{"id":7404,"date":"2024-01-11T16:39:11","date_gmt":"2024-01-11T14:39:11","guid":{"rendered":"https:\/\/www.dineplan.com\/blog\/?p=7404"},"modified":"2024-01-11T16:39:17","modified_gmt":"2024-01-11T14:39:17","slug":"5-key-metrics-for-gauging-restaurant-success","status":"publish","type":"post","link":"https:\/\/www.dineplan.com\/blog\/5-key-metrics-for-gauging-restaurant-success\/","title":{"rendered":"5 key metrics for gauging restaurant success"},"content":{"rendered":"

[et_pb_section fb_built=”1″ admin_label=”Blog Post Section” _builder_version=”4.18.0″ custom_margin=”0px||0px||true|false” custom_padding=”0px||0px||true|false” locked=”off” collapsed=”off” global_colors_info=”{}”][et_pb_row admin_label=”Intro + Post Nav” _builder_version=”4.19.5″ _module_preset=”default” custom_margin=”0px||0px||true|false” custom_padding=”0px||30px||false|false” collapsed=”off” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.18.0″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”Intro” _builder_version=”4.23.4″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n

How does one evaluate the success of a restaurant business \u2013 merely by profits, or are there other ways of gauging it? <\/p>\n

\n

The Oxford Dictionary defines success as \u201cthe accomplishment of an aim or purpose\u201d, while significance is \u201cthe quality of being worthy of attention\u201d.<\/p>\n<\/blockquote>\n

One assumes that a busy, fully booked restaurant is successful, i.e. profitable. Yet, some restaurant owners neglect the crucial task of tracking monthly viability and focus solely on cash flow, hoping that they can build up a reputation and then realise ultimate profitability by selling their business.<\/p>\n

However, I\u2019ve come to learn that happy staff makes for happy customers which, in turn, results in a successful operation. There are also bookings and availability to consider as well as professional, peer and public reviews. It\u2019s also important to factor in awards and your reputation, customer feedback, your regular clientele, and your contribution to the industry and community.<\/p>\n

[\/et_pb_text][et_pb_image src=”https:\/\/www.dineplan.com\/blog\/wp-content\/uploads\/2024\/01\/3.png” alt=”Waitress holding plates” title_text=”Take a look at your team” _builder_version=”4.23.4″ _module_preset=”default” enable_caption_text=”on” global_colors_info=”{}”][\/et_pb_image][et_pb_text admin_label=”Content” _builder_version=”4.23.4″ link_font=”|600|||||||” background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n

First step: Take a look at your team<\/h4>\n
\n

While turnover and profits are crucial for your survival, adopting a more holistic approach to measuring your restaurant’s success begins with assessing staff fulfilment. Start by asking:<\/p>\n

    \n
  1. Do I offer my team a career and personal development path<\/strong>, allowing those who enter as scullers or waiters to progress towards cheffing and management?<\/li>\n
  2. Do people show up on time, happy and enthusiastic<\/strong>?<\/li>\n
  3. Is my staff retention<\/strong> good, or do I have a high staff turnover rate?<\/li>\n
  4. Is my employee absenteeism under control and, more importantly<\/strong>, what about their presenteeism? You want your team to be completely engaged in the job at hand while they\u2019re at work, not merely showing up so they can get paid. <\/li>\n
  5. And finally, am I hiring the right people? It\u2019s best to hire for attitude<\/strong>, as aptitude can be taught.<\/li>\n<\/ol>\n

    [\/et_pb_text][et_pb_image src=”https:\/\/www.dineplan.com\/blog\/wp-content\/uploads\/2024\/01\/2.png” alt=”Two restaurant staff working.” title_text=”measure your restaurant\u2019s success beyond the bottom line” _builder_version=”4.23.4″ _module_preset=”default” enable_caption_text=”on” global_colors_info=”{}”][\/et_pb_image][et_pb_text admin_label=”Content” _builder_version=”4.23.4″ link_font=”|600|||||||” background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n

    4 more ways to measure your restaurant\u2019s success beyond the bottom line<\/h4>\n
    \n
      \n
    1. Online presence and reputation<\/strong>\n

      A well-marketed restaurant<\/a> will be more successful than one that does not do any promotion. And, an excellent way of doing this is to ensure that you exceed your guests\u2019 expectations \u2013 consistently. Good, old-fashioned word-of-mouth marketing is still the best, and a restaurant that\u2019s often fully booked becomes more desirable, as diners want to follow popular choices.\n<\/p>\n<\/li>\n

    2. Social media following<\/strong>\n

      Social media coverage is useful but, in terms of reputation management, a quality audience can be more important than a large one. Engagement and action are preferable to views as you want attention to convert into bookings.<\/p>\n<\/li>\n

    3. Guest and critic reviews<\/strong>\n

      Reviews by the general public or qualified, credible culinary professionals? A mainstream restaurant can rely on reviews from generalists, whereas a fine-dining establishment will appreciate a complimentary review from someone who understands and appreciates the nuances of a dedicated gastronomic experience. Find someone you trust, or a team of people, and use them as your feedback team.<\/p>\n<\/li>\n

    4. Awards and rankings<\/strong>\n

      Awards<\/a> and ratings contextualise and promote a restaurant or chef \u2013 attracting attention and bookings. Whilst awards shouldn\u2019t be chased, it\u2019s important to know what the world wants an experience<\/a> and to give it to them. Awards can also help in attracting talent. With awards, come elevated expectations and responsibility.<\/p>\n<\/li>\n<\/ol>\n

      To make 2024 a successful one for your restaurant business, carefully consider how you measure your success. Ask your team how they define it, and then establish goals with timelines, ranging from quarterly to monthly, weekly, and even daily objectives. Remember to reward excellence and encourage growth within your team as this approach will ideally lead to a prosperous business with long-lasting success.<\/p>\n

      [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"

      Beyond profits, these 5 metrics are crucial for gauging restaurant success. 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