October 30, 2017

Denny’s Franchises: Los Angeles guests aren’t so stoked

A challenge for any franchise is to understand the strengths and weaknesses of its restaurants  across the country. For decades it’s proved extremely challenging for national chains to gather actionable information on what’s working or not working, and where.

SIGNUM for Restaurants allows chains to look at restaurants on the DMA level so they can understand guest behavior and feedback in real time.

Let’s take a look at Denny’s franchise performances in Los Angeles where the chain has 50+ restaurants. We can drill down by topic, in this case Negative Service, which is of obvious interest to corporate headquarters in Spartanburg, South Carolina.

In Los Angeles, Denny’s guests are almost 54% more likely to complain about customer service than diners at other LA casual dining chains.

Denny’s could then use SIGNUM’s consumer voice feature to zero in on the specific terms used by its restaurant guests in Los Angeles over the last 5 years.

The customer service complaints focus on wait times and staff attitudes. There’s also a somewhat alarming thread: customers are threatening to withhold -- and in some cases fully withholding -- tips.

How might Denny’s use this information? Executives could huddle with all their Los Angeles franchise owners to let them know that this is the worst-performing DMA for the chain in the country, relative to the competition, for customer service. They could help those owners implement better training and work conditions for restaurant employees. And they could also strategize, as a group, about ensuring great service so the servers can secure the tips they work so hard for.

Furthermore, now that Denny's knows there’s a problem in LA affecting its sales vs. the category average, Signum for Restaurants can combine 1st- and 3rd-party consumer verbatims to drill more deeply into those problems at a store and franchise group level to diagnose, correct, and track measurable improvements on the issues most impacting the franchisee's sales.

Analysis and Voice are just two of the applications that make up the comprehensive, always-on SaaS platform called SIGNUM. Quantifind designed a SIGNUM vertical solution specifically for restaurants. To find out more contact us today.