Restaurant Remodeling Continues To Attract Customers

by Jennifer L. on May 7, 2012

You want to liven up restaurant sales and increase customer visits? Invest in remodeling, analysts suggest.

The past two or three years saw a number of fast food restaurant chains which have limited their opening up of new stores and instead invested their revenue in fixing and remodeling their existing locations. This, according to Technomic’s executive vice president Darren Tristano.

“In order to increase their location’s interior sales—those revenues that do not come from their drive-thru division—fast food restaurants are now making the most of their existing space, adding fine furniture, TVs and Wi-Fi to attract more diners to their place,” said Tristano.

Restaurants generally see a 6% to 8% increase in sales traffic following their remodeling. The remodels cost from $100,000 to $1 million, at times subsidized by the parent company for the franchisee as a way of promoting unity within the chain.

We’ve reported accounts from various remodeled restaurants about how they benefited from the move in our article last year, Restaurant Remodeling – A Sure Way to Inspire Sales, citing how McDonald’s, Wendy’s, Burger King and Darden Restaurants have seen a significant increase in their customer traffic, sales and profits after they have made the modifications in their establishments.

And the trend is apparently continuing. To vie against fast casual eateries, fast food restaurants now do their utmost to upgrade their atmosphere with more welcoming, friendly and lively remodels.

McDonald’s once again attests to this. “Business has grown about 30% at our Mansfield Road location since we have remodeled it in January,” said Bobby Haq, area supervisor of Griggs Enterprise, a McDonald’s franchise. “Our move to remodel helped a lot in changing our store’s reputation and allowed our customers to be more comfortable when they’re inside our premises.”

“The more you spend for your restaurant’s renovation, the more earnings you’ll likely to see,” said Haq. “A lot of positive modifications have been done not just on the building but also on our staffing and we’ve seen great results—we were able to pull back a lot of our lost customers.”

Restaurants equipped with modern furniture, new floors, televisions and free Wi-Fi give customers a café ambiance, encouraging them to sit down, bring out their laptop, linger, be served by the restaurants’ able servers (in their cozy restaurant uniforms), and enjoy coffee and food in the premises.

Customers are now after their dining experience on top of their usual reasons for coming to fast-food joints—convenience, price and speed. Having taken a hint from fast casual restaurants which provide better menu and cozier interiors, diners now look forward to seeing their usual favorite fast food restaurants’ remodeled version—with higher quality menu items, comfortable atmosphere and better service, provided by its restaurant staff in cozy restaurant uniforms.

Need some ideas on how to remodel? Check out Helpful Tips In Remodeling Your Restaurant.

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