Would you apply principles of FMCG marketing to restaurants ?
Would you want to blow your precious money on mass media ?
Would you settle for a below par ROI on your sales & marketing expenditure?
2. Restaurant Marketing
Key Marketing Objectives
Satisfaction & Loyalty
Generating Traffic
Positioning & Brand Building
Way Forward with Master Sun
3. Key Marketing
Objectives
1. Enhancing customer satisfaction and loyalty
2. Generating traffic
• New customer acquisition is 7-10 times more expensive than
building Restaurant sales through repeat
1. Building a strong brand
4. Restaurant Marketing
Key Marketing Objectives
Satisfaction & Loyalty
Generating Traffic
Positioning & Brand Building
Way Forward with Master Sun
5. Satisfaction & Loyalty
• Marketing Strategy : Develop a strong promotional
programme that systematically incentivizes regular
customers
• To come more often
• Instead of once a month, say once a fortnight
• To increase their check value
• To come with more people
• To recommend to new customers
• To feel ‘special’ and ‘recognized’
6. Satisfaction & Loyalty
Key Questions
• Before we embark on building satisfaction and loyalty the
key questions to answer are :
• How well do you know your customers?
• Purchasing patterns, satisfaction with merchandising, pricing,
service issues, and competitive patronage
• Percentage of sales from residential, corporate, shopping, and
other generators
• What percentage of your business is new vs. repeat?
• How often do regular customers return? Motivations for
return?
• What is the profile/s of typical repeat customer ?
• How do our regular customers evaluate us vis-à-vis
competition?
7. Satisfaction & Loyalty
• To come with more people by being linked to occasions
calling for a group celebration (B’day, anniversary,
promotion etc.)
• Sample Idea : Solid birthday programme.
• A birthday program can be executed through an email
• Plug in the birthday and e-mail address of your members, and a
secure and nicely designed e-mail is sent to them at a time you
determine in advance.
• For an email programme one can tracks view rates for reporting that
allows you to know how well your program is working.
• The e-mail campaign includes a redemption code that offers
the birthday boy a sizable discount on booking in advance
• The redemption code will allow you to track what percentage of the
e-mails are bringing in guests and calculate a return on investment.
• Recent research has shown that retention based e-mail marketing is
300 to 400 % higher than traditional vehicles such as direct mail
• Complimentary cake or any other
8. Satisfaction & Loyalty
• To come more often by giving them something to redeem
in the next visit
• Promotion Idea : "The Secret Envelope”
• Here's how it works.
• You give your guests a sealed enveloped with a prize inside.
They can't open the envelope themselves (and if they do, they
forfeit the prize).
• They have to bring it back to Restaurant on a lean day (say
Mon/Tues/Wednesday) and have your staff open it.
• The prizes that you create for this contest can as small as a free
mock-tail to something quite large like a Rs. 1000 or even a Rs.
2,000 gift certificate.
• Obviously, there is going to be few big prizes and a whole
bunch of smaller ones
• Could be done in the month preceding a lean month
9. Satisfaction & Loyalty
• To come more often by giving an innovative price-off
without discounting
• Sample Idea : Flip for Food Day/Lunch
• Guests will have a 50 % chance of getting their food bill paid by
BN.
• Can be done during lean month, lean day or lean hour
• Attracts more attention much more than a ‘buy one get one
free’
• Guests are also more likely to have higher check averages than
normal because there is a chance they wont have to pay.
• To come more often by bouncing guests from peak times
to off-peak times
10. Satisfaction & Loyalty
• To come more often by rewarding customer for every
rupee spent.
• Reward cards create an opportunity to communicate with
the customer.
• The process of asking customers for their reward card and letting
them know how many points they have accumulated contributes to
their total dining experience.
• Easily track when guests collect their rewards and which reward
they choose, which allows operators to monitor which items have
the highest response rates
• Telling a customer that they can accumulate enough points
to receive a free cocktail on their next visit during this visit
may be all the incentive they need
• Identifying infrequent visitors and issuing a reward to
encourage them to return sooner.
11. Satisfaction & Loyalty
• To come with more people by using a ‘refer-a-friend tactics
• Sample Idea : Refer-a-friend Promotion
• A regular customer is sent an SMS coupon which allows him to send an introductory
discount coupon to his friend and family
• When your coupon is sent to a customer's cell phone that information along with your
business phone number and address is stored on the phone and can be forwarded to the
customer's friends and family.
• For every customer who receives a coupon directly from you may forward that message to
at least 10 additional people creating new customers for your business at no additional
cost.
• To recommend and bring new customers by being remarkable
• Create promotions/cuisines/stories that give your guests a snippet, a story about
Restaurant ... something that they can remark about to their friends
• Idea :‘Pay-What-You-Want’ Lunch or Hour
• Customers get a bill that covers their beverages, and then they write down what they think
the meal is worth and go up front to pay
• Could be used as lunch option for the off-peak day or could be used regularly for a
specific off peak hour
12. Satisfaction & Loyalty
• To increase their check value by incentivizing beverage sales
• Incentivize beverage sales by having a ‘happy hour’
• Caveat : Relevant only for specific locations with significant
corporate presence. If the location is not convenient for a happy
hour crowd, don’t throw away money trying to build one
• To increase the check value through effective internal
merchandizing of beverages
• Merchandizing should carry a specific campaign/theme
• Table tents should be inviting and encourage interest.
• Used to promote special cocktails or mock-tails not your regular beer
• Bathroom Signs
• You have more of the customer's undivided attention here than
anywhere.
• Posters - Should always highlight the campaign and match menu.
Look to highlight what beverages you want to order people to
order or your most eye-catching items.
13. Satisfaction & Loyalty
• To increase the check value through suggestive selling
programs
• All servers should become sales people because that is
really their job
• When a guest asks what is good, you have to be specific —
they are opening the door for you to sell them what you
would like to sell them — so go for it.
• Servers should be incentivized to support campaigns, sell
beverages etc.
• By switching your incentives around from one incentives idea to
the next, you will develop new selling techniques and work on
better service standards.
14. Satisfaction & Loyalty
• To feel special and recognized by manager playing the
“host” whenever possible
• Welcoming each guest individually and making a personal
connection to customers is one of the best ways to create
loyalty
• Simple things like saying ‘hello’ or having a manager make the
rounds and check on guests are great ways to establish a
connection
• For regular guests, greeting them by name & asking about their
families
15. Satisfaction & Loyalty
• To feel special and recognized by encouraging the use of
reward cards
• Reward cards create an opportunity to communicate with the
customer.
• The process of asking customers for their reward card and letting
them know how many points they have accumulated contributes to
their total dining experience.
• Telling a customer that they can accumulate enough points to
receive a free dessert on their next visit by purchasing an extra
drink during this visit may be all the incentive they need.
• They can easily track when guests collect their rewards and which
reward they choose, which allows operators to monitor which items
have the highest response rates
• Some POS systems are even capable of identifying infrequent
visitors and issuing a reward to encourage them to return sooner.
16. Restaurant Marketing
Key Marketing Objectives
Satisfaction & Loyalty
Generating Traffic
Positioning & Brand Building
Way Forward with Master Sun
17. Generating Traffic
• Generating traffic from core segment by targeting
business associations and business leaders
• Sample Idea 1: Target business socials like a Rotary
Leadership team meeting
• Selecting the right group to partner with can leverage their
resources to promote Restaurant, and you can also target your
core audience.
• Arrange photo opportunities that include your displays in the
background and submit to local media.
• Sample Idea 2: Giving Rs. 1000 vouchers to business
leaders in the community.
• Some of these would come in and bring six people and spend
Rs. 1000 on top of their voucher.
• A good rule of thumb is to make the value of your voucher
around 75 per cent of your average spend to cover for your
food cost
18. Generating Traffic
• Generating traffic by using mass media
• Most mass media usage for restaurant marketing is often
more about feeding ego than generating sustainable traffic
• Conscious decision not to use mass media to generate traffic
• Signage : Largest, clearest and most clever sign
• Generating traffic by managers doing the networking
• Idea 1: Join Local BNI Chapter
• BNI is a business referral organization, largest in its type
• Creates visibility for the restaurant and generates contacts in
local community
• Managers can actively ask to be referred to business leaders,
business associations, social associations etc.
19. Generating Traffic
• Generating Traffic by tie-up up with other retail and
consumer organizations targeting a similar segment
• Finding the right partner to be the provider of the “gift” is
crucial and will increase the take-up rate of your offer
• What car do they drive? What watch do they wear? Which Gym
do they go to ?
• Approach the businesses you think are complementary to your
customer base.
• Generating traffic through sponsoring family linked
groups of consumers who live /work within 6 kms of
Restaurant.
• Sample Idea: Targeting families through sponsorships of
events of a local school.
20. Restaurant Marketing
Key Marketing Objectives
Satisfaction & Loyalty
Generating Traffic
Positioning & Brand Building
Way Forward with Master Sun
21. Building a Strong Brand
• Strong Positioning : Point of differentiation that the
competition either cannot or does not claim
• The best positioning ideas are so simple and obvious, that
people overlook them.
• What is the niche that we own?
• Fine tune your concept to help guests (and yourself) really
understand who you are (in your guests perception not
yours) and what it is you need to offer (versus what you
want)
• Brand-building is closing the gap between what you
promise and what you deliver.
• A strong brand is one that has alignment between the
promise and execution.
22. Building a Brand
Key Questions
• What is the strength of customer franchise?
• What is the core constituency of the brand?
• What type of customers that do not come to us?
• What role does the brand play in the customer’s life. How relevant
is it?
• What is the positioning of the brand ?
• Does our core segment value the positioning?
• Does positioning exclude competitive offerings?
• Is the positioning credible?
• Can we sustain the position for long?
• Does it fit long term organization’s objectives
• Is the Brand image strong and engaging?
• How well articulated are the colours, logos & symbols associated
with the brand?
• Is the brand effectively displayed at all touch points?
• Is the brand an involved citizen of the community?
23. Differentiation from
Competition
• Establish Differentiation from competition by
emphasizing on developing an engaging brand image
• Need to understand the imagery/personality that the brand
carries in the customer’s mind and need to focus/define it
sharply and tweak/modify it to have a wider appeal
• Logo, merchandising & other communication material
needs to carry the tribal/outdoor/nomad look/feel in its
identity
• Establish Differentiation from competition by educating
customers on the Cuisine concept
• Sponsorship of a Cuisine dinner or tie-ups with outdoor
events and corporate offsite esp. targeting senior
management & rich
• Booklet on Cuisine recipes and cuisine
24. Differentiation from
Competition
• Establish Differentiation from the competition by creating
and publicizing newsworthy stories that emphasize the
uniqueness of Restaurant
• Worthwhile to spend 15% percent of your marketing budget
on a solid public relations program.
• Need to hire a PR firm that has creativity and excitement
about Restaurant.
• Need to associate with some positive philanthropic and
service activities, which will help people regard your brand
more favorably.
25. Differentiation from
Competition
• Establish differentiation from competition by recreating Restaurant
online and facilitating community development
• Quality of website is indeed an indicator of the level of service they can
expect to receive when dining there
• Some diners find this an easy way to get directions and dial your phone
number
• Showcase Restaurant.
• Flash viewers are now ubiquitous with almost 90% of browsers containing the
plug-in.
• Need to watch what your competitors are doing online
• Need to have web-tracking software
• Visitors numbers, town, region or country, what pages they tend to look at or
rarely visit
• Need to actively look at interactive online marketing
• Active community building using blogging, facebook, youtube, linkedin
• Active Content Development and Search Engine Marketing owning the
‘Cuisine’ space
• Burger King’s popular Subservient Chicken site was one of the first Web
campaigns to prove that interactive marketing can be successful for
restaurants.
26. Alignment Between
Promise & Execution
• Build a strong brand by providing excellent customer
service EVERY meal
• Training & Processes to focus on critical aspects of
customer experience
• Phone answering and reservations
• How to handle mistakes
• People take service personally. When something goes wrong
service-wise, the situation is upsetting on an emotional level
• One mistake not handled well, can destroy the brand promise
• Sales & Marketing component in training program so that you have
a staff of ambassadors to help your sales-building efforts
• Create an environment and systems where employees feel
valued and appreciated.
• Incentive programs should allow the extraordinary efforts by an
individual to be rewarded, as well as team goals
• Most valuable incentives are non-monetary
27. Alignment Between
Promise & Execution
• Building a strong brand by ensuring consistency in food
taste (esp. Cuisine) across locations
• Need to ensure that the ‘specials’ and the top liked items
are standardized across restaurants
• To keep your menu fresh, relevant, and profitable, you will
need to know specifically how each item on your menu is
performing and also how it stacks up next to your top
competition.
• Think of each item on your menu as a tenant leasing space
and it has to earn its right to the space you’ve granted it.
28. Restaurant Marketing
Key Marketing Objectives
Satisfaction & Loyalty
Generating Traffic
Positioning & Brand Building
Way Forward with Master Sun
29. Outsourced Senior Sales
& Marketing Team
• As the name suggests, we manage the marketing.
• Charged with improving the performance of the restaurant
marketing in every way and primarily focus on the top line
of the restaurant within defined parameters
• We will represent the directors on most issues pertaining to
marketing
• We will be effectively working with CEO, Regional Managers
, Restaurant Managers and staff of Restaurant
30. Contact Us
Sarvajeet Chandra
•+91 9920803060
•sarvajeet@theadiva.com
•sarvajeetchandra@gmail.com
Visit Us at www.mastersungroup.com
05/17/13