Skip to main content

Why do restaurants fail?

Have you ever wondered why there are hundreds of new restaurants popping up every month but only a few of them manage to escape failure? A survey conducted by Economic times states that more than 50% of restaurants fail in the first year of establishment. Let us look at the reasons behind such an alarming rate of failures.



  1. Poor Management: First-time restaurateurs are usually inexperienced and do not properly plan their operations and financials. Being over-optimistic can also slowly lead to failure.
  2. Improper location: Choosing a suitable and profitable location is vital for restaurant success. Usually, owners don’t take expert advice while fixing a location.
  3. Lack of marketing: This is the most overlooked factor. It has been proven that customers can be influenced by good advertising and marketing, not only in the food sector but almost all sectors. Investing some money into marketing is essential. Read more about how marketing can boost restaurant sales at https://medium.com/selectdine/how-marketing-can-help-in-promoting-franchise-business-6a83505e049c.
  4. Poor Customer service: I can’t stress on this point enough! Customers are why restaurants exist, and providing them with good service is the basic duty of the restaurant.
  5. No owner’s involvement: Owner’s who leave the restaurants with managers or staff are the ones whose restaurants face failure and start plummeting in the initial months itself.
  6. Staff not trained: Staff in restaurants need to know what exactly their responsibility is and should perform skillfully. Untrained or ill-trained staff are equivalent to a restaurant without staff.
Avoid failing by taking help from the right people. SelectDine is your best friend on your journey to a successful restaurant!

Comments

Popular posts from this blog

Interior Design Plans for Restaurant

Whether you are  starting a new restaurant  or planning to  take a franchise , part of what you have to do will be to come up with plans for the interiors (the complete guide on how to setup/start your restaurant can be viewed in  this article ). This includes electrical, water, lighting, kitchen, dining area, plans for the restaurant. If you are stuck with the nuances of what these plans are about, this article will clear your confusions. Generally, you will need these plans to setup a new restaurant: Electrical Plan: An electrical plan consists of technical drawings (shows information about power, plug point, wire setup etc.) made by an engineer for the workers to comprehend and install the electrical systems on the job. An electrical plan would look like this. Water Plan:  water plan highlights the piping and draining systems for the restaurant. Some plans also indicate cold and hot water supply in their plans. A water plan would look like this Lighting Plan: A

10 Fun Facts About Cleaning Franchises

Cleaning services are a dynamic, in-demand service that has grown consistently in the US. It includes commercial and residential cleaning along with specialty services like bio-hazardous materials removal, mobile car detailers, and dry cleaners. Be ready to sell. While many people use cleaning services, client turnover can be high (as high as 55% each year). Since a well-done job gets few kudos, a company is only as good as its last job. Which means the sales job never ends, and good quality counts. Consistently good service combined with diligent sales will contribute to revenue growth. Commercial office cleaning is the largest segment of the cleaning industry, employing 40% of all janitors and cleaners. And because residential cleaning services are more negatively impacted by an economic downturn, the jobs and companies that are focused on commercial work are more stable. People may choose to clean their own homes in tough financial times, but commercial spaces will nearly a

Own Chai Sutta Bar in 15 lakhs

Chai Sutta Bar is a premium brand which is currently franchising in India. Chai Sutta Bar headquartered in Indore was established in 2016 and since then operates twenty-six outlets across India.Chai Sutta Bar has various types of outlets that you can open if you choose to invest, which includes both sit-down and quick service models. The brand additionally offers operating manuals, expert guidance from head office, billing systems, and on-field assistance for the franchisee. Offering a high profit margin at a low investment cost along with excellent support, you can own a Chai Sutta Bar in 15 lakhs, should you choose to invest. To know more about this brand’s investment details, visit our website to know more .