Communicating with Your Clients About Continued Shortages
July 23, 2024
While we’ve seen some progress recently, there’s no hiding that the catering industry continues to face supply chain shortages. Consumer demand has been on a steady rise (along with food costs), presenting challenges in sourcing and acquisition. For caterers, sky-high prices and the unavailability of certain foods have a negative effect on profit margins, but that’s not the only problem created by shortages.
Beyond profitability, caterers must also navigate difficult conversations with clients who have unrealistic expectations in today’s market. While most consumers have noticed a price hike in their groceries, many create their event budgets around online resources that may have outdated price ranges for catering—which can lead to sticker shock when they receive a quote far beyond their expectations. Likewise, clients may feel disappointed to learn that certain ingredients are unavailable for various reasons.
As we continue to face shortages throughout the industry, here are a few tips for communicating with clients and keeping them satisfied.
Educate your clients
Most people understand that caterers aren’t to blame for low availability and price hikes, but explaining why can help diffuse some disappointment. Many factors impact food accessibility, including weather, trade restrictions, and resource scarcity. For example, chicken and egg prices have risen due to an ongoing avian influenza outbreak—something no caterer can control.
Another issue to consider is the weather phenomenon, El Niño, which will transition into La Niña this summer. These weather events can cause droughts, flooding, and a change in ocean temperatures, disrupting global supply chains and affecting everything from crop yields to fish populations. Again, no caterer can control the weather, but explaining the context of food shortages can help clients be more amenable to ingredient substitutions and increased prices.
Nobody wants to hear they have to pay more for what they want (or can’t have it altogether), but it’s vital to set expectations by educating clients about the market.
Offer alternative options
There’s an art to letting someone down gently, and a large part of it is having something ready to lift them back up. So, if you’re telling a client their ideal menu isn’t possible or will come with a higher price tag, come prepared with backup options!
Pick substitutions that preserve the flavor profile and meal composition, but instead, use ingredients that are more readily available and cost-effective. For instance, if fresh beef has an exorbitant market price, provide cost analyses for alternatives that use plant-based ingredients or sustainably sourced frozen meat. They may still want the pricier cut of steak, but offering options shows flexibility, consideration, and creativity.
Customize your proposal
People want to feel heard and understood, yet a bland proposal template can make them feel like just another client. Personalization is always essential, but especially so when trying to satisfy a client’s needs amidst supply chain shortages. They need to see that you understand their desires and have put thought into an experience designed just for them—even with consideration to market challenges.
The key to a custom proposal lies in your active listening skills. During conversations, let them explain their vision without interruption and take notes as needed. Then, repeat back what they’ve told you to confirm your understanding and make them feel heard. From there, you have everything you need to craft a fully personalized proposal for them.
There’s no getting around food shortages, but you can navigate them with ease by getting creative with menu options and communicating with transparency. Understanding the forces that impact the market will help you educate clients so they can set realistic expectations for you to meet—and exceed!
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Supply Chain