CATERING
BUSINESS
GROUP 2
INTRO
The business of catering involves
serving food at a remote location or at
a place like a hotel, public house, or
other establishment.
CATERING
MANAGEMENT
PREPARING FOR CATERING BUSINESS What skills will you need?
Catering is an exciting, challenging, and creative In order to work effectively as a catering business
endeavor that can be both financially rewarding and you must know:
fun. But don't turn on the oven just yet! A successful
caterer should have some basic knowledge and Catering sales and marketing
abilities, as well as be informed of complex local, Strategies for running a catering business
state, and federal regulations. successful
CATERING SALES AND
MARKETING
Catering sales is a critical function of every catering business.
Maximizing catering revenue management is a function of sales
activity.
Packaging catering services provides additional sources of revenue
and profit by capturing a percentage of income of products and
services from outside contract providers.
The principal goals of the marketing process are to recognize trends
in-cuisine, entertainment, customer lifestyle, and other trends that
shape customer needs, and to develop products and services that
respond to those needs.
CATERING
MANAGEMENT
management's ability to measure profitability and
customer satisfaction. While profitability is a measure
of the success of business practices, customer
response is an accurate gauge of quality performance.
THE MARKETING
CYCLE
The process of planning and executing the conception, pricing, promotion, and
distribution of ideas, goods, and services to create exchanges that satisfy
individual and organizational objectives. The marketing cycle, or the process of
achieving these objectives.
MARKETING
CYCLE
Identity Customer Needs
Create Product or Service
Measure Success
Develop Customer Interest
Dentify Customer Needs
Create Product or Service
Customer needs are shaped by demographic and The identification of customer needs provides
social trends. The ability to perceive these an opportunity to create new catering products and
trends and apply them to a catering service services. Customer surveys, focus groups, and
function comment forms, combined with national
expands marketing opportunities. and local trends, will present a range of idea options
from which to choose new products and services.
Measure Success
Develop Customer Interest
To measure success in marketing, consider
conversion rates, customer acquisition cost, Customer interest for catering functions is
and engagement rates. developed through a combination of in
house promotions
MARKETING MARKETING
MIX MIX 4P’S
A marketing expert named E. Jerome
It is about putting the right McCarthy created the Marketing 4Ps in
product or a combination the 1960s. This classification has been
thereof in the place, at the right used throughout the world. Business
schools teach this concept in basic
time, and at the right price.
marketing classes.
MARKETING MIX
(PRODUCT)
A product is an item that is built or
produced to satisfy the needs of a
certain group of people. The
product can be intangible or
tangible as it can be in the form of
services of goods.
MARKETING MIX
(PRICE)
There are three major pricing
The price of the product is basically strategies, and these are:
the amount that a customer pays for
• Market Penetration Pricing
to enjoy it. Price is a very important
• Market Skimming Pricing
component of the marketing mix
definition. • Neutral Pricing
MARKETING MIX
(PLACE)
There are many distribution
Placement or distribution is a very strategies, including:
important part of the product mix
• Intensive distribution
definition. You have to position and
• Exclusive distribution
distribute the product in a place that
• Selective distribution
is accessible to potential buyers.
• Franchising
Mar
Marke
ketin
tingg M
Mix
ix
very important component of marketing as
it can boost brand recognition and sales.
Sales Organization
Public Relations
Advertising
Sales Promotion
MARKET
SEGMENTATION
Internal Bright Future Customers
Nonprofit External Customers
For-profit External Customers
TARGET MARKET
SEGMENT STRATEGY
In catering management, a target
market segment strategy involves
identifying and focusing on specific
groups within the larger catering
market to better tailor services, menus,
pricing, and marketing efforts to meet
the distinct needs of those segments.
MARKET TRENDS
Significant market trends for caterers are as follows:
Consumers are value-conscious, especially during the current economic climate.
Consumers are health-conscious with an increasing number expecting vegetarian,
dairy-free, low-fat, sugar-free and organic options to be available.
Consumers are eating less red meat and eggs, and more poultry, fish, grains, fruit
and vegetables.
Increasing numbers of households are choosing to buy prepared food rather than
cook at home, which may indicate that fewer employees are bringing lunches to
work.
COMPETITIVE EDGE
Catering For Kids offers high-quality, competitively priced business
lunches to both internal and external customers year-round, while
supporting the community by employing students from the Bright Future
Chambers School and Safe & Sound Youth Project. These students, trained
in culinary arts and holding food handler's cards, gain valuable work
experience that aids their transition from school to work. The program is
led by an experienced restaurant who provides business management
expertise and serves as a role model for the students, enhancing both the
students' skills and the public image of Catering For Kids.
MARKETING
STRATEGY
Our main strategy is the growth of catering
customers. A large customer base provides
revenue and furthers both goals of operating a
• Distribution Strategy
self-sustaining business and providing even
• Pricing Strategy
more part-time employment for at-risk youth.
• Promotion Strategy
This also positions Catering For Kids as the
caterer of choice for every nonprofit in
Eugene/Springfield.
CUSTOMER
SATISFACTION • It is an customer impression to the
services they received or experienced
during the time they acquire the services
specially in catering services program. It is
very important to provide the high quality
of service to the customers, not only the
quality of services or products, it also
includes how the business will connected to
the customers like the building a
relationship.
CATERING COMPUTER
MANAGEMENT AND SOFTWARE
SUPPORT
Utilizing computer software system is essential for every business to grow the market
and generate more profit. It can easily handle some management in the business, it is
also useful to ease the work of the staff. Computer system and software are available to
cater services both for complexity and pricing.
Figure 1: Event Order Contract Complete Figure 2: Staff Scheduling Report.
With Menu, Detailed Costs, And Charges.
STRATEGIES FOR RUNNING A SUCCESSFUL
CATERING BUSINESS
There is no denying that caterers are extremely busy. Due to the constant time crunch, there are several
areas of business that are often ignored or overlooked.
After sitting down and talking to leaders in the catering industry, as well as watching trends, we think
finding a balance between organization, analytics, and marketing is the perfect recipe for success.
1. Organization
Whether it is messy, hand-written orders on a wrinkled piece of paper or a
confusing Excel spreadsheet, caterers are often lacking organization. This
absence of organization creates a huge time strain and causes simple tasks to
take up an unnecessary amount of your day.
2. Analytics
Numbers and data should drive your business decisions. When choosing where to expand
or what recipe to focus on next, the choice should be rooted in data.
Instead of investing in a part of your business and hoping it pays off, know beforehand
that it is the most strategic option.
3. Marketing
This is a huge sector of business operations that caterers sometimes let fall to the back burner. Regardless of
the size of your catering business, marketing can make or break your future success. Communicating with
your customers is a key component to building lasting relationships.
A balance between social media engagement and face-to-face marketing can connect you with new
customers and maintain existing relationships.
Social media is the new way to communicate with consumers.
It is something that is expected from any company and adds immediate credibility and legitimacy to a brand.
However, simply posting on social media for the sake of posting is not an ideal way to communicate with
clients. There must be thought and reason behind every post you share. People follow accounts because they
add value to their feed. Therefore, planning social posts ahead and thinking through the content you are
sharing is not a recommendation, it is a must.
• How to Start a Catering Business
If you host dinner parties for your family and friends every chance you
get, you're up on food trends and you have an entrepreneurial spirit,
consider starting a catering business.
• Finding Your Catering Niche
1. Think about what food you love to make. Catering, like any
other business, should be rooted in a genuine interest and
passion. Consider the following types of food you could focus on
as you develop your catering business:
• Lunch or brunch-style food. If you enjoy making sandwiches, quiches, tarts, salads, and other food that is
generally served during the day, you might want to model your business around lunchtime service. You could
cater business luncheons, daytime awards ceremonies, school functions, and so on.
• Wedding reception or special event meals. Wedding caterers typically offer a variety of
appetizers and finger foods along with several hearty entrees and a few desserts.
• Desserts only. If you love baking and have a flair for making cookies and cakes,
consider desserts-only catering. This may limit the types of clients who hire you,
but you'll also have less equipment to buy.
• Appetizers and cocktails. Clients are increasingly hiring caterers to create a
trendy, festive atmosphere by serving only appetizers, sometimes
accompanied by caterer-prepared specialty cocktails.
2. Create a menu. By doing this first, you can figure out how much kitchen
space you'll need, what appliances you should install and how much you can
expect to bring in financially.
• Try to have a variety of items to suit different tastes. Even if you specialize in
one cuisine or type of meal, make sure your menu appeals to a lot of tastes. For
example, if you want to offer a lot of spicy food, have non-spicy options as well.
• Consider offering vegetarian and vegan options for clients
who don't eat meat and other animal products.
• Keep your menu to a manageable size, with food you're
comfortable cooking made with ingredients you know you can
source.
3. Test your dishes. Once you've settled on a menu, have a party to test out your dishes on family and
friends. Ask them for honest feedback about the entire experience - both the food and the service.
• Tweak your dishes until you're convinced they're delicious and crowd friendly.
• Practice makes perfect. Make sure you've got the techniques, cooking times, and presentation down
before you launch your business.
Securing Your Space and Supplies
1. Find a space to rent.
Even if your starting small, most local laws prohibit people from operating catering
businesses from a home kitchen. Look into your jurisdiction's health codes to find out
what type of space you'll need to rent.
• Consider operating from a commercial kitchen. Some kitchens allow people to rent the space
for a day or a few hours at a time. This situation could be the right one for you if you cater only
on the weekends or a few times a month.
• If catering is going to be your full-time business, you'll probably need a more permanent
storage and cooking facility. Find a place with adequate plumbing so you'll be able to set up
your cooking and catering equipment.
Check with your landlord and your local zoning office to make sure you can install the proper
equipment like ventilation hoods and grease traps.
Securing Your Space and Supplies
2. Set up your kitchen.
Catering work requires industrial equipment that is usually more expensive than equipment you
would use in your home kitchen.
Base your equipment purchases on your menu. For example, if many of your items are baked,
install at least two ovens. If you have a lot of fried foods, opting for more than one fryer might be
a good idea.
You may want to install multiple sinks to make your prep work more efficient, especially if you
plan on hiring people.
Plan ahead for food storage, too. Multiple refrigerators and a walk-in freezer might be necessary
to store dishes you prepare ahead of time. Heated and non-heated holding areas are important
for holding temperature and storing prepared items.
Obtain all the pots, pans, and other kitchen equipment you need to make the items on your menu.
Securing Your Space and Supplies
3. Purchase the catering equipment that you will use on-site.
The equipment you choose will depend on the type of service you want to provide, but
at minimum you will need serving platters and serving utensils.
Many catering businesses provide plates, silverware, glassware, or disposable
plates and utensils.
You may want to offer special display trays and tiered food platters to help make
the catered event more festive.
Make sure you have the proper equipment to keep the food either cold or hot, such
as chafing dishes with liquid fuel burners.
Consider buying linens, napkins, table decorations and centerpieces. Some
catering businesses also offer tent canopies for outdoor events.
Setting up your Business
1. Get applicable permits and licenses.
Research the laws in your area regarding distribution of food or alcohol at
catering sites.
2. Set your prices. Make sure you have paperwork in order for when you do
consultations, tastings, and cater events.
3. Buy a van and other equipment for transporting food. Make sure the van has
plenty of space for storage of food, linens, tableware, and any other equipment
you might need to bring to your clients' sites.
4. Hire staff. Decide what staff you will need to help you with food preparation,
delivery, and service.
Instead of hiring staff right off the bat, you could also use a temp agency for
your cooks and servers, at least until you build up your business.
Setting up your Business
5. Apply for an account with food suppliers.
When you're just starting out you may be able to use a local wholesale club to
buy your food, but if you get busy enough, you will find it easier to do business
with a larger supply company.
6. Market your business.
Pass out fliers and menus, post on Facebook, and take out ads
in local newspapers a few weeks before you plan to open.
GROUP 2
Garcia, Frances, Nicole
Abustan, Darlyn
Escobar, Jewel Jean
Guardino, Patricia Nicole
