Alfresco dining – The Outside Scoop.

by Howard Graham

The moment the sun comes out in London, high streets are lined with al fresco diners soaking up the rays. Tables and chairs align the streets, immediately adding a touch of summer glamour to even the most dingy areas. The scene could be one from Venice or Monaco, save the passing traffic and noise pollution.

As a restaurant owner and accountant, my interest lies in the business implications of alfresco dining. There’s no question that people flock to restaurants with gardens and outdoor decking during the summertime, but what does this mean for the restaurants that don’t have this additional outdoor luxury? Are they missing out on crucial business? And are alfresco customers really all they’re cracked up to be?

In my experience, customers that come to a restaurant to sit outside often prefer to drink than eat. For one thing, people are generally less hungry when the weather is good – no one wants a hearty meal in the heat. This means that alfresco customers can often be less profitable than those who venture indoors. They may not have even visited your restaurant with the intention of going for a meal, but stumbled across it during a summer stroll. This means they’ll be looking for drinks and a snack at best – not quite the three course revenue a restaurant might hope for.

When customers come to a restaurant to sit outside, they are also likely to stay for longer than if they’d just come for a meal. Even if alfresco visitors do end up spending money on food, they may sit around enjoying the sunshine long after they’ve finished eating, unlike those diners who sit indoors. This means that a restaurant with outside tables might be less likely to have a quick turnaround of customers, similarly reducing opportunities for revenue.

On the other hand, there’s no question that a restaurant with people sitting outside looks more appealing than one without the crowd. Even if those in question aren’t making the most of your menu, they can provide excellent advertising potential by drawing in other diners. Then again, if a diner is inclined to eat outside, and the outside area of your restaurant is already full, they may opt to try another restaurant with outdoor seating over venturing inside at yours.

Providing an outdoor dining area inevitably brings extra costs. Outdoor heaters will be required to keep customers visiting long into the night. Extra staff may be required to serve the additional area. The question each restaurant owner will need to consider then, is whether this additional spend is outweighed by the amount spent by alfresco customers.

In the meantime, restaurants that don’t have the ability to offer outdoor dining to customers should give careful thought to how they can still attract customers during the summer. Special offers, pre-made picnic hampers, and clever marketing can all ensure that the sun continues to shine on your restaurant long after it’s gone in outside.