Take Steps to Become a More Sustainable Operation this Green Monday
by David Klemt
You’re probably being inundated with emails about Green Monday today.
Given how the meaning of the word “green” has evolved over the past couple of years, many people may think Green Monday is similar to Earth Day. In reality, it’s about the color of money.
Green Monday, a term coined by eBay, is sometimes called Cyber Monday 2. It’s the busiest online shopping day of December and second only to Cyber Monday in terms of online sales.
eBay and other retailers often promote the idea that shopping online is greener than shopping in person since people aren’t driving to and from stores. The reality is likely closer to the meaning of Black Friday—businesses are trying to boost revenue.
We’ve decided to take a different approach to Green Monday. Sustainability and responsible business practices are important to today’s consumer, including restaurant and bar guests. Significant swaths of people want to know they’re supporting businesses that share their values.
This Green Monday, take a look at the sustainability of your business. Evaluate what can be changed to make operations greener and implement those initiatives for 2021.
Go local. Source produce and other ingredients from local farmers and suppliers to reduce carbon emissions.
Go hyper-local. Grow produce using a restaurant garden or containers. Garnishes, items for salads, veggies for entrees… Get creative.
Reduce and reuse. Inventory software can help reduce food waste by sending alerts when items are nearing their expiration dates. Reconsidering portion sizes can also help avoid food waste, as can cross-utilization: use as much of an item in as many ways as possible, such as tying food and beverage together with the same ingredients. If you can do so safely and legally in your area, donate excess food items before they expire.
Recycle and compost. Getting in the habit of recycling can be as easy as placing dedicated bins in strategic locations throughout the back of house and bar. Composting can be more complicated, particularly for venues with limited space, but there are local organizations and farms that will pick up compostable items.
Be efficient. The more energy-efficient pieces of equipment you can use, the better. Flow restrictors and low-flow toilets can save millions of gallons of water. Eco-friendly cleaners and sanitizers are safer for people and the environment.
Audit your packaging. Are you using recyclable or compostable packaging?
Audit your suppliers’ packaging. Many brands have committed to reducing packaging or opting for more sustainable materials. Speak with your suppliers and request reduced packaging.
A group of California restaurant operators is pushing back against current restrictions in defiance of orders they feel go too far.
Gov. Gavin Newsom’s stay-at-home order mandates that restaurants remain open only for delivery and takeout. The order affects five California regions: Northern California, the Bay Area, Greater Sacramento, the San Joaquin Valley, and Southern California.
Throughout 2020, similar orders have been issued throughout the United States. They’ve included an array of restrictions, from banning indoor and outdoor dining to choking traffic by imposing significant capacity restrictions.
Allowing only delivery and takeout is not the health and safety solution lawmakers believe it to be. Third-party delivery platforms and their policies can be detrimental to operators, worsening an already bad situation.
Several operators in Orange County, located in the Southern California region, are, per an Instagram post, refusing to comply with Gov. Newsom’s order.
The statement on publicist Alexandra Taylor’s Instagram account is posted in its entirety below:
“We, as responsible small business owners and operators, do hereby declare our intention to protest the current state stay home order and to maintain our safety standards of service as set forth by country and state health guidelines.
“We cannot, in good conscience, allow our employees and their families to have their health and safety jeopardized as resources to them have been exhausted.
“We will continue and strengthen our mitigation of the potential spread of SARS-Covid19 with the highest standards of safety protocol including, but not limited to: Outdoor Dining, Socially Distanced Seating, Mask Requirements when not seated, PPE, Readily Available Sanitizer to back of house/front of house staff, immediate quarantine and isolation of potentially infected employees, Barriers to prevent close quarters transmission between guests, limited capacity, etc.
“Although eating and drinking establishments (both indoor and outdoor) have shown to increase the potential for viral transmission, current data also indicates that travel and essential shopping have as much as a 10x more likely chance of transmission than these establishments based on CDC risk assessments.
“We agree, as responsible business owners, to commit to staying open with a dedication to public health.”
The image of the statement is accompanied by the hashtag #OPENSAFE and American flag emoji. More than 80 Orange County establishments that support the #OPENSAFE movement were listed in the caption of the post at the time of publication. The original post states that the list of venues is growing daily.
Taylor, the founder and president of The ATEAM, included a caption that read, in part:
“RESTAURANTS. I represent them, I invest in them, I celebrate them, I support them, I am passionate beyond words for them, for the PEOPLE behind them— and I will fight for them.
“This is a declaration for not only restaurants but all SMALL BUSINESS OWNERS to commit to STAY OPEN SAFELY and RESPONSIBLY, while giving their establishments, their employees, and their families a fighting chance to survive this BS.”
State and county officials across the nation can impose a number of penalties on businesses that defy orders. Fines and temporary suspensions of business licenses appear to be the most common. In Chicago, for example, operators can face fines in excess of $10,000. One restaurant, Ann Sather, owned by Chicago Alderman Tom Tunney, violated a ban on indoor dining and ignoring Covid-19 safety rules and faces a maximum fine of $10,500.
Earlier this year, a restaurant in Monterey County, located in California’s Bar Area region, faced fines of up to $35,000 violating shelter-in-place orders.
It’s unclear at the moment if the collective of defiant Orange County operators will face consequences for their civil disobedience. Orange County Sheriff Don Barnes has stated that the department has no intention of enforcing Gov. Newsom’s order closing restaurants.
“Orange County Sheriff’s deputies will not be dispatched to, or respond to, calls for service to enforce compliance with face coverings, social gatherings, or stay-at-home orders only,” said Sheriff Barnes. “Deputies will respond to calls for potential criminal behavior and for the protection of life and property. Our actions remain consistent with the protections of constitutional rights.”
Whether operators in other counties across America coalesce around their own #OPENSAFE movements remains to be seen. The consequences must be fully understood and weighed, and law enforcement’s stance on enforcing stay-at-home and shelter-in-place orders regarding bars and restaurants must also be considered.
Two things are, however, clear. One, operators have had enough. Two, government officials need to listen to restaurant and bar operators and workers about the impact of restrictions before issuing orders.
One Fair Wage Survey Results: Foodservice Professionals on Front Lines of Infection Risk and Hostility
by David Klemt
Over a three-week period, One Fair Wage (OFW) surveyed 1,675 foodservice workers in five states and Washington, D.C.
The survey was initially sent to more than 61,000 applicants to the One Fair Wage Emergency Fund in Illinois, Massachusetts, New Jersey, New York, Pennsylvania and D.C. By November 9, 2,621 respondents had completed the OFW survey online. A total of 1,575 indicated they were currently employed and an additional 100 surveys were completed by phone.
One of the key takeaways of the survey is at once disturbing and unacceptable but not, infuriatingly, shocking. Not only did significant percentages of respondents report lax Covid-19 protocol training and enforcement along with increasingly hostile guests, close to half revealed “a dramatic increase in sexual harassment” since the pandemic struck.
Increased Sexual Harassment
Forty-one percent of survey respondents noted a marked shift in the frequency that guests are subjecting foodservice workers to unwanted sexualized comments. A quarter said they had personally experienced or witnessed “a significant” change in this manifestation of sexual harassment.
An analysis by OFW of the comments shared by respondents reveals the impact that this increase in sexual harassment has on the recipients. The comments have a negative effect on workers’ sense of safety in the workplace, financial security, physical health, and emotional and psychological health.
Of the 25 percent of the female respondents who had personally experienced or witnessed sexual harassment, 43 percent reported that comments were directly tied to social distancing and wearing masks, two pillars of Covid-19 health and safety protocols.
Identified by OFW as a “mild example” of the unwanted comments being made, “Take your mask off I want to see what’s underneath,” provides insight into the overall “theme” of the harassment being made. Many guests engaging in harassment appear to be sexualizing covered noses and mouths. Indeed, other comments support this analysis:
“Come on, sweetie. Lemme see that pretty face under there. Take it off for me, will you? Just a quick flash.”
“Please take the mask off, I want to see your lips.”
“Take off your mask so I know how much to tip you.”
When foodservice pros rebuff these unwanted advances, the responses tend toward hostility and smaller—or no—tips. In short order, these types of aggressors have found a way to weaponize the guest-server power dynamic and seemingly fetishize required Covid-19 protocols.
Increased Hostility
Whereas close to half of OFW survey respondents reported increased sexual harassment, more than three-quarters reported increased hostility from guests.
A staggering 78 percent of respondents said they had experienced or witnessed increased hostility as a response to following and enforcing Covid-19 protocols. Almost 60 percent said these incidents were occurring on a weekly basis.
Again, the power dynamic comes into play. Nearly 60 percent of respondents reported hesitation in enforcing Covid-19 protocols for fear doing so would affect their tips negatively. That concern is rooted in reality: 65 percent of respondents said they were tipped less on a weekly basis after enforcing health and safety protocols.
More than 80 percent said tips have decreased since the pandemic took hold, with 65 percent reporting that decrease to be 50 percent or more.
Impact of Subminimum Wage
One Fair Wage, as their name suggests and their mission clearly states, advocates and campaigns for all employers in America to pay full minimum wage. The organization also calls for tipped workers to receive full minimum wage plus their tips.
Per OFW, service workers—including people who work in salons and airports—are twice as likely to require food stamps to get by when compared to the rest of the workforce in the United States. Foodservice workers, however, are subjected to more sexual harassment than those workers in any other industry. The U.S. Equal Employment Opportunity Commission (EEOC), a federal agency, has identified the restaurant industry as the sector with the most sexual harassment charges filed by women.
This isn’t a digression. The OFW’s mission for a full minimum plus tips for tipped workers would have a direct impact on community health and safety. Infectious disease experts have warned that Covid-19 will not be the last pandemic with which we’ll have to contend. According to a report released by the CDC in September, the risk of contracting Covid-19 doubles for adults after dining inside a restaurant.
Were all service workers working for a full, living minimum wage, they’d likely be less concerned with incurring a guest’s wrath in the form of a reduced tip or no tip at all. The OFW survey findings that foodservice pros are being harassed to remove their masks or not socially distance—risking the health and safety of themselves and guests, then of family and friends, and therefore the community—and that 58 percent are reluctant to enforce Covid-19 protocols out of concern for their tips illustrates, in part, how subminimum wage for tipped workers can impact the health and safety of communities overall.
The pandemic has made foodservice workers and others who work with the public, by default, Covid-19 protocol enforcers. Clearly, significant swaths of the public feel zero compunction when it comes to responding with hostility, threats, harassment, and refusal to comply.
It’s also clear that guests who react with hostility and intimidation when employees are enforcing officially mandated health and safety requirements lest their employer face fines, the suspension of their business and/or liquor license, or any other form of punishment that puts their employment at risk won’t hesitate to wield the guest-server power dynamic as a weapon. That weapon can ultimately endanger an entire community.
The Good News
A mere ten percent of survey respondents reported their employers instruct employees to follow all Covid-19 health and safety protocols on a consistent basis, and just 31 percent of respondents said their employer follows all such protocols.
Those are startling numbers since ten percent of respondents said they had contracted Covid-19, 88 percent said they knew someone had contracted the infection, 44 percent reported that at least one coworker had contracted Covid-19, and a depressing 42 percent of those who reported knowing someone who had contracted the illness had died from it.
However, there were some positive pieces of data shared by survey respondents:
92 percent reported their employers require all workers to wear masks.
86 percent reported their employers require all workers to wash hands frequently.
86 percent reported their employers require tables and chairs be wiped down and sanitized between uses.
78 percent reported their employers provide employees with personal protective equipment (PPE).
75 percent reported that a supervisor has told them they will have their back if they tell a guest or coworker to put on their mask whenever they’re within six feet of them.
In a perfect world, those percentages would all be one hundred. This isn’t a perfect world and there’s obviously major room for improvement. Management must step up in this time of crisis and uncertainty and embrace true leadership:
Respect the fact that employees are putting themselves at risk every shift. Put people first.
Avoid putting the bottom line ahead of health and safety.
Create and enforce a zero-tolerance sexual harassment policy—for employees and guests. Support employees when they report sexual harassment.
Communicate clearly and consistently. Transparency and targeted training must be priorities.
Display integrity when making decisions and enforcing rules.
Foodservice and hospitality industry professionals are on the front lines, sacrificing their own health and safety—and that of the people inside their bubble—to keep the industry afloat. Ownership and management need to protect them.
Significant, Permanent Restaurant Closures Expected to Rock Canada Unless Situation Improves
by David Klemt
Industry surveys continue to reveal how dire the situation is for operators.
On December 8, Restaurants Canada, a non-profit that represents and advocates for the Great White North’s restaurant industry, shared the results of a survey they had conducted between November 26 and December 4. A total of 511 surveys representing 3,000 restaurants were completed.
According to Restaurants Canada, the nation’s foodservice industry consists of 97,500 establishments ranging from QSRs to bars and full-service venues.
More than eight out of ten survey respondents answered that they are either barely staying afloat or are operating at a loss. Drilling deeper, significantly more restaurants are operating at a loss—65 percent of survey respondents fall into this category. Just 19 percent of restaurants represented by survey respondents are able to break even.
That’s 2,400 restaurants of 3,000 struggling to survive, and 78,000 restaurants out of 97,500, assuming the survey sample size accurately represents the overall industry in Canada.
To understand the long-term effects of government-mandated restrictions and shutdowns, one has only to digest another startling statistic: Restaurants operating in the red aren’t expecting to return to profitability for a minimum of 12 months.
Under optimal conditions, the average Canadian restaurant operates on razor-thin margins. Per Restaurants Canada, restaurants keep just five percent of every $10 in sales on average, or 50 cents. The industry is Canada’s fourth-largest employer (it’s number five in the United States, for comparison), accounting for 1.2 million jobs, 58 percent of which are held by women. Over thirty percent of owners, operators and staff belong to a visible minority, further illustrating how important restaurants are to diversity and the economy; half of all restaurants in Canada are operated by immigrants. Just like in the America, restaurants are the first employer for most Canadians.
The industry is crucial to Canada, but this vital resource is under serious threat. One of those threats comes from lawmakers whose restrictions are making it much more difficult for operators to wring any profits out already miniscule margins. Much like the situation afflicting the industry in the United States, the situation is going to get worse in short order without government relief.
Restrictions are simply nails in coffins unless they’re accompanied by relief.
“Our members are seeking a new year’s resolution from government, not only to support their survival but our industry’s vital role building back a stronger, more resilient Canada,” said Todd Barclay, president and CEO of Restaurants Canada. “Restaurants Canada is calling for a national working group to pave the way for the foodservice sector’s revival, building on the commitment in the federal government’s 2020 Fall Economic Statement to provide targeted, sector-specific support to restaurants and other hardest hit businesses.”
That national working group, according to Restaurants Canada, should focus on providing businesses being affected by government-mandated restrictions with “sufficient, efficient and effective aid”; developing campaigns that make it clear to Canadians that restaurants are capable of safely and reliably providing safe meals; promoting delivery and takeout as a viable way for the public to support restaurants; connecting with operators to understand the industry’s needs and pain points to ensure they’re in as strong a position as possible when entering the post-pandemic economy.
The next six months are crucial to the survival of Canadian restaurants. If things don’t improve, should the government not address the industry’s situation and provide relief, 48 percent of single-unit operators surveyed by Restaurants Canada indicated they expect to close within six months. That number jumps to 56 percent for multi-unit operators, who expect to close at least one of their locations (also within six months).
Restaurants Canada is asking for anyone who supports the formation of a dedicated national working group to contact their Member of Parliament via this link.
How to Address Temporary Restaurant and Bar Closures: 5 Social Media Examples
by David Klemt – 12/1/2020
Repeated restaurant and bar closures have, tragically, become a hallmark of 2020.
Operators have had to learn how to communicate closures to potential indoor guests, as well as delivery and takeout guests.
For most operators, the possibility of closing their doors—temporarily or otherwise—has moved well past “if” territory. At this point, it’s not even a question of when a restaurant or bar will have to close, it’s a matter of when it will happen again.
There are a few reasons a F&B business will have to close due to the Covid-19 outbreak: official mandate, reduced indoor and outdoor dining capacities, and voluntary temporary closures.
Mandated closures are, on the surface, straightforward. Government officials decree that certain types of businesses must close their doors by a specific date and time, and owners are expected to comply.
Closures induced by capacity restrictions are less straightforward. It has become woefully apparent that most lawmakers don’t understand (or don’t care) that at a certain threshold, reducing indoor and outdoor dining capacities is as good as forcing a restaurant or bar to close; the value proposition of remaining open simply isn’t there.
A voluntary temporary closure can come about because of capacity limitations, but they can also be the result of other factors. A significant workforce reduction, lack of traffic, rising costs of goods, or an internal Covid infection.
The stark reality is that the likelihood today’s operators are going to have to craft social media posts and emails announcing temporary (and possibly extended) closures is anything but slim.
Below are four examples of effective closure announcements that bars across America have posted to Instagram recently.
Machine, an upscale cocktail bar and restaurant in Chicago, made the difficult decision to close their doors to in-person dining guests throughout the remainder of 2020. The post addressed the reason for the decision but made it clear that Machine would continue to operate for delivery and curbside pickup orders placed online. Community health and safety was held up as a priority, and though the news was disappointing and no doubt difficult to break, Machine’s post was positive.
Award-winning Chicago cocktail bar Lazy Bird, located in the basement of the Hoxton hotel, was forced to close due to indoor dining restrictions. The post image was short and to the point, with the caption explaining in detail why the bar was closing temporarily. Lazy Bird is part of the Boka Restaurant Group and their post included a call to action for people to support venues within the portfolio that would still be able to offer outdoor dining, delivery and takeout.
Three days ago, award-winning restaurant Compère Lapin announced a temporary closure due to a team member being exposed to Covid-19. Like the Machine post, Compère Lapin’s message explained their decision was based on safety. Similar to Lazy Bird, the restaurant urged guests to visit James Beard Award winner Chef Nina Compton’s other restaurant, Bywater American Bistro (BABs).
In Woburn, Massachusetts, just ten miles northwest of Boston, the Baldwin Bar alerted guests to their temporary closure because a staff member tested positive for Covid-19. The message, like that of Machine’s, was transparent, straightforward, reassuring, and positive overall. Not only did the Baldwin Bar share that the venue was undergoing a deep clean, they named the company tasked with providing the service.
The Baldwin Bar, thankfully, got to post the following message a little more than a day after posting their closure announcement:
Operators who find themselves in the terrible and frightening position of having to announce a temporary closure would do well to follow the examples above. While hope isn’t a viable business strategy, a hopeful tone can help garner support from the community.
Equally important are an emphasis on health, safety and cleanliness so guests feel comfortable placing orders for delivery and takeout, and returning when the doors open once again. As difficult as it may be when faced with closure, focusing on the well-being of the guests can help ensure there are guests lined up upon reopening.
Once your idea has been researched and the market, location, technical, business, and financial viability of the idea has passed a series of reviews throughout a feasibility study, a concept development plan can then be started.
Remember, outside of being scalable, you want to build a concept that is sustainable, profitable, memorable, and consistent.
Bar concepts over the years have gone from being tame (or lame) or overplayed, like tiki bars or sports bars, to concepts that push the boundaries of what a bar can be. One of the best ways to build a customer base is to go off the beaten path to create a bold and fresh new bar concept.
A concept plan will focus on ‘chapters’ and visual storyboards that include an overall:
Concept Summary (a one page summarization similar to that of an Executive Summary)
Owning a bar is a dream for most that must be met with the right research, planning, and mind-set.
One’s market will, and must, define the concept. To be successful, you must be open to building a venue the market both wants and needs.
Concept development is giving your ‘idea’, both soul and character. A bar’s concept is the lifeline of its brand and longevity in the market. It makes your venue stand apart from the competition, and it’s ultimately your bar’s unique selling proposition.
Have you ever walked into a bar and been confused about its identity? The interior doesn’t match the beverage offerings, the social media experience doesn’t reflect the actual experience, and even the music doesn’t seem to match the vibe of the bar.
This is what happens when there isn’t a clear and detailed concept development plan in place, and it is a sure fire way to be just average at best.
It’s More Than Just a Drink
Most conceptual ideas start at the food & beverage level. A bar however, needs to remember that they don’t just sell food & beverage; they sell experiences through the enhancement of guest emotions.
When planning a concept, it’s imperative to have a focus on the style of menu and niche of entertainment – but a winning concept will elevate a guest’s variety of senses. Here’s how:
Visual: Use the mindset of a traditional bar meeting on-trend beverage effects. Consider the style of beverage vessels, the use of unique ice cubes or even dry ice, the garnishes used, and potentially a variety of ‘smoking’ techniques within a variety of your signature cocktails, providing a visual effect that grabs every guest’s attention.
Plus, it will be hard to find a guest who is not taking a photo and sharing it on social media – an easy promotional tool to make each of their individual networks feel as if they’re missing out (FOMO) on the best experience in town.
Auditory: Music, drinks, and food share an intimate connection. From the beginning, this should be a focus. Every day, every weeknight, and every weekend must be filled with strategic decisions around sound.
From your day-part strategies, to the sound of cocktail shakers, to live music calendars and even proper speaker placement – your venue must see why 76 percent of bar customers surveyed believe they stay longer due to the sound of the environment.
Olfactory (smell) System: Like sound, a pleasant and subtle fragrance can lead to an improved perceived quality of the environment and can enhance the mood of guests, causing them to stay longer. Our sense of smell is after all, directly linked to the part of the brain responsible for memory and emotion – two things bars need to strive for.
For example; consider a Smoked Cedar Plank Whiskey around the Christmas season. The scent of the smoked cedar will fill the bar area with a subtle Christmas tree aroma, prompting the guests attention and need to spend more money.
Gustatory (taste) System: Food & beverage pairings have never been more important, and it isn’t just for wine. Consider appetizers (snacks) within your food & beverage program that pair with miniature versions of your signature beverages (beers, wines, and even cocktails) that could be served on flight boards; elevating all flavor profiles.
Your remaining food & beverage menu should be small, balanced, and targeted around flavor profiles that your ideal guests desire.
Summary; When you combine these efforts, it’s easy to see how a successful brand can build a community around thousands of fans – within 30 days of opening.
This is something you can easily replicate if you focus your decisions on layout, design, food, beverage, training, and events around the above sensories.
We Have a Problem – There’s No Team Spirit in Many Bars
Within the industry, we always talk about ‘experiences’ – and rightfully so. At the end of the day, experiences are what bars and restaurants sell to customers. All of the emphasis however, is on customer or guest experiences; but what about staff experiences?
Do your staff show up, do their job, and go home? Is there any sense of ‘family’ in your establishment? Is there laughter, or just silence, or even worse…complaining?
Time to Hit the Reset Button!
Desirable experiences shouldn’t stop with just your customers – your team craves experiences too! As owners, operators, and managers, it is up to you to make your concept more than just a ‘job’ or way for staff to ‘pay their bills’.
Implementing the right culture statement and team-based strategy, will assist in controlling your labor costs and reduce turnover – resulting in not only stronger consistency within your operations, but a positive environment that will flow to your customers and help amplify word-of-mouth marketing.
Here are some #BarHacks to help you get started:
Web Presence & Social Media
Bar enthusiasts are seeking to learn and understand the culture of a bar when deciding on their eating, drinking, patio, or party destination.
This is a great opportunity to showcase your team on your social media channels and on your website. Create a bio for your staff noting something unique about them, take a photo (or better yet, a video) of them and share this content to your ‘community’.
This will equally make your staff feel like they’re a part of a team and the business development process.
Create That Stay Interview
Many of you have likely heard the term ‘exit interview’, but what about a ‘stay interview’? Take video to the next level by interviewing your staff and developing a series of testimonials as to why they love working for your bar.
This tactic will create a sense of place and family among your team and also assist in your hiring process; positioning you to attain higher quality candidates who seek a positive working environment.
Continuous Education
A great team member is one who craves learning and one who brings the same set of values as you do to the table. Keep in mind …
“A bar is only as good as its worst bartender”
Every bartender must be of the same quality at your bar. If not, guests may become a fan of one bartender (and not the bar itself) – leading them to follow the bartender if he/she were to leave for another bar.
Take the time to invest in further training and education for your entire team.
Depending on your overall bar concept and financial model, consider developing an educational program for your team.
Think outside the box and create culinary/hospitality scholarships and/or consider sending your team to farms, breweries, wineries etc. to learn about specific products you offer and their development processes.
Continuous education will create a sense of appreciation, enticing your team to stay loyal to your establishment while benefiting not only their experience, but your customers’ experience as well.
Profit Sharing Programs
It’s safe to say, everyone enjoys working towards a common goal. Consider creating a realistic monthly revenue goal (slightly above your current average) for your bar. Now share this goal with your staff and create a SMART plan for the month on how to collectively obtain that goal.
If you surpassed that goal (congratulations), distribute a percentage (5% for example) of the monetary difference among your team.
Repeating this process each month will not only increase your revenue and profit, but will develop a team working environment, reduce turnover, and make your team feel important to the business and its success.
SMART Staff Reviews
Speaking of goals, there should be team oriented goals (profit sharing) and also personal goals developed within an overall action plan.
You should sit down with each individual teammate at least once every three months.
During this meeting and using SMART (Specific. Measureable. Attainable. Realistic. Timely) objectives, give each teammate something to work on over the next three months.
This could be increasing revenue per transaction averages, providing accurate inventory counts, reducing waste levels, or having accurate end-of-day cash out reports.
Of course, reaching objectives should be rewarded; therefore create a reward program that works for your concept and financial model.
Creative Mindset
Don’t let your staff get complacent behind the bar by having the same menu month-after-month and year-after-year.
This will lead to boredom, which will eventually lead to turnover. Allow your team to be creative by ‘creating’ food or beverage options that fit within the confines of your concept.
Consider holding an in-house contest each month to choose one featured food and one featured beverage option created by a staff member.
Highlight this on your social media and in-house marketing (effectively creating a story) while rewarding that individual with a commission on sales from that item for the remainder of the month.
If the product sells really well, consider adding that item to your everyday menu the next time you re-engineer your food & beverage menu.
In summary, execute a marketing plan approach to your staff recruitment and staff development program.
The time, resources, and effort spent on this will be well worth it in the long-run.
Let’s be honest, the traditional bar setting serving cocktails is an environmental nightmare.
Let’s think about it; there is high use of energy within ice machines, refrigeration, and glass cleaning appliances. There is enormous waste in garnishes, straws, bottles, and napkins (to name a few). And finally, there are corporate wineries, distilleries, and breweries producing a large carbon footprint delivering spirits to the bar.
When it comes to bars; (or any other food & beverage service provider) the producers, manufacturers, delivery drivers, owners, managers, and servers ultimately share the responsibility to create an enjoyable guest experience within ones concept. As we have seen with restaurant kitchens over the past 3-5 years, there is now also a ‘movement’ towards eco-friendly and sustainable bars, something many guests are seeking as part of their desired experience.
On the surface, it may sound like an easy change, but creating cocktails in particular that are ‘sustainable’ (zero waste), is in-fact difficult to produce while maintaining the required quality, speed, and profit margins both operators and guests, look for.
So how can independent bars make a simple impact within this craft-cocktail ‘movement’? Let’s begin to have a look at some strategies (#barhacks) that one can implement starting today:
Re-Purposed Ingredients – How can you use 100% of an ingredient? Start by looking at the beverage menu. How large is it? Does it have focus? What ingredients are used in each and every drink that’s made? Which ones are used for infused flavour versus visual appeal? Which ingredients are only partially used with the remaining components discarded into compost, for example fruit scraps? Review each drink and look for ways to re-purpose ingredients and their counter-parts, within both the bar and/or kitchen.
Edible Garnishes – Obviously, cocktail garnishes are decorative ‘ornaments’ that often add character or style to a cocktail. They are often used to complement and enhance the flavours in a drink by stimulating the special nerve cells in our nose and mouth. The days of plastic straws, festive umbrellas, plastic skewers, and other non-edibles however, need to stop. Instead, use fresh fruits, flavour infused salts, edible stir sticks, edible flowers, house-made flavor-infused lollipops on candy sticks (yes), and steel skewers for olives and other edible garnishes, if so desired.
Energy Conservation – Take a close look at your glassware and how it is washed. Are you using over-sized glasses (ie. martini glasses) that are taking up too much space on the wash-rack, leading to unnecessary additional washes (which costs money and uses more detergents)? How many glasses could you fit if you changed glassware sizes?
How much ice are you using in each drink? Does the beverage really need ice or could the glass be simply pre-chilled? Take a look at your menu, glassware, fridge space, freezer space, and use of ice machine. Is there a way to reduce used energy within the bar itself to help create sustainable cocktails?
Supply Chain Management – Transparency, traceability, and accountability must be a top concern when deciding on vendors to ensure all products (both food and beverage) entering your bar or other food service business, are not only safe & sustainable for your customers, but for your community. Work with beer, wine, and spirit makers who are equally trying to make a difference. With the growth of local distilleries, breweries, wineries, and produce suppliers; supporting local and reducing the carbon footprint within a bar, is so much easier! Collaborate and work together to make a difference.
In summary, don’t start a goal of 100% zero waste or sustainability – it’s likely not going to happen overnight. Instead, set SMART realistic goals to reduce waste by 15 or 30% over the next 6 to 12 months to begin building a sustainable cocktail and/or bar venue. Once that goal is obtained – double down on that goal for the next 6 to 12 months. You and your customers will notice a positive difference!
Should restaurants ditch third party delivery apps and create their own in-house off-premise strategy? I recently took part in a few online conversations surrounding third party delivery apps – from both the consumer and the restaurant operator point-of-view.
If you follow along – I am not a fan of these services (at all). I’ve never used them nor suggested a brand to use them.
While I embrace technology in the restaurant space (and off-premise dining options) – I feel the business model surrounding these apps (in particular UberEats and Skip the Dishes during these most recent discussions) are lacking in both customer service and transparency while further killing overall restaurant profits (like operators today need anymore of that).
Let’s look at a recent transaction. I recently saw a screenshot from a consumer using a third party delivery application. After a delivery fee, a busy area fee, a peak delivery time fee, and the delivery fee taxes, a meal that was listed as $8.89 on the menu ended up costing them $30.36.
Of that, the restaurant earned a mediocre $6.67 of that order.
It’s not exactly a traditional breakdown of revenue that we see in restaurants, and operators today are struggling to adapt to this ever-changing restaurant landscape. I feel it came at them much too fast and many have jumped on board because they felt they had to.
But I have a question – why are we not doing a better job to get guests to spend that $30.36 they were willing to spend – in the restaurant or at least through our own off-premise dining program?
With a little effort – it can happen!
Here is what we know. Delivery and off-premise dining has disrupted the restaurant industry more in the last five years than anything else. Digital ordering paired with the outsourcing of delivery has impacted restaurant traffic, revenue, profit and overall restaurant operations like no other piece of industry-wide technology.
Based on the conversations this past weekend it seemed liked the only party benefiting from the use of these apps – was the third party. However, if you ask them, they’re apparently not making ‘huge profits’ either.
Here are a few notable quotes from the public chat that took place on Facebook – again from both consumer & operators:
“I’ve deleted the app – every time I’ve ordered, something goes wrong and a lot of times it’s the drivers fault not paying attention” – Consumer
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“If you’re doing takeout, pick it up from your local business. Other than that you’re rolling the dice” – Operator
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“Their chat-bot told me ‘we are deeply disappointed that we have failed to provide you with optimum service during your orders and for this reason we have decided that it is best to remove ourselves from this relationship’” – Consumer
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“Best thing to do is get out and support your local restaurants, leave these rip off merchants congeal back in the gutter where they belong” – Operator
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“I had no idea these apps take such a percentage from the restaurant on top of the delivery fee. I will no longer order through an app. I thought I was supporting my favorite restaurant, but apparently I wasn’t” – Consumer
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Not much of anything positive.
Here’s the thing; recent stats are showing staggering numbers such as 60% of consumers ordering delivery in the past 30 days. Based on trend reports, this is ‘unfortunately’ only going to climb – even though I personally wish more people would visit restaurants, engage in the experience, get out of their home, and socialize with others away from their smart-phone.
But out of those that do order delivery through these third parties, 30% are experiencing poor customer experiences – with either the app or the restaurant – or both.
That is significantly higher than the number of complaints one would receive at the restaurant level without a third party being involved.
Here’s the next problem; according to a study by Steritech, consumers are placing over 80% of the problems on the restaurant through the use of these apps (even if most problems are not their fault).
Due to the third party app, a gap in communication immediately happens between the consumer and the restaurant. This leads to the restaurant not being able to often resolve the problem in a timely manner before that consumer blasts them for something on social media.
Not a pleasant situation.
This is because they’re sending their complaints directly to the third party app (the platform that ultimately placed the order for them) – which I suppose makes sense from a consumer point-of-view. This however leads to over 25% saying they would not order from the restaurant ever again – not entirely fair considering the restaurant may never have even known about this unhappy experience.
Furthermore:
14% say food quality was not as expected (likely due to travel time or packaging)
19% say the order took too long
19% say the food wasn’t the correct temperature when it arrived (timing or packaging issue)
29% say the order was incorrect or missing something
All of this could be avoided! When partnering with these mainstream third party apps – you’re also:
Losing a direct communication channel
Losing positive brand perception
Losing much needed profits to sustain yourself
Losing consumer data for future marketing
Losing foot traffic in your dine-in real estate
Most importantly – you’re losing control once that food leaves your four walls.
Why on earth are we doing this to ourselves for such limited margins?
If you are operating a restaurant and are currently using these apps – though you will never have full control of the situation, there are a number of options available to you to leverage more control.
That said I encourage you to consider your own in-house off-premise program. These options below should be considered whether you’re partnering with a third party or if you’re offering your own in-house platform:
Offering a limited delivery only menu option with higher margins (consumers are obviously willing to spend more)
Offering limited day-part delivery times (example; not at 6pm on a Saturday when the kitchen is slammed)
Using specialized take-out packaging for certain menu items to protect the quality of your unique food options
Using tamper-proof packaging so delivery drivers cannot alter the order (happens often)
Having a quality control program (or expeditor) reviewing meals before it leaves the restaurant
Sending printed customer care promises (how to reach the restaurant directly) delivered with the meal
There are much better options out there for digital take-out, delivery, catering, and off-premise dining that will allow you to keep control of all of the above while maximizing profits including the introduction of your own off-premise strategy – which will often keep costs to under 10% – no joke!
Then, use these ‘savings’ to increase your own marketing & advertising efforts. It surely won’t be 25-30% like what these third party delivery apps are currently taking from independent operators (which you were willing to give up anyway); keeping more money in your pocket.
This type of in-house strategy will also differentiate your brand from the competition that is also increasing each day on these main-stream app platforms.
How will you stand out and make your brand memorable? How will you position your brand for a sustainable future? How will you protect your brand, its profits, and utilize the available customer data?
Don’t partner with them just because it seems like the easy thing to do or ‘because everyone is using them.’
The notion that you must be on them to survive is 100% inaccurate. If you need to use them for ‘marketing’ – you need to learn more about marketing.
Take a stand and learn about your options first.
I am yet to hear a positive story on how these main-stream third party delivery apps have actually helped their business grow in the long-term. In my professional opinion, restaurants should ditch third party delivery apps.
Originally Posted on FoodableTV – By Doug Radkey 08/08/2018
With technology continuously advancing in the restaurant industry, it can be easy to get absorbed and caught up in the next big thing. Technology platforms can help you save time, financial resources, and improve ‘customer service’ levels, just to name a few.
But sometimes when you get so caught up in technology, you can forget some of the fundamentals that will never be replaced by technology, but still play a large role in the success of today’s restaurants.
The key is the right balance of technology that will assist you in meeting both short-term and long-term goals.
This article is not about how to not use technology (it’s a great asset,) but don’t let it fail you, your staff, or your customers. Let’s strip back the technology for a moment and remind ourselves as an owner, operator, manager, or front-line employee – some of the tactics that we must never forget or stop learning.
First Impressions
Curb appeal and first impressions must meet and exceed your guests’ expectations. When stripping back technology, restaurateurs must understand that first impressions are essentially a means of effective communication that positions a restaurant to develop positive customer emotions and “touch points.”
As always, one must thoroughly think about the consistent message and experience that’s intended to be delivered.
Key Performance Indicators
Technology provides an operator with a great amount of data, but restaurateurs still need to learn and understand this data and know how to use it to their advantage. Understanding key performance indicators such as staff turnover percentages, prime costs, percentage of repeat guests, and proper menu engineering statistics (to name a few) – are all essential to making the right business decisions that will eventually impact your bottom line.
Concept Characteristics
Outside of having the right location, the right concept, and the right chef or mixologist – a restaurant needs to inherit five key concept characteristics that technology cannot simply implement on its own.
Restaurateurs need to develop scalability, sustainability, profitability, and consistency – while providing a memorable experience. Finding a successful, individual approach for managing each of these characteristics is the key to success in any economic situation. All five of these characteristics are important and must work in unison to be successful.
The 3 Elements of Marketing
In terms of restaurant & bar marketing, it comes down to three things– driving awareness, increasing revenue per customer, and generating repeat business.
Technology can help execute marketing strategies, but operators still need to know their target market and their hyper-local competition to understand which strategies will drive the best return on investment.
An ‘old school’ approach to developing a marketing plan will still deliver success in today’s technology driven world.
Continuous Education
It doesn’t matter which role one plays in the restaurant, everyone must continue to learn. Owners, managers, and front-line staff should have the mindset and a personal development plan in place to continuously learn the industry. It’s important to stay up to date with customer service strategies, product details (visiting suppliers), and how the supply chain works within the restaurant. In addition; reading books and listening to podcasts for example are a great learning tool everyone can take part in.
Customer Service
It’s no secret, we’re all witnessing a shift in how technology affects customer service and ordering sequences.
As the technology continues to evolve, restaurateurs must not forget that engaging guests on a personal level will always build on those positive customer emotions. These “touch points” are required to make not only a positive first impression, but a lasting memorable impression.
This is especially important if you’re considering adding third party delivery to your revenue & service mix. How will you protect your brand and enhance customer service after the food has left your venue and is in the hands of their delivery drivers?
Make sure there is a plan in place that engages customers on a personal level.
Focus on Systems
Having the correct systems in place will create consistency, develop operating capital, enhance team morale, and build business value– while also positioning a restaurant’s concept for future growth opportunities (being scalable & sustainable).
This includes proper communication between front-of-house and back-of-house, day-to-day checklists, quality control methods, and human resource management, among others.
Again, there is technology that can assist operators with their systems, but they can’t develop the process of implementing the right systems for specific concepts. That is up to you to know which ones are needed to maximize each moment of the day.
Collaboration
Lastly, a sense of community is a driving force in this industry. We can build online communities (social followings,) but the best way to develop a sense of community is through collaborating with local farms, breweries, chefs, charities, and even the competition. Understanding this fundamental strategy will amplify your messaging throughout the community, improve a restaurants perception, increase staff morale, and generate revenue opportunities– while developing a destination, not just a restaurant.
Sometimes it is nice to just step back and review the bigger picture and remind ourselves not only why we’re in the restaurant business, but to revisit the basic fundamentals for restaurant success.
Once that is truly understood and the proper ground work is in place, technology can be implemented to enhance and support operations to save time, financial resources, and improve those needed ‘customer service’ levels.
