Why Grégoire is Taking a ‘Preventative Approach’ Rather than Being Reactive to Inflation

Grégoire, a gourmet to-go eatery, takes a preventative approach to inflation, rather than adjusting prices and affecting customer experience.

Read the original at 1851 Franchise
Why Grégoire is Taking a ‘Preventative Approach’ Rather than Being Reactive to Inflation

TL;DR

Grégoire, a gourmet to-go eatery, is taking a preventative approach to inflation by focusing on customer satisfaction and loyalty programs rather than adjusting prices. The brand's founder, Grégoire Jacquet, prioritizes customer experience and uses analytical tools to make educated decisions on pricing and food costs.

It’s a common occurrence nowadays when dining out at a restaurant: the check comes, and the total is significantly higher than the item ordered. Look to the bottom of the receipt, and you’ll find the issue, usually called a “service charge” or “living wage fee.” It’s the food service industry’s way of making up for the cost of goods and services rising due to inflation.

But at Grégoire, a gourmet to-go eatery based in Berkeley, California, that is not how the brand operates. For chef and founder Grégoire Jacquet, his solution to the current economic state in the country is “more preventative than reactive.”

Instead of adjusting prices so that the franchise still makes money, his strategy is to focus on prioritizing customers to ensure Grégoire remains a place they come to eat regardless of their financial situation.

“I have been shocked to see these charges on checks at restaurants. I don't think it’s fair to do; just name your price,” Jacquet said. “I think you must focus more on satisfying your customers, so they come back all the time. Inflation is one thing, and we’ve definitely been impacted, but you have to look at what you can do to still get the customer in the door.”

One of the most successful ways Jacquet has been able to do that is through Grégoire’s loyalty program, which has been in effect for a number of years but has skyrocketed in popularity since the pandemic.

Grégoire’s rewards system is great for customer retention. Patrons get $5 off just for signing up, $10 off after their 10th visit, accumulate points for discounts and earn rewards on special days like birthdays. All it takes is providing a phone number when ordering at the location or through the franchise’s app.

“Over the last few years, I really looked at how to make our customers happier, and strengthening the reward program was a goal of mine. It has proven to be really effective,” Jacquet explained. “The numbers keep going up. We will have 50 to 70 new members enrolling each week, and that’s a good indicator they’ll come back. Even if they don't come back, they are in our system to retarget with promotions, so we are still on their radar.”

Jacquet still keeps a close eye on the state of the economy and the cost of goods. A self-proclaimed “numbers guy,” he uses analytical tools for pricing and food cost to adjust accordingly and make educated decisions.

But his main goal, he reiterates, is to “make sure the numbers are right and that customers are coming through the door.”

French-trained chef Grégoire Jacquet had a vision of a local restaurant offering quality fine dining-style food with the convenience of a quick carry-out experience. In 2002, Grégoire opened its doors as the first fine-fast-casual restaurant concept that serves gourmet sandwich and salad dishes, its famous potato puffs and scratch-daily fresh-made french fries, all served in a custom-designed take-out box. After two decades of serving the local Berkley, CA community, Grégoire has launched franchising opportunities in the Greater Bay Area.

In this story

This story was originally published in 1851 Franchise on November 23, 2022. Burnaze summarizes and links to the original reporting.

Read the full story at 1851 Franchise

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