These five words could be preventing you from increasing your private dining revenue up to and over 100%.
Let me show you through some math.
Here are the assumptions:
- # of Restaurants=1
- # of people booking Private Dining Event=1
- # annual restaurant gross revenue=$1mm
- Average Private Dining Event=$2k (recent survey said that this is a good average to use)
- Percent of your business is Private dining=15% (NRN 2009 states that between 105-15% gross revenue is from Private Dining)
So, one person is generating and managing $150,000.00 in Private Dining revenue annually. (sidebar: I challenge you to name me one business on the planet that does that much revenue and manages it with a pen, paper, and Microsoft Word/Excel)
Can we all agree that $150,000 is not chump change? How can you improve that revenue? Here’s how.
- Decrease the amount of time spent of B.S.-Studies show that automated account management systems decrease paperwork and wasted time. Increased selling time nets at least 2 additional booking per user, per year which results in $4K in additional revenue per year. (By the way this alone pays for Tripleseat for TWO YEARS)
- Lost Business Tracking and Found Bookings-Track the who, what, where, when and why of lost business — making it possible to fill last minute cancellations and solicit upcoming meetings. In addition capture leads that would otherwise be lost due to poor processes. Restaurants are gaining at least 5 bookings per restaurant, per month. This results in 5 additional bookings per restaurant per month or $120k annually!
- Install a Lead Capturing page to your website and cross sell multi-properties-sales people will now be equipped with advanced tools that will allow them to respond quickly before your competitors even pick up the phone. If you have multiple restaurants, add bookings to your sister restaurant if you are already booked. Our current restaurants are gaining on average at least 3 additional booking per restaurant, per month which results in $72k annually
- Repeat Business/Customer Service-Instantly confirm space, dates, and menus. Your customers won’t be contacting the competition while waiting for your sales staff to research their request,pinpoint active accounts to provide uninterrupted customer service. With typical sales manager turnover, this results in a minimum of 2 additional bookings per user, per year for an additional $4k per year.
Let’s add up all the revenue goodness:
- Increase Selling Time-$4,ooo annually
- Capture More Bookings-$120,000 annually
- Multi-Property/Lead Management Links-$72,000 annually
- Repeat Business-$4,000 annually
That is 100 additional bookings per year, or $200,000 in ADDITIONAL REVENUE per year/$16,467 per MONTH.
How can you get in on this revenue? Where do you start? Well for starters stop doing “business as usual” by blaming the economy for not investing your future. The ol’ saying of “To make money you need to spend money” is true, but you would be very surprised at how little money you do have to spend (less than your cable bill)
Software is much cheaper to produce now. Software in the cloud has driven the cost of software to it’s lowest levels ever. Who benefits from this? Why you do.
If you want to run your own ROI summary, simply download our ROI worksheet that is located on our homepage or download it HERE
You are losing more by doing nothing.