Strategies for Building a Loyal Customer Base in the Food and Beverage Industry

Verified

Added on  2023/01/19

|5
|3218
|69
AI Summary
This article discusses the strategies that can help restaurants in building a loyal customer base in the food and beverage industry. It covers topics such as delivering exceptional services, connecting with customers through social media, using advanced technology, and sending personalized thank you messages. The article also highlights the role of operational technologies in increasing business performance and the management skills required within food and beverage organizations.

Contribute Materials

Your contribution can guide someone’s learning journey. Share your documents today.
Document Page
FBOM
FACTSHEET 1
INTRODUCTION
Food and beverages services operations management can be defined as a function within a manufacturing
and other organization that oversees production process in order to ensure that products are made in
accurate manner. This present study is based on Frankie and Benny's food chain theme restaurant. It
was opened in 1995 and has approximate 260 locations across the UK. This will going to show
different businesses in food and beverage industry like fine dinning restaurant, ethnic restaurant.
Different types of businesses use different rating system which helps them in evaluating their strengths
and weaknesses. It shows some current as well as future trends like changing demands of customers,
hygiene factors that affect this industry. Further, this study will also show importance of marketing and
technology functions that are being used by different businesses. It is also important to have
professional skills and knowledge of legal requirements for working in a food and beverages industry.
Lastly. This report will discuss some strategies that helps a restaurant in building a loyal customer
base.
Different types of food and beverage industry
There are various types of food and beverages business like catering and restaurant business which would
provide the services to the customers. Customers are provided with services of drinking and eating.
Restaurants are providing the services like food and beverages to customers. It consists of the services
which could be quick, as well food provided can be consumed quickly like fast foods. It can also be big brands and as
well chains of the restaurant as well franchises. Family dining restaurant is the family restaurants where the
restaurant is concentrating on the services of food items which would include the quality of the services and the
quality of the food provided. Restaurants are divided on the basis of the cuisines, formality, cost and location.
Restaurant named Frankie and Benny is chain of restaurants which are having numerous outlets in the UK. Frankie
and Benny is also providing food delivery services to the customers (Rezitis, and Kalantzi, 2016).
.
Catering business is gearing up in UK where the food is prepared for special events and venues like wedding and parties. Catering is done by the
catering companies and festival food coordinators. It is challenged by the food safety and food handling problem in large groups. Catering is divided
into Event catering and catering done in banquets halls. Catering is depended on the event, cooking of the food and delivering the food and serving
the food as well. some companies provide full services like managing the work related the food and beverages, decoration on the event and clean up
after the event. In that case of providing full services, company is also called event management company.
Food and beverage industry include the business-like catering and restaurant. Restaurants is providing the services which would include
preparing food for the customers and beverages as well. Catering consists of managing the parties and the events and providing food and beverage
services.

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
FBOM
FACTSHEET 2
Different rating systems for food and beverage industry
Ratings are given to the restaurants which are providing the services of food and beverages. Ratings are given to the
restaurants on the basis of the experience of the customers in the restaurants. Frankie and Benny restaurant is provided with the
ratings are given in the form of stars like 5 star, 4 star,3 star.
Basis 1 Star 2 Star 3 Star 4 Star 5 star
Food services Services provided
at the restaurant
were not upto the
mark.
Taste of food as
well as quality of
food is not good.
Restaurants are
providing the
good quality of
food
Providing the
food according to
the prices of the
food and
beverages
Restaurant were
also providing the
complementary
services with the
good quality of
the food.
Premium quality
food and services
in provided to the
customers .
Beverage services Services for the
beverages was
quite slow and
not upto the
mark.
Services were
satisfied.
Services were
satisfied.
Services are
according to the
customer
expectation.
Services provided
were above the
expectation of the
customers.
Restaurant
services
Environment and
facilities of the
restaurant is not
good
Restaurant is not
having the
parking facility
and nor food
delivery service
Environment of
restaurant and
parking facility is
upto date.
All the facilities
in the restaurant
were upto the
mark.
.
Ratings are provided on the basis of the feedback and the reviews of the
customers. Frankie and Benny restaurant is collecting feedback and
reviews of the customers regarding the food and beverages services
provided in the restaurant. Feedback are collected through inline surveys
and questionnaire methods which will provide the needs and the wants of
customers. Reviews are collected through the websites and the review
form which is filled by the customer in the restaurants (Rychert and
Wilkins, 2016).
Ratings are given by customers, so that restaurant can improve
the services of food and beverages which will also improve the reputation
of the restaurant. Ratings are given on social media websites and
websites of the restaurant, which is seen by the by customer before
visiting the restaurant.
Document Page
FBOM
FACTSHEET 3
Food and beverage industry is facing the uncertainty in the market, because the restaurant are facing the tariffs
and other problems like shortage of labor, shortage of delivery drivers and hikes in interest rates. Restaurants are looking
into innovative things which will absorb the cost of the restaurants and increase the sales of the restaurants (Wilson,
Buckley, Buckley and Bogomolova, 2016).
Food and beverage industry needs innovation as per the time. Restaurant must adapt the strategies of using social
media and improvise the food and beverage services provided to the customers. As online marketing is increasing day by
day food and beverage industry also has to innovate services, which will satisfy the needs and wants of the customer.
Frankie and Benny must apply these trends and satisfy the needs and wants of customers. Food and beverage
industry must focus on the innovation of the products and the services must also include food and beverage details how it is
prepared and by what procedure. Nowadays customer believing on facts and transparency among the food safety and quality
as well.
Current & future trends in F & B industry
There are various trends which are affecting the foods and beverage industry which includes trends like changing the
customer preferences, food safety and quality and innovation. Frankie and Benny restaurant is affected by the following factors.
Customers of the restaurant are changing their preferences according to the facilities and the increasing standard of
living. Nowadays customers are preferred fast foods which is fully depended on the taste and likes of the customers. Customers
are affected by the food safety and quality through which customers change their preferences.
Food safety and quality is must in the food and beverage industry. Customers want to know about the food what they
eat, whether it is healthy or not and also about the procedure how the food is prepared. Transparency among the food quality is
must for satisfying the customer because customers believing on the facts, reality and what they see. There are various rules and
regulations levied on the restaurants for maintaining the food safety and quality.
.
.
Document Page
Fact sheet 4
Compare different operational and marketing technology for different types of food
Basis Frankie and Benny Chaudhry buffet restaurant
Operational technology Restaurant is using Bluetooth sensors
for the food safety which would
ensure that their food safety is up to
the par.
Restaurant are also using software
for scheduling the work of
employees of the restaurant.
Restaurant is adapting digital
inventory tracking system through
which restaurant would calculate the
inventory in the system only. it
would also give details of the assets.
Employees of the restaurant would
directly visit the system and track
each product of thge inventory.
Restaurant is adapting the newest
trend for employee management
which is virtual reality on boarding.
It consists of providing training to
the employees which would test their
skills, and they would not have to
touch the food as well.
Automated tool for purchasing the
inventory products. Through these
tool employees would let know the
low level of products and through
that one would also be alarmed for
purchasing the products because
customers in the restaurant would not
be waiting for the products and late
service would build negative image
of restaurant in front of customers.
Marketing technology Nowadays restaurant are using the
mobiles for marketing of restaurant,
through social media and using the
official websites of the restaurants.
Restaurant is using the technology of
using the pos system through which
customers can pay through banks
which is also attracting the customers
in the restaurant.
Restaurant is providing the offers
and discounts to the customers which
would attract the consumers easily.
Restaurant is also giving offers on
the online payment through which
would give cashback to the
customers on the total price of food
and beverages.
Role of operational technologies in increasing business performance
The various operational technology used by these restaurants eventually
helps them in increasing the customer number along with attracting the new
customers. As more and more customers has now become technology driven thus
having equipped with the latest and advanced platform ultimately drives the
revenues and sales of the restaurants. Like the Touch screen terminals used by
Fast Duck restaurant helps the customers in smooth placement of order. This
speeds up the order processing which results into orders entering the kitchen in
greater number and hence more food going out (Bayona-Saez and et.al, 2017).
This in turn increases the efficiency as well as the performance of the restaurant
as more order means more customer and more customers means more profit and
revenue. The restaurant upgrading to the advanced technology are likely to
capture a greater market share as along with customers, suppliers are also keen to
work for that business which have a great sense of innovation in every aspect. For
example Self-order Kiosk facilitates less time for ordering the food as the
customers can make their food package on their own. This saves their time as they
do not have to stand in a long queue for their food. Less processing time in turn
increase the goodwill of the restaurant in minds of the customers which leads to
more number of customers. This high number in the end increases the sale of
restaurant and also attracts the new customer through word of mouth. Thus, the
various operational technologies used by the restaurants directly assist the
businesses to become a market leader and expand on large platform
strategies used in range of food and beverage outlets
There are several innovative ideas and strategies that are being used by different types of
businesses of food and beverage industry with the main aim of attracting wider range of
customers and retain them. In the context of Frankie and Benny's restaurant it can be said that it
uses some attracting and unique strategies which help it out in retaining its potential customers.
Some ways and strategies are described as below:
Delivering exceptional services: Customers visit restaurant again when they feel
satisfied and valued. For making customers satisfied there is a requirement for restaurants to
deliver them excellent services at the time of their visiting. Providing them quick services,
excellent dinning experience and the best quality of food can build a loyal customers base.
Connecting customers through social media: It is not only important for food and
beverages industry to provide services them at the time of visiting but also they require keeping in
the contact with customers after services as well. Customers give reviews on the website of the
company but some restaurants do not respond to their reviews. By using social listening
companies can identify most vocal as well as active customers. So, by giving proper attention to
customers after services, they can retain them and build loyalty.
Using of advanced technology: It is stated that most of the customers prefer to do
business and engage with an organization that offers personalized service. For this purpose,
organization need to invest in customer relationship management system. It allows them to
identify their potential and regular customers as well as their preferences. By making an effective
use of digital menus, they can speed up their service (Carle and Schweiggert, 2016).
Personalized thank giving message: It is an important tool that can help the company in
attracting them and make them feel valued. By sending a personalized thank you E-mail and by
saying like We understand that you have a hectic schedule, but if you have a spare moment, we
always appreciate an honest review on our Website. These type of messages make them feel
respected and valued, and they are more likely to come up to the same restaurant

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
Fact sheet 5
Management skills within food and beverage organization
Food and beverage industry need efficient management skill which would provide effective customer
service and also useful for the restaurant as well. A manager of food and beverage restaurant must have the
skills provided below.
According to (Rana, and Paul, 2017) manager must have effective communication skills which
includes both verbal and nonverbal. Good communication of manager would build strong relations of the
customers with the restaurant. Frankie and Benny restaurant is trying to hire efficient employees which is good
in communication because it would motivate the employees as well. Through effective communication it
would also increase the sales of the restaurant.
As per (Davis, Lockwood, Alcott and Pantelidis 2018) manager must be excellent in budgeting skills
which would also improve the restaurant as well. Restaurant needs help in budgeting and minimizing the cost
of the expenses as well. Manager would look into the budget and minimize the wastage of the financial
resources for the restaurant. Frankie and Benny restaurant is trying to train the employees regarding the
budgeting skills of the restaurant
According to the (Konstantinidis, Natos, and Mattas,2019) manager must have strong leadership skills which
would encourage the employees to work. Through effective leadership skills manger would enjoy working with
the other employee of the restaurant. Frankie and Benny restaurant manager is building the leadership skills in
the employees, so that they would be able to work under pressure and would also solve the problems related to
the restaurant.
As per (Lucan, 2015) manger must have knowledge of inventory management skills, restaurant need
to manage the inventory efficiently because at the time of order customer would not want for the order. So
manager must have complete knowledge about the inventory. Inventory management skills are must for the
employees of the Frankie and Benny restaurant.
- Legal requirements and regulatory standards for food and beverage industry
There are various rules and regulations applied by UK government on the food
and beverage industry. The food and beverage industry is covering under the food and
standards act 1999 and food safety act 1990 (Khusaini, Ismail, and Rashid, 2016).
The Food and Standard act 1999
The food standard act gives the powers to the food standard agency which is
working for protecting the customer health sand customers interests. It is also looking in to
the food businesses which are not under the burden of excessive rules and regulations.
Restaurant is responsible for removing the unsafe food from the market if not restaurant
could also inform the food inspectors or other food authorities. Restaurant must also
ensure of the hygiene in the food stuffs and proper hygiene while preparing the food
stuffs. Unsafe food must be not be provided to the customers. Non veg food which must
not include the any materials which would be harmful for the customers. Utensils in which
the food is stored or given to the customers must be washed and hands must be washed
while making the food or chef must wear gloves while preparing the food.
The food Safety act 1990
The act states that the food is injuring the health of the customers, General Food
safety law is consists of food legislation and it also consists of laws of food quality, and
the labeling of the food. Restaurant must ensure that the quality of food must not be
compromised in any way, food must be labeled and presented as shown in the
advertisements. False and low quality product which are affecting the health of the
customers must not be given to the customers, if given restaurant would be charged with
the penalty. Restaurant must ensure food safety in every stage of food like preparing
manufacturing and distribution of food to the customers.
These both the acts are keeping an eye on the restaurants and the food safety is
must for the customers and restaurant must not compromise with the quality of food and
beverages.
Factors that influence consumer decision for food and beverage outlets
It is stated that the main aim of food and beverage industry is to satisfy their customers. Frankie and Benny's restaurant focus on developing customers centric strategies and approaches for satisfying them.
There are several factors which are being considered by customers on making decision regarding selecting food and beverages outlet. Some influencing factors are shows as below:
Taste: Customer go to restaurant for changing their taste and having food which can give them pleasure and taste better than home. So, it can be said that the taste of the food being better than
home-cooked food is a critical factor that influence the choice of consumers in selecting the food and beverages outlets (Steinbrook 2017).
Affordability: From a survey it is identified that several people prefer to go to restaurants who are affordable for them. By providing qualitative food an affordable price to customers, restaurants
can not only attract customers but also become the market leader.
Menu variety: Availability of variety of the menu selection is called the other main factors that influence customer in making dec ision for selecting food outlet. Frankie and Benny's
1 out of 5
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]

Your All-in-One AI-Powered Toolkit for Academic Success.

Available 24*7 on WhatsApp / Email

[object Object]