Factors influencing menu pricing in Four Seasons London Restaurant

This article discusses the factors that influence menu pricing in Four Seasons London Restaurant. It covers the impact of quality, competition, variety, and brand image on menu pricing.

Hospitality
Operations

Table of Contents
INTRODUCTION...........................................................................................................................1
1) Creativity and synthesis of Food production systems, Food and Beverage Service systems.1
2) Roles and Responsibility of restaurant manager of Four Seasons Hotels..........................3
3) Factors influencing menu pricing in Four Seasons London Restaurant............................5
4) Analysis of constraints of menu planning within operations of Food and Beverage.........7
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Hospitality can be referred to as the relation that prevails between the guest and the host
and the initiatives taken by the latter to satisfy the needs and choices of former. Operations
management within the confines of hospitality sector is concerned with procedures such as
planning, implementing, monitoring and controlling. All of these provide assistance to an
enterprise functioning within hospitality industry to cater to the demands of customers in an
effective and efficient manner. The most prominent sub sectors of hospitality are acknowledged
to be hotels and restaurants.
The present project is based upon Four Seasons London which is one of the most
renowned hospitality organisations of UK. This entity serves a large number of customers on a
daily basis by providing them with offerings such as accommodation, food & beverage, event,
catering etc. The project consists of an overview of food production systems as well as food &
beverage systems. Further, it comprises of roles as well as responsibilities of restaurant manager.
At last, it covers factors impacting over price of menu along with constraints and considerations
of menu planning.
1) Creativity and synthesis of Food production systems, Food and Beverage Service systems
Food production can be referred to as a procedure through which raw materials in a food
and beverage outlet is converted into finished goods, ready to be consumed by users. To execute
this process, restaurants across the globe make use of a range of food production systems. Such
different types are acknowledged to be Centralised systems, Cook Chill system, Cook Freeze
system and Sous Vide. Out of all of these, the food and beverage outlet within the premises of
Four Season Hotel take into use 2 major systems, namely, Cook Freeze and Cook Chill system.
Cook Chill system:
This is a system that witnesses normal food preparation whereby food is kept in
excessively chilled refrigerators with temperature ranging from 0 to 3 degree Celsius to store it
for long run. Such kind of food is reheated at the time of demands from guests or consumption.
The restaurant of Four Seasons London make use of this system in order to prepare food that can
last for a longer time so that the demands of guests can be fulfilled in due course of time.
Cook Freeze system:
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This system of food production seeks to prepare and store food within deep freezers in
order to ensure its long term sustainability. Such system tends to enhance the overall productivity
of operations of restaurant of Four Seasons London and generate better earnings for the
organisation. This system is taken into use by respective organisation in order to deal with bulk
orders or excessive demand like in case of events such as conferences, corporate meetings and
private parties.
Food and Beverage services can be referred to as the manner in which the offerings of a
restaurant are presented to its guests. It has a substantial contribution in gaining satisfaction from
customers and increasing the organisational revenues. There are several systems for provision of
food and beverage services, however, the system of F&B services used by Four Seasons London
are described below:-
Table service:
This system of food and beverages services is taking into use by food and beverage
outlets whereby the customers sit on the table and make orders by accessing the menu. One
attendant is assigned to each table which takes care of the demands and minute needs of guests.
The restaurant within the premises of Four Seasons London provides this type of service to
ensure convenience and ease for customers, as they are served orders on their tables. By
providing food of high quality, the respective food and beverage outlet ensures entailment of
maximum satisfaction from guests.
Buffet service:
This system of food and beverage services is a self service system whereby the diners
serve themselves. The arrangement of all the dishes is made together in a particular corner of
restaurant and guests can visit that place to refill their plates as many times as they wish. If any
kind of assistance is required by the guests meanwhile, it is provided by the staff members of
Four Seasons London. Through this, the organisation is able to instil loyalty within clientele,
thereby retaining them for a long period of time.
Silver Plate:
This serving style is quite identical to the other basic styles, however the major difference
underlies in the usage of silverware for serving the customers. This kind of service is
acknowledged to be provided only within fine dine and speciality restaurants. The reason behind
its exclusiveness is the high cost required by the organisation to implement this style and
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maintain the same for a long period of time. This serving style is adopted by the restaurant
management of Four Seasons London in order to leave an impeccable impression upon the
guests in the first time.
English Service:
This style of provision of food and beverages is quite unique as hereby, the items are
served by the waiter or waitress from large bowls as well as platters to the guests. This is a
serving style which is adopted by a large number of restaurants within the confines of United
Kingdom to leave a remarkable impression on customers.
Cart Service:
This is a method of Food and Beverage provision whereby the food items are half cooked
and brought within the service area with the help of a cart or trolley. Such trolley has one
portable heating unit which is taken into use for complete cooking of items to be served to
guests. Four Seasons London implement this style by making use of Gelato cart.
Snack Bar Service:
This is a type of food and beverage provision style whereby a tall counter is developed by
the management of restaurant from where the snacks and beverages are served to guests as per
their needs as well as preferences. Opposed to this counter, tall chairs are placed such that
clientele can sit and enjoy the items for a long time. With reference to Four Seasons London,
such service is provided within their bar.
Room Service:
This method or style of food and beverage provision is exclusively available for the
customers who have booked accommodation within Four Seasons London. Hereby, the orders
are placed by the guests from their rooms only with the help of room telephones which are
directly connected to reception area, whereby the receptionist takes the order from them and pass
it on to the F&B production department. It is after some time that the order placed by guests is
served to them in their rooms only as per their demand.
2) Roles and Responsibility of restaurant manager of Four Seasons Hotels
Restaurant manager plays an essential role in every hotel or restaurant which directly
places higher contribution in their success. Thus, it is important for every human resource
department of hospitality sector to select effective manager who could effectively manage work
of restaurant and execute all operational activities in the timely manner. With reference to
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restaurant manager of Four Seasons, it can be said that some of the main roles and
responsibilities that is expected by them to perform within the hotel are explained below one
after another in rightful manner:
Roles
The main motive of restaurant manager of Four Seasons London is to improve customer
experience so that they can easily influence their interest towards them for longer period of time.
Some of the core roles performed by restaurant manager of Four Seasons London are explained
below:
Manage restaurant operation: The first and foremost role of Four Season London’s
restaurant manager is to manage operational activities of all departments within the hotel in
rightful manner. It directly supports them in increasing productivity of the respective
departments which ultimately helps them out in satisfying customers as each and every product
or service that is delivered to customers are of higher quality. This also helps restaurant in
attaining their long as well as short term goals in quick manner.
Plan and develop restaurant marketing strategy: Another role of manager of Four
Seasons London restaurant is to develop effective marketing strategy so that they can easily
aware customer about their current offering. This strategy directly supports them in attracting
more number of guests towards the hotel which ultimately contributes in attaining competitive
edge as with effective marketing strategy more numbers of customers are using services of the
restaurant.
Respond to customer complaints: Responding customers on their complaints in quicker
manner is considered as another effective role of manager. With reference to hospitality sector, it
can be said that if managers are not responding customers then it is directly develops negative
image of company in front of customers. As a result, these customers might move to another
hotel where they are getting quicker response from the manager on their problem and also they
are getting solution towards their problem in the same manner. Here, manager of Four Season
London can easily enhance experience of customers by providing them high quality services and
addressing their compliant and issues at the same time.
Responsibilities
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Along with several roles, restaurant manager of Four Seasons London also have to
perform several responsibilities in the rightful manner. Some of the key responsibilities
performed by manager are explained as below in an effective manner:-
Ensuring guest satisfaction: It is important for restaurant manager to ensure that each
and every guest of Four Seasons London remains satisfied after experiencing the food and
beverage services of its restaurant. This can be effectively maintained by offering food of higher
quality to guests during their visit. Along with this, staff of this hotel also ensures to attend
guests with positive attitude along with the soothing smile so that they feel special. This directly
contributes in enhancing their satisfaction level.
Evaluate employee performance: The restaurant manager of Four Seasons London also
has the responsibility of evaluating performance of every staff member so that they can easily
identify that whether they are performing in rightful manner or not. Along with this, with regular
based evaluation of manager of the respective hotel can easily determine that they are required to
conduct training sessions for employees or not.
Positive working environment: It is another responsibility of restaurant manager is to
creative positive working environment for employees where they work freely without any kind
of barrier. Positive working environment also works as the motivational factor for employees of
Four Seasons London that ultimately help them out putting all of their efforts in organisational
work. This also improves their productivity and performance that directly contributes in attaining
their goals and objectives in quicker manner.
Minimise wastage: It can be seen as an essential responsibility that is required to be
performed by the restaurant manager of Four Seasons London. In this, the manager ensures that
each and every activity that is performed by staff members produces minimal wastage. The
reason behind this responsibility is to save the expenses of the hotel. This can be effectively done
by monitoring performance of the employees. It can be said that when restaurant manager
monitors performance of employees then they are easily able to identify wrong performance of
employees. As a result, they can easily take corrective action towards the same and minimise
wastage within the restaurant unit of respective hotel.
3) Factors influencing menu pricing in Four Seasons London Restaurant
Pricing policies are devised by organisations such that they can cover the cost and assist
the entity in earning profits also. In this regard, it is acknowledged that there are a number of
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factors that influence the pricing of menu within a food and beverage outlet. In this relation, the
factors that impact over the menu pricing of restaurant within the premises of Four Seasons
London are explained as underneath:-
Quality of items:
One of the most prominent aspects that have a significant influence over the pricing of
menu of food and beverage outlets is regarded to be quality of offerings. Customers intend to
visit a restaurant even when its menu pricing is high only if it provides the offerings worth the
value it is charging from people. In this regard, the food and beverage outlet within the premise
of Four Seasons London ensures that the quality of offerings is high, enough to meet the needs
and expectations of customers. Thus, the hotel does menu pricing in accordance with premium
pricing strategy. This helps the entity in covering the cost of technologies and natural ingredients
used for food and beverage preparation.
Industrial Competition:
This is regarded to be yet another factor which largely impacts upon the menu pricing of
an organisation. Setting menu prices higher than the rival firms can lead a restaurant to losses if
the quality of offerings is not effective in gaining satisfaction from the customers. In this regard,
it is acknowledged that there are several rival firms of Four Seasons London as it is a large scale
hotel. This put pressure upon the restaurant to set prices which are as per the menu pricing
strategy used in market. Thus, it can be ascertained that industrial competitiveness is a crucial
factors that needs to be taken into account by food and beverage outlets while taking decisions
associated with menu pricing.
Variety of offerings:
This is another prominent factor which is taken into account by food and beverage outlets
while taking decisions related to menu pricing. A restaurant having wide range of items would
set the menu pricing high as the expertise and efforts required to produce such food and
beverages are extensive. With respect to Four Seasons London, it is seen that their portfolio is
diverse and consists of more than one cuisine. This raises the complexity of food production,
thus making the manager set high menu prices. Also, Four Seasons offers a particular dessert to
clientele that is prepared by a professional in front of guests on their respective tables. Its cost is
quite high in the menu looking upon the expertise required to make the same.
Brand image:
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Another crucial factor that needs to be taken into due consideration by food and beverage
outlets while deciding menu prices is brand image of the restaurant at the market place. An outlet
which has extensive brand image cannot set the prices too low as it would severely hamper its
goodwill and brand value amidst customers. Looking upon this, the restaurant unit of Four
Seasons London keeps the menu pricing as premium so that it meets the expectations and brand
image of hotel at international market place. Thus, brand image also tends to significantly impact
upon the decision making related to menu pricing.
Cost of F&B items:
Yet another important factor which places influence upon the menu pricing of restaurant
within Four Seasons London is cost of items offered to customers. Such cost is acknowledged by
taking into account procurement cost of raw materials, transportation cost, seasonality of items
and many more. This provides aid to the entity in ascertaining the overall cost of producing such
dish. Thus, the prices within the menu are set as per the pricing strategy devised by the
organisation. In this regard, Four Season London leverages premium pricing method owing to
which they add a heavy margin to the cost of production of F&B items and thus put the obtained
price in the menu.
4) Analysis of constraints of menu planning within operations of Food and Beverage
Menu pricing is considered as a management procedure in relation to food and beverage
operations and acts as a foundation for other kinds of business activities and practices. In this
regard, there are several constraints and considerations that need to be borne in mind by F&B
outlets. In relation to Four Seasons London, such aspects are discussed in detailed manner as
follows:-
Constraints
Availability of ingredients:
There are several types of ingredients and raw materials that are used while preparing
food and beverages in the restaurant. Thus, this is regarded to be a crucial constraint in relation
to menu planning that needs to be carefully tackled in order to avoid adverse situations. To deal
with this, it is identified that the manager of restaurant unit pertaining to Four Seasons London
ensures that surplus stock is maintained within the premises in order to use in case of situations
like excessive demand.
Availability of Equipments:
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At the time of planning regarding food and beverage items, certain apparatus are required
which should be introduced within the premises in order to ensure maintenance of quality. Along
these lines, in arranging menu, it is significant that all machines are checked so that food
production can take place as per organisational requirements. In an instance whereby a guest
requests for a dish and it is not available within Four Seasons London due to non availability of
requirement technology or apparatus, it would leave a very negative impression upon the
customer. To tackle this, Four Seasons London ensures that the items which are included within
its menu can be produced and the machinery required for its production is present within the
restaurant premises.
Availability of talented pool of employees:
One of the most fundamental limitations that come across the supervisor while arranging
menu for eatery is aptitude of staff. It is of immense significance that employees are equipped
with total information about every single thing present in menu to provide assistance to clientele
in enhancing their overall experience. To meet the industrial standards as well as hygiene
regulations, Four Seasons London hires experienced and skilled candidates who can provide
assistance to entity in increasing its market share across the global periphery.
Considerations
Expectations and preferences of customers:
It is most important and significant factor that needs to be analysed so that menu planning
is effective in nature. It is determined that the manager of Four Seasons London’s restaurant
identifies the customers’ needs and thus includes all those dishes that might be demanded by
visitors. For this purpose, this hospitality organisation conducts customer surveys whereby it
makes enquiries from people regarding their choices and preferences. This provides assistance to
the respective enterprise in providing such items which can effectively cater to their needs and
demands.
Seasonal items:
There are many food items and ingredients that are available only in specific seasons of year.
This tends to inflate their demand at market place. In relation to this, it is seen that the manager
of Four Seasons London separately mentions such items in the menu such that they can easily
catch the eyes of guests.
Type of menu:
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Yet another consideration associated with menu planning is regarded to be the type of
menu. There are several types of menu that are explained as underneath:- À la carte: This is a type of menu which is usually developed for such customers who
intend to select dishes by themselves. This is a menu that clearly states the price of every
f&b item so that alternatives can be presented in front of guests to choose from. Out of all
the available choices, it is upon the discretion of customers to select the dishes as well as
drinks they prefer to consume. Du Jour menu: This is a kind of menu that is prepared for special kinds of dishes which
usually last for a day or two. This menu is changed by the management of Four Seasons
London on a regular basis as per the availability of dish. The menu is prepared with new
dishes on a frequent basis, in a bid to gain the attention of large number of customers and
retain them for a long period of time in future context. Wine and Beverage menu: This menu is prepared by the restaurant management of Four
Seasons London in order to provide a wide array of food and beverage items to
customers. The restaurant has special bar area for serving the various types of beverages,
including those having alcohol content. Further, the restaurant even serves wine and their
menu especially constitutes speciality wine. Non alcoholic beverages such as tea, soda
and coffee are also a part of the menu. Static Menu: This is a menu which is offered throughout the year. Static menu consists
of such F&B items which can be provided by the hotel management for the whole year.
The items pertaining to this menu constitute the reason behind a large number of
individuals visiting the premises of Four Seasons London on a daily basis. Day Menu: Also referred to as cycle menu, this is a type of menu which is offered on
some specific days. Such type of menu can be either provided on a week, bi-week,
fortnight or month basis. Four Seasons keeps this menu on festive occasions such as
Christmas, Good Friday, Thanksgiving, New Year etc.
 Dessert Menu: This is a type of menu which offers a wide array of desserts for customers
to cherish after their meals or in leisure time. It comprises of all kinds of regular as well
as speciality desserts which can appeal to people of UK in an effectual manner.
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CONCLUSION
On the basis of above discussion, it can be said that operations within hospitality sector
need to be managed in a manner such that the cost can be minimised and the needs of customers
can be duly satisfied. In addition to this, it is acknowledged that restaurant manager plays a key
role in management of food and beverage outlet as per the industry standards. Apart from this, it
is recognised that there are some key factors that place a substantial influence over the decision
making related to menu pricing of restaurants. Some of these factors are identified to be
industrial competitiveness, quality of items, varieties of offerings and brand image of the
organisation. Besides this, there are certain considerations as well as constraints that need to be
borne in mind by food and beverage outlets while doing menu planning.
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