SHIVSAGAR RESTAURANT

BUSINESS MODEL
DEEP BHALJA
DIV C-13
BATCH TIMINGS 8:30-10:30
THE HISTORY

• Shiv Sagar was started by Mr. N.T. Poojari in the year 1990
at Kemps Corner (Mumbai), with a vision to provide
healthy vegetarian fast food to every foodie. After its first
establishment in Kemps Corner (Mumbai), Shiv Sagar has
been running successfully in various other places of
Mumbai namely Churchgate, Thane, Mulund, Phoenix
Market City (Kurla), Mira Road and in Surat, Ahmedabad,
Pune & Mangalore.
• Since its inception, Shiv Sagar’s menu has evolved ensuring that it
offers a variety of cuisines to its esteemed guests. It encompasses a
galore of vegetarian cuisines including South Indian, Punjabi,
Mexican, Chinese, etc.
Shiv Sagar Foods & Resorts Pvt. Ltd, the name came into being in
1990 when Mr. N.T Poojari dreamt of opening a chain of restaurants
which would serve healthy fast food. The dream became reality when
he laid the cornerstone for his first Shiv Sagar outlet in 'Kemps Corner'
in the same year. The enormous success of Shiv Sagar 'Kemps Corner'
was the delicious proof of the brand to reach heights and it was only
a matter of time for the establishment of subsequent outlets.
• OUR VISION
• To be one of the best restaurants that consistently delights customers
• OUR VALUES
• Passion for Food | Customer Service | Retain Customer | Teamwork
•
As the saying goes ‘Fortune favors the brave’, Mahesh Lunch Home
at Pune instantly came in the list of most visited restaurants. Shiv
Sagar Foods & Resorts Pvt. Ltd. now serves its guests through a
series of Fast Food & Fine Dine restaurants, Lounge Bars &
Banquets.
BUSINESS MODEL
• The most important elements of a restaurant business model include the
restaurant's unique value proposition, menu choices, target customer base,
an assessment of competing restaurants, a marketing strategy and financial
projections.
A business model is the plan for the creation of a profitable business. The
business model lays out what the company plans to offer in the
marketplace, its marketing plan and financial projections that ultimately
show ongoing profitability. The business model for a restaurant needs to
contain some basic elements specific to the restaurant business, such as
menu choices.
• The first element for creating a restaurant business model is determining
the restaurant's unique value proposition. The value proposition for a
restaurant is a statement of what the restaurant offers diners that is not
available at other dining establishments in the area. While a unique value
proposition is essential for any business, this is especially true for a
restaurant that must compete daily to attract customers over other
restaurants. This fact can readily be seen in the constant barrage of
advertisements by fast food restaurants, many of which end with, "Only
available at ...". There are many potential options for a value proposition
for a restaurant, such as menu choices, affordability, service and
atmosphere
• A basic part of any restaurant business model is the proposed menu.
Menu choices may be the focus of a restaurant's value proposition,
for example, if the restaurant intends to offer an ethnic cuisine that is
not available at any other restaurants in the area. In any event, a
restaurant's menu has a significant impact on its ability to attract
customers. The selection and pricing of menu items is an essential
element in a restaurant's financial projections regarding anticipated
costs, revenues and profitability.
• Any business model must include both an estimation of
necessary startup costs and projections for future revenues and expenses.
Again, this may be a particularly important element in a restaurant
business model. While some restaurants open with great fanfare and have
regular customers from day one, others take some time to attract a regular
clientele. There are a host of expenses associated with operating a
restaurant. They include the cost of food as well as supplies such as napkins
and silverware, furnishings, employee payroll, and advertising. Startup
costs vary widely depending on the type of restaurant. Amounts and
sources of necessary initial outside financing should be clearly laid out in
the business model for a restaurant. Beyond this, there should be a clear
analysis of expected ongoing costs, revenues and profit margin that shows
how the restaurant expects to sustain profitability.
• Restaurant business model must include a well-considered
assessment of the population in the area where the restaurant is
located, the restaurant's target market of customers and competing
dining establishments. A good business model for a restaurant
includes projections about population growth and potential future
expansion of the restaurant's customer base.
• A restaurant's business model lays out a marketing strategy, how the
restaurant intends to publicize and advertise itself. Part of restaurant
marketing may include revenue generating activities, for example,
offering additional services such as catering.