Managing Data Streams

Paul Komelasky Operations Vice-President Sodexo Education Services

What is the data you look at? Can you really look at it all?

Revenue stream, location, average check, Margin, % YOY Revenue Growth, Sales per Customer base (Student population, enrolled, sales per resident student, Capture rates, 15 minute count, 15 minute food purchases, Profitability per hour of operation, Revenue per sq ft , FCPM, SPLH, Employee Benefits, Transactions per labor hour, Employee Benefit as a % of wages, etc

Case study driving revenue – Data by itself isn't useful. The most important aspect of

strategic decision making is the actionable insights that data can reveal. Are you making the most of the data you have to move your organization closer to your goals

What will really impact your business most? Have you established and define your objectives?

Have you established how to measure success?Do you have the data in place to measure ?

Case study driving revenue – College Campus

Driving revenue through taking advantage of growth opportunities and implementing strategic plan. Identifying and creating strategic partnerships can assist in accomplishing goals.

Case study driving revenue – College CampusObjectives: Drive profitable top line revenue by 6.5%

through retail operations, greater customer participation 10%, drive higher ave check by $.12, new sales 80% cash sales.

Measure success: Achieve $975,000 ($780K cash), no more than 5% loss revenue at any existing operation, drive, improve profitability of all retail operations by 9% .

Do you have the systems in place to measure: full P&L by location, Income stream analysis, customer tracking , menu monitoring.

Case study driving revenue – College CampusUnderstanding our customers determining new locations new menu items.

• Who are our customers? – Faculty, – Staff– Students

• What services are our customers wanting?– Quick, Convenient, Fresh, Variety, Quality

• How can we develop a program that meets to varied needs of all segments?– Offering right products, hours, services

• Where are our customers coming from and going?

• Tools used:• Zipcodes for customer analysis

• Utilizing manufacturing and distributors information on trends

• Building occupancy throughout the day (Mapping)

• POS Tracking movement throughout the day parts at different locations

• Tying bar-coding of food purchases to understand what customers are purchasing.

• Reviewing day part participation and capture

• Review payment method, Pre-paid plan, Debit cards, credit cards, charges• % of cash vs pre-paid plans

• Cornell Smarter Lunch program and Disney style control flow

Our Findings: Majority of Competitor’s Menus Do Match Student Preferences>80% of Competitors Are Not Within Walking Distance>80% of Competitors Do Not Offer Delivery Service>90% of Competitors Do Not Accept Dining Dollars57% of Competitors Are Independent Restaurants43% of Competitors Are Quick Service;29% are Casual Dining

Understanding our competitors

• Mapping Traffic Flow– Where customers live on

campus– How customers move

throughout day part– Non traditional

customers

Understanding where are customer comes from

• Mapping Traffic Flow– Resident Population

Understanding where are customer comes from

• Mapping Traffic Flow– Zoning the market

Understanding where are customer comes from

CAMPUS DENSITY BYMEAL PERIOD

North Central South Off

Lunch

Total Respondents 32.50% 23.70% 34.50% 9.30%

Undergrad On 38.50% 14.90% 45.40% 1.30%

Undergrad Off 23.50% 25.20% 31.30% 20.00%

Graduate 32.40% 39.90% 11.90% 15.80%

Faculty/Staff 29.70% 24.70% 34.60% 11.00%

Fraternity/Sorority 37.40% 18.70% 40.70% 3.30%

Dinner

Total Respondents 22.60% 13.80% 28.50% 35.10%

Undergrad On 34.60% 8.20% 55.30% 1.80%

Undergrad Off 13.00% 15.70% 18.30% 53.00%

Graduate 23.30% 31.30% 11.10% 34.20%

Faculty/Staff 14.80% 11.60% 15.50% 58.20%

Fraternity/Sorority 34.10% 12.10% 48.40% 5.50%

Late Night

Total Respondents 15.50% 6.30% 20.80% 57.50%

CAMPUS DENSITY BY BUILDING AT EACH MEAL PERIOD

Total Respondents

Building Lunch Dinner Late Night

North Campus 32.50% 22.60% 15.50%

Technical Institute 18.60% 6.10%

Central Campus 23.70% 13.80% 6.30%

Jacobs Center 6.40% 4.00%

Annenberg Hall 3.90%

Norris Center 3.30% 2.60%

University Library 3.10% 2.60% 2.30%

South Campus 34.50% 28.50% 20.80%

Kresge 6.50%

Willard 4.60% 2.80%

Harris Hall 2.90%

Theatre 2.30%

Foster Walker 2.80% 3.40%

1835 Hinman 2.50% 2.10%

Allison 2.00% 1.90%

(Reporting percentages over 1.9% and higher

• Mapping Traffic Flow– Walking distance

Understanding where are customer comes from

• CUSTOMER’IZATION– Zip code analysis based on

customer segmentation– Targets food and spending

preferences for the customer segments

– Utilized data from the following resources:• Claritas• U.S. Census Bureau• AC Nielsen• NPD/Crest – Restaurant

Panel

Understanding who the customer is

GLOBAL/ETHNIC

TRADITIONAL

ATTAINERS

TRENDIES

ROUTINERS

URBAN NAVIGATORS

NATURALS

FUNDAMENTALS

$$$

$

CUSTOMER‘IZATION

National Segment

Map

15%

13%

24%

15%

13%

20%

*Percentages may not add to 100% due to rounding.

GLOBAL/ETHNIC

TRADITIONAL

ATTAINERS: 4%TRENDIES: 87%

ROUTINERS: 2%

URBAN NAVIGATORS: 8%

NATURALS: 0%

FUNDAMENTALS: 0%

$$$

$

Contemporary

Staff Segment Map

US Population

Urban Navigators 24% Fundamentals 20%Routiners 15%Trendies 15% Attainers 13%Naturals 13%

CUSTOMER‘IZATION*Percentages may not add to 100% due to

rounding.

CUSTOMER‘IZATION

• Affluent - high income, education, investment, spending

• Major metros• Executives/professionals in

business, finance, education, entertainment

• Healthy and fresh, authentic ethnic cuisine

• Mid-scale Italian, Asian• Frequent casual bar/grill • Enjoy coffee bars and specialty

bakery

Identity

Foods

GLOBAL/ETHNIC

TRADITIONAL

$$$$

TRENDIESSoups: like traditional, ethnic & varietySalads: enjoy compound and entrée saladsExhibition Cooking: want a variety of ethnic/trendy and regional AmericanBeverages: drink specialty & decaf coffees, hot & cold teas

Food Preferences

Quick Service Sit DownQuizno's Rock Bottom BreweryCalifornia Pizza Kitchen Cheesecake FactoryEinstein Bros. P.F. Chang’sPanera Bread Wolfgang Puck’sStarbucks Lettuce Entertain You™

Restaurants

Chain Restaurants frequented by Trendies

Trendies = “Contemporary”• 40% of the menu encompasses Commercial Mainstream:

– Wraps, Rice Bowls, Sandwiches with Specialty Breads & Spreads, Global Burritos

• 30% of the menu encompasses Trendy Menus:– Crusted Meats, Caribbean Cuisine, Indian Cuisine, Lettuce Wraps

• 15% of the menu encompasses Traditional with a Twist:– Roasted Garlic Marinara Sauce, Cheddar Mashed Potatoes, Chicken

Noodle with Roasted Vegetables; incorporates foods with high price/value relationship

• 15% of the menu incorporates Authentic Ethnic:– Empanadas, Tempuras, Noodle Bowls; incorporates foods with high

price/value relationship

So…what does this mean!?!• We know that we have a high percentage of customers that

are looking for high-quality, healthy, contemporary foods• We know that if the product is what they want, they will

spend the money for it• We know that there are many similarities between our

faculty, staff and students• We can design a program that better meets customer

demand, giving them what they want, when and where they want it.

• We understand where our customers are throughout the day.