Comprehensive Report: Menu Development, Planning, Design, and Pricing

This report provides a comprehensive overview of menu development, planning, and design within the restaurant industry. It delves into key considerations for costing and pricing menus, including competitor pricing, ingredient costs, equipment, labor, and consistent food quality. The report also examines the menu engineering matrix as a tool for optimizing menu design, positioning, pricing, and maintenance to enhance restaurant profitability. Furthermore, it includes examples of accurately costed and priced menus catering to diverse customer requirements, along with an analysis of various costing and pricing approaches employed by restaurants to achieve higher profitability. The report concludes by emphasizing the crucial role of menus in enabling restaurants and food service institutions to deliver superior customer service.

Menu Development,
Planning and Design

Table of content
 INTRODUCTION
 Key considerations into account when costing and
pricing menus
 Menu engineering matrix
 Produce accurately costed and priced menus to meet a
range of customer requirements

INTRODUCTION
Menu is defined as the list if food items that includes salad, appetizer, beverages and
desert as well as contains relative prices. Now these days restaurants includes pictures
of dishes and ingredients and serve to it customers through physical and electronic
form.

Key considerations into account when costing and
pricing menus
 Price of competitors
 Price and seasonality of ingredients
 Equipment
 Labour cost
 consistent food quality

Menu engineering matrix
Menu engineering is considered as the key that determines that how menu is designed
, positioned, priced and maintained for the purpose of improving the profitability
ratio of restaurant.

Produce accurately costed and priced menus to
meet a range of customer requirements
A B C D E F G H I J
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%
Non veg. Lasagne
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
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%

Analyses approaches of menu costing and
pricing
There are various costing and pricing approaches are used by the restaurant that helps
to determine the cost and help to set prices that lead restaurant towards attaining the
objective of higher profitability.

CONCLUSION
As per above report, it is concluded that menu plays important role in restaurants and
food service institutions that enables then to serve better services to customers.

REFERENCE
 Chen, C.W., 2018. Guidance on the conceptual design of sustainable product–
service systems. Sustainability, 10(7), p.2452.
 Cho, M., Bonn, M.A. and Terrell, B.B., 2019. Interaction effects between contract
specificity, competence trust and goodwill trust upon supplier opportunism and
relational stability: A focus upon restaurant performance. International Journal of
Contemporary Hospitality Management.
 Fusté-Forné, F., 2021. Robot chefs in gastronomy tourism: what's on the
menu?. Tourism Management Perspectives, 37, p.100774.