How the cost adds up
empty tables = reservations × no-show rate seats lost = empty tables × party size × (1 − share refilled) sales lost = seats lost × average check profit lost = sales lost × (1 − variable cost %)Profit lost is smaller than sales lost because you also didn't spend the food and labor on those guests. But your rent, insurance, and salaried staff were paid either way, which is why no-shows hurt.
A worked example
100 reservations a week with 10% no-shows is 10 empty tables. At 4 guests each that's 40 seats; if you refill half with walk-ins, 20 seats stay empty. At $30 a guest that's $600 a week in sales, and at 60% variable costs, $240 a week in profit, or $12,480 a year.
Ways to cut no-shows
- Text a reminder the day of, with an easy way to cancel.
- Hold tables for a set time (like 15 minutes), and say so when they book.
- Keep a list of guests who didn't show and don't hold tables for repeat no-shows.
- For big parties and holidays, take a card or a deposit.
Questions owners ask
What's a normal no-show rate?
It varies a lot by room and by night. Count your own for a month: bookings versus tables that actually sat. That number is worth more than any average.
Should I charge a no-show fee?
Some rooms do for large parties and busy nights. It cuts no-shows but can put off regulars. If you do, say it clearly when they book and check your card processor's rules.