Causes of Customer Attrition in Restaurants

Just like with ordinary businesses, customer acquisition is essential. Attracting and retaining your customers are worlds apart. Being able to keep your customers is critical to tasting success in the restaurant business, but only a few manage to create lifetime loyalty.

Customer Attrition in the Restaurant Business

Also known as customer churn rate, customer attrition is a business metric that assesses the number of customers who fail to create long term relationships with your business. This statistic covers travelers who dined at your restaurants once and other customers that found it fit to explore other dining options.

In spite of the benefits that come with having some repeat customers, it is surprising that some restaurants do not make an effort of retaining customers. Here are some everyday operations fails that lead to customer attrition in restaurants.

  • Poor quality food
  • Unreliable service standards and poor customer service
  • Incompetent customer service
  • Poor housekeeping

To curb customer churn rates, restaurants should endeavor to invest in customer satisfaction. The higher the satisfaction rates, the lower the customer attrition rates. Customer satisfaction is not just about profits; it also encourages repeat sales.