there, and what you can do for them. You |
| Differentiation | | | | need to make sure everybody has at least heard |
| There is an old saying that it two things are | | | | of you, and give them a reason to try your |
| exactly the same, then one of them in | | | | restaurant at least once. |
| unnecessary. The same could be said of | | | | The second thing is consistency. You need to |
| restaurants. If your restaurant is the same as | | | | make sure that the second visit to your |
| your competitors, why should a customer choose | | | | restaurant is the same great experience they had |
| you? | | | | the first time. This is true for both the quality and |
| A successful restaurant is one that is clearly | | | | serving size of the food, and the quality of your |
| different from the other restaurants in their | | | | customer service. People that come back to a |
| market. They are restaurants that when a | | | | restaurant do so because there was something |
| customer wants a particular experience or type | | | | they liked about their first visit. If they don't get |
| of meal, that restaurants name comes to mind. It | | | | what they like on the second visit, there might |
| is about being able to stand out from the rest of | | | | not be a third visit. |
| the crowd, and to be recognized for what you do | | | | If you are consistent, over time you will build a |
| better than your competition. | | | | solid customer base, and the good word of your |
| Look at the restaurants that you like to go to. | | | | restaurant will spread, and that is how your brand |
| Why do you choose that particular restaurant | | | | grows. |
| over the other restaurants in the area? It might | | | | Running a successful restaurant is not a quick |
| be because they have the best BBQ around, or it | | | | road to easy money. In fact, it can be very hard |
| might be the best salad bar, or the best selection | | | | work, but it can be a very profitable enterprise, |
| of micro-brewed beers. It might be something as | | | | even in tough financial times. All it takes is having |
| simple as the fastest service, but there is | | | | a solid plan for success, and sticking with it. |