This presentation discusses the key factors in menu planning and pricing, including the impact of costs and revenue, seasonality restrictions, and business environmental policies. It also provides a priced menu example.
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Menu Development, Planning and Design
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Cover Content Introduction The impact of costs and revenue from various sources The impact of seasonality restrictions on menu costs calculations Business environmental policies Conclusion References
Introduction Menu Planning is a crucial element within a restaurant as without a menu the customers will not be able to know what options are available within the restaurant or cafe. This presentation is based on Pasco Cafe which is located on a busy high street, is located between a railway station and offices and thus has regular customers. The presentation explains key factors that need to be kept in mind while pricing menus and also presents an accurately priced and costed menu.
The impact of costs and revenue from various sources Staffingcosts–Staffingcostsareanimportant component within an organisation. In context to Pasco Cafe, the management will determine the efforts and cost of raw material that go in the preparation of a particular dish or beverage and will then decide the final price that will be put in the menu.
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Continue… Energy costs –The owner of the cafe will determine the amount of energy that is used while preparing the dish as well as its cost and will then set the price accordingly.
The impact of seasonality restrictions on menu costs calculations Every restaurant offers some dishes that are based on a particular season since the ingredients that go in it are available accordingly which that prices of that particular dish or beverage will be high as compared to other items. This can include juice of a particular seasonal fruit or a food dish. Thus, Pasco Cafe should inculcate certain seasonal items in its menu to increase its profitability.
Business environmental policies Current economic climate –The current economic state of the region will directly impact the operations of the respective cafe. Implications on menu costing and pricing –The price of the products in the menu will involve certain time, cost and amount of efforts which will impact the overall pricing of the menu.
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Priced Menus To Meet A Range Of Customer Requirements Menu Item Total Sold Menu PricePortion Cost Food Cost % Portion C.M.[1] Total Food Sales Total Food CostTotal C.M.C.M.% Ham Sandwich12£10.95£2.7525.00%£8.20£131.40£33.00£98.4024.00% Tuna Sandwich8£11.95£4.2536.00%£7.70£95.60£34.00£61.6015.00% Salad10£6.95£3.7531.00%£8.20£69.5£21.5£4820.00% Cheese Sandwich5£10.95£3.5032.00%£7.45£54.75£17.5£37.259.00% Crisps4£14.95£5.2535.00%£9.70£59.80£21.00£38.809.00% Veg. Lasagne6£12.95£4.0031.00%£8.95£77.70£24.00£53.7013.00% Veg Burger5£15.95£7.2545.00%£8.70£79.7536.25£43.5010.00% Totals50£568.5£151£337.75
Continue… Item Total Sold Menu Price Portion Cost Food Cost % Portion C.M. Total Food Sales Total Food Cost Total C.M. C.M. % Cappuccino31£6.75£1.9328.59%£4.82£59.83 £209.2 5£149.424.63% Cafe Latte211£6.75£1.7225.48%£5.03£362.92 £1,424. 25 £1,061.3 3 31.54 % Espresso71£6.95£1.5322.01%£5.43£108.63 £493.4 5£384.82 10.61 % Hot Chocolate19£7.50£2.2329.73%£5.27£42.37 £142.5 0£100.132.84% Tea78£5.95£1.5526.05%£4.40£120.90 £464.1 0£343.20 11.66 % Cafe frappé129£6.45£1.6826.05%£4.77£216.72 £832.0 5£615.33 19.28 % Cold Coffee130£6.95£1.7625.32%£5.19£228.80 £903.5 0£674.70 19.43 % Total669ACM =£4.98 £1,140.7 0 £4,469. 10 £3,328.9 3 100.0 0%
Conclusion From the presentation, it can be concluded that several considerations should be taken into account while deciding the prices in a menu like staffing cost, energy cost, current economic situation of the region etc. Besides this, there are several calculations that should be made in order to get an idea about the different costs that will be involved.
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References Rauws,W.andDeRoo,G.,2016.Adaptiveplanning:Generating conditionsforurbanadaptability.LessonsfromDutchorganic developmentstrategies.EnvironmentandPlanningB:Planningand Design. 43(6). pp.1052-1074. Roggema, R., 2017. Research by design: Proposition for a methodological approach.Urban science. 1(1). p.2.