28 Eylül 2012 Cuma

Restaurant Innovation Be Dammed Lets Copy!

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Today differentiation does notreally mean different it means familiar.


Corporate marketerswith legacy restaurant chains strive to keep up with their competitors. Whenthey fall behind (lose market share) in days gone by they would lose their job!Not in today’s world, they simply copy what the industry niche sector leader isdoing, quieting disgruntled franchises or shareholders.
When this occurssuccess is based on points of distribution and product price, rather thancreating incremental brand value. Everyone loses; stakeholders, shareholders,franchisees most importantly consumers.
Managementcomplacency and mediocrity seem to be today’s status quo rather than consumersfocused driven brand teams.   Life issimple for chain C-level executives, don’t risk innovation, follow the leader,and maintain niche equilibrium and the stock options and paychecks keep rollingin.  The loser may not just be theconsumer from lack of true innovation, brand values drop, consumer brand apathyincreases, and market share capitulation is a direct result.
In realitydifferentiation becomes product price and points of distribution ratherinnovative new products, or service.  Then price and location become more important value than the brand.   When looking from the consumers perspectivethere is very little overall difference between TGI Fridays, Houlihan's,Bennigan’s or between McDonalds, Wendy’s, Burger King.  Within the Pizza sector,  a similar set of problems from the consumerperspective exist between Pizza Hut, Dominos; Papa John’s Godfathers they allhaving the same number one selling pizza pepperoni.            Legacy brandscapitulate market share as an unintended consequence controlling the brandwithin the four walls and executive compliancy. More and more consistent niche equilibrium can be the seductress ofcompliancy and mediocrity for CEO’s & COO’s of major restaurant chainstoday.  When C-level officers and brandmarketers are more focused on the controlling brand; staying within their nicheand within their four walls rather than paying attention to the consumer, aloss of market share is sure to follow.  Innovationmust continue in-order to maintain consumer relevance.
For international corporatepresentations, educational forums, or keynotes contact: Steven JohnsonGrocerant Guru at Tacoma, WA based Foodservice Solutions.  His extensive experience as a multi-unitrestaurant operator, consultant, brand / product positioning expert and publicspeaking will leave success clues for all. Facebook.com/StevenJohnson, Linkedin.com/in/grocerant or twitter.com/grocerant

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