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Boosting Profitability

boosting profitability

Tips to boost your restaurant’s food profits

We have asked caterers about the techniques they use to boost their menu profits. Some of the key points that kept being repeated by caterers are as follows…

There are certain dishes that it always makes sense for you to make from scratch – soup is one of these. You can make very good profit from a nice bowl of homemade soup.

Along the same lines try and make your own accompaniment sauces – cheaper, better and because of the turnover rate little will go to waste.

Keep abreast of what your suppliers have on offer. Their offers can form the basis of your specials board – something a bit different bought at a good price and sold for a good profit. The specials board is a useful testing ground for new dishes – if they prove to be popular think about incorporating them on your main printed menu.

Getting your prices pitched at the right level if pretty crucial.
It is better to be busy with people buying drinks etc with their food rather than quiet and prepared ingredients going to waste.

Get in the practice of working out in your head the different cost components of a dish and multiplying by 3 to get a menu price that will give you a 65% gross profit.

The margins you make by dish might vary but overall you need to aim for that 65% gross profit. If you aren’t achieving that, then week by week sort out 2 or 3 things that are reducing your profits – you can’t eat an elephant in one bite; but, you can when you take one small piece at a time!

Don’t clutter the plates with expensive garnish – especially when most customers don’t eat it!

Control your portion size. Good staff training will help here.