How do 'All You Can Eat Buffet' make Money?

1,717 Views Updated: 20 May 2018
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How do 'All You Can Eat Buffet' make Money?

Buffets are restaurants that do not offer sit down meals but provides a spread of some dishes that the diner can relish. All-you-can eat restaurants allows the customer to eat as much they can at a very feasible price.

Do you think that 'all you can eat buffet' make money? With such cheap meals on offer, how can they afford to make profits?

Let's take a look at the major reasons which make these All-You-Can-Eat Buffets so cheap yet profitable.

#1. Chop Chop

Food in buffets is prepared ahead of time and in bulk quantities. It doesn’t require chefs lined up to cook per say and hence cuts down on the labor cost. It also lets the restaurants top turn the tables quickly since dinners do not need to wait for their order to get ready. During peak hours one table lost can cost you quite a few dollars.

#2. Cut Down On the Waste

Buffets usually plan a menu which has balanced out options. By preparing a well-organized menu, the buffet owners can cut down on a lot of food wastage. Also, all-you-can-eat usually regulate their left overs. Today’s chicken roasted gets served as chicken pot pie tomorrow.


(Image Courtesy:D for Delhi)

#3. Certainty Of Food Costs

Unlike full-service restaurants, buffets are well aware of their every day’s menu. This helps them in restricting their preparations based on the day’s menu. This prevents unnecessary cooking and hence reduces wastage of food.

#4. Fast Table Turnover

Because in all-you-can-eat the diners do not have to wait for their orders to be cooked, the time taken to finish the meals is quicker than full-service restaurants. This helps the restaurants in turning tables quickly which is highly beneficial during peak hours.


(Image Courtesy: Santa Ana Star Casino)

#5. Limited Staff

Buffet restaurants do not require a lot of staff. Customers usually fill up their plates from the buffet spread out. Buffets usually do not need a big team of wait staff like the full-service restaurant.

#6. The Law of Averages

All-you-can-eat restaurants device their pricing based on how much an average customer will consume. Most menus have salads, bread and "fillers" displayed before the main course which is the higher cost portion of the menu card.

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(Image Courtesy: Delight)

#7. High-Profit Margins On Drinks

The restaurant offers you all-you-can-eat food for just $12 but demands a pay for your beverages. While availing such cheap food, diners do not mind paying for their drinks. Soft drinks are a great moneymaker for restaurants and are often sold at over 90% profit margins.

#8. Additional Menu Items

Some buffets only have salads, vegetables, entrées and bread in their fixed cost menus. Drinks and desserts are additional items. These items are often sold on high margins, letting the restaurants earn a handsome profit.

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(Image Courtesy: A Faithful Life)

#9. More The Cost, More The Consumption

It is ironic to know that diners tend to eat more when the food is expensive. This happens because they want to make the most of the money they are paying for their meal. They will eat lesser if the prices are lower. Hence, most all-you-can-eat restaurants have low priced meals.

All said and done, running a buffet is not an easy game. It requires the right mix of menu items, an accurate balance between cost and quality, and sincere efforts in the operational details.

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(Featured Image Courtesy: What's Up Life)

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