Tudor Team 6

Anurag JatiaBalbinder BhatiaDouman Namin

Matthew GinsbergNuria GarciaRumiko Oe

Agenda

• Inamo– Company overview– Use of IT – ROI– Pros and Cons

• Wagamama– Company overview– Use of IT – ROI– Pros and Cons

• Comparison• Learning and conclusion

Welcome to

http://crave.cnet.co.uk/gadgets/video-inamo-restaurant-is-the-future-of-eating-out-49301452/

Inamo: Company overview

Compurants Ltd.

Owners:Entrepreneurs Danny Porter and Noel Hunwick

Founded in UK in 2005

Compurants Ltd. Business (2005)

E-TableTM InamoTM

• Patent of E-Table: Interactive ordering system

• They continue doing R&D to improve the technology

• 4 Products: E-table Full; E-table portable; E-table mini projection; e-table touch-E

• Target clients: Restaurants and hotelsSo far only 1 client has already installed the E-table (Izkaya in the Netherlands) and their own restaurants

• Current restaurants (London):

• Soho: Sep 2008• St. James: Dec 2010

• Main characteristics:

• High-end (avg. £ 40)• Pan-Asian food• Well located• AWARDS: Design &

Technical Innovation' award at this year's Madrid Fusion.

• E-table :- Interactive ordering - Paying Bill, Asking for taxi, Choosing ambient, playing

games, checking kitchen camera

• Online booking

Software:- Orders directly send to kitchen screen - Bespoke Software- Content Management System (CMS): All E-Tables tools are connected to the central management system.- Special Apps- Point-of-Sale

IT at Inamo

1- Customer Interactive Screen

2- Order Processing Server

3- Content Management System

4- Point of Sale Integration

5- Projector

How system works?

Sales increase by 14% = £ 369 k - Cover per seat: increase by 10% - Avg. expending: increase by 5% - Other revenues (advert): increase by 1%

Staff costs: reduction by 30%= £ 230k

Total return in 1 year: £ 565 k

“A restaurant with a minimum of 70 seats or more and an average bill of $35 or more could achieve a return on investment within 12 months subject to their business model”Mark Boyle, sales director for E-Table

E-Table return on investment

PROS• WOW Factor• No more waiting to catch waiters

eye• Faster Service • Another order is just a click away

so costumers order more• You can see the food’s pictures• Faster turning table, more orders,

less generate more profit• Costumers order more from first 5-

10 items so they can put the items with higher margin and high value

CONS (Based on what the manager told us)

• It is not that much interesting since the touch screens became popular (i-pads, i-pods..)

• Kids => Education/ mistakes• Wrong orders => Time consumption

and customer dissatisfaction• Low coordination in the order and

delivery can negatively influence the experience

• Difficult to customize orders• Limitations to show all the menu• No Wi-Fi / Possible faulty and

interruptible connection

Welcome to

http://www.rsd.geac.com/object/microsoft_CASE.html

1992 First Wagamama in Bloomsbury (London). Founded by Alan Yau

1998 Sold to venture capital co. Graphite Capital Management (64%) & Virgin’s McCarthy Corporation (30%). Management holds 6%

2005 Private equity firm Lion Capital buys 88% stake (£ 102M). Management holds 12%

2010 Lion Capital appointed advisers to put the chain up for sale for £ 250M

Concept and strategy

Expansion strategy: Owned restaurants: 70 in UK and 3 in US Franchises 33 restaurants in 16 countries (outside UK or US) Total = 106 restaurants worldwide

Concept: Pan-Asian food Good service: helpful, friendly and fast Value for money (average spend per head £11.25) Space optimizations: “communal tables” Fast service

Wagamama: Company overview

Speeding up service with a sophisticated POS at Wagamama

"At Kingston we got a return on our investment in between three and six months. If we went back to pen and paper now, the business would run at 50% of its current efficiency.”

Jerry Marks Wagamama operations manager April 2005

Main benefits areas:- Wait staff productivity- Reduction of lost profit from errors- Reduction in maintenance for old devices- Improved customer experience

Compaq handhelds ROI

PROS• Operations efficiency• Easy to customize orders• Fast service => Quick

customer turnaround• Online ordering: pick-up in

15 min (online or phone app)

CONS• Manage/control demand• Obsolescence & upgrade• Huge dependency on the

system

Vs.

CorporateLevel:

Strategy

IT level

• Pan-Asian style UK based• Location: city center• Strong advertising • Brand equity• Differentiation• Innovative business

Similarities Differences

• Ownership: Private Equity vs. Entrepreneurs

• Volume (Wagamama) vs. margin• Core business: restaurants chain

vs. IT innovation • Cheap vs. high-end

• Booking online• Transfer or orders

directly to the kitchen from the table

• Role of IT: Operations (Wagamama) vs. Core Business (Inamo)

• Risk associated: High in Inamo; low in Wagamama

• IT in taking orders: e-table (Inamo) vs. i-pack (Wagamama)

• Customer interaction/education: high in Inamo, low Wagamama

Vs.

Take-aways

Learning 1IT Success:Aligned to company’s strategy Proper implementation = Good ROI

- IT as differentiating factor- Customer experience- Marketing focused on E-table- Target public: Adult public,

dinners, high-end - Size of the restaurant c.100

seats

- IT improving operations efficiency

- Value for money- Target public: Everyone at any

time (cheap; fast and relatively good quality)

- Size of the restaurant c. 160 seats

Learning 2There are also risks and challenges

- Obsolescence- Teaching to the user

(wrong orders)

- Wireless interferences in the late 90s => investment requirements

Learning 3IT as a source of opportunities

- E-Table as a new business itself (e.g. the smaller devices)

- Use of mobile phone apps to place take away orders

Take-aways

Thank you!

Question?