F&B programming | KRG Hospitality

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August 28, 2023by David Klemt David Klemt No Comments

Pumpkin Spice Everything is Already Here

Pumpkin Spice Everything is Already Here

by David Klemt

In what perhaps is an attempt to encourage people to think of cooler autumnal temperatures, pumpkin spice is descending upon us earlier than ever before.

Operators who are finalizing their pumpkin spice menu items are basically already late to the party.

Luckily, it isn’t like the brands for which fall’s most infamous LTO flavor works are too far behind. A significant percentage of consumers are drawn to pumpkin spice menu items like trick or treaters to homes handing out full-size candy bars.

So, operators still have time to put the final touches on pumpkin spice menu items…but they’ll want to get a move on.

That’s exactly what restaurant chains did this year. Their pumpkin spice-flavored onslaught began with the start of this month.

Pumpkin Spice, Now a Summer Flavor?

Spirit Halloween stores. Christmas music. And now, it appears, Pumpkin Spice.

What do these three things have in common? Well, it seems like they’re making their debuts earlier and earlier each year.

When we think of summer and seasonality, I don’t think pumpkin or even baking spices enters into most people’s minds.

Unless, however, those people are in marketing and branding.

According to Restaurant Business, Krispy Kreme went all in on pumpkin spice on August 7. On that day, the chain unveiled four donuts and a number of beverages featuring pumpkin flavors.

Interestingly, the company’s global chief brand officer, Dave Skena, states that their pumpkin spice releases came one day earlier this year. Last year, they say, pumpkin spice arrived “significantly earlier than the year before.”

7-11 may have crossed the pumpkin spice dateline first this year. Dunkin’ is already offering pumpkin spice F&B items. And Starbucks, famous for their PSL LTO, is rumored to be launching their specialty menu this Thursday.

Given these August releases, can we expect a brand to attempt to get the jump on everyone else and launch pumpkin spice LTOs in July?

Consumer Cravings

Brands wouldn’t gamble on releasing their pumpkin spice LTOs in August if they didn’t think their decision would pay off.

Considering what Krispy Kreme’s Skena says about pumpkin spice’s August arrival, consumers have already spoken. Apparently, a significant percentage of people have an interest in fall flavors midway through summer.

Of course, there are a few considerations for independent operators in terms of seasonal releases. Rolling out new menus and menu items can be a costly endeavor. Pulling the plug on one revenue-generating seasonal menu or LTO in favor of significantly different items may be harmful to the bottom line.

One approach operators could take is to plan far enough ahead to pull the trigger on LTOs when 7-11, Dunkin’, or Starbucks launch theirs. In other words, be ready, but don’t jump the gun.

This also speaks to the importance of operators knowing their core guests and listening to feedback. Are front-of-house staff hearing murmurs from guests that they’re craving new flavors? Perhaps it could be lucrative to leverage that anticipation.

Image: Colton Sturgeon on Unsplash

Person with tattoos pouring coffee from French press

August 14, 2023by David Klemt David Klemt No Comments

Should You Offer Your Guests Brunch?

Should You Offer Your Guests Brunch?

by David Klemt

Is brunch on its way to becoming a lucrative daypart that can grow traffic, increase revenue, boost guest engagement, and promote loyalty?

If a report from Square is anything to go off, yes.

Owing in part to changes in consumer behavior from 2019 to now, brunch appears to be a solid traffic and revenue generator. The number of people working from home is impacting daypart spending, which makes sense. Traditional office workers will often pop into a QSR or cafe for coffee and breakfast on their way in to work. And when lunch rolls around, they tend to head out to restaurants nearby for their break.

Now, the data support the belief that more people are staying home on weekdays and unleashing pent-up demand for socializing and dining out on the weekends. And apparently that demand is rather voracious, because brunch appears to be on the rise.

In 2019, just over eight percent of all dining dollars were spent on Saturdays during traditional brunch hours. That has grown to just over ten percent this year.

In terms of engagement and bringing more brand awareness, the term itself is growing on social media platforms.

Along with revisiting hours of operation, it may be wise for operators to consider offering Saturday or Sunday brunch.

Bristory

Yes, that’s a brunch-style portmanteau of “brunch” and “history.” No, I’m not proud of myself but I’m leaving it in.

The portmanteau “brunch” is believed to have first been coined by a British writer named Guy Beringer in 1895. He included the word in an article he wrote for Hunter’s Weekly. Beringer was making the case for noontime meal that combined breakfast and lunch.

In arguing for what may be the world’s first hybrid meal, Beringer wrote that, “the arguments in favor of Brunch are incontestable. In the first place it renders early rising not only unnecessary but ridiculous. You get up when the world is warm, or at least, when it is not so cold. You are, therefore, able to prolong your Saturday nights…”

The word would appear a year later in a Pennsylvanian publication called the New Oxford. More than 30 years later, brunch was on its way to becoming “a thing” in the US.

Oh, and there are arguments that an American reporter, Frank Ward O’Malley, who should credit for the word “brunch.” Those who believe this is the case say O’Malley created the portmanteau some time between 1906 and 1919. As is the case with many classic cocktails, the origin of brunch is at least somewhat hazy.

By the 1970s, the stigma that once came with brunch—that drinking publicly during the day could harm one’s reputation—began to dissipate.

Brunch by the Numbers

According to Square, brunch is appealing for several reasons.

Let’s take a look at this infamous daypart by the numbers.

9.8 percent: Growth in the number of restaurants in the US offering breakfast and brunch in 2022 alone.
10 percent: Amount of overall spending in restaurants on Saturdays between the hours of 8:00 AM and 1:00 PM in 2023.
35 million: Number of #brunch Instagram posts, and the number is growing.
4.5 billion: Number of TikTok views of posts with #brunch.
71 percent: Number of Americans who wish restaurants in the US would serve breakfast items all day.

To me, the most striking statistic is that brunch spending now accounts for ten percent of all restaurant spending.

That spend is logical when we think about who tends to enjoy brunch: people with time and money to spend on a leisurely, all-day meal.

As professor Farha Ternikar, author of Brunch: A History, has said, “Brunch continues to grow anywhere there is disposable income or time.”

So, operators who are considering offering brunch for the time or investing more into brunch have some questions to answer: Who is my target audience? What’s the population density of my market? Who has disposable income and time? Should I offer brunch on Saturday, Sunday, or both days? Does brunch work for my concept? Which venues near me are already offering brunch?

Answer those questions and speak with your staff before jumping feet first into this potentially lucrative daypart.

Image: Helena Lopes on Pexels

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