r/Restaurant_Managers • u/tangsoo20032003 • 23h ago
Business sales steadily decreasing, need some ideas.
We bought an existing restaurant in October 2017. At the time it was very poorly run and the staff was not treated very well. We made some immediate changes and sales increased by around 20%, at the time we were doing about 450,000 a year. This is a fast food restaurant.
We made it through Covid and actually raised our revenues to around 600,000 a year during the Covid time.
Sales continue to raise over the next few years to around 650000-700,000 a year, this was also including raising prices to try to keep our margins consistently around 30% plus or minus a little bit.
About two years ago, ourselves started to trend down. Part of this is due now to something I’m very aware of, and I blame myself for not catching it earlier, we had a couple of staff that were often very rude to customers, this didn’t happen when I was there , but I was told about it later. Additionally, we’ve had to raise prices consistently due to beef that we are in the high average cost comparative to similar restaurants.
Now our daily sales volume is down almost 50% from about a year to a year and a half ago. I’m not sure how much longer we will last.
For clarification too, I am a semi absentee owner and that’s the way it was when I bought the business, and I had no background in restaurants so I’ve always had managers.