Drink | KRG Hospitality

Mint Julep in copper Woodford Reserve cup

May 23, 2023by David Klemt David Klemt No Comments

Sugar. Water. Whiskey. Mint.

Sugar. Water. Whiskey. Mint.

by David Klemt

…and sometimes Angostura bitters.

Get ready to break out the stainless steel and copper cups, whiskey, and crushed ice: National Mint Julep Day is right around the corner.

This classic cocktail’s traditional time to shine—Derby Day—has come and gone. However, we celebrate this ice-cold drink on May 30. This year, FYI, this bar and restaurant holiday falls on a Tuesday.

While many people associate the Mint Julep with the Kentucky Derby and the South, the drink traces its origin to Persia. According to some historians—the fun experts who love researching culinary and drinking history—”julep” is a derivation of “julepe,” which derives from “golâb.” “Julepe” is a Spanish Arabic word that comes from “golâb,” a Persian word that translates to “rosewater.” As one might expect from the translation, golâb was a drink made by combining water with rose petals.

Over time, it’s believed, the rose petals were replaced by people making Juleps in the Mediterranean. The replacement? Mint leaves native to the area.

Eventually, like so many centuries-old drinks, medicinal elements were introduced. The English Julep, for example, added alcohol and camphor. To think, there are decades of human history where doctors prescribed cocktails to patients.

The Kentucky Connection

Of course, like so many centuries-old drinks, it’s difficult to separate the fictitious from the factual. Some say mentions of the Mint Julep can be traced to 1770s, others say the early 1800s.

As far as the Kentucky connection, there are historians that say Henry Clay, who served as a Kentucky senator and congressman, brought the Mint Julep to Washington, DC in 1850. Clay is said to have shared the recipe with the Round Robin Bar at the Willard’s Hotel (now the Willard InterContinental). The hotel’s website makes reference to this part of the Mint Julep’s history (or legend, as it were).

Chris Morris, Master Distiller for Woodford Reserve for 20 years and now the distillery’s Master Distillery Emeritus, supports the idea, historically, that the Mint Julep was a medicinal cocktail.

“The Mint Julep has a long history, and in the 1800s it was considered a morning drink,” Morris has said. “People working on horse farms or in the horse-racing industry during this time period may wake up with aches and pains.”

It’s safe to say Morris and Woodford know their way around a Mint Julep.

Further, if you dig deep enough, you’ll come across mentions of horse jockeys taking home Julep cups as trophies. Literal trophy cups, if you will.

Consequently, given its ties to horse racing, it makes sense that the Mint Julep would one day become the Kentucky Derby‘s official drink. Of course, as this brief and (hopefully mostly) factual history shows, the Mint Julep undoubtedly had a presence at the famous race long before 1939.

Craft Your Own

Below you’ll find two recipes for your National Mint Julep Day LTO menu. However, this is one classic that people don’t seem to gatekeep much.

In fact, industry experts like Chris Morris encourage experimentation and creation of signature Mint Juleps. So, engage your bar and culinary teams, highlight flavors authentic to your menu and brand, and come up with your own variation.

To help you get started, bear in mind that while spearmint is a common ingredient, there are other species of mint available. The base spirit can also be substituted. Per some cocktail historians, genever-powered Mint Juleps were a common variation in the 1800s.

There’s nothing wrong with sticking to tradition. However, the Mint Julep practically begs for experimentation. Flavored syrups, all manner of spirits and liqueurs, garnishes… National Mint Julep Day is perfect for the LTO treatment.

Cheers!

Mint Julep

2 oz. Bourbon
0.25 oz. Simple syrup
6 to 8 Mint leaves
Mint sprig to garnish
Angostura bitters to garnish (optional)
Crushed or shaved ice

Add simple syrup and mint leaves to Julep cup, and muddle. Next, add bourbon and crushed or shaved ice. Tightly pack ice in cup, then stir until frost builds on exterior of Julep cup. Top with more crushed or shaved ice, and form a dome on top of cup. Add mint sprig to garnish. If desired, also garnish with two or three drops of Angostura bitters.

Woodford Reserve Secretariat’s Mint Julep

This recipe is for the special Mint Julep served at this year’s Kentucky Derby.

2 oz. Woodford Reserve Kentucky Straight Bourbon Whiskey
1 oz. Housemade chestnut liqueur
1 sprig of Mint, for garnish
1 stalk of Virginia bluebells, for garnish

Pack a Julep cup with crushed ice, making sure to make a dome over the lip of the cup. Add the whiskey and liqueur to a mixing glass and stir. Pour over the prepared cup. Garnish with one sprig of mint and one stalk of Virginia bluebells.

Should you prefer a more traditional build, express the oils of a mint leaf inside the cup. Add the bourbon, chestnut liqueur, and crushed ice. Garnish with more crushed ice, mint, and Virginia bluebells, then serve.

Image: Adam Jaime on Unsplash

Nikka Whisky Yoichi Single Malt 10 Year Old bottle

April 26, 2023by David Klemt David Klemt No Comments

Nikka Age Statement Whiskey Returns to US

Nikka Age Statement Whiskey Returns to US

by David Klemt

After an eight-year hiatus, Nikka is bringing age-statement whisky back to the United States, starting with Yoichi Single Malt 10-Year-Old.

Operators with robust whisky programs, their guests, and collectors will recall what happened back in 2015. That was the year that Nikka’s Yoichi age statement whisky line was shelved. The Yoichi portfolio’s stars—10, 12, 15 and 20 Year Old whiskies—were replaced by an expression labeled “No Age Statement.”

Interestingly, we can trace the withdrawal of age-statement Japanese whisky and disappearance of iconic bottles to the 1980s. In response to a slowdown in demand, Japanese distillers reduced production. While that move helped deal with the drop in demand and sales, there would be consequences decades later.

Eventually, the world discovered some of the most iconic whiskies on the planet: Hibiki 12 and 17, Yamazaki 12 and 18, and the aforementioned Yoichi 15 and 20.

Of course, the rabid demand for Japanese age statement whiskies resulted in an extinction event, of sorts. The reduced production that gave the world some of the most amazing luxury whiskies ever known, coupled with intense (and likely unforeseen) demand, eventually put distilleries in dire straits.

Simply put, Japanese distillers needed time to replenish their precious liquids. So, for several years, whisky lovers have been waiting for new aged-statement whiskies from Japan. Around 2017, articles and blog posts started sounding the alarm. Whisky experts told us we’d have to wait at least five years to see the return of age-statement expressions. And, as Nikka’s announcement shows, they were right.

To be clear, no-age-statement expressions have proven themselves compelling portfolio-mates during our wait. However, seeing a bonafide return to age statement whiskies is exciting.

Yoichi Single Malt 10-Year-Old

Not only is Nikka returning to age statements, they’re paying tribute with this 10-year-old release, a brand-new addition to the portfolio. Yoichi Single Malt 10-Year-Old commemorates Yoichi Distillery attaining “Important Cultural Properties” status.

More specifically, ten buildings on the grounds of Yoichi Distillery earned this important designation. Ten buildings, ten years of aging.

“We are honored for the Yoichi Distillery to receive this designation from Japan’s Agency for Cultural Affairs. This designation helps ensure we will pass on the history of Japanese whisky to future generations,” says Emiko Kaji, Nikka Whisky global marketing and sales general manager. “To celebrate this special honor, we welcomed the return of Nikka Whisky aged statements and released the Yoichi Single Malt 10-Year-Old, a new expression created by the current blenders.”

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This new, 45-percent ABV expression will be available in limited quantities. However, Nikka says the production will be “ongoing” and release on an annual basis. The suggested retail price is $175.

“A momentous moment for Nikka Whisky, we are so excited to bring the release of Yoichi Single Malt 10-Year-Old to the US,” says Dan Leese, CEO and president of Hotaling & Co. “As Nikka Whisky looks to celebrate its 90^th anniversary in 2024, this release is a testament to their historical significance in the world of whisky and a preview of what’s to come as they continue to build and enrich their traditional range.”

Momentous, indeed. I’m eager to see more age-statement expressions become available throughout North America. Yoichi 10 is a fantastic start.

Image: Nikka Whisky

Classic Cointreau Margarita in landscape orientation

April 24, 2023by David Klemt David Klemt No Comments

Celebrate 75 Years of the Margarita

Celebrate 75 Years of the Margarita

by David Klemt

Cointreau is inviting you and your guests to celebrate the 75th anniversary of one of the most iconic cocktails on the planet: the Margarita.

That’s not hyperbole, by the way. While the cocktail is famously number one in the US, it’s also the top tipple in a number of other countries.

Focusing on the US, the Margarita certainly sees challenges to the cocktail throne. The Manhattan, Moscow Mule, and Martini have all taken shots at wearing the crown. In fact, the Martini is, as of 2022, sitting in the number two position.

So, there’s an excellent chance that right now, none of what I’ve written underneath the first sentence has registered with a certain type of reader. Declaring that 2023 is the 75th anniversary of the Margarita may have some people apoplectic right now.

Why’s that? Well, it’s because I’m implying that the origin of the Margarita is settled history. This is something that I love about cocktails: the origin stories of the classic cocktails. With few exceptions and modern cocktails, most cocktail origins are shrouded in mystery. Personally, I enjoy the fact that a single drink can give us so many stories and so much to argue about.

Cointreau believes the Margarita can be traced back to Acapulco. The story goes that Margarita Sames, a Dallas socialite, either requested a signature cocktail or created one herself for a party at her vacation home in Mexico. It’s said that her favorite spirits were tequila and Cointreau. As legend has it, Tommy Hilton was partaking in the festivities in Acapulco and enjoyed the cocktail. He added it to the menus at Hilton properties and there you have it—the Margarita started its journey toward securing the cocktail throne.

75 Years

We celebrate the Margarita on February 22 each year. However, the opportunity to showcase your Margarita(s) doesn’t end there.

One of these opportunities is coming up: Cinco de Mayo. This year, May 5 falls on a Friday. That gives you an entire weekend (or week leading up to the weekend of May 5) to feature an LTO menu of Margaritas.

Celebrating the Margarita also gives you and your teams the chance to upsell guests via premium, super-premium, and ultra-premium tequila options.

However, you and your guests can start celebrating this classic today via the Cointreau Margarita Pledge. Simply point guests who order a Margarita made with Cointreau to this website and they’ll have the chance to win a portion of $75,000. Each winner will be awarded $20 by Cointreau to help them celebrate Cinco de Mayo with a Margarita.

Of course, your front-of-house team should also encourage guests to snap a photo of their Margaritas and tag your restaurant or bar (and Cointreau) when posting to social media.

Below, you’ll find three Margarita recipes from Cointreau, along with an alcohol-free recipe. Cheers!

The Original Margarita

1 oz. Cointreau
2 oz. Blanco tequila
1 oz. Fresh lime juice
Lime wheel to garnish

Combine all ingredients in a shaker and add ice. Shake and strain into a salt-rimmed rocks glass. Garnish with a lime wheel.

The Spicy Margarita

2 oz. Blanco tequila
1 oz. Cointreau
0.75 oz. Fresh lime juice
2 Slices of jalapeño
2 Sprigs of fresh cilantro
Jalapeño to garnish
Lime wheel to garnish

Combine all ingredients in a cocktail shaker. Add ice and shake until well-chilled. Strain into a chilled Old Fashioned glass. Garnish with jalapeño pepper. Garnish with a lime wheel.

The Frozen Margarita

1 oz. Cointreau
2 oz. Blanco tequila
1 oz. Fresh lime juice
0.25 oz. Simple syrup
Lime wheel to garnish

Add all ingredients to a high-powered blender and blend to combine. Pour into salt-rimmed Margarita glass. Garnish with lime wheel.

Alcohol-free Classic Margarita

There are a couple non-alcohol brands that make adding a zero-proof Margarita to your menu simple. One such brand is Lyre’s, the Australian brand projected to one day be worth one billion dollars.

Not only does Lyre’s produce two tequila alternatives, they also make an alcohol-free triple sec. So, it really doesn’t get any easier to offer a premium non-alcohol Margarita that can justify a premium price.

An important note: Lyre’s is not an affiliate or portfolio-mate of Cointreau. I’m mentioning them here so that guests who aren’t consuming alcohol for any reason can still partake in celebrating the Margarita.

1.5 oz. Lyre’s Agave Blanco Spirit or Lyre’s Agave Reserva Spirit
0.5 oz. Lyre’s Orange Sec
1 oz. Fresh lime juice
0.25 oz. White sugar syrup (1:1)
1 Dash orange bitters (optional)
Lime wedge to garnish

Shake briefly with ice. Fine strain into glass. Half salt-rimmed cocktail coupette. Garnish with lime wedge.

Cointreau images courtesy of Cointreau. Alcohol-free Classic Margarita image: Lyre’s.

April 21, 2023by David Klemt David Klemt No Comments

We ask Bard to Write Cocktail Menus

We ask Bard to Write Cocktail Menus

by David Klemt

Asking Google’s Bard chatbot to write a couple cocktail menus—including recipes and prices—delivers some interesting results.

To be honest, by “interesting” I mean “shrug-inducing.” None of the menus are what I would deem creative.

Think about the basic cocktails you expect to see on any menu and you’ll have an idea of what to expect below.

Are you able to help restaurant and bar operators create their menus?

Yes, I can help restaurant and bar operators create their menus. I can access and process information from the real world through Google Search and keep my response consistent with search results. For example, if you ask me to create a menu for a restaurant that serves Italian food, I can research popular Italian dishes and ingredients, and then create a menu that incorporates those dishes and ingredients. I can also help you to price your menu, and to create marketing materials for your menu.

Here are some tips for creating a menu that is both appealing and profitable:

Choose a theme or concept for your menu. This will help you to narrow down your choices and to create a menu that is cohesive.
Research popular dishes and ingredients. What are people eating in other restaurants? What are the latest trends?
Create a menu that is both affordable and profitable. You want to make sure that you are charging enough to cover your costs, but you also want to make sure that your prices are not too high.
Use high-quality ingredients. This will help to ensure that your food tastes good and that your customers come back for more.
Be creative and innovative. Don’t be afraid to experiment with new dishes and ingredients.
Promote your menu. Use social media, print advertising, and other marketing channels to get the word out about your menu.

Please write me a cocktail menu with ten creative drinks for a modern steakhouse—including prices—located in Toronto, Ontario, Canada.

Sure, here is a cocktail menu with ten creative drinks for a modern steakhouse located in Toronto, Ontario, Canada, with prices:

1. The Old Fashioned

A classic American cocktail made with whiskey, sugar, and bitters.

2 oz. Canadian Whiskey
1/2 oz. simple syrup
4 dashes bitters
Garnish: orange twist
Price: $15

2. The Manhattan

A classic American cocktail made with whiskey, sweet vermouth, and bitters.

2 oz. Canadian Whiskey
1 oz. sweet vermouth
2 dashes bitters
Garnish: cherry
Price: $18

3. The Margarita

A classic Mexican cocktail made with tequila, lime juice, and triple sec.

2 oz. Canadian Tequila
1 oz. lime juice
1 oz. triple sec
Garnish: lime wedge
Price: $14

4. The Daiquiri

A classic Cuban cocktail made with rum, lime juice, and simple syrup.

2 oz. Canadian Rum
1 oz. lime juice
1/2 oz. simple syrup
Garnish: lime wedge
Price: $16

5. The Cosmopolitan

A refreshing and flavorful cocktail made with vodka, cranberry juice, Cointreau, and lime juice.

2 oz. Canadian Vodka
2 oz. cranberry juice
1 oz. Cointreau
1 oz. lime juice
Garnish: lime wedge
Price: $17

6. The Sex on the Beach

A fruity and refreshing cocktail made with vodka, peach schnapps, cranberry juice, and orange juice.

2 oz. Canadian Vodka
1 oz. peach schnapps
2 oz. cranberry juice
2 oz. orange juice
Garnish: orange slice
Price: $18

7. The Bellini

A refreshing and flavorful cocktail made with prosecco, peach puree, and simple syrup.

4 oz. prosecco
2 oz. peach puree
1 oz. simple syrup
Garnish: peach slice
Price: $19

8. The Kir Royal

A refreshing and flavorful cocktail made with prosecco and crème de cassis.

4 oz. prosecco
1 oz. crème de cassis
Garnish: lemon twist
Price: $20

9. The Mimosa

A refreshing and flavorful cocktail made with champagne and orange juice.

4 oz. champagne
4 oz. orange juice
Garnish: orange slice
Price: $21

10. The Bloody Mary

A spicy and flavorful cocktail made with vodka, tomato juice, and spices.

2 oz. Canadian Vodka
4 oz. tomato juice
1 oz. Worcestershire sauce
1 oz. lemon juice
1 oz. hot sauce
Garnish: celery stalk
Price: $22

These cocktails are sure to please your guests and add a touch of sophistication to your steakhouse.

Please write me a cocktail menu with ten creative drinks for a modern Italian restaurant—including prices—located in Las Vegas, Nevada, off the Strip.

Here is a cocktail menu with ten creative drinks for a modern Italian restaurant located in Las Vegas, Nevada, off the Strip:

1. The Gondolier

A refreshing and flavorful cocktail made with prosecco, Aperol, and lemon juice.

2 oz. prosecco
1 oz. Aperol
1/2 oz. lemon juice
1/4 oz. simple syrup
Club soda
Garnish: lemon twist
Price: $15

2. The Martini

A classic Italian cocktail made with gin and dry vermouth.

2 oz. gin
1 oz. dry vermouth
Garnish: lemon twist
Price: $17

3. The Negroni

A bitter and refreshing cocktail made with gin, Campari, and sweet vermouth.

2 oz. gin
1 oz. Campari
1 oz. sweet vermouth
Garnish: orange twist
Price: $19

4. The Spritz

A refreshing and light cocktail made with prosecco, Aperol, and club soda.

3 oz. prosecco
1 oz. Aperol
4 oz. club soda
Garnish: orange twist
Price: $15

5. The Americano

A refreshing and light cocktail made with Campari, sweet vermouth, and club soda.

2 oz. Campari
1 oz. sweet vermouth
4 oz. club soda
Garnish: orange twist
Price: $17

6. The Limoncello

A sweet and refreshing cocktail made with limoncello, prosecco, and club soda.

2 oz. limoncello
3 oz. prosecco
4 oz. club soda
Garnish: lemon twist
Price: $15

7. The Margarita

A classic Mexican cocktail made with tequila, lime juice, and triple sec.

2 oz. tequila
1 oz. lime juice
1 oz. triple sec
Garnish: lime wedge
Price: $19

8. The Daiquiri

A classic Cuban cocktail made with rum, lime juice, and simple syrup.

2 oz. rum
1 oz. lime juice
1/2 oz. simple syrup
Garnish: lime wedge
Price: $21

9. The Old Fashioned

A classic American cocktail made with whiskey, sugar, and bitters.

2 oz. whiskey
1/2 oz. simple syrup
4 dashes bitters
Garnish: orange twist
Price: $23

10. The Manhattan

A classic American cocktail made with whiskey, sweet vermouth, and bitters.

2 oz. whiskey
1 oz. sweet vermouth
2 dashes bitters
Garnish: cherry

Takeaways

The first thing I’ll say is that these menus are…fine. There’s nothing wrong with populating a cocktail menu with classics. After all, classics are the go-to for a large portion of guests.

However, I wouldn’t call any of the recipes above creative. And I certainly don’t think they’d blow anyone’s mind. I also call into question some of the specs. For example, a Negroni “should be” a 1:1:1 ratio.

Then there’s the Bloody Mary for a Toronto steakhouse. I’m not trying to speak for an entire population but that should be a Caesar. Additionally, this family of drinks should come with an array of add-ons for customization and personalization.

And what about that $18 Sex on the Beach? I don’t think I’d ever recommend that for an upscale steakhouse. If anything, I’d suggest a Porn Star Martini instead.

I don’t know what Bard would recommend for pricing the Manhattan since the chatbot didn’t include that detail. I’m guessing somewhere between $20 and $23.

Speaking of pricing, it’s fair to assume that Bard aggregated menu prices, averaged them, and spat out the results of its calculations. That may seem helpful but operators should bear a few things in mind when determining pricing:

ingredient costs;
labor costs;
target margins;
what specific markets and target guests will tolerate and sustain; and
dynamic menu pricing to address fluctuating costs.

Going back to the drinks themselves, it’s important for operators to consider the trends toward premiumization and luxury; signature cocktails; “owning” a specific drink or family of drinks; and speed, consistency, and presentation.

Artificial intelligence can tell you what’s trending online. But can it create real-world cocktail menus that will attract guests, drive traffic, and generate revenue? In my opinion, no—that’s still the realm of experienced and creative bar professionals.

Image: Timothé Durand on Unsplash

2023 Woodford Reserve Secretariat Julep cups

April 14, 2023by David Klemt David Klemt No Comments

How to Make a $3,500 Mint Julep

How to Make a $3,500 Mint Julep

by David Klemt

If you want to craft an incredible $3,500 Mint Julep, the first step is to acquire one of 50 Woodford Reserve gold Secretariat Julep cups.

Now, should $3,500 seem a “bit” exorbitant, you can also opt for one of 100 silver Julep cups for $1,000.

Cup in hand, simply fill it with crushed ice and pour a refreshing Mint Julep over it. Et voilà—a delicious $3,500 or $1,000 Mint Julep!

Okay, so you’re probably wondering what I’m on about. Am I really suggesting you craft thousand-dollar-plus cocktails? I mean…if you have guests who’ll pay that much, yes, I am.

In reality, however, I’m making you aware of this year’s Woodford Reserve $1,000 Mint Julep™ charity program. This program is a longstanding Kentucky Derby tradition.

For 2023, the $1,000 Mint Julep™ will benefit the Secretariat Foundation. That makes sense given that this year marks the 50th anniversary of Secretariat winning the Derby.

The foundation, the brainchild of Secretariat’s owner Penny Chenery, is a non-profit that focuses on equine-related industry subjects, such as:

veterinary research into lameness of the horse;
Thoroughbred retirement and rehabilitation facilities;
therapeutic equestrian programs; and
general funding for related established charitable programs.

Silver and Gold

As you probably can put together yourself, there are 150 Secretariat Mint Julep cups available. One hundred are silver, 50 are gold. Respectively, they cost $1,000 and $3,500.

In keeping with this year’s theme of celebrating Secretariat and supporting the horse’s namesake charity, each features blue and white checkered silks in sapphires. The 2023 Mint Julep cups are handmade by Louisville, Kentucky jewelers From the Vault.

People who choose to support the charity via purchasing the gold cup will have their name engraved on the bottom of the cup. These cups also come with the autograph of Ron Turcotte, Secretariat’s jockey.

In addition to supporting the charity, people who buy one of the 150 cups will have access to the $1,000 Mint Julep Experience at Churchill Downs on Derby Day. (Which is also where and when buyers must pick up their cups.)

Secretariat’s Mint Julep

Alright, so let’s be more realistic. Only 150 people are going to splash out for the $1,000 or $3,500 Secretariat Mint Julep. And while supporting a charity like the Secretariat Foundation is a great thing to do, people are struggling.

So, below you’ll find the recipe for the Mint Julep variation that those attending the $1,000 Mint Julep Experience will be enjoying. It’s up to you if you want to offer it on Derby Day to raise funds for the Secretariat Foundation or a charity of your choosing. It’s perfectly reasonable to simply offer the refreshing cocktail as a Derby Day LTO.

2 oz. Woodford Reserve Kentucky Straight Bourbon Whiskey
1 oz. Housemade chestnut liqueur
1 sprig of Mint, for garnish
1 stalk of Virginia bluebells, for garnish

For our most bourbon-centric Bar Hacks podcast episodes—including episode 32 with Woodford Reserve—click here.

Images: Woodford Reserve

March 10, 2023by David Klemt David Klemt No Comments

Reduce Discounts, Increase Profits

Reduce Discounts, Increase Profits

by David Klemt

There’s reason to be optimistic about generating revenue this year but operators must also be savvy if they want to boost their bottom lines.

Put another way, the growth some industry organizations and experts are predicting isn’t just going to occur. We’re optimistic about 2023 as well, but it’s going to take hard work and shrewdness.

As we know now, the National Restaurant Association is forecasting massive sales this year. In fact, the NRA projects the foodservice industry will generate $997 billion in sales. That’s nearly a trillion dollars just from the foodservice space.

Clearly, that’s a big number. It’s also $60 billion more in sales than the industry generated in 2022. That’s impressive in and of itself, surpassing the 2022 sales forecast by almost $40 billion.

Okay, so those are a lot of big numbers. Should foodservice outperform the forecast again, the industry will pass the trillion-dollar mark. And I know every owner and operator, be they independent, chain or franchisee, wants a healthy share.

However, impressive as those numbers are, they’re just that: numbers. Operators will still have to do the work to increase traffic; convert first-timers to repeat guests; and increase revenue. Fail in those tasks and there’s no reason to expect profits to rise.

It’s math, after all, not magic.

One way operators can increase revenue and profits is to offer fewer discounts. Really, this isn’t an incredible concept: If more guests pay full price, operators see more profits.

Real-world Example

Costs are up nearly across the board, and it can be tempting to offer discounts in an attempt to increase traffic. However, one group has shown over the past couple of years that discounts don’t need to be an operator’s go-to traffic- and sales-boosting tactic.

Carrols Restaurant Group is a Burger King franchisee. According to Restaurant Business, the group operates more than 1,000 Burger King restaurants. So, they operate approximately one out of every seven Burger Kings in the US.

Last quarter, Carrols managed to generate more than $14 million in free-flow cash. That’s higher performance than the group has seen in the past couple of years.

A significant factor for Carrols and Burger King is backing off of discounting. Again, this isn’t groundbreaking but it’s still noteworthy. A brand that once was reliant on discounting is now backing off that model and seeing dividends.

Of course, guest perception, the guest experience, and marketing play a role. Guests must still feel they’re getting value for the dollars they spend. They must also feel that their experience, from QSR to full-service, shows that they’re valued by the restaurant. And the marketing messaging must truly speak to a brand’s guest base and bring them through the doors to spend their money.

Premiumization over Discounts

The bottom line for an operator’s bottom line is this: If prices are continually discounted, that lower price is now the actual price. At least, a discounted price is now the normal price in the eyes of guests.

In other words, an operator who discounts all the time is training their guests to only visit and buy items when prices are lower than usual.

The superior option? Offering premium LTOs that speak to a brand’s base and tempt them to spend more. LTOs don’t need to come with discounted prices. In fact, they should be treated as premium promotions and command premium prices.

Create seasonal LTOs (in one concept’s case, inventing a fifth season), as an example, to generate buzz and increase traffic. Offer premium items at premium—but fair—prices to leverage the traffic, increase sales, and boost profits.

Another strategy that’s more effective than discounts? Building a brand with which guests resonate. Guests who relate to a brand tend to visit more often and support it with their dollars.

It’s tempting to discount. Don’t give in to temptation.

Image: Karolina Grabowska on Pexels

February 22, 2023by David Klemt David Klemt No Comments

Do Super Bowl Ads Work on Consumers?

Do Super Bowl Ads Work on Consumers?

by David Klemt

One of the biggest Super Bowl ad winners is Pepsi Zero Sugar.

Brands spent hundreds of millions of dollars to advertise during Super Bowl LVII, but do their ads actually translate to demand for their products?

A week ago we shared our ten favorite beverage-focused Big Game ads. Along with those ads we shared some numbers.

One of those numbers was $7 million, the cost of a 30-second Super Bowl ad on Fox. Other numbers? $500 million and $700 million, the range of revenue it’s estimated that Fox generated this year from Super Bowl ads.

At this point, these ads and the Halftime Show have essentially become their own entities. Some people watch the Big Game for the ads, some for the show halfway through. It stands to reason that brands are well aware of this development. So, they try to create the most impactful ad possible in the hopes of generating consumer demand.

In other words, these brands aren’t spending all this money just so they’re commercial can be deemed cool. Sure, brands want that buzz. But they also want an ROI on the millions they spend.

The big question is, then, are they seeing a return? Well, it just so happens that behavioral insight platform Veylinx has a data-driven answer to that question.

In short, the answer is yes. Of course, it’s a nuanced yes. For example, it appears Gen Z doesn’t care much about Super Bowl ads, as you’ll see below. Also, non-advertisers in the same categories as Super Bowl advertisers appear to see a benefit from the ads.

You’ll learn more from the Veylinx press release below. It’s an interesting read with valuable data for restaurant, bar, and hotel operators.

NEW YORK, Feb. 22, 2023 — A new study from behavioral research company Veylinx determined whether or not Super Bowl commercials boost consumer demand for the products advertised. The results show that 2023 Super Bowl advertising fueled a 6.4% increase in demand among viewers.

The overall increase in consumer demand was driven by women, who accounted for a 21% increase in demand growth. The commercials had minimal impact on men, yielding just 1% demand growth for the brands tested. Gen Z viewers were largely unimpressed by the Super Bowl ads, with demand among 18 to 25 year olds actually shrinking by 1%.

“It’s not really a surprise to see that Super Bowl ads improve sales, but the short term bump alone may not be enough to justify the $7 million price tag,” said Veylinx founder and CEO Anouar El Haji.

Using Veylinx’s proprietary methodology—which measures actual demand rather than intent—the study tested purchase behavior during the week before the Super Bowl and again the week after. The research focused on measuring the change in consumer demand for eight brands with Super Bowl ads: Michelob Ultra, Heineken 0.0%, Hellmann’s Mayo, Downy Unstopables, Crown Royal Whisky, Frito-Lay PopCorners, Pringles and Pepsi Zero Sugar.

Super Bowl Advertising Winners Overall

Michelob Ultra – 19% increase in demand

Pepsi Zero Sugar – 18% increase in demand

Frito-Lay PopCorners – 12% increase in demand

Heineken 0.0% – 11% increase in demand

Super Bowl Advertising Winners Among Women

Pepsi Zero Sugar – 45% increase in demand

Michelob Ultra – 40% increase in demand

Heineken 0.0% – 40% increase in demand

Crown Royal Whisky – 26% increase in demand

Halo Effect for Non-Advertisers

The biggest winners were arguably brands in the same product categories as Super Bowl advertisers. Non-advertisers in those categories appeared to benefit nearly as much as the advertisers: demand grew by 4.2% percent for the study’s control group of non-advertising competitors. Corona Extra, Kraft Mayo and Lay’s STAX were the greatest beneficiaries in a control group that also included Budweiser Zero, Arm & Hammer Clean Scentsations, Canadian Club Whisky, Popchips, and Coke Zero Sugar. Notably, every non-advertiser saw at least a slight increase in post-Super Bowl demand.

“The goal of our study was to look specifically at how consumer demand is affected by running a commercial during the Super Bowl,” El Haji said. “It’s possible that the non-advertisers deployed other marketing efforts to offset or take advantage of the Super Bowl advertising—or they simply benefited from increased exposure for their categories.”

Additional Findings

Study participants also answered a series of follow-up questions about their preferences, perceptions and how they watched the Super Bowl. More than three-quarters watched at home through various platforms, the most popular being the live cable/satellite broadcast (38%), followed by YouTube TV (15%) and Hulu (10%). When asked why they watched, it’s no surprise that participants were all about the game (64%)—but the commercials were the next most popular reason for watching (39%), followed by halftime (35%), the social aspect (26%) and fear of missing out (13%).

About the Research

Veylinx studied the behavior of 1,610 U.S. consumers pre- and post- Super Bowl LVII. Unlike typical surveys where consumers are simply asked about their purchase intent, Veylinx measures whether consumers will pay for a product through a real bidding process. Consumers reveal their true willingness to pay by placing sealed bids on products and then answering follow-up questions.

For more information about the study and the Veylinx methodology, visit info.veylinx.com/super-bowl

About Veylinx

Veylinx is the most realistic behavioral insights platform for confidently answering critical business questions during all stages of product innovation. To reliably predict demand, Veylinx captures insights through a Nobel Prize-winning approach in which consumers have real skin in the game. This is a major advance from traditional market research practices that rely on what consumers say they would hypothetically buy. Veylinx’s unique research methodology is trusted by the world’s largest and most innovative consumer goods companies.

Main article image: PepsiCo / Article body images: Veylinx

February 20, 2023by David Klemt David Klemt No Comments

A New Challenger to the Margarita Emerges

A New Challenger to the Margarita Emerges

by David Klemt

The simple, three-ingredient Margarita continues its longstanding reign on the cocktail throne but there’s now a new number two.

Technically, of course, we haven’t had hard numbers regarding the Margarita’s sales for decades upon decades. Nielsen has only been officially tracking this type of cocktail data since 2016.

However, it’s not difficult to understand that America has been in love with the Margarita for decades. In fact, the cocktail may have been sitting on the throne for 50 (or more) years.

Some cocktail historians believe the Margarita is a member of the Daisy drink family. These sours consist of a spirit, citrus, simple syrup, and soda. Depending on who you believe, the Margarita came to life in the 1930s or 1940s.

An orange liqueur (triple sec) replaced the simple syrup, the soda was sent packing, and tequila became the required spirit. By the 1950s, the Margarita was on its way to winning the cocktail game of thrones.

Over the decades, many variations have appeared on the scene. Undoubtedly, this has helped the cocktail continue its reign. Tourist destinations have also strengthened its position; just think about the ubiquity of Margarita machines and blenders in Las Vegas and New Orleans.

But the simple, original recipe is the still “the One.” Ask a bartender or bar manager how they gauge someone’s skills behind the bar. The answer much (if not most) of the time? How that person makes a Margarita.

There’s nowhere to hide when a cocktail has but two or three ingredients. That’s why so many bar professionals judge bartenders by their Margs.

A “New” Challenger Appears

Unsurprisingly, the Margarita proved to be the most popular cocktail in America in 2022.

In contrast, according to the CGA Cocktail Sales Tracker by Nielsen IQ, the Manhattan fell out of the top ten.

The Moscow Mule, which has been rising in popularity for several years now, was in second place last year. In third, the Martini.

Now, before I address the “new” challenger to the Margarita, a note. The four newsworthy cocktails in terms of CGA and Nielsen tracking all have names beginning with the letter “M.” Does that mean anything? I have no idea. Maybe someone can look into cocktail names and how their perceived by guests to find out if “M” drinks outperform others.

So, we’ve got the Margarita, the Moscow Mule, the Martini, and the Manhattan (although for a different reason). Is the Moscow Mule currently eyeing the Margarita’s position up close and personally?

According to CGA by NielsenIQ data, no. The Martini is now sitting in the number two spot. Interestingly, this may be due to the rise in popularity—yet again—of the Espresso Martini.

So, while your bar team is ensuring their Margarita specs are dialed in for National Margarita Day, don’t neglect your Martinis. (Particularly your Espresso Martini.)

By the way, National Margarita Day is this Wednesday, February 22. Make sure you’re ready to thrown down.

Oh, and if you ever feel like starting an argument at a bar, ask the bartenders for their Margarita and Martini specs.

Image: Mathew Benoit on Unsplash

February 15, 2023by David Klemt David Klemt No Comments

Girl Scout Cookies take Cocktail Form

Girl Scout Cookies take Cocktail Form at Ocean Casino Resort

by David Klemt

Beginning today, Girl Scout Cookies are undergoing an irresistible liquid transformation at Ocean Casino Resort in Atlantic City.

Guests of the casino and resort will have the opportunity to enjoy these decadent cocktails through March 15.

In addition to driving traffic and engagement, these LTO drinks are a charitable effort. One dollar from each sale of these cocktails will go to the Girl Scout Troops of Southern and Central New Jersey.

So, not only is this a promotion that leverages nostalgia, these drinks enhance the guest experience of both visitors and locals. Ocean guests from out of town get to try enticing LTO drinks. And locals can try a series of limited-run cocktails while supporting their own community.

At KRG Hospitality, we like this promotion for several reasons. First, Girl Scout Cookies. For adults, these are nostalgic treats. For children, Girl Scout Cookies are a special treat. And, of course, Girl Scout Cookie sales help Girl Scouts raise funds for their organization.

Second, this promotion runs for four full weeks. That’s 28 days of sales, which is 28 days of fundraising.

Third, the Ocean Casino Resort F&B and marketing teams continues to show off their marketing skills. Last year, Ocean celebrated the Choco Taco with a tempting cocktail after it’s demise was announced. And just days ago we took a look at their Big Game drinks.

Each of their cocktail promotions serve as an exemplary LTO. Operators across the country can look to these for inspiration in terms of boosting traffic and sales, enhancing the guest experience, and engaging with their local communities while enticing visitors.

Check out Ocean Casino Resort’s National Girl Scout Day cocktail recipes. Cheers!

Berry Chocolatey

2 oz. Three Olives Vodka
2 oz. Chambord
2 oz. Chocolate liqueur (examples: Dorda, Godiva, Mozart)
Half chocolate rim to garnish

Prepare a coupe by rimming with chocolate syrup. Add all ingredients to a shaker with ice. Shake and strain into prepared glass.

Caramel Surprise

1.5 oz. Three Olives Vodka
1 oz. Chocolate Liqueur (examples: Dorda, Godiva, Mozart)
1.5 oz. Malibu
1 oz. Half and Half
1 bar spoon of Caramel syrup
Chocolate and caramel drizzle to garnish
Toasted coconut flakes to garnish

Prepare a Martini or cocktail glass by adding chocolate and caramel syrups to inside. Add first four ingredients to a shaker with ice. Shake and strain into prepared glass. Garnish with toasted coconut flakes.

Lemon Kiss

2 oz. Three Olives Vodka
0.5 oz. Triple Sec
1 oz. Fresh lemon juice
1 oz. Simple syrup
Half sugar rim to garnish
Lemon wedge to garnish

Prepare a Martini or cocktail glass with half-rim of sugar. Add all ingredients to a shaker with ice. Shake and strain into prepared glass. Garnish with lemon wedge.

PB&B

2.5 oz. Skrewball Peanut Butter Whiskey
0.5 oz. Crème de Cacao
2 dashes Chocolate bitters
1 dash Angostura bitters
Peanut Brittle laid across rim to garnish

Place a large ice cube inside a rocks glass. Add all liquid ingredients to prepared glass and stir. Garnish by laying a bite-size piece of peanut brittle across rim.

Images courtesy of Ocean Casino Resort

February 8, 2023by David Klemt David Klemt No Comments

Can ChatGPT Write Food and Drink Menus?

Can ChatGPT Write Food and Drink Menus?

by David Klemt

After my “conversation” last month with ChatGPT about AI, I had another conversation during which I asked it to write me four menus.

Of course, I did this to prove a point. And upon reviewing the ChatGPT menus, you’ll likely reach the same conclusion.

Curious about how creative the AI-powered chatbot could be, I asked for four specific menus. As you’ll see, two are cocktail specific, one focuses on food, and one is a 20-item F&B menu for a specific event.

So, yes, ChatGPT can write food and drink menus. But there’s a caveat. I could leave you in suspense but that’s not very nice. Let’s jump in.

Write me a cocktail menu using the most popular cocktails from 2022.

Cocktail Menu

Aperol Spritz – Aperol, Prosecco, and soda water, garnished with an orange slice
Old Fashioned – Bourbon, sugar, bitters, and a citrus peel
Margarita – Tequila, triple sec, lime juice, and salt rim
Daiquiri – Rum, lime juice, and simple syrup
Moscow Mule – Vodka, ginger beer, and lime juice
Paloma – Tequila, grapefruit juice, lime juice, and soda water
Pina Colada – Rum, pineapple juice, coconut cream, and a cherry garnish
Whiskey Sour – Bourbon, lemon juice, and simple syrup
French 75 – Gin, Champagne, lemon juice, and simple syrup
Mai Tai – Rum, orange liqueur, lime juice, and orgeat syrup

*All cocktails are served over ice, unless otherwise requested.

Write me a cocktail menu using the most popular spirits and alcohol types of 2022.

Cocktail Menu

Gin and Tonic – Gin, tonic water, and a lime wedge
Vodka Martini – Vodka, dry vermouth, and an olive garnish
Bourbon Manhattan – Bourbon, sweet vermouth, and bitters
Tequila Sunrise – Tequila, orange juice, and grenadine syrup
Rum Runner – Rum, blackberry liqueur, orange juice, pineapple juice, and grenadine
Whiskey Sour – Bourbon, lemon juice, and simple syrup
Margarita – Tequila, triple sec, lime juice, and salt rim
Daiquiri – Rum, lime juice, and simple syrup
Long Island Iced Tea – Vodka, gin, rum, tequila, triple sec, lemon juice, and cola
Pina Colada – Rum, pineapple juice, coconut cream, and a cherry garnish

*All cocktails are served over ice, unless otherwise requested.

Write me an appetizer and tapas menu that includes food items from an array of cuisines.

Appetizer and Tapas Menu

Bruschetta – Grilled bread topped with fresh tomatoes, basil, and balsamic glaze
Hummus Platter – Chickpea dip served with pita bread and fresh veggies
Spring Rolls – Fried wonton wrappers filled with veggies and served with sweet chili sauce
Spinach and Artichoke Dip – Creamy dip made with spinach, artichokes, and melted cheese, served with tortilla chips
Stuffed Jalapeños – Jalapeño peppers stuffed with cream cheese and bacon
Fried Calamari – Lightly battered and fried squid rings served with marinara sauce
Baked Brie – Warm, gooey brie cheese topped with fruit preserves and served with crackers
Fried Rice Balls – Rice mixed with veggies and spices, rolled into balls and fried, served with sweet and sour sauce
Chorizo Sliders – Mini sliders made with spicy chorizo sausage and topped with avocado crema
Samosas – Triangular-shaped pastries filled with spiced potatoes and peas, served with mint chutney.

*Please let us know of any dietary restrictions, and we will do our best to accommodate your needs.

Write me a food and beverage menu for the 2023 [Big Game] with ten food items and ten drinks.

[Big Game] 2023 Food and Beverage Menu

Food:

Buffalo Wings – Crispy wings tossed in spicy Buffalo sauce
Sliders – Mini burgers with various toppings, such as bacon and cheddar, mushroom and Swiss, and BBQ pulled pork
Nachos – Tortilla chips topped with melted cheese, jalapeños, salsa, and sour cream
Chili – Hearty beef chili served with shredded cheddar cheese, onions, and crackers
Ribs – Slow-cooked BBQ ribs with a tangy sauce
Mac & Cheese Bites – Fried balls of creamy mac & cheese
Deviled Eggs – Hard-boiled eggs filled with a mixture of mayo, mustard, and spices
Pizzas – Slices of delicious pizza in various toppings such as pepperoni, mushroom, and sausage
Chips & Dip – Assorted chips served with guacamole, salsa, and queso dip
Soft Pretzels – Warm, soft pretzels served with cheese dipping sauce

Drinks:

Beer – A selection of domestic and imported beers
Margaritas – Classic margaritas made with tequila, triple sec, and lime juice
Bloody Mary – A spicy tomato and vodka-based drink with celery, olives, and other garnishes
Hard Cider – A crisp, apple-based beverage
Sodas – A variety of soft drinks, such as cola, lemon-lime, and root beer
Whiskey Sours – A mixture of whiskey, lemon juice, and simple syrup
Spiked Hot Cider – Warm apple cider with a splash of rum
Red and White Wines – A selection of red and white wines to accompany any meal
Iced Tea – Sweetened or unsweetened iced tea
Coffee – Freshly brewed coffee, hot and ready to enjoy.

*Please drink responsibly and always have a designated driver.

Where Do You Stand on AI?

In my opinion, there are essentially four primary camps forming around the subject of artificial intelligence.

There are the Alarmists, the Enthusiasts, the Cautious, and the Shoulder Shruggers.

As my label implies, the Alarmists are fearful of AI. This group doesn’t like the genie being let out of its bottle. On the polar opposite, there are the Enthusiasts. This group can’t wait to see how far AI can go and what it’s fully capable of.

The Shoulder Shruggers basically have no opinion. They may even throw in an eye roll when the topic of AI comes around.

Then there’s the camp I most closely identify with: the Cautious. I don’t know enough about AI to be an Alarmist or an Enthusiast. Instead, I agree with points made by both of those camps.

Conclusion

Before I had my latest conversation with ChatGPT, I happened across a few interesting articles about the chatbot specifically and AI in general. A point each article shared was this: (for now), ChatGPT isn’t creative.

And that’s the caveat I mentioned at the top of this article.

Sure, it can scour the Internet for information in the blink of an eye, contextualize it (to a degree), and present it in a manner that seems intelligent. But really, neither ChatGPT nor other AI tools are capable of creative endeavors.

Now, consider the “menus” you just read. Unless your goal is to become a boring, regional chain bereft of personality and identity, not a single one is creative. In fact, they both consist of F&B items that any bartender, bar manager, chef, cook, or kitchen manager should know how to make, off-menu or on.

Simply put, these ChatGPT menus don’t provide much, if anything, in the way of brand identity.

That’s not to say that menus with the items above are “bad.” It’s just that they’re not enticing, not inspiring, not creative. They’re the definition of derivative. Why would today’s guest be drawn to a venue with those menus?

For now, I don’t think we need to be afraid of AI. Humans still rule the creativity roost. Oh, and please don’t use those AI-generated menus.

Image: Christian Wiediger on Unsplash