Marketing Strategies FINAL-5

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I have started this manual with an excerpt from my quick start guide. I think it is real important to understand some basics before jumping in and attempting to market your restaurant. So for some of you that have read the Restaurant Success Quick Start Guide part of the first section will be a bit repetitive. I apologize, but it is also not a bad idea to re-read the concepts to further embed them in your thinking. If you choose, you can jump right to the strategies which start on page 43! I am so excited you decided to join us. Already by taking the time and making a decision to be a part of Restaurant Success System you have already outperformed more than 99% of the rest of your industry peers, the group waiting to see what happens, and you have become a member of a group that is making things happen. You, my friend, are a PRO in this industry, whether you recognize it or not. At the least I think you are a PRO - Proactive Restaurant Operator. Whether you are an owner or not, no matter if you are in a restaurant everyday or not, as long as you are part of us that work in this industry, care about this industry and look to better this industry then you are a PRO! Think about what a PRO you are... Most professional athletes "the pros" train about 90% of the time and perform about 10% of the time, usually Game Day. Now think about the restaurant industry, we perform about 90% of the time and are lucky to train 10% of the time and everyday is "Game Day". We are the real PROs! This is your time to train and tune your skills and while you are out there performing 90+% of the time you have a group of PRO's just like yourself a click or phone call away. If you have not already, go to www.RestaurantSuccessMonthly.com to gain access to our member site with tons of downloadable resources and templates, designed to make your life and marketing much easier.V V
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        Great care has been used in order to make this Program clear, and easy to understand. Presentation of information on even the complex subjects is made in such a way which is both easy to follow and understand, as well as easy to study and learn. Difficult words and complicated phrases have been avoided wherever possible. You will appreciate this approach as you begin your study process. This manual is printed on only one side of the page, leaving lots of space for your notes. You are encouraged to mark in the manual. As you are studying, any questions you may have and comments can be so marked. This will enable you to locate questions you would like to have answered much faster, and they will be Ã
 
à to which they apply. And, when you later study the manual, your markings for emphasis will provide valuable tools for both quick reference and general review. You should attempt to get a general overview as you read through the manual the first time. Rather than possibly getting hung up on something which is detailed and will require your in depth study, I would suggest that you try to get the µfeel¶ and overall picture first. In this Program, as with so many other programs, there are many things which really cannot actually be   - they must be   As each person on the opposite side of your transactions is a unique individual, it is virtually impossible to have an unchanging group of parameters which will fit into every situation. Unfortunately, all too many programs of various types seem to ignore this fact, trying to convey that their instructions are absolute, and will apply in every situation. They appear to indicate that your learning process will end with the completion of their course or seminar and that you will have 
à  Ã
 Ã. However, this is simply not true - the learning process must be ongoing. Market conditions change and YOUR individual situation will change When you have completed your initial reading of the manual and thought for a few days about what you have read, then it¶s time to go back over the manual another V
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  V V time, this time paying special attention to your questions and comments. Some of your initial questions will have been answered by this time, but others may not. Now would be a good time to send off any unanswered questions to us for answers. As you are reviewing the manual, also read again any comments you wrote down and the sections you emphasized. Reading in this manner will aid you in gaining the basic understanding necessary to begin your in-depth study. As you begin your detailed and comprehensive study, it is important to remember that you will understand some sections very readily, while other sections will pose more difficulty. And, the initial level of understanding will vary from individual to individual. Also, keep in mind that although it is important to learn as much as possible and remember as many details as you can, it is really more important that you have a clear   Ã  
à à of the information and know how to find the sections you need when you wish to research a question or study a concept further. 

 

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      My guess is that you have heard or read that statement many times. Although certainly true, I would submit that knowledge gained is worthwhile only when is proves to be of value and is put to good use. It is wonderful to know a multitude of facts. However, unless they are translated into   performance, the knowledge is not beneficial. Raw knowledge simply awaits the opportunity to be put to good application, but can be totally without value or function unless and until that occurs. One's knowledge of various theoretical approaches will serve no purpose if they do not work, or will not work well for you. Theory is an abstract concept without foundation in the practical world. In order for theory to become a useful component of the success of an individual, it  
be workable AND be put to use. Information and knowledge applies to YOU and your endeavors to make more money in the Restaurant Business, and therefore becomes valuable à when you  it profitably. My sincere desire and expectation is that you will use the information contained in the Program and your new found knowledge to advance your financial position.

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Discovering The Hidden Profit Opportunity in Your Restaurant Business ........... 8 Where do I Start? ............................................................................................... 15 Get your existing guests to come more often ..................................................... 18 Bringing In New Customers ................................................................................ 28 Getting Your Customers To Spend More Per Visit ............................................ 34 What Kind Of Action Yields The Greatest Results? ........................................... 41 STRATEGY You must have Customer Nurturing Strategies and Marketing Systems .............................................................................................................. 48 STRATEGY You must have a Unique Selling Proposition................................. 51 STRATEGY You Are Not Your Own Guest ........................................................ 53 STRATEGY Make It Convenient For Your Guests To Do Business With You! 55 STRATEGY Make It Fun To Do Business With You .......................................... 56 STRATEGY Project an Image of Integrity .......................................................... 59 STRATEGY Work On Your Business, Not In Your Business ............................. 61 STRATEGY Network with Other Restaurant Owners ........................................ 64 STRATEGY Plan Your Marketing ...................................................................... 65 STRATEGY Build a Marketing Planner/Binder .................................................. 69 STRATEGY Track Your Marketing..................................................................... 74 STRATEGY Know Your Restaurant Trends....................................................... 76 STRATEGY Don¶t Be a Victim of Advertising Reps ........................................... 78 STRATEGY Track The Sales You Don¶t Make .................................................. 79 STRATEGY Never Use ³Bait & Switch´ Tactics ................................................. 80 STRATEGY Location, Location, Location Can Be Overrated ............................ 82 STRATEGY Constantly Study & Learn Marketing ............................................. 84 STRATEGY Market To Kids ............................................................................... 89 STRATEGY Tell Your Story ............................................................................... 91 STRATEGY What¶s New .................................................................................... 93 STRATEGY Three M¶s ± Message, Market, Media ........................................... 94 STRATEGY View All Your Guests As Guests For LIFE .................................... 96 STRATEGY Always Check Your Guest Satisfaction ....................................... 101 STRATEGY Know Your Guests ± Collect Information ..................................... 103 V
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STRATEGY The Curse of Assumption ............................................................ 106 STRATEGY Birthday Offer ............................................................................... 108 STRATEGY ½ Birthday .................................................................................... 110 STRATEGY Anniversary .................................................................................. 111 STRATEGY Diversity Leads to Stability ........................................................... 112 STRATEGY Market To Families ...................................................................... 114 STRATEGY Employee Incentive Program ....................................................... 116 STRATEGY Suggestive Selling ....................................................................... 119 STRATEGY Sampling ...................................................................................... 122 STRATEGY Business to Business - Business Appreciation Day .................... 131 STRATEGY Bounce Back Cards / Bag Stuffers / Box Toppers ....................... 139 STRATEGY Frequency Cards & Bounce Back Offers ..................................... 140 STRATEGY Customer Appreciation Week ...................................................... 141 STRATEGY Customer Frequency Programs ................................................... 142 STRATEGY Magic Words Work....................................................................... 143 STRATEGY The Art of the Offer ...................................................................... 144 STRATEGY Loyalty Program- Automate Your Marketing ................................ 145 STRATEGY Automated Loyalty Programs also can Acquire New Guests ...... 148 STRATEGY Use A Phone Line Voice Mail To Capture Testimonials .............. 150 STRATEGY Use Video In Your Restaurant Marketing .................................... 151 STRATEGY 4 Pages That Can Make or Break Your Website ......................... 156 STRATEGY Take the Mystery Out of List Buying ............................................ 159 STRATEGY Be Ethical ..................................................................................... 162 STRATEGY Hire the Right People ................................................................... 163 STRATEGY Follow-up ..................................................................................... 164

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Here is a quick thought to get us started and then we will dive into the details.

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 (  m m      m  By Jonathan Munsell What is the most valuable asset in your business? Some business owners would say it is their great location... inventory...great customer service...or unique products. But in reality, it's your customers that are truly your most valuable asset. When you intimately understand the value of your customers and begin implementing the powerful strategies I'm about to reveal, you can start capitalizing on the hidden profit opportunities within your business. I invite you to learn from the principles, concepts and marketing strategies I have successfully used for 10 years as a marketing professional and use them to build your own business, increase your sales, or enhance your bottom line profits. The cost of attracting new business is much higher than reselling to existing customers. Unfortunately, most business owners spend all their marketing efforts focused on creating new business, or new customers, yet fail to exploit the FULL PROFIT POTENTIAL of the investment they have already made. V

If your best bet for producing IMMEDIATE, LOW COST SALES is from your current customer base (and it is) then V
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what specifically can you do to encourage repeat business? Let me share some sales-building marketing concepts with you to illustrate. FIRST, DETERMINE THE LIFETIME VALUE OF A CUSTOMER. Once you do this, you will know how much you can spend to attract a new customer. You'll also have solid numbers to evaluate the profitability of your current marketing and advertising efforts...eliminate what's not working... and repeat what works best. Here's how to determine the lifetime value of a customer: 1. Calculate your average sale by dividing your total sales by your total transactions over the past 12 months. If your sales were $90,000 and you processed 1800 transactions, then your average sale is $50. 2. Figure out your profit margin. Let's say your profit margin, after all expenses, is 20%. This means your business earns $2 for every $10 in sales. 3. Determine how often, or the frequency, your customers buy from you each year. To do this, divide your total transactions by your total customers. If you had 300 customers over the last year, then (on average) your customers buy from you 6 times a year. Of course, once established, your customers may buy from you for many years. So... 4. Determine your customer retention rate. Let's, for now, assume the average length of time a customer does business with you is 3 years.

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Now, for this example, we have each customer spending $50 V
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with you an average of 6 times a year for 3 years. Therefore, each satisfied customer will generate $900 in sales. At a 20% profit, you will earn $180 from each new customer. ll      ll Armed with this knowledge (and not one in 1,000 business owners understand this) you could literally spend up to $180 to attract one new customer and still break-even. How hard would it be to create a $50 sale if you knew you could spend $180, or $90, or even $45 to attract that business? Why can Columbia House sell 11 discs or tapes for one cent? Because they understand the lifetime value of a customer. So if your run an ad, mail a letter, hire salespeople or put together a promotional campaign, you know that for every $180 you spend, you must attract one customer, otherwise you're losing money. When you don't know the lifetime value of a customer, you're making important advertising and marketing decisions blind. Also, when you fail to convert a prospect or lose a customer due to ambiguous marketing, rude employees, poor quality, or lack of follow-up, then you are throwing away $180 in each case. On the other hand, YOU CAN LITERALLY MAKE A FORTUNE compounding your sales and profits by taking this concept a few steps further. Here's how. Small gains of only 10% in your customer base, average sale, frequency of purchase and customer retention rate can

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DRAMATICALLY INCREASE YOUR SALES AND PROFITS IN 12 MONTHS OR LESS. Here's how it works:  "

   
" There are many ways to do this including improving the effectiveness of your advertising, developing promotional events, co-promoting with other businesses, using coupons, etc. )"

  
" This can be done many ways. Examples include offering additional products or services after the customer has made a purchase decision... adding additional products or services to your existing line (thereby giving the customer the opportunity to buy more)...and creating packages of products or services and rewarding the customer with a discount, flexible terms, free gift or some other incentive. *"   +  

         

 
" This can be done through special promotions and by offering new products or services. Make it fun and easy to do business with you. Ask your customers to buy from you often. Communicate how much you appreciate their business. ‘Ã Ã Ã 
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" Concentrate on offering the best quality and customer service you possibly can. Reward people for their continued business and referrals. Send gifts and thank you notes. Develop a customer mailing list and contact your customers on a regular basis. V
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By applying these proven strategies and achieving a modest 10% increase in each area, YOUR PROFIT MARGIN COULD LITERALLY DOUBLE. But to be conservative, let's assume your profit margin goes from 20% to 23%, or a small 15% increase. So what does all this mean? Let's look at the results and the synergistic effect it has on your sales and profits. You now have 330 total customers, an average sale of $55, average repurchase rate of 6.6 times a year, and a new profit margin of 23%. Your sales would then increase from $90,000 to almost $120,000. THAT'S A 33% INCREASE! Do this for 3 years and you double your sales. Now, with a 23% profit margin, the lifetime value of your customer increases from $180 to $276...more than a 50% increase in profits! Instead of making $18,000 a year (with just these small gains) you are now making $27,600. What if, instead of 10%, you were able to increase each area by 20%? Here's what happens: 360 x $60 x 7.2 x 3.6 = $537,000 in sales $537,000/360 = $1,490 per customer $1,490 x 23% = $343 profit per customer

So within 12 months, with 20% improvements in each area, the lifetime value of your customer becomes $343...A HEFTY 66% INCREASE IN SALES AND A FABULOUS 190% INCREASE IN PROFITS! Begin now. Apply your own sales numbers to the above formulas. Calculate the lifetime value of your customer. Use this information to reveal the true value of each customer. Be V
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certain that your ads and promotional activities are attracting enough customers to justify their continued use.

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Here is another way to look at it: Lifetime Value of ONE Happy Restaurant Guest 1. 2. 3. 4. 5.

Average Sale per person Number of Visits per Month/Year Sales Per 1 HAPPY Guest Per Year Average Number of People per Table Number of Referrals per Customer

$12 24 $288 2.3 1

(this is assuming they refer you 5 and you only convert 1 as a Happy Guest)

6. Gross Sales Per Year 7. Gross Sales Over Life of Customer

$662 $3310

(We assume 5 years, people move, transfer, pass on)

8. Gross Sales For 1 Referral

$3310

That   happy customer is actually worth ) in sales over the next 5 years. Total Value of 10 Happy Customers Total Value of 100 Happy Customers Total Value of 1000 Happy Customer

$66,200 $662,000 $6,620,000

Think about catering for a quick second ± the average transaction is anywhere from $100 to a few thousand. Lifetime Value of a good Catering Client is huge and you should think of that as you begin to go after more and more of them. I have single catering clients that spend anywhere from $50,000 to $100,000 a year. What would you do for a client that spent that much? V

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r  , Now let¶s get to some of the meat of the matter. True Operations and Marketing Success is a mystery to most, and The Restaurant Success System will help you take the mystery out of properly setting up the systems and operations so you can focus your attention on the advertising, marketing, selling and promoting functions of your business. The challenge you will face is trying to decide where to start the process. That¶s why this guide was created. I am asked frequently, ³Where should I begin?´ To answer that question we must know where we want to go. There are only three (3) ways to increase sales: 1. 

-      2.     3.   .    ³Get your existing guests to come more often´: If your average customer comes in to dine or books a catering one time per month and you can convert them to buy from you two times per month, you have just doubled the value of that customer. Example: Before: 1 time/month X $25/visit = U
After: 2 time/month X $25/visit = U
# We will discuss a powerful strategy to get your dining room and catering customers to visit you more frequently. V

The second way to increase your sales: µGet Your Customers To Spend More Per Visit¶ deals with increasing check V
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averages. There are many experts on this subject and many great resources. I am going to touch on strategies I¶ve had great success with in building my restaurant and catering sales. And yes, we will talk briefly about promotions and sales contests: THEY WORK! The last way to increase your sales: µBring In New Customers¶ is the area that keeps us awake at night. We spend ten¶s of thousands of dollars trying out TV, cable, radio, magazines and the like - usually with little or no success. Somehow, somewhere, we were brainwashed into spending all our time, effort and energy into finding new customers. What a waste! If you look at our three strategies for building sales again: 1. 

-      2.     3.   .    What do you see? What hits me over the head is two thirds of the strategies to choose from revolve around increasing our sales from our current customers. Why most foodservice operators spend 
 of their time, energy and money chasing new customers is a mystery. We¶ve all heard it costs you sixteen times more money to sell a new customer than to re-sell a current customer. As overused and over-hyped as this may seem, it rings very true. V

There are tons of ways to maximize the value of your customer base that are low cost and often no cost. V
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/  ,  It would be silly of me to assume you should spend all of your time concentrating on increasing your sales with just your current customers. Customers leave town, move and die. Acquiring new customers should always be a part of your marketing mix. I usually advise spending a third, 33%, of your money and time on each of the three strategies. Challenge yourself to look at your business and see what area makes the most sense to you. If you are fortunate enough to always be on a wait or have a packed out catering calendar, bringing in new customers or increasing frequency of visits should not be your focus. You will make far more money working on strategies focused on increasing your check and catering sales averages. Conversely, if your calendar is empty and tables are bare, you probably are wise to spend most of your time searching for new customers. Challenge yourself to examine all three strategies for increasing your sales and decide how you should divide your resources to get the most sales increase for your investment. Now let¶s take a closer look at each strategy and look at some µQuick-Start¶ strategies for restaurateurs and caterers.

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  # (  There are three methods to induce a customer to come back sooner than their norm. ‡ Hold A Special Event: January and February are the slowest times of the year for us. To pick up sales we promote ³HUGE HULA PARTIES´. We promote this event with in-house promotional pieces, as well as direct mail. Every night we throw the Party, sales are up and check averages are up since the event sells for a premium price.  ‡ Offer A Bonus or Bribe: Sports Illustrated is the master of bonuses and bribes. Order a subscription and you¶ll get a free sweatshirt or a football phone. Bonuses work. For our guests and catering clients we offer a
 rebate. We have become a favorite because they are always earning free items and money saving vouchers from us. During slow times I¶ll mail a µFree dessert¶ offer to my catering list. It is always a moneymaker. ‡ Educate Your Customers To A New Product/Service: Just getting the word out about a new limited menu or a new catering option is enough to get people back in quicker. So often we get side tracked and forget about our favorite restaurant and/or caterer. Give your customers enough reasons why they should come back more often. Your manuals are full of creative examples.

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   In this section we will address both dining room and catering customers. There are some differences in strategy and they will be noted. (   #  0  Besides the four-wall strategies noted previously, no other marketing medium is stronger than owning a customer list. When you decide to sell your restaurant or catering operation, you will command a premium price having an up-to-date list. Numbers can be deceiving, but customers that you can touch, feel and talk to are powerful. Harnessing the power of a guest list allows you to pinpoint those customers most likely to respond to a new offering or promotion.


 #  0  How do you go about capturing names inexpensively from the thousands of guests that frequent your establishment? One way is to buy frequent diner software or a computerized guest book. The investment in time and money need to be weighed before such an undertaking. What I recommend is creating your own customer list. Thanks to simple software programs like Microsoft Access or Microsoft Excel, maintaining a list is fairly simple.

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The fastest, easiest way to capture names and customer V
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information is through your comment cards. Thanks to a friend of mine we added a new twist. Filling out our comment cards automatically enters our customers in a drawing for a $100 Gift Certificate. This incentive ensures you¶ll have plenty of names. #

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What information should you have for your customer list? ‡ ‡ ‡ ‡ ‡

Customer Name Complete Mailing Address With City, State & Zip Code Birthday Anniversary Date E-Mail Address

To create a more powerful customer list you will want to track: ‡ First Date of Visit ‡ Last Date Visited ‡ Money Spent (either total dollars spent in lifetime or a way to track dollars spent on each visit) ‡ Number of Times Customer Visits The basics for a more powerful customer list are a bit more cumbersome, but insure a higher return on your investment. Let me share some list weapons that will help your sales. ‡ When were they last in? By subtracting the last date of visit from the current date, you can calculate how many days it has been since a customer last visited? If it has been too long, you can call to see if anything is wrong or send a special µWe Miss You Card¶. ‡

How often do they come? This measures how many times a customer has visited you. The higher the number ² the more loyal the customer. You want to know this important fact so you can recognize and reward this person¶s behavior.

‡ How much do they spend? Seeing how many dollars a customer has spent in their lifetime with you allows you to segment the big spenders from the not so big spenders. I am not advocating treating the small spenders poorly, but you will V
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want to give extra special treatment to your big spenders. Why are these extra factors important and powerful? Let¶s say you have a customer list of 5000 names and are promoting a special dinner limited to 50 guests, you couldn¶t afford to mail all 5000 names and make money. However, if you could segment customers by how much they spend or how often they visit, you could probably pick out 300 names from the 5000 and fill up your special evening with a very low marketing cost.  & 6 &!%r
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0 7  Now that you know the basics of a why to have a customer list let¶s go a step further  ##  0 You will want the same information for your catering customers as your Restaurant guests. Just read the description above. However there are two other pieces of information you will want.

Company Name ‡ Industry of Customer: Twice a year you should go through your customer list and examine which industries you get a lot of business from. This will allow you to go after others just like them, niching, and appear to be a specialist rather than a generalist. A catering customer list is much easier to build than a dining room customer list. Go through your catering calendars and invoices to find the names and contacts needed to start your list. Call for any missing info. V
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In the future you can capture all the customer information during the booking. I also like to send out a customer survey on each catering.  This allows me to measure our service and food quality levels and tell how catering captains are performing. This is also another way to capture names. r· '

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#     (c /+  ,  For your restaurant guests customers you need to incorporate three strategies. You will want to mail the following: ‡

Thank You Cards: Upon receiving a completed comment card and entering the customer information, you can print labels for all customers whose records were new or modified in the last week. Sending a thank you card like the one below shows appreciation and gives them a reason to come back sooner. We average a 22% percent response rate. Thank You Bounce Back Post Card             

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/
/7 Birthday & Anniversary Cards: Recognizing a customer¶s birthday or anniversary does a ton for goodwill and builds loyalty. Don¶t be cheap. Remember, rarely do people celebrate alone.

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Special Promotions/Menus: From a Sports Themed Party to showcasing your new µTastes of the Bayou¶ menu, a simple post card works like gangbusters to pack your place out and get your customers back more often. You will need to stay fresh and creative. If this isn¶t your forte, delegate it out.

 ! #1 ! ·· &                 Catering customers are very similar to dining room customers. Recognizing birthdays with a free jar of your famous salad dressing or other goody is always appreciated. Thank you cards with or without incentives/gifts have done a lot to build our business. When was the last time you received a thank you card for a purchase? My customers, for sending them a card, thank me all the time.  06 

    

   



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Have a strong Guarantee and display it in marketing wherever you can. Let me ask you ± if a guest wasn¶t happy with a meal would you make them pay for it? Probably not, I know I wouldn¶t. One reason is I know the lifetime value of that guest, especially if I can make them happy. So what do you do? Here is what I do ± I wouldn¶t let them pay for it and I would invite them in again on me, but that is me. One way that I get out in front of this is with my Guarantee.  '

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7  You would think that I would have people trying to take advantage of this all the time. Reality ± It happens so infrequently I cannot even remember the last time anyone called me on it. Partly because our food is awesome as I am sure yours is as well. If you believe in what you are doing guarantee it. You already are by taking the action after they complain. I think you should get the value of it from a marketing perspective.

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(#    Most people spend their entire lives searching for ³the answer´, the magic formula to bring in a flood of new customers and build their personal wealth. They are searching for the right ad, the right radio station or the right advertising agency. Just around the corner the secret to bringing in a flood of new customers lurks. I have tried just about everything. The answer is so simple it will surprise you. The secret to bringing in new customers is to study the customers you already have. It is so important it¶s worth repeating. The secret to bringing in new customers is to study the customers you already have.  Your business attracts a certain type of clientele. It could be because you¶re located in a certain part of town. You might offer a specialty that appeals to a certain segment of the population. Young or old, male or female, rich or poor, corporate or small business, whether you realize it or not you attract a type of customer that can be defined by different variables. These variables include: ‡ Demographic Variables - Customer breakdown by age, sex, income, socioeconomic level, number of members in household, etc. ‡ Geographic Variables - Identified by where they live or where their company is located ‡ Business Variables - Businesses can be classified by S.I.C., standard industrial classification (i.e. - manufacturing or retail), average annual sales, number of employees or number of years in business ‡ Affinity Variables - This refers to what social, business or religious groups your customers belong to V
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 Your job is to study your customers. Using surveys has worked great. Nothing is better than face to face customer interaction. Get to know your customers, know their hobbies. In what groups are they members? Where do they go to church? Before long lightning will strike, and you will uncover a variable worth pursuing. Your future customers will be identical to your current customers. Don¶t reinvent the wheel. Take the information you know about your customers and use it to bring in new ones. This is called targeting. We noticed a few pharmaceutical reps were picking up a lot of catering on a very regular basis. These salesmen have to buy lunch just to get in to see the doctors. Talking to the pharmaceutical reps led to the discovery that there is a Pharmaceutical Reps Association. How long do you think it took to get involved with that group? Not long at all. One of our favorite target markets is a large employer. It is three fold; we can draw from them for lunch and dinner and they tend to do some type of everyday catering and even throw the biggest company parties and picnics, thus spending the most money. Your catering business might be different. If you target weddings, you will want to buy a list of couples getting married from a list broker. If you do a lot of tenant appreciation events, you need to go out and buy or assemble a list of all the property management companies in your area.   · '

c7 Once you have all the guests that come to you naturally taken V
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care of, then it¶s time to go after some high concentration target markets. When you pay $500 for an ad in a business journal, you are competing with every other advertiser to get the reader¶s attention. You¶re nothing but a minnow in a great big sea. Don¶t believe me? In small print offer a $100 bill for the first person who calls. You won¶t get very many calls. How would you like to be the Donald Trump of restaurant and catering and dominate? It¶s possible if you strategically pick targeted industries or groups and keep your name in front of them on a regular basis. The first step in dominating a market is to understand the pain or fear they could feel if things screw up or the positive outcome that they seek. These are referred to as hot buttons. Everyone feels their problems and challenges are unique to them and their industry. Let¶s face it, everyone fears paying for food that they don¶t enjoy or if they are catering they fear running out of food. When you can show them you µspeak¶ their language you now become a specialist, not a generalist. Use your guarantee to help accomplish this. Brain surgeons make more than internists. Become a specialist. It¶s easy. Interview some of your customers in a particular target market to understand their pain or desires and incorporate those hot buttons in all your letters to that target group. You will also want to get testimonials from others in that group. Wilson Property Management will think much more of you with a strong testimonial from Atlantic Property Management than with a testimonial from the local youth group. V
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 Your goal is to dominate your niches. The good news is you can dominate the whole city niche by niche. We dominate the church goers on Sunday, businessmen for lunch during the week and families with kids at night and weekends. In catering we also dominate Office Catering, Doctors Office Catering, Weddings as well as large employer and retail store niches. Because we take the time to know these groups, we own the market. What niche are you going to dominate? ‡ Look At Your Customers and Identify Target Markets ½ Mom¶s with Kids? ½ Local Businesses ½ Groups ½ Athletes for a sports bar or Sports teams or maybe the 25 to 50 year old that subscribes to Sports illustrated ‡

‡ ‡ ‡

Build A List of All The Companies/People In That Niche (yes even social caterers can use this strategy - just make a list of all the people who throw big parties, How about organizations that throw social galas, you can dominate that market in no time too.) Identify Your Target Market¶s Hot Buttons Get Testimonials From Your Guests/clients In Your Target Market Customize/target letters and marketing pieces in the System, Incorporating Testimonials and Hot Buttons

Once you see how powerful dominating a niche can be, you¶ll go about dominating your marketplace niche by niche. You¶ll find it cheaper than mass media. V
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9 #  :
   In our previous example we mentioned the importance of understanding our current customers. That knowledge allows you to go out and find ³Like´ customers. These ³Like´ customers are as close to our average customer as possible. At our restaurant we conducted a survey to profile our customers.  We uncovered the following variables about our typical customer: ‡ Predominantly A Male Buying Decision ‡ Age: 25-54 ‡ Geography: Lived within 3-4 miles of our restaurant What did we do with that information? We went out to our list broker and purchased a list of men, 25-54 that lived within four miles of our restaurant. If I happened to have owned a sports bar and discovered most of my customers read Sports Illustrated, I could have added µsubscribers of Sports Illustrated¶ to my list select. If you can describe it, a list broker can find it. Besides asking for a list of men, 25-54, that lived within four miles of our restaurant, we asked the list include men that lived in homes versus apartments and also specified the household must have two or more dwellers. The most important variable we purchased was a list of these men¶s birthdays. Why would that be important?   V
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%;  #%1!%  Most marketing experts agree your advertising should have a strong offer to get a prospect to respond. In our business that could mean the kiss of death. If you were to put a buy-one-get-one free offer in the paper, you¶d be busy -a bad kind of busy. These diners would only come back with a coupon. Stop the coupon and watch your customer counts drop. I encourage the use of a non-coupon. I took my list of prospects that matched my current customers and mailed them a µFree Birthday Meal¶. We tested post cards, letters and letters with birthday certificates made out in $5, $7.50 and $10 increments. The post cards for $7.50 pulled in the most profit. We had an average of 17.4% returned and still made a big profit. Why did this promotion work? ‡ We targeted ³Like´ customers of our current customers ‡ ‡

‡ ‡

The offer, a free birthday certificate, was strong enough to get them to respond Using µbirthdays¶ as an excuse to send the mailer kept the recipient from µexpecting¶ another certificate. (people only have one birthday per year) Households with two or more, insured they¶d bring someone with them to celebrate. We tested

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If your restaurant is a big destination for couples celebrating anniversaries, you can buy a list of couples¶ anniversary months. Just send them a strong offer and watch your place fill up. This promotion allows you to bring in new customers without worrying about building a dependency on couponing. The uncoupon is one of the easiest ways to attract new customers. But remember, if you execute poorly when these new customers come in, you won¶t build repeat clientele. The real money in this business comes from the back-end, also known as, the future value of satisfied customers visiting over and over again.

'

#    c !3:
 2#  I¶ve chosen to address restaurant and catering challenges at the same time. The basics are the same and I¶ll give you illustrations from both perspectives. V

Let me share with you the #1 method for increasing your check averages. This idea is simple and adds dollars to your V
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P&L. It is...
 '%1
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#  As simple as it sounds, each penny added to your menu prices flows straight through to your bottom line. Most operators fear raising prices until they are forced to. I am no different. Every time I raise a price and hold my breath for a large uprising, something happens - nothing. When I took cokes from $1.49 to  "<=I thought my customers would freak - not a word. The same thing happened with bar drinks, entrees, desserts and appetizers. If you were to go to your favorite restaurant and they raised the price of your favorite T-Bone by $1, you probably wouldn¶t even notice. A member of mine found almost $50,000 in profits just waiting to be harvested. His menu prices were long overdue for an increase. Are yours? There is one word of caution: Don¶t get greedy. Make sure your price increases are in line. The second method of raising check averages has more to do with up-selling, creating new packages and bundling your menu items to increase the amount of money per visit. There are simple questions you must ask when looking at increasing your check averages. ‡ What is my gross profit on each item/menu? ‡ How Can I create higher profit items/menus? ‡ What items/menus should I promote? V
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‡ How should I promote my highest profit items/menus? r     >  ,  What was your food cost last period? If Louie, your accountant, woke you up at 3AM, you could spit it out between snores.  Personally, food cost isn¶t that important to me. I want to know my gross profit on each catering menu. During my seminars I ask attendees to tell me whether they¶d prefer selling Entrées with a 20% food cost or entrées with a 40% food cost. Nine times out of ten they¶d prefer selling the 20% food costed entrée. But wait - What if your 20% entrees sold for U
on average and your 40% entrees sold for $10 on average? Let¶s look at the math: U
Entrée X 20% Food Cost ƒ$1 Cost or a $4 Gross Profit $10 Entrée X 40% Food Cost ƒU Cost or a $6 Gross Profit We tend to focus on the negative, the food cost. The positive part of this equation is how much money goes in your pocket. I would run a 40% food cost all day long if it meant my check average doubled. Outback Steakhouse is one of the most profitable operations in this country, and it¶s my understanding their food cost runs about 40%. V

I¶m not advocating a high food cost just for the sake of a high food cost. I challenge you to look at your gross profit on each V
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menu item and catering menu. This allows you to showcase those entrees, appetizers, drinks and desserts that will make you the most money. & ##&!  >c ,  There are two questions to consider when creating higher profit items and menus: #1 What could I add to my entrees / appetizers / desserts / drinks / catering menus that are complementary and could make them a higher profit item? Here are a few examples of value-added additions for your different food categories. Entrees: If you serve a filet, you could stuff it with brie or a crabmeat stuffing. You can take your two most popular entrees and create a combination plate. We took our grilled chicken entree and combined them with a pork chop and a skirt steak with roasted garlic mashed potatoes to create our highest profit item ³The Grill Sampler´. Ask your staff and customers what they¶d like to see for unlimited ideas to create check average building entrees. Appetizers: Regular nachos with premium meat and/or toppings become Super Nachos. A smaller portion of a favorite entree becomes your new, best selling appetizer. V

Taking your four highest selling appetizers and combining them into a platter (perfect for two) can double your appetizer V
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check average at the same time your customer¶s perception is doubled. Desserts: My favorite strategy for creating a high priced dessert was to offer a slice of pie (apple, cherry, etc) and put it in big wine glass with caramel and whipped cream and we charged 3 times what I was getting for pie. Add that type of item to your menu and watch it become your top seller. We even serve a Giant Messy Sundae much the same way and when you parade it through the dining room people all over the place ask ³What is that?´ and ³Can I get one of those?´. Tables can¶t resist the temptation to order their own. Drinks: A regular cup of coffee sells for a buck. Put those same grinds in French press and it¶s worth three. Adding a fruit tea to your catering menu easily adds profits. Coffee, beverage and alcohol manufacturers are an endless source of high profit drink ideas. They also provide killer promotional items to help you sell them. Catering Menus: This is where creativity comes in. If you offer a host of different menus or custom design menus for each client, look at the previous examples for inspiration. When it comes to catering, packages are highly effective in driving check average. Always have a premium package, there is a big shot out there somewhere and price doesn¶t matter. If you don¶t have the high ticket item they will settle for less.

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r >c  

! ,  This answer is two-fold and quite simple. 1.

Promote those items that make you the most money in each category. Promote those items that are the most killer on your menu. The one¶s people rave about and can¶t live without.

2.

If your most profitable items aren¶t the one¶s people crave. Look at bundling and packaging strategies. Remember an item people love to talk about does double duty for your P&L. &  

! c&!  >c   Here is a down and dirty list of ways to promote sales of menu items: ‡

Rename A Package: When we added/changed our drop-off catering package, we called the old package the µBasic Party Pack¶ and the new package the µDeluxe Party Pack¶. Needless to say, people prefer a deluxe option if their budget permits.

‡

Have A Contest: Books, videos and audios have been published on the subject. Check out Jim Sullivan¶s books and tapes at www.sullivision.com. One of my favorite contests is µDessert Poker¶ (you can fill in the blank with the item you are promoting). When a dessert is sold, the server gets the manager and draws a card. Best hand when the first server is cut wins a prize: cash, movie tickets, food...

‡

Use In-House Promotional Pieces: Table tents, banners, signs, buttons, menu inserts and flyers to promote special items/packages. We offered a Pie in a Glass per day and V
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decided to hang a banner with a full color photo of the pie in the glass outside. We went from selling 50 units per week to 150 units. When the banner gets rotated out, the sales drop back down again. ‡

Train: Don¶t underestimate the need to constantly train and educate your employees to the items on the menu. A few minutes a day can make a big difference. ‡ Direct Mail: Your customers can¶t pay attention to every possible menu or item you have available. I have used direct mail as an effective educational vehicle. Don¶t be scared to throw out a high priced item. There are always those with the budget and ego to order it.   You will want to test your own offer. We mail cards out a minimum of six times a year and always make money with them. You might try showcasing a new item. The choice is yours, but staying in front of your catering customers keeps you µtop of mind¶ for the next event. I know you have been given a lot of information in these pages. I wanted to make sure I addressed all the needs of our members. Go back through this guide and decide which project(s) will have the greatest impact on your business. V

The only reason you will not succeed is lack of action. At first you may stumble, but testing will allow you to create your own V
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winners. Please keep me informed of your progress. You just might end up in our next newsletter.  
      


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Excerpt from Dan Kennedy¶s ³The Ultimate Success SECRET´ Yes, there is one type or kind of ³action´ that produces maximum results in a minimum length of time, thanks in part to µthe principle of momentum.¶ Again, it¶s from Jim Rohn that I first heard about the incredibly powerful Principle Of Massive Action. The key word here is: c. Not tiny action. Not wimpy action. Not tentative action. Not toein-the-water action. Not ponderously slow action. Massive action. V
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 In 1946, a man named Walter Russell had his philosophies published, largely because he was such an unusual, largerthan-life figure. Russell never went past elementary school, and his first job was a clerk in a dry goods store earning $2.50 a week. To the amazement of just about everybody who knew of his ³non-background´, Russell achieved considerable fame and success as an architect, sculptor, and artist. With the publication of his success philosophies, Russell became known as ³the man who tapped the secrets of the universe.´ Russell insisted that every man has consummate genius within, and taught that ³every successful man or genius has three particular qualities in common, and the most conspicuous of these is that they all produce a prodigious amount of work.´ In his classic LEAD THE FIELD recordings, Earl Nightingale told, with slight sarcasm, of the man who arrives home everyday and says to his family ³Boy am I tired´ -- because that¶s what he heard his father say everyday when he arrived home from work, at a job, under conditions that really warranted the expression of exhaustion. I am often impressed at how little work people are willing to do in order to get what they insist they want. Let me give you an example of The Principle Of Massive Action à 
Ã% a woman, Barbara L., cornered me at a seminar, introduced herself as the CEO of a specialized, industrial company - in her words, a woman in a man¶s world, and told me of her frustrations and woes with finding financing. She was literally turning away lucrative manufacturing contracts because she couldn¶t finance the necessary raw materials, labor and other costs while in production and then waiting to be paid a month or so following delivery. Having once run a specialty manufacturing company with similar V
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problems, I instantly had empathy -- and ideas -- for her, but first I asked some questions. And I was not surprised to discover that she had tried most local banks, suffered rejection, and pretty much given up. From my own experience, I knew Barbara had stopped at only scratching the surface of potential solutions. But she was no different than most. Most people, confronted with a problem, think of and try only a few solutions, and give up quite easily. This, incidentally, is the blunt truth behind many of our popularized societal ills and failures. Most people who ³can¶t´ get jobs actually have given up on getting a job. People who ³can¶t´ get off welfare have truthfully given up getting off of welfare. Here¶s why this is inarguably true: because there are people just like them who have persevered and gotten jobs, who have persevered and gotten off welfare. If one can, everyone can. So, just as example, here was my prescription for Barbara: 1.

Strengthen the proposal package and re-contact every bank that said no. Then keep re-contacting them and bringing them up-to-date every thirty days.

2.

Reach out to friends, associates, community contacts, vendors in search of recommendations of other lenders and/or somebody who has a relationship of some kind with someone of authority in one of those banks.

3.

Discuss different formats for the financing: revolving receivables credit line OR asset-based long term loan OR 90 day notes. Ask the banks for different things.

4.

Contact banks outside the local market draw a 300 mile circle around the plant and contact every bank in that

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circle. 5.

Consider a sale/leaseback arrangement with a leasing company for all the equipment and furniture in the factory and offices.

6.

Contact the SBA. Through the SBA, get put in touch with SBA Certified Lenders. And investigate the SBA¶s preferred lending services for women-owned businesses.

7.

Get free help through the SBA, from SCORE (Service Corps. Of Retired Executives) for beefing up the business plan, proposal, etc.

8.

Meet with key vendors and discuss creative, extended terms that could equate to the same effect as a loan or credit line. Simultaneously, open up conversations with new, alternative vendors who might use credit as a means of acquiring new business.

9.

Consider factoring some receivables. Meet with factoring companies and brokers.

10.

Offer customers a significant discount for paying 50% to 100% of the contracts in advance. (There is a cost of financing, no matter how you do it. You can convert that cost to a discount for prepayment without impact on true, net profit.)

11.

Advertise for private lenders and ³angels.´

12.

Form a new limited partnership or corporation with private investors, which will serve as a financing-forprofit business, lending against your other company¶s

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receivables. 13.

Franchise or pseudo-franchise exclusive sales territories, and use the fees collected from that to establish your own financing fund.

14.

Alter the nature of your business, the ³mix´ of your business, so you can get cash-with-order business.

15.

Through blind, confidential advertising, put the entire business up for sale and test the waters.

16.

Meet with key employees and discuss possibilities for assembling receivables financing or equity investment from employees.

Now, here¶s the ³trick´ I shared with Barbara: do all 16 of these things at the same time. Right now. Fast. Back when I ran a company with its nose pushed up against this same wall, I did all 16 of these things. In our case, we succeeded with #s 3, 5, 8, 10 and 14. #10 alone, incidentally, dramatically altered the company¶s cash flow situation, even though everybody told me that the clients in our industry would never prepay for their manufacturing orders. In three months, we converted over half the existent clients to pre-paying, for a 10% discount. But if we had tried one, done everything we could before giving up on one, THEN tried two, done everything we could with two, THEN tried three.....it¶s pretty obvious that time¶s going to win and we¶re going to lose. Of course, she might have responded - as most would - with ³Geez, that¶s a lot of work!´ And she might have said, ³How am I supposed to get all that done?´...and...´But I don¶t know how to do all those things´....or ³I¶ll be working until midnight V
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everyday to do all that.´ Etc. But I¶m delighted to report that Barbara found an SBA Certified Lender-bank, secured a longterm loan replacing all her other financing and providing expansion capital, and she found three private individuals happy to finance individual, large receivables from new contracts as she needs them. And, it¶s no wonder Barbara finally got her financing; look at everything she did! The key again- c  .

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p
 In this section you will find Strategies that every restaurant ³should know´ and utilize in order to market their retail business. Although I have found over time that most restaurant owners gravitate to my restaurant marketing exhibits manual, the really successful ones take the time to understand the concepts that are explained here. And here is the really big lesson that you will hopefully discover in this manual. Very simply, although I cover just about every form of advertising medium here,

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 77 A simple guide to Direct Response Marketing, is to make sure these components are present in all your marketing: 1. Contains a headline that flags your prospect and creates curiosity 2. Creates interest in the merchandise 3. Creates desire in the prospect 4. Has a specific offer 5. Has a deadline V

6. Have measurable results

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Believe it or not, having a Restaurant means you are also a Marketing company. This is because you, like every other business, are in the business of getting and keeping customers  ==
    

      

      

   

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      " Having marketing and operations systems is the 'secret' ingredient behind all successful Restaurants. All of the successful Restaurant franchise chains use these tested systems of ads, letters and promotions to gain- customers quickly in new locations. They know that having a system for getting new customers and for keeping them is vital. The advantages of having these systems in your Restaurant are many. Including: € '

  

  

 " Having effective systems for getting new customers keeping your existing ones and for generating extra business from them means you are no longer at the mercy of the economy or fickle 'word of mouth' promotion. V

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    " The systems make everyone accountable for what has to be V
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done. Having a Restaurant that's making good money makes everyone feel good. Your staff is happier because their jobs are secure.

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 . If you have effective systems in your Restaurant. A good ad or letter can bring you ten times the sales of a bad one. What you need is effective ads, letters and promotions and systems. [Ã  &



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        All this adds up to the ultimate Restaurant business. You now have the freedom and the money, to spend your time on the things you really enjoy doing. Whether it's time with your loved ones, an overdue holiday or simply more of the good life, you now have the systems to make it happen. While this may sound like good common sense, most Restaurant Owners just don't have the time or the skills to create the marketing systems, ads, customer nurturing letters, press releases and other written materials that are necessary for continued success. And yet it's by coming up with new ideas, ads and promotions, that your Restaurant can increase market share, compete with any other (no matter what their size), and keep new customers coming in the door -- no matter what is happening in the economy V
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That's where this manual and the complete Restaurant Success System will help you. You don't have to re-invent the wheel, it's all here. All you have to do, is to use it in your Restaurant or Bar. My only word of caution to you is to test everything on a small scale first. That way, you will find out exactly how it works for you and the way you executed it.VV

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V n a nutshell, what having a Unique Selling Proposition

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      " One that is greater than that of your competitor, otherwise the customers have no motivation to do business with you (instead of your competitor). Let me make a very important point at this juncture: Your goal is to make your business distinctive - positively distinctive - to get your prospective customers and clients to see your business or professional practice as offering them a superior benefit or advantage that no other competitor offers them. Something very valuable, very desirable, very important, very precious and meaningful to them that's not available to them anywhere else. This is the essence of a Unique Selling Proposition. When I ask business people this question - "Can you tell me why your customers or clients buy from you instead of buying from your competitors?" - most of them don't really have an answer. Some might say service or quality of product, however anyone in the same industry could make the same claim. V
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You need to be able to articulate a short and precise statement that sets you apart.

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If you don't have an answer to the question of why people should buy from you and not somebody else, that means one of two things. Either: a) You do offer a client a unique set of advantages or benefits, but you've never identified it yourself, so you're not clear on it and neither is your customer. a) You offer your client no unique advantage or result and you're just lucky that you have the business in the first place. There's no basis upon which you're keeping it. Any time your competition offers your client an advantage that you don't offer, they have the potential to take your client away from you.

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Restaurant owners often think they know just what their guests are thinking. They¶re assuming that they¶re offering what their guests are wanting. You have probably dismissed an idea or product because you think your guests would never buy that type of food, or pay that much for a meal, or like that kind of music, etc. Did you take a survey of your guests? Did you ask them? Do you really know what your guests want? Many restaurant owners share this mistake of thinking they know what the guest wants. To assume that you¶re thinking the very same way as your guests is« well, funny! How can you be thinking the same thing? You¶re not them and you¶re the owner of the restaurant. In order to have success, you really need to know who your guest is, as well their desires. Selecting the right products, services, and promotions to offer your guests is a big job and one that can be overwhelming. Even if you ask me what products or services you should choose for your guests and which promotions would be the most successful, I¶d have to tell you to ask your guests. Their opinions matter, not mine or yours. They are the ones that are buying the meals and that is the opinion that counts most. Remember to use sampling as a way to find out if a new product may sell or not. The reactions from your guests will let you know pretty quickly just how well this new menu item would do if you added it. You could also try it as a special first and see how that works. Make the changes V
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gradually and you¶ll learn your guests¶ preferences.  '

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 Make it easier for your guests to dine at your restaurant. Try to make it totally hassle-free. Step back and look at your business. Try to visit the restaurant as a guest, not as the owner. Ask some of your best guests what they would want included at your restaurant, or taken away, in order to make it even better. Ask some of your employees too. They have great ideas. Take a look at all of these things. 1. Your hours of operation 2.

The methods of payment you accept

3.

Parking availability

4.

Quality of food or catering services

5.

Turn around time for catering deliveries or food

6.

How your employees answer the phone

7.

How your employees treat your guests

8.

How long it takes for your guests to get their bill

9.

How easy it is for your guests to find things on the menu

10.

How easy it is for your guests to walk through your restaurant

11.

How easy it is for your guests to get service once they come

into the restaurant. 12.

How easy it is for your guests to get a refund on food that

didn¶t satisfy. 13.

The cleanliness of your restaurant, especially your bathroom

14.

How easy it is for friends and family to purchase gifts

certificates for your guests with confidence

Making it easy and convenient for your guests to do business with you is so valuable. The easier you make it, the more money you¶ll make. It¶s just that easy. V
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To make it in the restaurant business, you must have great food, super service, and fair prices ± but that¶s not enough! In order to keep the guest coming back you need new ways to make it FUN to dine with you. You must decide how far you want to go with the concept and which additional things are appropriate for your guests. In order to decide which way to go, you just need to look around your restaurant. As you know, McDonald¶s has catered to their younger guests with huge playgrounds, and ³free´ toys for kids in their kid-sized meals. The creators discovered that the more fun the kids had, the more they¶re going to beg mom or dad to bring them to McDonald¶s. This means much more total profits for the owners. What about your restaurant? What kind of µWOW¶ promotion can you have? What will make your guests want to return every week so they don¶t miss something? What about a Kids¶ Special Corner: Many of your guests have kids with them when they dine. Something as simple as a TV/DVD with children¶s programs or a couple of toys can be a lifesaver for your guests. This gives them time to relax comfortably without worrying about their kids getting restless and causing a ruckus. What about Menu Introduction Receptions to introduce your guests to new menu rollouts, complete with free light fare appetizers and beverages and then they dine and get exclusive specials on your new items before you advertise it to the general public. V
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 How about free WiFi? What about Guest-Interactive Promotions: Choose promotions that create excitement, maybe some mystery and definitely fun! The guest wants a bit more than a standard ³preferred Guest´ discount. You could send a postcard to your guests that allows them to buy whatever meal they want, and then scratch off an area on their postcard to reveal a discount of no less than 15% off, and as high as maybe 50% off. Everyone¶s becomes a winner. They¶ll enjoy getting any discount, and have fun scratching off the postcard to reveal the discount. To make it ³fun´ doesn¶t mean you have to have some kind of big event all the time. It¶s often the little things in life that count. There are lots of µlittle things¶ that your employees can do to make the guest remember your restaurant for the nice memory they have or special touch that they give. See below for a few examples. ñ

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Guests may be picking up an order and cannot manage to take it all to the car at the same time. An employee¶s help adds so much to that guest¶s experience. If it¶s a rainy day, have an oversized umbrella on hand to assist your guests to their cars. You can also have a place to put wet coats or umbrellas within the restaurant so your guests come in from the bad weather into a nice atmosphere. Have something for the kids to do, even if it¶s just coloring at the table. Parents will appreciate the help in keeping them calm. V

Come up with your own ideas of these little extras that are sure to please your guests. You can even ask your guests V
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for their suggestions on what they would like to see at your restaurant that might make them have an even more of a µWOW¶ experience. Remember that people are different and everyone has a different opinion. What¶s a better way to find out what your guests want than asking them? You are not them. They have their own thoughts. Ask them!

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The best image any restaurant can project is one of integrity. Guests judge a company¶s integrity based on the following:   "&#
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even, and especially, after the sale. Service is an ongoing process that doesn¶t end just because the transaction is over for the moment.

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Integrity is a critical issue, because every guest wants to know whether this company deserves their money. If you¶re perceived as lacking integrity, the guest will take their business elsewhere.

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You may have already heard me say this before, so let me clarify what I mean by saying this. Working  your business is basically going out and marketing your restaurant or catering business. It can also refer to actually being the cook, or cleaning the restaurant, paying bills or even managing employees. Any of these things are working  your business. Working  your business is actually planning. Planning what new menu item you want to add, what new marketing strategy you have, how many new restaurants you want to open, etc. Now you can see the difference. There is a definite difference. Many of you reading this right now probably spend most of your time working in your business. And that is OK, but you also need to work on your business as well. If you don¶t, who will? You need to plan to be successful. It doesn¶t just happen. You need to plan in order to accommodate growth. As your business grows, you should work less and less in your business (you can hire others to do that). You can¶t hire just anyone to work on your business though. You have to do that in order to be successful. It is a powerful strategy. It¶s a strategy that will work for you too. This is probably the biggest weakness of most restaurant owners and often they will readily admit it. You need to make time for this strategy V
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to work« make time for working on your restaurant business. You can¶t do everything the same, yet expect different results. You have to make changes.

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Below are a few you may want to implement now.

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ñ Take an hour or two each week at a preset day and time and have all of your calls held. Lock your office door and work ON your restaurant business. ñ Work ON your marketing and advertising. ñ Work ON your inventory control. ñ Work ON improving the way you hire and train your employees. ñ Work ON anything that can substantially improve your business. If you do this simple task, you will soon reap HUGE profits and will find that your one or two hours each week will grow to three or four hours a week, and then to 1 day a week of the absolute most productive and totally rewarding time. Less IN and more ON your restaurant business. You¶ll be glad you did!

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I have learned a lot from the business associations that I belong to. I¶ve learned a lot from other restaurant owners in the area. And I¶ve also learned a lot from restaurant owners throughout the United States. I get a lot of new and exciting ideas and methods on all aspects of running my restaurant and catering business from marketing to sales and everything in between. All of these relationships are valuable for me and my restaurant business. It¶s great to have various outlets where you can gain insight into what others are doing, what may work, what definitely won¶t as well as what may save time, effort and money. I strongly suggest networking with other restaurant owners in and outside of your area.

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%!  Very few restaurant owners use a marketing plan but those that do, can't live without it. A! '

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Now that was a mouthful so let me back up a moment. Restaurant owners are doers, not planners. While doing is better than, say, mildewing, without direction, it leads to "marketing idea of the week" syndrome which stunts any chance a small business has for real growth. Take one day, follow these 7 simple steps to creating the most powerful restaurant marketing tool on the planet, and your life will become a much simpler affair.

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    Look at whom you are currently doing most of your business with. Figure out why they do business with you and what it is about them that is unique. Write one paragraph that describes what they look like and what they want out of life. Take a good hard look at the rest of your clients and customers and decide if they fit that description of your best client. Start saying no when the phone rings and it's not your target market calling. ):!  

  Figure out what it is that you do best, figure out what your target market longs for and tell the world that you do that like no one else ever thought of. Maybe it's serving a niche, maybe it's a form of service, maybe it's a way you package your products. Here's a hint: you probably don't know what it is. Call up 3 or 4 of your clients and ask them why they buy from you. *:#   Create several very compelling benefits of doing business with you and your restaurant and find ways to work them into everything you say and do. Just remember it's not a benefit unless your clients think it is. Your clients don't buy what you sell...they buy what they get from what you sell. V
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º:c   Recreate all of your marketing materials, including your website, so that they speak only of your core messages and your target market. Take it one piece at a time and get it positioned using our Marketing basics.   @:# 

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with all the stuff you do never mind how do you get it all done" You can do it, I can help.

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 If you can begin to schedule one or two activities each month you will look up at the end of six months and find that you have a fully developed customer list, referral system, new website, and a lead generation system. Slow and steady wins the race!       Ã  
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Every month we do more and more but every month gets easier and easier, we are organized, our tools are sharp, we communicate quickly and effectively and we engage our staff first and our guests are sure to follow. A huge secret is the automation of our core marketing functions. You should definitely look to take anything you do month after month after month and get it on an automated system. Our Amazing Rewards Program takes care of 80% of our Marketing with very little or no effort. The other 20% is the fun event planning and idea brainstorming - the creative stuff most of enjoy more than monotony any day. We use our Marketing Plan combined with planning & tracking tools and a detailed Marketing Calendar which when rolled together create a super powerful ³Restaurant Marketing Planner´ Below is FREE peak at our of the Marketing Tool I use in my restaurants to keep it all organized ± our ³Restaurant Marketing Planner´ Our planner has the following sections and we recommend you put a planner together and you collect this comprehensive data: ñ It has our Marketing and PR Communications Plan ñ Marketing Plan ± down and dirty in simple plain English ñ Marketing Champions roles and responsibilities A


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ñ It has a planning sheet for brainstorming ñ It has a planning sheets to actually narrow down what you are going to do and when (including emails, specials, networking, regular recurring items like birthday mailers, thank you cards etc. Also advance planning for the following month)

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Our planner may be the single largest factor that allows us to fully capitalize and rake in huge profits month after month on fun filled holidays and promotions.

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Track Everything That¶s Important And Post It.  When watching the Olympics, you see the gymnast getting ready to perform, with his or her name posted beside their wins/losses so far. You may see their age, where they are from as well as lots of other details. Why is this done? It¶s a way for the people in the stands to decide on the quality of the gymnast. It also is motivation for the gymnast. Of course, you know they want to have really great personal statistics up there on a huge screen for thousands of people to see. This would include the coach, his or her fellow team mates, and a host of other folks they want to impress. It¶s got to motivate them to try to do better. Restaurant owners usually don¶t know how well their employees are doing. They might be able to see each person¶s sales. That¶s pretty good, but it¶s not good enough. In order to know where someone should improve (and to give earned praise), you need to know exactly how everyone is doing. The only way you are going to find out is to measure everything that is important. Some people think that just going out there and doing the best job you can is enough. In this case, that¶s totally wrong. Performance needs to be measured. You need to know how your employees are doing and they, as well, should know how they are performing. There are various ways to go about creating a V
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measurement system. You need to decide what things are important to measure in your restaurant.

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There are questions to ask such as: Is this measurement important? Is it easy to track? Will the employee understand the reasoning behind the measurement? Does the statistic measure what you want to measure? Realize that this may, of course, cause resistance. Some people may say it¶s not right for other employees to see their performance. These will be the same folks who have lower performance usually. You may experience some turnover by those that have lower performance. One good thing is that the performance of the people who stay may rise significantly. Good employees are usually quite competitive. They¶ll try to be the top in each category measured. They really do appreciate being able to see what they have achieved. There are several things to consider when you determine what to measure. You should start out slowly. I wouldn¶t track more than five categories the first time you start to measure performance. You can add categories in the future and reevaluate yearly. Main point is to measure everything that¶s important to you and your restaurant, post it, and watch sales grow. V V V V V

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 Having the ability to spot trends is a key factor in keeping your restaurant alive and thriving. If your restaurant can spot trends and quickly react to trends, then you will have a marked edge over your competitors. But you must be able to have good execution in your plans and be willing to change. Here¶s a brief look at some of the trends that are currently going on in the ever-changing restaurant business. Trend #1) Fewer people are eating out. The job market is not what it was even a year ago. Those people that do have jobs are working more hours and often give little time for dining out. This actually creates an opportunity for those restaurants that provide better service. People are spending their money with care now! Trend #2) Guests are complaining less frequently. Unfortunately, they just take their business somewhere else. A smart restaurant owner will take steps to invoke guest feedback. Then make changes geared toward bringing in those hungry guests. Trend #3)Consumers are dining out at a higher rate during three-day holiday weekends. The main reason for this change is that there is more opportunity for both spouses to shop together. Opportunity exists to capitalize on this trend by running promotions to attract guests during these long weekends. V

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weekend.

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Trend #5)Guests want bigger! The bigger your restaurant appears from the outside, the better the consumer will perceive your selection to be on the inside. Trend #6)There is a growing tendency for people to want to dine with locally owned restaurants, rather than with the ³big boys´, as I call them. It is also perceived that the small restaurant owner¶s salesperson will be more knowledgeable or the owner may personally serve them. America loves an underdog. It¶s the David vs. Goliath syndrome. Every restaurant owner must work diligently to spot trends that can affect his business. Reacting to trends of any kind is likely to be accompanied by the element of risk. Although changing the way you run your business may require some risk-taking, there is perhaps an equal or greater danger in remaining too long in the same spot. If you stand still, you¶re likely to get burned by your competitors. Surviving restaurant owners do not wince at new trends. Be a survivor« change with the trends! 

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 This is somebody who makes advertising decisions based on which advertising rep finds him on any given day. They have no plan, so they are easily lured away by the rep who¶s there to make a buck« several! This is a dangerous road to take. Advertising reps will tell you that you should do what everyone else is doing. It just doesn¶t work. The advertising reps get a bit anxious or nervous if you decide that you want to use a good direct response ad. They¶ll try to convince you not to and will tell you it won¶t work. They don¶t want to be held responsible for zero results. If the ad campaign doesn¶t increase sales, they blame the economy or the weather. . Advertising reps also are famous for saying that the public just needs to see your ads more often and then you¶ll start to get more sales. Don¶t listen to them. If it hasn¶t performed for your restaurant yet, it¶s not going to do so. You will just waste a lot more money and get no results. Well, you actually do accomplish one thing by rerunning the same ad that hasn¶t worked for you. It is the realization that you are wasting money. The only ones making any money at all are the ad agencies and media companies. A small percentage of your response will come from folks who have seen your ads before, but definitely not enough to justify wasting more money. So, stop wasting money and don¶t be an advertising victim. 

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This effective strategy is pretty short. How do you know about missed sales? Sometimes, guests will request a certain item, but you don¶t carry that in your restaurant. You may never know about it. You may find out if some of your servers tell you, but usually they won¶t. They probably don¶t think about it when you¶re around. The results could be a lot of missed sales. An easy way to fix this problem is to have your servers, or someone who can easily do so, to write down what it is that guests are requesting. This could let you know if you¶re losing business by not having a particular item or whether it¶s just a request every now and then. For example, you could have several requests for Pepsi products instead of what you carry. Or you may have requests for A1 Steak Sauce even though you carry several others. This may be a purchase you want to make in order to keep the guests happy. Try it, you might be surprised with the various requests being made by your guests.  V V V V V V V
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 The old ³bait and switch´ method of advertising at a low, low price that happens to change once a customer gets inside just doesn¶t work! It may get people to call or come in to the store, but it will surely backfire! When you try to sell things that were advertised for less at a higher price, guests get mad. You would too! If you were told one price for the cost of your restaurant equipment and then found out that if you want good merchandise, you¶d have to pay more. Most of these people decide against anything at all. If any of the customers do go ahead and buy from you, they feel cheated. Rarely do they come back. And worst yet, they NEVER refer anyone to come dine at your restaurant. It¶s a no win situation. Don¶t get yourself mixed up in it! This is the worst type of advertising you can ever do. Bait and switch advertising is does nothing to build good relationships with your guests. You¶ll have no referral program if you use this unethical tactic for advertising. You definitely won¶t be referred to as having ³TOS´- Totally Outrageous Service, nor will the guests feel they can trust you ever again. It¶s simply not worth it. µ How would you feel if you finally got recognized in the local newspaper or in on on-line editorial, yet it was for a company who uses such unethical sales tactics. Keep it in mind and don¶t ever practice it. The rippling effects can be devastating. V

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I¶m sure you¶ve heard a commercial Realtor will tell you that the secret of a successful business is location, location, location. Well, that may be partially true. But we¶ve all seen a restaurant in a great location that has gone out of business. We¶ve also seen when a restaurant in a ³bad´ location is swamped every day with folks coming in to dine. You can¶t put so much emphasis on location, at least not location alone. There are many other important factors besides location. A restaurant business will be a success if it is realized that there are many things that can¶t be overlooked. % 2c  Location is part of operations. It could even be argued that it is part of marketing. Operations and marketing seem to overlap quite often. Many restaurants put way too much emphasis on location and forget to do all the other important things that need to be done in order to run a successful business. These great locations often come with great big rent costs. You need to be hugely successful just to survive in these prime locations! If you pay attention to your operations and our marketing, you¶ll be a success. Don¶t get caught up in location, location, location. It¶s not your responsibility to make your V
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realtor and landlord rich!

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 Learn all that you can about marketing. Read everything that I send you several times. Each time you do, you¶ll discover something that you missed the previous time. You don¶t want to miss a major point! Have lots of books, tapes, newsletters, and videos in your marketing media! Remember, we are all in the marketing business. The fact is that we all need new guests. Whether we like it or not, we are in the marketing business. And when a new marketing strategy brings in lots of money, your business can become lots of fun! The difference between advertising and marketing: Advertising is knowing what to say. Marketing is knowing where and how to say it and often includes who to say it to. Lester Wunderman, who is basically considered to be the father of direct marketing, writes in his book, Being Direct, his nineteen things all successful direct marketing companies know. They are listed below for you to study so you¶ll know them too!  " ·c   It¶s not an ad with a coupon; it¶s not a commercial with a toll free number; it¶s not a mailing, a phone call, a promotion, a list, or a website. It¶s a commitment to getting and keeping valuable guests. V

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The product must create value for each of its consumers. It must satisfy consumers¶ unique differences, not their commonalties. The call of the Industrial Revolution was manufacturers saying, ³This is what I make. Don¶t you want it?´ The call of the Information Age is consumers asking, ³This is what I need. Won¶t you make it?´

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immersion in satisfaction that includes everything from packaging to point of purchase, repurchase, and after-sale service and communications.

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  Relationships continue to grow -encounters do not. The better the buyer/ seller relationship, the greater the profit. ="   60 3  One automobile dealer calculated that lifetime of cars sold to one guest would be worth $332,000. How much should a marketer spend to create such a loyal lifetime guest for a given product or service?   " B C  B! C³Prospects´ are consumers who are able, ready, and willing to buy; ³suspects´ are merely eligible to do so. Communicating with prospects reduces the cost of sales; communicating with suspects raises the cost of advertising.   " c#  Measurable results from media, not the number of exposures, are what counts. Measurements such as ³reach´ and ³frequency´ are out of date. Only ³contacts´ can begin relationships.  )" (   '

 Be there for your guests - be their source of information and service through as many channels of communication as possible.  can¶t tell you what they need unless they can reach you.  *" 

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  º" 0cBr,CThe answer ³not now´ is as dangerous to advertising as ³not this´. Only consumers know when they are ready to buy, and they will tell you, if you ask them in the right way.  @" # #     A ³curriculum´ is a learning system that teaches one ³bit´ of information at atime. Each advertising message (bit) can build on the learning of the previous one. It can teach consumers why your product is superior and why they should buy it.  " Acquire Guests with the Intention to B0  ?C   Promotions sell product trials - but not ongoing brand loyalty. They may also attract the wrong guests, who may never become loyal. The right guests must be acquired and persuaded to want what the product does and not what the promotion offers. The right guests may in fact be your competitors¶ best guests.  <" 0  #  Program ³Totally satisfied´ guests are least likely to fall away. Those who are merely ³satisfied´ may fall away without warning. To build ongoing relationships, rewards for good guests should be tenure-based (on previous purchases, usage behavior, and length of relationship). Rewarding ³tenure´ can prevent competitors from ³conquesting´ your best guests.

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   c#! Spend more on the good guests you have. Ninety percent of most companies¶ profits come from repeat guests. It costs six to ten times as much to get a new guest as to keep an old one.

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 Data is expensive. Knowledge is a bargain. Collect only data that can become information, which, in turn, can become knowledge. Only knowledge can build on success and minimize failure. A company is no better than what it knows. Don¶t stop with this list. Keep learning more and more about marketing, because even the best marketing strategy is doomed to eventually fail. If it is good, competitors won¶t stand idly by. They will copy the strategy and, in time, improve it, rendering the original version obsolete. Be sure that you are continually tweaking a winning strategy. V V V V V V V V V V V V V V V V V
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Marketing to families with kids can help out during slow periods of time. There are plenty of things to do for children. For instance, kids have their birthday parties often times after lunch time crowd is gone and before the dinner crowd. Why not pump up the kid¶s parties at your restaurant? Of course, children bring their parents and they¶re hungry too. You could even have discounts for the party goers with a paid adult attending the party fun. Remember also that kids talk and they will help spread the word about how much fun they had at your restaurant. This will be great for future parties at your restaurant by other fun-loving kids and their families! When you get right down to it« kids are the decision makers about where to eat or where to have a party. Parents are always looking for restaurants that are kidfriendly. You need to have a good children¶s menu with plenty of options and reasonable prices. When the child is happy, the parents will be also! Making kids feel important will win with the parents. V

Once families with kids are in your restaurant, you¶ll want to keep them interested and be sure they¶ll be back. Update your menus or switch them around. Have a toy chest or play area for kids to entertain themselves so parents can have a dining experience that they¶ll want to repeat. It doesn¶t take much to make kids want to return. My kids like to go to the bank teller to get a lollipop« a lollipop brings them in with a smile of anticipation! It doesn¶t take much to make them happy! When kids are happy, parents are happy. And when parents are happy, you will be happy! V
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 You have to get out there and tell everyone your story. Your story needs to be compelling. How do you craft a story to put out there? Here is a great list of questions to ask yourself to help craft your overall message. Take a piece of paper, don¶t think about the answer to hard and just write what comes to you, you can always edit it later. In reality you will always be editing your story. It is a good exercise to come back to these pages every so often and re-craft you story. 1. Is there anything about your product, company, or yourself that will lend credibility to your sales pitch? This could include awards you've won, articles, how long you've been in business, etc. 2. Describe the product or service you are selling: 3. What are the features of your product or service? Don't leave anything out-put everything down on paper: 4. What relevant facts or figures have been gathered about your product or service? Are there any statistics that will provide facts and figures that will substantiate your claims? Is there an industry trade counsel that can provide meaningful facts, graphs, charts and statistics? 5. What are the major benefits your customers get from using your product or service?

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6. What major benefit do your customers get from doing V
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business with you rather than doing business with your competition?

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7. What are your customers' main concerns? (What keeps them up at night?) 8. Create an accurate profile of the type of customer you'd most likely attract: 9. What is their age? ñ Where do they live in relation to your store? ñ What do they like to do? ñ Where do they work? ñ Do they have kids? ñ Etc. 10. What type of guarantee do you offer? 11. In your own words, write your sales pitch for your product or services as if I were a prospect and sitting across the table from you: 12. Do you have testimonials from your customers? What do they consistently say about you or your business? If you do not have testimonials you should be collecting them including their name and any additional information you know about them.

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People always want to know ³what¶s new?´. Think about what News is for a second «as the definition presents ± News is any new information or information on current events which is presented by print, broadcast, Internet, or word of mouth to a third party or mass audience. People don¶t walk up to you and ask ³What is old?´ do they? Of course not, they want to know what is new, what¶s hot, etc. As a restaurant owner and marketer it is up to you to keep things ³new´, exciting, fresh «newsworthy. Some examples of how to do this in your marketing is to stay ahead of the holiday schedule so you can always have an upcoming event. Then talk it up, promote it in print, emails everywhere you can. Refer to the Restaurant Success System Marketing Planner, we make a point to keep you three months ahead so you not only know what to is coming up, you also have plans laid to capitalize on these ³New´ upcoming events. Even without our planner, you can grab a calendar and pick a couple each month you will stay ahead. Plan something fun and engaging and watch your guests eat it up (pun intended) Also, Specials are always a good example of ³what¶s new´ in a restaurant. Keep yours changing and communicate them to your guests and prospective guests. (see our Operating Strategies Manual about Making your Specials ± Special)

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A great Message is extremely important! When you combine it with a great Marketing plan and the right Media« you will see great results! You need everything working together to be able to have these results - it can be done! The Message that you present needs to say a lot about you« and your restaurant. People need to know who you are and why they should eat at your restaurant rather than the restaurant down the road. Tell what makes your restaurant different. What gives it that unique flavor that your guests crave? Create truth in your advertising and make an irresistible offer. Let them experience a bit of a µfeel¶ for your restaurant so they¶ll want to visit. The message is like the meat and potatoes of the meal. The people you Market to is something that can change as often as your menus. Sometimes people fear change, but in order to have your restaurant making the most sales, changes are often necessary. You may already have a list of loyal customers. If you don¶t, you really need to get one! But have you considered everything there is to consider? Do the people near the restaurant desire the style that your restaurant presents? Are customers willing to drive there for the µWow¶ experience that your place offers? What is the estimated income of these guests? Are there couples, families, singles? Do families show up on different nights than couples? Forming a personal relationship with your guests will keep them interested in returning. It helps to know who is most likely to dine at your establishment. Market can be looked at as the utensils needed for the meal. V
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 The method of delivery of Media that you will use to get your message across is another part of this equation that can change. One type method is usually not enough! There are newspapers (large metropolitan papers and small town newspapers) and magazines to consider. Cost will usually help with what media you will want to use. There are so many formats to think about when working with how to market. TV, Radio and billboards can be quite expensive, but remember that cost should not be the only factor in determining what avenue to take for media methods. Direct Mail is a great way to advertise. You¶ll want to be able to track your results as well and Direct Mail can provide such a benefit. Coupons in bulk are usually a less expensive method of advertising, but the way that your restaurant reaches guests is personal and it varies from business to business. You have to find the best µfit¶ for your restaurant. You can always change it if the first few tries are not a success. One necessary system is a Website. Most people will use Internet now to quickly and easily look up a restaurant with the variables they desire. You really must have a website, as you will know by now if you have ever heard me talk about things you µmust have¶ (see a later Strategy which covers more). Websites can be so personalized and perfected that a restaurant can reach people who would otherwise not visit, except for what the website mentioned. Media is like the platter that the meal is served upon. Remember that like a good steak and potato served on a lovely platter, a great Message that is well delivered by Media will make for great Marketing that¶s sure to bring more to the table! V
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 The concept of ³Guests for Life´ is a consumer relationship that¶s centered around guests who have already sampled your food and service. If guests already have tried your restaurant, why market to them? For additional profits that are already set up in your existing guest list. Many restaurants throw money away trying to develop new business and new guests. They often neglect the additional profits that are right µunder their nose¶. It is easier and cheaper to realize increased business, and thus profits, by selling more and more to your existing guest base. Often, these people are overlooked which could in time lead to guests who become unsatisfied and may become inactive patrons. Many restaurant owners think of selling in the same way that the sportsman goes fishing. By dangling the bait (the offer), hoping they¶ll bite (and come into your store), and then you hook µem µ(make the sale). You think your job is done. Mentally, you place your fish (the guest) in your ice chest and move on to the next catch, and the next, and the next, always µfocusing on the guest you haven¶t reeled in yet. This is soooo WRONG! You know why? Because, unlike hooked fish, you set your guests free again! That¶s right. You let them go out the door, back into the ³lake´ where other fishermen (or restaurant owners) are ready to hook µem next if you ³let the big one get away´. They¶re not going to come back on V
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their own.

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You need to do everything possible to build a good guest/restaurant relationship. Have exceptional service for your guest and even send a ³thank you´ note or e-mail. It is your responsibility to make them feel good about their experience when they¶re in your restaurant from the time they walk in the door all the way through the time that they walk back out the door. THEN you make sure to remind them regularly that your restaurant is there for them. Not for your gain, but theirs. If you don¶t look at it this way, in time, there¶ll be no gain. This is why Telemarketing and Direct Mail are essential to keeping your store¶s name and the good feeling attached to the name alive in the mind of your guest. It¶s your responsibility to remind your guests of their last visit to your restaurant and keep those taste buds excited! You want this to become a cycle that keeps your restaurant in good shape. If your good to your guest, they¶ll be good to you by coming back because they like your restaurant, they like your servers or crew, they even like you! If they like you, they¶ll spend more money. If they spend more, you¶ll want to treat them better. You can¶t do enough for guests who are going to spend thousands of dollars at your restaurant! This cycle could go on and on« and that¶s what you want! This doesn¶t even take into account the great workout you¶ll have when your satisfied guests give their great opinions to others and they tell two friends and so on and so on and so on!

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more to develop a new customer than it does to keep an existing one satisfied. The ³Lifetime Value of a Guest´ (how much this guest would bring into your restaurant over their lifetime) is often, to my amazement, not even considered by restaurant owners. In order to figure out what this value would be, we need to do a calculation. There is a formula for figuring out an estimated profit potential for every guest that you have in your list.

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Once you know your average guest¶s lifetime value, you are then in a position to make a judgment on how much you can afford to spend to convert a prospect into a guest. This can bring in the real profits! Find the answers to the questions below: 1. How much is the average sale at your restaurant? 2. How many times per year does the average guest eat at your restaurant? 3. How many years will the average guest continue to buy (assuming you keep him happy)? For example, the first time your average guest dines with you, he spends $20.00. He stops in every other week (2 times a month, 24 times a year). So in 5 years, he will have spent a minimum of $2,400.00 with you. That doesn¶t count all the times they try new menu items or bring additional guests. It also doesn¶t count the folks who learn about your restaurant because of this guest¶s rave reviews! You have to figure out how much of that is profit. Let¶s just say it¶s 50%. So you¶ll make $1,200.00 profit on your average guest over the next 5 years. How much are you willing to pay to get a guest? It doesn¶t have to be much! V
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Be sure that when you¶re making your calculations, that you include your guests¶ referrals. Get them to refer more often by offering a reward of some type.

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As you can see the profits that one guest can bring in to your store can really add up making the lifetime value of that guest more than you may have first thought. Be sure to treat your guests as the profit makers they are! Lifetime Value of ONE Happy Restaurant Guest 1.

Average Sale per person

$12

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Number of Visits per Month/Year

24

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Sales Per 1 HAPPY Guest Per Year

$288

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Average Number of People per Table

2.3

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Number of Referrals per Customer

1

(this is assuming they refer you 5 and you only convert 1 as a Happy Guest) 6.

Gross Sales Per Year

$662

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Gross Sales Over Life of Customer

$3310

(We assume 5 years, people move, transfer, pass on) 8.

Gross Sales For 1 Referral

$3310

That   happy customer is actually worth ) in sales over 5 years That   happy customer is actually worth ) in sales over the next 5 years. Total Value of 10 Happy Customers

$66,200

Total Value of 100 Happy Customers

$662,000

Total Value of 1000 Happy Customer

$6,620,000

Think about catering for a quick second ± the average transaction is anywhere from $100 to a few thousand. Lifetime Value of a good Catering Client is huge and you should think of that as you begin to go after more and more V
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of them. I have single catering clients that spend anywhere from $50,000 to $100,000 a year.

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You should stay in touch with your customers and get their feedback regularly. The easiest way to find out what your customers are truly thinking about your restaurant, service, quality of the food, and the experience is the customer satisfaction survey card. Steps to take ñ You should have at least 100 survey cards with front counter display and golf pencils available. ñ Display the survey cards on the front counter along with the pencils. Use ³HOW ARE WE DOING TODAY? Please share your feedback with us´ buttons for the cashiers. ñ Conduct the survey for a week. Train your cashiers to ask your customers to complete a satisfaction survey card and be sure to survey repeat customers as well. Conduct this survey every other month for a period of one week. ñ By the end of the week you should have at least 50 completed survey cards. ñ Read each of the cards carefully. ñ Gather all the positive feedback and share the comments with your crew. If you find any special comments addressed specifically to any of your crew members, let them know about it. For example, highlight positive comments and pin this card to the message board for your crew to see it. ñ If you see any negative comments, accept it. Think positively when customers complain, it means, they are giving you a second chance. USE IT! ñ Take steps to correct the situation with a special personal touch. V
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 TOOLS: Customer Satisfaction Cards, Buttons, Pencils

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I say get all the information you can, but at the least get their name and email. I am also a proponent of getting their phone number if nothing else. You may not know this but you can look up the majority of people by their phone number. It is called a reverse look up and can be done online very easily try it yourself here http://www.whitepages.com/reverse-lookup . Think of the power of this«Most guests, I would say just about all of them would have no problem if they called in an order and you ³looked them up´ in your records by phone number. Now you take that info and reverse look it up at white pages and wham you now have name, address and phone number. Send them a thank you card or you next newsletter and they will not think twice on how you got to them they will just be glad you did. Collecting guest information and emails can be easy, as long as you make it fun or exciting. Loyal guests will appreciate receiving savings offers from you and reward you with their business. Challenge and reward your customers for predicting the outcome of a popular spots contest or TV reality show, such as Dancing with the Stars or American Idol for example. Customers write their guess and their email address on a slip of paper to be contacted if they are the winner. Then just slip the completed forms into a large box on display with signage that describes first-, second-, and third-place prizes. Winners are chosen by random drawings. The first three people drawn with the correct answers are selected as the winning contestants. This simple promotion is energized by the massive viewership V
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and media attention these events enjoy. Appropriate prizes are anything from freebies, to gift certificates, and appropriate merchandise. Customers love it.

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Here is a simple ³Comment Card/Drawing Entry´ which is all just about collecting guest information. Don¶t get me wrong we read every comment and we even post a lot of them for our guests to see but the real drive is to know our guests so we can stay in contact with them. V

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What information should you collect?

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As much as you can get, but remember there is a direct relation to response in completing a form to its length. If a form is too long or not a good enough reason to be filled out people will not just willey nilley do it. I have seen a lot of success with what is referred to online as an extended opt in. Basically you request a little bit of info up front and then you come back after you get that for more depth. An example could be: 1. You have a drawing for a new bike, collect name and email. 2. You draw a winner. 3. You then send everyone who didn¶t win an email that says you didn¶t win but as a runner up prize please respond to this email with your complete contact information and we will mail you a FREE Gift Certificate. The majority will do it and you will have their info, the ones that don¶t probably wouldn¶t have given it to you up front anyway so now at least you have an email address and can communicate with them.

Here is the information I go for right up front? ‡ ‡ ‡ ‡ ‡

Customer Name Complete Mailing Address (With City, State & Zip) Birthday (I also get the birthday of every family member) Anniversary Date E-Mail Address

To create a more powerful guest list you will want to track: First Date of Visit Last Date Visited Money Spent (either total dollars spent in lifetime or a way to track dollars spent on each visit) ñ Number of Times Customer Visits ñ Fax for business V
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 If your restaurant has reward cards for members who register, or free fries all this month, or a special kid¶s event next month, be sure to tell your guests again and again and again. Don¶t fall into ³The Curse of Assumption´. Simply because you know doesn¶t mean everyone else knows. You have to tell your guests over and over what it is that you do that makes you ³different´. Otherwise the guest may think that all restaurants in your category are the same because they sell the same types of food. What is it about your restaurant that makes yours unique? Ask as many people as possible. Ask yourself, ask your employees and ask your guests. Once you have figured out what makes your restaurant special, remind your guests with each chance you get. Remind them in every mailing, voice broadcast, e-mail. Have signs posted in your restaurant that reminds them what it is that makes your restaurant unique. Have your servers, hostesses, crew members, (everyone who is a part of your restaurant) remind the guests each time they¶re dining with you. You may have frequent diner cards, or have a guest each month that wins free food for a month. You may have a special history with your restaurant that makes you unique. Whatever it is, let them know. They should know that there¶s not another place just like yours.

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why they don¶t eat at your restaurant. This is another type of ³The Curse of Assumption.´ You¶re assuming that the folks that you dine with will, of course, automatically dine with you. That¶s just not the case. Ask them. They probably just haven¶t been invited. And you know what they say about when you ass-u-me! V V V V V V V V V

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Everyone loves celebrating their birthday. Wouldn't it be awful if nobody remembered your birthday?? What if the only card you got was from your favorite restaurant? How would you feel? This is probably the most powerful relationship building contact you can have with your customers. You should send the Birthday Letter or card at least one week before the birthday. Otherwiseyour customer may buy their birthday dinner somewhere else!! Give someone the task of finding out whose birthday is corning up in the corning month and make sure you send those letters. V V V V V V V V V V V V V V V V V V V
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This can be really good for the more romantic restaurant, but we have seen it work at every level. It is a really good personal event to create a high end package around Example: Dinner for 2 With Dessert With Champagne Rose for the For XX.XX We will make it so you both can relax on your special day, no planning, and no running around, just pick up the phone and let us know you are coming and we will take care of all the details. You could even Joint Venture with a florist, jeweler and limo service and really make this a big promotion. Or something more simple

Happy Anniversary! Dear ________, We want to help you celebrate your anniversary this year and thank you for being a member of AMAZING Rewards! Bring in the love of your life and   m
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' ·0    Everyone always wants to know the one way to get 100 new guests, I often say that is not the key to success, I can teach you 100 ways to get one new guest! Yes that right, I Can Teach You 100 Ways to Get a Guest! The biggest winners in any business have lots and lots of methods of acquiring new guests. They have these methods working for them simultaneously. If you spent a week observing a successful restaurant, you would walk away at the end of the week saying to yourself ³Look at everything they do«It¶s no wonder they are so successful!´ It¶s very important to follow the advice of this strategy. If you look at most restaurant owners, you will see that they rely on just a few basic strategies (coupons, newspaper, Internet ads, some even use radio, etc.). In reality though, a large assortment of marketing strategies, implemented together, are the most effective of all. A mistake that I¶ve seen many times is when a restaurant owner uses one marketing strategy that makes a nice profit. He likes that idea and thinks that he doesn¶t have to do anything else. The next time they advertise, they do the exact same single strategy that worked before. This time it just doesn¶t work. Unfortunately they only had the one strategy in place. If there were several in place and just the one failed« not a problem, but it that¶s the ONLY strategy you have going, beware! V
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 When you study the Marketing Exhibits manual, you will see so many strategies available to you such as direct mail, voice broadcast, e-mail, TV, etc. that when you use these methods of marketing in combination, your results of making profits increase. When you change up your strategies, your results will be much more stable. As simple and logical as this is, very few restaurants will follow this marketing secret. Most will fall victim to laziness or procrastination. Don¶t let this happen to you, especially since you now have an arsenal of marketing weapons that can make you wealthy.  V V V V V V V V V V V V V V V V V V V V V V V
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The goal of marketing is to help your restaurant stay filled with people. During slow periods, days or nights, or even seasonally slow times, your restaurant can actually stay full all the time with an effective marketing program. Many folks will dine on their birthday or anniversary, so why not do your part in keeping the family together« starting at your restaurant! Send them a birthday or anniversary greeting and include a coupon. You can always put a condition on it, such as a buy one, get one half price deal. There are many options when wanting to include more family members. Marketing to families within a neighborhood can also create customers for life. Most people like to receive mail, or emails, that make them happy. So many people are using email now that you can¶t help but use this great way to communicate! And it¶s basically free, unless you don¶t have the system already set up. Free is always a good way to market! Email can be the start. Monitoring and tracking the results that you receive from email can help out also. Kids especially like to see their name in print. Use their name on mailers if and when you can. Neighborhood gatherings will talk about the local restaurant that has great food and fun offers. Be that restaurant! There are many ways to market to families and many places to start including the nearby schools and parks. Public community centers, daycares, and doctor¶s or dentist¶s offices are a few other options available. There are also fundraising possibilities that you could be a part of V
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and reach a number of families. You may have an area sports arena or health and fitness center that is geared towards families. These places may be a way to get your foot in the door to nearby neighborhoods. One of the keys to maximizing profits for your restaurant is bringing kids and families in more frequently and you can do this with neighborhood marketing.

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There are many situations that you can market to families during special holidays or for events that are happening in your area. The State Fair, Back-to-School, Father¶s Day, Midterm Week for older children, area soccer tournaments, PTA nights, dance recitals ± there¶s lots going on all around you. Be   to what¶s happening, market to those happenings, and families will be   to visiting you more often.

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Your employees are one of the most effective marketing tools you have. If they make the guest experience great, then the guest is likely to return to the restaurant. Happy employees = happy guests = more guest visits = more sales Every applicant has the potential to become a productive member of the crew, but they need you to provide an environment that motivates them. ‡ All motivation begins with a desire ± a desire for recognition, a desire for a challenge, a desire for respect, for more fun or more money. ‡ Different people are motivated by different incentives. Money is an obvious incentive to any employee, yet it is no secret that crew work is not high paying. Other incentives to offer besides pay, should include: ‡ The opportunity to join a fun and successful team. ‡ To fit in with a group. ‡ To feel accepted. ‡ To show improvement and have someone notice. ‡ To have a place where they are needed and appreciated. Motivated employees often have a great deal of ³spirit.´ ‡ Managers have to set a good example and show employees the meaning of the word ³spirit.´ ‡ That means exuding enthusiasm as you come into the room; friendly hellos for everyone; giving recognition for a job well done; and setting the V
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pace with the enthusiasm of a coach. The spirit of the teamwork should be fun despite the fast pace. Having fun on the job can be infectious. If you have fun on the job, your crew will have fun too.

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A well-motivated crew will help to initiate a great deal of self-motivation. They may become more involved, suggesting great marketing ideas, competing with one another in a friendly way for the highest standards, competing even with themselves to do better tomorrow. c!0%'#3>c%3 %·  Encourage team building by scheduling employee group activities off site. This can be a great way to kick-off or end a marketing or incentive program. When arranging friendly competition: ‡ Group competitions work better than individual competitions. ‡ Divide employees into even teams. ‡ Make sure you set up the competition so that the same person doesn¶t win all the time. That can be de-motivating. ‡ Be sure competitions give everyone an equal chance to win. Be sure part-timers and full-timers are competing on even ground. ‡ Find ways to include employees who may not have opportunities to interact with guests. Have an employee of the month program. ‡ Determine which employees will be judged and make an event out of the announcement of each new employee of the month. ‡ Have an award attached to this honor (i.e. movie V
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tickets, $25 cash etc.) and give them special privileges (i.e. write your own schedule, special parking, special pin on uniform). Have hourly or daily competitions for the hour. i.e. Spontaneously announce that between 1:00 p.m. and 2:00 p.m. whomever sells the most of a certain item wins $10.00 or an extra hour of pay.

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Reward employees who contribute to a great Mystery Shopper score. Offer a prize to all the employees who were on the clock during the Mystery Shopper visit, or recognize any employees who were mentioned in the Mystery Shopper¶s report. Have a ³Fun Friday´ (or ³Monday Madness´ or any other day of the week). Initiate contests all day long. Decorate the restaurant. Do cheers. If an employee receives a guest compliment, reward that employee with cash, or a free lunch etc. Tell other employees about the compliment (praise publicly.) Post the letter or comment on the Employee Bulletin Board for everyone to see. Offer incentives to employees that bring in a new corporate account. Offer prizes or incentives for employees who bring in business cards of local businesses. Use the fax numbers on the cards to fax menus. V V V V V V
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 ‡ Suggestive selling is offering an additional or complimentary item to a guest. By making the suggesting specific, the guest is more likely to say ³yes.´ ‡ Suggestive selling is not about being too pushy or too aggressive and giving the guest a ³hard sell.´ ‡ Effective suggestive selling begins with a positive attitude. ‡ Suggestive selling has two purposes: 1) It helps to educate guests about different products (by offering them). ‡ It helps increase sales volume of your restaurant (through increased check size and increased frequency of visits).      ‡ The greeting is the key to a suggestive sell. If the register person has good eye contact, a sincere smile, etc. the guest will be less likely to be rude when turning down a suggestive sell. ‡ Sometimes, it is not what is suggested, but how it is suggested. Suggesting with a friendly personality will help achieve your goal of building sales, while not turning off your guests. ‡ Suggestive selling is an art. It requires good training, continual practice and fine-tuning, combined with a dose of common sense.

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DO ‡ Suggest complimentary items. ‡ Example: ³ How about some of our fresh fries to go with that sandwich...´ ‡ Suggest combo meals adding a drink and/or fries to a sandwich. ‡ Be aware of your guest. (Are they searching the menu / menu board looking to see what you have? Is he or she undecided on what they want to purchase?) ‡ Get to know your regular guests. Call them by their name. Know your menu and know what they want. Suggestive selling should be used with discretion. ‡ Encourage regular guests (who always order the same thing) to try new items. This may increase frequency of visits. ‡ Suggest items by name. ‡ Example: instead of, ³how about a dessert,´ say, ³how about a slice of our fresh apple pie with that.´ ‡ Try suggesting an item at the beginning of an order. ‡ Be creative and use humor. DON¶T ‡ ‡ ‡ ‡

Suggest to kids (This can make parents angry). Suggest more than one item. Suggest by always asking yes or no questions. Example: Instead of "Would you like...?" Use statements like ³How about...´ or ³...(item) would go great with that.´ ‡ Suggest items in general. ‡ Example: ³Do you want anything else?´ (Avoid this phrase!) ‡ Suggest to guests who end their order with ³and that¶s it,´ or ³that¶s all.´ V
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‡ Be too pushy or aggressive. Know when to back off. Know when suggestive selling is not appropriate (if the guest says, ³that¶s all´ or is obviously in a hurry).

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When it comes to getting people to try your food, there¶s no better way than to give them a sample. It's easy to make sampling a part of the marketing strategy every single day. It has obvious applications for quick service, but you should have a standard in place at any level of service or restaurant style: if a guest isn¶t sure of their satisfaction with a particular food or service, and giving them a sample is going to help them and add to your TOS (Totally Outrageous Service), then do it! Sampling can be done as a formal program where you get out from your restaurant and attempt to persuade people or as informally as a server suggestion at the table ³Did you want to try the two and see which one you like better´. The following sampling tips can also be applied if you are part of an organizational event representing your restaurant, like at a trade show or for a business expo with your local chamber of commerce. It also works really well if you miss ring an item and that item is simply going to be discarded, divvy it up and pass it out to your guests. Many people will not eat at your restaurant simply because they've never tried your food. Sampling gives them a riskfree way to try it. Sampling is also a great way to meet neighbors and answer any questions they may have. You can never be too accommodating about giving out free samples and you can never get too many people to taste your products. V
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Sampling is an easy and inexpensive way to promote your products.

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Sampling only requires about a $5.00 investment in food per day and can produce unlimited results. Make sampling fun!  c!01·0  ‡ Get a table from the dining room. If you do not have tables in your restaurant, set up a tray on the counter closest to the door. ‡ If possible, place the table out in front of the restaurant where there is a lot of foot traffic. Be careful not to block the traffic flow or the entrance into the restaurant. ‡ Use balloons tied to the sampling table or door to attract attention. ‡ You or an employee can stand outside and ask people to sample. ‡ Make the product in its entirety and cut it up into small pieces. ‡ If it comes with dipping sauces, provide small containers for dipping. ‡ Use toothpicks to serve the samples. ‡ Have napkins available. ‡ Serve it while it¶s fresh. r&% c!0 ‡ Whenever a product has been made either by mistake or a guest might have changed their mind and you have an ³extra´ item that will simply be discarded ‡ Do it when you have wait to get peoples appetites cranking and keep them at bay while you are working to get them taken care of. V
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‡ Organized Sampling in a food court or busy down town setting usually should occur in the slower time before you get busy when everyone is ready and waiting. Usually only one time per day, for approx. 45 minutes. ‡ Vary the time of day sampling occurs to prevent conditioning and predictability. (You don¶t want the same people to come back at the same time every day knowing they can get a free taste without having to buy.) ‡ Varying the time of day will help you reach a greater number of guests by targeting guests who are passing by at different times of the day. ‡ Experiment with the time of day you sample. Try peak hours and other times and monitor to see what is best for you.  c!0·%6  ··%6 

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DO ‡ Emphasize the key selling points of the product being sampled ‡ Example: ³Our chicken breast is boneless, skinless, lean, and grilled to order. All of our products are fresh, never frozen.´ ‡ Offer the product prepared the way it would be prepared when they buy it (include sauces if it comes with sauces) ‡ Serve hot product hot ‡ Be consistent ‡ Sample small portions more often ‡ Be conscious of food safety and the temperature danger zone ‡ Offer toothpicks, napkins, and a trash container ‡ Wet their appetite and leave guests wanting more V

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DON¶T ‡ Let guests take product without telling them what they are trying ‡ Serve product out of dirty, or messy container/tray ‡ Serve product prepared differently than it would be prepared if they bought it ‡ Become predictable, serving the same samples at the same time every day ‡ Wear plastic gloves outside ‡ Serve any hot product cold, or any cold product hot ‡ Let the public turn your sampling program into an outdoor buffet

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TOOLS Crew Buttons ± ³Try before you buy´ We traditionally will hand out a voucher when sampling outside the restaura nt

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When selecting items to upsell or suggestive sell, it¶s important to analyze what products give you your most profit. Look for the items (when compared to their cost) that can help generate a higher profit and encourage your employees to upsell them. ñ Do not assume that higher priced items produce the most profits. It is not the items that cost you the most that you necessarily get the most profit from. It is the difference between how much it cost and how much you sell it for. ñ The best way to increase the frequency of visits is to encourage trial of new or ³other´ items through suggestive selling and sampling. ñ Once guests know they have a variety of ordering options at your restaurant they will come back more frequently. UPSELLING ‡ Upselling is taking a guest¶s order and making it bigger (bigger size, more of the product) ‡ Upselling has two primary purposes: ‡ It assists in reminding the guest to order something that they could have forgotten ‡ It increases sales volume of your restaurant The difference between upselling and suggestive selling is: ‡ Upselling is taking what they have ordered and making it bigger ‡ Suggestive selling is adding an item to what they have ordered (see next section)

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DO ‡ Always use upselling to try to increase the average check ‡ Upsell any combo to a bigger size if available ‡ Phrase with specific price quotes ‡ Know your upselling points/opportunities so you hit them very naturally in your speaking DON¶T ‡ Use competitor¶s phrases ‡ Use phrase, ³super size´ ‡ Suggest more than one item ‡ Be too aggressive or pushy Example: Classic One ³Would you like a large order of fries and drink for only 49 cents more?´ ³Would you like a large combo with that´? Don¶t just ask if they want fries or a drink and don¶t just ask if they want a combo ± go for the better value higher priced item. ³Would that be our 24oz draft?´

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 1 3 00 € Suggestive selling is offering an additional or complimentary item to a guest. By making the suggesting specific, the guest is more likely to say ³yes.´ € Suggestive selling is not about being too pushy or too aggressive and giving the guest a ³hard sell.´ € Effective suggestive selling begins with a positive attitude. Suggestive selling has two purposes: € It helps to educate guests about different products (by offering them). € It helps increase sales volume of your restaurant (through increased check size and increased frequency of visits). Suggestive Selling Guidelines ‡

The greeting is the key to a suggestive sell. If the register person has good eye contact, a sincere smile, etc. the guest will be less likely to be rude when turning down a suggestive sell.

‡

Sometimes, it is not what is suggested, but how it is suggested. Suggesting with a friendly personality will help achieve your goal of building sales, while not turning off your guests.

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Suggestive selling is an art. It requires good training, continual practice and fine-tuning, combined with a dose of common sense. V

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SUGGESTIVE SELLING DO¶S AND DON¶TS

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DO ‡ Suggest complimentary items. € Example: ³How about some of our fresh fries to go with that sandwich...´ ‡ Suggest combo meals adding a drink and/or fries to a sandwich. ‡ Be aware of your guest. (Are they searching the menu board looking to see what you have? Is he or she undecided on what they want to purchase?) ‡ Get to know your regular guests. Call them by their name. Know your menu and know what they want. Suggestive selling should be used with discretion. ‡ Encourage regular guests (who always order the same thing) to try new items. This may increase frequency of visits. ‡ Suggest items by name. € Example: instead of, ³how about a dessert,´ say, ³how about a slice of our fresh apple pie with that.´ ‡ Try suggesting an item at the beginning of an order. ‡ Be creative and use humor. DON¶T ‡

Suggest to kids (This can make parents angry).

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Suggest more than one item.

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Suggest by always asking yes or no questions. ½ Example: Instead of "Would you like...?" Use statements like ³How about...´ or ³...(item) would go great with that.´

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‡

Suggest items in general. ½ Example: ³Do you want anything else?´ (Avoid this phrase!)

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Suggest to guests who end their order with ³and that¶s it,´ or ³that¶s all.´

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Be too pushy or aggressive. Know when to back off. Know when suggestive selling is not appropriate (if the guest says, ³that¶s all´ or is obviously in a hurry).

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' (  ( $(   · This is the customization of CUSTOMER APPRECIATION targeted to very specific groups. We even use our Bounce Back offers to recruit businesses into the program. We simply put the details on the back of our bag stuffer with a way to fax back and respond. We average 4 to 8 businesses a week expressing interest per restaurant. We have recently taken this a few steps further and are targeting industries as whole and offering days each month. It has really helped to increase customer count, not just on the special day but we find that these people that may have never had exposure to us before are joining our club and coming in multiple times a month. Here are some of the featured days, each month (we repeat them monthly to keep them engaged and our calendar full i.e. Medical Professionals Day is the 2nd Wed every month ‡ Automotive Industry Appreciation day ½ Anyone in a car dealership, mechanic repair shop, auto body repair, Auto parts store even a gas station for that matter ‡ Medical Professionals Day ‡ Retail Employee Appreciation Day ‡ Restaurant Employees Appreciation Day (good recruiting day) ‡ Civil Servants Day ± Fire Fighters, Police ‡ Furniture Industry Appreciation Day ½ We have a ton of furniture places in NC so we hit them. Think of your local area and go get µem. ‡ ____________________ ‡ ____________________ ‡ ____________________ V
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This is a great community networking tool that can drive significant business to your door for LITTLE or NO MONEY &  : Basically, you honor other business and large employers in your community with a special day for their people. Sample: c %  )(c·" (c   )
   

 " You schedule a date with a local business and help them promote it with some type of email, voucher or offer card that they can hand out to their employees or ³show your badge´. You set it up so it looks like it is a gift from their employer. But in all actuality is designed to have their employees come to you. Use a strong offer of either a fixed dollar amount discount or a good percentage. The idea here is to have other businesses pumping their employees to you. You need to look at this as people that may never have come into your business. You may have a few from a company but how would you like the whole building dining in your place regularly. You basically have nothing to lose by serving them with totally outrageous service and making them your guests for life. How much is it worth to you to have a stream of steady new customers, and you don't even have to do the lip service to get them? Is it 20% to 50%? Is it $5 maybe $10? Keep in mind, the lifetime value of these new customers is very high to you and you didn't have to do very much to get them. This is your opportunity to put out a compelling offer that they can't refuse. The beauty of this program is it is next to impossible to go negative on the new customer acquisition unless you're giving away the world. This customer even at 50% off has great value to you. V
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 r : Pretty simple - here are the steps: 1. 2. 3. 4. 5. 6.

Produce a sign up flyer Get businesses enrolled Get them the materials Take care of the new guests Repeat Make it rewarding for the people helping the promotion

!     I like to use an 8.5x11 sheet with 2 -5.5 x 8 size flyers on it (see below). Use this flyer as a bag stuffer. You know it will be tempting to put your logo on top. Putting the company that is endorsing you first on the endorsement voucher is where the real value is. It looks like they are giving their customers a special reward. You win by them referring you.

TIP: Don¶t leave the back blank. For pennies a card you can print a great sales message on the back. Tell your story, Testimonials, menu options, etc. ± Put something, don¶t give away blank paper. For this promotion we have the back with ³Did You Know´ facts about our restaurants. ³Did you know we have Free Wi Fi?´, ³Did you know we roast our own coffee?´, etc 6Y  Ã    'Ã   'Ã Ã
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I often use my existing guests to get the door opened. Our fax back form above has been very successful for us. Our cashiers and servers give them to every guest. Before you know it, they start coming back. Once you have their info, contact them and get it nailed down. I like to set it two weeks out, long enough to promote not too long that it gets forgotten. I usually work with someone in HR and they will often help by producing some materials. Make a contact at the company and figure out what works for them. Let¶s look at the economics of why you want to do this promotion. First off it is easy, second it is low /no cost, it is a huge revenue generator. Let's look at the math: ‡ 100 people come for Business Appreciation Day (Lunch) ‡ 20% off offer ‡ the average transaction is $10 ‡ the discount is $2 ‡ amount going to the bank is $8 per transaction ‡ 6M (100 x8) that you probably would not have had anyway. Who couldn¶t use an extra $800 bucks Cost: Materials - minimal Food at 30% is $800x30% = $240 Gross Profit on the event is $560 (not bad for a lunch time gig) r 

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  <  !    , Here is the math: Take our gross profit from above and let¶s say we will only get 50 V
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people a day (half of above) during the week to participate. Now run it 5 days a week or 20 times a month (Mon- Fri, 4 weeks a month) even with only 50 people per day that is an extra $5600 a month or $67,200 GROSS PROFIT this year ñ $560/2 =$280 Gross profit per day ñ $280x20 days=$5600 ñ $5600x12 months = <)      So when you take the printing, your time and the rewards this promotion cost pennies on the dollar and reaps huge rewards. Remember, this doesn¶t even include the additional sales on top when the new folks come back time and time again. Also the strength of relationship you will build with your endorsers will only work to build your community involvement and all sorts of other joint venture deals will come your way. &  &1
 - The math is your motivation to get businesses enrolled. They don¶t need to know what we know. They need to know that we appreciate them and then we show them by making them feel special. This is a true WIN/WIN for all involved. ( 

 

      One of the best parts of this program is that it is limitless. Think about it for a minute. What business can use a discount or special offer just for their people at a restaurant? « Answer ± TONS ‡ Offices ‡ School ± Teachers eat too ‡ Car Dealership V
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‡ Restaurant owner ‡ Catering Guests ± They are mostly in offices with lots of people, who better to appreciate ‡ Government ± Local, State, National if in your area Think about anyone with a large employment base. You can even buy lists of employers in your area and target them that way.       Make them some type of handout as well as some poster-like items. I usually work with someone in HR and they will often help by producing some materials. Make a contact at the company and figure out what works for them. Once you have some material ready, maybe you invite them to come by, or pick them up, and you buy them a meal. Maybe have lunch with them and further build your bond with a rep from the company. The other approach is to completely take it on yourself to make it easy on the company by dropping everything off they need. This approach you will find works well but a key is having a company person endorse your promotion. Here is a flyer we print 4 to a page and have distributed through the internal mail system of a company and in break rooms etc. You know it will be tempting to put your logo on top. Putting the company that you are appreciating on the top is where the real value is. It looks like the company is supporting this and giving their employees a special reward. You win by them referring you. The key here is customization. Make sure you take the time to customize it. V

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methods work real well if you have multiple contacts at the company. Have a big sign welcoming the group on their special day. ³Welcome IBM ± We Appreciate YOU!´ This also works to promote that you do this for companies. I often find my other customers wonder what is going on and inquiring how to do it for their company.    The New Guest, this program like anything we do is about the GUEST! This is your chance to welcome someone into your business that you may have never had the chance to greet if it wasn¶t for your pressure created with a companywide promotion. So in this case the guest is important and like all your guests should be treated like royalty or long lost friends. (why you may ask«Oh yeah, they are the Boss they are the ones actually paying us) Something to always keep in mind is that someone sent these folks to you. Someone promoted you, put their name and word on the line by sending them so as important as it is for us not to look bad, we can never let an endorser look bad. c 

  

 6   . Get them into Amazing Rewards or to fill out a comment card and then we have their information for future marketing. Another great idea to make it fun and rewarding for your visiting company is to have a giveaway. Give Away future Free Lunch or Gift Certificates. The goal here is to capture the guests¶ info through the ³Fish Bowl´ method. It is highly effective. I recommend getting their full name, address and phone number in addition to just name and email. Email is important even though not as effective as mailing them an offer. It is still low cost and can be used for weekly/monthly blasts with menu features and special promotions. V
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 Know that you have contacts and new guests at that company. You can follow up with them and do the appreciation more often, like once a month. 
 As in do it again and again. You can set a special day for a company once a month i.e. Every Third Tuesday is IBM Day. Keep a simple spreadsheet or calendar with all the companies you are working with on this promotion. I say spreadsheet so you can have all their information handy. I suggest monthly because it keeps you in front of this group which is going to get you more business ancillary to these days just by being top of mind.  c    

 This is easy as pie with Amazing Rewards, just sign them up and give extra points. Buy them lunch during the planning process or just pour on the charm. Remember, at the end of the day all that we do is about building our business and our community tie is a huge part of that. Now that you have the tools, go and find some folks to work with and blow this thing up!

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(#>(  >( -  These offer an incentive or discount off of a future purchase. This is super low cost HIGH RETURN. 

     





      

 

 >    " The stronger the incentive, the more return you¶ll get. Make sure to give away the bounce back offer after they have already made their purchase, as it is good for the next visit only. Do not hand your offer to customers who have not made their purchase yet. TOOLS: Bounce Back Cards Bag Stuffers Box Toppers   V V V V V V V V V V V V V
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(% Frequency cards and bounce-backs are one of the least expensive ways to encourage your customers to return. The more visits your customers make, the more loyal they become. Frequency Cards: ‡ Stamp the first visit, and hand to the customers with any purchase that they make. ‡ Place display with frequency cards on your front counter next to the register. This will encourage customers to take one. ‡ Include your frequency card in any delivery and take out order. ‡ If you are located in a mall or hospital, include information about your frequency cards in their newsletter. If possible ask the mall/hospital management to attach a frequency card to all of the newsletters so that you can reach each employee in the building. ‡ Ask smaller retail stores in the Mall and surrounding businesses outside the Mall to place your display with your offerings (also, see the ³Sharing retail space´ section). ‡ Having to validate the card can cause a slow-down in service, so keep the cards and stamps within easy reach of your register. TOOLS: Frequency Cards, Display, Customized Icon Stamp V V V V V
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' #    r Customers are the reason you¶re in business in the first place. Make the little things count. Appreciate your customers. During Customer-Appreciation Week, you can offer special discounts on menu items, free upgrades in food or drink sizes or whatever you decide is the best reward for your customers, Customer Appreciation Week can be customized to target very specific groups such as mall, hospital or bank employees. TOOLS: Counter card, Poster

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' #  /+ !   FREE LUNCH This method for retaining existing customers and soliciting new ones has been proven to work well in helping you to build a customer list and eventually increasing your bottom line. Steps to take ‡ Place a ballot box on your front counter with the following message: ³Please drop in your business card for a weekly drawing for a free lunch for two´. ‡ Once a week carefully review each card and select the card that you believe represents the company that employs the most people in your trading area. Then place the YOU WON IT call to the winner. There¶s a good chance that the winning employee will talk about the free lunch and more employees will eat at your restaurant to enter the contest. That free lunch you offered should pay for itself many times over. Keep all the cards that didn¶t ³win´ for future mailings (you can use them for catering also) and start collecting again for next week¶s winner. You can also send a ³You didn¶t win First Prize´ but here is a special ________ just for you. TOOLS: Ballot box with message ³Please drop in your business card for a weekly drawing for free lunch for two´

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' cr r   There are ways to create magic words so that your guests¶ mouths water! You could say that you sell breakfast, lunch and dinner« but why not win the guests just by adding a few strokes to your menu: From: Pancakes To: Piping hot pancakes with warm maple syrup From: Orange juice To: Refreshing, cool orange juice From: Grilled Cheese sandwich To: Warm, melted grilled cheese sandwich with hot, crispy French fries From: ice cream To: Super Specialty Sundae

Why not put the customer IN your menu?! The Italian Sub for example« or The Busy Mom¶s Meatloaf. Your adjectives should be appealing, such as Fresh squeezed lemonade « or Homemade Chicken Soup. Be sure to tell about your unique ingredients, such as spices that other restaurants don¶t usually have available. Tell about any offer you have such as FREE House Salad with Baked Flounder Dinner. Be sure to tell your guest what comes with your products, such as: Butterball Turkey, Red Potatoes and gravy, with fresh baked bread and bottomless iced tea. Show off the uniqueness of your ingredients as much as you highlight the unique quality of everything else that you offer. A sprinkle of ³magic´ goes a long way. V
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'   %  There are ways to present an offer in order to have folks anticipating having it. Of course you need to tell about the main product whether it¶s a steak and lobster meal or an Angus burger. You also need to tell why this meal is worth more than it actually costs. You can break it down into separately sold costs (like salad and meal and soup) compared to the new trio deal that you have created. Tell them how difficult it is to get your food to them so that it¶s µfresh¶ or µunique¶. Tell your guests about the exclusivity of your product. Be sure to brag about the comparable and competitive comparison of your meal (such as: ³You¶d pay twice as much as the µfine¶ diners´ or ³This meal is the same as actors and actresses in Hollywood are requesting´). There¶s an art to a discount. You can give a discount from built-up value or actual price - or both. You can give discount just because they are fathers, mothers, straight µA¶ students« whatever it is, make it special. People always feel better when they receive something with an offer. Whether it¶s a specific gift or bonus premium or even a chance to win« having that extra something special makes your restaurant look better than the average. Partnering with another company can help create a special premium (like car companies that give free passes to theaters for making a purchase with them). You may want to give a gift/bonus that will also advertise for your company, like a t-shirt or hat. Making your offer appealing is what sells the product. Create with everything you¶ve got and you¶ll sell« everything you¶ve got! V

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AMAZING Rewards Frequent Diner Program. It is a rewards program designed to capture our guests¶ information allowing us to know who our customer base truly is, their demographics and psychographics, as well as reward them for purchases all while allowing us exclusive direct access to them for marketing opportunities. The demographic and psychographic information is provided through a reverse append which allows us to research each guest, this service is provided through Restaurant Success System. The Amazing Rewards program has a base operating principle of awarding points, one point for every dollar spent, then when certain thresholds are met it automatically mails our guests award certificates. The program is mostly automated with custom messaging allowing us to stay in front of our guests far more than our competitors, even the big chains. The program provides for the following types of marketing opportunities, all of which are currently in effect: Welcome Post Card ± Sent after sign up: a postcard is mailed giving the guest double points on their next visit Radar Email ± Direct customized emails sent with a trivia question and offer for the store sent out bi-monthly by brand. This email also alerts the recipient of their current point balance and distance to the next award. V

On Demand Email- Direct Customized emails generated by us at our convenience to communicate the message or marketing offer V
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of our choice. These are currently going out once per month per brand. Birthday Mailers- The number one reason people go to a restaurant ± Their Birthday! We send each member an offer for a FREE meal (up to $10) for their birthday. The industry statistic on this mailer is a high return with multiple diners, 3.2 people per discount, generating increased revenue of between $20 and $30 per offer redeemed. Birthday diners do not dine alone. ½ Birthday Mailers- Knowing birthdays are a big draw we have a cute ½ birthday card that goes out and says we know it is not your birthday but you are ½ way there so you should come in and celebrate with ½ off an entrée. Anniversary Mailers ± The number two reason people go to a restaurant ± Their Anniversary! We send each member an offer for up to $10 off a multi course meal for two for their anniversary. This mailer is exclusive to BakeHouse Bistro Newsletter Distribution- We are currently producing an in-house newsletter that is distributed from the restaurants but will be mailed to Amazing Rewards Members starting in March. The newsletter has offers, stories, area information, charity & community related information and customer photos of contest winners. Generated monthly it is seasonal and timely. Award Certificate Letters ± These are sent once the member has reached the points threshold to receive an awards certificate. At Jumpin¶ Jonny¶s an award certificate for $5 OFF is issued at 100 points/dollars. At BakeHouse Bistro an award certificate for $10 OFF is issued at 200 points/dollars. At Premiere Catering an award certificate for $25 OFF is issued at 500 points/dollars. The basic award is 5%. They also receive additional offers at the halfway point to assist in building the habit of coming to our V
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restaurants. Quarterly Mailers ± This is a mailer with an offer that is sent to each Amazing Rewards member notifying them of their current point balance and distance to the next award.  Lost Guest Mailers ± This is a mailer to guests that have not been in 30, 60 or 90 days with an offer that is sent notifying them of their current point balance and expressing our concern over where they have been. Headlines include ± We Miss You! We Are Starting To Get Worried! We Are Prepared To Send Out A Team To Find You! 

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Our Amazing Rewards Program does not just capture and loyalize the guests we have, it even goes out and get¶s us new guests± This also is fully automated. Cold Birthday ± We currently purchase a list of local residents, non-members of Amazing Rewards, information including birthdays and mail them our birthday offer with information about our restaurant.

New Movers - We currently purchase a list of local residents new to the area, non members of Amazing Rewards, and we mail them an offer to come in and try us out. The mailer contains highlights of why they want to experience our restaurant. Custom Pieces ± Whether based on brand initiative or seasonal opportunity, we have the ability to have basically anything produced and sent to our members, or we can purchase nonmember local resident listings and run promotions designed to drive store sales and grow our loyal members. We will conduct quarterly campaigns primarily focused on increasing our market V
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share and cultivating new guests.

With the combination of all of the above programs we feel that we can effectively stay ³top of mind´ with our guests all while building loyalty and frequency ultimately driving sales and profit.  V V V V V

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   Here is a simple little ad we use in email and on our webpage. I get a dozen people a week calling me with funny off the cuff testimonials.  · 

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 7 M "MM") < # & ·  We have already had a bunch of people call with great messages which we will post online at www.JumpinJonnys.com All you have to do is tell us why you love Jumpin' Jonny's and I will give you a FREE Sandwich. If for some reason you do not love us I want to hear from you even more. Either way reach out and give me a call, it's FREE from anywhere. Leave us your name and number. All compliments that you share on this line may be used for promotional purposes (by calling us you agree we can use it - OK) I can't wait to hear your crazy messages! ~ Jumpin' Jonny

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' 13 '


 c Are you using video? You Should be! The trend is video. I am not talking about TV. I am talking about internet and email video. Finally the technology is at such a point that video is easy and affordable to the masses. Why would you want to use video? ñ People can see your passion ñ They will be able to ³look you in the eyes´ ñ They feel more connected when they can see someone ñ It builds trust ñ It can be real fast and easy ñ Did I mention fun? It can be a real blast - Think of all the blooper reels you have seen. Video is a medium that is as direct as print and catches more attention. If your company has something to say with video, that video should be on your Web site. I have played with it for a little while now, maybe 6 months goofing and the past 2 or 3 actually posting. Below, I will share some examples of my work (be nice ± I am no pro and the reality is you do not have to be). It doesn¶t have to be complicated. It can be as simple as a slide show put to music. Check out my latest as an example http://blip.tv/file/1702477 . This is simply a slide show set to music. Once I loaded to Blip.tv it generates the code so I can stick in my website. It¶s really cool and simple, actually. The neat thing is it is streaming and when you get there you do not have to download it, it is there and ready. Since it is loaded with a company that does this, I do not have to store it on my server. Also did I mention it is FREE? Yes Blip.tv and others are FREE. V
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Why video and not just print or words? I say use them all. In today¶s world different ages and different people take in information differently. I say give it all to them and let them sort it out. That is why I do not just rely on web and email I do a ton of direct mail as well. Even when I mail, I use different mailers not just flat mail but 3D with shape, or 4D- I will even throw something in to have a mailing make noise. That is why on the web I don¶t just have words I have pictures and video. Hit them with everything you have and it will increase response.    If not a slide show put to life, it can be done with a simple camcorder and a little editing. I use the ³Flip Video´ Recorder because it plugs directly into a USB port on my computer and it is uploaded in just a minute or so. Once I have the video, I tweak it a little as needed, add some basic effects, maybe some music and I am done. Where can you use video? ñ Use it to give a tour of your restaurant. ñ Use it as an automated response after people sign up for your club online. ñ Use it in your emails to your guests ñ Use it to give cooking demos/lessons ñ Use it to train your staff ñ Bio on you ñ Record Testimonials 1 

 

 $Check out a sample from one of my restaurants Video Tour or check it out on You Tube http://www.youtube.com/watch?v=dCiBCXuqlQw . I did a little editing on this video. I also think it is important if the timing is right to have some guests in the restaurant. Just like pictures of your restaurant, ones with people in them are better than an empty restaurant. It can be simply you walking them through and V
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showing them what they are in for. If you are recording it during off peak hours tell them that ³Hey I just wanted to give you a special personal tour as we get ready for a busy Friday night´ or ³this is a special behind the scenes tour before any quests get to see ________ ³ See another example that is available on the blog http://www.restaurantsuccesssystem.com/blog/. 1       

    "If you have an online club sign up, you may want to have a video response sent as an email or on the thank you page redirect (techi talk- ask your web person or email for a better understanding) instead of just a plain text email. This type of video use could be real impactful if you are attempting to connect to a younger generation. Your video use will let them know you are on the technology thing. 1

   

 $Same premise as above, but with a little twist. If you are emailing your guests regularly then this is a good way to spice it up. A change in format will keep people from thinking they know what you sent them. In some cases, that feeling of knowing what you have recorded already keeps them from opening your message. I say keep them guessing«what will you do next? If you send an html formatted template, then once in a while send plain text. If you send html and plain text, throw in a video. Keep them intrigued and wanting more, video can easily help with that.   1 

 >   ± How about a quick cooking lesson that you can stick on your website. I suggest more of an assembly of ingredients than a full lesson. Keep it short and sweet and even give away the recipe as a download. It helps establish you prowess in the kitchen and build rapport with your guests. Yours can be much simpler, if you desire. Do note the back drop for Chef Pleau ± Fresh Veg and some color (kitchens V
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can look a bit dark and boring ± you may want to bring in a couple lights when filming).  1 

 This could be the best application of all, especially as you are getting started with video. My point being I would rather get my kinks out in a video to my staff than the ones for the public. Training videos can be great for training you on recording. Also, think of all the time you spend teaching the same thing over and over again. What if they could get you in almost the same capacity but you actually aren¶t even there«video can accomplish that. You can video your next orientation and if a person is hired between your orientation days they can get it right from you the way you say it and deliver it, no need to tie up your manager on this day. Plus all the repetitive tasks can be videoed and watched e.g. Prep Videos, How To do _______, Cleaning, Dining Room set up, Sidework, Catering presentation, Catering Tray set-up«you name it and you can video it and have it for training.  (  

$Communicate to the world who you are and what you are all about. Just like in the book ³Good to Great´ communicate your core ideals ± 1. What you are Passionate about, 2. What you are best at, 3. What is your economic engine (hint on the last one ± your guests coming in time and time again ± let them know that). Don¶t be afraid to give them a glimpse of your personal life ± You Love your family, picture of the kids, maybe the kids can bust in during shooting to wrap it up. 
    ± Think about this« A guest grabs you and gives you rave reviews. You say hey can I write that down, of course you can they say. Do you do it? Probably not. Do they write it for you? Only if you make it easy. How about asking them if you can do a quick video? Most say yes because they love you and what you just did for them, so the euphoria helps. Grab your recorder, pull them aside and do a quick recording. Later you can V
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edit it or transcribe it and use it in print also. Either way if 50% say yes you will have a powerful library of testimonials in no time.

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' º!#c ('

r Your website can and should be the hub of your business--a place where prospects can go any time of day or night to find out exactly how you can help them. And every page on your website should somehow smooth the path toward the sale.V But four pages in particular are key...V V  * V Like a Wal-Mart greeter,

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  before she turns around and walks back out the door. V V This means sharing a little about what you do--in your prospect's language, of course--and why she should care. It also means offering guidance as to where she may want to go next on the site. (Based on your most popular offerings.) And overall, it's good to keep the layout and navigation simple.V V But before she goes to another page, you want to encourage her to sign up for your newsletter. That way you can keep in touch even if she decides not to take action on anything today.V V   "V That's right--the page we often think about last actually         

  . In fact, one Marketing Sherpa study found that a personable About Us page can boost website conversions 30%! V V Remember...people buy from , not companies. (Plus, they're generally skeptical about buying from unknown businesses on the internet.) So your About Us page is critical to establishing yourself as an expert and developing the all-important know, like and trust factor.V V
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Here are a few key dos and don'ts:V ñ DON'T post a formal bio (save that for your media page) V ñ DON'T start off with a dense but essentially meaningless mission statementV ñ DON'T post long lists of journal articles, previous speaking engagements or other similar items. Put a link to them on the page instead so visitors aren't overwhelmed V ñ DO tell them about  88 your experience, your story (if relevant) and a little about who you are personally V ñ DO use a more casual, conversational style V ñ DO include a photo or twoV V mVV The workhorse of your website--each product or service should have its own sales page. The style and format is designed to minimize distractions, and the copy is makes a compelling logical and emotional case for your offering. The       $$G 

      

    "V V Unfortunately, sales pages are usually the weakest link in a website--offering a paragraph or two of information and a price or "contact us" for more information. V The problem is...no one wants to email or call you for more information. It takes too much time and she dreads being trapped by a hard-core sales pitch. She won't bother until she's fairly sure you can meet her needs. So you need to give her the full scoop upfront. There are a number of key building blocks for a good sales page, which I'll go over in the next issue.V V # "V Yes, # 1  

 " Even if you've given them a way to respond on your sales page, people will check it to see if you're a "real" business. I often look to see where a business is located so I know when a good time to V
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call or email may be. V V One huge mistake is NOT having the company name, street address, phone, and email listed. If you're concerned about privacy, get a UPS box or rent a virtual office. Because not having those items makes your business look sketchy. And more people check than you think. V V A second common error is offering a contact form as the ONLY way to contact you. Some people just won't do it. Plus, the slightest internet breeze seems to break the forms and then no one can reach you at all" That's why the best route is to offer as much contact information and as many ways for them to contact you as possible.V V In short, all four of these pages are essential to creating an effective, business-building website. V V V

Copywriter and marketing strategist Tracy Needham publishes Compelling Marketing weekly ezine with proven marketing strategies, tools, and resources to help small business owners and solopreneurs make the best use of your time and money. Get your FREE tips now at www.CompellingEzine.com.

© 2009 Compelling Communications, LLC. All Rights Reserved.V V
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' c%  0(   Maybe you want to make a splash with a big product launch, drive more traffic to a retail store, tap into a niche market or simply grow your own email guest list. Whatever the reason, renting a list is one way to super-size your reach--and may be more affordable than you think. Since the idea of renting mailing lists can be intimidating, this is the first in a short series on the topic. At the moment, we're going to focus on actual postal mail lists. Email customer lists are a thornier topic so they'll be covered in a separate article. V · '

% 
, While people often talk about buying a customer list, most lists are actually rented. This means you're only allowed to mail to the guest list once (unless you sign-up for a multi-use rental). Try to get away with extra mailings and you'll get caught because they "seed" the lists with fake names they can keep tabs on. Of course, anyone who responds to your mailing is fair game--you're free to contact them as many times as you'd like at no additional cost. V The type of customer list you buy can make a huge impact on the success of your mailing. There are : #  #   . Basically, someone has created a list with data from phone books, public records and other directories. These are the most common--and usually cheapest--lists to buy. But they tend to get the least response because compiled information can get old quickly and the people don't necessarily have an affinity for your product or service.

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ladder, thousands of publications and trade associations sell lists of subscribers and members. Because it costs them every time a mailing or magazine gets returned, they are constantly updating their list. And if you choose a publication or association whose interests dovetail with what you have to offer, you should get a much better results. V
 #   . These tend to be the most expensive type of list, but they're the most desirable lists because the person has made a purchase or indicated an interest in the topic to get on the list. So, response tends to be much higher. Often, lists of purchasers can be segmented by: V V ñ
of purchase--the more recently they bought, the better the expected response V ñ /+ of purchases--since people who have bought two or more times are better prospects than one-time buyersV ñ 1  --or total sale per buyer, for example, purchasers who spent $50 to $100 at one timeV  0   

      

 


%" That's why most allow you to narrow the list by choosing one or more "selects." List selects often include gender, age, job title, income, marital status, location, and whether they own or rent their home. For business lists, selects often include business size, number of employees, and SIC code.V ·0! List are typically quoted as a cost per thousand (CPM) names. So if a list has a $50 CPM, it would be $250 to buy 5,000 names. You can expect to pay an additional $5 to $10 per 1,000 names for each select you choose for the customer list. And generally, telephone numbers and email addresses are extra. V V
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 Of course, you should never choose a list simply based on cost. As mentioned above, a more expensive list may bring you a higher response, and other variables come into play as well. So in Part 2, we'll talk about how to rent a good list. Copywriter and marketing strategist Tracy Needham publishes Compelling Marketing weekly ezine with proven marketing strategies, tools, and resources to help small business owners and solopreneurs make the best use of your time and money. Get your FREE tips now at www.CompellingEzine.com.

© 2009 Compelling Communications, LLC. All Rights Reserved.V

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' (   For a business to be unethical, it¶s as if they¶ve given up living! They me be unethical because they think it saves them money. Not a chance! This is only a fatal mistake. Do not make promises you can¶t keep. Ever! For instance, don¶t promise that you¶ll have a catering order to a company within a half hour if you can¶t deliver it. Explain why you can¶t deliver something so quickly and everyone usually will respond with an understanding calm. Letting people know facts is so much better than breaking a promise.

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' &
!    Most marketing authorities will not say that one of the most important factors in running a professional operation is your employees. But I will. So ask yourself the following simple questions. ñ Are my employees dressed appropriately? Most restaurants have a standard that must be followed. ñ How would I feel if I saw them in tomorrow¶s paper wearing what they have on now claiming to work for my restaurant? ñ Are my employees polite? ñ Do they smile? A smile is so simple, yet so powerful. It shows that you consider your guest to be human, not nameless and it says that your guest is special. It says you are personally interested and most of all, it makes the guest feel good. They feel that you are a friend. People just love to buy from friends. ñ Do my employees understand my restaurant business?

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' / $   It¶s hard to believe, but most business people think their obligation is over once the sale has been made. Smart business folks, however, understand at least in part the great value potential of each guest. Guests want to keep in touch with their favorite restaurants and know what¶s happening. To develop such a relationship, follow-up should continue on a regular basis, using several varied opportunities such as thank you notes or Guest/ Business Appreciation Days (see Marketing Exhibits Manual for more info on both of these). How can my potential guests know that I run a professional restaurant business? Surely you have to do everything described above, but one other possible way to increase trust with anyone who visits your store is to display picture frames that contain testimonials, photos, and/or letters, from pleased guests. You want your potential guests to be confident that your restaurant is THE place to dine! When these potential guests see others raving about their satisfaction with your restaurant, it is going to boost their confidence level, assuring them that they will be making a wise choice buying from you. So get to it. Collect letters, testimonials, etc. Put them in 8x10 inch frames and place them in locations around your restaurant, where guests will be sure to notice and read them. It makes good business sense to run a professional restaurant business.

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