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Need to revive our business

We opened 19 months ago. We were very busy at the start but we have shown a steady decline in sales since. We have expanded our menu and tried many things to bring customers but nothing seems to work. Although we have saved a lot of money in this time we are now at the point where the business only covers expenses for itself and our living costs. I fear if the current trend continues we will soon be at the point where it won't be able to support us. We don't understand why. Our shop looks great (50's style cafe), our food is tasty and gram for gram we're probably cheaper than McDonalds. Maybe there are too many places to eat in town but people used to come so why have they stopped? I would appreciate your help before we are forced to close. Thank you. Paul

2 Answers

Hi Paul. You mentioned you've done many things to bring in customers but nothing seems to work. What specifically have you tried? Do you have a database of customers? Could you go back to them to intice them back? If you don't have a database, I'd suggest you start developing one. Your current customers, maybe try surveying them or trying to get some feedback from them. What do they like? Where do they see room for improvement? If there are a lot of other eating places in the area, what are you doing to make your place more inviting than them? Have you done some market research and visited the other eateries in the area? The more you know about your competition, the easier it is to win back some customers. What are they doing better than you? What marketing are they doing? Are you open 7 days a week? Some of my hospitality clients are closed on the quieter days of the week which means they're saving on staffing costs, and they're using those days to catch up on working on the business (rather than in it), or just having some down time (it can be a very time consuming business, as I'm sure you know!). Do you have an online presence? Ask your customers to review and rate you online. Can you diversify outside the traditional cafe - catering, functions, delivery? Happy to have a chat with you further. Kind regards, Sarah. www.missefficiency.com.au

Hi Paul, You URGENTLY need to allocate some money and engage 2 external people a Finance and Marketing Expert. All the best. Regards Jeff Gordon, Financial Outcomes Accounting Specialist, Prestige SME Business Solutions, info@prestigesme.com.au. You are welcome to email a detailed summary of all your issues including your Year To Date Profit & Loss and Balance Sheet and Marketing Plan and activities!

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