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#mindset | KRG Hospitality

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by David Klemt David Klemt No Comments

You Will Fail Without Strategic Clarity

Why Your Business Will Fail Without Strategic Clarity

by Doug Radkey

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Success in the hospitality industry—whether operating a bar, restaurant, or hotel—requires more than just passion, ambition, and a quality concept.

In addition to all of the above, success demands strategic clarity. Put simply, this is the ability to see the big picture while understanding the smallest details possible of how your business will operate, scale, and, most importantly, drive profits.

Without this clarity, even the most creative and exciting ideas face a high risk of failure.

In summary, without clarity, you’re just reacting; with it, you’re leading.

Let’s explore the definition of strategic clarity, why it’s a non-negotiable, and why your hospitality business cannot succeed without each of these strategic playbooks: feasibility study, conceptual playbook, prototype playbook, brand strategy playbook, tech-stack playbook, marketing playbook, financial playbook, and business plan playbook.

What is Strategic Clarity?

Strategic clarity goes far beyond writing a mission statement or setting sales goals.

Strategic clarity is the alignment of vision, goals, and actionable steps required to move a business from idea to concept to sustainable success. It’s about building a solid foundation that guides every single decision; from idea, to concept, to hiring staff, to launching and everything in-between.

Strategic clarity is the DNA of your business.

In the hospitality industry, strategic clarity ensures that every decision is cohesive and aligned with your target audience, operational capabilities, and long-term goals. Strategic clarity eliminates guesswork, reduces risk, and increases your odds of building a highly profitable business.

Why is Strategic Clarity a Must?

Without strategic clarity, businesses are left vulnerable to disjointed efforts, misaligned goals, and reactive decision making.

These issues not only waste time and resources but can also alienate your guests, frustrate your employees, and diminish your levels of profitability.

Now, let’s dive into why strategic clarity—and each of the eight key playbooks—are non-negotiable for a winning hospitality business.

1. Feasibility Study: The Foundation of Success

Why You Need It

A feasibility study lays the groundwork for strategic clarity by determining whether your bar, restaurant, or hotel concept can succeed in your target market.

This crucial study evaluates market potential, competitive landscape, and operational logistics, ensuring you make informed decisions before making major financial commitments, or signing a lease.

Without It, Your Business Will Fail Due To:

  1. Lack of Market Insight: Skipping this step leaves you guessing about TAM (Total Addressable Market), SAM (Serviceable Addressable Market), and SOM (Serviceable Obtainable Market), risking a misaligned business model and wasted resources.
  2. Poor Location Choices: A feasibility study helps you identify the optimal neighborhood, property size, site requirements, and development budgets for a variety of scenarios, saving you from costly real estate mistakes.
  3. Data-Driven Decisions: This study offers industry trends, technical specs, and competitor analysis, ensuring your planning is backed by actionable data.
    • Example: Consider a boutique hotel targeting luxury travelers. A feasibility study explores guest demographics and psychographics, seasonal fluctuations, spending behaviors, and the region’s existing upscale offerings. This data shapes future pricing strategies, internal programming selection, operational requirements, and marketing efforts, turning assumptions into calculated strategies.

2. Conceptual Playbook: Your Vision on Paper

Why You Need It

The conceptual playbook translates your vision into a strategic framework, defining how your brand comes to life through design, experience, and operations.

This playbook aligns creative and functional elements into a unified, market-ready concept.

Without It, Your Business Will Fail Due To:

  1. Lack of Clear Direction: Without precise definitions for design, fixtures, furniture, equipment, uniforms, menus, and guest experiences, your business risks becoming a fragmented idea, leaving both guests and staff unclear about the brand’s identity.
  2. Team Misalignment: You and your shareholders, support team, development team, and employees need a clear understanding of your concept to execute the vision, and deliver consistent experiences.
  3. Failure to Stand Out: A distinct concept differentiates you in a saturated market, helping carve out a memorable niche. Let’s take a look at two sample scenarios:
    • Restaurant Examples
      • A Restaurant Without a Conceptual Playbook: Generic tables and chairs, mismatched menus, and a lack of on-brand marketing leave little impression.
      • A Restaurant with a Conceptual Playbook: A coastal-inspired bistro with subtle and authentic sea-themed décor, locally sourced seafood menus, and immersive guest experiences creates a more lasting impact, and nurtures guest loyalty and repeat visits.
    • Hotel Examples
      • A Hotel Without a Conceptual Playbook: Standard rooms, impersonal service, and forgettable interiors offer no unique appeal.
      • A Hotel with a Conceptual Playbook: A  retro yet modern boutique hotel showcasing local craftsmanship, personalized service, and a curated lobby café makes every stay an unforgettable one.

By defining your vision clearly and cohesively, a conceptual playbook transforms your business idea into an operational reality with market differentiation and lasting success.

3. Prototype Playbook: Testing and Refining

Why You Need It

The prototype playbook enables precise testing, refining, and scaling of your concept before making full-scale investments.

This playbook minimizes costly guesswork, instead providing a clear path from design to operational implementation.

Without It, Your Business Will Fail Due To:

  1. Uncontrolled Budgets: Without defined prototypes, development costs can spiral due to unexpected adjustments in design, layout, or FFE (Fixtures, Furniture, Equipment) integration.
    • Examples
      • A Bar Without a Prototype Playbook: Custom bar counters are ordered without consideration for staff flow, causing expensive retrofits.
      • A Bar with a Prototype Playbook: Space-optimized bar counters with exact dimensions ensure smooth service operations, and controlled costs.
  1. Resource Waste: Testing workflows, layouts, and service models in a prototype phase reduces inefficiencies and operational bottlenecks.
    • Examples
      • A Restaurant Without a Prototype Playbook: Kitchen layout errors slow service, causing delays and increasing labor costs.
      • A Restaurant with a Prototype Playbook: Pre-tested kitchen zones ensure efficient service, reducing wait times and boosting profitability.
  1. Limited Scalability: A well-developed prototype ensures your concept can adapt to various property sizes, layouts, and markets, making expansion more feasible.

Testing, refining, and scaling concepts through a prototype playbook ensures businesses can develop precise start-up budgets while reducing risk, optimizing resources, and positioning themselves for sustainable, scalable growth.

4. Brand Strategy Playbook: Building Your Identity

Why You Need It

The brand strategy playbook establishes your business’ core identity, aligning every guest interaction with your values, messaging, and market positioning.

It ensures that your brand resonates with the right audience while creating lasting, emotional connections.

Without It, Your Business Will Fail Due to:

  1. Lack of Clear Identity: A poorly defined brand confuses potential guests, diminishing credibility and loyalty.
    • Examples
      • A Bar Without a Brand Identity: Random décor, inconsistent service styles, and a generic menu fail to create memorable experiences, leaving guests disengaged.
      • A Bar with a Brand Identity: A retro-inspired cocktail lounge with mid-century modern décor, tailored music playlists, and vintage-inspired cocktails creates an immersive guest experience.
  1. Failure to Attract Guests: A distinct brand aligns with target market values, sparking curiosity, and driving foot traffic.
    • Examples
      • A Bar Without a Brand Strategy: A new bar opens with no thematic focus, minimal marketing, and a generic online presence. Potential guests pass by without interest.
      • A Bar with a Brand Strategy: A speakeasy-themed bar launches with curated social media content, influencer collaborations, and press coverage, creating buzz and becoming the city’s hottest new spot.
  1. Ineffective Marketing Campaigns: Marketing without a brand strategy leads to disjointed campaigns that fail to engage or convert potential guests.
    • Examples
      • A Marketing Campaign Without a Brand Strategy: A basic ad promoting generic happy hour specials attracts price-sensitive guests but creates no brand loyalty.
      • A Campaign with a Brand Strategy: A cinematic video showcasing mixologists crafting signature drinks boosts brand engagement, and drives repeat visits.

Your brand strategy playbook is more than just a logo. It ensures every detail, from service tone to visual identity, works in harmony to position your business as unforgettable and irreplaceable.

5. Tech-Stack Playbook: Leveraging Technology

Why You Need It

The tech-stack playbook ensures your business leverages cutting-edge tools and systems to streamline operations, elevate guest experiences, and unlock valuable data-driven insights.

In today’s digital-first landscape, technology is no longer optional—it’s another non-negotiable.

Without It, Your Business Will Fail Due To:

  1. Operational Inefficiencies Causing Chaos: Without integrated technology, processes break down, leading to delays, wasted resources, and unhappy guests. The right tech stack synchronizes workflows. Think reservation systems that align with table turnover rates, or POS systems that monitor real-time inventory levels, preventing over-ordering.
    • Examples
      • Inefficient Operations: A restaurant using outdated manual inventory processes faces unexpected stockouts, leading to missed sales and guest frustration.
      • Efficient Operations with Tech: A cloud-based POS with inventory management ensures automatic reordering alerts and prevents shortages during peak hours.
  1. Failure to Meet the Guest Demand for Seamless Tech-Enhanced Experiences: Today’s guests expect convenience. From contactless payments to personalized services, technology bridges the gap between expectations and delivery.
    • Examples
      • For Restaurants: Tableside ordering tablets reduce wait times, while QR code menus provide instant access to specials and allergen information.
      • For Hotels: Mobile check-ins, room key apps, and smart room controls create frictionless stays, differentiating your property immediately.
  1. Missed Opportunities: Without the right technology, you forfeit valuable analytics that could shape your business. Actionable data reveals trends, such as best-selling dishes, total guest revenue management, or high-margin offerings, enabling smarter decisions.

By aligning the right systems with your business model, you can deliver efficiency, meet evolving guest expectations, and mine insights to fuel your growth.

The question isn’t whether you need technology, it’s whether you’re leveraging it effectively to gain a competitive edge.

6. Marketing Playbook: Reaching Your Audience

Why You Need It

Your marketing playbook is the roadmap to attracting, engaging, and converting guests through well-orchestrated campaigns across digital, social, and traditional channels.

This playbook defines your unique voice, message, and tactics that resonate with your target market.

Without It, Your Business Will Fail Because:

  1. You’re Invisible to Guests: The “build it, and they will come” approach is a myth. A strong marketing playbook ensures visibility through SEO, social media, PR campaigns, and community partnerships, positioning your business in front of the right people at the right time.
    • Examples
      • A new bar without a marketing plan might rely solely on word of mouth, leading to slow growth, and unpredictable traffic.
      • A bar with a marketing playbook uses social media promotions, influencer partnerships, and a launch event to create buzz, providing immediate brand awareness, and generating foot traffic.
  1. You Waste Money on Ineffective Campaigns: A marketing playbook defines objectives, key performance indicators (KPIs), and actionable steps, ensuring every marketing dollar spent delivers a measurable return. Let’s look at a sample result:
    • Sample of Measurable Results: A bar runs a social media campaign promoting a new seasonal cocktail menu.
      • Goal: Increase weekend reservations.
      • Campaign Action: Targeted social ads with a direct booking link.
      • Result: A 35-percent increase in table bookings within 30 days, tracked through specified promo codes, POS integration, and follow-up metrics through brands such as Ovation.
  1. You Can’t Build Loyalty: Consistent messaging and guest engagement cultivates trust, fostering repeat visits and long-term brand loyalty.
    • Example
      • A restaurant with a clear marketing strategy shares behind-the-scenes content regularly, offers loyalty rewards, and sends personalized email offers, keeping the brand top of mind among their most valuable guests.

A well-defined marketing playbook is not just a promotional tool, it’s the engine that drives visibility, guest engagement, and long-term loyalty. It ensures your brand stays relevant, compelling, and profitable in a competitive landscape.

7. Financial Playbook: Managing Money Wisely

Why You Need It

The financial playbook is your blueprint for sustainable profitability, guiding budgeting, forecasting, and cash flow management. It transforms your concept from an idea into a financially sound reality.

Without It, Your Business Will Fail Because:

  1. You Won’t Secure Funding: Lenders and investors need detailed projections. A financial playbook builds trust by showing profitability scenarios, ROI timelines, and realistic financial goals.
    • Sample Insight: A hospitality group secures $2M USD for a new cocktail bar by presenting a robust financial playbook that presents realistic five-year forecasts, start-up budgets, and more.
  1. You’ll Run Out of Cash: Poor financial planning is a top cause of failure. Without a playbook, unexpected expenses or under-funding can derail your project long before you look to open your doors.
    • Example: A boutique hotel underestimates renovation costs due to lack of a prototype and detailed budgets. They deplete funds before opening, delaying launch, reducing lender trust, and increasing their debt load before the first booking.
  1. You’ll Have No Financial Control: Comprehensive playbooks monitor expenses, optimize pricing, and maximize profitability with tailored start-up projections, investment scenarios, mock labor schedules, day-part/occupancy strategies, P&L statements, cash-flow forecasts, cost-channel analysis, modern revenue management strategies, and contingency plans.
    • Real-World Impact: A midscale hotel uses financial modeling to adjust day-part strategies, increasing off-peak revenue by 40 percent, and reducing operational costs by 15 percent.

A financial playbook isn’t just numbers. This playbook is a strategic tool ensuring your business remains solvent, scalable, and investor ready from day one. It prevents costly surprises, and drives long-term profitability through proactive financial control.

8. Business Plan Playbook: Day-to-Day Operations

The business plan playbook serves as the operational backbone of your hospitality business, guiding daily activities from front-of-house procedures to back-end management.

Contrary to common belief, it should be the last playbook developed. The business plan playbook should be completed only after assessing the feasibility of your idea, and defining your concept, prototype, brand, tech stack, financials, and marketing strategy. Taking this approach ensures every operational detail is driven by data, and aligned strategically.

Without It, Your Business Will Fail Because:

  1. Your Team Lacks Structure: Employees need clear roles, expectations, and procedures. Implementing Six Sigma and Kaizen methodologies within your playbook fosters a culture of continuous improvement and operational efficiency.
    • Example: A bar without defined staff roles experiences high turnover due to confusion over responsibilities. After adopting a playbook with structured roles and SOPs, turnover drops by over 55 percent.
  1. You Can’t Deliver Consistency: Inconsistent operations harm the guest experience, and lead to negative reviews. A comprehensive playbook ensures processes are repeatable, scalable, and centered around guest satisfaction.
    • Example: A boutique hotel improves its guest satisfaction score by over 70 percent after implementing SOP-driven check-in/out procedures, housekeeping standards, and personalized guest touchpoints.
  1. You Struggle to Adapt: An operations playbook allows businesses to pivot quickly when challenges arise. Whether adapting to changing guest expectations or responding to market shifts, your team will have a clear, proactive roadmap.
    • Example: A restaurant navigates supply chain disruptions by referencing its contingency plan within its business playbook, securing local supplier contracts that reduce delays.

Unlike static business plans, a business plan playbook evolves with your business. It’s a dynamic, action-oriented guide that adapts to market changes, ensuring your business remains agile, efficient, and competitive. With a playbook, you don’t just plan—you execute with precision and purpose.

The Ripple Effect of Strategic Clarity

Strategic clarity doesn’t just enhance isolated parts of your hospitality business—it creates a synchronized, efficient, and scalable operation.

Master the eight essential playbooks to not merely start, stabilize, or scale a business but to build a legacy primed for adaptability, growth, and industry leadership.

Imagine this Impact

Picture presenting a fully developed suite of playbooks to investors, landlords, or partners. You’ll exude confidence, backed by precise strategies in which they can place their trust.

This comprehensive approach distinguishes you from businesses relying on generic, templated, or AI-generated plans. (Yes, banks and investors can tell when a business plan has been generated by artificial intelligence.)

Don’t Leave Success to Chance

Success in hospitality is both challenging and rewarding. Without strategic clarity, even the best ideas risk failure.

This framework positions your business within the top 20 percent that surpass the five-year survival mark.

Why This Matters

Without strategic clarity, you risk being in the 80 percent of operators that fail. Why do that to yourself?

The industry’s high failure rate stems entirely from a lack of well-defined strategy. At KRG Hospitality, we specialize in crafting bespoke playbooks that drive clarity, confidence, empowerment, and freedom.

Want to learn more? Join our next 60-Minute Start-Up Masterclass, or contact us today for personalized consulting.

Take action now—success doesn’t happen by accident.

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by David Klemt David Klemt No Comments

The 7 Principles of Hospitality

The 7 Principles of Hospitality

by Doug Radkey

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Let’s start with a simple but important question: When you hear the term “hospitality industry,” what first comes to mind?

For many, the first thing that comes to mind is….hotels. And while hotels are a significant part of hospitality, they’re definitely not the complete picture. In fact, the true essence of hospitality often transcends what we experience in a standard hotel environment.

Bars, restaurants, resorts, and entertainment venues are all spaces where the principles of hospitality should be experienced equally. Hospitality is about how we treat people—our guests, visitors, our vendors, and even our team members—with generosity, warmth, and genuine care.

Yet, in recent years, a shift has occurred. Many people I speak with in the industry feel that we’ve lost touch with the foundational principles of hospitality in a variety of settings. Whether it’s the focus on tech integration, rush to hire due to labor shortages, lack of proper onboarding and training, or clarity in what we do —and why we do it—something has gotten lost along the way.

As we move forward, it’s time for the industry to refocus on what hospitality truly means, and realign with the core principles that make this industry remarkable.

No matter the style of concept you operate or plan to operate, the seven principles of hospitality are the foundation of exceptional service and memorable experiences. These principles aren’t just for fine dining or five-star resorts, and they aren’t just fancy buzzwords. They’re actionable insights that can elevate any hospitality business.

1. Self-Awareness

Hospitality starts with you. The first step to great hospitality is understanding how our own behavior impacts those around us—our guests and our teams.

Practicing self-awareness isn’t always easy, particularly in high-pressure situations. So, ask yourself: How aware are you of the emotions you’re instilling in others during conversations, especially under stress?

Self-awareness is more than a personality trait; it’s a skill that helps create a warm, caring environment for guests. It’s about managing how we come across to others actively, and ensuring our actions align with the culture we want to build in our business.

To create a genuine sense of hospitality, we must start with a clear sense of self.

2. Guest Awareness

Read your guest’s energy, not just their appearance. The ability to read guests and anticipate their needs is crucial, but it goes beyond surface-level assumptions.

Hospitality isn’t about stereotyping based on appearance, accents, or perceived financial status. Instead, it’s about sensing the energy and mood they bring into your space.

When we understand the energy guests bring, we can adapt our approach, tailor our communication, and build genuine connections. This is hospitality in its most fundamental form: creating a personalized experience by being attentive and observant.

3. Connection

Hospitality is about meaningful connections. When you’re both self-aware and guest-aware, you can begin to tailor your interactions to each specific guest (and your staff, too).

Authentic, unique, and genuine hospitality is what leaves a lasting impression. Building a connection with guests isn’t just about providing a service. The key is to cultivate an experience that feels personal.

In his work, author Daniel Pink talks about intrinsic and extrinsic motivation, noting that connection is one of our core intrinsic motivators. We’re drawn to hospitality because of our natural desire to connect with others. It’s this connection that creates the most memorable guest experiences and fosters loyalty.

A business grounded in genuine connections will always stand out.

4. Authenticity

Be yourself. Guests can tell when you’re not—so stop the act.

Authenticity is essential in hospitality. Yet, so many teams I work with feel they need to become someone else on the floor, changing their voice or putting on a façade. Often, this stems from misguided career advice imparted early on that tells us we aren’t interesting enough as we are.

But here’s the truth: The most engaging and captivating version of yourself is the real one.

People connect with genuine personalities, not manufactured ones. Drop the façade, and bring your authentic self to every interaction. Guests sense authenticity, and it’s what will draw them back again and again.

So, next time you interact with a guest, do a reel for social media, or interview a potential team member, bring your authentic self. That’s the version of you with which people connect.

5. Anticipation & Attention to Detail

Tell guests what you’re going to do, do it, then tell them you’ve done it.

One of the secrets to providing an excellent guest experience is being prompt, responsive, and thorough in communication. A big part of managing guest expectations is being clear about what to expect. Tell guests what you’re going to do, keep them informed while you’re doing it, and follow up afterward.

Increasingly, guests want their visits to feel personalized. Whether you add small, thoughtful touches to a meal, or offering a personalized greeting in a hotel, attention to detail shows guests that they’re valued.

Anticipation of guest needs is what sets hospitality apart from other service-based industries.

6. Alignment

Help your team see how their role fits into the bigger picture. Alignment means connecting each team member’s work with their broader life goals and values. Many people in our industry might not see hospitality as their forever career, but that doesn’t mean their time with us can’t be meaningful.

Find out what matters to each team member, whether it’s professional growth, financial stability, or simply enjoying their work. Then, align their role with these values.

A team that feels connected to their work is more motivated, more focused, and more likely to deliver a higher level of service.

Alignment isn’t just about job roles, it’s about helping people find purpose and satisfaction in what they do. It’s crucial that we build team experiences just like we create guest experiences.

7. Presence

Be engaged in the moment fully with your guests. Presence means engaging completely with what you’re doing.

When you’re talking to a guest, be invested in that moment completely. Avoid distractions, scripted conversations, or rehearsed interactions. Genuine presence is about being open, honest, and interested in their experience.

For leaders, fostering a culture of presence is crucial. Every interaction you have with your team either reinforces or diminishes this value. Be mindful of how your behavior impacts others, and encourage your team to approach each guest with this mindset.

Celebrate moments of genuine connection, and provide feedback when things don’t go as planned. Presence isn’t just a skill; presence is a cultural value that transforms service.

Real-Life Example: The Solmar Resort

To illustrate these principles, I’d like to share a personal experience from the Solmar Resort in Cabo San Lucas, Mexico.

After a hurricane passed near the Baja Peninsula, David and I arrived for a business retreat, only to find the resort quieter than usual. Despite the calm, the staff maintained a vibrant and uplifting culture. They were fully engaged—no one was on their phones, no one was leaning or looking board, no one was gossiping, and the team members greeted each other with genuine joy and fist pumps.

Even with more staff than guests on the property, their sense of purpose and commitment to hospitality was evident. From dancing and singing while performing side duties, to the warm, friendly interactions with us as guests, the experience was unforgettable. The Solmar team embodied the “one-house” approach: everyone worked together seamlessly to deliver an exceptional experience.

During our visit, we experienced true hospitality in action, where every interaction was meaningful an, most importantly, intentional.

Reclaiming the Foundation of Hospitality

The seven principles of hospitality—self-awareness, guest awareness, connection, authenticity, anticipation, alignment, and presence—are not just theoretical ideas. These are actionable values that can transform guest experiences, and set your brand apart in a crowded market.

At its heart, hospitality is about people. It’s about creating an environment where our team and our guests feel welcomed, seen, and valued. If we want to elevate our industry, we need to return to these foundational principles, and train our teams to embody them in every interaction.

So, let’s commit to reclaiming the true essence of hospitality. Whether you’re running a bar, restaurant, or hotel, these principles provide a roadmap to building a culture of excellence that guests won’t soon forget. By focusing on experience and connection, we can redefine hospitality for a modern audience, and make it as impactful as it’s ever been.

Remember, hospitality isn’t just about serving food and beverage, or providing a bed. Hospitality is about creating memories that guests carry with them long after they’ve experienced your brand.

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by David Klemt David Klemt No Comments

Why Your Inner Circle Matters

Why Your Inner Circle Matters

by Jennifer Radkey

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Is your inner circle creating sparks of inspiration, or burning you down?

In the world of hospitality, where every interaction counts, there’s one factor that could be influencing your success more than you realize: the people with whom you surround yourself.

As a hospitality professional, you work in highly social environments, so it’s essential to understand the impact your inner circle has on your mindset, and the success of your business.

How can the energy and attitudes of those around you shape your success? And how can being intentional about your relationships elevate both your personal and professional life?

Let’s take a closer look.

The Power of Influence

We’ve all heard the saying, “You are the average of the five people you spend the most time with.”

It’s a concept that rings true in both personal and professional settings. In the hospitality industry, where relationships and team dynamics are crucial, the people you spend your time with can have a major impact on your mindset.

Your inner circle can either lift you up or drag you down, influencing your thoughts, behaviors, and even your beliefs about what’s possible. When you need to maintain a positive mindset, this influence can make or break you.

Energy and Attitude: The Contagious Effect

Ever notice how working with someone who’s upbeat and energetic can make a shift fly by? Or how spending time with a negative, cynical colleague can drain your motivation?

The energy people bring to the table is contagious. Over time, it seeps into your mindset.

Think of your mindset like a garden. If you plant yourself in rich, fertile soil—surrounded by positivity, encouragement, and growth—your mindset will flourish. But if your garden is full of weeds—like negativity, doubt, and pessimism—it becomes much harder to grow.

In hospitality, where guest service relies heavily on positivity, allowing negative energy to take root can stifle your personal growth, and your ability to grow a loyal guest base.

As a team leader, your mindset sets the tone for the entire team. Show up to team meetings with a negative mindset and your meetings will sound like reprimands and demands instead of inspiration, growth, and encouragement.

The Role of Supportive Relationships

One of the most powerful ways others influence us is through their support—or lack thereof. In a high-pressure environment, having people around you who believe in your potential, challenge you to improve, and celebrate your wins can be transformative.

Supportive relationships remind you of your goals when you’re feeling down, push you to persevere when things get tough, and keep you focused in the chaos.

On the opposite side, if you’re surrounded by people who doubt your ambitions or criticize your efforts, it can be difficult to stay motivated. In the long run, these negative influences can damage your confidence, and make you question your ability to achieve your goals.

In an industry where confidence is crucial to providing top-notch service and leading successful teams, the people you surround yourself with can either enhance or diminish your sense of worth. By aligning yourself with those who inspire and uplift you, you’ll be better equipped to maintain a positive mindset, even in challenging situations.

Setting Boundaries to Protect Your Mindset

So, how do you ensure that the people around you contribute positively to your mindset and success? It starts with setting boundaries.

Boundaries are essential for protecting your mental and emotional well-being. If someone’s energy is toxic or draining, it’s important to limit the influence they have over you.

In business, where teamwork is essential, setting boundaries might not mean cutting people out of your life completely. However, it does mean being mindful of how much time and energy you invest in relationships that aren’t serving your growth. It also means being aware of the energy of a person when choosing whether to have them join your team or not.

Protecting your mental space ensures that you remain focused on your goals, and can give your best to your team, your guests, and yourself.

Seeking Growth-Oriented People

To thrive in both business and life, it’s essential to seek out people who are growth-oriented; those who are always looking to improve themselves, who push you to think bigger, and who motivate you to take action.

Building a network of ambitious, driven individuals within the hospitality industry can be transformative.

When you surround yourself with people who are passionate about growth, their energy becomes contagious. They’ll challenge you to step outside your comfort zone, pursue new opportunities, and push past self-imposed limits.

Taking Action: Evaluate Your Circle

Take a moment to reflect on the people in your life, particularly within your professional circle.

Who are the five people with whom you spend the most time? How do they make you feel? Do they lift you up, or hold you back? Are they helping you move closer to your goals, or keeping you stagnant?

This exercise can be eye-opening, and it’s an essential step in building a more positive, growth-focused environment for yourself. Remember, only you can choose what mindset you want to adopt, and how you will allow others to influence you.

Final Thoughts: Be Intentional About Your Circle

As a hospitality professional, your mindset is key to your success. The people around you play a major role in shaping it.

Be intentional about surrounding yourself with those who uplift, inspire, and challenge you. Protect your mental space with boundaries, and actively seek out relationships that align with your goals and values.

If you’re looking for a supportive community of like-minded hospitality professionals, join us in The Collective, a group coaching program designed to help you achieve your goals with clarity and confidence. Together, we’ll create an environment that supports both personal and professional growth.

Remember, you have control over who you allow into your life, and how much influence they have. Choose wisely, and watch your success story unfold.

Cheers to personal and professional well-being!

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by David Klemt David Klemt No Comments

Shifting Focus on KPIs

Shifting Focus on KPIs

by Doug Radkey

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Key Performance Indicators (KPIs) have long been the cornerstone of measuring success in business, particularly in the hospitality industry.

Restaurants, bars, and hotels rely on these metrics to track occupancy rates, average ticket prices, cost of goods, and guest satisfaction scores, among many others. However, as the industry evolves, so too must our understanding of what truly drives sustainable success.

The traditional KPIs measure outputs—numerical results that often focus on profitability, efficiency, and growth. But as hospitality businesses become more guest-centric and employee-driven, we need to rethink what KPIs really mean.

Instead of focusing solely on these cold, hard numbers, we should be emphasizing what I call the new KPI: Keeping People Informed, Involved, Interested, and Inspired.

This shift acknowledges that success in hospitality is not just about what’s measurable on a spreadsheet but also about engaging employees, nurturing guest and vendor relationships, and fostering a culture of collaboration and growth.

This article, which I have been planning to write for quite some time now, will explore how redefining KPIs to prioritize keeping people informed, involved, interested, and inspired can transform the hospitality industry, leading to more engaged teams, happier guests, and better business outcomes.

KPI: Keeping People Informed

In any form of hospitality business, from boutique hotels to bars and restaurants, the foundation of success lies in clarity, transparency, and communication.

Keeping people informed, whether they’re employees, guests, or stakeholders, is key to fostering trust, loyalty, and operational clarity.

Informing Employees

Despite the growth in technology, employees are still the lifeblood of the hospitality industry. Informed employees are empowered employees.

When they understand the bigger picture—what the business is trying to achieve, and how their role contributes to that goal—they feel a greater sense of purpose and motivation.

In the past, KPIs often stayed in the boardroom. If they left the boardroom, they remained among the leadership team on the floor. So, either way they were detached from true day-to-day operations.

A shift toward the new KPI requires involving employees in the business’ key metrics, and sharing relevant information transparently.

For example, when a hotel shares its Total Guest Revenue Management goal and explains the efforts needed to improve these numbers, every department can align their strategies to support this objective. Housekeeping understands the need for timely room turnovers. The marketing team knows where to focus their efforts. Guest services is equipped to handle the flow of on-property guests more efficiently.

Practical Steps:

  • Hold regular meetings to discuss current business performance and future goals.
  • Share performance dashboards that are accessible and understandable to all staff members.
  • Break down KPIs into department-specific insights, so each team knows how their performance impacts the overall business.

Informing Guests

On the guest side, keeping them equally informed is crucial in today’s digital age, where transparency and real-time information drive decision-making.

Whether that means updating guests on room availability, menu changes, or special promotions, being proactive with information helps manage expectations, and creates a seamless guest experience.

Hotels and restaurants can use digital platforms to keep guests informed, providing them with personalized experiences. For instance, a hotel app that informs guests about spa availability or the restaurant’s current waitlist times ensures that each guest feels valued, and in control of their experience.

Practical Steps:

  • Implement digital platforms, like apps or SMS services, that keep guests informed of their bookings, promotions, and real-time service updates.
  • Train staff to be communicative and transparent about wait times, service delays, or special offerings to manage guest expectations.

KPI: Keeping People Involved

Engaging with employees and involving them in the decision-making process is crucial for motivation and a sense of ownership.

KPIs should not be top-down metrics that only the leadership team values. Instead, they should provide a framework that allows employees to contribute actively, and understand how their efforts influence success.

Involving Employees

In the traditional sense, KPIs are viewed as targets employees must meet, and are provided without much context.

Keeping people involved means allowing employees to help define these targets, along with the pathways to achieve them. Involving employees and allowing them to set their own performance indicators gives them ownership of their work, and makes them feel accountable for outcomes.

For example, a restaurant can engage its service staff by involving them in discussions about upselling, suggesting specific strategies that they feel comfortable executing. They become part of the plan to improve the average ticket price or increase sales of high-margin items, rather than feeling like they’re being micromanaged.

This approach cultivates a culture of continuous improvement, collaboration, and engagement. When employees feel that their input is valued and implemented, they are more likely to be motivated to contribute actively, and innovate within their roles.

Practical Steps:

  • Host brainstorming sessions with employees to identify goals, challenges, and solutions. This fosters a sense of collaboration and inclusion.
  • Implement feedback loops where staff can share what’s working and what’s not on a consistent basis. Adjust KPIs based on this real-time insight.

Involving Guests

In the hospitality industry, guest involvement often determines the quality of their experience. Personalized service, where guests are involved in customizing their stay or dining experience, results in higher satisfaction levels.

From hotels offering customizable room amenities to restaurants allowing diners to build their own experiences, guest involvement directly correlates to guest loyalty and satisfaction.

Practical Steps:

  • Offer personalized experiences, such as allowing hotel guests to choose room preferences, or dining guests to customize their meals and dining experience.
  • Utilize surveys, post-stay feedback apps, or other mechanisms to involve guests in shaping future services and experiences.

KPI: Keeping People Interested

Maintaining interest and enthusiasm among employees and guests alike is vital for long-term success.

The new KPI focuses on creating a sense of purpose, engagement, and excitement about the work being done.

Keeping Employees Interested

Employees who are interested in their work are far more productive. They’re also committed to delivering high-quality service.

Traditional KPIs can sometimes feel disconnected from day-to-day tasks. Reframing KPIs to focus on team engagement and purpose helps keep employees interested in their roles. This is where challenging yet meaningful KPIs come into play.

For instance, a restaurant’s kitchen staff can be challenged to reduce food waste by five percent. Instead of just announcing this target, the leadership team should encourage the kitchen to come up with the strategies to achieve it. Whether that means repurposing on-hand ingredients for an LTO or improving portion control, the involvement and challenge keep staff interested and motivated.

Reviewing progress regularly, celebrating milestones, and recognizing achievements enhances employees’ engagement and satisfaction, keeping them interested in their contributions to the team’s success.

Practical Steps:

  • Implement monthly or quarterly team challenges that are tied to larger business objectives, with recognition or rewards for achieving these targets.
  • Organize regular check-ins to discuss career development, skill development, and other methods of keeping employees passionate about their work.

Keeping Guests Interested

The modern guest is no longer interested in just receiving a meal or room; they’re seeking a memorable experience. Hotels, bars, and restaurants must innovate constantly to keep guests coming back.

Whether through offering seasonal menus or LTOs, hosting unique on-premise events, or incorporating local culture into the experience, keeping guests interested requires ongoing creativity.

Practical Steps:

  • Rotate seasonal offerings or limited-time events to keep the brand fresh and exciting.
  • Personalize guest experiences based on previous stays, orders, or preferences.

KPI: Keeping People Inspired

Finally, people—employees and guests—need to be inspired. Inspiration fuels action, creativity, and, above all, loyalty.

When employees are inspired, they go above and beyond in their roles. When guests are inspired, they become loyal advocates of your brand.

Inspiring Employees

Traditional KPIs rarely inspire employees; they just feel like boxes to be checked.

But the new KPI focuses on creating ambitious yet attainable targets that challenge employees to push their boundaries. This includes setting stretch goals that inspire employees to think creatively, and innovate.

For example, a bartender could be challenged to create a new cocktail using sustainable ingredients. As another example, a hotel service staff member could be encouraged to improve guest check-in times while maintaining high guest satisfaction scores.

Leaders must also inspire their teams by sharing success stories through pre-shift meetings, fostering a positive workplace culture, and providing opportunities for growth and development. When employees are inspired by their leaders, they are more likely to take initiative, and drive the business forward.

Practical Steps:

  • Set SMART, ambitious goals that push employees out of their comfort zones but are still attainable.
  • Recognize and celebrate those who exceed expectations, and inspire others to do the same.

Inspiring Guests

Inspiration isn’t just internal; guests also need to feel inspired by the spaces and services they encounter.

In guests, a feeling of inspiration can be achieved through extraordinary design, unique offerings, or service that goes above and beyond. An inspired guest becomes a loyal one who shares their experiences, and recommends the business to others.

Practical Steps:

  • Design spaces and experiences that delight guests, and exceed their expectations.
  • Use storytelling in your marketing to inspire guests before they even walk through your doors. Then through a curated guest journey map, encourage them to share their experience with their network.

The New Vision: Why Now is the Time for Clarity

As we look ahead in this industry, there has never been a better time to build clarity in your hospitality business.

The post-pandemic landscape has shifted guest expectations, employee needs, and operational requirements. Businesses that succeed in this new environment will be those that understand the importance of keeping people informed, involved, interested, and inspired.

Clarity in your vision and execution will set your business apart in a competitive and dynamic market. By focusing on this new form of KPI, you can create a hospitality brand that not only survives but exceeds expectations in the years to come.

So, as you plan for the year ahead, ask yourself how you can keep your team and guests more informed, involved, interested, and inspired.

The answer will unlock your path to long-term success.

Image: Canva

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Flipping through an open book
by David Klemt David Klemt No Comments

5 Books to Read this Month: October 2024

5 Books to Read this Month: October 2024

by David Klemt

Flipping through an open book

Our October book selections focus on restaurant and bar interior design, developing leadership skills, an infamous liqueur, and themed cocktails.

To review the book recommendations from September 2024, click here.

Let’s jump in!

Dining Out: The New Restaurant Interior Design

Impactful bar, restaurant, and hotel design is paramount. Your space is how your guests interact with your brand in person and online. It’s much more than just four walls; your venue is the physical manifestation and representation of your concept. Therefore, it’s important that you nail your design details. I think you’ll find Dining Out inspiring.

From Amazon: “The book takes the reader on a journey to some of the most cutting-edge examples in restaurant design and architecture from around the world. With a descriptive text for each project, it focuses on the craftmanship, color schemes, decorative details, lighting and furnishings that form the identity of the space, serving as a source of inspiration and reference for professional designers, foodies and other people involved in the restaurant business. Interior and exterior photographs, as well as blueprints of each design, present the reader with a rich range of styles, from modern minimalist spaces to ones defined by bold contemporary colors, a sleek industrial look or designs that look to the past for inspiration.”

Order your hardcover copy here.

Reset: How to Change What’s Not Working

Part of being an entrepreneur or member of a leadership team is implementing new initiatives. And sometimes, after monitoring these new initiatives for a set amount of time, we find out that they’re just not working. So, what do you do? This book will help you take decisive, timely action.

From Amazon: “Changing how we work can feel overwhelming. Like trying to budge an enormous boulder. We’re stifled by the gravity of the way we’ve always done things. And we spend so much time fighting fires—and fighting colleagues—that we lack the energy to shift direction.

“But with the right strategy, we can move the boulder. In Reset, Heath explores a framework for getting unstuck and making the changes that matter. The secret is to find ‘leverage points’: places where a little bit of effort can yield a disproportionate return. Then, we can thoughtfully rearrange our resources to push on those points.”

Place your pre-order for this book today.

Cocktails and Consoles: 75 Video Game-Inspired Drinks to Level Up Your Game Night

At the end of August, I shared some interesting information from a Datassential report. According to the intel agency, close to 200 million Americans are gamers, and that interest in gaming spans all ages. Further, gamers spent well over $50 billion on this particular hobby in 2023. Datassential also found that 45 percent of gamers have made F&B decisions after consuming video game-related ads or content, so this info is relevant to restaurant and bar operators.

From Amazon: “Created especially for video game fans, this cocktail book features controller-friendly recipes that all offer playful homage to favorite games and characters including The Oregon Trail Buck (The Oregon Trail), Pom of Power (Hades), The Miles Edgeworth MarTeani (Ace Attorney), The Cake Is a Lie (Portal), Stardrop Swizzle (Stardew Valley), Miriel, Pastor of Vows (Elden Ring), Ether (Final Fantasy XIV), Liquid Snake (Metal Gear Solid), Lady Dimitrescu Fizz (Resident Evil Village), Sardegna Simulator Spritz (Gran Turismo), Falcon Punch (Super Smash Bros.), and more. Cocktails and Consoles has the perfect drink for every player and every video game!

Click here to order your copy.

Malört: The Redemption of a Revered and Reviled Spirit

So, perhaps I’m a bit odd, but I like the taste of Malört. Strangely, even though I grew up outside of Chicago and began my journey in bars and nightclubs in the city, I didn’t try Malört until I moved to Las Vegas. If you haven’t tried it, and you have a distributor who can get it for your bar reliably, you, your staff, and your guests are in for an experience.

From Amazon: “Author and beer expert Josh Noel unpacks a uniquely American tale, equal parts culture, business, and personal relationships—involving secret love, federal prison, a David vs. Goliath court battle, and, ultimately, the 2018 sale of Jeppson’s Malört, which made Pat Gabelick, a 75-year-old Chicago woman who spent much of her life as a legal secretary, into an unlikely millionaire.”

Grab yours here!

Bar Hacks: Developing The Fundamentals for an Epic Bar

Yep, I’m taking the opportunity to recommend Doug Radkey’s first book. Radkey is, as you may know, the president of KRG Hospitality. In his this book he explains the importance of nailing the fundamentals in order to:

  • start your operator journey in the best possible position;
  • stabilize your business; and
  • scale when the time comes, if that’s what you want.

From Amazon: “This informative and conversational book is the perfect read for aspiring or seasoned bar, pub, lounge, or even restaurant owners, operators, and managers looking for that competitive edge in operations! If you’re looking for both fundamental and in-depth planning methods, strategies, and industry focused insight to either start or grow a scalable, sustainable, memorable, profitable, and consistent venue in today’s cut-throat industry–Bar Hacks is written just for you!”

Click here to get your copy today!

Image: Mikołaj on Unsplash

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Two people sitting outside on a bench, dressed professionally, discussing goals and business
by David Klemt David Klemt No Comments

Someone to Rely On: Accountability

Someone to Rely On: Accountability Partners

by Jennifer Radkey

Two people sitting outside on a bench, dressed professionally, discussing goals and business

To share or not to share, that is the question. More specifically, should you share your goals with others or should you keep them top secret?

I find there are three different groups of people when it comes to goal setting. There are the people who like to shout their goals from the mountaintop for everyone to hear. Then there are those who share with just a few select people. And, of course, the people who keep their goals entirely to themselves.

Is one approach better than another? The answer to that question depends on who you are telling your goals to, if anyone.

Be Strategic

You need to be strategic with whom you share your goals. Before you tell someone an intended goal you need to consider if sharing with them will affect your chances of reaching it.

There has been quite a lot of research recently on goal setting. One of these studies was done by NYU psychologist Peter Gollwitzer, and it included four tests.

In these tests subjects wrote down their goals, and then worked on them for up to 45 minutes. They were allowed to stop working on their goal at any time. Half of the test subjects kept the goals they had written down to themselves; the other half announced them out loud to the group.

Here’s the interesting thing: Those who had kept their goals to themselves spent the entire 45 minutes working on their goal, and still felt they had a ways to go before reaching it. The study participants who announced their goals to the group averaged only 33 minutes of working on their goal, and felt that they were close to completing it. So, they didn’t feel the need to continue working on it.

Essentially, they gave up on it.

Be Cautious

What does all this suggest? Well, due to how our brains work, sharing our goals gives us the same psychological satisfaction as actually achieving them. Therefore, we don’t do the same amount of hard work to reach them.

Hearing a lot of personal praise from others when we share a goal gives us that hit of satisfaction, making the process of achieving it less necessary. On the opposite end, hearing disapproval of our goals may make us doubt ourselves, and give up before even getting started.

So, should you keep your goals top secret? While research is still being done on this topic, it appears that sharing your goals with carefully selected individuals and reporting on your progress with them can actually aid you in achieving your goals.

You need an accountability partner.

Be Selective

When seeking an accountability partner you want to choose someone who embodies three main traits.  They need to be impartial, honest, and positive.

An impartial accountability partner is not personally invested in whether or not you reach your goal. They come from a neutral space, and while they are rooting for you to succeed, there’s nothing in it for them either way.

They are able to provide unbiased observations, and offer a very helpful outsider perspective that often allows for greater clarity.

Friends can serve in this role if they don’t have a personal stake in whether you reach your goal. They would like you to because they want to see you succeed, but there’s nothing in it for them, no matter the outcome.

If your goal is to open a new restaurant, your spouse, as supportive and amazing as they are, may not be the best accountability partner. This is because the outcome of you achieving or not achieving this goal is going to have implications on their own life as well.

An honest accountability partner can be relied on to tell you the truth, and to ask the questions needed for you to be honest with yourself. They don’t tell you what you want to hear; they tell you what you need to hear.

In order to reach goals you need someone who will spark light on reality, someone who will point out what you are doing well, and what you may not be doing competently. They are honest in a helpful way, never in a degrading way. I don’t believe in being brutally honest; we should all be honest while remaining respectful of others.

Be Mindful

Lastly, the best accountability partners have a positive mindset. They will help you seek ways in which you can improve and grow.

A great accountability partner will cheer on your successes, and help you create action plans when reaching your goals becomes challenging. An accountability partner is there to help you thrive, not bring you down.

Effective accountability partners can be difficult to find. This is one reason why the coaching industry has taken off like it has. A good life coach becomes an accountability partner, a sounding board, and creates space for self-discovery and planning.

Unless you are organized, resilient, and dedicated to taking action, you may want to share your goals with an accountability partner who can help you stay focused and motivated along the way.

As for the social media blasts sharing your newest goals…maybe hold off on those until you have reached the goal. As good as it may feel to share with everyone, you may actually be doing more harm than good.

Cheers to personal and professional growth!

Image: Medienstürmer on Unsplash

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An AI-generated image of a tattooed female bartender, standing and smiling behind the bar
by David Klemt David Klemt No Comments

How do You Measure Success?

How do You Measure Success?

by David Klemt

An AI-generated image of a tattooed female bartender, standing and smiling behind the bar

That’s a lot of pens…and possibly paintbrushes.

When you take a moment to reflect on your business, what does success mean to you, and what steps are you taking to achieve it?

One obvious measure of success, of course, is monetary. Whether you operate a bar, restaurant, cafe, lounge, nightclub, hotel or other hospitality business, this is a stressful business. Why subject yourself and your team to the hardships hospitality throws at us if there are no financial rewards?

To many, a successful business is one that operates a profit. One that provides the entire team with not just enough money to get by but to thrive and experience financial freedom.

I like to think that most—the vast majority would be nice—operators want the people who believe in their vision enough to work with them to achieve it to make more than just a living wage.

Speaking of buy-in from others, finding people eager to work for them is a measure of success to some operators.

Others find success in achieving accolades. If we were to look at these operators and those who measure success financially, there would surely be an overlap in a Venn diagram.

Operators who find awards, invitations to share their stories, and opportunities to speak and educate others find the validation of their vision to mean they’re successful.

There’s absolutely nothing wrong with measuring success by profits and awards earned. After all, a hospitality business won’t be a business for long if it operates in the red, or people are unaware it exists.

But what about considering how your business makes you feel?

For Your Condsideration

Yes, I’m going to talk about feelings. Our industry is too challenging to pretend money is the only thing that matters. And we simply can’t keep ignoring the topic of mental health and the toll the hospitality industry can take on a person.

So, let’s take a moment to consider some key questions.

Is just the thought of your business accompanied by positive or negative feelings? When it’s time to head into your restaurant, bar or hotel, are you happy and excited? Or does the thought fill you with stress, or worse yet, dread?

I’m speaking on balance, of course. Stress is inescapable. New operator? Stress. A year or two in? Stress. Veteran operator? Stress.

On the whole, however, do you feel satisfied with what you’ve built, and what you’re operating? When you consider your business and brand, are you proud?

Satisfaction, Happiness, and Pride

I was reading a profile on Hotel Management a few days ago that I’m still thinking about.

Speaking of the brand and success, Red Roof Inn president Zack Gharib says, “To me, [ultimately], the measurement is, how are we making the people feel who are invested in us most—our employees, our franchisees, our communities, our guests? If there’s a sense of satisfaction and happiness and pride to be part of [the brand], then we have achieved success.”

Again, there’s nothing wrong with measuring the success of your business in financial terms. When we’re working with a client to bring their vision to life we’re laser focused on long-term financial viability.

However, leading your business toward becoming a brand you’re proud of and happy to operate should also be a consideration.

Picture operating your business so well that your team is proud to work for you. Imagine how you’d feel if the people you serve feel pride having your business in the community.

This business is too challenging to allow it to drain you psychologically, physically, and financially. If you’ve lost control of parts of your business or lost sight of your vision, it’s time to stabilize. Should you feel that you want to build your brand into something bigger, it’s time to consider scaling it. If you’re not proud to tell people about your business, you need a shift in mindset.

Image: Microsoft Designer

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An AI-generated image of two tourists looking at a map and smiling in a destination city
by David Klemt David Klemt No Comments

The Evolution and Impact of Tourist Traps

The Evolution and Impact of Tourist Traps

by Doug Radkey

An AI-generated image of two tourists looking at a map and smiling in a destination city

AI images are improving at an alarming rate.

For many reading this, I am sure the term “tourist trap” conjures images of overpriced souvenirs, subpar dining experiences, and crowded attractions.

I had an interesting experience with my daughter in Niagara Falls, Ontario, Canada, recently. After reflecting upon it, I thought it would be a good time to explore how tourist traps, particularly restaurants, have evolved over time.

This includes their impact on local economies, changing traveler perceptions, and strategies for developing more authentic experiences.

The Evolution of Tourist Traps

The term “tourist trap” originated as a descriptor for businesses or locations that exploit travelers by offering overpriced goods and services, often with low quality or minimal value.

The concept dates back to the early days of tourism when travelers, unfamiliar with local customs and pricing, were easy targets for less-than-scrupulous vendors. Tourist traps were characterized by their strategic placement near popular attractions, capitalizing on high foot traffic and the desire of visitors to experience something unique or memorable.

Early tourist trap restaurants were notorious for their inflated prices and subpar offerings. These establishments often lured tourists in with flashy signage, gimmicky themes, or promises of local cuisine, only to deliver mediocre food and service.

For instance, restaurants near iconic landmarks like the Eiffel Tower in Paris or Times Square in New York City became known for their exorbitant prices, poor quality meals, and lackluster service. These venues capitalized on their prime locations, knowing that many tourists were willing to pay a premium for the convenience and the experience of dining near a famous site.

Further, the evolution of tourist traps has been significantly influenced by globalization and the rise of mass tourism. As travel became more accessible and affordable, an increasing number of people from diverse backgrounds began exploring popular destinations. This surge in global tourism created a lucrative market for businesses catering to tourists, leading to the growth of tourist traps around the world.

Trap to Destination?

In response to changing consumer preferences, some tourist traps have evolved to offer more polished and refined experiences while still maintaining high price points.

Modern tourists are often more discerning today and seek authenticity, quality, and unique experiences. To cater to these demands, some tourist traps have rebranded themselves, focusing on improved aesthetics, service quality, and curated experiences.

For example, many historical tourist trap restaurants have undergone renovations to offer upscale dining experiences, complete with gourmet menus and stylish interiors. While these establishments still target tourists, they attempt to justify their premium prices by providing a more sophisticated ambiance and higher-quality offerings. In this way, they begin to evolve from tourist traps to destinations.

However, despite these improvements, the underlying business model often remains the same: capitalizing on tourists’ willingness to pay extra for convenience, and the allure of a trendy or iconic location.

As tourism continues to grow, the challenge for travelers will be to distinguish between genuinely enriching experiences and those that are merely polished traps for their money.

On the flip side, the opportunity for operators is there to curate a concept and brand that delivers on the true promise of an experience, even with higher prices, by providing perception of value and quality service.

Impact on Local Economies

Tourist traps, despite their often-negative connotation, do have a significant impact on local economies in both positive and negative ways. While they can be vital sources of revenue and employment in popular tourist destinations, they also come with drawbacks that can affect the local community and economy.

Revenue Generation

Tourist traps are frequently positioned in areas with high foot traffic, such as locations near landmarks, natural wonders, and cultural sites.

These businesses capitalize on the influx of tourists, generating substantial revenue through the sale of goods, services, and experiences. This influx of tourist dollars can be a major economic boon for regions that rely heavily on tourism, providing a steady stream of income that supports local infrastructure and public services.

Job Creation

The presence of tourist traps often leads to job creation, as these brands require staff for various roles.

This employment can be particularly valuable in regions with limited job opportunities, offering work to locals who might otherwise struggle to find employment.

Contributions to Local Tax Revenues

In many cases, the taxes generated by tourism-related businesses help maintain and develop the very attractions that draw visitors to the area, creating a symbiotic relationship between tourism and community development.

Economic Leakage

One of the major criticisms of tourist traps, however, is economic leakage, from which a significant portion of the money spent by tourists leaves the local economy.

This often occurs when tourist trap businesses are owned by large corporations or non-local entities. This leakage can be particularly detrimental in areas where the local economy is heavily dependent on tourism.

Driving Up Prices

As businesses target tourists who may be willing to pay premium prices, the cost of living in popular tourist areas can increase.

This phenomenon, often referred to as “tourist inflation,” can make it difficult for the local residents to access affordable housing, groceries, and other essential goods.

Crowding-Out Effect

As tourists flock to well-known attractions and establishments, smaller, locally-owned businesses may struggle to compete.

This can result in a loss of cultural diversity and authenticity, as traditional shops, restaurants, and artisans on the outskirts of the tourist area are pushed out in favor of more commercially successful (and convenient) tourist traps.

Changing Perceptions of Travelers

The traditional appeal of tourist traps—often characterized by easily accessible, heavily marketed attractions with high prices and standardized experiences—has waned in recent years.

Modern travelers are increasingly seeking authenticity and immersion, favoring genuine connections with local culture and experiences rather than conventional tourist offerings. This shift has led to a growing demand for unique and meaningful experiences that go beyond the superficial allure of traditional tourist traps.

Rather than flocking to the most popular attractions, they are more inclined to explore local neighborhoods, dine at lesser-known eateries, and participate in cultural activities that provide a more genuine understanding of the place they are visiting.

This trend reflects a broader desire for meaningful travel, where the journey is not just about sightseeing but also personal growth and cultural exchange.

The preference for immersive experiences has also led to an increased interest in activities such as cooking classes, guided cultural tours, and community-based tourism initiatives. These experiences often provide travelers with hands-on opportunities to learn, and participate in local traditions, offering a deeper connection to the destination.

Experiential Travel

The shift in traveler preferences over the past few years has given rise to travel companies that specialize in experiences that are off the beaten path. These experiential companies curate unique itineraries that focus on lesser-known attractions, local interactions, and culturally enriching activities.

For example, companies like Airbnb Experiences and G Adventures offer travelers the chance to explore hidden gems and participate in local customs, far removed from the typical tourist circuit. These experiences cater to travelers who want to avoid the crowds and discover the authentic essence of a place.

Travelers are becoming more conscious of their impact on the destinations they visit. An understanding of cultural sensitivity and sustainable tourism have also gained prominence. Modern tourists are increasingly aware of the negative consequences of mass tourism, such as environmental degradation, cultural commodification, and the displacement of local communities.

As a result, they seek out travel experiences that align with their values, emphasizing respect for local customs and traditions, as well as environmental stewardship.

The shift in traveler perceptions has redefined the concept of tourist traps, and reshaped the tourism industry. Growing demand for authentic and immersive experiences has led to a decline in the appeal of traditional tourist traps, and a rise in alternative forms of travel.

This evolution presents an opportunity for destinations to reimagine their tourism offerings, moving away from the superficial and towards the authentic and transformative.

Personal Experience: Niagara Falls Tourist Trap Restaurant

What inspired this article? On a recent trip to Niagara Falls, a notorious hotspot for tourist traps, my daughter insisted on visiting a well-known restaurant famous for its jungle-like atmosphere.

Despite knowing it was a classic tourist trap, I decided to indulge her curiosity and give it a try. The restaurant’s marketing promises an immersive experience with animatronic animals and lush decor, creating an exciting adventure for families.

However, the reality of the experience fell far short of these expectations.

Upon arrival, we were seated at the furthest table from the main animatronics, which are one of the primary attractions of the restaurant. This placement diminished the ambiance and excitement we were hoping to experience.

The food itself was another disappointment. We ordered a standard burger and fries, as well as fish and chips, both presented in basic diner baskets with checkered liners.

Despite the underwhelming presentation and quality, the bill came to over $68 before beverages, taxes, and gratuity—an exorbitant price for what was essentially fast food.

To top it all off, we waited 22 minutes to pay our bill, further detracting from the overall experience.

Perception vs. Reality

The marketed image of an exciting, immersive dining experience was a stark contrast to what we actually encountered. The atmosphere, which was supposed to be a highlight, was underwhelming due to our seating arrangement. The food, while edible, was overpriced and lacking in both quality and perception of value.

A $32 traditional burger with lettuce, tomato, and onion could at least be presented on a wood board, and $36 fish and chips could at least use fresh fish versus the obvious frozen alternative.

While I understand the seasonality of the tourist area and the need to pay bills in the off season, running what I can estimate as five- to eight-percent food costs is pushing the limit.

Additionally, the long wait to settle the bill only added to the frustration, leaving a disappointed look in my daughters’ eyes. If only there was technology available to book a table near the animatronics, and tech available to allow guests to pay their bills more quickly…

Key Takeaways

This experience highlighted several key issues that often plague tourist traps. The disparity between the marketed image and the actual experience can lead to significant disappointment for guests.

It’s crucial for bars, restaurants, and hotels to set realistic expectations and deliver on their promises, whether in an area with high tourist traffic or not. Marketing should align with the actual experience to avoid misleading guests and creating negative impressions.

Furthermore, providing a high level of hospitality and a perception of value is arguably more crucial these days than ever before, regardless of the location or nature of the concept. Being in a tourist-heavy area does not justify subpar deliverables.

Even if a business is catering to tourists, it should strive to offer quality service, perception of value, and a memorable experience.

Tourist destinations may draw the crowds, but delivering consistent quality and service is key to leaving a lasting, positive impression that will ensure they not only return, but showcase a business on their social channels in a glowing light.

From a traveler’s perspective, while someone may want to make their kids happy like I did, it would be wise to look for more locally-owned restaurants, shops, activities, and boutique hotels that offer a true taste of the area’s culture and community. Engage with locals, ask for recommendations, and be open to the unexpected.

I invite you to share your own experiences with tourist traps with me on Instagram and Linkedin. What tips do you have for finding authentic experiences, both in high-traffic areas and off the beaten path?

Share your stories and insights with me—I’d love to hear from you and continue the conversation about mindful travel, cultural exploration, and providing impeccable hospitality.

Image: DALL-E

KRG Hospitality Start-Up Restaurant Bar Hotel Consulting Consultant Solutions Plans Services

A viewing scope looking out toward a sunrise or sunset
by David Klemt David Klemt No Comments

Mindfulness Monday: Believe in Your Vision

Mindfulness Monday: Believe in Your Vision

by Jennifer Radkey

A viewing scope looking out toward a sunrise or sunset

Belief is a powerful thing, a commanding and inspiring force that draws us to people who believe in their purpose or their dream wholeheartedly.

Right now, you probably have a dream, a vision for your future or your business’ future. You could go after that dream on your own. However, at some point you are going to need someone else to believe in you and your vision.

That belief, that buy in from others, will help you build your team, secure funding, and gain personal support.

If you have a vision that you want others to believe in, whether a vision for the future of your business, yourself, your community, or your family, you need to believe in it first yourself.

Doubt can be sensed. Uncertainty clouds clarity.

Before asking others to believe in and support your vision, stop and ask yourself if you truly believe in it. If not, what is stopping you?

Start there. Tackle your own uncertainties before sharing the vision with those you need to believe in you.

Alignment

So what is blocking you from truly believing in your vision?

Most likely your thoughts, mindset, and actions aren’t aligned with your vision or goals. When this occurs, you wind up sabotaging yourself.

Sometimes, we do this wittingly. However, we most often sabotage ourselves unknowingly.

For example, if you believe you are undeserving, or if your self-worth is low, you can’t believe in your vision 100 percent. Do you have thoughts similar to “I don’t think I’ll be able to pull this off,” or “be realistic, no one will ever support this dream of mine”? If so, your thoughts and mindset are not in alignment with your goals.

It’s possible you have a checklist of actions you need to complete for you to realize your dream. If you haven’t checked anything off in months, if you’re procrastinating rather than taking purposeful action, your actions are not aligned with your vision.

You need to stop standing in your own way. We all need to be mindful and stop sabotaging ourselves.

First Steps

If you have low confidence or sense of self-worth, that’s where to start. Begin by looking at ways to boost your self-image. The more you believe you are worthy, the more you will believe in your vision.

What else can stand in your way of believing in your vision? Lack of knowledge and fear of the unknown.

We see this often through our work at KRG Hospitality. Clients come to us with a vision to open a new restaurant, bar, or hotel. And while the visions are solid, many people lack operational knowledge—and therefore lack confidence in themselves to believe that their concept will be successful.

One proven solution is to complete a detailed feasibility study for our client. Feasibility studies are amazing tools that not only prove your vision and concept, but also build confidence through the power of knowledge.

Knowing exactly why a specific business will work in a certain market (or should be located elsewhere) empowers a client to understand how their concept will perform in the real world. Knowledge is power.

When you remove an obstacle as daunting as the unknown, fear subsides. You are able to focus and develop an unwavering, justified belief, and others will take note.

The Power of Belief

Truly believing in your vision will not only help others believe in it too, but it will create a ripple effect of other positive attributes.

Belief boosts resilience, and increases determination and willpower. You will view setbacks as temporary, and challenges as opportunities to shift your mindset, and grow.

Motivation will increase, and you will become less risk averse. As you step out of your comfort zone to pursue your vision, you will, ultimately, end up inspiring others while inspiring yourself.

It’s true, not everyone will believe in your dreams. You don’t need everyone to believe in them. All you need is a handful of supporters to turn vision into reality.

But to inspire those few, you will first need to inspire yourself.

So, go ahead and choose the dreams worth going after. Dedicate yourself to those dreams—you’ve got this!

Cheers to professional and personal well-being!

Image: Matt Noble on Unsplash

KRG Hospitality. Business Coach. Restaurant Coach. Hotel Coach. Hospitality Coach. Mindset Coach.

A team meeting at a table, with people taking notes on notepads
by David Klemt David Klemt No Comments

Feedback: Friend or Foe?

Feedback: Friend or Foe?

by Jennifer Radkey

A team meeting at a table, with people taking notes on notepads

Feedback can be used as a powerful tool for personal and professional growth, so why is it that the majority of people purposefully avoid it?

The short answer is that we don’t like to be told that we aren’t doing a good job. Even if the feedback is all positive, there is that slight chance that there might be some negative feedback. Therefore, it’s avoided all together.

There needs to be a mind shift towards feedback. Instead of thinking of it as a criticism of you personally, think of it as constructive advice for how to become a better version of you. Once you accept that, you can use that feedback to build a better version of your business.

Feedback is subjective to the person who is giving it. It is dependent upon that person’s experiences, values, and beliefs, which is why it can not be taken at face value. Feedback needs to be heard without judgment, and then examined for validity.

Assessments and feedback are tools that, when used properly, can give you an edge over your competition.

These tools provide clarity, and allow you to see potential areas for growth that you may not have been able to notice otherwise. When the feedback is positive, it highlights strengths for you to celebrate. When it is negative, it shines light on areas that need to be examined and possibly improved upon.

Who wouldn’t want that opportunity? So, instead of hiding or running away from feedback, what should you be doing?

Seek it Out

Make it a goal to actively seek feedback from others. Shifting your mindset and perception of feedback—positive or negative—to accept that it will help improve your business is powerful. If you are the one seeking feedback, then there is no room to fear it.

Who should you be asking for feedback from? Everyone!

Let’s start with your team. Your business is only as strong as your team. Your success relies heavily upon their performance.

You are most likely already providing constructive feedback to your team and celebrating their successes. (If this is not the case, you need to make this change.)

Are you asking for their feedback though?

Knowing how your team feels about working in your establishment is critical for creating a positive culture, lowering turnover, and building a reputation that makes people clamor to work for you. Create anonymous surveys or bring in a third party to conduct stay interviews to obtain the most valid and truthful feedback from your team. Many may be too fearful to share their honest opinion face to face with an owner or a member of a leadership team.

Next up, you need feedback from your guests.

Most operators already have a system in place for hearing customer feedback, whether it be Google reviews, Facebook reviews, or another platform. The question is…what are you doing with those reviews? Are they being read and considered, and replied to with a thoughtful response?

All three of those actions need to happen to take full advantage of the feedback guests provide. A guest who feels heard and valued is a guest who will respect your business.

Lastly, what feedback do your colleagues have for you? What are your competitors saying about you? Do vendors have a positive experience interacting with you?

The more you know about how others view your business, the more power you have to make informed, effective changes.

Analyze It

Once you have received feedback it’s time to approach it from a curious and analytical mindset. Remove emotional response (or accept your emotional response and put it aside) so that you can benefit from whatever the feedback may be.

Yes, if the feedback is negative you may have an initial negative response. You may feel defensive, angry, anxious, or frustrated. Accept that these are natural responses and then move on.

You will not be able to clearly analyze the feedback if you are stuck in a negative mindset.

A successful operator uses strategic thinking as their main tool to gain clarity. Get curious and start asking questions.

Is the feedback relevant? Is there truth in it? What experience led to it? How was that opinion formed?

Some feedback will require action to be taken on your end, others will not. It’s up to you to analyze and decide.

Implement It

After requesting and analyzing feedback, it’s time to implement it!

Purposeful action defeats fear every time. Take what you have discovered through the feedback that you sought out, and put it into action.

Create S.M.A.R.T. goals and an action plan for you and your team. Or, if the action is larger in scale, host a team meeting, and work together to create the goals and plan. Creating goals as a team allows for everyone to take ownership of the process and the results.

Don’t forget that it’s not only negative feedback that may need to be addressed with action, but positive feedback as well.

How are you going to share positive feedback with your team, and how will you celebrate it? Success is not only built upon implementing change where needed but also in the act of practicing gratitude when needed. Make sure you are doing both.

So, it’s time to stop hiding from feedback; it is your friend.

Seek it, analyze it, and then implement it. Not all feedback requires action on your end, but sometimes you will receive valuable feedback that may create a change in your business that could propel you to another level of success. Be ready for it.

Cheers to personal and professional growth!

Image: Dylan Gillis on Unsplash

KRG Hospitality. Business Coach. Restaurant Coach. Hotel Coach. Hospitality Coach. Mindset Coach.

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