Dynamic dozen

While most New Year resolutions are broken well before the first sip of Alka-Seltzer on 1 January, there are some worthy of a little more willpower. Marketing consultant Paul Clapham offers 12 business pledges for 2002.

The idea of customers actually sticking to their New Year resolutions is sure to send a cold chill down the spines of most Caterer readers. Give up drinking? Go on a diet? Stop smoking? It all equals reduced sales.

Fortunately, most of us are weak-willed, but what about making some resolutions for your business? These are altogether easier to live with, because they're about getting a new and better habit, not wearing a hair shirt.

1. Create a business-building calendar.
In week one, create a calendar of all the coming events in 2002. Most are old chestnuts - St Valentine's Day, Mother's Day, Father's Day, Burns Night, St Patrick's Day, etc - but there are some occasional or one-off events such as the World Cup and the Queen's Golden Jubilee, and they're all sales opportunities. Make that events calendar public so all visitors know that this is a lively, interesting venue. It'll help you to plan staffing and holidays, too.

2. Talk to your suppliers about this long-term plan, starting in week two.

Get their commitment to give as much support as possible. Special deals on products are fine, but how about some input to your marketing costs, such as producing posters or making a contribution to advertising? You've shown that you're serious - are they? Time to prove customer commitment.

3. Communicate with regular customers.

Everyone likes getting a letter, especially if it's newsy and fun. You need to be assiduous about building your database and know how to use it effectively. Once a month, you can mail out what's coming up, tell everyone if events are booked up already (it encourages them to book others) and tell them about what happened last month. Your newsletter keeps customers involved - particularly if their name appears in print.

4. Clear out your stock room.

Get rid of those buying mistakes, the products that went out of fashion before you sold out, and the ones that were just plain horrible to start with. Don't kid yourself that the case of Babycham in your cellar is part of the next big retro thing. Sell it off at bargain basement prices, invent some cocktails, anything, but get rid of it because it's eating into your capital. Just as bad is the fact that, every time you see dead stock, it makes a mockery of your judgement.

5. Re-evaluate staff needs.

This one demands a pot of coffee and a quiet room because your staff are the cornerstone of your business. Are your key staff properly rewarded? Have you got your rota right? Does it reflect your current trading pattern? Does your existing team offer the flexibility you need? If you're short-staffed, early in the New Year can be a good time to recruit new part-time staff. At the same time, have you any dead wood - the lazy, the constantly discontented, the error-prone? If so, you have to bite the bullet and say goodbye, because one bad apple can spoil the whole barrel.

6. Review your suppliers.

It's easy to drift into a cosy rut with suppliers - they deliver as promised, the product is good and they value your business. Why look around? Mistake! A regular review keeps your existing suppliers on their toes and hungry. It also gives you access to the best deals available from a range of suppliers. Your review will keep constant downward pressure on purchasing costs.

7. Plan to go the extra yard - it's worth it.

A newspaper recently published a story about the Ritz Carlton in San Francisco, where a chambermaid played hide-and-seek with a little girl's teddy bear each day of her family's stay. Every evening when the bear was found, it had a chocolate between its paws. The parents will tell the story ad nauseam and the little girl is a fan of Hilton Hotels for life, which goes to show that a bit of thought from an empowered chambermaid and a few chocolates can work wonders. (I'll bet the chambermaid got a thumping good tip, as well.)

8. Work the Web.

Sending short e-mails to a range of contacts is quick, easy and cheap. Use it to update business customers, inbound travel agents and tourist information centres of your current room availability. Invite customers to check out your new menu. Run a "spot the customer" competition: just scan in some photos and put them on the site - the featured guest gets a half-price dinner. It encourages people to look, and they feel involved.

9. Trade up.
If you and your staff actively trade customers up, your turnover and profitability will rise without needing one extra customer or working one minute longer. Start with the new 35ml measure or a doubles hour. Sell budget vodka only in 50ml measures. These are volume- and price-led, but you can encourage and prompt trial and repurchase every day. It applies just as much to the menu, after-dinner drinks, the cigar case and your bridal suite.

10. Listen to your customers.

The best hotel, the best bar, the best restaurant is the one where you can get exactly what you want. While there are commercial and operational limits to stockholding or menu variations, responding to what the customer has asked for will turn occasional visitors into regulars and generate new custom. Word-of-mouth advertising is better than the fanciest marketing.

11. Resolutions for your staff.

There's precious little point resolving to improve if your staff are happily dragging their old bad habits into the New Year. Offer a reward for the staff member(s) who stick to their resolutions.

12. Reward yourself.

Give yourself a proper holiday, buy that new car you've been hankering after, book yourself tickets for the first day of Wimbledon - whatever appeals to you. If you've followed through on your resolutions, you'll be able to afford it.

Paul Clapham is a marketing consultant specialising in building sales and profitability for medium-sized businesses, applying the experience of working with a wide range of blue-chip operations. E-mail: paul@junction-13.co.uk

I must, I must… - resolutions from the trade

Richard Shepherd, managing director of Langans Brasserie, Odins Bistro, Shepherd's and Coq d'Or
"To have more time for myself and not feel guilty" - although as Helen, my PA, reminds me: "As you haven't managed to do it for 25 years, don't you think you should find a new one?"

Don Davenport, chief executive, Compass Group

"To put in place an education and mentoring programme to encourage young teenagers and school leavers, particularly those without formal qualifications, into the hospitality industry."

Tony Allen, chairman, Fish!

"To simplify the Fish! concept even more to make our diners run more efficiently."

Pat McGann, general manager, Jurys Doyle Hotel Group, Dublin
"To develop a broader business mix for our company, especially in terms of geographical origin of clientele."

Alex Da Silva, marketing director, Shoeless Joe's
"To be nice to my boss every day, and to continue boxing once a week in order to stop using my keyboard as a punchbag."

Karen Earp, general manager, Four Seasons Canary Wharf hotel, and Hotelier of the Year 2001
"To quote a recent guest: ‘You have made doing business here at the Four Seasons Canary Wharf a pleasure. Great, friendly efficient service, excellent food and a fabulous health club and spa.' My resolution is to ensure all our guests feel this way in 2002."

Nick Price, chef-patron, Nick's Warehouse restaurant, Belfast
"Now that people here have stopped throwing things at each other, we've got to put some serious marketing in place."

Jonathan Wix, director, the Scotsman hotel, Edinburgh
"To retire in 2002 - but I'm sure I'll break that resolution as early as all the others I've made in past years."