If you plan to start your own restaurant, then you should know that there will always be competition wherever you decide to hold your business. These competitors will do what they can to stay ahead, meaning that they’ll come up with strategies that will allow them to gain an advantage over other restaurants.
So if you plan on entering the market, then you must learn everything about your competition and assess the situation before making any decisions. And that’s why this article is going to teach you all that you need to know to do a restaurant competitive analysis.
Restaurant Competitive Analysis Template
Stay ahead of your competitors’ when it comes to your restaurant business by simply downloading and using our ready-made restaurant analysis template that comes with a preformatted layout. With this template, you can conduct an in-depth analysis of other restaurants and compare them with your own. You can open and edit this document in any file format.
Restaurant Competitive Analysis Example
Check out this wonderfully-made restaurant competitive analysis template that is sure to give you a great competitive edge over your restaurant business competitors. This preformatted file comes in A4 and US letter size and is compatible with Google Docs. You can customize this printable document before downloading it in formats like MS Word and Mac Pages.
Sample Restaurant Competitive Analysis XLS
Restaurant Competitive Analysis Template
How to Do a Restaurant Competitive Analysis
Remember that the purpose of doing this type of analysis is so that you can learn as much as you can about the other competitive restaurants within your area. By knowing everything that there is to know about them, then you should be able to see whether you should enter the market or not. If you’re already running an existing restaurant, then the information can still help you by allowing you to figure out what you can do to get a competitive edge. The more you learn about the other restaurants, the better your chances of finding success in the industry. You may also like competitor analysis templates.
With that in mind, here are the steps that will allow you to conduct a proper restaurant competitive analysis:
1. Look Into the Current Market Situation
Whether you’re just about to open up your restaurant or if you’re already running one, you must know everything that there is you need to understand the current market situation. This is very important as it will help you realize the kind of situation that you’re in, as well as help you look into other factors that could affect your restaurant’s success. Feel free to also go through our worksheet competitor analysis templates.
So what you’ll want to do first is to look into the size of the market share. Do you think that there are way too many restaurants within the area you want to set up shop? Is it possible for newer restaurants to earn a good amount of the market share should they decide to open? These are questions that you’re going to have to answer to understand how much is left in terms of the market share in an area that you want to set up shop. You may also see free analysis templates.
Then you want to look into the different types of customers that you can market. Is there a specific type of audience that the majority of the competition is aiming for? Are there any potential customers that have been untapped by your competition? Do you think that your restaurant can attract its target audience or is the competition too much? Again, these are questions that you will need to answer to the best of your abilities.
And lastly, is there any room for growth in the market? What this means is that is there a chance for restaurants to grow in the area? Is it possible that more and more customers are going to come to see which restaurants they should go for? Learning about growth is always going to be important as setting up a shop with no room for growth will just end up in the restaurant becoming a failure. You may also see customer analysis.
To help you acquire all of this information, assign the employees that you believe are competent enough to help you. So long as you gain what you need, then there shouldn’t be too much of a problem when making important business decisions.
2. Learn About the Top Competitors Within Your Area
If you’ve already understood the current market situation and you feel as if that it’s still a viable option to open up your restaurant, then the next step is to consider the top competitors within the area. This is also important for those of you who currently own existing restaurants as you want to learn about your competitors as much as you can to keep or gain a competitive advantage. You may also find our market analysis templates highly helpful.
The way to do this is by knowing what makes a restaurant a huge competitor in the industry. Are there ones in particular that seem to be attracting the most customers? Do you see that some have superior marketing tactics? If the answers to those questions are yes, then most likely they’re the ones that you’re going to have trouble dealing with. You can also read sample industry analysis templates.
Simple Restaurant Competitive Analysis DOC
3. Learn About the Businesses That Haven’t Seen Success and the Weaknesses of Your Top Competition.
Although it’s important to learn about the top competitors within the area, learning about the businesses that haven’t met success can also come in very handy. The reason for this is because learning what may have caused their downfall will potentially allow you to avoid the same thing to happen to your restaurant. Also, you should learn about the weaknesses of your competition as well. That way, you can check if your restaurant has similar weaknesses and fix them immediately, which could then result in you gaining a competitive edge. You may also read social media competitive analysis.
So whether you’re learning about those businesses that failed or the weaknesses of the ones currently standing, you should carefully choose the sources of information that you are going to use. One method of gaining the information that you’re going to need is by going through review sites. That way, you can learn from the customers themselves about any complaints that they may have had about the restaurant that they dined in.
Use what you’ve managed to gather and figure out if there’s anything that you need to fix or improve in your restaurant. Do this, and you won’t have to worry about your establishment closing down any time soon. You may also read case analysis templates.
What to Do With the Results of the Analysis
When you’ve managed to finish conducting your sample analysis, you still need to know what it is that you should be doing with all of the information that you’ve managed to gather. So here are a couple of things that you should be doing with them:
- Come up with effective marketing strategies – Now that you’ve figured out what it is that you need to know about the competition, then all you have to do now is to come up with a way to get an edge against them. One of the best ways you can do that is if you can come up with marketing strategies that will compel your target audience to do business with you rather than your rivaling restaurants. You can decide to use the strategies of your competition against them, or you can come up with ones that are more suited to your restaurant. Either way, you’ll have to think about the best type of promotional material as well as what marketing channels to use if you ever want customers to learn that your business exists.
- Check if there are opportunities that you can take advantage of with the information – There are always going to be opportunities in the market, all you have to do is to figure out which are the ones that you need to take advantage of. With all of the information you’ve managed to gather, you should be able to see which opportunities are the ones that will benefit your restaurant the most, and the ones that you should stay away from. You can also read requirement analysis templates.
If you want to learn how to conduct other types of analysis, then all you have to do is to go through our site. It has many different articles, all of which should have information that you should be able to make use of. So as long as you can read the ones that you’ve chosen thoroughly, then you won’t have to worry about whether or not you will be able to properly utilize what you’ve learned.