Concept Selection for Independent Restaurants

Abstract

To launch a new restaurant or concept in a specific area you must support your intuition for success with at least a secondary-data analysis, which will help quantify and define your area's potential and indicate the scale of operation you should consider. Next you should conduct a primary study to determine the condition of the market, including the consumers and the competition. You must also anticipate the future by assessing life-cycle categories and trends in your area, for example, the age-group sizes and what direction they are moving. Define the dominant consumer segments in the area (demographic analysis) and analyze the profiles of those segments before selecting the concept that best fits that target. Define your concept decisively. If your concept is preselected, determine what market segment you will compete in and plan the restaurant's menu, price points, atmosphere, size, and financial goals. Once the concept is well-defined, search (as described above) for those locations that likely will support the concept.