With so many key performance indicators to choose from, it can be difficult to select the ones that are most important for your business. If you're a restaurant, however, there are several KPIs that should have your focus this year. These KPIs can help you determine your restaurant's overall success and make it easier for you to reach your goals for 2018.
KPI #1: Dwell Time
How long are your customers actually staying in the restaurant once they sit down for a meal? Are they taking the time to engage in conversation, sitting back over appetizers, desserts, and a full meal, or are they hurrying through their meals and rushing out the door? By noting dwell time, you can determine what factors are likely to lead customers to stay longer. The longer customers stay, the more they're likely to order: tacking on extra drinks, desserts, coffees, and more at the end of their stay.
KPI #2: Add-On Items
When people come into your restaurant, are they just coming for the main dishes, or are they attracted by your incredible appetizers and amazing desserts? A fantastic dessert menu can go a long way toward adding to each customer's individual value--but only if they opt to purchase. Are your servers going that extra mile to upsell add-ons? Are they encouraging customers to check out their favorite desserts in a manner that's described as friendly, not pushy? Keep track of how your add-on items are moving to improve your sales.
KPI #3: Churn Rate
Do you have a great customer base filled with customers who come into your restaurant on a regular basis, or do you tend to get customers who only come in once or twice, then never return to your business? Keep a close eye on your churn rate. While it's normal to have guests who only come by once in a while, you should also have a strong customer base filled with individuals who come into your restaurant regularly. If you suddenly have an influx of new customers or you're struggling as old customers stop coming back, that should tell you something about the status of your business, leading you to react accordingly.
KPI #4: Advertising Response Rate
When you run advertisements for your restaurant, how do customers respond? Which types of advertisements are most likely to bring in customers, from familiar faces to new visitors? Take the time to carefully evaluate advertising response rates on a regular basis to help better direct your marketing dollars into the areas that are most effective for your restaurant.
KPI #5: Repeat Sales
What does it take to bring customers back to your restaurant? When a new customer comes in, are they enchanted by the atmosphere and impressed by your customer service, or do they leave with no intention of ever returning? In most areas, customers have more than enough restaurants to choose from. You need to keep careful track of your repeat sales--and if you fail to bring in those repeat customers, you should carefully consider what changes need to be made in order to increase your repeat sales and make your customers happier.
Many of the key performance indicators that are most important for your restaurant can be tracked through Wi-Fi marketing and analytics tools. With these tools, you can keep track of the customers coming into your business: which ones come regularly, which ones have suddenly stopped appearing, and even what advertisements were most likely to attract your customers. By carefully tracking these KPIs through Wi-Fi analytics, you can develop more effective marketing and other methods that will help keep your customers and make them more satisfied with the service they receive at your restaurant.