It is good times for Danish restaurants. This is a fact after that Horesta, in their latest norms analysis, was able to find a good economy among the Danish restaurants. All of this despite the fact that Danish consumer prices are the highest in the EU.
The consumer prices are high in Denmark, especially when comparing with other EU countries. We are the most expensive country of all 28 EU countries with prices that are 47 percent above average. That is what a new analysis from Statistics Denmark shows, which has taken the temperature of the country’s purchasing power. But even though we are the most expensive country with the absolute highest consumer prices, we are diligent as ever before to eat at the restaurants. This is what results shows from Horesta. New tendencies show that over the last five years 1400 more restaurants have been opened in Denmark. According to Jonas Kjær, Chief Financial Officer in Horesta, the results show that the majority of restaurants have a positive turnover, reflecting in particular consumers willingness to eat on restaurants. Consumers’ positive purchasing power shall, among other things, be found in higher wages than other EU countries. However, great turnover does not always mean a good bottom line:
“Great turnover, unfortunately, does not always mean that the bottom line of the restaurants necessarily is positive. What characterizes restaurants that creates positive turnovers are those who have a high capacity utilization with many guests during their opening hours. They are also good at gradually cutting opening hours in relation to when demand is there. In that matter they reduce salary costs. Salary costs are the biggest item, but it is also there that we see the biggest difference between the restaurants that are doing well and those who are not doing well, “says Jonas Kjær in a video interview to the industry organization, Horesta.
Large competition requires focus on costs
With more than 16500 restaurants in Denmark, it means that competition is higher than ever. And according to Jonas Kjær, it is about ensuring stabil capacity utilization, but also in particular that there is cost control:
“It is about capacity utilization – that is, you have sales. And of course it is about focusing on costs, where wages are of course important but also generally aware of what you use on electricity, water and heat, on tablecloths and napkins and insurance, and so on,” he concludes.
The costs may be advantageous of getting used to with the help of CalcuEasy. Here the restaurations can enter their fixed and variable costs, as well as their desired kitchen percentage per month, and be sure to get the correct pricing on the dishes.