Ribs & Burgers plan for growth
Geotech recently partnered with Ribs & Burgers to conduct research & analysis into the brand to assist Senior Management with strategic network planning for future growth. The Ribs & Burgers brand is a fast-casual concept that combines the classic humble butcher shop and bistro style diner presenting ribs and burgers cooked over flame and served in generous portions. Founded in 2011 by Bradley Michael – (Meat & Wine Co) and Chad Rahme, the brand now has over 15 fast casual restaurants in Melbourne, Sydney, Brisbane & Perth.
As with many food brands it often takes time to develop a following and know where best to serve your customers when it suits them. It’s important to keep in mind that people also make buying decisions from their place of work, and where they seek entertainment during the week and on weekends. The challenge is also to better understand the specific characteristics that drive sales performance so the business can learn from the better performing stores in the network. All of these stores will have certain characteristics that separate them from the others that may not be performing as well.
When David Ovens (Head of Marketing) first approached Geotech he was very clear in his brief, namely that in order for the brand to grow outside Sydney, identifying potential sites needed to backed up with science to give the brand the best chance of success.
The experience Geotech brings to a project like this is the ability to analyse various data sets that we have access to i.e (Mastercard merchant data) and (Mobile device data). We also feed census, ABS, shopping centre, roads, cinema, public transport and a multitude of other data sets we feel will be relevant to the clients business. The important thing is to look at the macro and micro factors that can affect store performance and not just focus on one thing. Micro factors for impulse driven brands will be things like signage visibility, position in the precinct & adjacencies.
David and the team know their key target market, and where potential customers are likely to be found. What is less certain, is how other important factors can affect sales performance so when pursuing opportunities in new markets Ribs & Burgers can seek out those locations based on what is really driving sales performance. A well considered strategic network plan involves making sure all of the stakeholders (both internally & externally) understand the characteristics that make the better performing stores perform better so the learnings can be applied to the decision making process.
What Ribs & Burgers now have is a sustainable plan for growth, that prioritises areas that are likely to have enough of a residential population to sustain a store, and in those precincts that have the characteristics to ensure the business will have the best chance of success. In addition, senior management can request a sales forecast report to better understand the likely revenue for the new store, and to give additional certainty to the decision making process. There are other tools Geotech develop so that the client is equipped to assess new site opportunities before committing to the tenancy.
Once the network expands, we do a periodic review of the performance of new stores opened, and if necessary adjust the sales model to take into consideration any changes to the key sales drivers identified in the analysis.