Restaurant concept pitch

1. TEAM 1
Ashish Doke
Kush Patel
Suhas Nadiga
Surya Adavi
Sreekanth Kyatham
Xinyuan Zhang

2. Agenda
• · Problem statement
• · Project objective
• · Market research
• · Restaurant concept
• · Financial projections
• · Marketing strategy
• Operations strategy
• Future Scope

3. Problem Statement
The U.S shopping mall industry is retracting. If the company
continues to focus all of its resources in this domain, the
chances are that the company might lose its financial muscle.
The company cannot challenge its competitors and emerging
players in this domain, which will result in the organization’s
learning curve going stagnant.

4. Business Case
The food and beverage industry is currently posting strong growth rates.
It is a perfect time to invest in this opportunity. The digitization of the
food industry helped reduce the operating costs and expanding customer
base. This new business vertical will also help the company to diversify
risk. The company can maximize the operational synergies of the two
businesses verticals and boost its brand image in the market.

5. Project Objectives
• Choose a strategized location to run the business successfully by
achieving a significant market share in the food industry.
• Propose state-of-the-art execution plan to develop a restaurant theme,
choose a cuisine and restaurant name, that appeals to a large audience.
• Develop a sustainable financial plan to generate a return on investment
and repay debt.
• Develop a unique business model for the company to expand its

6. Industry Outlook and Trends
➔ Challenging business
environment
➔ Recruitment
➔ Elevated pent up demand
➔ Technology gains
➔ Food and menu trends
figures in Billions

7. Why Restaurant Industry?

8. Consumer Demand

9. Consumer trends
➔Menu is still the king.
➔Order Customization
➔Ordering online
➔Loyalty programs
➔Payment Flexibility

10. Target Audience
Population - City 3,00,000
Residential Population - 1 mile 10,000
Residential Population - 3 mile 30,000
AGE Group Targeted 18-49
Household Size 2 or more
Household Income $40,000
Industry Base Working Class, Teenagers, Tourists
Business Hub (1-3 mile) Offices, Colleges, Theatres

11. ➔Strong, diversified business community
➔Educated and experienced workforce
➔Place where entrepreneurs thrive.
➔Champion of alternative transportation.
➔Minnesota is ranked 2nd on Forbes quality of life.
Location: Minneapolis

12. Demographics of Minneapolis (2015)
Population 412,517
Households 176,878
Avg Household Size 2.22
Median Age 32.4
Median Family Income ( Minneapolis -
St. Paul Bloomington)
$69,183
Median Family Income of Minneapolis $51,480
Per Capita Income of Minneapolis $32,647

13. Population by Household Type & Race

14. Food Trends
• Consumers seek fresh, natural
and minimally processed foods.
• Health and wellness is a trillion
dollar industry in 2017
• Younger consumers are most
willing to pay a premium for
health attributes.
Health and Wellness growth market

15. Type of food
• Delicious, premium, and nutritious.
• Products that are designed to promote health and wellness.
• Products that are made from 100% fruit and vegetables
without any added ingredients.

16. Restaurant Concept
➔A fast casual restaurant
➔Intermediate concept between fast food and casual dining
restaurant
➔The menu consists of better quality ingredients.
➔The quality of food and prices tend to be higher
➔Ex: Mexican Chipotle Grill, Panera Bread etc

17. • Cold Pressed Juice
• Made by pressing fruits and vegetables under high pressure
• Cold-pressed juice market to grow at CAGR 10% by 2022
• Smoothies
• Global smoothies market to grow at a CAGR of 7.1% by 2020
• A thick blended beverage with shake like consistency
• Acai Bowls
• Eating from bowls is a trend and encourages more takeaways
• A really thick smoothie topped with oatmeal or fruits
Menu

18. Competition
Name Menu Price Reviews
Juice So Good Cold pressed juice
Smoothies
Acai bowls
Coffee
Under $10
4.0
Jamba Juice Fresh squeezed juice
Pudding cups
Fruit & Oat bowls
Smoothies
Moderate 3.0
Truce Cold pressed juice
Pudding
Bites
Smoothies
Moderate 3.5
Green Bee Juicery Cold pressed juice Pricey 3.5

19. Marketing strategy
•Grand opening to build buzz & create Brand image
• Connect through Social media platform
• Hire Agencies for Marketing and Web/App development
• Location based action strategy
• Loyalty program and In-store Wifi
• Maintain a 5P model

20. Operation Strategy
POSITION FULL TIME
General Manager 1
Kitchen Manager 1
Asst Manager 1
Line Cook 2
Servers 12
➔ Training
➔ Daily operations & production
➔ Customer Service
➔ Management Controls:
1.POS System
2.Time & Attendance System
3.Safety Reviews
➔ Administrative System:
1.Daily Cash Control

21. Financial Projections
• Footfall density
• In-restaurant = 50 person/day on weekdays and 70 person/day on
weekends
• Take away = 40 person/day on weekdays and 60 person/day on weekends
• Sale will increase by 10% every six months.
• Total expenditure per month remains constant throughout.

22. Financial projections
Total sales
● In-restaurant
● Take-away
$12,480 per month
$10,240 per month
Total Expenditure
● Capital (bank loan)
● Capital expenditure
● Operating cost
$2,50,000
$1,15,500
$34,873 per month

23. Year On Year Projections
Profit at the end of 2017 = $-1,32,204
Profit at the end of 2018 = $-72,090
Profit at the end of 2019 = $648
Profit at the end of 2020 = $88,662
The payback period of the project = 3 years

24. SWOT
STRENGTHS
1. No exclusive Juice o within a 5 mile radius.
2. Minneapolis being a health conscious city,
we have a great location advantage.
3. Most of the ingredients being fresh
produce, would be saving on refrigeration,
preservatives and processing of food.
WEAKNESSES
1. Lack of brand popularity, given we are a new
player
2. Limited budgets for marketing/awareness
activities
3. Lack of previous experience in the
Minneapolis area
OPPORTUNITIES
1. Ride the wave of Cold Press Juice frenzy.
2. Increase market size significantly, as many
customers are not yet aware of our brand.
3. Franchises can be offered to interested
parties, allowing the business to grow
faster.
THREATS
1. Competition from existing restaurants to
expand into juices and health bowls.
2. Major chains with heavy budgets can easily
try to enter this market.
3. A decline in economy might reduce user
spending and impact eating out habits.
4. Expanding our Digital footprint might bring
some threats in that domain.

25. Unique Selling Point of the Project:
• Fast and healthy food
• Caters exclusively to nutritive food only
• Competitive pricing
• Give Customers DIY Juice options
• Location & Event-based Pricing
• Search Engine Optimized Digital Interface for maximum visibility
• Customer Tracking, Loyalty & Rewards Program

26. Conclusion: Future scope
• Focus laid on developing the restaurant to achieve a successful Return on
Investment.
• Based on the appeal this business generates, it might lend favourable expansion
opportunities in other business verticals.
• The comprehensive approach adopted in building the business philosophy,
operational & financial systems and marketing strategies will enhance the
expansion opportunities.
• The processes created for this business entity can also be templated for
expansions in other business verticals.
• This adds profitability, visibility and a cumulative brand value to establish the
company as a successful business conglomerate in dynamically evolving markets.