From the outside looking in, owning and running a restaurant can seem like a fun time. How hard can it be, right? Wrong.
A lot of the time, the odds are stacked against new and current restaurateurs.
- Nearly 60% of new restaurants will fail within their first 3 years, 80% will close within their first 5.
- The restaurant turnover rate is incredibly high (73%) when compared to all private sector workers (46%).
- According to restaurateurs in the our network, the average number of hours worked by restaurateurs that are just getting started ranges between 60-80 per week (and sometimes more).
Good thing it’s not all bad news!
Every industry faces challenges, but they also experience a lot of success too. Take a look at restaurants like Eleven Madison Park in New York, Dessert Lady and Buna’s Kitchen in Toronto, and The Purple Pig in Chicago, all of which who have not just successfully made it past the 5-year mark, but continue to thrive
Let’s look at some promising industry statistics.
- In 1955, the restaurant industry comprised 25% of the family food dollar. In 2017, that number rose to 48%.
- 89% of restaurateurs were optimistic for their sales in 2018.
- In 2017, QSR sales saw a nominal growth of 5.3% and FSR sales saw a nominal growth of 3.5%.
- 51% of diners go out to eat more than once a week.
- 61% of adults say they would rather spend money on an experience, such as a restaurant or other activity, compared to purchasing an item from a store.
Running a restaurant may feel like an uphill battle, but those who are passionate about what they do, and understand how to tackle the challenges that come their way, are sure to succeed. It’s also important to understand that running a successful restaurant isn’t only about guests exiting your doors with a smile on their face.
There’s a lot to consider as a restaurateur, including:
- Designing your physical space
- Customer service
- Menu design
- Implementing tech to improve efficiency
- Minimizing your carbon footprint
- Social media marketing
This list goes on.
All in all, running a restaurant takes a lot of preparation, organization, knowledge, know-how, hard work and so much more. From ideation to actually running a restaurant, there’s a lot to consider and learn.
The Ultimate Guide to Running a Restaurant brings together the best expert advice, tips, and guides from our extensive network.
This guide will provide you with the tools and knowledge you need to succeed as a restaurateur, from pre-launch to running your establishment.
For now, start off right with the knowledge you need to propel your restaurant's growth!
Keep an eye out for more posts on this guide, and check out our blog for all the insights - with resources for Chefs, Operations Managers, and Distributors.