Restaurant revenue forecast by daily forecasting of your sales and profitability can be done by using MMT ( Moving Monthly Total). The benefit of using this technique is that it is predictive in nature. It can allow you to know on a daily basis as to where you are headed and allow for interim correction.
Mango Kurry Kitchen & Restaurant Consulting in Mumbai India can establish a revenue forecasting tool which will enable you to know how your month, quarter and year ending. The tool can be built around every line item in the profit and loss statement.
Restaurant Revenue Forecast
Mango Kurry Kitchen & Restaurant Consultant in India can develop and deploy a restaurant revenue and cost forecast tool. This will empower your team to take timely action.
Most restaurants or organisation measure what they have earned or spent to day and some measure what they have earned or spent month to date. However, the executive need to know whether they are achieving their goals or have their eye on the ball.
Why Restaurant Revenue Forecast?
Its not enough to know that you had a great a day in revenue but its more important to know whether the highs and lows will affect your overall performance. Have to know where you are headed.
What is MMT?
MMT stands for moving monthly total. It takes the average of month to date figure and multiplies by no of days in the month.
How does it work?
Totals Days in a month : 30
A. Sales on day 1 for food: 97595
B.Month to date sale for food: 97595
C.Moving Monthly Total : 292780
The MMT is calculated by : (MTD/ no of days of sales incurred)* no of days in the month.
A Sales Day 2: 149593
B.Month to date sale for food: 247188 ie 97595 on day 1 + 148593 on day 2.
C.Moving Monthly Total : 3707820
The MMT is calculated by : (MTD/ no of days of sales incurred)* no of days in the month. (247188/2)*30
Like wise this is done for beverage and a grand total is projected on a daily basis.
|of table||No of days||30||Friday||Saturday||Sunday|
|51||No of covers||181||1||2||3|
|No of Hrs of Operation||8||PotenNotial no of hrs||13||Size of Restaurant||5200|
|Food Lunch Sales||24947||748419||14175||32735||57750|
|Food Dinner Sales||73187||2195611||83420||116858||91868|
|Total Food Sales||98134||2,944,030||97595||149593||149618|
|Bvg Lunch Sales||3003||90080||640||7600||3600|
|Bvg Dinner Sales||37690||1130699||49715||42576||46895|
|Grand Total MMT||4438500||5215785||5478320|
An excel sheet to daily update the sales figures.
SMS sending software or phone.
The daily sales and MMT figures to be communicated to all concerned members via sms.
The MMT is a simple and an effective tool for management to keep in mind their goals. This technique can be extended to keep quarterly , and yearly goals.
The technique can be combined with expenses to forecast profitability.
If this helps, do leaves us a note or else call Mango Kurry, Kitchen & Restaurant Consultant in Mumbai India to develop one for you.
Mango Kurry Kitchen & Restaurant in Mumbai India can establish a revenue forecasting and expense forecasting system which will empower the team to take timely corrective action.
Mango Kurry strengthens operations by using a process approach to resolve your issues.