Menu Development, Planning, and Design Report for Pasco Cafe Business

This report focuses on menu development, planning, and design for Pasco Cafe, aiming to enhance profitability and attract customers. It delves into key considerations for costing and pricing menus, including staffing costs, revenue figures, seasonality restrictions, and the cost of produce. The report presents an accurately costed and priced menu, detailing items, sales, costs, and profit margins. It includes tables with calculations for food and beverage items, showcasing food cost percentages and contribution margins. The conclusion emphasizes the importance of these considerations for effective menu planning and costing, as well as accurate calculations for sales and costs. The report offers valuable insights for entrepreneurs in the food service industry looking to optimize their menu strategies.

Menu Development,
Planning and Design

Table of Contents
 Introduction
 Key considerations while costing and pricing menus
 Accurately costed and priced menu
 Conclusion
 References

Introduction
Menu Planning and Design are among most crucial practices for a café or
restaurant while developing menu. An innovative and creative menu attracts a
greater number of customers and also enhances overall profitability of the business.
The presentation is based on Pasco café, which is located on a busy street between
a railway station and offices. The owner of the café wants to revise its menu in
order to enhance profitability and attract more customers. The presentation explains
key considerations that should be kept in mind while deciding process of items in
the menu.

Key considerations while costing and pricing menus
Some of the key considerations that should be taken into account while costing
dishes and menus are as follows –
 Staffing Costs – It refers to salaries as well as benefits that are related to the
payment of employees within the café. The owner of Pasco café should analyze
the amount of efforts and labor that go into the preparation of a particular food
dish. This will affect the pricing of items in the menu.
 Revenue figures - If the café generates large amount of revenue, then prices of
food items in its menu will also be high.

Cont…
Business environmental policies and the extent to which they impact the
costing of menus
 Seasonality Restrictions – Some ingredients are available in a particular
season only which means that the prices of dishes that include these
ingredients can vary from other dishes in the menu.

Cont…
 Cost of Produce – It can be defined as a concept wherein the price of
final product is determined by the sum total of all the resources that go
into the making of the same. Therefore, Pasco café should take into
account prices of the various ingredients that go into the preparation of
a particular dish.

Accurately costed and priced menu
Menu
Item Total Sold Menu Price Portion Cost Food Cost %
Portion C.M.
[1]
Total Food
Sales
Total Food
Cost Total C.M. C.M.%
Ham Sandwich 12 £10.95 £2.75 25.00% £8.20 £131.40 £33.00 £98.40 24.00%
Tuna Sandwich 8 £11.95 £4.25 36.00% £7.70 £95.60 £34.00 £61.60 15.00%
Salad 10 £6.95 £3.75 31.00% £8.20 £69.5 £21.5 £48 20.00%
Cheese Sandwich 5 £10.95 £3.50 32.00% £7.45 £54.75 £17.5 £37.25 9.00%
Crisps 4 £14.95 £5.25 35.00% £9.70 £59.80 £21.00 £38.80 9.00%
Veg. Lasagne 6 £12.95 £4.00 31.00% £8.95 £77.70 £24.00 £53.70 13.00%
Veg Burger 5 £15.95 £7.25 45.00% £8.70 £79.75 £36.25 £43.50 10.00%
Totals 50 £568.5 £151 £337.75

Cont…
Item Total Sold Menu Price Portion Cost Food Cost % Portion C.M.
Total Food
Sales
Total Food
Cost Total C.M. C.M.%
Cappuccino 31 £6.75 £1.93 28.59% £4.82 £59.83 £209.25 £149.42 4.63%
Cafe Latte 211 £6.75 £1.72 25.48% £5.03 £362.92 £1,424.25 £1,061.33 31.54%
Espresso 71 £6.95 £1.53 22.01% £5.43 £108.63 £493.45 £384.82 10.61%
Hot Chocolate 19 £7.50 £2.23 29.73% £5.27 £42.37 £142.50 £100.13 2.84%
Tea 78 £5.95 £1.55 26.05% £4.40 £120.90 £464.10 £343.20 11.66%
Cafe frappé 129 £6.45 £1.68 26.05% £4.77 £216.72 £832.05 £615.33 19.28%
Cold Coffee 130 £6.95 £1.76 25.32% £5.19 £228.80 £903.50 £674.70 19.43%
Total 669 ACM = £4.98 £1,140.70 £4,469.10 £3,328.93 100.00%

Conclusion
From the presentation, it can be concluded that there are various key
considerations that should be kept in mind while planning and costing
menus. These include cost of produce, availability of seasonal ingredients,
staffing costs etc. Also, in order to meet the requirements of customers
effectively, calculations of sales as well as other costs that are involved
should be carried out effectively.

References
 Amato, F. and et. al., 2016. The effects of urban policies on the
development of urban areas. Sustainability. 8(4). p.297.
 Nosoohi, I. and Nookabadi, A. S., 2019. Outsource planning with
asymmetric supply cost information through a menu of option contracts.
International Transactions in Operational Research. 26(4). pp.1422-
1450.

Thank You