Limited Time Offers (LTOs) have long been a consistent driver of sales and profitability for chain restaurants. The concept is simple\u2014offer unique and\/or seasonal ingredients over a restricted period of time. National and regional chains have used LTOs very skillfully, supplementing their regular menus with on-trend ingredients, flavours and dishes that help them stay relevant in competitive environments.<\/p>\n
Chains also are adept at capitalizing on another LTO benefit, this one on the cost side. Operators can maximize profitability by timing the market and buying products at their most favourable prices\u2014and then using the products to create LTOs priced in line with or higher than regular menu prices.<\/p>\n
Independent restaurants have not generally employed LTOs to the same degree or with the same sophistication as chains, largely because of concerns about product availability, price and consistency. It\u2019s time to put those apprehensions aside. The trend toward smaller core menus as a means to control costs practically requires operators to use LTOs as they strive to keep the guest experience fresh. Luckily, new tools and resources are available to help independents implement LTOs more easily and effectively. <\/p>\n
While chains have mastered the art of the LTO, the truth is that independents are even better positioned to utilize them. Independents have the ability to execute more nimbly, manage their brand more effectively and create more relevant connections with local audiences. Offering LTOs also reinforces customer perceptions that menu innovation comes from the independent sector of the restaurant industry. <\/p>\n
The ability of independents to quickly field any form of LTO is an undeniable competitive advantage. The time it takes for an independent to plan and execute an LTO is much shorter because there are fewer people involved at each step of the process:<\/p>\n
LTOs must support your brand. It can be tricky to balance the need to deliver the fresh experience guests expect with the necessity of reinforcing \u201cwho you are.\u201d But it\u2019s essential\u2014you don\u2019t want to confuse guests (who may visit twice a month on average) with mixed messages. Think about how you can extend your brand through an LTO. For example, if your brand position is, \u201cthe best dry-rub barbecue house in the city,\u201d you might consider adding dry rub to different steak and chicken cuts\u2014purchased at favourable commodity prices\u2014as LTO options.<\/p>\n
Historically, LTOs have been promoted through simple table tents and\/or server communication. Today, your online and social media presence allow you to share more timely and customized messaging to guests. The guest perception of independents as \u201clocal\u201d allows you to connect more meaningfully with customers, especially if you link LTOs to local events such as:<\/p>\n
The ultimate success of an LTO will always rest on quality food and execution. But emphasizing a community connection in LTO marketing will help you maximize value and impact.<\/p>\n
Increasing access to diverse foods and a desire for more food exploration continues to raise guest expectations for new and unique dining experiences. The LTO can be employed to deliver experiences that create a true point of differentiation in the market\u2014and to test the value of differentiations before they make it to the full menu. <\/p>\n
The key is to remain focused on your brand but stretch your current guest experience and attract new guests. Consider subtle extensions of the brand that may elevate cheque average or appeal to different audiences. Getting back to the above example of the best dry-rub barbecue in town\u2014testing boil-in-the-bag\/low-country seafood with the same dry rub ingredients could enhance your cheque average and expand your customer base. <\/p>\n
The finite shelf life of an LTO enables you to test new ideas with manageable risk. Even if it doesn\u2019t work as well as hoped, you haven\u2019t invested anywhere near what you would in adding an item to your regular menu. <\/p>\n
You should plan LTOs on a quarterly basis\u2014so now is the time to plan and test them for Easter, Mother\u2019s Day and other spring holidays. Here are some simple steps you can take to maximize success:<\/p>\n
LTOs are essential to meeting guests\u2019 desire for new experiences. You can be sure that guests will seek these experiences elsewhere if you don\u2019t offer them. Remember, independents are better able to utilize LTOs than chains, so you should not hesitate to employ this competitive advantage. <\/p>\n
The upcoming spring holidays are prime occasions to reach guests who may not normally visit your establishment. Give them something to talk about, anticipate and savour.<\/p>\n
Ask your Sales Representative about Created to Inspire, a publication showcasing new, on-trend products you can use to be first to market with an LTO.<\/p>\n","protected":false},"excerpt":{"rendered":"
Keep guests coming back for more and offer them an expanded experience by nailing Limited Time Offers. Limited Time Offers (LTOs) have long been a consistent driver of sales and profitability for chain restaurants. The concept is simple\u2014offer unique and\/or seasonal ingredients over a restricted period of time. National and regional chains have used LTOs […]<\/p>\n","protected":false},"author":19,"featured_media":26932,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[122,68,123,112],"tags":[],"class_list":["post-25635","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-catering-small-business","category-culinary-ideas","category-hotels-hospitality","category-restaurant-bars"],"acf":[],"yoast_head":"\n