I’ve spoken with many restaurant owners, and I’ve seen how small changes in their approach to customer orders can greatly impact a restaurant’s revenue.
Studies have shown that implementing upselling and cross-selling techniques can significantly increase sales in the restaurant industry. For example, McDonald’s reported that their cross-selling strategy, such as suggesting customers add fries to their order, contributes to 15-40% of their annual profits.
In this guide, I’ll share proven techniques and strategies to help you maximize sales and increase how much customers spend, ultimately boosting your bottom line.
How to Calculate the Average Check for a Restaurant?
Calculating the average check is one of the key restaurant metrics that helps owners assess customer spending and identify opportunities to increase revenue.
Below, I added the formula to calculate the average check, which will help you assess how much each customer is spending on average in your restaurant.
Average Check = Total Revenue / Number of Customers
To calculate the average check, you simply divide the total revenue generated by the restaurant over a specific period by the total number of customers served during that same period.
Example of calculation: If your total sales were $15,000 last month, and you served 600 customers, your average check size would be $25.
What is the Average Check in a Restaurant?
The average check is the amount of money that a customer spends at the restaurant in a single transaction.
The average check can vary depending on the restaurant, location, and the time of day. For example, the average check for a restaurant in a major city is likely to be higher than the average check for a restaurant in a rural area.
I created a table showing the average check size depending on the restaurant type to help you better understand how it varies across different dining formats.
Restaurant Type | Average Check Size |
---|---|
Quick-Service Restaurants (QSRs) | From $8 to $12 |
Fast Casual Restaurants | From $12 to $16 |
Casual Dining Restaurants | From $15 to $30 |
Casual upscale | $26 at lunch and $60 at dinner |
Theme Restaurants | $23 at lunch, $33 at dinner |
Fine dining | From $50 to $150 or more |
Source: UpMenu, National Restaurant Association, Food Business News, Eat App
Restaurant owners can use the average check to track their performance over time and to identify areas where they can improve.
For example, if a restaurant’s average check is below the industry average, the owner may want to consider ways to increase sales, such as suggestive selling, offering meal deals and specials, or targeting high-value customers.
Why is Increasing the Average Check Size Important?
Increasing the average check size is essential for several key reasons:
- Improving Profitability Without More Customers: Increasing the average check size directly impacts the revenue and the restaurant’s profitability, without needing more customers.
- Tracking Performance Over Time: By monitoring the average check, restaurant owners can track their performance and identify areas for improvement.
- Benchmarking Against Competitors: The average check size provides a valuable metric for comparing a restaurant’s performance with others in the area. This allows a restaurant owner to identify areas where they can increase their profitability.
- Setting Business Goals: Using the average check size, restaurant owners can set clear, measurable goals for their business. For instance, a goal to increase the average check by 5% in the next quarter can drive targeted efforts to enhance sales.
- Informed Decision-Making About Pricing and Menus: The average check size helps restaurant owners make data-driven decisions about menu pricing and adjustments. If certain items are underperforming, it may indicate the need for pricing changes or menu optimization to maximize revenue.
- Covering Fixed Costs and Enhancing Margins: A higher average check helps restaurants cover fixed costs more effectively and boosts high profit margins, leading to improved financial sustainability.
12 Strategies to Increase the Average Guest Check
To increase their restaurant’s check average, owners are implementing new methods.
Below, I’ve outlined strategies designed to boost restaurant sales and the average price of each order.
Feel free to test them all, combine them, and find the perfect match for your establishment.
1. Upsell and Cross-sell
Cross-selling and upselling are two of the most effective techniques to increase the average check. When executed effectively, these strategies create a win-win situation where the customer enjoys a richer dining experience, and the restaurant sees increased revenue.
Upselling involves encouraging customers to order more expensive items on the menu, while cross-selling encourages them to order items that complement their original selection.
When upselling or cross-selling is done correctly, it helps customers discover additional value, leading to a revenue increase of up to 43%. Additionally, these techniques improve customer retention and encourage repeat purchases.
Brands that implement cross-selling tactics typically experience a 20% boost in profits.
Below, I provide examples of upselling and cross-selling to help you implement these strategies effectively.
Examples of upselling
- If a customer orders a glass of wine, the server might suggest upgrading to a premium bottle, explaining its superior taste profile and value.
- Upon choosing a steak, a guest could be informed about the option of choosing a larger cut or a more premium meat grade.
- For dessert lovers, offering an addition like a scoop of gourmet ice cream or a side of specialty liqueur can enhance the dish and the bill.
Examples of cross-selling
- When a guest orders a main dish, recommend side dishes or sauces that pair perfectly with it. For instance, they could have garlic bread or a specific dip to go with their pasta.
- Recommending wine, beer, or a specific cocktail that complements the flavors of the dish they’ve selected.
- If someone orders a salad, recommending a protein addition like grilled chicken, shrimp, or tofu can enrich the meal.
2. Offer Combo Meals and Bundles
At first glance, offering meal deals and specials might seem like a tactic to provide discounts. However, when structured effectively, these can be powerful tools to increase the average guest check and overall restaurant revenue.
A combo meal is a set of food items bundled together at a special price. It typically includes a main dish, a side, and a drink, offering customers a convenient and cost-effective option that encourages them to spend more.
Examples of Combo Meals:
- Burger Combo: A classic burger, a side of fries, and a soft drink bundled together for a set price.
- Pizza Combo: A medium pizza with two toppings, a side of garlic breadsticks, and a soda.
A bundle is a collection of different menu items offered together at a reduced price compared to ordering each item individually.
Bundles are typically larger meals designed for groups, families, or special occasions, making them an appealing option for customers looking for value and convenience.
Examples of Bundles:
- Family Feast Bundle: A large fried chicken bucket, mashed potatoes, coleslaw, and cornbread, all at a discounted price for families.
- Italian Dinner Bundle: A choice of two pasta dishes (e.g., spaghetti and fettuccine alfredo), two breadsticks, and a bottle of house wine.
3. Offer Online Ordering
Another way to increase your restaurant’s average check is by implementing online ordering directly through your own website, rather than relying on third-party platforms like Uber Eats or DoorDash.
While third-party food delivery apps are convenient, they come with high commissions that eat into your profits.
In recent years, our clients have saved millions in commissions by using UpMenu for online ordering. Here’s a snapshot:
- Sushi Kushi – More than $1,500,000 in savings
- Michelangelo 301 – $129,474 in savings
- Dedicate Healthy Kitchen – $118,397 in savings
Explore more case studies to see how your restaurant can achieve similar results!
By setting up an online ordering system on your own site, you can avoid these hefty fees and retain more of the revenue from each order.
Moreover, customers who order directly from the restaurant spend 35% more per transaction than those using third-party apps.
This statistic highlights the financial benefit of encouraging customers to order directly from you, rather than through third-party services.
“More than half (57%) of Americans prefer ordering takeout to physically going to a restaurant. The ability to enjoy someone else’s cooking while wearing comfortable clothes, watching TV, and convenience are all top reasons Americans enjoy ordering takeout.”
Source: US Foods
4. Train Staff to Sell
Your staff is one of your restaurant’s greatest assets. Beyond traditional roles like taking orders or managing the cash register, they can be key in driving sales and enhancing the guest experience.
Train your waitstaff and restaurant manager on menu knowledge, ensuring they know the menu inside and out. Teach them how to describe what a dish tastes like, make recommendations for each menu item, and handle objections to increase the perceived value of your offerings.
Below, I’ve pointed out several key ways your trained staff can increase the total number of sales and enhance the guest experience:
- Knowledgeable Recommendations: A well-informed server can describe dishes, drinks, and add-ons confidently. When they have a deep understanding of the menu, they can suggest items that complement what the guest has already ordered, encouraging patrons to try (and buy) more.
- Building Relationships: Customers tend to spend more when they feel a personal connection. Staff trained in interpersonal skills can build rapport with guests, leading to repeat visits and larger orders.
- Addressing Hesitations: A trained staff member can read a guest’s hesitations or questions and provide clarifications, ensuring that uncertainties don’t turn into missed sales opportunities.
- Promoting Specials and Limited-Time Offers: Staff can highlight daily specials, specific dishes, menu modifiers, or signature cocktails made with fresh juice, steering customers towards exclusive (often pricier) options that they might not have considered.
- Enhancing the Dining Experience: Encourage staff to share stories behind dishes and suggest pairings to create a memorable experience and encourage spending.
- Handling Objections: Train staff to address concerns about price by emphasizing quality, uniqueness, or preparation.
- Efficiently Managing Peak Times: During busy periods, teach staff to quickly suggest popular or high-margin items, ensuring fast table turnover and increased sales.
- Practice Through Role-Playing: Simulate real customer interactions where staff must recommend dishes and explain specials. This will help them refine their ability to recall details and offer personalized recommendations.
- Host Regular Tasting Sessions: Set aside specific times for staff to sample new dishes, especially if the menu changes frequently. This allows them to experience the food firsthand and provides valuable insights.
- Organize a Quiz Night: Turn learning into a fun competition by hosting a quiz about the menu, rewarding the winning team with a prize. Gamifying training boosts engagement and helps staff retain the information better.
5. Implement a loyalty program
Loyalty programs are an excellent way to increase repeat business and encourage customers to spend more during each visit.
After 6 years working with restaurants, I can say loyalty programs really work. After adding one, restaurant owners using UpMenu saw a 25% increase in average order value.
Set up a restaurant loyalty program to motivate your customers to return more often and spend more each time by offering rewards, discounts, or exclusive deals for frequent visits or larger purchases.
6. Apply Menu Engineering
Implement menu engineering to design a profitable menu that appeals to customers and drives revenue.
- Highlight Profitable Dishes: Make your high-margin items stand out by bolding or italicizing them, drawing attention and guiding customers toward your most profitable food to sell.
- Limit Menu Choices: Limit your menu to no more than seven options per category (e.g., mains, desserts) to avoid overwhelming customers. This helps them make quicker decisions, often choosing more profitable dishes
- Implement the Golden Triangle Concept: Place your highest-profit items in the Golden Triangle—the center, top right, and top left areas—where diners’ eyes are naturally drawn first.
- Use Bait Dishes Strategically: Add a higher-priced dish to create a perception of better value in other menu items, subtly nudging customers toward those that maximize your profit.
Allow order customization
Offering customers the ability to customize their orders can significantly increase satisfaction and the average check size.
For example, let customers create their own burger, choosing from a variety of toppings, sauces, and sides.
This will enhance their dining experience and encourage them to spend more. People enjoy having control over their meals, and customization increases both their enjoyment and the overall check size.
“Our research shows that 71 percent of consumers expect companies to deliver personalized interactions. And 76 percent get frustrated when this doesn’t happen.”
Source: McKinsey & Company
7. Target High-Value Customers
High-value customers are those who frequent your establishment and consistently spend more than the average diner. These loyal patrons are key to increasing your restaurant’s revenue, as they not only often dine, but also tend to make larger purchases.
“Customers with a high lifetime value tend to spend more per purchase, spend more often, and remain loyal for years.”
Source: Bloom Intelligence
To effectively target high-value customers and maximize revenue, follow these steps:
- Identify Your High-Value Customers: Track your regulars and identify those who consistently spend more than the average diner. These customers are the foundation of your restaurant’s success.
- Tailor Your Menu Offerings: Once identified, adjust your menu to appeal specifically to these high-value customers. Suggest premium items like wine pairings, signature cocktails, or chef’s specials that align with their spending habits.
- Provide Top-Tier Service: Ensure your staff is trained to offer exceptional restaurant customer service to these guests. Personalized service can enhance their experience, encouraging them to return and spend more.
- Offer Targeted Loyalty Rewards: Implement restaurant loyalty programs specifically for high-value customers. Offering rewards tailored to their preferences can incentivize them to continue their patronage and spending.
- Use Upselling Techniques: Train your staff to use upselling techniques to suggest high-margin dishes or special add-ons. High-value customers are more likely to be receptive to premium offerings.
- Personal Invitations: Reach out to high-value customers with personal invitations for new menu launches or special occasions, making them feel valued and more likely to visit and spend generously.
8. Sell More Drinks
Restaurants typically generate an 80% profit margin on alcoholic beverages. These are some of the most profitable items on the menu, so encourage your restaurant staff to sell beverages by offering wine pairings or suggesting extra bottles of wine.
Remember to offer beverages (both alcoholic and non-alcoholic) as soon as customers are seated. This increases the chances that they will order more drinks before their dishes are ready.
9. Offer a Variety of Payment Options
Make it easy for customers to pay by offering a variety of payment methods, including credit cards, debit cards, and mobile payments via your restaurant POS system.
Here’s how expanding payment methods can boost your restaurant’s average check:
- Enhanced Convenience: Customers are more likely to spend more when their preferred payment option is available.
- Appeal to Tech-Savvy Diners: Mobile wallets and contactless payments attract customers who prefer digital methods.
- Upselling Opportunities: Digital payments integrated with restaurant POS systems prompt last-minute offers or suggestions.
- Loyalty Programs: Accepting payment methods with rewards or cashback encourages higher spending.
- Easier Bill Splitting: Digital payments simplify bill splitting, leading to larger group orders.
- Faster Turnaround Time: Contactless and digital payments speed up the checkout process, allowing more customers to be served.
- Encouraging Impulse Purchases: Digital payments make it easier for diners to make impulse buys, like desserts or drinks.
10. Use Technology to Your Advantage
Many restaurants are embracing technology not just for convenience but also to enhance the dining experience, increase the average guest check, and boost restaurant revenue.
Here’s how using restaurant technology, with all-in-one solutions like UpMenu, can significantly increase your average check:
- Implement Digital and QR Code Menus: Use interactive QR code menus to showcase dishes with vivid images and compelling descriptions, encouraging customers to order more.
- Use Personalized Recommendations: Modern platforms analyze customer order history, enabling personalized suggestions based on previous purchases.
- Offer Real-Time Promotions: Use technology to offer spontaneous deals, bundles, or discounts, especially during off-peak hours, to encourage additional orders.
- Streamline the Ordering Process: Efficient ordering systems reduce wait times, encouraging customers to explore the menu further and add more to their carts.
- Set Up a Loyalty Program: Implement loyalty programs that reward customers for spending more, making them more likely to return and spend extra.
- Encourage Mobile Ordering and Simplified Payments: Use a mobile app to enable easy ordering and payments.
- Collect Feedback and Reviews: Use technology to gather restaurant feedback, which can lead to improvements in service and offerings, driving larger orders.
11. Promote Your Restaurant
The art of promoting a restaurant goes beyond simply attracting more diners. When done strategically, it can influence not only the frequency of visits, but also the amount each guest spends.
I’ll shortly point out some key strategies to promote your restaurant effectively and boost your average check size:
- Implement Seasonal Promotions: Create limited-time offers tied to holidays or seasons to encourage customers to try new or seasonal dishes.
- Establish Spending Minimums: Set a minimum purchase amount to qualify for perks like free delivery or discounts, motivating customers to spend more.
- Offer First App Order Discounts: Our clients report that having their own mobile app increased sales by an average of 60%, so provide discounts to customers on their first order placed through your restaurant mobile app.
- Highlight Premium Offerings: Use promotional materials to emphasize exclusive dishes or signature cocktails that encourage customers to splurge.
- Promote Package Deals and Combos: Create combo meals or package deals that offer a group of items at a slightly reduced price, encouraging customers to spend more.
- Organize Event Nights and Specials: Host themed nights or special events, like wine tastings, to encourage customers to order exclusive items.
- Promote Loyalty Programs: Offer loyalty rewards that encourage customers to spend more by earning points or perks for their purchases.
- Showcase Customer Testimonials and Reviews: Feature positive reviews or testimonials, especially about high-ticket items, to persuade other diners to try them.
12. Provide Excellent Customer Service
Exceptional restaurant customer service is not only about making diners feel welcome—it’s also crucial for increasing the average check.
Provide friendly, attentive service along with high-quality food and drinks to ensure a positive experience. Here’s how top-notch service can boost revenue:
- Building Trust and Loyalty: Great service builds trust. Loyal customers dine more frequently and are willing to explore the prix fixe menu and try higher-priced items.
- Expert Recommendations: Knowledgeable staff can suggest premium menu items, wine pairings, or specials, encouraging customers to try more expensive options.
- Personalized Service: Tailoring the experience to individual preferences encourages repeat visits and larger orders.
- Handling Special Requests: Accommodating special dietary requests or customizations leads to increased orders and satisfied, returning customers.
- Efficient Service: Fast service prevents long waits and increases orders, ensuring a smooth experience for guests.
- Turning Complaints into Opportunities: Addressing issues promptly can turn a negative experience into a positive one, encouraging customers to spend more.
Key Takeaways
- Best Way to Increase Check Size: Implement an online ordering system with automatic upselling and cross-selling recommendations. This quick and automated approach boosts check sizes by suggesting relevant add-ons and upgrades, driving higher sales with minimal effort.
- Calculate Your Current Average Check: Start by measuring your restaurant’s current average check size to track improvements over time. Use this formula: Average Check = Total Revenue / Number of Customers
- Set Target By Understanding Average Check Sizes Across Different Restaurant Types: Average check sizes vary depending on types of restaurants, with fine dining establishments typically seeing the highest check sizes, ranging from $50 to $150 or more, while quick-service restaurants tend to have the lowest, often under $12.
- Boost Profitability by Increasing Your Average Check Size: Increasing the average check size helps restaurants boost profitability, track performance, set measurable goals, make informed pricing decisions, and enhance financial sustainability without needing more customers.
- Upsell and Cross-sell & Train Staff to Sell: Equip your staff to recommend additional items and upgrades to increase order value through effective suggestive selling techniques.
- Offer Combo Meals and Bundles & Apply Menu Engineering: Bundle popular items at a discounted price, and strategically design your menu to guide customers toward high-margin items.
- Offer Online Ordering and a Variety of Payment Options: Provide an easy-to-use online ordering system and flexible payment methods to encourage higher sales and convenience.