Without a doubt, one of the downsides of the restaurant business is “bad, uninformed, uneducated and hyped- up salespeople” selling the next marketing tool, marketing service, marketing product, advertisement.
New opportunities appear daily since the Internet has become a super-vending machine. Business owners drop their money into the slot, wait to hear the clunk at the bottom of the machine, and then grab their new marketing tool that might be the answer they seek. The Internet machine cares little about the success of a restaurant owner and those who fill the advertising vending machines measure their success by the number of quarters instead of restaurant success stories.
The latest message on the street: “Your costs are not as bad as you think for deep discount daily deals. Most of those who buy the deals do not follow up and use the product or service.”
The list below can serve as a warning to anyone hoping to sell to the restaurateur. The restaurant owner or manager has private thoughts you may never hear. If you are lucky, a few will share what they are really thinking.
The list below will serve as a checklist for restaurant owners and managers to think about before buying advertising.
What the restaurateurs think about when the salesperson contacts them:
- No; increasing sales $501 by spending $500 on your advertising does not make it profitable by $1.
- You are showing up in the middle of peak period to talk to me means you are either stupid or an opportunist.
- No appointment? The only people I speak to without an appointment is either my guests or my staff. (Or my family)
- Your estimations are an opinion which may or may not be true.
- Your opinion about what may happen is just an opinion.
- Have you ever dined at our restaurant? No? Why not? How can you be enthusiastically helping us advertise when you have not yet tried our restaurant?
- No, I don’t have a business card. Here is a menu. Please feel free to order something before our next conversation and let me know how you liked your meal.
- Write a check now for marketing services to be delivered in 90 days? No thank you.
- You would like me to pay now and for a service which lasts a year and sales trickle in over the course of 12 months? How is that win-win?
- When is your deadline? Contact me on that day.
- Your mailing includes mostly small businesses which are not attractive or high volume. Adding my business to your advertising does the other advertisers and your company an advantage. What is the win-win you can offer?
- Is there a guarantee?
- What will your company do if an error is made?
- You are the salesperson, the graphics artist AND the person who executes the marketing? Really? What is the chance of you being outstanding at everything?
- Do you know what a typical ROI is for restaurants?
- There is an EXTRA fee for set-up, design, shipping, and more?
- For each $1 spent, I need $4 in sales in 30 to 45 days just to break even. Why do you believe that your advertising will get these results?
- What is the typical redemption rate when others have used your advertising product/service?
- You don’t have the authority to make decisions for your advertising product? Let me talk to the person who does please.
- Do you offer exclusivity? No? My advertisement will be side by side with competitors? No deal.
- If I share my numbers for redemption and sales your company can use in the future, would you be willing to cut the cost of advertising by 90%?
- Why are you flirting with my hostess? That is my wife.
- You don’t live in the area? You want me to call you back today because you are leaving tomorrow? No thank you.
- You are calling by phone to tell me about website services for my restaurant?
- $2,000 for a website for one restaurant? Do you understand about ROI?
- $300 a month for website services? Do you understand about ROI?
- $500 a month for social media services? Do you understand about ROI?
- You are using the free service “Google Plus” to get my business on the first page of Google but charging me $500 for the year?
- You say that you are calling on behalf of the local high school but are calling from across the other side of the USA? No thank you.
- You say that you are working with a local non-profit group? I have confirmed with the local group that they receive 2% of the sales. I think I will work directly with the group to give them 50% of the sales. No thank you.
- Contract? You want me to sign a 2 page contract which commits to me to something for a year but does not hold you accountable for more than delivery of product?
- Because you say advertising will increase sales does not make it beneficial.
- Stop asking me obvious questions such as: “Do you want to increase sales?”
- The fact that you used “your competition has signed up for this” means you are sharing confidential information and have questionable ethics. No thank you.
- Why can’t I try your advertising service on a small scale just to test your product or service first? The first rule is: Test, Test, Test.
- You say the last advertisement did not work because of the offer? You think the offer should be better? How do you know it is not the reputation and effectiveness of your marketing vehicle?
- Can I choose placement? Why not?
- What can’t I order the advertisement and pay when delivered?
- It appears you have other advertising from my business in your hand. Is that how you found me?
- Oh? You are an employee working on straight commission? Very motivated to sell? Contact me again on the day of your deadline and let me know if you have sold out.
- Do you have five references I can call who will tell me they had profitable cash flow as a result of using your marketing products and services?
- Only $150 a month? You say it is 1/2 the cost of a phone book advertisement?
- Since when did phone book advertisement become the standard for how much is an acceptable rate?
- To be clear; you want the payment in advance, before services, with no guarantee of success and you want me to trust you?
There are advertising salespeople who understand that restaurateurs will be working their business during peak times. They also understand that chain restaurants are harder to sell to. Advertisers love to get to the person with the checkbook and many will feed “the possibilities”. It is unbelievable the number of predators and opportunists who believe that preying on the less informed in the restaurant business is a cha-ching-machine.
Many who sell advertising are not always representing the best ways to do restaurant marketing. Over the years, I have done thousands of mini-restaurant marketing campaigns. The common theme has been: Positive cash flow. Restaurant marketing must generate positive cash flow. Not a year from now, but in the next 30 to 45 days. The restaurant business is a cash flow business.
The advertiser who comes to an independent restaurant owner about “investing for the long haul” and “pay into a program for a year so that the community knows you better” is not in sync with the needs of the restaurateur. Most salespeople who sell advertising are employees and a large percentage get paid not on the results of the advertising they sell but whether they sell advertising.
It is a game of numbers. Even the best service agencies with the friendliest smile should not be able to entice you to buy marketing products or services because they make you feel good. Without return on investment (ROI), without measures of success and without excellent execution; making the restaurant owner feel good is not enough.
Restaurant owners: If the method to creating a restaurant marketing plan is to wait for an advertiser to call you and then decide whether to buy, I recommend a trip to Las Vegas. There is a great game called “craps” where you throw the dice and hope for the best.
Message to restaurant marketing salespeople: Create success by providing products and services which builds profitable sales if you expect to turn restaurant owners into customers for life.
Message to restaurateurs: Investing in marketing is necessary to success. Don’t let a bad salesperson who does not understand how to create success keep you from doing what is necessary.
Not all advertising sales reps are bad. If they are sales people instead of business owners, there is a a higher risk.
The next best step may be to connect with experts and avoid the risks of BAD restaurant marketing salespeople.
