T302 Chapter 4 Food and Beverage Marketing

Marketing = Advertising?
NO
Want vs Need
want is something specific you desire in the realm of needs, things you cannot live without
advertising is
a component of marketing, “seeing the business from the perspective of the guest”
marketing
takes focus on guests’ wants and needs and then plans to meet those needs while making a reasonable profit.
marketing focusing on guest services should:
talk about service routinely, use strategies that focus on what is best for the guest, exemplify excellent guest relations, guest friendly systems, balance high tech with high touch, service in your training, results and successes and opportunities with employees
steps toward service excellence
1. recognize that service is important, 2. develop guest-friendly procedures that meet standards and goals, 3. Assess and respond to guests’ changing preferences
Functions of Feasibility Study
• Identify market area characteristics.
• Evaluate proposed site.
• Analyze competitors.
• Estimate demand.
• Project operating results.
Market Area Characteristics
• Demographic information
• Retail sales volume
• Number and types of businesses
• Impact of tourism
• Available transportation
• Economic stability
Evaluating a Proposed Site
• Availability, convenience of parking
• Traffic flow
• Distances from exits
• Location of other attractions
• Site accessibility
Analyzing the Competition
• Location
• Type of restaurant
• Source and volume of business
• Times of operation
• Menu prices
• Check average
• Type of service
• Number of seats
• Alcoholic beverage service
• Entertainment
• Promotional efforts
• Chain affiliation
• Other service distinctions
Estimate Demand
you make some assumption about the demand for a type of good and beverage establishment
Projecting Results
Create a pro forma for first, second, third and maybe up to five years of operation, use 3 levels: best case, worst case, and most likely case
Guest Profile Research:
allows you to create a Positioning Statement
Factors Include:
• Age
• Gender
• Frequency of visits
• Employment
Marketplace Factors/Trends
• Changes in demographics
• Events in community, region, state, nation
• Cost of energy
• Government regulations
• Cost of travel
• Nutrition concerns
What is a Brand?
The brand creates a promise to what guests’ can expect
What is in a Name?
• The name should convey who you are and what you provide
Steps in a Typical Marketing Plan:
Select Target Markets
Determine Objectives
Create action plans
Evaluate and Revise (as necessary)
Internal Selling
• Any effort made to increase revenue from guests who are already visiting your restaurant
• Suggestive Selling
• Up-selling
• “Sell with conviction”
Internal Merchandising
The use of in-house signs, displays, and other promotional material used to increase sales
• Posters
• Table Tents
• Wine Displays
• Dessert Carts
• Electronic Display Boards
• Take the long way through the dining room
Special Sales Programs
• Increase the public’s awareness of the operation
• Attract new guests
• Keep regular guests happy
• Increase business during slow periods
• Spotlighting special events
Special Sales Programs examples:
Product sampling
• Contests
• Packages
• Premiums
Gift cards/certificates
• Discounting
Bonus offers
• Frequent guest programs
Outdoor Sign Advertising Pros
• Low cost
• Long life span
• Broad reach
Outdoor Sign Advertising Cons
• Limited message length
• Wasted coverage
• Zoning laws
Newspaper Advertising Cons
Skimmed quickly
• Quickly obsolete
• Poor reproduction quality
• Wasted coverage
Newspaper Advertising Pros
• Widely available
• Flexible positioning
• Effective coverage
• Can be placed quickly
• Easy to cancel or repeat
Magazine Advertising Pros
• Long life span
• Possibly many readers per issue
• Can target specific audiences
• Excellent reproduction quality
Magazine Advertising Cons
• High cost
• Long preparation time needed
Radio Advertising Pros
• Saturate local area
• Can be inexpensive
• Can target specific markets
• High message repetition possible
Radio Advertising Cons
• Short life span
• Audio only
Television Advertising Pros
• Combines sight and sound
• Extensive coverage
• Target markets
Television Advertising Cons
• High cost
• Long preparation time
• Wasted coverage
Direct Mail Advertising Pros
• Audience selectivity
• Flexibility
• Personalized message
• Easily stopped or started
• Easily evaluated for effectiveness
Direct Mail Advertising Cons
• High cost
• Junk mail image
Electronic Advertising
• Websites
• E-commerce
• Banner or click-through ads
• Facebook
• Online dining guides
• Cell phone ads
• Twitter
• TiVo
• Corporate blogging
• Digital jukebox
Public Relations:
the technique or practice of communicating favorable information about a restaurant operation to the public to create a positive impression.
Publicity:
free media coverage of an operation, its staff, or special events.