Managing Food & Beverage Operations: Customer Analysis Report

This report provides an overview of managing food and beverage (F&B) operations, focusing on various aspects of the industry. It begins with an introduction to the hospitality sector, emphasizing the importance of F&B within the economy. The report then delves into different types of F&B businesses, including fine dining, hotels, theme parks, and contract catering, outlining their advantages and disadvantages. It examines national and international rating systems like AA Rosettes, Michelin Stars, and Scores on Doors, highlighting how these systems evaluate service quality and hygiene. The report further explores current and future trends affecting F&B businesses, such as adventurous customers, fusion cooking, and street food vendors, and analyzes how these trends influence business operations. Activity 2 of the report focuses on customer motivation and behavior in selecting F&B outlets, considering factors like brand name, reputation, ambiance, pricing, and service quality. It also explores the influence of factors like taste and menu variety on consumer decisions. The report concludes with a brief comparison of operational and marketing technologies, and a discussion of how digital technology can improve operational efficiency.

Managing Food &
Beverage Operations

Table of Contents
INTRODUCTION ..........................................................................................................................1
Activity 1.........................................................................................................................................1
Different types of business involved under food and beverage industry. .............................1
Several rating systems used nationally and internationally in F&B industry........................3
Current and future trends that affects F&B businesses. ........................................................4
Activity 2 ........................................................................................................................................5
Title: “An analysis of customer motivation and behaviour in selecting F&B outlets”..........5
How do consumers decide on which food and beverage outlets they chose?........................5
Factors influence consumers’ decisions in choosing an F&B outlet......................................6
Strategies do different F&B outlets use to attract customers.................................................6
F&B outlets build a loyal customer base ...............................................................................7
Evaluation of effectiveness of the strategies used by different food and beverage outlets to
attract and build a loyal customer base...................................................................................8
Evaluation of the influence of digital technology on consumer buying behaviour................8
Activity 3.........................................................................................................................................8
Compare and contrast the different operational and marketing technology...........................8
Evaluate how digital technology is used to improve operational efficiency..........................9
Activity 4.........................................................................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Hospitality industry is primarily responsible for providing food services and
accommodations to consumers in places like hotels, resorts, conferences and many other such
places. This sector within an economy is dependent on availability of leisure time as well as
disposable income. Moreover, food and beverages is one of most important sector within an
economy. It contributes to a great of profitability within the hospitality industry. With increase in
standard of living food and beverages sector has shown tremendous growth. However, this report
is based on Raddsion Blu is an international chain of full services hotels. It was founded in the
year 1960 (Bowie and et.al., 2016). The purpose of this report is cover several aspects relating to
food and beverages sector. Different types of business which are significantly found under food
and beverage industry are identified. Current as well as future trend which can eventually impact
this sector are also considered.
Activity 1
Different types of business involved under food and beverage industry.
Under food and beverage sector there are several businesses which are eventually
involved. Major of them are mentioned below:
Business Description Advantage Disadvantage Example
Fine Dining
Restaurants
Such restaurants are
characterized by
highly trained chefs
who are enormously
involved in preparing
complex food items.
However, meal for
customers are brought
to table by
experienced servers.
Several career
opportunities are
created due this
category of
business under
UK (Chan and
Hsu, 2016).
Unemployment
rate is reduced
which the major
advantage of this
business.
Moreover, family
Restaurant
workers are
required to devote
a minimum
period of 8 hours
of working which
usually affects
their potential to
work.
Adam's
Restaurant
(https://
www.adamsresta
urant.co.uk/
menu/),
Melton's
Restaurant
(https://meltonsre
staurant.co.uk/)
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bond is enhanced
because quality
time is spending
together.
Hotel A Hotel is an
establishment that
essentially provides
paid lodging services
to customers for short-
term basis. However,
facilities provided
under hotel may range
from modest quality
of mattress in small
room to large suit with
several luxurious
facilities (Chathoth
and et.al., 2016).
Under this several
facilities to
customers are
provided under
one roof. Like
food and
beverages,
accommodation,
entertainment and
several other
services.
Staying under
Hotel requires
huge amount of
funds. Moreover,
working hours is
the major
disadvantage of
this business.
Under some
circumstances
workers have to
work overtime.
Four seasons
Hotel
(https://www.four
seasons.com/lond
on/), Draycott
Hotel
(https://www.dra
ycotthotel.com/)
Theme
Parks
A theme park is a type
of amusement part
which have several
rides and games in
order to entertain
consumers.
Employees are
theme park are
given high pay
scale.
Opportunities
under this
business for
growth is less
moreover there
are very few
amusement parks
present in United
Kingdom.
Alton Towers
(https://www.alto
ntowers.com/),
Thorpe Park
(https://www.thor
pepark.com/)
Contract
Catering
It is a kind business
under food and
beverage sector within
Helps in
providing foods
services at
Working hours
under contract
catering are more
Blue Apple
Catering
(http://blue-
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food services are
provided at remote
site in order to
satisfying the
requirement of
customers. Catering
site may include hotel,
hospital, park,
entertainment site and
many others.
different location
which is
enormously
helpful.
and the pay scale
is comparatively
very low.
apple.co.uk/),
Compass Group
Catering
(https://www.com
pass-
group.co.uk/)
However, there are several businesses which are essentially carried out under food and
beverages sector. This is sector within an economy which generates huge amount of income. It is
basically the people living in UK possess high standard of living and there usually spend fix
amount of income in this sector in order to potentially entertain them (Davis and et.al., 2018).
Several rating systems used nationally and internationally in F&B industry.
Within food & beverage industry there are several rating systems which is used
nationally and internationally. These rating are basically based on the kind of services which
businesses is providing to its potential customers. The rating system followed under F&B are
mentioned below:
AA Rosettes: It is a kind of grading style under which cooking standard of hotel and
restaurants are determined by AA Rosette inspectors (Gibson and Parkman,2018). It primarily
includes five stage process which is mentioned below:
 5 Rosettes: These are hotel or restaurants which are globally recognized for their cooking
standards. Employee under such business provide skilful and expertise services all around
the world.
 4 Rosettes: 4 Rosettes rating is given to top restaurants and hotels which carry its
business operations nationally. These restaurants and hotels exhibits remarkable
consistency and intense ambition.
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 3 Rosettes: Hotels and Restaurants which have high cooking standards and use several
blends of flavours in order to potential satisfy desire of customers. These hotels and
restaurants uses selection and sympathetic treatment of good quality ingredients.
 2 Rosettes: These are best Hotels or Restaurants in local area which aim to serve high
quality of food and services to its potential customers.
 1 Rosettes: 1 Rosettes are hotels and restaurants which standout in local areas. Food is
prepared with care and good quality ingredients. Around half of restaurants under UK are
given this grading.
Michelin Stars: Hotels and Restaurants under UK market can receive one to three
Michelin stars based on the services which are potentially provided by them. The star rating is as
follows: One star hotels and restaurants are those which are considered good under its category
but it usually provides limited range of services (Grobelna and Marciszewska, 2016). Two Stars
includes Hotel and Restaurants which have excellent cuisine and have unique way of serving.
These hotels have something exceptional. Three Stars hotels usually provide luxurious service
which are exceptional and unique in nature.
Scores on Door: This type of rating and grading is eventually used by companies like:
Radisson Blu, Hilton, Marriott and many more top hotel in order to significantly calculate
hygiene and safety grade given to them. These ratings are primarily displayed on internet.
National Food Hygiene is major authority of England which involved in rating of hotels and
restaurants.
Current and future trends that affects F&B businesses.
With fast moving world full of technology, the food and beverage sector is reaching new
heights which basically because of higher standard of living adopted by people living under
United Kingdom. There are variety of growth opportunities which are eventually witnessed
under this sector. However, these opportunities are enormously impacting current business
activities of Food and Beverages businesses. Some of major current as well as future trends that
affects the business operation of F&B are mentioned below:
 Adventurous Customers: These are those consumers who are willing to explore bold
flavours with multisensory experiences (Gursoy and Sandstrom, 2016). Foods items
which were once considered ordinary are in huge demand currently. However, under UK
market huge large amount of consumers fall under this category.
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 Fusion Cooking: This is major trend under Food and Beverage sector which is
enormously affecting the business activities. Under this type of orientation combination
of various food items comes in several forms. However, under UK market there are
several hotel and restaurants which potentially provide combination of two or more
regional cooking items to its customers. Fusion cooking is categorized under three
segments: sub-regional fusion, regional fusion and continental fusion.
 Street Food Vendors: This is becoming one of the major trend under food & beverage
sector where foods items are prepared and delivered to customers on streets. The most
recent of them is food on wheels wherein foods trucks prepare on in vehicle itself. This
street food vendor has enormously impacted the profitability of several hotels and
restaurants (Payne, 2016). This basically because clean and hygiene food items is
provided at affordable prices.
However, there several other trends which have enormously impacted the overall growth of hotel
and restaurants under UK market. In order to significantly overcome these factor proper market
research might be conducted so as to identify exact need of company's potential customers.
Activity 2
Title: “An analysis of customer motivation and behaviour in selecting F&B outlets”.
How do consumers decide on which food and beverage outlets they chose?
There are several factors which eventually impacts the decision-making of customers
regarding selection of food and beverage outlets. However, each consumer has different
perception while choosing a particular food and beverage outlet. Some of common factors on the
basis of which decision is made are mentioned below:
 Brand Name: The brand name potentially impacts the decision-making of potential
consumers before entering into a food and beverage outlet (Pizam, Shapoval and Ellis,
2016). If the brand name is attractive nature, then consumers usually tend to choose at
particular outlet.
 Reputation in Potential Market: Selection of food and beverage outlet is tremendously
dependent on the reputation of a particular Hotel or Restaurant in potential market. Word
of mouth is a major player under Food and Beverage Industry.
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 Ambience: Kind of Ambience provided by a Hotel and Restaurant also highly impacts
the selection of food and beverages this potentially because now-a-days consumer’s
standard of living is raised to great extent. Their ready to pay more if hospitality sector is
providing luxurious services.
 Pricing: Pricing is yet another factor which significantly impacts decision of consumers
regarding selecting a F&B outlet. Services which are affordable are basically selected by
consumers. With reference to Radisson Blu services are quite expensive in nature.
 Service Quality: The quality of services which are provided also impacts overall
decision making of customers while choosing F&B outlet. Decision is based on how a
particular service is provided by an organisation and services provided by competitors.
Factors influence consumers’ decisions in choosing an F&B outlet
There are several factors which highly influences the decision-making of customers while
choosing F&B outlet. Some of the most common are mentioned below in detail:
 Taste: This is one of the most important factor which highly influence decision making
of consumers. Under F&B work of mouth enormously impacts business activities of
Hotels and Restaurants. However, under United Kingdom consumers are highly
conscious regarding quality and taste of food (Kalargyrou and Costen, 2017).
 Menu Variety: Variety of menu which is provided by F&B outlets also influences
decision making because if a hotel or restaurant is providing wide range of food menu
than obviously several customers would be attracted towards it.
 Nutrition as a factor: People living in UK are highly health conscious and they always
want nutritious and healthy food. Therefore, F&B outlet which provide health and
nutritious food is liked by customers.
 Convenience of location: Convenience of location also influences the decision-making
because the hotel or restaurant located at centre of city is preferred more.
However, there are many more factors which influences decision making of consumers highly.
Within F&B industry it is quite easy to retain customers and in order to do this effectively
several measures might to implemented.
Strategies do different F&B outlets use to attract customers
There are variety of different strategies which are significantly available in order to
attract more and more customers towards F&B outlets. Some of them are mentioned below:
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 Collaboration with Local Businesses: Through implementation of this strategy several
new range of customers can be attracted towards the restaurant and hotel (King, 2017).
However, in order to significantly make this offer tempting, hotel or restaurant need to
offer substantial; price reduction. Collaboration with local businesses will help in
enhancing brand image in eyes of customers.
 Adoption of E-Mail Marketing: In world full of technology, e-mail marketing will
enormously help F&B outlets to attract consumers. This is one of the fastest way to build
a strong customer database. F&B shall make use of sign up links on their websites in
order to make new customers. An e-mail on weekends shall be sent to loyal customers
which might include several offers. Such strategies highly influence customers under
United Kingdom.
There are several other strategies like which helps F&B outlets to attract more customers an d
enhances their overall sales.
F&B outlets build a loyal customer base
Variety of ideas might to use by F&B outlets in to effectively build up a loyal customer
base. Moreover, these ideas highly impact overall profitability of an organisation. Proper market
analysis might be conducted in order to attain desired business objectives. Some of the ways
through which loyal customer base is built are mentioned below:
 Enhance Mobile Image: Strategies might be adopted where final customers can remain
connected to an organisation through their mobile phones. This will significantly help in
enhance customer’s loyalty (Lashley, 2016). Social media marketing also helps F&B
outlets to create loyal customer base.
 Customer Loyalty Program: Several strategies might be preferred in order set up
loyalty program. This is one of the most common method under which customers can be
offered a membership card that eventually track each time a customer visits (Litvin,
Goldsmith and Pan, 2018). Such offers help to create strong customer base.
Many such activities might be adopted by F&B industry in order to effectively build up a strong
customer’s base. Through implementation of these methods customers potentially become brand
loyal and aim to regularly visit.
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Evaluation of effectiveness of the strategies used by different food and beverage outlets to attract
and build a loyal customer base.
Proper market analysis might be conducted in order to significantly identify effectiveness
of each strategy which are adopted in order to build a loyal customers base. Few of them are
mentioned below:
 Competitiveness: Proper analysis shall be made in order to exactly identify the exact
level of competition which is potentially faced. Due this area where improvements are
required shall be identified.
 Attractive Offers: Attractive offers might be introduced by F&B so that more and more
customers are attracted. This will further help in enhancing of profitability of respective
organisation.
Evaluation of the influence of digital technology on consumer buying behaviour
Adoption of digital technology have enormously impacted buying behaviour of
consumers. With reference to F&B and latest trend which consumers have currently inherit is
that they usually order food using mobile application and items are delivered at their door step.
This trend is enormously impacting business operations. Consumer under UK are highly engaged
in taking food by this method.
Activity 3
Compare and contrast the different operational and marketing technology
Operational Technology Marketing Technology
With increase in advancement of technology
there are several operational techniques which
are essentially adopted by F&B industry. Now-
a-days people under UK are enormously make
use of e-wallets in order to pay, which
basically due to implementation of several
techniques (Manoharan and Singal, 2017).
Marketing is essence which potentially helps in
increasing sales of an organisation. Social
media marketing is one of the major tool which
has eventually become popular. Through
adoption of marketing technology brand
awareness is created.
Moreover, order which is placed in hotels and
restaurant are now-a-days taken electrically
Through adoption marketing technology the
overall profitability of an organisation is
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which made possible just because of
advancement in operational technology.
enhanced and business objective is effectively
attained.
Evaluate how digital technology is used to improve operational efficiency
Digitalization has effectively changed the overall working of almost all business sector.
However, within F&B sector through adoption of digital technology operational efficiency is
highly enhanced. Social media is one of the major tool with eventually helps in improving
operational efficiency (Moutinho and Vargas, 2018). Through social media several offers are
communicated to consumers which attract them. Moreover, operational efficiency is enormously
enhanced due to adoption of e-wallet in order to make payments.
Activity 4
Professional Food & Beverage Service Standards:
Checklist and Questionnaire Form
Food Service Skills:
1)What are 5 skills that an effective Restaurant Supervisor or Restaurant Manager must have
in order to run an efficient business?
 Effective Communication Skills
 Prompt Decision-making
 Multitasking
 Conflict Resolution
 Ability to Handel grieves of Customers
2)What are 5 important skills for maintaining standards and projecting a professional image in
the F&B industry?
 Positive Body Language
 Delegation of role and responsibilities
 Team Management
 Equipment Management
 Food Quality Management
Beverage Service Skills:
1) What are 3 different types of beverage service encounters?
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 Water, milk
 Soft Drinks and Juices
 Alcohols and Mock-tails
2) What are 3 pre-service and 3 post-service duties?
 Welcome Consumers
 Initiate Order
 Serve Order
 Collect Feedbacks
 Provide complementary services to regular customers
 Future discount vouchers in order to attract customers.
Equipment Management Skills:
1) How should equipment be cleaned and maintained pre- and post- service?
Answer: The management of Hotel as well as Restaurants should successful aim at cleaning
and maintaining equipment at pre and post services. This can be potentially being done by
using organic items in order to kill bacteria.
2) Why is it important that equipment should be cleaned and maintained?
Answer: It very important to keep the equipment clean and serve customers with full hygiene.
This is significantly done to provide delighted experiences to consumers. If equipment are
unhygienic and the customers would never visit that particular restaurant or hotel again.
Legal and Regulatory Requirements:
1) What are the legal requirements and regulatory standards in connection with the cleaning
and maintenance of equipment that Food & Beverage service outlets must comply with?
Answer: There several measures which need to performed in order to significantly meet legal
requirements and regulatory standards in connection with cleaning and maintenance of
equipment under Food and Beverage outlets. Some of them are: food and safety regulations,
food labels and many others.
2) What are some of the other the legal requirements and regulatory standards that Food &
Beverage service outlets must comply with?
Answer: Some of the other legal requirements and regulatory standards are: the safe quality
food program, licensing, food safety modernization Act, international organisation for
standardization and several others.
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3) What are the implications of failing to meet the legal and regulatory requirements of Food
& Beverage standards in terms for overall operational performance?
Answer: There are several implications which effects the operational performance of food and
beverage sector due to failure of not meeting the legal regulation of this sector. Major of them
are the overall reputation of respective organisation tend to show a negative shift, unhygienic
food items prepared weakens the business position.
CONCLUSION
From the above report it can be concluded that F&B is an important sector within an
economy which essentially generates huge amount of income. With fast moving environment
and advancement of technology people spend a large part of their income on this sector.
However, for F&B industry it very essential to significantly manage all the concerned business
activities in order accomplish business objective.
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REFERENCES
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