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UNBUNDLING: THE SECRET INGREDIENT TO RESTAURANT SUCCESS

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Fish City Grill. Why go to Italy when Campinello offers. authentic Italian food in an authentic Italian. atmosphere? Casual Gourmet. Applebees ...

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UNBUNDLING: THE SECRET INGREDIENT TO RESTAURANT SUCCESSPage 1 2007 Leo J. Shapiro & Associates L.L.C February 7 2007 UNBUNDLING: THE SECRET INGREDIENT TORESTAURANT SUCCESS___________________________________ _____________________________ A recent LJS Food Research Institutes national consumer survey suggests that unbundling paring away unwanted ambience and service but not skimping on food quality is a recipe for restaurant success.Decades ago the McDonald brothers stripped down their menu to easytoprepare finger food in order to lower costs. Ray Kroc perfected the unbundling of burgers and fries from the usual costs of running a restaurant (table service dishwashing etc.) and sparked the fastfood revolution. Fifty years later diners still like the idea of not having to pay more for amenities they dont want but the food had still better be good.WHAT ARE DINERS TELLING THE LEO J. SHAPIRO & ASSOCIATES FOOD RESEARCH INSTITUTE TODAY? The latest research by the Leo J. Shapiro Food Research Institute finds that diners are patronizing restaurants that allow them to enjoy upscale food in a setting that doesnt require paying upscale prices. Diners are also embracing the trend at quickserve restaurants of serving better coffee salads gourmet sandwiches and other more healthful fare without having to pay up for attentive service and fancier dcor. Our survey says: More than half (54%) of consumers name a casual restaurants such as Red Lobster Applebees Olive Garden and Chilis as the place where they eat out most often. What it means: Casual restaurants occupy a goldilocks position in the space between quickserve and gourmet restaurants a space left barren as quickserve restaurants put greasy spoon restaurants and fiveanddime lunch counters out of business. Only 7% of consumers name a gourmet restaurant as the place they eat out most often. 24% say they eat out most often at a quickserve restaurant. What it means: Price is the biggest obstacle to more mainstream gour ...

Source: www.ljs.com

 

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