USP (Unique Selling Proposition)
An indication for the potential success of a new restaurant business, is the presence of competition. Whether you have decided to enter into restaurants as a quick service, fast and casual, or full-service dining restaurant – the importance of differentiation cannot be overly emphasized, in other words; do and be something better than everyone else.
The acronym USP (unique selling proposition) is used to describe anything within a business that gives a competitive advantage or unique appeal. This is an X-factor for the business that will help differentiate and position the brand. In the restaurant world this is regularly a secret sauce, an amazing unique cocktail or a competency above others. For example, Panera Bread is the nation’s bakery-café, Starbucks is the leader in coffee, and Chipotle is burritos. What will you be famous for, that will ensure word of mouth permeates both on and offline about your restaurant concept. Basically what is your “WOW”?
If you have yet to establish your USP, here are some of the actions you can adopt to ensure you adopt a killer differentiator ………
Spend the time in your market to research, develop and create an X factor for your model thus providing your concept with leverage and a competitive edge in the marketplace. If your USP is deeply considered and researched it has a far greater chance of success. Not only will it define your concept to your market; it will also justify higher prices on signature menu items that are not obtainable elsewhere.
What will set your restaurant concept apart from the rest of the competition within your competitive space?
Remember ….
Differentiation is the process of distinguishing a product or entire offering from others, making it more attractive to a particular target market. This involves differentiating it from your competitors’ products and standing out on the competitive landscape through unique positioning.
Differentiation is a source of competitive advantage. Marketing or product differentiation is the process of describing the differences between products, services, and price, or the resulting combination of differences. This is done in order to demonstrate the unique aspects of your product and create a sense of value. Without question, differentiation must be valued by buyers. The term ‘unique selling proposition’ refers to marketing to communicate your concept’s differentiation.
As your restaurant's concept begins to take shape - give special attention and thought to what will set you apart from the competition to create a buzz in your market. What differentiates you and what is the resulting USP that must be communicated to attract customers?