Demand forecasting tools are an important part of any restaurant’s IT infrastructure. They allow restaurant owners and managers to factor in real-time conditions such as the weather or upcoming evDemand Forecastingents, enabling them to make smarter, accurate and profitable decisions. Demand forecasting further protects them from under or over buying ingredients, preventing waste and ensuring the availability of inventory. Moreover, it prevents under or over staffing, efficiently controlling the payroll.

If your business doesn’t yet have demand forecasting, you’re missing out on the following seven benefits as well as the ones you’ve read above.

1) More Focus on the Future

Having a forecasting tool will force you and your staff to continuously think about the future and what’s best for your customers. As a result, you’ll be able to predict changing trends and keep up (if not surpass) the competition again in years to come.

2) Stronger Competitive Edge

Businesses that don’t forecast demand are more likely to succumb to their competition in a short time. Without knowing what to expect, you won’t be able to meet your customer’s needs. As a result, they’ll drop by your competitors instead. With literally thousands of restaurants fighting for a space at the top, use demand forecasting to retain your clients or else you’ll pay twice as much to market to new ones.

3) Higher Customer Satisfaction

By predicting future demand, you’ll be ready for trend changes and easily deliver to expecting clients early. You’ll also have sufficient resources to fulfill orders, which means many happy customers. Considering the fact that the restaurant industry is growing more cut-throat by the week, your loyal customers will ensure a steady stream of sales as long as you keep up the great quality and excellent service.

4) Predicting Drop in Sales Beforehand

While every restaurant fights tooth and nail to prevent lower sales, there are times in the year when this may happen. Rather than letting your fresh produce rot or waste more items in your inventory, utilize demand forecasting to recognize the first signs of a drop in sales and deal with the issue quickly. For instance, if the fewer sales are because of a tough economy, you can make changes in your supply chain to cut your losses.

5) Prepare for New Business

If your demand forecasting tool predicts an increase in sales, your restaurant can gear up by hiring more staff, adding more tables, and ordering more ingredients to meet the higher demand. This, in turn, allows you to show new customers you are ready and eager to serve them.

6) Lowering Costs

Demand forecasting will reduce inventory costs since you’ll know beforehand how much you need to have on hand at any given time. You’ll also save on warehouse and transportation costs and be spared from offering steep discounts to get rid of your surplus.

7) Happier Employees

Predicting an increase in demand early allows you to effectively plan your employees’ work schedules and avoid burdening them with last minute calls to show up at work. As a result, they won’t be complaining about you pushing them beyond their limits or seek jobs at your competitors.

These are just some of the benefits you can reap with demand forecasting. And, if you want to start realizing them, you’ll need Altametrics Enterprise Office. A comprehensive system solely for restaurants, Altametrics Enterprise Office allows you to forecast more than demand through its Universal Forecast module. You can further predict sales, transactions, product mix or any custom driver. The software also allows you to manage your supply chain, control your inventory, manage your workforce, and learn real-time metrics for business intelligence purposes.

To learn more about Altametrics Enterprise Office or simply the demand forecasting module itself, get in touch with us at 1-800-676-1281. Better yet, request a demo to see how the system integrates with your system to benefit your business as a whole.