April 2012 Issue of Ideal Software's Niche Notes, our FoodService industry newsletter.

IdealSoftwareNicheNotesApril2012

5 Tips for Building Customer Loyalty

Owning and operating a restaurant in today’s economy can be a challenging proposition, which is why it is so important to build customer loyalty.  In truth repeat customers make up the bulk of any restaurant’s customer base and word-of-mouth advertising can do wonders for building up your clientele.  But how do you go about building customer loyalty in the restaurant industry?

While any one of the following five suggestions will help to increase your business, implementing all of them is highly recommended and definitely possible given a little time and planning.

Tip #1: Atmosphere is Everything

For dine-in customers the atmosphere of the establishment can rate right up there with the quality of service and nearly as high as the quality of your food.  But when you think of atmosphere, think more than the decorations and table linens; think also of an atmosphere of one-on-one recognition.  Customers like nothing better than visiting an establishment where they are recognized and called by name.  Encourage this kind of recognition in your staff.  Everyone from your bus boys to the chefs should be able to recognize repeat customers and make them feel comfortable.

Tip #2: Reward Your Repeat Customers

A customer rewards program for repeat customers is a must if you really want to establish your credibility with your repeat customers.  Perhaps a customer loyalty card (with a free meal after so many purchases) or coupons for a discount on their next meal purchased.  There are a number of options available when it comes to customer rewards, and each of them is worth the time and effort you will put into it.

Tip #3: Start a Newsletter

Believe it or not, many customers really do pay attention to what goes on in their local neighborhoods.  By starting a newsletter you can keep yourself firmly in their minds by their seeing your weekly or monthly newsletters in their email inbox.  This mailing list will also help to establish a list by which you can send out offers for discounts and special ‘group’ purchases or birthday discounts or other options, but the set up of a newsletter to address local concerns (and those specific to your restaurant) can be a viable option for asking for the emails.

Tip #4: Drawings and Giveaways

Having drawings and giveaways for repeat customers is a great way to keep them coming in.  Have a business card drawing for your lunchtime business clientele, or a random once a month door prize raffle where someone who came in during the course of an evening will receive a free meal for two, or free desert with their next purchase or something similar.

Tip #5: Reward Referrals

If a repeat customer refers a new customer to your restaurant, why not reward them?  Perhaps a coupon for free deserts the next time they come in, or even something as simple as a thank-you letter; something to let them know that you appreciate their support.

Truly, your repeat customers are the bread and butter of your business, so why not take the time to ensure that you do everything in your power to win their loyalty?  Not only will you be increasing the chances that they will keep on coming back, you’ll most likely gain new customers as well from their referrals, and that can be a very good thing.

Does your restaurant use any other strategies? Leave a comment below and let us know.

For more info on Ideal Software’s Inventory Management system follow the link IdealStockControl

March 2012 Issue of Ideal Software's Niche Notes, our FoodService industry newsletter.

IdealSoftwareNicheNotesMar2012

Technology Gap in the FoodService Industry

It is understandable that the concepts of “foodservice” and “technology” are not necessarily deemed as a likely fit, but the fact is, foodservice are more dependent on technology than most restaurateurs realize, and foodservice as a whole lags far behind when it comes to incorporating technological advances into their marketing and operations.

When thinking technology in foodservice, there are the obvious items like state-of-the art stoves, ovens and microwaves, which will allow you to cook your food faster and more efficiently than older models, but then there are the not-so-obvious types of technology; such as computers and the software that is run on them as well as interactive digital signage or even an up to the minute website.

Obviously, the slim to modest gains that most restaurants see leave them little to no room for sophisticated gadgetry, but as the next generation of consumers (those who have been immersed in computers and computer technology since birth) come of age, they will be expecting something more sophisticated than the same old thing that has been around for generations.

Benefits of Technology

And yet, more importantly than the expectations of an upcoming generation would have to be the benefits that even the smallest restaurants would gain from 1) developing a web presence and 2) from installing (and taking advantage of) the latest in computer software aimed at inventory tracking and restaurant management.

Let’s look at these separately.

Comprehensive Website

When it comes to establishing a web presence, it’s really quite simple, if your customers can’t find you, they can’t buy your food.  With a whole new generation of consumers who never bother to open a Yellow Pages, it can mean the difference between life and death for a restaurant if they don’t opt to develop a solid web page that advertises their establishment and which is searchable not only from a desktop computer, but by mobile searches as well (a technique that you will most likely need a professional web developer to achieve). Remember to stay away from heavy “Flash” websites. Why? Because Adobe Flash, the much-heralded plugin providing music, animation, video and interactivity to websites isn’t supported by many mobile devices.

Computer Software

As for the computer software for restaurant management and inventory tracking, the benefits should be obvious.  By streamlining your operations and by establishing an inventory tracking system that calculates even the smallest details, you can save yourself a significant amount of money and develop new methods and techniques of staff and resource management (as well as food preparation) that will enable you to increase your profits.

While more and more of the larger chain restaurants are making the jump to high-tech (both websites and software) many small establishments are being left behind, unsure of how to proceed, or unwilling to invest in something they have (before now) never needed.  But even with the transition under way, the food industry as a whole lags far behind other businesses when it comes to technology.

Is your restaurant utilizing the many benefits of technology? Leave a comment below.

For more info on Ideal Software’s Inventory Management system follow the link IdealStockControl

February 2012 Issue of Ideal Software's Niche Notes, our FoodService industry newsletter.

IdealSoftwareNicheNotesFeb2012

101 Ways to Deal with Food Cost - Part 5 - Security & Safety

In this month’s Food Cost article we take a look at “Security and Safety” when dealing with restaurant food cost problem areas, part 5 in our current series “101 Ways to Deal with Food Cost”.

The food is great, the service fabulous and the restaurant is busier than ever, but are you wondering why the bottom line isn’t all it should be? Check your FOOD COST! Here are possible food cost problem areas:

Guest Check and Cash Drawer Security

Never make an outgoing check to cash, and don’t accept them either. With a ‘cash’ check anyone could deposit the check as his or her own, or worse: the receiver of the check could bank it and claim it never arrived. Your check is always your last chance for a receipt, and security of that check is paramount.

Bank Deposit / Accounts Payable

Proper auditing of bank deposits and charges slips must be conducted to ensure all deposits were made and to account for missing checks. Upon receipt of the bank statement, don’t put it aside for your accountant; reconcile it yourself and you will gain new insight into the business and close the last loophole where money could escape.

Kitchen Safety Procedures

Ensuring your patrons and staff aren’t injured on the premises is more than a matter of caring for their well being; it’s an essential part of avoiding a business threatening lawsuit and lengthy downtime. Labour and food saving, insurance saving, workers’ compensation reductions and sick pay savings, not to mention staying out of civil court, all come from putting safety procedures in place and sticking to them.

The High Cost of Food-Borne Illness

Food-borne illness cost lives and money. According to the FDA, millions of people become sick each year and thousands die after eating contaminated or mishandled foods. Children, the elderly and people with weakened immune system are especially vulnerable to food-borne illness.

What makes food unsafe?

Hazards can be introduced into Foodservice operations in numerous ways by employees, food, equipment cleaning supplies and customers. The hazards may be biological or physical.

What can you and your staff do to prevent Food Borne Illness? An important part of the production is keeping food safe. Make sure you have HACCP procedure in place and train your kitchen staff in food safety.

Weighting the Risks

Certain foods and food service procedures are more hazardous than others. High protein foods, such as meats and milk based products and foods that require a lot of handling during preparation require special attention by food service operations. Roast beef, turkey, ham and Chinese foods, for instance, have been linked with more outbreaks of food-borne illness than pizza, barbecued meat or eggs salad, yet all of these foods are considered potentially hazardous. Other foods, such as garlic in oil, rice, melon and sprouts, also have been linked with outbreaks of food-borne illness.

Hand Washing Exercise

Ensure employees wash their hands. ‘Are your hands really clean?’ Hand washing is perhaps the most critical aspect of good personal hygiene in food service. Workers should wash their hands with soap and warm water for 20seconds. When working with food, they should wash gloved hands as often as bare hands. Hand washing is a simple yet effective method for eliminating cross contamination.

Cautions for Cold Foods

When you are preparing cold foods, you are at one of the most hazardous points in the food preparation process. There are two key reasons for this: First, cold food preparation usually takes place at room temperature. Second, cold food is one of the most common points of contamination and cross-contamination.

Food Irradiation

You should know that if you buy irradiated food, it will cost more. Industry experts estimate the increase at 2-3 cents per pound for fruits and vegetables and 3-5 cents a pound for meat and poultry products. But these costs may be offset by advantages such as keeping a product fresh longer and enhancing its safety. However, the treatment will also bring benefits to consumers in terms of availability and quantity, storage life convenience and improved hygiene of the food. Federal rules require irradiated foods to be labeled as such to distinguish them from non irradiated foods.

For information on Ideal Software’s Stock Control system for monitoring Food Cost IdealStockControl
Part 1 in our series “101 Ways to deal with Food Cost” 33 Possible Food Cost Problem Areas
Part 2 in our series “101 Ways to deal with Food Cost” Back to Basics
Part 3 in our series “101 Ways to deal with Food Cost” The Menu, Pricing & Standardized Recipes
Part 4 in our series “101 Ways to deal with Food Cost” Purchasing and Receiving

January 2012 Issue of Ideal Software's Niche Notes, our newsletter that keeps you coming back for more!

IdealSoftwareNicheNotesJanuary2012