11. Menu Design
Supplemental
Merchandising
What additional material
could/should be included
on my menu?
12. Hours, Meals
Served
Reservation Policy
Payment Policy
Address Upcoming
Telephone Supplemental Events
Fax Merchandising Community
Web site Support
History
Commitment to
Service
14. Correct Sequence
Easy to of Dishes House
Read Specialities
Menu Items
Font Planning a Names and
Paper Layout Descriptive
Artwork Copy
Menu Format
Which Place
positions Single-Panel for Daily
sell? Two-Panel Specials
Tri-Panel
15. Menu Design
Do different places on a
menu sell better?
Gaze Motion Study
Theory of Primacy and Recency
17. Clip on Type is No
Problems too descriptive
small copy or
Blank too little
Pages
Basic Every
Expensive Information item
to Reprint about the treated
property is not the same
included
Easily Some
Dirty Food &
Beverage
Menu is
items not
Spelling too
listed
Mistakes small
19. Before the menu is evaluated
and analysed ONE big
question needs to be asked
20. Average Spend Average
on Food per Number of
Customer for Courses for
Lunch / Dinner Lunch / Dinner
What performance goals were
Budget
Budget set for the operation in terms of
revenue?
Average Spend Seat Turnover
on Drinks per for Lunch /
Customer for Dinner
Lunch / Dinner
21. To determine future revenue
for a period what questions
need asking in terms of
numbers?
22. How many seats in
80
the restaurant?
Days open per week
6
Lunch / Dinner?
Lunch Dinner
Seat Turnover for
Lunch / Dinner? 1.6 0.50
Average spend on
$20 $32
Food per guest?
Average spend on $8 $14
Drinks per guest?
Budgeted Total Weekly Revenue $21,504 $11,040
23. Once performance
objectives are set a simple
performance table can be
created to measure actual
results against the objective
(goal)
24. Performance Table
Revenue Goal Actual Variance
Performance Comment
Goals (80 seats) L D L D L D
Avg. Spend Food $20 $32 $17 $25 ($3) ($4)
Avg. No. courses 1.5 3 1.2 2.5 (0.3) (0.5)
Avg. Spend Drinks $8 $14 $6 $17 ($2) +$3
Seat Turnover (80) 1.6 0.50 1.3 0.75 (0.3) +0.25
Lunch Dinner
Budget $21,504 $11,040
Actual $14,352 $15,120
Variance $ 7,152 $ 4,080
25. What issues did the
example raise in terms of
business performance?
26. What are What are What
the key the key issues need
negative positive to be
points? points? addressed?
Avg. spend food Budget
(were the goals
Avg. spend Avg. spend set too high?)
drinks (L) drinks (D)
Staffing (training
No. of courses Seat turnover (D) and up-selling)
Seat turnover (L) Menu
28. Have guests Have guests
complimented complained
the menu? about the
How does menu?
the menu
compare with
those of
Is there competitors?
enough / too Is the
much variety menu
in menu attractive?
items?
29. Are the menu Is there too
items laid out much / not
in an appealing enough
and logical descriptive
sequence? Are the menus copy?
easy to maintain
so guests
always receive a
clean attractive
menu?
Is the menu
easy to read
Does the paper
and
match the
understand?
restaurant’s
theme and décor?
30. Has the Are the menu
average check items priced
remained correctly?
stable,
increased or
decreased? Is attention
called to items
managers most
want to sell?
Is the right mix of
high-profit and
low-profit items placement
colour
being sold?
description
type size
32. The only real way to
maximize profit from a
menu is to ANALYSE
the SALES
performance of each
menu item over a
period of time.
33. How should
menus be
evaluated to
determine whether
the “right” menu
items are being
sold?
34. By answering
the two BIG
questions
Is it Is it
POPULAR PROFITABLE
for our for my
customers? business?
35. How is
POPULARITY
measured?
Measure this
Sales against a pre-
determined
Mix By measuring standard
how often a
dish is sold
over a given
period.
36. How is
PROFITABILITY
measured?
Contribution After material
Margin (CM) cost i.e
in $ Food Cost
(FC)
By calculating
what each dish
contributes to
the operation
37. QUESTION
CM is
Which item is CM is
$6.50 the better one $7.50
15%
to sell?
Item 1 Item 2
Food Cost $ 1.50 Food Cost $ 3.50
Selling Price $ 8.00 Selling Price $11.00
Food Cost % = 18.75% Food Cost % = 31.81%
Remember you bank $ not %
38. What happens
when
POPULARITY
Is combined with
PROFITABILITY?
39. Popular Popular
BUT NOT &
Profitable Profitable
4 ways to
classify
Menu items
NOT NOT
Popular Popular
& NOT BUT
Profitable Profitable
40. HIGH
Popularity
horse star
LOW dog puzzle
LOW Profitability HIGH
Research from Kasavana & Smith
Research from Kasavana & Smith
42. Question?
Is the menu item
labour intensive or
not to prepare,
cook and serve
43. Popularity
e g
r rs in
c to ho
n
hi tar
H tr a L S S
d og
o ur l e
b zz
La
e pu
at r
m ta
lti og s -
u d in r
ra se
B a
L
H te
Profitability
L H
Research from Le Bruto, Quain & Ashley
Research from Le Bruto, Quain & Ashley
45. To accurately analyse
an entire menu it must
be separated into its
key course offerings
Main
Starters Desserts
Courses
The total MENU MIX for each area is 100%
46. What information is
required for each
menu item?
Food Cost Selling Price Number sold
(FC) (SP) for the period
Measuring these factors against defined
standards for profitability and popularity
47. Measuring
Popularity
Each menu Expected An item is
item is Popularity POPULAR if
assumed to (EP) it reaches
be equally = 70% of the
popular EP
100% / no. of Research from Kasavana & Smith
items
Research from Kasavana & Smith
Popularity Index = EP x 70%
48. Measuring
Profitability
Calculate the
Contribution An item is
Margin (CM) Calculate the PROFITABLE if
per item on Average CM
the menu (ACM) within each CM ≥ ACM
course for all items
SP - FC
sold for the period
ACM
= Total CM / No. of Items Sold
49. In order to put the
theory into practice
we must have built
in control
procedures
54. Summary of
Ingredients
Required Cost of each item
quantity of each and cost of recipe
Portion Main
size Equipment
Preparation
procedure including
time & difficulty factor
55. Why are standard
recipes so
important from a
business point of
view?
56. Accurate Food Less
Cost of the dish supervision as
guesswork is
eliminated
Consistency
Reduces Look, Costs,
wastage Tastes the
same
Satisfied The recipe is NOT
customer just in someone’s
expectations head
57. In order to engineer
and analyse a menu we
must have built in
control procedures
Ingredient Standard Correct
List with Recipes Customer
up-to-date for an Counts
food prices accurate and Menu
Food Cost Sales
58. What FACTS do we
want to obtain when
a menu is analysed
from a control point
of view?
