Joe's Crab Shack Made One Change That Turned Around Business
The chain had split off from parent company Landry's Restaurant Inc. and was closing under-performing stores.
Today, Joe's Crab Shack has pulled off a big turnaround, with 18 consecutive quarters of sales growth, reports Nation's Restaurant News.
CEO Ray Blanchette says that one major change spurred the improvement: The chain actually began focusing on crab.
He elaborates in the interview:
"It wasn't until I came to Joe's that I realized we actually didn't sell a whole lot of crab. Even though it was our middle name, it was only about 17 percent of revenue. Today, it's about 50 percent … We made a very conscious decision to be best in the world at something. We narrowed our focus."
Joe's Crab Shack might be on to something.
Chains from McDonald's to Olive Garden have struggled with falling sales. Analysts have said that offering too many menu items could be a factor.
When restaurant menus expand too much, it can hurt customer service because employees are overwhelmed. Consumers can also become confused about what to expect from the restaurant.
Joe's Crab Shack is a perfect example of how restaurants can benefit from simplifying their menus.
- I got a $40K raise using this 30-second strategy. It made me realize loud work, not hard work, always wins.
- Qatar Airways' new CEO explains why it's sticking with the Airbus A380 as other airlines retire the costly superjumbo
- Prince Harry and Meghan found out about Kate Middleton's cancer diagnosis on TV like everyone else, report says
- Consuming excessive salt and inadequate potassium, protein is making North Indians prone to life-threatening diseases: Study
- Upcoming cars and two-wheelers launching in India in April 2024
- Ice melt in Antarctica and Greenland is slowing Earth's rotation, affecting timekeeping: Study
- Elections on a plate: Poll panels fix menu & expense ceiling for Samosa, tea, biryani & more
- Regenerative farming, cover crops will help farmers increase yields, reduce stubble burning: IDH CEO