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Ballas shares his insights with Modern Restaurant Management (MRM) magazine and discusses issues that must be on the radar for franchises and brands including AI, automation, sustainability, staffing, training, and more. What are some key trends you expect to affect the franchise landscape this year and in years ahead?
Restaurants must now navigate a razor-thin margin between maintaining customer loyalty and managing escalating costs. The chain’s documented emphasis on training shows in its strong performance on service quality and value. At the same time, U.S. chain sales grew just 3.1 percent in 2024 — falling short of the 4.1
Platforms that consolidate key functions—such as sales, employee management, rewards programs and operations—into one streamlined system are crucial for enhancing operational efficiency across the QSR sector.
In today's digital landscape, restaurants have become prime targets for cybercriminals who take advantage of potential entry points from point-of-sale systems, online ordering platforms, customer databases, loyaltyprograms and third-party delivery services. Consider the alarming pattern over the past three years.
This level of customization not only enhances guest satisfaction but also drives customer loyalty, which is crucial in our competitive market. AI has the potential to revolutionize hiring processes, employee training, and even workforce scheduling, leading to more efficient operations and improved guest services.
LTOs also help you spotlight high-margin items or move excess inventory without slashing prices across the board. Train your restaurant staff to mention LTOs to in-house guests, promote them across your social media channels, and feature them in your online ordering system so guests see the promo with enough time to plan and react.
Every day, youre juggling staff, food quality, inventory, customer service, purchasing, and moreall while trying to cultivate a dining experience that wows your customers enough to keep them coming back. Front-of-house teams need clear expectations, strong training, and a service mindset that ensures guests feel valued.
For example, train kitchen staff to prepare orders in the order they were received. Order Accuracy Rate Customer loyalty is significantly impacted by the order accuracy rate, which measures how often customers receive exactly what they ordered. Staff training: Ensure employees double-check orders before sealing bags.
Standardized TrainingPrograms: Newbies get uniform training with digital training tools across multiple locations. This approach not only makes it easier to train new staff on familiar machinery but also simplifies maintenance and reduces downtime. Inventory management software: Tracks stock in real-time.
Programs like AutoCAD, SmartDraw, and RoomSketcher offer 3D modeling features. Cloud-Based Inventory Management Inventory is one of a restaurant's most crucial assets , and ensuring a smooth transfer from one location to another can be daunting. This preemptive training reduces the learning curve.
Factors like portion size, seasonal ingredients, and market price changes all affect this number, which is why inventory management and regular updates to your recipes and pricing matter. In many cases, controlling labor costs is less about cutting people and more about scheduling smarter and cross-training your existing employees.
The next youre racing to keep inventory stocked while customers wait for tables. Hire the Right People and Train Them Well Finding top talent is like casting a winning team. Training locks in that potential. The National Restaurant Association found well-trained staff stay 30% longer. Training builds a stronger team.
Integrating mobile inventory systems with POS platforms simplifies restaurant operations by automating inventory updates, reducing errors, and providing real-time insights. Here’s what you need to know: Benefits : Real-time stock updates, improved accuracy, and smarter inventory planning.
Cross-train team members to handle multiple roles during slower shifts. Modern POS and inventory systems can help you: Track best- and worst-performing menu items Understand peak hours for optimized staffing Forecast inventory needs to avoid waste and missed sales Restaurant technology doesnt just save time, it saves money.
Smart Cost-Cutting Strategies for Restaurants Effective inventory management requires a well-trained, organized team using consistent routines, streamlined processes, accurate par levels, menu cross-utilization, and reliable inventory software to minimize waste and maintain efficiency.
As you know, theres no shortage of labor challenges: Rising hourly wages driven by minimum wage hikes Persistent employee turnover High training costs for new hires Payroll taxes and employee benefits So how do you reduce labor costs without burning out your team or sacrificing customer service?
The research found that businesses worldwide – particularly restaurants – intend to experiment more in 2025, especially with customer retention programs like loyalty, as they face the triple challenge of sustained high inflation, shrinking consumer wallets and the need to raise prices across the board.
Integrations : Connect with loyaltyprograms, delivery platforms, and inventory systems for seamless personalization. Improves Operations : Smarter inventory and menu management. Example : OMaddys in Florida uses its POS data to refine menus based on feedback, boosting customer loyalty and satisfaction.
That’s why having a solid restaurant management trainingprogram is so important for owners and operators looking to build a successful team. A well-structured management trainingprogram equips new leaders with essential skills while promoting ongoing development.
It’s a cloud-based POS system tailored for restaurants, offering tools like inventory management, employee scheduling , and CRM. With features like dual pricing to cut credit card fees, real-time inventory tracking, and integrations with QuickBooks and Uber Eats, Lavu simplifies operations for businesses of all sizes.
A modern POS system for bars goes beyond just processing paymentsit helps with inventory management, staff scheduling, and real-time sales tracking. Lavu : Best for ingredient-level inventory tracking and loyalty features. Lightspeed : Ideal for advanced inventory control and analytics. Pricing starts at $9.99/month.
These reports help you understand sales trends, manage inventory, optimize staffing, and improve customer satisfaction. Inventory Reports : Monitor stock levels, usage patterns, and waste to control costs and prevent overstocking or shortages. Over time, these insights can inform decisions about staffing, inventory, and menu tweaks.
By closely monitoring and optimizing this percentage, restaurants can better manage their inventory, minimize waste, and lower their overall expenses, ultimately maximizing cost reduction. Here are some examples of incentive programs that you can offer employees to help you cut spending: 1. Food cost control is crucial.
Tools and Technology for Monitoring Food Inventory Software : Track stock levels and expiry dates to reduce spoilage. Training and Engaging Staff Your staffs commitment to waste reduction is pivotal. Training and Engaging Staff Your staffs commitment to waste reduction is pivotal.
To maximize their effectiveness, place kiosks in high-traffic areas, integrate them with your POS system, and provide staff training to assist customers unfamiliar with the technology. But automation doesn’t stop at order management – it also tackles inventory challenges. But kiosks are just one piece of the puzzle.
Method to Compute CoGS Start with the value of your beginning inventory. Subtract the value of your ending inventory. The formula is: Beginning Inventory + Purchases – Ending Inventory = CoGS. High CoGS can eat into profits, so it’s important to manage inventory and control waste effectively.
Source Vendors and Set Up Inventory Tracking Quality ingredients can set your deli apart from similar businesses in the area. If you are sourcing ingredients and products from multiple vendors, consider investing in inventory management software. Related: The Essential Guide to Restaurant Inventory Management Software 3.
From real-time inventory tracking to mobile ordering and multi-location management, the right POS helps restaurants grow faster and operate more efficiently. Toast : Designed for restaurants, offering tableside ordering, inventory management, and a free starter plan with 3% payment processing. Thats where Lavu leads the way.
From AI-driven ordering systems to smart inventory tools and contactless dining experiences, today’s innovations are reshaping how restaurants operate, serve customers, and stay competitive. Have you wondered about the possibilities of training new hires without the risks and costs of a normal training session?
Here’s how it can transform your business: Boosts Efficiency: Automates orders, payments, and inventory tracking to reduce errors and save time. Reduces Food Waste: Tracks inventory in real-time, minimizing overstocking and shortages, saving up to 10% of annual revenue. Real-time inventory tracking is another key feature.
From streamlining orders to managing inventory and staff, these systems provide the tools restaurant owners need to stay competitive in 2025 and beyond. Data Insights: Real-time data helps optimize staffing, menu adjustments, and inventory. Consider a matcha café that uses an integrated loyaltyprogram through its POS system.
Whether you’re opening a new restaurant or upgrading your old system, this step-by-step guide will show you how to set up a POS system for a restaurant the right wayfrom picking the best features to training your team and getting started. Integration with online ordering, loyaltyprograms, and inventory tracking.
Optimizing the Bar Program with Digital Tools Beverages, especially alcoholic ones, offer some of the highest profit margins in the restaurant industry. To enhance profitability: Implement an inventory management software to track liquor usage and reduce waste. Partnering with food waste apps to sell surplus inventory at a discount.
Those priorities include increased marketing and sales efforts alongside new benefits and programs to attract and retain staff. As operators look to bolster these two key areas, they’re also closely watching employee training and guest preferences. Franchise 2.0:
Its industry-leading 91 NPS score reflects high customer satisfaction and loyalty. Ingredient-Level Inventory Tracking Keeping an eye on ingredients is critical to controlling costs. Easy-to-Use Interface and Remote Access A user-friendly design makes training faster and daily operations smoother.
Whether it’s adding a mobile ordering station, launching a loyaltyprogram, or integrating new third-party platforms, the focus is on modular systems that grow with the business. ” What we saw: Restaurants doubling down on handheld POS, QR code menus, integrated loyalty, and seamless payment options.
From processing payments and managing inventory to tracking sales and streamlining service, POS systems play a critical role in improving efficiency and customer experience. It combines hardware like tablets, receipt printers, and card readers with software for managing orders, payments, inventory, and staff. system uptime.
Your P&L line items should be consistent with the ones on different platforms—POS, inventory management, and accounting software. Health insurance, retirement plans (401(k)), paid time off (PTO) (vacation, sick leave, holiday pay), workers compensation, and meal discounts Training and onboarding.
Loyalty is a huge factor now as guests desire rewards and perks for sticking with a favorite small business, and repeat customers are keeping many restaurants going. Whether it’s speeding up order times, improving inventory management, or boosting loyaltyprograms, every tool should serve a purpose.
It is calculated by the following formula: 💡 Food cost percentage = (beginning inventory + purchases - ending inventory) ÷ food sales Ideal food cost percentage sits somewhere between 28-35%, depending on your restaurant concept. That means training your staff to deliver excellent service, every time.
We’ve reimagined our drive-thru model, introduced new kitchen technology to improve throughput, and strengthened our loyaltyprogram to keep customers engaged. Furthermore, digital tools for inventory and labor management became crucial for navigating supply chain disruptions and staffing challenges. more an hour.
With the rise of digital payment platforms and mobile wallets, restaurants can offer rewards programs, targeted promotions, and personalized experiences that cater to individual customers’ preferences. This fosters customer loyalty and allows restaurants to gather valuable data and insights to inform their business strategies.
Their financial health often hinges on a strong beverage program and optimized labor. Customer loyalty and promotions are ways to keep COGS in a café within healthy margins. Many coffee shops implement customer loyaltyprograms such as punch cards or points to bring in more revenue.
The same is true when keeping tabs on expenses, from utility bills to pay slips to employee training costs. Typical restaurant margins vary considerably due to a range of variables. serving food faster) How to decrease costs Learning how to reduce overhead costs helps you to keep more of every sale.
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