A Smart Idea That Generates Income For This Cafeteria | Operations > Going Green from AllBusiness.com
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A Smart Idea That Generates Income For This Cafeteria

It had been awhile since I'd visited Luby's and I noticed one immediate difference.

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Luby"s is a chain of cafeteria's with locations in Texas, Arkansas, Arizona, and Oklahoma. Sunday night my family and I went there, because, as usual on a weekend, time got away from us and we didn't want to prepare or clean up a dinner meal. We arrived about 7:40PM and the four of us went through the line ordering various entrees.

It had been awhile since I'd visited Luby's and I noticed one immediate difference. They had eliminated one employee position by moving the cashier from the door, to the end of the serving line. Now you paid for your meal before you ate, unlike previous visits. But the biggest change we noticed was that our meal was only $15.00 for the four of us. Our waittress, Lupe, later told us that Luby's dinners were half price between 7:30-8:00PM when they closed. This way they didn't have to throw out as much food and, I bet, they'll generate some extra income.

To me, this is smart management. I think business will pick up in that last half hour as the word spreads. Not only will this help their cash flow, but I'm thinking they'll get their staff out of the restaurant sooner since there will be less food to handle.

Regardless, we'll be coming back more often just because of the convenience and the great deal.

But I think the bigger lesson here is that Luby's, especially since the Pappas family from Houston, bought in to management, has been willing to try innovative ideas in order to stay in business.

Regards,

Glenn

Follow me on Twitter. I'm txglennross

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