Strategy and Implementation SummaryEmphasize service
We will differentiate ourselves with SERVICE! We will establish our business offering as a clear and viable alternative for our target market, from the scores of "rubber chicken", frozen food, and "Happy Birthday singing" restaurant chains.
Build a relationship-oriented business
Build long-term relationships with customers, not single-visit deals. Become their restaurant and destination of choice. Make them understand the value of the relationship.
Focus on target markets
We need to focus our offerings on specific population groups as the key market segment we should own. We do not want to compete for the buyers who go to fast food or "microwave frozen foods" types of "restaurants. We definitely want to be able to sell to smart, quality conscious customers.
5.1 Competitive EdgeClearly, our competitive edge is the customer service experience and approach that our management team will bring to the table. Our smiling, unassuming and good natured approach to all of our customers is evident, and highly appreciated. Our recipes are delicious, and the portions are large. The foods are fresh and satisfying, and the drinks are fulfilling and refreshing.
5.2 Marketing Strategy
An overview of the marketing plan includes:
• Kids Tours • Gift Certificate Program • In-store comp cards
• Direct mail • Free surprise dinners for radio station DJ's.
• Charity events for senior citizens, high schools, grade schools, churches and community centers.
• Trade shows • Vintner and Chef Dinners
• Eye-catching exterior and interior neons, fountains and torches.
• High profile interaction between our managers, and the customers.
• Excellent service and high food quality every single day in the restaurant.
5.2.1 Positioning Statement
The Fire Fountain Grille. Sizzling, Refreshing, Exciting! For A Dinner To Remember...
5.2.2 Pricing Strategy
Prices are fit to attract the consumer who prefers a quality steak for a reasonable price. The prices are above those of operators such as Sizzler®, El Paso BBQ® and Black Angus®, are below Ruth's Chris® and Morton's®.
5.2.3 Promotion Strategy
The Fire Fountain Grille uses a mix of various promotions and media to spread news about ourselves. This includes:
- Direct mail, generated from in-store "Event Cards" and customer's business cards. Event cards are forms that the customers fill out so as to receive notices of our upcoming events.
- Young people's tours, to generate enthusiasm among the kids in our area, who in turn spread it to their folks.
- Eye-catching exterior neons and torches.
- In-store comp cards for appetizers and desserts.
- Free surprise dinners for radio station DJ's.
- Charity events for senior citizens, high schools, grade schools, churches and community centers.
- Trade shows, to promote private dining, banquets and catering.
- "Vintner and Chef Dinners" bringing together the wine making and culinary fields at showcase events, to be held at the Fire Fountain Grille.
- High profile interaction between our managers, and the customers.
- Excellent service and high food quality every single day in the restaurant.
5.2.4 Marketing Programs
Children's tours will be an ongoing program that has proven to work over and over again. The kids are brought to the restaurant by teachers or parents, in groups of no more than 25, and are greeted at the door by our manager. They all go inside and are seated near the Fire Fountain where they are told a cool short story. They then are taken on a tour of the store and kitchen and get to go inside of a giant refrigerator, and see some cool cooks doing their thing. Then everyone is seated for a free lunch of "Chicken Toes" or "Hot Doggies" and soda pop. Everybody talks a little about restaurants and other neat stuff. When its time to say goodbye, we take pictures and everybody gets an appetizer or dessert card, and some promotional menus. When the kids come back with their parents, we address the kids by their first names and treat them special.
5.3 Sales Strategy
We require our servers to have a thorough and comprehensive understanding of the menus, ingredients and methods of preparation of all of our foods and beverages. We train our staff to always describe and recommend items, even to regular customers, and to always upsell. The key to a server's success in upselling is the realization that it almost always brings in better tips because the checks are higher.
The Fire Fountain Grille will aggressively sell gift certificates. The strategy behind gift certificate sales is simple and proven. Most GC sales occur during the holidays. Most GC's are then redeemed in the post holiday months of January and February, helping drive sales in those traditionally slower months.
5.3.1 Sales Forecast
The first month sales will open strongly, because of the advance buzz created by our pre-opening marketing, and our Grand Opening Festivities. Sales will drop off slightly as we begin to sort out our operational patterns. September is a slower month for restaurants. October and November see sales begin to build as we continue with our marketing, and relentless quality. December sees a sharp spike upward as the Holidays are in full swing. A typical week for the first six months will look like this (conservative estimate):
Years 2005 - 2008 will see an 8% annual increase. Costs will be higher during the start-up months.
5.4 Strategic Alliances
The Fire Fountain Grille will align with hotels, movie theatres, live theatres, cab companies, banks and retail stores in an informational brochure exchange. Each business will have a chance to promote the other businesses at their place of business. Additionally, our respective businesses will barter with each other, using gift certificates and comps.
The milestone table is set up as a flow-chart. We opted to exclude budgeted dollars in the milestone category because we detailed these dollars in the start-up table. The milestone table is specific in detail, allowing for the smooth flow of functions that are necessary to set up the restaurant on schedule for the Grand Opening. Each function is timed to coincide with the proper execution and time needed to complete each task. Each Managing Partner has specific duties assigned specifically to his area of expertise. The end of the milestone table also shows the beginning of the 2004 marketing plan.