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Seth

How to bring the old customers back and new customers in?

With the economy hurting and restaurants feeling it more and more. How do we bounce back? For some companies new promotions and ideas are not working causing the company to lose money instead. Are certain businesses just doomed never to be productive anymore? For now I work part time and it feels like no matter how hard I work, I probably won’t get offered a full time position. This isn't because of my lack of skill or determination, but because the restaurant business is struggling. I am sure I'm not the only one that feels this way, and would like to change that. Down the road I would eventually like to open up my own restaurant, but how would I keep the business afloat. If anyone knows of ways to help bring the spark back to a restaurant and have it thrive, I'd love to hear from you. Feel free to share your points and ideas to help strengthen a hurting business.

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Seth,
I just attended a Disney Institute seminar yesterday and they referenced an article about Olive Garden's increased sales during this rather bleak economic period. The interviewer asked the company executive how they were doing it and asked "are you cutting back on free breadsticks?" The executive replied, "No! We're giving more breadsticks!" The company's philosophy is we give, and we give more when times are hard because our guests will recognize and appreciate this and it will build brand loyalty. I think it is a good concept. The guests don't expect more right now, they expect us to pinch our pennies and tighten up the portions, etc... and when we give more, their expectations have been exceeded, and that's the bottom line for building loyalty... don't you think?
Seth you are asking a question whose answer can fill volumes of books. Lets just look at some highlight subjects:

Promotions ( See my last discussion entry)
Pricing
Service
Menu
Quality of food
Management
Appearance or appeal
Community involvement
Advertising
Public Relations
Treatment of Staff by management
Purchasing
Customer loyalty programs
Financing
etc.

All of these topics will play a part in the success or failure of the business in good or bad times.
I'm sure I left plenty out but that should get the conversation going. Keep learning and you will know how to run a successful restaurant in the near future. Good Luck
Seth:

There is no magic here. It just takes hard work, dedication and attention to detail. All businesses are tough to manage, never mind make money at it. As long as I can remember, our great industry has always been plagued by difficult challenges. Be it labour issues, food costs skyrocketing, hurting economy, more competition and more regulation, the answer to staying afloat is the same as it has always been.

Go back to the basics. Nothing can beat high quality products, great customer service and staying close to your customers. You must manage carefully during these times, and in the end, your customers will all come back.. they will... but you must reach out and stay in touch with them.

Another thing, as the organizations that are weak in management fall off the radar, the market will correct itself as the strong survive. To stay strong, expand you offerings, find creative ways to serve your customers. Consider all of the things that you can do in your establishment such as catering, delivery, wholesale, MailOrder and direct some of your attention to these growth opportunities.... You'll see the results... stay creative and flexible and it will sort out.
I agree Erle. With the company I used to work for, we were able to bring back old customers and lure new customers in by focusing on quality, customer service, and introducing something new in our menu.
handsome talented young seth,

you got skills man and some lucky company will snatch your competent and confident self up. let me know if i can help.
Hey Seth,

My advice is to move to Texas! We are experiencing a rapid growth in the hospitality industry. In fact, there are so many restaurants opening in my Houston, Texas area that I don't have the time to visit each and everyone.

However, since Twila mentioned one of my clients, Olive Garden, I would like to expound on other ideas that can help restaurants attract new customers and retain them.

The Olive Garden uses sensory branding, that is, creating an atmosphere where 1) the customers feel they are at home (see commercials) 2) feel relaxed 3) are charged a fair price 4) and have great customer service. In creating an appealing atmosphere, Olive Garden plays our fully licensed and commercial free music. This is not just some "music by the pound" but actually a music program that fits their customer demographics. Planning your atmosphere should take just as much time and consideration as planning your menu. You don't just throw some food out there for people to eat, you plan the meal. So, plan your atmosphere as well.

Get your customers talking about your restaurant. As an example, la Madeleine restaurants.

DMX's music design will reinforce the feeling of traditional French country life by offering soothing sounds throughout the entire space -- even into the bathrooms, which will feature spoken-word French lessons created by DMX's expert team of messaging specialists. Every la Madeleine location features an inviting fireplace and wooden dining tables that are reminiscent of a family dinner setting, made even cozier by the light classical background music chosen specifically to evoke a truly Continental experience.

Customers talk about their French experience at la Madeleine and how they learned to speak French in the restrooms!

All of this may seem trivial, but the reality is you want your customers to talk with their friends about where to relax and enjoy a fine meal. Provide them something to talk about - great food, great service and great atmosphere. Make your restaurant a destination event, not a, "let's go grab a bite" meal.

Ron
www.dmx.com
I personally believe that during these times we have to keep our staff upbeat. They are the people who interact with each quest who walk into the resturant. If we dont keep up there hopes during these hard there spirt will or lack of will overflow onto there quest. So as managers we need to take alittle extra time a say thank you and good job, it really makes a defference.
Ms. Lisa,

You are absolutely correct. Having employees that are happy in their working environment is essential to the success of any restaurant. Give them the opportunity to interact with management, listen to their suggestions, offer cash incentives for suggestions and great service and last, but not least, provide them a comfortable atmosphere where they, just like their customers, feel at home.

Playing a great (non-repetitive) selection of music, in either the foreground or background, can make any employee's day go by faster and more enjoyable. Owners need to think not only about their customers experience but their employees' as well.

A happy employee is a more productive employee.

Ron
www.dmx.com

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