Restaurant news

by David Klemt David Klemt No Comments

2024 500-point Start-up Checklist

2024 KRG Hospitality 500-point Bar & Restaurant Start-up Checklist

by David Klemt

KRG Hospitality 2024 Bar & Restaurant 500-point Start-up Checklist

Opening a bar or restaurant is a daunting undertaking, with projects requiring the completion of 500 unique tasks within four phases before welcoming guests.

It takes strategic clarity along with a strong supportive team around you to ensure your dream doesn’t turn into a nightmare. To help you get ahead and start 2024 with the strongest opportunity for success, we’re giving you access to a number of free resources.

First, our 2024 Bar & Restaurant Start-up Costs Guide. If you haven’t already, download this informative guide today. And now, our 2024 500-point Bar & Restaurant Start-up Checklist.

KRG Hospitality’s feasibility studies, concept and brand development, and programming are unique and customized to every client. However, the journey from idea to grand opening is a well-worn path dotted by hundreds of waypoints.

There’s a reason we call our project plans Roadmaps to Success: we’re here to help guide our clients to and through each point on the map.

Below you’ll find 32—only six percent—of the 500 unique tasks we at KRG believe you must complete before your grand opening. Just these tasks alone should provide an idea of the enormity that is taking your concept from idea to brick and mortar.

To download your free copy of our 2024 500-point Bar & Restaurant Start-up Checklist, click here. As you’ll see once you open this checklist, it’s interactive. You can easily check off items as you complete them, and the document will save your progress.

Opening a bar or restaurant is challenging. We’re here to help make it easier.

Planning Phase

Self-assessment

  • Mindset assessment
  • Support network assessment

Feasibility Study

  • Market viability study
  • Technical viability study

Brand Strategy

  • Vision statemet
  • Frame of reference

Tech-stack Plan

  • Service technology plan
  • Payment processing technology

Project Set-up Phase

Job Scopes for Project

  • Landlord presentation
  • Equipment vendor presentation

Project Support Team Plan

  • Industry consultant
  • Legal Advisor

Menu Testing

  • Final flavor profile creation
  • Theoretical costing, food

Interior Design

  • Final choice in furniture
  • Final choice for millwork design

Operational Set-up Phase

Operational Vendors

  • Bar and kitchen smallware vendor
  • Refrigeration tech vendor
  • Hood cleaning vendor
  • Grease trap cleaning vendor

SOP Procedures/System

  • Finalize hourly operations plan
  • Application forms
  • Food safety quiz
  • Leadership team manual

Launch Phase

Marketing Execution

  • Creation of media package
  • Search engine optimization

Tech-stack execution

  • Point-of-sale systems
  • Menu management systems

Team Onboarding

  • Leadership team onboard
  • Team-building exercises

Soft Opening

  • Menu timing
  • Menu feedback

To download your free copy of our 2024 500-point Bar & Restaurant Start-up Checklist, click here now!

Image: KRG Hospitality

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

by David Klemt David Klemt No Comments

WhistlePig Launches Dank January

WhistlePig Launches Dank January

by David Klemt

WhistlePig Dank Dank & Dry Old Fashioned Cocktail

You’ve heard of Dry January but WhistlePig Whiskey wants to usher in Dank January, and they’re giving back to bartenders to make it happen.

The craft whiskey producer, a finalist in the second annual Liquor Awards for Sustainable Producer of the Year, has released a head-turning new alcohol-free expression.

Already sold out at the time of publication, the limited edition Dank & Dry Old Fashioned promises a unique drinking experience. Luckily, we secured our Hot Box Bundle (information below) prior to this terpene-supercharged bottle selling out.

This eccentric bottle features reverse-distilled WhistlePig Piggyback Rye, which becomes Rye Non-Whiskey. WhistlePig blended the alcohol-free non-whiskey with barrel-aged maple syrup. Of course, that in and of itself would make for a fantastic bottled craft cocktail. However, its another ingredient that really stands out.

WhistlePig added what they’re calling Old Fashioned Terpenes to the non-whiskey and syrup. These terpenes were cultivated from cannabis that had been grown in whiskey barrels. To create the Old Fashioned Terpenes, the terpenes from the barrel-grown cannabis were isolated by Satori Premium Cannabis, a producer located in Vermont.

Before anyone rushes to any conclusions, no, Dank & Dry won’t get you high. Terpenes are aromatic compounds, not psychoactive. So, this limited edition bottled cocktail won’t get you drunk, high, or otherwise buzzed.

What it will do, I suspect, is deliver a truly unique flavor experience. I’ll report back with my thoughts after it arrives and I get to sit with it for a bit.

This bottle is also helping bartenders as 100-percent of Dank & Dry proceeds are set to go to Turning Tables. With any luck, WhistlePig will be inspired to bring this bottle back for every Dry (or Dank) January going forward.

Dank January is the New Dry January with WhistlePig’s Non-Alc, Terpene Maple Old Fashioned

World’s First Dank & Dry Cocktail Puff-Puff-Passes 100% of Proceeds to Bartenders

SHOREHAM, Vt.–WhistlePig Whiskey, the leader in independent craft whiskey, is highjacking Dry January with a Limited Edition Dank & Dry Old Fashioned Cocktail. Known for pushing the boundaries of whiskey making to craft the world’s best and most interesting whiskeys, WhistlePig is elevating the non-alcoholic cocktail experience with the addition of non-psychoactive cannabis terpenes to its signature Barrel Aged Maple Old Fashioned recipe. 100% of the proceeds of this Dank January Limited Edition will benefit the bartending community.

Crafted with 100% Rye Non-Whiskey, Barrel-Aged Maple Syrup and Vermont Cannabis Terpenes, the new terps non-alc is a salad bowl of superior ingredients never-before-seen in a non-alcoholic Old Fashioned. WhistlePig’s reverse distilled PiggyBack Rye ‘Non-Whiskey’ is balanced with Barrel-Aged Maple and locally sourced Old Fashioned Terpenes for a chronic non-alc cocktail experience. The non-psychoactive terpenes were cultivated from cannabis grown in whiskey barrels, and isolated by Satori Premium Cannabis in the Green Mountain State.

“At the intersection of non-alc and cannabis trends, terpenes offer a new frontier for flavor that we couldn’t resist experimenting with,” said Meghan Ireland, WhistlePig Head Blender. “The results are fire, with terpenes adding aromas and mouthfeel that are often missing from non-alc innovation. Whether you’re still walking the hog, enjoying the electric lettuce, or abstaining altogether, WhistlePig fans do not have to miss out on a great tasting Old Fashioned this January.”

WhistlePig’s Dank & Dry Old Fashioned Cocktail is available as both a ‘One Hitter’ (single 750ml bottle) for $49.99 MSRP or in the ‘Hot Box Bundle’ with the addition of a pig-shaped cocktail smoker and ‘dime baggie’ of cocktail smoking chips for $64.20 MSRP. Each bottle is presented in a Reefer Madness inspired gift box emblazoned with WhistlePig’s original logo (since retired) with the pig wielding a left-hoof-cigarette.

As a toke-n of thanks for bartenders who work their tails off during the holiday season only to be left high and dry in January, WhistlePig is puff-puff-passing 100% of Dank & Dry Old Fashioned proceeds to bartenders through Turning Tables, a New Orleans based non-profit whose vision is to cultivate leadership, create real opportunity and change the face of hospitality by establishing a model and standard for equitable access for the Black & Brown hospitality community of New Orleans.

WhistlePig Dank & Dry Old Fashioned is available online while supplies last.

To learn more about WhistlePig Whiskey, visit whistlepigwhiskey.com. You can also check out WhistlePig Whiskey on Facebook, X and Instagram.

About WhistlePig Whiskey

Located off the grid on a 500-acre Vermont farm, WhistlePig Whiskey is crafted by a new generation of whiskey distillers and blenders driven to reinvent and unlock the flavor of Rye whiskey. Through their rebellious pursuit of experimenting and pushing boundaries in the industry, WhistlePig has become the leading independent craft whiskey brand for innovation. WhistlePig is committed to becoming the best whiskey on and for the planet, starting with its locally sourced ingredients and sustainable supply chain and distilling process. For more information, head to whistlepigwhiskey.com.

About Turning Tables

Turning Tables was launched in 2019 by industry leaders and mentors who found a thirst for community and opportunity among Black and Brown hospitality professionals looking to take their careers to the next level. The Turning Tables 12-week intensive program connects each cohort of individuals with a foundation in spirits, cocktail and wine knowledge with access to career pathways within the three tier system, restaurant and bar management, trade advocacy, marketing, and hospitality leadership. Their process is both experiential and classroom-oriented. They partner with employers, brands and like-minded individuals who recognize pervasive racism and inequity in the industry and want to join them in challenging it.

Image: WhistlePig Whiskey

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

by David Klemt David Klemt No Comments

Can It? NA Canned Cocktail Performance

Can It? Zero-proof Canned Cocktail Performance

by David Klemt

Moth Margarita canned cocktails stacked on a black, wood table

Veylinx, a behavioral research platform trusted by some of the world’s biggest brands, has turned their attention alcohol-free canned cocktails for a recent study.

They’ve researched demand for non-alcohol before. In fact, you can find our analysis of their 2022 study here. We’ve also covered their look into the effectiveness of Super Bowl ads.

For their latest study, consumer demand for non-alcoholic canned cocktails, Veylinx showed how seriously they take research and methodology.

Conducted between November and December of 2023, the platform created a fictional canned cocktail brand, Elixir. This was done to account for brand bias.

Further, the “brand” produced two benchmark products—alcohol and alcohol-free—and four variations. These non-alcoholic variants offered four different benefits: CBD, mood boost, zero-calorie, and natural detox.

All participants were 21 or older:

  • 21 to 25
  • 26 to 35
  • 36 to 45
  • 46 to 55
  • 56 to 65
  • Older than 65

Half of the study identified as male, and the other half as female. Most, 73 percent, were alcohol drinkers, while 27 percent were not.

For the study, Veylinx had each participant, 410 in total, bid on the six Elixir products with their own money. The bidding took place in randomized, sequential auction.

After the auction, the participants completed a questionnaire. The following is a sample question:

“What would be the main reasons for you NOT to buy non-alcoholic beverages? Please select all that apply.”

Possible answers to that question were: Limited availability, Limited variety, Flavor, and/or Other.

With methodology explained, let’s check out the results.

Canned Cocktails by the Numbers

While demand for non-alcohol canned cocktails appears to be growing, their counterparts remain most popular.

Per Veylinx, demand for Elixir’s alcoholic canned cocktails surged by 20 percent in their study. In comparison, average demand for the fictional brand’s non-alcoholic benchmark and variants canned cocktails increased by four percent.

Further, the full-proof and zero-proof CBD products garnered the most interest. The alcoholic version saw an uplift of seven percent, and CBD saw a three-percent uplift. Consumers showed the least interest in non-alcohol, zero-calorie variants.

Comparing 2022 to 2023, demand for “standard” alcohol-free canned cocktails is up 14 percent. This is followed by the CBD variant with four-percent growth in consumer demand. Next, non-alcoholic canned cocktails with a “mood-boosting” benefit, which grew by two percent. Natural detox saw an increase in demand of just one percent. And consumer demand for zero-calorie, zero-alcohol canned cocktails fell by one percent.

So, today’s consumer, at least according to research conducted by Veylinx, is most interested in alcoholic canned cocktails. Still, there’s growing interest in alcohol-free canned cocktails, something for operators to keep in mind.

Changes in Behavior

Speaking of interest in zero-proof, Veylinx uncovered some other interesting information.

In 2022, around 56 percent of consumers expressed interest reducing their alcohol consumption. That number fell by 18 percent to 38 percent in 2023. That’s still a significant percentage of consumers looking to make a big change in their lives.

Forty-one percent of consumers aged 21 to 35 are trying to reduce their alcohol intake. That number drops slightly to 36 percent for those aged 36 and older.

Veylinx also found that half of consumers would drink less alcohol if one simple change took place. All it would take is better-quality, non-alcohol versions at better prices to hit the market.

In fact, per Veylinx, consumers cited flavor and price as the two top influences on their decision to consume zero-proof canned cocktails. So far, energy drinks are the go-to for most consumers trying to drink less alcohol.

If they’re smart, brands with an interest in producing successful non-alcohol canned cocktails will work to improve costs, flavors, and health benefits, if this Veylinx study is taken to heart.

To review this study in its entirety yourself, click here. The press release for the study is below.

The Year of Canned Cocktails: Consumer Demand Increases for Non-Alcholic and Alcoholic Variations

NEW YORK, December 20, 2023 —  According to a new, year-over-year study from behavioral research platform Veylinx, consumer demand is increasing for both non-alcoholic and alcoholic canned cocktails. Using Veylinx’s proprietary methodology—which measures actual demand rather than intent— the study found that demand for non-alcoholic canned cocktails grew by 4%, while demand for alcoholic canned cocktails surged by 20% over last year.   

While interest remains strong for non-alcoholic alternatives, the percentage of people trying to reduce their alcohol consumption fell by 18%, to 38%. This decline from 2022 could lead to lower participation in abstinence events like Dry January. 

Half of respondents claimed they would drink less alcohol if better non-alcoholic alternatives were available, showing opportunity for yet more innovation in the beverage sector. Those looking to reduce their alcohol consumption are 50% more interested in non-alcoholic cocktails.

In 2022, “Never tried before,” was the top reason consumers gave for not buying canned non-alcoholic beverages. That is no longer the case in 2023, suggesting that non-alcoholic canned cocktails increased their market penetration over the last year. Flavor and price are now the primary reasons people don’t buy non-alcoholic cocktails.

“Even with fewer people trying to reduce their alcohol consumption, demand for non-alcoholic canned cocktails continues to grow,” said Veylinx founder and CEO Anouar El Haji. “Drinkers and non-drinkers alike are receptive to ready-to-drink alternatives that are better for their health and wallets.”

The study also measured demand for non-alcoholic cocktails enhanced with functional benefits like mood boosters, detoxifiers and CBD. Demand for the standard non-alcoholic version increased 14% from last year, while the enhanced variations increased only slightly and the zero-calorie version fell by 1%. This suggests consumers might be losing interest in what they perceive as marketing gimmicks. The CBD version saw a 4% increase in demand, remaining the most popular non-alcoholic variation. 

Additional key findings: 

  • The optimal price for non-alcoholic canned cocktails that maximizes revenue for brands is $12 for a four-pack

  • The brands consumers have tried the most are: 1) Mocktail Club, 2) Wild Tonic, 3) Spiritless, 4) DRY,  and 5) Hella Cocktail Co

  • 44% of people expressed support for an additional 10% tax on alcohol as a public health measure for reducing consumption 

  • For those aiming to drink less alcohol by replacing it with other beverages, energy drinks experienced the greatest increase in popularity

  • Physical Health and Cost are the two most popular reasons for reducing alcohol consumption

  • Grocery stores are the most popular place to buy non-alcoholic canned cocktails

  • Flavor options have the most influence on which brand consumers choose

  • A lower price would convince 20% of consumers to buy more non-alcoholic cocktails

To download more detailed results from the 2023 Non-Alcoholic Canned Cocktail study or for more information about Veylinx, visit https://veylinx.com/canned-cocktails

About the research 

Unlike typical surveys where consumers are simply asked about their preferences, Veylinx uses behavioral research to reveal how much consumers will pay for a product through a real bidding process. Consumers reveal their true willingness to pay by placing sealed bids on products and then answering follow-up questions about their reasons to buy or not to buy. The research was conducted in November and December 2023 among U.S. consumers ages 21 and over. It is a follow-up to a similar study Veylinx conducted in October 2022. The 2022 study can be found at https://info.veylinx.com/non-alcoholic-cocktails

Image: Ambitious Studio* – Rick Barrett on Unsplash

Bar Nightclub Pub Brewery Menu Development Drinks Food

by David Klemt David Klemt No Comments

HM Makes 2024 Culinary Predictions

Hotel Management Makes 2024 Culinary Predictions

by David Klemt

Tartare of mushrooms on a plate

Two weeks before we rang in 2024, Hotel Management revealed a handful of compelling culinary predictions for the new year.

Of course, time will tell if these are accurate. After all, it’s just January 5. Still, they’re all worth a look.

One in particular stands out from the rest, at least for me. You’ll find that prediction at the bottom of this article.

Alright—let’s dive in!

Streamlining Menus

Perhaps it’s a validation of the paradox of choice. Maybe it’s that people are overwhelmed and want to make less decisions.

Either way, Hotel Management thinks operators will offer fewer choices to improve the guest experience.

That may sound nonsensical to some operators. Shrinking the menu to enhance a person’s enjoyment?

However, there’s more nuance than simply eliminating items. Indeed, Hotel Management points to focusing on local, seasonal ingredients to create curated menus.

Further, a smaller menu allows the kitchen team to innovate, develop their skills, and truly build impressive dishes.

There’s also, of course, the benefit of lowered costs. This is particularly true for operators who embrace the art of the cross-utilization of ingredients.

Don’t Hassle Me, I’m Local

Sourcing and highlighting local ingredients is mainstream at this point. At least in my opinion, it has gone from fad to trend and become a staple of successful operation.

That doesn’t make it any less important, of course. In fact, it appears more important than ever.

Guests want to connect with the restaurants and bars they visit. One effective method of making this connection is to offer a true taste of location.

Utilizing local ingredients—even better if they’re unique to the area—also supports the community. Fostering connections with guests, producers and other small businesses is a win-win-win.

Shroom, Shroom

It makes sense that when some people read or hear the phrase “plant-based” they think of Impossible or Beyond.

However, plant-based dishes and menus just consist primarily of vegetables, whole grains, legumes, nuts, seeds, fruits, or fungi.

It’s that last one that Hotel Management thinks will have a moment in 2024.

Among the reasons for this prediction? Mushrooms absorb flavors easily, impart umami, and are versatile.

Oh, and a fun bit of trivia: While often categorized as vegetables, mushrooms are considered neither plant- or animal-based; they’re a type of fungus.

One brand embracing the culinary magic of mushrooms is Meati. I expect these products to become as well-known as Impossible, Beyond, Gardein, and Morningstar Farms.

This is the One

So, this is the prediction that jumped out at me: seacuterie.

As the name suggests, it’s charcuterie but with seafood. Simply put, you salt, smoke, and cure seafood, then present it as you would charcuterie.

Hotel Management provides three interesting examples of seacuterie that will likely grab your guests’ attention:

  • pastrami-style tuna loin;
  • octopus salami; and
  • swordfish ham.

I know that if I saw at least the salami and ham, I’d raise an eyebrow.

Now, it’s all well and good to identify seacuterie as a menu item with potential to grow in 2024. But what if you’re not sure where to start with it? Well, I dug into it to learn more and provide you with a real-world example.

Chef Aaron Black, chef de cuisine at PB Catch Seafood + Bar in Palm Beach, Florida, is a seacuterie pioneer. And it just so happens that PB Catch provides guests the opportunity to build their own seacuterie boards.

Guests can choose three seacuterie items for $24 and six for $45, with the option to add an additional item for $8. Selections include salmon pastrami, octopus torchon, and mero bass jerky.

If it fits with your concept, seacuterie should re-energize your regulars and tempt new guests to check out your restaurant.

Image: jevgeni mironov on Unsplash

KRG Hospitality menu development. Restaurant. Bar. Cafe. Lounge. Hotel. Resort. Food. Drinks.

by David Klemt David Klemt No Comments

Life is Peachy with These Cocktails

Life is Peachy with These Pantone-inspired Cocktails

by David Klemt

Greek Spritzer drink

According to Pantone, the 2024 Color of the Year is Peach Fuzz, which communicates warmth, community, collaboration, and a sense of welcoming.

There’s a lot that operators can do with Pantone’s annual announcement.

For those who are curious, the 2023 Color of the Year was Viva Magenta, a bold, purplish shade of red. And in 2022, the color was Very Peri, a dynamic shade of blue.

If an operator is looking for a complete venue refresh, Peach Fuzz may be an effective choice. For example, people can leverage the 2024 Color of the Year with feature walls, seating, tablecloths, and physical menus.

Of course, not every operator is looking to undergo a redesign. In this case, there’s still plenty of opportunity to splash Peach Fuzz throughout a bar or restaurant. One simple and effective way is through the drink menu.

Below are three peach-forward cocktail recipes. They’re visually appealing, which is helpful since we tend to “drink” with our eyes first. And with peach brandy, puree, or bitters, they impart more than just color: peach fans will appreciate the flavor.

You’ll also find a recipe for the Cosmopolitan, the famous cocktail created by Toby Cecchini. It turns out Aubrey Plaza, the modern face of the Margarita, is also the spokesperson for the Cosmo. Just like they say there’s no Negroni without Campari, there’s no Cosmo without Cointreau.

Cheers!

Frankly, My Dear cocktail

Frankly, My Dear

  • 0.75 oz. Cointreau
  • 0.75 oz. Tequila
  • 0.75 oz. Fresh lemon juice
  • 0.5 oz. Peach puree
  • 3 oz. Prosecco to top
  • Peach wedge to garnish

Prepare a Collins glass by filling it with ice. Add all ingredients except for the Prosecco and garnish to a shaker with ice. Shake well, then strain into Collins glass. Top with Prosecco, garnish with a peach wedge, and serve.

Fish House Punch cocktail

Fish House Punch

Add ice to a rocks, Collins, or other glass. Fill a cocktail shaker with ice, then add all ingredients except for garnish. Shake well, strain, garnish with lemon zest, and serve.

Peach Spritzer cocktail, also known as Greek Spritzer

METAXA Peach Spritzer

  • 1.5 oz. METAXA 7 Stars
  • 1.5 oz. Prosecco or other sparkling wine
  • 0.75 oz. Tonic
  • 3 dashes Peach bitters
  • Peach wedge to garnish
  • For winter: Star anise and tree leaf to garnish
  • For spring: Jasmine flower to garnish

For this cocktail, start by selecting a red wine glass. Add METAXA 7 Stars, then add bitters and ice. Stir, add tonic, then top with Prosecco or other sparkling wine. Garnish with a peach wedge.

Cointreau Cosmopolitan cocktails

Cointreau Cosmo

  • 1 oz. Cointreau
  • 2 oz. Vodka
  • 1 oz. Fresh lime juice
  • 1 oz. Cranberry juice
  • Orange twist to garnish

Your bartenders probably know how to make a Cosmo. But just in case, start by preparing a coupe or cocktail glass by chilling it. Add all the liquid ingredients and ice to a cocktail shaker. Shake well, then strain into the prepared glass. Garnish and serve.

Images belong to their respective brands.

KRG Hospitality. Bar Consultant. Nightclub. Lounge. Mixology. Cocktails.

by David Klemt David Klemt No Comments

2023 KRG Recap: Top 10 Articles

2023 KRG Recap: Top 10 Articles

by David Klemt

The roman numeral for the number 10 on a clock

Here it is! The final roundup of 2023, a collection of the top ten articles spanning all categories, including news, operations, and F&B.

Unlike our previous three year-end roundups, some of these articles aren’t from 2023. As an example, one of our most-read articles is from 2022, and it’s about the happiest provinces in Canada.

We’re humbled and grateful that you continue to view us as a trustworthy source of hospitality industry analysis, advice, and news. We look forward to serving you further in 2024.

Cheers!

Three hands holding up three pineapples

Raise the Bar: The 3 Ps of Hospitality

Nightlife, bar, and cocktail experts Mia Mastroianni, Phil Wills, and Art Sutley want operators to focus on what they call “the Three Ps.”

The engaging trio shared their trio of Ps recently in Las Vegas at the 2023 Bar & Restaurant Expo.

So, what are the Three Ps of hospitality? People, Place, and Product. Operators who pull the threads tighter on each of these crucial elements will be well on their way to improving operations and the guest experience.

People

Remember all the way back to a week ago when I shared Mastroianni, Wills, and Sutley’s thoughts on service versus hospitality? Consider the first P a deeper dive into that topic.

Operators need to focus on two categories of people who help their businesses succeed: their teams and their guests.

Addressing the former, the trio feels that operators are centering a disproportionate amount of their attention on guests in comparison to staff.

“We’re not lacking for people who want to work in the business and are outperforming other industries, but we’re not focusing on staff like we focus on guests,” says Wills. “Treat everyone with respect, including through the hiring process. If you don’t engage your staff, you won’t retain them. You need to show them they can grow in your business.”

According to Sutley, 89 percent of operators say that labor costs present a “significant challenge.” It follows, then, that committing to treating staff with respect and nurturing their careers isn’t just the right thing to do, it’s smart business.

Look for people with passion, those you can motivate to go above and beyond so you’re not stuck with a team full of space-fillers who are just after a paycheck, suggests Mastroianni.

Of course, operators and their teams must also focus on providing exceptional service and experiences to guests.

“Treat ever guest like a pearl in an oyster,” advises Wills. “They’re the pearl, we’re the oyster. We need to ‘protect’ them.” Anything less, cautions Sutley, and guests won’t return.

For the rest of the Three Ps, click here.

Tortilla with beans, cotija cheese and egg

Canadian Trends 2023: Technomic

Restaurant, bar, and hotel operators will find this year’s data-driven trend predictions from Technomic for 2023 insightful.

Interestingly but perhaps not surprisingly, some operators may be looking beyond North America for inspiration.

Per Technomic, Central and South American cuisines could influence menus in Canada this year. Other food trends that might take hold are “retro” health items, and all manner of pickled foods.

Of course, not every Canadian trend prediction involves F&B. According to Technomic, tech and the guest experience will play important roles.

To review last year’s Technomic predictions, click here. Now, let’s jump into Technomic’s 2023 predictions.

Guest Experience

Certainly, the guest experience should always be top of mind for operators, their leadership teams, and their staff.

In this instance, Technomic isn’t suggesting that the guest experience in general will be a trend. Obviously, with as important as it is to the success of any business, it’s a cornerstone.

Rather, Technomic predicts that guests will continue to feel the need to rein in their spending due to ricing costs and prices. However, the foodservice research firm also believes there’s still heavy desire for social interaction.

So, both those financial and social influences translate to the following: overdelivery.

Operators and their teams must ensure they position their brands well; make guests feel special every visit; and really dial in the guest experience. Specifically, Technomic suggests focusing on younger generations and menus with at least a couple specialty items that aren’t easy for a guest to replicate at home.

In other words, do whatever it takes to entice guests with memorable experience and quality menu items, and keep them coming back for more.

Follow this link to continue reading.

Server carrying two plates with one hand

Just.Safe.Food. and More Alternatives to ServSafe

ServSafe, the National Restaurant Association‘s food safety training program, isn’t the only food handler training game in town.

Certainly, the program is the most well known in our industry. However, it’s fair to say that ServSafe is closer to infamous than just ubiquitous due to a New York Times article from January.

While it’s the most recognizable of the food safety programs, it’s not the only one. Although, ServSafe’s omnipresence likely gives many the impression that it’s ServSafe or nothing.

There are, however, alternatives to ServSafe. In fact, one challenger was announced a day after the explosive New York Times article that thrust ServSafe into a spotlight the NRA probably isn’t enjoying. (After all, one result of that article was a letter from six US senators demanding answers from the NRA about ServSafe by March 3.)

At any rate, the newest alternative to ServSafe comes from One Fair Wage. The program is Just.Safe.Food. and costs just $10. (As a reminder, ServSafe costs $15.)

For that $10, Just.Safe.Food. gives an individual three attempts to pass their exam and unlimited access to training materials. Additionally, One Fair Wage (OFW) says profits they raise from the program will go toward advocating for restaurant workers.

OFW, as many in the industry know, is owned and operated by restaurant workers. Two cornerstones of the organization’s mission are increasing the minimum wage, and ending the tip credit. OFW is also attempting to convince lawmakers to stop accepting donations from the NRA.

Basically, OFW and the NRA are—and it appears always have been—at odds with with one another.

To learn more, click here.

Newfoundland and Labrador during daytime

These are the Happiest Provinces in Canada

If you’re wondering which province in Canada is the happiest, Statistics Canada has the answer—and the happiest may surprise you.

Of course, those who live and work in the happiest province won’t find it shocking. After all, they’re largely happy to be there.

However, if you expect the happiest province to be the home of Toronto, Vancouver, Montreal or Canada… Well, you’re in for a surprise.

Earlier this week we took a look at the happiest cities and states in America. Congratulations Fremont, California, and Hawaii, respectively. To learn where 181 other cities and 49 states rank, please click here.

The Happiness Survey

Or more accurately, the “life satisfaction” survey. For this survey, that’s what Statistics Canada reveals: life satisfaction.

Interestingly, the survey is very simple. Apparently, Statistics Canada simply asked participants to rate the satisfaction of living in their province, zero through ten. For this survey, zero is least satisfied, ten is most.

Ages 15 through 75 (and older) were able to participate. The survey was also broken down to gauge the satisfaction of men and women.

Before we jump into the breakdown of province satisfaction or happiness, some good news. Reviewing the Statistics Canada data, most participants across all age groups are happy. In fact, age groups 65 to 74 and 75-plus appear to be happiest.

On the other side, ages 15 to 54 had the most people who rated their life satisfaction between zero and five. Even so, just over 20 percent of survey respondents rated their satisfaction a five or less.

So, on the whole, Canadians seem satisfied or happy with their lives, regardless of the province in which they live. Personally, I find that to be great news.

Click here to keep reading.

Glendalough Distillery Wild Gin Irish gin

8 Glendalough Distillery Cocktail Recipes

Offer your guests something different for your St. Patrick’s Day promotion with Glendalough Distillery cocktail recipes.

Without a doubt, you should have plenty of the expected Irish whiskeys on hand. However, Glendalough Distillery Double Barrel, Pot Still, Wild Gin, and Rose Gin are extraordinary Irish whiskeys and gins.

Each spirit the distillery crafts honors the art of Irish distillation, a craft that stretches back centuries. What’s more, each whiskey Glendalough crafts is single malt—there are no light-bodied blends in their lineup.

To learn more, check out episode 71 of the Bar Hacks podcast with Glendalough Distillery co-founder and national brand ambassador Donal O’Gallachoir.

Sláinte!

Glendalough Distillery Double Barrel Single Malt Irish Whiskey

The Lough Inn

This highball is made with Glendalough Double Barrel, a single-grain Irish whiskey aged in ex-bourbon barrels before being finished in Oloroso sherry casks.

  • 2 oz. Glendalough Double Barrel Single Grain Irish Whiskey
  • 1 oz. Spiced honey syrup (see note)
  • 1 oz. Fresh lemon juice
  • Soda to top
  • Lemon wheel or slice to garnish
  • Mint leaf to garnish
  • 1 cup Honey for spiced honey syrup
  • 0.5 cup Water for spiced honey syrup
  • 4 Cinnamon sticks for spiced honey syrup
  • 1 pod Star anise for spiced honey syrup

Add ice to a highball glass, then add first three ingredients. Top with soda water. Garnish with lemon wheel or slice and freshly torn mint leaf.

For spiced honey syrup: Add honey, water, cinnamon sticks, and star anise to pot. Bring to a boil, then stir. Strain into container.

For more Glendalough Distillery recipes, click here.

White Russian cocktail made with Mr. Black Coffee Liqueur

7 Coffee Liqueurs You Need to Know

Whether you and your bar team are making Espresso Martinis, riffing on classics or creating something new, consider these coffee liqueurs.

National Espresso Martini Day takes place on Tuesday, March 15. Leading up to this bar holiday, the cocktail is experiencing yet another resurgence.

In fact, this cocktail more than any other seems to maintain an enviable rate of “surging back” in popularity. Maybe it’s time to just admit that it’s a modern classic people love to hate…but still order and enjoy.

Below are seven coffee liqueurs that shine in an Espresso Martini, Old Fashioned, Negroni, Irish Coffee, or any number of rich, flavorful cocktails. Cheers!

Mr. Black

Most of the reviews out there place Mr. Black at the top when it comes to coffee liqueurs. Once you’ve sipped it neat, you understand why. The coffee flavor is outstanding, and that should come as no surprise. After all, Mr. Black is crafted in Australia, a country with a rich coffee culture.

Additionally, Mr. Black occasionally releases special batches. In the past, the brand has produced Single Origin Ethiopia, Single Origin Colombia, and collaborations with WhistlePig and St. Ali Coffee Roasters. They also have a coffee amaro available.

Grind Espresso Shot

You really can’t go wrong making an Espresso Martini with an espresso liqueur. Grind Espresso Shot gives Mr. Black a run for their money in the coffee liqueur showdown.

This blend of Caribbean rum, espresso, coffee, and coffee extract that shines in just about any cocktail.

Click here for more coffee liqueurs to consider adding to your inventory.

Group of Big Game cocktails at Ocean Casino Resort

Ocean Casino Resort Offers Big Game Cocktails

Ocean Casino Resort, Atlantic City’s award-winning oceanfront casino and resort, is ready for the Big Game with four cocktails that team with the theme.

Now, by “Big Game,” we all know what I’m talking about. We know the sport, we the know the league, and we know precisely which game is under discussion.

However, due to very “enthusiastic” attorneys, we also have to talk like we’re spies or actors in a mob movie. We wouldn’t want to tempt anyone to file a lawsuit now, would we?

And I’m going to encourage you to continue following this childish way of speaking about the Big Game. When you’re promoting your Sunday, February 12 event, don’t use any trademarked terms, logos, images, etc.

Alright, the Big Game legalese is out of the way. Let’s talk themed cocktails!

Big Game Cocktail Inspiration

Midway through last year, Ocean Casino Resort showed us all their marketing prowess. When news of the Choco Taco’s demise made headlines, Ocean created a cocktail homage: the Chocotini.

To ensure the LTO could be enjoyed by most guests, the cocktail was available at four venues on the property.

Now, Ocean Casino Resort is tackling the Big Game. (Note: I’m legally required to include sports puns when writing about any major game.)

Guests have four specialty LTO cocktails from which to choose. Two representing the team from Philadelphia, two for the team in Kansas City. Each drink is available at venues throughout the casino resort, including their Topgolf Swing Suite (largest in America), Nola’s Bar & Lounge, and the Gallery Bar Book & Games.

In news that should appeal to you and your bar team, these drinks are quick to make. That’s a relief when you plan to be slammed on a particular day.

Of course, you don’t have to attempt to replicate these cocktails. They serve as excellent inspiration to motivate you and your team to come up with your own liquid homages and LTOs.

In case you’re wondering what to charge, Ocean is charging $14 each for the Brotherly Love, Hurts So Good, and Big Red cocktails. The Arrowhead carries a price tag of $15.

Click here to continue reading.

Closeup of keyboard

Can ChatGPT Write Food and Drink Menus?

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

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

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

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

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

Cocktail Menu

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

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

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

Cocktail Menu

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

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

Click here to keep reading.

Developing a Bar Concept w/ Sensory Experiences

Once your idea has been researched and the market, location, technical, business, and financial viability of the idea has passed a series of reviews throughout a feasibility study, a concept development plan can then be started.

Remember, outside of being scalable, you want to build a concept that is sustainable, profitable, memorable, and consistent.

Bar concepts over the years have gone from being tame (or lame) or overplayed, like tiki bars or sports bars, to concepts that push the boundaries of what a bar can be. One of the best ways to build a customer base is to go off the beaten path to create a bold and fresh new bar concept.

A concept plan will focus on ‘chapters’ and visual storyboards that include an overall:

  • Concept Summary (a one page summarization similar to that of an Executive Summary)
  • Statement Overview (Value, Vision, Mission, Culture)
  • Architectural Design (characteristics, features, costs)
  • Bar/Kitchen Production (your equipment specs)
  • Entertainment & Guest Experience Summary
  • Menu Design Attributes (food & beverage)

Owning a bar is a dream for most that must be met with the right research, planning, and mind-set.

One’s market will, and must, define the concept. To be successful, you must be open to building a venue the market both wants and needs.

Concept development is giving your ‘idea’, both soul and character. A bar’s concept is the lifeline of its brand and longevity in the market. It makes your venue stand apart from the competition, and it’s ultimately your bar’s unique selling proposition.

Have you ever walked into a bar and been confused about its identity? The interior doesn’t match the beverage offerings, the social media experience doesn’t reflect the actual experience, and even the music doesn’t seem to match the vibe of the bar.

This is what happens when there isn’t a clear and detailed concept development plan in place, and it is a sure fire way to be just average at best.

Continue reading here.

How to Address Temporary Restaurant and Bar Closures: 5 Social Media Examples

Repeated restaurant and bar closures have, tragically, become a hallmark of 2020.

Operators have had to learn how to communicate closures to potential indoor guests, as well as delivery and takeout guests.

For most operators, the possibility of closing their doors—temporarily or otherwise—has moved well past “if” territory. At this point, it’s not even a question of when a restaurant or bar will have to close, it’s a matter of when it will happen again.

There are a few reasons a F&B business will have to close due to the Covid-19 outbreak: official mandate, reduced indoor and outdoor dining capacities, and voluntary temporary closures.

Mandated closures are, on the surface, straightforward. Government officials decree that certain types of businesses must close their doors by a specific date and time, and owners are expected to comply.

Closures induced by capacity restrictions are less straightforward. It has become woefully apparent that most lawmakers don’t understand (or don’t care) that at a certain threshold, reducing indoor and outdoor dining capacities is as good as forcing a restaurant or bar to close; the value proposition of remaining open simply isn’t there.

A voluntary temporary closure can come about because of capacity limitations, but they can also be the result of other factors. A significant workforce reduction, lack of traffic, rising costs of goods, or an internal Covid infection.

The stark reality is that the likelihood today’s operators are going to have to craft social media posts and emails announcing temporary (and possibly extended) closures is anything but slim.

Click here to keep reading.

Image: Anne Nygård on Unsplash

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

by David Klemt David Klemt No Comments

2023 KRG Recap: Top 8 News Articles

2023 KRG Recap: Top 8 News Articles

by David Klemt

Eight ball floating against black background

We’re kicking off our annual year-in-review article roundup by gathering the top eight news articles of 2023, which address an array of noteworthy developments.

For example, you’ll find a “Big Game” cocktail promotion, SevenRooms innovations, award winners, and legislation affecting our industry.

We look forward to sharing hospitality news with you as it breaks in 2024.

Cheers!

Group of Big Game cocktails at Ocean Casino Resort

Ocean Casino Resort Offers Big Game Cocktails

Ocean Casino Resort, Atlantic City’s award-winning oceanfront casino and resort, is ready for the Big Game with four cocktails that team with the theme.

Now, by “Big Game,” we all know what I’m talking about. We know the sport, we the know the league, and we know precisely which game is under discussion.

However, due to very “enthusiastic” attorneys, we also have to talk like we’re spies or actors in a mob movie. We wouldn’t want to tempt anyone to file a lawsuit now, would we?

And I’m going to encourage you to continue following this childish way of speaking about the Big Game. When you’re promoting your Sunday, February 12 event, don’t use any trademarked terms, logos, images, etc.

Alright, the Big Game legalese is out of the way. Let’s talk themed cocktails!

Big Game Cocktail Inspiration

Midway through last year, Ocean Casino Resort showed us all their marketing prowess. When news of the Choco Taco’s demise made headlines, Ocean created a cocktail homage: the Chocotini.

To ensure the LTO could be enjoyed by most guests, the cocktail was available at four venues on the property.

Now, Ocean Casino Resort is tackling the Big Game. (Note: I’m legally required to include sports puns when writing about any major game.)

Guests have four specialty LTO cocktails from which to choose. Two representing the team from Philadelphia, two for the team in Kansas City. Each drink is available at venues throughout the casino resort, including their Topgolf Swing Suite (largest in America), Nola’s Bar & Lounge, and the Gallery Bar Book & Games.

In news that should appeal to you and your bar team, these drinks are quick to make. That’s a relief when you plan to be slammed on a particular day.

Of course, you don’t have to attempt to replicate these cocktails. They serve as excellent inspiration to motivate you and your team to come up with your own liquid homages and LTOs.

In case you’re wondering what to charge, Ocean is charging $14 each for the Brotherly Love, Hurts So Good, and Big Red cocktails. The Arrowhead carries a price tag of $15.

Click here to continue reading.

Abraham Lincoln's face on $5 bill

What’s up with the Restaurant Revitalization Tax Credit?

If you’re wondering what’s going on with the Restaurant Revitalization Tax Credit bills in the House and Senate, you’re probably not alone.

And if you find yourself wondering about them, that’s likely because there isn’t much news about the bills. Unfortunately, it appears that no meaningful progress has been made on HR 9574 or S.5219.

A quick check shows that both bills share the same status: Introduced. As for the House bill, HR 9574, that was introduced on December 15, 2022 by Representative Earl Blumenauer (D-OR). The Senate bill, S.5219, was introduced by Senator Benjamin Cardin (D-MD) on December 8, 2022.

It’s important to note that Sens. Cardin, Patty Murray (D-A), and Sherrod Brown (D-OH) reintroduced S.5219 in January of this year. However, that apparently didn’t mean much as the Congress.gov trackers show no progress.

Last year, some opined that neither bill would receive a vote until January 2023 at the earliest. That “prediction” has proven true, of course—it’s now the end of March.

Restaurant Revitalization Tax Credit Act Summary

Let’s take a quick look at HR 9574 and S.5219.

Both bills propose a $25,000 payroll offset for restaurants. Eligibility requirements are also identical: applicants must have applied for but not awarded a Restaurant Revitalization Fund grant.

Additional, eligible applicants are:

  • restaurants with operating losses of at least 30 percent in 2020 and 2021 in comparison to 2019; or
  • restaurants with losses of at least 50 percent in either 2020 or 2021 in comparison to 2019.

So, those are elements that both the Senate and House bills share. What about the differences between the two bills?

Mainly, differences come down to the number of employees. For S.5219, restaurants with ten employees or fewer could be eligible for the maximum payroll tax credit. That credit, as a reminder, is up to $25,000 for 2023. For every employee over ten, the refund cap drops by $2,500.

Now, HR 9574. Restaurants with ten or fewer employees would receive the full $25,000 payroll tax offset. For restaurants with between 11 and 20 employees, the offset would be “partially refundable.”

Keep reading here.

Front of house staff member using SevenRooms

EHI and Danny Meyer Invest in SevenRooms

EHI and Danny Meyer Invest in SevenRooms

SevenRooms is showing no signs of resting on their laurels, announcing a major new investor: Enlightened Hospitality Investments.

EHI, a private-equity fund, traces its launch back to 2016. The fund, launched by and affiliated with Union Square Hospitality Group, typically makes investments in the $10-25 million range. Generally speaking, EHI makes non-control investments.

As you’re likely well aware, USHG’s founder and executive chairman is none other than restaurateur Danny Meyer. The Shake Shack chairman is also the managing partner of EHI.

Investment in SevenRooms by EHI—and by extension Danny Meyer—is huge news. Meyer now joins other high-profile chef and restaurateur investors in SevenRooms:

“At EHI, we always pay close attention to transformative tech that advances high touch,” says Meyer. “Far more than a reservations platform, SevenRooms provides abundant tools to create highly customized guest experiences and equips both restaurant and hotel teams to do what they do best—deliver truly memorable hospitality.”

Gloved hand pressing down on cheeseburger

A Group of Senators has Questions About ServSafe

The National Restaurant Association and the ServSafe program are now in the crosshairs of a group of Democratic senators.

I doubt any organization or individual wants to learn that lawmakers have questions for them. For those who may not know, ServSafe isn’t just in a partnership with the National Restaurant Association—the NRA owns the program.

That’s part of why six senators, led by Sen. Elizabeth Warren (D-MA), have sent a letter to the NRA. To describe the tone of this letter in one word, I think “aggressive” is accurate.

For more, including the text of the letter, click here.

Double Chicken Please cocktail bar interior

The 50 Best Bars in North America in 2023

The buildup toward this year’s World’s 50 Best Bars is growing with the recent announcement of North America’s 50 Best Bars.

Mexico City, the 2023 North America’s 50 Best Bars host city, is home to several of this year’s rankings. A true cocktail destination loaded with extraordinary bars, Mexico City boasts eight entries. Overall, 14 of the 50 bars on the 2023 list are in Mexico.

Of course, New York City also claims an impressive number of bars earning spots on the list. In fact, NYC boasts 12 of the 50 best bars in North America. More than half of the bars—28—are in the US.

Not that anyone asked, two of the bars on the 2023 list are in the city where I was born, Chicago: Kumiko and Milk Room. And I’m going to give a special nod to Herbs & Rye, number 27 and located in my hometown of Las Vegas (and the US headquarters of KRG Hospitality).

Of the 50 best bars in North America, Canada is home to seven. Four of these are in Toronto (where KRG Hospitality’s global headquarters are located), two are in Montreal, and one is in Vancouver.

Just one bar in the Caribbean makes the 2023 North America’s 50 Best Bars list. But what a bar: La Factoría is number 24.

Below you’ll find this year’s rankings; destination awards; and individual awards. Speaking of, congratulations to Julio Cabrera and Christine Wiseman! You’ll see why as you scroll. To review last year’s list, please click here.

Congratulations to all the bars and their bar teams representing the best of North America in 2023!

You can review the list here.

The lobby of ACE Hotel Sydney

The 2023 HD Award Finalists and Winners

As one would expect, the finalists and winners of the 2023 Hospitality Design Awards are a stunning collection of brands from which operators should pull inspiration.

Anyone looking for cutting-edge hospitality design would do well to look into each of the winners and finalists below.

The full list of award finalists and winners, and the architecture, interior design, and purchasing firms (along with owners and operators) can be found on the Hospitality Design website. Just click this link for the full details.

For our past coverage of the HD Expo, please click here.

Lifestyle Hotel

Winner

Ace Hotel Sydney (Sydney, New South Wales, Australia)

  • Architecture Firm: Bates Smart, Melbourne
  • Interior Design Firm: Flack Studio (hotel), Melbourne
  • Owner: Golden Age Group
  • Operator: Ace Hotel Group
  • Purchasing Firm: Marques Interior Services

Finalists

Canoe Place Inn & Cottages (Hampton Bays, New York)

Our Habitas San Miguel (San Miguel de Allende, Guanajuato, Mexico)

Sisan·Shuanglang Hotel (DaLi, YunNan, China)

Fan Woods Hotel (Zhangjiakou City, Hebei Province, China)

Lifestyle Hotel Public Space

Winner

The Tampa EDITION

  • Architecture and Interior Design Firms: Morris Adjmi Architects, and ISC Design Studio, New York
  • Owner: Strategic Property Partners
  • Operator: Marriott International
  • Purchasing Firm: The Parker Company

Finalists

Ace Hotel Sydney (Sydney, New South Wales, Australia)

The Standard (Hua Hin, Thailand)

Luxury Hotel

Winner

The Londoner (London, England) United Kingdom)

  • Architecture Firm: Woods Bagot, London
  • Interior Design Firm: Yabu Pushelberg, New York and Toronto
  • Owner and Operator: Edwardian Hotels London

Finalists

Wildflower Farms, Auberge Resorts Collection (Gardiner, New York)

Kimpton Bamboo Grove Suzhou (Suzhou, Jiangsu, China)

Luxury Hotel Public Space

Winner

The Madrona (Healdsburg, California)

  • Architecture Firm: Strening Architects, Santa Rosa, California
  • Interior Design Firm: Jay Jeffers, San Francisco
  • Owners: Jay Jeffers, Kyle Jeffers, and investors
  • Operator: Mosaic Hotel Group
  • Purchasing Firm: Summa International

Finalists

The Madrid EDITION (Madrid, Spain)

Pillows Maurits at the Park (Amsterdam, Netherlands)

Wildflower Farms, Auberge Resorts Collection (Gardiner, New York)

Click here for the full list of finalists and winners.

Hand holding several credit cards

Credit Card Competition Act, Take Three

Here we go again: Bipartisan lawmakers in the House and Senate are taking another shot at the Credit Card Competition Act.

After the incredibly underwhelming progress of the Credit Card Competition Act of 2022, lawmakers are making another move. Now, a bipartisan effort is coalescing around the Credit Card Competition Act of…2023.

The “new” bill was introduced on June 7. On the Senate side, Senators Dick Durbin (D-IL) and Roger Marshall (R-KS) are trying to push the bill forward. In the House, Representatives Lance Gooden (R-TX) and Zoe Lofgren (D-CA) are driving the effort.

Roughly eight months ago it was revealed that 1,802 merchants drafted, signed, and sent a letter to the House and Senate. To summarize quickly, the merchants were pushing for the bill to become law. Another supporter of the CCCA? The National Restaurant Association, claiming that the bill could save merchants $11 billion a year in fees.

Of course, a lot is going on since the introduction of the CCCA of 2022. For one, it’s being widely reported that House Republicans are “revolting,” blocking bills and effectively paralyzing the chamber. There’s also the matter of the second indictment of a former president.

However, reporters who know far more than I about the inner workings of Congress seem optimistic. While there’s drama in the lower chamber, there are articles circulating that seem to think the CCCA of 2023 has enough bipartisan support to pass.

Continue reading here.

The Pontiac bar in Hong Kong

Asia’s 50 Best Bars 2023 Revealed: 51 to 100

One week from the ceremony revealing bars one through 50 of Asia’s 50 Best Bars, the World’s 50 Best Bars announces venues 51 to 100.

Sponsored by Perrier, the World’s 50 Best Bars will announce the top 50 bars in Asia on Tuesday, July 18. This year’s ceremony will take place in Hong Kong at 20:25 local time.

However, we now know which bars have earned placement on the back half of this year’s list. As Mark Sansom, director of content for the World’s 50 Best points out on episode 82 of Bar Hacks, an expansion for their lists is necessary. There are simply too many outstanding operators and teams to not honor an additional 50 venues.

To that end, the list below represents the third edition of Asia’s 50 Best Bars, 51 to 100. In my opinion, and I think the World’s 50 Best and bar professionals across the world agree, this list is every bit as prestigious as one through 50. Let’s not downplay the fact that these are 50 of the best bars in all of Asia. It’s no small feat to earn a spot on this list.

If you’re interested in finding more amazing venues throughout Asia (and around the world), click here to learn about the World’s 50 Best Discovery tool.

By the Numbers

As you’ll see below, Singapore dominates this year’s 51 to 100 list with eight bars. I expect Singapore pick up even more spots next week.

Japan boasts seven bars on the list, with Osaka, Okinawa, and Kumamoto making debuts. Hong Kong, Taiwan, and India each have claim five slots. Bangkok and Kuala Lumpur are also well represented with four bars each.

Vietnam and China each have three bars among this year’s 51 to 100. Two bars in Seoul, South Korea, earned placement as well.

However, it’s Kathmandu, Nepal, with two bars that stands out the most to me. Numbers 100 and 70 belong to Kathmandu, and are both new to the list.

To review the list on the World’s 50 Best website, please click here.

Keep reading here.

Image: Mediocre Studio on Unsplash

by David Klemt David Klemt No Comments

2023 KRG Recap: Top Bar Hacks Episodes

2023 KRG Recap: Top Bar Hacks Episodes

by David Klemt

Gold number 10 on a teal or aqua background

For your listening pleasure and convenience we’ve rounded up the top ten Bar Hacks episodes of 2023, also known as season four of the podcast.

Every year we reflect on the caliber of the guests who take time out of their busy lives to come onto the podcast. And every year we’re grateful for the honor of helping to share their stories and insights.

Below are the top ten Bar Hacks episodes of 2023. We’re presenting them in numeric order—no playing favorites here! To make it easy to enjoy these conversations, we’ve embedded the Spotify version of each episode.

And if you’re curious, these ten only just edge out the rest of this year’s episodes. We thank our loyal listeners for giving all of our guests and episodes a listen.

Cheers!

Episode 89 with Doug Radkey

Doug Radkey, co-founder and president of KRG Hospitality, stops by the Bar Hacks podcast. Not only is Doug the co-founder and president of KRG, he’s also the author of the book Bar Hacks and its followup Hacking the New Normal, and the creator of the Bar Hacks podcast.

During his visit, Doug and David talk about their expectations for 2023, what KRG is working on in the new year so far, the importance of technology in hospitality, and dynamic pricing versus dynamic menus. Doug also shares his thoughts on what operators can work on starting today to position themselves for success in 2023 and beyond.

Episode 90 with Mark Sansom

Mark Sansom, content director for the World’s 50 Best Bars, drops by the Bar Hacks podcast to share some big news. After years of dialing in the process and waiting out the pandemic, the World’s 50 Best Hotels will be revealed at a ceremony in September 2023! If you haven’t watched or attended a World’s 50 Best Bars ceremony, they truly take great pains to ensure they’re the Oscars of bar awards. So, we expect the World’s 50 Best Hotel awards ceremony to blow us out of the water.

This list and its accompanying specialty awards completes the hospitality and travel puzzle. Restaurants and bars, after all, are inextricably intertwined with hotels and resorts. Mark shares the details of the World’s 50 Best Hotels Academy Chairs, voting panel, and voting process in this episode. As a bonus, you’ll also get to hear host David Klemt try and fail to say “inaugural awards” without any issue!

Episode 93 with Adrián Michalčík

In September 2022, Adrián Michalčík earned the title of Diageo World Class Global Bartender of the Year. Colloquially, this achievement is known as the Best Bartender in the World. That’s a bold and weighty mantle but as you’ll learn during this conversation, Adrián is humble and focused on his team and guests.

Adrián is the director of mixology at the award-winning Pier 42 inside the Amerikalinjen hotel in Oslo, Norway. The bar has been recognized by the World’s 50 Best and has won Best Bar of Norway twice. In addition to taking home the title of 2022 Diageo World Class Global Bartender of the Year, Adrián has won several bartending competitions throughout the years.

He popped by the Bar Hacks podcast to chat with host David Klemt about his bartender journey. Adrián has worked in several types of bars and each helped him develop the skills that allowed him to elevate his skills behind the bar. Mentors, his endless quest for knowledge, his passion for hosting others, and his focus on empathy have informed his approach to team building, delivering top-level hospitality, and tapping into his creativity to develop Pier 42’s cocktail menus.

Adrián shares the three pillars he believes great bars are built upon, what he looks for in bar team members, transforming people from guests to friends, the importance of storytelling, and much more.

Episode 95 with Bob Peters

We know it’s been a few weeks. Between client projects and trade shows we had to take a little break. But we’re back!

And to make our absence up to you, our loyal listeners, we’re bringing you a great chat with an awesome guest. Bob Peters returns to the Bar Hacks podcast for episode 95!

Bob has big news to share, and you can hear in his voice how excited he is to share it with everyone. He’s taking on the perfect role. In fact, he calls it his dream job during this episode. Cocktails and cuisine are about to get even better in North Carolina and South Carolina…

But it doesn’t stop there! Bob also shares his approach to bar training to make sure everyone is engaged; his assessment of the Charlotte dining and drinking scene; a simple step all restaurants and bars can take today to improve operations, team engagement, and the guest experience; a very cool project he’s taking on; and more.

Episode 97 with Dragos Axinte

Dragos Axinte, the founder of Novo Fogo Organic Cachaça, returns to the Bar Hacks podcast. Axinte and Novo Fogo have been very busy since, his first appearance on the pod.

On this episode, Axinte shares the details and stories behind three important Novo Fogo initiatives and partnerships: Tree-keeper, with Seattle Sounders goalkeeper Stefan Frei, the Un-endangered Forest, and the brand’s new Chief Alegrias Officers (ChAOs), Sophie Hawley-Weld and Tucker Halpern, also known as SOFI TUKKER.

The two also discuss Axinte’s approach to partnerships—a philosophy that will serve operators and entrepreneurs very well—as well as distillers “discovering” amburana wood finishing. And, of course, Axinte shares product news and insights. If you’re headed to Tales of the Cocktail this year, you’re in for some incredible news. This conversation spans several topics and Axinte always imparts wisdom when he speaks in approachable and helpful ways.

Episode 99 with Michele Mariotti

Bartender Michele Mariotti leads an illustrious career. He has worked behind the bars at some of the best hotels around the world, including the Savoy in London and Mandarin Oriental in Singapore.

As of 2020, Michele has held the title head of bars at the Gleneagles Hotel in Perthshire, Scotland. In this role, he heads the programs at 11 F&B venues on the property, overseeing dozens of bar professionals.

On this episode, Michele and Bar Hacks podcast host David Klemt talk about mentorship, interviewing potential bartenders, menu development, using a flavor map when assigning new cocktail builds to bar team members, finding inspiration, interesting hotel guests, bespoke glassware, investing in platforms and programs that boost staff retention, and more.

Episode 101 with Ryan Chetiyawardana a.k.a. Mr. Lyan

Ryan Chetiyawardana, also known as Mr. Lyan, is one of the bar world’s true visionaries. He opened his first bar, White Lyan, in 2013 and the venue immediately achieved its intended purpose. Beyond being an award-winning bar and one of London’s best places to grab a drink, White Lyan started a much-needed conversation about sustainability in the industry.

Dandelyan, Lyaness, Super Lyan, Cub, and Silver Lyan would follow shortly after, making an even bigger splash not only in London but also Amsterdam and Washington, DC. All Mr. Lyan venues, while showcasing incredible innovation, accomplish something just as important: each bar is a place people to want to spend their time and money, and where professionals want to work.

During this fantastic conversation, Ryan shares insights into the menu programming processes at each venue; discusses seasonality; provides a look into hiring and engaging each team; the reissue of his book and his foray into the RTD cocktail space; and much more. Cheers!

Episode 102 with Jordan Bushell

Thank you for being patient during our summer hiatus. We’re back with a great conversation with an awesome guest.

Global Hennessy brand ambassador Jordan Bushell returns to the Bar Hacks podcast. While Jordan may know people with more Cognac knowledge, we don’t know anyone who knows more about this spirit category. More importantly, he’s as generous with his time as he is knowledgeable about Cognac. If you have a question about the spirit of Hennessy you can reach out to him and he’ll answer you.

On this episode of Bar Hacks, Jordan talks about special Hennessy releases, initiatives, collaborations, and what sets the maison apart from others in the Cognac region of France. He also talks about how operators can introduce guests to Cognac and Hennessy, including paying attention how they price their menus. Cheers!

Episode 104 with Simone Caporale

Simone Caporale, an internationally renowned bartender and operator, swings by the Bar Hacks podcast to talk spirits, branding, the guest experience, and operations.

Noticing a gap in the industry and seeing a way to lend his expertise to help grow spirits brands, Simone and Luca Missagli founded Cocktail Concierge, a brand-building agency focusing on craft spirits brands. One of the most recent brands Cocktail Concierge has helped introduce to the world is Amaro Santoni.

Of course, Simone is also one of forces behind SIPS Drinkery House, number three on the World’s 50 Best Bars list, and the World’s Best Bar according to Tales of the Cocktail. Simone shares his thoughts on what he thinks makes SIPS so successful, why he views service as a privilege, three tips operators can implement today to plant the seeds for long-term success, and more!

Episode 107 with Anne Becerra

When it comes to curating a beer program, creating a complementary cocktail program, and delivering an incredible beer program, we can’t think of anyone better than Anne Becerra. And lucky for us, she stopped by the Bar Hacks podcast!

Anne is the first female Certified Cicerone in New York City and has been working in beer for more than a decade. More importantly, however, she’s as passionate as she is educated about beer. Anne’s also passionate about hospitality, which comes across in this conversation. Truly, she loves hospitality, the beverage world, and how the two pair to make people feel amazing.

On this episode Anne talks introducing guests to beer; serving beer aficionados, beer neophytes, and the beer wary; how to make guests feel comfortable in a beer-centric concept; what she’s excited about in the beer world; tips for operators who want to succeed with a beer-forward venue; and much, much more. Cheers!

Image: Miguel Á. Padriñán on Pexels

KRG Hospitality. Bar Consultant. Nightclub. Lounge. Mixology. Cocktails.

by David Klemt David Klemt No Comments

Grubhub Reveals 2023 Order Trends

Grubhub Reveals 2023 Order Trends

by David Klemt

A veritable sea of pickle chips

Just under the wire Grubhub releases their annual end-of-year report, revealing their customers’ top ordering trends of 2023.

Uber Eats and DoorDash unveiled their reports at the end of October and start of November, respectively.

To revisit 2022 for a moment, the top food item ordered via Grubhub was the burrito. So, the unofficial theme of last year’s annual report was warmth and comfort wrapped in layers.

I’m providing that context because this year’s report also comes with a theme. This year, it’s “doing it for the vibes.” For Grubhub, this means that users of the service broke out of their comfort zones to try new F&B items.

Providing an example, one of the standout trends for 2023 is heat. As in, Grubhub users added spice to quite a lot of orders, as you’ll see below.

Click here to review Grubhub’s top 2022 food orders, and here for their 2022 beverage orders. To review this year’s Grubhub report in its entirety, click here.

Now, let’s take a look at a number of this year’s ordering trends.

Soft Drinks & Coffee

Usually, I start with food items when reviewing these reports. Well, once you become predictable, you become beatable. So, I’m going to shake things up and begin with beverages.

According to Grubhub, a TikTok trend—#dietcokebreak—is responsible for the growth of Diet Coke on the platform. In fact, the third-party delivery service says that in-office orders of Diet Coke grew by 17 percent. No surprise, then, that the soda grabbed the top spot in 2023.

Top 5 Sodas

  • Diet Coke
  • Coke
  • Sprite
  • Dr. Pepper
  • Ginger Ale

Next, coffee orders. Per this year’s Grubhub report, people weren’t shy about ordering coffee outside of the breakfast and lunch dayparts.

According to their data, more than 10 million coffee orders were placed after 5:00 PM.

Top 5 Coffee Orders

  • Iced Coffee
  • Caramel Frappe
  • Mocha Frappe
  • Cappuccino
  • Hot Coffee

Food & Flavors

Here’s an interesting revelation: more than 600,000 Grubhub users chose to order salads with a side of French fries.

In fact, the French fry is the top ordered side in 2023 on the platform. So, Grubhub ranked fries by style.

Top 5 French Fry Styles

  • Classic cut
  • Waffle fries
  • Cheese fries
  • Sweet potato fries
  • Curly fries

Hey, let’s reignite the pineapple on pizza debate. According to Grubhub’s year-end report, pineapple as a pizza topping grew by 33 percent in comparison to 2022.

However, Hawaiian pizza has some more growth to do if it wants to take the number one spot.

Top 5 Pizza Styles

  • Cheese Pizza
  • Margherita Pizza
  • Pepperoni Pizza
  • Buffalo Chicken Pizza
  • Hawaiian Pizza

Finally, top flavors. In short, heat is a hit.

Grubhub users added spice to a staggering 53 million orders this year. For further context, sriracha was added to more than 91,000 orders.

And when it comes to chicken wings, Buffalo was the dominant style. I find it interesting, though, that no style of wing made the top five for this category.

Top 5 Spicy Items

  • Spicy potato soft tacos
  • Spicy chicken sandwich
  • Spicy tuna roll
  • Hot and sour soup
  • Drunken noodles

Bringing this report to a close, the item with the most growth. Pickles grew by 89 percent in 2023, accounting for 6.9 million orders.

So, I guess make sure your pickles, French fries, cheese pizzas, and salads are on point as we head into the New Year.

Image: Nathan Dumlao on Unsplash

by David Klemt David Klemt No Comments

New Cocktail Festival Coming to Africa

New Cocktail & Spirits Festival Coming to Africa

by David Klemt

Colin Asare-Appiah and Mark Talbot Holmes

One of the most influential people in the hospitality industry, Colin Asare-Appiah, is bringing a new cocktail and spirits festival to South Africa in 2024.

Asare-Appiah is, of course, a bartender and spirits aficionado. However, he’s also an industry educator, author, a mentor, and historian. And he’s driven to shine a spotlight on the cocktail scenes throughout Africa.

AJABU, which means “wondrous” in Swahili, is the creation of Asare-Appiah and Mark Talbot Holmes, the founder of U’Luvka Vodka. From March 12 to 13, Johannesburg will be the first city to host AJABU. Cape Town will follow closely, with the festival taking place from March 15 to 16.

To put it plainly, the cocktail community doesn’t seem to pay much attention to African countries. At KRG Hospitality, we focus primarily on North America. So, I have to admit that when it comes to industry coverage, I’m guilty of overlooking African countries as well.

Looking back at industry awards from the past couple of years drives this point home. Bars, restaurants, hotels… If they’re not in Johannesburg or Cape Town, they’re not earning nominations, honorable mentions, or rankings, with very few exceptions.

Asare-Appiah and Talbot Holmes are aiming to change this situation. They duo and their collaborators intend to build international connections between trade, brands, and media through this bi-annual cocktail festival.

To learn more about this new industry gathering, please review the press release below. Cheers!

AJABU Cocktail and Spirits Festival Set to Debut in South Africa

New International Festival will Celebrate the Incredible Growth in the African Hospitality Community in 2024 and Beyond

JOHANNESBURG, SOUTH AFRICA – AJABU, Africa’s first bi-annual international Cocktail and Spirits festival, is set to debut in Johannesburg and Cape Town next year, with the first of two week-long events taking place from March 10-18, 2024.

Curated by Colin Asare-Appiah (Bar World 100 Most Influential Figures 2023, Co-Author Black Mixcellence, Tales of the Cocktail Foundation’s 2023 Spirited Awards® Finalist: Best Bar Mentor) and Mark Talbot Holmes (founder of U’Luvka Vodka). AJABU aims to become Africa’s leading spirits and cocktail festival. It will not only connect the hospitality industry and their community across Africa and beyond, it will also inspire innovation, collaboration, and creativity, while celebrating the continent’s incredible diversity of people, ingredients, and beverages.

The word AJABU means ‘wondrous’ or ‘amazing.’ As the name suggests, the festival will embrace the wondrous diversity of the hospitality industry across Africa, connecting brands, bar trade, media and cocktail enthusiasts, while supporting a new generation of African bartenders and hospitality professionals.

Taking place in both Johannesburg (March 10-13) and Cape Town (March 13-18), AJABU will host each city’s most renowned venues for a line-up of exciting mashups. Participating award-winning international bars include Library by the Sea, Milady’s, Rayo and Trailer Happiness. These teams will partner with bars across Africa such as Front Back and Hero for a week of education sessions, spirited forums, wine tours, and hosted dinners at local Johannesburg and Cape Town venues. In Johannesburg, festival-goers can look forward to experiencing the unique offerings of bars such as Sin + Tax, Saint, Smoking Kills, Cin Cin Zioux, Mesh Club, and Marabi Club. Meanwhile, Cape Town will host festivities at Cause/Effect, Art of Duplicity, Chef’s Warehouse, Hacienda, The Drinkery, House of Machines, Asoka, and Talking to Strangers.

“AJABU is a platform to celebrate Africa’s vibrant spirit and bartending culture,” exclaims Asare-Appiah. “We’re committed to fostering the growth of the hospitality industry across the continent by inspiring and empowering the bartending community to push the boundaries of their craft while providing a unique platform to showcase the diverse and rich culture of African drinks and ingredients.”

AJABU is thrilled to announce its partnership with local industry legends Kurt and Etienne Schlechter as well as award-winning writer & educator Leah Van Deventer as the team on the ground.

The festival will soon announce a lineup of the world’s best bars who will bring their creativity and knowledge to Johannesburg and Cape Town venues. Attendees can anticipate an unforgettable gathering of industry-leading professionals who will surprise and delight attendees with their creativity and innovation.

The March edition of AJABU will be followed by another week-long event across both cities in November, in partnership with Cape Town Beverage Show.

For more information, please visit ajabufestival.com

About AJABU

AJABU is Africa’s first annual international spirits and cocktail festival, created by Colin Asare-Appiah (Bar World’s 100 Most Influential Figures 2023, Co-Author Black Mixcellence of the Cocktail Foundation’s 2023 Spirited Awards® Finalist: Best Bar Mentor) and Mark Talbot Holmes (founder of U’Luvka Vodka). With a mission to become the continent’s leading hospitality community gathering, AJABU connects the industry across Africa and beyond to inspire innovation, collaboration, and creativity.

Image: AJABU

Bar Pub Brewery Nightclub Club Nightlife Business Plan

by David Klemt David Klemt No Comments

Transactional vs. Experiential Service

Is Your Business Transactional or Experiential?

by David Klemt

Gloved chef's hand pressing down on cheeseburger bun

When you consider your restaurant or bar honestly, is the service you and your team are providing to guests transactional or experiential?

It’s an important distinction, and it applies to every restaurant and bar category. Whether operating a QSR or FSR, today’s guests want more for more their money.

Further, they expect more just for choosing to leave their homes. A recent report from CWB Franchise Finance, in partnership with Circana and fsStrategy, indicates strongly that experiential concepts are on the path to weathering economic challenges and achieving long-term success.

Now, to be clear, of course all businesses are transactional. In that regard, restaurants and bars are clearly no different from other businesses.

Guests come in, they place orders, and they pay for the goods they receive. Transactional, right?

However, restaurants and bars are in a position to deliver memorable experiences.

Sure, for some people those memories are fleeting. There are those who are always seeking the next thing. But operators who become known for providing more than just menu items will remain on the radar of even the most fickle guest.

When a restaurant or bar delivers goods plus phenomenal services, when the guest experience involves more than just ordering and paying, it becomes experiential.

Think back to the times this year you’ve popped into a QSR or fast-casual restaurant. Can you remember much about the experience? If yes, fantastic—that operator understands the power of an experiential business model. Should the answer be no, that operator sees value only in being transactional.

Which are you happy to return to in the future?

Experience is King

I’m going to assume you’re much happier to return to an experiential concept than a strictly transactional one. And if that’s a correct assumption, you should apply that to your own restaurant or bar.

According to studies Circana has conducted over the past couple of years, Canadian consumers are reacting to economic uncertainty and financial instability as one would expect: cutting back on discretionary spending.

Generally speaking, that means reducing their spending at restaurants and bars. However, there’s a bit of good news tucked into those Circana studies.

Per Circana, half of Canadians plan to increase spending on something in particular: experiences. Further, 91 percent of Canadians say they’ve spent money at experiential restaurants recently.

“A restaurant visit isn’t necessarily just about nourishment, but instead is a platform for socializing, entertainment and exploration,” reads the joint CWB, Circana, and fsStrategy report.

Importantly, an operator need not go to extremes to deliver an experience. Something as simple as creating an LTO around craveable drinks can pay huge dividends. For proof of that, simply look at McDonald’s in the US and the hype that surrounded the berry-flavored Grimace Shake.

Operators throughout Canada and around the globe need to understand how impactful being experiential can be.

Takeaway

It’s true that operators are competing against one another. However, it goes deeper than that now.

Operators are also battling convenience and comfort. Between working from home, pandemic-induced isolation, and technology, people are used to staying in and ordering whatever they want.

So, not only are operators faced with the challenge of standing out from one another, they’re up against the phones in people’s pockets.

For many people, choosing to leave home to dine and drink in person is a big deal. To some, restaurants and bars are about celebrating special occasions or socializing. For others, the motivation is as simple as the need to finally get out of their home.

It’s imperative, therefore, for operators to be more than transactional. Being experiential, whether the experience is small but impactful or over the top and unforgettable, is the way forward.

Restaurants and bars that deliver a memorable experience are better positioned to remain top of mind for a guest’s future in-person visits, delivery and takeout orders, and large-party special events. Don’t think of being experiential just in terms of nailing each visit, think of elevating the guest experience to capture future business.

A focus on the experiential builds loyalty from existing guests, and it encourages those guests to become ambassadors of your brand. Ask what you can do with your menu, team, and space today to become more experiential than transactional.

Image: Thiago Miranda on Pexels

Bar Nightclub Pub Brewery Marketing Agency Team

by David Klemt David Klemt No Comments

FTC Targets Restaurant Fees and Surcharges

FTC Targets Restaurant Fees and Surcharges

by David Klemt

The Federal Trade Commission Building

The Apex Building, also known as the Federal Trade Commission Building in Washington, DC.

Well, that didn’t take long. Less than two months after asking for the public’s input, the Federal Trade Commission is proposing legislation targeting additional fees and surcharges.

The proposed rule is known as the “Unfair or Deceptive Fees” rule. As one may imagine, the FTC is going after hidden and so-called “junk” fees.

As it stands, according to multiple outlets, this rule would prohibit restaurant and bar operators from surcharges that are commonplace. For example, larger-party fees, delivery surcharges, and even credit card processing charges would be banned by the rule.

Instead, operators would be compelled to list total prices on menus, whether for goods or services. Further, the FTC is directing operators to provide larger groups with “larger group” menus. These separate menus would show total prices calculated to include any surcharges.

Even further, it’s being reported that the FTC is also addressing tips. The Commission’s rule directs operators who charge service fees in place of tips to remove the fee and return to tipping.

Interestingly, the National Restaurant Association is reporting that the FTC never identified restaurants as a targeted industry when asking for public comments about junk fees. However, other sources claim that restaurants were indeed included when the FTC put forth the request for public feedback.

Regardless, it’s a fair statement to say that the Commission doesn’t understand restaurant operation and costs. It appears that the FTC either didn’t work with any operators when drafting these proposed rules. Or, if they did seek out restaurant operator input, they put very little stock into it.

Costing Independents

One thing that’s clear is these proposed rules will cost operators. In particular, compliance will cost independent operations, which account for nearly 70 percent of American restaurants.

According to the NRA, the cost of changing menus will cost nearly $5,000 per operator, for starters.

“The FTC doesn’t take the realities of the restaurant industry into consideration,” reads the Association’s fact sheet. “Its estimated compliance cost—$3.5 billion—would equal a cost of $4,818.27 per operator for menus alone. Small independent operators run on a 3-5% margin and make an average of $45,000/year. The cost of making this change would be approximately 10% of their total income.”

As independent operators can attest, credit card swipe fees are a dynamic cost that affects them disproportionately in comparison to their chain restaurant counterparts. Since these fees are calculated on a per-transaction basis and not fixed, adjusting menu prices to comply with the FTC’s rule puts them at a costly disadvantage.

Then there’s the simple fact that when restaurants raise prices, traffic tends to drop. When traffic drops, revenue goes with it. And when traffic and revenue drops, hours are cut back, and people lose their jobs.

Harmful Legislation

As far as I can tell, this is another example of a government agency attempting to impose rules on an industry it doesn’t understand.

When drafting legislation that affects restaurants, a group of operators and industry advocates that truly represents those who will be impacted should be impaneled. Input should be taken into thoughtful consideration before drafting rules, and drafts should be provided to the panel to receive feedback.

Unfortunately, the past few years have made it clear that our industry has very few friends the federal government. Our lobby, such as it is, simply isn’t respected as valuable enough to warrant consideration before imposing harmful rules on the industry.

This, despite the fact restaurants and bars in America employ more than 12 million people. That’s a lot of voters too many elected lawmakers are willing to dismiss as unimportant.

Image: ipse dixit on Unsplash

by David Klemt David Klemt No Comments

af&co. x Carbonate: 2024 Trends to Watch

af&co. x Carbonate: 2024 Trends to Watch

by David Klemt

Paddle and ball on pickleball court

Marketing and creative agencies af&co. and Carbonate Group‘s 16th annual Hospitality Trends Report provides in-depth insight across several categories.

This is an in-depth, insightful report operators should review in its entirety. The “Sweet Sixteen” edition of this yearly report is available for download here.

There are two interesting details toward the end of af&co. and Carbonate’s report. First, a list of 2023 clients. Second, an explanation for the design of the report itself.

This makes sense: Carbonate is a creative agency that works in the hospitality space, after all. Further, af&co. is a hospitality industry marketing agency.

Now, I won’t be sharing every trend or insight found in these two agencies’ report. Rather, I’m highlighting a number of items across four of the report’s six categories. Again, I think operators and leadership team members should download the report for themselves.

Food

While af&co. and Carbonate identify specific cuisines and items that are trending, it’s their 10,000-foot view of food that I find most compelling. In terms of the big picture, “rigid” adherence to authentic cuisine is falling out of favor.

Chefs, in the agencies’ opinions, are taking a more modern approach to menus. Instead of following the “rules” of certain cuisines, they’re creating dishes and programs that defy labels. Of course, for those who feel the need to label, one could call this approach “contemporary fusion.”

Examples given are Good Luck Gato’s Okonomiyaki Baked Potato, and the Birria Dumplings at Little Bull.

Cuisine Trends

Of course, af& co. and Carbonate also zoom in on food. Their Cuisine of the Year goes to Korean.

Dessert of the Year goes to the Pavlova or Eton Mess. So, one can argue that operators should connect with their back-of-house teams about meringue-based desserts.

Other food trends include making pastries with buckwheat; getting inventive with mortadella; serving borek in snack and entree size; and Brazilian-style pizza.

However, it’s a presentation trend that stood out the most to me. Accompanied by a timeline complete with images, the agencies state confidently that we’re in the “Crescent Moon” era of plating.

Visualize a plate, then place all of the food along the edge, with roughly two-thirds of the space open. That’s the crescent moon presentation.

Beverage

A number of the trends in this section aren’t exactly new. That tells me that some are likely on the brink of moving from trend to ubiquity.

That, or they’re at risk of bumping against their expiration date.

Two trends that have been popping their fins out of the sea of cocktails for a bit make it into the af&co. and Carbonate report. One is clarified cocktails.

Spend a bit of time looking up cocktails on social media and you’ll see these are a bit divisive. Some bartenders are all for them, some appear to absolutely despise this trend. Guests, however, seem to like the novelty of well-known, opaque or translucent classic turning transparent.

Another drink trend? Culinary cocktails. For food-driven concepts, it makes perfect sense to encourage the bar team to work closely with the kitchen team. Offering culinary cocktails is one method of pulling a concept’s threads tighter, telling a more complete story.

Along those lines, the agencies identify another divisive cocktail trend: cheese.

Personally, cocktails that feature cheese aren’t my thing. However, these drinks are, at the minimum, going to grab a guest’s attention. And those who order these drinks aren’t likely to forget the experience any time soon, good or bad.

That last point is important for operators and their teams to remember. A negative experience can be more powerful and stick with a guest longer than a positive one. So, pursue trends with caution.

Hotel

One of the biggest hotel developments the Hospitality Trends Report identifies is the dual-brand hotel. This is also a trend with which KRG Hospitality is well acquainted, both through industry research and client projects.

So far, the most common approach tends to include two towers, a shared lobby and fitness center, and shared F&B concepts. However, there are properties that incorporate not only brand-specific design for each tower but separate the bars and restaurants as well.

Notably, Marriott opened the first-ever tri-brand hotel in Nashville in 2019. The hotel and resort colossus combined an AC Hotel, a Residence Inn, and a SpringHill Suites.

Another interesting hotel trend? Eco-friendly, pre-fab construction. An excellent example of this approach is Moliving. To learn more about this brand, check out Bar Hacks podcast episode 68 with Jordan and Hanna Bem.

Interest by consumers in supporting eco-friendly brands informs two other trends identified by af&co. and Carbonate. One of these is hotels and resorts including e-bikes among their amenities.

Another is rewarding guests for engaging in a number of green initiatives. For example, cleaning up the beach in front of a hotel, or helping to plant trees on or near the property.

Speaking further of amenities, hotel and resort operators are likely aware that if they have courts for racquet sports, they need to include pickleball.

Design

Operators considering a refresh or starting from a clean slate for a new space may want to work with a designer on the following approach: maximalism.

According to the 16th annual Hospitality Trends Report, this bold, playful design language is on the rise. Following this trend, af&co. and Carbonate think that maximalism is working particularly well for “concept-driven, design-forward” bars.

As far as colors and materials operators may want to ask designers about, the agencies suggest pink, bronze, gold, and velvet. These colors are warm and welcoming, exactly what a hospitality venue should be.

To download the Hospitality Trends Report, click here. Two categories not covered in this article are Marketing Ideas and Social Media Trends, so follow that link!

Image: Mason Tuttle on Pexels

Bar Nightclub Pub Brewery Menu Development Drinks Food

by David Klemt David Klemt No Comments

SevenRooms Unveils 3 Powerful New Tools

SevenRooms Unveils Three Powerful New Tools

by David Klemt

Booth seating inside a restaurant or bar

SevenRooms clients will have access to three new tools that will further enhance guest engagement, increase loyalty, and boost relationships with VIPs.

Each of these consumer-facing solutions is launching in time for the holiday season.

First up, 7R Priority Alerts. This tool helps operators manage their waitlists and generate revenue. We all know that even restaurants that require reservation fees end up with no-shows. Some platforms are capable of attempting to fill those available reservation slots. However, there’s not normally much control over who receives availability alerts.

Now, operators will have the power to target specific guests through automated reservation notifications. As 7R explains this tool, operators will be able to identify, label, and reward their most-valuable guests. These guests will feel like VIPs, increasing their loyalty, visits, and spends.

Then there’s Private Line. This is my favorite of the three new tools. Operators who implement this tool will be able to share an exclusive messaging line. So, a VIP such as a big spender, frequent diner, a member of the press, or an influencer can reach out to the team directly.

With Private Line, a VIP can inquire about a last-second reservation or make a special request. Again, this is the type of feature that increases loyalty and visit frequency.

Most people find new restaurants through friend, family, or coworker referrals. That got the 7R team thinking: How can restaurants reward people who refer new guests?

Enter: Word-of-Mouth Referrals, the third new tool on this list.

Pushed to guests via automated email marketing campaigns and post-visit surveys, a custom referral link is created for every diner. The guests then share that link, new guests make reservations, and the cycle continues. Operators, of course, reward guests for these referrals through any number of means, such as redeemable loyalty program points, comped F&B items, etc.

To learn more, please read the 7R press release about Priority Alerts, Private Line, and Word-of-Mouth Referrals below.

NEW GUEST-FACING SEVENROOMS FEATURES MAKE IT EASIER FOR OPERATORS TO REWARD LOYAL GUESTS AND PERSONALIZE COMMUNICATION

Priority Alerts, Private Line, and Word-of-Mouth Referrals redefine guest engagement and communication between restaurants and their most important guests

NEW YORK – SevenRooms, a guest experience and retention platform for the hospitality industry, today announced the launch of Priority Alerts, Private Line, and Word-of-Mouth Referrals, three new consumer-facing features that help operators connect with and reward their most loyal guests. With guests expecting more from their dining experiences than ever before, these solutions were purpose-built to solve real pain points for hospitality operators. These include alerting a specific diner about reservation availability, providing new ways for guests to get in touch and making it easier for guests to recommend their favorite restaurants to friends and family.

Priority Alerts helps operators control who they send automated reservation availability notifications to so they can prioritize their most valuable guests. In comparison to other reservation notification systems, restaurants choose who receives a Priority Alert first, not just deciding between a blast to their entire waitlist or to an exclusive subset of credit card holders. Instead, they can prioritize the guests that matter most to their business – whether that’s a VIP, loyalty member, frequent or recent diner, local, high spender, or someone else. This helps restaurants reward their most valuable guests to get them through their doors more often.

Private Line was created to give important guests an easier, faster way to get in touch with their favorite restaurants. With Private Line, restaurants can now offer their high-value guests – like VIPs, press, frequent diners and top spenders – an exclusive messaging line that can be used to instantly get in touch with their team. Whether a guest is looking for a last-minute reservation, has a special request, needs to add a friend to a booking or another ask, restaurants no longer miss out on opportunities to wow the guests that matter most. All conversations are centralized within the SevenRooms mobile app, making it easy for staff to book a table, add in requests or make other changes with just a few clicks.

Word-of-Mouth Referrals, the third consumer-facing feature launching with our fall release, gives restaurants the ability to motivate, track and reward loyal guests for referring new diners. According to recent data, 61 percent of diners discover new restaurants from friends, family and co-workers. Yet, without an easy way to capture this untapped demand, restaurants have historically left dollars on the table. Word-of-Mouth Referrals automatically creates personal referral links for every diner – shared through post-meal surveys and automated email campaigns – making it simple for guests to share with their networks and be rewarded with perks they’ll want to earn and use. Restaurants can tap into this high-value marketing channel for their business, rewarding loyalty and ensuring exceptional experiences for newcomers and regulars that translate into more sales and profits.

“At SevenRooms, our focus from day one has been on building innovations that help operators increase profitability, drive sales and improve the experiences of their guests. These three new features, all integrated into the SevenRooms platform, give operators new ways to connect and communicate with their guests – helping them evolve to meet the needs of guests who know what they want, how they want it, when they want it,” said Angela DeFranco, VP of Product at SevenRooms. “In an increasingly competitive landscape where consumers have more choice than ever before in where they choose to take their business, we’re dedicated to finding new ways for restaurants to connect and market more effectively to their guests with tools that not only make them more money, but help them execute on experiences that guests remember and recommend. Restaurant marketing is no longer one-size-fits-all, and we are redefining the role that technology can play in creating truly personalized guest engagement and marketing touchpoints at every stage of the guest journey.”

“The plan was to always move to SevenRooms because the technology was far superior, the potential for integration with our point of sale system was a lot stronger and owning the data was a huge deal,” said Kim McDiarmid, Partner at Liquid and Larder. “SevenRooms’ Priority Alerts has been a dream for us. Compared to our previous platform, it’s a lot more customizable and fully automated so it does the heavy lifting for us. We’re going to use it to give priority to guests who match criteria such as those who dine with us regularly, and with that, it will work even harder for us.”

For more details on SevenRooms’ newest innovations, please visit sevenrooms.com/new.

About SevenRooms

SevenRooms is a guest experience and retention platform that helps hospitality operators create exceptional experiences that drive revenue and repeat business. Trusted by thousands of hospitality operators around the world, SevenRooms powers tens of millions of guest experiences each month across both on- and off-premises. From neighborhood restaurants and bars to international, multi-concept hospitality groups, SevenRooms is transforming the industry by empowering operators to take back control of their businesses to build direct guest relationships, deliver exceptional experiences and drive more visits and orders, more often. The full suite of products includes reservation, waitlist and table management, online ordering, mobile order & pay, review aggregation, email marketing and marketing automation. Founded in 2011 and venture-backed by Amazon, Comcast Ventures, PSG and Highgate Ventures, SevenRooms has dining, hotel F&B, nightlife and entertainment clients globally, including: Marriott International, MGM Resorts International, Mandarin Oriental Hotel Group, Wynn Resorts, Jumeirah Group, Hard Rock Hotels & Resorts, Wolfgang Puck, Michael Mina, Bloomin’ Brands, José Andrés Group, Union Square Hospitality Group, Australian Venue Company, The Wolseley Hospitality Group, Dishoom, Live Nation and Topgolf. www.sevenrooms.com

Image: Carson Masterson on Unsplash

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

by David Klemt David Klemt No Comments

Indies: Which Cities Lead the Way?

Independents: Which Cities Lead the Way?

by David Klemt

Aerial view of Chicago skyline and Lake Michigan coastline

The majority of the top ten indie restaurants on the Restaurant Business Top 100 Independents ranking are in two American cities.

Those two cities are Miami Beach, Florida, and Chicago, Illinois. While Miami Beach claims two spots among the top three, Chicago has the most restaurants in the top ten. However, the top three indies are all in Florida, with number two being the Boathouse in Orlando.

So, Florida and Illinois are home to nearly the entire top ten of Restaurant Business’ Top 100 Independents. That’s impressive.

What’s even more impressive is the combined annual sales figure of the top ten: $333.4 million. Now, let’s separate Miami Beach. The three indies in the Florida city generated nearly $114 million themselves. Chicago’s four indies among the top ten generated $118 million.

Taken together, the top 100 indies generated $1.95 billion.

All told, 14 of the top 100 indies as ranked by Restaurant Business are in Chicago. Five are in Miami Beach, and five are in Miami. Before I move on, no, Miami Beach and Miami aren’t the same city; they’re entirely separate municipalities. In total, 16 restaurants on this list are in Florida.

New York boasts 15 restaurants on the list. Four are in San Francisco, and just two are in Los Angeles. However, California claims 15 restaurants in total.

However, as you’ll see below, this Restaurant Business list consists of more than just the usual big cities.

Restaurant Business Top 100 Independents: The Top Ten

Below, the top ten independent restaurants, per Restaurant Business.

  1. Joe’s Stone Crab Restaurant (Miami Beach, Florida)
  2. The Boathouse (Orlando, Florida)
  3. Komodo Miami (Miami Beach, Florida)
  4. Maple & Ash Chicago (Chicago, Illinois)
  5. Mila (Miami Beach, Florida)
  6. Sierra Mar (Big Sur, California)
  7. Gibsons Bar & Steakhouse (Chicago, Illinois)
  8. Gibsons Italia (Chicago, Illinois)
  9. Alexxa’s (Las Vegas, Nevada)
  10. Alinea (Chicago, Illinois)

Alinea commands the highest average check among the top ten, at $650. The most reasonable is the Boathouse, averaging $45.

Interestinglyand perhaps logicallythese two restaurants find themselves in the inverse when it comes to annual meals served. The Boathouse serves the most: just over one million. And Alinea, among the top ten indies, serves the least: nearly 45,700.

Notably, when we move on to numbers 11 to 20, Las Vegas, Miami, and New York account for six restaurants.

However, it’s also notable that it’s not just the usual big cities with restaurants on this list. Smaller cities, such as Frankenmuth in Michigan, are home to some of America’s top-performing independent restaurants.

For some context, Frankenmuth has a population of less than 5,200 people. However, Michigan’s “Little Bavaria” draws three million tourists per year. So, it’s no surprise that Zehnder’s Restaurant generates more than $19 million in annual sales.

Restaurant Business Top 100 Independents: The Bottom Ten

Just for fun, let’s take a look at the bottom ten on the Restaurant Business list.

  1. Siena Tavern (Chicago, Illinois)
  2. Fleet Landing Restaurant & Bar (Charleston, South Carolina)
  3. Electric Lemon NY (New York, New York)
  4. Bar Siena (Chicago, Illinois)
  5. El Vez (Philadelphia, Pennsylvania)
  6. Mi Vida (Washington, DC)
  7. Scoma’s Restaurant (San Francisco, California)
  8. Mexican Sugar (Las Colinas, Texas)
  9. The Shed Barbecue & Blues Joint (Ocean Springs, Mississippi)
  10. Chef Adrianne’s Vineyard Restaurant and Bar (Miami, Florida)

Adding context, these ten restaurants have generated $114.6 million in annual sales. That’s roughly the same amount of annual sales as the three restaurants in Miami Beach in the top ten.

Each of the “bottom” ten has annual sales ranging from $11.2 million to $11.9 million.

Takeaway

We all know the following axiom: “Location, location, location.”

It’s tempting to assume this means a business must be in a major city. That’s a woeful oversimplification. Myriad considerations must be made when looking at a market, whether the population is in the hundreds or millions. Assuming a concept will drive traffic and generate millions of dollars solely because it’s in a major city is foolish.

Let’s take another look at Zehnder’s in Frankenmuth. The restaurant, number 47 on the list, generated $19.2 million in annual sales. Moreover, it’s in a town with a population under 5,200.

Number 46 generated $19.3 million and is in (on?) Waimea in Hawaii. Number 48 boasted annual sales of $19 million and is in a city with a population of almost 2.7 million: Chicago.

Clearly, tourism a key contributing factor to the success of Zehnder’s. Not population, not the demographics of the permanent residents, not big-city status.

So, what about check average? Alinea, number ten, has the highest at $650 and generated $28.3 million in sales. However, the Spot, number 85, has an average check of $18 and generated $12.3 million.

The success of any restaurant, bar, nightlife or eatertainment concept doesn’t come down to a single element. What sets a concept apart is a deep understanding of a specific market, the surrounding markets, “sister” sites and competitors, guest desires and expectations, and so much more.

How does an operator come to understand their operation and their market? A feasibility study to start. Then comes a thorough, coherent concept plan and a complete business plan, and an obsession with data.

Operators who put in the work to attain strategic clarity have the potential to earn their way onto the Top 100 Independents list.

Image: Cameron Casey on Pexels

Bar Pub Brewery Nightclub Club Nightlife Business Plan

by David Klemt David Klemt No Comments

Two New Review Platforms You Need to Know

Two New Review Platforms You Need to Know

by David Klemt

Person looking at restaurants on a map on their phone

Operators should be aware of two new review platforms that will help people discover their restaurant, bar, nightclub, or eatertainment venue.

At this point, we’re all aware of the mainstream review sites. Google, Yelp, OpenTable, Tripadvisor… Whether viewed as a helpful discovery tool or nuisance, each is a well-known player.

Well, there are new platforms on the scene. Importantly, each one is putting their own stamp on how people review venues and discover new experiences.

For example, I wrote about a new platform that rejects negative reviews a few weeks ago. It’s Good “believe[s] a restaurant rec from 1 trusted friend is more valuable than recs from 10,000 strangers.”

The founders, including Kevin Auerbach (former Apple), Meghan Raab (former Snap), director and photographer Mike Rosenthal, and songwriter and performer John Legend, have also eschewed the standard star rating.

So, that’s one modern-day take on the review platform. Now, two others.

Atmosfy

By now, most people are aware that video content outperforms static photography on social media. In other words, people engage more with video.

That’s not to say that static photography is obsolete. Rather, when it comes to discovery, video appears to be king at the moment.

Enter: Atmosfy.

This platform is all about video reviews. In fact, their website reads, “A video is worth a thousand pictures.” Restaurant, bar, nightlife, and eatertainment operators should see the value in users showing off their experiences via video.

In addition, users get access to a personal map. They can bookmark places they’ve been and want to go, and share their experiences so others can discover them.

And with $12 million in seed funding from Redpoint Ventures and other venture capital firms, operators can be certain this is no flash in the pan. In fact, Atmosfy supports in excess of one million businesses in over 10,000 cities in more than 150 countries.

Recs

First, the T-rex mascot of this platform is pretty cool.

Second, Recs takes a similar approach to It’s Good. However, the founders, Jesse Berns and Sean Conrad, have put their own spin on review platforms.

Like It’s Good, Recs sees far more value in recommendations from friends than strangers. Also, there’s no star rating system, nor will users find negative reviews.

 

View this post on Instagram

 

A post shared by Recs (@getrecs)

Another interesting detail: Users aren’t able to leave anonymous reviews. This is because Recs is built for recommendations among friends. Were a user to be anonymous, they wouldn’t be discoverable to friends, and therefore they’d be leaving recommendations to…nobody.

However, the most important element of Recs (arguably) is that users either recommend a place or they don’t.

So, in theory, if a business is blowing the guest experience, they won’t even be discoverable on Recs because nobody will be recommending it. At least to a specific core of users, that business won’t exist in their world on Recs.

As far as the Recs user experience, people save venues as “recommend” or “wanna go.” Users find their friends, share their lists, and discover new places to try by checking out their friends’ lists. A simple, straightforward way for people to eat, drink, and hang out together throughout a city.

Takeaway

Simply put, an operator needs to know how people are discovering their business. Operators need to meet guests where they are, which means online.

So, operators need to know about new platforms. When sending a post-visit surveyit doesn’t need to be lengthy—operators should ask how guests learned about their venue. This is one way to stay up to date on social media and review sites.

A comprehensive and effective marketing strategy includes review and discovery platforms. Certainly, operators ignore discovery tools at their peril.

Image: abillion on Unsplash

Bar Pub Brewery Nightclub Club Nightlife Brand Identity

by David Klemt David Klemt No Comments

Taco Bell Leveraging Subscriptions & LTOs

Taco Bell Leveraging Subscriptions & LTOs

by David Klemt

Taco Bell Grilled Cheese Nacho Fries

Not for the first time, Taco Bell is showing the industry the power of offering fan-favorite limited-time offers and leveraging subscriptions.

These days, everything seems to be subscription-based. We stream shows and movies via subscriptions. We can have food, clothing, gadgets, collectibles, and knick-knacks delivered to us by subcription.

Car features like heated seats, remote engine start, and self-driving? Subscriptions. Want to use software we used to buy once and install? Now we’re paying monthly to use it (or up front for a “discounted” yearly fee).

So, why should people find it odd to subscribe to one of their favorite restaurants? If the value is there for a consumer it’s no different than paying a monthly fee for other products and services to which they subscribe.

Clearly, Taco Bell has an acute understanding of people’s comfort with subscriptions. For many consumers, they’re the norm, just part of their daily routine.

As evidence, I introduce Exibit A, the Taco Lover’s Pass.

What makes this subscription noteworthy is the fact that it’s only a few years old, and it’s not even a permanent subscription. As Taco Bell Rewards members know all too well, only they can cop a Taco Lover’s Pass, and it only comes available every so often.

Most times, members have just one day to grab a pass. However, people had two whole days to decide the last time it became available.

And now, Exhibit B, the Nacho Fries Lover’s Pass.

An LTO Subscription and Item

Look, tens of millions of people love tacos. So, it’s logical that the Taco Lover’s Pass is so successful.

And if the past several years have shown us anything, millions of people also love Nacho Fries. The LTO menu item first appeared in Taco Bell restaurants in 2018. A few years later, in 2021, the Taco Lover’s Pass was tested in Arizona.

Why wouldn’t we eventually see a Nacho Fries Lover’s Pass, given the hype that follows every reintroduction of this popular item? Taco Bell has mastered the art of the LTO and the subscription. More specifically, they’ve mastered the recurring subscription. Remember, their passes aren’t permanent offerings.

Further, the iconic QSR also understands the power of the “drop.” At this point, it seems as though Taco Bell has noticed the rabid stir a limited-edition shoe or clothing drop can create for the fashion industry, studied it, and adapted it to foodservice.

With that said, the last Taco Lover’s Pass was accompanied by a menu item drop: the Toasted Breakfast Taco. If you think the Nacho Fries Lover’s Pass also ushered in an LTO, you’re correct.

The first-ever Nacho Fries Lover’s Pass comes along with the limited-time-only offer of Grilled Cheese Nacho Fries.

Take the Nacho Fries, slather them in a sauce of melted mozzarella, monterey pepper jack, and cheddar cheeses, add Taco Bell nacho cheese and chipotle sauce, and toss on some marinated steak. There you go—Grilled Cheese Nacho Fries. They’re just $4.99 while supplies last, and there’s a spicy version made with jalapeños.

It’s no surprise that Taco Bell is BrandVue’s most-loved Mexican restaurant brand, and number eight on their overall list of most-loved restaurant brands.

Takeaway

Loyalty and rewards programs, subscription services, hyped LTO menu drops… These aren’t the exclusive domain of global chain restaurants.

Independent operators can absolutely leverage LTOs and subscriptions. Moreover, indies can do so with as much—if not more—specificity. Independent and regional chain operators tend to be far more nimble than their large chain counterparts.

After all, it’s much easier to implement change in one or a handful of restaurants than it is hundreds or thousands of locations. In theory, single-unit operators also know their loyal guests on a more intimate level. Where that’s the case, they should know what levers to pull to generate interest and encourage repeat visits.

It’s no small task to create a subscription program, let alone a free-to-use-but-engaging, branded rewards program. And that’s to say nothing of coming up with menu item so powerful that taking it away for months at a time is a feasible, profitable thing to do. Although, if you’ve shrunk your menu and eliminated a decent food or drink performer, you may have somewhere to start.

With time and thoughtful consideration, independent and regional operators can absolutely nail rewards, subscriptions, and LTOs.

Image: Taco Bell

Bar Nightclub Pub Brewery Menu Development Drinks Food

by David Klemt David Klemt No Comments

2023 State of the Menu: Datassential

2023 State of the Menu: Datassential

by David Klemt

Korean fried chicken wings

The annual 2023 State of the Menu by Datassential includes an interesting metric to gauge restaurant recovery: menu size by segment.

Hosts Jack Li, Mike Kostyo, and Claire Conaghan discuss a handful of topics during this webinar. Host Li touches on food-forward cities at the beginning of this presentaiton. Kostyo shares some of the most innovative menu items out there right now. And Conaghan dives deep into menu trends.

Industry professionals interested in watching this webinar on demand can register to do so here.

There are a handful of metrics people are using to measure post-pandemic restaurant recovery. Labor is, of course, receiving a lot of attention. People are also tracking traffic, average check size, revenue, and profits.

One metric Datassential is keeping tabs on is menu size per restaurant segment. Additionally, they’re tracking each segment’s top-growing food and beverage items.

Notably, however, in tracking menu size, Conaghan focuses solely on food and non-alcohol beverage items, omitting catering and alcohol.

Chains vs. Independents

Starting things off, Conaghan addresses the overall menu size trend. That is, menus are noticeably smaller in comparison to pre-pandemic sizes.

Interestingly, chain restaurants don’t appear to be in any rush to move away from this trend. In fact, Conaghan notes that chains appear to be further reducing the size of their menus. This has been the trend over the past 12 months.

According to Conaghan, fine dining also seems to be happy to shrink their menus. Menu size shrunk the most among restaurants in this segment. In comparison, quick-service menu sizes decreased the least.

However, independent restaurant operators appear to be going in the opposite direction from their chain counterparts. In contrast, indies have been growing the size of their menus the past 12 months.

Menu Size by Segment

Fast Casual

Per Conaghan, the only segment to reach pre-pandemic menu size is fast casual. In fact, this category of restaurant is often exceeding pre-pandemic items-per-menu size.

This increase in menu size is attributable to operators “leaning into” core cuisine items. For example, sandwiches, Mexican entrees, and pizza.

However, the fastest-growing food item on fast-casual menus is the chicken wing. According to Conaghan, it’s easy for operators to innovate with chicken wings.

A restaurant doesn’t have chicken wings? All they have to do is add them, starting with simple preparations. If a restaurant does have chicken wings on the menu already, innovation is as simple as adding new flavors.

As far as the fastest-growing drink for fast-casual restaurants, it’s dessert beverages.

QSR, Casual Dining, and Midscale

These three segments are “very, very close” to reaching pre-pandemic menu sizes.

As midscale operators are likely very aware, this segment tends to have the largest menus. I wouldn’t be surprised, therefore, if a number of midscale concepts review their items per menu, their costs, and decide they can perform well with slightly smaller menus moving forward.

Unsurprisingly, chicken wings are the food item growing most quickly on QSR food menus. Oh, and barbecue chicken wings are the fastest-growing food item among casual dining restaurants.

Perhaps a bit more eyebrow-raising is the fastest-growing beverage type for QSRs: energy drinks. Boba and flavored iced teas are growing fastest on casual-dining drink menus.

For midscale restaurants, dessert samplers are the fastest-growing food items. Think “dessert charcuterie” when trying to picture a dessert platter. Another way to think about the dessert sampler is a static dessert cart with small bites of each dessert on the menu.

Fine Dining

Again, this segment is the furthest from pre-pandemic menu size. And, again, operators in this category seem happy with this trend.

An interesting note Conaghan makes about this segment is what many operators are using to fill out their menus: desserts. This is, she says, an area where fine dining can differentiate itself from other concepts.

Per Conaghan, bao, applesauce, and summer squash are growing the fastest on fine-dining food menus.

Now, I may have slipped into a fever dream during this portion of the Datassential webinar. Because unless I’m mistaken, the Shirley Temple has been identified as the fastest-growing beverage in the fine-dining space.

Pricing

Okay, so this segment of the 2023 State of the Menu webinar isn’t really a recovery metric.

However, it’s interesting, and something Jack Li says about chain restaurant pricing made me chuckle.

Most Expensive vs. Least Expensive

First, some straightforward data.

The following list identifies the five most-expensive ZIP codes for chain restaurant menu pricing. Anyone who wants the full list of 15 most-expensive ZIP codes can watch the webinar.

  • 10036 (New York, NY)
  • 96707 (Kapolei, HI)
  • 98902 (Yakima, WA)
  • 96815 (Honolulu, HI)
  • 99503 (Anchorage, AK)

It’s understandable to think this would consist entirely of New York City, Los Angeles, or San Francisco ZIPs. But when we consider what it costs operators to import food to Hawaii and Alaska. Additionally, Washington and New York are among the states with the highest minimum wage. Operators need to recover those costs somehow.

And now the five least-expensive ZIP codes:

  • 78526 (Brownsville, TX)
  • 75224 (Dallas, TX)
  • 76106 (Fort Worth, TX)
  • 31907 (Columbus, GA)
  • 31701 (Albany, GA)

Pricing Logic

Now, on to what Li says during the webinar that makes me laugh.

Nationwide, the average price of a McDonald’s Big Mac in the US is $5.26. (A caveat: This webinar took place in October. This price may have increased or decreased by now.)

However, the lowest price for a Big Mac is $3.49 at a location in Wilburton, Oklahoma.

So, what’s the highest price, and where can one find these pricey Big Macs? Three McDonald’s locations sell the burger for $8.29. That’s nearly two-and-a-half times the lowest-priced Big Mac.

Summarizing pricing variations among chain restaurants succinctly, Li made me laugh with the following: “Store pricing often just doesn’t make sense.”

Going further, Li says Datassential shows that the more franchised a restaurant chain is, the more variances in pricing will occur.

The full webinar can be viewed here.

Image: Leonardo Luz on Pexels

Bar Nightclub Pub Brewery Menu Development Drinks Food

by David Klemt David Klemt No Comments

Datassential Ranks Food-forward Cities

Datassential Ranks America’s Most Food-forward Cities

by David Klemt

San Francisco skyline and bay at night

Let’s take a look at food and beverage intel platform Datassential’s ranking of the 158 most food-forward cities in America as 2023 comes to a close.

We are, in part, reviewing this list because of Wallethub’s “Best Foodie Cities in America” report. You can find our thoughts on that ranking here.

To summarize, however, Wallethub prioritizes “wallet-friendliness,” or “the best and cheapest” cities for foodies. In contrast, Datassential’s ranking is a scientific attempt to quantify the “food-forward” status of a given city.

“It’s the diversity of cuisines, the prevalence of emerging foods and flavor trends and residents’ appetite for varied menus, that make a city food forward,” writes Samantha Des Jardins, content marketing manager at Datassential.

We at KRG Hospitality are big fans of Datassential and find the company to be a credible source of industry insight. Earlier this year they tackled video versus static photography, and the flavors and menu items they predicted would be big in 2023.

To review Datassential’s ranking and download the full list for yourself, click here.

The Top 25 Food-forward Cities

Alright, I know why you’re here. Below, you’ll find the highest-ranked cities on the Datassential list.

(Note: Due to the scoring, some cities are tied in terms of overall points. Where this is the case, it has been noted.)

  1. San Francisco, California
  2. Los Angeles, California
  3. Miami, Florida
  4. Washington, DC
  5. San Diego, California
  6. New York, New York
  7. Houston, Texas
  8. Monterey, California
  9. Las Vegas, Nevada
  10. Austin, Texas
  11. Sacramento, California
  12. West Palm Beach, Florida
  13. Atlanta, Georgia
  14. Dallas, Texas (tie with Atlanta)
  15. Albuquerque, New Mexico
  16. Phoenix, Arizona
  17. Portland, Oregon
  18. Palm Springs, California
  19. Seattle, Washington
  20. Orlando, Florida
  21. Denver, Colorado (tie with Orlando)
  22. Honolulu, Hawaii (tie with Orlando and Denver)
  23. Salt Lake City, Utah
  24. Tampa, Florida
  25. Fresno, California (tie with Tampa)

So, the top tenthe entire top 25, reallyare most likely not much of a surprise. When I talk about cities as the “usual suspects” for rankings like these, I’m talking about New York, LA, San Francisco, Miami, etc.

However, not every usual suspect is among the top 25. Notably, Chicago just fails to make the cut, earning number 26 on this list. In fact, five “big cities” are absent from Datassential’s top ten: Dallas, Phoenix, San Antonio, Chicago, and Philadelphia.

Another interesting detail? Whereas Orlando holds the number-one spot on Wallethub’s list, it’s number 20 on Datassential’s ranking.

Of their respective top tens, the two lists have just five cities in common: Miami, San Francisco, San Diego, Las Vegas, and Austin.

Methodology

Since the two lists are vastly different when we contextualize what they quantify, it should come as no surprise that Datassential and Wallethub’s methodologies are likewise dissimilar.

Whereas Wallethub scored affordability, and diversity, accessibility, and quality, Datassential weighed different metrics.

For their “Most Food-forward Cities in US,” Datassential scored the following:

  • Race to 90;
  • Ethnic restaurant diversity; and
  • Trend-forwardness.

During Datassential’s annual State of the Menu webinar, Jack Li, executive chairman, board of directors explained each of these metrics.

Race to 90

The number different cuisine types required in a particular metro area before reaching 90 percent of restaurants.

For the curious, Miami is the most-diverse city by this metric.

Ethnic Restaurant Diversity

Datassential asks the following question to measure this metric: What is the proportion of ethnic restaurants compared to all restaurants in a metro area?

Trend-forwardness

Based on a dataset developed by Datassential which tracks a number of points, from food and drink items to flavors, keywords, and beyond.

The company continuously polls consumers by ZIP code to measure consumer knowledge of upcoming trends, then aggregates the ZIP codes to measure a metro area.

The Bottom Eleven

Why am I listing the bottom eleven rather than bottom ten? There’s a tie for number 149 among these 158 cities.

There are nearly 800 cities in the US with populations of 50,000 or more. Therefore, it’s reasonable to argue that even the bottom of this list boast respectable food scenes.

  1. Youngstown, Ohio
  2. Rockford, Illinois
  3. Peoria, Illinois
  4. Johnstown, Pennsylvania
  5. Billings, Montana
  6. Traverse City, Michigan
  7. Sioux Falls, South Dakota
  8. La Crosse, Wisconsin
  9. Green Bay, Wisconsin
  10. Fargo, North Dakota
  11. Wausau, Wisconsin

In case you’re wondering, Datassential and Wallethub’s lists don’t share any bottom ten (or eleven) cities.

So, there you have it: San Francisco earns the top spot among Datassential’s food-forward cities. And Wausau earns number 158, which is still notable.

Image: Daiwei Lu on Unsplash

Bar Nightclub Pub Brewery Winery Property Development Drawings

by David Klemt David Klemt No Comments

Wallethub Ranks the Best Foodie Cities in the US

Comparing 182 cities across more than two dozen “food-friendliness” indicators, Wallethub has revealed their rankings for America’s best foodie cities in 2023.

Why 182 cities? Wallethub started with 150 of America’s most-populous cities. Then, they added “at least two” of the most-populous cities in each state.

Regarding the ranking itself, Wallethub compared the cities against two key measures: affordability, and diversity, accessibility, and quality. Those two measures consist of 28 key indicators, including:

  • cost of groceries;
  • restaurant meal cost;
  • sales tax;
  • food tax;
  • restaurants per capita;
  • ratio of full-service to fast-food restaurants; and
  • restaurant diversity.

Using a 100-point grading system, affordability was worth up to 30 points. Simple math shows diversity, accessibility, and quality indicators were worth up to 70 points.

Further, Wallethub valued indicators anywhere from half-weight (international grocery stores per capita) to triple weight (restaurants per capita).

Now, it’s important to contextualize Wallethub’s use of the word “foodie city” here. For their ranking, the company is identifying “the best and cheapest” cities for consumers for whom eating is an experience, hobby, and/or lifestyle.

“These wallet-friendly cities cater to diners who prefer to cook at home, explore the local flavors or both,” reads their post, which can be reviewed in its entirety here.

by David Klemt

Eola Lake Park in Orlando, Florida

The Top 25

So, per Wallethub, the cities below are the top 25 among the 182 “best foodie cities in America in 2023.”

  1. Orlando, Florida
  2. Portland, Orgeon
  3. Sacramento, California
  4. Miami, Florida
  5. San Francisco, California
  6. Tampa, Florida
  7. San Diego, California
  8. Las Vegas, Nevada
  9. Austin, Texas
  10. Seattle, Washington
  11. Denver, Colorado
  12. Atlanta, Georgia
  13. Los Angeles, California
  14. Chicago, Illinois
  15. Richmond, Virginia
  16. Pittsburgh, Pennsylvania
  17. Washington, DC
  18. St. Louis, Missouri
  19. Houston, Texas
  20. New York, New York
  21. Oakland, California
  22. Phoenix, Arizona
  23. Santa Ana, California
  24. Grand Rapids, Michigan
  25. Cincinnati, Ohio

Interestingly, you’ll find the “usual” foodie scene suspects on this list. However, a mere handful of those cities are ranked in the top ten: Miami, San Francisco, and Las Vegas.

Chicago (14), Los Angeles (13), and New York (20) don’t make the three or five. In fact, they’re out of the top ten entirely here.

If affordability is a major factor here, it raises an eyebrow that Miami is among the top five foodie cities. After all, sources show the cost of living in the city is 20 percent higher than the national average. The cost of living in San Francisco is nearly 80 percent higher.

At any rate, Orlando, per Wallethub’s methodology, is the number-one foodie city in America.

Compelling Comparisons

With the top 25 foodie cities out of the way, let’s check out a few other interesting comparisons.

Cost of Groceries

Lowest-cost cities, in descending order:

  1. Brownsville, Texas
  2. Corpus Christi, Texas
  3. Laredo, Texas
  4. Fayetteville, North Carolina
  5. Austin, Texas

The cities with the highest cost of groceries are Honolulu and Pearl City in Hawaii.

Restaurants per Capita

The cities with the most restaurants per capita, again in descending order:

  1. Miami, Florida
  2. Orlando, Florida
  3. Las Vegas, Nevada
  4. San Francisco, California
  5. Los Angeles, California

It’s important to note each of the cities on this list is, per Wallethub, tied for first place.

The city with the fewest restaurants per capita is Pearl City, Hawaii.

Ratio, FSR to Fast Food Restaurants

On this list, the five cities with the highest ratio of full-service restaurants to their fast-food counterparts (yes, in descending order):

  1. Cape Coral, Florida
  2. Santa Rosa, California
  3. Portland, Maine
  4. Burlington and South Burlington, Vermont

That leaves the city with the lowest ration, which is Jackson, Mississippi.

The Bottom Ten

Now that we know which cities Wallethub identifies the best foodie cities in the US, let’s take a look at the bottom of their list.

  1. Augusta, Georgia
  2. Fontana, California
  3. Jackson, Mississippi
  4. Moreno Valley, California
  5. Mobile, Alabama
  6. Montgomery, Alabama
  7. West Valley City, Utah
  8. Nampa, Idaho
  9. Shreveport, Louisiana
  10. Pearl City, Hawaii

Personally, I find the data regarding restaurants per capita and the FSR to fast-food ratio the most useful.

To review this report in its entirety, including Wallethub’s methodology, please click here.

Image: Mick Haupt on Unsplash

Related Reading

Work with Us

Click the image below to work with us on starting, stabilizing, or scaling your hospitality concept.

Client Intake Form - KRG Hospitality

by David Klemt David Klemt No Comments

Ontario Updates Employment Standards Act

Ontario Updates Employment Standards Act

by David Klemt

Daytime photo of the Toronto, Ontario, Canada, skyline

Yesterday, Ontario, Canada’s government tabled updates to the province’s Employment Standards Act meant largely to protect restaurant and hospitality workers.

These explicit protections are known as Bill 79, Working for Workers Four Act, 2023.

Interestingly and timely, the updates seem to be, at least in part, a direct response to technological developments.

For example, Bill 79 addresses digital payment apps and artificial intelligence. I’ll expand on that below.

These updates certainly appear to have been drawn up to protect restaurant workers specifically, and hospitality professionals overall.

An End to Unpaid Trial Shifts

One of the most significant updates addresses hours and pay.

It likely shouldn’t have to be said but, according to Ontario law, an employee must be paid for all the hours they work. This includes trial shifts.

Specifically, the new legislation expressly prohibits unpaid trial shifts.

Pooling Tips

Employers in Ontario are well within their rights to share in pooled tips. That is, if the employer is performing the same tasks as staff.

However, there’s now an update to this practice within the Employment Standards Act.

If any employer intends to share in a tip pool, they must make this clear and inform staff.

Speaking of Tips…

For the most part, digital payment platforms bring with them transaction fees. This includes fees for restaurant workers to get their tips.

“We’re seeing apps that are taking a cut every time…a worker accesses their tips, and that’s not acceptable,” says Piccini.

So, moving forward, employees who are paid tips via direct deposit will have more control. The updates to the Employment Standards Act now state that employees paid this way can choose where their tips will be deposited.

Deducting Wages

Per multiple studies, one in 20 diners has dined and dashed. Apparently, it has been common practice for some employers to deduct wages in response.

Personally, I think it’s ridiculous for any employers to pass a business loss on to their workers. That’s neither good leadership, ethical, or a healthy work culture. I’m not saying I’m surprised it happens; I’m disgusted that it still happens.

Now, the practice of penalizing employees monetarily for guests dining and dashing is prohibited specifically. Will that stop it from happening? Probably not, although perhaps it will happen much less moving forward.

This also includes language that makes it illegal to deduct pay from employees due to customer “gassing and dashing.” For anyone wondering, gas theft affected Ontario businesses to the tune of $3 million CAD in 2022.

Artificial Intelligence

Some employers, as many job hunters are aware, use artificial intelligence during the hiring process.

Now, these employers will have to disclose their use of AI in job listings. In theory, this update addresses privacy and data collection concerns.

Further, job listings will now have to include salary ranges. Also, employers are now prohibited from requiring work Canadian work experience in their job listings or on their application forms.

To review Bill 79 in its entirety, click here.

Image: mkdrone_ on Unsplash

Bar Nightclub Pub Brewery Operations Standard Operating Procedures SOP

by David Klemt David Klemt No Comments

The Pinnacle Guide Launches

New Global Bar Recognition System, the Pinnacle Guide, Launches

by David Klemt

Golden cocktail in Champagne flute on bar top

Today’s the day that the passionate minds behind London Cocktail Week launch “the Michelin Guide” for bars, open to venues across the globe.

Open to submissions as of today, the Pinnacle Guide is open to any bar in the world. Compellingly and refreshingly, the Guide’s system intends to maximize transparency and minimize subjectivity.

Further, the process begins with the self-nomination of a venue. Truly, this is open to any bar, anywhere.

Two of the team’s founders are recent Bar Hacks podcast guests. On episode 105, Hannah Sharman-Cox and Siobhan Payne explain the Pinnacle Guide ahead of its launch today. You can listen to their episode below.

Dan Dove, owner and operator of Global Bartending, completes the Pinnacle Guide’s founder trio. Speaking of trios, Global Bartending’s areas of expertise are strategy, talent, and events.

I’m likely not the only person who has wondered why the Michelin Guide has yet to recognize bars. Now, I’m grateful they haven’t done so.

That’s not a dig at the Michelin Guide. However, the organization’s expertise is restaurants, not bars. It’s far more appropriateand more crediblethat passionate people dedicated to and enamored with bars are launching this recognition system and platform.

The Process

So, what are you in for when you nominate your bar? The process is quite straightforward.

Simply speaking, the

  • Front of house
  • Drinks program(me)
  • Look and feel
  • Staff
  • Operations
  • Community

Once someone who self-nominates their bar completes and submits their application, the anonymous review part of the process begins.

As this step’s phrasing suggests, anonymous reviewers will visit the venue. These reviewers could be industry professionals. They may be passionate, educated consumers whose opinions are valued and trusted.

Either way, they’ll have been vetted, tested, and completed the Pinnacle Guide Reviewer Training Programme.

For even more information, click this link. You’ll find a series of the Pinnacle Guide Round Table Discussions recordings that dive deep into the system as well.

Interestingly, the founders of the Pinnacle Guide believe undergoing the self-nomination process may also help operators enhance or refine their operation:

“Beyond being a measure of excellence, this transparent and detailed approach is also designed to give venues pause for thought on where they may have room for improvement, with the ambition of elevating the industry by encouraging higher standards across the globe.”

Moreover, the Pinnacle Guide doesn’t pit operator against operator, team against team. Should a bar be recognized by the Guide, they’ll be awarded at least one PIN. A single PIN identifies a bar as Excellent. Two carries the Outstanding designation, and three means a venue is Exceptional.

Receiving a PIN doesn’t mean a bar has beaten out another venue to be recognized; that operation stands on its own as one of the best in the world.

Are You Ready?

Thousands of owners and operatorsand the teams that bring their visions to life every daydeserve acknowledgement for meeting the demands this industry makes of them.

From empowering their teams and serving as the backbone of their communities to delivering world-class service and pairing unforgettable experiences with incredible, welcoming atmospheres, hospitality is chock-full of people whose daily contributions should be recognized.

So, to any operator anywhere in the world, if you believe your team has earned at least one Pinnacle Guide PIN, this is your day. However, carve out some time to truly sit with the application and consider your team and venue.

The Pinnacle Guide is a long time coming. Let’s give it the respect it deserves.

Image: Jakub Dziubak on Unsplash

by David Klemt David Klemt No Comments

US Restaurant Employment Still Short

US Restaurant Employment Creeping Toward February 2020 Levels

by David Klemt

Restaurant door handle that says "push"

Keep pushing. We have work to do to reach February 2020 employment levels.

After what appeared to be a strong September 2023, restaurants and bars saw a decline of 7,500 jobs in the month of October.

In fact, the strong numbers from September were notably weaker once revised. After revisions, eating and drinking businesses added 48,300 jobs, not the nearly 61,000 from preliminary reports.

Importantly, a correction in employment numbers for August 2023 has revealed further declines. Initially, reports stated that restaurants had added 14,400 jobs. Unfortunately, the corrected number showed that restaurants shed 9,300 positions.

However, context is important. Notably, the unemployment rate in the US has remained under four percent for nearly 24 months. As of the latest reporting by the US Bureau of Labor Statistics, unemployment is at 3.9 percent.

Numbers by Restaurant Category

The data in this subsection comes from the National Restaurant Association. As the NRA notes, this information is based on data from September 2023.

These numbers should provide further context for restaurant and bar’s current situation. Some restaurant categories are struggling more than others to reach or surpass pre-pandemic levels of employment.

Below, employments numbers for September 2023 in comparison to February 2020.

  • Full-service: -214,000 jobs
  • Quick-service and Fast Casual: +128,000 jobs
  • Bars and Taverns: +50,000 jobs
  • Cafeterias and Buffets: -36,600 jobs
  • Catering and Mobile Food Service: +14,900
  • Snack and Non-alcohol Beverage Bars: +107,000 jobs
  • Foodservice Contractors: +15,100 jobs

As you can see, full-service restaurants are struggling the most to reach pre-pandemic employment numbers. However, QSRs and bars have surpassed that milestone.

By the Numbers

Below, the change in employment in each state and Washington, DC. The time period the data span runs from September 2019 to September 2023*.

  • Alabama: -5,700 (-3.4%)
  • Alaska: +100 (+0.4%)
  • Arizona: +18,200 (+7.6%)
  • Arkansas: +7,900 (+8.1%)
  • California: +32,700 (+2.2%)
  • Colorado: +9,100 (+3.8%)
  • Connecticut: -1,200 (-1.0%)
  • Delaware: +2,500 (+6.4%)
  • District of Columbia: -2,500 (-4.5%)
  • Florida: +35,200 (+4.4%)
  • Georgia: +21,800 (+5.5%)
  • Hawaii: -4,900 (-6.9%)
  • Idaho: +7,000 (+11.5%)
  • Illinois: -11,000 (-2.3%)
  • Indiana: +7,900 (+3.2%)
  • Iowa: -200 (-0.2%)
  • Kansas: +4,800 (+4.7%)
  • Kentucky: -400 (-0.2%)
  • Louisiana: -9,000 (-5.2%)
  • Maine: -4,000 (-7.9%)
  • Maryland: -16,700 (-8.0%)
  • Massachusetts: -15,600 (-5.6%)
  • Michigan: -21,400 (-6.3%)
  • Minnesota: -9,000 (-5.2%)
  • Mississippi: -1,700 (-1.7%)
  • Missouri: -3,500 (-1.5%)
  • Montana: +4,500 (+10.7%)
  • Nebraska: +600 (+0.8%)
  • Nevada: +22,300 (+16.7%)
  • New Hampshire: -1,500 (-2.9%)
  • New Jersey: +7,400 (+2.7%)
  • New Mexico: +3,100 (+4.2%)
  • New York: -10,000 (-1.4%)
  • North Carolina: +12,900 (+3.3%)
  • North Dakota: -100 (-0.3%)
  • Ohio: -6,300 (-1.4%)
  • Oklahoma: +3,600 (+2.5%)
  • Oregon: -2,000 (-1.2%)
  • Pennsylvania: -5,600 (-1.3%)
  • Rhode Island: -2,000 (-4.3%)
  • South Carolina: +1,000 (+0.5%)
  • South Dakota: +3,100 (+9.4%)
  • Tennessee: +8,000 (+3.0%)
  • Texas: +74,200 (+6.6%)
  • Utah: +12,900 (+12.0%)
  • Vermont: -1,000 (-4.7%)
  • Virginia: -100 (-0.0%)
  • Washington: +3,900 (+1.5%)
  • West Virginia: -2,600 (-4.6%)
  • Wisconsin: -8,100 (-3.8%)
  • Wyoming: -100 (-0.5%)

Ups and Downs

First, the less-positive news: restaurant employment is below pre-pandemic levels in more than half of the country. Including Washington, DC, 27 states are still lagging behind September 2019.

However, in some cases the change is negligible.

For example, Wyoming is down just 0.5 percent, and Virginia is down just 100 jobs or 0.00033 percent. Of the 27 states seeing declines, 20 are down less than five percent in comparison to September 2019.

Of course, it’s important to note that Hawaii, Michigan, and Massachusetts are down more than five percent.

So, to the good news. Two dozen states are enjoying restaurant and bar employment above September 2019 levels.

Four states are up more than ten percent. Nevada is leading the way, up 16.7 percent. Next is Utah, up 12 percent. Following in third is Idaho, up 11.5 percent.

Takeaways

Restaurant employment’s pre-pandemic peak was in February 2020. As of the most-current data, we’re down 14,000 jobs.

According to the most recent data, restaurants and bars employ 12.32 million people in the US. While we have yet to reach the 12.34 million that were employed in February 2020, we’re not far off. We still have reason to be positive about recovery.

The larger threat looming over operators is rising costs. Additionally, depending on the source, a recession is either a possible or current threat.

Of course, there’s still increasing demand from consumers to gather at restaurants and bars. So, again, there’s reason to remain positive.

This is all to say that numbers without deeper understanding and nuance only provide surface context. They can make us panic or breathe a sigh of relief, seemingly at the drop of a hat. We can either worry that we haven’t reached the pre-pandemic milestone, be positive that we’ll reach that number in the near future, or decide that perhaps that metric shouldn’t be the primary one by which we measure recovery.

In short, operators positioning themselves for long-term success understand their market, their teams, and their guests; focus on staff and guest retention; develop community engagement and support; and have strategic clarity.

*Sources: US Bureau of Labor Statistics, National Restaurant Association

Image: Tim Mossholder on Unsplash

Bar Nightclub Pub Brewery Winery Staff Talent Consulting

by David Klemt David Klemt No Comments

DoorDash Names 2023 Global F&B Trends

DoorDash Names 2023 Global F&B Trends

by David Klemt

Chef torching salmon sushi

As we get close to winding down 2023 and welcoming 2024, DoorDash takes a shot at identifying the global F&B trends to watch.

This is an exciting and insightful time of year for our industry. In the last quarter, different sources start publishing their data-backed F&B predictions for the year ahead.

Take, for example, Technomic’s Global, Canadian, and American trend predictions for 2023. Oh, and don’t worry—we’ll be taking a look at their predictions for 2024 soon.

Today, however, we’re checking in on DoorDash. Admittedly, I’m not the biggest fan of third-party delivery. It’s no secret I favor direct delivery for operators.

There’s no denying, though, that third-party delivery companies have access to valuable data. From the top food and drink orders to the dayparts seeing the most delivery and pickup order growth, they can help operators see shifts in consumer behavior.

So, I’m happy to take a look at what food trends DoorDash thinks operators should watch moving forward.

Before we jump in, I’m happy that DoorDash includes this cautionary statement in their article: “Finally, always consider whether or not a trend actually fits in at your restaurant.”

At KRG Hospitality, we couldn’t agree more. Jumping on every trend, as tempting as that may be, is unwise and can do harm than good. So, while the lists below identify trends that are gaining traction currently, operators need to be discerning.

Food Trends

Let’s start with a trend multiple sources identified toward the end of 2022 that appears to still be on an upward trajectory: pickles.

Seriously, it seems that people can’t get enough pickles. Pickle pizza appears to the current darling when it comes to this food trend. Speaking of pizza, DoorDash sees square pizzas as a trend to watch.

Another trend that multiple sources have been keeping tabs on is chimichurri. According to DoorDash, this condiment is finding its way onto all manner of food item.

Other food trends that operators should be aware of are bowls (deconstruct a sandwich, burrito, etc., and you have a bowl); oyster mushrooms subbing in for meat; higher-end tinned fish; and gluten-free menu options.

To be honest, I don’t think that last one is just a trend. At this point, offering gluten-free options or entire menus is mainstream.

Now, there are two more food trends I want to address separately. One, smaller menus. This is a trend I believe most operators can and should get behind. Shrinking a menu can result in lower food and labor costs, and a happier team. Making a menu smaller can also make a restaurant more nimble and engaging as LTOs may have more impact.

And then there’s aburi sushi, which is presented after the top of the fish is torched. This gives sushi a smoky flavor and brings in a different texture element.

To be fair, I’ve expected this to take off for the past several years. Now, it appears it’s taking hold and moving from fad to trend.

TikTok Trends

Yes, we have to talk about TikTok. There’s no question that the platform is a trend-producing powerhouse.

Clearly, TikTok has an influence on food trends. If you want to know what your younger guests want to try, check TikTok. The same goes for your guests who are highly engaged with social media influencers.

Below, the trends DoorDash sees taking hold.

  • Chopped sandwiches. Do you have sandwiches on your menu? Can your guests watch as your team makes them? You may want to create a chopped version of your signature or best-selling sandwich.
  • Pasta salad summer. Apparently, this summer was the Summer of Pasta Salad. Specifically, pasta salads made with fresh ingredients, and made without ingredients like mayonnaise.
  • Cottage cheese. According to DoorDash, TikTokers are putting cottage cheese in scrambled eggs, adding it to pasta sauce, and using it to make cheese toasts. I’ve personally tried the TikTok trend of using cottage cheese to make nacho cheese sauce.

One word of caution: TikTok trends come and go in the blink of an eye. So, operators need to hop on trends that work with their restaurant or bar before they’re already out of favor. It’s a daunting task.

To review this DoorDash report in its entirety, including beverage and grocery trends, follow this link.

Image: Ivan Samkov on Pexels

Bar Nightclub Pub Brewery Menu Development Drinks Food

Top