Opening a new restaurant - What are the 9 most common mistakes?

It’s not easy to succeed in the restaurant industry. Many restaurants are forced to close down months after they open, no matter how good their service is.

It’s not easy to succeed in the restaurant industry. Many restaurants are forced to close down months after they open, no matter how good their service is. Others succeed against all odds. There is no recipe for success when it comes to opening a new restaurant but here are the most common mistakes to watch out for:

#1 Not researching the market

It’s important to start with a research of the city you want to open a restaurant in. If you want to open a sushi restaurant, check out the competition. Check out their menu, location and premises. Look into how they attract customers in their restaurant. Do they run specific offers often or do they simply have a good location? Consider how you can compete with them. What you can offer to the guests and how will your restaurant stand out?

#2 Not having an identity

Having a strong identity is an excellent way to attract guests who want to try something new. For example, you can make an authentic sushi restaurant or a modern fusion kitchen. Identify your identity clearly and make sure your interior is carrying out the right vibe.

#3 Not considering the location

Location, location, location .. You want to open a restaurant in a busy part of the city, preferably someone close to other restaurants and cafes. Even though the rent of such places can be expensive, you have much better chances to have full tables all year around. Many restaurants compromise on location to save on rent but struggle to get guests in.

#4 Not hiring the right people

Your staff will be creating the first impression for your restaurant’s guests. Hiring the right people with a positive attitude will ensure your guests’ great experience.

Your chefs’ performance is key to whether your guests come back or not. Choose a head chef who shares your restaurant’s vision and identity and allow them to hire the people they will manage.

#5 Not choosing the right technology

Invest in systems that will make running your restaurant a fun experience. Drowning in administrative and accounting tasks will turn running a restaurant into a dreadful task and will limit you to improve and grow your restaurant business.

The right POS system for restaurants will automate your overall workflow sending orders from the table directly to the bar and kitchen printers. It will save your staff a lot of time and save you hours and hours of accounting time.

Having a staff management system will help you get an overview of your staff - who has a shift when. It will gather all your communication in one place. Most importantly, a staff management system will ensure you are not understaffed, especially on a busy day.

Investing in an mobile ordering system is also a good idea. Some guests may prefer to place their orders on their own. Research shows that when people use online ordering, they often spend more money. The reason for this is because guests have more time to look through the menu and see all the options and upsells they can add to their order.

You can take your online ordering systems to the next level with a loyalty program integration. Loyalty programs are gaining more and more popularity in the restaurant industry as the best way to turn visitors into regulars.

#6 Not investing in marketing

Nowadays, marketing in the restaurant industry shouldn’t be underestimated. People are online all the time. When they are at work, when they are relaxing on the couch, visiting a new city and even when they are sitting at a restaurant.

You have to advertise your restaurant where your guests are. For example, Facebook is a great way to attract new guests. You can create an ad that gives 10% discount when people visit your restaurant or order takeaway. This can increase the number and size of your orders on a daily basis.

#7 Not having a grand opening

You only get one opening and it’s a great opportunity to attract some attention, make sure that people in town notice your business. Organizing an event with discounts on food, free sample plates and drinks will lure a lot of people in your restaurant.

The busier your restaurant is, the more desired dinner spot it will be.

#8 Not having a pricing strategy

Your restaurant menu should not be underestimated. Creating 50 dishes is not the key to success as many people fail to believe. When it comes to menu cards - less is more.

Research shows that limited menu cards give your restaurant a classier feel. In addition, it’s easier for people to make decisions when they have less options. Having a shorter menu list will keep your food waste and special food expenses low.

Remember, you are not just selling a dish. You are selling a service and an experience. So make sure to price your menu accordingly.

#9 Not knowing your costs

So far we have been talking about things that cost money. Investing in your new restaurant is important but you shouldn't lose sight of your budget and spending. It’s important to know your exact budget for every event, activity or new hire.

You need to be realistic about how much your restaurant can earn per week, per month, per season and adapt your expenses. Create a business plan and a budget that match your capital.

How can we help with your new restaurant?

Quickorder offers a full suite of systems that turns running a restaurant into a child’s game. From a modern POS system to a staff management system working together and providing you the optimal overview of your restaurant’s profits and expenses.

We offer a free table booking system to help you get an overview of your restaurant availability and make it easy for your guests to make a reservation in under 30 seconds.

Our online ordering system is completely integrated with the POS system. This means that all online orders are automatically registered in your POS and printed out in your bar and kitchen printers. In addition, the system has proven to increase both order sizes and guest’s loyalty by over 20%.

If you would like to hear more about how we can help your restaurant contact us today!

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