The New Role of Data in Restaurant Supply Chains
The most successful restaurant suppliers today rely on data to drive their strategies.
And shifting from being traditional vendors to strategic partners in the industry helps supplier brands stand out.
Moreover, they are transforming into a resource that shapes their clients’ success.
A crucial factor in this evolution is the use of restaurant benchmark data.
Some of the top metrics to watch include:
- Traffic
- The number of customers visiting a restaurant within a specific period. Traffic insights enable suppliers to gauge when restaurants are busiest and when they may need more support or product supply.
- Dine-In
- On-premise dining where customers eat inside the restaurant. This helps suppliers understand how in-house experiences influence product choices.
- To-Go
- Orders that customers pick up and take off-premises to consume. To-go data highlights opportunities for packaging solutions and products suited to off-premise dining.
- Sales
- The total revenue generated from all purchases in a restaurant. Sales data helps suppliers understand overall market demand and the health of their restaurant partners.
But how are restaurant suppliers using data to gain a competitive advantage?
Predictive Reporting
One of the key benefits of using benchmark data is predictive reporting.
With insights from traffic trends, suppliers can anticipate demand changes and adjust their operations accordingly.
Using benchmark data helps restaurant suppliers stay in sync with their clients’ needs.
Suppliers can predict and adjust changes based on demand by tracking traffic patterns.
This allows optimization ahead of time for deliveries, inventory, or promotions.
For example, a beverage supplier shifts delivery schedules based on a restaurant’s traffic. Hypothetically, let’s say the restaurant’s traffic during peak seasons or weekends might increase by as much as 15-20%.
Meanwhile, off-peak periods could see decreases of 10-12%.
When traffic is high, the hypothetical liquor supplier can see an increase demand for their product. Likewise, off-peak periods see less orders.
Thus, using benchmark data, suppliers can optimize their delivery schedules, leading to the restaurant always having enough stock at the right time.
Additionally, they can help their clients manage inventory management and promotions.
Thus, benchmarking data can lead to better alignment between suppliers and restaurant needs.
Strengthening Customer Relationships
Benchmark data transforms suppliers into valuable partners, helping them build stronger relationships with their restaurant clients.
By understanding which segments are thriving versus struggling, suppliers can offer proactive solutions.
Benchmark data also helps suppliers go beyond basic transactions and become valuable partners.
For instance, let’s say a distributor forecasts that a brand needs more disposable supplies during a busy season.
Then, the distributor can suggest an order of supplies in advance.
This proactive approach strengthens the relationship between the distributor and the brand.
Moreover, it shows that the supplier is invested in their clients’ success—not just making sales.
Driving Sales and Growth Decision-Making
Benchmark data helps shape sales strategies and identify growth opportunities for restaurant suppliers.
By analyzing performance metrics, suppliers can pinpoint which establishments are thriving versus struggling.
Benchmarking can aid your sales team in planning strategic efforts when targeting restaurants.
This can be broken down by region, restaurant size, or service type.
Ultimately, leveraging benchmark data for decision-making helps suppliers make smarter, more informed choices.
Thus, suppliers maximize revenue potential while positioning sales teams as strategic restaurant partners.
In much the same way as Small Sliders uses restaurant data to drive and/or validate expansion decisions, suppliers we work with use it to understand performance across different segments and regions.
From this information, they can then target their sales approach and drive operational efficiencies accordingly.
This data-driven approach boosts short-term sales.
Additionally, it establishes long-term, profitable relationships with restaurant clients.
ROI of Benchmark Data
Leaning into benchmark data unlocks several tangible benefits for restaurant suppliers. Here’s how it impacts ROI:
- Inventory Optimization:
- Data-driven insights allow suppliers to adjust stock levels based on restaurant traffic patterns, preventing both overstocking and shortages.
- Increased Sales:
- Focusing sales efforts on high-demand periods and thriving restaurant segments results in better targeting and higher conversion rates.
- Operational Streamlining:
- Predictive analytics enable better planning for promotions, deliveries, and inventory, reducing waste and improving overall workflow.
- Customer Retention:
- By anticipating client needs and delivering proactive solutions, suppliers build stronger, more profitable relationships, leading to long-term business growth.
Each of these factors contributes directly to improving profitability and customer satisfaction, making benchmark data an indispensable tool for restaurant suppliers.
Conclusion
In conclusion, restaurant suppliers that embrace benchmark data gain a significant strategic advantage.
By leveraging traffic trends and predictive reporting, they can anticipate their clients’ needs.
Additionally, restaurant suppliers can optimize their operations and build stronger, more profitable relationships.
Restaurant suppliers can move beyond basic transactions.
They can become trusted partners, helping restaurants navigate market challenges and seize opportunities. Ultimately, using data to make informed decisions drives customer success and business growth.
Instead, focus on positioning your restaurant supplier’s brand as an indispensable ally to restaurants.
Learn more about how you can leverage the gold standard in restaurant benchmarks.