Top 7 Growth Opportunities Within the Restaurant Industry in 2022
It’s important to remember that growth opportunities in the food service industry go far beyond using innovative restaurant technology. In many cases, it all boils down to standard practices.
If you’re searching for growth opportunities, you’re probably looking for ways to increase the restaurant profit margin. If so, continue reading to learn more.
Increase Restaurant Sales
Boosting your restaurant’s ROI is essential for maintaining long-term growth. Remember that the ROI meaning refers to the amount of money you invest in your business vs. the amount of revenue it generates. So to put it simply, the larger the ROI, the better.
Growth opportunities often result in surges in traffic and sales. However, every business owner must realize that various restaurant marketing strategies can impact businesses differently. Understanding which ones will work for your eatery is vital.
From creative restaurant marketing ideas to new forms of food tech, there are many tactics to add to your restaurant business plan. Read on to learn how these factors contribute to some of the best growth opportunities in 2022.
Growth Opportunities Within the Restaurant Industry
If you’re searching for growth opportunities to increase restaurant sales, look no further! Here are seven of the top methods to boost profits for your eatery.
1. Daily Menus For Less Food Waste
One of the most significant issues that the restaurant industry is facing is a surge in food waste. As inflation continues to be an economic issue, many restaurants opt for bulk orders. Though it might seem like a logical solution, it boasts many problems.
Daily menus are an innovative and modern approach to reducing food spoilage and shrinkage. Instead of having standard menu types, the restaurant has the freedom to change it up on a daily basis. This approach will allow you to maximize your inventory and get the most out of a sustainable restaurant budget.
Another way to dodge the risk of creating waste is to order only what your restaurant will need. Improve your inventory management techniques with an app like BlueCart to schedule the proper amount of stock at the right times.
2. Use Technology For Innovation
Several of the greatest growth opportunities in the food industry circle back to technological advancements. Tools and resources allow the restaurant manager to streamline restaurant operations and increase restaurant sales.
Some of the most popular ways to boost restaurant profits are by onboarding the following tech solutions:
- An all-inclusive POS system
- Self ordering kiosks
- Tableside payment devices
- Options for contactless payments
- Restaurant inventory management app
- Bar inventory app
- Delivery and curbside pick up
3. Provide Online Ordering Services
Off-premise business is one of the best growth opportunities for restaurants. There is much room to increase revenue while simultaneously cutting restaurant expenses.
Online ordering apps allow customers to make purchases in the comfort of their own homes. Consequently, there are three major reasons why this ordering style is so profitable:
- Customer data reports show that people spend more money per order when purchasing it online vs. at a brick and mortar restaurant.
- There are app integrations and features that allow restaurants to upsell orders. For example, there might be last-minute menu suggestions on the checkout page.
- A restaurant can only seat so many people. By offering delivery service, you’re expanding your reach to an entire geographic area.
4. Partner With Local Businesses
Cross collaboration is a technique to instantly gain exposure. Another great benefit of partnerships is that they benefit both parties.
Browse local businesses or nonprofits and find a few you’d like to support. Conduct thoughtful outreach and set up a plan to cross-promote each business.
If a local business or charity collaborates with your restaurant, a partnership might look like this: you’ll donate a payment or proceeds from an event in exchange for promotional campaigns. Such promotions could be physical ads on their property, features throughout their email marketing strategy, or the chance to serve food at an event.
5. Reward Loyal Customers
One of the most lucrative growth opportunities in the restaurant space is rewarding your most loyal customers. If you don’t already have a restaurant loyalty program set up, we highly encourage it.
Loyalty programs establish a cycle where customers keep coming back. As they make new purchases, they’ll keep gaining more perks. It’s an ongoing tactic that constantly helps to boost restaurant profits.
6. Offer First-Time Restaurant Promotions
Consumer data reports show us that people frequent eateries that they know they love. It’s understandable–why fix something that isn’t broken? With this in mind, it can be hard to incentivize first-time visitors.
Promote coupons in flyers, online, and in email newsletters. Display that a discount will be added to the bill if you give one of the waiters a coupon code.
Once customers visit your restaurant, it’ll be much easier getting them to come back. The eatery will already be familiar and in mind when they think of a place to visit again. Exposure will also help with growing an online presence.
7. Extend Hours Of Operation
It can be challenging to find a way to differentiate a business from competitors. However, extending the hours of operation is a simple yet effective way to do so. Unless you operate in a major city like New York or Los Angeles, there probably aren’t too many eateries open 24/7.
Frequently Asked Questions About Growth Opportunities Within the Restaurant Industry
There is much to look forward to regarding the future of restaurants. Many factors can contribute to growth opportunities within the food and beverage space. There is also much about the topic that industry leaders should learn about. Continue reading to discover more about other emerging ideas on growth opportunities.
How Can the Restaurant Industry Be Improved?
One of the best improvements the restaurant industry can make is being more environmentally conscious. There are so many sources of food waste and energy usage, so it’s vital to consider daily practices when operating eco-friendly restaurants.
What Are the Major Factors Affecting the Growth Of the Restaurant Industry?
Some of the most prominent factors that are affecting the restaurant industry include:
What Is the Future Of Restaurants?
The future of restaurants will stem from innovations and technology. As eateries look for ways to adjust their business model, they constantly seek ways to streamline operations and make better use of their resources. In doing so, they frequently onboard new forms of tech.
How Can A Restaurant Improve Performance?
Restaurants can improve performance by using restaurant automation software to simplify operations. For instance, if an eatery is understaffed, try using tableside payment devices. Or, perhaps the restaurant generates more revenue from food deliveries. In this case, converting the business into a ghost kitchen could be a profitable venture.
How Can A Restaurant Increase Profitability?
A restaurant can increase profitability by setting up promotions and conducting restaurant marketing done right. Just a handful of ways to increase revenue for a restaurant include:
- Happy hour specials
- Loyalty rewards program
- First-time dining discount
- Promotional events
- Digital advertising efforts
Operating a restaurant isn’t cheap, so keeping up with new growth opportunities to boost profits is essential. Find ways to increase restaurant profits without exceeding your budget. By doing so, you’ll be able to scale your business in record time.