 Hello Aces, welcome back to module two, lesson 6.1. Today we're going to be talking about how do you craft a winning and profitable menu for you. This is a really, really important lesson because we create a menu, not just that your customers would love, but also allows you to be super profitable. And that's exactly what we're diving into today. In this first half of the lesson, we're going to figure out exactly what your customers are wanting, job to be done. Okay. If you haven't already done so in the last lesson, we talked about what is the job to be done. Make sure that you complete this before moving on to this specific lesson. Otherwise there's no context on what you're doing. Your product offering specifically beside each of your job to be done that you have completed in the last lesson, put down your proposed product offering that fits and that actually accomplishes and solves the problem to be done. What is the item that you would like to offer for each job and function as a response or as a solution to that? Okay. For example, McDonald's, they offered milkshake to fulfill the job to be done, which is something to fill me up during commute. For you, it would be something a little bit different. So in the worksheet down below, download it and start working on it together with this lesson. Complete as much of the product offering as there are for jobs to be done for your ideal customers, helps cover all the bases of the items that you would like to offer. Remember, we don't sell what we want to serve. We sell what our customers are wanting, what they're needing, and that's going to be able to increase the number of sales you get. As an example, if we're offering ice cream, what job does it satisfy for a family of four who's visiting your shop as a treat before they head to the beach versus an Asian couple that's coming over for date night? Because the job is different, the offerings would be different as well. For the first half, which is the family of four, we would be offering chocolate flavored ice cream cone with lots of sprinkles because kids love sprinkles, kids love chocolate, and they can't have any caffeine items and they don't, their taste palates are not as sophisticated, which is why every kid that comes in through our doors or offer or are ordering chocolate ice cream. So if you don't offer chocolate as an item, then that's a big mishap on your part versus an Asian couple whose taste buds are a little bit more sophisticated. They want to have a better experience. They want to have something that's novel. We would be offering them an Instagram friendly smoking matcha flavored ice cream and that's precisely the reason why we're so popular is because we understand who is it that we're serving. Are we serving to families or are we serving to couples? We serve to the millennial couples and that's the reason why it picked up like wildfire. So now it's time to build your winning matrix and it has four different components. We figured out the job to be done. We figured out the offering that you would like to offer them. Now let's figure out the math part. Is it profitable? Is it not profitable? The strategy behind the items that you're serving. Let's figure it out guys. In this winning matrix, there are four different types. There are the stars, the cash cows, the hidden stars, and the skinny cows. What are stars? Stars are highly profitable and highly popular items within your menu. These items are emphasized and should be focused on because you want more and more people to buy it. Aim to have three of these types of items on your menu. Cash cows are low in profitability but they're high in popularity. These are popular items that customers come in all the time again and again for. So for example at McDonald's, one of their cash cows are the cheeseburgers. As much as it's not sexy, it is not fun, but it is a staple item that a lot of people go to McDonald's and purchase. It is high in popularity, but the profitability on that is not that high. Profitability usually is higher on more expensive items like for example their Angus beef burgers, right? That's going to be something that is higher in profitability, but they're not as popular. Next up is that an aim to have five of the cash cows in your menu. You want the volume, you want people to order the stuff again and again and again, but you don't want that higher profitability because you don't want to turn people off. You want to stay competitive. Hidden stars are the high in profitability but low in popularity. A lot of potential for these items when you are able to market it properly, when you can actually repackage these items to make it more popular, then they become more and more popular because you want to be able to have these items that are really high in profitability and change them into something that a lot of people order. You may want to be able to perhaps lower the price a little bit so then it becomes less profitable, so then that way it becomes more popular. But a lot of times what I see as an alternative to making the hidden stars a real solid star is to actually repackage and repurpose these items. So a simple dish of pasta, not much flair to it, might not be as popular as truffled meatball spaghetti. That itself already sounds super, super enticing and in turn becomes something that is going to be high in popularity and high in profitability as well. As I said, you may need to repackage these items, rename them, reintroduce them, placements of the menu. There's a lot of ways to turn these hidden stars into stars for you. Now, we talked about cash cows, now it's time to talk about the skinny cows. These guys are low in profitability and low in popularity as well. Cut these, we don't need the skinny cows. They're just basically exhausting our menu space, exhausting our kitchen space, and it just complicates things. A lot of times when you launch a menu, we want to avoid the skinny cows. However, we wouldn't know until we actually put it out in practice and to actually see the results. And once we see the results, we can always go back and change these. Now, a special star that I'm sharing with you is the shooting star guys. What are shooting stars? Shooting stars are decoys. These are super high valued items, which you're not really meant to sell much of, but these guys would make your stars and your cash cows much more attractive by actually presenting them at a higher price. So as an example with our ice cream, we have a $50 ice cream, a $50 ice cream with goat flakes, with caviar and everything on this. And it's like 50 bucks. We don't, it doesn't taste good, not necessarily. Is it, is it popular? Not at all. But people will order it just for the grand. Not a lot of people order it. And for us, we don't really care much for it. It just puts our stars, our cash cows in comparison, a six buck or $7 ice cream versus a $50 one. Well, it makes the $6 one much more affordable. It makes it much more attractive. And that's the reason why we have these shooting stars in our menu. It's just meant for us to actually as a decoy. Okay. Now it is your turn. Our goal is to craft a menu full of stars and cash cows. At the end of the day, it's going to come with a lot of time, reiteration and revision. Okay. Ongoing process with testing, adjusting and fine tuning for the stars and to grow your cash cows. Okay. It does not happen overnight. The reason why you did your customer avatar, your job to be done, and your product offering worksheets is for this moment guys, is for us to actually understand what is it that they're looking for? Who is it that we're serving? And by us doing all the ground work, now's our time to actually identify the offering, the what is it that we're serving them? And the lesson below, download the worksheet so that way you guys can start working on this. Besides each of the items that you create, you already created for the job to be done and your product offering, list them up, whether they are potential star, potential cash cow, or hidden star, or even a skinny cow. Just write it down. For example, something for your commuters to do and a snack for your commuter. And then we put it down, what are we offering? Milkshake. Milkshake is a cash cow or is it a star? I would say it's more of a cash cow over a star. And that's exactly how you want to be able to craft your menu. Your goal is to have at least 10 items on your menu, three of them are stars, five cash cows and two skinny cows. Okay. And zero hidden stars. The point of this exercise is so that that way you can plan for success. If you don't already plan it, if you don't put this into motion, if you're not aware of what you're creating and intentionally and strategically putting this in your menu, then you just putting stuff on the wall and hoping for things to stick. And oftentimes you'd be running maybe half a year in and not realizing that, Hey, you know what, my menu is not that profitable. I need to increase my prices. And in turn, you actually end up spending more time educating your customers, educating your staff, educating your chefs, changing things up. And that itself creates even more headaches for you in the future if you don't start off on the right foot. You probably don't know where your proposed items fall within the matrix before your launch, which is completely okay. However, it is all about actually going out there and start doing things. Okay. You need to plan for success and keep innovating until you have that perfect matrix. And that's exactly what we did. We keep reiterating, reiterating, take things out, add things in just so that way we can make our menu super profitable. Keep this matrix sheet that you're working on and always come back and revise it. Always come back so then that way you can every time you do your revision or every time you have a new menu item, bring out your customer avatar, bring out the job to be done, bring out this menu matrix. So then you can actually see right in front of you, everything is already done. Follow this as your blueprint as your guide for your launch. What you have learned in this lesson today is how do you craft a winning menu that your customers would want the job to be done and that is profitable so you can merge them together, create a profitable restaurant. Next up, we're going to be talking about the six menu design hacks for your menu. So make sure you guys keep watching. I'll see you guys in the next lesson.