MENU DESIGN AND ENGINEERING
HTF552
Chapter 1
Know Your Customer
Aliffaizi Arsat
[email protected]
LECTURE OUTLINE
Introduction
Demographics
Age Groups
Ethnic Origins
Education, Occupation and Income
Popularity Polls
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INTRODUCTION
One of the most important aspects of menu planning is
determining and defining the customer
The location of a restaurant – determines who will patronize it
People stay close to (a three-mile radius / ab. 8km) their homes
or places of work when dining out.
Important to know who resides or works within this area
Menu caters to customers in that particular area
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DEMOGRAPHICS
The study of location and potential customer is known as demographics.
The statistical data of a population showing average
age, income, education, etc
Two (2) factors must be evaluated: Four (4) sources of information:
Demographic study itself – 1. Feasibility studies
identifying the customer
in our market
2. Demographic surveys
Matching of these customers, 3. Psychographic studies
along with their needs and
preferences, to the proper menu
4. Personal knowledge
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DEMOGRAPHICS
1. Feasibility Studies
Definition: A creative, objective and rational process whereby
marketing and financial data are collected and analyzed
Attempts to predict with reasonable accuracy whether or not a
potential business will succeed or fail. Explore every variables
Important to menu planner
Demographics Competition
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DEMOGRAPHICS
2. Demographic Surveys
Demographic studies list the Restaurant expenditures
general population by: breakdown by category:
• Age group • Fast food
• Median age • Coffee shop
• Ethnic origins
• Fine dining, etc.
• Household type
• Marital status
• Occupation
• Education
• Housing
• Income
• No. of vehicles
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DEMOGRAPHICS
3. Psychographic Studies
Data referred to as VALS -preferences of population studied
Values Attitudes Lifestyles
How frequently How daring or traditional
they dine out? a groups is ?
Reveal
information
such as
Habits with regard to
How much they recreational, educational and
spend on average? cultural activities
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DEMOGRAPHICS
4. Personal Knowledge
Personal knowledge, even a feeling, for an area
Failure of a restaurant business is due to:-
Wrong menu listings Not knowledgeable management
Lack of working capital Poor service
Selling prices Poor quality
Dirty operation
The restaurant business comprises many details, each one affecting
overall performance. But it all starts with the menu.
A personal feel for the market is an important tool if used properly.
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DEMOGRAPHICS
Competition
Definition: In broad sense is any business that sells food
Strict sense- competition includes any foodservice that sells a similar
product at a price similar to your operation’s
Two types of competition:
Direct competition-other
Indirect competition- supermarket
restaurants
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DEMOGRAPHICS
Competition
Competition is healthy.
It promotes:
A good price-value relationship
Excellent service
A quality product
In a competitive market, businesses are forced to excel in order to succeed
A market can support only a given number of similar operations
The maximum numbers of competing business are operating in a market,
the situation is known as market saturation
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DEMOGRAPHICS
Competition
Market saturation is unhealthy to get into as number of available
customers spread is so thin. Personal knowledge is important.
Turning a problem into an opportunity.
Analysis of demographic study necessary for matching customers with
their needs and generalizations based on observation and experience.
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DEMOGRAPHICS
Putting Them Together
Best possible benefit: demographic and psychographic data
used in combination
Age Groups
Vital to proper menu selection. Age groups are bracketed as
follows:
Children Teens Young adults
Middle-aged adults Hashim Fadzil Ariffin Older adults 12
AGE GROUPS
Children
Influence and often dictate the decision as
to where a family will dine out
Heavily influenced by television, both
in advertising and programming
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AGE GROUPS
Children
Menu writer is torn between 2 sets of criteria:
1 Parents want their children to have a well-balanced meal
2 Children tend to opt for high fat, high-sugar,
high calorie food
Both parents (paying for the experience) and children
(influence the decision) must be satisfied. The experience
must be enjoyable for both.
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AGE GROUPS
Children
Both parents (paying for the experience) and children (influence
the decision) must be satisfied. The experience must be enjoyable
for both
Can cater to children by:
1 Special menus
2 Prizes
3 Clean-plate clubs
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AGE GROUPS
Teenagers
Pose special problems of their own
On one hand, they still cling to their childhood
eating habits; on the other hand, they are
beginning to mature into adulthood
Refining their tastes & requiring a nutritionally
balanced diet
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AGE GROUPS
Teenagers (Cont’)
Considered as two (2) separate market:
As part of family unit that is dining out. More nutritionally
1 oriented-result of parents coercion than independent choice
2 As a marketing of their own- revert to junk food syndrome
Large market with more disposable income
Portion sizes
Offer petite or small-appetite meals for teenagers & senior citizens
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AGE GROUPS
Young Adults
In the 25 – to 34 – year old age group.
Singles
Three (3) divisions: Couples with no children
Families
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AGE GROUPS
Young Adults (Cont’)
Overall, they are;
Health conscious Choosing vegetarian menus in
addition to traditional
Concerned about physical Affinity for burgers &
fitness- consequently about “junk foods”
lighter, healthier and more
natural food Trendy
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AGE GROUPS
Young Adults (Cont’)
Single Young married couples
have more disposable income Both partners are working – high
disposable income – large portion
do not cook, eat out more on eating out.
Purchasing a home – smaller
not as concerned with price amount for eating out. Price
conscious
restaurant needs to be trendy with
appropriate décor & fun
Raising a family – price conscious
menu offers variety that reflect & restaurants catering to children
theme & decor & families become very attractive.
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AGE GROUPS
Middle-aged
Patrons from 35 – 54
Traditional in its menu selection, fairly sophisticated tastes, prefers fully
flavoured foods.
Patrons from 18 – 49 – preference for hamburgers & sandwiches & more
likely to eat out for lunch.
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AGE GROUPS
Middle-aged (Cont’)
Preferences for seafood, chicken, pasta entrée items & baked items
Strong desire for upscale treatments of “retro” or comfort foods
Mainstream and some non-mainstream ethnic cuisine – very
popular
Willing to try unfamiliar foods
Overall – strong preferences for familiar cuisines
Family dines out – price is a factor
Special occasions – price is less of a factor
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AGE GROUPS
Matures
Patrons aged 55 to 75
Prefers smaller portion Prior to retirement – price is less
of a factor
Balanced meal
After retirement – price becomes
Familiar food more important
Predominant mainstream ethnic
Coffee shops & cafeterias cuisine – very popular
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ETHNIC ORIGINS
Many members of ethnic groups do not partake exclusively basic foods
of their native land.
Stereotyping is a dangerous thing. Dietary needs of special
groups e.g. Jews, Muslims, Hindus, Buddhists & persons
from certain geographical areas
Important to note that particular foods appeal to certain
ethnic groups most of the time; this is not to suggest that
this holds true all the time.
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EDUCATION, OCCUPATION &
INCOME
They are tied together – to influence each other.
Education & occupation play a minor role. Income key
factor – affordability for the market, specifically disposable
income.
Disposable income is that part of earnings & investment
income left over after basic needs have been met.
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POPULARITY POLLS
Available disposable income. Two (2) things happen:
1. People tend to eat
2. They tend to trade up
out more often
Available listings that are popular with restaurant-going population as a
whole.
Concerned with trends within a demographic area. Items altered to gain
customer acceptance.
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POPULARITY POLLS
Recognize the difference between fads & trends.
A fad is an idea that comes and
goes quickly. Following fads costs
Trends stay around for a while &
money
many times become the norm.
following trends can make
money. Aware of trends, do not
overreact. Avoid embracing the
trend completely
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