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How to calculate if it is profitable marketing strategy for your restaurant

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Restaurants increasingly rely on designing an online marketing strategy to attract and capture new customers. Nevertheless, the main mistake many of them is not an analysis of the results, making it difficult to calculate profitability of the actions that are taking place in digital environments.

In fact, in a survey by Rebeldes Marketing Online a 512 Business, near to 90% ignores the ratio of ROI (Return of investment) budget spent on Internet. This prevents them know exactly where they come from sales, and detect those marketing activities that are working and not.

Thus, then we will share an explanation of what needs to be done to find out if financially compensates strategy being followed, and if that investment is translating into increased clientele, average ticket, income or improving the online reputation of our brand.

KING, the metric basis for calculating profitability

The way in which a restaurant design a basic marketing plan is not essentially different from any other business. From the first moment we analyze the ROI or Return on Investment, for know what response we obtained after executing a specific marketing action. So we know if it was worth it and the impact it has made in our community of followers.

Fortunately, we have several mechanisms to find out if a digital strategy for restaurants it has been effective or not.

He KING (return on investment) It is one of the metrics used to calculate the profitability of a plan marketing. The way to calculate it is very simple. A potential benefit is subtracted from the cost of the campaign and the result is divided by the investment we have made. The resulting figure is a percentage.

Suppose you invest € 500 advertising. And that campaign provides a profit of € 1500. The final ROI is the 2%. That means that every euro invested in advertising, it has generated two euros profit. If the percentage emitting operation is positive, the resulting campaign will be profitable. And, Conversely, the result would have been negative, This would mean you're missing money.

Nevertheless, this fact only provides an overview of how the campaign has gone. It is a global result, and therefore, says nothing about each of the measures undertaken or success they have had separate actions. So we can calculate the ROI of each of our actions and get them where we are generating higher returns.

Finding the means to make a profitable marketing campaign

Another thing to be saturating, is in the meaning and direction to take our strategy. In the end, their usefulness lies in mitigating the weaknesses and reinforce the strengths of our business.

The return on a marketing plan is reached, sometimes, from means rather than from other. Not all will be equally effective, since each is tailored to certain conditions and possibilities. The expression “the food enters the eye” It is very popular, and so, one of the digital channels in which higher profitability is achieved in the marketing of restaurants is Instagram, the social network photographic excellence.

In fact, It has even created a phenomenon that has been called #foodporn, consisting of upload to Instagram photographs of the best dishes from a restaurant for fans dare to try. Among the possibilities that exist in social networks, This is perhaps one of the most simple and effective strategies.

Hit with the middle and track campaign

Since there are so many possibilities when carrying out actions marketing for restaurants, it can be somewhat complicated understand what investments you are collecting benefits and which are not springing effect.

For the expected effectiveness with every action that takes place within a particular campaign, this It must make sense and relation to the type of restaurant that organizes. That and from the outset, will articulate all necessary mechanisms and allow us correctly measure the profitability of our strategy.

further, it is necessary track it. We will use the metrics we have discussed in this article and allow us to get a clear view on whether the campaign is proving profitable or not.

These restaurants offer the opportunity to measure the effectiveness of their campaigns and take this form objective decisions with greater confidence to hit. For example, if I'm doing the same sales thanks to a Facebook campaign with another for Twitter, but I've spent more on Twitter, We will be getting a much higher return thanks to Facebook, with what will strengthen our actions in the latter social channel.

He ROI is a quantitative variable that tells us how much investment has cost us a sale. Nevertheless, not all online marketing actions carried out by a restaurant are focused on sale. On other occasions, perhaps we agree to launch a brand launch campaign even knowing that the return will be negative. In this case, naturally, the aim will be improve branding, the perception the public has of our brand and not get an immediate sales.

How to calculate if it is profitable marketing strategy for your restaurant
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Article by the editorial team of DiegoCoquillat.com. It has professionals both in the field of hospitality, gastronomy and tourism, and new technologies and innovation.

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