6 Top Factors To Consider When Choosing A Restaurant Location in Dubai

restaurant location Dubai

Dubai is considered to be one of the best cities to start a food venture in. Being home to over two hundred nationalities, Dubai widens the scope for restaurant owners who can cater to different audiences and cuisines. However, even in such a place, the restaurant location plays a vital role. A suitable location increases the success rate of a restaurant by attracting enough initial customer interest to being convenient to visit. This article discusses the significance of location in terms of restaurant growth and how to choose the best restaurant location in Dubai.

How To Choose The Right Restaurant Location in Dubai

A good restaurant location is primarily characterized by high customer footfall, good accessibility, flexible leasing options, high-quality infrastructure, tax-free benefits, and other forms of specialized incentives.

One of the significant reasons why many restaurants fail within three years is due to the lack of a suitable location. Visibility and accessibility tend to have a disproportionate effect on new restaurants that are not yet established with many customers.

Choosing a restaurant location is almost a permanent choice that should not be made without conducting proper research. That is why, while choosing the right restaurant location, consider these essential factors that are critical to the success of your restaurant. 

1. Look Out For Visibility

For upcoming restaurants, visibility is a critical factor. Restaurants that are situated amidst commercial buildings or established at a place with no signage are at a substantial disadvantage. Similarly, restaurants with narrow storefronts also have the tendency to go unnoticed. 

Many of your initial customers are bound to be intrigued by your storefront or signage. Walk-ins are considered primarily resourceful in high-traffic areas. That’s why, while choosing a suitable location for your restaurant, analyze the visibility of your restaurant. 

2. Analyze The Customer Footfall

Busy roads may catch the customer’s attention, whereas highways often cause customers to miss restaurant facades or signs. Similarly, some sidewalks might go unused, while others may always attract a lot of customers. 

Before choosing a location, observe the traffic patterns around the area to anticipate potential problems in the future. Make sure to monitor the day and night time traffic on both weekdays and weekends. 

3. Check For The Proximity Of The Parking Area

Even though the parking expectations vary widely according to the area, easy parking and vehicle access should be one of the main criteria for choosing the restaurant location. Restaurants located in busy urban areas might not need parking due to high foot traffic and public transportation. Similarly, locating a restaurant in a shopping complex or mall area could increase parking convenience for the customers. However, each area comes with a definite price tag, so take all these factors into consideration. 

Restaurant location Dubai

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4. See If The Location Fits Your Budget 

Restaurant rentals can take up a disproportionate amount of the overall revenue. In a place like Dubai, where rental costs are high, the leasing or rental costs of a restaurant plays a vital role in the overall profitability. If the rent is too high, certain cuisines and concepts may not earn enough profits. Before choosing the right location, consider the tenure of the lease and contract renewals to avoid rising rental expenses.

5. Monitor The Growth Potential

Higher rents could impact cash flow, but having residents with higher disposable incomes might justify paying higher rent. Real estate prices are an excellent way to measure the local economy’s health and affluence. Analyze both current and historical trends such as the local unemployment rate, median household income, and find out whether real estate values have been stable or trending continuously.

6. Analyze The Demographics

Location is as crucial to the success of a restaurant as food and service, so do the due diligence before writing a business plan, committing to a concept, or signing a lease. Make sure the neighborhood supports the concept and has the necessary population and demographic profile for success.

Nearby customer sources, such as hospitals, factories, and apartment complexes, could provide ready-made customer bases. Being near a large concentration of potential customers gives you a group of people on which to focus your marketing efforts.

Some of the best locations to open your restaurant in Dubai are:

  • Jumeirah
  • Emirates Hills
  • Dubai Creek
  • Mall of the Emirates
  • Al Quoz

You can select a location based on the type of restaurant you wish to open. For example, if you plan to open a fine dining restaurant, Jumeirah Beach Road would be an excellent location for you since it is an affluent locality.

Before finalizing the right restaurant location in Dubai, consider these factors and make a more informed choice!

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