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Type of restaurants Oğuz Benice Bilkent University THM 61247 F&B Management Fall 2005 Type of restaurants Oğuz Benice Bilkent University THM 61247 F&B Management Fall 2005

TYPE OF RESTAURANTS Origin of Eating Places Origin of Restaurants Origin of Cafes Origin TYPE OF RESTAURANTS Origin of Eating Places Origin of Restaurants Origin of Cafes Origin of restaurants in America.

TYPE OF RESTAURANTS Food & Beverage Service Segments in USA SEGMENT / REVENUE % TYPE OF RESTAURANTS Food & Beverage Service Segments in USA SEGMENT / REVENUE % ANNUAL GROWTH RATE % Full Service Restaurants / 38% 5, 2% Quick Service (Fast Food) / 36% 4, 7% Cafeterias / 2% 2, 9% Bars & Night Life / 4% 3, 7% Catering / 6%* 5, 8% Hotel Restaurants / 6% 5, 2% * F&B outlets in factories, commercial offices, hospitals, nursing homes, colleges and universities, primary and secondary schools, airlines, sport centers…

TYPE OF RESTAURANTS Types of Restaurants • • Luxury, fine dining room Café Ethnic TYPE OF RESTAURANTS Types of Restaurants • • Luxury, fine dining room Café Ethnic restaurant Theme restaurant (Fish, Vegetarian, Grill…) • Cafeteria • Quick Service (Fast-Food) • Others (bar, pool bar, buffet, pastry, pub…)

TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms

TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms For guest in need of security, TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms For guest in need of security, luxury, comfort or privacy. High price restaurant. Small or mid-size establishment and generally independently operated. Emphasis is on the quality and variety of food prepared by a famous chef, large variety of quality wines, as well as a very attentive service. Formal atmosphere. to be continued…

TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms Very well trained and experienced kitchen TYPE OF RESTAURANTS Characteristics of Fine Dining Rooms Very well trained and experienced kitchen and service staff. large number of employees per guest (larger than in other types of restaurants). Guests are seated. Sometimes memberships are requested. Cuisine consists of international, national or regional specialties. Food is prepared mostly “à la minute”. Open for lunch & dinner. Closed in between. Low seat turnover.

TYPE OF RESTAURANTS Characteristics of Cafés TYPE OF RESTAURANTS Characteristics of Cafés

TYPE OF RESTAURANTS Characteristics of Cafés For guest in need of socializing: to meet TYPE OF RESTAURANTS Characteristics of Cafés For guest in need of socializing: to meet new people, to be seen, or just to meet with friends and have a good time. Mid-price restaurant aiming to be fashion. Generally independently operated. Emphasis is not on food, but on a unique and casual atmosphere. Food & beverage menus are simple but usually good and available the all day. Some Cafés closes late at night. Sometimes an entrance fee is requested. Table service provided usually by young service staff, and self-service for the salad buffet. Usually no table cloth.

TYPE OF RESTAURANTS Characteristics of Cafeterias TYPE OF RESTAURANTS Characteristics of Cafeterias

TYPE OF RESTAURANTS Characteristics of Cafeterias For a large number of guests to be TYPE OF RESTAURANTS Characteristics of Cafeterias For a large number of guests to be fed economically. Generally large establishment and operated by chain restaurants. Emphasis is on mass feeding & food display. Foods are arranged attractively with attention to eye appeal. Maximum of self-service at a counter: food items are taken, paid, then, carried to the table by the guest. Food is prepared mostly in advance and ready for service.

TYPE OF RESTAURANTS Characteristics of Quick Service Restaurants TYPE OF RESTAURANTS Characteristics of Quick Service Restaurants

TYPE OF RESTAURANTS Characteristics of Quick Service Restaurants Economic or mid-price restaurant. Small or TYPE OF RESTAURANTS Characteristics of Quick Service Restaurants Economic or mid-price restaurant. Small or mid-size establishment, generally operated by chain restaurants. Emphasis is on convenience: food that is quickly prepared, served and eaten on a high seat turnover basis. Importance given to “Take home service” or delivery. Usually counter service: food items are chosen, paid, then, carried to the table by the guest. Some fast food have no seats.

TYPE OF RESTAURANTS Restaurant Chains Categories Sandwich chains: Mc Donald’s, Taco Bell, Subway… Pizza TYPE OF RESTAURANTS Restaurant Chains Categories Sandwich chains: Mc Donald’s, Taco Bell, Subway… Pizza chains: Little Caesar’s Pizza, Pizza Hut… Chicken chains: Kentucky Fried Chicken… Fine dining restaurant chains: Olive Garden, Red Lobster, Applebee’s Neighborhood Grill… Buffet Restaurant chains (all you can eat): Golden Corral… Cafeteria chains: Luby’s cafeterias, Morrison’s Family Dining… Contract chains: Aramark, Sodexho… Other chains: Chinese, Grill, Sushi…

TYPE OF RESTAURANTS Top 10 Restaurant Chains in USA RANK CHAIN CONCEPT U. S. TYPE OF RESTAURANTS Top 10 Restaurant Chains in USA RANK CHAIN CONCEPT U. S. SALES* 1 2 3 4 5 6 7 8 9 10 Mc Donald’s Burger King Taco Bell Wendy’s Pizza Hut Kentucky Fried Chicken Aramark Global Food Subway Hardee’s Domino’s Pizza Sandwich Pizza Chicken Contract Sandwich Pizza 18. 123 8. 245 5. 000 4. 994 4. 800 4. 200 3. 430 3. 100 2. 395 2. 300 * (millions $ in 1998)

TYPE OF RESTAURANTS Top 10 Restaurant Chains in the World RANK CHAIN CONCEPT 1 TYPE OF RESTAURANTS Top 10 Restaurant Chains in the World RANK CHAIN CONCEPT 1 2 3 4 5 6 7 8 9 10 Mc Donald’s Subway Pizza Hut Kentucky Fried Chicken Burger King Domino’s Pizza Taco Bell Wendy’s Dairy Queen Hardee’s Sandwich Pizza Chicken Sandwich Pizza Sandwich * (in 2002, according to their official website) UNITS* 30. 093 16. 938 12. 691 11. 815 11. 435 7. 096 6. 683 6. 064 5. 700 2. 400

TYPE OF RESTAURANTS 4 P’S of Marketing Mix Product Place Price Promotion + Politics TYPE OF RESTAURANTS 4 P’S of Marketing Mix Product Place Price Promotion + Politics

TYPE OF RESTAURANTS Particular Dimesions of the Hospitality Industry Intangibility Perishability Ease of Duplication TYPE OF RESTAURANTS Particular Dimesions of the Hospitality Industry Intangibility Perishability Ease of Duplication Simultaneous Production and Consumption Variability of Output Difficulty of Comparaison