6 Critical Questions to Ask When Creating a Winning Grocerant Strategy
The Future of Retail Foodservice
While sushi can play an integral role in a fresh, forward-thinking grocerant operation, there also are plenty of other ways grocers can turn their foodservice operation into a must-dine destination. Learn more at Progressive Grocer's Grocerant Solutions Summit.
Do Your Menu Strategy Homework
Getting to “yes” on the list of menu strategy questions requires some homework from all interested parties, but it’s time well spent. Here’s where to start:
1. Review your current menu strategy and results
Do the math. How many items do you offer? What percentage of sales does each item contribute? Where are best-sellers located on your menu real estate? How often do you change the positioning of your menu listings?
2. Establish your business objectives
Some examples: We want to increase morning coffee sales, we want to be known for nightly pasta specials, or we need to increase sales between the lunch and dinner dayparts. Once you have prioritized your objectives in order of greatest potential, establish targets and metrics for each.
3. Identify and prioritize your food platforms
Are beverage sales more important than sandwiches? How often do you sell a beverage with a sandwich? Are sides more profitable than desserts? How do your menu items work together and independently?
4. Understand critical weaknesses
Menu measurement and strategy can identify and correct weaknesses, such as knowing your slowest hours of the day and identifying your lowest-selling items. This step can also help you identify threats and risks, like having a competitor with similar or better menu offerings.
5. Recognize critical success factors
Track sales of best-sellers and signature items to measure what differentiates you from the competition.
6. Identify and prioritize key opportunities
Provide specific examples of how you will accomplish your most important business objectives. Examples: We will develop “combo” offers to grow check averages, or we will offer free coffee refills with bakery purchases during slow afternoon hours.
Knowing and sharing your homework will guide a menu strategy and create a unified vision that will help dissolve any cultural resistance within your organization. You might have individuals with their own ideas about the importance of a pizza topping or a weekly special. A menu strategy quantifies your grocerant goals and outranks any opinions and vested interests.