The Analytics Problem
Restaurants have more data than ever. Sales reports, platform analytics, customer data, inventory tracking.
But most restaurant owners don't know what to do with it.
They look at numbers, feel overwhelmed, and go back to gut instinct.
But the restaurants that use data effectively see 20-30% better profits.
Here's how to cut through the noise and focus on what matters.
The Metrics That Matter
Revenue Metrics
Total Delivery Revenue
Track monthly, weekly, dailyCompare to previous periodsSet growth targetsRevenue by Platform
DoorDash vs. UberEats vs. GrubhubIdentify strongest platformAllocate resources accordinglyAverage Order Value (AOV)
Track overall and by platformCompare to industry benchmarksIdentify opportunities to increaseRevenue per Customer
Total revenue / number of customersTrack over timeIdentify high-value customersProfitability Metrics
Gross Profit Margin
(Revenue - Cost of Goods) / RevenueTarget: 60-70% for deliveryTrack by platform and itemNet Profit Margin
(Revenue - All Costs) / RevenueTarget: 15-25% for deliveryTrack monthlyProfit per Order
Net profit / number of ordersTrack by platformIdentify most profitable channelsFood Cost Percentage
Cost of goods / RevenueTarget: 28-32%Track by category and itemOperational Metrics
Order Volume
Total orders per periodTrack by platform and day of weekIdentify trends and patternsPrep Time Accuracy
Actual vs. estimated prep timeTarget: Within 2 minutesTrack by item and time of dayOrder Accuracy
% of orders with no errorsTarget: 98%+Track error typesRefund Rate
Refunds / Total ordersTarget: Under 3%Track by reasonCustomer Metrics
Customer Acquisition Cost (CAC)
Marketing spend / new customersTrack by channelCompare to customer lifetime valueCustomer Lifetime Value (CLV)
Average revenue per customer over lifetimeTrack by acquisition channelCompare to CAC (should be 3x+)Repeat Order Rate
% of customers who order againTarget: 30%+ within 90 daysTrack by acquisition channelCustomer Retention Rate
% of customers who returnTrack monthly and annuallyIdentify churn patternsPlatform-Specific Metrics
DoorDash Metrics
Order acceptance rateAverage delivery timeCustomer ratingPromoted listing performanceUberEats Metrics
Order acceptance rateAverage delivery timeCustomer ratingUber One performanceGrubhub Metrics
Order acceptance rateAverage delivery timeCustomer ratingPromotional performanceSetting Up Analytics
1. Choose Your Tools
Spreadsheets (Simple)
Google Sheets or ExcelManual data entryBasic calculationsFreePOS Analytics (Medium)
Built into POS systemAutomatic data collectionBasic reportingIncluded with POSAnalytics Platforms (Advanced)
Chowfly, Restaurant365, etc.Advanced analyticsAutomated reporting$100-500/month2. Define Your Dashboard
Daily Metrics:
RevenueOrder volumeTop itemsIssues/refundsWeekly Metrics:
Revenue trendsPlatform performanceCustomer metricsOperational metricsMonthly Metrics:
ProfitabilityGrowth trendsCustomer lifetime valueStrategic insights3. Set Up Tracking
Data Sources:
POS systemDelivery platformsPayment processorsMarketing toolsAutomation:
Automatic data importScheduled reportsAlerts for issuesUsing Analytics to Make Decisions
Menu Optimization
Data to track:
Item sales volumeItem profitabilityItem ratingsItem refund ratesDecisions:
Remove low-performing itemsPromote high-margin itemsAdjust pricingCreate new itemsPricing Strategy
Data to track:
Price elasticityCompetitor pricingProfit marginsSales volumeDecisions:
Adjust pricesTest new pricesCreate bundlesImplement dynamic pricingPlatform Strategy
Data to track:
Revenue by platformProfitability by platformOrder volume by platformCustomer acquisition by platformDecisions:
Focus on strongest platformOptimize weaker platformsAdjust pricing per platformAllocate marketing budgetMarketing Strategy
Data to track:
Customer acquisition costCustomer lifetime valueChannel performanceCampaign ROIDecisions:
Double down on best channelsCut underperforming channelsTest new channelsOptimize campaignsCommon Analytics Mistakes
1. Tracking Too Much
Too many metrics = analysis paralysis. Focus on 10-15 key metrics.
2. Not Tracking Enough
No data = flying blind. Track at least basic revenue and costs.
3. Not Acting on Data
Data without action = wasted time. Use data to make decisions.
4. Ignoring Trends
One data point doesn't tell the story. Look at trends over time.
5. Not Benchmarking
Without benchmarks, you don't know if you're doing well. Compare to industry standards.
Real Results
A restaurant we work with started using analytics:
Tracked key metrics dailyWeekly analysis and decisionsMonthly strategic reviewsData-driven optimizationsResults:
25% improvement in profitability20% increase in revenue30% reduction in waste15% improvement in customer retentionGetting Started
Week 1: Identify 10 key metrics to trackWeek 2: Set up basic tracking (spreadsheet or tool)Week 3: Start collecting dataWeek 4: Create first dashboardMonth 2: Start making data-driven decisionsThe Bottom Line
Analytics isn't about having data—it's about using data to make better decisions.
Focus on the metrics that matter:
Revenue and profitabilityOperational efficiencyCustomer valueGrowth trendsTrack them consistently. Analyze them regularly. Act on insights.
The restaurants that use data effectively see 20-30% better profits.
Start with 10 key metrics. Track them for 30 days. Then use the insights to make one improvement.
You'll be surprised by the impact.
For a restaurant doing $50k/month:
20% profit improvement = $1,000/monthOver a year = $12,000Worth the effort? Absolutely.