5 Ways to Keep Margins Healthy as Costs Rise Over the Holidays
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- The festive season is a busy time for hospitality – full tables, packed bars, and buzzing energy. But while revenue goes up, so do costs. From higher supplier prices and penalty rates to extra staffing and seasonal promotions, maintaining healthy margins can feel like a juggling act.Here are five smart ways to protect your profits while still delivering a great guest experience this holiday season.
1. Streamline Your Menu
Simplify your menu to reduce waste, speed up service, and keep food costs predictable. Focus on your best sellers and use overlapping ingredients across dishes to improve efficiency.
Review your POS data to identify your top-performing items, then spotlight those on your summer or festive menu.
2. Leverage Pre-Orders and Deposits
Avoid last-minute chaos (and no-shows) by encouraging group pre-orders and taking deposits for bookings. This not only helps with cash flow but also allows you to forecast inventory and staffing more accurately.
Set up a simple online ordering link or integrate deposits into your booking process.3. Upsell and Bundle Smartly
Boost average spend without adding pressure on your team. Offer bundle deals (e.g., entrée + main + cocktail) or limited-time add-ons like premium sides and festive desserts.
Train staff to make subtle, value-driven upsells – think “Would you like to make that a spritz combo?” rather than a hard sell.4. Go Digital to Cut Costs
Ditch the paper menus and manual ordering sheets. Digital solutions like order & pay at table streamline operations, reduce labour hours, and increase table turnover.
Venues using digital ordering often see higher spend-per-head – guests are more likely to order that extra round when there’s no queue at the bar.5. Keep a Close Eye on Data
Your POS and payments system can reveal a lot – from your busiest hours to your most profitable items. Regularly review sales reports to spot trends early and make informed decisions on pricing, promotions, and rostering.
A small price adjustment (even 50 cents) on high-volume items can make a big difference to your bottom line.
