Restaurant Operations

by David Klemt David Klemt No Comments

How SevenRooms Improves Operations

How SevenRooms Improves Operations

by David Klemt

Reviewing and analyzing customer data on a laptop computer

It’s true that SevenRooms is a reservation management platform. However, it’s so much more powerful than that.

Simply put, if the platform wasn’t simple to use and integrate with other systems, they wouldn’t be celebrating their tenth year.

A recent interview via Clubhouse highlights why now, more than ever, operators need to seriously consider SevenRooms.

Background

Guy Clarke, founder of Sizzle Dining, spoke with two key SevenRooms team members in a casual but informative Clubhouse chat.

Allison Page, SevenRooms co-founder and Chief Product Officer, and Marybeth Sheppard, senior vice president of marketing, fielded Clarke’s questions.

Interestingly, Page admits SevenRooms took five to seven years to really fine-tune operations. In fact, she says that the team didn’t quite know exactly what they were offering for the first year or two.

Now, the “reservation” platform has truly hit their stride. The company doesn’t just manage reservations, it provides powerful solutions: a full suite of operational tools; table management; and guest experience and retention capabilities.

Of course, many tech platforms claim to help operators. However, SevenRooms is now enjoying a decade in business.

Their longevity is, in part, due to their approach to hospitality. As Page tells it, the founders didn’t just enter the industry believing they could “fix it” with tech.

Plenty of tech folks have identified problems in hospitality, boasted about their “common sense” solution, and exited after finding out how challenging the business is.

Instead, the SevenRooms team spent time in the trenches. According to Page, they took reservations, checked coats, and more. They spent time with hospitality workers after hours and got to know them.

What’s with that Name?

I’ve written several articles about SevenRooms. However, I’ve never addressed why the founders chose that name.

When asked by Clarke during the Clubhouse chat, Page provided the answer.

Turns out, the name is a loose nod to Graydon Carter’s “Seven Rooms Theory.” The theory speaks to navigating social status in New York City. In short, it posits that the NYC social scene consists of seven consecutive “rooms,” each with a secret door. Find the secret door, move to the next room.

Of course, SevenRooms isn’t about exclusivity. Instead, SevenRooms is helping operators reach the seventh “room,” which is a lasting relationship with a guest. The six previous rooms are a journey toward understanding that guest and making them loyal by delivering incredible guest experiences.

Why SevenRooms Works

If this seems like a shameless plug for SevenRooms, well, it sort of is. They didn’t pay me, Doug or KRG Hospitality to promote the platform; we just like what SevenRooms can do for operators.

In an industry that has until recently been slow to innovate when it comes to tech, the platform has been improving restaurant and hotel operations for years.

According to Page, SevenRooms has a simple operating philosophy that drives the company: “Make small big, make big small.” SevenRooms is driven to help small, independent operations punch well above their weight class. The platform gives independent operators the same capabilities as their large chain counterparts.

Conversely, SevenRooms gives enterprise operators an effective way to deliver the engaging experiences that independents offer their guests.

However, there are other reasons SevenRooms is so worthy of consideration: simplicity.

SevenRooms is all about collecting data. Of course, data does no good if an operator doesn’t know what to do with it. If they had to analyze and leverage it on their own, they’d need to employ data scientists and an entire marketing team.

Well, SevenRooms employs those people instead so operators don’t need to. An operator doesn’t need to be a data scientist to use the information they collect through the platform. Marketing campaigns are automated and engaging, and require little effort from the end user.

Reduce Costs, Increase Revenue

As Sheppard explains, SevenRooms manages and, more importantly, helps maximize a restaurant’s floor.

Looking to increase turns? Done. Want every seat to generate revenue? Smart seating makes that possible. According to Sheppard, SevenRooms’ auto-assign seating functionality is worthy of operators’ trust. Additionally, the platform’s CRM, table management and marketing tools help staff upsell guests.

Speaking of automated functions, Sheppard provides insight into SevenRooms auto-tagging. The platform assigns automated tags that make it simple for staff to understand the guests they’re serving. Some examples are:

  • Burger lover
  • Red wine lover
  • Big tipper
  • Loves expensive wine
  • No-showed twice

Just those five examples show how SevenRooms helps operators and their teams maximize the guest experience to generate revenue. So, how does the platform reduce costs?

First, investing in SevenRooms reduces an operator’s overall tech stack investment. It integrates with around 50 POS systems and offers several tools (modules), meaning an operator doesn’t need to purchase several platforms that may not integrate with one another.

Second, the reservation and table management tools streamline an operator’s business. When team members are focusing on revenue-generating tasks, the floor is being sat more efficiently, and guests are being wowed, costs are driven down and revenue is driven up.

Then, there’s the “hidden” benefit. As Sheppard says, hospitality is a passion-driven industry. Unfortunately, there are many “non-passion” tasks that must be accomplished for operators to make money and keep their doors open.

Those tasks can take a toll, leading to an operator to fall out of love with the industry and their own concept. Well, SevenRooms takes several of those tasks (sifting through data, creating marketing campaigns, figuring out how to maximize the floor, etc.) and automates them.

Therefore, operators have more time to program menus, mentor team members, forge relationships with guests by touching tables, and more.

To request a SevenRooms demo, click here.

Image: John Schnobrich on Unsplash

by David Klemt David Klemt No Comments

4 Tips for Recruiting and Retention

4 Tips for Recruiting and Retention

by David Klemt

Server walking through restaurant carrying tray

Operators seeking to survive and thrive despite the Great Resignation can give themselves an edge with these four concepts.

Attract New Talent

KRG Hospitality president Doug Radkey doesn’t find the struggle to fill restaurant, bar and hotel positions all that shocking.

Why? Because too many operators post generic, cookie-cutter job listings. Doing what everyone else is doing has never been advisable for those looking to stand out.

Instead, Doug suggests a more unique approach to job ads, an approach that helps operators stand above the competition.

Step one is avoiding banal listing language:

  • “Are you friendly, energetic, and highly motivated?”
  • “Are you an experienced and enthusiastic [insert position]?”
  • “The ideal candidate must work well in a fast-paced environment and be a team player.”
  • List of basic job tasks.

Instead, Doug suggests the following:

  • Hire for values rather than experience. Training addresses systems and standards, not personality and drive.
  • Operators should be transparent about their core values, company culture, and potential for growth.
  • Showcase the approach to inclusivity, diversity, acceptance, and flexibility. That is, if that’s authentic. If not, that’s a flashing, neon red flag that requires addressing.
  • Offer a living wage, benefits, potential for personal growth, and education.
  • Produce a video of team members sharing why they work at the company. This must be genuine and honest.

Demand creates competition. Innovation beats the competition.

Actually Onboard New Hires

So, an operator adjusts their approach to filling open positions. They recruit and hire promising employees.

Sadly, it’s common for new hires in hospitality and foodservice to leave in just a few months. Rather than accept this as the norm, operators have a tool at their disposal for improving employee retention: Onboarding.

Too many operators think the next step after hiring someone is providing a start date, showing them the front- and back-of-house, and hoping things will work out.

Well, hope isn’t a strategy.

The next step after hiring someone is onboarding and should include the following:

  • Complete all pertinent paperwork and setting up access to systems. If applicable, set up direct deposit.
  • Provide new hire with detailed employee handbook. If there isn’t one yet, that must be addressed.
  • Share the story of the business (history, area, etc.) and workplace culture.
  • Outline expectations: Policies, rules and responsibilities.
  • Explain benefits, such as health insurance and mentorship opportunities.
  • Provide training and assign shadowing.
  • Deliver feedback on trained tasks.

The above list obviously has room for more onboarding tasks. Operators should create a physical onboarding checklist. Also, they should require the person or people tasked with onboarding to complete and sign off the checklist (even if that person is the operator).

Nail recruiting, hiring and onboarding and word will get out. The result? Hiring gets easier and turnover decreases.

Focus on Workplace Culture

Doug addressed workplace culture and the labor shortage on Bar Hacks bonus episode number 16.

Simply put, operators need to take an honest look at their culture.

Is it inclusive and accepting? Transparent and nurturing? Do employees feel comfortable bringing up workplace issues? (More on that last one below.)

Hospitality is fast-paced and demanding—owners and managers shouldn’t add to the stress.

Why would anyone want to work in for someone who isn’t going to treat them and their coworkers with respect, mentor them and nurture their career, and value their input?

It’s every operator’s responsibility to be good stewards of hospitality professionals’ passion for this industry. We do them a disservice when we turn a blind eye to an unhealthy workplace culture that has taken hold, crushing their love of his business and driving them away.

Value Employee Feedback

Yes, guest feedback is valuable. However, so is feedback from employees.

It’s important for operators to remember not to focus solely on guests.

True, a business isn’t a business without customers. Equally true: It’s not a business without employees.

So, operators should foster a work environment in which employees feel comfortable sharing honest feedback. This is, of course, where culture comes into play.

If employees don’t feel safe sharing their opinions and suggestions, operators won’t truly know what it’s like to work for them. Without that feedback, employee turnover will skyrocket, recruiting and hiring will be an endless struggle, and the guest experience will suffer.

We all know what happens if guests pick up on an uncomfortable restaurant, bar or hotel environment: They don’t return.

Operators can’t expect their businesses to thrive (or just survive) if they focus solely on guests.

Putting these concepts to work can help operators succeed despite the Great Resignation of 2021.

Image: Shangyou Shi on Unsplash

by David Klemt David Klemt No Comments

How About Some Cheese with that Scotch?

How About Some Cheese with that Scotch?

by David Klemt

Cheese plate with Brie, Parmesan, Pepperjack and white Cheddar cheeses

On Tuesday, July 27, America celebrates National Scotch Day.

Of course, we could round up an array of tempting bottles. However, we’re going in a different direction for this spirited holiday.

Instead of a roundup, we’re sharing cheese and Scotch pairings sure to pique the interest of your guests.

As our Bar Hacks Podcast listeners we know, we love a bonus. So, you’ll also find wine pairings below. You can use those on Sunday, July 25, National Wine & Cheese Day.

So, please share two of our favorite things, interesting food and beverage pairings and bonuses. Cheers!

Lighter Expressions

Scotches with lighter, mellower profiles and sweet, fruit or citrus flavors require pairings that won’t overpower them. Of course, being lighter doesn’t make them any less complex or mean they lack in sophistication.

Comté (French, cow’s milk)

Versions of Comté that have some age on them (18 or 24 months) are known for salty, earthy and creamy notes. Generally speaking, quality Comté is also known for hazelnut and buttery aromas and flavors. These pair well with Scotches with fruit and vanilla on the palate, like those aged in ex-bourbon barrels. (Wine pairings: Bordeaux, Champagne, Chardonnay, Pinot Noir)

Gruyère (Swiss, cow’s milk)

So, you want to pair a Scotch that was aged in ex-Sherry casks with the perfect cheese. You want to offer a Gruyère here, as the nutty, garlicky and oniony notes of some versions will enhance—not overpower—the fruity, mellow notes and smoothness of the Scotch. Interestingly, some Gruyères resemble Comté. (Wine pairings: Cabernet Sauvignon, Chianti, Malbec, Syrah)

Manchego (Spanish, sheep’s milk)

The richness of Manchego stands up to Scotches with citrus, vanilla, spice, and honey notes. Look for curado (aged three to six months) and viejo (aged 12 to 24 months) for the best aromas and flavors. (Wine pairings: Cava, Merlot, Rioja, Tempranillo)

Brie (French, cow’s milk)

This variety of cheese tends toward the subtle, with nutty notes. Brie plays well with Scotches that have fruity and sweet notes. (Wine pairings: Chardonnay, Pinot Noir, Riesling, Sauvignon Blanc)

Parmesan (Italian, cow’s milk)

Speaking of nutty flavors, Parmesan pairs well with lighter Scotches that have bright citrus notes or earthier profiles. (Wine pairings: Lambrusco, Gewürztraminer, Pinot Grigio, Prosecco)

Camembert (French, cow’s milk)

Another great selection for lighter Scotches. Camembert features sweet, floral notes that don’t overpower Scotches that also have sweet flavors. (Wine pairings: Champagne, Chenin Blanc, Riesling, Sauvignon Blanc)

Feta (Greek, French, sheep’s milk, goat’s milk)

Interestingly, Feta has seen quite a rise in popularity with home chefs during the pandemic. So, give guests what they want and may have been cooking with themselves. Feta’s tanginess enhances the sweetness and fruitiness of lighter Scotches. (Wine pairings: Albariño, Champagne, Lambrusco, Riesling)

Heavier Expressions

Big, bold, full-bodied. Smoky and peaty. More intense Scotches need rich, sharp, and, oftentimes, creamy cheeses that can stand up to them.

Roquefort (French, sheep’s milk)

A blue cheese like Roquefort is sharp, rich and creamy, so it provides balance to smoky Scotches. (Wine pairings: Ice wine, Riesling, Sauterne, Sherry)

Stilton (English, Irish, cow’s milk)

Stilton, another blue cheese, is not as sharp as Roquefort and some others. However, it has a full body and its finish can be intense. That means it works well with rich, peaty Scotches. (Wine pairings: Gewürztraminer, Port, Riesling, Sherry)

Gouda (Dutch, cow’s milk)

Gouda, with a smoky profile itself, pairs with peaty, smoky Scotches. (Wine pairings: Barbera, Grüner Veltliner, Lambrusco, Zinfandel)

Cheddar (English, cow’s milk)

Have a Scotch that’s heavier on woody, oaky notes than smoke? Cheddar—and there are many options to choose from—plays well with such Scotches. (Wine pairings: Cabernet Sauvignon, Cava, Champagne, Chardonnay)

Remember that executing a pairing at its highest level means including the staff. This will help them sell pairings, upsell pairings, and identify pairings in the first place.

Dietary note: Make sure to read the labels of the cheeses you put on your menu. If any cheese has animal rennet, they’re not fit for vegetarians or vegans to consume.

Image: Jennifer Murray from Pexels

by David Klemt David Klemt No Comments

Canada to Reopen Border

Canada to Reopen Border

by David Klemt

Canadian airplane with maple leaf on tail

In a move months in the making, Canadian Prime Minister Justin Trudeau is opening the border to Americans.

Remarkably, this loosening of Canada-America border restrictions doesn’t pertain solely to essential travel.

Rather, the border will open on August 9 for non-essential travel to American travelers (and permanent residents) who can prove their vaccine status.

Great News

Obviously, this is fantastic news for Canadian hospitality operators (and other business owners, of course).

Really, it’s great news for all Canadians and Americans: people can finally visit family and friends, and the economy should see a boost.

This news comes on the heels of other positive developments for Canada, such as the country’s vaccination rate now surpassing that of America’s. There’s also the province of Ontario bringing back indoor dining.

According to media reports, Canadian officials are in communication with American President Joe Biden’s administration about opening the border the other way.

However, there is no information yet about when that will happen. When asked about Canada’s announcement regarding the border, White House press secretary Jen Paski said the following:

“Any decisions about reopening travel will be guided by our public health and medical experts. We take this incredibly seriously. We look and are guided by our own medical experts. I wouldn’t look at it through a reciprocal intention.”

Should all to plan, Canada will open the border to travelers from other countries on September 7.

The Details

Of course, Americans can’t just flash their passport and cross the border. People eager to enter to Canada need to plan ahead a few days.

This is due to the requirement that Americans—with few exceptions—need to submit travel information 72 hours before arriving at the border. For example, if an American would like to cross the border the day it reopens to them, August 9, they’ll need to begin the process no later than August 6.

So, those travelers will need to use the ArriveCAN website, iOS app, or Android app.

ArriveCAN users using the website will show Canadian border agents a printout. App users will show them their screen.

Also, travelers will need to complete a Covid-19 test within the same 72 hours and be asymptomatic upon arriving at the border.

To review eligibility requirements—including lists of eligible and ineligible vaccines—click here. Full details are here.

The Opportunity

Clearly, the plan to open the border to American travelers and Canadians who found themselves stuck in America due to the pandemic presents a terrific opportunity for business owners.

In particular, in terms of our industry, bar, restaurant and hotel operators must see this development as excellent news.

Family members and friends will be eager for long-overdue reunions. That means hotel stays and restaurant and bar visits. There are also opportunities that relate to weddings, such as rehearsal dinners.

Obviously, operators must prepare for an influx of guests. So, they need to schedule accordingly, prepare staff for possibly overwhelming amounts of traffic, and ensure precautions are in place that reassure team members their health and safety are being considered.

In terms of those who waiting for the “right time” to open their restaurant or bar, this news could be a signal that the hospitality industry is on its way toward recovery in Canada.

It’s crucial that operators and management balance guest and employee comfort levels. Doing so will aid in boosting traffic, increasing revenue, and recruiting, hiring, and employee retention efforts.

Image: John McArthur on Unsplash

by David Klemt David Klemt No Comments

10 Bottles for National Tequila Day

10 Bottles for National Tequila Day

by David Klemt

Shots of tequila surrounded by lime wedges and salt

This Saturday we celebrate the world’s most famous agave spirit: the one and only tequila.

National Tequila Day takes place this weekend on July 24.

Of course, there are still those out there who view tequila as a low-quality, high-proof spirit that leads to bad decisions.

Luckily, years of education are turning that around. People across the world are now aware of high-quality sipping tequilas.

Those in the know are drinking better, although that doesn’t preclude them from making bad choices afterward. Indeed, we can no longer blame the tequila, only ignorance of higher quality expressions.

Just like we did for bourbon and Lambrusco, we’ve rounded up bottles operators should consider for National Tequila Day and beyond.

Cheers!

Blanco

Arguably the tequila most people associate with cheap shots and cocktails. Distillers don’t age blanco and they bottle the liquid soon after distillation. However, the explosion in the growth of tequila brings with it new brands and higher standards. Many blancos taste excellent and make great cocktails.

Mijenta Blanco

This blanco represents the antithesis of the mainstream stereotype of blanco tequilas. Tequilera Maestro (Tequila Master) Ana Maria Romero approaches the process of making Mijenta Blanco with the same care and attention to detail as she does reposado.

Teremana Blanco

Yes, this is a “celebrity tequila.” Yes, Dwayne “The Rock” Johnson owns Teremana. Being a celebrity spirit doesn’t discredit the quality of this brand. Teremana Blanco is a silver tequila that aims to drink like a luxury expression.

Joven

An interesting and rare (currently) category, joven is unaged tequila blended with one or more aged expressions.

Viva XXXII Joven

Described as a “modern sipping” expression by the distillery, Viva XXXII Joven is made with estate-grown blanco and the brand’s extra añejo. Expect crisp flavors of lemon peel, yerba buena (an aromatic mint), and white pepper.

Casa Dragones Joven

When Casa Dragones first entered the market in 2009, this was their debut expression. Five years later, they released their first blanco. In the case of Casa Dragones Joven, blanco was blended with extra añejo. Not only is it proper to include one of the first joven tequilas on the market on this list, this expression has earned its place.

Reposado

Combine the bold flavors of younger blanco tequila with the smooth, refined characteristics of aged añejo. That will give you an idea of what to expect with a reposado, which is aged between two and twelve months. Equal capable in shots and cocktails or for sitting and sipping.

Volcán De Mi Tierra Reposado

Made from agaves that take well over 3,000 days to ripen, Volcán Reposado captures the terroir of the state of Jalisco. The liquid is aged in American and European oak barrels, which helps to make this a smooth expression.

Clase Azul Reposado

Arguably the most recognized bottle on the back of any bar. Clase Azul Reposado draws the eyes of guests with its unique appearance and keeps them coming back with its unique flavor profile and incredible smoothness.

Añejo

This category must be aged for one to three years in oak. Of course, añejo can be enjoyed as a shot or in a cocktail, just like any spirit can be. However, these tequilas are often best when sipped slowly to appreciate every flavor, aroma, and mouthfeel characteristic.

El Tesoro Añejo

This añejo is aged between two and three years in ex-bourbon barrels. The result is intriguing, to the say the least: Master Distiller Carlos Camarena says El Tesoro Añejo, due to vanilla and maple notes, would pair well with pancakes.

Casa Dragones Barrel Blend

Known as a small-batch producer of luxury blanco and joven tequilas, Casa Dragones is finally producing an añejo. Casa Dragones Barrel Blend is aged in Quercus Sessile French oak and new American oak barrels, both of which undergo custom toasting. The result is a smooth, luxurious sipper with spice, oak, berry, and agave notes.

Extra Añejo

Once a distiller passes the three-year mark aging tequila, they have free reign to experiment. The extra añejo category is where people find truly unique and rare (and expensive, of course) expressions.

Herradura Selección Suprema

It may interest people to know that Herradura gets the credit for creating both the reposado and extra añejo categories. So, it’s only fitting that they be on this list in one of those categories. Herradura Selección Suprema rests for 49 months—four years and one month—in American white oak barrels.

Tears of Llorona No. 3 Extra Añejo

Master Distiller Germán González initially created Tears of Llorona to for his friends and family. However, the five-year-old extra añejo Maestro Gonzalez produces are sometimes made available to the public. The current private stock offering, Tears of Llorona No. 3, is aged in Scotch, brandy, and sherry oak barrels.

Image: Xavier Espinosa from Pixabay

by David Klemt David Klemt No Comments

Mask Mandates, Recommendations Return

Mask Mandates, Recommendations Return

by David Klemt

Downtown Los Angeles, California

Pointing to vaccination hesitation, vaccination refusal, and rises in Covid-19 cases, some cities are mandating masks indoors.

Importantly, mandates and recommendations are coming down irrespective of vaccination status.

Of course, many people are unhappy about this news. Much of the backlash includes the claim that a return to masks proves vaccines don’t work.

However, others point to variants—in particular, Delta—spreading via the unvaccinated and unmasked.

Unfortunately, continuing divisiveness means hospitality and other frontline workers are again at risk for hostile confrontations.

Los Angeles County, California

If you’re an operator in Los Angeles County, masks indoors aren’t just a recommendation. An indoor mask mandate went into effect on Saturday, July 17.

Just a month prior, embattled Governor Gavin Newsom proudly announced California’s unrestricted reopening.

Now, the more cynical among us see Gov. Newsom’s June reopening as a bid to stave off recall efforts. However, recall ballots will go out to Californians next month.

Per reporting, California’s Covid-19 infection rate is close to tripling. Los Angeles County health officials say the indoor mask mandate comes out of an overabundance of caution.

On a different note, health officials expect the state’s vaccination rate to effectively combat a spike in infection rates. The current rate isn’t expected to match or surpass those of prior peaks in the state.

As far as mandate details, it’s quite simple: Masks are required for everyone indoors, regardless of their vaccination status.

According to reports, an additional ten California counties are recommending masks indoors. No word yet on if other counties—or the state as a whole—will announce mask mandates. Nor is there an end date for LA County’s current mandate.

Southern Nevada

While not a mandate, the Southern Nevada Health District is recommending people, regardless of vaccination status, wear masks indoors.

Unsurprisingly, Las Vegas is experiencing an influx of visitors. With vaccination rates on the decline and infection rates on the rise, health officials are concerned.

More than 2.9 million visitors flocked to Las Vegas in May. Clark County, Nevada, which includes Las Vegas, has a population of over two million.

Of course, it’s important to remember that, for now, wearing masks indoors is a recommendation. However, some resorts and casinos—Westgate and the Venetian among them—now require their employees to wear face masks.

So far, neither Las Vegas, Clark County or Nevada have implemented a mandate. Of course, that could change and a mandate may be in the wings.

Orange County, Florida

Much of the news of returning mask mandates and recommendations focuses on Los Angeles and Las Vegas.

In fact, some critics are attacking Nevada Governor Steve Sisolak, accusing him of blindly following Gov. Newsom.

Interestingly, though, is that a mayor in Florida is also recommending face masks.

Mayor Jerry Demings of Orange County recommends wearing masks indoors, vaccination status notwithstanding. The phrasing of the mayor’s announcement refers to the suggestion as an “official recommendation.” However, no mandate is in place currently.

Frontline Risks

Clearly, mask mandates and even recommendations are going to anger some of the population.

Unfortunately, hospitality workers (and those in other public-facing industries) are once again at risk of confrontations. Even without mandates, some businesses that choose to require masks experience hostility.

The last thing America needs is more divisiveness, anger, and potential for confrontations.

Millions of hospitality professionals have left the industry for good. One factor leading to those losses has been concern for safety due to people angry over mask and vaccine requirements.

Obviously, operators must do whatever’s in their power to ensure the safety of their team members and guests. Leadership must not only convey their support for their employees, they must stand behind that messaging with their actions.

In cities where masks mandates and recommendations return, operators need to focus on safety as much as employee retention. Indeed, the former aids the latter, which aids recruiting and hiring.

Image: Daniel Lee on Unsplash

by David Klemt David Klemt No Comments

People are Returning to Cities

People are Returning to Cities

by David Klemt

 

Aston Martin DB5 on freeway in Phoenix, Arizona

It seems the people fleeing big cities in a “mass exodus” are throwing their moving trucks and vans into reverse.

Millennials and Gen Z are apparently leaving the suburbs and rural areas.

Analysts are looking at significant increases in rent as proof of the shift.

Climbing Rent

Anyone following along with real estate is aware that the housing market is off-the-charts hot right now.

Bidding wars for houses and condos are driving prices up by tens of thousands of dollars in many cases.

Well, those bidding wars aren’t only affecting housing sales.

In some markets, rates for rental properties are climbing by more than 40 percent. Per reports, rent is up 7.5 percent across the nation.

Now, bidding wars are taking place for rental properties. As is the case with homes and condos, there’s less inventory than demand.

Obviously, that drives up prices.

Who and Where?

Millennials and Gen Z are driving the journey back to the cities.

Many in those generations moved out of cities to live with friends or family. During the pandemic, doing so was a sound in terms of physical, mental, and financial health.

According to data from ApartmentGuide.com, the following markets are seeing year-over-year increases in one- and two-bedroom apartment rent:

  • Tucson, AZ
  • Santa Ana, CA
  • Henderson, NV
  • Las Vegas, NV

For the full report, click here.

Another market is, per several outlets, seeing an influx in younger, wealthy renters and buyers: Phoenix, AZ.

In fact, the wealthy have been investing in property throughout Phoenix, Las Vegas, Denver and Dallas.

Of course, the nation’s biggest cities are also drawing more people. For example, New York City is experiencing an influx of residents.

This is largely due to the relaxing of Covid-19 restrictions and an increase—in some cities and states—in vaccination rates.

It’s important to meet guests where they are. Those looking to expand or open new venues should give serious consideration to booming secondary markets.

Image: iStrfry , Marcus on Unsplash

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Hospitality Labor Shortage not Improving

Hospitality Labor Shortage not Improving

by David Klemt

Wait station to side of busy bar

Surveys and data focusing on the restaurant and hotel employment situation paint a stark picture.

The sobering reality is that operators can’t simply point to the pandemic as the reason they’re failing to fill available positions.

Instead, we need to focus on the problems hospitality workers continue to face.

It’s not going to be easy. However, it can lead to positive change. That change can help the hospitality industry recover and thrive long into the future.

Culture is Crucial

Per several sources, millions of hospitality professionals are washing their hands of the industry.

Unfortunately, foodservice and lodging workers are citing several reasons for the exodus:

  • Lack of livable wages.
  • Inconsistent wages.
  • Stress levels not worth level of monetary compensation.
  • Lack of benefits.
  • Lack of mentoring and/or career progress.
  • Industry volatility, particularly devastating as a result of the pandemic.
  • Unhealthy lifestyle: Long shifts, late nights, and alcohol and drug abuse.
  • Cultures of harassment and discrimination.

Obviously, it’s easier to blame labor shortages on the workers. Well, being easier doesn’t make it true.

Industry and workplace culture matters. Employee turnover rates were high long before the pandemic ravaged the planet.

Rather than make excuses, operators need to look at their restaurant, bar or hotel’s culture.

Barking orders and feeling infallible isn’t leadership. Admitting failures and shortcomings—and learning from them and implementing positive changes—is how successful operators lead.

Generic Job Listings

Last week, KRG Hospitality president Doug Radkey asked a simple but poignant question on LinkedIn: Are your job listings just like everybody else’s?

He suggests knocking it off with the old standards:

  • “Are you friendly, energetic, and highly motivated?”
  • “Are you an experienced and enthusiastic [insert position]?”
  • “The ideal candidate must work well in a fast-paced environment and be a team player.”
  • List of basic job tasks.

What’s appealing about such basic, generic ads? Why would rock star talent be moved to work for operators who post these types of ads?

Instead, Doug suggests the following:

  • Hire for values, not experience. Training can address systems and standards, not personality and drive.
  • Operators should be transparent about their core values, company culture, and potential for growth.
  • Showcase the approach to inclusivity, diversity, acceptance, and flexibility. That is, if that’s authentic. If not, that’s a flashing, neon red flag that requires addressing.
  • Offer a living wage, benefits, potential for personal growth, and education.
  • Produce a video of team members sharing why they work at the company. This must be genuine and honest.

A unique approach to ads, hiring and onboarding can lead to an increase in employee retention.

Yes, it’s more comfortable to avoid looking internally for the roots of problems. It’s more comfortable to avoid blame. And it’s more comfortable to point fingers anywhere but at ourselves.

That’s not leadership. And it certainly won’t improve any operator’s situation, nor will it improve the hospitality industry and its opportunity to thrive.

Image: One Shot from Pexels

by David Klemt David Klemt No Comments

Bar Hacks: Dueling Axes Las Vegas

Bar Hacks: Dueling Axes Las Vegas

by David Klemt

Two people throwing axes at Dueling Axes Las Vegas inside Area15

Dueling Axes Las Vegas general manager David Peterson drops by the Bar Hacks podcast to chat about this unique venue.

Interestingly, Dueling Axes Las Vegas is located inside of another unique venue, Area15.

Peterson describes the axe-throwing business he manages as upscale, approachable, and one of a kind. He describes Area15 as “an adult playground.”

So, what we have here is a one-of-a-kind venue inside a unique adult playground in America’s Playground.

Additionally, this business is leveraging one of the fastest-growing and most-popular forms of entertainment sweeping the US.

A Disclaimer

Before we get into the important details Peterson shares in episode 41 of Bar Hacks, a bit of housekeeping.

To be totally transparent, the audio is a bit muffled. It’s one of the occasional byproducts of recording via the Internet. We feel it’s worth being patient to take in all the information Peterson shares. And, of course, we thank all of you who have been patient and listened to episode 41.

However, try as we did to clean up the audio (running filters, using tools, adjusting frequencies, etc.), we understand muffled audio can be frustrating. In other words, we can’t blame anyone deciding to read about this episode instead. So, we’ve chosen to share Peterson’s insights here, on the KRG Hospitality website.

The Experience

Dueling Axes Las Vegas is one of three locations. The other two are in New Albany and Columbus, Ohio.

Per Peterson, the Las Vegas venue is 6,700 square feet. That’s huge for an axe-throwing operation.

There are 18 lanes, four of which are VIP. Guests wishing for a more intimate experience will appreciate the VIP lanes. These lanes come with their own server and axe-throwing coach.

However, VIPs aren’t the only guests who will find the venue special.

Dueling Axes Las Vegas offers everyone an upscale experience that’s comfortable and approachable: The cocktail bar inside the venue is high end, the seating in the lounge area is plush, and the lanes themselves are a notch above what most axe-throwing businesses offer.

Much like a firing range has range safety officers (RSOs), Dueling Axes employs coaches. These team members ensure everyone is being safe and, equally as importantly, having fun.

Not sticking the target can be incredibly frustrating for a guest. So, Peterson’s coaches are the lookout—and also listen—for people missing their throws. They can usually help guests correct their technique in short order, thereby ensuring they have a great experience.

That’s a crucial component of this operation. If the guests are feeling frustration rather than fun, the team has failed. According to Peterson, team training is key to Dueling Axes.

By the Numbers

If you’re reading this, you’re likely interested in starting up an axe-throwing venue. Or, perhaps you’re wondering about adding it to an existing business.

Before you run out to grab lumber and axes, there are some things you need to know.

First, this an organized sport. Therefore, Dueling Axes uses World Axe Throwing League (WATL) axes. At the Vegas location, these are 1.25 pounds.

Second, the distance to target (or boards) is the same as WATL participants throw. However, the league has made their bullseyes smaller. Peterson says there are no plans to shrink the bullseye for their everyday guests.

Third, prepare to go through a lot of boards. According to Peterson, Dueling Axes Las Vegas goes through about 20 boards a day. Replacements can be needed every three to five hours. He says his team can get boards replaced in about four minutes using drills or, in the case of bent screws, pliers.

Which brings us to the fourth point: another cost for axe-throwing venues is the axes. Sometimes, axes break. This is down to several factors, such as the grain from the manufacturing process of a particular batch; the temperatures of the market; and guests hitting the screws in the boards.

Fifth, and Peterson finds this fascinating, women “drive and dominate axe throwing.” At least, he says at the Las Vegas outpost of Dueling Axes. He estimates 60 percent of their guests are women.

Also, he says women tend to be more precise. Perhaps, as he theorizes during episode 41 of Bar Hacks, this is because he’s noticed that they listen more during the 10- to 15-minute safety and technique training portion of the experience. (The training takes place before guests begin their hour of throwing and isn’t counted against it.)

Connect with Dueling Axes Las Vegas

To learn more, be sure to check out the Dueling Axes Las Vegas website and the site for their Ohio locations.

You can also connect with them on Instagram, Twitter, and Facebook.

Of course, you should definitely connect with Dueling Axes on YouTube and watch their vides for a more immersive look into what they offer.

Image: Dueling Axes Las Vegas (Facebook)

by David Klemt David Klemt No Comments

Indoor Dining Returning to Ontario

Indoor Dining Returning to Ontario

by David Klemt

3D Toronto Sign at night

Operators and their employees and guests in Ontario, Canada, have a real reason to celebrate this week.

On Friday, July 16, at 12:01 AM, the province will launch into Step 3 of the Reopening Ontario plan.

Why is this fantastic news for Ontario operators? Stage 3 includes the return of indoor dining.

Ahead of Schedule, Again

As with Step 1 and Step 2, the province is entering Step 3 of the Reopening Ontario plan earlier than expected.

Ontario launched Step 1 three days ahead of schedule. Step 2 also came a few days early.

The province is entering Step 3 a whole five days early. These early launches are a testament to Ontario’s vaccination efforts.

Premier Doug Ford said during a press release that the targets triggering Step 3 were not just met but surpassed.

However, he did mention that the campaign to vaccinate Ontarians was in no way complete.

“While this is welcome news for everyone who wants a return to normal, we will not slow down our efforts to fully vaccinate everyone who wants to be and put this pandemic behind us once and for all,” Premier Ford said.

Step 3 Details

This phase of the plan is the least-restrictive of Reopening Ontario.

In Step 3, restaurants and bars can welcome indoor guests. The only capacity restriction is that people must be able to maintain distance of two metres between one another.

Restaurants and bars with dance floors are restricted to 25-percent capacity and a maximum occupancy of 250.

Outdoor dining capacity will focus on social distancing: there must be two metres between tables.

Face masks are a requirement for indoor gatherings and in situations where it’s not possible to socially distance properly.

Should the vaccine rate and other indicators continue to improve, it’s possible that Ontario will reopen fully as soon as 21 days after Step 3 begins. So far, Reopening Ontario steps have launched ahead of schedule, a great sign for reopening fully.

However, operators must take care to remain in compliance with federal, provincial and local regulations. Click here to review the Reopening Ontario details.

Of course, we’ll monitor the situation and see what Ontario officials say next.

Image: Maarten van den Heuvel on Unsplash

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