Many operators have discovered the power of leveraging premium-brand products on the menu and tabletop. Front-of-the-house branding can take various forms, such as showcasing a brand-name cookie or candy ingredient in a dessert recipe, placing brand-name condiments on the table, or menuing the customer-preferred brand of iced tea by the glass and pitcher. Each is a way of showing a commitment to quality and not coincidentally, boosting sales and profits.
The opposite of premium brands are generic or commodity items that are sold on price rather than quality. They run the risk of being ignored by consumers, who increasingly look for products with a recognizable identity and a proven track record when they spend their restaurant dollars.
A premium brand strategy is particularly important for operators’ beverage programs. Customers are conditioned to look for branded beverage options, and when they don’t see what they want, they often default to ordering tap water—which can result in lost revenue for operators.
However, implementing a premium brand strategy doesn’t mean operators have to overhaul their beverage programs and add on additional options. For example, most operators already serve iced tea, but not everyone menus a premium-brand, fresh-brewed iced tea. By doing so, operators can appeal to consumers’ desires—research shows that 55 percent of patrons prefer branded iced tea to non-branded,1 yet only 19 percent of menus include branded iced tea.2
That’s why it pays to feature Lipton® Fresh Brewed Iced Tea. Lipton® is the brand preferred 2-to-1 by restaurant guests, and more than half of iced tea drinkers are more likely to visit a restaurant that serves Lipton®, according to research by Ipsos InnoQuest.3
Additionally, operators who serve Lipton® and support the message with front-of-the-house merchandising can capture beverage orders that might otherwise default to water. What’s more, research by the NPD Group found that consumers are willing to pay up to $0.65 more per glass of iced tea if the brand is Lipton®.4
Since premium, fresh-brewed iced tea costs just pennies per glass more than ordinary iced tea—and has a higher return on investment—there is no reason not to offer the best. Operators who offer Lipton® Fresh Brewed Iced Tea sell more glasses and reap incremental profits. In addition, the higher customer satisfaction rates that result from this premium-brand strategy may also pay off in an improved brand image and higher repeat patronage for the restaurant.
The bottom line is, Say It’s Lipton®, Sell More Tea. To get the most out of an iced tea program, partner with a company that is an expert in tea and committed to helping operators grow their businesses.
1 Ipsos InnoQuest, August 2012
2 Datassential, September 2013
3 Ipsos InnoQuest, August 2012
4 The NPD Group, Lipton® Iced Tea Brand Study, June 2010
This post is sponsored by Lipton®