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Menu engineering with data: ABC and Pareto analysis of your menu

Menu engineering with data: ABC and Pareto analysis of your menu

Reviewing the menu by gut feeling usually ends in decisions based on what is most visible, not on what contributes most. Menu engineering does it with data: how much of each dish is sold, how much it brings in and what place it holds in the whole.

ABC classification

Sort products from highest to lowest sales and accumulate the percentage. Those that make up roughly the first 80% of sales are class A; the next band, class B; and the rest, class C. It is a quick way to see where the business really is.

The Pareto principle

On most menus, a few products account for a large share of sales. Seeing it in a Pareto chart helps you protect those products (availability, consistent quality, a good position on the menu) and question the ones that barely contribute.

Popularity versus price

Crossing the units sold with each product’s price lets you group them:

  • Popular and high-priced: the pillars of the menu.
  • Popular and low-priced: they attract guests; review cost and price.
  • Less popular and high-priced: they may need better presentation or description.
  • Less popular and low-priced: candidates to come off the menu.

If you also have the cost of each dish, the analysis can use margin instead of price, which is the most advisable option.

How often to review it

With an up-to-date dashboard, reviewing it at every menu or season change is enough, comparing outlets, because what works in one does not always work in another.

In Keymets

Keymets F&B includes top products (ranking and ABC), Pareto and popularity reports, ready to filter by outlet, period and product family. See also how to raise the average check.