Ochsenfurt, May 2020 – How can it be that you work all day in your restaurant and in the kitchen and still have a minus at the end of the day in the till? What’s wrong with that? Why is gastronomy in the red despite the reduction in VAT?

More self-confidence in pricing
Why is gastronomy in the red at many Flair establishments despite the reduction in VAT? Are the hoteliers and restaurateurs too reluctant to raise prices and to demand the necessary money from the guests for the excellent quality of the products offered? The reduction in VAT to 7%, which the federal government has now decided to do for a year, does not really help. Some guests even come up with the idea of ​​asking cheaper prices due to the reduction. The guests demand quality but it also has to be paid for, even with the VAT reduction!

New hygiene standards are an additional burden
The question is, how are restaurants that were already unprofitable before the crisis to survive when they are only allowed to occupy a maximum of half of their tables and have much more complex processes due to the requirements? The numerous hygiene requirements and process changes due to Corona mean that the business is even more labor-intensive than before. This must also be reflected in the prices. Otherwise the restaurants can no longer continue. The goal is to offer a well-balanced price-performance ratio and to have a self-confident attitude behind it.

Sophie von Seydlitz, Head of Marketing and Sales at Flair Hotels on the subject of why gastronomy is in the red despite the reduction in VAT: “Something in the guest’s awareness of regional cuisine and food prices urgently needs to be changed. Also in terms of the increased costs due to the pandemic. Animal welfare, longer rearing, short transport routes, the renouncement of medication and fertilizers and much more cost more money than conventional animal husbandry and the classic cultivation of vegetables and fruit.

Because you don’t go to the carpenter and ask why you can’t get the shelf at the Ikea price. That is why we encourage our Flair hoteliers to ask for the price they have to have for the dishes and not to go below it just because the operation in the neighboring town is cheaper.

But how do operators find the right price?
What quality can I sell at what price in my restaurant? How do I adapt the price level dynamically in a clever way? Willi Nusser from Illmensee, long-time Flair hotelier and now owner and company founder of EagleControl, has developed a program with the branch-specific software eagleControl. This program offers efficient solutions for numerous problems in the hotel and catering industry. It is already used enthusiastically by many Flair colleagues.

Willi Nusser: “I know from my own experience that the main problem of taking care of everything intensely is the lack of time. I see the development as particularly problematic in that the prices in the catering business are not a regular reaction to their own rising costs. As a result, the margins are getting smaller, which many entrepreneurs often fail to recognize in time due to the cross-subsidization of the accommodation business. Against this background, I and my team have developed an industry-specific controlling software called eagleControl. This helps save time with this and many other challenges.

Responding to the problem in an entrepreneurial manner
But how can operators put an end to the minus in gastronomy despite the reduction in VAT? With eagleControl, the hotelier or entrepreneur can call up and analyze their figures digitally and promptly at any time, regardless of where, in order to react and optimize. With an online instruction he is quickly on the topic and always up to date. Willi Nusser advises creating the prerequisites for transparent bookkeeping in financial accounting in order to perceive different developments in the hotel and catering profit centers. Each company has to find an individual pricing policy in which its own cost structure plays a role, especially in the current difficult times.

With a special calculation tool from eagleControl, the operating result of the catering trade is shown as a mirror image based on the food and drinks sold and, among other things, presented in a portfolio analysis: Which dishes are big sellers, sleepers or losers? You can easily simulate prices with the program and see the resulting contribution margin and profit directly. The tool is based on the one hand on the recipes and sales quantities of the various foods and drinks. On the other hand, on the real, historical calculation and cost factors of your own company. This also includes the real shrinkage of goods, which is always missing in a calculation based purely on a recipe.

Gastronomy needs significant price adjustments promptly
Sophie von Seydlitz, Marketing and Sales Manager at Flair: “If there is no price adjustment in the catering industry in the near future, numerous companies will have to close their restaurants. The eagleControl tool helps our Flair hoteliers competently with cost estimates and supports decisions. Such as increasing the costs for selected food and drinks moderately but adequately. Our members regularly have the opportunity to take part in training courses offered by the program. The effectiveness, the time savings and the financial advantage of eagleControl are enormous and many Flair members are already convinced and use the program. “

Contact Flair Hotels

Sophie von Seydlitz
Tückelhäuser Str. 20
97199 Ochsenfurt
Fon +49  9331 9839 13
Email : svs[at]flairhotel.com
Internet : www.flairhotel.com

Press contact:

PR Office, communication for the hotel and tourism industry
Bettina Häger-Teichmann
Strangweg 40
32805 Horn-Bad Meinberg
Fon +49 5234 2990
bettina.teichmann[at]pr-office.info
www.pr-office.info

Here you will always find all the latest news about the Corona Pandemic from our offices. Always stay informed and keep up to date: www.flairhotel.com/Hier finden Sie immer alle aktuellen Neuigkeiten zum Thema Corona Pandemie aus unseren Häusern. Bleiben Sie stets informiert und halten Sie sich auf dem Laufenden:Hier finden Sie immer alle aktuellen Neuigkeiten zum Thema Corona Pandemie aus unseren Häusern. Bleiben Sie stets informiert und halten Sie sich auf dem Laufenden: www.flairhotel.com/corona-pandemie