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The Importance of Knowing Your Restaurant Customers

There are many aspects that you need to take into account to make your restaurant a successful one, but there can hardly be a more critical aspect than knowing your customers. Why am I saying this? It is pretty simple. If there are no customers, there is no restaurant. Of course, there is an assumption within this statement, namely that knowing your customers will help you attract customers and keep the ones you already have. Maybe this connection doesn’t seem so apparent to you right now, that’s why I want to help you understand the following two things in the rest of the article:

  1. Why is it important to know your customers?
  1. How can you get to know your customers?

Why Is It Important to Know Your Customers?

Knowing your customers is not just a nice-to-have, it’s a necessity. Whether you’re planning to open a restaurant or looking to grow your existing one, understanding your target market is key. This knowledge can guide your decisions, from the type of restaurant to the location, and ultimately, help you attract and retain customers.

Knowing your customers is invaluable for someone who wants to open a restaurant. Most of the decisions you have to make regarding your restaurant are based on your target customers. Think for a moment about some of these decisions.

Consider this scenario: you’re passionate about opening a fine dining restaurant. You envision an elegant, formal setting with strict etiquette. But where should you place your restaurant? It’s crucial to choose a location where people can afford to dine in such an establishment. This is where customer knowledge becomes invaluable. Understanding their income levels and spending habits can guide you in selecting the right location, ensuring the success of your fine dining venture.

Let us look at another example. Suppose you want to open a restaurant close to where you live. You have yet to decide what type of restaurant to open, and you are not very interested in this aspect. You want to understand more about the opportunities you have. You look around and see many families in the area where you live. Wouldn’t it be foolish not to open a family-style or casual restaurant? Knowing the customers you want to serve can help you choose the type of restaurant.

Many other information about customers, such as gender, age, income, spending habits, where they live, and the generation they belong to, significantly influence the decisions you have to make when opening a restaurant. The above examples have shown this quite clearly. But all this information not only influences the decisions related to opening the restaurant but will also help you tremendously attract new customers and keep the existing ones. How? Let us turn to the second perspective.

Each of us desires to feel special and be treated personally, even when making a purchase. This is not just a statistic but a fundamental human desire. As a restaurant owner or manager, you have the unique opportunity to meet this desire. By understanding your customers’ dining habits, dietary restrictions, and favorite dishes, you can offer them personalized recommendations and create a truly memorable dining experience. This level of personalized service can set your restaurant apart from the competition and foster a strong emotional connection with your customers.

Customer knowledge is not just about understanding your patrons; it’s also a powerful tool for marketing and promotional efforts. By understanding your customers’ demographics, preferences, and behaviors, you can develop targeted marketing campaigns that resonate with their interests. This targeted approach can lead to higher response rates, increased customer acquisition, and more effective customer retention strategies. For example, if you know that a significant portion of your customers are health-conscious, you can promote your healthy menu options to attract more of them.

Knowing your restaurant customers also fosters a sense of community and belonging. Think of the impact of just calling someone by name formally instead of that impersonal relationship between waiter and patron. Building solid relationships with your patrons and demonstrating genuine care for their satisfaction can create a loyal customer base that feels valued and appreciated. This sense of loyalty can translate into long-term business success and sustainability, as satisfied customers are more likely to return and recommend your restaurant to others.

Last but not least, knowing your customers, especially the feedback you can get from them, is a powerful tool for improving your restaurant as a whole, specific operations such as customer service, or even certain dishes. Once customers see that you consider their opinion, they will feel that you treat them as people, not as numbers. This will give them a feeling that you care about them and that you want your restaurant to meet their needs and expectations, making them feel heard and appreciated.

How to Get to Know Your Customers?

Methods to know your restaurant customers

Above, I have presented some aspects of a restaurant that can be positively influenced by knowing your customers. I hope these aspects have helped you understand more clearly why knowing your restaurant’s customers is so important. In that case, you’re probably now wondering how you can get to know your customers, but before I give you some suggestions to answer that question, let me briefly outline what information you need from your customers.

Customer demographics is the first type of information you need to learn about customers. These are some of the customer demographics information relevant to your restaurant:

  • Name: If you want to treat your customers in a personal way, it is a good way of starting by knowing their names if they are regulars.
  • Gender: It is important to know the gender of most of your customers so that you can adjust your offers and menu.
  • Age: The difference in preferences between generations is already known. Knowing your customers’ ages will help determine what will attract them to the restaurant.
  • Income: The pricing of your dishes and offers must be sensitive to people’s income.
  • Relationship status: Knowing your customers’ relationship status will help you predict their behavior and determine what promotions attract them.
  • Average spend: Depending on your customers’ spending, you can adjust to whom you want to give discounts and to whom you will recommend other dishes to try.

Two other types of information you need to learn about your customers involve a person’s preferences and behavior.

Now, it’s time to answer the central question: How can you get to know your customers? Here are some effective strategies.

  1. Use customer relationship management (CRM) tools and software to collect and analyze customer data. This may include information such as dining preferences, frequency of visits, special occasions celebrated at the restaurant, and feedback from customer surveys. By analyzing this data, you can gain valuable insights into your customers’ preferences and tailor your offerings to suit their needs better.
  1. Use an online ordering system like TapTasty to gain valuable insights into your online clients. These systems usually include a feedback section where customers can share their experiences, allowing you to understand their preferences and address any issues quickly. Additionally, the customer database stores important information such as purchase history and demographics you can use to tailor your marketing strategies, personalize customer interactions, and enhance overall customer satisfaction.
  1. One effective strategy is encouraging your staff to engage in personalized customer interactions. Train your employees to remember and address customers by name, inquire about their dining preferences, and make personalized recommendations based on their previous visits. These interactions create a sense of familiarity and make customers feel valued.
  1. Implement customer surveys and feedback mechanisms to gather insights directly from your patrons. Encourage customers to provide feedback on their dining experience, menu preferences, and any areas for improvement. Analyzing this feedback can provide valuable information on customer satisfaction and areas where your restaurant can improve.
  1. Monitor social media platforms and online review websites to understand what customers say about your restaurant. Engage with customers who leave positive and negative reviews and use this feedback to improve. Social media platforms also provide insights into customer preferences and trends, which can inform your menu offerings and promotional strategies.
  1. Implement a customer loyalty program or account system that tracks and rewards frequent visits. This will allow you to gather data on customer spending habits, visit frequency, and preferences. By offering personalized rewards and incentives, you can encourage repeat visits and gain more insights into your customers’ preferences.
  1. Organize special events or promotions to show appreciation for your customers. This could include hosting exclusive tasting events, themed nights or inviting regular customers to provide input on new menu items. These events show appreciation for your customers and offer the opportunity to gather direct feedback and build stronger relationships.

Bottom Line: Knowing Your Customers Means Increasing Sales

Knowing your customers is crucial for boosting sales in the restaurant industry. Personalized service, tailored menus, effective upselling, enhanced loyalty programs, targeted marketing, better inventory management, and improved customer retention all contribute to increased sales. By understanding your patrons, restaurants can create a more engaging and satisfying dining experience, encouraging repeat business and attracting new customers, ultimately achieving sustained sales growth.

Elvis Păunovici Author
Being a knowledge-thirsty person with a background in languages and literature, Elvis Păunovici ventured into the restaurant management software industry, where he gained first-hand experience with restaurant systems and had the opportunity to meet and learn from numerous owners of restaurants. In his spare time, he enjoys reading.