There is always room for improvement when it comes to boosting profits no matter the type of restaurant. From reducing waste to cross-training staff, restaurant owners can easily incorporate cost-cutting tactics into their day-to-day operations. Whether it is a diner, café, bakery, coffee shop, four-star eatery, or even a bar, here are some ways to increase the bottom line:
- Be smart about the staff. Employees are the biggest expense for most established restaurant businesses. If you can decrease what you devote to personnel, it can create a significant impact on overhead. To diminish costs, motivate the team to be as productive and efficient as possible. Make sure to pay staff a fair wage so they will be less likely to leave. Other strategies include utilizing part-time help, training employees to handle multiple responsibilities, and conducting surprise audits on cashiers.
- Invest in effective technology. Anything that helps serve customers faster and/or save labor is a substantial benefit for your profits. In terms of restaurant technology, you could utilize an app that allows patrons to make reservations online. Additionally, consider an updated POS system to process transactions. If anyone in your team wears headsets, it could potentially speed up communication. You could also save considerable time if you implement a scheduling management system. The less haggling employees over hours, the better.
- Reduce food costs. If you are truly serious about lowering expenses, pay special attention to your food budget. Look for areas you can decrease spending without sacrificing quality. You may have to adjust the menu by changing portions or ingredients, but the change will be beneficial long-term. Also, contact suppliers to negotiate more appropriate upfront terms and prices. The effort is always worth the payback.
Interested in discovering more tactics to reduce costs and increase profits at your restaurant? Take a look at the following infographic, which breaks down other numerous strategies you can take to boost the bottom line.