Recycling executives from brand to brand and
without a change in strategy may not be the successful solution in 2017. What
was once a successful strategy during the 1980’s, 1990’s, and 2000 recycling
executive simply is not working in 2017.
If you are over 30 you can harken back to your
childhood and remember getting your picture taken on your birthday by someone
holding Camera. If you were to look
around today you noticed that Kodak is nearly out of business (gone as we knew
it) . Growing up in the 1960’s and ‘70’s, every family had a Kodak Camera and I
still have one of mine. Those yellow boxes were everywhere and getting your
very own Kodachrome camera was seemingly a rite of passage, heck, Paul Simon
even wrote a song about it.
As digital cameras gained popularity, Kodak stuck to what they believed. They
sneered at digital’s quality, righteous in their knowledge that Americans would
NEVER give up shiny pictures for their photo albums.
Today, cell phone cameras take most of the pictures
and they are rarely printed. Kodak will shut the doors, correct in their
assertion that professionally developed pictures look better than
low-resolution versions uploaded to Facebook.
Being
dead and correct is not a great strategy. Today chain restaurants are either growing or
dying much the same as Kodak. Simply look at restaurants that filed bankruptcy
of late: Claim Jumper, Mr. Pita, Friendly’s, Chevys,
Sbarro, Perkins, Ruby Tuesday. Ok they are not all dead but they have been far
from the brands they once were.
These are statements frequently heard from legacy
restaurant operators. Like Kodak, crystal clear that what has
always worked will continue to work.
• Our executives have 30 years of experience and know how to run the business.
• We never use coupons, nor do we deliver.
• We don’t allow our brand to wander, we protect our brand.
• We don’t use online ordering, I-pad ordering or voice screen ordering.
• We don’t advertise on Google, Twitter or Facebook.
• We don’t open for breakfast.
• We like the umbrella approach each store different personality but under one
umbrella.
• Video menus and video signage is visceral gimmickry.
• We don’t measure ingredients, we create daily specials and simply show
employees how to make it
• We can’t raise our menu prices.
How did a dominant brand and sector leader like Kodak, in a rock-solid consumer
staple lose everything? Simple, they determined the market, the direction of
that market and took the steps to conquer it.
If that sounds like your restaurant, retail food sector or niche leader,
you better keep reading.
There is little about today’s market, the consumer
or food marketing / promotions that was predictable 3 years ago. In the next
three years the rate of change will continue to increase. So let’s look at the
above list:
Reliability and a comfortable working relationship
is correctly a key to success. However,
if you find your team is blaming the economy, minimum wages increases, cost of
health care and rising food cost for disappointing results. Do not forget that
many restaurants companies are growing both the top and bottom line, number of
units and garnering market share. Are
your customer counts growing? If not it
might be time for Outside Eyes.
We always/never use coupons – coupons and promotions are very complicated
today. Add the online aggregators the ilk of Livingsocial and Groupon and how
can you know what works. Here is the point, what you measure you manage. All
advertising must have an objective that is clear and measurable to insure a
proper marketing ROI. Is stacking food on the plate a tactic that will drive
sales or is it a positioning ploy of the 2005?
Is digital marketing the same as digital ordering? Don’t know?
We don’t deliver – face it, convenience is a driving reason why foodservice is
popular. If you do not want to deliver, consider outsourcing. Delivery is not about you. That’s right it is
about the consumer. Do our have a strategy for dealing with Munchery, AmazonGo,
Wegmans or HEB fresh food delivery? Foodservice
Solutions® does.
We protect the value of our brand and its integrity
for the consumer, our shareholders and stakeholders. We know the consumer is dynamic not static,
but our customer’s comeback because we have a brand promise and they trust in
us to keep that promise. Sounds a lot like Kodak, don’t you think?
We don’t use online ordering our food does not “carry” well. Think about this if you don’t have a way to
connect your menu to computers and mobile devices, your competition will woo
your customers. Consumers are time starved, and hooked on technology, make it
easy.
Five years ago Google or Facebook – as above, set up a Facebook page, it costs
nothing. Have someone help if you need it and then monitor your page 5 minutes
a day. Today there is so much more.
We don’t open for breakfast – you pay rent 24/7, find ways to increase the
utilization of your “factory”. Considering catering or school lunch program,
contract out your kitchen. Don’t become
the next Kodak of chain restaurants. In two years will you have more retail
outlets open or fewer?
Different store brands / personalities under one large corporation and all
expected to operate utilizing a uniform set of metrics. Worked well in the 70’s, 80’s, 90’s but you
have the answer. Let me know just how
well that works out.
Visceral gimmickry does not replace high quality
food and great service ever. Who defines
quality service you by your brand promise or the consumer?
We don’t measure ingredients; my employees know how much to use – why have menu
prices, let customer pay whatever they want. If you don’t care what your
product costs, you CAN’T make money.
We can’t raise our menu prices – tell that to the gas station owner on the
corner, or the farmer growing your food. Costs are up, you must raise your menu
prices or you will not exist. That one we understand is underway.
Kodak management, smart and hard working as they were, did not see the world
changing, fortunately you do. Realize that change is good and necessary. Act
now to challenge your assumption, create new revenue streams and increase
profits. Success does leave clues,
Disney movies leave you with a smile, being dead and correct is not a great
strategy. Do you have a
second act? We think so if actions reflect consumer relevance of today not
yesterday.
Are you
trapped doing what you have always done and doing it the same way? Interested in learning how Foodservice
Solutions 5P’s of
Food Marketing
can edify your retail food brand while creating a platform for consumer convenient
meal participation, differentiation and individualization? Email
us at: Steve@FoodserviceSolutions.us or visit: www.FoodserviceSolutions.us for more
information.
