Typesnofnrestaurants 406410d9f2e05e5

Chapter 2
Restaurants
and Their
Owners
Courtesy of Sysco
The Restaurant: From Concept to Operation, 7th Edition 1

Copyright © 2014 by John Wiley & Sons, Inc. All rights reserved.
Kinds and Characteristics of Restaurants
• Segments:
– Chain or independent (indie), and franchise
restaurants
– Quick-service (QSR), sandwich
– Fast/quick casual
– Family
– Casual
– Fine dining
– Other
2
Top 400
segment ratings
Ranking Concept Sales
1 Burgers $102,132,100,000
2 Casual dining $27,152,900,000
3 Sandwiches/bakery-cafe $25,053,200,000
4 Coffee/tea/donuts $19,835,600,000
5 Family dining $14,797,200,000
6 Mexican: Limited service $10,512,100,000
7 Seafood: Full service $6,080,600,000
8 Mexican: Full service $1,706,200,000
3
Chain or Independent
• Chain restaurants
– Some advantages and disadvantages over
independent restaurants
– Advantages include:
• Recognition in the marketplace
• Greater advertising clout
• Sophisticated systems development
• Discounted purchasing
4
Chain or Independent (cont’d.)
• Independent restaurant advantages:

- Relatively easy to open
- Restaurateur can “do their own thing”
- Plenty of room in certain locations
- Buy out by larger companies
- Acquire financing for expansion
5
Franchised Restaurants
• Involves fewer risks:

– Restaurant format has been tested in the marketplace
• Less likely to go belly-up
• Franchisers will need to know if you:
– Share values, mission, ways of doing business
– Have been successful
– Possess motivation to succeed
– Have enough money to purchase and operate
– Have the ability to spend time on franchise
– Training from the bottom up and all areas of the
operation
6
Franchising involves
– Building design
– Menu and marketing plans
– Marketing tested/proven concepts
– Training provided
– Marketing and management support
– Franchising fees, royalty fees, advertising
fees
7
Sandwich Shops
• Characteristics:
– Simple to open and operate
– Little or no cooking required
• Hot and cold sandwiches, soups, and beverages
– Limited kitchen equipment needed
• Examples:
– Jimmy John’s gourmet sandwich shop
– The Sandwich Shop in San Francisco
– Subway
8
Quick-Service
• 1870s: Plate House
– First known quick-service
restaurant
• Served a quick lunch in
about 10 minutes
– Many precook or partially
cook food
– Goal is to serve maximum
number of customers in a
minimum amount of time
– Food is paid for before
service
– Limited menus
Courtesy of Chipotle 9
Pop-Up Restaurants
• Appear only for a few days, with up front
price
• Challenges include ordering the right
amount of food
• Concept started in London and quickly
spread around the world
• People keep track via social media like
Twitter or Facebook
10
Food Trucks
• . • Next step up from
sidewalk food carts
• Elevation of the form-
quality, variety, and
sheer numbers
Courtesy of Baja Boy’s Grill
A Baja Boy’s Mexican Grill food trailer/truck
11
Quick Casual Restaurants
• Defining traits:
– Use of high-quality ingredients
– Fresh made-to-order menu items
– Healthy options
– Limited or self-serving formats
– Upscale décor
– Carry-out meals
– Inclusion of bakery-cafés
12
Family Restaurants
– Grew out of coffee shop-style restaurant
– Frequently located within easy reach of
suburbs
– Informal
• Simple menu
• Service designed to appeal to families
– Some offer wine and beer
• Most offer no alcoholic beverages
13
Casual Restaurants
– Fits societal trend of a
relaxed lifestyle
– Signature food items
– Creative bar menus or
enhanced wine service
– Comfortable, homey
décor
• Examples:
– Applebee’s, Outback,
Chili’s, etc. Courtesy of Chili’s Grill and Bar
14
Fine-Dining Restaurants
– Expensive and leisurely
• Average check of $60 or
more
– Very low table turnover
• Can be less than one an
evening
– Customers: special
occasions and business
– Restaurants are small
• Usually less than 100
seats
• Proprietor- or partner-
owned
Courtesy of Daniel Restaurant
• Rent can be high
15
Hotel Restaurants
• Luxury hotels have restaurants with well
trained, experienced chefs
• Hotel restaurants have elegant décor
• Many hotels have a three meal style
restaurant with 24 hour room service
• Many hotels outsource restaurant
operations
16
Steakhouses
– Limited menu caters to a
well-identified market
(i.e. steak eaters)
– Service ranges from
walk-up to high-end
– High food costs (as high
as 50%)
– Low labor costs (as low
as 12%)
Courtesy of Sysco
– Majority of customers
are men
17
Seafood Restaurants
Red Lobster, the largest seafood chain
• Colonial America restaurant, gains about $2.8 billion worth
– Seafood was a staple food of annual sales.
in the taverns
– Many are independently
operated
– Red Lobster is the largest
chain
• 682 restaurants
– Farm-bred fish
• Changing the cost and
kinds available
Courtesy of Red Lobster
18
Ethnic Restaurants
• Mexican restaurant characteristics:
– Menu is often built around tortillas, ground
beef, cilantro, chilies, rice, and beans
– Relatively inexpensive
– Labor costs are also low
– Menus, décor, and music are often colorful
and exciting
– Menus may include tasty seafood items and
spicy sauces
19
Italian Restaurants
• Characteristics: Romano’s Macaroni Grill
– Largest number of U.S.
ethnic restaurants
– Offer an array of
opportunities
– Owe their origins largely to
poor immigrants from
southern Italy
– Pizza is native to Naples
• Many American soldiers,
during World War II, learned
to enjoy it
– Chain operators are
spreading the pasta
concept (e.g., Olive
Garden) Courtesy of Romano’s Macaroni Grill
20
Asian Restaurants
Panda Express is on a roll – Small percentage of
and looks to grow. restaurants in America
– Historically owned by
hardworking, ethnic
Chinese families
– Cooking revolves around
the wok
• China is divided into culinary
districts: Szechuan, Hunan, and
Cantonese and northern style
centered on Beijing
Courtesy of Sysco
21
Theme Restaurants
– Built around emphasizing fun and fantasy
• Glamorize sports, travel, or eras in time
• Celebrities are central to many
– Comparatively short life cycle
– Do well outside major tourist attractions
• Locals tire of hype when food is poor
• Most profits come from merchandise
– Costs are high
• Capital costs and operations
22
Theme Restaurants (cont’d.)
• Martin M. Pegler: Theme Restaurant
Design
– Theme restaurant categories:
• Hollywood and the movies
• Sports and sporting events
• Time: the good old days
• Records, radio, and television
• Travel: trains, planes, and steamships
• Ecology and the world around us
23
Coffee Shops
– Long part of our culture and history
– Originally created based on Italian bars
– Modified to include wider variety of beverages
• Meet the tastes of consumers
– Chain or independent
– Requirements:
• Good name and location, permits, coffee and
espresso machine, limited kitchen equipment,
tables, chairs, and some decorations
24
Chef-Owned Restaurants
• Characteristics: Wolfgang Puck’s Spago

– Part of American tradition
of family restaurants
• Papa is the chef and mama
is the hostess
– Publicity is key in gaining
attention
• One of the best-known
husband-and-wife culinary
teams is Wolfgang Puck
and Barbara Lazaroff
– Chef-owner should have a
good backup person
• Share in management, food
preparation, and marketing
• Husband-and-wife teams
are subject to divorce
Courtesy of The Beckwith Company
25
Centralized Home Delivery Restaurants
– Reduce costs of order-taking, food
preparation, and accounting
• Marketing costs may not decrease
– Home delivery centers verify and process
credit card information
• Computers used to perform accounting
– Can be done at any location connected to the
Internet, locally or internationally
26

Typesnofnrestaurants 406410d9f2e05e5

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Typesnofnrestaurants 406410d9f2e05e5

Uploaded by

Copyright:

Available Formats

Chapter 2

The Restaurant: From Concept to Operation, 7th Edition 1

• Independent restaurant advantages:

• Involves fewer risks:

Courtesy of Baja Boy’s Grill

A Baja Boy’s Mexican Grill food trailer/truck

• Characteristics: Wolfgang Puck’s Spago

You might also like