Operations | KRG Hospitality

A trio of protein shake bowls on a wooden plank, resting on a bar top

February 21, 2025by David Klemt David Klemt No Comments

Are Snacks Right for Your Menu?

Are Snacks Right for Your Menu?

by David Klemt

Wow, AI-generated food that actually looks like food!

The latest “-ification” to take root in food and beverage centers around people favoring consuming several meals throughout the day.

The “snackification” of F&B menus across the industry is joining “gamification” in moving from trend to standard.

So, what is snackification, and is it right for your concept, brand, and menus?

Let’s start by tackling the first part of that question.

What is Snackification?

Looking at this word from the consumer side, snackification is the replacement of full-size meals with multiple snacks.

There are several factors to which one can point to explain how this behavior went from trend to mainstay. One prevailing theory posits that people snacked more often throughout the day during the pandemic. That particular behavior simply hasn’t fallen to the wayside.

Another driver may be cost. A percentage of consumers perceive “traditional” daypart dining as more expensive than opting for smaller items whenever they feel hungry. Whether true, false, or somewhere in between, this perception exists, and it’s strengthening snacks as a viable menu category.

Of course, there’s also the treat factor. Some people simply like to treat themselves, and a snack several times a week helps them fulfill this desire.

On the operator side, snackification is the embracing of snacks as a revenue generator.

Several restaurants have created snack sections on their F&B menus. Indeed, more than a mere handful of quick-service and fast-casual concepts are leaning into snacks.

However, the creation of QSR brands that focus on snacks truly illustrates the strength of snackification.

Should You Snackify Your Menu?

Making changes to your concept and menu requires careful consideration.

Jumping on any trend should also be done with caution; the same goes for changing an element of operations to embrace a new standard.

There are several questions that need answers before deciding to snackify your menu.

What items will you offer as snacks? With the rise in usage of GLP-1 drugs, protein-rich snacks are growing in popularity. A focus on wellness is also motivating consumers to seek out snacks that are lower in sugar and calories. However, sweet treats are still sought after. Again, careful consideration is key.
How well do you know your guests? Using data, can you say with confidence that you can leverage snacks successfully? Do you know what types of snacks will resonate with guests? Are the snacks you’re considering in alignment with your brand and concept, or will the change confuse guests?
Will offering snacks increase your costs? You need to know know with certainty how snack items will affect labor and food costs.
Will the change to snacking impact other dayparts? It’s possible the shift can cannibalize dayparts, which will affect your costs, traffic, and revenue.
Can you transform items already on your menu into snacks? Doing so could keep your costs under control, and help you make the shift quickly. What on your menu is high in protein, craveable, and able to be produced in smaller portions easily?

It’s quite likely that snacks will resonate with your guests. However, you need to know, not guess. What does your data tell you about traffic, item sales, and guest preferences?

As I’ve said before, success in this business comes down to math, not magic.

Image: Microsoft Designer

February 13, 2025by David Klemt David Klemt No Comments

Go Orange this Valentine’s Day

Go Orange this Valentine’s Day (and Beyond)

by David Klemt

There’s a new, exciting aperitivo from the House of SAVOIA, and it’s flavor profile and color are perfect for celebrating Valentine’s Day.

In fact, SAVOIA Orancio is ideal for celebrating life on any day. Slowing down to appreciate and enjoy is the purpose, after all, of aperitivos and aperitivo culture.

I had the opportunity to chat with Giuseppe Gallo, founder of CASA-SAVOIA (and ITALICUS), about the new Orancio expression, and more on the Bar Hacks podcast.

The orange hue comes from this aperitivo’s base: natural orange wine. This wine is combined with Italian white wine, and spices that pay tribute to the famed Silk Road. These include cinnamon, ginger, and saffron.

Regular readers of KRG Hospitality articles, and listeners of our Bar Hacks podcast, are aware that I’m a strong proponent of bar programs executing an aperitivo hour in place of a traditional happy hour (if it meshes with the concept, of course).

Aperitivos aren’t simply a drink; they’re an integral element of socializing, and Italian drinking culture. Whereas a happy hour is often perceived by some guests as a window in which to visit a bar for discounted drinks and dishes, an aperitivo hour centers largely around bringing people together.

Whether friends or strangers, the key difference is that rather than focusing on downing many “cheaper” drinks before time runs out, the focus is on slowing down, letting go of the stress of the workday, gathering, and preparing for dinner.

To learn more about SAVOIA Orancio and aperitivo culture, listen to Bar Hacks episode 130 on Spotify, Apple Podcasts, or wherever you listen to podcasts. Cheers!

Orancio Spritz

We can trace the origins of the Spritz to 1800s Veneto, one of the 20 regions that comprises Italy. The Spritz evolved in the 1920s, adding bitters, soda, and ice. In the 1970s, as the story goes, the cocktail evolved again, calling for Prosecco rather than still wine.

2 parts SAVOIA Orancio
2 parts Prosecco
3 Green and red grapes to garnish

Add ice to a wine or balloon glass, then add equal parts SAVOIA Orancio and Prosecco. Garnish with the grapes, and serve.

Orancio & Soda a.k.a. L’Americano

Proof that some of the best, most-refreshing cocktails are the simplest. The Americano is described as the link between Italian aperitivo drinking culture and American cocktail culture.

Fun fact: We’ve all come to understand that James Bond has an affinity for Vodka Martinis (as well as other Martinis). However, the first drink 007 ever orders in the first-ever James Bond novel is an Americano.

2 parts SAVOIA Orancio
2 parts Soda water
3 Green and red grapes to garnish

Fill a highball glass with ice, and then add SAVOIA Orancio and soda water. Garnish with grapes, then serve.

Orancio Negroni

Yes, I’m aware that a traditional Negroni is an equal parts combination of Campari, London dry gin, and sweet vermouth. Trust me—and more importantly, trust Giuseppe Gallo—that this Negroni version is worthy of the name.

2 parts SAVOIA Orancio
1 part London dry gin
3 Green and red grapes to garnish
Garnish alternative: Orange wedge or peel

Add ice cubes (or one large cube or sphere) to an Old Fashioned glass. Then, add SAVOIA Orancio and gin, and stir. Alternatively, add the two liquid ingredients and ice to a mixing glass for a more traditional preparation. Stir, and strain into a prepped Old Fashioned glass. Garnish with grapes, or with an orange peel to more closely resemble a Negroni. Alternatively, set an orange wedge on top for more of a Sbagliato presentation.

Orancio Margarita

Looking to offer your guests something a bit different? The Orancio Margarita is an Italian twist on one of the most-iconic cocktails ever created.

1 part SAVOIA Orancio
1 part Tequila blanco
Half-part fresh-squeezed lime juice
1 barspoon Agave nectar
Lime wheel to garnish

Prepare a rocks glass by adding ice. (I also suggest experimenting with a salt rim.) Add ice and all liquid ingredients to a shaker, and shake well. Strain into the prepped rocks glass, and garnish with a lime wheel.

Image provided by SAVOIA

Note: Neither the author nor any representative of KRG Hospitality received compensation, monetary or otherwise, in exchange for this article.

February 7, 2025by David Klemt David Klemt No Comments

5 Books to Read this Month: February 2025

5 Books to Read this Month: February 2025

by David Klemt

Our February book selections focus on bartender techniques and cocktail balance, mushrooms, fusion, leadership, and mastering the fundamentals.

To review the book recommendations from January 2025, click here.

Let’s jump in!

Mushroom Gastronomy: The Art of Cooking with Mushrooms

On a recent episode of the Bar Hacks podcast, the topic of mushrooms in cocktails came up briefly. While mushrooms are somewhat divisive in the beverage space, they remain an important culinary staple. To that end, we want to put Mushroom Gastronomy on your radar.

Authored by culinary writer and mushroom specialist (seriously, don’t try foraging without expertise; consuming or serving the wrong mushrooms can severely, permanently harm or kill your, your team, and your guests) Krista Towns, this book shares just about everything you could hope to know about more than a dozen edible mushrooms, and features more than 100 recipes, along with fantastic photos.

From Amazon: “The book explores 25 of the most popular edible and delicious mushrooms. Stunning photographs introduce each variety, including their unique nutritional values, ideal cooking methods, culinary tips, and flavor pairings, making this book a go-to resource for anyone interested in cooking with mushrooms.”

Grab the hardcover today.

The Cocktail Balance 2.0

As the title of this book suggests, this is the followup to The Cocktail Balance, written by Stanislav Harcinik. The Cocktail Balance 2.0 dives even deeper into bartending and mixology, focusing on theory, practice (including infusion and carbonation), inspiration, and, of course, recipes. Nearly 300 pages are packed with knowledge, recipes, and beautiful photography. The first batch of books sold out quickly, but pre-orders are open for April of this year.

From the website: “Divided into three sections—theoretical, practical, and inspirational—the book provides in-depth knowledge on various aspects of bartending. The theoretical section includes detailed Excel sheets covering margins, cocktail costs, inventory management, and profitability, giving insights into the financial aspects of bartending. It also delves into advanced mixology techniques such as carbonation, clarification, and the use of enzymes, which have recently become more popular in bars.”

Pre-order yours here!

Give and Take: Why Helping Others Drives Our Success

We’ve recommended multiple books written by professor and researcher Adam Grant, including Think Again and Originals. Give and Take may be just over ten years old, but it’s lessons and message or no less relevant than they were in 2014.

From Amazon: “For generations, we have focused on the individual drivers of success: passion, hard work, talent, and luck. But in today’s dramatically reconfigured world, success is increasingly dependent on how we interact with others. In Give and Take, Adam Grant, an award-winning researcher and Wharton’s highest-rated professor, examines the surprising forces that shape why some people rise to the top of the success ladder while others sink to the bottom. Praised by social scientists, business theorists, and corporate leaders, Give and Take opens up an approach to work, interactions, and productivity that is nothing short of revolutionary.”

Order the paperback here.

Cutting Up in the Kitchen: Food and Fun from Southern National’s Chef Duane Nutter

I don’t usually include more than one pre-order in a monthly roundup. In fact, I try to avoid including them too often. However, this book came up on my radar, and I want to share it with you.

Cutting Up in the Kitchen is written by Chef Duane Nutter, known for fusing Southern food with other cuisines and flavors, whether regional or international. Further, Chef Nutter isn’t afraid to infuse his writing with humor. Those looking for culinary innovation and inspiration should pre-order this book today.

From Amazon: “This cookbook, full of sophisticated yet approachable recipes, is organized like a comedy act with chapter titles such as The Set Up (Cocktails), Stock Material (Sauces and Condiments), Open-Mikers (Appetizers, Salads, and Soups); Bit Parts (Side Dishes); The Hook (Fish and Seafood Main Courses); Headliners (Main Courses), and Curtain Calls (Desserts). You will find recipes for Spiced Rum Iced Coffee and Coconut Negroni to whet your whistle; Smoked Paprika Compound Butter and Mustard Green Chimichurri to flavor dishes; Arugula Salad with Golden Beets, Pickled Grapes, and Spiced Pecans along with Pimento Cheese Deviled Eggs to start the meal; Sautéed Royal Red Shrimp with Bourbon Maque Choux or Lamb Burger Helper for a main course, and Buttermilk and Honey Ice Cream, Citrus Bread Pudding, or Cheesecake Flan to close the show. A good time will be had by all!”

Pre-order here!

Bar Hacks: Developing The Fundamentals for an Epic Bar

If you haven’t read Bar Hacks yet, this is KRG president and principal consultant Doug Radkey’s first book. 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

Restaurant or bar owner sitting at the bar, working on a schedule or calendar

February 6, 2025by David Klemt David Klemt No Comments

Program for Unique Holidays: February 2025

Program for Unique Holidays: February 2025

by David Klemt

AI-generated image.

Do you want to stand out from from other restaurants and bars in your area? Change how you think about your February 2025 holiday programming.

Several holidays are set against every date on the calendar, and this month is no exception. These holidays range from mainstream to esoteric.

Pay attention to the “weird” or unique holidays to raise eyebrows, carve out a niche for your restaurant or bar, and attract more guests. Why do what everyone else is already doing? Why program only around the same holidays as everyone else?

To provide a handful of examples, February boasts National Pizza Day, National Cheddar Day, and National Retro Day. Those are all things you can get creative and program around, and celebrate with your guests.

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

You’ll find suggestions for promotions below. However, the idea behind our monthly holiday promotions roundup is to inspire you and your team to get creative and come up with unique programming ideas.

For our January 2025 holidays list, click here.

February 7: Rose Day

Rose presents interesting flavor and scent profiles. It can also be difficult to perfect; too little and it likely won’t register, too much and it will overpower. Notably, it doesn’t take much for rose to go in either direction. However, if your kitchen and bar teams are up to the task, rose dishes and drinks can be quite intriguing for your guests.

Of course, you can also go a different direction and celebrate Rose Day as Rosé Day with all manner of wine, spirits, and beers.

February 8: National Kite Flying Day

As one would expect, there are several drinks with “kite” in the name. Cocktails (including zero-proof versions), beers, and wines. Further, there’s the similar paper airplane, so you can feature the Paper Plane, as well.

February 9: National Pizza Day

Is programming around pizza unusual, unexpected, or unique? On its face, no, of course not.

However, restaurant and bar operators can make National Pizza Day an unusual food holiday by featuring unique ingredients, and interesting pizza styles.

February 10: National Cream Cheese Brownie Day

Much like pizza, most brownies aren’t considered unique. That said, your culinary team’s interpretation can become a signature dessert (or appetizer

February 13: National Cheddar Day

Is everything better (or “beddar”) with cheddar? No, not everything. But there sure are a lot of menu items that are great with this hard cheese.

I’m confident that you and your kitchen team can find plenty of ways to feature cheddar on an LTO menu.

February 14: Start of Alzheimer’s and Dementia Care Education Week

This week is dedicated to Alzheimer’s and dementia awareness and education, along with raising funds for charitable organizations looking for a cure. If you think you can organize a charity drive, be it for one day or the entire week, go for it.

One way to execute is to donate proceeds from an LTO item or menu. If you have signature drink or dish, that item can lead the charge for raising charitable donations. This important week has a hashtag, so be sure to include it to spread the word: #AlzheimersDementiaCareEducationWeek.

February 20: National Comfy Day

Sure, operators can go for comfy dress to celebrate this holiday. It can be “cute” to have staff show up in comfy gear, or encourage guests to do so.

Or, operators can go a different direction: focusing on the comfort foods on their menus. Whether they’re traditional or creative takes on comfort classics, a comfort food LTO menu is perfect for February 20.

February 24: National Tortilla Chip Day

Who doesn’t love a tortilla chip, particularly when it’s carrying an array of delicious toppings? You know what to do: highlight your nachos (if you have them on your menu), and get creative with the presentation (we like to go sky high), proteins, and other ingredients.

February 27: National Retro Day

It seems like the phrase, “Everything old is new again,” is always relevant. National Retro Day is one of the best times to dive into vintage F&B recipe books and select classics that work with your theme and resonate with guests. Grasshoppers, anyone?

February 28: National Floral Design Day

Edible flowers are visually appealing, and can also enhance the dining and drinking experience. You know what to do!

Image: Microsoft Designer

A restaurant or cafe owner flipping over the "open" sign on the door

January 24, 2025by David Klemt David Klemt No Comments

Bars and Restaurants: How Much to Open?

How Much Does It Cost to Open a Bar or Restaurant?

by Doug Radkey

One of the most common questions we get asked at KRG Hospitality is, “How much does it cost to start a bar, restaurant, coffee shop, or nightclub?”

It’s a loaded but valid question, one that every aspiring hospitality operator should ask before diving into this industry.

But here’s the thing: there’s no single answer. Your start-up costs will depend on a variety of factors, such as location, size, market, and whether you’re taking over a second-generation space (a previous hospitality space) or building from scratch.

However, we can provide general cost-per-square-foot estimates based on 15 years of experience with over 280 concepts developed around the world. This takes into account 45 datapoints, which we have listed further down in this article.

Square Footage Costs in 2025

What’s the general cost per square foot for each category in 2025? Let’s have a look.

To open a coffee shop, the cost is approximately $428 per square foot. That means if you’re planning a 1,200-square-foot coffee shop that provides beverages and some baked goods, your estimated total start-up cost would be, on average, $513,600 USD.

Starting a quick-serve restaurant (QSR) comes with an approximate cost of $535 per square foot. If you’re planning an 1,800-square-foot restaurant with counter service and a small dining area, your estimated total start-up cost would be, on average, $963,000 USD.

For a bar with a kitchen, assume an approximate cost of $545 per square foot. So, if you’re planning a 2,400-square-foot bar with a kitchen for a solid food program to go along with your beverages, figure on a total start-up cost of around $1.3 million USD.

To open a full-service restaurant (FSR), the cost is similar to a bar with a kitchen, coming in at approximately $555 per square foot. This will increase based on the level of finishes. That means if you’re planning a 4,000-square-foot restaurant, your estimated total start-up cost would be approximately $2.22 million USD.

The cost is approximately $480 per square foot to open a nightclub. Interestingly, this square-footage cost is less than most bars and restaurants. This is due to the larger open floor zones. If you’re planning a 12,000-square-foot nightclub, your estimated total start-up cost would be approximately $5.76 million USD, which will be allocated msotly to the bar, plus sound, video, lighting, and furnishing.

Realistic Expectations

Do the above costs sounds like a lot capital for each type of concept? It should, because it is.

Based on our in-house data, costs have increased between 40 and 60 percent since 2020. That’s a main driver for today’s operators seeking out smaller locations (and second-generation properties to leverage pre-existing infrastructure).

The key to not over (or under) spending, however, is strategic clarity.

Why Strategic Clarity Matters

Before you even think about signing a lease, you need to have a clear and calculated approach.

That means having the eight non-negotiable playbooks completed to ensure every decision aligns with your brand, budget, and long-term strategy.

You must complete a feasibility study, conceptual playbook, prototype playbook, brand strategy playbook, tech-stack playbook, marketing playbook, financial playbook, and business plan before you ever sign a lease or purchase a property.

One of the most critical playbooks? Your financial playbook. This isn’t just about revenue projections—it must include a comprehensive start-up cost analysis to prevent budgetary blind spots and financial surprises.

Below, a breakdown of what your start-up costs should include.

Pre-Opening Costs

(Ensuring legal, operational, and strategic groundwork is in place before opening day.)

Pre-Open Lease and Landlord Deposit Payments: Covers the rent requirements before opening, typically three to six months in advance, pending build-out requirements.
Pre-Open Utility Deposits: Initial security deposits for water, electricity, and gas.
First Month’s Lease: Your first month’s rent due the month you open officially.
Architect/Engineer/Design Fees: Costs associated with drafting MEP plans, structural assessments, and an interior designer.
Business Insurance Premiums: Coverage for build-out, liability, alcohol, property damage, and operational risks.
Start-Up Legal & Accounting: Initial legal setup, contract reviews, tax structuring, and financial consulting.
Strategic Planning: Consulting or internal resources used for feasibility studies and other strategy playbooks (the non-negotiables).
Consultants & Agencies: Fees for post-planning coaching and consulting, project management, menu development, and more.
Licenses & Permits: Alcohol licenses, building permits, and other business registrations.

Equipment, Fixtures & Technology

(Ensuring operational efficiency, and a seamless guest experience.)

Kitchen, Bar, Sound, Video & Game Systems: Budget for all of your bar, kitchen, service, audio-visual setups, and entertainment elements.
Interior & Exterior Signage: Branding, promotional, and wayfinding signage.
Furniture Fixtures: Chairs, tables, table bases, booths, and lounge seating.
FOH Smallwares: Cutlery, plating, glassware, trays, and other serving tools.
Branded Takeout Packaging: Custom-printed cups, bags, and other containers.
POS Technology & Install: Point-of-sale systems, tablets, and registers.
Additional Tech-Stack: All of your technology integrations (hardware and/or subscriptions) for reservation systems, inventory management, mobile ordering, and more.

Pre-Opening Inventory & Staffing

(Preparing your team, and supplies for a smooth opening.)

Training F&B Inventory: Food and beverage items used for staff training before opening.
Opening F&B Inventory: Initial stock of ingredients, prepared foods, wine, spirits, and other beverages.
Initial Staffing & Training: Hiring costs, onboarding, and initial training programs, plus labor costs for the first four weeks of operations.
Staff Uniforms: Branded attire for both front- and back-of-house teams.

Marketing & Launch Costs

(Attracting guests, and building brand awareness before and after launch.)

Marketing Agency Fees: Branding, digital marketing, and advertising strategy and agency.
Website/App Design: Custom website, online ordering, and mobile or loyalty apps.
Online/Social Media Ads: Paid campaigns on Google, Facebook, Instagram, and TikTok.
Soft Opening Strategies: Invite-only events to test operations and train staff.
Launch Month Strategies: Pre- and grand opening promotions and public relation efforts.
Other Marketing & Promo: Traditional advertising, influencer partnerships, and email marketing, plus other go-to-market strategies.

Build-Out & Infrastructure Costs

(Transforming the space into an operational hospitality venue.)

Contractor & Admin Fees: Fees for project managers, general contractors, and any other administrative or permitting processes.
Wall, Floor & Ceiling Structure: Installing new framing, drywall, flooring, and ceiling treatments.
Doors & Trim: Interior and exterior doors, trims, and moldings.
Glass & Glazing: Windows, glass partitions, and display cases.
Wall/Drywall Finishing: Final painting, wallpapering, and/or paneling.
Floor & Ceiling Finishing: Tiles, wood, epoxy flooring, ceiling tiles, and decorative finishes.
Counters & Millwork: Custom bars, countertops, display units, and cabinetry.
General Electrical: Wiring, panels, power outlets, and compliance updates.
General Plumbing: Pipe installations, water supply, and drainage systems.
Lighting Fixtures: Decorative, ambient, and functional lighting fixtures.
Plumbing Fixtures: Staff and guest restroom utilities.
Fire Protection Systems: Sprinklers, fire alarms, extinguishers, and emergency exit compliance.
HVAC Systems: Heating, ventilation, and air conditioning units.
Kitchen Hood Systems: Commercial exhaust and ventilation systems for kitchens.
Other Design & Install Costs: Additional decorative, acoustic, or functional installations.

Emergency & Miscellaneous Costs

(Budgeting for unexpected expenses and securing cash flow.)

Miscellaneous & Contingency Budget: Extra funds for unforeseen costs and emergencies during pre-open stage.
Pre-Open Interest Payments: Loan interest accrued before opening.
Opening Day Cash Flow: Initial capital to handle early operational expenses, and buffer against slow openings (plan for approximately three to six months).

Why You Need a Detailed Cost Guide

If you’re serious about starting a bar, restaurant, coffee shop, or nightclub, having accurate financial projections is non-negotiable.

But the truth is, most operators underestimate their start-up costs. This leads to broken trust with investors, unexpected expenses, and businesses failing before they even get off the ground.

That’s why every year, KRG Hospitality provides detailed cost guides tailored to different hospitality business models, including:

✔ Coffee shops
✔ QSRs
✔ Bars
✔ Full-service restaurants
✔ Nightclubs

Our guides break down real-world cost structures so you can build your financial plan with confidence. No guessing, no underestimating, no surprises.

If you want full visibility into your start-up budget, grab our latest start-up cost guide today, and make decisions with absolute clarity.

This cost guide provides all of the details (budget percentages) for each of the 45 data points for each style of concept, plus additional planning tools.

📩 Get the Full Cost Guide Now

Access our 2025 Bar & Restaurant Start-Up Cost Guide for just $14.99 USD

Image: Canva

Looking to Start, Stabilize, or Scale? Book Below to Setup a 60-Minute Result-Driven Impact Session.

January 17, 2025by David Klemt David Klemt No Comments

Critical Thinking: Unlocking Success

Critical Thinking: Unlocking Success in Hospitality

by Doug Radkey

In hospitality, where creativity meets both precision and guest expectations, the ability to think critically is not just an asset, it’s truly a non-negotiable.

Whether you’re starting a new bar, stabilizing a restaurant, or scaling a hotel operation, critical thinking forms the framework of every successful decision.

When working with clients, I always look to emphasize this mindset in everything we do together. Why? Because we’ve seen its transformative impact firsthand.

Critical Thinking: A Mindset, Not Just a Skill

Critical thinking isn’t a one-time effort; it’s a continuous state of mind.

It requires being open-minded, curious, and analytical while maintaining the discipline to question assumptions, consider diverse perspectives, get creative, and rely on evidence for decision-making.

It’s about asking some potentially tough questions:

Why is this the right choice?
What are the potential consequences?
How can we improve this process?

But more importantly, it’s about cultivating thinking skills such as interpretation, analysis, evaluation, explanation, and self-regulation to create strategic clarity.

Let’s explore how these skills directly impact the hospitality industry’s three critical phases: starting, stabilizing, and scaling.

Starting: Laying the Right Foundation

Starting a bar, restaurant, or hotel is an exciting venture. It’s also fueled by decisions that can make or break the business.

This is where critical thinking over the use of tools such as AI or templates becomes indispensable.

Interpretation Skills: Understanding the Market

Every business should begin with a feasibility study. This critical document is about analyzing market trends, target demographics, detailed sociographics, competitive landscapes, conceptual trends, and financial understanding.

For example, understanding your TAM, SAM, and SOM can clarify the concept’s alignment with market potential. Without proper interpretation of these data points, a great idea can fail to connect with its intended audience or market.

Analytical Skills: Evaluating Business Models

Many aspiring operators rely too heavily on emotion when choosing a concept or location. I talked about this recently on an episode of the Hospitality Reinvented podcast.

Critical thinking helps us step back, assess the market objectively, and analyze whether the chosen model can succeed.

It’s never about what “feels” right, or “I’ve lived here my whole life, I know what people want.” In reality, it’s about what I tell everyone who says either of those things: “It’s about what works based on data and evidence.”

Asking the Right Questions

Does this location align with my budget and target audience?
What assumptions am I making about guest behavior?
What if this concept needs to pivot?

Stabilizing: Building Consistency and Efficiency

Once a hospitality business is operational, stabilizing it requires balancing guest satisfaction with operational excellence.

Critical thinking becomes the tool to identify inefficiencies, and adapt to challenges.

Evaluation Skills: Assessing Operations

Stabilizing a restaurant or hotel often involves analyzing the flow of operations.

Are staff members supported by efficient systems? Is inventory managed effectively?

Evaluating these aspects (and others) ensures that the business runs smoothly, even during peak times.

Self-Regulation Skills: Overcoming Bias

Operators in this industry often struggle to let go of ideas that don’t work. Have you ever sat inside a bar or restaurant that used to be busy all of the time, but now you’re one of only a few guests?

They didn’t let go of the past.

Self-regulation allows leaders to examine their biases, question their own decisions, and pivot when necessary.

For example, if a signature dish that uses a family recipe isn’t selling, it’s time to evaluate why, and consider alternatives rather than holding onto it for sentimental reasons.

Key Questions

What operational processes are causing delays or errors?
Am I listening to both staff and guest feedback objectively?
How can we improve efficiency without compromising quality?

Scaling: Preparing for Sustainable Growth

Scaling a hospitality business requires both vision and precision. It’s about replicating success without diluting the brand, and critical thinking provides the roadmap.

Inference Skills: Predicting Outcomes

Scaling involves making assumptions about new markets, guest preferences, and operational challenges.

By questioning the evidence and forming well-founded hypotheses, operators can make informed decisions about where and how to grow.

Explanation Skills: Communicating Vision

Whether it’s presenting a pitch to investors or aligning staff with a new strategy, scaling requires clear communication.

Critical thinking ensures that every argument is backed by data and articulated with precision, thereby building trust and alignment among all stakeholders.

Key Questions

What do industry and market trends tell us about future opportunities?
How do we maintain brand consistency across multiple locations?
What risks should we prepare for between now and full expansion?

Critical Thinking at KRG Hospitality

At KRG Hospitality, we integrate critical thinking into every aspect of our work.

Here’s how:

Open-Minded Collaboration: We listen actively to our clients, and challenge conventional thinking to uncover innovative solutions or blue ocean opportunities.
Data Driven Decisions: By interpreting each client’s unique needs, we craft strategies that align with their vision while ensuring practicality and scalability. From feasibility studies to business plans, we rely on evidence to guide strategy, not assumptions.

We also encourage our clients to adopt a critical-thinking mindset as they navigate all of the phases of business development.

Below, a few habits we help clients develop.

Vet Information

Question the credibility of data sources.
Ask what evidence supports a specific claim, and whose perspective is missing.

Ask Questions

Channel curiosity by exploring deeper inquiries, such as why, how, and what happens if we encounter various situations.
Use follow-up questions to uncover insights and challenge assumptions.

Listen Actively

Understand before responding. Critical thinking requires deep listening to build well-rounded solutions. (Want to learn more about the act of listening? Check out this podcast episode on listening by Jennifer Radkey on her Turn This Way podcast.)

Engage with diverse perspectives to avoid groupthink that might set you back.

Seek Diversity

Surround yourself with diverse voices and viewpoints to gain fresh insights, and avoid echo chambers.

Action Items to Strengthen Your Critical Thinking

How can you practice critical thinking this week?

Consider taking on the two challenges below.

Map the Guest Journey: Outline each touchpoint on your guest’s experience, from discovering your brand, booking or ordering, their arrival to your venue, their exit, and your follow-up with them. Identify potential gaps, and brainstorm ways to elevate guest satisfaction for each touchpoint.
Challenge Your Own Assumptions: Pick one operational or strategic belief you hold about your business. If you’re just developing your concept, maybe you believe your idea is perfect for the market. If you’re operational already, perhaps you assume that your team loves working for you, or that you the systems in place to expand. Analyze the validity of your assumptions, seek alternative perspectives, and test whether they truly hold up under scrutiny.

The Hospitality Mindset: Why It Matters

Critical thinking isn’t just a business tool, it’s a way of life that empowers you to:

make informed decisions that align with your goals;
navigate challenges with confidence and clarity;
lead teams effectively by fostering open communication and collaboration; and
position your bar, restaurant, or hotel for long-term success.

In an industry where every detail matters, adopting a critical-thinking mindset ensures you can respond to challenges proactively, adapt to change, and create experiences that guests remember for a lifetime, thereby creating a true legacy.

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A single, halved black lime on a silver platter, resting on top of a bar in a shaft of light

January 16, 2025by David Klemt David Klemt No Comments

Black Limes, Chili Crunch, and More

Black Limes, Chili Crunch, and More

by David Klemt

I like to think the two standard limes in the background are envious of the fancy, blanched lime on the silver platter.

Kimpton Hotels & Restaurants, with their boutique concepts and global presence, are well positioned to study developing F&B trends.

Just about two months ago, Kimpton made their 2025 Culinary + Cocktail Trend Forecast available for free download. They’ve been releasing this forecast annually since 2015.

While I encourage you to download the report for yourself, I want to share the trends that stand out the most to me. For your own copy of the 2025 Culinary + Cocktail Trend Forecast, click here.

To learn which 2025 beverage trend predictions from Datassential have my attention, follow this link.

Here’s to a successful 2025. Cheers!

Black Limes

The What

A black lime is a standard lime that has been blanched in salt water. The peel and flesh hardens, and turns dark brown or black.

The Why

Blanching and cooling limes intensifies the aroma and flavors, boosting sourness, saltiness, and citrus notes.

The How

First, prepare a bowl of ice water. Next, add whole limes to a pot, and add water and a teaspoon of salt (experiment with amounts). Bring water to a boil for one to two minutes, then remove them with a slotted spoon and put them in the ice bath immediately. Let them cool completely, and store in a sealed container.

To use them, add whole black limes to soup stock. Or, use their powder for rubs, as seasoning, or as garnishes. Be cautious at first, as a little can go a long way.

As you may imagine, this food-focused trend can also work well for a bar’s beverage program.

Salted Egg Yolks

The What

A cured egg yolk that has been delivering umami flavor to Chinese cuisine for centuries.

The Why

Culinary teams can add salted egg yolks to all manner of dishes to imbue them with umami and salt flavors. Obviously, these work perfectly in Chinese dishes. However, with their buttery and often crumbly texture, they’re also great for enhancing pastas, salads, and other foods.

The How

It’s important to keep in mind that there’s a risk of bacteria associated with curing foods, like salmonella. So, proceed with caution, and adhere to strict food safety and handling rules.

Use the best-quality eggs you can, and use fine salt rather than coarse to avoid piercing yolks.

There are also two ways to prepare salted egg yolks. One method uses a jar and whole eggs, and one uses an air-tight container with a bed of salt and just the egg yolks. Ask your culinary team which method they prefer, and bear in mind that the process takes days. Also, it’s a good idea to bake the egg yolks in an oven at 160 degrees Fahrenheit (71 degrees Celsius) to ensure food safety.

Vegan Clarified Milk

The What

For a while there, it seemed as though it was a requirement for all cocktail bars to have Clarified Milk Punch on the menu. This led, of course, to more cocktails receiving the clarity treatment.

This trend is exactly what it sounds like on paper: A drink made with clarified vegan milk.

The Why

Some guests don’t consume dairy, so clarifying vegan milk will allow them to partake in this drink trend.

The How

Using coconut milk as an example, add lime juice and other liquid ingredients to an air-tight container. Stir the mixture, then leave in a refrigerator over night. Check the container, looking for separation; when you see it, strain the mixture through a coffee filter or cheesecloth into a bottle. Do this until you’re happy with the result. Serve as you would with any batched cocktail.

There are other methods for separating the solids from a milk, such as heating the milk to a specific temperature to speed up the process, then adding it and lime juice to the other liquid ingredients.

Spiced Fruit Leather Garnishes

The What

Again, this is exactly what it seems to be: fruit leather mixed with a spicy ingredient, like chili or habanero powder.

The Why

Garnishing drinks with spiced fruit leather adds a new dimension to the drinking experience, and allows your bar team to enhance the flavor experience. Plus, spiced fruit leathers are fun to nibble on in between sips.

The How

To have your culinary or bar team craft spiced fruit leather in-house, puree a fruit or fruits with high water content in a device such as a Vitamix. If you don’t have a dehydrator and specific fruit leather trays or dehydrator trays, you can line a baking sheet with parchment paper or silicone mats.

The person preparing the fruit leather can use a fine mesh strainer before they spread the puree onto a tray. Sprinkle the puree with the appropriate spice mixture, then pop the tray or baking sheet into an oven set to 140-150 degrees Fahrenheit (60-66 degrees Celsius) for four to twelve hours. Peel off the fruit leathers, cut into strips, and use as garnish.

Chili Crunch the World

The What

Kimpton expressly mentions chili crunch in their 2025 forecast, not chili crisp. In simple terms, crunch has a crunchier texture than crisp, as its made with larger pieces of ingredients.

In terms of both products, at their core they’re mixtures of peppers, onion, garlic, seasonings, and oil.

However, Kimpton foresees culinary teams crafting their own chili crunches (and likely chili crisps) that are specific to particular cuisines. Imagine, for example, a barbecue-centric chili crunch, or one featuring Italian seasonings.

The Why

Texture, heat (unless specifically made to not be hot), seasoning, an explosion of flavors… Chili crunch is an enhancer of both flavor and the guest experience.

The How

To make this condiment, start with dried chilies, and remove their seeds. Pulse or otherwise chop them. Remember, you want pieces that will create a crunch, so don’t pulverize the chilies. Set the chilies aside in a heat-safe container. Now, add your spices and seasonings to the chilies. Some people like to add peanuts to create more crunch.

In a pan, fry onions or shallots, straining them when they start to get pale, and reserving the oil. Put the oil back in the pan, and fry the garlic, being careful to avoid cooking for too long so they don’t become bitter. Strain the oil, separating it from the fried garlic. Heat the now-infused pour over the chilies, spices, and seasonings, and let the mixture cool. Once cool, add the onions or shallots and garlic to the mixture.

Your culinary team will likely have their own approach to producing chili crunch.

There are many more predictions in Kimpton’s 2025 Culinary + Cocktail Trend Forecast, so make sure to download your copy and check them out today.

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January 2, 2025by David Klemt David Klemt No Comments

5 Books to Read this Month: January 2025

5 Books to Read this Month: January 2025

by David Klemt

Our January book selections focus on changing the way we approach hospitality, mastering the fundamentals, America cuisine, bourbon, and more.

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

Let’s jump in!

Hacking the New Normal

Doug Radkey‘s followup book to Bar Hacks! The world around us has changed. The food and beverage industry has changed. The hospitality industry has changed. But will some ways of life change for the better? Will perhaps the restaurant, bar, and hospitality industry come out even stronger? With the right changes to the previous status quo, it is possible. There’s no question, resets are major undertakings, but a major reset will provide us with a clean start and that’s what this industry needs.

From Amazon: “Whether or not you’re a hotelier, restaurateur, bar owner or a front-line staff member—this book will position you for success in the new normal. With a spotlight on hybrid business models, real estate, profit margins, technology, guest experiences, culture, diversity, and mindset, Hacking the New Normal is the guidance you need.

Grab your copy here.

Bar Hacks: Developing The Fundamentals for an Epic Bar

It’s the last book roundup of the year and yes, I’m taking the opportunity to recommend KRG president and principal consultant Doug Radkey’s first book. 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.

Click here to get your copy today!

Let There Be Havens: An Invitation to Gentle Hospitality

We find inspiration everywhere at KRG Hospitality. As important to us is sharing that inspiration to help our clients, partners, and readers hone their vision for hospitality concepts. This book, Let There Be Havens, is a look at “gentle hospitality,” an approach to providing impactful hospitality to those who visit your home. Operators and front- and back-of-house teams welcome guests to their “other” home every shift, and this book can improve every professional’s approach to service and hospitality.

From Amazon: “When one person reaches for another, makes an offering, and believes we all hold such worth. No matter what we have in our pockets or where we’ve been up until now, we take care of each other―whether we’re strangers on a sidewalk or families around a table. Each day, we create trails of beauty and connection. One open door opens the next. And then it happens: our streets fill with lamplight, our lives lift with spirit, and our homes become circles of gold.”

Click here to order the hardcover.

Bourbon Land: A Spirited Love Letter to My Old Kentucky Whiskey

Chef Edward Lee’s favorite spirit is bourbon. While this book, Best New Cookbook of Spring 2024 by Eater, Epicurious, and Food & Wine, dives into bourbon’s history, how to taste it, and famous distilleries, there’s another key element that should motivate you to buy it. Namely, how to cook with bourbon, and 50 accompanying recipes.

From Amazon: “Knowledgeable, entertaining, and more than a little infatuated with his subject, award-winning food writer and chef Edward Lee gives us his insight into bourbon, telling us everything we should know about the mellow honey-brown treasure that’s put Kentucky on the global map: How bourbon is made. Its history. How to read a label. A look inside the famous distilleries. The influence of oak. Tours of Kentucky’s bourbon regions. How to taste bourbon like a professional.”

Get it here.

Buttermilk Graffiti

Oh, Chef Lee is also an award-winning writer. In 2019, his book Buttermilk Graffiti won the James Beard Award for Best Book of the Year in Writing. It was also nominated for other awards. Chef Lee traveled the US, learned the personal and food stories of the people he encountered, and shared more than a dozen of those stories in this book, which also includes 40 recipes.

From Amazon: “American food is the story of mash-ups. Immigrants arrive, cultures collide, and out of the push-pull come exciting new dishes and flavors. But for Edward Lee, who, like Anthony Bourdain or Gabrielle Hamilton, is as much a writer as he is a chef, that first surprising bite is just the beginning. What about the people behind the food? What about the traditions, the innovations, the memories?”

Follow this link to buy your copy.

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January 1, 2025by David Klemt David Klemt No Comments

Program for Unique Holidays: January 2025

Program for Unique Holidays: January 2025

by David Klemt

AI-generated image.

Do you want to stand out from from other restaurants and bars in your area? Change how you think about your January 2025 holiday programming.

Several holidays are set against every date on the calendar, and this month is no exception. These holidays range from mainstream to esoteric.

To provide a handful of examples, January boasts celebrations of birds, tempura, a French comfort dish, and gift cards. Those are all things you can get creative and program around, and celebrate with your guests.

It’s also Dry January, which is embraced by a vast array of people: non-drinkers, the “sober curious,” the newish “zebra stripe” consumers, the health conscious… Whatever their motivation, these guests still need an amazing experience at your bar or restaurant. And you may recall that Whistlepig launched Dank January last year, releasing the limited-edition Dank & Dry Old Fashioned Cocktail. This was a non-alcoholic bottled cocktail made with rye “non-whiskey,” and enhanced with non-psychoactive terpenes. If you visit their site, they may have something planned for 2025.

For our December 2024 holidays list, click here.

January 5: National Bird Day

The Jungle Bird. Grey Goose. Famous Grouse. Redbreast. Eagle Rare. Wild Turkey. Kentucky Owl. Chicken wings. Duck fat. Use this holiday, which falls on a Sunday this year, to feature your bird-themed drinks and foods.

January 7: National Tempura Day

When it comes to comfort foods, battering and frying are winning partnership. If you can batter and fry it, put it on your menu, and promote it.

January 9: National Cassoulet Day

Did you know that less than one percent of restaurants have cassoulet, a warm and comforting French dish, on their menus in the US? Seems like an opportunity for a savvy operator and kitchen team to fill a gap.

January 11: National Milk Day

This is the day to promote your bar team and their skill crafting milk cocktails. The Coquito, Bourbon Milk Punch, the Grasshopper, the Mudslide… National Milk Day is easy and fun to celebrate.

January 12: National Mocktail Week Begins

If it hasn’t yet achieved ubiquity, Dry January has certainly reached proliferation. This week, National Mocktail Week (which runs through January 18), is the time to show that you’ve crafted a carefully considered zero-proof drink menu. Remember, some sober guests find the term “mocktail” disrespectful, so consider using a different term.

January 17: National Bootlegger’s Day

This is the holiday to celebrate brands or cocktails that have survived prohibition, were created during prohibition, or produce or feature moonshine.

January 20: National Use Your Gift Card Day

Are gift cards an element of your marketing and branding strategy? Do you see them as a viable revenue channel? If so, this is the day to encourage people to come in and redeem them. Send a targeted email campaign, and include a link to your restaurant’s reservation system.

January 21: Squirrel Appreciation Day

Did you know that it’s believed squirrels plant three billion oak trees every year? Well, you do now.

I’m sure you’ve gotten ahead of me already regarding what I’m going to recommend you do to celebrate this holiday: put the classic Pink Squirrel on your menu. And why not? This iconic cocktail has been around since the 1940s, and may inspire an upcoming Drink Donnybrook.

January 24: National Beer Can Appreciation Day

Creative beer can design goes hand in hand with craft beer brewing. In fact, the approval of can designs in the US is quite an important process.

A lot of thought goes into beer can design and particularly eye-catching labels deserve more than a passing glance. Feature the most creative and attention-grabbing beers on your menu on National Beer Can Appreciation Day. You should definitely feature them on your social media channels.

January 30: National Croissant Day

The humble but delicious, flaky croissant is a tasty canvas. Sure, you can just offer croissants, but what about going harder and offering an array of croissant sandwiches or desserts? Bacon, egg, and cheese. Plant-based sausage, plant-based egg, and plant-based cheese. Nutella…croissants are light, flaky, butter, and fun.

Image: Microsoft Designer

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December 20, 2024by David Klemt David Klemt No Comments

You Will Fail Without Strategic Clarity

Why Your Business Will Fail Without Strategic Clarity

by Doug Radkey

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:

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.
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.
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:

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.
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.
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:

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.

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.

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:

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.

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.

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:

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.

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.

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:

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.

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.

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:

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.

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.

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:

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.

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.

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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