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September 27, 2023by David Klemt David Klemt No Comments

Canadians Preparing for NHL Opening Week

Canadians Preparing for NHL Opening Week

by David Klemt

Now nobody can accuse me of showing any NHL teams favoritism. Go Knights Go!

As one should expect, Canadian hockey fans are preparing for the 2023-2024 NHL season opener, and those preparations include on-premise visits.

On Tuesday, October 10, three teams will face off to start the regular season.

First, the Nashville Predators take on the Tampa Bay Lightning. Then, the Chicago Blackhawks will face the Pittsburgh Penguins.

Finally, after raising their brand-new, first-ever Stanley Cup championship banner, which they won just six seasons after their founding, the fastest an expansion team has accomplished this feat, the Vegas Golden Knights will welcome the Seattle Kraken to T-Mobile Arena in Las Vegas.

According to on-premise data from CGA by NIQ, Canadian hockey fans are planning to celebrate the start of the season at bars and restaurants. That means operators have less than two weeks to finalize plans to attract these guests to their venues.

In particular, operators in four provinces need to ensure their NHL opening week plans and promotions are good to go. Per CGA’s data, consumers in Québec are showing the greatest interest in watching this season’s opening games in bars and restaurants. Following and driving on-premise interest are British Columbia, Ontario, and Alberta.

Of course, operators throughout the provinces who serve sports fans should be ready to welcome hockey fans.

For our Canadian readers, the Montréal Candiens will take on Toronto Maple Leafs on Wednesday, October 11. On that same day, the Ottawa Senators face the Carolina Hurricanes; the Edmonton Oilers face off against the Vancouver Canucks; and the Winnipeg Jets will battle the Calgary Flames.

Click here for the full opening week schedule.

Why Does this Matter?

I may catch some flack for this but technically, any bar with televisions events can be a sports bar.

Yes, I understand that’s a very simplistic view. And yes, of course that comes with the caveat that sports should be authentic to a given concept. Also, showing sports should take into account the expectations of bar or restaurant’s guests.

In other words, most bars and restaurants can benefit from sports but they’d likely be a hindrance to some high-end cocktail bars and fine-dining concepts.

With that out of the way, operators who want to establish themselves as the go-to spot for sporting events need to nail opening week. That means having all of their ducks in a row.

Do they have the proper business TV packages in place? Will promotions and programming appeal to the target audience? Are the screens and audio system high quality for the best viewing experience? Does the menu offer sports fans what they want for great value? Is the team pulling out all the spots to make viewing fun?

Regarding the menu, CGA by NIQ has a couple of valuable insights. First, beer is the top beverage alcohol category among those planning to celebrate NHL opening week on-premise. Second, among those who plan to consume spirits, tequila is the top pick. Sounds like offering beer and tequila shot pairings could perform well.

However, operators should certainly take into account their own data. What F&B items are selling the best? Which items performed the best this same time last year?

Between 15 and 16 million Canadians follow hockey. That’s a vast pool of potential customers to convert to loyal guests. The importance of becoming their sports home base, their third spot, cannot be overstated.

This coming opening week, lay the groundwork to become the go-to place for hockey fans, fantasy sports competitors, and sports bettors.

Image: cottonbro studio via Pexels

September 26, 2023by David Klemt David Klemt No Comments

Time to Rethink Your Loyalty Program?

Is it Time to Rethink Your Loyalty Program?

by David Klemt

So, you have a loyalty program in place. That’s great, but is it time to review its performance and implement meaningful changes to improve engagement?

I know, I know—that feeling of “if it ain’t one thing, it’s another” never seems to go away. That’s part of operator life.

The good news is that, if you have a loyalty or rewards program and it has been working, you’re a step ahead of many other operators. In that way, it’s similar to implementing an actual onboarding process and including an employee manual.

But what should you do if you notice engagement dropping? Well, it may indicate that while there’s interest in your program, it’s getting stale. Or, perhaps people don’t like the rewards or think they’re earning rewards quickly enough.

If engagement isn’t at the levels you want or is noticeably declining, it’s time to review your program with a critical eye.

In fact, it’s a great idea to ask your team for their feedback regarding loyalty. After all, your team hears guest feedback in real time. Also, they likely have some ideas of their own that can help refresh the program. After all, some people on your team may be members of loyalty programs themselves and have some thoughts.

Engagement via Gamification

The word “gamification,” much like “pivot,” may be a word that annoys you. That doesn’t make it any less relevant.

Millions of people are on their phones nearly every waking moment of the day. And millions among those millions engage with brands and apps via games or game-like features. It keeps these people coming back for more.

One restaurant chain that understands the power of gamification is Jimmy John’s.

First, the brand’s loyalty and rewards program has an interesting name: Freaky Fast Rewards. Second, they issue challenges that drive member engagement.

For example, for Q1 2023, Jimmy John’s threw down the Gauntlet via the Freaky Fast Rewards program. Members had until the middle of March to purchase every sandwich on the menu. The reward? A branded beanbag chair that looks like a bag of Jimmy Chips.

Of course, the program engages its members in other gamified ways. There are achievement badges to earn, for instance. And there have been challenges that were narrowed down to daypart to drive traffic and engagement.

Free food and merchandise are common rewards, but there are also surprises that members can earn to keep things fresh.

Program Updates

Another brand giving their loyalty program a refresh is Domino’s.

Rather than do what some other companies have done, the pizza giant is lowering the threshold to earn rewards.

Around a year ago, Chipotle experienced significant backlash from loyalty program members when they went the other direction. In response, one would think, to rising costs, the brand increased the amount its members had to spend to earn rewards.

That went about as well with many of their customers as you’d expect, of course. Loyalty and rewards programs are meant to increase traffic and spend per guest, not alienate them and drive them away.

Enter: The Domino’s Rewards refresh.

“We are thrilled to give the brand’s loyal customers additional ways to earn free Domino’s items more often,” said Mark Messing, Domino’s vice president of digital experience and loyalty, via press release. “At a time when most brands are scaling back their loyalty programs and making it more difficult to earn and redeem points, Domino’s is doing the opposite. We want to make it easier to reward our customers and give them more options so they can get rewarded faster.”

Members can not only earn points more quickly (every $5 spent equals 10 rewards points), they can redeem more quickly as well. For example, a 16-piece Parmesan bread bites is just 20 points. Free stuffed cheesy bread is only 40 points now. And that’s to say nothing of offers that are exclusive to members.

Takeaway

Only you, of course, can know how to adjust your loyalty program. You need to look at your data to understand the best solution for waning engagement.

The last thing you should do is lower points thresholds without knowing your numbers. And if you’re considering gamifying your program, you need to know if that’s an approach your guests will actually like.

In other words, don’t rush to upgrade or update your loyalty program. Take time, collect relevant data, engage your team, and move forward with any changes with strategic clarity.

Image: Polina Tankilevitch via Pexels

The Passalacqua hotel on Lake Como in Italy

September 25, 2023by David Klemt David Klemt No Comments

The Best Hotel in the World is in Italy

The Best Hotel in the World is in Italy

by David Klemt

An intimate, 24-key property with extraordinary views of Lake Como holds the number-one spot on the first-ever World’s 50 Best Hotels list.

Unquestionably, every hotel on the list is incredible. Clearly, the World’s 50 Best is making their standards clear. Truly, I don’t envy the task the voters and academy chairs will face in organizing the 2024 list. (I do envy their travels and hotel stays, of course.)

Passalacqua, once a villa owned by a count, has earned the World’s 50 Best Hotels crown.

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A post shared by Passalacqua (@passalacqualakecomo)

Interestingly, a number of the hotels on the inaugural World’s 50 Best Hotels list are similar in size to Passalacqua, as far as number of keys goes. Like the number-one hotel, Aman Venice (no. 14) also has 24 keys. The Singita Lodges (no. 15) at Kruger National Park have 23 keys. Finally, Nihi Sumba (no. 18) has 27 keys, though they’re all separate villas.

Of course, Passalacqua also features separate buildings.

At the top of the property sits the Palazz, a decadent but elegant country home. Heading toward Lake Como from the Palazz, guests encounter the luxe Villa. Following are the bar, pool, fitness center, bocce court, tennis court, and acres of immaculate gardens. Overlooking the alluring waters of Lake Como is the Casa al Lago, literally “the House by the Lake.”

Through the Palazz, Villa, Casa al Lago, and seven acres of gardens, Passalacqua delivers a unique interpretation of luxury.

La Villeggiatura

I’m certain that when some people hear “best hotel” they immediately picture opulent temples built to deliver the highest level of hospitality to the elite among elite guests.

However, luxury, opulence, elegance, decadence… In the hospitality world, particularly in the five-star segment, there are multiple interpretations of those words.

On one end of the spectrum a concept can be ostentatious, pretentious. And on the other, an operator and their team can take great pains to ensure they deliver an experience that simply whispers luxury.

Passalacqua approaches luxury and indulgence with intention. There’s no question that the villa, built in the late 1780s for Count Andrea Lucini Passalacqua, is opulent. Villa Pasalacqua was put up for auction by its previous owner, an American banker, and purchased by the De Santis family in 2018. The family, who also operate the stunning, 84-key Grand Hotel Tremezzo, partnered with interior design studio BAMO for a three-year restoration. The results, of course, are breathtaking.

Breathtaking but restrained. Passalacqua’s guiding principle is to allow its guests to experience la villeggiatura. While some English speakers translate this concept to a vacation or getaway, it’s much more than that to Italians.

La villeggiatura, traditionally and to the Passalacqua team, means to leave one’s city home and travel for a stay in a country home, often for an entire season. The De Santis family delivers on this concept, adhering to their mission to ensure that Passalacqua guests feel as though their relaxing and recharging at their home in the country.

Considering what the collective at BAMO has to say about the property, the villa itself dictated that they honor la villeggiatura during the restoration of the property.

Quiet Luxury

Luxury and indulgence go beyond interior and exterior design, of course. Those elements are also about more than simply anticipating and catering to a certain level of guest’s every whim.

One of my favorite components of Passalacqua is the approach to food and beverage.

We’re talking about a property in Italy that has been ranked the best in the world; F&B must be part of the discussion.

The approach, according to Passalacqua, is to immerse guests in a feeling. That feeling is that they’re staying at their own country home or the elegant home of an Italian friend.

So, a guest may find their way to the kitchen. And that guest may find themselves chatting with the brigade, and then learning how to make pasta or tasting through wines that were just delivered.

Forget the chef’s table—this is an invitation to the chef’s home.

From what I can find, the F&B program at Passalacqua is incredible but unpretentious. It’s a carefree breakfast, an airy lunch with new friends, and an intimate yet convivial dinner with one’s favorite people.

This is quiet luxury and indulgence, and, to me, is what sets Passalacqua apart.

What World’s 50 Best Hotels Says

For further insight into why Passalacqua boasts the title of Best Hotel in the World, consider the following:

“Set within spectacular terraced gardens and unfolding over just 24 rooms in an 18th-century villa, Passalacqua is a showcase of the finest Italian craftsmanship in a sumptuous riot of ornate Baroque elegance. Ceiling carvings, original frescoes, Murano chandeliers and perfectly manicured gardens: it all comes together in a sublime retreat.

“The hotel is the creation of the De Santis family, whose history in hospitality is manifest throughout the Passalacqua operation. Each element of the hotel, from its lauded design to its formidable staff and breathtaking location, works in total symbiosis to earn the establishment the inaugural title of The World’s Best Hotel 2023.”

The World’s 50 Best Hotels continues:

“From its perch amid private grounds in Moltrasio, the hotel’s 24 rooms are spread out over three buildings: the main villa, the eight-room Palazz (housed in the former stables with giant original exposed beams) and the four-suite Casa al Lago down by the lake. Inside, Italian craftsmanship abounds with original frescoes and ceiling carvings that are further embellished with gilded mirrors, 19th-century portraits, lacquered antique tables, Murano chandeliers and Il Bronzetto light fittings. Outside, seven acres of perfectly manicured terraced gardens with olive groves, mimosa, roses and magnolia lead to the sexy pool terrace which is dotted with vibrant JJ Martin-designed parasols that add a cheeky, fashionable flair to the otherwise classic opulence.”

Congratulations to the owners and team behind Passalacqua! And congratulations to the 49 other spectacular hotels and resorts on the list.

Cheers!

Image: Stefano Anzini / Passalacqua

September 21, 2023by David Klemt David Klemt No Comments

The World’s 50 Best Hotels: 2023

World’s 50 Best Reveals the top Hotels

by David Klemt

The inaugural ceremony took place at Guildhall in London, England.

The World’s 50 Best launches their inaugural World’s 50 Best Hotels list and recognizes the finest hotels and resorts across six continents.

Mark Sansom, content director for the World’s 50 Best Bars, revealed this new list on episode 90 of the Bar Hacks podcast. That episode was published in January of this year.

Adding the World’s 50 Best Hotels to the World’s 50 Best portfolio makes perfect sense.

The organization first began ranking restaurants in 2002. In 2013, the World’s 50 Best Restaurants introduced regional lists, including Asia’s 50 Best Restaurants.

Then came the World’s 50 Best Bars in 2009. In 2012, the list celebrated its inaugural awards ceremony. The first regional list was launched in 2016, and North America’s 50 Best Bars was kicked off in 2022.

F&B, of course, pairs perfectly with travel. To have food, beverage, and travel under one umbrella shows the World’s 50 Best’s commitment to evolving and celebrating the best of hospitality as a whole.

As you’ll see below, this inaugural list is undeniably impressive. The World’s 50 Best Hotels have set an incredible standard with this list of properties.

That begs a question: If these are the winners for 2023, what amazing hotels and resorts will earn placements on the list in the coming years?

Congratulations to the first 50 winners to earn spots on the list!

The World’s 50 Best Hotels 2023: 50 to 11

Hôtel de Crillon (Paris, France)
Six Sense Ibiza (Portinatx, Ibiza, Spain)
Equinox New York (New York City, New York, United States of America)
The Savoy (London, England, United Kingdom)
NoMad London (London, England, United Kingdom)
The Oberoi Amarvilas (Agra, Uttar Pradesh, India)
Atlantis the Royal (Dubai, United Arab Emirates)
Badrutt’s Palace (St. Moritz, Switzerland)
The Siam (Bangkok, Thailand)
Eden Rock (St. Barths)
Desa Potato Head (Seminyak, Bali, Indonesia)
Hoshinoya Tokyo (Tokyo, Japan)
Amangalla (Galle, Sri Lanka)
The Newt (Bruton, England, United Kingdom)(winner of the Carlo Alberto Best Boutique Hotel)
Soneva Jani (Maldives)
Four Seasons Astir Palace (Athens, Greece)
Cheval Blanc (Paris, France)
Hotel Du Cap-Eden-Roc (Antibes, France)
Gleneagles Hotel (Auchterarder, Scotland, United Kingdom)(featured on the Bar Hacks podcast)(winner of the Art of Hospitality Award)
La Réserve (Paris, France)
Park Hyatt Kyoto (Kyoto, Japan)
Le Bristol (Paris, France)
Capella Singapore (Singapore)
Rosewood São Paulo (São Paulo, Brazil)
The Maybourne Riviera (Roquebrune-Cap-Martin, France)
Aman New York (New York City, New York, United States of America)
Four Seasons Madrid (Madrid, Spain)
Royal Mansour (Marrakech, Morocco)
The Connaught (London, England, United Kingdom)
Borgo Egnazia (Savelletri, Puglia, Italy)
Le Sirenuse (Positano, Campania, Italy)
Hotel Esencia (Tulum, Quintana Roo, Mexico)
Nihi Sumba (Wanokaka, Sumba Island, Indonesia)
Raffles Singapore (Singapore)
Claridge’s (London, England, United Kingdom)
Singita Lodges – Kruger National Park (Kruger National Park, South Africa)(winner of the Flor de Caña Eco Hotel Award)
Aman Venice (Venice, Veneta, Italy)
Chablé Yucatán (Chocholá, Yucatán, Mexico)
The Calile (Brisbane, Queensland, Australia)
Capella Bangkok (Bangkok, Thailand)(winner of the Nikka Best New Hotel Award)

The World’s 50 Best Hotels 2023: 10 to One

Mandarin Oriental Bangkok (Bangkok, Thailand)
Four Seasons Firenze (Florence, Tuscany, Italy)
One&Only Mandarina (Puerto Vallarta, Jalisco, Mexico)
Soneva Fushi (Maldives)(winner of the Lost Explorer Best Beach Hotel Award)
La Mamounia (Marrakech, Morocco)
Aman Tokyo (Tokyo, Japan)
The Upper House (Hong Kong)
Four Seasons Bangkok at Chao Phraya River (Bangkok, Thailand)
Rosewood Hong Kong (Hong Kong)
Passalacqua (Moltrasio, Como, Italy)

The Lodge at Blue Sky, a property in the Auberge Resorts Collection, in Park City, Utah, USA, earned the Lavazza One to Watch Award. Also, 28-year industry veteran Sonu Shivdasani OBE, the co-founder and CEO of Soneva, took home the SevenRooms Icon Award.

This year’s top hotel, Passalacqua, has been welcoming guests for barely a year. However, the property itself was built in the late 1700s for Count Andrea Lucini Passalacqua.

After undergoing a three-year restoration, the intimate hotel proudly offers guests stunning views of Lake Como. Owned by the family behind the 84-key Grand Hotel Tremezzo, Passalacqua features just 24 keys. The suites are spread out between the primary villa, the country-house-styled Palazz, and Casa al Lago, which is located close to the waters of Lake Como.

This is truly a deserving winner, an ultra-luxe but relaxing resort. Moreover, Passalacqua shows that a resort with just two dozen keys can compete against hotels several times its size.

Image: David Holbrook

Canadian and America flags flying together

September 20, 2023by David Klemt David Klemt No Comments

Indies in the US & Canada: The Numbers

Independents in the US & Canada: The Numbers

by David Klemt

Operators who wonder how many independent restaurants there are throughout America and Canada finally have their answer thanks to Datassential.

The well-known food and beverage research and intelligence platform’s recent infographic reveals the state of indies in both countries.

For the purposes of their infographic, Datassential splits restaurants into two overarching categories. One major category is full-service restaurants, the other is limited-service.

From there, the platform organizes restaurants into five segments: casual, QSR, midscale, fast casual, and fine dining.

To my understanding, QSR and fast casual fall under Datassential’s limited-service designation. Casual, midscale, and fine dining are full-service restaurants.

To review the infographic yourself, please click here.

Number of Indie Restaurants: America

According to Datassential, there are 483,885 independent restaurants in the US.

Of those restaurants, 57 percent are full-service. It follows, then, that 43 percent are limited-service.

Close to half—44 percent—of full-service restaurants in the US boast more than five years of being open. Just a quarter of limited-service restaurants (26 percent) can claim the same.

This does, anecdotally, make some sense. QSRs and fast-casual brands have been on the rise over the past couple of years. In fact, some casual chains are developing and launching QSR brands off the strength of the category.

Finally, 21 percent of full-service restaurants in the US see annual sales under $500,000. That number climbs to 27 percent for limited-service restaurants.

Now, let’s take a look at independent restaurants in Canada.

Number of Indie Restaurants: Canada

Per Datassential, there are a total of 59,914 independent restaurants throughout Canada.

The split between full-service restaurants and limited-service restaurants is just about even. Fifty-one percent of indie restaurants in Canada are full-service. Forty-nine percent are limited-service operations.

A little under 40 percent of full-service independent restaurants in Canada (36 percent) can say they’ve been operating for more than five years. That number is 28 percent for limited-service restaurants.

Interestingly, just five percent of independent full-service restaurants in Canada bring in less than $500,000 in sales annually. That number jumps to 34 percent when we look at the limited-service category.

Indie Restaurants by Segment

The breakdown of the five Datassential independent restaurant categories is the same for America and Canada.

Most independent restaurants in either country are casual. Following, in descending order of number of restaurants, are QSR, midscale, fast casual, and fine dining.

For America, the numbers are as follows:

Casual: 37 percent
QSR: 34 percent
Midscale: 19 percent
Fast casual: 9 percent
Fine dining: 1 percent

And for Canada the breakdown is nearly identical:

Casual: 37 percent
QSR: 30 percent
Midscale: 18 percent
Fast casual: 14 percent
Fine dining: 1 percent

There are eight times as many independent restaurants in America as there are in Canada. But as you can see, the industry segmentation by country is nearly the same.

Future independent operators can look at this information a few different ways. They can choose to join the most popular segments and differentiate themselves from the competition. They can look for and fill a need for an indie fast-casual or fine-dining concept. Or they can shoot for the middle and go midscale, a segment that’s gaining traction across several hospitality industry sectors.

For you own copy of Datassential’s infographic, follow this link.

Image: chris robert on Unsplash

A bowl of ramen with beers in the background

September 19, 2023by David Klemt David Klemt No Comments

The Top-performing New Restaurant Type

The Top-performing New Restaurant Type

by David Klemt

According to a midyear Yelp report, one category of new restaurant is experiencing a surge in growth across the US unlike any other.

No, it’s not ramen, as the image above suggests. Instead, it’s pop-up restaurants.

We can trace the growth of this category, at least on the operator side, to cost. Sure, pop-ups were popular before 2020. However, they grew even more popular during the pandemic.

One can argue the life cycle of the pop-up is fad to trend to cost-saving adaptation to proliferation.

There are even those who transform shipping containers into mobile, pop-up restaurants and bars. With the right permits and hookups (water, electricity, etc.), an operator can test a new market or an entirely new concept before committing fully to a brick-and-mortar location.

In other words, the pop-up simply makes sense for our industry. This category of restaurant (or bar) clearly doesn’t cost anywhere as much as its permanent brick-and-mortar counterparts, for one. Secondly, a pop-up doesn’t (shouldn’t, anyway) require more than a skeleton crew. And thirdly, they do seem to enjoy pops in interest whenever they come to a new market or new address.

There are, of course, other benefits. However, the low(er) cost is the most attractive element for most operators.

Keep in mind that Double Chicken Please started life as a pop-up cocktail concept. In fact, DCP is the current Best Bar in North America according to the World’s 50 Best Bars.

Covering more than 10,000 miles and serving over 1,200 cocktails, the DCP pop-up toured the US for three years before finding a brick-and-mortar home. And what a home. The concept is now a jewel in New York’s Lower East Side F&B crown.

Top Restaurant Types by Opening

According to Yelp, the following restaurant categories are experiencing the most growth.

The numbers below represent the changes in business openings from April 2021 to March 2022 in comparison to April 2022 to March 2023.

Pop-ups: +105 percent
Ramen: +45 percent
Noodles: +40 percent
Tacos: +28 percent
Chicken shops: +28 percent
Food stands: +23 percent
Japanese: +20 percent
Breakfast and brunch: +20 percent
Sushi: +13 percent
Steakhouses: +9 percent

As the numbers above show, the growth of pop-ups far exceeds that of any of the other categories. In fact, they’re growing by nearly three times that of the second-place category, ramen restaurants.

Make a Pop-up Work for You

For a pop-up to work the concept must be realized fully. The brand and its story must be communicated clearly.

And while the menus can perhaps change more easily, signatures should be dialed in to generate buzz.

At KRG Hospitality, our view of pop-ups is a popular one. We think they’re excellent branding tools and are a viable way for new operators to test the waters.

However, we believe that a successful pop-up should be paired with a fully customized feasibility study and in-depth concept development. Both are core services offered by KRG Hospitality, and both are specialties that set us apart.

They may be mobile, they may feel niche and “temporary” or experimental, but they’re still a business.

A pop-up can only transform into a brick-and-mortar concept with a shot at longevity if the operator treats it as a roving proving ground.

Image: Diego Lozano on Unsplash

Tray with In N Out burgers and French fries

September 18, 2023by David Klemt David Klemt No Comments

FAST Act Fight Appears to be Over

FAST Act Fight Appears to be Over

by David Klemt

Well, that was fast: If recent reports are accurate—and it appears they are—the battle over the FAST Act has come to a close.

Rather than fight on the ballot, fast-food chain operators and labor groups have struck a deal. Per some reports, this puts a halt to a referendum battle that could have cost more than $100 million in campaign funds.

On its face, the deal is quite simple. AB 257, known as the Fast Food Accountability and Standards Recovery—or FAST Act—is dead. That is, dead save for one provision: the creation of the Fast Food Council will move forward.

The council will have a total of eleven members. Nine will have the power to vote, two will be non-voting members. The breakdown will be as follows:

two representatives of the fast-food restaurant industry (2);
two franchisees or restaurant owners (2);
two restaurant employees (2);
two advocates for fast-food restaurant employees (2);
member of the public who is not affiliated with either side (1, will serve as chair); and
members from the Department of Industrial Relations and the Governor’s Office of Business and Economic Development (2, non-voting)

Their first meeting is on the schedule for March 15.

In exchange, fast-food workers will see the minimum wage bump up to $20 per hour should they be in the employ of a fast-food chain with more than 60 locations throughout the US. That pay rise will come in April 2024.

When it comes to further pay rises, the council has two options:

An annual wage increase of 3.5 percent; or
An increase based on average changes to the consumer price index each year.

As one might expect, the rise will be whichever number is lower.

What was AB 257?

To summarize, FAST would’ve done the following:

Establishes the Fast Food Council, ten members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee. The council will operate until January 1, 2029.
Defines “the characteristics of a fast food restaurant.”
Gives the Fast Food Council the authority to set “minimum fast food restaurant employment standards, including standards on wages, working conditions, and training.”
Provides the council the power to “issue, amend, and repeal any other rules and regulations, as necessary.”
Allows the formation of a Local Fast Food Council by a county, or a city that has a population of more than 200,000.

Click here to review the bill’s text in its entirety.

Why is this Important?

It’s entirely possible that similar bills will pop up in other states in the coming years.

If this result is anything go by, such bills may be used by QSR operators and labor groups as negotiating tactics. The most recent news regarding the FAST Act should have the attention of both operators and hospitality workers. In California alone, the pay rise is expected to affect at least 500,000 workers.

However, there is one provision of the FAST Act that workers may find less than encouraging. The deal that has been struck kills a notable provision: fast-food operators, at least in California, won’t be held legally responsible for labor violations that occur in franchise locations.

Operators in other states should keep an eye out for similar bills, as should all hospitality professionals.

Image: Kenny Eliason on Unsplash

Josué Gonzaléz for the Rémy Martin "Que Viva Rémy Sobremesa" campaign

September 15, 2023by David Klemt David Klemt No Comments

Rémy Martin Pays Homage to Sobremesa

Rémy Martin Pays Homage to Sobremesa

by David Klemt

Mixologist Josué Gonzaléz for the Rémy Martin “Que Viva Rémy Sobremesa” campaign

Rémy Martin is teaming up with the Hispanic Restaurant Association to celebrate Hispanic Heritage Month by honoring a post-dinner tradition.

That tradition, an important element of a number of Hispanic cultures, is called “sobremesa.” Translating to “at the table” or “upon the table,” sobremesa is the period of time after a meal during which people relax, chat, and digest.

This is, of course, one of the most important elements of a great meal and gathering of friends and family. While sobremesa may fly in the face of the “turn-and-burn” approach to operation, a hallmark of a wonderful time out at a restaurant is the post-meal vibe.

Are guests lingering with smiles on their faces, ordering post-dinner drinks and chatting, giving off a good energy? That would indicate an operator and their team have delivered excellent service and a memorable guest experience.

To celebrate Hispanic Heritage Month and sobremesa, Rémy Martin is launching a new campaign: “Que Viva Rémy Sobremesa.”

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A post shared by Rémy Martin US (@remymartinus)

Que Viva Rémy Sobremesa

A core element of this collaboration between Rémy Martin and the Hispanic Restaurant Association is bringing food and beverage together.

To achieve this, Que Viva Rémy Sobremesa is bringing together three influential F&B professionals.

Hailing from the Bronx with a career that has brought her to Washington, DC, Chef Paola Velez is an entrepreneur, activist, and the founder of Bakers Against Racism.

A restaurateur with restaurants in Mexico and Chicago—and his sights on California’s dining scene—Chef Carlos Gaytán is the first Mexican-born chef to earn a Michelin star.

Miami native and revered bartender Josué Gonzaléz brings an understanding of the culinary to his craft, beginning his journey in hospitality as a Johnson & Wales culinary student. His résumé includes some of the best bars and restaurants in America.

This powerhouse trio has been tasked with creating cocktails and culinary pairings that feature Rémy Martin and shine a spotlight on sobremesa. Their hard work will be showcased through immersive experiences throughout the US. Click here for Chef Velez’s recipes, here for Chef Gaytán’s creations, and here for Gonzaléz’s recipes.

However, Que Viva Rémy Sobremesa doesn’t stop with the conclusion of a meal. Rémy Martin, the Hispanic Restaurant Association, and their featured chefs and bartender also seek to add a new element to sobremesa.

Rather than sobremesa representing the end of a night out, Que Viva Rémy Sobremesa aims to transform the tradition into the start. In other words, “last call” now signals “the first call of the rest of the night.” Instead of asking, “When can we do this again,” the campaign encourages friends and family to ask, “What’s next tonight?”

The Mambo Mango Royale

To provide an idea of the creations coming from the Que Viva Rémy Sobremesa collaborations, here’s a cocktail recipe from Josué Gonzaléz.

1.5 oz Rémy Martin Tercet
0.75 oz Mango Syrup
0.5 oz Lemon Juice
Bar spoon Galliano
Champagne to top
Decorative mango and edible flower to garnish

Add the first four ingredients and ice to a shaker. Shake vigorously for about ten seconds, then add a splash of Champagne. Pour into a flute or cocktail coupe, then garnish.

For more information, please read the press release below in its entirety. Cheers!

RÉMY MARTIN LAUNCHES ‘QUE VIVA RÉMY SOBREMESA’ CAMPAIGN TO CELEBRATE HISPANIC HERITAGE MONTH AND HONOR THE CHERISHED SOBREMESA TRADITION

Notable culinary and cocktail personalities come together to share custom recipes featuring Rémy Martin 1738 Accord Royal and Tercet and create lively experiences while embracing cultures of excellence and the tradition of Sobremesa

NEW YORK—To celebrate Hispanic Heritage Month, Rémy Martin is launching Que Viva Rémy Sobremesa, an homage to Sobremesa, the post-dining tradition found throughout many Hispanic cultures. The campaign brings influential culinary and mixology tastemakers together, including award-winning chefs Carlos Gaytán and Paola Velez, and renowned Mixologist Josué Gonzaléz, to create a variety of curated cocktails featuring Rémy Martin 1738 Accord Royal and Tercet along with culinary pairings showcasing how Sobremesa comes to life across different Hispanic cultures. The tastemakers and their pairings will be presented at a series of immersive events across the country.

With nearly 300 years of excellence producing Cognac Fine Champagne and symbolizing the diversity of craft and tradition, Rémy Martin continues to be at the forefront of moments that bring people together. As the kickoff to Hispanic Heritage Month, Rémy Martin is immersing cocktail connoisseurs in Sobremesa, a tradition where one finds themself lost in deep conversation – talking, sipping cocktails and spending time with those who matter most – often for hours after dining.

Getting lost in conversation and savoring the post-dinner experience is the essence of Sobremesa and with Que Viva Rémy Sobremesa, Rémy Martin will challenge the notion of “last call” by signaling Sobremesa as the start of the night ahead. After all, the most dispiriting words heard when you’re out are “last call” and “kitchen’s closed” – but with Rémy Martin the last call can now be the first call of the rest of the night.

“Rémy Martin’s passion for excellence, family values and traditions offer a moment for us all to partake in Sobremesa and we are thrilled to be teaming up with a variety of notable personalities to kick off the celebration this Hispanic Heritage Month,” said Tina Reejsinghani, Vice President of Luxury Brands at Rémy Cointreau Americas. “Enjoying classic recipes and sparking conversations around the table is at the heart of Hispanic heritage and Rémy Martin is excited to lead in the festivities of the time-honored tradition.”

As part of the campaign and the brand’s ongoing commitment to advancing the world of gastronomy, Rémy Martin is teaming up with the Hispanic Restaurant Association (HRA) and their Global Ambassador, Chef Fernando Stovell to support and further the careers of aspiring chefs, culinary entrepreneurs, restaurant managers, and industry professionals within the Hispanic community, uplifting the next generation of gastronomic excellence.

“At the Hispanic Restaurant Association, our vision is focused on fostering education and uplifting the Hispanic community across generations,” said John Jaramillo, Co-Founder and CEO of the Hispanic Restaurant Association. “As we work to elevate the culinary artistry within the Hispanic community, our partnership with Rémy Martin will play an integral part in extending our mission and vision across the country, allowing us to continue fostering a richer culinary perspective and build lasting bridges within the community.”

Throughout Hispanic Heritage Month, Rémy Martin will invite cocktail and culinary aficionados in New York and Miami to join the brand at the Rémy Martin Sobremesa Social Club. The events will feature lively entertainment alongside the unique dishes and cocktails curated by Carlos Gaytán, Paola Velez and Josué Gonzaléz, each inspired by their backgrounds. Chef Carlos, Chef Paola and Josué Gonzaléz will make appearances at the events, to showcase their creations and celebrate Sobremesa with guests. For more information and to purchase tickets for a VIP table experience, please visit Rémy Martin Sobremesa Social Club. Proceeds will benefit the Hispanic Restaurant Association.

Rémy Martin will also be capturing the essence of the Sobremesa tradition with a series of curated craft cocktails that highlight the opulent and complex flavor profiles of Rémy Martin 1738 Accord Royal and Rémy Martin Tercet. To keep the flavors going strong and accentuate each Rémy Martin expression, world-renowned chefs Carlos Gaytán and Paola Velez and Mixologist Josué Gonzaléz have created a variety of culinary and cocktail recipes representing their own cultures. From the Flamingo 1738 cocktail inspired by Josué’s childhood in Cuba and Chef Carlos’s nod to the sweet and savory elements of Mexican cooking with the Foie and Chocolate dish, to Chef Paola’s Nutmeg Pavlova recipe which combines her Dominican roots with the flavors of autumn, this campaign will take patrons on a culinary journey around the world.

The Que Viva Rémy Sobremesa campaign was developed in collaboration with creative agency FRED & FARID New York and will be featured across billboards and kiosks in Houston, TX; Los Angeles, CA; Miami, FL and New York, NY in addition to digital media and social content throughout Hispanic Heritage Month. For more information on the campaign, recipes and events, visit RemyMartin.com and follow along on social media on Instagram @RemyMartinUS | Twitter @RemyMartinUS | Facebook RemyMartinUSA

#QueVivaRemySobremesa #TeamUpForExcellence

ABOUT RÉMY MARTIN

Since 1724, the House of Rémy Martin has produced premium spirits that consistently appeal to the world’s most discerning connoisseurs. A profound love of the land, a continuity of family ownership and a passionate commitment to excellence has sustained Rémy Martin for nearly three centuries. As a result of its masterful production and generations of tradition in Cognac, the House of Rémy Martin produces award winning Cognacs Fine Champagne including Rémy Martin® XO, which was named Cognac of the Year 2022 by USA Spirits Ratings, and The Cognac Masters gold medal winning Rémy Martin® Tercet®, Rémy Martin® 1738 Accord Royal and Rémy Martin® V.S.O.P.

ABOUT HISPANIC RESTAURANT ASSOCIATION

Looking ahead, our vision is focused on fostering education and uplifting the Hispanic community across generations. We aspire to create a comprehensive impact by fostering economic growth and entrepreneurial endeavours through a range of interconnected networks, educational platforms, events, and supportive infrastructure.

ABOUT CHEF CARLOS GAYTÁN

A native of Mexico, chef and restaurateur Carlos Gaytán has made his mark in the culinary industry. From a young age, he was enamored with cooking, exploring a full spectrum of flavor while perfecting heirloom recipes alongside his mother. With a seamless unification of his Mexican heritage and his love of French culinary style, Carlos became the first Mexican-born chef to earn a coveted Michelin star in 2013. Gaytán appeared on Bravo’s Top Chef in 2013 and has since been widely featured as a host and judge on numerous culinary programs. He has opened two award-winning restaurants — one in Mexico in 2017, and another in Chicago in 2019. In 2024, he will open three new restaurants in California.

ABOUT CHEF PAOLA VELEZ

Award-winning chef, entrepreneur and community activist Paola Velez is the multihyphenate for a new generation of lifestyle personalities. Growing up between the Bronx and the Dominican Republic, Velez is fluent in cultures of city and island life, bringing infectious positivity and a keen eye on the micro-trends of the moment to the table. Her unique perspective has catapulted her to the pages of Food & Wine, and garnered her a nomination for Rising Star Chef by the James Beard Foundation, “Pastry Chef of the Year” from Esquire and “Best New Chef” from Food & Wine. Most recently, Paola founded the organization Bakers Against Racism as a social community, connecting bakers and creatives all across the globe to fight against racism in all of its forms. Looking ahead, under her lifestyle brand Dōekï Dōekï, a reflection of her Afro-Latina heritage, Velez is launching a series of collaborations and pop-up dinners across the country in addition to her first cookbook in 2024.

ABOUT MIXOLOGIST JOSUÉ GONZALÉZ

Josué Gonzaléz is a Miami native with a true passion for hospitality. As a culinary student at Johnson & Wales University, he accepted a barback position at Zuma Miami to gain industry experience, setting a decorated front-of-house career into motion. Josué found a friend and mentor in renowned Miami bartender Rob Ferrara, helping both achieve great success with openings at Swine Southern Table & Bar, Lure Fishbar and The Rum Line. As an individual, Josué was named one of Zagat Miami’s 30 under 30 in 2014, and went on to win and place in the top of various cocktail competitions. As part of the opening team at Sweet Liberty Bar & Supply, Josué was integral in the venue as it was awarded Best New Cocktail Bar in America at the Tales of the Cocktail Spirited Awards. In 2018 Josué moved to Washington DC to open and manage the bar at Seven Reasons, a Latin concept, with Enrique Limardo. The restaurant was named Best New Restaurant in America 2019 by Esquire Magazine. Josué brings his talents and experience back to Miami in his work with Unfiltered Hospitality where he makes experiences better for people in every facet of the service industry.

Image: Rémy Martin

September 12, 2023by David Klemt David Klemt No Comments

Fantasy Sports, Sports Betting on the Rise

Interest in Sports Betting and Fantasy Sports Grows

by David Klemt

A recent CGA by NIQ On Premise Impact Report for August, 2023 reveals an interesting insight into consumer behavior and expectations.

To be clear, all the data on this new one-pager is useful. However, a particular revelation stands out from the rest, for me.

The CGA by NIQ US On Premise Impact Report for August 24, 2023 addresses:

total on-premise sales;
dining versus drinking occasions;
cost of living impact in the past month; and
consumer interest in fantasy sports and sports betting.

It’s that final bullet point that I find compelling. However, let’s check out the numbers for the first three points before we jump into sports.

To download your own copy, please click here.

August by the Numbers

In comparison to August 20, 2022, check value is up one percent to $50.09. Ticket count, however, is down one percent to 1,569.

As one would expect, dining occasions outweigh drinking occasions. Seventy percent of consumers have dined out in a restaurant or bar in the past two weeks.

Compared to July 2o23, that’s a two-percent increase in dining traffic.

Over the course of the same amount of time, 40 percent of consumers have gone drinking in a bar or restaurant. That’s a decrease of one percent in comparison to July 2023.

Considering that many families travel in the month of August before kids head back to school (or to drop them off at university), these numbers make sense.

Of course, cost of living may also be impacting dining and drinking occasion. Most consumers report no changes to the frequency with which they go out for drinks. Some consumers even report going out more frequently for drinks. But some are also cutting back.

For example, 28 percent of consumers have decreased how often they go out for drinks. Eleven percent are consuming lower quality drinks when they do go out, and nine percent are decreasing the “quality” of the establishments they visit.

That said, 20 percent of consumers are increasing drink quality and 21 percent are increasing establishment quality per visit. Seventeen percent are increasing how often they go out for drinks.

Fantasy Sports & Betting

This, as you may have guessed, is the statistic that I find most compelling.

Fantasy sports and sports betting has been on the rise for some time in the US. Who among us isn’t the target of sports-betting-app ads when streaming or watching sports?

Sports bar operators and operators who can position themselves as sports fans’ “third spot” will find this next number interesting.

According to CGA by NIQ’s latest report, 63 percent of consumers revealed they had plans for NFL week one. Those plans included participating in daily fantasy sports or sports betting.

So, it would be wise for operators who will air NFL games this season to ensure they’re catering to fantasy football and sports betting fans. Becoming the hub for fantasy sports groups in your area can increase traffic, sales, and loyalty. And, of course, it opens up the door to many traffic- and revenue-generating sport- and team-themed LTOs.

Again, to download this new report for yourself, please click here.

Image: Adrian Curiel on Unsplash

September 11, 2023by David Klemt David Klemt No Comments

5 Books to Read this Month: September ’23

5 Books to Read this Month: September 2023

by David Klemt

Our inspiring and informative September book selections will help you and your bar team take your front of house and bar program to the next level.

For this month’s list we’re showcasing the 17th annual Spirited Awards finalists in the Best New Book on Drinks Culture, History, or Spirits category. So, below you’ll find the top-four nominees in that particular category, plus an additional self-improvement book.

To review the book recommendations from August 2023, click here.

Let’s jump in!

Modern Caribbean Rum: A Contemporary Reference to the Region’s Essential Spirit

Join me in congratulating authors Matt Pietrek and Carrie Smith for earning the 2023 Spirited Award for Best New Book on Drinks Culture, History, or Spirits!

This 825-page tome is a deep dive into modern Caribbean rum—as the title clearly states—split into four distinct sections:

An overview of this spirits category, including common misconceptions;
The process of producing rum, including flavor science;
A look at the business of rum, including brands and trade organizations; and
The stories of 20 modern Caribbean rum-producing regions, including profiles of more than 70 producers.

Whether you’re a rum aficionado, rum-curious, or someone looking to learn as much as possible about the rum category, this book is a must-read. Purchase here.

A SENSE OF PLACE: A Journey Around Scotland’s Whisky

Author Dave Broom was born in Glasgow. As he says, “I am a Glaswegian who gets paid to drink spirits and then write about them. I’ve been getting away with this for over 20 years and have somehow won various awards along the way, but being Scottish I don’t go on about it.”

This book, A SENSE OF PLACE, is more than an analysis of Scotch whisky. Rather, this is a personal story, delivering on its title—this book gives the reader a sense of place.

From Amazon: “In this beautifully crafted narrative, award-winning writer Dave Broom examines Scotch whisky from the point of view of its terroir—the land, weather, history, craft and culture that feed and enhance the whisky itself. Travelling around his native Scotland and visiting distilleries from Islay and Harris to Orkney and Speyside, Dave explores the whiskies made there and the elements in their distilling, and locality, which make them what they are. Along the way he tells the story of whisky’s history and considers what whisky is now, and where it is going.”

Pick up the hardcover today.

Doctors and Distillers: The Remarkable Medicinal History of Beer, Wine, Spirits, and Cocktails

As the historians in our industry have known for a while, cocktails were once considered medicinal. Of course, in some ways that’s still the case.

Industry author, speaker, and educator Camper English shows us how medicine and alcohol have long been connected throughout human history in Doctors and Distillers. Have you head of using wine as a dewormer? How about treating wounds with beer? Would you ever consider using spirits to heal a snakebite? Well, humans have done those things and more with booze.

Order the paperback today!

Unreasonable Hospitality

Absolutely no disrespect or offense to the authors of Modern Caribbean Rum, this is the title that I thought would take home the Spirited Award. When Will Guidara took over the famous Eleven Madison Park, the restaurant had just two stars and he was only in his mid-twenties. Before his 40th birthday, the changes and strategies he implemented helped the restaurant earn the title of the Best Restaurant in the World.

One of cornerstone’s of Guidara’s was “bespoke hospitality.” He and his team truly went above and beyond. Examples of the Eleven Madison Park team’s approach to hospitality illustrate just how over the top they went to deliver memorable guest experiences. If you’re looking for inspiration to step up your hospitality, pick up or download Unreasonable Hospitality today.

The Power of Habit

This New York Times Bestseller is another book that the KRG Hospitality team has discussed during our company meetings. Developing and understanding of operations and building a world-class team that you lead with empathy and empowerment are important. However, so is developing positive habits in business and in life.

From Amazon: “In The Power of Habit, award-winning business reporter Charles Duhigg takes us to the thrilling edge of scientific discoveries that explain why habits exist and how they can be changed. Distilling vast amounts of information into engrossing narratives that take us from the boardrooms of Procter & Gamble to the sidelines of the NFL to the front lines of the civil rights movement, Duhigg presents a whole new understanding of human nature and its potential. At its core, The Power of Habit contains an exhilarating argument: The key to exercising regularly, losing weight, being more productive, and achieving success is understanding how habits work. As Duhigg shows, by harnessing this new science, we can transform our businesses, our communities, and our lives.”

Order the paperback today!

Image: Mikołaj on Unsplash