Is Your Menu Costed?
Is your menu costed?

Hello there! When was the last time you costed out your menu from top to bottom? Have you always done it? Or maybe never done it? For your sake, I hope it’s the first one. Costing your menu, and doing it often, is integral to increasing profit in your restaurant. If you have never done it, you need to get started today. Go right now, I’ll wait.
Good, you did it? I am so happy you got started today. Well, even if you didn’t, you should do it soon. Go through your entire menu. When you cost your menu, you’ll find out so much about your business. You have a handle on costs as well as your profit. With costs rising every day because of inflation, labor and supply chain issues, you need to have a way to control the things you can control.
- Identify high food cost items and find a way to reduce their cost
- Locate low cost/high profit items and find a way to promote them on your menu
- Keep a watchful eye on items that are starting to rise in cost
Look for items that are causing your recipes to spike in cost. I know you don’t want to change the menu but if your food cost percentage is too high, it could be the price on the menu that is holding you back.
Low cost/high profit menu items can provide a great way to improve your profits. Is that garlic bread a popular item? Have some samples out for customers to try. Then they might be inclined to order it when they get to their table. Look for those items that servers can promote when they are taking orders. This will help to subsidize those lower margin items.
As we have seen, the cost of most things is going up. A good restaurateur will be keeping an eye on all of the costs but most importantly, the cost of food. Don’t just let it go. Suppliers want to keep you as a customer. It’s in their best interest to keep you buying from them.
There are a myriad ways to make your menu and your ordering work for you. Work with your supplier but the real responsibility is on you. Costing and standardizing is the best place to start. See you next month.
David Wennerlyn