Profit if Applied Properly

Recently on www.briefingnewsletter.com, the Industry Outlook 2009 presented some great points that can be profitable if applied properly.

Hudson Riehle, Senior VP, Research & Informational Services for the National Restaruant Association pointed out... "Overall, the focus should be on getting loyal customers in again. Our research confirms the importance of repeat customers to tableservice restaurants – in family dining, they account for 75% of sales; in fine dining for 60% of sales. Good loyalty/frequent diner programs have never been more important."

Harry Balzer, Vice President and Chief Restaurant Industry Analyst, Npd Group - A Global Market And Research Company noted... "The growth in 2009 will be from market share. Even if the average number of meals that Americans eat out annually is down – from 207 in 2007 to 205 in 2008 - it's about getting a share of those 205 meals. People aren't cutting out eating, and there are 800 or so other meals in a year that are prepared at home. As a result, the potential market for foodservice is nowhere near saturation.

There will be no recession in eating; there will just be winners and losers. My belief is that Americans are looking for ways to moderate food costs so they don’t rise faster than their income... without cooking more. No matter where they are in the spectrum, the restaurants that deliver value and make it easy to get food cheaper without cooking more, in new and compelling ways, will win. ("Newness" is important, but value is of greater concern now, even beyond the price pressures we see today.)"

Grandma & Grandpa are increasingly going online

Pew Internet & American Life Project published a study on Emarketer.com proclaiming about nine out of 10 US consumers ages 12 to 24 use the Internet. Not unexpected... But over 50% of people ages 65 to 69 are online, and Internet-using 70-to-74-year-olds make up 45% of people that age.

The biggest increase in Internet use since 2005 was in the 70-to-75-year-old age group; just over one-quarter of them were online in 2005 and now 45% are online.

Outcome of Super Bowl Commercials

Here is part of an article from Advertising Consultant, Drew Eric Whitman. He makes a great point about the outcome of Super Bowl Commercials. Here are his thoughts...

"In Tough Economic Times, Super Bowl Ads Set Poor Example for Business Owners Struggling for Customers"

According to advertising consultant Drew Eric Whitman, Super Bowl 2009 ads ignored the foundational principles of creating effective advertising, including: 1) highlighting the product's benefits, 2) distinguishing it from the competition, and 3) driving people to act.

"Instead of giving strong reasons to buy," said Whitman, "most Super Bowl ads subordinate their products to irrelevant humor. It's a disastrous recipe to follow for today's struggling independent business owners who often take their cues from what the 'big boys' are doing."

"GoDaddy.com—an internet domain registrar and web hosting company—spent millions showing three young men voyeuristically watching the company's spokesperson Danica Patrick taking a shower. Rather than inviting viewers to their website to learn more about how GoDaddy can help them achieve their online goals, they tell them to log on to find out 'how the shower ends.' It's like writing the word 'SEX' on an envelope containing a mortgage refinance solicitation. You'll definitely get response and recall," he said, "but by a non-targeted audience for all the wrong reasons" said Whitman.

Whitman explained, "The age-old advertising-success formula, "AIDA"—get Attention... stimulate Interest... build Desire... and ask for Action is largely ignored by Super Bowl advertisers... and is unknown to most independent business owners struggling to stay afloat. Advertising is selling, first and foremost. And with the economy mercilessly battering businesses in most every industry, their ads need to sell, not entertain."

"Taking cues from Super Bowl commercials to create your own campaign," he added, "might be a fun way to exercise your creativity, but it's a sure-fire way to F-L-U-S-H your ad dollars down the toilet."

Differences Between E-mail and Direct Mail

Here is part of an article from Ethan Boldt, editor-in-chief, Inside Direct Mail. He makes great points about many similarities between e-mail and direct mail copy and how understanding the key differences will help you run a truly effective multichannel campaign. Here are his thoughts...

The offer
"While [both channels] require the same understanding of direct marketing principles, there are differences in creative tactics—and e-mail requires even more emphasis on the offer than direct mail," explains Lee Marc Stein, copywriter and author of "Street Smart Direct Marketing." E-mail prospects are not going to take the time to read the copy and respond to the creative like direct mail prospects, so cut to the chase—"what's the offer?"—is even more key in e-mail, he explains.

Incorporating the news
"Direct marketing copy that reflects current news and events usually outpulls copy that is not written with references to current affairs," says Bob Bly, copywriter and author of "The Copywriter's Handbook." He adds that incorporating news into copy is even more important in e-mail marketing than it is in direct mail. "In promoting investment newsletters, for example, if the Fed is going to announce a rate hike this week, your e-mails virtually have to be built around that theme," describes Bly.

Why Email Marketing?

Would you like your customers to come back more frequently? Then email them!

Research shows email is the fastest, lowest-cost way to bring your customers back more often. Email gives you back $57.25 for every dollar spent according to Direct Marketing Association research.

Click Here to watch this 2-minute video about growing your business with email marketing.

Survey Results are in

We recently asked business owners and managers like you to take a survey about emailing. There were some interesting results.

Half of businesses don't email their customers... even though almost all agree they should! The main reasons for this is they can't collect emails.

Click Here to watch a 2 minute video on how to easily and efficiently build an email database.

Making Money from the Business of Love

Here's great Valentine's advice from marketing expert Michael Attias.

February is here and that means Valentine's Day. This holiday ranks as one of the largest dining out days of the year. Who doesn't want to treat their sweetheart to flowers, chocolate and of course a romantic dinner? Forget one or all of the previous, and you and Fido will be spending the night chasing rabbits in the backyard.

Restaurants count on Valentine's Day to deliver a flood of sales and profits. Why not get more bang for your restaurant marketing buck? No need to limit Cupid to just a single day of waiting tables. Dub the entire month of February, "Romance Month".

This gives you four weekends to get your register bells ringing, not to mention the days in between. Here are some out-of-the-box profitable ideas to make the most of this restaurant marketing love-fest.

The French call it a Prix Fixe menu, I call it bundling. Create a romantic dinner for two that includes an appetizer, salads, two entrees, dessert and a bottle of wine or champagne. By limiting choices, you can control your inventory and profits. Your chef and kitchen staff will appreciate less stress by simplifying the menu.

Bonus gifts, or the little extras, will help you make the sale, or should I say reservation. Offer bottles of wine, movie tickets or roses with qualifying purchase. Any ad specialty rep can find you low cost; high perceived gifts like freshwater pearls to give away with an advanced reservation.

Help your customers look like heroes with the love of their life and they'll reward you all month long.