Prep for the silly season | 4 things you can do now to maximise profits!

The Australian hospitality industry is a bustling and dynamic space, with a market value of over AUD 102 billion in 2024, and a projection to reach AUD 148 billion by 2034.  

That's a huge opportunity, and with the "silly season" just around the corner, now's the time to get your house in order.  

While the Christmas rush brings increased foot traffic and bigger bills, it's also a period of heightened consumer expectations and potential for costly mistakes. 

Discretionary spending habits are shifting, with many looking for more wallet-friendly options and immersive dining experiences.  

We’ve kicked off the hard work for you, with our helpful list below of four key areas to focus on that will help you stay ahead of the game for the festive season. 

1. Review your menu and add-ons 

With consumers being more mindful of their spending, a smart menu strategy can significantly increase your profits without alienating budget-conscious customers.  

The key is to offer enticing options that are both profitable and appealing. 

Introduce high-margin specials 

Analyse your current menu and identify dishes that have a low food cost and a high selling price. During the silly season, create limited-time specials around these items. For example, a simple pasta dish with a premium garnish or a festive dessert with a profitable twist can boost your average spend per customer. 

Embrace smart add-ons  

Consider offering add-ons that are quick to prepare and have a high profit margin. Frozen cocktails are a perfect example for the Australian summer. They are a fun, festive treat that are quick to serve, especially with a slushie machine, and using budget-friendly ingredients to create a highly profitable menu item. 

2. Conduct a wastage audit 

Food waste is a silent killer of profits. With Australians increasingly conscious of sustainability and ethical practices, reducing waste is not just a financial win, but a brand booster.  

While a small amount of waste is unavoidable, a detailed audit can reveal significant opportunities for savings. 

Track everything 

For one week, measure and categorise all your waste into four bins: inedible, spoilage, preparation, and plate/buffet waste. Take note of quantities and try to identify the cause of the waste. Are you over-ordering fresh produce that spoils before it's used? Are large portion sizes leading to excessive plate waste? Is preparation waste from specific dishes? 

Take actionable steps 

Use your findings to implement a plan. For spoilage, switch to smart, seasonal ordering and ensure you are using the ‘first in, first out’ stock rotation method. For preparation waste, get creative! Turn vegetable offcuts into stocks or soups, and meat trimmings into sauces or staff meals. For plate waste, consider offering different portion sizes or making garnishes optional. The goal is to reduce what you're throwing out, turning potential losses into profit. 

3. Don't neglect your equipment 

Imagine this: a packed restaurant the week before Christmas, and your main cool room breaks down. The financial loss from spoiled stock and lost trading time would be devastating.  

Regular equipment maintenance is not “nice-to-have," it's a critical component of risk management and profitability. 

Establish a maintenance schedule 

Create a checklist for daily, weekly, and monthly cleaning and maintenance tasks for all your key equipment, from fryers and grills to fridges and POS systems. This extends the life of your gear, reduces the risk of sudden breakdowns, and ensures you're meeting food safety standards. 

Budget for upgrades 

While maintenance is about preserving what you have, upgrading your equipment can offer a significant return on investment. Modern, energy-efficient appliances can lower your utility bills, and new technology like high-speed ovens or automated systems can increase kitchen efficiency, reduce cooking times, and free up staff for other tasks.  

A well-maintained and modern kitchen runs more efficiently, leading to faster service, happier customers, and ultimately, bigger profits.  

With SilverChef’s Rent-Try-Buy, you can get the equipment you need now, with low weekly payments, and access to upgrades. Talk to the team today!

4. Staff up and train for success 

Your team is your most valuable asset, especially during peak periods. The Australian Bureau of Statistics noted that employment in the Accommodation and Food Services industry grew by 2.2% over the last year, but staff shortages remain a significant challenge for many businesses.  

For tips on navigating this, read our article, "Navigating staff shortages: Tips for hiring and retention."

Well-trained employees are more confident, efficient, and better equipped to handle the high-pressure environment of the silly season, directly impacting customer satisfaction and your bottom line. 

Upskill and cross-train 

Don't just focus on the basics. Invest in training that allows your front-of-house staff to confidently upsell specials, suggest food and drink pairings, and handle customer queries with ease. Cross-training staff on different roles, such as training a bartender to help with waitressing or a chef's assistant to help with plating, can drastically improve operational flow during a rush and reduce bottlenecks. 

Create a high-performance culture 

Motivate your team with incentives, like a bonus for hitting sales targets or a prize for the most positive customer review. When staff feel valued and invested in the business's success, they'll go the extra mile.  

A well-trained and engaged team not only deliver better service but also contribute to higher staff retention, which is a significant cost saving in itself. 

Embrace the chaos 

The "silly season" is a golden opportunity for hospitality businesses to boost their bottom line. By taking a proactive approach to your menu, wastage, equipment, and staff, you can maximise profits and deliver a great experience to your customers.  

Remember, a successful holiday season isn't just about handling the rush; it's about setting your business up for long-term growth and success. 

Ready to prep for the season ahead? SilverChef's Hospitality Finance Experts can help turn your goals into reality, with manageable and flexible financial solutions. Talk to the team today.