Foodservice Equipment Manufactures: How Data Can Help Foodservice Marketing

This month we have dedicated our blog posts to learning more about foodservice equipment manufacturers. Today, we are going to explore why foodservice data matters and why foodservice marketing is essential to help foodservice manufacturers grow their business.

In order to grow a business, you must be able to target the right audience. Equipment manufactures have to consider a lot of variables in order to target the right audience to generate sales, and it is essential for foodservice equipment manufacturers to have an organized customer database.

However, sometimes businesses don’t have the time to update the database with all of the details from a sale or a service call – and as a result, some valuable data doesn’t get recorded in the database. When data doesn’t get recorded properly, it can be hard for the sales and marketing team to know who is the right target audience.  The problem is that if data isn’t entered as timely and accurately as possible, it can produce non-actionable data.

The CHD Expert FIND database provides business like foodservice equipment manufacturers with accurate foodservice industry data. And as previously mentioned accurate foodservice data is so important is because this is what the sales and marketing teams use to send communications to existing customers and prospects.

For example, if a foodservice manufacturing company wants to educate existing customers about a new product they are offering, but they only want to send a communication to their existing clients who have had their product for over 10 years (thus increasing the likelihood that those customers will be interested in upgrading), it is important to  have the the right data, and data segmentation, so the sales and marketing efforts can target these specific clients.

The good news is that CHD Expert can offer companies like foodservice equipment manufacturers a chance to reinvigorate their database! Here at CHD Expert , we collect, manage and analyze data from the away from home foodservice market. The FIND Database, has data on over three million operator contacts globally, which allows us to provide businesses with the exact customer segment they are looking for. Let us help your sales and marketing team today by providing them with the data they need to move the business forward. Learn more at http://www.CHD-Expert.com

FREE Webinar: Foodservice Industry Trends

Did you see our last post titled, “The US Restaurant Trends On Openings and Closings In 2011 and The Effect on the Foodservice Industry?”

Well, incase you want more information about the restaurant industry or foodservice data, we want to invite you to a FREE Webinar where we will be discussing the 2011 US Foodservice trends and the restaurant openings and closing. In addition, we are going to explore what impact has the economic down turn had on Full Service Restaurants & Limited Service Restaurants?

Join us! The LIVE Webinar will take place on March 1st at 2:00pm CST.  To register, please use the following link:  http://bit.ly/wFrxHS 

We hope to see you there!

The US Restaurant Trends On Openings and Closings In 2011 and The Effect on the Foodservice Industry

What impact has the economic down turn had on Full Service Restaurants & Limited Service Restaurants? CHD Expert provides an update on the status of the US restaurant industry and how it is affecting consumers. This is the “Hungrier Games.”

Every year CHD Expert reveals the annual United States restaurant openings and closings, as it is a fiercely competitive industry. The name of the game is convincing consumers that your restaurant offers more than your competition. Last year the game left behind a large number of casualties. In 2011 the number of restaurants in the marketplace declined by 2.5% in the U.S., which represented a net change of 16,000 less restaurants nationwide. The final three months of 2011 saw more restaurants close than any other quarter of the year. Full service restaurants (FSR) suffered more than limited restaurants (LSR) with almost three times the amount of market decline last year.

The full service restaurant market declined by 12,000 operators, or 3.8%, in 2011. Consumers were not as frugal with their dining dollars as the previous 2 years, but fine dining restaurants still struggled shrinking by 4.6% last year. The hardest hit cuisine, in the fine dining segment, was the “steak, seafood & fish” menu type. Fear not diners. Do not reach for that pint of “sadness” ice cream yet; things are not as bad as what we’ve seen in some previous years in fine dining. Chains such as Capital Grill, Morton’s and Ruth’s Chris are holding their own, but have a long road to recovery to be back to where they were in 2008.

Limited service restaurants were not immune to the downturn either, as they declined by 4,000 operators, or 1.3%, in 2011. It will come as no surprise to those in the industry that the independent restaurants were hurt the most. Limited service chains actually increased in 2011 by nearly 1%. Fast casual chains that boast a more fresh, and diverse menu continued to thrive. The news was not so joyful for fast casual’s frozen LSR brethren; the smoothie, juice and frozen dessert menu types, had the largest decline at over 7.3% in 2011.

On the brighter side:

It is not all doom and gloom. Things are not as bleak as they were for poor old Oliver Twist. There are some restaurants that diners got “some more” from in 2011. Meat and potatoes reigned supreme as “American traditional”, and “American regional” menu types increased by more than 7.5% throughout the year. Bars & grills and Asian restaurants also were on the rise in 2011 with over a 2% increase in the market.

Results by State

The 2011 national restaurant executioner did not wield its deadly sword in a democratic fashion. Instead, Alaska’s foodservice market was hit with haymakers decreasing by 7.9% during 2011, while several states such as North Dakota and New Hampshire seemed to bob and weave deftly enough to even see an increase in their own foodservice markets. Oddly enough, the great state of Nevada, the nation’s leader in unemployment, had the highest percentage increase for a state’s foodservice market increasing by almost 5.5% in 2011.

According to Cathy Kearns, General Manager at CHD Expert, “Even with a declining market, consumers still want their food good, and fast. Fast Casual chains are becoming more attractive to consumers, offering a higher quality food than quick service with a perception of being the healthier option. So they’re getting food at a fair price without giving up an hour of their time.”

For more information on the foodservice industry please send an email to
brad@chd-expert.com

Pizza Industry Data: What’s happening at the 2012 Pizza Expo

As we mentioned in an earlier post titled, “2012 Foodservice Trade Shows – Why are they valuable and which are CHD Expert attending,” we are really excited to attend the 2012 Pizza Expo in March – which is just around the corner. This year’s show is going to be full of excitement, especially to see what new restaurant industry insights we can gather regarding 2012 pizza industry data. Here is a quick list of activities that are going to be happening the 2012 Pizza Expo:

• Learn to buy & sell pizza on the huge exhibition floor
• Attend a pizza-making class and other types of demonstrations by top chefs
• Learn from the best industry experts with over 75 educational sessions
• Enter the international pizza-baking contest or feel free to just watch as part of the crowd
• Watch the dramatic World Pizza Games® dough-spinning finals
  

In addition to all the action, the 2012 Pizza Expo will give foodservice operators, suppliers, distributers, and buyers the chance to come together in one place to talk about the business of Pizza. We are really excited to see what’s happening on the business side of the pizza business and to attend the seminars, workshops, power panels, and operator presentations. As reported on their website, here are some quick facts about the different sessions:

Seminars and Workshops: Among the 75-plus seminars and cooking demonstrations will be these special new sessions:

Power Panels: We’ll convene panels consisting of top operators who are on the cutting edge in their approaches to top-of-mind topics. You’ll be able to learn from the best on subjects including: finding and keeping the best pizzeria employees, building blocks for profitable menus and proven tactics for driving business with social media marketing.

Operator Presentations: We’ve gone to great lengths to bring in more pizza owners and operators to speak about how they excel in specific segments of the business. Among the operator-presenters appearing at Pizza Expo 2012 are: Peter Cooperstein of Amici’s on delivery, Glenn Cybulski of Seasons Pizzeria and Clovers Sports Bar on appetizers, Doug Ferriman of Crazy Dough’s on selling slices, Clayton Krueger of Farrelli’s on social media, George Hadjis of Oggi’s on building community partnerships—and several more.

The Pizza Expo 2012 is a great opportunity to get a better understanding on what’s happening in the pizza category. At CHD Expert, we pride ourselves on having the most comprehensive and accurate foodservice database – which allows us to help businesses in the foodservice industry by providing them with one of the most valuable things: data. Our data can help manufacturers, operators, restaurants, etc. successfully grow their business because our data is accurate, up to date and granular.

To learn more about how we can help, check out our website, www.CHD-Expert.com. Or, if you are going to be at the Pizza Expo too – let us know beforehand, and we can set up some time to meet face to face.

See you there!

Sales of foodservice equipment, supplies and furnishings increased by 4.8% in Q4 2011

Foodservice Equipment and Suppliers

Yesterday there was some great news published by the FoodService Equipment & Supplies Magazine.  According to the latest Business Barometer released by the Manufacturers Agents’ Association for the Foodservice Industry sales of foodservice equipment, supplies and furnishings increased by 4.8% during the fourth quarter of 2011.This is great news!

The MAFSI data also reported that, sales in the US increased 5.3%, ranging from 6.6% in the south, 6% in the west, and  4.3% in both the Northeast and Midwest. Another thing that they reported is that Canadian sales are up 2.2% as well.

So, the next question we are all wondering is: If Q4 2011 did so well, what are the projections for 2012? MAFSI reps project a first quarter sales gain of 5.2% in 2012. For the year, the reps project a 6.6% increase in sales, the association’s strongest forecast in the 10-year history of the Business Barometer. One of the things that is contributing to this optimistic outlook in the rep community is the fact that 54% report an increase in quotations while only 21% are quoting less.

We are really excited about this forecast for the foodservice equipment and supply industry which was really hit hard during the economic recession. This also give us at CHD Expert the opportunity to share that for any foodservice equipment manufactures or suppliers who are looking to expand their product’s reach, we can help. We provide customizable solutions that can help foodservice organizations optimize their sales and marketing strategy with quality data. Specifically, we can help organizations who have the following challenges:

1. Data fragmentation

2. Multiple sources of data

With the assistance of the CHD Expert FIND database and FIND Sweeper, we can help organizations improve the hygiene of their data which minimizes the need for a “spray and pray” approach. The benefit here is that by improving the quality of your database, or by working with us to provide you with quality foodservice leads, we help improve organizational efficiencies because the sales and marketing team are going after quality leads and prospects as opposed to just going after any and everyone.

If you are a foodservice manufacturer and have any questions about foodservice marketing, please don’t hesitate to give us a call at 312-768-6900 – or send us a email at bbloom@chdexpert.com

Equipment Manufacturer Sales in the Foodservice Industry: It’s All About Timing!

Foodservice equipment manufacturers: lifespan & who to target?

Most professionals agree that the average lifespan of commercial kitchen equipment is around 10 years. However, life expectancy varies depending on the type of machine and the maintenance it receives. Some equipment, often electric, might fall to a 5-8 years lifespan whereas; properly maintained equipment can last much longer than 10 years. Some appliances can even last up to 25 years.

A shorter lifespan is generally expected for appliance such as ice machines, dishwashers, coffeemakers and coolers. Some bars, restaurants and other away-from-home foodservice operators prefer leasing over buying these specific products, due to their short life expectancy. Additionally, gas powered appliances are often recommended over electric powered appliances because they have a much longer life expectancy and are often thought to better fit restaurants’ needs (less time to heat up, better temperature regulation).

How to pinpoint commercial foodservice operators who need equipment replacement? For equipment companies to draw useful conclusions from the information about the lifespan of commercial kitchen equipment there is a need to look at the age of U.S. restaurants. The age of the restaurant is as important as knowing how long their equipment will last because it is unlikely that a restaurant will replace their large equipment within a year of opening.

Restaurants Years In Business

A staggering 88% of restaurants have been open for less than 10 years and almost 38% have been open for less than 5 years. Therefore, more than a third of restaurants are probably not interested in replacing their large kitchen equipment.

Since only 12% of commercial foodservice operators have been open for more than 10 years, this is the best segment of the restaurant universe for equipment manufactures to target with sales and marketing efforts. Targeting these specific operators will considerably improve response rates, decrease marketing spend and ultimately help your sales team become more productive.

According to Cathy Kearns, General Manager at CHD Expert, “More than ever before, equipment manufacturers in food service need market intelligence that allows them to be in the right place at the right time when the operator is ready to buy as well as replace their equipment.”

For more information on the foodservice industry please send an email to Brad Bloom at brad@chd-expert.com.

How CHD Expert can help you sell more foodservice equipment

As we mentioned in last weeks entry, we are going to be attending the The North American Association of Food Equipment Manufacturers Conference (NAFEM) later this week. With that said, this months blog posts will be dedicated to foodservice equipment manufacturer related topics.

Here at CHD Expert, one of the things we take pride in is having the most accurate and up to date global foodservice database. Foodservice equipment manufactures use our data to help their sales teams generate leads for their products or services and we have helped countless businesses increase their direct sales.

One way we help foodservice equipment manufacturers is by providing them with actual operator contacts (potential leads), to help expand their product’s reach. For example, let’s say the oven equipment manufacturer Baxter has a business goal to sell X% more product this year to new bakeries that just opened in the past six months. Well, CHD Expert can help. CHD Expert’s FIND Database has a list of quarterly restaurant openings and closings. From this list, via the Easy2FIND product, we can segment the data further to really pinpoint the most optimal leads for your sales and marketing team.

With our Easy2FIND tool, you can first segment operator data by geography. Let’s say we want to target restaurants within a 20 mile radius of downtown Chicago.  Then we can break the data down further to identify your ideal customer by using the market segment filter. We can identify: menu type, years in business, number of rooms, annual sales, number of employees, average check, the decision makers contact info and more.

This type of data can really help streamline the sales and marketing process, because you now have the information you need in order to contact the right leads. CHD Expert’s FIND database offers a wide range of data and can be considered a foodservice supplier database, foodservice manufacturing database, or an overall foodservice marketing database.

For more information about the FIND Database or Easy2FIND services, check out our website or email Brad Bloom, head of sales, at bbloom@chd-expert.com.