Lounge | KRG Hospitality

De Daltons gourmet Golden Boy hamburger, cropped image

July 6, 2021by David Klemt David Klemt No Comments

Want Champagne Onion Rings with That?

Want Champagne Onion Rings with That $6,000 Burger?

by David Klemt

Matthew McConaughey once said that the inventor of the hamburger was smart but creator of the cheeseburger was a genius.

So, what title should we bestow upon the person who created the first-ever gourmet burger?

Super-genius? Superhuman? Superhero?

Perhaps legend is high-enough praise for whomever made it acceptable to charge more than $10 for a simple menu item.

A Brief History of Haute Hamburgers

The United States is widely credited with the invention of the hamburger. However, the exact origin is unknown. Therefore, it remains heavily disputed.

Of course, we wouldn’t have today’s gourmet burgers without two decidedly standard burger powerhouses: White Castle and McDonald’s.

The former was founded 100 years ago this past March in 1921, while the latter really came into its own in 1955. However, thanks to films like The Founder, McDonald’s tends to get the lion’s share of modern burger and fast-food credit.

Regardless, the first haute cuisine burgers wouldn’t hit the market until the turn of this century. Chefs Daniel Boulud and Richard Blais are among the names that receive credit for creating the gourmet burger category.

Over the past several years, several high-dollar burgers have made headlines. For example, Corvallis, Oregon-located restaurant Juicys Outlaw Grill created a $5,000 burger ten years ago. Anyone interested in having one was required to provide 48-hours’ notice.

In 2017, Dutch chef Chef Diego Buik offered a $2,300-plus burger at South of Houston in the Hague. Just two years ago, Chef Hubert Keller featured a $5,000 burger on the menu at his Las Vegas restaurant Fleur.

Another Las Vegas restaurant, Burger Brasserie, has offered a $777 burger for nearly a decade.

Chef Gordon Ramsay’s latest restaurant, the cleverly named Gordon Ramsay Burger outpost in London (the original is in Las Vegas), features a burger that costs between $106 and $144. Oh, and it doesn’t come with fries—those come with an upcharge of ten bucks.

New King of Burgers

Now, there’s a new most-expensive burger making the scene. Interestingly, it’s not from an American restaurant.

De Daltons, a Dutch diner located about 40 minutes southeast of Amsterdam, is the home of a gourmet burger known as the Golden Boy.

Of course, this isn’t just any gourmet burger—at €5000, De Daltons is attempting to make it the gourmet burger.

So, what does one get for their nearly $6,000 investment in haute cuisine?

To start, there’s the burger. It’s made of ground A5 Wagyu brisket and chuck short rib. It’s topped with The Macallan- and Kopi Luwak coffee-infused barbecue sauce; truffled Cheddar cheese; Joselito vintage jamon (the best ham in the world); Dom Pérignon-battered onion rings; Beluga caviar; white truffle; Tiger tomato and cucumber that was pickled in matcha; smoked mayonnaise made saffron, chive and duck eggs; and king crab cooked in white wine.

Oh, and the burger is given a whiskey-smoked treatment before it’s served.

Speaking of service, what kind of bun is luxurious enough to hold the Golden Boy? A saffron- and Dom Pérignon-infused gold leaf one, of course.

Gourmet Gimmick?

The latest headline-grabbing burger is truly a hedonistic indulgence. Unlike some haute hamburgers from the past, however, it’s made with truly impressive ingredients.

Before the Golden Boy made its appearance, one simply had to make a BOUS (Burger of Unusual Size) to get attention. One could also go the “gourmet” route by pairing their signature burger with a pricey bottle of Champagne.

After those two routes turned a bit stale, chefs with impressive credentials could make news by making gourmet burgers from “fancy” meats, slapping foie gras and an aged cheese on top, and dusting the bun with gold.

De Daltons’ burger is clearly taking the gourmet burger in an ultra-luxe direction. All challengers to the King of Burger throne will have to follow suit.

Yes, the Golden Boy is a gimmick. Yes, it has helped De Daltons pull focus and grab the global restaurant spotlight. However, as ludicrous as many will find the price tag, the burger does deliver on luxe ingredients and pageantry.

So, am I suggesting that restaurateurs review their menus, local suppliers, and market to come up with their own headline-generating luxury menu item? Well, yeah.

If an operator’s kitchen team has the skills to execute on a specialty high-priced item while remaining authentic and without alienating loyal guests, go for it. If there’s only PR, marketing and revenue upside, creating one incredible “off-menu”item is worth the effort.

Again, this comes down to operators knowing their guests, their markets, and what they’re great at doing. The word “gimmick” doesn’t have to be a dirty word—it can be a positive if done correctly.

Image: De Daltons

Stay Weird neon sign with purple background

June 30, 2021by David Klemt David Klemt No Comments

Stand Out with Weird Holidays: July

Stand Out with Weird Holidays: July

by David Klemt

Want to stand out from from other restaurants and bars in your area? Then commit to keeping it weird.

Several “holidays” are set against every date on the calendar, and July is no exception. These holidays range from mainstream to food-centric to weird.

Focus on the latter to raise eyebrows, carve out a niche for your restaurant or bar, and attract more guests. Why do what everyone else is already doing?

Of course, you shouldn’t try to celebrate every holiday, weird or otherwise. And this month’s list in no way includes every odd holiday.

Focus on the days that are authentic to your brand; resonate with your guests; and help you grab attention on social media.

For last month’s list, click here.

July 1: International Joke Day

Kicking things off this month is a fun one: International Joke Day.

July 7: National Dive Bar Day

This category of bar is one of our favorites. Whether you operate a dive bar, neighborhood bar or corner bar, this is your day.

July 8: Video Games Day

This is not to be confused with National Video Game Day, which takes place September 12. This bar holiday is perfect for all the barcades and eatertainment venues out there. Or, for cool restaurants and bars that have a video game system or arcade game or two inside.

July 11: National Cheer Up the Lonely Day

Nearly the entirety of 2020 and the first half of 2021 have been challenging, to say the absolute least. It’s safe to say that we’re all quite a bit lonely. On this holiday, provide a fun and safe environment for people to get back out there, socialize, and meet new friends.

July 12: National Simplicity Day

There’s nothing wrong with complex cocktail builds. However, today is the perfect holiday to highlight the simpler two- and three-ingredient cocktails on your menu. Simple, speedy, and delicious.

July 13: National Delaware Day

Of course, this isn’t a weird holiday to people who live in Delaware. For those outside the Diamond State, this is the time to showcase Delaware brands like Dog Fish Head.

July 15: National Give Something Away Day

We’re not huge fans of outright giveaways unless said giveaway items come from a partner or sponsor. However, operators can certainly come up with a creative food or beverage giveaway that requires a purchase.

July 17: National Tattoo Day

Operators can prepare for this holiday by partnering with a local tattoo shop and creating a traffic-driving promo with them.

July 20: National Pennsylvania Day

Again, this isn’t weird to Pennsylvanians. Operators outside the Keystone State should feature brands like Philadelphia Distilling and Victory Brewing Co.

July 22: National Refreshment Day

If it’s cold and refreshing, shout it from your rooftop. It’s July, it’s hot out, and people need to know you’ve got ice cold beer, cocktails, and soft drinks.

Image: Dan Parlante on Unsplash

Fever-Tree Distillers Cola bottle and cocktail

June 23, 2021by David Klemt David Klemt No Comments

Fever-Tree Cola: Set Aside Your Soda Gun

Fever-Tree Cola: Set Aside Your Soda Gun

by David Klemt

Fever-Tree, the company elevating mixers since 2005, is now focusing on producing the finest cola.

Like the entirety of the Fever-Tree portfolio, Distillers Cola honors spirits and enhances cocktails.

And, like its mates in the lineup, the newest Fever-Tree product is made only with premium ingredients.

Commitment to Quality

Fever-Tree’s founding principle has always been producing high-quality mixers with high-quality and exotic ingredients. Co-founder Tim Warrillow and CEO of Fever-Tree North America Charles Gibb search the globe to find and partner with the best producers possible.

Much of that drive is down to the brand’s focus on honoring distillers and their spirits along with cocktail programs and bars.

In the mid-2000s, Warrillow and Gibb made a stark realization about spirits and cocktail. Distillers were crafting incredible spirits but most mixers were either standard or substandard.

Obviously, that changed with the launch of Fever-Tree, undeniable leaders and innovators in the mixer category.

Exotic Cola

For years now, today’s consumer has been drinking better. With unfettered access to information, social media and brands, they’ve been learning more about spirits and cocktails.

Intriguingly, the pandemic didn’t change that, and all signs point to a continued dedication to quality drinking.

Also, great bartenders want to tell, as Gibbs says, the best stories through the best cocktails. In doing so, they’ve taught their guests how to drink better.

Of course, part of improving one’s drinking is seeking out products produced with quality ingredients.

According to Warrillow, Fever-Tree is excited to finally take on “the biggest mixer of them all, cola,” the most-popular soft drink flavor in the world. He says people have been asking for Fever-Tree to craft their own cola for quite some time now.

It should come as no surprise to any Fever-Tree fan that Distillers Cola is produced with a commitment to craft.

The kola nuts are grown wild in the Caribbean sweet, earthy, and a natural source of caffeine. Large Tahitian limes from Mexico—the Yucatán province specifically—are bold but not overwhelming. Jamaican pimento berries (allspice) imbue Distillers Cola with flavors of cinnamon, clove, nutmeg and pepper. Madagascan vanilla—the “most prized” vanilla, per Warrillow—is intense, sweet, and lends to a creamy mouthfeel.

Distillers Cola, being a mixer and not a soft drink, is high in carbonation but reins in its sweetness.

A Mixer with Intent

Now, Fever-Tree Distillers Cola is meant to elevate bourbons and dark rums. Of course, that doesn’t mean its use is limited.

In fact, Speed Rack co-founder Lynnette Marrero suggests mixing up a Gin & Distillers Cola. Certainly, that’s a much different direction than Rum or Whiskey & Colas.

And Marrero’s Going Back to Kalimoxto, which she describes as “the spritz meets sangria,” calls for 0.5 oz. Cognac, 0.5 oz. Fernet, 3 oz. red wine (nothing too tannic: think Pinot Noir or Beaujolais), and 3 oz. Fever-Tree Cola. Simply stir and serve with a lemon wheel.

Indeed, this brand-new Fever-Tree product is practically begging for cocktail experimentation.

Reposado, añejo, and extra añejo tequilas, some mezcals, amaros, Scotch and rye whiskeys… A new mixer opens up a world of menu possibilities.

However, the best place to start is likely two of Fever-Trees intended cocktails: an elevated Rum & Cola or Whiskey & Cola. In fact, Warrillow and Gibbs say it was developed with Bacardí Cuatro in mind.

Interestingly, Allen Katz of New York Distilling Co. tasted “about 15 barrels” of their Ragtime Rye with Distillers Cola. According to Katz, the cola pairs very well with a whiskey with more fruit, less cedar and spice. In fact, he likes it so much he has committed a single barrel to a special Distillers Cola release—be on the lookout, whiskey hunters.

Also, since Governor Andrew Cuomo has lifted Covid-19 restrictions, people can visit New York Distilling’s Shanty to try a specialty cocktail made with Distiller’s Cola.

Holster Your Soda Guns

Yes, soda guns have been de rigueur for decades. They’re convenient in terms of service, particularly in a high-volume setting.

They’re also often perceived as being perpetually dirty. And, in many cases, that perception is reality.

Of course, in other cases it’s simply what guests have been taught from myriad articles and blog posts.

When I asked Gibbs how he expects to convince operators to hang up their soda guns and choose Distillers Cola instead, his answer was compelling. On the bar side, he points to the fact that bartenders want to craft and serve the best possible cocktails. To do that, they need high-quality ingredients. Along with that, many guests know Fever-Tree and seek it out.

That’s all well and good, but what about the operator side? Gibbs notes that bars across the country are ripping out their soda guns. Clearly, this is a response to health-conscious guests who perceive what comes out of the gun to be unhealthy or subpar in quality.

Those same operators, therefore, aren’t buying and storying bags of syrup. Instead, they can purchase higher-quality ingredients that deliver on consistency. Consistency and quality are key elements of the guest experience. Gibbs also says that operators can charge more for a drink made with premium ingredients like Fever-Tree.

Of course, the next step is for operators and their front-of-house teams to try Fever-Tree Distillers Cola for themselves. Not only will it elevate their bar programs, it certainly enhances to-go cocktail kit options.

Image: Fever-Tree

Hand holding United States of America passport

June 22, 2021by David Klemt David Klemt No Comments

Third-party Vaccine Passports on the Way

Third-party Vaccine Passports on the Way

by David Klemt

Operators will likely have to further wade into politics if so-called “vaccine passports” become standard.

If recent reporting is accurate, several platforms will bring vaccine passports to market.

The hospitality, lodging and travel industries have been thrust into politics since for several years now. Unfortunately, the pandemic has only made the situation more precarious.

Dangerous Waters

For many operators, navigating today’s politically-charged atmosphere is an unwelcome development.

It’s bad enough that hospitality, lodging and travel have been thrown into utter chaos for well over a year. America and Canada have lost tens of thousands of restaurants and bars. Operators able to survive have lost millions of workers.

Too many people have lost jobs, savings, homes, and any sense of stability in their lives. Mental health, as a result, is on the decline for many people.

Unfortunately, all of those awful things are being exacerbated by politics. In America in particular (if reports are accurate), politics have severely divided the country.

Covid-19 safety protocols were politicized immediately. Restaurant, bar, hotel and travel workers found themselves playing pandemic police, putting them in dangerous situations.

If vaccine passports become standard, operators will find themselves deeper in the political quagmire. Workers will likely face a greater risk for confrontations with hostile guests.

What’s a Vaccine Passport?

In short, a vaccine passport is a way for someone to prove they’ve received a Covid-19 vaccine.

Per recent reports, the Biden administration has said they have no plan to implement federal vaccine passports.

However, several states have already banned this form of proof of vaccination. These include: Alabama, Arizona, Arkansas, Florida, Georgia, Idaho, Indiana, Iowa, Montana, North Dakota, South Carolina, South Dakota, Texas, Utah (but private companies can require workers to get vaccinated), and Wyoming.

So far, two states—Hawaii and New York—have implemented vaccine passports. As far as the other states, vaccine passports are not a requirement or haven’t been banned yet.

New York’s vaccine passport, Excelsior Pass, was developed by IBM. A vaccinated New York resident downloads the app, a business owner downloads the scanner app, and vaccination status can be confirmed. Similar apps are believed to be in the works.

Again, however, many states have banned these apps.

What Does this Mean for Businesses?

If vaccine passports are banned fully where an operator does business, the decision has been made for them.

However, some bans relate only to government entities—businesses can require proof of vaccination.

And if a state doesn’t prohibit vaccine passports at all? The situation can be even more challenging for operators.

Operators eager to protect their workers and guests from infection may welcome vaccine passports. Some operators may feel these passports are an invasion of privacy and reject them. Still others may view them as a potential source for harassment and discrimination.

Should an operator require vaccine passports, they should expect backlash that could directly impact business. Operators who prohibit the use the vaccine passports may be viewed as “irresponsible” and also face backlash

Once again, the pandemic has put operators in several industries in no-win situations. Operators should consider their vaccine passport plan and the messaging around it now.

Image: Levi Ventura on Unsplash

"Yes, we're open" sign in restaurant or bar window

June 18, 2021by David Klemt David Klemt No Comments

Update Your Business Info Now!

Update Your Business Info Now!

by David Klemt

Restrictions are relaxing and people are returning to at least a form of their pre-pandemic lives. Operators need to review and update their information.

People face a flood of confusing or vague information every day—restaurants and bars don’t need to add to it.

In other words, operators need to make sure guests are getting accurate information when they search for their businesses.

This is particularly relevant right now with summer upon us and Father’s Day in two days.

Are You Open?

Cities, states and provinces are opening things up throughout North America.

In Canada, British Columbia, Ontario, and other provinces are in the midst of reopening plans and. Some provinces are also reopening their borders to their Canadian neighboris. Some restrictions remain and provinces aren’t fully open, but they’re on their way.

And in America, more than half of states are considered open fully: Alabama, Alaska, Arizona, Arkansas, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kentucky, Louisiana, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Hampshire, New Jersey, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, Wisconsin.

Restrictions that remain in place in some provinces and states relate to dining. For example, outdoor dining returned to Ontario, Canada, a few days ahead of schedule. Unsurprisingly, people flocked to restaurants and bars with outdoor dining areas.

Of course, that’s a long-overdue and welcome development. However, such relaxing of restrictions exposes an issue: People aren’t sure if businesses are open, what hours they’re open, and what menu items are available.

Update Your Information

It should go without saying but I’ll say it anyway: The past 15 months have been a horror show for operators.

So, it’s understandable that some operational discipline has slipped. Now’s the time to fix that and focus on the details.

Guests want to know what restaurants and bars are open. They want to know when they’re open. And they don’t want any surprises about menu item availability.

Of course, operators can manually review and update or edit their online listings. An operator can also task a manager or worker with that responsibility.

There are also platforms out there that make updating pertinent business information a much less overwhelming job.

Marqii, a paid service with three pricing tiers, manages several important details quickly and easily. Operators can use Marqii to update their menus across more than 75 sites; manage their location data, including hours of operation; and review and respond to reviews across several platforms, depending on the tier chosen.

Packages are priced per location and a business is charged monthly. There are similar solutions out there but Marqii is a great place to start.

We live and operate in the Convenience Era. Make it easy for your guests to visit and spend their money with you.

Image: Tim Mossholder on Unsplash

June 14, 2021by David Klemt David Klemt No Comments

Guest Journey: Acquire, Engage, Retain

Guest Journey: Acquire, Engage, Retain

by David Klemt

What if you could change your operational mindset for the better in the time it takes to enjoy a cup of coffee?

SevenRooms is confident they can help you do exactly that.

The SevenRooms Coffee Break series tackles one important operational element per 20-minute webinar.

Time for a Coffee Break?

It’s no secret that we’re fans of SevenRooms here at KRG Hospitality. In addition to supporting the actual platform, we’re always eager to share their data-driven reports and insights.

CEO Joel Montaniel is the guest on episode 24 of our Bar Hacks podcast. (You can—and should—listen to the episode on Spotify, Apple Podcasts, or wherever you listen to podcasts.)

Given how much SevenRooms values collecting and sharing data that can improve operations industry-wide, it’s not a surprise that they also offer informative webinars.

So far, there are three webinars in the Coffee Break series. And, of course, each shares a way that operators can improve their business.

That’s certainly welcome as we emerge from stay-at-home orders, ease restrictions, and welcome more guests.

The current entries focus on what SevenRooms is dubbing the Restaurant Renaissance. As Doug Radkey, president of KRG Hospitality says, we can take two paths leading to the post-pandemic world.

One, we can recognize that the industry needs an overhaul, making improvements for operators, workers and guests.

Two, we can learn nothing, do nothing, and watch the industry collapse.

Restaurant Renaissance

Call it what you prefer: the Restaurant Renaissance. The New Roaring Twenties. Re-emergence. The New Normal. The Post-pandemic World.

Sure, it’s cool to have a catchy label to slap onto unique eras. It’s better to have a clear plan and path for moving forward.

To that end, SevenRooms identifies four key factors driving what they’re calling the Restaurant Renaissance:

Vaccines
Warmer weather
Pent-up consumer demand
Restrictions lifting

Alexa Detzi, director of Enterprise Success at SevenRooms, addresses these elements in the first Coffee Break webinar, “Acquire.”

We’ve said many times that operators need to prepare for an explosion in consumer demand and guest traffic. In addition, we’ve made it clear that we’ll most likely experience a severe drop-off in traffic after the initial demand wanes.

Of course, there are several ways things might play out in the New Normal. However, huge traffic in many markets followed by a drop makes the most sense.

Get Ready

The first three SevenRooms Coffee Break webinars focus on the guest journey:

I highly recommend signing up and watching each webinar, sooner rather than later. Guests are already being subjected to a cacophony of marketing overtures—you need to cut through the noise.

We Want to Help You

Like SevenRooms, KRG Hospitality is dedicated to helping operators.

If you’re seeking to open a new business, whether your first venue or an expansion, should also download our 2021 Restaurant Start-up Cost Guide & Checklist.

And for operators looking more direct and guided assistance for improving your business, we also offer KRG Mindset.

Next time you have 15 or 20 minutes to yourself, check out our Solutions and Resources pages, reach out, and let’s set up your Roadmap to Success.

Image: Garrhet Sampson on Unsplash

Sparkling red wine in wine glass with condensation

June 11, 2021by David Klemt David Klemt No Comments

5 Bottles for June 21, World Lambrusco Day

5 Bottles for June 21, World Lambrusco Day

by David Klemt

On June 21, the world celebrates one of Italy’s most-famous wines, the oft-misunderstood and maligned Lambrusco.

Now, some people of a certain age chuckle and roll their eyes when someone mentions Lambrusco. After all, the most (in)famous example throughout North America was Riunite.

Of course, I mean no disrespect to that particular producer. It’s just that the world is aware of other Lambrusco labels.

People also now know much more about wine in general and Lambrusco specifically. And they know it’s not always a sweet, sparkling wine.

Lambrusco 101

Much like many, many other wines, Lambrusco is a protected designation. Think Champagne, Prosecco or Châteauneuf-du-Pape.

Lambrusco comes from five regions in Northern Italy: four in Emilia-Romagna and one in Lombardy. Cheese fans may know Emilia-Romagna for its Parmigiano Reggiano cheese production.

The five denominazione di origine controllata (DOC) regions each produce distinct styles of Lambrusco with their own unique characteristics.

For example, Lambrusco Grasparossa di Castelvetro from Modena are the most-tannic of these wines. They also tend to be dark purple in color.

In contrast, some Lambrusco Reggiano wines are lighter in color. These Lambruscos also tend to be sweeter on the palate and more floral on the nose.

Lambrusco di Sorbara produces perhaps the most unique Lambrusco, such as rosè.

Most Lambrusco is semi-sparkling, or frizzante, owing to winemakers using the ancestral, traditional or Charmat methods of production.

Modern Outlook

For decades, most North Americans were only aware of Lambrusco from Riunite. Therefore, North Americans only knew Lambrusco as a cloyingly sweet, fizzy Italian wine.

Of course, many people love sweet. So many, in fact, that the term “sweet sells” is well-known among beverage managers.

However, today’s consumer doesn’t necessarily want to drink what their parents or grandparents drink. And while they may not dislike sweet outright, they want to experience different flavor profiles.

For these consumers, bartenders, bar managers, servers, and floor managers should be aware of a few important Lambrusco label terms:

Dolce: This is the sweetest Lambrusco.
Amabile: Medium-sweet wines not quite as sweet as dolce.
Semisecco: The most common Lambrusco, off-dry wines that aren’t as sweet as amabile or dolce.
Secco: Dry Lambrusco with balance and savory notes in addition to fruit on the palate.

Lambrusco is a great alternative to Champagne, Prosecco and other sparkling wines in the summer. In particular, those with patios should push their guests to try it.

Where to Start

Like I said, I’m not bashing Riunite—the label has been around for quite some time.

But for those who want to fill out their wine menus, these bottles are worth a look. I’ve chosen one bottle from each of Italy’s five Lambrusco DOCs.

Fondo Bozzole ‘Incantabiss’ Lambrusco Mantovano

From the Lombardy region. A soft wine with mineral notes balance the fruit (strawberry in particular).

Vigneto SaettiRosso Viola 2019

From the Lambrusco Salamino di Santa Croce region. This bottle would definitely draw some eyes as it’s brought to a table. Dry with smoothness balanced by assertive tannins. Black cherry, red berries, and violet.

Lini 910 Lambrusco Rosso Labrusca Reggiano (non-vintage)

91 points from Vinous. Blueberry and strawberry on the nose and palate. I have to say, the label is pretty cool.

Cleto Chiarli Lambrusco Grasparossa di Castelvetro Amabile Centenario (non-vintage)

Speaking of labels, I can see where this bottle would be mistaken for Champagne. Semi-sweet and smooth with lots of fruit on the nose and palate.

Paltrinieri “Radice” Lambrusco di Sorbara (non-vintage)

High acid lends itself to this wine’s significant brightness. Along with strawberry, expect grapefruit and watermelon notes.

Image: Dirk Wohlrabe from Pixabay

June 9, 2021by David Klemt David Klemt No Comments

Tip Elimination is Back on the Table

Tip Elimination is Back on the Table

by David Klemt

Several operators across the country feel that as we emerge from pandemic life, now is the time to once again try eliminating tips.

Back in 2015, Danny Meyer made a decision about tips in his restaurants that sent shockwaves through the industry. Over the course of five years, Union Square Hospitality Group (Meyer’s group) implemented a hospitality included policy to eliminate tipping.

To be sure, it wasn’t only Meyer’s restaurants that examined and put no-tipping policies in place. However, Union Square was certainly among the highest-profile operators to try it out.

Good Intentions

Per the CEO of Union Square and founder of Shake Shack, attempting to do away with tipping was about promoting equity in the hospitality.

Tipping has been linked to the propagation of sexism, racism, harassment, and exploitation.

Meyer has also said that he believes it leads to wage instability, and studies have shown it contributes to outright wage theft. And, as anyone who has worked in a restaurant knows, tipping can create a gap—and therefore tension, among other issues—between the front of house and back.

However, it has proven difficult to for no-tipping policies to take hold. This is in part because tipping is so ingrained in American society. And, of course, there’s also the issue of increasing menu prices; some people are fine with tipping but not with paying more for menu items.

Guests aren’t the only individuals who have pushed back against eliminating tips. Unsurprisingly, the very people Meyers and other operators are trying to help have rejected no-tipping policies.

Many servers and other FoH staff have made it clear that they’re not interested in working for an operator who eliminates tips.

Reinstatement of Tipping

Around eleven months ago, Meyer announced he would reverse course on his hospitality included policy. According to reporting, Meyer had done so not because of pushback against increased menu prices (about 15 to 20 percent to cover increased labor costs).

Rather, the five-year experiment never worked exactly as Meyer and Union Square had hoped. As he told Pulitzer Prize-winning journalist Jonathan Capehart during a Washington Post Live conversation back in March of this year, the policy wasn’t sustainable.

“It worked to a degree, but it was not sustainable, and the biggest reason it wasn’t sustainable was we could never quite do all the things we wanted to do for our team members like make sure that a formerly tipped employee could make as much as she made when she was tipped, make sure that we had a 401(k) plan, make sure we had a really, really generous family leave policy,” Meyer told Capehart.

And then there was the impact of the pandemic. Meyer finally pulled the plug on his no-tipping policy after New York allowed restaurants to reopen for outdoor dining a year ago. Reportedly, Meyer didn’t see how he could stand in the way of his staff making additional money.

2021 Experiment

Interestingly, several news outlets are reporting that operators around the country are at least considering doing away with tips this summer.

Again, this is at least in part due to the pandemic. Restaurateurs who have wanted to implement policies similar to Meyers’ Hospitality Included see this year as the time to try.

We still don’t know exactly what post-pandemic life will be. However, a hospitality industry reset is certainly coming—and it’s absolutely overdue.

So, it does make sense that as operators can change guest and staff perception of tipping and living wages as we all emerge from pandemic life and face a new world.

For example, the Chicago Tribune has reported that Big Jones, owned and operated by Paul Fehribach, has implemented service fees so he can cover offer servers between $18 and $25 per hour. A 20-percent fee for in-person dining or placing an order with a live person, and a 10-percent fee attached to online orders go to Big Jones payroll.

While there has been some pushback, the Chicago Tribune reports that Fehriback says Big Jones reactions are trending toward the positive.

It’s possible that tip elimination simply doesn’t work for some restaurant categories. As an example, those policies may work out in the casual dining space but not fine dining. Time will tell if it works at all.

Image: Sharon McCutcheon on Unsplash

May 13, 2021by David Klemt David Klemt No Comments

Tell the Government to Refill the RRF

Tell the Government to Refill the RRF

by David Klemt

The National Restaurant Association is urging restaurant, bar and other hospitality operators to sign a Restaurant Revitalization Fund petition.

Put concisely, the NRA’s petition asks the federal government to replenish the RRF.

Grants are going out and there’s no guarantee the $28.6 billion fund is enough for every eligible business. Therefore, the NRA is calling for more funds.

The Petition

Now, there is good news regarding the RRF. Per the Small Business Administration, 21,000 applicants have received $2.7 billion in grants.

However, when one considers that well over 180,000 grant applications were submitted within the first 48 hours, the $28.6 billion will more than likely run out before every eligible business receives a grant. The first 16,000 grants alone total $2 billion.

According to one source, priority applications carry a value of approximately $29 billion. Obviously, that’s more money than is in the fund.

And that’s only the value of applications receiving priority for the first 21 days. Clearly, more funding is necessary.

As the NRA’s petition states, “We are urging policymakers in Washington—from the White House to Capitol Hill—to replenish the RRF to maximize relief for small independent and franchise restaurant operators. Americans can’t wait to get back into their favorite restaurant with their family and friends, and the federal government can play a key role in making that a reality.”

Click here to sign the NRA’s petition. Our industry is the hardest hit by the pandemic and every eligible business deserves funding.

It’s not that this industry isn’t grateful—it’s that hundreds of thousands of businesses are fighting to stay alive. They’ve been doing so for more than a year.

The RRF

The SBA’s RRF portal link is https://restaurants.sba.gov. Alternatively, operations can use a POS that’s an SBA partner to apply. Partner systems include Clover, NCR, Square, and Toast.

According to the SBA website, certain eligible entities will be given priority.

For the first 21 days the application process is open, priority will go to small businesses with a minimum of 51 percent ownership by women, veterans or socially disadvantaged people.

The application process should open to every applicant on Monday, May 24. For more in-depth information, operators can follow the appropriate links to review the Small Business Administration’s RRF program guide and sample application.

Applicants do not need to register with SAM.gov (System for Award Management) or provide DUNS or CAGE identifiers.

To calculate a grant amount, an applicant subtracts 2020 gross receipts from 2019 gross receipts. Applicants must deduct first-draw PPP and second-draw PPP loans. Any economic disaster loans—Economic Injury Disaster Loans, for example—are not RRF deductions.

Again, please click here to sign the NRA’s petition today.

Image: Konstantin Evdokimov on Unsplash

Wynn Field Club at Allegiant Stadium in Las Vegas

May 12, 2021by David Klemt David Klemt No Comments

Las Vegas Ushers in Next Nightlife Era

Las Vegas Ushers in Next Nightlife Era

by David Klemt

After more than a year of shut downs and severe restrictions, Las Vegas nightlife groups are planning an epic comeback.

Between a recent nightlife group acquisition and a very Vegas approach to sports, the city is preparing to go full send for Summer 2021.

Add to that Governor Steve Sisolak’s plan to reopen Nevada on June 1 and things are finally looking up in America’s Playground.

Only in Vegas

It took more than seven decades for “modern” Las Vegas to get the city’s first major sports team.

No, I’m not counting the AFL, CFL, UFL or XFL teams as “major” in comparison to the NFL or other professional leagues.

First came the Vegas Golden Knights in 2018. The Las Vegas Aces followed a year later, and last year the city became the home of the Las Vegas Raiders.

Because Las Vegas can’t quite bring itself to do things like other cities, two of our arenas feature nightlife elements.

Golden (K)Nights

T-Mobile Arena, home of the Golden Knights, offers the 18,000 square-foot Hyde Lounge.

Run by SBE, the international hospitality and hotel group, Hyde sits atop the general seating area. Not only do guests get an amazing view of sports action, the venue is also open during concerts.

There are private “living rooms” and four bars inside Hyde at T-Mobile Arena. Also, being a Vegas nightlife venue, Hyde offers table service and drives the experience with DJs.

And, of course, there are views of the iconic Las Vegas Strip.

The Death Star

That brings us to Allegiant Stadium, the home of the Las Vegas Raiders, also known as the Death Star among locals.

Wynn Nightlife (two points for anyone who guesses which casino group they represent) is the Official Nightlife Partner and Official Gaming Partner of the Raiders.

View this post on Instagram

A post shared by Wynn Nightlife (@wynnnightlife)

The Vegas nightlife group is bringing Wynn Field Club to Allegiant’s north end zone—the entirety of the length of the north end zone. Wynn Field Club is an 11,000 square-foot nightlife “venue” that features 42 TVs, a 45,000-watt sound system, two DJ booths and—what else?—exclusivity, bottle service, and Wynn Nightlife DJs.

Also, I hear a Raiders game may break out during DJ sets and bottle popping…

TAO vs. Hakkasan?

Not anymore. Moving forward, it will be TAO plus Hakkasan.

One of the biggest nightlife battles is over as one titan, TAO Group, acquires another, Hakkasan Group.

The result isn’t just news for Las Vegas, though the two nightclub, dayclub and restaurant giants are most closely associated with the city.

TAO Group’s acquisition expands their incredible portfolio to an astounding 61 venues located in nearly two-dozen markets in five continents. Nine of the venues call Las Vegas home: TAO (of course), LAVO, OMNIA, JEWEL, Hakkasan, Marquee, Wet Republic, Beauty & Essex, and Casa Calavera.

Hakkasan Group will continue to operate Hakkasan, OMNIA, JEWEL, Wet Republic and Casa Calavera under the supervision of TAO Group.

Interestingly, Madison Square Garden Entertainment, the group constructing the MSG Sphere, acquired controlling interest in TAO Group in 2017. MSGE paid a reported $181 million for a 62.5 percent stake.

Back to Normal?

If anything, these developments seem to indicate that Las Vegas is on track to come back better than ever. Normal? Las Vegas can do better than that.

Las Vegas is set to re-establish its status as the world leader in nightlife in a post-pandemic world. Hyde Lounge and Wynn Field Club are perfect examples of how Vegas nightlife innovations redefine and then become the standards.

The nation—and the world—has a long way to go to recover from the pandemic. All glimmers of light near the end of a dark and twisted tunnel are welcome. It looks like the Strip’s legendary lights are shining brighter already.

Image: Anthony Mair

May 7, 2021by David Klemt David Klemt No Comments

Which States are Reopening this Summer?

Which States are Reopening this Summer?

by David Klemt

Around one-third of America’s population is vaccinated fully and some states are easing restrictions.

Per the CDC, not exactly America’s favorite agency, more than 40 percent of Americans have received one Covid-19 vaccine shot. Just over 30 percent have completed the vaccine process.

So, which states are planning to reopen fully for Summer 2021? We have a list of some of the states that have made their plans to reopen 100 percent known so far.

California

The Golden State plans to reopen fully on June 15. According to doctors at the University of California San Francisco, the state is nearing herd immunity. However, Governor Gavin Newsom’s target date relies on two criteria:

Vaccine supply must be sufficient enough “for Californians 16 years and older who wish to” receive inoculation.
Hospitalization rates must remain low and stable.

Illinois

Per Mayor Lori Lightfoot, the plan is for the city of Chicago to be open 100 percent by July 4. Of course, that means reopening fully right in time for one of the biggest celebratory holidays of the year. However, Governor J.B. Pritzker says Illinois could reopen in as early as the start or middle of June.

Nevada

Governor Steve Sisolak plans for Nevada to reopen fully on June 1. That said, casinos in the Silver State have a slightly different timeline. With the exception of nightclubs, dayclubs and live performances, casinos will open 100 percent June 4 if all requirements are met.

New York

According to Mayor Bill de Blasio, the plan is to reopen New York City on July 1. Governor Andrew Cuomo hopes to reopen New York State fully before that date.

Texas

Governor Greg Abbott opened the state 100 percent back in March. However, judges in the state’s 22 counties still have the authority to impose Covid-19 mitigation strategies. Hospitalization rates in a particular county rising above 15-percent hospital bed capacity for seven days would be a triggering event.

As the vaccine rollout continues, it’s likely we’ll see more states announce Summer 2021 reopening plans. Still, operators should proceed with caution and remain in compliance with state, county and local Covid-19 rules. This is, after all, a fluid situation.

There’s light at the end of the tunnel but now’s not the time to be complacent.

Image: Tim Mossholder on Unsplash

May 5, 2021by David Klemt David Klemt No Comments

Stand Out with Weird Holidays: May

Stand Out with Weird Holidays: May

by David Klemt

Want to stand out from from other restaurants and bars in your area? Then commit to keeping it weird.

Several “holidays” are set against every date on the calendar, and May is no exception. These holidays range from mainstream to food-centric to weird.

Focus on the latter to raise eyebrows, carve out a niche for your restaurant or bar, and attract more guests. Why do what everyone else is already doing?

Of course, you shouldn’t try to celebrate every holiday, weird or otherwise. And this month’s list in no way includes every odd holiday.

Focus on the days that are authentic to your brand; resonate with your guests; and help you grab attention on social media.

For last month’s list, click here.

May 5: National Totally Chipotle Day

It’s not just Cinco de Mayo today, it’s National Totally Chipotle Day! Two guesses as to what pepper this holiday celebrates…

May 6: World Password Day

This holiday exists to encourage people to consider their privacy and make sure their passwords are secure. Of course, operators can make this holiday more fun than mundane. One simple way is to come up with and share a password guests can use for food or drink specials. Speakeasy operators, today’s your day!

May 9: National Sleepover Day

What pairs well with sleepovers? Food, drinks, pajamas and movies. And what pairs well with warming weather and the comfort levels of today’s guests? Patios and other outdoor areas. Show a movie outside, encourage pajamas, create fun and comforting F&B offerings… This is a fun one.

May 20: National Pick Strawberries Day

The perfect day to feature cocktails that call for strawberry garnishes. And if there was ever a holiday practically built for featuring Snoop Dogg‘s new strawberry-flavored Indoggo Gin, this is it.

May 21: National Bike to Work Day

As the story goes, the radler was invented in the 1920s by a Bavarian tavern owner. A group of cyclists stopped by looking to quench their thirsts with beer. The tavern owner didn’t have enough, so he added sparkling lemonade to his kegs. Eurkea, the radler was born.

This is the perfect day to pay homage to the radler and reward people for biking to work.

May 22: National Craft Distillery Day

One of the best days to program promotions around local and hyper-local spirits.

May 25: National Brown-Bag It Day

Looking for a simple and fun way to celebrate this weird holiday? Offer a special featuring tall boys served in brown paper bags along with hangover-curing comfort foods.

May 30: National Creativity Day

I mean…what a blank canvas! This is the day to execute your most creative promotions. Ask your team members for their most creative ideas to boost staff engagement.

Image: Dan Parlante on Unsplash

May 3, 2021by David Klemt David Klemt No Comments

Summer Stimmy, Hot Vax Summer

Summer Stimmy, Hot Vax Summer

by David Klemt

When considering event programming, operators should consider the zeitgeist of the current era in which we find ourselves.

Big brands monitor and leverage the cultural climate of a given time.

Operators can do the same, as long as they embrace authenticity, show a sense of humor, and avoid disrespect and appropriation.

Here are a couple examples operators can use for Summer 2021.

Summer Stimmy

Bud Light is tapping into America’s federal response to the pandemic—stimulus checks, to be exact—with creativity and a sense of humor.

Is it too soon? It doesn’t seem so—the levity is a welcome respite.

For all intents and purposes, it appears Bud Light is leaning heavier into the creative and promotional aspect than just humor.

Bud Light’s Summer Stimmy is a proposal to “make Summer 2021 even awesomer for people across America.”

The brand explains each “proposal” item as though they’re components of a bill up for consideration. For example, Part I, Section 1 of the Bud Light Summer Stimmy proposal carries the subtitle “Tons of Tix.” Bud Light proposes to give away 100,000 tickets for MLB, NBA, NFL, NHL, NWSL and WNBA events.

Part I, Section 2, More Awesomeness, proposes the nomination of Rob “Gronk” Gronkowski as Secretary of Summer. Additionally, the section proposes May 14 as National Gronk Day, his birthday.

Of course, Bud Light owns the term Summer Stimmy now. However, clever operators can get in on the fun (and profits) through their Bud Light rep. Or, they can get creative and come up with their own Summer 2021 promotions that leverage pent-up demand.

Hot Vax Summer

Even though it seems like forever ago, who can forget 2019 and Hot Girl Summer?

Megan Thee Stallion, one half of the infamous “WAP” duo, gets the credit for coining the phrase and creating the movement.

The “rules” for Hot Summer were simple: Women and men just needed to be “unapologetically them,” make having a good time a priority, and be free.

We all know what happened in 2020. There certainly wasn’t a Hot Girl Summer, Part Two.

Meeting new people, dating, hooking up… For the most part, none of that happened without Covid-19 tests and quarantining. That is, if those activities occurred at all.

But now we have multiple vaccines: Pfizer, Moderna, and Johnson & Johnson. AstraZeneca and Novavax have yet to be authorized by the FDA.

So, what are the Hot Vax Summer rules? Pretty simple: Get vaccinated (fully), get back out there to meet, interact and hook up.

And where do people tend to go to meet others? Restaurants, bars, nightclubs and dayclubs.

Whether to confidently and comfortably meet friends they haven’t seen for several months, make new friends, or kickstart dating, our businesses are where people want to be.

Operators need to ensure their venues are ready for the initial crush of guests clamoring to finally reclaim their social and romantic lives. So, prepare your outdoor areas; make sure indoor areas meet guest expectations for comfort so they can interact freely; and ensure your staff is ready for the welcome onslaught of eager guests.

Image: Photo by Drew Beamer on Unsplash

Straining a cocktail into a rocks glass over ice cubes

April 30, 2021by David Klemt David Klemt No Comments

Reverse Cocktails for Lower ABV Sips

Reverse Cocktails for Lower ABV Sips

by David Klemt

A simple and creative way to add low-proof drinks to a menu is to offer reverse cocktails.

As a concept, reverse cocktails are simple to understand. However, they’re also a great way to engage the bar team.

Better still, they offer guests looking to enjoy less-spirited drinks a real cocktail experience.

What’s a Reverse Cocktail?

Essentially, a reverse cocktail is exactly what it sounds like. Let’s use the classic Martini as an example.

Say your classic recipe calls for two ounces of gin, a half-ounce of sweet vermouth, and a dash of orange bitters. To build the Reverse Martini, half the gin, quadruple the sweet vermouth, and keep the bitters the same.

That’s a quick and dirty example. You and your bar team will want to play with your recipes—different vermouths and gins will deliver differing results.

Vermouths, amaros, and low-proof aperitifs are ideal for building reverse cocktails and expanding your cocktail program.

What’s the Point?

Reverse cocktails lower the ABV in comparison to their standard, boozier counterparts.

Michael Toscano, Woodford Reserve brand ambassador and Bar Hacks podcast guest, thinks many people are looking to slow down their alcohol intake. Home bartenders, if reports are accurate, have been pouring spirits generously during the pandemic. When they get out, they may be after lower-proof sips.

A reverse cocktail is a creative solution to enjoying cocktails in a new way with less alcohol.

Of course, they also offer operators a new guest experience. A menu section with the title “Reverse Cocktails” is likely to spark some guest interest and questions. Also, such drinks are a great way to refresh drink menus and move some inventory.

There’s also the fact that reverse cocktails give guests seeking low-ABV sips the full cocktail experience—there’s no risk of alienating them.

Image: Adam Jaime on Unsplash

Man in empty restaurant and bar in Ottawa, Ontario, Canada

April 29, 2021by David Klemt David Klemt No Comments

Canadian Hospitality Needs Real Help

Canadian Hospitality Needs Real Help

by David Klemt

Restaurants, bars and other foodservice establishments throughout Canada need specific relief to survive, replace lost jobs, and return to profitability.

The seemingly endless and severe provincial restrictions is putting far too much strain on a struggling industry.

Yes, there are some federal provisions in place. No, they’re not enough.

Relief Efforts

Currently, the federal budget promises extensions for wage and rent subsidies. Those subsidies would extend to September 25, 2021.

However, most Canadians, per a Restaurants Canada survey, agree that the industry needs more help.

If additional industry-specific relief faces significant delays or doesn’t come at all, operators, employees, and their families will suffer.

No wonder, then, that 90 percent of Canadians (according to the Restaurants Canada survey) feel restaurants and bars need federal support to remain in business and continue paying staff.

Support Proposals

Of the approximately 98,000 foodservice establishments throughout Canada, about 10,000 are out of business. As of last month, 319,000 lost foodservice jobs had yet to be filled.

No other industry in Canada is facing such startling numbers. Add to that the fact that the industry contributes to four percent of Canada’s GDP, restaurants are the first employers for most Canadians, women comprise nearly 60 percent of the restaurant workforce, and visible minorities comprise over 30 percent of ownership and labor, and the situation grows even starker.

Clearly, industry-specific relief is necessary.

Restaurants Canada is campaigning for the following measures:

Extend the wage and rent subsidies through April 2022.
Develop subsidy requirements that more closely match the dire reality the industry continues to face.
Implement an employee retention and retraining credit to defray Covid-19 protocol costs.
Partial forgiveness for all government-backed loans.
Removal of merchant fees from the tax portion of restaurant bills.
Restore the meals and expenses to 100 percent on a temporary basis.
Develop and implement a culinary tourism incentive for the 2020 and 2021 tax years, using New Brunswick as a model.
Implement a rebate program that provides government reimbursement of $15 per person, per meal.
Freeze the Excise Act, including Excise Act 2021.

Act Now

It took more than a year but the industry and its supporters in America helped bring about meaningful change for restaurants, bars, and other hospitality venues.

The same can be done in Canada, and time is of the essence.

For example, the Restaurant Revival Working Group is a good start for effecting change. The group consists of government and industry representatives.

Click here to review the list of Restaurant Revival Working Group members, particularly those in government, so you can contact them.

Image: Tyler Farmer on Unsplash

April 28, 2021by David Klemt David Klemt No Comments

RRF Applications Open Monday

RRF Applications Open Monday

by David Klemt

In long overdue but very welcome news, the Small Business Administration’s RRF portal opens to accept applications on Monday.

Operators and business owners will be able to register this Friday, April 30.

We definitely recommend doing so to make the application process simpler and (hopefully) less frustrating on Monday, May 3.

What You Need to Know

Mainly, the following: The SBA’s RRF portal link is https://restaurants.sba.gov. It would probably be a good idea to go ahead and bookmark that site now.

Alternately, operators using an SBA POS partner to apply. Partner systems include Clover, NCR, Square, and Toast.

Per the SBA, operators will be able to register via the website beginning at 9:00 AM EST on Friday. Again, it would be wise to plan on doing exactly that.

Anything that can be done to speed up the application process opening Monday should be done.

According to the SBA website, certain eligible entities will be given priority. For the first 21 days the application process is open, priority will be granted to small businesses with a minimum of 51 percent ownership by women, veterans or socially disadvantaged people.

However, all eligible owners and operators should register on Friday and apply on Monday. Doing should, in theory, help applicants secure their grants in a more timely manner.

📰 Big #RestaurantRevitalizationFund news!

Owners of restaurants 🍜, food trucks 🚚, catering services 🍽️, bakeries 🍰, bars 🍻, and related businesses can register on Friday and start applying on Monday. Here's what else you need to know: https://t.co/kFJ49vD6pq

— SBA (@SBAgov) April 27, 2021

RRF Preparation

The SBA’s Restaurant Revitalization Fund portal opens at noon ET on Monday. It’s best to prepare as much as possible as it’s likely applicants may find themselves in a queue depending upon traffic.

Operators can calculate their grant amounts with the following equations for applicants:

in operation prior to or on January 1, 2019: 2019 gross receipts minus 2020 gross receipts minus PPP loan amounts.
that began operations partially through 2019: (Average 2019 monthly gross receipts x 12) minus 2020 gross receipts minus PPP loan amounts.
who began operations on or between January 1, 2020 and March 10, 2021: Amount spent on eligible expenses between February 15, 2020 and March 11, 2021 minus 2020 gross receipts minus 2021 gross receipts (through March 11, 2021) minus PPP loan amounts
not yet opened but have incurred eligible expenses: Amount spent on eligible expenses between February 15, 2020 and March 11, 2021 minus 2020 gross receipts minus 2021 gross receipts (through March 11, 2021) minus PPP loan amounts

Note: Entities who began operations partially through 2019 may elect, at their own discretion, to use either calculation two, three or four above.

For further guidance and to prepare as much as possible, please click here for the SBA’s RRF guide, and click here to review the sample application.

The Independent Restaurant Coalition also has a handy checklist posted to Instagram:

View this post on Instagram

A post shared by Indp. Restaurant Coalition (@indprestaurants)

Good luck!

Image: Prateek Katyal on Unsplash

April 27, 2021by David Klemt David Klemt No Comments

2021 Kentucky Derby Drink Recipes

2021 Kentucky Derby Drink Recipes

by David Klemt

The 2021 Kentucky Derby takes place this Saturday, May 1. These cool drinks are perfect for the hottest two minutes in sports.

This year, the unbeaten Essential Quality is the favorite to win the 147th Run for the Roses. Hot Rod Charlie, Rock Your World, and Medina Spirit are also in consideration.

Personally, given the subject of this article—bourbon cocktails—we’d like to see Bourbonic take the first race in the Triple Crown.

Since Woodford Reserve is the official Presenting Sponsor of the Kentucky Derby, you can’t go wrong with the Woodford cocktails below.

Of course, the 2021 Woodford Reserve Derby Bottle makes these Derby drinks taste that much better.

Cheers!

Woodford Mint Julep

Recipe courtesy of Woodford Reserve

This is the traditional Derby Day cocktail. Churchill Downs will be pouring gallons of this classic.

2 oz. Woodford Reserve Straight Bourbon Whiskey
1/2 oz. Simple syrup
3 Fresh mint leaves
Powdered sugar
Crushed ice

Express the essential oils in the mint and rub them inside the glass (or a Julep cup, ideally). Add simple syrup, bourbon, and crushed ice. Stir, then garnish with more ice, fresh mint, and powdered sugar.

Mint Julep made with Woodford Reserve by Michael Toscano

NYC Mint Julep

Recipe by Michael Toscano, Woodford Reserve Brand Ambassador

As loyal Bar Hacks podcast listeners may already know, Michael Toscano knows his way around an irresistible Mint Julep. When you’re done with this article, click here to listen to Episode 32 of Bar Hacks with Toscano.

2 oz. Woodford Reserve Distiller’s Select Bourbon
1/2 oz. Simple syrup
6-8 Blackberries
Mint leaves
Crushed ice

Muddle six blackberries with simple syrup and a healthy bunch of mint leaves (eight to ten). Add two ounces of Woodford Reserve Bourbon and fill the Julep cup with crushed ice. Stir and lift ice until the Julep cup is frosted. Garnish with two blackberries and a fresh sprig of mint.

Note: To build this cocktail precisely as Michael recommends on our podcast, add 1.5 ounces of Woodford to the Julep cup over crushed ice. Add more ice to create a mound on top of the cup, then float the remaining half-ounce of bourbon. Finish with a healthy dusting of powdered sugar and either nutmeg of powdered chocolate.

Woodford Spire Kentucky Derby cocktail

Woodford Spire

Recipe courtesy of Woodford Reserve

Some people may not know that this is the Official Cocktail of the Kentucky Derby. Most assume that title goes to the Mint Julep.

1.5 parts Woodford Reserve Straight Bourbon Whiskey
2 parts Lemonade
1 part Cranberry juice
Crushed ice
Lemon twist to garnish

In a mixing glass, mix Woodford Reserve, lemonade and cranberry juice with a bar spoon. Pour into a copper cup, add crushed ice to the top of the glass, and serve with a lemon twist.

Zero-proof Woodford Spire

Recipe courtesy of Woodford Reserve

Those choosing to enjoy Kentucky Derby festivities without alcohol will appreciate this refreshing drink.

2 parts Lemonade
2 parts Unsweetened iced tea
1 part Cranberry juice
Lemon twist to garnish
Crushed ice

Prepare and serve the same as the full-proof Spire.

Images: Woodford Reserve / Brown-Forman

April 23, 2021by David Klemt David Klemt No Comments

The Reality of Hiring Right Now

The Reality of Hiring Right Now

by David Klemt

Operators can add recruitment, hiring and retention among to the growing list of challenges they’re facing due to the pandemic.

Labor struggles aren’t exactly a shock to the hospitality industry.

However, the speed with which the many stark predictions of labor shortages and challenges across North America has caught some by surprise.

Outlook: Brutal

Fast-casual to fine dining. Independent to chain. Regional hospitality group to multi-national powerhouse.

No operator, no concept, no market appears immune to today’s recruitment, hiring or retention challenges.

It’s not the only reason but the federal boost to unemployment is exacerbating the situation. Restaurant operators across America have been reporting that their workers are making more on unemployment than they would make returning to their jobs.

It’s likely the hiring situation won’t improve until the end of August or start of September; the federal boost to unemployment is set to expire on September 6.

Of course, that points to another glaring industry issue: livable wages and benefits.

The pandemic didn’t cause the labor shortage and hiring problem on its own, but it certainly hasn’t helped anything. Some operators throughout North America say they’ve been hunting for workers for all positions for months.

Incentives & Bonuses

Operators are fighting for workers. To many reading this, that’s not a surprise. However, many operators report fighting to even get candidates to show up for interviews.

Famously, one McDonald’s franchisee in Tampa, Florida, is using a $50 incentive for interviews. If a candidate manages to follow through and show up for their interview, they walk away with $50.

During a recent conversation with Chef Brian Duffy (which we’ll be releasing as episode 33 of the Bar Hacks podcast), interview incentives came up. While it’s no $50 bonus just for showing, Chef Duffy has offered candidates free lunch for appearing for their interviews. And yes, he still struggles.

Interestingly, appearance incentives don’t appear to be working. What does appear to be working? Increasing starting wages, referral programs, apply-via-text functionality, and all manner of signing and performance-based bonuses.

The bonuses run the gamut. Show up for all your shifts for three or four months and earn a $500 bonus. Paying down student loans. Fronting the bill for culinary school. One restaurant in Alabama is offering an SUV to their top-performing worker later this year.

In addition to bonuses, wages are seeing a boost. Jobs that would normally start at $12 to $15 per hour are now offering starting wages of $16 to $18 dollars per hour.

No matter how one slices it, the situation leads to cost hikes across the board for operators. When costs increase for operators, prices increase for consumers. Margins shrink, the old cycle continues, the industry struggles.

Reality Check

Now, it’s simple to blame the pandemic for the current situation. To say it’s not a major factor would be incredibly disingenuous.

That said, the struggle to find and keep workers is also a culmination of decades-long, industry-wide problems.

Lack of diversity, inclusion, equality, living wages, opportunities, and transparency; failure to address social issues; inexcusable, threatening, and outright illegal behavior… All of this and much more contributes to the industry’s hiring and retention challenges.

That’s a criminally shallow summary of the situation—I’m well aware. Doug Radkey, president of KRG Hospitality, addresses the need to review and reset the industry in his book Hacking the New Normal. He takes a deep dive into rejecting the status quo in this industry.

My point is that operators can’t blame their woes solely on the pandemic, absolving themselves of responsibility.

Operators must take a hard look at themselves and their operations, and ask difficult questions. Doing so can be uncomfortable. But neither positive change nor growth come from resting in the comfort zone.

Image: Tim Mossholder on Unsplash

White Claw Surge Blood Orange and White Claw Surge Cranberry hard seltzer cans

April 21, 2021by David Klemt David Klemt No Comments

Summer of White Claw 2.0?

Summer of White Claw 2.0?

by David Klemt

White Claw is ready to leverage the surge in pent-up consumer demand to get out and party this summer with their latest innovation, Surge.

The new expressions are notable for several reasons. The most obvious, of course, is that they ring in at 8.0% ABV.

Odds are strong that we may be on the verge of a Summer of Surge.

Summer of White Claw 2.0

Let’s look back at the brief but bold history of White Claw.

Imagine it’s 2016. Hard seltzer isn’t quite the powerhouse beverage category that it is today. There’s no snappy, “Ain’t no laws when you’re drinking Claws,” tagline. Neither is there a “ClawLife” hashtag…yet. However, White Claw launches.

Fast-forward to 2018. Fanatics are sharing their devotion to White Claw all over social media. They’re tagging posts #ClawLife. The memes are everywhere, as are the white cans of hard seltzer.

That leads us to 2019. It almost seems simpler to ask what Big Brands aren’t trying to copy White Claw’s success. Try as they might, nobody dethrones King Claw.

Summer 2019 is the Summer of White Claw. The brand essentially singlehandedly grows hard seltzer into the powerhouse beverage category it is today.

In 2021, the hard seltzer kingpin certainly seems set to take over summer once again with White Claw Surge Cranberry and White Claw Surge Blood Orange.

Surging Forward

White Claw Surge’s higher ABV—a boost from 5.0% to 8.0%—isn’t the only departure from the “standard” Claws.

Surge is available only in 16-ounce cans, whereas standard White Claw comes in 12-ounce cans and tall boy versions are 19.2 ounces.

Another big difference? Standard White Claw flavors in 12-ounce cans contain 100 calories. Surge, with 220 calories, has more than twice that amount.

View this post on Instagram

A post shared by White Claw Hard Seltzer (@whiteclaw)

Should White Claw Surge perform as expected, it will represent an interesting evolution in hard seltzer. For many, hard seltzer is a stand-in for beer and other beverage alcohol options because of its low calorie count. If higher-proof, high-calorie hard seltzer becomes popular, it’s a notable shift in consumer behavior.

#ClawLife 2.0

Surge isn’t the only innovation coming from White Claw in time for Summer 2021.

The new White Claw Iced Tea flavors will likely prove to be a popular refresher as the weather gets warmer. These expressions—Lemon, Raspberry, Mango, and Peach—are 100 calories and 5.0% ABV (in 12-ounce cans) like standard Claws.

There are also three new expressions of White Claw available in Variety Pack Flavor Collection No. 3: Strawberry, Pineapple, and Blackberry.

With all of these new hard seltzers on the market and pent-up consumer demand, it’s difficult to see how we’re not headed toward Summer of White Claw 2.0.

Image: White Claw

April 20, 2021by David Klemt David Klemt No Comments

Nevada Mulling Cannabis Lounges

Nevada Mulling Cannabis Lounges

by David Klemt

Nevada, Las Vegas in particular, has long been at the forefront of hospitality and guest experiences.

This includes cannabis tourism.

Two new bills seek to make public cannabis consumption legal in the Silver State.

Current Cannabis Consumption Laws

Contrary to popular belief, it’s illegal to consume cannabis in public in Nevada. Many tourists, however, seem to believe the opposite is true.

This isn’t new to Las Vegas locals; there are still people who think anything goes in Sin City. There are still people who think brothels and prostitution are legal in Las Vegas, after all. Why would weed not be subject to rumor and innuendo?

The reality of recerational cannabis consumption in Nevada—so this includes Las Vegas—is as follows:

A person must consume cannabis on private property. The property owner must grant permission.
It’s illegal for the driver or passenger(s) in a moving vehicle to consume cannabis.
It’s illegal to operate a moving vehicle under the influence of cannabis.
Adults 21 years and older may legally possess up to one ounce (28 grams) of cannabis edibles, flower, or topicals, as well as 3.5 grams of cannabis concentrates.
Adults 21 years and older may purchase cannabis from licensed retailers or a Nevada dispensary. Nobody may purchase more than one ounce of cannabis at a time.

Currently, there is one lounge in Nevada in which a person may legally consume cannabis. The NuWu Cannabis Tasting Room sits on Paiute tribal land.

Current Cannabis Bills

Nevada Assemblyman Steve Yeager’s new bill, Assembly Bill 341, seeks to legalize cannabis consumption lounges.

The introduction of this bill makes sense given that Assemblyman Yeager is a member of the Growth and Infrastructure Committee.

Nevada’s recreational cannabis revenue is certainly growing each year:

2017 Tax Revenue: $70 million
2018 Tax Revenue: $74.7 million
2019 Tax Revenue: $99.18 million
2020 Tax Revenue: $105.18 million

If AB341 passes, dispensaries and other license holders would be able to apply for a license to operate as a “social use” venue.

Another bill, AB322, would allow for the sale and consumption of cannabis at “certain events.” In other words, festival operators could apply for such a license, as an example.

Takeaway

Nevada has been seen as the possible “Amsterdam of America” since states began legalizing recreational cannabis in earnest.

Clark County Commissioner Tick Segerblom sees the situation in a grander scale, particularly for Las Vegas.

“I think we’re ready to really blow the doors off this thing,” says Segerblom. “If we do soon, we can be the marijuana capital of the world.”

“The Marijuana Capital of the World.” When Nevada goes in, they go all in.

Image: JOSHUA COLEMAN on Unsplash

"This is the sign you've been looking for" white neon sign on brick wall

April 19, 2021by krghospitality krghospitality No Comments

SBA Releases RRF Guide and Forms

SBA Releases RRF Guide and Forms

by David Klemt

Operators in the United States are nearing the opening of the Restaurant Revitalization Fund application process.

The Small Business Administration’s RRF program guide and sample application are now available.

Let’s jump in!

RRF at a Glance

In simple terms, the RRF is the most targeted relief the industry in America has received since the pandemic took hold.

Eligible entities apply for a tax-free grant equal to the amount of a their pandemic-related revenue losses.

To calculate a grant amount, an applicant subtracts 2020 gross receipts from 2019 gross receipts. Applicants must deduct first-draw PPP and second-draw PPP loans, even if they’re paid back or forgiven. Any economic disaster loans—Economic Injury Disaster Loans, for example—are not RRF deductions.

Per the SBA, operators do not need to register for a System for Award Management (SAM.gov) account, meaning they no longer need to acquire a DUNS number.

RRF Eligibility

As the SBA’s RRF program guide states, eligible businesses A) must not be closed permanently, and B) are places where customers gather primarily to consume food or drink. Such entities include:

restaurants;
bars;
saloons;
lounges;
taverns;
food trucks, carts and stands;
snack and non-alcoholic beverage bars;
licensed facilities or premises of a beverage alcohol producer where the public may taste, sample, or purchase product; and
other similar places of business in which the public or patrons assemble for the primary purpose of being served food or drink.

However, that’s in no way the entire list of eligible businesses. Bakeries, breweries, microbreweries, brewpubs, taprooms, distilleries, wineries, and tasting rooms are eligible if they can provide documentation (which must accompany their application) that:

on-site sales to the public comprised at least 33% of gross receipts in 2019; or
original business model should have contemplated at least 33% of gross receipts in on-site sales to the public if they’ve yet to open or opened in 2020.

Interestingly, it’s possible for an inn to be eligible for the RRF. Such a business is subject to the same eligibility requirements as bakeries, breweries, etc.

Eligible Expenses

Businesses that receive an RRF grant may use the funds for eligible expenses during their covered period. That timeframe is the “period beginning on February 15, 2020 and ending on March 11, 2023.” Should the business close permanently, that period will end when the business permanently closes or on March 11, 2023, whichever occurs sooner.”

A grant recipient must return any funds to the Treasury if they’re unable to use for eligible expenses by the end of the covered period.

So, which expenses are eligible per the SBA for the RRF program? Below is a short list of eligible expenses:

Payroll costs (sick leave, costs for group health care, life, disability, vision, or dental benefits during periods of paid sick, medical, or family leave, and group health care, life, disability, vision, or dental insurance premiums).
Payments on any business mortgage obligation, both principal and interest (Note: Excludes any prepayment of principal on a mortgage obligation).
Business rent payments, including rent under a lease agreement (Note: Excludes any prepayment of rent).
Construction of outdoor seating.
Business supplies (including protective equipment and cleaning materials).

For the full list of eligible expenses and many more RRF details, please click here to download and view the entire SBA RRF program guide. To view the sample application and prepare for the process to begin, click here.

Disclaimer

This content is for informational purposes only, and should not be used as legal, tax, investment, financial, or other advice. This article does not constitute professional and/or financial advice, nor does any information constitute a comprehensive or complete statement of the matters discussed or the law. This information is of a general nature and does not address the circumstances of a specific individual or entity. The reader of this information alone assumes the sole responsibility of evaluating the merits and risks associated with the use of any information before making any decisions based on such information.

Image: Austin Chan on Unsplash

April 16, 2021by David Klemt David Klemt No Comments

Las Vegas CEO Offers Vaccination Bonus

Las Vegas CEO Offers Vaccination Bonus

by David Klemt

One CEO in the hospitality and lodging industries is offering employees a bonus for getting the Covid-19 vaccine.

William McBeath, president and CEO of The Cosmopolitan of Las Vegas, is incentivizing the resort’s staff with cash bonuses.

Conversely, workers who decline inoculation must take weekly Covid-19 tests.

Cash Incentive

Per the Review-Journal, the largest daily newspaper in Nevada, McBeath is using a tiered approach to the bonuses.

If the resort meets the vaccination goal, the property could pay $1 million to staff.

According to reporting, The Cosmo is pushing for at least 80 percent of staff to receive first doses of a Covid-19 vaccine by the first of May.

The tiered system works as follows:

60 Percent Vaccination Rate: $50
70 Percent Vaccination Rate: $100
80 Percent Vaccination Rate: $250
90 Percent Vaccination Rate: $350
100 Percent Vaccination Rate: $500

The most an employee stands to make is a one-time bonus of $500. Clearly, the 80 percent vaccination rate bonus is an amount the resort finds motivational and a reasonable cost.

Weekly Tests

There are a number of reasons someone may decide against a vaccine. Operators must understand that vaccination is a personal choice.

Requiring staff receive vaccinations is a slippery slope. Setting aside legal ramifications, doing so will likely result in staff attrition, awful PR, and long-term damage to a business.

That’s to say nothing of the failure in emotional intelligence that forcing vaccinations on employees would highlight.

Instead, McBeath’s approach respects an individual worker’s autonomy. The president and CEO isn’t forcing The Cosmo’s staff to receive vaccines. Rather, he’s incentivizing workers to reach the goal set for the resort.

There are no credible reports of Cosmopolitan employees facing termination for refusing vaccination. I was also unable to find any reports of retaliation.

According to Review-Journal reporting, unvaccinated workers will undergo Covid-19 testing. Starting May 1, Cosmo employees who work a maximum of three days per week will be given a test once per week. Those who work four or more days per week will be tested twice per week.

Nevada Seeks to Increase Occupancy Limits, Reopen State

McBeath’s May 1 deadline makes even more sense when one considers current occupancy limits and reopening plans.

Currently, casinos in the Silver State are operating at 50-percent capacity. On May 1, the Nevada Gaming Control Board will be responsible for deciding gaming floor occupancy. In preparation, the NGC wants more of Nevada’s hospitality workers to receive vaccinations.

Additionally, Governor Steve Sisolak has set a June 1 date against reaching 100-percent occupancy statewide. So, The Cosmo’s goal of 80-percent staff inoculation by May 1 makes a lot of sense.

Operators in hospitality and lodging can use McBeath’s incentive program in their own businesses. If it’s crucial to them and their businesses, operators should set a staff vaccination rate goal and implement a bonus schedule that appeals to workers while remaining realistic.

Image: Zachary DeBottis from Pexels

April 13, 2021by David Klemt David Klemt No Comments

Stand Out with Weird Holidays: April

Stand Out with Weird Holidays: April

by David Klemt

Want to stand out from from other restaurants and bars in your area? Then commit to keeping it weird.

Several “holidays” are set against every date on the calendar. They range from mainstream to food focused to weird.

Focus on the latter to raise eyebrows, carve out a niche for your restaurant or bar, and attract more guests.

Of course, you shouldn’t try to celebrate every holiday, weird or otherwise. Focus on the days that are authentic to your brand; resonate with your guests; and help you grab attention on social media.

April 14: National Reach as High as You Can Day

This is a holiday that will likely work best on social media. Just like there’s always a holiday and people like to say “there’s always a tweet,” there’s always a hashtag.

Use this day (and its accompanying hashtag) to highlight staff who want to participate, along with your venue.

Of course, if you want to involve your guests in person, go for it. Put your head together with your staff and get creative.

April 15: National Take a Wild Guess Day

You can take promotions centered around this day in several directions. The simplest way is to use the holiday to engage with followers on your social channels.

Consider borrowing from the “wrong answers only” posts on Instagram. Post a blurred, pixelated or “censored” item, like a bottle. In the caption, ask followers to “guess” what it is—wild guesses only.

This holiday also works well with blind tasting events.

April 16: Wear Pajamas to Work Day

I’d say this holiday is fairly self-explanatory. Let your front-of-house staff participate by wearing pajamas, with full team buy-in. Or, encourage your guests to wear their pajamas to your restaurant or bar.

If this holiday fell on a Saturday or Sunday, this would be a great day for a brunch promo. Of course, there’s nothing to say you can’t execute a Friday brunch.

April 16: National Bean Counter Day

In the United States, this holiday is taking place a month before the Tax Day deadline. If you’re so inclined, you could offer a deal to all the tax preparers and accountants in your area.

Although, you can also go a completely different direction. You can fill a large jar with beans—coffee would be great—and have guests guess how many there are. You can even post the jar full of beans to social, encouraging follower engagement. Closest guess wins a prize.

April 22: National Jelly Bean Day

Oh, hey… Remember that bean-counting holiday from way up there? I wonder if that bean-guessing idea would work for this holiday…

April 23: National Talk Like Shakespeare Day

If you think you or your social media manager can handle it, encourage your followers to describe your restaurant or bar as though they’re the Bard himself.

Or, as a Shakespearean translator would explain it, “Encourageth thy followeth’rs to describeth thy restaurant ‘r bar as though those gents’re the Bard himself.”

April 25: National DNA Day

Yesterday, I shared how our DNA plays a significant role in how we perceive bitter flavors. National DNA Day would be a great time to plan and execute a PTC strip and cocktail event.

April 27: National Tell a Story Day

How well do your loyal guests know you and your brand? How well do they know your staff?

National Tell a Story Day is an excellent time to leverage the story features on your social channels. Show off the venue and tell your brand’s story. If you have team members who want to participate and tell share a story, that’s a great way to engage with followers and guests.

April 28: National Superhero Day

If there was a ever a day to encourage your staff and/or guests to dress up for a fun time… National Superhero Day also leverages Shudder’s “Halfway to Halloween” event.

To take this holiday in another direction, you can also celebrate members of your community who give back to others by giving back to them.

“Weird” holidays aren’t just a dynamic way to engage with guests. Asking your team for ideas for holiday promotions is an excellent way to keep them engaged, which is a smart way to retain staff.

Image: Dan Parlante on Unsplash

Selection of cocktails on table on patio of bar

April 12, 2021by David Klemt David Klemt No Comments

The Science of Bitter Flavors

The Science of Bitter Flavors

by David Klemt

Not only do bitter cocktail ingredients add depth and complexity to drinks, individual DNA plays a role in how we perceive them.

Campari, one of the best-known bitter aperitifs, adds herbal bitterness to cocktails.

However, not everyone perceives bitterness the same way. This is why some of your guests love bitter drinks, some can’t stand them, and others don’t have much of a response at all.

The Bitter Response

Dr. Danielle Reed is associate director of the Monell Chemical Senses Center. As her research summary states, why different people taste and smell differently, and how genotypes play a role in that perception.

A recent Campari digital event, “In a Sense: Decoding the Science of Bitter,” dives into the bitter response of humans. During this webinar, host Alison Mouratis, a Campari portfolio representative in Chicago, hosts Dr. Reed and Micah Melton, beverage director at the Alinea Group.

In the webinar, Dr. Reed asks, “Where does bitter come from?” The answer is: plants.

Obviously, plants can’t defend themselves like animals. If a predator chooses a plant as its prey, it doesn’t really have to worry about teeth and talons.

Instead, plants employ secondary defense chemicals, and they do so in an instant. Some of these defense chemicals are poisonous and humans perceive them as bitter. Often, bitter flavors activate our salivary glands to dilute the poison and protect us.

Phenylthiocarbamide

Yes, that. Phenylthiocarbamide (PTC) is a chemical compound that tastes bitter…to some of us.

As Dr. Reed explains, not everyone can detect PTC. Our parents determine whether the receptor that picks up PTC is broken or not.

In some of us (about 30 percent of people), the receptor is broken. Turns out, it’s broken in yours truly. In others, one parent passes on the receptor. And for some people, both parents pass it on and the reaction to PTC is strong.

Test Your Receptor

I discovered my receptor is broken during the Campari event on screen with more than a dozen other participants.

How does one test their reaction to PTC? Via PTC strips. One takes a strip, places it in their mouth, and they’ll know quite quickly if their receptor is active.

Not only is this interesting to do just out of personal curiosity, operators can host an event similar to Campari’s. Guests are looking for new ways to engage with the brands, restaurants, bars, and bar teams they support.

PTC strips are available for on Amazon, and they’re not expensive. Vials of 100 PTC strips can cost as little as five dollars.

Not only is this type of event educational, it’s entertaining and can help drive drink sales.

Image: Chino Rocha on Unsplash