Hi all. I really need peoples advice please. I own a small cafe (greasy spoon) but it is really struggling at present. I have lost alot of customer within the last 6 months (dont know why) and my profits are going down fast. It is costing to open my shop at the minute. Please if anyone has any ideas on how i can increase profits, get new customers etc.

I am getting desperate now:(

Jiffy,
You don't say how long you've owned it...if you just purchased it, there's always the risk of lost business with an ownership change. On the other hand, if you've owned it all along, you've got to figure out why you're losing business ASAP. What have you changed? Food quality, menu items, help, prices...any or all of these things could play into it. Has a competitor opened recently near you. Or, more likely, are just subject to a weak economy. As people get squeezed financially, they will rein in discretionary spending and eating out is usually a choice.

If you know the customers that have stopped coming try to ask them why they stopped coming? I'm only assuming here, but I'll bet many will tell you they can't afford to eat out like they once did.
Good luck
Denny

Thank you for your response Denny. To answer your question I have owned it for approx 4 years and up until 1 year ago I was working there daily, However I now only work 3 days out of 7. Since this change i have noticed a decrease in profits weekly. There is no competition and no other changes??

Hi Jiffy,

There you have your short answer. It's probably a safe bet to say that either the food quality or customer service suffers on the days you don't work there. Restaurants are by nature are very fickle businesses. In fact that's one reason banks hate loaning money for them. There aren't that many businesses that will survive over the long haul with an absentee owner. Employees will never care about a business the way an owner does.

Also, don't rule out the possiblity of theft. No business owner wants to think their employees are less than honest, but without the owner there daily, it's tempting fate.

You'll probably have to start working regularly again and try to build it back up again. I say try because it can be more difficult to win back a customer that left over disatisfaction than it is to gain a new one. I hope this works out for you...
Good luck
Denny