No matter what sector of the foodservice industry you’re in, chances are there’s an opportunity to capitalize on consumer demand for off-premises dining. With the popularity of to-go, many operators are even venturing into less traditional takeout terrain with meal kits. Packed with all the fixings for a wonderful at-home dining experience, meal kits offer a delightful (and often healthier) alternative for convenient dining. Just make sure you get it right.
Get creative
There’s an abundance of options in the meal kit market these days, so the trick is to set yourself apart. Don’t get lost in the pack by offering run-of-the-mill meal kits — pique customer interest by offering innovative options. For example, go beyond the expected and create meals that guests wouldn’t find when dining in. While steering clear of standard menu items is a great way to make meal kits compelling, you should also switch up offerings periodically to keep customers interested.
Set competitive pricing
You can’t afford to ignore competitor pricing in the meal kit market (or most markets for that matter). Customers know they have options. Expect them to compare prices, and know where you stand among the competition. Before you set your pricing, do a competitive analysis and see what others are offering. At the very least, you’ll want to establish prices that are consistent with standard market rates. And if you can figure out a more competitive price point while still ensuring a healthy profit margin, that’s even better. On the other hand, if you price your meal kits on the higher end, make sure the quality of food and caliber of your offering warrants it.
Offer appealing promotions
Marketing your meal kit offerings through your various digital channels is important, but don’t stop there. Incorporate incentivizing promotions, such as 20% off for first-time buyers or limited-time discounts. Many meal kit companies offer such promotions, and for good reason — they’re effective sales strategies. In addition to incentive programs, come up with clever promotions. For example, promote a special meal kit “theme” for each day of the week. If customers know you offer a mouthwatering meal kit for Taco Tuesdays, they may be more inclined to make it a part of their weekly routine.
Prioritize packaging
Don’t underestimate the importance of packaging. Customers pay close attention to ingredients, and to keep them fresh and in tip-top shape, quality packaging is non-negotiable. But don’t just make sure the package quality is satisfactory; make sure it’s safe. Customers care more now than ever about safety, so show them you’re on top of it with tamper-proof labels. Last but not least, personalize your packaging! This is an ideal opportunity to build your brand awareness and stand out from the competitors. The look and feel (as well as the material) of your packaging says a lot about what kind of establishment you are.
Create clear instructions
While your customers are up for a cooking experience, they’re investing in a meal kit for a reason. They’re looking to you as their trusty guide, so don’t make it overly complicated. Include straightforward instructions so customers can prepare meals easily and properly. The last thing you want is to frustrate people with unclear instructions — keep them clear and concise to ensure the at-home experience is fun.
Encourage repeat customers
Once you get your meal kit business up and running, evaluate whether there’s enough interest to include a subscription option for customers. If you successfully roll out your meal kit operation with enticing offers and a quality cuisine to match, customers may be compelled to sign up for a long-term commitment like a monthly subscription. This is a great way to increase your customer retention, and in turn, boost your bottom line.
Keep your options open.
While meal kits are one way to increase your revenue, they’re not the only way to boost your business. Check out these tips to capitalize on other changing dining trends.
