Food & Beverage Management: Strategies for Sustainability & Growth

This report provides a comprehensive overview of food and beverage management within the hospitality industry, emphasizing its importance in driving business profitability and sustainability. It analyzes strategies related to product design, pricing, accessibility, and customer connection, highlighting the significance of customized menus and leveraging social media. The report also discusses the importance of standard operating procedures, servicescape, and employee training in ensuring consistent quality and customer satisfaction. Furthermore, it addresses emerging global trends such as technology integration, mobile applications, and a focus on health and wellness. The report concludes by recommending the adoption of these trends to maximize production, profits, and customer loyalty in the competitive food and beverage landscape.

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Food and beverage management
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FOOD AND BEVERAGE MANAGEMENT 2
Executive summary
Food and beverage management is a vital aspect in the hospitality industry. Its utilization is
meant to increase production and consequently affect the business profitability positively. It is
through food and beverage management that viable strategies aimed sustaining, expanding ,
growth and development of any food and beverage business. This report introduces the holistic
aspect of food and beverage management by highlighting some of its importance. The report
further analyzes the various strategies that can be formulated , adopted and implement by the
food and beverage business to ensure sustainability, growth and development. The reports
concludes by highlighting some of the recommendations to be adopted in line with the
competitive world.

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Table of Contents
Executive summary.....................................................................................................................................2
Food and beverage management................................................................................................................4
Introduction.................................................................................................................................................4
Designing and pricing of the product..........................................................................................................4
Accessibility of the product.........................................................................................................................5
Connecting with customers.........................................................................................................................5
Standard operating procedures...................................................................................................................6
Servicescape, ambience and product interiors............................................................................................6
Training of employees.................................................................................................................................7
Recommendations.......................................................................................................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9

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Food and beverage management
Introduction
Food and beverage industry is one of the rapidly growing industries all over the world. It’s
impossible for people to live without food since they depend on it from the very first age. This
industry consists of two major parts which are the production and distribution of foods and
beverages that are edible. Formulating strategies is a significant aspect of the food and beverage
industry because it helps in planning and designing the sector in a way that it attracts customers
as well as advertising itself (Green, Drake, & Sweeney, 2011). Food and industry management is
discussed and elaborated below .
Designing and pricing of the product
In a restaurant, different types of food are sold, and how the food is marketed determines the
success of the restaurant. The restaurant may use better pricing for their food in order to lower
competition in their field. Providing meals in a bundle by combining complementary such as soft
drinks being served alongside a hot dog at a fixed rate but lower than when the products are
offered independently (Ahmed, 2014). Another method of making a restaurant successful is by
using specialty. This means making the restaurant to specialize in certain foods. For example, a
restaurant can decide to provide only the fast foods such as chips, sandwiches, fried chicken,
French fries, and pizza. The advantages of specialty include increased sales for the products and
bringing more interested people together. They then become regular customers because they are
assured of quality food and customer satisfaction. A restaurant can also decide to include other
services that are appealing to customers such as in-room dining, conferences and event spaces
(Chan & Hsu, 2016). This will attract more customers and also increase the business profits. A
customized menu can be an advertising strategy in hospitality management. A menu is an

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internal advertising instrument displayed to customers meant to inform them of the services
provided in the food and beverage business. The importance of the menu includes; providing
more information about the business, setting up the theme of the restaurants to accommodate all
types of customers and it also gives the customers all the varieties so that they could make an
informed choice. A good menu communicates the vision and the brand. It should point out the
services the guests are about to receive in the hotel.
Accessibility of the product
Accessibility of the foods to customers should also be a priority for the restaurant to create a vast
customer base and establishing loyal customers. The various Ways of being relevant and
accessible to the customers include online ordering using mobile communication gadgets and
providing delivery services to the customer. Another way of being easily accessible is through
establishing a business presence on social media like Facebook, Instagram, and Twitter (Thayer,
2017). A restaurant should work towards transforming a one-time visit customer into a long-term
customer.
Connecting with customers
Connecting with customers is the process through which restaurant employee interact with their
customers. Connecting with the audience is one of the significant ways to sell a product. The
connection should involve the right audience with the right services at the right time (Cousins et
al., 2012). One of the ways to connect with customers is by listening and responding to their
problems with patience and understanding. Valuing a customer is also a way of connecting with
them as one appreciates them for visiting the hotel. Offering incentives to loyal customers make
them feel recognized in the restaurant. In order to establish a loyal customer, the first impression
is vital and also keeping track on their preferences and requirements. The management should

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endeavor to seek immediate feedback from clients especially through an online platform and
then commit to respond and resolve accordingly (Lad, 2017). Marketers should also be aware of
customer’s preference and do their best to satisfy their needs. They should also consider the
spending power of their customers and what they earn (Cousins et al., 2012). Connecting with
customers is very important for creating a long-term customer relationship.
Standard operating procedures
Although the preferences of customers vary, marketers should try their best to provide quality
products at all times. These can be done by formulating standard operating procedures that will
ensure quality. First, the company should develop a list of business processes where the manager
discusses with the employees about their duties and keep a record out of which redundancies are
checked (Davis et al., 2018). A planning process is the second procedure either as workflow or
how the managers desire it to be. Talking with employees is the third procedure since one cannot
implement it alone. Reviewing the process is essential since it measures the functionality of the
system. The system should now be maintained if it has positive results.
Servicescape, ambience and product interiors
Servicescape was advanced by Bitner and Boom to emphasize on the physical services that are
offered to customers. It aims to learn about the behavior of the people within that specific
environment (Davis et al., 2018). The services provided in a place can either attract or push back
customers. In food and beverage business, it is important to include unique a Servicescape
comprising of several elements such as color, music, scent and attracting layout design in the
physical environment. Servicescape has strong effects on the consumption experiences. A
service consumption experience and evaluation are a product of service encounter and
Servicescape components. Studies show that Servicescape and service encounter are positively

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related to pleasure, arousal, and satisfaction (Lin and Mattila, 2010). Giving excellent products
and services, creates a pleasant (clean and entertaining) environment that makes the customer
enjoy, therefore, transforming him/her into a loyal customer.
Training of employees
Training of employees is significant in the service industry since it is the first step in customer
satisfaction. With trained employees, there is surety of high production, and there will be no
wastage of money or time. Untrained employees are inefficient thus producing products that are
not of quality. Training provides skills on how to handle the customers and offer different good
and services. Non-monetary rewards are incentives to employees to work hard thus increasing
the industrial production (Kondakci, 2017). Promotion is a good example of a non-monetary
motivation. This incites the workers to work hard, satisfying the customer leading to more
profits.
Recommendations
There are global trends and changes happening in the world which the hospitality business ought
to adopt, and it has different impacts on food and beverage and industry. These trends are geared
towards providing satisfactory services while maximizing production and profits. Introduction
and adoption of leveraging technology to improve guest experiences in their industries is an
emerging global trend (Kondakci, 2017). Other trends include mobile integration where
customers are utilizing the advancement in information technology that has given rise to the use
of mobile gadgets. Additionally, the creation of an excellent reputation where customer
satisfaction is given a priority is becoming an emerging trend in the food and beverage industry.
This is influenced by the increased competition in the industry. The other trend is the increased
focus on health and wellness offerings.

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Conclusion
In conclusion, food and beverages businesses not only provide sustainability and convenience
but also creates awareness of fitness and health (Riley, 2015). That is why their products should
be of high quality and readily available to every part of the world. Due to the high competition in
the industry, hospitality businesses are forced to adopt strategic measures in order to remain in
the market. These strategies are customer satisfaction oriented. This, in turn, builds customer
loyalty and consequently increased profits. The emerging trends witnessed in the food and
beverage industry has been influenced by the strategic measures adopted by the different players
in the industry. The new trends have seen the contemporary development that is witnessed in the
industry. More innovation is expected to revolutionize the industry taking into account the
integration of technology in the industry (Schmidt, 2010). Booking of hotels, ordering, and
payment services have been automated courtesy of information technology advancement.

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References
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Available at: http://www.studylecturenotes.com/mba-marketing/product-mix-pricing-
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Cousins, J., Foskett, D., & Gillespie, C. (2012). Food and beverage management. Pearson
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Lad, K., (November 15, 2017). 8 Ways to Build Customer Loyalty for Hotel owners. Hotelogix.
Available at: https://www.hotelogix.com/blog/2017/11/15/8-ways-build-customer-
loyalty-hotel-owners/ (Accessed April 21, 2018)
Lin, I. & Mattila, S. (Oct. 15, 2010). Restaurant Servicescape: Service Encounter and Perceived
Congruency on Customers’ Emotions and Satisfaction. Taylor and Francis online.
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