For comparison purposes, there are several websites that offer insight into the revenues accrued by traditional foods businesses in Australia. For example, Reportlinker.com offers financial overview of traditional foods businesses within and outside Australia, while Datamonitor offers concrete financials of specific restaurant businesses. The two websites also give the revenue structures of other traditional foods businesses across the globe and this can be used for benchmarking purposes.
One of businesses which can be used dor benchmarking purposes is Andre’s Cucina & Polenta Bar located in Adelaide. The business generates its revenue from selling value-added and differentiated products. The restaurant’s revenue model is shown below:
The revenue structure significantly from our model because we have not yet decided the specific products that we would be selling. However, Andre’s Cucina & Polenta Bar is an existing business and have an established array of products that they offer to their customers. Therefore, it is easy to give the totality of the products that they offer and the percentage of what each of them contributes to the total revenue.
Again, our cost of goods sold differs from that of our benchmark in terms of volume. The volume of goods that Andre’s Cucina & Polenta Bar handles is greater than our estimated volume. In the same breadth, our operating expenses differ from those of our benchmark in terms of size. For example, while Andre’s Cucina & Polenta Bar pays a lot of money through salaries and advertising, we will not incur those costs in the initial phase of the business.