The outbreak of Covid-19 has posed new challenges to restaurant industry worldwide. As per the survey conducted by National Restaurant Association, the industry has lost $120 billion in sales in March, April and May and is expected to lose $240 billion by year end. The question of how to make your restaurant profitable assumes great significance in this scenario.
It is said that appetite comes with eating, yet how many times have we sat in a restaurant and flipping through the menu has our mouth watered? Scrolling through the different names of the dishes we evoke flavors, aromas and suggestions that make us lean towards one recipe or another.
The main objective is to encourage the purchase of targeted dishes, the most profitable ones, and to be able to make informed decisions about the need to change or remove a dish from the menu.
4 core areas to focus on improving restaurant margins
By focusing on 4 main areas, you can make a drastic difference to the functioning of your restaurant.
Cut down food costs – One of the major reasons that eat away your profits is the wastage of flood, theft, and pilferage. With the help of cloud-based Restaurant POS software such as inresto POS, you can make optimum use of kitchen resources and track wastage. Real-time tracking of supplies and raw materials makes it more secure, and theft and pilferage alerts leave no scope for theft.
Try to reduce overheads – The best way to bring down overhead costs is by making your employees more productive. This can be done by hiring qualified staff, provide proper training and incentivising top performers. The insights provided by digital POS platforms help you easily identify the top performers. Recognising and rewarding efficient employees create happier and loyal employees which translates into reduced hiring, training costs and increased profits. Training the staff on multiple tasks is another way to increase the efficiency of employees.
Leverage technology – Implementing a modern-day digital restaurant POS software performs much more than legacy restaurant billing software. The restaurant management system optimizes your kitchen’s turnaround time by streamlining all operations from the central kitchen. It also reduces the serving time during peak hours and enables smooth coordination between the chef and the waiter. The insights provided by POS reports aids you in making smart and timely decisions and increase the overall efficiency.
Boost sales – Sales can be increased by conducting special events, offering discounts etc. to attract new and repeat customers. The marketing campaigns can be customised by leveraging platforms such as inresto. It helps you identify your target audience and conduct promotion campaigns through SMS, e-mail or push notifications. It also helps you collect feedback from customers and resolve grievances in no time.
Parting words
Modern-day digital POS platforms have led to a drastic change in the way restaurants operate. If you are aiming for a substantial increase in your profit margins, then it’s high time to embrace the benefits offered by POS platforms.
