Summary
Today the country is in pretty bad shape. With a recession looming, increases of foreclosures, and increasing prices for food and necessities, restaurant and hotel owners must be careful and choose wisely for where they would like to place their next business venture. There is a device on the market called location mapping solutions. They detail the positives and negatives of the area discussing demographics, land quality, and other necessary information for deciding where to build a new restaurant. Sagittarius brands is a new company that is introducing this concept a little further. It can now detail the competition in the area and their pros and cons. It can compare your concept to the existing restaurants in the area. It can also tell you exactly what streets would be perfect for your store as well as where it would be crucial to advertise based on the demographics to be successful. The systems get their information from census and demographics but it is also helpful for a company to already keep information about their customers to make the system more useful. Some information is gathered from existing POS systems. These systems make it easier to locate a place where your business would profit.
Reflection
I think that this system would be really beneficial to narrow down places that you would like to start your business. I don't think this system can be used by itself because you always need that personal touch. However, considering the failure rate for restaurants this will help immensely. Knowing how your advertising campaign should work based on the demographics can help an owner who is lost or new to the game. It is a good base to start the rest of your research, especially because the information is at your fingertips. You don't need to do research for the basic information. I would definitely use a system as a restaurant owner to narrow down options of streets and locations for my restaurant. I wouldn't completely trust the system and would do my own research and make the final decision, but it is definitely a good first step. This will also be interesting to see what happens to companies who do this research and in depth STAR reports. We shall see if this system is more reliable than STAR reports when it comes to competition.
Koroneos, G (2008, April, 22). Get smart about location growth. Hospitality Technology, Retrieved April 30, 2008, from http://www.htmagazine.com/ME2/dirmod.asp?sid=&nm=&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=FCE766CEF22546BC99FA612A838AA75E
Subscribe to:
Post Comments (Atom)
4 comments:
Choosing to open your own hotel or restaurant is a very risky business decision. Location mapping solutions sounds like the perfect program to prevent your hotel or restuarant from failing. The characteristics that this program tells you about an area are very important such as demographics and land quality. These are characteristics that will make or break your business. Also, when taking the program further and showing details about competiting businesses in the area, you can furthur insure that your business will survive. This is definately a good idea for finding the perfect location for such a large investment. This can also help you design the concept of your restaurant to produce larger profits from the demographics in the area. For example, a restaurant/bar would probably make more profits in an area with a younger crowd. This program will definately be a great aid to future restaurant and hotel owners.
I like your view on this article. It would be an incredibly useful tool for new restaurant owners, especially with the poor state the economy is in. However I also agree with you that designing restaurants and considering locations and other decisions needs to involve a little more of the human factor. It's nice to have an actual brain involved in the process as opposed to just numbers, maps, graphs, pie graphs, excel sheets, word documents, powerpoint files, PDF files, etc. Good thoughts on the system, I think it'll be a really great tool for the hospitality industry. However, I do kind of think it might be a little expensive for businesses that are trying to cut costs for them to buy such an expensive system that doesn't guarantee results.
It is very true that anyone in needs to greatly consider all everything before choosing where to locate their next business venture. The location mapping tool sounds like a beneficial tool to help entrepreneurs. Considering all the demographics of an area is very important to figuring if a business will be successful. Looking at the specific demographics of a street that the business will be located on is important. One fact I heard before is people taking into consideration how many cars pass by their location on any given day to know if it is a good location for their business. This is important to businesses that depend on drive by traffic to sustain their business. Doing your own research on top of what this tool provides is important as well.
I agree that this new system would be very useful in finding the perfect property
and location to build your restaurant on. There are so many aspects that need
to be considered when dealing with where to open a property and how to go
about advertising and marketing it. This program would be helpful to find
exactly where your type of restaurant should be placed and who you want to
market to and additionally help you figure out how and where to market. If I
were a restaurant owner, using this program would cut down on the amount of
in depth research I would have to do, but I would not rely solely on this
program. I think it would be a great tool and help to get a step in the right
direction when faced with these decisions.
Post a Comment