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3 Common Problems Restaurants Face And How To Solve Them  

Starting any new business comes with its set of challenges. No matter the industry, the first year is a period of trial and error, where most business owners give up. The same is for restaurants too. 7 out of 10 food businesses close in their first year. There are many restaurant problems faced by new restaurateurs that they fail to manage without a proper plan.

If you are planning to start your restaurant, we have a list of common restaurant problems which might come in your path and how you can solve them. Take notes because this is your guide to overcoming challenges with ease.

Common Restaurant Problems And How To Solve Them 

Managing a beverage and food business isn’t just a full-time job. Owners and staff become overwhelmed when confronted with restaurant problems from all sides. Issues of labour turnover, budget limits, and fickle customers are one of many ones that need to be constantly tackled.

The f&b retail industry looks glamorous from the outside, but as they say, all that glitters is not gold. Here are the most common problems faced by every new restaurant, along with the solution to help you become the next famous eatery in town:

1. Managing High Operations & Variable Cost 

The Problem: 

Restaurant revenue margins are notoriously thin, and rising minimum salaries and property rates make it challenging to balance profit-and-loss accounts. For most restaurants, understanding and balancing cost vs revenue can be an impossible task. 

To acquire a comprehensive picture of your expenditures, you must be a math whiz, great at spreadsheets, or combine your technology.

restaurant problem solving examples
The first challenge faced by every restaurant is managing cost and revenue

The Solution: 

If the notion of different spreadsheets isn’t enticing, use your POS software, accounting software, and scheduling platforms to create meaningful labour and sales reports.

For a new business, managing restaurant costs can be challenging, which can affect the restaurant’s revenue. Here are some ways through which you can optimize the restaurant cost:

  • Look for ways to boost revenue through DIY meal kits, catering, or branded products
  • Reduce the total quantity of ingredients required and plan a low-budget menu
  • When preparing ingredients, use a scale to avoid over-portioning dishes
  • To enhance operating cash flow, adjust promotions based on fluctuating food costs or inventory availability
  • With a weekly report showing beverage, food, and labour costs, you’ll always know where you stand.

2. Poor Customer Service 

The Problem:

This is a typical restaurant problem not just for new but old restaurants as well. When you are new in the business, your staff is also new. They might not be equipped to greet the customers correctly. 

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Customers are frequently put off by poor customer service. Customers will remember poor service even if your food is excellent, your table arrangements are magnificent, and your environment is pleasant.

The Solution:

The key to success is satisfied consumers who want to return repeatedly.

  • To ensure your success, your entire team – from management to hostesses to wait for staff and busboys -should be committed to the well-being of your customers.
  • Your employees’ interaction with consumers should be pleasant, friendly, and accommodating.
  • When hiring new staff, train them according to the standards of your restaurant. Hold frequent sessions where you internally make your staff interact with each other and guide them to be their most pleasant self.
  • Tackling tricky or rude customers is also a skill your staff must have. Before you open your restaurant for the public, do a trial run to see if your team is prepared. 
problems customers face in a restaurant
Inexperienced wait staff can be a huge challenge for a new restaurant

3. Generating Public Awareness 

The Problem:

One of the biggest restaurant problems faced by every business is awareness. It is a herculean task to inform everyone that you are ready to serve them. Restaurants stick to traditional methods of restaurant marketing. They are unable to reach a larger audience.

It is difficult to put on your marketing hat every day. However, it is not something that you can ignore. It will affect the restaurant’s cost in the longer run. 

The Solution:

As a new restaurant, you need to create a solid and effective marketing strategy that covers every platform. Before your launch, ensure that you have a functional website and a digital presence.

In today’s world, people search for new restaurants online to understand the vibe and see the menu. If they cannot find your restaurant, they will not trust you.

Here are some more things you can do to gain maximum public awareness: 

  • Create social media profiles and post organic content 
  • Design a digital version of your menu to enable customers to see it online 
  • Run frequent and consistent promotions 
  • Host contests and giveaways for consumer engagement 
  • Start getting positive google reviews from customers 
restaurant problems and solutions
Marketing is an effective tool every new restaurant should keep in mind

Being a new restaurant in today’s climate means understanding consumer sentiment. Gone are the days when all it took for a restaurant to be famous was good food. There are modern restaurant problems, and for that, you need modern solutions like the ones mentioned in the article.

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Anukriti Singh
Anukriti Singh
A strategist by the day and writer by night, I find solace between books and coffee cups. A firm believer that words are the most powerful tool of the humankind


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