Identifying insights – Areas data will give your business competitive advantage

Data is a gold mine of insights, which can dramatically add value to your business across the board and give a significant competitive advantage. But how is it that most businesses fail to use their own data (sales, reviews, etc) and miss out on the opportunity to gain insights, make better decisions and ultimately grow?

The aim of this article is to show you that clear data will always triumph over ‘gut’ led decision making. Businesses that use their data properly will always have a competitive edge as they can react faster, forecast better and gain real insight about their business activity.

Here are four benefits of using data in your business.

  1. Use social data to increase sales
 

Did you know that one star social media rating has been shown to drive 7% of additional revenue? By continuously monitoring the data from customer reviews on social sites like Yelp, Google Places, Facebook, Tripadvisor, getting alerted of bad reviews and reacting quickly, you will have a direct impact on sales.

Furthermore, focus on using your social data to raise your customer loyalty and engage more new customers instantly.

2. Use data to reduce your COGS

Data can add value by helping you accurately forecast your future sales. By analysing many factors such as weather, events and past sales performance it is possible to get an accurate forecast which in turn can help you adjust staffing levels, optimise opening hours and reduce wastage.

3. Data will highlight your top staff performers

In hospitality, there is a massive variability in staff performance — 150% variability in check size dependent on employee and a staggering 800% in speed of service. Analysing transactional data can help identify the top performers, ensuring that the best staff are scheduled at the right place at the right time.

4. Data will train better staff

By showing your front line team members data on average customer spend and speed of service you can train staff to perform to a higher level. Data analytics can help you give employees real time feedback on their performance. Furthermore, incentivising staff to outperform the benchmark, will increase sales.

In conclusion, the more data you collect from customers, from your sales and from your employees, the more actionable insights you will receive, which will significantly add value to your business. Developing a data analytics capability by using the best tools such as Tenzo is essential.

Tenzo is a platform that gives hospitality and retail businesses actionable insights from their real time data.

The power of data in restaurant chains

Managing a chain of restaurants is very challenging, and in order to get the best results the team in each restaurant needs to have access to the right information in order to make the right decisions.

This is becoming ever more complex as restaurants are collecting an increasingly large amount of data.

In this article we will set out how technologies that have been available to Google and Amazon are now set to revolutionize the restaurant industry.

We see the approach in 3 key steps:

1)Data collection: you must gathering data from all facets of your business. We like to break it down as follows:

  • “In-store” data e.g., POS, inventory, employee data
  • “Near-store” data e.g., social media reviews and other 3rd party content
  • “External data” e.g., weather, traffic etc.

2)Insight generation: then turning the data into actionable insights — here it’s important that the steps taken by each staff member must be clear, and ideally you can quantify the result

3)Insight delivery: finally , you must deliver them to the right person (e.g. a store manager) without having to wait for the insight to be passed down the management chain.

You need to ensure ease of access to relevant and reliable information, while decentralizing decision making ability away from the boardroom, or headquarters.

These insights will drive decision-making and and help better manage restaurant chains. Actually, the faster and more accurately you can access and review information about your restaurant, the better you can manage, control and improve your operation.

The use of big data in your chain should increase your productivity and maximize your marketing ROI. For example, based on the analysis of your sales you could adjust staffing and procurement levels based on demand or you could reduce food cost by reducing wastage. With the collection of data from social media and review sites you are able to see how well your sites and staff are performing.

Here are five ways you can get value from your data:

  • Raise customer satisfaction to drive additional traffic

Improve your overall customer reviews and get alerted of bad reviews immediately, so they can be actioned in real time. The store managers will receive alerts if something needs attention to engage your most valuable customers.

  • Improve staff performance: increase speed and upsell

Increase your speed of service, your average check size and give staff real time feedback on their performance and incentivise to sell more. We’ve seen more than 150% variability in up-sell across staff members, and even up to 800% in speed of service!

  • Optimize your menu

Analyze menus to find the most popular dish. Menu analytics can have far-reaching benefits, whether in identifying complementary menu pairings, creating discounts for winning combinations of such items, or identifying non-performing items and removing them.

 
  • Reduce wastage of food and labour cost

Increase procurement efficiency with automated forecasting and find the right balance of delivery and in-store resources — more accurate ordering and staff scheduling.

  • Test and learn: bring software development practices to your restaurant!

A restaurant can test a program in one location and then, depending on its success, choose to apply the program at other locations and across various levels. Having access to the data enables you to quantity an initiative’s success.

At Tenzo we can offer all these insights in one place, on mobile and web. All the insights are delivered in real time to the right person in order to improve decision making and your bottom line!