8 Ways to Retain Restaurant Employees and Keep Them Happy

Staffing is one of the biggest headaches in the restaurant industry. So much so, that 59% of operators named staffing as their top challenge to success. Much of this can be attributed to the high turnover rate experienced by the restaurant industry. According to Toasttab.com, the average tenure of a restaurant employee is one month and 26 days. That is a lot of turnover that is costing your business about $3500 every time someone walks out the door. You might think “Well that is just how the industry goes”. Believe it or not, there are some strategies you can implement right now to increase the tenure of your employees, boost morale, and increase profits.

Measure Tenure

If you have done your work and hired a good staff that you want to keep, the first thing you need to do is start tracking how long your employees have been with your business. Understanding how long an employee stays with you, in all positions, can help you understand what you need to do to keep people. For example, if your average server stays for 11 months, design any incentives you may have around that. Use this information to extend the tenure of your employees. You can implement additional training, recognition, or pay raises at 6, 12, and 18-month intervals to see if it can help to extend the average.

Ultimately, tenure reveals more than turnover does. But you can’t manage it if you don’t measure it.

Stay Interviews

Hiring interviews, and occasionally exit interviews, are a common practice, but implementing “Stay” interviews can have huge benefits. Take the time to sit down with a veteran staff member to better understand why they are happy with their job, and why they have chosen to remain an employee.  Also, give them the opportunity to talk about what you can do to sweeten the deal and keep them longer. This can help you put the finger on the pulse of what you are doing right, and some areas that could use improvement.

Memorable First Day

An employee’s first day is just like a first impression; you want it to be a good one. Do your best to demonstrate energy and enthusiasm. Be visibly passionate about the company culture, values, and mission. The easiest way to do that is by creating a great company atmosphere. An employee won’t want to stay long if all the other employees are complaining about their jobs and how much they want to leave.

Re-Recruit

Every shift should be a reminder of why your employee wants to stay with the business. Now, we all have bad days, but do your best to bring focus and energy to every shift. As a leader, you set the tone for the rest of the team. This can be accomplished by really focusing on the company atmosphere. Make sure your restaurant is a place that you and your employees are excited to return to shift after shift.

Encourage Mentoring Culture

By assigning a mentor to a new employee, you create a culture that fosters connection and allows a veteran to share insights they have acquired through experience. New employees can also become easily frustrated when not given the proper training to do their job correctly. Implementing a mentor program can help cut down on this frustration. Try to provide a mentor for every position; a dishwasher can benefit from a mentor just as much as a line cook.

Identify Stressors

Stress is inevitable. You won’t be able to fix every situation, but there are some you will be able to. Do your best to identify stressors and eliminate them if possible. Dissatisfied employees often report feeling that no one is in their corner and they receive minimal support. Talk to your staff regularly about their pain points and ask them how you can help. As an added bonus, this can often lead to improved processes.

Provide the Ladder

Employees become frustrated when they feel as if they are stuck in their job with no room for improvement. Chances are that isn’t the case, they just don’t know what they can do to advance their position. Providing a clear outline of what employees can do to progress is beneficial to them and you. It helps with retention when employees have a clear outline of how they can progress.

Thank Your Staff

It seems too simple, that saying “thank you” would turn things around with an employee. Thanking staff is easy to do but often forgotten. It is an uncomplicated way to let your staff know that you appreciate their work. This will also help to open-up lines of communication between you and your team. Listening to them can give you an insight into problems you had no idea were occurring.

The high turnover rate of the restaurant industry is not only a huge stress to operators and costs a significant amount of money. By listening to your staff, measuring tenure, and improving the atmosphere you can increase employee retention and profits.

Straws: Plastic and Pollution on Our Planet

Plastic Straws in Drinks

 

A little background…

2018 has not been kind to plastic straws. The restaurant and hospitality industries are being encouraged to change the way they use single-use plastic products like straws (“500 million straws are used and discarded every day in the U.S. alone”). In response, many corporations are coming up with alternatives and plans to change the way they use straws.

In 2015, a video was uploaded to YouTube named ‘Sea Turtle with Straw up its Nostril – “NO” TO PLASTIC STRAWS’ by Texas A&M Ph. D. candidate, Christine Figgener. This video has over 32 million views on the YouTube platform, not counting Facebook or other social media views. Although it wasn’t the first, this viral video put a face on the issue of single-use plastic items and raised awareness about the consequences that aren’t considered after a piece of plastic lands in a landfill, ocean, or beach.

Many restaurant owners are being faced with purchasing questions that they will need to answer. Single-use plastic has long been used in the restaurant and hospitality industries religiously for the past fifty years. It can seem difficult to find alternatives, but not impossible.

What’s the issue?

Plastic straws (used in homes, restaurants, etc.) are turning up in the ocean and harming wildlife while also adding themselves to heaping piles of garbage that can’t be recycled.

What are other companies doing about straws in their restaurant?

Food industry behemoths like Starbucks and McDonald’s were some of the first to make headlines in the fight to abolish straws. Starbucks is looking to ditch plastic straws for their strawless lid cup in all locations by 2020. McDonald’s is banning single-use plastic products in their U.K. and Ireland locations while also testing plastic straw alternatives in the U.S. Other players like Aramark, Hyatt Hotels, Fox Restaurant Concepts, Eataly, Shoney’s, the Four Seasons Hotel group, and even Ikea are just a few of the food/hospitality companies are in the process of or have promised to change their straw policies.

What do restaurant owners need to consider?

Consider where your restaurant is. Cities like Malibu and Seattle have already passed ordinances banning plastic straws, forcing restaurant owners to offer an alternative.

Don’t forget to look at your menu. Could you save money by reducing straw distribution? Could you serve your mixed drinks without cocktail straws? Are there alternatives you could use instead? Read on…

 

Plastic and Paper Straws

 

What can I do in my restaurant?

If you’re thinking about making the switch from plastic straws to an alternative, here are some options to consider. There are pro’s and con’s to each alternative so it’s important to choose what is right for your business model and menu.

Sippy-type cup (aka no straws)

Getting rid of straws all together in larger companies seems to be the way of larger corporations (like McDonald’s and Starbucks). While this may seem like a grand and great gesture, it’s also a major point of contention for people with disabilities. Many people with disabilities rely on straws to avoid aspirating liquid into their lungs. Another issue with the strawless lid is the additional plastic that goes into their production. Although no straw is needed in this redesigned lid, the new recyclable lids actually have 0.32 or 0.56 more grams of plastic product than the current lid and straw combo. While this lid is recyclable, it’s still likely to end up in a landfill or in the ocean.

Paper straws

The biggest complaint? The straws get soggy and collapse after a couple sips. The key to finding a good paper straw is to have one made with higher quality materials. Straws from companies like Indiana-based Aardvark focus on materials like special paper with a cleaner carbon footprint and a food-grade safe adhesive to maintain a quality straw. Paper straws are pricier but reduce the plastic consumption. This will hopefully be a better alternative in the future as the technology becomes more widespread.

Metal straws

Not a bad solution, in fact it may be a great one for dining-in situations as they are a little expensive. By using metal, this alternative basically becomes part of your silverware set. If you plan on using this type of straw, opt for those with a bend in them, an important characteristic for customers with mobility issues. The drawback? You may want to also invest in another alternative such as compostable or paper straws for your take-out orders.

Pasta straws

They may be firmer than paper straws and less bendy than plastic straws, but pasta straws don’t have all the answers. These can get soggy and don’t work for customers who have a gluten sensitivity or Celiac disease.

Compostable straws

These straws have a very similar consistency to plastic straws but are compostable, meaning if they reach a landfill, they will break down. It’s important to note that these straws can be 70% more expensive traditional plastic ones, causing business owners to cringe at this alternative.

Available upon request

For independent restaurants where the decision-making lies with you or your general manager, having straws be available on request can lessen the straws given out. Most people use straws because they are handed one, making them just another step in the dining process. If customers have the need or desire to have a straw, having them available only upon request will cut down on those who just use a straw for convenience. And in the same move, you are still providing an option for those who have mobility issues. Having straws available upon request could also help you save money since you’ll be cutting back on how many you order by not giving them out as freely.

Is your restaurant making moves to sustainably serve your customers? If you are in a straw-banned area, how has it affected your business? Tell us below.

For more information on anti-single-use plastic campaigns, please visit The Last Plastic Straw for more details on what your restaurant can do.

Combating Food Waste in Your Restaurant

The last thing you want as a restaurant owner is to watch your money get thrown out in the garbage. Unfortunately, when you waste food, this is exactly what’s happening. It’s seemingly easy to do, some milk here, apples there, and right before your eyes, thousands of dollars have gone to waste. Because it’s so easy, it’s estimated that there are 60 million tons of food wasted annually throughout the United States, and it’s likely that your restaurant is contributing. So how can your restaurant put anti-food waste steps into effect? Here are some actionable steps your restaurant can take to help cut down on food waste.

Create a committee. Either find individuals motivated to take a stand against food waste or incentivize the position, but make sure you have people from different areas in your restaurant as part of the committee. You don’t want to involve your whole kitchen staff, only to leave out the wait staff. You also need your purchaser on board (whether that’s you or an employee).

Practice FIFO. If you don’t know what FIFO is, listen up! A ‘first in, first out’ system allows your food preparation to run more smoothly, while keeping in mind the issue of food waste. When a new food order comes in, put the new food on the right and shift the previously-purchased food to the left. Cooks then grab food in a reverse order (left to right) to make sure they are using the items that will expire more quickly than the food on the right hand side.

*Pro Tip: When organizing your storage area, beware of cross-contaminating foods. Raw chicken does not belong next to fresh produce so don’t let all your rules go out the window to focus on FIFO. Shelf-labeling is handy while keeping in mind newer versus previously-purchase food and the types of food that can be stored together.

Control portion size in the kitchen. This requires due-diligence from your staff. As kitchens get busy, eyeballing ingredients (aka not paying attention to the pre-priced amounts from your menu plan) becomes more common but this is one way that customers end up with more food than they need and often more than they paid for. American restaurants are notorious for unnecessarily large portion sizes. You want to satisfy your guests, but not at the cost of your bottom line. A great way to cut down on food wasted by customers is to allow them to choose their portion size by offering lunch and dinner sizes on the menu. The less food that’s left on your guests’ plates, the better.

Repurpose ingredients. Have a lot of leftover shredded chicken from yesterday’s fajita special? Make chicken tortilla soup! If you’re flexible with your specials, soup can turn leftover nightmares into the next day’s featured dinner.

Make over your menu. Speaking of flexibility, you’ll want to check in on how each of your menu items are doing. If you must buy highly-specialized ingredients for a few items, make sure they’re worth it. If they are sub-par performers on your menu, change it up! It’s easier to broaden your menu with dishes that have more universal ingredients. A lot of restaurants turn to a focused menu to use up any surplus and still offer a variety of options without sacrificing storage space while cutting unnecessary costs.

Compost. Chances are your restaurant probably builds up (and throws away) a lot of produce scraps. Whether it’s from leftover salads or unused portions, these scraps can easily be composted. If your restaurant has its own little garden that grows herbs, use these as fertilizer. Or build community relations and reach out to farmers who could use the compost to help supplement their crops.

Donate what you can. If your restaurant has exhausted the options to using leftover food, consider donating. There are many organizations around the country that help excess food get to those who are in need. If you’re concerned about liability and the legality of your donation, review the Bill Emerson Good Samaritan Act of 1996 to understand your rights as the donating party.

Full dumpster

Keeping food waste in the forefront your mind when running your restaurant and making operational decisions is crucial in combating the problem. Taking the steps above are just a few ways your restaurant can have an impact on this destructive global trend. Integrating these better choices into your business model can cut down on food waste and save you money at the end of the day.

Do you have plan for food waste in your restaurant? What steps do you take to combat it? Tell us below in the comments.

Reviews and Your Restaurant: The Good, the Bad, and the Ugly

Why Reviews Matter

Whether you consider it to be a good or bad thing, the food retail world is controlled by the consumer, and your restaurant is just living in it. If your customer has a bad experience and chooses to tell others about it, your operation could be in trouble. Word of mouth is extremely important for the perception of your restaurant, so it’s crucial to know how to handle reviews of all kinds.

Where do customers leave reviews?

You may say ‘I’ve never seen a review of my restaurant before’. More than likely, you’ve just never seen the reviews. The most common places to look for reviews of your restaurant are Facebook, Google, and Yelp.

Facebook

Because of its user-friendliness, Facebook is popular with customers and restaurant owners alike. Your restaurant’s business page is a great platform to have pictures of the day’s specials, hours, and social interaction, all in one place. When it comes to reviews, Facebook creates a star rating that denotes the quality of the reviews left, with five stars being the best. You can also change how you want to filter reviews: most helpful, most recent, and star rating. Because of how often it is used daily for news, photos, and checking up on friends, it’s only natural that Facebook restaurant reviews are taken seriously. Potential customers can trust the words of their mutual friends and can even see if others they know have reviewed the restaurant.

Facebook Business Page

Facebook Reviews Page

Learn how to find and interact with your Facebook page reviews.

Google

If you look up your restaurant on Google’s search engine, you will see your business name off to the right side, along with categories like directions, website, and an overall star rating. This star rating is determined by an average of the reviews left. If you click into these reviews (and there are some) you will be able to see the individual reviews. Google is a super important facet of customer reviews because whether people are searching for your menu, hours, or directions, they’re most likely typing it into the Google search engine. This will bring up the sidebar with the star-rating and reviews front and center.

Google Search Reviews

Find out how to respond to Google reviews.

Yelp

One of the most common review sites, and the thorn in the side of many restaurant owners, Yelp helps future customers narrow down their choice of where to do business. It also gives customers that have visited the business an outlet to review the quality of services and their expectations of that business. Yelp has its own algorithm when it comes to displaying reviews. Like Google and Facebook, Yelp also uses a star ranking system, calculated by reviews left. Yelp tends to display a frequent Yelper’s reviews over a new user, making it more difficult to see reviews chronologically.

Yelp Business Page

Yelp Reviews Page

Learn how to use Yelp to the fullest potential with these tips for your restaurant.

What do I do if someone leaves my restaurant a good review?

Congratulations on your restaurant’s hard work! Here’s how you can make the most out of your patron’s compliments:

Respond Back– Before you do anything else with your positive review, you need to write back! Good reviews deserve just as much attention as bad reviews, plus you can promote them without having to come up with an apology statement. Thank the customer for their review and acknowledge that they went out of their way to pass along kind words.

Give Credit Where Credit It Is Due– After you pat yourself on the back, make sure to bring the review to your staff’s attention. If it is about the service, recognize your bartenders or wait staff at the next shift meeting. If it’s about the food, congratulate the cooks on a job well done. While credit should certainly be served to those that were mentioned in the review, you can commend all moving parts of your restaurant. This success is the result of teamwork in your restaurant.

Show It Off– Publish the review on your social media channels, have framed testimonials (do it yourself with Small Thanks), or even include it into your next menu design. Reviews are a great way for your restaurant to tout its successes and would be a shame to not promote them!

What do I do if someone leaves my restaurant a bad review?

Don’t panic! A bad review can become an opportunity for your restaurant if handled correctly. The process below can help streamline how you or your staff deal with negative reviews.

Study Up–  You’ll need to do a little research before answering the review with your emotions flying. First, take note of the date the review was posted and, if it gives details, who (if anyone) was involved. This can help you gain some perspective on how to respond to the review.

It’s Not Too Late to Say Sorry– Apologizing is crucial. Even if it was the weather. Even if it was a fluke in your well-oiled staff. Even if it was the way your restaurant is decorated. Say you’re sorry. That person is not leaving a review for no reason (usually) and wants their feelings validated.

Be a Problem Solver– After your apology, be sure to offer up a solution that’s related to what the customer was concerned about. If there was an issue with the food, reach out with a free meal or appetizer. If there was a problem with the staff, communicate that it will be brought up during a team meeting to prevent it from happening again. Also, if the incident has since been addressed and solved, let the reviewer know of the policy change.

When dealing with a bad review, it’s important to acknowledge the reviewer’s feelings and empathize while also offering a solution. Be sure to touch on each of these points and tailor the response to the reviewer’s experience. Canned responses quickly lose candor and don’t win you any points for originality.

As with positive reviews, be sure to bring up bad reviews with your staff. Walk through the situation with them and provide a process for how to deal with similar situations. You can even use them as motivation for your staff by putting bad reviews in their break area, especially if they are unmotivated by tips.

Why does brand management matter?

Having fresh reviews, engaging with those leaving reviews, and monitoring your social media channels may sound like it will take a lot of time and energy. But without good brand management, it’s extremely difficult to stay on top of customer reviews. In doing these daily tasks, you can quickly pick up on these channels’ review components and see what people are saying about your restaurant. It’s important to keep an eye on these as much as possible to create the highest amount of engagement, and ideally, new reviews.

When making decisions, customers are searching for recently posted reviews, as it should be the most up to date information. Unfortunately, the barrage of five-star reviews you received early last year just isn’t going to cut it. According to Search Engine Land, “69 percent of consumers believe that reviews older than 3 months are no longer relevant”. In other words, a review’s usefulness depreciates in value for bringing in new business. Constant flow of reviews show that your restaurant is staying relevant and can be used for customers to make more informed decisions.

By successfully managing your brand, you can incite more reviews by guests, encouraging others to come see what the fuss is about. To help you stay on top of your restaurant, try setting up a Google Alert to easily monitor possible reviews or comments.

Reviews can stand as a welcoming beacon or caution sign; handling them properly can make all the difference. By staying on top of good and bad reviews with attentive brand management, your restaurant can create a quality experience for all guests.

Top 6 Restaurant Cash Handling Blunders You Must Stop

Cash Register for Cash Handling Blunders

By David Scott Peters
TheRestaurantExpert.com

If you have poor cash handling procedures in place in your restaurant, no other system you put in place will matter. I don’t care how efficient your restaurant is, if every penny of your sales isn’t deposited in the bank, there won’t be enough money to pay your bills. Cash controls must take top priority. No matter what you think needs to be addressed first, I tell restaurant owners to prioritize the review of restaurant cash handling procedures over everything else.

Here are some samples of classic cash handling errors we see in restaurants all the time:

  1. Change in a glass or a drawer. This is a practice used to simplify the nightly deposit. It is used two different ways. First, it’s a time saver to avoid counting loose change. Second, it is used to make the nightly deposit balance exactly to what the point of sales system says the cash balance should be.
  2. A week’s worth of unsecured checks in an unlocked filing cabinet. We often see this when the general manager or the owner is the only one allowed to make a bank run, when there is not enough cash to deposit due to credit card purchases or because the owner or manager is just plain lazy.
  3. A bin with a year’s worth of used non-voided paper gift certificates. While management was doing the right thing making sure all of the gift certificates used were accounted for on a nightly basis, they failed to write the word void on them and then saved them in an unsecured clear bin. Any employee could steal a small amount on a daily basis and reuse them to keep cash sales.
  4. Customer checks taped to the office wall. Many restaurants cater or hold banquets on premise. This means you will have customers leave a deposit check to guarantee the party will happen. This practice is meant to cover costs if they cancel. The challenge comes when the owner or manager doesn’t deposit the checks and tapes them to the wall, because you don’t know if payment is good. A dishonest employee could steal the checks or use the information to steal your customer’s identity and conduct check fraud.
  5. Credit card numbers recorded in a book. In July 2010, a new law was enacted that makes it illegal to retain customers’ credit card numbers in anything other than a secure online record keeping system that meets the law’s requirements. Failing to follow the law’s requirements can result in fines as much as $5,000 for each credit card number kept.
  6. Blank checks and forged checks to routinely pay for deliveries. It is a common practice that restaurant owners leave blank checks to pay for invoices, or they allow a key employee, who is not authorized to sign checks, to simply forge their signature to pay for invoices. This exposes you to a great deal of liability.

If you any of these procedures is in place in your restaurant, know that you’re leaving yourself open to theft and liability. It is your responsibility to make sure ALL of your money makes it into the bank on a daily basis. You must eliminate poor cash handling procedures, eliminate the majority of ways your cash can be stolen and avoid costly fines through proper systems.

David Scott Peters is a restaurant consultant, event speaker and founder of TheRestaurantExpert.com, a company committed to the success of independent restaurants. TheRestaurantExpert.com offers an exclusive online restaurant management software designed specifically to meet the complete operational needs of independent operators, including holding their managers accountable and running a profitable business. Combined with one-on-one coaching and group workshops, TheRestaurantExpert.com is helping independent restaurants find success in the highly competitive restaurant industry. Download a free report to discover the #1 secret to lowering food and labor costs and running the independent restaurant you’ve always dreamed of. Learn more about how David can help you at www.TheRestaurantExpert.com.

Secure Your Kitchen: A Guide to Increasing Safety in Your Commercial Kitchen

Commercial kitchens are notorious for the hustle and bustle that happens behind the doors; while the customers might see the relaxed atmosphere of the dining room, the kitchen is anything but. That being said, it is also one of the most dangerous rooms in your restaurant. With a few easy steps, you can help ensure the safety of your employees and patrons, and protect against financial losses.

Fire Safety

The biggest hazard to a commercial kitchen is a fire. Nearly 8,000 eating and drinking establishments report a fire each year, according to 2006-2010 data tabulated by the National Fire Protection Association (NFPA). Fire causes over $246 million in restaurant property damage each year and can devastate a restaurant, leading to lost revenues and even permanent closure.

A great way to combat a fire is by installing an effective kitchen fire suppression system. Look for a  system from a company that provides trained technicians to install the system, provide routine inspections, and service the equipment. Current U.S. codes require a UL3000 hood extinguishing system along with a k-rated fire extinguisher.

Be proactive about fire safety by maintaining and inspecting your fire alarm system. Try to create a schedule to inspect the alarms on a regular basis. Check to make sure that the batteries are still in working order. The alarm will let you know when the batteries are getting low by beeping periodically even when there is no smoke. Experts recommend checking your fire alarms every six

months. While checking don’t forget to check the batteries for corrosion, which can also cause the alarm to malfunction.

 

In the event of a fire, ensure that all posted signs are easy to read and visible, not only for employees but patrons as well. Make sure to keep you evacuation routes clear. This is a safety measure, but if routes are blocked it can also be a code violation.

Ensure that all posted signs are easy to read and visible, not only for employees but patrons as well. You don’t want to see anyone harmed if something should happen.

Having properly functioning fire alarms can alert not only your employees and patrons, but also the fire department of any serious situations. Regular fire drills and well-displayed evacuation routes also help to ensure the safety of everyone. Practice the drills to help identify any area of confusion that should be remedied before an actual fire breaks out.

Equipment Safety

In addition to fire, improper equipment is a huge concern in a commercial kitchen. Deep fryers are not only a concern for fire safety but also for burns.  Hot oil is very dangerous and requires a 16-inch clearance to ensure that all staff members are safe. Keep in mind that child labor laws do not permit workers younger than 16 to cook or use a deep fryer. Always have team members wear steam gloves when changing or filtering the oil to protect against burns. Another aspect of fryer safety is keeping the floor near the fryer very clean; oil from the fryer can easily make its way to the floor and cause a fall leading to injury.

Keeping your kitchen as grease free as possible increases not only safety but productivity. Commercial kitchens are full of grease. Cleaning grease traps on a 6-month interval may be an industry standard, increasing the cleaning frequency based upon how quickly the grease accumulates helps cut back on the likelihood of blockages. According to the EPA, grease is the primary cause of sewer blockages that lead to overflows in the kitchen.

Knives are one of the most commonly used tools in a chef’s arsenal and present a constant danger in a commercial kitchen. Believe it or not, dull blades are more likely to slip and cause injuries, so keep you knives sharp. Utensils made of high carbon stainless steel hold their sharpness longer and might be a good investment so you aren’t spending lots of time sharpening blades. It is also important to avoid knives with wood handles as they are more likely to become oily and slip from the users grasp.

Training

One of the most helpful ways to improve your kitchen safety is to provide your staff with the appropriate training. Staff should always be trained on the proper way to use new equipment and the dangers that are associated with improper use.

In addition to new equipment training, consider sharing with your team a few other pieces of information to help keep your kitchen safe.

Train your staff to:

  • Properly use a fire extinguisher
  • Clean up grease
  • Never throw water on a grease fire
  • Store flammable liquids properly
  • Use chemical solutions correctly
  • Be able to power down equipment – Train at least one worker per shift on how to correctly shut off the gas and electrical power in case of an emergency.

Sometimes it is difficult to make your safety training engaging, yet quick, and easy to grasp. Colorful visuals, customized posters, and videos are all good tools to help teach your employees without causing them to zone out from boredom.

Nobody likes to micromanage employees and make them feel incompetent, but it is a good idea to supervise the handling of the equipment occasionally to make sure that it is being used safely.  You can give your employees all the tools they need but if they aren’t using them correctly it won’t improve the conditions of your kitchen.

Another benefit of revisiting your safety measures is that a safe and clean kitchen leads to higher employee morale and productivity,  not to mention the benefit of avoiding lost revenue due to down time from an accident or permanent closure. At the end of the day, the biggest benefit is still ensuring the safety of your staff and patrons. By checking for fire hazards, monitoring your equipment, and training your employees you can improve the safety of your kitchen, protecting your restaurant from disaster.

Loyalty Programs: The Profit Behind the Rewards

The phrase “customer loyalty program” often brings to mind images of punch cards and freebies, but loyalty programs have evolved through the years into so much more. Technology and data mining techniques have turned the programs from cheap promotional tactics into big data goldmines that allow smart establishments to tailor their marketing to each customer.  In this article, we’re going to take a look at the different types of loyalty programs, why your restaurant needs one, and the best practices for implementing it.

How it works

In the restaurant industry, there are two basic types of loyalty programs: points based systems or tiered systems. Points-based systems reward customers for dollars spent or frequency of visits, while tiered systems benefit long-time customers by awarding them special access and exclusive opportunities.  To determine what type of system would work best at your restaurant, consider which behaviors you would like to reward.

Why You Should Implement a Loyalty Program

The numbers are in and they show that it is much more lucrative to focus on creating loyalty in your customers than gaining new customers. A study by Bain & Company reported that a 5% improvement in customer loyalty can increase lifetime profits by as much as 95%. Even more, a whopping 70% of customers who participate in loyalty programs report purchasing more.  New business is great but it costs more to acquire a new customer than retaining an existing one: in some cases, up to 6 or 7 times more.

Some restaurants who have implemented loyalty programs have also seen a reduction in attrition and an increase in referrals.

The kind of loyalty that influences the frequency of a customer’s visits occurs when customers relate to a dining establishment. Take a look at the demographic that you would like to focus on and make sure that your business positioning and processes align with those of that demographic. Creating a customer persona could be helpful during this process. Customer personas are fictional, generalized representations of your ideal customers.

For example, in a college town, your customer persona is probably an early 20-something looking for a meal at the most affordable price point. If you are located in a more family friendly area the persona might look more like someone in their mid-30’s who is willing to spend a little bit more for a higher quality meal.

Return on Investment

Having a loyalty program can also do wonders for collecting customer data. By tracking the items purchased, the frequency of visits, and dollars spent, you can determine the best areas to invest your money. Managers or owners can even take the gathered analytics to analyze the popularity of a dish and determine what other items could be purchased to pair with it and increase sales. For example, if one of your all-time best sellers is a poultry dish, you might want to consider ordering a new chardonnay known to pair nicely with chicken.  You’re customers receive a better all-around experience and you see an increase in profits.

These same analytics can be used to analyze customer behaviors, which can then be organized into data to develop promotions that are designed specifically to appeal to a certain group of customers.  The ultimate goal is to create motivational offers to influence a customer, increasing the frequency of return visits as well as per-visit spending.

Loyalty Program Best Practices

  • Provide an Immediate Incentive
    • That instant reward for signing up might be just enough to convince any customers that are on the fence about joining to take the plunge.
  • Make it Easy to Join
    • Don’t force your target audience to have to scour your website to find your sign-up page. Have it in a highly visible spot as well as talking to your staff about encouraging customers to sign-up in the restaurant. Signing up should take no longer than a few minutes.
  • Take only the information you absolutely need
    • Customers don’t want to spend their time filling out long surveys just to sign up for your program. Try to limit your questions to essentials like name, birthday, and email address.
  • Personalize offerings to members
    • Loyalty programs often fail because their offerings are too general. By creating specialized incentives based on what the customer has previously purchased you are more likely to see them walking through your door.

What Not to Do

  • Limited Time Offers
    • Limited time offers can be a great way to get customers in the door and increase traffic, but these strategies are not enough to create loyal customers. Spending money on these promotions may see an uptick in new customers but these are the same customers who are not likely to return until you run another promotion.
  • Don’t Have Customers Wondering if the Rewards Will Work
    • Make sure your employees are well versed in redeeming your loyalty system. It can lead to frustration on both sides if customers are trying to use a loyalty program reward and aren’t able to because of faulty programming or a poor system. Your relationship with the customer is the most important thing.
  • Don’t Forget to Use the Data
    • Customers will expect relevant offers in exchange for the personal information they are providing. It is crucial to make use of the information provided to tailor your message as much as possible.

Loyalty programs may seem like they are geared more towards benefiting the customer but in the end, it is a mutually beneficial relationship. The value of the data gathered, and brand loyalty that is inspired far outweigh the costs of a few perks. By implementing and utilizing a loyalty program your restaurant could see a significant increase in profits.

 

 

 

The Recipe of a Restaurant: How to Break into the Industry

Open for Business

Have you dreamed of owning your own restaurant? Maybe you’ve sketched out what the exterior would look like on a napkin, daydreamed about what you would serve, or even picked out your china?

But have you ever thought of taking this dream one step farther and putting your ideas to work?

If you’re looking to bust into the restaurant business but aren’t quite sure of what you would need to do it, we’ve compiled the largest pieces you need, into one guide. And because opening a restaurant is no easy task, we spoke with Rob Coffaro, owner of Coffaro’s Pizza in Slippery Rock, Pennsylvania, to get his expertise on the subject.

Coffaro's Pizza

Prep Time

Concept- First things first, you need a concept. This may be something you already have under belt, but if not, you need to cement what your vision is for your restaurant. Having a more concrete concept can help you carry the elements you want into your restaurant more clearly.

Location- Whether you’re taking over another restaurant or building from the ground up, you should have your location. Talk to your realtor about the different options for your commercial venture. This will impact how you finance your restaurant.

Finances- How you finance will largely depend on your situation. If you are so lucky to have been saving up in your personal savings account, these liquid funds could get you on your way. If your credit is in good standing, a credit card could be a viable solution, depending on how much you need. Another option could be a restaurant specific loan or a Small Business Administration loan. A restaurant specific loan is not bound to a specific need and has a varying interest rates and terms, depending on the size of the loan. Based on the financial institution, this loan can have many different names but serves the same purpose. An SBA backed loan can offer lower down payments and longer terms to the business owner but can be difficult to qualify for. To qualify, a business must meet size requirements, be in good financial standing, be in the for-profit industry, and meet the credit requirements of the lending institution. Instead of going the commercial route, you could also have investors help fund your restaurant. If these are friends and family, remember that while the money can be convenient, it can also be a strain on the relationship.

Business plan- After you’ve analyzed the risks and you’re ready to take on the responsibility of owning your own business, it’s time to create a business plan. This plan gives you a guiding light when things seem dark or what to do next. When documenting your business plan, be sure to include information on your concept, team standards, design, target market, market overview, financial risk, business structure, and external individuals that will be helping you run your business (like a lawyer or accountant).

Legal matters- If you plan on serving alcohol or having a BYOB policy, make sure you check your state’s liquor license laws. Some states can take longer than others for this process, so if this applies to your business definitely get a jump on it!

Slice of Advice- Be Organized

Mix in Your Ingredients

Write your menu- It’s time to test out what culinary creations will grace your menu. Use focus groups of friends, family, and other chefs to narrow down what fits your restaurant’s style and flow. Make sure to also include various substitutions to accommodate guests with food allergies or dietary restrictions. When designing your menu, you need to keep in mind the physical look of the menu, how categories will be presented, and the pattern in how it’s read.

Network- How are you going to obtain the ingredients of your daily fare. Research foodservice vendors on price, quality, and delivery time but also keep local farms or vendors in mind. A great way to build relationships in the community is to partner these homegrown businesses which could help get your foot in the door for future events.

Get social- Start creating a buzz about your establishment. Choose two or three social media platforms that you are well-versed in (or are prepared to master) and begin showing the world what makes your business unique. You have a great opportunity to show the beginnings of your restaurant, from the first time you walk through the door to opening night. Use it!

Dimensions- Space planning can give you important figures such as your capacity, how many pieces of furniture you can order, and the image of how your restaurant will look at the end. There are many requirements that restauranteurs need to implement in their layout. Whether large or small, your restaurant can be planned out before you purchase a single piece of furniture.

Filling the space- To complete your restaurant, you will need commercial furniture and restaurant equipment (think refrigerators, ovens, etc.). Be sure to purchase products that promise quality and durability. Don’t forget to also pick up dinnerware, napkins, cooking utensils, and silverware to run your business smoothly and efficiently. It’s also time to finalize your menus and send them off to print!

Safety is key- In most states; you need to have a pre-operational inspection done before your restaurant opens. During this inspection, there should be absolutely no food on the premises. The pre-operational inspection confirms that your restaurant is compliant with health laws.

Build your team- The amount of upper-level management you need will depend on your business structure and size but most restaurants have a general manager, assistant manager, shift leaders, and chefs. You will want to look for individuals that are successful in recruiting, supervising, and budgeting. When your management team is in place, you can start hiring the wait and kitchen staff. From top level management all the way to the first-time job holder, training is important for seamless, united customer service.

Slice of Advice- Hiring

Let’s Get Cooking

Get your feet wet- Have your soft opening a couple weeks before your grand opening that introduces your business to the community. This lets your future customers get to know you and get excited that you will be opening very shortly.

Call your health inspector- Directly after your soft opening, schedule an operational inspection with the health department. Staying up on these issues is important for the longevity of your business.

Make it an event- For your grand opening, make sure that you are present and available. This is the time to enjoy your handiwork and introduce yourself and your team to all those who came out to support you. You should invite some sort of press outlet, but you may want to also hire a photographer to attend. Designate a staff member or friend to be in charge of social media that night, this is an event you will want to remember.

Slice of Advice- Do the Math

Enjoy Your Final Product

So your restaurant is now a full-blown operational business. That’s awesome, but the hard work is just beginning. You need to keep up on budgeting, food safety, licenses, and your customers’ overall experience. It’s important to keep in mind that while it may be simpler to hire the accountant and just leave the finances to them or hire an assistant to focus on staying up to date on licensing, you need to be involved. Just because your restaurant is open does not mean you can stop researching and educating yourself. Let this and every ounce of customer feedback drive you to become a better restaurant and business. You need to be involved with each workings of your business to protect and nourish it every step of the way.

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Closeout Craziness

As a company, we take pride in offering our customers the lowest prices in the land, but there is one section of our website that has exceptionally great deals. That is our Featured On Sale Items page. And right now that page is full of closeout items at prices so low they will blow your mind. Let’s take a look at some of our newest closeout additions to the page.

Reversible Laminate Café Table Tops

These table tops come in a variety of shapes, sizes, and colors.  For shape, you have your choice of round, square, or rectangular. Once you decide on the shape you can choose from an array of sizes. Finally, you can choose between Mahogany/Black and Oak/Walnut colors. Bases for these table tops are sold separately. With prices starting at $10.00 a top these table tops are sure to sell out quick.

Clear Coat Bar Stools and Chairs with Rust Markings

Due to some issues at the factory, we have received an order of clear coat chairs and bar stools that have unique rust blemishes underneath the clear coat. These blemishes do not compromise the structural integrity of the furniture in any way. The rust markings are sealed and will not change in shape or size. Made of the same 16-gauge steel as their non-blemished counterparts, these pieces are able to stand up to the rigors of everyday commercial use. Each piece is unique in no two markings being the same. These items are priced to sell at $14.00 for chairs and $16.00 for bar stools.

If you are on the hunt for an amazing deal one of these closeout pieces could be great for you. But be sure to hurry, stock is limited and once they are gone we won’t be ordering any more. Click the link below to start shopping now.

 

http://www.tableschairsbarstools.com/featureditems.html

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Popular Restaurant Trends Throughout the Years

Popular Restaurant Trends

How many times a day do you see blog articles pop up on social media titled “25 Most Embarrassing Food Clichés of (insert year here)”? And once your curiosity has gotten the best of you and you’ve clicked on these articles, you see a list teeming with negativity about food and restaurant trends from years gone by. While these articles can be entertaining, hindsight is always 20/20.

It’s safe to say that the restaurant industry has had plenty of changes occur from its inception, some of them better than others. “New” trends are difficult to come by in the restaurant industry, with many ideas being perfected over the years. But as restauranteurs, it’s necessary to look back on restaurant history to see what’s coming in the future.

The 1950’s

The 1950’s easily became the golden era for American restaurants. The Great Depression and war were a thing of the past and left the economy booming. This time of prosperity made it simple for other industries to flourish as well. Due to improvements in the nation’s highway system, the need for stops along interstates grew. With more and more travelers on the road, franchise restaurants became more in demand.

McDonald's in 1954

Photo from allday.com

Many of these franchised restaurants are still popular today. In 1954, the McDonald’s restaurant we know today was bought from the original McDonald brothers and transformed into franchise gold by Ray Kroc. McDonald’s was not the first fast food restaurant, but the assembly-line system was revolutionary for fast food restaurants to come. Kroc was able to turn this humble hot dog stand into a quick and efficient franchising opportunity. McDonald’s franchise model became a beacon of success for other restaurants, like Kentucky Fried Chicken and Dairy Queen, to follow in suit.

Highway System

Photo from nesbittrealty.com

With the highway system improvements also came advancements in the automotive industry. The 1950’s was filled with car culture; so why would restaurants be any different? While the first drive-in was opened along the Dallas-Fort Worth Highway in 1921, the 1950’s were the true heyday of drive-in diners. Serving up burgers and shakes, sometimes on skates, these diners became social hangouts for teens and families alike. The drive-in trend continued through the 1960’s and then declined with the increasing number of drive-through options in restaurants.

The 1960’s

Steak and Ale Menu

Photo from cravedfw.com

Although processed and junk food captured much of the baby boomers’ attention, it wasn’t the only trend happening in America at the time. Steak and Ale (casual dining) began offering a salad bar buffet to guests, keeping them occupied while waiting for their dinners. Soon enough, salad bars were popping up in steakhouses all over the country as a way to customize a guest’s appetizer.

Dining in the 60's

Photo from petermoruzzi.com

This decade was also defined by the meats served in restaurants. Most entrees at this time were focused around beef of some sort. Beef wellington, steak Diane, and Swedish meatballs were all popular beef dishes of 1960’s. In middle class restaurants, beef and lobster (or surf n’ turf) dinners were commonly seen on the menu.

Howard Johnson's

Photo from slate.com

At this point in history, there was an increasing emphasis on family time outside the home (vacations, a meal out, etc.). Popular restaurants of the time, Japanese steakhouse Benihana and Howard Johnson’s were often patronized by these families looking to spend quality time together and bond over dinner. In the 1960’s, dinner became more than just food and more focused on the emotions associated with it as a family.

The 1970’s

The 1970’s marked the beginning of environmentalism as the newest social cause, affecting the food and restaurant industry. Changing their tune from the 1960’s, customers wanted healthier options that were unprocessed and uncomplicated. This shift led to a rise in vegetarianism and health food stores.

At this point in time, there was a shift in gender roles. With a larger number of women in the workforce, restaurants were used as experiences with the family or a chance to get away from the preparations and cleaning up required of cooking at home. More casual-dining chains began spreading across the nation like the Cheesecake Factory and Ruby Tuesday, both opening their doors in 1972. For a quick bite, the 1970’s marked Subway’s start into franchising. Much like the fame of the McDonald’s assembly line from the 1950’s, the Subway assembly line was just as important for future restaurants in similar niches.

In finer dining, Le Cirque (New York City) opened its doors in 1974 by Sirio Maccioni and became a landmark in the city. One of the most infamous dishes to come out of Le Cirque was pasta primavera. This entrée soon became one of the most ordered items at restaurants across the country, its popularity spilling over into the 1980’s as well.

Le Cirque, New York City

Photo from insatiable-critic.com

The 1980’s

Innovation ran rampant in 1980’s restaurants. Chefs were taking creative license to create new combinations and dishes, making restaurants trendy and modern. While there were many traditionalists who argued against these new methods, it was certainly an exciting time to be in the restaurant business.

Nouvelle Cuisine

Photo from caraandco.com

Nouvelle cuisine was popular especially in finer dining establishments. Chefs worked hard to create elaborate presentations with their dishes, using the plate as a canvas. Popular New York City restaurants like Odeon and Quilted Giraffe used this style quite fervently throughout the 1980’s. Championed by chef Michel Guerard and food critics Henri Gault and Christian Millau, nouvelle cuisine allowed young chefs to be more artistic and not held to the restrictions of traditional French cooking.

Although this cooking style allowed chefs to be more creative in their practice, it ended abruptly with the stock market crash of 1987. With the largest one-day drop of the Dow Jones in history, customers expected more out of their restaurant helpings than the smaller, artistic portions of the time.

Chef Paul Prudhomme

Photo from investors.com

Another popular trend in the 1980’s was Cajun cooking. While other American chefs looked to other countries to inspire their dishes, chef Paul Prudhomme looked to his Louisiana roots. Prudhomme used classic Louisiana ingredients like blackened beef, crawfish, and shrimp to create exciting menu items such as Chicken and Andouille Gumbo and Cajun Jambalaya. The blackening technique became very popular in the 1980’s, being used in fish and other meat entrees.

The 1990’s

Fusion cooking was on the rise in the 1990’s. A trend, fusion cooking is the combination of different cultural dishes to create something new. Laying the ground work for this new trend, celebrity chef Wolfgang Puck served dishes that combined French and Asian influences for an interesting mixture. Items on Puck’s Chinois on Main menu included foie gras with pineapple and catfish with fried ginger.

Wolfgang Puck

Photo from minnpost.com

While these dishes could be highly creative and delicious (like this Thai-inspired pizza), some chefs took it a step too far and created “con-fusion” which were unexpected flavor hybrids that didn’t complement each other well. The “con-fusion” was a result of the chefs trying to jump on the bandwagon and allow their restaurant to have the next big thing, which doesn’t always coincide with a customer’s palate. It is very difficult to specifically label certain “con-fusion” recipes as a failure because taste is extremely subjective. But something tells us that a recipe for spicy Asian green beans with blue cheese isn’t going to be our new favorite food either.

Fusion Cooking

Photo from guyeatsfood.com

Many chefs are not a fan of the term “fusion cooking”, claiming negative connotations from the 1990’s. Even though it is still a popular cooking style in the modern world, the term fusion cooking is not normally used.

The 2000’s

At the turn of the century, America became much more conscientious about their foods. Consumers were more concerned about where their food came from, how it was processed, and what was in it. This kind of curiosity led to many consumer-driven changes that effected food suppliers, distributors, and restaurants.

Super Size Me documentary

Photo from netflixlife.com

One of the most revolutionary food documentaries to ever hit the small screen was Morgan Spurlock’s Super Size Me, which premiered in 2004 to a shocked America. It was common knowledge at this point that fast food was not the ideal meal for a healthy diet, but this documentary took just how unhealthy fast food could be and made it a living nightmare. After this documentary, many fast food chains began to evaluate their menu offerings.

Fresh food

Many consumers demanded more health-conscious options from all of their eateries. Even big-box retailers like Walmart were starting to offer organic options to their customers. So why wouldn’t restaurants as well? More restaurants began creating and marking healthier choices on their menus while others provided more detailed information about where the food came from. This kind of communication with the customer makes them feel more in charge and able to make more educated decisions based on the information that is provided to them.

Because consumers were aimed to obtain healthier foods (for the most part) they frequented businesses like Subway, Jamba Juice, and casual dining establishments like Applebee’s and Olive Garden. Some of the most popular foods of this decade included sushi, bacon, super fruits (blueberries, acai berries), and cupcakes. Many restaurants assimilated these flavors as a part of their core offerings.

The 2010’s

While we are 60% of the way through the 2010’s, there are still prominent restaurant trends that will have sticking power throughout the remainder of this decade.

Chipotle Assembly Line

Photo from qz.com

Restaurants that offer assembly line-like service allow for customers to choose how they want their food prepared are huge right now. The customer is able to tailor their experience from station to station to have their food made exactly the way they want it. This customization ability can be seen in restaurants like Chipotle, Blaze Pizza, and even Starbucks.

Coffee craze

Speaking of Starbucks, the 2010’s are drink-crazed. Whether it is coffeehouses or microbreweries, the interest in mixology has skyrocketed. Many restaurants are not limited to regular or decaf coffee offerings anymore. Similarly, restaurants are also producing their own type of craft beer or wine. There is a certain fascination with making these concoctions because it is all about creativity, and is great for expanding your profit margins.

In urban areas where rent is astronomical and constantly changing, the newest restaurant trend isn’t to become a physical building; it’s to have a food truck. This trend has roots starting in Los Angeles with Kogi BBQ truck and chef Roy Choi. With the help of Twitter and the combination of Korean and Mexican cuisine, the Kogi BBQ truck became a success that inspired restauranteurs to take an alternative route for restaurant ownership.

If you’re looking to create something new in your restaurant, it is always helpful to look to the past for inspiration to create your future. These popular trends from the 1950’s all the way to today have their time and place in history. The restaurant industry has a cyclical nature; trends are bound to find their way around again. While the subject matter of the trends may not be your restaurant’s cup of tea, at the very least, you can get a theme night out of it!

What are some trends (modern or older) your restaurant has tried? Let us know in the comments below!

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