Insights
Part 3: Menu Optimization
~CSP Podcast Series
A critical component of foodservice profitability is the menu. To Salaria, a c-store’s menu must be unique and executed with razor-sharp efficiency.
Two companies executing their menus with discipline and efficiency are American fast-casual chains Chick-fil-A and Chipotle Mexican Grill. Chick-fil-A focuses on chicken while Chipotle emphasizes fresh modern Mexican bowls, tacos, and burritos. In both cases, the value proposition to the consumer is variety, quality and speed—made possible through a core set of ingredients cooked with one method and assembled on one production line. Notably, neither chain offers burgers or pizza or other tangentially related food.
There is a reason for that; introducing a new menu item outside their core ingredient and operating chassis could require “unique equipment, unique processes and a unique work design,” Salaria noted in Part 3 of the podcast series.
In Salaria’s experience, Chipotle Mexican Grill’s introduction of the quesadilla underscored a harsh reality for c-store businesses: introducing new menu items can add complexity and at times become unprofitable. When Salaria was an executive at a large East Coast chain, for example, she introduced grab-and-go fresh salads, which were popular with customers but posed operational and financial challenges. Fresh salads require “single-use ingredients,” such as cucumbers and mixed greens. And these must be sourced and inventoried only for making a salad. Hence, not easily profitable.
Salaria decided to pivot back to what the company had become famous for: made-to-order subs. In a twist, the company began offering “old-fashioned subs” with bread baked twice a day and meat portioned in real time on actual slicers, each wrapped in traditional butcher wrap. It was a hit—and profitable.
“It doesn’t matter how scrumptious your food items are if you can’t make money doing it,” Salaria said.
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