Blue Ribbon Diner Survey Analysis November 2014 Goals and Objectives Blue Ribbon Diner is a local restaurant with locations in both Burlington and Mebane. Blue Ribbon Diner serves American style food in a classic fifties diner atmosphere. The Burlington location faces competition from both local and chain restaurants in the surrounding area. The Burlington location has been open for 25 years and has expressed a need to modernize the restaurant’s brand in order to keep Burlington residents coming back as well as appeal to a younger demographic. Our objective was to research current customers’ attitudes and perceptions of Blue Ribbon Diner in order to identify the changes that should be made to increase customer satisfaction with the brand. We also aimed to discover Blue Ribbon Diner’s strengths and weaknesses, and determine whether our findings from the focus group can be generalized to a larger population of Burlington residents. The following research questions were used to guide our study: RQ1: What are current customers’ thoughts, attitudes and perceptions of Blue Ribbon Diner? RQ2: What do customers believe are Blue Ribbon Diner’s strengths and weaknesses? RQ3: What characteristics do Burlington residents look for in choosing a restaurant? Methodology The population for the survey was Blue Ribbon Diner customers. The survey was distributed at the restaurant (Burlington and Mebane locations), and an online version was posted on Blue Ribbon Diner’s Facebook pages and emailed through the bestfoodintown e-mail list. This survey report only included data from the online survey and did not analyze the surveys distributed in the restaurants. The sample frame included diners who ate at the restaurant on the week of November 9, customers who subscribed to Blue Ribbon Diner’s email list, and customers who have liked Blue Ribbon Diner on Facebook. This was a non-probability sample. Furthermore, certain characteristics of survey respondents should be considered in order to accurately understand the survey results. A total of 223 responses were collected through our online survey. We found that 184 respondents (82.1%) were female while 39 respondents (17.49%) were male. This female majority will likely skew the survey results. Figure 1 illustrates the number of respondents from each age range that completed the survey. All age ranges were represented with the least number of respondents in the 18-21 age range (6 respondents) and the 71 and older range (14 respondents). The 46-60 age range was most represented with 72 responses. Survey RQ 1: Are you male or female? a. Male b. Female RQ2: What is your age? 18-21 22-25 26-35 36-45 46-60 61-70 71 or older RQ 3: How often do you visit Blue Ribbon Diner? a. Weekly b. Once or twice a month c. Three to four times a year d. Once or twice a year e. Less than once a year RQ 4:When was your last visit to Blue Ribbon Diner? a. Within the last week b. Within the last month c. Within the last 6 months d. Within the last year e. I can’t remember RQ 5: How do you enjoy your meal at Blue Ribbon Diner? a. I typically order takeout b. I’m just looking for a quick meal c. I’m in no rush to finish RQ 6: How likely are you to pay slightly more for a meal that features local ingredients (ex. cheese, tomatoes, lettuce, meat)? Very likely Somewhat likely Not likely RQ 7: How important is it to you that Blue Ribbon Diner adds locally-sourced foods to the menu? Not important Somewhat important Very important RQ 8: How important is it to you that Blue Ribbon Diner adds healthier options to the menu? Not important Somewhat important Very important RQ 9: How important is it to you that Blue Ribbon Diner adds smaller portion sizes to the menu? Not important Somewhat important Very important RQ 10: How important is it to you that Blue Ribbon Diner adds more vegetarian options to the menu? Not important Somewhat important Very important RQ 11: The diner theme is an important aspect of my dining experience at BRD. Strongly agree Agree Neutral Disagree Strongly disagree RQ 12: Rank in terms of importance to your dining experience at BRD: (1-6) A quick meal A community atmosphere Interactions with other customers and staff A place to eat and relax Affordable price Location/convenience RQ 13: Rate BRD’s customer service in terms of: Accuracy of service (scale of 1-5) Timeliness of service (scale of 1-5) Friendliness/personal connection (scale of 1-5) Welcoming atmosphere (scale of 1-5) Cleanliness (scale of 1-5) RQ 14: I prefer to eat at local establishments rather than chain restaurants in the area. Strongly agree Agree Neutral Disagree Strongly disagree I choose to eat at Blue Ribbon Diner as opposed to other restaurants because… I chose to eat somewhere else (other than Blue Ribbon Diner) because… Data Analysis/Detailed Findings Customers often visit Blue Ribbon on a monthly basis In our third survey question, we asked respondents how often they dined at Blue Ribbon Diner. The options were weekly, once or twice a month, three to four times a year, once or twice a year, and less than once a year. Survey respondents included 36 respondents who visit Blue Ribbon Diner weekly and 129 respondents who visit once or twice per month. A total of thirteen respondents dine at Blue Ribbon Diner once or twice per year or less. This finding indicates an opportunity for Blue Ribbon Diner to establish a more consistent customer base, with customers visiting more often. Blue Ribbon should consider tactics to create more customer loyalty. Figure 1 illustrates how frequently survey respondents dine at Blue Ribbon Diner. Figure 1. Frequency of customer visits at Blue Ribbon Diner Most respondents have recently visited Blue Ribbon Diner To gain a better understanding of when our respondents’ previous dining experience at Blue Ribbon was, we asked them to answer when they had most recently visited Blue Ribbon Diner. The majority of responses (48%) had been to Blue Ribbon Diner within the past month, and 32% of our survey respondents had been to Blue Ribbon Diner within the past week of taking the survey. These results validate that most survey participants have a current and relevant perspective of their dining experience at Blue Ribbon Diner compared to those who had not eaten at Blue Ribbon Diner within the past 6 months to a year. Figure 2. Distribution of respondents’ most recent visit to Blue Ribbon Diner Customers desire relaxed dining experience- no rush to leave In order to gain a better perspective of how Blue Ribbon Diner customers enjoy their meal, we researched their preferences of the timeliness of their dining experience. More specifically, we asked if customers generally order takeout, are in search of a quick meal, or are in no hurry to finish their meal at Blue Ribbon Diner. The majority of our survey participants (63%) reported that they are in no rush to finish their meal at Blue Ribbon Diner. Building upon the data that we collected earlier in the survey, customers are enjoying their time spent dining at Blue Ribbon enough to visit more than once a month with no hurry to get in and out of the restaurant. While our data reveals that a significant amount of our respondents enjoy spending time dining in at Blue Ribbon Diner, 32 of our respondents (14%) shared that they typically order takeout. Figure 3 further illustrates how customers enjoy their meal at Blue Ribbon. These findings indicate customer desire for a relaxed dining experience that may be about more than just the food. Blue Ribbon Diner can consider capitalizing on the friendly, welcoming feel of a classic diner by emphasizing an overall dining experience rather than simply existing as a place to eat. Figure 3. Customer experience at Blue Ribbon Diner analysis of this chart is missing Figure 4. Importance of local ingredients considering added cost Customers are split concerning importance of local ingredients In light of the current industry trend of featuring locally sourced ingredients, we wanted to understand how important local ingredients were to Blue Ribbon Diner customers. We asked customers how likely they would be to pay extra for ingredients that came from Burlington or other nearby areas. Our results indicate that local food is an aspect of the dining experience that some people find much more important than others, and the results reflected these different opinions. The majority of responses (57%) were “somewhat likely” to pay extra for local ingredients, which demonstrates a moderate level of the significance and important of local ingredients to customers. Furthermore, 21% of respondents were very likely to pay extra for locally sourced ingredients, while 20% of respondents were not likely to pay extra. Results concerning the importance of local ingredients are fairly moderate, which may imply that the success of more expensive, local ingredients incorporated into the Blue Ribbon Diner menu will depend on the relative price point and the quality of the local ingredients, along with individual customers beliefs and perceptions. Customers are split about changing menu, but hint toward healthier options In order to see if Blue Ribbon Diner’s current menu could be improved, we asked our respondents about the importance of smaller portions, healthier options, and vegetarian options. The aspect of the menu that our survey participants found most important to add to the menu was healthier options, with 36% of respondents finding it very important to add healthier options to compliment the classic diner cuisine of burgers and milkshakes. From the next question, we can see that customers value the classic diner cuisine; it could benefit both the customers and the diner to introduce healthier versions of the diner classics. Essentially same paragraph was included twice ^^^^ Figure 5. Response distribution for new menu offerings not important– – – locallysourced food – healthier options – smaller portion sizes – more vegetarian options somewhat important – very important – Total– Average Rating– 19.55% 43 61.36% 135 19.09% 42 220 2.00 11.56% 26 51.56% 116 36.89% 83 225 2.25 47.98% 107 31.39% 70 20.63% 46 223 1.73 60.71% 136 24.11% 54 15.18% 34 224 1.54 Analysis of this chart is missing Figure 6. Customer response to importance of diner theme at Blue Ribbon Diner Diner theme is important to most customers In order to gain a better insight on how much customers value the classic American diner atmosphere that Blue Ribbon Diner offers, we asked our respondents to rank how important the diner theme is to their dining experience. More than 60% of respondents indicated that they either agree or strongly agree that the diner theme is an important aspect of their experience at Blue Ribbon. Therefore, further steps could be taken to enhance the diner atmosphere such as implementing 1950s style uniforms and emphasizing diner imagery through photos used on social media. However, 30% of respondents were impartial about the diner theme. The chart below illustrates the full range of responses from our participants Figure 7. Response distribution for customer’s expectations Customers seek affordably priced food and relaxed dining experience With this question, we sought to find out what customers valued most in coming to Blue Ribbon Diner between a quick meal, the community atmosphere, interactions with others, a place to eat and relax, affordable price, and convenience. The highest average ranking in importance was affordable price followed by a place to eat and relax. These results imply that our respondents that price is very important to Blue Ribbon customers along with the atmosphere and convenience. Figure 7 below further shows the responses ranked by importance. (on a scale of 1-6 from not important to very important). The column on the right illustrates the average ranking for each choice. Figure 8. Feedback on aspects of Blue Ribbon Diner’s customer service Customers recognize Blue Ribbon Diner for excellent customer service Our next survey question asked our respondents to rank Blue Ribbon Diner’s customer service in terms of timeliness, accuracy, friendliness and the welcoming atmosphere. The results of this question were overwhelmingly positive with all four aspects of the rating averaging more than 4.5 out of 5. There were less than 15 individual responses that were below a 3 out of 5, which most likely represent isolated incidents in which customers received less than satisfactory service. Figure 8 shows the average rating for each aspect of Blue Ribbon Diner’s service. Customer service is a strong component of Blue Ribbon Diner’s business and can be used to set them apart from other restaurants, especially chain restaurants in the area. Figure 9. Preference of local vs. chain restaurants in the Burlington area Burlington area residents prefer local restaurants over chain restaurants Our next question gauged respondents’ preference of local restaurants versus chain restaurants in the Burlington area. Eighty percent of respondents either strongly agreed or agreed that they would prefer to eat at a local restaurant rather than a chain restaurant, and only 1% prefer to eat at a chain restaurant over a local restaurant. This finding reveals an opportunity for Blue Ribbon Diner to distinguish themselves as a restaurant connected with the local community in order to stand out from other chains in the area. Figure 9 below shows the responses to this question. At the end of the survey, an open-ended comment box stated “I choose to eat at Blue Ribbon Diner as opposed to other restaurants because...” Many respondents had similar responses. They said factors that drew them to Blue Ribbon Diner included the fact that the diner is “affordable, ” “consistent” and “good quality.” Additionally, many respondents voiced the opinions that they enjoyed the “varied menu.” In addition to the comments about the food, menu, and service, a number of respondents said they eat at Blue Ribbon Diner because it is not a chain and is locally owned, which is highly appealing to them. A second open-ended comment box stated, “I choose to eat somewhere else (other than Blue Ribbon Diner) because...” Many respondents agreed that they choose to eat at other locations because Blue Ribbon can be a bit costly for a larger family. Other shared comments included the desire for different types of cuisine, healthier and fresher menu items, a more upscale meal, and a general desire for more variety. Implications/Knowledge Gained We concluded the following implications for Blue Ribbon Diner based on the survey results: RQ 1, 2 Most of our respondents were female. This may be attributed to that fact that more females are on the email list or like the Facebook page, but it may also indicate that a larger portion of customers at Blue Ribbon Diner are female. If female customers took the time to take this survey, it indicates that, as a demographic, they are generally more invested in the restaurant. Our data also indicates that the primary demographic for diners is ages 36-70. The fact that customers are in the middle to upper age range is important to note when making decisions in regards to menu options, hours, marketing, and more. Every future decision in terms of Blue Ribbon Diner should be executive with this fact in mind. RQ: 3, 4 A positive implication that arose out of this study was that the Blue Ribbon Diner customer base is a loyal one. The current state of affairs at the restaurant has built a strong community of happy diners; they are returning customers who dine often. Now that we know this, we can look at the best way to increase and sustain that number of returning customers. RQ: 5, 11, 12, 13 It is apparent that diners appreciate the atmosphere of the restaurant. It is what sets Blue Ribbon Diner apart from other establishments. They enjoy eating in and do not want to feel rushed through a meal, but rather linger and enjoy the company and atmosphere. With this knowledge, Blue Ribbon diner may focus on heightening this comfortable dining experience. A significant portion of respondents stated they typically order takeout which indicates that this option should not be forgotten when considering future marketing efforts; the more people who become aware of the take out option at Blue Ribbon Diner, the more impact it will have on the restaurant. RQ: 6, 7, 8, 9, 10 As discussed in our State of the Industry report, locally sourced food is a popular menu trend of 2014-2015. Our survey produced promising statistics to support this trend. Customers appeared willing to try locally sourced dishes even if it meant paying a slightly higher price. A good portion of respondents felt that it is important to offer this. This support could allow Blue Ribbon Diner to expand their existing menu and still profit. However a significant amount of customers felt that local ingredients were not important. About a fifth of respondents stated that they are not likely to pay extra for locally sourced ingredients and that locally sourced food is not important. This will be an important demographic to consider when making choices concerning the menu. Interestingly enough, over half of respondents did not feel vegetarian options were important. On the whole it appears that diners are split as to whether or not they care for menu updates. These statistics should be kept in mind when evaluating and possibly updating Blue Ribbon Diner’s menu. A majority of respondents felt that affordability is the most valued aspect of a dining experience, followed by a comfortable atmosphere. In our focus group, the consensus among diners was that Blue Ribbon Diner’s menu was indeed affordable. These survey results support the idea that the affordability of the restaurant’s menu is one of the factors that brings diners back. The additional fact that the majority of respondents are very satisfied with all aspects of service is a good indicator of why diners return to the restaurant. 80% of respondents prefer local restaurants to chain restaurants and the above-mentioned factors must all play into this sentiment. Shortcomings/Future Research Our online survey garnered about 250 responses. Though that is a relatively large number of respondents, the actual number of Blue Ribbon Diner customers is considerably larger. Each respondent also had an internal motivation that caused him or her to participate in the survey, motivation that cannot be quantified. Because respondents volunteered to complete the survey, this was a nonprobability sample and the perspectives of customers who did not volunteer to take the survey were not included. For future research, the surveys distributed in the restaurants should be analyzed to see if their results differ from the online survey results. Also, future research could involve cross tabulations of some of our survey questions to see if responses vary by gender, age, frequency of visits, etc.