Ideal Menu Items Assortments: An Empirical Application Of Market Basket Analysis

Submitted By annamaie7656
Words: 6350
Pages: 26
Open Document
Cornell Hospitality Quarterly http://cqx.sagepub.com/ Finding Ideal Menu Items Assortments: An Empirical Application of Market Basket Analysis
Ping-Ho Ting, Steve Pan and Shuo-Shiung Chou
Cornell Hospitality Quarterly 2010 51: 492 originally published online 3 August 2010
DOI: 10.1177/1938965510378254
The online version of this article can be found at: http://cqx.sagepub.com/content/51/4/492 Published by: http://www.sagepublications.com On behalf of:

The Center for Hospitality Research of Cornell University

Additional services and information for Cornell Hospitality Quarterly can be found at:
Email Alerts: http://cqx.sagepub.com/cgi/alerts
Subscriptions: http://cqx.sagepub.com/subscriptions
Reprints: http://www.sagepub.com/journalsReprints.nav
Permissions: http://www.sagepub.com/journalsPermissions.nav
Citations: http://cqx.sagepub.com/content/51/4/492.refs.html

>> Version of Record - Nov 1, 2010
OnlineFirst Version of Record - Aug 3, 2010
What is This?

Downloaded from cqx.sagepub.com by guest on January 11, 2013

Food-Service Management

Finding Ideal Menu Items
Assortments: An Empirical
Application of Market Basket Analysis

Cornell Hospitality Quarterly
51(4) 492–501
© The Author(s) 2010
Reprints and permission: sagepub.com/journalsPermissions.nav DOI: 10.1177/1938965510378254 http://cqx.sagepub.com By Ping-Ho Ting, Steve Pan, and Shuo-Shiung Chou

Abstract
This article applies a simplified version of market basket analysis (MBA) principles to explore menu items assortments, which are defined as the sets of most frequently ordered menu item pairs of an entrée and each of five side dishes in a prix fixe restaurant. Using the PivotTable in Excel, the authors demonstrate the analysis of 3,727 transactions for meal combinations of 24 entrées and 49 side dishes, resulting in twenty-four association rules, which suggested that guests ordering a given entrée would most likely then choose a particular side dish to go with it. Applying these association rules, guests responded favorably to servers’ menu suggestions in roughly two out of three cases when the guest was “undecided” or “without preference.” This article’s chief purpose is to introduce the application of Excel that would otherwise require tedious computation if a restaurateur were to attempt it.
Keywords
market basket analysis (MBA); prix fixe menu; Excel PivotTable

Market basket analysis (MBA) is one of the most commonly used data analysis techniques for marketing (Marakas 2003).
It derived its name from analyzing the orders assembled in grocery stores, when customers put purchases into their market baskets, also known as grocery carts and shopping trolleys.
The key to this analysis is the purported connections between item choices. The analysis posits that if a customer purchases one particular item, that customer is also likely to predictably purchase a second particular item. The two items may not be directly related, so by identifying the latent relationships between items purchased, shop owners can use this information to arrange store layout so that items frequently sold together can be placed in the same retail area. In the restaurant operations, MBA has been used extensively in fast-food chains for cross- and up-selling food and beverage products. Another familiar application of MBA is in online bookstores, where customers will be presented with “associated products” when they browse certain items.
Because we have seen little application of MBA in the tourism and hospitality literature (an exception is Tang, Chen, and Hu 2008), we simplified the application of MBA to identify the association (affinity) rules of two dozen dinner meals on the prix fixe menu of a Japanese-style chain restaurant in central Taiwan. The simplification involves inputting data so that it can be analyzed with Excel’s PivotTable. As often occurs in fixed-price menus, the restaurant permitted guests
Show More

Related Documents: Ideal Menu Items Assortments: An Empirical Application Of Market Basket Analysis

Essay On Food Packaging

9-Food packaging • Food packing is packaging for food. A package provides protection, tampering resistance, and special physical, chemical, or biological needs. Functions of food packaging • Physical protection - The food enclosed in the package may require protection from, among other things, shock, vibration, compression, temperature, bacteria, etc. • Barrier protection - A barrier from oxygen, water vapor, dust, etc., is often required. Permeation is a critical factor in design. Some packages…

Words 1379 - Pages 6

Becoming A Certified Nursing Assistant Essay

about various health conditions, coordinate patient care, and provide advice and support for their patients and families. They also perform various health needs and keep medical records up to date. http://www.onetonline.org/link/summary/29-1141.00#menu Career Options When it comes to looking for a career that would best suit me I feel like I am defiantly leaning towards a health career, but mostly towards nursing. Some of my stronger strengths are people to people interaction, comforting/nurturing…

Words 2235 - Pages 9

The Wild Wheat Bakery Essay example

part of the restaurant’s competitive edge. Wild Wheat serves breakfast and lunch daily, using only local suppliers and when possible, organic ingredients. Further, they make their own Cold Smoked Locks and their own Corned Beef Pastrami. Each pastry item is baked on location. This adds to the quality of the food. Wild Wheat has won many best breakfast awards around the Puget Sound. Wild Wheat likes to be creative, while maintaining a friendly and relaxed environment for people to come and enjoy themselves…

Words 7889 - Pages 32

Blood and Self-care Behaviors Essay

of pregnancy, length of labor, baby’s weight and sex, vaginal delivery/cesarean section, complications, baby’s condition) Immunizations Measles-mumps-rubella, Polio, diphtheria-pertussis-tetanus 3/06, human papilloma virus 6/12, tuberculosis skin test 6/12 Last examination date Physical 6/12 Allergies Shell Fish Reactions difficulty breathing, itching throat, facial swelling Current medications None 6.Family History – Specify Heart disease Yes/Grandfather Allergies Shellfish/Dad…

Words 1811 - Pages 8

Marketing report on Starbucks Essay

Starbucks – Marketing Audit Table of Contents Starbucks Marketing Audit 3 Executive Summary 3 Environmental Aspects 4 Demographics. 5 The growth rate of the US has been between 1.10% and .90% from 1999-2003. The market demands are constantly increasing. Their unique approach to expansion goes beyond the traditionally accepted methods. Starbucks has broken the rules and set a new standard amongst its competitors. Starbucks primarily chooses to focus…

Words 6991 - Pages 28

Mcdonald’s Essay

Team Work 03-05-2013 BUS 500F Professor: Assael Students: Chloe – question 1,4, and 6 Elva – question 3,5 and 7 Emily – question 2 and 8 Chapter 8 Question 1. How do you account for the reluctance of competitors to imitate the successful efforts of another firm in their industry? Under what circumstances is imitation likely to be embraced? There is much reluctance of competitors to imitate the successful efforts of another firm…

Words 2991 - Pages 12

Marketing Research Essay

statement aimed to provide its customers with the world's best steaks. Changes in consumer tastes resulted in fewer customers for the steakhouse. In response to the decreased demand, the chain added burgers, vegetarian lasagna, seafood, and pizzas to its menu over a…

Words 3537 - Pages 15

Healthy 1 Study Guide Essay

Health Study Guide Chapter 5: LESSON 1: 1.) NUTRITION: the process by which the body takes in and uses food -Certain foods produce different benefits or bad health effects. -Good nutrition enhances quality of life and prevents disease. 2.) CALORIES/KILOCALORIES: units of heat that measure the energy used by the body and the energy that foods supply to the body 3.) NUTRIENTS: substances in your body that your body needs to grow, to repair itself and to supply you with energy. 4.)…

Words 2901 - Pages 12

Nutrition Tests Essay

Todd's Case Study What is Todd's Body Mass Index (BMI)? 22 2. According to the BMI chart in Chapter 8 what category does Todd's BMI fall in? Healthy 3. Which food item was the highest source of Protein per serving? 1 Cup of Soymilk 4. Which food had the highest source of Carbohydrates? Whole-wheat Pita 5. Which food provided the best source of fiber? 8 oz. Vegan Chili 6. What advantage is it to have a diet high in soluble fiber? It helps…

Words 4512 - Pages 19

Geriatric History and Physical Essay

Geriatric History and Physical with Problem List and Plan California State University, Dominguez Hills School of Nursing
 Health Assessment Lab
 BSN 381L
 General Patient Information Client: 81-year-old Caucasian/Italian female Source: Client, seems reliable Marital status: Widower Religion: Catholic
 Occupation: House wife Formal education: High school Primary language: English, written and spoken Secondary: None Reason for Seeking Care: Shortness of breath…

Words 2926 - Pages 12