What's the Best Technique on Menu Analysis?

Lee, Hae Young; Yang, Il Sun; Do, Hyun Wook; Shin, Seo Young

Abstract

The purposes of this study were to : (a) analyze the menus of food service operations using the menu analysis techniques of Kasavana & Smith, Miller, Merricks & Jones, Pavesic and Uman, (b) closely examine the characteristics of the five analysis techniques. Calculations for the menu analysis were done by computer using the MS 2000 Excel spreadsheet program. Menu mix% and unit contribution margin were used as variables by Kasavana & Smith, sales volume and food cost% by Miller, sales volume and cash contribution by Merrick & Jones, weighted contribution margin and food cost% by Pavesic, and total cash contribution and unit contribution margin by Uman. In each case, a four-cell matrix was created, and menu items were located in each according they achieved high or low scores with respect to two variables. Items that scored favorably on both variables were rated in the top category (e.g., star, prime, signature, group A, winner) and those that scored below average on both were rated in the lowest category (e.g., dog, problem, loser, group D, loser). While the 3 methods of Kasavana & Smith, Miller, Merrick & Jones focus on customers' viewpoints, the others consider the managers' viewpoints. Therefore, it is more likely to be desirable for decision-making on menus if the menu analysis technique chosen is suited to its purpose.