menu engineering
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Step One:
Determine the Gross Item Profit for each item on your menu.
It's basic economics – how much do your recipes cost you?

The first step to a more effective menu is to determine that cost. You haven't
had homework since you left school, but we're giving you an assignment – list
every item on your menu and then determine how much each one of them cost
you, your Recipe Cost. Forget the Food Cost Percentage, we're going to
focus on another formula: Menu Price - Recipe Cost = Gross Item Profit.

Let's look at some examples from our Focus Cafe.
Item # 1: Fettucine Alfredo
Menu Price: 10.95
Recipe Cost: -2.50

Gross Profit: $8.45
Item # 2: Beef Tenderloin
Menu Price: 16.95
Recipe Cost: 6.50

Gross Profit: $10.45
Which item would you rather sell a bunch of?

But we're not done with you yet - the next step is
determining the Sales Contribution of each item.
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