Hospitality venues in Australia are continuously adapting to the pandemic and ever-changing government restrictions with increasingly ingenious methods by diversifying their menu and takeaway offerings and embracing new digital endeavours. However, the question still remains as to how venues in Australia can possibly boost profits in such a trying time, rather than just covering their losses.
It may not be an easy road, however, there are opportunities out there for venues to boost profitability, even during lockdown. Keep reading to find out how.
#1: Minimise Outgoings
While our government is providing some support for hospitality businesses, it’s still not enough to cover the losses some businesses are experiencing. How, then, can venues minimise their outgoings?
- Tweak your menu to offer more affordable menu items during the pandemic. Many Aussies have tightened their purse strings, so not everyone is looking to have a seven-course degustation.
- Time = Money, review time consuming tasks and inefficient processes. Many venues found they could save up to 4-5 hours a week by using a wholesale order management platform like Foodbomb. Additionally with Foodbomb’s free Xero accounting integration you could save up to $4,000 – $8,000 per year in bookkeeper and accountant fees.
- Watch the market, take note of food seasonality, and adapt accordingly! Focus on classic, tried-and-tested menu items that have a high profit margin.
#2: Enhance Your Venue’s Cleanliness
In times of uncertainty, customers want to be reassured. Not only should venues be physically safe and secure, but communicating this with customers should be a priority. Your loyal customers will trust that you’re doing the right thing, however, when you’re trying to attract new customers, the more reassurance you can provide, the better!
#3: Improve Digital Experiences for Customers
In times like these, digital platforms can act as a life raft for hospitality venues. If you haven’t updated your website since 1993… what are you waiting for?!
Implement an online ordering system, especially if you already have a loyal customer base. That way, you can avoid relying too heavily on food delivery services and maximise your profits!
#4: Adapt Takeaway Offerings
Think of ways you can enhance your menu offering to suit changing consumer habits. Try initiatives such as:
- Take away meal kits – encourage customers to cook your simplest dishes at home. All you need to provide is the ingredients and a recipe. Too easy.
- Take away drinks or cocktail kits – try to recreate the full dine-in experience by encouraging “date nights” or “ladies’ nights” with delicious dishes and easy-to-make cocktails.
- Banquets and food packages – customers are searching for value and convenience! Ready-made dinners for two or packaged family feasts just make life a whole lot easier.
- Tasting menus – create a ready-made tasting banquet with different bites of all your classic dishes to encourage new customers to try your best fan favourites.
#5: Focus on Customer Loyalty and Goodwill
Loyalty is everything, particularly in small, local communities. More than 70% of Australians are looking for ways to support local businesses at the moment. Make sure your business is the one they choose by rewarding them with incentives and freebies.
This could be as simple as printing a loyalty card and using a stamp system on pick up. Or, you could even enhance your existing loyalty program to make it more enticing.
It’s also crucial for local business communities to support one another during difficult times. There are a number of ways to do this, such as:
- Collaborating with other local businesses in your area with joint competitions on social media or take-home packs full of a combination of your products.
- Supporting local farmers and producers by ordering with Foodbomb.
- Launching a goodwill initiative and give back to local farmers or remote communities who may be struggling during this time.
We can all get through this if we support each other – that includes supporting other small businesses, communicating with staff, reassuring customers, and, above all, striving to help people live their lives safely.
We’re Here to Help
At Foodbomb, we’re passionate about making life easy for business owners and venues, especially in such a chaotic time!