Atlanta, Georgia – June 9, 2024 – Are restaurants looking to sell because the economy is holding people back from spending, or is it due to the ever-rising expenses these businesses are experiencing? 

Cliff Bramble, a Restaurateur turned Broker for Bramble Realty in Atlanta says it could be a combination of both. He says, “the last five calls I have received have had similar conversations: “Less people are dining out, my expenses continue to rise, and the employee costs are out of control.”  Cliff knows that even before the call, the commitment to sell the business has already been made.  The call just seems to be the hardest and final thing to do.  He also knows that behind every restaurant selling, there’s another person interested in buying.

Here's why:  The restaurants that are thriving nowadays have changed with the new consumer demands.  Technology has advanced in restaurants along with perception of value.  Now, the customers demand online ordering. (which costs a restaurant fee’s) Plus, in order to build a new restaurant from scratch in 2024, the costs are twice as high, and the time it takes to build out takes twice as long.  This means it may cost up to $450 per square foot to build a restaurant compared to $250 psf five years ago.  The result is a highly expensive cost to build a new restaurant, which means it may take twice as long for a return on investment.  But for the buyer, it’s cutting their build out costs in half.  For example, if there is a 2000 square foot restaurant being built, the initial capital expense may be up to one million dollars.  Savvy restaurateurs know that consumer tastes and dining habits continue to change, so now, instead of the high-end restaurant, there seems to be a trend for everyday restaurants which will allow casual clothing, a relaxed atmosphere, and quality food.  And, based on the number of chain restaurants planning closures, (although they haven’t been updated in years) new restaurants with updated menus and new atmospheres will take their place. 

At the recent National Restaurant Association show in Chicago, Cliff got a firsthand glimpse of future restaurants in a take-out formula.  One vendor had walk up kiosks where the diner can order their food (If they hadn’t already ordered it on their phone) and then walk up to the kiosk, scan the QR code from the order, and a locker door pops open and the food that has been ordered is ready for the guest.  The entire restaurant was walk up only, and one thirty-foot cooking line was the only needed area of space.  Other areas that stuck out were the robotic espresso / coffee maker:  The fully automatic robot makes the espresso-based drinks after the customer has ordered it from the app or the kiosk.  Upon arrival, the customer scans their code, and the robot begins making the drink, and then calls out the customer’s name.  In San Francisco airport, these coffee robots are already in place.   Cliff says, “We have become a demanding society that wants everything now and demands to be in control.  They can do this by ordering their own food too!” 

As for the expenses for the restaurants, they continue to rise.  Healthcare is now an everyday thing for restaurants to offer, and if a certain percentage of the employees don’t choose to opt in for insurance, the restaurant could be fined.  Additionally, restaurants continue to have the burden of finding high quality staff members, paying a triple net lease which means they have to pay for pretty much everything for the building, even the real estate taxes.  Add to that is the additional rent per sq foot paid to the landlord, and the next thing one knows is the restaurant is not profitable any longer.  If one is building a new space, the intro rent continues to increase because insurance and real estate taxes keep increasing.  The landlord simply passes it onto the tenant.  But for a buyer, if the seller has a great long-term lease at a great rate, it’s advantageous to buy a second-generation restaurant. 

Cliff says, there is an old accounting saying out there for restaurants.  Ninety percent of the restaurants make less than five percent profit.   The goal for a restaurateur is to be in the top ninety-five percent.
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For more information, please contact Cliff Bramble at 678.488.9918 or via email at [email protected]
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In the bustling world of restaurants, standing out from the competition requires more than just great food and service. Effective marketing is essential to attract new customers, retain loyal patrons, and build a strong brand presence. But with so many marketing options available, how do you choose the best strategies for your restaurant? In this blog post, we'll explore some of the most effective forms of marketing for restaurants, helping you craft the perfect recipe for success.

1. Social Media Marketing
Social media platforms like Instagram, Facebook, and TikTok have become indispensable tools for restaurant marketing. These platforms allow you to visually showcase your dishes, engage with customers, and build a community around your brand. Here are a few tips for effective social media marketing:

Visual Appeal: Share high-quality photos and videos of your food, ambiance, and special events. Use stories and reels to give a behind-the-scenes look at your restaurant.
Engagement: Interact with your followers by responding to comments, running contests, and encouraging user-generated content. Use hashtags and geotags to increase your visibility.
Promotions: Announce special offers, new menu items, and events to keep your audience informed and excited.
2. Online Reviews and Reputation Management
Online reviews on platforms like Yelp, Google, and TripAdvisor play a crucial role in a restaurant's reputation and customer decision-making process. Positive reviews can attract new customers, while negative reviews can deter potential diners. Here’s how to manage your online reputation effectively:

Encourage Reviews: Ask satisfied customers to leave reviews and make it easy for them by providing links to review sites.
Respond Promptly: Address both positive and negative reviews promptly and professionally. Show appreciation for positive feedback and offer solutions or apologies for negative experiences.
Monitor Feedback: Regularly check review sites to stay informed about what customers are saying and identify areas for improvement.
3. Email Marketing
Email marketing is a powerful tool for nurturing relationships with your customers and keeping them engaged with your restaurant. Here’s how to make the most of email marketing:

Build a List: Collect email addresses through your website, social media, and in-person at your restaurant. Offer incentives like discounts or freebies for sign-ups.
Personalize Content: Send personalized emails with special offers, birthday discounts, and updates on new menu items or events. Use customer data to tailor your messages.
Regular Communication: Maintain a regular email schedule to stay top-of-mind. Newsletters, special promotions, and event announcements can keep your audience engaged.
4. Local SEO and Google My Business
Local search engine optimization (SEO) ensures that your restaurant appears in search results when potential customers look for dining options in your area. A well-optimized Google My Business profile can significantly boost your visibility. Here’s how to optimize your local SEO:

Claim Your Profile: Ensure your Google My Business profile is claimed, complete, and up-to-date with accurate information, including address, phone number, hours, and photos.
Optimize Keywords: Use relevant keywords in your business description, website content, and blog posts to improve your search ranking.
Encourage Local Reviews: Positive reviews on Google can improve your search ranking and attract more customers.
5. Influencer and Food Blogger Collaborations
Partnering with influencers and food bloggers can amplify your restaurant’s reach and attract new customers. Here’s how to leverage these partnerships effectively:

Identify Influencers: Look for influencers and bloggers who align with your brand and have a strong following in your target market.
Collaborate Creatively: Invite influencers for a complimentary meal, host exclusive tasting events, or collaborate on special promotions. Ensure they share their experiences on their platforms.
Track Results: Monitor the impact of influencer collaborations through metrics like social media engagement, website traffic, and increased foot traffic.
6. Community Engagement and Events
Engaging with your local community through events and sponsorships can build strong relationships and increase brand loyalty. Here’s how to get involved:

Host Events: Organize events such as live music nights, cooking classes, wine tastings, or charity fundraisers to attract local patrons.
Sponsor Local Initiatives: Sponsor local sports teams, school events, or community festivals to increase your visibility and demonstrate community support.
Collaborate Locally: Partner with local businesses for cross-promotions, such as offering discounts to each other’s customers or hosting joint events.
Conclusion
There is no one-size-fits-all approach to restaurant marketing, but by leveraging a combination of these strategies, you can create a robust marketing plan that attracts new customers, retains loyal patrons, and builds a strong brand presence. From the visual appeal of social media to the personalized touch of email marketing and the local reach of SEO and community engagement, each form of marketing plays a vital role in the success of your restaurant. By continually assessing and refining your marketing efforts, you can stay ahead of the competition and ensure your restaurant thrives in a dynamic and ever-evolving industry.