Are You Redesigning Your Menu the Right Way?
How confident are you in your approach for redesigning your menu? New research from Paytronix Systems, a provider of loyalty and guest engagement software, reveals that traditional approaches of examining overall sales data to identify how each menu item is performing may not be sufficient, according to its data insights team.
Instead, restaurant operators should pay closer attention to metrics such as purchase frequency and consider other factors as well — such as the performance of guests who buy particular items and the personas attached with your best sellers — to engineer a more effective menu.
Brands need to determine which menu items have the best chance of encouraging return visits. That’s because eliminating the menu items that might be low sellers can negatively impact your business. According to Paytronix data, low-selling item often actually are guest favorites that foster return trips.
What’s more, the Paytronix report explores how the most critical step in consumers’ relationship with a brand is their second purchase. Getting guests back into your restaurants or stores goes a long way towards earning their continued loyalty. What can you do to ensure they come back? Any advantage a brand can take to prompt a second visit will help establish sustainable guest loyalty, and correlations between purchases and return visits is a good start.
The Paytronix Research Brief studied customers’ menu data, purchase behavior, loyalty and more, to find out which menu items have the highest likelihood of prompting return visits. High frequency, medium frequency and low frequency guests and purchases all behave differently from one another. Using information that pertains to each level in marketing campaigns can extract the most value from each segment. Paytronix Data Insights analysts compared menu items that each frequency group buys, as well as repurchase rates. This new report identifies the data trends that drive low frequency guests to come back for a future visit.