WHNetwork Blog

The Evolution of Restaurant Life

WHN admin — Thu, 28 Apr 2011 14:34:15 +0000

Life as I know it...

It's been 2 months since I last sent a newsletter - the last one being titled "Life as I know it (is about to change)." And I was right, restaurant ownership and management is my new reality - and pretty much whole world, at least for the time being. The insanity of remodeling and opening is now behind me, and I am now able to come up for air a bit. Gone are the 16 hour days, replaced with only 9 hour days!

What are the most significant changes since I last owned a restaurant? (Sold the last one in 1990!)

1. WWW

The world wide web has changed it all. I didn't even have a website the last time I owned a restaurant, and people still used the yellow pages. In this way, technology has made things much simpler. Websites are quick and easy to build and to update and the web make it much faster and easier for customers and potential customers to find you and easily get information.

2. Technology

I had a cash register last time around - not a POS system! Now we use the new generation online POS, an iPad connected with the receipt printer, cash drawer, and card swipe.

Revel software provides up to the minute reporting so we can track sales from any Internet browser in real time. There is no back of the house server or computer needed. They provide an online software platform in which our on-line store, iPhone app, and mobile website are all integrated in the POS. Also, Revel offers paperless receipts as well as printed receipts and if customers forget their wallet, they can pay via Google Checkout or PayPal. Pretty slick. Check them out at RevelSystems.com

3. Customer needs/desires

Customers today are a whole new breed. The sheer amount and detail of modifiers needed to accommodate customers compared to 20 years ago is huge. It seems almost rare to have an entire party simply order stright off the menu. Allergies, special needs diets and personal preferences are sky-rocketing, making it more and more interesting (and complicated) for the industry.

4. Social media

Of course social media has completely changed the landscape - both positive and negatively, for restauranteurs. Everyone is a critic, and the speed at which opinions and reviews are available to any and all is moving at a faster and faster pace. It certainly adds a fun component, adding a more interactive communication medium, although can certainly add stress as well, if not managed or if you feel unfairly attacked.

As for us, we are just starting to peek our heads back out into the world (for 2 months our world was held between our 4 walls), so how all these things will work - or not - for us, remains to be seen. In the mean time, we're having fun with it!

Visit Community Cafe at 875 West Napa Street, Sonoma, CA 95476 (707) 938-7779, CCSonona.com or find us on:

-Margie

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Original post blogged on b2evolution.

The World as I Know it is About to Change...

WHN admin — Fri, 28 Jan 2011 17:40:31 +0000

Wine and Hospitality Ezine

Life as I know it...

I guess it a good thing I am a high energy person, because I think I'm going to need it! Life as I know it is about to change in a major way. On Monday, January 31, my husband Willy & I, along with partners Robert & Cindy Friedman (Consumer Direct Manager for Gloria Ferrer) take possession of a local restaurant! The location, currently known as Mondo will have their last night of business on Saturday, January 29th - locals be sure to stop in and say goodbye!

(Press Democrat article on the new venture here).

I have always worn many hats, and this one will take me back to one of my original ones, restaurant owner/operator. I opened my first restaurant in the Georgetown area of Seattle in 1987, followed by a Bellevue location a couple years later. Jumping back in after many years off is both exciting and a bit scary, but was a natural next step, as the PT catering/private chef gig I had been doing was growing bigger all the time! Having great partners to share in this exciting venture brings a lot of comfort and a great group energy, not to mention a great breadth of skills and experience.

Community Cafe will be a breakfast & lunch venue, where we will be offering rustic wine country cuisine, with a menu that will change based on the season and what is available locally. Evenings the space will be available for private bookings and dinners. We look forward to featuring some of the amazing local food & wine we have here in the Northern California Wine Country.

In the mean time, business at Outside the Lines, Inc., the Network and WineAndHospitalityJobs.com will carry on, with the continued help of Su Pinney and Mike Hurst. If you make it to Sonoma, be sure and stop in at the Community Cafe and say hi! I'm sure I'll be sharing some of the trials and tribulations of opening and operating, and look forward to telling you about new customer feedback technology that we hope to be utilizing!

-Margie

Original post blogged on b2evolution.

What are the Top Industry Trends for 2011?

WHN admin — Thu, 13 Jan 2011 02:48:09 +0000

Wine and Hospitality Ezine

Top Trends for 2011

What, pray tell, does 2011 have in store for our industry? What trends will we see the end to, and what new ones will emerge? That is what is on my mind as this new year begins. To start, I thought I'd check out what other people were saying.

According to Andrew Freeman (founder of an SF based hotel & restaurant marketing firm), pies top the list of top trends - small, large, sweet, savory, pies of all types - in fact, pies are the new cupcakes. (full article here)

When the NRA asked 1,527 chefs for their 2011 top trends, tied at No. 1, with 86 percent of chefs identifying each of them as important trends, were locally sourced meats and seafood and locally grown produce. Sustainability came in as the third most important trend, the NRA reported. Nutrition and health were a focus of both Andrew Freeman and the Chefs, including children's nutrition (thanks Jamie Oliver!) and smaller plates. There's a belief that many consumers will choose healthful options over indulgent options more often, although comfort food is apparently not losing popularity either.

Many trends of course come as a response to the troubled economy, including creative use of spaces and multi-use spaces, Eataly in New York is an example. "We are going to see markets opening in the corners of restaurants," according to Andrew Freeman. Lisa Hemenway's Fresh concept, recently opened in Santa Rosa is an example of this concept taken even further, with many concepts under one roof, including a market, deli, bakery, espresso bar, full service restaurant, catering and more.

On the subject of the new trends emerging due to the economy, Rick Bakas's recent blog post included the suggestion that wineries cut costs in 2011 by using less oak. According to Bakas, "A brand-spanking new French oak barrel costs somewhere around $800-1200. A barrel can be used a few times before it becomes "neutral," or doesn’t impart oaky flavor. American oak is an option, but French oak is the preferred choice. Wineries order pallets of oak barrels each year. If a winery buys 500 new oak barrels at an average of $1000 per, that’s $500,000 in barrels." And he concludes, in his opinion, with less oak, they'll make better wine.

As far as the wine industry, one industry blogger's prediction was that the two top trends would be emerging markets and the continued focus on social media and mobile technology. VinTank endorses SCVNGR, the location based software that uses geo-social gaming to engage consumers. The gaming aspect is "sticky" keeping users engaged with competitions; and wineries, restaurants, and other businesses offering rewards for SCVNGR active consumers.

I believe technology in general will remain a focus, how to use it better - not only for promotion and social applications - but also to make business run more quickly and efficiently, in uses such as wine lists on iPads, tableside payment systems, Internet ordering, and discounting websites such as Groupon and now LikeList.

What trends are emerging in your area? What ones do you like and what ones are you not so crazy about? Let me know!

-Margie

Original post blogged on b2evolution.

The Top 4 Trends in Customer Loyalty

WHN admin — Wed, 01 Dec 2010 20:51:21 +0000

Wine and Hospitality Ezine

So much talk about loyalty and loyalty programs, especially as everyone tries to stay afloat in these up and down times. Although more and more the talk is shifting from having a loyalty program to, as one recent restaurant blog post said, "86 your existing ‘loyalty’ programs (which are nothing more than frequency schemes) and create real loyalty through actual guest engagement programs."

Now Loyalty 360, a loyalty marketer's association located in Cincinnati, Ohio, has released their "11 Key Customer Loyalty Trends for 2011."

The four I found most important to the industry were: (for the entire article, click here)

(1) Marketers will increasingly understand that loyalty is not a program --- it is a journey and a strategic business goal. While points programs have been around for a while, from a strategic marketing perspective building true loyalty based on a total customer experience is still relatively new and a burgeoning area most brands. Loyalty initiatives will focus on engagement and building long-term relationships.

(3) Companies will increasingly look at how customer engagement and employee engagement work together to drive bottom line results. A 2009 Gallup quantified the impact of customer and employee engagement. They found that those in the upper half on customer engagement and the lower half on employee engagement, or vice versa, get a 70% boost in bottom-line results; those in the upper half on both customer and employee engagement get a 240% boost.

(9) The Restaurant industry will be investing more in loyalty initiatives. Just-released research conducted by the National Restaurant Association in partnership with Loyalty 360 and rDialgue found that 84% of respondents plan to invest more in their loyalty initiatives because of their proven ability to drive business growth.

(11) Marketers will integrate social gaming into their loyalty initiatives. Social gaming has become a widespread activity across practically all demographics, with AllFacebook.com reporting that there are now 200 million people playing games on Facebook every month, and 24 games have more than 10 million users per month. Traditional incentive-based marketing does not drive the level of consumer participation that can be achieved via gaming --- and it’s this sought-after participation that builds lasting relationships, engagement, brand affinity, and brand loyalty.

What success are you having creating customer loyalty? Please let me know!

-Margie

Original post blogged on b2evolution.

What's the Future of Locavores and Locapours?

WHN admin — Thu, 18 Nov 2010 19:34:25 +0000

Wine and Hospitality Ezine

Wikipedia: The locavore movement is a movement in the United States and elsewhere that spawned as interest in sustainability and eco-consciousness become more prevalent.^[1] Those who are interested in eating food that is locally produced, not moved long distances to market, are called "locavores." The word "locavore" was the word of the year for 2007 in the Oxford American Dictionary.^[2] This word was the creation of Jessica Prentice of the San Francisco Bay Area at the time of World Environment Day, 2005.^[3] It is rendered "localvore" by some, depending on regional differences, usually.^[4]^[5] The food may be grown in home gardens or grown by local commercial groups interested in keeping the environment as clean as possible and selling food close to where it is grown. Some people consider food grown within a 100-mile radius of their location local, while others have other definitions.

I am guessing that there are relatively few out there in the industry who have not heard the term locavore, maybe even the related term for drinking what is produced locally, locapour. Over the past few years, the locavore movement has garnered more and more interest. The New Oxford American Dictionary even made the term their word of the year in 2007. Many people are discovering that eating locally has numerous benefits: food is more nutritious, tastes better, and fuel conservation is promoted by avoiding foods that has been trucked hundreds (or even thousands) of miles.

Many restaurants are joining the movement, forming relationships with their local farming community, shopping their local Farmer's Market, some even growing their own produce. The movement is also spilling over onto wine lists as well, with restaurants featuring locally produced wines.

Some examples include:

Local restauranteur Sondra Bernstein has created "The Farm Project," a biodynamic farm, which consists of small plots of land behind two of her Sonoma, CA restaurants, the girl & the fig and ESTATE, and even has a share cropper agreement with close-by Glen Ellen winery, Imagery Estate. Sondra and her team are trying to be true to what they believe in by using organic, local and sustainable produce. (See blog post it by Megan Conniff here)

Local Culinary Program, Relish Culinary Adventures has teamed up with award-winning Grape Leaf Inn to offer the Sonoma Locavore Experience" a three-day tour packagethat features visits to organic and biodynamic vineyards, family farms, local restaurants and other area businesses that are dedicated to sustainability.

And don't think you need to be on the farm to grow produce! Seattle restaurant Bastille installed a 4,500 square foot garden of raised-bed planter boxes on their roof to grow their own lettuces and herbs.

Regarding the Locapour movement, last year the San Francisco Chronicle reported that local vintners were voicing complaints against locavore restaurants that glorified local food, but stocked their lists with imported wines. Washingtonian magazine food critic Todd Kliman took the argument national with his post on TheDailyBeast.com "The Locavore Wine Hypocrisy." The National Restaurant Association even announced last January that the #1 trend in alcoholic beverages is “locally produced wine and beer,” and be sure to check out the"Drink Local Wine" blog.

Since being coined in 2005, the locavore trend just seems to be growing bigger each year, with apparently no end in sight. Have you seen any cool or cutting edge locavore-related ideas being implemented? Let me know!

-Margie

Original post blogged on b2evolution.

On Consumer Review Sites Food is King

WHN admin — Wed, 10 Nov 2010 16:38:17 +0000

I am reprinting the following article by Glenn Withiam of Cornell University School of Hospitality because it presents another view of consumer review sites, and is a bit contrary to what our audience had to say about Yelp. Love 'em or hate 'em, the bottom line in this study is not "service is king" but "food is king." To read our past posts on the industry's love/hate relationship with Yelp and all of your comments, go here: Part 1 and Part 2.

Cornell Hospitality Quarterly Study: Restaurant Review Comments Tend to Be Fair and Favorable

Restaurant review sites generally offer valid assessments of venue performance

Ithaca, NY, November 3, 2010 – Contrary to the fears of many restaurateurs, the comments on electronic restaurant review sites tend to be fair and reasonable, according to a hospitality study published in the November 2010 issue of the Cornell Hospitality Quarterly (CQ). The featured article, "Electronic Meal Experience: A Content Analysis of Online Restaurant Comments," by Ioannis S. Pantelidis, can be viewed here, hosted by Sage Publications, which publishes the Cornell Quarterly for the Cornell Center for Hospitality Research.

Pantelidis, who is a senior lecturer at the London Metropolitan Business School of London Metropolitan University, conducted a content analysis of 2,471 customer comments on the london-eating.co.uk site, an online restaurant guide. His goal was to determine which factors show up most often in consumers' commentaries. He found that "food is king."

"Even though your guests are seeking an experience at your restaurant, it is clear that food is the primary variable that will influence a customer's memory and their behavioral intentions—whether that includes returning or sharing reviews on various internet sites," he wrote. "No matter how good the service or how well priced the menu may be, if the restaurant fails to deliver its primary product, the experience will be tainted and subsequent comments will be negative."

The study's content analysis revealed a preference structure model, which suggests that customers consider food, service, ambience, price, menu, and decor (in that order) when reflecting on their experiences.

Despite certain notable cases where restaurants have been publicly savaged on the internet, Pantelidis found that favorable comments far outnumbered negative reviews on this site. "The fact that the anonymity of this site does not unleash a negative tsunami and instead allows satisfied customers to give a positive restaurant review is a message of great hope to restaurateurs who might be concerned about such sites," he concluded.

Whether your experience on such sites has been positive or negative, the bottom line seem to be that those who engage the customer, regardless of the customer's experience, seem to have the best outcome.

-Margie

Original post blogged on b2evolution.

No, Everything is Not OK!

WHN admin — Wed, 03 Nov 2010 21:19:22 +0000

Wine & Hospitality Ezine

No, Everything is Not OK!

It happens everyday in restaurants all over the country, perhaps all over the world. A manager, or perhaps even a server stops by a table and asks, "Is everything OK?" Everything? Really? The economy, world politics, the state of the environment? It's much like the greeting when checking out at the grocery store, "Hi, how are you today?" "Fine, thank you." I'm not against pleasantries, however it generally just elicits a generic response. The grocery store clerk is not really inquiring about your gallstones, Uncle Ed's drinking problem, or how you really feel about your new boss.

And it's the same in restaurants, hotels, or practically anywhere else. In general, if you use a general, stock question, you are going to get a generic answer.

And even more important: what does this say about your standards? Is everything OK? That's all you are hoping for, that the absolute minimum requirements have been met? I know that many restaurants, particularly chain restaurants, drum it into their managers that they must touch 100% of the tables. Which, in theory, sounds great. The problem is that it just feeds "Is everything OK?" because with a 100% goal, they don't actually have time to stop and really listen to anyone.

And the fact is that most dissatisfied customers don't complain. According to studies conducted by the Technical Assistance Research Programs, for every unhappy customer who complains, 26 do not, even though they have grievances. That means that if a company receives 10 customer complaints, there are probably a whopping 260 customers who have complaints but don’t express them (at least not to the company). However, you can be sure they are talking about it elsewhere!

When talking to customers, if you want real, in-depth feedback on how you are doing, ask them in-depth questions that require a more detailed answer. Better to get 3 true, detail oriented responses rather than 100 "Fine" responses. Take the time to listen to your customers, and set your standards high, "Were we able to provide fantastic (outrageous, amazing, etc.) service for you tonight?" If customers feel you really want and value their opinion, they are most likely going to share it with you.

And of course, you should be conducting customer satisfaction surveys to catch those who have slipped through the cracks such as our two photo examples. Call me at 707-933-0687 or email me for a quote!

-Margie

Job Seekers: Search all jobs and apply online at WineAndHospitalityJobs.com

Employers: Start recruiting now online at WineAndHospitalityJobs.com. Have questions? Need help? Call 707-933-0687 or email info@OTLConsulting.com.

Original post blogged on b2evolution.

The Importance of the Restaurant or Wine Critic...

WHN admin — Wed, 27 Oct 2010 19:46:50 +0000

Wine & Hospitality Ezine

The Importance of the Restaurant or Wine Critic...
and what does the future hold?

The first professional restaurant review may have been in the New York Times in 1859, when the editor in chief told an unnamed reporter to "go and dine" in order that he might provide an account of his experiences. We've come a long way since then...

And now, with the Internet has come the huge (and seemingly unstoppable) rise of consumer reviews, blogs, opinions; on anything and everything. As always, food, travel & wine are favorite topics. Millions of foodies (and travelers and wine lovers) are now civilian critics, letting Chowhound, Yelp, TripAdvisor, Citysearch, and other sites in on their recent experiences. Further adding to this global change, print publications are in crisis, reducing journalistic staff, and making professional reviews fewer and further between. Will professional reviewers become extinct? And what the difference between a professional review and a consumer review anyway?

Jeff Cox, who had been working independently as a writer since 1981, including as a restaurant reviewer, describes his view on the differences between a professional reviewer and a consumer reviewer: "When the restaurant reviewer is a journalist (someone with a degree in journalism), then the review is an account of the reviewer’s experience with no agenda behind it. It can be trusted to be impartial. That makes it valuable to the restaurant as a reality check to see where improvement may be needed, and to the customer, who can be assured that his or her experience will reflect what the reviewer found."

On consumer sites such as Yelp, Jeff says, "They are interesting and entertaining, but not necessarily reflective of the restaurant. More reflective of the writer’s state of mind, prejudices, etc. These people aren’t trained journalists." And I can certainly see that in many (although certainly not all) of the Yelp type posts appearing daily throughout social media. Many posters who seem to have an ax to grind with a particular business or some other pet peeve to air, and in many posts it feels quite personal. Jeff states, "Restaurant reviewing requires accuracy, truth, and honesty. You are dealing with people’s livelihoods. The reviewer should embody the standards of real journalism and tell the truth as he or she sees it, always be fair, and never have an agenda. In other words, even if I don’t like the restaurateur, I should still rate the restaurant fairly." And I think that's what many business owners and managers fear about public consumer reviews, the lack of objectivity and the fear that one person's opinion may have a direct effect on their business - and their livelihood.

Will the professional restaurant review become a thing of the past? Perhaps not, as "community journalism" seems to be gaining ground. According to The Project For Excellence In Journalism, some new sites like stlbeacon.org and voiceofsandiego.org, often launched with the help of foundation grants, show promise, providing critical community news and information.

Others are mixing community building with professional standards of reporting. Oakland Local, a community site founded by Web entrepreneur Susan Mernit and funded through both a start-up grant and advertising, is one example of such an experiment. It covers topics like the environment, food, development and education for its local community and in a recent month had 65,000 page views, 40,000 visits and 25,000 unique visitors.

And some partnerships have begun between the old and the new media. The Seattle Times is partnering with a number of local neighborhood blogs including westseattleblog.com to share links and collaborate on reporting. Other legacy news organizations are looking to become aggregators of community sites as a way to deliver more micro local news to their users (and increase their value to users in the process).

Although I did not find traditional restaurant reviews on these sites, both oaklandlocal.com and westseattleblog.com have a fairly extensive food section, westseattleblog.com with a strong restaurant focus. Could reviews be coming? And what will all this mean to current guides and rating systems such as Zagat or the Michelin Guide? Where will they fit into the mix?

I'd like to know how much impact each of these rating, guides or reviews/reviewers has had on your business (whether food, wine or hospitality related) and where you see the future of the reviewer or critic. Please take a moment to let me know!

-Margie

Original post blogged on b2evolution.