Monday, June 9, 2017
LOYALTY: Unlocking the Power of Restaurant Customer Segmentation
Consumer spending is 46% higher with companies that offer loyalty programs. Many restaurants have never thought in terms of “lifetime value” of their customers. So for this breakdown on customer segmentation, we invited Brad Marg, Chief Operating Officer with Clutch, to give you some great insights on what’s possible for restaurants.
DID YOU KNOWS…
NSFW: MLB Network Put a Cubs’ Logo in an Awkward Spot on a The Mummy Ad
File this under: “We didn’t think this one through.” But the MLB Network tossed up the Rockies and Cubs logo at the same time a The Mummy ad graphic ran, creating for a new title and a very different movie.
Study: Even Moderate Drinking Might Be Bad for Aging Brains
A new study published in the BMJ claims that moderate drinkers were more likely than light drinkers or abstainers to develop ill brain changes that can lead to memory loss. Learn more.
Does Your Restaurant Get 5 stars for Animal Welfare?
There are plenty of diners that care about the life and wellness of the animals before they become their dinner. Eat REAL, an independent program that certifies restaurants for health and nutrition standards, has now started to certify restaurants for animal welfare.
COMEY VS. CONGRESS MADE GREAT TV
Why it matters to you: Politics is as much a full-contact sport as football, so why not make it available for guests to watch?
Turns out James Comey’s testimony in front of the Senate Intelligence Committee wasn’t only watched by policy wonks and political junkies. This event had the feel of a national championship game with restaurants and bars all over the country displaying it with sound so guests to catch all the action.
One bar in DC even turned it into a drinking game. The timing, of course, was perfect. The 10am ET start drew folks out of work early to watch the spectacle and then stuck around for an early lunch.
There is a clear takeaway here that your televisions shouldn’t only be for displaying sports. Whether it’s the latest awards show (and there are certainly plenty of those every year) or a final episode of a competition show like Dancing with the Stars or the Voice, being mindful of the content guests want to view is a winning strategy. With sports generally only delivering about 250 days a year of compelling content, you should be looking elsewhere to ensure your TVs deliver as an entertainment source for your patrons.
PRIME THIS
Why it matters to you: The “prime” vendor relationship is much debated. Where do you stand?
Often times in our writings, we have suggested the value of a prime vendor relationship. This is your grocer or major supplier like Sysco or PFG that provides the bulk of the items you consume from food to service items. In a recent exchange captured on Restaurant Business Online, a wholesale grocer clashed with writer Jonathan Deutsch on whether operators should seek to spread their purchases around or focus on the relationship of a prime vendor. Both contributors to the discussion have merit in their arguments and don’t actually seem that far off from one another. However, the choice to settle on a prime vendor is peculiar to each individual operator.
Factors like alternative vendors or time available to source and compare vendors must be considered in your decision. With volume comes more resources, but then you have less time to devote to vetting every vendor that knocks on your door. In general, we believe the prime vendor relationship is a crucial aspect of a successful operation. That relationship comes with responsibilities on both sides. It’s your job to periodically check that you are getting competitive pricing and the vendor’s job to deliver services that justify your confidence in them. Ultimately, the best way to determine if you need a prime vendor is to look at all factors – such as ordering and receiving expenses from multiple vendors versus a single prime to the item by item pricing. Keeping all of your vendors honest falls squarely with you, prime or otherwise.