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February 4, 2022by David Klemt David Klemt No Comments

Independent Operators are Making Changes

Despite Challenges, Independent Operators are Making Changes for the Better

by David Klemt

Independent Restaurant Coalition survey results show our industry is still struggling but some operators are making positive changes.

The hospitality industry absolutely needs and deserves help. The Restaurant Revitalization Fund absolutely needs replenishing.

However, hospitality continues to prove its resiliency, adaptability, and innovation.

It must be said, though, that it’s exhausting for owners, operators, and workers to have to constantly be resilient. Sometimes, the industry needs help. It’s past time for help to come.

But, I digress. Back to the IRC and their recently released survey results.

Still Overwhelmed

The IRC surveyed close to 1,200 respondents who are part of the restaurant and bar community. Survey participants represented all 50 states in the US.

Some respondents received RRF grants, some did not. Of course, receiving a grant wasn’t a silver bullet for surviving the pandemic.

However, the grants certainly helped:

Nineteen percent of grant recipients took out personal loans since February 2020. In comparison, that number more than doubles to 41 percent for those who didn’t receive grants.
Since the beginning of the pandemic, five percent of grant recipients took on additional investors. Again, that number more than doubles for operators who received no RRF grants. Eleven percent took on more investors to survive.
Due to the omicron variant of Covid-19, grant recipients had to reduce staff by 21 percent on average. Their counterparts had to decrease staff, on average, by 30 percent.
When it comes to selling off a personal asset to help their business survive the pandemic, ten percent of grant recipients did so. For those who didn’t receive an RRF grant, that number increases more than two-and-a-half times to 26 percent.

The challenges—an inadequate word, truly—have led to industry-wide changes. Per the IRC’s survey:

Hiring challenges have impacted 91 percent of independent restaurants and bars.
Menu prices were hiked up by 89 percent of independent businesses.
Nearly half—42 percent—reported to the IRC that they had pivoted to alternate business models after ceasing indoor and outdoor service.
Six percent of independent restaurants and bars pivoted to offering outdoor dining only.

Progress Being Made

Operators have been facing hiring challenges for several months now. In response, some operators offer various incentives.

As examples: meals for honoring scheduled interviews; cash for showing up to interviews; large cash bonuses for remaining in position for 90 or more days.

However, none of the above really address longstanding, widespread issues hospitality workers have given as reasons for quitting jobs (and the industry entirely).

To name just two, livable wages and benefits. Despite the challenges operators are facing, they have made positive changes. We’re not talking a small percentage, either.

Per the IRC, independent businesses reported the following changes:

84 percent of restaurants increased wages.
37 percent of restaurants, bars and other independent hospitality businesses added paid sick leave to the benefits they provide.
21 percent of employers have added paid vacation to their benefits.

These changes (and others) are a promising start, showing that operators are listening to workers. Bringing traffic and revenue back to pre-pandemic levels—and beyond—is a great goal. But how will the industry get there?

One answer is for operators to listen to the hospitality professionals they rely on for their businesses to thrive. Listening, and then acting in meaningful ways.

Image: Patrick Tomasso on Unsplash

February 2, 2022by David Klemt David Klemt No Comments

5 Books to Read this Month: February ’22

5 Books to Read this Month: February ’22

by David Klemt

This month’s fun and informative book selections will help you develop next-level culinary, beverage and leadership skills throughout 2022.

To review January’s book recommendations, click here.

Let’s jump in!

Greenlights

Published originally in 2020, Matthew McConaughey’s Greenlights is already experiencing a resurgence. McConaughey has been writing in diaries for decades and sat down with them to write this memoir that shares lessons he’s learned, stories about what he has experienced over the course of more than 40 years, and more. In his own words, Greenlights addresses how to be fair, have less stress, have fun, hurt people less, get hurt less, be a good person, have meaning in life, and how to be more yourself.

“It’s also a guide to catching more greenlights—and to realizing that the yellows and reds eventually turn green too.”

Setting the Table

Danny Meyer’s modern classic Setting the Table was published nearly 15 years ago. It’s an award-winning masterpiece and considered by some to be the best restaurant business book ever written. On episode 64 of the Bar Hacks podcast, CEO and Master Blender Neil grosscup of Tanteo Tequila mentions this book. So, I decided it was time to revisit Setting the Table and encourage those who haven’t yet to read it.

The New Craft of the Cocktail: Everything You Need to Know to Think Like a Master Mixologist

Dale DeGroff, for those who don’t know, is credited with kicking off the modern cocktail craze. He’s a legend, an icon, and an ambassador for bartenders and the hospitality industry. Released toward the end of last year, The New Craft of the Cocktail is an update of DeGroff’s 2002 book The Craft of the Cocktail. Inside are new photographs, updates to the history of the cocktail, and 100 new drink recipes.

The Unofficial Disney Parks Drink Recipe Book

Look, it has been an overwhelming two years. And we’re still in that overwhelming situation. That is to say, we can all use a smile wherever we can get it. That goes for drink menus, too. Enter, The Unofficial Disney Parks Drink Recipe Book. It may be unofficial but the recipes are fantastic, offering whimsy, nostalgia, and wow factor. There are over 100 recipes in this best-selling book, including cocktails and zero-proof drinks.

The Velocity Mindset

If you want to become a better leader, you need to change your mindset. That may sound drastic but developing simple habits like visualizing a specific outcome can improve your leadership skills. The Velocity Mindset shares Ron Karr’s “innovative and practical strategies to differentiate yourself from the competition, increase your profits, and get to the next level of success, faster.”

Image: Mikołaj on Unsplash

January 11, 2022by David Klemt David Klemt No Comments

Top 10 Bar Hacks Bonus Episodes: Goals

Top 10 Bar Hacks Bonus Episodes for Setting and Achieving Goals

by David Klemt

We’ve rounded up the ten best bonus episodes of Bar Hacks that feature KRG Hospitality president Doug Radkey offering goal-setting guidance.

Obviously, we all want to succeed. However, it’s not always obvious where we should start. This has been proven all the more true the past two years.

Doug has a way of cutting a path through the overwhelming noise and distractions operators face each day. The Bar Hacks bonus episodes below can help listeners take a deep breath, reset, and take the necessary steps to identify, measure, and achieve their 2022 goals.

Bonus #1: Strategic Clarity

Doug explains strategic clarity as the understanding of who we are, what we’re working toward, and how we’re going to get where we want to go. Click here to listen.

Bonus #3: Simplification

In this episode, Doug asks listeners a simple question: “Is your vision for your restaurant or bar’s systems complex or simplified?”

Bonus #4: Acceptance

We can’t really make achievable goals if we don’t understand the current situation we’re facing. In this bonus episode, Doug explains why it’s important to be able to accept change and differences.

Bonus #6: Decision Making

We make thousands of decisions every day, from the simple to the complex and everything in between. Doug shares his insights into clearly and confidently making decisions for your business. Click here to learn more.

Bonus #7: Innovative Leadership

What is innovative leadership? It’s confidence in your abilities and your team, knowing when to get out of the way, and the culmination of a few other key concepts. To listen, click here.

Bonus #9: Flexibility

For this bonus episode, Doug explains why success in this era of hospitality requires owning the entire guest journey, frictionless omni-channel experiences, and other elements of a flexible approach to business.

Bonus #12: Self Care

Doug shares his thoughts on one of the most crucial elements of operating a business in the hospitality industry. Hint: He’s not talking about menus, marketing or making money in this episode.

Bonus #13: Confidence

Do you think you have a growth-based mindset or a fixed mindset? Doug discusses confidence and the impact it has on your ability to lead effectively in Bar Hacks Bonus #13.

Bonus #14: Self Learning

Knowing that you don’t know it all opens up your world and makes you a better leader. Doug explains how seeking out knowledge, experiences and opportunities to learn makes you a better operator, keeps you sharp, helps you better relate to and mentor others, and improves your business in every way. Listen now!

Bonus #17: The Seven Cs

Doug explains each of the Seven Cs and how they’ll help you build a winning team. Without the right people on staff, you don’t have much of a chance to achieve your goals. Click here to listen to this important episode.

To listen to the first five bonus episodes in this list in one convenient episode, please click here for today’s Bar Hacks podcast episode. Cheers!

Image: Mikołaj on Unsplash

"Wake up, kick ass, repeat" neon sign on wall

January 7, 2022by David Klemt David Klemt No Comments

How to Achieve Your Goals in 2022

How to Achieve Your Goals in 2022

by Jennifer Radkey

The start of a new year for many is symbolic: Fresh year, fresh start.

With the best of intentions, millions of people worldwide create resolutions and set goals for both personal and professional growth and achievement. These goals are created with full enthusiasm and determination and then….the majority of them never come to fruition.

Studies have shown that approximately 80 percent of New Year’s resolutions fail. So what happens? And how can we push forward to achieve our goals instead of letting them slip away?

The majority of us know how to set clearly defined goals. It is something we learned in school, or have read countless articles about. It seems as if it is human nature to want to improve, to do better and be better.

In the hospitality industry, we ask our team members to set goals weekly, if not daily. Goals typically include improving guest retention, increasing sales, improving guest experience, etc.

But once these goals are set, what systems are in place to help your team achieve them? And are you leading by example?

Goal Setting

There are many techniques to goal setting. George Doran, Arthur Miller, and James Cunningham developed the very popular SMART goal tool to assist in developing clearly defined, task-oriented goals. They state that goals should be Specific, Measurable, Assignable, Realistic, and Time-specific (SMART).

Rhonda Byrne’s book, The Secret, discusses envisioning your goals and life desires to attract them to you. But goal achievement is more than just setting a clear goal, or dreaming about what it would be like to achieve that goal. Those are the starting points.

Goal achievement is a process. It can be nitty and gritty and tough. There is typically no easy way. However, there are strategies we can use to help us achieve them, and the result will almost always be worth the extra effort.

Why We Fail

There are countless reasons why goals or resolutions fail, but the reasons mostly fall under two categories: You either lose your willpower or your waypower.

The concepts of willpower and waypower in relation to goal achievement is introduced in Rick Snyder’s Hope Theory, explained is his book The Psychology of Hope: You Can Get There From Here.

Willpower is the desire to achieve your goal; it’s the fire that pushes us to keep going after what we want. Waypower is the map for how we will get to our end goal; it’s the careful plan we have in place to ensure we overcome any obstacles that get in our way.

When we lack willpower our goal seems unachievable, and therefore we give up. When we lack waypower, as badly as we may want to achieve our goal, we are lost with no clear idea of how to get there.

How to Succeed

Finding Your Willpower

If you have lost your willpower, there are several ways to reignite your desire to achieve your goal.

The first is to have constant reminders of your goal. Have it written somewhere where you will have access to it several times a day. Set reminders on your phone, put sticky notes around your office or house, create a vision board representing your goal as your screensaver or on a wall in your home or office.

Remind yourself of why you set the goal in the first place and how it will make your life better.

Many of us lose our willpower when faced with obstacles. Instead of being deflated by obstacles, look at them as challenges to be defeated. Use obstacles as fuel for your fire rather than water to dampen it.

When faced with obstacles it is also helpful to remind yourself of goals that you have achieved in the past and the obstacles you had to overcome to get there. Remembering this time will allow you to acknowledge that you ARE capable and therefore will keep your willpower intact.

Finding your Waypower

Life is busy, and when you are being pulled in many directions at the same time it can be easy to lose your way towards achieving your goals. To ensure that you stay on the path towards goal completion, there are several actions you can take.

Try breaking long-range goals into smaller steps. Start with the first step, and move on to the next, checking off and celebrating each step as you go.

Before you even begin your journey towards goal completion, map out different routes you may need to get there. Knowing these routes beforehand will make it easier to stay focused along the way.

Lastly, know when to ask for help—and be willing to accept it. If you get lost on your way to your goal, perhaps you need some advice from someone who has already achieved that goal.

WOOP

One of my favorite goal achievement strategies is WOOP, created by Gabriele Oettingen. This acronym stands for Wish, Outcome, Obstacle, Plan.

WOOP is a straightforward and effective tool to use when setting goals, and has been practiced by everyone from elementary school students to CEOs of major corporations. Once practiced, WOOP can take less than five minutes of your time while providing great clarity.

The first step is to state your wish or goal clearly. Next, envision the outcome of achieving your goal. Take a couple minutes to really picture what it will look and feel like to achieve your goal.

You are then going to contrast that by thinking of what obstacles might block you from achieving your goal. It is important to note that these obstacles are internal not external.

We rarely have control over external obstacles but do have control over internal ones. What is it about you that will stop you from reaching your goal? Is it low self-esteem, laziness, doubt? Are you distracted easily?

Lastly, you are going to plan what to do when met with an obstacle by using “if/then” phrasing. For example, “If I am feeling lazy and want to have a Netflix marathon instead of working on my goal, then I will get off the couch, do ten jumping jacks, grab a drink of water, and start working on my goal.”

If you are interested in trying out the WOOP tool for goal setting/achievement you can visit www.woopmylife.org.

Own It

Goal setting and resolutions should not be a forced activity you do every new year, or birthday, or every Monday morning to start your week. Goal setting and achievement should be a constant, flowing activity that reaches into all parts of your life.

Through the use of strategies and consistent review, reassessment, and awareness, goals don’t need to be lost or given up on, unless that particular goal no longer serves a purpose to you.

Own your goals and take pride in your achievements. In the end, you will always be your number one advocate for your own growth.

So go get it! Cheers to professional and personal well-being!

Image: Justin Veenema on Unsplash

January 3, 2022by David Klemt David Klemt No Comments

Keep Up Your Momentum in 2022

Keep Up Your Momentum in 2022

by David Klemt

In 2022, our focus needs to be on recovery, which means starting strong, gaining steam, and keeping momentum going throughout the year.

The past two years have been a nonstop flurry of starts, stops, and false starts for American and Canadian operators.

Every challenge operators face during a “normal” day has been compounded. Recruiting, hiring, training, marketing, increasing traffic and revenue, managing inventory…it’s all more challenging.

However, “challenging” doesn’t mean “impossible.” Under the best of conditions, restaurant, bar, and hotel operations are a challenge. Overcoming adversity, in other words, is a consistent element of daily operations.

Now, whether we should view constantly overcoming challenges as a badge of honor… Well, that’s a different conversation, one about industry-wide changes that are long overdue.

For this post, my focus is on starting 2022 off right, building momentum, and keeping it.

KRG Momentum

Last year, we launched a coaching program called KRG Mindset.

KRG is known for our Roadmaps to Success, which include of our in-depth feasibility studies and detailed business plans, both of which help operators secure funding. However, some of our clients aren’t ready for our full suite of startup and expansion solutions.

For these clients, we have the KRG Mindset program. This valuable program’s keystone is a dedicated, certified life coach: Jennifer Radkey.

Both starting and operating a hospitality business can be stressful, exhausting, and time consuming, and it’s easy for your vision, clarity, self-care, and relationships to become lost along the way.

That’s where Jennifer comes in. With a dedicated, certified life coach by your side to ask powerful questions and hold you accountable, the pathway towards achieving your goals will become smoother.

A clear and focused mind and a regular routine of self-care will help you survive both the start-up and day-to-day operating phases, not to mention leading you towards personal and professional success.

Let’s Go!

All hospitality professionals—from business owners to staff—are members of a tight-knit family. Unless you’ve lived hospitality, you just don’t know the challenges, risks and rewards.

That means that startup operators and established operators don’t have to try to navigate the industry alone. Whether you aren’t sure where to even begin your ownership journey or aren’t sure how to overcome the hurdles you’re facing, the team at KRG Hospitality is here for you.

If you’re ready for us to help, click here to learn more about KRG Momentum. And click here to schedule an introductory call.

Image: Tumisu from Pixabay

Red and black gift boxes and bows on black background

December 7, 2021by David Klemt David Klemt No Comments

2021 KRG Holiday Bottle & Can Guide

2021 KRG Holiday Bottle & Can Guide

by David Klemt

We’re bringing you new products and gift ideas for the 2021 holiday season for your specialty menus, raffles, and employee incentives.

Whether because they’re unique or leverages eye-catching bottling, labeling and packaging, you can’t go wrong with the bottles below.

In fact, you should probably consider adding some of these to your inventory and seasonal menu. A number of these bottles will attract attention from guests when they spot them on your back bar.

And, hey, we won’t tell anyone if you decide to treat yourself to one of these gifts. You’ve earned it.

Brandy

Few spirits shine more during the holiday season and winter months than brandy.

Château de Breuil Réserve Du Château 8 Year

This is the first entry in Château de Breuil’s “Hors d’Age” range, which means this Calvados is older than six years. The youngest Calvados in this release is eight years old, and there’s plenty of warming, comforting apple on the nose, palate and finish.

Hennessy V.S.O.P Privilège x Julien Colombier

This striking bottle, adorned with an original design by Julien Colombier, definitely stands out from the standard V.S.O.P Privilège.

Hine Cigar Reserve XO

This blend of 20 eau-de-vie is intended specifically to be enjoyed with a fine cigar. In particular, a fine Cuban cigar. A Cognac meant to help unplug, slow down, and enjoy the moment.

Gin

There is an incredible array of gins available that can sway even the staunchest “I don’t drink gin” drinkers out there.

Glendalough Rose Gin

The Glendalough distillery operates via three mantras: Wild foraged. Fresh distilled. Stand apart. Glendalough Rose Gin hits all those marks, particularly standing apart from other gins.

Hardshore Original Gin

There are a few ways to approach crafting a gin. Hardshore Distilling Company’s approach is to be simple in order to be complex. Just five botanicals are used in the production of Hardshore Original Gin: Tuscan juniper, coriander, rosemary, mint, and orris root.

Junipero Gin

With it’s striking new appearance, Junipero Gin’s bottle is now as bold as the liquid inside.

Mezcal & Tequila

The growth of the agave spirit category doesn’t seem like it will stop anytime soon. In particular, luxury mezcals and tequilas seem to be benefitting from consumers interested in spending more to drink higher-quality spirits.

Código 1530 Artesanal & Ancestral

As discussed on episode 57 of Bar Hacks with Collin De Laval, Código 1530 recently released two mezcals, super-premium Artesanal and ultra-premium Ancestral.

Sombra Reposé

This unique mezcal represents a world first: A mezcal aged in Bordeaux wine casks. It doesn’t hurt that the bottle is also attractive.

Tanteo Navidad

There are just 5,000 bottles of Tanteo Navidad, an ultra-premium añejo tequila infused with the flavors of the holiday season: cinnamon, clove, nutmeg, cocoa beans, ginger, and pequin chilis.

RTD

With so many hard seltzer and canned cocktail brands hitting the market, it’s difficult picking just a few standout RTDs.

Karbach Brewing

When it comes to RTDs, Ranch Water was basically destined to end up in cans. As a blend of Topo Chico, tequila and lime, Ranch Water has a legitimate claim to the hard seltzer throne. Karbach Ranch Water is available in Original, Grapefruit, Meyer Lemon, Prickly Pear, and Watermelon. It’s also produced by a brewery in a state that knows a little somethin’ about Ranch Water: Texas.

Speaking of Texas…

Shiner Tall ‘Tails

Texas’ famous brewer has entered the hard seltzer space with four expressions based on classic cocktails: Texas Mule, Mexican Martini, Watermelon Margarita, and Ruby Red Paloma.

WESAKE

Given how easily drinkable sake is, I’m surprised there aren’t more RTD sakes on the market. Four cans of Junmai Ginjo WESAKE equal one bottle.

Rum

It’s always exciting to come across something new in any spirit category. The two selections below are from countries people don’t often think of when the topic of rum arises.

Kasama

How about small-batch rum from the Philippines, aged seven years and produced by Alexandra Dorda. If that last name sounds familiar it’s likely because Alexandra is the daughter of Tad Dorda, co-founder of Belvedere and Chopin vodkas.

Phraya Deep Matured Gold Rum

When’s the last time you sipped a rum from Thailand? The answer is most likely never. A beautiful bottle of Phraya Deep Matured Gold Rum—aged seven to 12 years—can certainly fix that.

Zanj Rum Ak Zanj

The name of this expression of Haitian rum translates to “with angels” in Haitian Creole. Made using only pure sugarcane juice (no sugar added) and aged exclusively in Limousin oak barrels, Ak Zanj is characterized by caramel, fruit, vanilla and honey notes. The bottle also looks great on a back bar or home bar.

Vodka

All eyes may seem to be on tequila, mezcal and whiskey, but the vodka category isn’t resting on its laurels. There have been a lot of innovations in this space, such as revisiting traditional processes, playing with flavoring, and even sourcing very specific grapes for production.

Belvedere Heritage 176

As the name suggests, Heritage 176 is an homage to the old ways of producing vodka. To that end, this expression makes use of malting or kiln-drying rye for deeper, more complex flavors.

Hangar 1 Smoke Point

Produced in partnership with Crimson Wine Group, Hangar 1 used smoke-tinged grapes affected by Norther California’s disastrous Glass Fire to create Smoke Point vodka.

Wild Roots Vodka

This corn-based vodka is made in the Pacific Northwest and infused with more than a pound of real fruit. There are several flavors available in addition to the neutral expression, such as winter-friendly Apple & Cinnamon and Cranberry.

Whiskey

This category isn’t just immensely popular, it’s immense in and of itself. It was difficult to narrow it down to just three selections, particularly when it came to bourbon.

Glenmorangie A Tale of Winter

Your guests, staff, family and friends aren’t the only people who wear Christmas sweaters. A Tale of Winter grabs the eye during the holiday season with a label that looks like it’s ready for your restaurant, bar, nightclub or hotel’s holiday party. This Scotch encapsulates the season with notes of cocoa powder, orange toffee, clover, ginger, and cinnamon.

High West High Country Single Malt

It may be an oversimplification to call High Country Single Malt an homage to single malt Scotch but it’s still an accurate summation. When producing the distillery’s latest release, High West uses “on-the-grain” distillation, along with fresh-charred and second-use barrels during maturation.

Redemption Cognac Cask Finish

Bottled at 99 proof, this high-rye bourbon is aged in Pierre Ferrand Cognac barrels. Expect bold but elegant flavors with baking spices, rye and sweetness on the palate.

Woodford Reserve 2021 Holiday Bottle

Every holiday and Kentucky special edition bottle of Woodford Reserve has been a winner. However, I find the artwork on this year’s holiday bottle by Nick Hirst to the best yet.

Wine

Well, in particular, sparkling wine. When it comes to celebrating, it’s hard to beat the craving for bubbles.

Dom Maria

You can’t go wrong with Dom Maria Brazilian Sparkling Brut or Rosé. The packaging is sleek, modern and makes a statement. Both DM expressions are 60 percent Chardonnay, 40 percent Pinot Noir.

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Perrier-Jouët Blanc de Blancs

It’s fair to say that most people are most familiar with Perrier-Jouët’s Belle Époque bottles, adorned as they are with Japanese anemone flowers outlined in gold. However, on episode 56 of Bar Hacks, Maxime Lecocq says that when he sees someone order a bottle of Perrier-Jouët Blanc de Blancs, “they know what they’re doing.”

Yarden Blanc de Blancs

Looking for a Kosher blanc de blancs option for the holiday season? Look no further than Yarden Blanc de Blancs produced by the Golan Heights Winery, currently releasing their 2012 vintage.

Low- and Zero-proof

There are a number of high-quality alcohol-free spirts, beers and other beverages out there. With that number growing, the biggest challenge is deciding which brands and expressions to pick as gifts and add to your menu.

The County Soda Co.

Much attention is paid to the spirits in cocktails, and for obvious reasons. However, crafting the best possible cocktail requires using the best possible ingredients. The County Soda Co. crafts “soda pop for adults” by using real cane sugar and juice concentrates, and by eschewing artificial sweeteners. Proudly produced in small batches in Prince Edward County, Ontario, Canada, County Soda includes flavors such as Root Beer, Cola, Ginger Ale, Blackcurrant Lime, and Orange Cream Soda.

Lyre’s

This innovative brand is named for a bird famous for it’s accurate mimicry of its avian peers, and for good reason. Lyre’s crafts zero-proof expressions that taste like their full-proof counterparts, including sparkling wine and RTDs. You can even purchase cocktail kits that provide everything necessary to make alcohol-free Negronis, Espresso Martinis, and more.

To learn more, fire up episode 28 of Bar Hacks with Tim Rita.

Partake Radler

Ted Fleming started Partake Brewing partially out of frustration. He made the choice to live sober but had no intention of giving up socializing in bars with friends. Unfortunately, the options for alcohol-free beer were incredibly slim. So, he founded Partake Brewing to produce 0.3-percent craft beer. The highly sought-after Partake Radler is back just in time for the holidays!

Learn more from Ted Fleming on Bar Hacks episode 31.

Q Tropical Ginger Beer

How does a tropical take on ginger beer sound? To me, it sounds refreshingly different. I’m a big ginger beer fan, so Q Tropical Ginger Beer, with its agave, mango, passion fruit, and pineapple notes, is intriguing.

Image: Tamanna Rumee on Unsplash

Kindness is a Superpower stencil graffiti on brick wall in black and white

November 17, 2021by krghospitality krghospitality No Comments

Why You Should Take Part on Giving Tuesday

Why You Should Take Part on Giving Tuesday

by Jennifer Radkey

You are most likely familiar with Black Friday and Cyber Monday, days that encourage consumerism and support the economy.

However, after these two days comes a global movement that you may not yet be familiar with but need to be: Giving Tuesday.

Created in 2012, Giving Tuesday will be celebrating its ninth year Tuesday, November 30th. It is a global movement in which organizations, businesses, charities, and individuals all come together to support their favourite causes.

From large monetary donations to simple acts of kindness, it is a day that encourages people to do good and to bring about positive change in their communities.

Why Generosity?

Generosity not only benefits the charity or person who is on the receiving end, it has huge benefits to those on the giving end.

From increased happiness to a sense of shared community, being generous with your time, resources, or money is often a simple act with big rewards.

A 2008 study by Harvard Business School professor Michael Norton and colleagues found that giving money to someone else lifts participants’ happiness more than spending money on themselves.

This is true even when the participants anticipate prior to the act of giving that spending the money on themselves would make them happier. Research also suggests that similar well-being benefits come from giving monetary gifts/donations or volunteering your time.

In other words, it doesn’t matter how you give, it is the act of giving in itself that gives us that “warm glow” feeling that we typically associate with the holiday season.

Hospitality and Generosity

The words hospitality and generosity go hand in hand.

To be a welcoming hospitality brand you need to be generous with your time and your kindness. You need to be willing to create an atmosphere in which people come to not just eat a meal, have a drink, or spend a night, but to create memories, to socialize, and to have an experience.

Over the past (nearly) two years, we have asked our communities to support hospitality businesses as we faced lockdowns and restrictions. In many ways, our communities did just that.

Guests ate on patios when the weather was not pleasant. They supported through ordering takeout. #SupportLocal movements popped up not just in the U.S. and Canada but globally. Through their extra efforts, many businesses were able to keep their doors open and their staff employed.

Now it is time to take that generosity shown to us and give it back to our community.

Giving Back

So, as a hospitality business, how can you contribute to Giving Tuesday?

Firstly, discuss it with your team! If you are able to contribute a monetary donation to your community in some way, which charity or organization speaks most to the values you all share?

If you aren’t able to contribute a monetary donation, how can you volunteer your time as a team? Maybe you can make your space available free of charge for a local organization or charity to host an event. Perhaps you can cook meals or bake goods as a team to provide to those in need, or who work tirelessly to make your community a better place.

The opportunities for giving back are endless and you can be as creative as you like. Host a breakfast with Santa for a local children’s group or do a hot chocolate and cookie drop off at a senior’s centre.

Brainstorm as many ideas as possible with your team. The process of thinking of charitable acts alone will brighten your team’s mood and get everyone in the giving spirit.

Share, Share, and Share Some More

Once you decide how you will participate in Giving Tuesday, tell the world about it!

Take photos, share the link to the charity or organization you are giving to, and encourage others to give alongside you. Tell a story.

However, do not engage with Giving Tuesday cynically with the goal of social media exposure. Be truly kind and generous.

Generosity is contagious. Your act of kindness will encourage others to do the same. It will also shine a bright spotlight on your hospitality brand, so make certain you’re engaging in kindness authentically and not just to score points with your community.

For more information on Giving Tuesday, please visit www.givingtuesday.org. Cheers to professional and personal well-being!

Image: Andrew Thornebrooke on Unsplash

Luxury concept featuring Champagne coupes on silver tray

November 12, 2021by David Klemt David Klemt No Comments

As Guests Learn More, Luxury Grows

As Guests Learn More, Luxury Grows

by David Klemt

Consumers are drinking better and the luxury categories of several spirits, wine and Champagne are benefitting.

Interestingly, this growth no longer appears to be driven solely by a desire to stand out and be seen.

Instead, according to one Bar Hacks podcast guest, consumers seem to be more carefully allocating their dollars.

Luxury Continues to Rise

The word “luxury” tends to conjure thoughts of expensive, high-end items.

Indeed, that’s certainly still a part of luxury. However, the concept of luxury as unattainable to most people is seemingly falling to the wayside.

Maxime Lecocq, Prestige sales manager in Las Vegas for Pernod-Ricard, shares a similar thought on episode 56 of Bar Hacks.

“The consumption style started to change during the pandemic,” says Lecocq. “So, people are more careful on what they’re drinking, where they’re spending their money.”

Intriguingly, Lecocq doesn’t mean that people were looking to spend as little as possible. Rather, they wanted higher quality for their dollars.

“Instead of having just any Scotch, they’re gonna research more,” Lecocq says. “Instead of spending, like, $25, they’re gonna be like, ‘Oh, I’m gonna spend $40 but I’m gonna be more careful about what I’m gonna drink.'”

As far as Lecocq is concerned, consumers doing more research is benefiting the luxury segment.

Why does he think that? Because it appears that research is leading consumers to spend more on luxury spirits and wine.

Numbers Support Luxury Growth

Early last month, Distilled Spirits Council of the United States (DISCUS) shared their research into luxury spirits.

DISCUS data shows that during the period from 2015 to 2020, luxury spirits brands saw sales growth of 125 percent. Further, looking at the first half of 2021, luxury spirits volume is up 25 percent.

For the curious, DISCUS considers any brand that sells 750mL bottles at retail for $50 or more to fall within the luxury segment. So, $10 more than the example Lecocq provides during his Bar Hacks appearance.

There are six luxury categories tracked by DISCUS: American whiskey, Cognac, Irish whiskey, Japanese whisky, Single Malt Scotch, and Tequila.

On his podcast episode, Lecocq discussed three of those categories: Cognac, Single Malt Scotch, and Tequila.

Growth Categories

Per DISCUS, American whiskey has seen annual growth since 2015 of 41 percent. For Japanese whisky, that rate of growth is 42 percent.

Irish whiskey and Single Malt Scotch are also healthy annual growth. However, Irish whiskey’s annual growth is only a third of that of its Japanese counterpart at 14-plus percent.

Single Malt Scotch, in the first half of 2021, is up 5.6 percent.

According to DISCUS, Cognac’s annual growth is nearly 16 percent. Lecocq posits that this rise in interest in Cognac is down to shifting consumer perception.

Once thought of as “your grandparents’ drink,” younger consumers are now more eager to explore this type of brandy.

It’s perhaps tequila that sees the most interesting growth. Given its explosive and seemingly unwavering popularity, I thought the luxury tequila category would see growth in excess of 42 percent.

However, per DISCUS, luxury tequila brands are up 30.7 percent annually since 2015. Obviously, that’s impressive growth, and the category represents 28 million bottles sold.

That’s more than American, Irish, Japanese and Single Malt Scotch whiskeys combined.

Of course, this doesn’t mean that operators should abandon their less expensive spirits and wines. It does, however, show that consumers are willing to pay more for what they perceive to be higher quality brands.

Image: Billy Huynh on Unsplash

Military combat helmet in digital camouflage

November 9, 2021by David Klemt David Klemt No Comments

Adding Veterans to Your Team

Adding Veterans to Your Restaurant, Bar or Hotel Team

by David Klemt

Do more this Veterans Day by encouraging those who have served to apply and interview for available positions on your team.

There are several benefits to providing job opportunities to veterans, regardless of the country (or countries) in which you operate.

Of course, there are dos and don’ts that come along with recruiting, hiring and working with veterans.

Benefits to Hiring Veterans

Before we begin, a caveat: Remember that veterans are individuals. “Veteran” is a label, a designation, a descriptor. In no way is one person who is a veteran interchangeable with another.

That said, there are some elements of military service that are similar to those of successful hospitality operations.

Teamwork, a strong work ethic, leadership skills, precision in tasks, achieving goals, consistency in results… When a restaurant, bar or hotel team is operating at its best, it can be said they work with military precision.

Generally speaking, veteran job candidates bring experience to the table that can benefit an operator greatly.

Additionally, it’s commonly said that hospitality leadership should hire for personality because they can train requisite skills. Speaking generally again, many veterans are so used to receiving specialized training that they’ll likely appreciate and respond quickly to yours.

If you want your business to operate with military precision, why wouldn’t you hire military personnel who fit well within your team?

Questions to Ask During Interviews

Obviously, there are definite dos and don’ts when it comes to discussing a veteran’s military experience.

As curious as you may be about some aspects of a veteran’s experience, questions shouldn’t be invasive or offensive.

Some examples of questions you should ask are:

“What did you do (in the Air Force, Army, Coast Guard, Marines, Navy, National Guard or Reserves)?”
“Why did you choose that branch of the military?”
“How long did you serve?”
“Do you come from a military family?”
“Where were you stationed during your career in the military? Did you visit any other countries?”
“Where was your favorite place you visited or lived?”
“How do you think your experience in the military will benefit you here?”

As you can see, nothing in those questions should make a veteran applicant uncomfortable.

Questions and Behaviors to Avoid

Speaking of discomfort, there are many questions that you should never ask a veteran. Not just during the interview process, but ever.

Also, if a veteran informs you they’re uncomfortable answering a question about their service, that should be respected.

Examples of questions and topics you should avoid are:

“Do you have PTSD (Posttraumatic Stress Disorder)?”
“Do you find it hard to get back to ‘real/regular’ life after being in the military?”
“Did you ever get shot/stabbed/bombed?”
“Did you ever kill anyone?”
“What’s the worst thing that ever happened to you while you served?”
Current military conflicts, particularly if you haven’t served in the military.
Referring to elements of work through military analogies.
Insulting branches of the military if you never served.

In short, treat veterans with the respect their deserve, as you should any other member of your staff. Veterans aren’t novelties or curiosities—they’re people.

For too long, veterans have faced undue scrutiny and undeserved stigmatization. It shouldn’t be difficult to turn that around when the solution is simple: Give veterans respect; treat them like people since that’s precisely what they are; and provide equal opportunity.

Image: israel palacio on Unsplash

November 8, 2021by David Klemt David Klemt No Comments

You’re Competing Against Chains for Labor

You’re Competing Against Chains for Labor

by David Klemt

Independent operators and local chains aren’t just competing with one another for staff, they’re up against global brands.

Unfortunately, that means competing against massive corporations that can offer higher wages and all manner of benefits.

However, smaller operations can still take steps to lure workers and fill open positions.

The Threat

In response to the labor shortage, many national and global chains are increasing hourly wages.

For example, Chipotle boosted wages for hourly workers to $15 per hour a few months back. Along with this boost in wages came a hike in menu prices: four percent across the board.

Earlier this year, McDonald’s also announced they would boost hourly pay. Hourly workers saw a boost of about ten percent. Of course, this chain also found itself dealing with increased supply costs. To offset a rise in costs of at least four percent, McDonald’s also boosted menu prices.

The latest to enter the labor fray is Starbucks. And like other chains, the corporation addressed the issue of hourly wages publicly.

Indeed, Starbucks’ announcement shares several details. First, staff who have worked for the company for a minimum of five years could see a pay raise of ten percent. Those who have been with the company for at least two years (but less than ten) could get a raise of five percent.

However, it doesn’t end there. Starbucks workers in the United States can take advantage of $200 referral bonuses. On average, Starbucks says hourly wages will range from $15 to $23 per hour, with an average of $17 per hour. The company expects these wage changes to be in place by Summer 2022.

Solutions

Of course, one doesn’t have to need revenue in the tens of millions or billions of dollars to compete for staff.

We’ve addressed this topic several times on the KRG Hospitality site. In particular, we’ve brought up increasing menu prices to support wage hikes. Specifically, we recommend borrowing from Chipotle and McDonald’s: Be transparent and explain why menu prices are going up.

Additionally, Bar Hacks guests like Chef Brian Duffy and Lynnette Marrero have spoken about this topic.

As Chef Duffy says during his second appearance, treating staff better is a big step toward reducing turnover. Word spreads among hospitality workers, and improved employer-employee relations is an excellent recruitment tool.

Another effective benefit? Flexible and improved scheduling which, of course, can be implemented easily via scheduling apps.

Mentorship is a powerful recruiting and retention tool. Both Chef Duffy and Marrero believe in the power of this benefit. They have decades of experience to pass on to staff that can help their careers.

Marrero also suggests implementing labor structures that corporations don’t offer. For instance, she suggests new operators are well positioned to offer earned equity, profit sharing, and co-op ownership structures.

Existing operators can also leverage Marrero’s ideas. However, they’ll need agreement from their investors if they have any.

Now that you know where labor threats are coming from, you can strategize and fight back. You may not have billions of dollars in the bank, but you’re nimble and can implement changes much more quickly. Listen to your staff and be open to making meaningful but reasonable concessions.

Image: Fernando Venzano on Unsplash