Discuss What You Believe The Restaurant Consumer Will Be Looking For In The Coming Decade. Include In Your Discussion How The Concept Of A Restaurant Will Evolve And What Restaurateurs Must Do To Integrate The Expectations Of Its Future Guests.
Restaurant Concept Development
Restaurant Metrics - Sales Comparable sales (comps) Average transaction Average check Guests per day (cover count) Table turns per day Sales per square foot
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Concept Guests Per Day
Table Turns Per Day
Sales Per Square Foot
Cheesecake Factory 1,420 4.7 864
BJ’s Restaurant & Brewhouse 1,193 4.5 666
PF Chang’s 673 3.4 730
Olive Garden 835 3.5 640
California Pizza Kitchen 667 3.3 587
Casual Dining Comparative Restaurant Metrics
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Restaurant Metrics - Expenses Food cost percentage Beverage cost percentage Labor cost percentage Prime costs Fixed and variable expenses Flow through percentage
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Case Studies Restaurant Concepts Fine Dining - Del Posto Casual Fine Dining - The Cheesecake Factory Casual Dining - Pappas Restaurants Fast Casual - Chipotle Mexican Grill Innovation - Bourdain Market
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del posto average checks without wine
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Ambiance of European luxury Palate-enlightening cuisine Polished service World renowned wine list Italian dining experience unlike any other
Del Posto
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Del Posto Background Most expensive concept by Mario Batali Lidia Bastianich and Joe Bastianich partners Located mid-town Manhattan New York City Michelin one star restaurant Four star review by New York Times Five diamond award by AAA Grand Award from the Wine Spectator
Fatty pinkish fish used in high end sushi A single bluefin can wholesale for $100,000 Species is becoming extinct due to demand Kindai tuna produced from hatched eggs Represents a sustainable source of bluefin
Bluefin Tuna
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Unique Selling Points
Concept is “trans-generational” - creativity of contemporary cuisine combined with powerful draw of classic Italian dishes
Hot bread sprinkled with frozen olive oil
Testina di tonno - tuna head cheese
12 Course Tasting Menu 1. Bread 2. Pinzimonio in Bagna Cauda 3. Smooth Scrambled Eggs 4. Wild Black Bass in Moorish
Spice 5. Insalata Caprese with Testina
di Tonno 6. Anellini with Black Truffle &
Vacca Rossa 7. 100-Layer Lasagna
8. Bigoli con L'anatra & Goose Liver
9. Veal in Ash with Grass & Corn
10. Salt Baked Pineapple 11. Eggplant Crostata with
Sheep's Milk Ricotta Stracciatella
12. Tangerines in Lavati, Fregolota con Insalate di Erbe Tree of Cacoa
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With our menu featuring over 200 items that are prepared fresh daily in our restaurants and our focus on quality and hospitality, our restaurants are extremely complex to operate, and we set the bar very high in terms of our standards
David Overton, CEO, The Cheesecake Factory
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let’s talk about the business model of large portions in the restaurant business
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Large Portion Logic
Super sizing is good for the bottom line
Selling a higher price point increases gross margin dollars per transaction
This is true even if the food cost percentage is higher
Gross Margin Dollars from Large Portions
$10.00 item at 25% food cost yields $7.50 in gross margin dollars
$15.00 item at 35% food cost yields $9.75 gross margin dollars
A 30% increase in gross margin dollars per transaction
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farmhouse cheeseburger
Xtreme Eating Award From the Center for Science in the Public Interest
Awarded to The Cheesecake Factory
Farmhouse Cheeseburger - topped with grilled smoked pork belly, cheese, mayo and fried egg
1,530 calories, 36 grams saturated fat, 3,210 milligrams of sodium
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TCF SkinnyLicious Menu
Menu of dishes each with 590 calories or less
50 options on a standalone menu
Small Plates, Appetizers, Flatbreads, Entree Salads. Main Course, Skinny Cocktails
Mexican Tortilla Salada, Hamburger, Tuscan Chicken, Beets w Goat Cheese, Chicken Pot Stickers, Asian Chicken Salad
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Company Timeline
1950 - Founders converted their basement into a professional bakery and supplied cheesecakes to restaurants in Detroit 1972 - Opened a small bakery in Los Angeles and called it “The Cheesecake Factory” 1978 Opened The Cheesecake Factory restaurant in Beverly Hills, California 1992 - Company went public, and was the first restaurant chain to reach $1 billion in revenues with fewer than 100 restaurants in operation
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RAFT Technique for Quality Control
Recipe
Appearance
Flavor
Temperature
Menu items Price points Sense of place Location Service method Unique selling points
The Restaurant Concept
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Components of TCF Concept Elaborate interior design and decor
Extensive menu - features 200 menu selections made from scratch each day
Large portions - ideal for sharing or taking home for a second meal
Unique menu items - innovative food and dessert items - 50 branded cheesecakes
Thumb Print Concept
TCF restaurants are similar, but not exactly alike
Part of experience is enjoying distinctive décor
Color and fun comes from Egyptian columns, hand-blown lighting fixtures, dark cherry wood and brass accents
Hand painted murals are found throughout the restaurants - created by Mary D’Astugues, a former manager; each location has unique murals
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Enhancing Revenues with Printed Menu
Spiral bound book with laminated pages
Advertising revenues created within menu
Local merchants contact advertising subcontractor through their website
Menu Dynamics licensed by TCF www.menudynamics.com
Elisa Ilana Advertising Placement Currently appearing in
The Cheesecake Factory menus in Las Vegas
Why is this advertising vehicle
popular with merchants?
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Focused menu of burritos, tacos, burrito bowls (a burrito without the tortilla) and salads, made using fresh ingredients Our vision is to change the way people think about and eat fast food Avoids a formulaic approach when creating the restaurant experience, looks to fine-dining restaurants for inspiration
Chipotle Mexican Grill
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Pappas Restaurants Owns and operates 100 restaurants in 7 states Nine brands - seafood, steak, tex-mex, cajun Concept of vertical integration for total control Delivering on the concept of “fresh seafood” Server banked cash handling Photobook of regulars at the bar
Pappas Restaurant Concepts Pappas Brothers Steakhouse Pappas Meat Company Pappadeaux Seafood Kitchen Pappas Seafood House Pappasito’s Cantina (Tex-Mex) Pappas Bar-B-Q Yia Yia Mary’s Mediterranean Kitchen
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Superior Beef
Serves only 100% USDA Prime beef Sourced from a single packer Midwest USA Two butchers on-site at each restaurant Dry-aged in-house for at least 28 days Classic seasoning kosher salt & black pepper Steaks finished off with butter
Making Anthony Bourdain’s shows come to life Communal eating spaces surrounded by small stands selling street foods from around the world Asian night market - eating/drinking at midnight Large warehouse on the Hudson River NYC Opening 2017?