Implementing Adjustments
All menu pricing adjustments must be implemented with the utmost of consideration possible given to how it will affect: public relations, marketing success, continuity of sales and guest counts and bottom line.
>>><<<
Success will be significantly affected by your pricing experience.
Step III - Implementating Adjustments
All menu pricing adjustments must be implemented with the utmost of consideration possible given to how it will affect; public relations, marketing success, continuity of sales and guest counts and bottom line.
*Once all the appropriate research has been completed and agreement has been reached, document a detailed, price adjustment implementation action plan including a calendar with specific dates establishing when every action item will take place i.e.
- Draft the adjusted menu.
- Develop and cost new recipes if needed.
- Prepare and taste test.
- Establish presentation criteria.
- Write menu explanations
- Prepare a new menu mix (engineering) report.
- Develop a revised budget showing the anticipated impact of all targeted actions.
- Establish assignments with clear expectations and accountabilities. Include:
- Descriptions for any new items.
- Adjusted menu lay out. (format)
- Any desired items/sections to be highlighted.
- Improved entire menu appearance in a manner that will enhance ticket averages.
- Improved bundling of items.
- New points of marketing interest.
- Research bid for printing. Proof read and order.
- Routine team update meetings.
- Testing preparation of all new items.
- Final taste test of all new items and adjust if needed.
- Conducting staff training (including wait staff).
- Prepare media as needed.
*It is extremely important when determining how and when to implement price adjustments that an operator take into consideration certain generic customer acceptance protocol. The application of this protocol will vary by type of operation but these generic principals apply to all retail oriented food service categories.
Generic considerations:
- First and most important of all considerations “never put yourself in the position of having to be hasty in planning for price adjustments”.
- Avoid broad, across the board increases.
- Never make price adjustments an annual event.
- If appropriate change offering (portions and accompaniments) modestly rather than making large price adjustment.
- If a major increase is called for, consider pulling the item off the menu and bring it back later at a higher price. (By them most will have forgotten the original price and what accompanied the primary item.
- Practice quarterly modest adjustments. (build in the cost of printing menus)
- Do not make actual changes without first projecting the adjusted menu’s overall financial outcome.
- Avoid adjusting the same product category more than once per year. Move around the menu categories as appropriate.
- Avoid raising accompanying items such as beverages, soups, deserts etc. at the same time adjusting primary food items.
- Avoid making increases obvious (no crying about inflation, minimum wage, medical costs etc.) Be professional.
- Unless there is a very specific reason to do so, do not radically change your menu format. Your repeat customers are comfortable with it. You must keep it fresh and up to date but do not confuse your regular guests. Even though most people want change they usually resist it.
- Conduct employee meeting in order to train then on what they need to know and how to deal with any potential guest conflicts.
- Be on the floor when price adjustments are implemented. You need to be available to address any of your guest’s questions.
If managed professionally, price adjustments do not need to be a significant deterrent to your business. Timely adjustments made correctly along with professionally managing the rest of your business will assure your business continues to obtain its goals.
Top_of_Page
