Darden, cutting costs isn’t the way to improve business
Tom Dougherty, CEO – Stealing Share
20 September 2013
Cutting costs means you’re failing in other areas
Darden, the restaurant operator that runs Red Lobster, Olive Garden and others, said on Friday it would implement a cost-cutting plan.
“Here is a novel solution. Increase preference for your restaurants by defining who you are and what you do by the prospects you wish to influence.”
In a nutshell, this is what is wrong with most businesses. Darden sees its profits shrink so it management announces a cost-cutting plan. Don’t blame such craziness on shareholders. Blame it on management.
Here is a novel solution. Increase preference for your restaurants by defining who you are and what you do by the prospects you wish to influence. Not only do will you increase preference, you will also be able to better hold on to margin. Nah. Instead, find ways to cut costs, decrease customer service and cheapen your already bottom feeder foods.
Increasing preference takes smarts, vision and discipline. Darden only knows about discounting.
TV ads Tom Dougherty, CEO - Stealing Share 17 September 2018 TV ads using the same exact song Watching TV over the weekend (while ignoring Florence), the following two TV ads played back to back. Notice the similarities? (Hint: Turn up your volume.) ...
September 11 Tom Dougherty, CEO - Stealing Share 11 September 2018 It’s September 11. And I forgot. Shame on me. It’s easy to get caught up in the mundanity of life. If you’re anything like me, the constant hubbub of the daily grind keeps a hold of you. Work,...
Twitter brand Tom Dougherty, CEO - Stealing Share 10 September 2018 The Twitter brand only succeeds by banning abusers I have to admit that, originally, the thought of Twitter banning anyone seemed ridiculous. Even Alex Jones. The Twitter brand lives on banter, no...