What is Average Check?
A restaurant performance measure that quantifies the average amount of money spent by customers per order, table, or transaction within a particular time frame. It helps to gain insight into customer spending habits and measure the success of restaurant sales.
The average check is often utilized to examine-- Customer spending habits
- Menu item performance
- Upselling efforts
- Profitability
- Sales performance of the staff
Whether a restaurant is a small neighborhood cafe or a large chain establishment, the use of average check is invaluable in gaining a better financial and operational understanding.
Restaurant POS systems used in restaurants keep records of sales and transactions and then calculate the average check amount.
How is the average check calculated?
The average check is obtained by dividing the sales volume by the number of checks or the number of customers.
The formula is-
Average Check: Total Sales Revenue / Number of Checks or Transactions
For example-
- Total sales revenue= $5,000
- Total customer checks= 200
- Average check = $25
Thus, customers had an average value of $25 per sale.