The restaurant industry is projected to decline by 1% in the new year. This expected decline is due to diminishing consumer demand brought on by a projected economic recession. While this is causing prices to skyrocket throughout every industry, restaurant inflation is causing headaches in every aspect of the business.
So what can you do to stay afloat in the upcoming year? Follow these three tips that can help you keep customers happy, work through the worry of restaurant inflation, and stay ahead of the competition during the impending economic crisis.
1. Cut Restaurant Operating and Supply Costs
When it comes to making revenue during a recession, you need to be able to cut back on costs wherever possible. One easy and not often thought of option is looking at your ingredients. Sometimes working with “overlooked” ingredients can make an incredible dish and reduce overhead. Reduce restaurant inflation, not by buying the bad ingredients, but by buying ingredients that are not as costly and still of high quality.
Another option is looking at the staff you currently have. There is already an issue with labor shortages, so use this to your advantage. Don’t fret about needing to add more staff to fill every shift. Instead, implement restaurant software that can take on tasks normally done by a server. For example, allow customers to use technology to order, make payment, send orders directly to the kitchen, and more so you can better position your staff throughout the restaurant.
2. Meet Your Customers’ Needs and Demands
New Year’s resolutions can cause a hit to your business depending on what items you have on your menu. Additionally, since “traditional” clientele will potentially be staying home more in 2023, add menu items that attract all types of customers, regardless of their dietary restrictions and needs.
For example, offering plant-based menu items can attract health conscious and vegetarian customers to come in or order online. This can also allow you to use a different “overlooked” ingredient base to create new, never seen menu items to keep customers intrigued and your competition on its toes.
Working on a POS solution that allows you to easily change menu items to try different dietary trends can make it easy to find the best menu fit for your business and customers. Especially if restaurant inflation is going to continue to cause pricing changes and menu item rotation, you want to work with a software solution that offers quick and easy changeouts.
3. Stay Connected Using Restaurant Software
It’s no surprise that technology is a big part of everyone’s day to day, from customers to management and the overall way the business operates. So, what types of technology should you consider implementing?
- Online ordering: Meet customers at their table, on the go, or at their door by offering an omnichannel approach to ordering.
- Digital marketing: Loyalty rewards can help keep customers coming back for more, even if the menu pricing goes up slightly.
- Kitchen display solutions: Speed up table turn times and reposition staff by automating your ordering process with a KDS solution.
- Click here for more restaurant software solutions to combat restaurant inflation!
You may be thinking, how is investing in restaurant software going to keep my overall costs down? These are solutions that will make it with you through restaurant inflation, recession, and into the future, where your ROI can grow and blossom through the years. Restaurant software is a one-time purchase or a SaaS solution that works with you to best suit your needs and goals.
So, what are you waiting for? Start implementing these tips in your restaurant today and make it through the new year and the economic challenges to come.
