Glossary

Direct definitions of the terms every restaurant uses — POS, KDS, COGS, food cost and much more.

Average Ticket: what it is and how to raise it

Average ticket is the average amount spent per order or guest. See the formula and proven tactics to raise your restaurant's average ticket.

Break-even point: what it is and how to calculate

The break-even point is the revenue where income covers all costs, with no profit or loss. See the formula and how to calculate it in a restaurant.

Chargeback: what it is and how to reduce it

A chargeback is a card payment reversal when the customer disputes the charge. Learn what it is, why it happens and how to reduce chargebacks.

COGS (Cost of Goods Sold): what it is and how to calculate

COGS (Cost of Goods Sold) measures how much revenue goes to ingredients. See the formula, the ideal percentage and how to lower COGS.

Contribution margin: what it is and how to calculate

Contribution margin is what's left of a sale after variable costs, to cover fixed costs and profit. See the formula and how to use it in a restaurant.

Couvert (cover charge): what it is and how to charge it

A couvert is an optional charge for a starter service (bread, spreads, live music) served before the meal. Learn about the couvert and transparency rules.

CRM (Customer Relationship Management): what it is

A CRM manages customer relationships: data, history and actions to build loyalty. Learn what a CRM is and how to use one in a restaurant.

Cross-selling: what it is and how to apply it

Cross-selling is suggesting complementary items (the drink with the burger) to grow the order. Learn what cross-selling is and how to apply it.

Delivery: what it is and how to run it

Delivery is bringing the order to the customer's address. Learn the difference between own delivery and marketplace delivery, and how to keep the margin.

Digital Menu: what it is and how it works

A digital menu is the menu guests open on their phone, usually via QR code, with photos, live prices and online ordering. Learn how it works.

ERP (Enterprise Resource Planning): what it is

An ERP integrates business areas (sales, inventory, finance) in one database. Learn what an ERP is and its role in a restaurant.

FEFO (First Expired, First Out): the expiry-first method

FEFO (First Expired, First Out) uses the soonest-to-expire stock first. Learn the difference from FIFO and how it cuts waste.

FIFO (First In, First Out): the stock rotation method

FIFO (First In, First Out) is the method of using the oldest stock first. Learn how FIFO reduces waste and lowers food cost in a restaurant.

Food Cost: what it is and how to use it in pricing

Food cost is the cost of a dish's ingredients relative to its selling price. See the formula, the ideal percentage and how to use it in pricing.

Inventory turnover: what it is and how to calculate

Inventory turnover measures how many times stock is sold and replaced in a period. See the formula and why good turnover cuts losses in a restaurant.

KDS (Kitchen Display System): the kitchen screen

A KDS is the kitchen screen that replaces paper tickets, showing orders in real time with timing and priority. Learn how a KDS works.

Markup: what it is and how to price with it

Markup is the multiplier applied to cost to reach the selling price. See the formula, the difference from margin and how to use it on the menu.

Mise en place: what it is and why it matters

Mise en place means having everything ready and in place before service: portioned ingredients, tools and organized stations. Learn why it speeds up the kitchen.

No-show: what it is and how to reduce it

A no-show is when a guest reserves and never shows up or cancels, leaving the table empty. Learn the impact and how to reduce no-shows.

Pix: what it is and how restaurants use it

Pix is Brazil's instant payment system: money arrives instantly via QR or key, 24/7, usually with no per-transaction fee. Learn how Pix works in a restaurant.

POS (Point of Sale): what it is and what it does

A POS is the system where a restaurant records sales, payments and orders. Learn what it is, how it works and why a good POS protects your margin.

QR Code: what it is and how to use it in a restaurant

A QR code is the code guests scan to open a digital menu and order from their phone. Learn what it is and how to use it in your restaurant.

Recipe card: what it is and what it's for

A recipe card is the document with a dish's ingredients, quantities, method and cost. Learn what it's for and how it controls food cost.

Rodízio (all-you-can-eat): what it is and how it works

Rodízio is a fixed-price, all-you-can-eat model common in steakhouses and pizzerias. Learn what rodízio is and how to manage it.

Self-service ordering: what it is and its benefits

Self-service ordering is when the guest places their own order, via a kiosk or their phone (QR), without relying on staff. Learn the benefits in a restaurant.

Stripe: what it is and what it does

Stripe is a global online payment platform (cards, wallets and more). Learn what Stripe is and its role in restaurant online ordering.

Tab (comanda): what it is and how it works

A tab is the running record of what a table or guest consumes until the bill is closed. Learn about the digital tab and how it speeds up service.

Upselling: what it is and how to apply it

Upselling is suggesting a larger or premium version of an item to raise the order value. See what it is, examples and how to apply it.