The strategy of Happy hours is a globally successful sales and marketing strategy for bar businesses.
“Happy Hour” is celebrated to promote wine, spirits, and beer sales in a fancy way on special discounts. They are usually introduced on the slower hours of the day where people can come together to unwind celebrate and relax with their friends.
But if you dig deeper you will realize that Happy hour strategies are not just based on discounts and free drinks but on customer psychology and how you can make them buy more drinks.
Strategies of Happy Hour That You Need To Adapt In Your Bar Business:
Build an exclusive menu
A menu is a soul of a restaurant, hence creating an exclusive menu is going to be an integral part of your happy hour strategy.
In this menu, list of few items that are only going to be available in Happy hour. You can cover up for all the low price drinks, create combo offers with your most profitable and popular drinks along with some snacks or light food on the sides.
Also, don’t forget that there is a large population of non-alcoholic drinkers as well.
In a group of 10, if there’s even a single person who doesn’t indulge in alcoholic drinks and you don’t provide a substitute to them, that group is most likely to leave.
You need to provide something on the menu which caters to that audience. Create a special combo of mocktails or any other non-alcoholic drinks along with lot of food options.
Target your regulars
“Most sales for your restaurant business will not come from new customers but from your loyal ones”
The most important thing you need to keep in mind while creating a special menu and your happy our strategy is your target audience. You need to understand the crowd that visits your restaurant or bar regularly and create a program and menu as per their preference.
Understand whether your target customer base is working professionals who visit after work hours on weekdays or is it a young college-going crowd who comes to party?
This will help you in deciding your Happy Hours and day. If your Target audience is working professional and you keep your happy hour from 9 p.m. onwards then your customer base is very unlikely to visit your bar.
Therefore make sure you understand your target audience and cater to their desires to make them come again and again.
Offer the right price
The pricing of your Happy Hour is the most tricky and crucial parameter for the success of your strategy. To decide the pricing of the drinks and food that are going to be offered in the Happy Hour you need to carefully understand the food cost for all the menu items of your restaurant. Use your restaurant POS data to figure it out within a few clicks.
Happy Hours is all about discounted drinks and free drinks or a combo of it. When you serve a drink at half of its original price you need to cover that cost by increasing the prices of your most popular items.
Striking a balance is the key to making profits in Happy Hour strategies.
Upsell your menu items
It is tried and tested that upselling techniques at your restaurant business can skyrocket your sales. Upselling is the key to your happy hour strategy as well. Making people switch from just drinks to combos and light snacks along with drinks is simple and can boost your sales a lot.
Waiters should be trained properly to always pitch in high-profit items on the menu while upselling to customers. An incentive program always keeps the staff motivated to upsell more and more items to your customer.
Generate buzz for your Happy Hour
“80% of customers say a deal would make them more likely to dine out than eat at home”
So what are you waiting for? Leverage customers’ psychology and create a buzz about your Happy Hour offering. Promote your deals on social media, local newspapers, and even by word of mouth to build awareness about your happy hour program and highlight your drinks and food specials with it.
Happy Hour strategy is a great way to experiment with new items, understand your crowd, and increase your business profits.
After your Happy Hours, it is very important to monitor your sales. Count the total number of each item sold during the Happy Hour, and multiply the number of orders by the Profit Margin per sale.
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