How do you calculate a Sales Forecast?
The success of a restaurant, and achieving restaurant growth, boils down to one thing – can you forecast your sales accurately? In hotel and restaurant management, correctly estimating the monthly sales for each of your dishes is crucial. Costly mistakes such as over-ordering ingredients, or disappointing customers with a reduced menu, can make or break a business. Forecasting sales is a crucial part of restaurant operations. However, calculating a sales forecast involves a certain amount of guesswork. You must be able to predict how many tables will be occupied, how many guests will eat, what they will be eating and drinking, and how long it will take them to eat their meal. In a nutshell, a sales forecast for the upcoming month can be calculated as follows: • Multiply the number of guests in each sitting by the average cost of a meal. • Multiply this number by the number of meals served in each sitting (for example there might be two sittings at dinner time and three during the lunchtime rush). • Multiply that number by the number of days the restaurant is open in any given month. • This final number is the forecast for sales. This restaurant report is a very rough sales estimate and, although it can be based on experience and observation, it is still based on some broad assumptions. The future is hard to predict for restaurants Although restaurant management can calculate a sales forecast based on previous experience and food trends for their industry, outside factors can play a huge role. Eating trends, unpredictable sales of a new dish, and even the weather outside are very hard to predict but can have an impact on future sales. Talking to your customers and getting restaurant customer feedback is a great way to get important information about customer experience. Gauging the price of a new dish, asking about food customers would like to see on the menu and finding out what dishes don’t really work, can all feed into your forecasting. The rise in popularity of vegan dishes has been one of the great food trends 2019. Their increasing popularity has meant vegan food is now a firm fixture on many restaurant menus. With this information, restaurant managers can adapt their menus with confidence and forecast sales accordingly.
Restaurant customer feedback on a grand scale
Restaurant development relies on this type of customer feedback, but what if you could access this information on a much larger scale? Managers would be able to make confident decisions, not based on a few conversations, but based on large-scale in-depth customer insight. What if you could be sure that reducing the price of one of your dishes would result in more sales? This is exactly the kind of confident insight that restaurant technology, such as Yumpingo, can offer.
Yumpingo leads the way on restaurant business intelligence, capturing customers’ feedback and thoughts just as they are paying their bill. The data taken from restaurant analytics can help everyone to make better decisions, from the food teams, to marketing, to general operations. Customers have willingly given their feedback, in fact Yumpingo’s extensive client base has reported that up to 85% of customers have given their thoughts without any incentive at all. It’s interesting to see how invested customers are in making their favourite eatery better, and with this quick one-minute survey, it’s no hassle to the customer at all. Invest in your business
Book a free demonstration with Yumpingo today and see how your restaurant, take-away, or shop can benefit from real-time hourly, daily, weekly or monthly customer insights.