One of the most important factors in any restaurant’s success is location. Here are two key ways that location affects a restaurant’s profits and longevity:
Access. If it’s difficult for consumers to get to a restaurant or its drive-through, they are likely to just opt for the place down the street rather than endure logistical challenges. How easy is it to get to the restaurant from a major street? Does it require an easy turn into a shopping center or a tough left turn across heavy traffic? Once in the parking lot, is it easy for customers to find a parking space? If the restaurant has a drive-through window, location is even more important. Is it easy to get to the drive through? Once customers have their order, how easy is it to get back on the road?
Other draws. Restaurants often do well near neighborhoods, schools, colleges, hospital complexes and in retail developments. While it’s cheaper to build or lease a location in the middle of nowhere, a restaurant is likely to do much better in an area with high highway, road and foot traffic.
For more thoughts on selecting the right location for a food business, check out this story.