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Menu Profit Analysis

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Uploaded by on Nov 11, 2008

http://ProfitableHospitality.com/ presents an easy explanation of Menu Engineering. The Menu Profit Analyser works out the profitability and popularity of menu items, and places them on a graph. This way, it's easy to see the strengths and weaknesses of your menu.

Download this powerful spreadsheet tool from the website.

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Uploader Comments (RestaurantProfits)

  • Thanks for the response Ricardo. Totally agree about the need to manage the mistakes and bad work in the kitchen - they make a big impact on COGS.

    There's a lot that CAN be done to influence the sales of more profitable items. First, identify them, then carefully place them according to the well-proven design guidelines. The menu is not a price list, but a sales document that needs careful construction and layout.

  • Thanks Kurt - I agree, it would be nice to have a magic wand to increase item sales.

    Regarding labour costs, I prefer to analyse that separately as working out a precise labour component for each dish can be difficult eg if chef has 4 things cooking on the stove, how many minutes do we allocate to each when they're being done simultaneously? You can of course include a cooking-minutes 'ingredient' in the recipe, but I find it better to analyse this separately.

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  • Slick little layout here. I like the graph a lot. I'll be using it.

  • Really? In reality you just can't say oh, lets say we sell more of this and more of that and oh...look our food costs drop and our profit increases...In real life it works quite different, like screw ups by line cooks, waste, spoilage, trimmings, etc...a customer knows what they want because they come to your establishment and if your menu is layed out landscape and folders then your theory does not apply...anyone including bankers can punch in numbers and say ya, you'll do ok or not when in ac

  • excelent

  • Umm... if it only was that easy to just "increase" the sales of an item...

    Also, you state the food cost being "what it costs to make the item"... but I'm pretty sure you only factored in the ingredient costs here. What about the labour cost? It probably isn't as easy to track, but if your staff spends a certain amount of minutes on each dish, shouldn't the cost for that be factored into the "cost to make the item" as well?

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