Many operators are frustrated by the lack of available industry figures to compare with their own performance. Some segments have organised KPI comparison figures available by subscription eg the club industry. But the lack of outside figures shouldn’t stop you comparing performance your own figures from different periods and teams.
- Number of Customers.
Training on how to get the right data without extra cost. A good measure of popularity, but how do you count them if there’s a crowd wating for take-away food? The most important number of all, and it’s surprising how many businesses don’t know it. Transaction numbers is the other way, but it’s skewed by a single purchase for more than one person.
- Total Sales Per Head.
Total sales divided by the number of customers. How does it compare to last week and last month? May vary between different times of the day and day of the week.
- Food, Dessert, Beverage or Alcohol Sales per Head.
Total sales should be divided into key areas of choice – main course and starters, desserts, non-alcohol beverages, alcohol and perhaps also side orders (eg breads and salads) and other product sales. It shows two things: how much your menu appeals to customers (do you have all the choices they want, eg the right dessert selection? ), and how well your staff are selling. This KPI can be a good basis for a bonus system..
- Seating Efficiency.
How well your tables are turning over while still offering quality service. Many small things combine to have a large impact: cooking time, hosting, speed of seating, service and clearing. The size of tables relative to the average group size will also make a difference.
- Sales per Hour.
Useful in a high-volume setting like a bar where staff may have their own till. Increase speed and sales by organising the touch screen layout so popular items can be found quickly, and ensure that the screen has a rapid ‘refresh rate’. Equpment updates can make a big difference here.
- Sales per Labour Hour.
Divide total sales by the total number of labour hours and compare with your average cost of staff per hour.
- Function Gross Profit per Month.
Very useful for function and event staff, especially if they can earn bonuses..
- Strike Rate.
If 500 people came to your club last night and only 100 ate at the bistro, the ‘strike rate’ would be 1 in 5, or 20%. Good enough? Compare it with similar businesses and at different times. If only 20 of these diners ate dessert, that strike rate would also be 1 in 5. This could be improved with a better menu selection and suggestive selling.
- Revenue per Available Seat Hour (RevPASH).
Similar to the way hotels measure Revenue per Available Room Night.
- Most and Least Profitable Menu ItemsplusBest and Worst Selling Items.
Grade recipes from most to least profitable, working out accurate results using recipe cards. Compare with the number of sales of each. When you have items that are both low profit and low sales, these ‘losers’ should be taken off the menu as fast as possible.. A very powerful tool.
Trainees will also learn how to use powerful comparison tool which includes analysis of :
- This week with last week
- This month with the same period last year
- One section or unit compared with another
- Compare the effects of different weather conditions and temperatures
- Compare different times of the day and days of the week
- Compare the performance of different staff members or under different managers
- Compare results with a different number of people on duty