Sales are up. Profit is not.
Turnover grows and the bank balance does not. Somewhere between what you charge, what sells, what it costs and the hours spent by hand, the profit is leaking.
does this sound familiar?
- Turnover is up and the bank balance is not.
- Discounting is the default response to a quiet period.
- Prices have not been checked against what people would pay in years.
- Every workaround adds a little to what each job costs you.
what is usually causing it.
Profit leaks add up: discounting to bring people in, manual work quietly adding to the cost of every job, and prices that were set by looking at the competition rather than at what the product is worth.
- Demandusually part of it
- Conversionusually fine
- Marginusually part of it
- Operationsusually part of it
- Experienceusually fine
- Scaleusually fine
Where this problem usually shows up. Yours won't look exactly like this, which is what the first conversation is for.
what we would check first.
01
What you charge, and what sells
What customers would actually pay, not what feels safe, and which products make money against which just make work.
02
What each job really costs you
The manual steps and workarounds that quietly add to the cost of every order.
03
The discount habit
What each promotion really costs once the discount comes off the profit rather than the price.
We find the cause first. The fix comes after the evidence, not before it.
A menu rebuilt around what each dish actually makes.
At The Anchor, the kitchen was busy and the profit didn't match the effort. Prices had been set by looking at what everyone else charged and taking a bit off. We rebuilt the menu around what each dish actually makes rather than what it costs, rewrote the descriptions to sell rather than to list, and gave the pricing a reason. Food revenue grew 98% within three months, and the growth came from the dishes worth selling rather than from selling more of everything. To be exact, that number measures revenue, not margin percentage. We do not publish a margin figure and we will not imply one from a revenue result. What this shows is the lesson: the thing that sells most is rarely the thing worth selling most, and nobody finds that out from the sales line.
tell us what's happening.
It starts as a conversation, and the first one is an hour and free. We work out what's actually causing this against your numbers, then tell you what would move them.