QFO: Are busy locations usually the best locations for the establishment of a restaurant business?
They can be, if:
- it’s the right kind of busy
- it’s the right kind of busy
- it’s the right kind of busy
Just because a location is in a busy area doesn’t mean it’s the right kind of busy for your restaurant. If you depend on transient traffic then you are continually going to be a slave to the traffic. If the draw ends, what’s left? Even with good value creation, people talk about how the area is not as popular anymore and despite your best efforts, it goes elsewhere to seek the next best thing.
Secondly, are these people YOUR kind of Guest? Are they your target market? If not, then what?
The best location is smack down in the middle of your target market (which means you need to know who that is!). If you can add other value variables (the path of progress, high growth area, etc…) then all the better.
If not? well you know.
