Increase restaurant traffic tenfold with 25%–30% net profit. This real?

Turning around a restaurant that has ten times the traffic? Net profit is between 25% and 30%. Year after year? Restaurants often make a meager 5% net profit. It may sound impossible, but it is a true story about Qin Bai and her XJTU residential cafeteria.

Qin leased food court space at XJTU in 2017. Three staff scoop food for diners. About sixty people eat daily. The restaurant's second-floor food court placement is troublesome because most consumers use the first-floor restaurants. Two other restaurants on the second floor were like hers, in addition to the first.

In 2017, Qin chose to adopt the DCSQ smart eating system. It's a self-service buffet where you pay by the weight. People select their own quantities, and each dish is priced differently.

The net profit margin remained above 25% year after year, and daily traffic climbed from 60 to 600-700 persons.

This eatery is a remarkable success story. To get a better grasp, I posed the following questions to her.

Min: So many like your restaurant. Who are they and what do they like about your restaurant?

Qin: Their ages span from middle schoolers to retirees. Their top choice is us due to our flexibility. Serving sizes are no longer an issue; customers may now select the precise quantity they want. Kids sometimes just take yogurt and run. The professionals show up at lunch. Everyone gets exactly what they want since they get to choose the combination and amount. Their money is well-spent. We are also adored by the elderly. Preparing some dishes from scratch might be time-consuming. They dined with us. They have healthy meals without breaking the bank.

Min: Exciting. People like the DCSQ system. There are plenty of low-cost diner-style restaurants. How do you differ from them?

Qin: Everything in pay-by-weight eateries is priced the same. They serve boring meals. Each of our food items has its own price tag. From high-quality ribs and pork belly to bakery items and congee, our menu has it all. More than forty dishes are available daily.

Both our customers' health and their happiness are boosted by the variety of foods we offer. An example of a dish that is popular is the braised pork belly. On the other hand, the negative health consequences of consuming too much are well-known. Consequently, when they go to a different restaurant, they have to order the entire platter. They can only choose a few pieces in our restaurant. Without endangering their well-being, it satisfies their taste buds.

Min: What happened to the two restaurants next to you?

Qin: Two of the neighboring restaurants closed their doors after their contracts were up. People just keep coming back to us. Everyone knows our meal is delicious and reasonably priced. The first-floor eateries shifted to specialty cuisine, such as hotpot and Peking duck restaurants.

Min: You serve a buffet. Do you believe that lowering prices can create a competitive advantage?

Qin: price matters. We don't charge less. We offer comparable unit prices to full-service restaurants. We have an open kitchen instead. Instead, we've got an open kitchen. People know that we use high-quality ingredients. They return frequently.

Min: How many people do you need to manage the system?

Qin: We serve 700 persons with 34 DCSQ stations. Only two staff members patrol the service area. Food supervision is their main duty. If food is running low, they notify the kitchen to prepare more.

Min: DCSQ is a buffet system. Do you have a lot of leftovers every day? How can you absorb the cost of buffet leftovers?

Qin: There are no leftovers. Data estimates how much to cook daily. Our crew watches the station. If the food is almost gone, they tell the cook to prepare more. As service ends, the cooking batch is small, with only two portions. Every station had some food, but in little amounts. Our staff finish any remaining food on the stations after serving guests. Therefore, nothing remains.

I thanked Qin for telling her inspiring story. Her remarkable management resulted in a 25% net profit, compared to the average full-service restaurant's 5%.

It also demonstrates how technology has the ability to enhance more conventional businesses, including those that offer daily meals in a diner manner.

DCSQ is a similar product manufactured by our Chinese counterparts. For product/service inquiries or referrals, email info@skoopin.com.

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