BHM312 Food and Beverage Service Operation II

Food and Beverage Service Operation IIUnit 210 min read

Menu Types, Planning & Design Essentials

Unit 2 of Food and Beverage Service Operation II covers menu classification (à la carte, table d’hôte, cycle, static, du jour), menu planning principles (seasonality, cost, guest demographics), and design elements (typography, layout, pricing psychology) with real-world applications in Nepali hospitality.

1. Types of Menus

Menus are categorized based on flexibility, pricing structure, and service style. The three primary classifications are:

À la carteTable d’hôteCycle MenuStatic MenuDu Jour MenuMenu Types
Classification of menu types by pricing, flexibility, and service style

À la Carte Menu

  • Definition: Each dish is priced and ordered individually.
  • Example: Restaurants like Kaiser Café (Kathmandu) or The Black Olive offer à la carte menus where guests choose from a list of dishes with separate prices.
  • Advantages:
    • Guests have maximum choice.
    • Higher profit margins for premium items.
  • Disadvantages:
    • Complex inventory management.
    • Slower service for large groups.

Table d’Hôte Menu

  • Definition: A fixed-price menu with multiple courses (starter, main, dessert) at a single price.
  • Example: Hotel Yak & Yeti’s breakfast buffet (fixed price for all items).
  • Advantages:
    • Simplifies ordering and billing.
    • Encourages upselling (e.g., "Add a dessert for just NPR 200").
  • Disadvantages:
    • Less flexibility for guests.
    • May limit high-margin sales.

Cycle Menu

  • Definition: A rotating menu used in institutions (hospitals, airlines, schools) where the same menu repeats weekly/monthly with variations.
  • Example: Nepal Airlines’ in-flight meals follow a cycle menu based on flight duration.
  • Advantages:
    • Cost-effective (bulk purchasing).
    • Reduces wastage (standardized portions).
  • Disadvantages:
    • Lacks variety over time.
    • May bore guests if not updated.

Static Menu

  • Definition: A permanent menu that rarely changes (common in fast-food or casual dining).
  • Example: McDonald’s Nepal menu (same items year-round).
  • Advantages:
    • Easy to manage (inventory, training).
    • Brand consistency.
  • Disadvantages:
    • No seasonal appeal.
    • Limited upselling opportunities.

Du Jour Menu

  • Definition: A "menu of the day" featuring chef’s specials or seasonal dishes.
  • Example: Bhojan Griha (Lalitpur) changes its du jour menu daily based on market availability.
  • Advantages:
    • High perceived value (exclusivity).
    • Reduces food waste (uses surplus ingredients).
  • Disadvantages:
    • Unpredictable demand.
    • Requires skilled chefs for daily prep.

2. Menu Planning Principles

A well-planned menu balances cost, guest preferences, and operational feasibility. Key factors:

A. Guest Demographics

  • Age: Children’s menus (e.g., Pizza Hut Kids’ Meal) vs. fine-dining tasting menus.
  • Dietary Restrictions:
    • Vegetarian (common in Nepal; e.g., Thamel’s vegetarian restaurants).
    • Vegan, gluten-free, halal.
    • Allergies (nuts, seafood, dairy).
  • Occasion:
    • Business lunch (quick, light; e.g., Kaiser Café sandwiches).
    • Romantic dinner (candlelit, wine pairings; e.g., The Black Olive).

B. Seasonality and Availability

  • Local Ingredients:
    • Winter: Mushrooms, pumpkin, lentils (e.g., Dal Bhat specials).
    • Summer: Cucumber, watermelon, chilled soups (e.g., Thakali cuisine).
  • Imported Items: Higher cost (e.g., lobster in Kathmandu vs. local trout).

C. Cost Control

  • Food Cost Percentage: Typically 25–35% of menu price.
    • Example: If a dish costs NPR 500 to make, sell it for NPR 1,500–2,000 (3x markup).
  • Portion Control: Avoid over-portioning (wastage) or under-portioning (guest dissatisfaction).
  • Standardized Recipes: Ensures consistency (e.g., McDonald’s Big Mac recipe worldwide).

D. Menu Engineering

A 4-quadrant analysis helps identify stars, plowhorses, puzzles, and dogs in your menu.

quadrantChart
    title Menu Engineering Analysis
    quadrant-1 "Stars\nHigh profit, high popularity\n(Keep promoting)"
    quadrant-2 "Puzzles\nLow profit, high popularity\n(Adjust pricing/recipe)"
    quadrant-3 "Dogs\nLow profit, low popularity\n(Remove or revamp)"
    quadrant-4 "Plowhorses\nHigh profit, low popularity\n(Upsell or reposition)"
    quadrant-1 "Momos\nNPR 120, 40% profit"
    quadrant-2 "Vegetable Curry\nNPR 80, 25% profit"
    quadrant-3 "Lobster\nNPR 2,500, 10% profit"
    quadrant-4 "Garlic Bread\nNPR 150, 50% profit"

Example:

  • Stars: Momos (high demand, high profit).
  • Puzzles: Vegetable Curry (popular but low margin → increase price or reduce portion).
  • Dogs: Lobster (rarely ordered, high cost → remove or offer as a special).

1. Visual Hierarchy

A menu should guide the guest’s eye to high-profit items using:

  • Font Size: Larger = more important (e.g., special dishes).
  • Placement: Top-right corner is the most viewed area.
  • Color: Red (urgency), Green (freshness), Gold (premium).

Example:

graph LR
    A["Guest Opens Menu"] --> B["Eyes Move to Top-Right"]
    B --> C["Sees 'Chef’s Special: Lamb Chops (NPR 2,500)' in Gold"]
    C --> D["Orders High-Margin Item"]

2. Pricing Strategies

  • Odd Pricing: NPR 499 (psychologically cheaper than NPR 500).
  • Decoy Effect: Adding a mid-tier option to make the premium choice seem better.
    • Example: | Small Pizza | NPR 800 | | Medium Pizza | NPR 1,200 | | Large Pizza | NPR 1,400 | (Most choose Large, not Medium)
  • Bundling: "Combo Meal" (e.g., Burger + Fries + Drink for NPR 1,000).

3. Menu Layout Examples

À la Carte Menu (Restaurant)


  • Structure:
    1. Appetizers (low-cost, high-margin).
    2. Main Courses (largest section).
    3. Desserts (upsell with wine pairings).
    4. Beverages (non-alcoholic first, then alcoholic).

Cycle Menu (Hospital)


  • Structure:
    • Monday: Dal Bhat + Salad
    • Tuesday: Chicken Curry + Rice
    • Wednesday: Vegetable Thukpa
    • Notes: Nutritional balance, cost control, dietary restrictions.

Du Jour Menu (Fine Dining)


  • Structure:
    • "Today’s Special: Himalayan Trout with Herbs (NPR 2,800)"
    • "Pair with: Chardonnay (NPR 1,200)"
    • Handwritten or digital board for exclusivity.

In the Real World

  1. eSewa & Khalti (Digital Menu Planning)

    • Idea Used: Cycle menus for subscription services.
    • How: eSewa’s "eSewa Dine" partners (like Bhojan Griha) use weekly rotating menus for home delivery, reducing waste by aligning with demand forecasts.
  2. Daraz & Foodmandu (À la Carte + Du Jour)

    • Idea Used: Dynamic pricing and seasonal specials.
    • How: During Tihar, Daraz restaurants offer "Tihar Special Thukpa (NPR 350)" as a du jour item, while à la carte options (like momos) remain constant.
  3. Nepal Airlines (Cycle Menu for In-Flight Service)

    • Idea Used: Standardized cycle menus for cost efficiency.
    • How: Their 3-course meal (starter, main, dessert) repeats weekly but adjusts for short vs. long flights (e.g., Kathmandu-Dhaka gets a lighter menu than Kathmandu-New York).
  4. Hotel Yak & Yeti (Table d’Hôte Breakfast Buffet)

    • Idea Used: Fixed-price buffet for group control.
    • How: Their NPR 1,200 breakfast buffet includes unlimited items, ensuring high volume and low per-guest cost.
  5. Kaiser Café (Menu Engineering for Profit)

    • Idea Used: Plowhorse identification and upselling.
    • How: Their "Kaiser Burger (NPR 600)" is a plowhorse (high profit, low popularity) → they now promote it on social media to boost sales.

Worked Example: Costing a Menu Item

Scenario: A restaurant in Thamel wants to price "Garlic Butter Prawns" with the following costs:

  • Prawns (500g): NPR 1,200
  • Butter & Garlic: NPR 150
  • Rice (per portion): NPR 50
  • Labor (prep + plating): NPR 200
  • Overhead (rent, utilities): NPR 300
011.2522.533.7545Raw Ingredients45Labor30Overhead15Profit Margin10
Cost breakdown for a sample menu item (NPR 100)

Step-by-Step Costing:

  1. Total Cost per Plate = 1,200 + 150 + 50 + 200 + 300 = NPR 2,000
  2. Desired Food Cost %: 30% (industry standard for mid-range restaurants).
  3. Selling Price = (Cost / Desired %) = 2,000 / 0.30 = NPR 6,666.67
  4. Psychological Pricing: Round to NPR 6,500 (odd pricing).

Menu Presentation:

Garlic Butter Prawns
Tender prawns sautéed in garlic-infused butter, served with steamed jasmine rice.
NPR 6,500 | Pair with our Chardonnay (NPR 1,200)

Common Mistakes in Menu Planning

Mistake Impact Solution
Ignoring local tastes Low sales (e.g., serving only pizza in Nepal) Include Dal Bhat, Momos, Sel Roti.
Overcomplicating dishes High labor cost, low repeat orders Use simple, high-margin items.
Poor portion control Food waste or guest complaints Train staff on standard portions.
No dietary options Losing vegetarian/vegan guests Add marked vegan/gluten-free items.
Weak visual hierarchy Low sales of premium items Use bold fonts, colors, placement.

Exam Tip

This unit is heavily tested in TU exams through:

  1. Short Questions (5 marks):

    • Define à la carte vs. table d’hôte menu.
    • Explain menu engineering with an example.
    • List three factors in menu planning for a hospital cafeteria.
  2. Long Questions (15 marks):

    • Design a 3-course à la carte menu for a fine-dining restaurant in Pokhara, including:
      • Two appetizers (with cost analysis).
      • Two main courses (seasonal ingredients).
      • Two desserts (with upsell strategies).
    • Compare cycle and static menus with advantages/disadvantages and give Nepali examples.
  3. Practical (20 marks):

    • Cost a menu item (given ingredients and labor costs).
    • Redesign a poorly performing menu (identify dogs/plowhorses and suggest changes).

Key Focus Areas:

  • Menu types (know definitions and real-world examples).
  • Costing formulas (food cost %, markup).
  • Design principles (psychology of pricing/placement).
  • Guest demographics (how age, diet, and occasion affect menus).

Pro Tip: Memorize one full menu example (e.g., Kaiser Café’s lunch menu) and be ready to analyze its strengths/weaknesses.

Based on the TU BHM syllabus for Food and Beverage Service Operation II (BHM312), unit 2.

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