About the Menu Engineering Calculator
This menu engineering calculator applies the classic Kasavana and Smith menu engineering matrix to your own sales data. Paste one menu item per line with the number sold, menu price and plate cost. The calculator works out each item’s contribution margin (price minus food cost), its share of the menu mix and its classification: Stars are popular and profitable, Plowhorses are popular but low-margin, Puzzles are profitable but under-ordered, and Dogs are neither.
It is built for chefs, restaurant owners and menu consultants preparing a menu redesign or a price review. Compare items within one menu category at a time — for example all entrées — over the same period, ideally a month or more of POS data, so the comparison is fair.
An item counts as popular when its menu-mix share is at least 70% of an equal share (with six items, 70% × 1/6 = 11.7%), and as profitable when its contribution margin is at least the weighted-average contribution margin of the group. You can change the popularity factor if you prefer a different cut-off.
With the default inputs, the total contribution margin is $16,061.00. Change any value above to recalculate instantly.
How to use the menu engineering calculator
- 1Export units sold per item from your POS for one menu category and period.
- 2Paste one line per item: name, units sold, menu price, food cost.
- 3Leave the popularity factor at 70% unless you use a different rule.
- 4Read each item’s class in the worksheet table.
- 5Promote stars, re-price plowhorses, reposition puzzles and rework or drop dogs.
Formula and method
Menu engineering, introduced by Michael Kasavana and Donald Smith in 1982, rates each item on two axes. Profitability is the contribution margin — menu price minus the item’s food cost — compared with the weighted average contribution margin of all items in the group. Popularity is the item’s share of total units sold compared with a cut-off of 70% of the share each item would have if every item sold equally.
Combining the two gives four quadrants. Stars (high/high) should be protected and featured; Plowhorses (popular, low margin) are candidates for small price increases or lower plate costs; Puzzles (profitable, unpopular) need better placement, descriptions or staff recommendations; Dogs (low/low) are usually removed or re-engineered. Total contribution margin is the gross profit the menu generated over the period.
- CM
- Contribution margin per item (price − food cost)
- Menu mix %
- Share of total units sold
- 70%
- Popularity factor (adjustable)
Worked examples
Six-entrée dinner menu
The six entrées sold 1,075 plates for $16,061 of contribution margin, a weighted average of $16,061 ÷ 1,075 = $14.94. With six items the popularity cut-off is 70% × 1/6 = 11.67%: Chicken Parmesan (28.8% mix, $16.20 CM) is a Star, the Cheeseburger (39.1%, $11.10) a Plowhorse, Ribeye, Salmon and Risotto are Puzzles, and Fish Tacos (6.5%, $10.90) a Dog.
Brunch menu, four items
480 plates produced $4,642 of contribution margin, an average of $9.67. The cut-off is 70% × 25% = 17.5%. Eggs Benedict ($10.50 CM, 31.3% mix) and Omelette ($9.90, 18.8%) are Stars; Pancakes sell most but earn $8.80, a Plowhorse; Avocado Toast earns $10.40 but only 8.3% of sales, a Puzzle.
Pizza menu with an 80% factor
Average CM is $6,668.50 ÷ 595 = $11.21. Margherita ($10.80) and Pepperoni ($11.10) are popular but just under average, so both are Plowhorses; the Truffle Pizza earns $15.50 but sells only 5.9%, a Puzzle.
Frequently asked questions
What is menu engineering?+
Menu engineering is a method for analysing a menu by profitability and popularity. Each item is classified as a Star, Plowhorse, Puzzle or Dog based on its contribution margin and share of sales, guiding pricing, placement and which items to keep.
What are stars, plowhorses, puzzles and dogs?+
Stars are popular and above-average margin. Plowhorses are popular but below-average margin. Puzzles have above-average margin but low popularity. Dogs have both low popularity and low margin and are usually removed or reworked.
Why is the popularity cut-off 70% and not 100%?+
Kasavana and Smith used 70% of an equal share so that items selling somewhat below an even split still count as popular. With 10 items an even share is 10%, so any item at 7% or more of units sold is popular.
Should I analyse the whole menu at once?+
No — compare items that compete with each other, such as all entrées or all appetizers, over the same period. Mixing desserts with mains distorts both the average contribution margin and the popularity cut-off.
Why use contribution margin instead of food cost percentage?+
You bank dollars, not percentages. A steak with a 38% food cost can earn far more gross profit per plate than pasta with a 20% food cost. Contribution margin shows which items actually pay the bills.