June 25, 2009

Sit-Down Discounting

This New York Times article details the stress
being put on "fast casual" chains.

A TGIF franchisee says, “My ultimate goal as
an operator is I need to drive traffic, and if
that traffic is going to Applebee’s or going to
Chili’s, I need to take that traffic away,”

That sounds like a typical corporate goal but
the job of the restaurant operator is to make
a profit on every transaction and to stay in
business. You can't do that on customer counts
alone.

.

4 comments:

Anonymous said...

after reading this article I can't decide if this is a good time or a bad time to start selling Angus. are we cutting into the casual guys or are they now firmly on our playing field?

Anonymous said...

Angus will be a good thing cus we need to get back to selling food instead of just giving away coffee drinks.

Anonymous said...

Wait til the 1st of August when the angus burger goes on OPNAD. We then will be giving away Angus! and at $3.99 look and see what your food cost is! Penny profit is fine, but the food cost eats you up!

Richard Adams said...

It's not about profits - it's about top line sales.