Restaurant Discounts and Incentives are NOT dirty words

by | May 15, 2025 | Books, Business, Marketing, Observations, Operations, restaurants

Example of a menu promotional card

Larger Version at the Bottom

Times are tough, that’s nothing new for the restaurant business. I hear that quite a bit from business owners. I don’t want to discount; I don’t want to give away incentives. Margins are thin….etc.

 

For some businesses I would agree, if it’s what I call a “one and done”. An example might be a hardware store gives away a coupon. The recipient of the coupon waits until they need something to go to the hardware store, they may buy a few things or maybe only one thing that they use the coupon on, and “maybe” have an impulse buy. The hardware store isn’t really getting “more” out of them, other than the customer went to their hardware store, instead of the competitors and they had to lose a little of their profit margin to get them in the door.

Trying to upsell in a hardware store is doable, of course, but all I can think of is a hardware store employee, “Sir, I know you are buying this cordless drill only so you can fix your deck railing, but have you considered this beautiful set of 150 drill bits and perhaps an extra battery as well?”

Restaurants and most other eateries can use discounts and incentives to leverage MORE sales.

If you offer someone a free or deeply discounted appetizer or dessert for example, statistically most diners don’t like to dine alone, there are exceptions of course, but even for single diners, most people won’t go to a place “just” for an appetizer or “just” for the dessert.

If a couple comes in and takes advantage of the free appetizer, it’s not a lot of food (for them) even if they split it, and you still have them in the door to order at least a couple of entrees, possibly another appetizer, maybe some desserts and drinks. Once you have gotten them in the door, that’s also the time to have your staff and management trained to step in and upsell for some additional revenue.

Example: Succulent Smoked Shrimp & Grilled Corn Fritters with Spicy Remoulade.

The manager who is assisting with waiting tables, “Oh, you are ordering the shrimp and corn fritters, I LOVE those, I get those with my girlfriend when we come in on my day off. She swears the Kung Fu Girl Riesling is the BEST with it. I was skeptical because I’m not really a sweeter white fan but the remoulade is a little zippy and it helps balance the spice. She orders it every time we come in and now I’m a big fan!”


Double whammy here for marketing. Yes this example is a little over the top and a little wordy if vocalized, but an example of the upsell, in that the manager says A. he loves the food (he’s a fan) and B. he loves the place so much he will come back on his day off (employee loyalty).

 

Currently, Kung Fu Girl Riesling runs about $12 retail and less wholesale. Even based on the retail price, if you serve one 5 oz. glass of wine at $5.00 (cheap right?) and the wine is $2.40 your cost per glass, plus tack on a percentage for labor and overhead, you are still making at least a 50% profit margin. And that’s based again on retail pricing.

 

Even if you upped this to a 6 oz of wine, with wholesale costs, you are still making a hefty profit on this. That’s if you sell it by the glass which is the way to really make money on wine. I worked with an extremely good waiter named Karl many years ago who would use this type of upsell to increase the check average (and his tips). Personal buy-in plus personal endorsement equals sales.

 

This has always been my personal pet peeve with restaurants, and it’s also a pet peeve of many diners, who refuse to pay for a bottle of wine or by the glass that’s more than double retail prices, and up to four times retail in some places.

 

Give generous pours at affordable prices and people will order more. Having a great (but inexpensive and unknown) house wine is another way to increase profits, years ago when I was the Chef at a resort in Vermont, I did the wine ordering too, because I liked to do pairings and our front of house manager didn’t know much about wine. The “house” cabernet which was from a small vineyard on the Western Cape of South Africa cost me wholesale $3.50 a bottle. There was no brand name recognition for the wine, so no preconceived thoughts about price, but I had a nice writeup about it on the wine menu so people could get some insight into what kind of wine it was and what it paired well with. We got four pours from the bottle at $4.50 a glass. One dollar profit on one glass ordered (and paid for itself) and 3 additional glasses pure profit minus a small percentage for labor and overhead tacked on, still a hefty money maker.

 

If you want to make money on full bottles, drop the price to something realistic. Believe me, you will sell a LOT more wine, having done this for years in restaurants. Higher price points mean lower margins when it boils down to it. If you sell 3 bottles a month marked up triple your costs, you will sell less wine.

 

One of the methods I have used prior is to add on approximately 6 dollars to the average retail price, especially on the name brand recognized affordable wines, to keep the menu price point under $20. You are still making a profit on the $6, including the wholesale discounted price and the labor is the bartender taking 1 minute to open the cork and pour, and a small percentage for general overhead.

You can also add a few dollar corkage fee if you want to bring the “illusion” of costs down even more. $12 of drinkable but inexpensive wine (retail), it’s $16 for the bottle on your menu, plus a $2 corkage fee.

 

If you train your staff on wine and other beverage pairings and make them able to give suggestions, it not only increases your margins but increases staff knowledge. Pairing wine and beer on the menu itself is also a proven way to increase revenue.

 

If you or your staff is not well up on wine knowledge, at the moment, ChatGPT can come up with a great list of wines and beers to pair with your menu. I would spot check all of those as in testing as it came up with a couple of “fictional” wines when doing a bunch of testing, but knowing quite a bit about wine and food pairings myself, I’d say it does a more than better-than-average job. Put your menu into ChatGPT or other AI of choice and some specifics, Pair with wines under X dollars and the menu item and any other parameters you want to put in, i.e. Spanish wines only.

 

Having pairing suggestions on your menu, both alcoholic and non-alcoholic, makes it easy for people to decide and also for those that are afraid or just don’t feel comfortable asking for recommendations.

 

Tying these into a discount or promotion is carrying it one step further.

 

Get our fan favorite: Smoked Shrimp & Grilled Corn Fritters and get two dollars off our Iced Lemongrass-Mint Green Tea. Tea is a high profit margin item that costs less than $.50 even with some extra ingredients, selling it at $4.00, even with a dollar off is still a very good “extra” profit item. Most other beverage items, even with a discount, are still money makers.

 

A few examples, and giving some examples of different ways to describe the menu item as well as the beverage descriptions.

 

Vegetarian Small Plates + Pairings

Crispy Oven Roasted Artichoke Hearts with Zesty Lime and Rosemary Vegetarian Aioli
For one person: $7.50 For two: $14.50

Pairing Suggestions:

White: Oyster Bay Sauvignon Blanc (NZ)
Aromatic tropical fruits and bright citrus notes, with a refreshingly zesty finish. Recently awarded 90 points by James Suckling.
6 oz. Glass: $5.50 Bottle: $16.50 (Retail average is $10, wholesale would be less).

Red: Georges Duboeuf Beaujolais-Villages
Light-bodied, bright cherry and raspberry fruit, hints of violet and earth. Crisp acidity and low tannins make it food-friendly.
6 oz. Glass: $6.50 Bottle: $19.50

Beer: Bell’s Light Hearted Ale
Light Hearted is aromatic, balanced, and incredibly easy-drinking. This Lo-Cal IPA has only 110 calories, yet all the Heart. Centennial and Galaxy hops result in citrus and pine aromas, while a variety of specialty malts help give Light Hearted its body and flavor.
$4.50

Traditional Cocktails
Gin Gimlet with a Rosemary Twist
Lemon-Basil Vodka Fizz

Non-Alcoholic
House Made Cucumber-Lime Sparkling Water with a Rosemary Sprig
House Made & Herb Shrub
Iced Green Tea with Lemon


Grilled Aji Amarillo Pepper** and Sweet Basil Marinated Halloumi Skewers with Grilled Figs and a Drizzle of Honey Balsamic. **Aji Amarillo Peppers are a spicy South American chili pepper with vibrant orange-yellow skin and fruity flavor. On a scale of spicy peppers from 1-4, Amarillos are about a 3, the Halloumi cheese balances the spiciness of the peppers and brings it down a notch.

Pairing Suggestions:

White: Santo Wines Assyrtiko
Assyrtiko, a Greek white wine, is known for its high acidity and mineral notes. These characteristics complement the salty halloumi and cut through the richness, while the wine’s citrus undertones harmonize with the sweet basil and balance the Aji Amarillo’s heat.

Red: Domaine du Pélican Arbois Poulsard
A light-bodied, naturally bright red from the Jura region of France. It shows delicate red berries, subtle earthiness, and a whisper of spice. Tannins are soft, and the wine finishes with refreshing acidity and a touch of minerality. Earthy undertones match the grilled figs and basil, while the light body complements the dish’s delicate balance of sweet, smoky, and herbal notes.

Beer: Weihenstephaner Hefeweissbier
This German wheat beer offers a smooth, creamy texture with notes of banana and clove. Its subtle sweetness and effervescence provide a refreshing counterpoint to the spicy Aji Amarillo and the savory halloumi, while the beer’s body stands up to the dish’s bold flavors.

Traditional Cocktails
Whiskey Sour
Classic Mojito

Not So Traditional Cocktails
Basil Whiskey Smash
Housemade Honey Balsamic Old Fashioned (balsamic reduction in place of simple syrup with a dash of honey and orange bitter)

Non-Alcoholic
Iced Hibiscus Tea with Orange Peel
Pomegranate Spritzer
Housemade Ginger-Turmeric Tonic (unsweetened)

 

Smoked Shrimp & Grilled Corn Fritters with Fresh Mint and Ginger Remoulade
Succulent house smoked shrimp and fresh grilled corn fritters, with a side of our famous mint and ginger remoulade. Our fritters are light and airy yet delight your tastebuds with the earthy smokiness of locally caught shrimp and local Shell Island Farm organic corn.

Pairing Suggestions:

White: Dr. Loosen Blue Slate Riesling Kabinett
This Riesling offers bright acidity and subtle sweetness, which balance the smokiness of the shrimp and the heat from the ginger. Its citrus and mineral notes complement the corn fritters and mint in the remoulade.

Red: Cleto Chiarli Lambrusco di Sorbara
Light, fizzy, and dry with red berry flavors (think raspberry and cherry), floral notes, and mouth-cleansing acidity. The slight fizzyness of this red helps balance the richness of the fritters and mild acidity compliments the ginger.

Beer: Saison Dupont
Saison Dupont is a Belgian farmhouse ale known for its effervescence and peppery, citrusy flavors. These flavors cut through the richness of the fritters and enhance the herbal notes of the mint-ginger remoulade.

Traditional Cocktails
Moscow Mule
Daiquiri (Traditional, not frozen)

Not So Traditional Cocktails
Ginger-Lemongrass Rickey
Charred Corn Old Fashioned

Non-Alcoholic
Iced Lemongrass-Mint Green Tea
Shrub Spritz (Ginger-Mint Shrub + Sparkling Wine or Soda)
Savory Tomato-Ginger Tonic


Crispy Polenta with Roasted Beet Bites with Smoked Tomato and Lavender Jam

Pairing Suggestions:

Red: Gnarly Head Pinot Noir
This California Pinot Noir is bold for the varietal, with ripe cherry and raspberry flavors at the forefront. Underneath is a thread of vanilla and toasted oak. Medium-bodied with a silky texture and soft tannins, it finishes with a touch of sweet spice. The wine’s ripe red fruit plays well with the smoked tomato-lavender jam, echoing the jam’s sweetness and contrasting the smoke with bright acidity.

White: Geyser Peak Sauvignon Blanc
A vibrant, zesty white with high-toned aromatics: lime, gooseberry, and freshly cut grass. It’s lean and dry with a bright acidity and a mineral edge, finishing with crisp green apple and citrus zest notes. The wine’s lime and green apple notes offer a clean, tart contrast to the sweetness of the roasted beets and the smoky tomato-lavender jam,

Goose Island Sofie (Saison/Farmhouse Ale)
A Belgian-style saison aged in wine barrels with orange peel. It pours golden with a creamy head. Aromas include white pepper, orange zest, and a hint of vanilla. The taste is tart, citrusy, and subtly spicy, with a champagne-like effervescence and a dry finish. Sofie’s flavors of orange peel and white pepper brighten the earthy sweetness of the roasted beets and contrast nicely with the smoked tomato jam.

Traditional Cocktails
Negroni
Americano

Not So Traditional Cocktails
Lavender-Basil Gimlet
Smoked Tomato Bloody Mary (w/ Lavender Salt Rim)

Non-Alcoholic
Lavender-Lime Soda
Chilled Spiced Carrot Juice
Sparkling Apple-Celery Tonic

A marketing piece like this can be used for mailers, in house promotions (put it on a tent card or menu holder) encourages guests to buy prior to ordering while dining, and as social media posts. “Mention this ad and get…..”
Promotional Card for A restaurant special

This is a sample chapter for my upcoming book on Guerilla Marketing, releasing mid-summer 2025. The book will be focusing on over 100 Guerilla Marketing ideas with examples, as well as a few chapters like the above. I have a favor to ask, if you catch a typo please send me a wave and let me know, snarky comments are appreciated if they are well meant and funny, even running text through two very good grammar editors doesn’t always catch things and my book editor has not yet had a crack at this. 🙂 

Assessing Lot Conditions when Buying a Brick and Mortar Business

by | May 7, 2025 | Blog, Books, Business Location

Empty Parking LotThis is Chapter Eleven from my book, Location? Location! Finding a Location for Your Brick and Mortar Business. How to Scout the Perfect Location for Your Dream of Opening a Brick and Mortar Business.

Lot Conditions can factor heavily into additional costs, and also inconvenience for an owner buying a new building or property plot if not considered prior to purchase and typically buyers don’t give a lot of thought to a parking lot unless it’s in very bad shape to start with.

Does the property you have found have a parking lot? Is it just for your business, or is it shared with an adjacent business? What is its condition? Paved? Gravel? Dirt? Something else?

If you are buying a location, is the parking lot going to need work? How much is it going to cost to repave or regrade? Does the lot slope towards your building? Or away? If it’s a gravel or dirt parking lot, how much and how often will it need fill or leveling?

Are you in an area with a lot of rain that may affect your lot’s condition? Or is it at the bottom of a hill or mountain that may have an excessive amount of melting snow/runoff in the spring?

When I worked in Vermont during the spring, the parking lots at the Ski Resort I worked at would frequently get flooded. The resort was open for business year-round and we would get some extremely grumpy customers complaining about navigating partially flooded parking lots.

If you are leasing the property, does the landlord have a history of maintaining the lot? If it needs maintenance to bring it up to acceptable use levels, is the landlord going to pay for that? And who defines “acceptable?” Make sure you get a written agreement from the landlord, and before signing anything, have a good business lawyer look over that agreement.

Why should you care about the condition of the parking area? A business with a well-maintained level of paved surface will look much more attractive to a passerby than a lot filled with enormous cracks, missing chunks of pavement, and grass tufts scattered throughout it.

Even more critical than curb appeal, the condition of the lot can impact a car driving through it (think potholes) and the walk from your lot to your business are important factors in the safety and well-being of your customers, as well as their vehicles.

If you don’t have parking on site and only street parking, paid lots, or a parking garage parking nearby, what shape are they in? Paid lots can discourage visitors if they are not in very good shape, as can parking garages. If your customers or staff are leaving late in the evening or arriving early in the morning, how safe are these locations? Are they well lit? Guarded? These factors all play into how comfortable people will be patronizing your brick and mortar business.

What are roads like locally? Are they well maintained? What condition are they in after a long winter? Are there lots of frost heaves that the town doesn’t pay attention to or massive potholes that it seems to take forever for the town or city to repair? Do the plows do a good job? And are they timely about getting out and clearing passage in regular snowstorms?

You won’t know if you are looking at the property in the spring, summer or fall, but this is where talking to residents and local businesses can help you fill in those holes in your knowledge base.

Consideration points for this chapter.

If there is a parking lot:
How many spaces do you have for the facility?

How many ADA/handicapped spaces do you have?

Are they well marked on the pavement, and via signage?

What condition is the parking lot in?

Is there also going to be enough parking for your employees?
Yes No

If No, where are they going to park?

How much is plowing going to cost in a bad winter? Don’t take average costs per winter. Base your budget on the worst winter you can get information on.

What other maintenance and repair needs are required for the lot?

What kind of shape is the lot in? Does it need a redesign and/or need work soon? If so, budget for it now.

Are there spaces set aside for pickup/delivery only? (if applicable)
Yes No

And if not, is there room to set aside and designate a few spaces for them?
Yes No

How is the lot laid out? Is the traffic flow with-in the lot easy to navigate or will people with oversized vehicles have trouble navigating the lot or pulling into or out of spaces?

Are there spaces for motorcycle parking? And if not, is there room to set aside or designate a few spaces for them? If you potentially have customers that may come in on bikes, you may want to consider this.
Yes No

Notes:

Finding a location tips: Auto Detailing

by | Aug 8, 2024 | Books, Business, Business Location, Starting a Business

Auto Detailing ImageFinding a Location for Your Brick and Mortar Business was just published and one of the things that I thought might be useful to do was to go into a little more detail about some individual types of brick and mortar businesses, and some specifics on what to look for when doing a location assessment.

For example, scouting a location for a new hair salon has its own variables to consider above and beyond the information in the book, as does starting a auto detailing business and while most things (in the book) are applicable to any business, I wanted to elaborate more and drill down a bit for some additional things that can help any new or relocating brick and mortar business get started when doing a location assessment.

I originally had grand plans to do these as part of the book, but with all of the different types of brick and mortar businesses out there to go over, I probably would have finished it in the next century or so and at that point we might be talking about which planet to start a business on, not which street corner. 🙂

I take requests, so while I’m going to bounce around in between business types, if you are just starting a business and would like some pointers about what to look for when doing your location assessment please reach out. Information and feedback is free but I can’t promise to not make a blog post out of it, I promise to not share any personal/business information unless you are ok with it first though.

Now onto details.

Suppose you want to start an Auto Detailing business?

Here are a few tips in addition to our recent book that might be helpful in looking for a location.

Ensure the site is easily accessible for customers and provides ample parking and parking spaces are wide enough so that people with higher end cars won’t be afraid to park in your lot. Your target market is typically going to people with a bit of disposable income who can afford to have their car detailed and tight parking which can cause door dings and other body damage can be a detractor especially for repeat customers.

Opt for a location that allows you to maintain a clean, professional appearance to attract clients. Your service is cleaning/detailing cars, a brick and mortar location that offers easy clean-up and a facade with bright colors and lots of large clean windows can help appeal from a visual standpoint plus showcase any luxury or antique cars you might have detailed while they are waiting for customers to pick them up. Don’t forget about what the neighboring buildings and businesses look like as well.

Ensure good signage opportunities to promote your detailing services. While car detailing isn’t typically a walk in proposition, you do want to make it easy for customers who have made appointments to find you and depending on your location, traffic speed on the road and other factors, how far away can people see your sign, read it and then have time to pull into your business comfortably?

Consider locations near complementary businesses, like car dealerships (new and used) or service centers, to attract more clients. Depending on your location (near water bodies or tourism areas), you may also want to consider a lot size and entrance that can accommodate customers bringing in boats (which may be detailed prior to or after winter storage) and RVs.

Auto detailing requires large amounts of water for detailing vehicles. The location must have a reliable and adequate water supply to support the business operations. The location should have access to a consistent and high-volume water source and be able to properly manage and dispose of the wastewater generated from the business, either through connection to a municipal sewer system or the ability to install an on-site wastewater treatment and disposal system.

We would suggest doing a water quality test as well, hard water can leave spots and mineral deposits on vehicles. If the location checks all the boxes but has hard water, make sure you estimate what a water treatment system will cost you to install and upkeep when doing your business plan and projected financials.

Don’t forget to check zoning regulations to make sure the location allows for this type of business.

One additional tip, additional markets to promote to that may be good customer bases are car sellers who want to get their vehicle in tip top shape prior to selling private sale, or to a dealer, so it has better eye appeal. If this is a market you want to want to pursue, an value add on would be a service taking professional pictures of the vehicle for sale and assisting with a good sales writeup for people considering private sales of their vehicles.

Looking for ARC Readers

by | Jul 12, 2024 | Books, Business, Observations, Operations

Finding a Location Brick and Mortar Business Book CoverAre you interested in being an ARC Reader (ARC stands for Advanced Review Copy) for new books? These will primarily be business books, but we do have one fiction book in the works as well.

Our next book, Location? Location! Finding a Location for Your Brick and Mortar Business, will be ready to read in mid to late September 2024, with another book on marketing to follow in midwinter.

Signing up to be an ARC reader is an opportunity to read new books before they are “officially” published online and before anyone else.

In return, you agree to provide an honest review on Amazon to help others decide whether the book is worth reading or not. You need to be a current Amazon customer who has spent at least $50 previously to be able to leave a review. If you don’t have an Amazon account or have never used it, we also appreciate reviews on Goodreads. Amazon review guidelines.

I ask that reviews be honest, while I appreciate that people (especially ones that know me) might feel reluctant to leave anything critical on a review. Real reviews do help. And you can be kind AND be constructive at the same time. There is a great post on leaving reviews (positive and not so much) which is worth a read. Constructive feedback IS a gift.

ARC reviews should focus on what makes the book enjoyable or hopefully, in the case of most of my books, educational and valuable to new and existing business owners, while avoiding spoilers or major summaries (since most people reading the review won’t have read the book yet).

Talking about things like: was the information useful, easy to understand and did it give actionable tips or information can help new readers decide if the book suits their tastes and more importantly their informational business needs.

The Book will be sent in PDF format digitally by email about 3 weeks before official publication.

If this is of interest, please fill out the form to sign up! And THANK YOU!

Other Ways You Can Help:

  • The #1 way you can help is to leave a review!
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  • Refer a friend that might find one of the books useful, especially if they are starting a business or in business and might need some help.

Location? Location? Finding a Location for Your Brick and Mortar Business overview:

Ditch the guesswork and navigate the key factors every aspiring business needs to consider before they sign on the dotted line for a property.

Finding a Location for Your Brick and Mortar Business is your roadmap to a thriving business reality. Order your copy today and turn your entrepreneurial dreams into brick-and-mortar success!

Whether you’re dreaming of opening a hair salon, a fitness center or a garden supply center, Finding a Location for Your Business offers the tools and knowledge to find a location that meets your needs and maximizes your businesses potential for success. Discover the secrets to making informed decisions and turning your entrepreneurial dreams into reality.

This comprehensive book covers essential topics such as community assessments, competition research, zoning and planning considerations, traffic counts, crime and safety, parking and traffic flow, employees and housing and much more.

Whether you’re a seasoned business owner or a newcomer to business ownership, this book provides valuable insights, and a detailed location and assessment checklist to help you make informed decisions.