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Learn how to analyze your menu with MenuMax.
Join us for a webinar on Tuesday December 20, 2011 at 2 p.m. EST.
This webinar is the last in our “Back to Basics” series. It will cover the Menu and Inventory sections of MenuMax. Specially designed for new subscribers, or those that just want a refresher course, this series is all about learning how to organize your back of the house using MenuMax. This webinar will teach you how to create menus in MenuMax that will show you the exact cost and nutrition information for every plate. In addition it will cover the new inventory section and show you how to setup and take inventory with MenuMax.
By the end of this webinar, attendees will be able to:
· Add a menu to MenuMax
· Create sections and add plates to a menu
· Add products to a plate
· Create a prep list
· Setup inventory
· Complete an inventory count
· Create purchase orders
And more…
Space is limited so register now!
With food costs and inflation climbing and customers spending less, restaurant operators must routinely check their menus to ensure they are profitable. One of the greatest weapons against profit loss is to know your food costs.
What is Food Cost?
Food cost determines a restaurant’s profitability. It is what a plate is being sold for on a menu verses what it costs to prepare the plate. Most businesses want their food cost to be at or below 30%.
Why Should I know my Food Cost?
A restaurant’s food cost determines its profitability. Without knowing what the food cost is, there is no way to know if the items on a menu is generating a profit? For example: lets say a menu item is a “slice of apple pie”. In order for the restaurant to meet their 30% food cost goal they would need to know what that slice of pie costs to produce. That slice of pie costs $1.00 to make, so it needs to be sold for at least $4.50 to meet a 30% food cost goal. A restaurant’s food cost covers everything that goes into running the business, from payroll to rent so it is imperative that all menu items meet that threshold.
How do I maintain a low food cost?
To maintain a low food cost a restaurant needs be take be acutely aware of how much inventory they have and how they are using it. According to a Green Restaurant Association analysis “a single restaurant in the U.S. can produce approximately 25,000-75,000 pounds of food waste in a year depending on the size of the establishment”. That is money thrown away.
Unilever Food Solutions’ World Menu Report, Sustainable Kitchens: Reducing Food Waste, noted that reducing food waste provides financial benefits for operators, including a reduction in disposal costs and increased kitchen efficiency. In addition, nearly half of those surveyed in the U.S. say they would spend more for meals at restaurants and food service locations that are taking steps to limit food waste. With 49 percent of American’s food budget being spent in the restaurant community operators and chefs would be wise to take steps to reduce food waste in order attract customers as well as reduce their bottom line.
1. Keep track of your products
It is impossible to run an efficient kitchen if you do not know how much product you have to work with. How much do you have? Are you out of something? Is inventory disappearing? Without keeping track of your products you will be unable to answer these questions and chances are you are loosing money. To avoid this, take stock of your inventory and do it often. The more you know what you have to work with, the less likely you and your staff will be to waste the products that you have.
2.Practice the “Root to Stem” technique
A growing trend in restaurants is the “root to stem” technique of cooking. The high cost of food combined with the growing interest in being “green” has helped “root to stem” cooking grown in popularity. Everyone from the home cook to the restaurant chef is looking for ways to stretch their food dollar and this new way of cooking is all about using every viable resource of a product.
3. Composting
Today, many restaurants are keeping a garden to provide them with fresh produce on a daily basis. There is no better way to maintain a garden than by fertilizing it, and you can turn your food scraps into nutritious food for your garden by composting. Check out Sustainable Foodservice.com to learn about all the different techniques you can use to turn your leftovers into fertilizer.
4. Spend time planning your week.
In order to keep food waste at a minimum it is imperative to plan. By ordering the right amount of product for a set number of dinner services you will be less inclined to waste. Calculate the amount of money you spend on each of your recipes so you can rest easy knowing your dollars are wisely spent and not feeding the trash bin.
5. Consider a creative reconstruction of your menu.
During uncertain economic periods it is imperative that restaurants change with the times. Instead of raising your prices to compensate for that expensive cut of meat, try reworking the recipe to use a less expensive cut, or substitute more produce into the dish. Another great way to save is to incorporate local seasonal produce into your dishes instead of importing expensive out of season fruits and vegetables. Not only will you be satisfying your customer by not raising prices, but your till will be full as well.
With some creative thinking and a little planning it is possible to come up with many solutions to the rising cost of food. By investing in the right tools, planning out your menus, and reworking your dishes it is possible to keep prices down and customers happy.
How do I figure out my food cost?
There are many tools on the market to help calculate food costs.
For example, MenuMax will match the ingredients in your recipes to the items in your order guides and calculate the food cost for that dish, down to the last cent. Knowing the exact cost of an item will let you analyze the inflation cost, set a price that meets margins and satisfies customers.
Over the last year 9,450 restaurants in the U.S. closed. Nearly 92% were independents that did not manage their food costs wisely.
MenuMax arms you with the tools and knowledge you need to engineer a highly
profitable menu. With MenuMax you can manage your profit margins by viewing total recipe cost, single-serving cost, and menu food cost percentage for a higher return on investments.
For More Information visit us at www.MenuMax.com
By: Nicole Reed, Communications Manger, MenuMax
It’s the holiday season and consumers are expected to spend more this year than seasons past. According to a recent QSR Magazine article, “dollar volume spent in the industry on Black Friday, the unofficial launch of the season, grew 11.7 percent over last year”. That being said, it would be wise for restaurants to boost their end of year sales by tapping into consumer’s holiday spending. Below are a few suggestions on things you can do to improve sales at your business.
Develop a Holiday Marketing Plan- Start by tying in a holiday theme with your year round marketing messages and build your specials from there. Consider who your audience is. Generation X and Y are spending more than they did before the recession however baby boomers and senior are still spending conservatively. Make sure your marketing plan speaks to your target audience and that you have the right combination of menu items and pricing to get them in the door.
Offer Holiday Specials- Consumers love holiday specials. As soon as the season is upon us, major chains begin promoting everything from festive drinks to easy carryout dishes to supplement traditional holiday favorites. If you are not already doing so try offering a happy hour special. Festive drinks and small plate options have been all the rage in recent months and will continue to be so through the holidays.
Capitalize on Trends- Who doesn’t like a little taste of home? More and more restaurants have begun to offer classic comfort food and customer response has been overwhelmingly positive. Try adding some holiday classics to the menu like stuffing, or eggnog. If your planning on offering holiday inspired dishes consider offering them for carry out as well. Consumers love getting traditional holiday classics without having to do all the work themselves.
Adding a touch of the holidays at your business can pull more guests in the door and keep them coming back in the New Year. Use this season to begin building your customer loyalty. With holiday spending on the rise it is possible to end this year in the positive, just by adding a little holiday cheer at your business.
By Nicole Reed, Communications Manager, MenuMax 
This year the farm to table movement has gained a loyal following and as a result, been adopted in restaurants across the nation. From fine dining to large chains like Chipotle more and more operators are choosing to partner with local vendors for their product needs. Sourcing locally grown produce cuts down on your carbon footprint, promotes sustainability and results in superior flavored products because they are harvested and make their way to your table within the same day. While this farm to table movement is growing in popularity there is another force at work threatening this trend in restaurants.
In 2011 there has been no shortage of outrageous weather phenomenon that has negatively impacted U. S. crops. Take Texas for example. This year has been the driest in the state’s history, because of which crops like peanuts, corn, wheat, and pumpkins have suffered. A similar story can be told across the nation whether because of drought, flooding, or freak snowstorms, all of which have affected natively grown produce. With rising produce costs as a result of the weather it does present a valid question. Is it possible to meet food costs and menu requirements when buying local produce this fall?
Build a Relationship
Get to know the farmers in your area. Start by exploring your local farmers market and start a dialogue with the vendors you meet. By doing so you will learn about the type of crops they provide, the volume they produce, and their farming practices.
If you have a relationship with a farmer they may be more likely to increase their volume of a certain product to meet your needs, which leads me to my next point.
Make a Commitment
Once you have established a relationship with your vendors it is time to talk turkey. Discuss what type of produce you need at your business and see if the farmer is able to produce what you need and see if you can negotiate a set price for that produce. The farmer benefits because he knows he can count on your purchase week to week and you benefit by cutting out fluctuating shipping and exchange rates associated with sourcing elsewhere. Also, if there is a shortage in a particular crop your business will be supplied first ensuring the best product.
Create a Well Balanced Menu
Part of the beauty of sourcing your produce locally is that you can often negotiate a fixed price from your local provider. This allows you to create a menu with a range of pricing and portion sizes that ensure you will make a profit. By combining moderately priced protein options with your local seasonal produce you offer guests a good value for their money and a meal that wont put your food costs out of range.
While all operators want to keep their food costs down, it is not necessary to sacrifice good quality locally grown produce for cheaper alternatives this season. With a little work you can find the resources you need to execute your menu right in your own backyard.
By: Nicole Reed, Communications Manager, MenuMax 
According to the results of the Foodservice Director’s 2011 Portability Study,“ 79% of respondents said they offer portable menu items, compared with 73% last year”. With more than 35% of workers still purchasing at least two of their work week lunches from restaurants and other foodservice locations, the demand for quick grab-and-go meals remains high. In order to capitalize on the grab-and-go lunch craze it is important to have a clear grasp on the customer you are trying to bring in the door.
Lets break the workforce into target audiences. The vast majority of the American workforce can be divided into two categories. The Millenials and Baby Boomers. According to a Technomic report (Lunch Consumer Trend Report) these two audiences look for very different things when choosing a lunch location.
Millenials make up the largest portion of those that buy lunch out during the work week and they look for value items, while Baby Boomers are more motivated by health and the overall quality of the food.
As a whole, both audiences look for fast, portable, and inexpensive lunch options so the key is to offer a variety of options that can be customized to satisfy a wide range of tastes. So tell me, do you feel that your lunch crowd is made up of the Millenial Generation or Baby Boomers, and based on the audience, are you catering your menu to fit their tastes?
By: Nicole Reed, Communications Manager, MenuMax
Now that fall is officially here, you may be thinking of adding some new seasonal menu items to your current menu. One category that you should seriously think about adding to, or overhauling, is your soup section. No matter the time of year soup sells. Now, with the leaves starting to change and the temperatures dropping, customers will start to look for comfort foods, like soup, to warm them from the inside out.
Once considered “poor mans” fare, soup has become a welcome addition on many restaurant menus. As it is relatively inexpensive to make, soup is a high profit item because of its yield. A small array of leftover vegetables and some good quality stock can produce a sizable portion of servings that is not only popular, (especially in the fall/winter months), but reduces food waste and very low food costs.
Soup is not just comfort food; it is also a dish of choice with health conscious consumers. Many soups are made up of fresh vegetables and lean protein. Adding additional soups to your menu could bring in local consumers that want to dine out, without feeling the guilt at their waste lines.
Because soup is so cost effective for operators, the vale is often passed on to the consumer. Though the economy is hurting, many Americans still want to feel the luxury of dining out. By offering a menu with several soup choices you are giving your customers value for their money. Not only is soup popular in terms of value, it is also a quick and easy meal. I myself have gone out to grab a quick bite for lunch during work and more often than not my choice is soup. It is usually already prepared that morning and can be served almost immediately. Knowing I can grab a quick lunch at a good price keeps me coming back to a restaurant location.
So tell me. Are you cooking up a big batch of soups at your restaurant this fall?
There has been a lot of talk in the food industry about the snacking trend as well as the popularity of small plates. This trend, which started as a way to introduce new dishes to restaurant menus without the fear of loosing profits on an unpopular dish, has grown into a major moneymaker.
- Small plates allow you to introduce new flavors to your menu and test out dishes before adding them to your menu as a regular menu item.
There is no need to add a large order of new items to your weekly food order just because you would like to try out new some new dishes. Instead, just feature small plates that will require less supplies. You don’t want to waste any money trying out a new dish.
- Small plates works perfectly into the snacking trend which is popular amongst the most desirable demographic, the Millennial generation.
It is projected that there will be 70 million Millenials (18-29 years) in the next decade. Now is the time to start building brand loyalty with that audience, and since they are the ones leading the “snacking”trend ,adding some small plates to your menu should appeal to them.
- Small plates encourage sales.
Customers can order a small plate in addition to their entrée and appetizer because it is not a major commitment. Small plates allow them to try new flavors without having to order an entire meal.
If you haven’t thought about adding some small plates to your menu, give it a try. I’m sure you will see the benefits.
September is National Food Safety Education month. Though safe food practices should be top of mind for restaurant operators every day of the year, this month long campaign is meant to encourage operators to “demonstrate their dedication to food safety”.
This years campaign is titled, “Lessons Learned from the Health Inspection”, and is put on by the National Restaurant Association. Since restaurants employ nearly 13 million employees, it is imperative that all are routinely education on the importance of food safety.
Throughout the month, weekly education session’s focus on educating operators and their employees. Topics to be covered include, safe food handling practices, equipment safety, and proper sanitizing processes, just to name a few. The NRA encourages operators to visit www.ServSafe.com/nfsem to download free training materials.
Not only is the safety of your patrons of utmost importance, so is the safety and health of your business. One way to ensure your restaurant’s health is to have an organized back of house. At MenuMax our goal is to maximize your efficiency and profit margins to ensure your businesses survival.
For more information about how you can organize your restaurant’s back of house visit us online.
In the coming years Millenials (those between the ages of 18-29, sometimes referred to as Generation Y) will overtake the baby boomers as the most sought after target audience for restaurants, this according to a recent Nation’s Restaurant News article.
According to the report, this generation will continue to become more diverse because of immigration over the next 10 years, because of this, restaurants need to be prepared to offer a variety of dishes on their menus.
As mentioned in a previous post, Millenials are big on snacking. That’s means restaurants will need to think about adding more day parts to their schedule. Since it is reported that 47% of the Millenials that were surveyed for the NPD report were full time students and spend half of their eating out money on carryout, restaurants should populate their menus with items that can be easily eaten on the go.
It is expected that Millenials will reach 70 million in the next decade. With that number in mind, the restaurant industry would be wise to begin targeting this audience now in order to begin building brand loyalty.
Check out this blog post to learn how to target the Millenial Generation.
By: Nicole Reed, Communications Manager, MenuMax
With the cost of commodities continually in flux and the cost of labor rising restaurant operators are looking for anything that can help them cut costs. One piece of technology that is growing in popularity and is helping to meet that need is tableside ordering systems.
From the iPad to other touch screen technology these systems are helping operators cut back on labor costs and cut down on serving time. While this new technology can save time and money it is important to consider both the positives and the negatives when choosing whether to implement this type of technology in your restaurant.
Positives
Customers can order immediately.
The beauty of this technology is that it allows your customers to order as soon as they desired something. No need to get a waiters attention, customers simply point and click to select the item they would like and their order is automatically sent to the kitchen for preparation.
Reduces dining time.
Due to rising labor costs it is not uncommon to find a restaurant understaffed. If a customer comes in on his/her lunch break and returns late to work because of slow service, chances are they will not be returning for lunch. That’s business a restaurant can’t afford to loose. By using tableside ordering systems customers can sit down and order as soon as they are ready and the wait staff can spend there time delivering orders and really giving customers the service they need.
Reduces order errors.
No need to worry about incorrect tickets, tableside ordering systems help to cut down on order errors by giving the control to the customers. Customers can order with confidence and know that their menu selection will be sent to the kitchen exactly like they ordered it.
Offers tableside entertainment.
Some systems offer built in entertainment, like previews of upcoming movies and trivia games. While this is not a feature every restaurants will want to offer to customers, it can set you apart from competitors. Customers who want to multitask and find a movie for later or who are dining alone during lunch and want the distraction will certainly enjoy it.
Negatives
Needs to be integrated with POS system and that could be costly.
In order for a tableside ordering system to work efficiently, it needs to be integrated with a point of sale system. If a tableside system is not compatible with a POS it can be costly to integrate the two systems. Make sure you do your homework before buying a particular system.
Security
If you allow customers to pay right at the table using the tableside system you need to be sure that that system is secure and up to date with the latest security standards.
What is the lifespan/maintenance of this type of system?
You need to factor in the cost of maintenance and how often you will need to replace a system into your budget when looking at this type of technology. Also, check to see if there is a monthly usage fee and cost of additional features, like reports, or entertainment packages. You need to know all the costs associated with this type of technology in order to see if it will be saving you money in the long run.
By Katya Baxter, Nutritionist, MenuMax.com 
Have you ever noticed how the word ‘healthy’ can take on a whole bunch of different meanings, especially when it comes to food?
We are living in a society where everyone seems to have their own meaning of ‘healthy’. Is it motivating? No. Confusing? Most definitely. So here is a list of five common misconceptions about healthy food that hopefully will help you put some of this confusion to rest.
- ‘Light’ choices are supposed to be healthier choices. Whatever ‘light’ is, whether it is low-calorie or low-fat, it doesn’t necessarily make the food that you are about to eat healthy. First, ‘light’ foods can still be highly processed foods. Second, the definition of ‘light’ can be quite subjective, as, according to the FDA, it should be determined in reference to another similar food.
- Healthy food is generally tasteless, bland and boring. Gone are the days when healthy food was equated to a side of steamed frozen carrots and broccoli. If this is what you are serving, then perhaps it is time to re-think your menu. There are plenty of resources available designed to help you create dishes that are flavorful, tasty, and rich in nutritional value.
- Healthy food comes down to vegetables that aren’t filling and have little or no protein. If this were true, our vegan and raw food friends would be in trouble. Vegetables represent just one food group that plays a very important part in healthy eating. Other food groups, such as legumes, whole grains, nuts, seeds, and plant fats and oils, create dishes that are not only satisfying, but balanced in nutrition and rich in flavor.
- Food labeled low sodium, low cholesterol, or low sugar are supposed to be healthy. Such claims have become a convenient marketing tool for food manufacturers whose single goal is to sell their products. Similar to misconception #1, just because something is ‘low cholesterol’, doesn’t mean that it is better for you. If you’d like to learn more about health claims and food labeling, go to http://www.fda.gov/food/guidancecomplianceregulatoryinformation.
- Gluten-free food is a healthier choice. Let me put it this way: unless consumed by someone with Celiac disease or gluten intolerance/sensitivity, gluten-free food is not going to improve your health in any significant way. Unfortunately, the gluten-free claim is quickly becoming just another marketing tool to sell highly processed products that aren’t always the best choice even for those with Celiac or gluten intolerance/sensitivity.
How can you help clarify these misconceptions for your customers using your menu or other available resources?
By Katya Baxter, Nutritionist, MenuMax.com 
We all agree that fat makes food taste better. Yet, all too often recipes contain more fat than necessary to achieve the full flavor profile of a dish.
According to the Culinary Institute of America, keeping the overall fat content to about 20% of the dish in many cases will give you the flavor you want without sacrificing the quality.
If you decide to experiment with adjusting the fat content in your recipes, consider these simple suggestions:
1. Use healthier fats. When a recipe calls for added saturated fats, consider replacing them (at least partially) with healthier versions, such as pure plant derived oils.
2. Keep the bacon. Have purpose for ingredients high in saturated fats. For example, render bacon and pour off most of the fat before using it in a recipe. This will reduce the fat while keeping the flavor of the bacon.
3. Throw out the extras. For example, when making sauce, make sure to pour off the fat accumulated from browning or roasting your meats before adding other ingredients. When making stews, braises, stocks and soups, try to make them a day in advance and refrigerate overnight so you can then easily remove solidified fat.
4. Bring equipment to the rescue. Silicone sheets are great for low-fat baking because they eliminate the need to oil the pan. Use defatting pitchers or defatting ladles to remove fat from your soups or stocks when you don’t have time to refrigerate. Non-stick and cast-iron pans are also great for low-fat cooking because they don’t call for a lot of oil.
What techniques have you been using to reduce fat in your recipes?
By: Nicole Reed, Communications Manager, MenuMax 
Last week a news headline captured my attention, and from the amount of coverage it is receiving it wasn’t just me that noticed. Recently a Chipotle loyalist learned that the pinto beans he has been eating for many years with his meals are actually cooked with small amounts of bacon. Because he ordered chicken in his dish he was never informed of this fact. All Chipotle staff are instructed to inform customers about the small amount of pork when they order no meat and select pinto beans in their meal. Now why is this an important fact to know? This customer does not eat any pork. Upon discovering that the beans are cook with pork he took to Twitter to spread the word. Chipotle, to its credit, responded to this customer quickly and has recently announced that the entire chain will be changing their in-store menu to reflect that information.
I found this story particularly interesting because it shows the importance of menu labeling. It is important for customers to have the information they need to make decisions when looking at a menu. While many menus do point out when something contains nuts or raw egg, incidents like the one described above could lead to upset or in some cases ill customers. If something is used in the cooking process, in this case pork, that is something that customers should know. Whether they have allergies or abstain from consuming a particular item for other reasons consumers have the right to know what is in their food. By providing customer with an accurate description of each dish, as well as the nutrition information of the plate, you will be providing patrons with the information they need to make wise food choices.
For all your menu planning and nutrition analysis needs check out MenuMax.
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