What foodservice industry segment has been most affected by economic woes? According to MSN Money, it is premium food marketers in the casual-dining segment.
Casual-dining restaurants are in foodservice limbo – when people are forced to be frugal, they’d rather spend less and eat at a fast food chain. People are trading down and the quick-service industry is benefitting. On the other end, upscale restaurants have seen a decline, but not to the scale of the casual market since their total volume is less.
MSN lists the following casual-dining chains as the 10 fastest-shrinking in the restaurant industry:
Bertucci’s Brick Oven Pizzeria
Smitty’s
It’s situations like this that call for strengthened marketing efforts to maintain brand awareness and build on customer loyalty.
Finding the right “extra value proposition” that’s true to your brand or concept and one that your audience will respond well to is key. Take a look at your target customer and approach your marketing efforts with a clear understanding of what appeals to them. Is a frequent diner program a better option to reward their loyalty or do you want to build your customer base with a coupon that anyone can use? Does a reduced price menu section that features key components of your offerings present a better way to build traffic versus a “take $3 off any entrée” offer?
A strong marketing strategy may be what determines which casual-dining restaurants ride out the economic swing and which don’t.
Labels: casual dining, marketing premium food, MSN, Premium Food, restaurant trends, Stephan & Brady
