How Restaurants Are Making More Money Off of Customers

burger from red robin

Photo: JJava Designs (Shutterstock)

With food prices at uncomfortable levels right nowconsumers are carefully weighing each potential trip to a restaurant. Those businesses, in turn, are finding strategies to keep people coming through the door, experimenting with promotions and tweaking their overall approach. But one method that’s actually working out for some chain restaurantss is a marketing strategy called barbell pricing. Even if you haven’t heard of it, you might have already experienced this model without realizing it.

What is barbell pricing?

As explained by trade publication Restaurant Business Online, barbell pricing is when a restaurant lures you in with promotions deals while simultaneously pushing higher-end items. Denny’s has been employing this strategy this yearand Red Robin is also making moves toward this model by offering a $10 meal promo while also promoting its higher-end Cheese Lovers burgers, priced at over $15 per burger.

What this does is draw in multiple types of customers. Lower-income diners, who are most impacted by inflation, come in for lower prices, while customers who might be less affected by rising food costs are drawn in by the allure of premium items, which they are willing to spend extra to get. Plus there’s always the old-fashioned upsell: Once you’re in, the restaurant has the opportunity to convince you to upgrade from lower-end items to fancier ones on the spot. Or tack on some drinks. Or maybe dessert.

Traditional across-the-board discounts (“All entrees half off!”) don’t necessarily make sense for large chains, as those price cuts guarantee that the restaurant will net less money per bill no matter what. In the case of barbell pricing, the customers dropping money on the costly items can offset the purchases of price-conscious patrons who have only come for the discounted items.

If it feels manipulative, understand that it’s not a new concept. Deal seekers will forever remain a constant in the dining landscapeand for every one of themthere’s someone else (sigh, me) willing to impulsively upgrades on the spot—so it makes sense that restaurants have figured out how to cater to both simultaneously. Fast food chains like Taco Bell are in on barbell pricing too, by offering a $2 Cravings Menu and a $6.49 Double Steak Grilled Cheese Burrito.

It’s sort of a mixed bag for corporations, however. Restaurant Business Online reports that Chili’s has decided it’s more worthwhile to offer fewer discounts, a strategy that results in less foot traffic but nets the company a higher overall profit. The next time you’re out to eat, looking for the best deals, keep a close eye on what’s actually being offered on the value menu. The choices might be restrictive by design, in an attempt to push you toward the more expensive stuff.

Read More

Restaurants and robots: Don’t be alarmed

So much of the recent news about robots in restaurants has focused on the kitchen, where experts seek to engineer the perfect automated pizza maker or a robotic fry station attendant. While the jury’s still out on whether these devices could ever demonstrate the dexterity humans have for making food taste good, they seem more approachable for many restaurant operators than service robots. Even so, the launch of these tools is often marked with headlines like “Attack of the pizza making robots” and “The robots are here,” as if we’re facing an alien invasion!

If you’ve ever been served by a robot in the front of a restaurant, it can be rather surprising at first. For customers and staff alike, the presence of these automated workers can set off alarm bells. Customers might worry the lack of human interaction will ruin their experience or result in unnecessary mistakes. For employees, robots might incite fears of being replaced.

The ultimate helping hand, robots are uniquely positioned to support restaurants through the current wave of labor shortages and inflated food costs — that is, if they’re introduced and used correctly.

Relieve, not replace

To ensure robots become an ally to service staff, it’s important to set expectations about what these automated co-workers can and can’t do. They are best utilized to perform physical, repetitive, and manually straining tasks, thus relieving staff from these duties. For example, they can carry multiple hot pots out of the kitchen and bring them to guests, avoiding painful, costly spills along the way. They can help servers clear the entire dining room in one quick trip. They can even wash the floors before, after and during a shift.

All these routine tasks, when handed off to a robot, free up front-of-house employees to do the more important tasks that require interaction with guests, like recommending the right dish, making a memorable conversation or fulfilling a more specific ask. Servers have more time to engage with guests, check in on their tables, and generally ensure an excellent dining experience when accompanied by a robot. The key word is accompanied. Make sure employees know the bot is there to support them, not replace them.

Not only will the robots work alongside servers, but in time, this collaboration will also result in servers on duty taking home a higher percentage in tips — robots don’t need to be paid. By delivering food, cleaning and serving, robots ensure workers are less overworked and less physically taxed while being paid the same, or perhaps even more than before.

Enhancing the experience

Robots can be a marketing tactic for many restaurants, as some diners will seek out this novel dining experience. However, for more particular customers expecting a traditional service, robots can seem like the end of a golden age of dining. It will be important robots follow the established rules of restaurant service and enhance the experience without taking anything, including familiarity, away.

Robots should avoid hitting guests. This may seem obvious but from a technical standpoint it is actually one of the harder parts about introducing robotics. Advanced AI is required in order to realize intelligent delivery in restaurant scenarios. The positioning technology must be effective to navigate dining rooms with multiple walkways and several dozen guests. New vision-based robot localization and mapping technology allows some restaurant bots to find their way without markers, making them much easier to deploy, especially in high ceiling environments. Adaptability in all scenarios, like recognizing and slowing down for elderly guests and children, is also critical to ensure customers feel comfortable around robots.

Not only does advanced positioning technology reduce the risk of collisions, but it also increases the likelihood of robots bringing the right food to the right table. Few things annoy a guest more than waiting for food only to have it be the wrong dish, or having it spill on the way out of the kitchen. Robots can build trust with guests by consistently performing as they’re intended.

Bots come in all shapes and sizes with a unique variety of capabilities. For restaurants, it’s as important for the robots to be aesthetically pleasing as it is for the carefully designed dining room. A terminator-looking bot is probably not going to put guests at ease. But something cute and cleanly designed will make guests feel comfortable and entertained. Taking this a step further, advanced robots can also be engaging, welcoming customers with greetings, telling jokes and providing voice or emoji feedback. While they’ll never replace a human in terms of engagement, robots can appear more approachable with these small touches.

To ensure an exceptional experience for both staff and

Read More

Best Chinese Restaurants in Greater Cleveland, according to Tripadvisor

CLEVELAND, Ohio – Chinese food is timeless, and arguably the best food to order when you want to experience a true depth of flavor.

While Northeast Ohio may not be home to the expansive Chinese cuisine scenes of other cities in the United States, there are still plenty of options for those of us needing to satisfy a craving for Peking duck, General Tso’s chicken or Mongolian beef.

While these staples can be found in just about any Chinese restaurant menu, there are plenty more delicious options to tempt your palate than the usual American-Chinese fare.

We checked with our partner Stacker, which compiled a list of the 17 best Chinese restaurants in Greater Cleveland to give you new options than your usual go-to.

Methodology

Stacker compiled a list of Cleveland’s highest-rated Chinese Restaurants using Tripadvisor rankings.

No. 17

Szechwan Garden

Ratings: 3.5

Address: 13800 Detroit Ave., Lakewood

Read more about Szechwan Garden on Tripadvisor

No. 16

Wah Fu Chinese Restaurant

Ratings: 4

Address: 15210 Bagley Rd., Middleburg Heights

Read more about Wah Fu Chinese Restaurant on Tripadvisor

Dumplings.

(Photo by David Petkiewicz, cleveland.com)

No. 15

LJ Shanghai

Ratings: 4

Address: 3142 Superior Ave. E, Cleveland

Read more about LJ Shanghai on Tripadvisor

No. 14

Chopsticks Express

Ratings: 4

Address: 8800 Day Dr., Parma

Read more about Chopsticks Express on Tripadvisor

No. 13

Dragon Tower Restaurant

Ratings: 4

Address: 17452 Lorain Ave., Cleveland

Read more about Dragon Tower Restaurant on Tripadvisor

No. 12

Blue Jade

Ratings: 4

Address: 7080 Engle Rd., Ste. B, Middleburg Heights

Read more about Blue Jade on Tripadvisor

No. 11

Mandarin House Chinese Restaurant

Ratings: 4.5

Address: 10393 W. Pleasant Valley Rd., Parma

Read more about Mandarin House Chinese Restaurant on Tripadvisor

Bánh xèo Siam Cafe

Siam Café in ClevelandJudy Vegh, special to cleveland.com

No. 10

Siam Cafe

Ratings: 4

Address: 3951 Saint Clair Ave. NE, Cleveland

Read more about Siam Cafe on Tripadvisor

No. 9

Han Chinese Kebab & Grill

Ratings: 4.5

Address: 3701 Payne Ave., Cleveland

Read more about Han Chinese Kebab & Grill on Tripadvisor

No. 8

Hunan of Solon

Ratings: 4

Address: 6050 Enterprise Pkwy., Solon

Read more about Hunan of Solon on Tripadvisor

No. 7

Hunan East

Ratings: 4

Address: 724 Richmond Rd., Richmond Heights

Read more about Hunan East on Tripadvisor

Gourmet Wontons

You can’t go wrong with the Hong Kong noodle soup with three-flavor shrimp dumplings at Wonton Gourmet.The Plain Dealer

No. 6

Wonton Gourmet & BBQ

Ratings: 4

Address: 3211 Payne Ave., Cleveland

Read more about Wonton Gourmet & BBQ on Tripadvisor

No. 5

Frankie’s Wok

Ratings: 4.5

Address: 8926 Brecksville Rd., Brecksville

Read more about Frankie’s Wok on Tripadvisor

No. 4

King Wah Restaurant & Lounge

Ratings: 4

Address: 20668 Center Ridge Rd., Rocky River

Read more about King Wah Restaurant & Lounge on Tripadvisor

Szechuan Gourmet

Szechuan Gourmet is tucked away in an old warehouse a few miles east of downtown Cleveland, but it’s worth the hunt.

No. 3

Szechuan Gourmet

Ratings: 4

Address: 1735 E. 36th St., Near Payne Avenue, Cleveland

Read more about Szechuan Gourmet on Tripadvisor

Emperor's Palace Restaurant

Emperor’s Palace, a traditional Chinese restaurant opened in summer 2012. (Peggy Turbett/ The Plain Dealer)The Plain Dealer

No. 2

Emperor’s Palace Chinese Restaurant

Ratings: 4.5

Address: 2136 Rockwell Ave., Cleveland

Read more about Emperor’s Palace Chinese Restaurant on Tripadvisor

No. 1

Li Wah Restaurant

Ratings: 4

Address: 2999 Payne Ave., Ste. 102, Cleveland

Read more about Li Wah Restaurant on Tripadvisor

Related:

Best pizza restaurants in Cleveland, according to Tripadvisor

Best steakhouses in Cleveland, according to Tripadvisor

Best restaurants in Cleveland, according to Tripadvisor

Best ‘cheap eats’ in Cleveland, according to Tripadvisor

Read More