Your Restaurant’s Success Depends on Many Factors
Statistics can be quite sobering, sometimes and if you are thinking about entering the food and drink industry for the first time you may be worried to hear that as many as 90% of all independently owned businesses fail within the first five years. How will you ensure your restaurant success? You need a significant amount of preparation to help you beat the odds.
A restaurant’s success is dependent on a combination of factors and it will literally require you to intersect all these elements before you will come out on top. It is not good enough to succeed in one area and not another and this is where many entrepreneurs fail. They come up with a particularly good concept, but fail to back it up with the right team, for example.
In a large suburban area you will find a wide assortment of restaurants, some part of the various chains and others independently owned. They may cater to all tastes and budgets and while there may appear to be saturation to the untrained eye, anyone with a well thought-out business plan has a chance of success.
People will always want to eat and want to socialize as they do so. As human beings we have a very diverse palette and look forward to exploring different tastes within different environments. While we certainly accumulate favorites, we do like to try alternatives and your restaurant success could hinge on the way that you package and present your option.
To ensure your restaurant’s success you will need to choose the correct piece of real estate, perfect your concept, select the best people possible for your team and ensure that you have enough cash flow available to carry you through the difficult times. Don’t rush to select the first piece of real estate that you find, unless you are sure that your chosen concept will work perfectly according to the demographics, the size of the catchment, marketing visibility and so on.
Do not underestimate the amount of money that you will need to fund your restaurant as it grows. You may well have judged the capital required to purchase assets, equipment and decor, but remember that negative cash flow is likely for a considerable period of time until you get on your feet and this is where many would-be restaurateurs fail.
A restaurant’s success or failure is often determined doing the planning phases. The concept of a formal business plan can appear daunting and may be overlooked, but the process of establishing the plan often focuses your attention on what you might otherwise consider as minute detail but what could be essential in the long run.
Try and engage in something you are passionate about and something that will motivate you to get out of bed during those early mornings. Businesses have a much better chance of succeeding if the owner is truly passionate and has designed his or her concept around something that drives.
Jose Riesco has applied strategic marketing principles brought from the top corporations to the Restaurant Industry.
Only by changing their strategy and vision, restaurant owners will be able to increase their business and fill in their restaurants with happy loyal clients.
Jose’s new book “Restaurant Marketing Strategies” is now for available.
To find lots of free information and tips about restaurant marketing strategies and online restaurant marketing visit his web site: http://www.myrestaurantmarketing.com