Setting a Goal for Your LTO

Establish clear objectives to help create a successful LTO.

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Setting a Goal for Your LTO

FOCUS ON GETTING RESULTS FROM AN LTO

Establishing clear goals and objectives for your limited-time offer will help you and your team stay focused on what you want to achieve while helping you make informed decisions along the way. For example, if you know that the goal is to drive traffic to the restaurant, every marketing idea and tactic for the LTO should focus on achieving that goal.

Speaking of goals, every LTO needs to have at least one; but if there are too many, focus could get lost. The more focused the goal, the better. Here are seven typical LTO goals:

1. Increase sales
2. Drive traffic
3. Attract new and/or existing customers
4. Promote a new menu item
5. Repurpose/eliminate surplus inventory
6. Boost brand awareness
7. Improve customer satisfaction

With a tight labor market and inflation at an all-time high, it’s important to choose LTOs that are easy for staff to make while also utilizing ingredients you have on hand. Start small, with something like a sauce or drizzle that can amp up the flavor of an existing dish.

Data shows that the most popular limited-time offers are burgers, shakes, and specialty coffees, with lunch and dinner LTOs faring best.

Operators are most interested in promoting returning, seasonal, beverage, and dessert LTOs.

TIPS FOR A SUCCESSFUL LTO

Know your audience: Understanding your customers’ preferences is essential to developing an LTO that will appeal to them
Keep it simple: Don’t overcomplicate your LTO with too many options or confusing marketing
Time it right: Understanding your restaurant’s seasonal slow patterns can help you determine the best time to run an LTO
Train staff: Prepare staff to effectively promote and sell the new item or promotion
Track results: Monitor your sales, customer feedback, and other metrics to gauge the success of your LTO and make improvements for the future

Recurring, or returning, LTOs are promoted on a regular basis due to the spikes they create in consumer visits. Other LTOs that drive traffic can be nostalgic in nature, offer a special price promotion, or run for an abbreviated time, such as a couple of days or a week. Every type of LTO is designed to instill a got-to-have-it feeling that drives traffic.

5 FAVORITE FEATURES OF LTOs, ACCORDING TO CONSUMERS

1. It’s something I can’t get at other restaurants

2. Appetizing, visual appeal

3. Use of seasonal ingredients/flavors

4. Use of extreme flavors (cheese, spicy heat, etc)

5. Combinations of items to make a full meal

_{^{Source: Mattson QSR Behaviors & LTO Study (Sept. 2021)}}

Think Beyond Seasonal

_{^{Source: Datassential: Limited Time Offers (June 2022)}}

What is the main goal for your next limited-time offer?

Increase sales
Drive traffic
Attract new or existing customers
Promote a new menu item
Eliminate surplus inventory
Boost brand awareness
Improve customer satisfaction

_{^{Sources: Datassential: Limited Time Offers (June 2022); Placer.ai: 5 Limited Time Offers (LTOs) Driving Restaurant Traffic (March 2023).}}