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Corona Virus – What Your Burger Business Should Do

March 4, 2020

Dod's Burger. Best burgers in Bali.

Foreword : Best Burgers in Bali

Just a quick foreword before we go into the article. Dod’s Burger arguably serves the best burgers in Bali. Our famous gourmet burgers have got everybody in the island talking about us. If you are visiting Bali or already here, pop down to one our outlets in Kuta or Seminyak! We will welcome you with the friendliest service in the whole island!

The articles on this website are full of practical advice and tips to help you achieve your dream of starting your own burger franchise!

Please note that since we are based in Bali, Indonesia, I will often give references to and advice on Bali. Having said that, the theory behind starting a burger business is the same whether you’re in Bali or in Texas.

Finally, don’t forget to sign up to our newsletter for tips and knowledge on how to open a burger franchise!

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The Corona virus will effect your burger business one way or another

Some experts have likened the Corona virus (or COVID-19 officially) to the Spanish flu pandemic of 1918, and even the Black Death of medieval Europe. Will this be the “big one” that experts have warned about for years?

Whether the COVID-19 will keep spreading across the world or fizzle out, it will definitely cause a short term (or perhaps even long term) negative impact to your burger business. I am listing here the different ways that the virus could affect your business, however in no way do I proclaim myself to be an expert on the virus itself nor am I a qualified medical practitioner.

The goal of this article is simply to highlight issues from a business perspective that might arise as a result of this crisis, not to give medical advice.

Your suppliers will raise their price

The most evident leading indicator that a crisis is happening is when you realize your suppliers are raising their prices. In Bali, this is already happening with the price of produce like onions being significantly higher by a factor of 10 times !!! (at the time of writing the price of onions has shot up from Rp 20,000 per kg to Rp 200,000 per kg).

You should aim to secure the supply of your most important ingredients – those that are irreplaceable and can’t be substituted – as quickly as you can. For a small burger franchise business, this usually means ingredients such as buns, patties, tomatoes, lettuce, mayonnaise, and cheese.

The longer the crisis drags on, prices will just keep getting higher.

Imported products will be scarce

The Corona virus crisis is effecting border protection policies around the world and this includes not just the movement of travelers, but also the import and export of products.

If your burger franchise relies on imported ingredients such as imported cheese slices or imported mayonnaise, now is the time to think about your long term supplies. You may have to decide to switch your ingredients from imported to local brands.

Whatever you decide to do, always have the customers’ best interest in mind because a change in brand will also mean a change in taste and this may irreversibly damage your brand.

Inventory Wastage

As more and more people avoid public places and gatherings, you will see a drop in your patrons. In Bali for example, we have seen a marked drop in the number of guests in the island in general, and also the number of daily patrons dining at Dod’s Burger. This trend will no doubt continue over the next few months.

As a result of this, you will experience inventory wastage as a lot of ingredients and supplies will have to be disposed of. One thing you could do to mitigate this issue is to reduce your supply purchases. For example, if your burger franchise is buying 10kg of lettuce a day, reduce this by 30% to 40% and order 6kg to 7kg instead.  The same goes for your purchase of patties, buns, etc.

As time goes by, only you will know exactly how much to reduce your supply purchases by.

Protect your staff

Your staff, especially your front-of-the-house staff are at the forefront of the crisis. They are the ones who come face to face with your guests on a daily basis.

You need to protect their well-being by making sure they follow safety standards such as : wearing a surgical mask, washing their hands regularly especially after visiting the toilet, close their mouths when coughing or sneezing, and not coming in to work when feeling sick.

Surgical masks are becoming more expensive as supplies dwindle, but you MUST invest on these masks to ensure the safety of all your staff members.

Fake News

Beware of fake news that say the virus has gone rampant. Don’t believe everything you read and always check a few sources to verify the story.

Also, avoid spreading false stories and fake news yourself – either deliberately or unconsciously. Don’t share negative stories before first checking the validity of the content.  In Indonesia, the government has made it a criminal act to spread fake news that causes anxiety and unrest in the community.

The worse thing than the virus itself is the panic fake news may cause in the community. In the most part, this panic is unfounded and is mostly due to people spreading fake news or hoaxes – so always verify your news sources and do not share negative stories if you don’t have to.

Read: Should I open a burger business in Bali?

Bali is Safe to Visit !

As of the time of writing, there are no reported cases of Corona virus in the island. However the government is vigilant and continuously monitoring directives from the World Health Organization (WHO). If WHO classifies this as worldwide pandemic, the government will swiftly act accordingly.

Before you visit Bali, it is advisable to read the latest information from WHO.

But for now, come to Bali! Enjoy the beautiful sunshine and weather here, and pop down to the best burgers in Bali at Dod’s Burger!

 

Author’s note :

Hello I am Eddy and co-owner of Dod’s Burger outlets in Kuta and Seminyak, Bali. For the last few years, I have been on a mission to turn our concept to the best burgers in Bali. I can also help you start your own burger business, from concept stage to operational. I also give advice to those who want to start a business in Bali. Please reach out if you would like me to help you at hello@dodsburger.com. 

 

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