Boosting restaurant profitability in 2025

As the CFO or controller of a restaurant company, your role is pivotal in steering the company towards financial success.

In 2025, the restaurant industry will continue to evolve, presenting both challenges and opportunities.

To boost profitability, it’s essential to adopt a multifaceted approach that leverages technology, enhances customer experience, and optimizes operations.

In this article, we’ll share some key strategies to achieve these goals, while also highlighting the importance of a modern accounting platform.

Here’s what we’ll cover

1. Leverage technology and automation

In the digital age, technology is a game-changer for the restaurant industry.

By integrating advanced technology and automation, you can streamline operations, reduce costs, and enhance efficiency.

Automated inventory management

Implementing automated inventory systems can help track stock levels in real-time, reducing waste and preventing overstocking.

These systems can also predict future inventory needs based on historical data, ensuring you always have the right amount of stock.

Digital ordering systems

Digital ordering platforms, including mobile apps and self-service kiosks, can improve order accuracy and speed up service.

These systems also provide valuable data on customer preferences and purchasing patterns, which can inform menu decisions and marketing strategies.

AI-driven customer insights

Artificial intelligence can analyze customer data to provide insights into dining habits and preferences.

This information can be used to personalize marketing efforts, tailor promotions, and enhance the overall customer experience.

Automation in scheduling and payroll

Automating scheduling and payroll processes can save time and reduce errors.

Advanced scheduling software can optimize staff schedules based on predicted demand, ensuring you have the right number of employees at peak times without overstaffing during slower periods.

2. Optimize menu offerings

Your menu is at the heart of your restaurant’s operations.

Regularly analyzing menu performance and making data-driven adjustments can significantly impact profitability.

Menu analysis

Use sales data to identify high-margin items and underperforming dishes.

Focus on promoting and enhancing popular, profitable items while considering the removal or adjustment of less successful options.

Seasonal menus and limited-time offers

Introducing seasonal menus and limited-time offers can create excitement and urgency, encouraging customers to try new dishes.

These offerings can also take advantage of seasonal ingredients, which may be more cost-effective and fresher.

Menu simplification

A streamlined menu can improve kitchen efficiency and reduce waste.

By focusing on a smaller selection of high-quality dishes, you can ensure consistency and speed in preparation, enhancing the customer experience.

3. Enhance customer experience

Providing an exceptional customer experience is crucial for retaining customers and attracting new ones.

Investing in staff training and utilizing customer feedback can help create a welcoming and memorable dining experience.

Staff training

Well-trained staff can provide better service, leading to higher customer satisfaction and repeat visits.

Invest in regular training programs to ensure your team is knowledgeable, friendly, and efficient.

Customer feedback

Actively seek and respond to customer feedback.

Use surveys, online reviews, and social media to gather insights into what customers love and what needs improvement.

Addressing concerns promptly and making visible changes based on feedback can build customer loyalty.

Personalized dining experience

Utilize customer data to personalize the dining experience.

For example, loyalty programs can track customer preferences and offer tailored promotions, making customers feel valued and understood.

4. Focus on sustainability

Sustainability is not only a growing consumer demand but also a potential cost-saving measure.

You can attract environmentally conscious customers and reduce operational costs by implementing eco-friendly practices.

Reducing food waste

Implement strategies to minimize food waste, such as accurate portion control, repurposing leftovers, and donating surplus food.

Reducing waste can lower costs and improve your restaurant’s environmental footprint.

Eco-friendly packaging

Biodegradable or recyclable materials are sustainable packaging options.

This can appeal to eco-conscious customers and reduce waste disposal costs.

Sourcing locally

Partnering with local suppliers can reduce transportation costs and support the local economy.

Local ingredients are often fresher and can enhance the quality of your dishes.

5. Expand revenue streams

Diversifying your revenue streams can provide additional income and mitigate risks associated with relying solely on in-restaurant dining.

Catering services

Catering for events and corporate functions allows you to create the possibility of a new market segment.

Catering can be a lucrative addition, especially if you have a strong brand and a reputation for quality.

Meal kits and branded merchandise

Selling meal kits and branded merchandise can create new revenue opportunities.

Meal kits allow customers to enjoy your restaurant’s dishes at home, while merchandise can promote brand loyalty.

Delivery and takeout

Expanding delivery and takeout options can increase sales, especially if you use your own platform to avoid high fees from third-party services.

Ensure that your delivery packaging maintains the quality and presentation of your dishes.

6. Data-driven decision making

Harnessing the power of data analytics can provide valuable insights into your restaurant’s performance and guide strategic decisions.

Monitoring KPIs

Track key performance indicators such as sales trends, customer satisfaction, and operational efficiency.

Regularly reviewing these metrics can help identify areas for improvement and inform decision-making.

Customer preferences

You can tailor your offerings using data to understand customer preferences.

For example, if data shows a growing demand for plant-based options, consider expanding your vegetarian and vegan menu items.

Operational efficiency

Analyze data to identify inefficiencies in your operations.

For example, if certain times of day are consistently slow, consider adjusting staffing levels or offering promotions to boost traffic during those periods.

7. Cost control and efficiency

Effective cost control and operational efficiency are essential for maintaining profitability.

Regularly reviewing expenses and implementing cost-saving measures can have a significant impact on your bottom line.

Supplier contracts

Regularly review and renegotiate supplier contracts to ensure you are getting the best prices. Building strong relationships with suppliers can also lead to better terms and more reliable service.

Energy efficiency

Implement energy-efficient practices, such as using LED lighting, energy-efficient appliances, and optimizing heating and cooling systems.

These measures can reduce utility costs and contribute to sustainability goals.

Streamlining operations

Look for ways to streamline operations and reduce waste.

For example, optimizing kitchen workflows and reducing unnecessary steps can improve efficiency and lower costs.

The need for a modern accounting platform

To effectively implement these strategies and manage the financial complexities of a multi-location restaurant company, a modern accounting platform, such as, is indispensable.

Here’s why:

Real-time financial insights

A modern accounting platform provides real-time access to financial data, allowing you to make informed decisions quickly.

This is crucial for monitoring cash flow, tracking expenses, and identifying trends.

Scalability

As your restaurant company grows, a scalable accounting platform can accommodate additional locations and increased transaction volumes without compromising performance.

Integration with other systems

Modern accounting platforms can integrate with other business systems, such as inventory management, payroll, and point-of-sale (POS) systems.

This integration streamlines data flow and reduces the risk of errors.

Compliance and reporting

Keeping up with regulatory compliance and generating accurate financial reports is easier with an advanced accounting platform.

Automated reporting features can save time and ensure accuracy.

Cost control

By providing detailed insights into expenses and revenue, a modern accounting platform helps identify cost-saving opportunities and areas for improvement.

Enhanced security

Protecting financial data is critical.

Modern accounting platforms offer robust security features to safeguard sensitive information and ensure data integrity.

Final thoughts

Boosting profitability in 2025 requires a comprehensive approach that leverages technology, enhances customer experience, and optimizes operations.

By implementing these strategies and utilizing a modern accounting platform, you can position your restaurant company for long-term success and financial stability.