Menu Engineering: Which of Your Dishes Are Costing You Money?

Menu engineering is a way of judging every dish on your menu by two numbers: how often it sells and how much it earns you. The result is often uncomfortable, because on many menus the dish that sells the most is not the dish that earns the most.

It is one of the first checks I run on any menu. After 26 years in hotel and restaurant kitchens, I have seen owners protect the wrong dishes for years simply because those dishes were popular.

The four groups every dish falls into

  • Stars: popular and high earning.
  • Plowhorses: popular, but they earn too little.
  • Puzzles: they earn well, but guests are not choosing them.
  • Dogs: unpopular and low earning.

Knowing the names is easy. Knowing which group each of your dishes belongs to, and what to do about it, is where the profit is.

The obvious fix is often the wrong one

Many owners remove their slowest sellers first. Sometimes that is exactly right. Sometimes it removes the dish that makes the rest of the menu work. Telling the difference needs your sales data and your real plate costs, not a guess.

What you need to start

  • One month of sales by dish
  • The selling price of each dish before tax
  • The true cost of each plate. If you do not have it yet, begin with recipe costing.

Three mistakes I see again and again

  • Judging a menu on the wrong measure.
  • Analysing a month that was not normal.
  • Changing too many things at once.

Each one can quietly make a menu worse. How to avoid them depends on your kitchen, which is what I look at with the owner.

Signs your menu needs engineering

  • Your top seller is one of your cheapest dishes.
  • The menu is long, and many dishes sell only a few plates a week.
  • Prices were set by feel or by copying a competitor.
  • Specials and offers are not reviewed against what they actually earn.
  • Discounts go on the dishes that sell anyway.

Any one of these can quietly cost money every day.

Why the way a dish is presented matters

Beyond the numbers, where a dish sits on the menu and how it is described changes what guests choose. The same dish can sell very differently depending on how it is shown. That is part of the work I do on a menu, once the numbers are clear.

Frequently asked questions

How often should I review my menu?

Every quarter, and after any big change in ingredient prices.

Does menu engineering work for a small cafe or cloud kitchen?

Yes. A small menu is easier to analyse, as long as the sales data and plate costs are reliable.

For the wider picture on margins, read my guide to food cost control.

Curious which of your dishes are quietly costing you money?

Send me your menu and tell me about your restaurant. I will show you how your dishes fall into the four groups and what I would do about each.

See my restaurant consulting services, or contact me directly on +91 98229 56401 or at info@chefsushantaconsulting.com.

Leave a Comment