The Technology Gap - How the endless amounts of data available are actually hurting restaurants, and how to stay ahead.

A quick 3 minute read.

I spent last week at the Restaurants Canada show in Toronto, and I had one major takeaway above all of the incredible learnings.

Here it is.

👇

When it comes to the pieces of technology that restaurant operators are using, and there are so many great ones,(I will recommend a few of my favorite that actually make things easier below) there is one glaring challenge that sticks out to me.

There is a major gap for restaurateurs between the data available in their tech stack, and what to do with that data.

Based on the fact that the average restaurant pos generates well over 1 million data points per year, it becomes incredibly difficult for any operator to even know where to start.

Let me show you how we turn 8 key data points in to 1 metric -> HERE

• Sales
• Labor
• Food cost
• Liquor cost
• Avg wage
• Avg spend
• Turn time
• Cover count

And on, and on, and on...

I find so many restaurants start with sales, then on to labor %, and then on to COGS... Hoping to see a good profit number.

But what about guest behavior, overall productivity, employee workload, and how all of those affect today's restaurant business model?

There is a gap here.

The way the industry has always done it doesn't work the way it used to. (If it even really worked in the past)

Which is why we are doing so many things differently, and finding so many wins for operators at Benchmark Sixty Restaurant Services

Here are some of the questions I typically ask to get the conversation around how to use data started.

1. What is your biggest opportunity sales wise?
2. What is the most responsible labor % target for your restaurant?
3. The last time you missed a profit target, what caused it?
4. How hard does your team have to work overall in order to achieve your goals?
5. What is your employee workload like, and what is the target in order to protect profit and employee experience?

Side note - Did you know

that the first thing that suffers in every case I have seen involving increased workload is average guest spend? This means your team is having to work harder than normal, to sell less... 🤷

All of these questions are examples of things that in order to properly answer, you need to know how to find and use the data associated with them.

DM me at Jim Taylor for an example of how we simplify this daunting task.

The reality is, that there is too much data to know what to do with, so knowing which pieces are going to benefit your restaurant most, how to find them, and what to do with them is the difference between surviving and thriving.

And I have a passion for helping restaurant operators through that process.

So if you are an operator, we should probably chat. 👊

Now I mentioned that I would tell you about some of my favorite restaurant tech products, that are actually making things more simple for operators.

So here they are.

1. If you are looking for ways to improve the task portion of workload for your team, and to improve process at the same time, I would encourage you to have a look at Notch. They are literally shaving multiple hours a week off of management routines, allowing them to better focus on the most important things in the business more. Essentially they help you pay, and get paid faster!
2. From a payroll, scheduling and HR perspective I always recommend Push Operations. It is clean, clear and simple to use, and the data is right there in front of you in order to help you make strong decisions.
3. OpenTable is great if you are like me and believe that covers are the number one metric to look at. It all starts with guests in seats, and they provide information and support on this better than anyone else.

If you aren't using these 3, you should be, and if you have questions about them, ask me and I will be sure to answer you.

Until next week.

Jim

👊

One last thought...

Whenever you are ready here are a few other ways I help restaurateurs every day.

1. My best selling guide to support management in their efforts to keep their prime cost down is on sale! Get it here -> “The Restaurant Manager’s Guide to Mastering Labor Cost” 
2. If you are a restaurant operator or owner who realizes that increased productivity, and lower turnover are the only responsible ways to succeed in our industry these days... I've got you covered. Let's connect for a discussion. DM me at Jim Taylor or email me at jim@benchmarksixty.com
3. If you are a consultant, or service provider to the restaurant industry and you are looking to build your business in 2023, there is a spot for you right here.