Covering 1,352 Eateries in 41 Cities as Americans Dine Out and Spend More; East Coast Diners are the Best Tippers, Despite Myriad Complaints About Service; Japanese Net Highest Food Ratings in Nearly All Cities, While Chinese Tread Water
Zagat Survey released its 2006 America's Top Restaurants guide. The book covers 1,352 eateries in 41 cities nationwide, surveyed by over 115,000 avid restaurant-goers. In addition to rating and reviewing the most significant eateries in each city, the Survey includes a great variety of comparative data regarding meal costs, tipping, favorite cuisines, customer complaints, frequency of dining out and much more. It also points to a variety of national dining trends and issues.
"Its an eater's market out there," Tim Zagat, CEO of Zagat Survey said in announcing the guide's results. "The number of really good restaurants in every city has soared over the last few years while meal prices have remained relatively consistent.
"Facts and Figures: When comparing various U.S. cities, there are some surprising findings this year. For example when it comes to average Food Ratings, San Francisco (21.50 on Zagat Survey's trademark 30 point scale), Las Vegas (21.10) and Miami (21.01) lead the pack. And there is nation-wide good news too: food ratings are at their highest point ever, after inching up in city after city for the past ten years.
Food vs. Service: Unfortunately, Service Ratings lag behind food ratings everywhere by almost two points on the Zagat scale. When asked what irritates them the most about eating out, there was a great deal of consistency in diners' responses -- "poor service" led the way in every city. Nationally, 72% of complaints focused on service. The remaining 28% of complaints were about Noise/Crowds (11%), Food (5%), Prices (4%), Traffic/Parking (4%), and Other (4%). "Year after year, our surveys show that service is the weak link in the restaurant industry," added Mr. Zagat.
Dollars and Cents: On the whole, meals this year are 3% more expensive than they were a year ago. It shouldn't come as much of a surprise that New York is the most costly restaurant city in the nation. With an average meal tab of $37.61, New York restaurants cost at least 50% more than those in Atlanta ($24.72) or Seattle ($25.56). In fact, New York exceeds the national average ($32.60) by 15%. However, when compared to foreign cities such as Tokyo ($70.64), London ($67.69) and Paris ($62.97), New York's restaurants are a bargain.
Tipping: On the question of tipping, the results present a clear contrast between residents of the East and West Coasts. Restaurant-goers in Philadelphia (19.2%), Atlanta (19.1%) and Boston (18.9%) are the nation's most generous tippers, while diners in Seattle (18%), Los Angeles and San Francisco (both at 18.3) turn out to be the worst. Nationwide, the average tip has been going up over the last several years from 18% in 2000 to 18.7% today.
Dining Out: By comparison, the frequency with which surveyors dine out or take out does not reflect competition between the two coasts, but rather a clear distinction between the two coasts and the center of the country. So, whereas residents of New York and Los Angeles are among the national leaders (with 60% and 55% of meals coming from outside the home, respectively), Phoenix (50%) and St. Louis (47%) trail well behind. The national average has reached 53% and is continuing to grow.
Changing Palates: Another trend signaled by the guide is the continuing movement of the American palate away from rich, elaborate preparations toward the simple natural flavors of fresh local produce. As a result, the mark of an acclaimed chef today is no longer the formal French recipe (note the recent closings of such formal French bastions as Maison Robert in Boston, Maisonette in Cincinnati and Le Cirque, La Cote Basque and Lutece in New York), but rather the ability to incorporate the freshest possible produce, meats and seafood from the best local suppliers -- like Union Square Cafe in New York, the French Laundry in Napa Valley, Mistral in Seattle, L'Espalier in Boston, Green Zebra in Chicago, and Chef Allen's in Miami.
Dressing Down and Up: While informality has become the mode when it comes to customer attire (hardly any top restaurants require a jacket and tie anymore), restaurants themselves are becoming more and more stylish everyday. High-profile chefs are requiring high-style settings and designers like Frank Gehry, Richard Meier (New York's 66), Todd Oldham (Miami's Wish) and David Rockwell (New York's Nobu) are creating more and more memorable restaurant spaces. With hoteliers, real estate moguls and casino operators subsidizing million dollar restaurant build-outs, it's no surprise that chefs are dressing up their dining rooms.
Japanese vs. Chinese: Among the key trends this year is the rise of Japanese food, which clearly isn't just for Californians anymore. In fact, sushi restaurants lead the Top Food and/or Most Popular lists in Boston (Oishii), Charlotte (Niko), Chicago (Mirai Sushi), Dallas (Tepo), Denver (Sushi Den), Las Vegas (Nobu), Long Island (Kotobuki), Los Angeles (Matsuhisa and Katsu-ya), Miami (Matsuri), New York (Sushi Yasuda), Portland (Saburo's), San Diego (Sushi Ota), San Francisco (Sushi Ran), Seattle (Nishino) and Washington D.C. (Makoto), among others. On the other hand, fine Chinese dining, once the leading Asian cuisine in the U.S., seems to have stalled, with not even one Chinese restaurant reaching the Top Food Rankings.
New Orleans: Zagat surveyors hold a special place in their hearts for New Orleans. The new guide addresses the city's future hopes head on, saying "Our hearts and minds have also been with New Orleans, which at press time is just starting to recover from Hurricane Katrina. Nevertheless, we have included the Crescent City section here, in the hope and faith that one of America's richest restaurant capitals will rise again.
"The Book: The 2006 America's Top Restaurants guide ($14.95) was edited by Troy Segal and is available at bookstores, via http://www.zagat.com/ or by calling 888/371-5440.
Wednesday, October 26, 2005
Businesses face perfect storm over talent, skills and older workers
Productivity. Recruitment. Retention.
Impending baby boomer retirements, a widening skills gap and outdated approaches to hiring and retaining talented workers are combining to produce a "perfect storm" that threatens long-term business performance, a study has suggested.
The global survey of 1,396 HR professionals by the Irish arm of consultancy Deloitte found nearly seven out of 10 felt attracting new talent was the greatest threat to their competitiveness.
This was followed by the inability to retain key talent (66 per cent) and incoming workers having inadequate skills (34 per cent).
"Deloitte's new research points to an inescapable conclusion: the widening skills gap is a global phenomenon, particularly among the categories of key workers who disproportionately drive an organisation's performance," said Deloitte partner Cormac Hughes.
"This trend will leave behind companies that do not begin to rethink their approach to talent management," he added.
Ireland's economy is currently operating close to full employment, meaning that talent shortages are not only a concern for the HR departments in Irish businesses but are also a top priority for senior management as a whole, said Hughes.
Organisations were offering money, perks and new challenges in order to attract and retain staff.
But such knee-jerk measures were often ineffective because there was inadequate medium and long term resource planning, he added.
"Rather than fight a futile 'war for talent', business leaders should 'build talent' by looking within their organisations for the critical skills, knowledge and attributes required to execute their company's most important roles, while continuing to seek to attract the best people," said Hughes.
"Irish companies can avoid sustaining a direct hit from the looming talent crisis by rethinking and reinventing their talent management processes into a well-designed talent strategy that drives productivity and differentiates a company from its competitors," he added.
More than 70 per cent of those surveyed confirmed they were experiencing or expected to experience a shortage of white-collar workers.
Worryingly, just 13 per cent identified approaching baby boomer retirement as a concern, despite overwhelming evidence indicating a large exodus of experienced staff from the labour market in the next three-five years.
"Retirement legislation is under review in some countries but the current situation sees skilled workers continuing to leave their profession or trade around late middle age and too few people are joining the workforce to fill their place," said Hughes.
"Governments are able to partially alleviate the depth of talent pools through policies on immigration, taxation and education but their impact is likely to be superficial in the face of global working population forecasts," he added.
The survey found the level of significance accorded to recruitment and retention of able staff was consistent across every region surveyed, irrespective of the size of the organisation.
Almost half stated demographic changes and the impending skills shortage had been discussed at board level and most identified a clear link between talent management and business performance.
A total of 54 per cent believed talent management issues would have an impact on their overall organisational productivity and 40 per cent felt it affected the firm's ability to innovate.
Three out of 10 acknowledged it would limit their ability to meet production requirements and fulfil customer demand.
"It is encouraging to see that so many organisations have discussed the impending skills shortage at board level," concluded Hughes.
"Given the potential impact on business performance, it is essential that board-level commitment is gained to help drive rapid change to talent management strategies," he added.
Author: Nic Paton
Documentary Defends Fast-Food
2005-10-24
If fast food consumers were left feeling disturbed after seeing the documentary Super Size Me, then seeing the recently released Portion Size Me will might bring a sigh of relief .
On Oct. 22, 2005 at the Downtown Cantina in St. Louis James Painter previewed his Portion Size Me documentary to members of the media. The Eastern Illinois University (EIU) professor and chair of EIU's School of Family and Consumer Sciences’s film demonstrates that even cheeseburgers and fries can be included in a healthy diet. The film follows two EIU students who eat nothing but fast food for a month and lose weight in the process.
Portion Size Me is showing at an EIU alumni gathering being held during the American Dietetic Association Food and Nutrition Conference in St. Louis, October 22–25.
The documentary was filmed and produced by Pete Grant and Antoine Thomas from EIU's Center for Academic Technology Support. The data on the subjects was analyzed by Karla Kennedy Hagan, assistant professor of nutrition in the EIU School of Family and Consumer Sciences.
If fast food consumers were left feeling disturbed after seeing the documentary Super Size Me, then seeing the recently released Portion Size Me will might bring a sigh of relief .
On Oct. 22, 2005 at the Downtown Cantina in St. Louis James Painter previewed his Portion Size Me documentary to members of the media. The Eastern Illinois University (EIU) professor and chair of EIU's School of Family and Consumer Sciences’s film demonstrates that even cheeseburgers and fries can be included in a healthy diet. The film follows two EIU students who eat nothing but fast food for a month and lose weight in the process.
Portion Size Me is showing at an EIU alumni gathering being held during the American Dietetic Association Food and Nutrition Conference in St. Louis, October 22–25.
The documentary was filmed and produced by Pete Grant and Antoine Thomas from EIU's Center for Academic Technology Support. The data on the subjects was analyzed by Karla Kennedy Hagan, assistant professor of nutrition in the EIU School of Family and Consumer Sciences.
Where Dining Is Headed: Five Trends
Uncomplicated, Straight from the Garden & Sea, Inexpensive, Exploding with Flavor
Benchmark Hospitality International, which manages 28 award-winning hotels, resorts, and conference centers throughout the United States and in Asia, has announced Five Top Dining Trends for the Future, as observed by its properties.
Trend #1 Build Your Own Meal!
Today's consumers are educated in the kitchen and discerning in the restaurant. This is sparking a hot new trend toward customer freedom while dining out -- building their own entrées. Discriminating guests are getting involved with assembling and accenting their own entrée plate at restaurants, suggesting alternative side dishes and more. Forward-thinking chefs welcome this consumer involvement, offering a menu of suggested pairings, letting the customer decide what will best please the palate. And customers are loving it!
Trend #2 Excellent Cuisine for just $20
An excellent meal doesn't have to cost a king's ransom ... or a month's grocery budget! Restaurants and bars are taking giant leaps towards more affordable yet wonderfully creative menus, sometimes featuring lesser expensive cuts of meat exquisitely seasoned, prepared and accented. Top restaurants on both coasts are taking the lead and holding prices to around $20 per entrée, making up the difference in volume and creative cooking techniques. Brisket, clod steak, bottom round, duck - which is inexpensive but expressive, and seafood such as squid, bay scallops, clams and mussels are being featured at highly affordable prices.
Trend #3 Less Formal. A Lot More Fun.
Ever been to a tuna sandwich tasting ... or had shots of clear soup varietals using seasonal ingredients? Believe it or not, this is a strong trend that may have its roots in classic caviar tastings when small samplings of Osetra, Sevruga and Beluga were commonplace at first-rate Russian restaurants, back in the day.Today, mini sandwiches featuring Albacore with seaweed salad, a miniature tuna burger and cured Ahi with cucumber relish can be a delicious and fun luncheon experience. Or shot glasses of potato leek soup, shiitake mushroom and consommé with simple croutons -- a trio tasting - is becoming as popular as a cocktail service with martini varieties, Bloody Mary expressions and short whiskey tastings -- all in threes and fours.The idea is variety to increase interest in flavors and make the dining experience fun, less formal.
Trend #4 Mundane "Snacks" Now Homemade & Fabulous
Homemade or "house made." Authentic French Bistros, Italian Trattorias, German Bierhauses and American Pubs are all creating their own simple yet delicious "snacks" to help guests take the edge off while ordering and kicking back before dinner. Customers, having officially discarded their Atkins diets, are snatching these up and requesting more. Even mundane popcorn is now spiked with highly fragrant truffle oil, offering a gourmet flavor (yes, popcorn!); potato chips are given panache by adding roasted garlic and other stimulating seasonings; and common oyster crackers are transformed with fresh herbs like thyme, oregano and rosemary that truly elevate the snack to a high level of taste.
Trend #5 Fresh & Uncomplicated
The freshest ingredients are coupled with simple, uncomplicated preparations. This trend is so hot that many chefs have redesigned their kitchen, bringing it out to their guests. In these exhibition kitchens guests can select the freshest ingredients - in some cases straight from the chef's own kitchen garden. With seafood, they select fresh from the daily catch: shrimp, clams, lobsters, whole eviscerated fish, and more. Hot cauldrons stand by simmering with herbs, citrus and mirepoix. The chef plunges requested ingredients into the flavorful Court Bouillon followed by the selected daily catch and then serves with seasoned drawn butters and plenty of lemons. A feast for the eyes and the body - fresh from the ocean, right out of the kitchen garden and onto the plate with no masked flavors or long production techniques.And One More ... Zinfandel is Back!Today there's a Zinfandel to go with just about every dish. Depending on the growing region and style of a particular winery, Zins can range from lighter, fruitier wines to some with wildly robust, lingering flavors. That's the beauty of this grape. There's a wine for everyone -- Zinfandel Rosé, Zinfandel Port and a Sparkling White Zin that's wonderfully refreshing. With more people willing to experiment today, Zinfandel is once again being considered to accompany seafood, steak, game -- or dessert. Zinfandel Port, composed of fruit from four different vines, is an amazing accompaniment to chocolate selections, especially those with raspberries or blackberries.
Benchmark Hospitality International, an independent hospitality management company based in The Woodlands (Houston), Texas, operates resorts, conference centers and hotels both domestically and internationally. For locations of Benchmark Hospitality properties and for additional information, visit Benchmark's Website at www.benchmarkhospitality.com.
Benchmark Hospitality International, which manages 28 award-winning hotels, resorts, and conference centers throughout the United States and in Asia, has announced Five Top Dining Trends for the Future, as observed by its properties.
Trend #1 Build Your Own Meal!
Today's consumers are educated in the kitchen and discerning in the restaurant. This is sparking a hot new trend toward customer freedom while dining out -- building their own entrées. Discriminating guests are getting involved with assembling and accenting their own entrée plate at restaurants, suggesting alternative side dishes and more. Forward-thinking chefs welcome this consumer involvement, offering a menu of suggested pairings, letting the customer decide what will best please the palate. And customers are loving it!
Trend #2 Excellent Cuisine for just $20
An excellent meal doesn't have to cost a king's ransom ... or a month's grocery budget! Restaurants and bars are taking giant leaps towards more affordable yet wonderfully creative menus, sometimes featuring lesser expensive cuts of meat exquisitely seasoned, prepared and accented. Top restaurants on both coasts are taking the lead and holding prices to around $20 per entrée, making up the difference in volume and creative cooking techniques. Brisket, clod steak, bottom round, duck - which is inexpensive but expressive, and seafood such as squid, bay scallops, clams and mussels are being featured at highly affordable prices.
Trend #3 Less Formal. A Lot More Fun.
Ever been to a tuna sandwich tasting ... or had shots of clear soup varietals using seasonal ingredients? Believe it or not, this is a strong trend that may have its roots in classic caviar tastings when small samplings of Osetra, Sevruga and Beluga were commonplace at first-rate Russian restaurants, back in the day.Today, mini sandwiches featuring Albacore with seaweed salad, a miniature tuna burger and cured Ahi with cucumber relish can be a delicious and fun luncheon experience. Or shot glasses of potato leek soup, shiitake mushroom and consommé with simple croutons -- a trio tasting - is becoming as popular as a cocktail service with martini varieties, Bloody Mary expressions and short whiskey tastings -- all in threes and fours.The idea is variety to increase interest in flavors and make the dining experience fun, less formal.
Trend #4 Mundane "Snacks" Now Homemade & Fabulous
Homemade or "house made." Authentic French Bistros, Italian Trattorias, German Bierhauses and American Pubs are all creating their own simple yet delicious "snacks" to help guests take the edge off while ordering and kicking back before dinner. Customers, having officially discarded their Atkins diets, are snatching these up and requesting more. Even mundane popcorn is now spiked with highly fragrant truffle oil, offering a gourmet flavor (yes, popcorn!); potato chips are given panache by adding roasted garlic and other stimulating seasonings; and common oyster crackers are transformed with fresh herbs like thyme, oregano and rosemary that truly elevate the snack to a high level of taste.
Trend #5 Fresh & Uncomplicated
The freshest ingredients are coupled with simple, uncomplicated preparations. This trend is so hot that many chefs have redesigned their kitchen, bringing it out to their guests. In these exhibition kitchens guests can select the freshest ingredients - in some cases straight from the chef's own kitchen garden. With seafood, they select fresh from the daily catch: shrimp, clams, lobsters, whole eviscerated fish, and more. Hot cauldrons stand by simmering with herbs, citrus and mirepoix. The chef plunges requested ingredients into the flavorful Court Bouillon followed by the selected daily catch and then serves with seasoned drawn butters and plenty of lemons. A feast for the eyes and the body - fresh from the ocean, right out of the kitchen garden and onto the plate with no masked flavors or long production techniques.And One More ... Zinfandel is Back!Today there's a Zinfandel to go with just about every dish. Depending on the growing region and style of a particular winery, Zins can range from lighter, fruitier wines to some with wildly robust, lingering flavors. That's the beauty of this grape. There's a wine for everyone -- Zinfandel Rosé, Zinfandel Port and a Sparkling White Zin that's wonderfully refreshing. With more people willing to experiment today, Zinfandel is once again being considered to accompany seafood, steak, game -- or dessert. Zinfandel Port, composed of fruit from four different vines, is an amazing accompaniment to chocolate selections, especially those with raspberries or blackberries.
Benchmark Hospitality International, an independent hospitality management company based in The Woodlands (Houston), Texas, operates resorts, conference centers and hotels both domestically and internationally. For locations of Benchmark Hospitality properties and for additional information, visit Benchmark's Website at www.benchmarkhospitality.com.
Diners want more info and smaller entrees
By Nanci Hellmich, USA TODAY
VANCOUVER, B.C. — Diners would like to offer restaurants some tips, but we're not talking cash. They want restaurants to offer half-portion entrees and nutritional information on the menus.
These were among the findings of a nationwide online survey of 5,279 adults for ARAMARK Corp., a food services company.
The report was presented this week at the annual meeting of the Obesity Society.
The survey found that Americans eat away from home an average of 5.6 times a week.
Six kinds of diners
Health-focused (very concerned about nutrition) - 20%Passive dieters (somewhat concerned about nutrition) - 17%
Nutrition-curious indulgers (health conscious but sidetracked by busy schedules) - 17%
Indulgent risk-takers (never ask for nutrition information) - 17%
Health-riskers (heaviest diners) - 17%
Restaurant regulars (half say they never diet) - 12%
For more information: www.diningstyle.comSource: ARAMARK Corp.
Findings:
• 52% of consumers say restaurants should offer half-portion entrees. (Related story: Bigger portions will get eaten)
• 51% say they would be more likely to order more healthful items if those foods were offered as part of a value-priced combo meal.
• 83% say restaurants should make nutrition information available for all menu items.
• 88% would like to have healthful items highlighted separately on the menu.
• 62% say it's difficult to figure out what menu items are healthful.
• Time and convenience are the top reasons people eat meals away from home.
• 62% say they are not on a diet this year, up from 57% in 2004.
"As people go through different stages of life, their eating style at restaurants changes, and their needs change," says Chris Malone, senior vice president of marketing for ARAMARK.
Malone discussed consumer dining-out styles that range from nutritionally vigilant to reckless. Some people don't get serious about nutrition until they get older and illness sets in, he says.
VANCOUVER, B.C. — Diners would like to offer restaurants some tips, but we're not talking cash. They want restaurants to offer half-portion entrees and nutritional information on the menus.
These were among the findings of a nationwide online survey of 5,279 adults for ARAMARK Corp., a food services company.
The report was presented this week at the annual meeting of the Obesity Society.
The survey found that Americans eat away from home an average of 5.6 times a week.
Six kinds of diners
Health-focused (very concerned about nutrition) - 20%Passive dieters (somewhat concerned about nutrition) - 17%
Nutrition-curious indulgers (health conscious but sidetracked by busy schedules) - 17%
Indulgent risk-takers (never ask for nutrition information) - 17%
Health-riskers (heaviest diners) - 17%
Restaurant regulars (half say they never diet) - 12%
For more information: www.diningstyle.comSource: ARAMARK Corp.
Findings:
• 52% of consumers say restaurants should offer half-portion entrees. (Related story: Bigger portions will get eaten)
• 51% say they would be more likely to order more healthful items if those foods were offered as part of a value-priced combo meal.
• 83% say restaurants should make nutrition information available for all menu items.
• 88% would like to have healthful items highlighted separately on the menu.
• 62% say it's difficult to figure out what menu items are healthful.
• Time and convenience are the top reasons people eat meals away from home.
• 62% say they are not on a diet this year, up from 57% in 2004.
"As people go through different stages of life, their eating style at restaurants changes, and their needs change," says Chris Malone, senior vice president of marketing for ARAMARK.
Malone discussed consumer dining-out styles that range from nutritionally vigilant to reckless. Some people don't get serious about nutrition until they get older and illness sets in, he says.
Wednesday, October 19, 2005
Menu strategy is about more than good tastes ...
... It’s about marketing, competitive positioning, and the ability to ride the crest of a trend.
It’s the old chicken-or-egg question—or, in this case, the chicken-or-beef question. Do quick-serve companies educate consumers about what to expect on the menu, or does menu development happen from the grassroots up?
When NPD Foodworld studied consumers and menu trends over the past year, the firm found that consumer demand has been driven recently by quick-serve companies rolling out menu offerings focused on higher quality, more innovative foods. The firm noted significant growth in foods such as higher-quality chicken products, premium burgers, and main-dish salads. In short, consumers are demanding more from menus, in large part because quick-serve companies have been providing more.
We were intrigued. So, here, QSR drills into six recent quick-serve menu additions, looking for competitive strategy and asking how well each item fulfills corporate goals and consumers’ desires. For insight and, we admit, fun, we conducted unscientific taste-tests, sometimes with surprising results.
Call them case studies in menu strategy. Taken together, these six items reveal much about the status of menu innovation in the industry—and what’s on tap for menus in 2006.
http://www.qsrmagazine.com/issue/81/advertised-1.phtml
It’s the old chicken-or-egg question—or, in this case, the chicken-or-beef question. Do quick-serve companies educate consumers about what to expect on the menu, or does menu development happen from the grassroots up?
When NPD Foodworld studied consumers and menu trends over the past year, the firm found that consumer demand has been driven recently by quick-serve companies rolling out menu offerings focused on higher quality, more innovative foods. The firm noted significant growth in foods such as higher-quality chicken products, premium burgers, and main-dish salads. In short, consumers are demanding more from menus, in large part because quick-serve companies have been providing more.
We were intrigued. So, here, QSR drills into six recent quick-serve menu additions, looking for competitive strategy and asking how well each item fulfills corporate goals and consumers’ desires. For insight and, we admit, fun, we conducted unscientific taste-tests, sometimes with surprising results.
Call them case studies in menu strategy. Taken together, these six items reveal much about the status of menu innovation in the industry—and what’s on tap for menus in 2006.
http://www.qsrmagazine.com/issue/81/advertised-1.phtml
Tuesday, October 18, 2005
Holiday Season Is in the Cards
October 18, 2005
(After October 26, 2005, this article will only be available to eStat Database subscribers.)
About 70% of US consumers have purchased at least one gift card in the past, and about one-quarter of those who haven't expect to make their first purchase of one this holiday season.
It looks to be another good year for gift card sales, according to a survey conducted by Stored Value Systems (SVS), a gift card manufacturer. US consumers are planning on spending an average of $248 on gift cards this holiday season, a big increase from past years. They're also buying more cards on average, 6.5, compared to 4.5 in 2004. The average value of each planned card purchased is $40, a level consistent with past years.
The SVS survey found that gift cards have become an item people specifically plan to buy for others. Almost 85% of those surveyed said they included gift cards on their list of planned present purchases, up from 69% last year.
And gift cards are not just popular during the holidays. In fact, 81% of those who purchased gift cards got them for a birthday, compared to 67% who bought them for Christmas, Hanukah or Kwanza.
It's difficult to say whether the increased popularity of gift cards is particularly good for retailers. A gift card purchase could be made in lieu of a merchandise purchase, and not end up making the retailer any more money. The profit on a gift card could potentially be higher if the card is not used or used only partially (though SVS found that only 6% have not redeemed the full value of a card within a year). Gift cards may also expose the gift recipient to a merchant they were not familiar with, or entice them to spend more in a store since they are getting a discount. Gift cards also give retailers an opportunity to integrate their in-store and online spheres more closely by allowing the card to be used online as well as in person. Quite a few merchants have done this, according to a shop.org and Forrester study from earlier this year.
To learn more about gift cards and other aspects of the upcoming shopping season, read eMarketer's Online Holiday Shopping Preview.
(After October 26, 2005, this article will only be available to eStat Database subscribers.)
About 70% of US consumers have purchased at least one gift card in the past, and about one-quarter of those who haven't expect to make their first purchase of one this holiday season.
It looks to be another good year for gift card sales, according to a survey conducted by Stored Value Systems (SVS), a gift card manufacturer. US consumers are planning on spending an average of $248 on gift cards this holiday season, a big increase from past years. They're also buying more cards on average, 6.5, compared to 4.5 in 2004. The average value of each planned card purchased is $40, a level consistent with past years.
The SVS survey found that gift cards have become an item people specifically plan to buy for others. Almost 85% of those surveyed said they included gift cards on their list of planned present purchases, up from 69% last year.
And gift cards are not just popular during the holidays. In fact, 81% of those who purchased gift cards got them for a birthday, compared to 67% who bought them for Christmas, Hanukah or Kwanza.
It's difficult to say whether the increased popularity of gift cards is particularly good for retailers. A gift card purchase could be made in lieu of a merchandise purchase, and not end up making the retailer any more money. The profit on a gift card could potentially be higher if the card is not used or used only partially (though SVS found that only 6% have not redeemed the full value of a card within a year). Gift cards may also expose the gift recipient to a merchant they were not familiar with, or entice them to spend more in a store since they are getting a discount. Gift cards also give retailers an opportunity to integrate their in-store and online spheres more closely by allowing the card to be used online as well as in person. Quite a few merchants have done this, according to a shop.org and Forrester study from earlier this year.
To learn more about gift cards and other aspects of the upcoming shopping season, read eMarketer's Online Holiday Shopping Preview.
Thursday, October 13, 2005
Are Weekend & Dinner Only Venues Possible?
I can feel a rant coming on. So forgive me, but it's not directed at you personally. Historically, Mon thru Wed are the slowest days for our industry (more specifically Mon & Tues). However, this just means that these dayparts are more of a challenge for the operator to be creative in finding ways to put butts in seats. Notwithstanding my bottomless well of idealism already of note on this forum, I KNOW there's a model that will let you be successful in the venue of your choice - I have built several (corporate and independent) and there exists several thousand in every city in this country.
There is no easy answer, if there were, everyone would own a restaurant that wanted one and would be raking it in. The reality is that you must analyze your market and build a better mousetrap. If you do that, they will come. I guarantee it. But people simply don't want to do the homework/due diligence it takes to plan for success. Instead they think that just because they have money to open one, it will be the next greatest thing since sliced bread. The usual platitudes are that they have "mom's" recipe for this or that or that they intend to set a new high in guest service -then fail miserably and blame it on the economy, dumb customers, mom's recipe, stupid teenager employees, Pol Pot, the Black Plague, locusts, what have you...
There are now over 1 million FSO's (Food Service Operations) in the US today. The ultimate question is why would anyone want to come to yours? The secret to success is building a great plan for it. Then executing it every guest, every table, every day, with NO exceptions. The question is how to define great. This is where your understanding of this business and dedication to digging into the information available to you in your market to discern those niches that need to be scratched, exists. Is there a need for a weekend only place? I doubt it. Can you build a financially successful business model that is open on only a few days of the week? The answer is not if that number is only 3 - and certainly not with only 50 seats that have to be filled 4-6 times over with an avg check of $675pp!
You need "A" level players in all positions. BOH, FOH and TOH. You can't get them with only 15 hours a week. People need to eat, shower, raise children, go to school, etc...So you break even or even lose a couple of dollars by staying open on Mon-Wed. and working like hell to achieve large enough volumes on the rest of the week to make your greenbacks. Not a problem to be a dinner only restaurant either- plenty of very successful examples of that model. Or you try to open up multiple streams of income like on-site or off-site catering, party or banquet rooms, delivery, wine and cooking classes, retail of private label products, etc...Now are there exceptions to every rule? Of course. But only short-term. You only read about them in the courthouse report's listing of newly filed bankruptcies.
Have Fun Today!
Jeffrey Summers, Head Coach
GameOn! Restaurant Coaching Solutions
jeffrey@getgame.biz
www.getgame.biz
http://getgameblog.blogspot.com/
"My job is to make your competition suffer!"
There is no easy answer, if there were, everyone would own a restaurant that wanted one and would be raking it in. The reality is that you must analyze your market and build a better mousetrap. If you do that, they will come. I guarantee it. But people simply don't want to do the homework/due diligence it takes to plan for success. Instead they think that just because they have money to open one, it will be the next greatest thing since sliced bread. The usual platitudes are that they have "mom's" recipe for this or that or that they intend to set a new high in guest service -then fail miserably and blame it on the economy, dumb customers, mom's recipe, stupid teenager employees, Pol Pot, the Black Plague, locusts, what have you...
There are now over 1 million FSO's (Food Service Operations) in the US today. The ultimate question is why would anyone want to come to yours? The secret to success is building a great plan for it. Then executing it every guest, every table, every day, with NO exceptions. The question is how to define great. This is where your understanding of this business and dedication to digging into the information available to you in your market to discern those niches that need to be scratched, exists. Is there a need for a weekend only place? I doubt it. Can you build a financially successful business model that is open on only a few days of the week? The answer is not if that number is only 3 - and certainly not with only 50 seats that have to be filled 4-6 times over with an avg check of $675pp!
You need "A" level players in all positions. BOH, FOH and TOH. You can't get them with only 15 hours a week. People need to eat, shower, raise children, go to school, etc...So you break even or even lose a couple of dollars by staying open on Mon-Wed. and working like hell to achieve large enough volumes on the rest of the week to make your greenbacks. Not a problem to be a dinner only restaurant either- plenty of very successful examples of that model. Or you try to open up multiple streams of income like on-site or off-site catering, party or banquet rooms, delivery, wine and cooking classes, retail of private label products, etc...Now are there exceptions to every rule? Of course. But only short-term. You only read about them in the courthouse report's listing of newly filed bankruptcies.
Have Fun Today!
Jeffrey Summers, Head Coach
GameOn! Restaurant Coaching Solutions
jeffrey@getgame.biz
www.getgame.biz
http://getgameblog.blogspot.com/
"My job is to make your competition suffer!"
Tuesday, October 11, 2005
Cutting Back to Improve Quality of Life
Cutting back to improve quality of life
Restaurants rejigger managers' workweeks
Larry Halstead
Web Editor/Staff Writer
Tampa Bay Business Journal
From the October 10, 2005 print edition
The tradition of the restaurateur as an auteur departing a distinctive style holds that the pivotal person in charge needs to be ever-present physically or at least in spirit. Compelled by the desire to create a signature eating establishment, the traditional manager makes the restaurant his or her life.
Increasing numbers of today's casual dining establishments are taking a hard look at following such a tradition. With the blessing of a new generation of managers who work within a formula and are likely not control freaks, big chains are seeing the advantages of scaling back managers' hours.
Today's managers, many with young families, are clamoring to cut back on the workload to free up more family time.
"The real issue is the number of days worked not the hours," said Malcolm Knapp, president of restaurant industry consulting firm Malcolm M. Knapp Inc. in New York. At Cracker Barrel, managers work five-day weeks, said Knapp.
CBRL Group Inc., owner of the Cracker Barrel chain, guarantees its managers a five-day workweek, but that comes out to about 55-60 hours per week, said Robert Harig, senior VP of human resources. "In the restaurant industry, work days average 10-12 hours," Harig said.
Garden Fresh Restaurant Corp. moved its managers into a 40-hour workweek in 2002 after testing its "Best Job" concept for five years. Known as Sweet Tomatoes in the Tampa Bay area, the soup and salad chain made the move to cut costs.
It worked, to the tune of more than $1 million per year, by reducing the number of store managers from four to three and streamlining operational systems by eliminating redundancy.
But the real benefits showed up as improved morale, lower turnover and better systems.
During the testing period, Garden Fresh analyzed all its systems and cut where it could, said Wendy Jewell, executive director of human resources. Every daily responsibility in the stores was looked at and prioritized.
Inventory frequencies were changed to twice a month instead of weekly, cash counting was reduced to twice a day and more tasks that managers had been performing were delegated to the key crewmembers.
"It frees me up to spend more time with the guests," said James "Smitty" Smith, GM of the Brandon store. Smith has been with Sweet Tomatoes for 12 years and was promoted to GM after six.
When the plans to change managerial duties came down from corporate, all the GMs thought the idea was crazy, Smith said. Nobody wanted to give away any responsibilities.
http://www.bizjournals.com/industries/retailing_restaurants/restaurants/
Restaurants rejigger managers' workweeks
Larry Halstead
Web Editor/Staff Writer
Tampa Bay Business Journal
From the October 10, 2005 print edition
The tradition of the restaurateur as an auteur departing a distinctive style holds that the pivotal person in charge needs to be ever-present physically or at least in spirit. Compelled by the desire to create a signature eating establishment, the traditional manager makes the restaurant his or her life.
Increasing numbers of today's casual dining establishments are taking a hard look at following such a tradition. With the blessing of a new generation of managers who work within a formula and are likely not control freaks, big chains are seeing the advantages of scaling back managers' hours.
Today's managers, many with young families, are clamoring to cut back on the workload to free up more family time.
"The real issue is the number of days worked not the hours," said Malcolm Knapp, president of restaurant industry consulting firm Malcolm M. Knapp Inc. in New York. At Cracker Barrel, managers work five-day weeks, said Knapp.
CBRL Group Inc., owner of the Cracker Barrel chain, guarantees its managers a five-day workweek, but that comes out to about 55-60 hours per week, said Robert Harig, senior VP of human resources. "In the restaurant industry, work days average 10-12 hours," Harig said.
Garden Fresh Restaurant Corp. moved its managers into a 40-hour workweek in 2002 after testing its "Best Job" concept for five years. Known as Sweet Tomatoes in the Tampa Bay area, the soup and salad chain made the move to cut costs.
It worked, to the tune of more than $1 million per year, by reducing the number of store managers from four to three and streamlining operational systems by eliminating redundancy.
But the real benefits showed up as improved morale, lower turnover and better systems.
During the testing period, Garden Fresh analyzed all its systems and cut where it could, said Wendy Jewell, executive director of human resources. Every daily responsibility in the stores was looked at and prioritized.
Inventory frequencies were changed to twice a month instead of weekly, cash counting was reduced to twice a day and more tasks that managers had been performing were delegated to the key crewmembers.
"It frees me up to spend more time with the guests," said James "Smitty" Smith, GM of the Brandon store. Smith has been with Sweet Tomatoes for 12 years and was promoted to GM after six.
When the plans to change managerial duties came down from corporate, all the GMs thought the idea was crazy, Smith said. Nobody wanted to give away any responsibilities.
http://www.bizjournals.com/industries/retailing_restaurants/restaurants/
Restaurant Performance Index Declined in August
...as Operator Optimism Fell SharplyHurricanes Katrina and Rita, Gas Prices Dampen the Optimism of Restaurant Operators
October 07, 2005 Contact: Katharine Kim 202-331-5939, Annika Stensson (202) 973-3677 (Washington, DC) Due in large part to the dampening effect of two hurricanes and strong gas prices on operator optimism, the National Restaurant Association's Restaurant Performance Index registered its second consecutive monthly decline in August. The August Restaurant Performance Index – which was based on a nationwide survey of restaurant operators conducted in September – stood at 100.4, down 1.2 percent from a level of 101.7 in July. Despite the sharp decline, the Index remained above 100 – a level which represents expansion in the Association's composite index of eight key industry indicators. "September was a confluence of events that led to a substantial – and expected – decline in the short-term optimism of both businesses and consumers," said Hudson Riehle, senior vice president of Research and Information Services for the Association. "The aftermath of Hurricane Katrina, in addition to record gas prices, resulted in the sharpest expectations decline in the three-year history of the Restaurant Performance Index. "The near-record gas prices are of particular concern for restaurant operators. Twenty-two percent of restaurant operators said gas and energy prices are the number-one challenge facing their business – up from just four percent of operators who reported similarly two months ago. Gas and energy prices finished only slightly behind recruiting and retaining employees, which was identified as the top challenge by 24 percent of restaurant operators." The Restaurant Performance Index is based on the responses to the National Restaurant Association's Restaurant Industry Tracking Survey, which is fielded monthly among restaurant operators nationwide on a variety of indicators including sales, traffic, labor and capital expenditures. The Index consists of two components – the Current Situation Index and the Expectations Index. (Click on the following link to view this month's Index report: http://www.restaurant.org/pdfs/research/index/200508.pdf). The Current Situation Index, which measures current trends in four industry indicators (same-store sales, traffic, labor and capital expenditures), stood at 100.4 in August – 0.6 percent lower than its July level and its second consecutive monthly decline. Although sales were somewhat softer in August, restaurant operators reported a same-store sales gain for the 25th consecutive month. Fifty-one percent of restaurant operators reported a same-store sales gain between August 2004 and August 2005 – down slightly from 54 percent of operators who registered a sales gain in July. Thirty-one percent of operators reported a same-store sales decline between August 2004 and August 2005, while 18 percent of operators reported no change in sales. Customer traffic held relatively steady in August. Thirty-nine percent of restaurant operators reported an increase in customer traffic between August 2004 and August 2005 – matching the proportion of operators who reported a traffic decline. Twenty-two percent of operators reported no change in customer traffic. The Expectations Index, which measures restaurant operators' six-month outlook for four industry indicators (same-store sales, employees, capital expenditures and business conditions), plunged 1.8 percent in August to a level of 100.4 – the lowest level in the history of the Restaurant Performance Index. Although the Expectations Index registered its sharpest decline on record, it still remained above 100, which indicates that operators remain somewhat optimistic about growth in the next several months. Forty-one percent of restaurant operators expect their sales volume in six months to be higher than it was during the same period in the previous year, while 23 percent of operators expect to have lower sales in six months. Thirty-six percent of operators expect their sales to remain about the same. In contrast to a relatively positive sales outlook, operators are not as optimistic about the overall economy in the months ahead. Thirty-one percent of restaurant operators expect economic conditions to worsen in six months, compared to just 25 percent of operators who expect economic conditions to be stronger in six months. Forty-four percent of operators expect economic conditions in six months to be about the same as they are now. The outlook for capital expenditure activity also slipped somewhat this month. Fifty-one percent of restaurant operators plan to make a capital expenditure for equipment, expansion or remodeling in the next six months, down from 59 percent who reported similarly last month. While the Restaurant Performance Index is consistently released on the last business day of each month, more detailed data and analysis can be found on Restaurant TrendMapper (www.restaurant.org/trendmapper), the Association's subscription-based web site that provides detailed analysis of restaurant industry trends.
National Restaurant Association's Restaurant Performance IndexValues Greater than 100 = Expansion; Values Less than 100 = ContractionSource: National Restaurant Association* Beginning with the release of the January 2005 Restaurant Performance Index, the National Restaurant Association rebased the current and historical index values so that the health of the restaurant industry is measured in relation to a steady-state level of 100. Index values above 100 indicate that key industry indicators are in a period of expansion, while index values under 100 represent a period of contraction for key industry indicators.
###
The National Restaurant Association, founded in 1919, is the leading business association for the restaurant industry, which is comprised of 900,000 restaurant and foodservice outlets and a work force of 12.2 million employees - making it the cornerstone of the economy, career opportunities and community involvement. Along with the National Restaurant Association Educational Foundation, the Association works to represent, educate and promote the rapidly growing industry. For more information, visit our Web site at www.restaurant.org.
Related Links:
October 07, 2005 Contact: Katharine Kim 202-331-5939, Annika Stensson (202) 973-3677 (Washington, DC) Due in large part to the dampening effect of two hurricanes and strong gas prices on operator optimism, the National Restaurant Association's Restaurant Performance Index registered its second consecutive monthly decline in August. The August Restaurant Performance Index – which was based on a nationwide survey of restaurant operators conducted in September – stood at 100.4, down 1.2 percent from a level of 101.7 in July. Despite the sharp decline, the Index remained above 100 – a level which represents expansion in the Association's composite index of eight key industry indicators. "September was a confluence of events that led to a substantial – and expected – decline in the short-term optimism of both businesses and consumers," said Hudson Riehle, senior vice president of Research and Information Services for the Association. "The aftermath of Hurricane Katrina, in addition to record gas prices, resulted in the sharpest expectations decline in the three-year history of the Restaurant Performance Index. "The near-record gas prices are of particular concern for restaurant operators. Twenty-two percent of restaurant operators said gas and energy prices are the number-one challenge facing their business – up from just four percent of operators who reported similarly two months ago. Gas and energy prices finished only slightly behind recruiting and retaining employees, which was identified as the top challenge by 24 percent of restaurant operators." The Restaurant Performance Index is based on the responses to the National Restaurant Association's Restaurant Industry Tracking Survey, which is fielded monthly among restaurant operators nationwide on a variety of indicators including sales, traffic, labor and capital expenditures. The Index consists of two components – the Current Situation Index and the Expectations Index. (Click on the following link to view this month's Index report: http://www.restaurant.org/pdfs/research/index/200508.pdf). The Current Situation Index, which measures current trends in four industry indicators (same-store sales, traffic, labor and capital expenditures), stood at 100.4 in August – 0.6 percent lower than its July level and its second consecutive monthly decline. Although sales were somewhat softer in August, restaurant operators reported a same-store sales gain for the 25th consecutive month. Fifty-one percent of restaurant operators reported a same-store sales gain between August 2004 and August 2005 – down slightly from 54 percent of operators who registered a sales gain in July. Thirty-one percent of operators reported a same-store sales decline between August 2004 and August 2005, while 18 percent of operators reported no change in sales. Customer traffic held relatively steady in August. Thirty-nine percent of restaurant operators reported an increase in customer traffic between August 2004 and August 2005 – matching the proportion of operators who reported a traffic decline. Twenty-two percent of operators reported no change in customer traffic. The Expectations Index, which measures restaurant operators' six-month outlook for four industry indicators (same-store sales, employees, capital expenditures and business conditions), plunged 1.8 percent in August to a level of 100.4 – the lowest level in the history of the Restaurant Performance Index. Although the Expectations Index registered its sharpest decline on record, it still remained above 100, which indicates that operators remain somewhat optimistic about growth in the next several months. Forty-one percent of restaurant operators expect their sales volume in six months to be higher than it was during the same period in the previous year, while 23 percent of operators expect to have lower sales in six months. Thirty-six percent of operators expect their sales to remain about the same. In contrast to a relatively positive sales outlook, operators are not as optimistic about the overall economy in the months ahead. Thirty-one percent of restaurant operators expect economic conditions to worsen in six months, compared to just 25 percent of operators who expect economic conditions to be stronger in six months. Forty-four percent of operators expect economic conditions in six months to be about the same as they are now. The outlook for capital expenditure activity also slipped somewhat this month. Fifty-one percent of restaurant operators plan to make a capital expenditure for equipment, expansion or remodeling in the next six months, down from 59 percent who reported similarly last month. While the Restaurant Performance Index is consistently released on the last business day of each month, more detailed data and analysis can be found on Restaurant TrendMapper (www.restaurant.org/trendmapper), the Association's subscription-based web site that provides detailed analysis of restaurant industry trends.
National Restaurant Association's Restaurant Performance IndexValues Greater than 100 = Expansion; Values Less than 100 = ContractionSource: National Restaurant Association* Beginning with the release of the January 2005 Restaurant Performance Index, the National Restaurant Association rebased the current and historical index values so that the health of the restaurant industry is measured in relation to a steady-state level of 100. Index values above 100 indicate that key industry indicators are in a period of expansion, while index values under 100 represent a period of contraction for key industry indicators.
###
The National Restaurant Association, founded in 1919, is the leading business association for the restaurant industry, which is comprised of 900,000 restaurant and foodservice outlets and a work force of 12.2 million employees - making it the cornerstone of the economy, career opportunities and community involvement. Along with the National Restaurant Association Educational Foundation, the Association works to represent, educate and promote the rapidly growing industry. For more information, visit our Web site at www.restaurant.org.
Related Links:
Sunday, October 09, 2005
My Top 20 Rants About Independent Restaurant Owners
- Operators who say that they never have enough time for themselves or family, but who refuse to hire an “operations manager” because they do not have the ability to trust in one, or the money, or both.
- Operators who desperately need a marketing plan, business plan, operation plan, strategic plan, etc… but never seem to get around to getting it done - then wonder why success is not beating a path to their door.
- Operators who have high turnover and blame it on “the market”, or “the economy” etc…
- Operators who are totally reactive to circumstances.
- Operators who treat all staff the same.
- Operators who cannot think strategically beyond their own experiences, and who refuse to understand that their success will be limited to their level of understanding that restaurants are a unique business entity and is not related to their understanding or experience in other industries.
- Operators who do not understand that if you are not able to differentiate yourself in your market, you become a price-driven commodity.
- Operators who do not do their homework.
- Operators who cheat, lie, steal and abuse any or all of their relationships with vendors, staff, colleagues, guests, etc…
- Operators who, when blessed with a great sales increase, do not know where it came from.
- Operators who, not having a days worth of experience in the industry, never ask for help.
- Operators who, when they get in the weeds, never ask for help.
- COMPLACENCY.
- ARROGANCE.
- Operators who think that nickel and diming their guests or staff, will make them rich. No one ever shrank their way to greatness.
- Operators who take their staffs, guests, vendors or team for granted.
- Operators who do not embrace change.
- Operators who never seem to be ready for change.
- Operators who do not have a meaningful vision of their business or their brand.
- Operators who do not understand the importance of branding their business.
Saturday, October 08, 2005
The Birth of a Restaurant
Rick Nelson, Star Tribune
September 29, 2005
One consequence of the celebrity chef's cooking-is-a-breeze mentality is that it has deluded us into believing that we all are just a dinner party away from the glamour, prestige and riches of restaurant ownership. But after observing seasoned veterans Stewart and Heidi Woodman devote a grueling 18 months -- six months longer than planned -- to coax their Minneapolis restaurant to life, here's a piece of advice: Don't quit your day job.
Developing and then running a first-rate dining establishment is a task best left to professionals -- like the Woodmans. After building their résumés in a bevy of New York City's top restaurants, the couple impressed locals during their yearlong, four-star stint at Levain in Minneapolis. ("The neighborhood restaurant has ascended to stratospheric new heights," raved this critic.)
In 2004 they moved on, this time with plans to open their own restaurant. The Woodmans knew what they were up against. The failure rate of new restaurants isn't the equal of, say, a new sitcom striking it rich on network television, but it's close. Yet their new venture, with its countless decisions, frustrations and joys, proved to be an adventure that exceeded their expectations.
http://www.startribune.com/stories/438/5640621.html
September 29, 2005
One consequence of the celebrity chef's cooking-is-a-breeze mentality is that it has deluded us into believing that we all are just a dinner party away from the glamour, prestige and riches of restaurant ownership. But after observing seasoned veterans Stewart and Heidi Woodman devote a grueling 18 months -- six months longer than planned -- to coax their Minneapolis restaurant to life, here's a piece of advice: Don't quit your day job.
Developing and then running a first-rate dining establishment is a task best left to professionals -- like the Woodmans. After building their résumés in a bevy of New York City's top restaurants, the couple impressed locals during their yearlong, four-star stint at Levain in Minneapolis. ("The neighborhood restaurant has ascended to stratospheric new heights," raved this critic.)
In 2004 they moved on, this time with plans to open their own restaurant. The Woodmans knew what they were up against. The failure rate of new restaurants isn't the equal of, say, a new sitcom striking it rich on network television, but it's close. Yet their new venture, with its countless decisions, frustrations and joys, proved to be an adventure that exceeded their expectations.
http://www.startribune.com/stories/438/5640621.html
"...and this too shall pass"
The fortunate thing about time, is that it doesn't stop. And even a bad shift will eventually end. The question is what do you do with the de-brief? Recovery situations offer a tremendous opportunity to learn from and come out on the other side, more aware of what actually went wrong and how to prevent it in the future.
Jeffrey Summers, Head CoachGameOn!
Restaurant Coaching Solutions
jeffrey@getgame.biz
http://www.getgame.biz/
"My job is to make your competition suffer!"
- NEVER, EVER get pinned down in a position. You have got to train your staff to the point where they can be moved to cover shift critical positions - like the bar. If you get slammed unexpectedly, you have to have a plan to move core staff into positions to support the business and be able to reinforce, not outright work, the weakest position. Make a few drinks, have servers that can make a few of your most basic, as well as get beer and wine tickets filled, make a round of the restaurant, then return to the bar after you have checked on everyone else. When you have multiple fires, you have to prioritize them and then attack them. If you have to, shut down alcohol service and serve only beer and wine.
- Servers should be trained to check on their tickets as they make their rounds through the kitchen to ensure that they have been received and are working.
- Once you see that your shift is sinking into the weeds, you need to rally the troops. Call a short 60 second meeting of all staff and explain what is happening (like they don't already know) and talk about recovery and support for every position. This is your "2 minute drill" and should actually be practiced for just such events.
- You need to have people who are loyal and talented enough that you can call in on a short notice. If it takes 30 minutes for them to get there, so what, you don't know how long the rush will last, (in this case it was 2 hours) so you can always utilize them as long as you need. A host or other key employee should be able to make these calls as well as you.
- You may have to incorporate a false-wait in order to slow down the flow enough to take care of the guests you have. If you have to lose a guest, better to lose them at the door, instead of the table.
- Every time a guest walks into your restaurant, it's because it's an occasion in their lives. Birthday, anniversary, first date, last date, job promotion, bad mood pick-me-up, divorce final, winning the championship, etc....And even when a guest has a coupon for a free meal, they are still a guest in your business and are still choosing to celebrate their special event with you. Why do we want to discount their discontent about poor service or food just because they are getting it for free in the first place? The first rule of recovery involves hearing the guest out, then taking action. This is about more than a lost ticket. Which no one ever wants to take responsibility for. It's about the guest and his family being in your restaurant on a very important occasion in their life, with very high expectations because you do have a good reputation for good food and service, only to be disappointed because they received the ultimate act of disrespect - a forgotten order - and on their birthday. I wouldn't stick around to talk to you if you lost my order on my birthday. And to be upset because you didn't get to apologize first? That's just plain hubris. I've lost tickets before, but I also never let a guest leave unhappy. Understanding that guests don't necessarily want a comped meal but rather better service is paramount to being in the restaurant business in 2005. The zeitgeist of our culture isn't about apologies, although they are the first point of good manners for a host, its about correcting the wrong done to a guest because IT IS PERSONAL TO THEM, because it's a celebration of a day in their life. It's never "just food". And your response to them should be as personal as the slight. A bottle of champagne or an invitation to a special night of entertainment and dining on you, or something even more personalized would have been appropriate. AND NEVER EVER SEEK REVENGE FOR WHAT YOU CONSIDER UNRULY BEHAVIOR ON THE PART OF A GUEST! If you tell them you are comping their meal, changing your mind because you think you were insulted or abused is simply you not keeping your word. Which is worse? Did the guests at the next table hear you and now see you not keeping your word? What word-of-mouth will you get out of that? We're not in the food business, we are in the PEOPLE business.
- Servers have to be trained to guide guests to choices that don't further bog down a bad shift. If you don't have enough talent behind the bar, servers should let guests know up front that a non-alcoholic, beer or wine (servers can pour beer and wine), choice can be made later in the dinner (entree order or at dessert) or when the pressure from the bar has eased to the point that regular patronage of it can be resumed.
- Talk to your staff once the doors are closed and seriously ask them what could have been done better to manage the shift.
- Servers never "screw up" orders. This kind of thinking will only serve to alienate more people. Your staff doesn't get up in the morning and try to think of ways to "screw up". Where was the expeditor? Was there an expeditor? Other servers? Why didn't the server ask for help? Why wasn't the server trained to never take out an incomplete order? Why wasn't the culture in the restaurant established to inculcate the server that he/she MUST ask for help if needed to satisfy a guests order? EVERY SERVICE FAILURE IS THE DIRECT RESULT OF A PROCESS BREAKDOWN. If not, then the breakdown was a direct result of not having a process in the first place.
- POS systems lose tickets. But it's not the POS's fault. You are the professionals who should have had a system in place to double and even triple check on orders if necessary, to make sure all tickets get worked in a timely fashion. Everything that occurs in your restaurant is a direct reflection of you. Relying too much on a system that you know will eventually lose a ticket is unacceptable. Why? Because you may have more guests after you lost the guest whose ticket was lost, but they only have to lose you once to start talking bad about you. That's way too much "losing" for my tastes.
- If it's the last night of a promotion or coupon drop. Assume it's going to be busy- period! You should actually manage your business to expect every shift to be busy anyway. Otherwise, you're never going to get busier. Work each shift like it's the volume you expect and want and you will eventually get it.
- Staff look to you for leadership. You need to do whatever you need to in order to maintain balance in you emotions to the point of being able to take "unreasonable crap" and still make good on your promise of great experiences for your guests. And continue to offer smiles and encouragement to your staff who still have to work in those weeded shifts. If you don't keep your cool, who will?
- Stop looking at "comps" as the answer to every problem. If you are in the FOH, you need to have the skill to talk to people and make them happy without giving away your profit. This is what a true host does. If you're just looking at each guest as a dollar, they will know and treat you accordingly. Everyone gives a comp for mistakes. We have trained the public to demand them if they feel wronged. This is our fault. Stop the madness.
- Train your staff on recovery! Then train them again. And again. And again. And train yourself while you're at it. Look at getting some help with trying to understand the recovery event better and creatively dealing with these situations when they happen.
Jeffrey Summers, Head CoachGameOn!
Restaurant Coaching Solutions
jeffrey@getgame.biz
http://www.getgame.biz/
"My job is to make your competition suffer!"
Friday, October 07, 2005
Training Employees: 10 keys for Success
Training Employees - 10 Keys for Success
Training employees never just happens - it is the result of a conscious effort on the part of the trainer and the trainee. Too often trainers say things like, "I can't understand why he can't perform; I told him; I even showed him how!" Showing is not training; telling is not training; testing is not training. These functions imply activity that is one-way and instructor-oriented.
Job training is the processes of helping an employee acquire the necessary knowledge, skill, and work habits to perform a specific job. Failure to help employees get started properly results in needless expense, high levels of employee frustration, and increased turnover rates.
Planned training saves time and cost much less than letting people learn "the hard way". It reduces waste. It helps to insure safe work habits. It reduces employee frustration. It prevents the learning of incorrect work habits, which will have to be unlearned later. It helps to insure guest satisfaction.
While people are all different in their emotional reactions to the learning situation, typical new employees and those learning a new skill want to do a good job. They will do a good job if someone helps them get started properly and gives them information on how they are doing. You are that someone. You are expected to do it through effective job training. That's what job training is - helping people to acquire the necessary knowledge, skill and work habits to do a good job.
There are always two people involved in the training process, the trainer who has the knowledge and skills to do the job, and the learner who must acquire them. The process of transferring this know-how from one person to another is much like TV and radio broadcasting. The trainer is the transmitter and the learner is the receiver. In both instances there is a certain amount of static or interference, which must be overcome.
No two trainees are exactly alike. Their personalities were set long before you ever employed them. Each individual has a different level of desire to learn the job, degree of nervousness, knowledge, and previous experience. If you, the trainer, do not make reasonable allowance for these differences, the message may not get through to the learner.
In fact there are several fundamental principles or keys of learning which you must understand and put into practice if the training you do is to be effective.
These ten keys are points, which will aid you in accomplishing your task of training crew members. While you are reading, think about how you would apply each point in your situation.
Key 1 - People learn best when fresh.Trainees are much more able and willing to learn when they are both mentally and physically fresh. Find time when this criterion is met. Avoid scheduling training at the ed of a shift or after the trainee has worked a busy period. If necessary, schedule a trainee to begin an hour earlier than the traditional starting time.
Key #2 - People learn best in a non-threatening climate.While some people think that keeping trainees thoroughly intimidated will make them "Pay attention", quite the opposite is true. Stress inhibits learning. We should attempt to keep trainees as relaxed as possible. Learning a new job or skill creates enough stress by itself
Key #3 - People learn better when the purpose of the skill or task is knownIf you want to facilitate learning, provide the "end use" of the function. Describe the ultimate result. "We are learning how to cook, hold, and assemble burrito's to provide guest satisfaction through quality food and speed of service". Failing to inform the trainees of this purpose allows their minds to wander during the process. Sometimes the end use may be obvious to us but hidden to the trainees.
Key #4 - People learn better when the "why's" are explained along with the "what's" and "how's".Each "what" or "how" will be learned faster and retained longer if a "why" accompanies it. If you want the trainee to flip the tortilla from the grill at a certain time, you should tell him or her what to look for that would indicate it is time to flip or remove the tortilla. Also explain how the tortilla will look if it is flipped too soon or too late. Now he or she can visualize the consequences!
Key #5 - People learn faster when they are provided "feedback".Feedback is "information provided to enhance performance". It means that as a trainer you must give your trainees a response to their efforts. Responses can be verbal or non-verbal. Nods of the head, an "okay" or "that's it" are simple, yet effective, examples of keeping the trainees on track and positive in attitude. A more formal type of feedback is the "critique" step in the training process. There we will emphasize the use of positives before the critical comments.
Key #6 - Stress the "do's" rather than the "don'ts".Our tendency frequently is to tell trainees what not to do. Emphasize what they are to do in the task and avoid using the "what not to's". The only exceptions to our rule are points, which directly involve guest satisfaction or safety. Otherwise, be positive!
Key #7 - Work from the known to the unknown.Trainees can accept training faster if the new idea, task, or concept is connected with an established one. "Okay, today starts a new coupon promotion. You ring them in just the way you normally do, but now you hit the appropriate coupon key afterward." This technique sometimes referred to as "bridging" allows us to move quickly from point to point to reach our objective rather than trying to jump the canyon.
Key #8 - Don't talk a "foreign" language.Buzzwords, jargon, or foreign language all mean the same thing. (Words we in our industry, our business, or our restaurant use and understand but which are unknown to the general public). The list can be endless. If you must use a word, first define it then use it. If you don't have to use jargon:, don't! Sometimes we like to impress ourselves along with the trainees with our vast and expansive use of the Roberto's vocabulary. Remember, our goal is crew training, not ego feeding.
Key #9 - Break down complex tasks into basic tasks.A banquet is best eaten in bites, rather than one continuous gulp. Take a complicated task of many steps and break it into several tasks of fewer steps. Then train the employee on each task separately until the entire complicated task has been mastered.
Key #10 - Doing tasks are learned by doing.The majority of our skills for the hourly employee are for manual and muscular types of tasks. Therefore, if you want the trainee to learn how to do the tasks, he must have the opportunity to do them during the training process. Over and over and over - because we not only learn fastest by doing we retain the skill longer by repeating it.
Training employees never just happens - it is the result of a conscious effort on the part of the trainer and the trainee. Too often trainers say things like, "I can't understand why he can't perform; I told him; I even showed him how!" Showing is not training; telling is not training; testing is not training. These functions imply activity that is one-way and instructor-oriented.
Job training is the processes of helping an employee acquire the necessary knowledge, skill, and work habits to perform a specific job. Failure to help employees get started properly results in needless expense, high levels of employee frustration, and increased turnover rates.
Planned training saves time and cost much less than letting people learn "the hard way". It reduces waste. It helps to insure safe work habits. It reduces employee frustration. It prevents the learning of incorrect work habits, which will have to be unlearned later. It helps to insure guest satisfaction.
While people are all different in their emotional reactions to the learning situation, typical new employees and those learning a new skill want to do a good job. They will do a good job if someone helps them get started properly and gives them information on how they are doing. You are that someone. You are expected to do it through effective job training. That's what job training is - helping people to acquire the necessary knowledge, skill and work habits to do a good job.
There are always two people involved in the training process, the trainer who has the knowledge and skills to do the job, and the learner who must acquire them. The process of transferring this know-how from one person to another is much like TV and radio broadcasting. The trainer is the transmitter and the learner is the receiver. In both instances there is a certain amount of static or interference, which must be overcome.
No two trainees are exactly alike. Their personalities were set long before you ever employed them. Each individual has a different level of desire to learn the job, degree of nervousness, knowledge, and previous experience. If you, the trainer, do not make reasonable allowance for these differences, the message may not get through to the learner.
In fact there are several fundamental principles or keys of learning which you must understand and put into practice if the training you do is to be effective.
These ten keys are points, which will aid you in accomplishing your task of training crew members. While you are reading, think about how you would apply each point in your situation.
Key 1 - People learn best when fresh.Trainees are much more able and willing to learn when they are both mentally and physically fresh. Find time when this criterion is met. Avoid scheduling training at the ed of a shift or after the trainee has worked a busy period. If necessary, schedule a trainee to begin an hour earlier than the traditional starting time.
Key #2 - People learn best in a non-threatening climate.While some people think that keeping trainees thoroughly intimidated will make them "Pay attention", quite the opposite is true. Stress inhibits learning. We should attempt to keep trainees as relaxed as possible. Learning a new job or skill creates enough stress by itself
Key #3 - People learn better when the purpose of the skill or task is knownIf you want to facilitate learning, provide the "end use" of the function. Describe the ultimate result. "We are learning how to cook, hold, and assemble burrito's to provide guest satisfaction through quality food and speed of service". Failing to inform the trainees of this purpose allows their minds to wander during the process. Sometimes the end use may be obvious to us but hidden to the trainees.
Key #4 - People learn better when the "why's" are explained along with the "what's" and "how's".Each "what" or "how" will be learned faster and retained longer if a "why" accompanies it. If you want the trainee to flip the tortilla from the grill at a certain time, you should tell him or her what to look for that would indicate it is time to flip or remove the tortilla. Also explain how the tortilla will look if it is flipped too soon or too late. Now he or she can visualize the consequences!
Key #5 - People learn faster when they are provided "feedback".Feedback is "information provided to enhance performance". It means that as a trainer you must give your trainees a response to their efforts. Responses can be verbal or non-verbal. Nods of the head, an "okay" or "that's it" are simple, yet effective, examples of keeping the trainees on track and positive in attitude. A more formal type of feedback is the "critique" step in the training process. There we will emphasize the use of positives before the critical comments.
Key #6 - Stress the "do's" rather than the "don'ts".Our tendency frequently is to tell trainees what not to do. Emphasize what they are to do in the task and avoid using the "what not to's". The only exceptions to our rule are points, which directly involve guest satisfaction or safety. Otherwise, be positive!
Key #7 - Work from the known to the unknown.Trainees can accept training faster if the new idea, task, or concept is connected with an established one. "Okay, today starts a new coupon promotion. You ring them in just the way you normally do, but now you hit the appropriate coupon key afterward." This technique sometimes referred to as "bridging" allows us to move quickly from point to point to reach our objective rather than trying to jump the canyon.
Key #8 - Don't talk a "foreign" language.Buzzwords, jargon, or foreign language all mean the same thing. (Words we in our industry, our business, or our restaurant use and understand but which are unknown to the general public). The list can be endless. If you must use a word, first define it then use it. If you don't have to use jargon:, don't! Sometimes we like to impress ourselves along with the trainees with our vast and expansive use of the Roberto's vocabulary. Remember, our goal is crew training, not ego feeding.
Key #9 - Break down complex tasks into basic tasks.A banquet is best eaten in bites, rather than one continuous gulp. Take a complicated task of many steps and break it into several tasks of fewer steps. Then train the employee on each task separately until the entire complicated task has been mastered.
Key #10 - Doing tasks are learned by doing.The majority of our skills for the hourly employee are for manual and muscular types of tasks. Therefore, if you want the trainee to learn how to do the tasks, he must have the opportunity to do them during the training process. Over and over and over - because we not only learn fastest by doing we retain the skill longer by repeating it.
Thursday, October 06, 2005
The #1 reason businesses fail isn't undercapitalization, that's a symptom, it's a lack of execution in the leadership role. If it was capitalization alone, then the richest people in the world would have all the success because of their access to capital. Tell that to the likes of Steve Jobs, Bill Gates, Michael Dell, Warren Buffet, et al, who all started out of their garage and see what reactions you get. Every reason that contributes to a restaurants failure stems from the no execution malady, and this alone. It's a top-down disease, not bottom-up or middle out. Standards come from the top. Culture is defined from the top. Financials are controlled from the top. Teamwork, Budgets, Goals, Quality, Systems, PEOPLE, VISION, Passion, Communication - it all comes from the abilities of the leader to execute in their role as owner/operator/leader and the erosion of proper business controls (read undercapitalization) is just symptomatic of no leadership execution. Great restaurants have to be managed to greatness, bad restaurants fail all by themselves. There exists a direct correlation between success and execution as well. Execute 50% of the time and you will get a 50% return on your success - approach the 100% level and you will achieve a compounded rate of success. There are a gazillion reports, articles, research papers, etc on the subject of why people want to work for themselves and the reasons are legion. It's what I personally believe the future holds for us all. But prepare yourself. No experience in managing an FSO on your resume DOES NOT QUALIFY YOU FOR SUCCESS IN OWNING ONE! No matter how many HR departments you ran, no matter how many loans you packaged, or how well you cook for your friends on the weekend! No other industry requires you to manage like the Hospitality Industry. Here you create the product, produce the product, market the product, sell the product, and so on down the line. Not preparing yourself is like asking someone to hit you upside the head with a skillet. But then again, that's what it takes with some people.
Have Fun Today!
Jeffrey Summers, Head CoachGameOn!
Restaurant Coaching Solutions
jeffrey@getgame.biz
Have Fun Today!
Jeffrey Summers, Head CoachGameOn!
Restaurant Coaching Solutions
jeffrey@getgame.biz
Subscribe to:
Posts (Atom)
