March Numbers Indicate Good Sales

With numbers matching those from December 2011, the first quarter of 2012 has shown continued strong growth.  Restaurant owners reported higher same-store sales during March.  The Restaurant Performance Index, RPI, a standard used to evaluate the health and future of the industry, indicated a 0.3 percent rise over the numbers posted in February.

 

5 Months of 100+

 

March’s numbers follow four other months where the RPI was reported to be over 100.  This indicates that the foodservice industry is expanding in key areas.  Customer levels held high throughout the month and improved traffic and sales numbers implies that customers are spending more then they have in the last four years.  It is expected that these positive trends will spread to companies who supply restaurants as well.

 

Understanding the RPI

 

The RPI measures two different pieces of the financial puzzle.  The first is the Current Situation Index which evaluates trends within a particular venue by measuring sales, expenses, and traffic.  The second piece is the Expectations Index.  As the name implies, this evaluates the outlook of the business over the next six months.  Put together, the RPI gives a reasonably accurate look at how the food industry is doing and how it will be doing in the near future.

 

Good News for the Bottom Line

 

One of the potential advantages of continued profits is the likelihood of increased employment in the sector.  Only a small percentage of restaurateurs expect to decrease their staff in the upcoming months.  Additionally, may are expressing a degree of optimism in regards to growth and improved sales for much of 2012.  In fact, many operators are feeling quite positive about the improving economy, with nearly a third expecting an uptick in profits in the coming half year.

 

The main areas of concern which may put a damper on the upward movement are fuel and commodity costs.  Fuel costs traditionally rise during the summer months.  Commodity prices have also been creeping higher, forcing restaurants to increase prices.

Nation’s Restaurant News Announces Upcoming Event – Menu Trends & Directions

Menu Trends & Direction will be held September 27-28, 2011. If you are involved in menu planning, development, or promotion, this event offers the education and networking that restaurateurs want to keep up with culinary trends and menu planning.

 

The event is open to foodservice operators only. You must be a direct employee of a restaurant. If you are a consultant, marketer, manufacturer, or advertising agency, you will not be allowed on site. Official registration will be confirmed by NRN.

 

This year’s event will be held at Gaylord Texan Resort and Convention Center in Grapevine, Texas. The resort has over 400,000 square feet in meeting and exhibition space and over 4 acres of indoor gardens, dining, and shopping. For six years in a row, it has received the AAA Four Diamond Award.

 

Some of this year’s speakers include:

 

•  VP of Food for Panera Breads, Dan Kish
• President of Culinary Development at the Cheesecake Factory, Bob Okura
• Vanderbilt University’s Director of Dining, Camp Howard
• Executive Editor of NRN, Sarah Lockyer

 

The meeting will include interactive round table discussions, brainstorming sessions, and presentations on the current state of the economy and the effect of commodities pertaining to the foodservice industry.

 

If you work in the foodservice industry as a manager or executive, you are probably aware of the gravity of respect that is given to NRN. NRN acts as the main resource for trends, information, and news in the foodservice and restaurant industry. Housing over 19 full-time editors, the staff includes CIA graduates, a Pulitzer Prize recipient, food columnist and former restaurant and hotel executives.

 

If you are considering attending this event, it is a great opportunity to network in the foodservice industry and to learn about current trends in menu planning whether you work in fast food, casual dining, or fine dining. Registration is $350 and will be confirmed by NRN with a letter of acceptance.