An example from the hospitality industry: Optimizing menus using AI

For Giovanni Mungiello, it was the artichokes. More precisely, it was fregola – home-made pasta – with artichokes. It was certainly a favourite with guests. However, it was not profitable. At least, not according to menu analysis using artificial intelligence. For Mungiello, owner of the Casa Lodato Da Giovanni restaurant in Essen-Kettwig, this came as something of a surprise. It also helped enormously. ‘The analysis showed that more profit can be generated with the meat dishes and that customers won’t order pasta dishes costing over 20 euros.`

What’s it all about?

As a consequence, Mungiello changed the order of dishes on the menu, increased a few prices, and even scrapped certain things. Like the fregola. All this was made possible by AI-supported analysis from METRO Gastro Consulting . These experts work together with customers to evaluate the menu range and to look into the restaurant’s personnel expenses, purchasing and marketing activities. The goal is to find concrete solutions and recommendations for action. For example, the correct calculation of contribution margins shows exactly which offerings bring profits – and which are uneconomic.

Artificial intelligence: more data, more savvy

So what exactly does AI do? It uses current market data and compares it with the actual ingredients costs that arise for restaurateurs – even down to the last artichoke. Data is key. Here, Gastro Consulting relies on solutions like DISH Digital Solutions. Under the DISH brand, this METRO subsidiary develops digital solutions for the hospitality industry. The DISH team has already evaluated 500,000 recipes and 800,000 menus to feed the database with information. The collected information makes the software ‘smarter’. As in Giovanni Mungiello’s case, this is also complemented by professional advice tailored individually to the business from trained METRO experts – who often come from a hospitality background themselves.

With rising costs for energy, staff and goods, restaurateurs are having to calculate their costs ever more closely. All without offering less to their guests or cutting corners in terms of flavour. Accordingly, Mungiello tells us about one top seller approved by the experts and allowed to remain on the Casa Lodato Da Giovanni menu: ‘Spaghetti with prawns is always a winner.’