In a time of year when owners and operators update and revise their restaurant bar business plan for the upcoming Holidays and New Year, there is encouraging news. Both December party forecasts and recent operator stats on sales and profits margins show signs of improvement over last year. According to this story in the Chicago Tribune, the number of company holiday parties is on the rise. However, the corresponding budgets for each are not: “Just like millions of American households that have felt the economic pinch, companies have adjusted their holiday plans, opting for simpler, smaller celebrations. At the onset of another holiday season, spirits remain subdued, yet caterers and restaurants do cite improvements in party business from last year, which also was an improvement over 2009.” The takeaway in this article for your restaurant bar business plan is to focus on smaller groups with smaller package price points. Three parties of 50 spending $30 per head each versus one party of 150 spending the same amount is still $4,500 plus tax and tip. In other words, volume is volume in food and beverage sales if it is important to generate a certain amount of cash flow to cover your base overhead. In a separate restaurant advisor survey published in Nation’s Restaurant News: “The latest MillerPulse research points to first optimistic outlook on margins in 9 months. The survey also found operators across all segments, except for fine dining, were optimistic about same-store sales over the next six months.” The takeaway from a restaurant expert perspective is that 2012 revenues in most foodservice segments, especially quick-service, are on the rise while profit dollars as a ratio of sales will improve too. In terms of adjusting revenues in your 2012 restaurant bar business plan, expect sales increases of at least a similar amount that occurred in 2011 over 2010. This equates to approximately a 3% increase for year over year planning.
Perry Group
Hotel & Restaurant Experts For The Hospitality Industry
