What's Hot in Restaurant Design
Transcript of What's Hot in Restaurant Design
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Sunday, August 9th1:45 pm—2:30 pm
“Examining current design trends in the restaurant industry. How Fast Casual elements, changing consumer demands, and new technologies are shaping successful restaurant designs.”
Why having a “hot design” is so important.
How trends influence design.
Examples of what’s “HOT”!
NEW ORLEANS MORIAL CONVENTION CENTER
Date: Saturday, August 2, 2014
Time: 11:45 am —12:30 pm
Presented By:Brent Bueche, PresidentScot Byrd, Vice Presidentwww.bbiusa.com
BBI Architects Spaces that workT
FEATURED SPEAKER PRESENTATION:
“What’s Hot in Restaurant Design”
AUGUST 9TH, 201562nd
ANNUAL
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Sales Data:
Remodeled Stores +15%Rebuilt Stores +25%In-Store Dining +42%
Data is from March 2015 investor’s call
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Sales Data:
Foot traffic +12%Remodeled Stores Sales + 9%To-Go Orders +22%Net Earnings +22%
Data is from March 2015 investor’s call
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Sales Data:
Remodeled Stores +18%
In addition to new builds, Arby's is remodeling existing restaurants across the system to the Inspire design and to date has remodeled nearly 40 restaurants and expects to remodel 180 total by the end of the year. On average, remodeled restaurants are experiencing sales increases of 15 percent or more, and in some cases more than 20 percent. - From Arby’s press release dated April 5, 2015
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Sales Data:
Revenue Increase +16%Net Income +38%
“Our initiatives are enabling us to continue taking market share including our Brand Transformation remodels which are generating even stronger guest satisfaction scores.” - Steve Carley, CEO
Press Release – May 19, 2015
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2002 – Truett Cathy publishes his book.
Selects BBI Architects as its sole architect for prototypes, conversions, and remodels.
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2014 – Chic-fil-A surpasses KFC as number one fast food restaurant with over $5 billion in sales.
KFC has $4.2 billion in sales.
Chic-fil-A 1775 storesKFC 4491 stores
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2012 – Dairi-O selects BBI Architects as its sole architect.
Sales for new prototype 4 times existing stores, more than double QSR industry leaders.
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2015 – Rapidly accelerating growth of locations and steady increases in same store sales.
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$3.0M3.5% netProfit, $105K
$4.0M7.9% netProfit, $315K
$3.5M6% netProfit, $210K
Increasing Sales Matters!It Matters a Lot!Sales in
Millions
Chart showing the breakeven point of sales that meets fixed and variable costs is $2.5M. Variable run rate of profit is 21%.
15% increase in sales resulted in a 50% increase in profit!!!
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SummaryWhy Hot Design is Important?
– Making it fun!– Making it last!– Making money!
For many typical restaurants, a 15% increase in overall sales can increase net profits 50%.
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Wayne Gretsky “Skate to where the puck is going,
not where it has been.”
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• Person reaching young adulthood around year 2000.
• Estimated population: 75.3 million in US 2.5 billion worldwide
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Traits• Digital Native• Social Media Culture• Civic Minded• Health Conscious
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1. Numbers2. Sales at restaurants and bars overtook spending at grocery stores in March for the first time ever
According to Commerce Department as reported by Bloomberg April 14, 2015
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Seating Options Seat with a View Seat of a View
"Millennials view dining out as a social event (i.e. another chance to connect),"
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Interest in Preparation “Tables in the kitchen” Open kitchens
Variety of Experiences within the Restaurant
Keep it Interesting
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Industry Segments Blur Fine Dining going
Casual Fast Casual going
quick serve
Day Part Flexibility
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Energy Efficiency Appliances Lights
Sustainability Recycling Grease Storm water
Green Energy Solar
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The Basics: Wi Fi Charging Stations Electrical Outlets
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Sales Tools: Digital Menu Boards LTO Promotions Up Sell In House Video
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Remote Ordering KioskVoice Recognition Pay at Table Digital Menu Interactive Tables
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ConclusionThanks for attending today’s presentation.
It was our pleasure to be here today!
Copies will be sent to all attendees via email