There has to be an easier way to explain business results to staff...
Maths is usually not their strong point, so talk about percentages, budgets and discrepancies often draws a blank stare. Explaining results as a 'strike rate' can make the point much more clearly.
For example:
Not so clear: 'only 24% of customers are ordering dessert'
Better: 'only 1 in 4 customers are ordering dessert'
Not so clear: '71% of customers have one drink at the bar then leave'
Better: '7 out of 10 customers have one drink etc etc...'
Explaining is one thing, and checking is another - have you looked at some of your own strike rates recently?
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Some sorry examples I've seen recently:
At a seafood restaurant, only 1 person in 12 ordered dessert.
At a pizzeria, only 1 customer in 8 ordered a side salad.
Only 1 customer in 6 orders herb or garlic bread with their meal.
At a club, 300 people visited on one day and only 100 ate at the bistro.
Only 1 wine drinker in 5 ordered mineral water at a fine-dining restaurant.
Out of 120 function inquiries last month, only 20 were converted into bookings.
And sometimes the results are good:
2 our of every 5 customers will order a second coffee if asked by their server.
The complaint rate has gone down from 1 customer in every 100 to 1 in 350.
2 out of 5 take-out customers will add a cold drink to their order if it's suggested.
The information is in your POS and records, but often in a mess of printouts and irrelevant reports. When you untangle it and present it this way, the results are unmistakeable and the basis for comparison between this week and the next. And everyone 'gets it'.
Profitable Hospitality offers management and cost-control systems (Manuals & CD-ROMs) for restaurants, cafes, hotels, bars and clubs. The systems are based on the extensive consulting and operating experience of CEO Ken Burgin, and enable busy owners and managers to set up complete operating and cost-control systems in minutes, not months. Profitable Hospitality also runs regular management training workshops in the areas of kitchen profit & efficiency, restaurant marketing and functions management. A free monthly e-newsletter keeps you up to date on the latest industry management issues. www.profitablehospitality.com.
