A restaurant’s menu is a psychological chess match. Beyond descriptions that make the dishes appetizing, marketers and restaurant owners, using typography, arrangement and design, must shepherd customers to the dishes and distract the them away from pondering the prices. In contrast, customers attempt to weigh their gastronomic desires against the prices. Who prevails can be crucial to the restaurant’s success as a lot is in the balance when customers opt for a relatively unprofitable $15 dish instead of a profitable $28 dish.
But that’s oversimplifying it. No matter what you do, if customers see prices, they will, to some extent, take them into consideration (of course you should minimize this as much as possible). Therefore, even how dishes of different profit and price are arranged on the menu can influence a customer’s final decision. To add to that, the graphic design (text, borders, boxes) can make one dish stand out while burying a dish in a list may lead to customer’s not ordering it. And it’s cannot be stressed enough that you can put your restaurant at a disadvantage if you conform to a normal menu layout without thinking about if it works for your bottom line. Take for example the practice of using columns for dishes and prices rather than tagging the price on the end of the description (putting the emphasis on the dish). By tagging, the customer cannot mindlessly compare prices. Details like that go a long way when you think about it over the long term.
There is something else to include in your thinking. Besides prices, another thing to consider is if you have a dish that everyone loves, it may be good to feature it even if it doesn’t offer the highest return. Repeat customers and good word of mouth are much better investments in the long run.
Still, as dishes are not created equal, the lesson is to be very conscious of your customer’s thought processes when laying out a menu. Otherwise you run the risk of not achieving the full economic potential of your restaurant’s cuisine.
In Priceless: The Myth of Fair Value (and How to Take Advantage of It), author William Poundstone dissects the marketing tricks built into menus—for example, how something as simple as typography can drive you toward or away from that $39 steak.
Puzzles, anchors, stars, and plowhorses; those are a few of the terms consultants now use when assembling a menu (which is as much an advertisement as anything else).
“A star is a popular, high-profit item—in other words, an item for which customers are willing to pay a good deal more than it costs to make,” Poundstone explains. “A puzzle is high-profit but unpopular; a plowhorse is the opposite, popular yet unprofitable. Consultants try to turn puzzles into stars, nudge customers away from plowhorses, and convince everyone that the prices on the menu are more reasonable than they look.” Poundstone uses Balthazar’s menu to illustrate these ideas.