Sunday, March 1, 2009

Restaurant Marketing Plan for Hard Times.

The vast majority of restaurant operators are very skilled in their trade; that is to produce outstanding and delicious food. But when the economic environment is on the downturn and guests don't even come, how can they maintain or boost their sales?

A low cost marketing plan should include a portfolio of ideas such as the following:

1. Local Store Marketing: this groups initiatives that are developed to target guests already in your restaurant. Examples could be:

a. Frequency cards
b. Business partners discounts
c. Promotional items / gifts
d. Ad signs / Lawn signs
e. Children coloring contests


2. Direct Marketing: these initiatives are designed to target potential guests within your trade area. First you need to know it, zone it and section it in relations to your competition. Because different level of aggressiveness and budget will likely depend on the strengths and weaknesses of your competition, this is an essential ground work. Examples could include:

a. Door knob marketing
b. Colleges / Universities flyers
c. Direct marketing
d. Bus marketing with complimenting businesses


3. Public Relations: this is about information that you would want to disperse about you, your business or your culture, for instance:

a. Press releases
b. Business networking
c. Fund raising events
d. Give lectures / seminars in colleges / universities
e. Community newspapers


4. Internet Marketing: For a certain demography, internet has become the dominant means of communication and source of information: email, IM, blogs, websites, search engines, reference sites... Therefore any internet marketing campaign needs to consider all these sources. Don't forget that President Obama raised more political money than his adversaries through these methods.


Even corporate restaurants ought to seriously think about this. Your customers are a local business. That's why attracting them should be a local project, whether or not your system is nationwide. But be cautious that your marketing campaign doesn't run your business aground. A 5-10% budget should be enough. Less and it wouldn't be effective enough to make it worth it. More and it would damage your brand image and drive you to bankruptcy. And if this is not effective enough, than you have bigger problems.

In good times as in bad, a well designed marketing plan is essential to attract and retain your business. Otherwise they'll go elsewhere.

2 comments:

  1. Wow, these are great ideas!

    ReplyDelete
  2. Another great post, Alex. I'm sorry that I haven't reviewed your financial analysis of the Cheesecake Factory yet.

    ReplyDelete