Amfil Technologies Inc (FUNN)

[BubbaInSC]

Kuberex - I For Sure Don't Thinks So

I was basically pointing that out to the one (?) opinion that was a proponent of free refills being the savior of FUNN :)

And, in the case of S&L gaming cafe, I don't think free refills is going to be a driver for repeat customers.

In th case of Costo - it sure is a driver. Why? Think about the location of the "concession" area. It's located a short location away from the check-out area.

It's basically a feel good, low cost leader for Costco - that simply caters to the unhealthy lifestyle of Americans.

Yum, that IS so cheap, tastes so good, and sates my appetite for fatty food and soda to expedite my journey to diabetes.

In the case of S&L's free refills - IMO, free refills isn't a driver for repeat customers.

IMO, it should be about "the experience".

That being said, not only should FUNN execs be concerned about giving customers "the experience" - the business goal should be provide the experience in a way that results in positive net profitability.

So, the only way for FUNN to move towards positive net profitability is to:
Decrease overhead expenses (i.e., payroll)
Turn tables over faster
And increase prices.

it would also be helpful for FUNN to get rid of cafes that they know will never become positive net profitable.

Only FUNN knows (or SHOULD know), how many tables need to be filled during its hours of operation - and how often tables need to be turned over TO EXCEED ALL OPERATIONAL COSTS AND TOTAL EXPENDITURES AND DEBT.

Does anyone really believe free refills have any impact on the bottom line? Soft drinks, especially self-service, are extremely cheap to a restaurant. As such, offering unlimited free refills is a cheap way to give the customers an appearance of good value to keep them coming back more often and ordering more of the menu items that truly are very profitable, like french fries. To suggest otherwise is ridiculous.