Happy Holiday Sales Predicted for Restaurants

The holiday season is upon us, and it would appear that restaurant sales for the new few months are looking up. Sales in November were up and according to a recent survey, consumers’ restaurant spending plans over then next 90 days jumped by about 7%. This is the largest increase in expectation to spend in over a year, according to an article published by Nation’s Restaurant News.

Restaurants are expected to see the highest increase among consumer sectors, with a projected growth of around 4 percent. Analysts are optimistic that the growth trends will carry over into the first quarter of 2012.

The Cost of Starting Up a Restaurant

Did you know that it can coast anywhere from $450,000 to $525,000 to start-up a restaurant?

John Kunkel has worked in the restaurant industry since he was a teenager. He learned the ropes of the service industry from the front-of-the-house. By the time he was 29, he was ready to go out on his own. His first venture was to open a bakery in South Beach Miami, FL. The bakery was slow to take off, but eventually found a successful footing.

However, a year after opening the bakery, John decided it was time to move on. He saw a need for a value-driven place that South Beach residents could return to on a daily basis. That’s when he opened Lime, a healthy Mexican eatery that had lines out the door from its first day in business – and has remained popular ever since.

Check out John’s article featured on www.inc.com. John gives an overview of what he has learned about start-up costs for a restaurant, in the years he scraped together funds for his first place to working with a franchise heavyweight.

Good News for Your Bottom Line

The new limits to swipe fees associated with debit cards could potentially be a big benefit to the restaurant industry. Earlier this month, the Senate voted to put a cap on the up to 2 percent fee that stores and restaurants currently pay financial institutions when a customer uses their debit card. Restaurants, on average, conduct about 35 percent of their transactions with debit cards. The cap on these fees will take effect in July, and economists speculate that the entire retail industry should see some benefit from the changes.

Summer Brings an Increase to Restaurant Sales

Many restaurant owners are looking forward to the summer season for reasons other than warmer weather. As tourism picks up over the summer months, so does the number of people dining out at restaurants. According to research done by the National Restaurant Association, most restaurants receive 15 to 40 percent of their annual sales from travelers and visitors. Plus, the Commerce Department projects that international travel to the United States will grow significantly in the next five years, with international visitor volume seeing an expected 7 percent increase.

Food Trucks Proving They Are Not Just a Fad

Food trucks continue to become an increasingly popular trend for both chain and independent restaurants. Industry experts note that many businesses are to the point of launching their third or fourth vehicle, suggesting that the food truck industry is way past the idea of being a fad.

Some of the notable advantages to operating a food truck include their appeal to social-network-savvy consumers, they can serve as a test outlet for brick-and-mortar restaurants and they serve as a moving billboard for the brand.

If you are interested in venturing in to the industry of food trucks, experts state that most food trucks can be purchased for around $100,000, or leased from between $3,000 to $4,000 per month. The average cost for wrapping a truck in a brand image alone can run from $24,000 to $75,000. However choosing to purchase a remodeled used truck can be a money saver.

New Smartphone App for 2011 NRA Show

The National Restaurant Association launched a new smartphone app for 2011 NRA Show attendees. The new mobile app is available for iPhone and Android platforms, and allows restaurant industry professionals to get the most our of their 2011 trade show experience.

The mobile app allows trade show attendees to browse the exhibitors by category or locations, view interactive maps of the exhibit floor and see event and education session schedules and speakers. The app also provides public transportation information and schedules to and from the show.

Visit the NRA’s website for more information on where to download the app. The 2011 NRA show is scheduled to take place May 21-24 at Chicago’s McCormick Place.

Branding Lessons from America’s Next Great Restaurant

The recent TV show, America’s Next Great Restaurant, provided viewers with a nine-week crash course on everything they ever wanted to know about opening their own restaurant chain. If you missed out on the nine week series, below are ten takeaways that can help you create a new fast-casual restaurant concept from the ground up.

1. Make a powerful first impression with your brand identity.
2. Keep the focus on the food.
3. Deliver on category drivers.
4. Pay attention to details.
5. Make sure you have the right people.
6. Be different, but not too different.
7. Choose what NOT to do.
8. Engage your employees with your brand.
9. Know your brand DNA and stick to it.
10. Be inspired AND inspiring.

For more information on the lessons learned from America’s Next Great Restaurant, check out Denise Lee Yohn’s article on QSR Magazine’s website.

Consumers Enticed by More than Coupons

A new survey conducted by Radius Global Market Research group, shows that restaurant consumers are increasingly influenced to return to a restaurant by factors other than price.

Nearly two-thirds of the survey respondents said they would be willing dine out more often if restaurants acted on the following suggestions:

1. Increased access to calorie counts and other nutritional information. (This health-oriented communication was the leading recommendation from surveyed consumers.)
2. Increased menu offerings in the light-fare category, including between-meal and late-night snacks.
3. Nearly one in four respondents indicated they would likely act on promotions delivered via social media networks like Facebook and Twitter.
4. Many respondents shared an interest for seeing more “unique” items on menus.

While the influence of other factors is on the rise in the restaurant industry, experts warm that restaurants should not abandon the use of discounts and coupons anytime soon. Survey results indicate that coupons continue to be the primary way that consumers control spending when dining out.

Points to Consider before tapping into the Food Truck Market

Mobile food trucks seem to the latest buzz in the restaurant industry, and this segment of the restaurant industry is growing in popularity across the country. However, before you choose to take your operation mobile, you may want to consider a few challenges that the mobile food truck industry presents.

Successful mobile food truck operators will tell you that the up-and-coming mobile food truck business has its fair share of stressors. Permit issues, long hours, heavy traffic, parking concerns and resistance from brick and motor restaurants are just a few of the daily headaches that mobile food truck operators face.

However, despite the inconveniences special to the mobile-kitchen business, there is no denying it has taken off in part because of its advantages. While not cheap, revving up a food truck is more affordable than opening a restaurant. Social media sites are also an ideal marketing tool for mobile food trucks. Websites such as Facebook and Twitter allow mobile food truck followers to keep track of their favorite food trucks’ locations.

Find out more about what successful food truck operators are saying about this trendy new segment of the restaurant industry by visiting QSR’s website.

Bar Equipment Checklist

Having the proper bar equipment is essential to operating a successful bar. It can be difficult to know exactly what types of bar equipment you will really need. Serv-U recommends the following types of bar equipment to all bar owners: a commercial bar sink, a commercial bar blender, a commercial ice machine and a commercial back bar cooler.

Commercial bar sinks are available in a variety of sizes and can feature up to four sink bowls. The size of commercial bar sink you purchase should be based on the average number of patrons served in your bar at one time. The right size commercial bar sink will allow you to easily and efficiently clean and rinse bar glasses.

A quality commercial bar blender is often considered a bartender’s best friend. There are a variety of drinks that can be prepared in a commercial bar blender, and by adding frozen drinks to your menu you can appeal to a wider group of customers. Beverages made with fresh fruit purees can also be made with commercial bar blenders, allowing you to serve terrific, fresh-tasting drinks.

No bar can operate successfully without a reliable commercial ice machine. Whether you choose a compact, self-contained or undercounter commercial ice machine you will want to make sure that the commercial ice machine’s daily production rate can meet the demand of your bar. Serv-U recommends that you allow for 3 pounds of ice, per person, in a bar setting.

A back bar cooler allows you to keep refrigerated bottled and canned beverages, beverage mixers and fresh garnishes within easy reach at all times. Back bar coolers are available with solid or glass doors. One benefit to glass door coolers is that they can offer an attractive way to display product for your customers. A glass door cooler can help to reduce energy costs, as your employees can see the contents of the back bar cooler without having to open the doors of the cooler. 

As you setup and begin to operate your bar, you may find that additional types of bar equipment are needed to optimize your bar’s performance. A few other pieces of bar equipment that you may find beneficial are wine coolers, frozen beverage machines, draft beer dispensers and bottle coolers.