Episode 33: The bigger picture behind Restaurant Data with Tom Rutledge of RDMS

We delve into the intersection of technology and the human experience in the restaurant industry. Join us as we welcome Tom Rutledge, owner and managing partner of RDMS Group, who brings over 20 years of expertise to the table. Tom discusses how to blend culinary artistry with operational efficiency and financial savvy, emphasizing the critical role of technology in creating extraordinary dining experiences.

Key themes include data-driven decision-making, the balance between digital tools and personal service, and the importance of financial literacy in restaurant management. With insights into average check size and prime cost, Tom sheds light on how restaurateurs can leverage data to optimize operations and elevate customer satisfaction, making this episode a must-listen for anyone in the hospitality sector.

Podcast Timestamps:
[00:04:37] Restaurant industry data challenges.
[00:08:34] Restaurant concept clarity.
[00:11:25] Financial literacy in restaurant startups.
[00:14:34] Average check size dynamics.
[00:17:18] Business model of culinary experiences.
[00:22:19] Importance of prime cost analysis."
[00:22:50] Prime cost management strategies.
[00:26:31] Food cost management strategies.
[00:30:21] Technology in restaurant service.
[00:32:46] Menu psychology in restaurants.
[00:38:00] Data utilization in restaurants.
[00:39:43] Data-driven decision making in restaurants.
[00:43:04] Authentic Italian dining experience.
[00:46:37] Technology's impact on restaurants.
[00:50:07] Restaurant management meetings effectiveness.
[00:52:36] Consistency in restaurant data analysis.

Quotes:

00:01:01 - "For me, it's can you explain your restaurant in a sentence? What is your vision?"
00:03:33 - "The restaurant space is amazing and terrible and fun and awful and all those fun things all at the same time for a lot of reasons."
00:06:46 - "This industry can get overly saturated with ideas, but not necessarily execution when it comes to technology in particular."
00:10:08 - "Can you explain your restaurant in a sentence?"
00:12:49 - "If your lease is going to be 20% of your monthly revenue, you're dead before you open."
00:15:00 - "Food is a religion, right? And you go to dinner, it's a two-hour affair."
00:17:45 - "You have to listen more than you have to like be a trendsetter."
00:19:50 - "Just who do you want to be?"
00:20:42 - "We have a low bar and we deliver higher."
00:23:11 - "The classic move in the restaurants is often to just cut, cut, cut, cut, cut, as opposed to analyze and reassess."
00:27:13 - "When avocado goes through the roof, we tell our servers, hey guys, avocado is really expensive. Sell the trio."
00:28:12 - "I'm an open checkbook. I'm kind of like, make me happy and I will just order things."
00:31:13 - "Management shouldn't be compiling data; they should be using data."
00:34:10 - "I think the physical menu in the restaurant, regardless of how digital it can get, you lose something when you just give somebody their phone and they have to scroll."
00:35:36 - "I still think at my core, 90% of the neighborhood full service restaurants it's a people game more than it is anything else."
00:39:57 - "Data for data's sake is useless unless you understand what you're looking at and how you're using it."
00:40:56 - "Does the guest see you the way you see yourself, I think is another important comment."
00:44:39 - "It was a love letter to my grandmother, and it was New York Italian."
00:46:50 - "it's all about how the guest gets to see themselves when they sit down and how they feel when they leave."
00:48:52 - "I think you just have to do things very deliberately in this industry more so than ever before."
00:50:34 - "That's where I think data becomes really impactful with these different technology systems is that you can look at trends over time."
00:53:15 - "I actually think there's one piece of technology that is a false claim in this industry that I think a lot of people spend a lot of time and money on that I don't think works for most people."
00:55:22 - "I wake up dreaming of it every morning."
00:56:38 - "Make sure you be a tier one, like, subscribe, review, do all those things."