In this financial climate, McDonald’s reports a 27% increase in profit. That is incredible. When the economy is in a down turn, diners usually look at fast food as an option because of the price. So don’t be surprised if the sales for pizza restaurant franchise are up as well. (Read MSNBC article)

McDonald’s not only owns corporate restaurants but also many real estate properties. But, the main reason I am impressed with this food giant is their ability to create successful marketing programs especially cross promoting with other brands such as Monopoly.

Contests generate buzz and engage the diners resulting in the increase of sales. As former business developer for a food company, I suggest restaurant owners adjust their menu to feature items prices under the sales price of $10.

One main reason for the increase in sales for the Big Mac creator is due to great sales in Asia. While the United States is filled with restaurant franchise at numerous malls, there are plenty of “unchartered territory” especially in China.

(video: 7-Eleven marketing genius, turning the convenient store into a Kwik-E-Mart)

Save 50% off Dinner of the Month Club Purchase. Use the code DISCOVER. Valid 10/7/08 through 10/12/08.

7-11 recently launched a marketing campaign involving the nation’s presidential election.
Customers vote by choosing the color of their 20-ounce hot-beverage cup. This gives voters who can’t legally vote participation.

Red for Republican John McCain
Blue for Democratic Barack Obama
Undecided voters can choose the regular 7-Eleven logo cup

Timeline: Starts Wednesday till Election day.

Check 7-Election website for total.
Read 7-Eleven news article for details.

Save 50% off Dinner of the Month Club Purchase. Use the code DISCOVER. Valid 10/7/08 through 10/12/08.

I learned early on as a restaurant consultant that food sanitation is key. Working for Sysco, the largest food distributor in the United States, I strolled through many kitchens in the Bay Area to find filthy conditions that would ruin my appetite in a heart beat.

Key lesson: How clean the bathroom is, reflects how clean the kitchen is.

Thank God for CleanScores, a website that helps you find the inspection rating. It is simple to use, type in the name of the restaurant to see the score.

In a recent article in the Examiner titled Restaurant ratings on the back burner by Reisman, the article highlights that a few restaurant may appear clean from the front of the house but the kitchen can prove otherwise.

“Six of The City’s 10 lowest-scoring restaurants were located in the Sunset — including three on Noriega Street. A spot check in that district found only one — Loi’s Vietnamese Restaurant on Irving Street — that opted to put its numerical rank on public display. The scorecard hung on the wall next to its inspection assessment.“

Consultant hat.
Restaurant owners should have clean restrooms and kitchens. Many people conduct business over a great meal so having a great restaurant that impresses the client. As a result, many corporate salesman and executives can expense their meals and will think of your restaurant on top of the list.

Quality food control is paramount to any quick service restaurant. McDonald’s announced that it stopped serving sliced tomatoes in restaurants in the United States over concerns about salmonella food poisoning linked to some uncooked varieties. When I was in college, I studied Environmental Economics and Policy and learned about farming. Food safety is hard to monitor and contamination can be cause by many reasons including improper food handling from humans to simply having “waste” in the field. McDonald’s purchases tomatoes from vendors and controling outbreaks can be challenging. First, McDonald’s operate in a franchise model so all franchisees will be notified of changes. Secondly, decisions can not be made as quickly in a large corporations since different department heads my sign off on a decision. Here are just some of the departments that McDonald’s probably must deal with.

Legal (compliance): What claims can be made to the public legally about the outbreak?
Public Relations: What is the message we want to send to the public so that they don’t fear the recall?
Human Resource: How fast can we hire consultant to evaluate how we can deal with the situation from past tomato recall from other restaurants?
Purchaser: How can we ensure in the future to purchase tomatoes that are safe for eating?
Logistics: How do we retract all the shipments of tomatoes that have been delivered to the restaurants?

On the other hand, privately owned In-N-Out can better handle this situation and respond more rapidly. They don’t need to report to shareholders and can make decisions more quickly with a smaller line of decision makers. As I have told many aspiring restaurant owners, serving great food is only 20% of the operation. Just to list a few others: Purchasing, legal, marketing, human resource, sales, logistics, merchandising, technology, accounting all come in play in an operation.