Restaurant Management: Analyzing Internet Marketing and Menu Options

This case study analyzes the marketing and menu strategies for a restaurant, focusing on the debate between internet and traditional advertising methods and the choice between a fixed menu and completing pre-prepared meals. It evaluates the benefits of internet marketing, such as its low cost, quick service, easy measurability, demographic targeting, and tech-savvy reach. The study also examines the financial implications of different menu approaches, comparing the fixed costs and potential food wastage of a fixed menu with the variable costs and higher pricing of completing pre-prepared meals. The goal is to provide insights for Robert to convince his father, Frank, about the best strategies for the restaurant's success and provide financial projections to support the marketing initiatives. Desklib is a platform where students can find similar solved assignments and study resources.

Running head: RESTAURANT MANAGEMENT
RESTAURANT MANAGEMENT
Name of the Student
Name of the University
Author Note

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Table of Contents
Answer to Question 5......................................................................................................................2
Answer to Question 6......................................................................................................................4
Approach one: Fixed Menu.........................................................................................................4
Approach two: Completing Pre-prepared meals..........................................................................5
References........................................................................................................................................6
Additional Readings........................................................................................................................6

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Answer to Question 5
Although the concern of Robert`s father can be understood, it needs to be understood
that, the internet advertising is one of the most popular and modern methods of advertising for a
certain business and with respect to ensuring success in the long run, a firm would be required to
check that, they are successfully able to engage in the right medium of advertising
(Entrepreneur.com 2019). Hence, with respect to this, Robert will be required to ensure his father
that, he will be customizing the internet advertising for the welfare of the firm and according to
the capabilities of the firm. Hence, Robert`s father needs to be provided with the assurance that
in addition to the internet advertising, Robert would also make use of the traditional methods of
advertising. The use of the internet advertising in the domain of the firm can be stated to be as
follows:
 It is a low cost approach: The internet marketing serves as a low cost approach and goes a
long way in ensuring the firm will be successfully able to target a large group of
customers. As the financial risks as involved in the business can be stated to be
comparatively very high, it can be considered important for the business to ensure that,
they are engaging in methods which help the firm to save considerable costs. For this
reason, the internet marketing can be understood to be a cost saving method and can be
adopted by the firm.
 It provides quick service: The internet marketing as a medium is also able to provide
quick services to the different business (Yim, Lee and Kim 2014). This means that the
amount of time taken using the medium of internet advertising is comparatively lesser
than the other mediums and the time till which the impact of internet adverting is dealt
with is much faster in nature.

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 It is easier to measure and track the results of the firm: The internet marketing also needs
to be made use of as it is comparatively easier to measure and track the different progress
easily. With respect to this, it needs to be mentioned that, a firm should be able to track
the progress of their advertising easily and in relation to this, it is important for the firm
to understand whether their initiatives are valid or not.
 The firm can engage in demographic targeting: In order to make the people aware of the
sauces and the barbeque and to address the concern of Robert`s father, it needs to be
understood that, the internet market enables the demographic testing
(Ukbusinessforums.co.uk 2019). In line of this, it can be mentioned that, if a firm wants
to ensure that the right people come to know about the offerings of the brand then, they
need to engage in internet marketing which will enable them to perform well and
moreover, they will also be required to undertake considerable initiatives in order to see
to it that the internet marketing gets directed towards the right audience itself.
 The internet marketing ensures tech savvy marketing: The internet marketing also assists
in ensuring that the business is successfully able to reach out to the different consumers
and advertise about the products of the firm (Thebalancesmb.com 2019). The tech savvy
marketing medium has long ranging impacts and in this regard, it can be rightfully
mentioned that by using the medium of internet marketing, the firm will be able to ensure
that, the organization is able to reach out to a larger audience base. In the same manner,
the firm would also be able to make overseas clients for itself.
Having discussed the overall benefit of the internet marketing, it can be largely
understood that, to alleviate the concerns of Frank, Robert would be required to ensure that, in
addition to the intent marketing, the traditional marketing would also be required to be used by

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the firm whereby they could use the medium of print media and flyers along with radio and
newspaper advertising to ensure that they are being able to reach out to the designated target
audience and also ensure that they are successfully able to achieve the overall goals of the firm.
Hence, it lies the main concern of Robert to ensure that he is able to assure his father that
the use of the intent marketing would result in the overall benefit of his firm. In addition to
presenting his father with the above analysis about the benefits of Internet marketing and the use
of Traditional marketing for the same, it becomes considerably important for Robert to present
financial projections to his father which will then further assure him of the marketing initiatives
which need to be taken.
Answer to Question 6
Approach one: Fixed Menu
In the first menu option, as recommended by Frank, the different dishes which will be
offered to the different customers should be done from the fixed menu and hence, prepared in
advance. In this kind of an option, the menu will comprise of limited options as it is not possible
for the firm to ensure that at the time of the delivery, there are no problems. The kind of costs
which will be incurred in this medium can be stated to be relating to the costs which will be fixed
in nature. This is because, the different items will be already prepared in advance. Hence, when
there exists an estimation with respect to the question whether the nature of costs is concerned, it
can be mentioned that all the costs will be largely fixed in nature. However, in such a scenario,
there lies chances of the food wastage as the estimates which are undertaken by the restaurant
may go wrong as well (Regions.com 2019). Additionally, the pricing of such a system for the
customers can be quite low when compared to the meals which are prepared in advance because,
in case the restaurant owners are investing in any item, they will not incur any additional costs.

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In such a case, the goods meals should be priced at a rate of 15$ per meal. This will ensure that
all the fixed costs of the firm are covered and the firm can gain considerable profits as well.
Approach two: Completing Pre-prepared meals
The particular concept as proposed by Robert can be stated to be a rather new concept
and aims to provide an extra service to the different customers as per their taste (Ozdemir and
Caliskan 2014). To ensure that the particular system is successful, the restaurant would be
required to prepare a base meal. Moreover, as per the customer needs, the restaurant would be
required to add different items to the main base meal. It is for this extra addition, that the
customer will be charged an extra fees for. The pricing of the product will be kept at a high
because in this type of an offering the company is incurring additional variable costs. The price
of this item will be higher because of the given reasons.
The meal shall be prepared after the customer pays for the item and hence, the man
power cost will be have to be taken into consideration.
Secondly the cost of the add ons will be higher and will be required to prepare the fresh
meals.
In this case, the restaurant can charge 25% per meal. Additionally, on the positive side, the firm
would not incur any inventory wastage.

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References
Entrepreneur.com 2019. Article on marketing [online]. Available at:
https://www.entrepreneur.com/article/78002 (Retrieved on: 27 Mar. 2019).
Ozdemir, B., and Caliskan, O. ,2014. A review of literature on restaurant menus: Specifying the
managerial issues. International Journal of Gastronomy and Food Science, 2(1), 3-13.
Regions.com 2019. Small business [online]. Available at:
https://www.regions.com/insights/small-business/operations/the-ideal-customer-target-audience
(Retrieved on: 27 Mar. 2019).
Thebalancesmb.com 2019. Pricing strategy [online]. Available at:
https://www.thebalancesmb.com/the-new-business-owner-s-guide-to-pricing-strategy-
1201235(Retreived on: 27 Mar. 2019).
Ukbusinessforums.co.uk 2019. Marketing tips for promoting your small business [online].
Available at: https://www.ukbusinessforums.co.uk/articles/10-simple-yet-powerful-marketing-
tips-for-promoting-your-small-business.737/?q=/do/people/why-were-closing-businesszone
(Retrieved on: 27 Mar. 2019).
Yim, E. S., Lee, S., and Kim, W. G., 2014. Determinants of a restaurant average meal price: An
application of the hedonic pricing model. International Journal of Hospitality Management, 39,
11-20.
Additional Readings
1. Principles of Marketing: “Chapter 8, Section 3: Functions Performed by Channel
Partners

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2. Principles of Marketing: “Chapter 1: What is marketing?”
3. Principles of Marketing: “Chapter 7, Section 2: Managing New Products: The
Product Life Cycle”