Thursday, October 26, 2017
BUSINESS: Restaurants Regularly Pay 86% More for the Same Ingredient [Sponsored by Orderly]
Orderly analyzed a bunch of big data last month and found that restaurants regularly pay 86% more for the same ingredient, from the same supplier, in the same market, in the same week. If you’re looking to avoid major overpaying, download Orderly’s free app to track your pricing.
DID YOU KNOWS…
Accidental Weed Delivery
A couple in Florida got a major surprise after ordering plastic storage containers from Amazon. They ended up finding 65lbs of weed hidden inside the containers. After alerting the police, Amazon apologized and is looking into the matter further with law enforcement.
“That Ain’t from Philly”
Last weekend, ESPN posted a video on Twitter of their version on how to make a Philly Cheesesteak. People on Twitter called out ESPN for their subpar sandwich, claiming it wasn’t made the authentic Philly way. Take a look at the hilarious feedback for ESPN.
Tracksuits Aren’t Michelin Star Material
British pop singer Rita Ora recently confronted Gordon Ramsay about a time that she was denied access from one of his restaurants based on her outfit. The singer was wearing a tracksuit and sneakers which went against the restaurant’s strict dress code, forcing her to eat elsewhere. See the exchange on the UK talk show The Jonathan Ross Show.
WHEN MEATS GO MAINSTREAM
Why it matters to you: In an industry of declining sales, Arby’s remains on top.
Arby’s has been leading the way for sandwich chains for the past few years. Their creative and strategic business decisions have boosted their profits, keeping them at the top of the industry. As the company reintroduced their venison sandwich this year, Arby’s has gained nationwide attention for what the chain will do next. Arby’s is attempting the same with adding elk in select locations. In an Eater article, their meat selections are examined along with how their restaurants are building so much profit from a “low domestic supply” of these uncommon meats.
Due to the low supply and higher menu prices for both deer and elk meat sandwiches, the decision to incorporate these options has paid off tremendously. According to the 2017 Consumer Trend Report, researchers found 30% of consumers are interested in eating or trying exotic burgers. This is the niche audience that Arby’s is catering to, many of who are more than willing to pay extra for an exotic meat that is not readily available. Not only is Arby’s leading the way in unique menu options, but they’re killing it with their marketing tactics. Overall, restaurant operators can learn from Arby’s business decisions and analyze just how their strategies have become so successful.
FOLLOW THE LEADER
Why it matters to you: BWW is struggling to maintain its business and here’s their playbook.
The news for Buffalo Wild Wings has been pretty rough over the past 18 months. Sales slowdowns, labor market tightness, and the exploding cost of traditional chicken wings have all exacerbated their circumstances -- especially as they have emboldened Marcato Capital in their bare-knuckled attempt to introduce change. Well, BWW is responding by creating a plan to stem the ebbing tide. They have identified multiple strategies to reduce cost, increase traffic, and grow profit/sales.
Just a few highlights of their plan includes a renewed focus on labor cost reductions through technology and improved deployment. Additionally, they are focusing on food cost by converting their half price wing night from traditional to boneless wings. At minimum, every sports-themed operator should read through the rundown of their action plan and see if they can benefit from any of their efforts. There is no excuse for your business floundering if you haven’t considered everything available to improve your circumstances. Give it a read and let us know if you learned anything.
Hero image courtesy of Business Insider