Food and Beverage Management
Product Development
The food and beverage product
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Is what operators construct and provide
Marketers tend to identify the product
as having tangible and augmented
features
Helpful to apply this framework to the
development of concepts
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
The five meal experience factors
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2.
3.
4.
5.
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Food and beverages on offer
Level of service
Level of cleanliness and hygiene
Perceived value for money and price
Atmosphere of the establishment
The importance of these factors to the
customer changes depending on the needs
they have at the time
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Possible factor ranking for different
meal experiences
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Food and drink
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Provision must clearly focus on the
needs and demands of the consumer
The menu and beverage offerings are a
list from which customers construct a
package to suit their own needs
Customer needs can be diverse
Trying to satisfy everyone can lead to
satisfying no one
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Level of service
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Service is a part of the product and
includes the human (usually) interface
between the product and the consumer
This interaction can deliver benefits to
the customer and should therefore be
designed into the product
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Service framework
Adapted from Martin 1986
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Cleanliness and hygiene
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Relevant to the premises, equipment
and staff
Increased media focus
Customers more aware of the issues of
cleanliness and hygiene
Essential to ensure proper levels of
cleanliness and hygiene at all times
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Price and value for money
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Price relates to value, and is directly
related to profitability
Prices should be set to create a quality
and value perception
Need to establish the price range of
potential customers
Also need to establish the price range in
which the operator can provide the
products
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Value a personal judgement
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Good value is where the worth is
perceived as greater than the costs
Poor value is where the costs are
perceived as greater than the worth
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Cost is not just the price
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Also includes:
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not being able to go somewhere else
transport costs
time
having to look and behave certain way etc
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Various pricing methods
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Cost plus
Prime costing methods
Backward pricing
Rate of return
Profit-per-customer
Elasticity of demand
Competition comparison
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Atmosphere
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Created through the combination of
factors such as:
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Design
Décor
Lighting
Heating
Furnishings
Acoustics and noise levels
Other customers
The staff and the attitude of the staff
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
European Foundation for Quality
Management Excellence Model
Adapted from EFQM, 2010
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Customer service versus
resource productivity
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Providing customer service
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A combination of five characteristics:
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2.
3.
4.
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Service level
Service availability
Level of standards
Service reliability
Service flexibility
The ‘customer service specification’
must take these into account
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Level of service:standards of service
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Level of service
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very limited to complex with high levels of
personal attention
Standards of service
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measure of how well the operation
deliverers the service level it is offering
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Level of customer service
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Written statements of both:
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Technical specification
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Service specification
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physical characteristics of the products
procedures and the way they are carried out
Often called the ‘customer service
specification’
Need for balance between maintaining
customer service and resource productivity
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Integrated Service Quality
Management Model
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Consumer product relationship
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Final stages of development:
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Determine promotional channels
Estimate profitability
Plan product launch
Offer product and appraise performance
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Possible message and media
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers
Web 2.0 applications
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Emerging trend
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User-generated content on website such
as: Tripadvisor, Facebook and Twitter
Also includes: blogs, social networks,
metaverse, podcasts, wiki, tags and RSS
© 2011 Cousins et al: Food and Beverage Management, 3rd edition, Goodfellows Publishers