Why Size Doesn’t Matter While Evolving The Restaurant Business
The expanding reach of digitalization is affecting the restaurant industry. The old dining culture is diminishing as online food delivery and other alluring food offers are replacing the physical dining experience. The millennials are the main proponents of this change; the shift is stirring the restaurants and begetting the restaurants owners to acclimatize changes faster.
Causes Of The Diminishing Dine Out Trend
The introduction of the internet has formed a fortified connection between customers and entrepreneurs. Now, entrepreneurs can communicate with customers and offer their services without splurging much on the operational cost. As a result, small restaurants have emerged in the market and are successfully competing against big restaurants.
Chief strands which are diminishing big restaurants and outrunning them are:
- Emergence Of Digitalization
Savouring food of the restaurants is easily available at the doorstep now. Popular food-ordering virtual platforms namely, Zomato, Uber Eats, Swiggy and Food Panda offer customized services to the consumers. So, the consumers get delicious restaurant dishes at discounted rates on the virtual platforms.
This intervention has outdated the spaciousness factor, which was an imperative component, in the restaurant. At present, small as well as big restaurants can offer their food services on the platforms and in turn, earn revenue without expanding the size of the restaurant.
- Lesser Price And Time
The emerging quick service restaurants purvey food at cheaper rates and lesser time. Further, the restaurants have less dining space which begets customers to take away the food. A report by KPMG states, Growing at a CAGR of 7.7 per cent from 2013, the NRAI estimates the Indian food services market to stand at INR3, 091.1 billion in 2016. The market is expected to expand at a CAGR of 10 per cent during 2016 to 21, to reach a value of INR4, 981.3 billion.
How Should The Restaurant Evolve Space And Service?
Owing to the growing competition, restaurants need to adopt new ways to withhold their position in the changing times. If the physicality of the restaurant is overlooked by the customers, then the restaurant should make use of space to allure customers. Further, the restaurants should actively work on promoting the brand.
Primarily, customer anticipation and space are two key areas where in the restaurants should work to augment their performance. The right strategies that should be employed for augmenting the key factors are:
- Recreate The Space
Aside from experimenting with space element, the restaurant owner should put customers needs and anticipations in consideration and subsequently, alter the space. Prioritizing customers certainly poses challenges in the progress; though, the restaurant may ascertain a way without compromising its benchmarks.
The unrequired space should be optimized and offer a pleasant experience to the customers. First of all, customers value experience rather than considering secondary factors. So, create a positive ambience and give customers an ecstatic feel.
- Create Memorable Moments For Customers
To make ones own mark, every brand purveys specialized services to the customers. In this manner, brands leave their trace on customers mind and become renowned for the specialities that they possess.
Similarly, restaurants should also create impression on the customers which affect the over-all customer rapport. For ascertaining this trait, the restaurant owners should observe and even, interrogate customers as to what memorable moment customers cherish. After corresponding with the customers, the restaurant owners should strive to maximize those experiences.
Employ these strategies to evolve the restaurants. Further, redefine the self-created fundamentals and optimize the unused resources in a possible manner.
