Put your money where your customers can see it! Boss Pizza’s Ajmal Mushtaq.

Put your MONEY where your customers can see it!

Boss Pizza’s chief executive, Ajmal Mushtaq (pictured), reveals how the brand saved money behind the scenes and put it towards a fl eet of branded delivery vehicles…

A SILVER LINING

The current Covid pandemic has presented a number of challenges for companies small and large. The focus is now on effi ciency savings, cutting back-offi ce expenses and increasing the standard of frontline services. I see this scenario as a cloud – a cloud with a silver lining.

The silver lining for you is to ensure that your back offi ce expenses are managed with real scrutiny and effi ciency. The savings you make here should be transferred to where it makes a tangible improvement to the overall customer experience.

For example, the effi ciency savings that I made at Boss Pizza were put towards the cost of the branded delivery vehicles. This enhanced overall brand awareness and gave Boss Pizza the edge over rival pizza businesses. All cars are leased for four years and cost approximately £50 per car, per week. Your pizza business should have at least one car for your home deliveries. Having a branded car is a very eff ective way to boost your brand locally and set your business apart from the competition.

PERSPECTIVE

As the chief executive of Boss Pizza, I refuse to let the current diffi culties with Covid restrictions, food infl ation and resource shortage dampen my appetite for running a successful business. These are simply challenges, and challenges present opportunities, opportunities to build a more successful and profi table business. Boss Pizza has taken this mantra and applied it to everything they do.

The big mistake business owners make is that they are too busy working in the business. This is the fundamental error. Business owners must work on the business. From here, they can see many opportunities for driving effi ciency to the core of their business and exploit new opportunities. It is important to review each contract on a regular basis. Demand more when renewing.

An illustrative example of how Boss Pizza saved thousands of pounds in a day, and how you could make big savings in your business

Make a list of all suppliers, services, spend, references and telephone numbers. It is important to be very self-critical and question every single item that you have are currently paying for.

ALARM CONTRACT

Have you had no call out charge in the past three years? I opted to reduce the service from gold (£600) to basic (£250). We are on the main commercial road in town that is covered by CCTV. A reduction in service was a calculated risk worth taking.

SAVED £350

WASTE CONTRACT

When was the last time you looked inside your bins? Have a look in your bins. Is the rubbish being disposed of effectively? Are the cardboard boxes/bulky items broken down before they are binned? Six wheelie bins were uplifted twice weekly. This was reduced to two large 660 litre bins and one food bin with one uplift per week.

SAVED £1100

ELECTRICITY

Do you know when your contract period ends? Commercial companies tend to lock you into long contracts and present you a very short window to change your tariff. Look out for this three-week window and push for the most competitive rate.

SAVED £1800

GAS

Do you know when your contract period ends? This works along the same principle as electricity supplies (above). Again, know your renewal dates and ensure you seek out the most competitive rate. Companies would sometimes rather offer you an attractive discount rather than lose you altogether. SAVED £2100

RAW MATERIALS

Have you got more than one core product supplier? My biggest bill each week is the raw material supplier. During the past two years prices boomed, the cost of food soared and companies were quick to pass on the increase. Since the peak, food prices have been declining and these savings are not always passed on as quickly as they should be. I added another supplier into the equation. I now have three suppliers competing for my business. They focus on quality and price. The price has come down by 12%.

SAVED £4400 SAVED £300

LAUNDRY

We regularly had laundry items that were unused but were still charged as part of our contract. Ensure that your contracts match your requirements. Carry out a regular audit for all your services. SAVED £250

TOTAL SAVED £11,200

VISA/SWITCH PAYMENTS

This was by far the easiest discount to obtain. One short phone call and the company were very happy to apply a 15% average discount across all types of transactions. SAVED £900

INSURANCE

Save as you would when buying normal house or car insurance. Business insurance seems to be more difficult to shop around for, but it is getting simpler with companies such as Direct Line.

This figure will no doubt vary depending on your cost base and usage, but the principles applicable are the same. Take the time out to work on your business – here you will see the big picture not only for efficiency savings but also for developing your business. Make it a habit to review all your contracts on a regular basis and drive cost savings into every aspect of your business.

Then take these savings and spend on customer facing activities.