Wednesday, October 27, 2010
Tuesday, September 14, 2010
Tuesday, July 27, 2010
Restaurant buying group for multi-unit operators
Restaurantchains.net and Joe Dunbar & Associates is your exclusive entree into the entegra co-op buying group.
We have formed a company called Dynamic Chains along with entegra (backed by Sodexo corp.) in 2008 to bring the buying group to companies who have at least 5 foodservice outlets, but no more than 50. An outlet can include units, catering facitlities, etc.
Until our agreement with entegra, you could not join the entegra co-op unless your company's annual purchases exceed $25,000,000.
From when we began our agreement with entegra, there are now 5,500 locations in the co-op who have more than $3.5 billion in annual purchases.
Our original members now find 50% more items than 2008 including brand new programs for CVP Chicken, Red Bull, Sara Lee desserts and additional eco-friendly items.
The savings are spectacular. There are more than 400 manufacturers and suppliers in the program and 7,000 SKU items. In full confidentiality, we can show you who, how much the savings are and the way the program works.
You can call me directly at 914-591-4297 or keith@foodservicereport.com and I will contact you for further discussion and investigation by your company.
Monday, July 26, 2010
Bars & Grills - the winners!
"Bar & Grill restaurants currently sit atop of the expansion and sales goals of today's existing and growing chains. This is mirrored in relation to independent operators who are opening new stores and performing well in today's environment. Not all concepts, but many family/casual and upscale restaurant operators (chains and multi-units) have either closed or continue to struggle.
As far as industry growth or contraction, we see no discernable difference in 2010 as end consumers continue to eat out. They just spend less and choose differently. Paralleling our statements in 2008 & 2009, new openings of independents as well as nimble, low check average multi-units with smaller footprints have filled the gap where some higher check average and large square footage operations have ceased to exist"
As far as industry growth or contraction, we see no discernable difference in 2010 as end consumers continue to eat out. They just spend less and choose differently. Paralleling our statements in 2008 & 2009, new openings of independents as well as nimble, low check average multi-units with smaller footprints have filled the gap where some higher check average and large square footage operations have ceased to exist"
Monday, April 28, 2008
See you at the NRA! May 17th-20th
If you would like to meet us and see how are various chain programs can benefit you and your company, please stop by!
If you want to meet up somewhere at the show please let me know, we can stop by your booth. My cell phone is 914-980-8692. My email is keith@foodservicereport.com
Hope to see you there!
If you want to meet up somewhere at the show please let me know, we can stop by your booth. My cell phone is 914-980-8692. My email is keith@foodservicereport.com
Hope to see you there!
Tuesday, March 04, 2008
Foodserviceclub.com
We started a brand new social networking site for the food service professional. Exchange ideas, expert opinion, operational forms, etc.
www.foodserviceclub.com
www.foodserviceclub.com
Tuesday, February 12, 2008
Restaurant Cooperative
Restaurantchains.net has begun our first alliance with Dunbar & Associates in launching Dynamic Chains. Dynamic Chains is a restaurant cooperative where its members receive rebates from companies on the global scale. Items such as paper towels, dish soap, beverages and many brand name companies have rebates available given you have a size-able group. We have already attracted more than 100 companies in joining. To know more please click here...
Tuesday, January 15, 2008
Topic #4 on service. Asking for help
The true strength of a good service person is when they ask for help and provide direction to get themselves out of the weeds.
Contrary to many servers beliefs it is not a sign of weakness or that a person can't handle the situation. Situations that come up such as;
1) Being sat 2-3 tables at once.
2) Having food or beverage sitting at the pick-up windows.
3) Sensing table maintenance needs to be done.
4) Initial greetings.
There are endless issues that come up in the service business. Almost any restaurant person will tell you the action comes in waves.
If this happens and suddenly there is a self realization that a server cannot keep up with all the multi-tasking. What is a server to do when that happens, and what are the consequences?
1) If you ask for help, it show you are in sensory command of your area/station and are competent, not weak.
2) If you don't ask for help and the customer feels shortchanged on any of the endless service points they expect, they can feel cheated out of a good experience.
Who can help to make sure it doesn't happen as often?
1) The server, other servers, the host/seating staff and the manager. If a server is seated multiple tables at once, or for whatever reason is backed up on providing good service and does not ask for help and provide direction, the host station and the manager on duty can and should be monitoring this and directing additional staff as necessary to help the server. Until a server is experienced enough to ask for help themselves they will need this assistance. After the shift the manager can discuss the event again with the server to help them understand the behavior.
Contrary to many servers beliefs it is not a sign of weakness or that a person can't handle the situation. Situations that come up such as;
1) Being sat 2-3 tables at once.
2) Having food or beverage sitting at the pick-up windows.
3) Sensing table maintenance needs to be done.
4) Initial greetings.
There are endless issues that come up in the service business. Almost any restaurant person will tell you the action comes in waves.
If this happens and suddenly there is a self realization that a server cannot keep up with all the multi-tasking. What is a server to do when that happens, and what are the consequences?
1) If you ask for help, it show you are in sensory command of your area/station and are competent, not weak.
2) If you don't ask for help and the customer feels shortchanged on any of the endless service points they expect, they can feel cheated out of a good experience.
Who can help to make sure it doesn't happen as often?
1) The server, other servers, the host/seating staff and the manager. If a server is seated multiple tables at once, or for whatever reason is backed up on providing good service and does not ask for help and provide direction, the host station and the manager on duty can and should be monitoring this and directing additional staff as necessary to help the server. Until a server is experienced enough to ask for help themselves they will need this assistance. After the shift the manager can discuss the event again with the server to help them understand the behavior.
Tuesday, January 08, 2008
Wednesday, January 02, 2008
FOH Series Continued. Topic #3, The Swarming Method
There is a method called "The Swarming Method" of customer FOH service. This means that service/wait staff share the responsibility of good customer service with the primary service or order taker.
Essentially there are restaurant zones at some restaurants and other restaurants make everyone responsible to swarm. In other words, keep your eyes on all the tables in your area for re-fills of beverages, table maintenance, etc. Then you, as the non-primary server fulfill whatever the table wants and in turn other servers do this for your tables.
I think I first noticed this method done correctly in the 80's by the HOUSTONS restaurant chain.
It went like this:
A server would introduce themselves and provide menu Q&A, take the order and start the process as the primary server at the point of sale with the customer. Sometimes even the primary server would not take the order.
Then as another server/runner would deliver (whose job is to run food during the entire shift or another server who happened by the pick-up window in the kitchen) the food/beverage, they would ask if the table needed anything else. Or the runner/swarmer would see the table required maintenance of some type. That runner/swarmer would then obtain (or clean, etc.) for the table of patron(s) whatever it is they needed all while perhaps neglecting their own tables/station.
The thought was that another "swarmer" would provide the necessary upkeep for their table while they're doing it for another. There are times you would never see your original server again during that meal.
Sound confusing? I admit when I first saw this method put into play I had my doubts.
But Houstons pulled it off with elegance! I was amazed they were able to do it and I as a patron felt taken care of. It almost felt as if little angels would just swoop in at the right time and keep satisfaction high.
Since that time, I have noticed many companies trying to emulate the same method and few have with the same level of success.
______
When this method works and when it does not:
It works when:
1) Servers are thoroughly trained and supported by supervisory personnel who are watching the process during the entire shift. Management has instituted a strict "points of service" method and performs continual figure "8's" of the FOH floor to ensure it's all coming together.
2) Servers are given constant feedback on their ability to perform this method. New hires typically require up to one month and beyond.
3) A team effort where all the staff believes in this method and has genuine concern for all the restaurant patrons, not just the ones at their tables.
4) The menu and style of service is either QSR, quick casual or casual/family service.
It does not work when:
1) The restaurant is upscale. Watching over another's table is vitally important, but the bond made by the primary waiter in this sort of establishment should not be broken. Multiples of servers and support staff suddenly showing up and "over" servicing a table can leave a diner confused and feeling under-valued. The primary server should act as the captain of the ship in this type of restaurant for any table in their station, for the entirety of the meal.
2) The management team is not carefully watching the interaction amongst the staff. Therefore at times, some less professionally trained servers can rely on the "system" of swarming and forget about their primary tables. What happens is that the customer can feel as if no one is taking care of them.
What it can appear like to a patron if not done correctly:
A jumbled mess of confusion where the customer feels as if they have seen countless servers and the same questions asked repeatedly. This can exhaust a customer and put into question whether or not they return.
Essentially there are restaurant zones at some restaurants and other restaurants make everyone responsible to swarm. In other words, keep your eyes on all the tables in your area for re-fills of beverages, table maintenance, etc. Then you, as the non-primary server fulfill whatever the table wants and in turn other servers do this for your tables.
I think I first noticed this method done correctly in the 80's by the HOUSTONS restaurant chain.
It went like this:
A server would introduce themselves and provide menu Q&A, take the order and start the process as the primary server at the point of sale with the customer. Sometimes even the primary server would not take the order.
Then as another server/runner would deliver (whose job is to run food during the entire shift or another server who happened by the pick-up window in the kitchen) the food/beverage, they would ask if the table needed anything else. Or the runner/swarmer would see the table required maintenance of some type. That runner/swarmer would then obtain (or clean, etc.) for the table of patron(s) whatever it is they needed all while perhaps neglecting their own tables/station.
The thought was that another "swarmer" would provide the necessary upkeep for their table while they're doing it for another. There are times you would never see your original server again during that meal.
Sound confusing? I admit when I first saw this method put into play I had my doubts.
But Houstons pulled it off with elegance! I was amazed they were able to do it and I as a patron felt taken care of. It almost felt as if little angels would just swoop in at the right time and keep satisfaction high.
Since that time, I have noticed many companies trying to emulate the same method and few have with the same level of success.
______
When this method works and when it does not:
It works when:
1) Servers are thoroughly trained and supported by supervisory personnel who are watching the process during the entire shift. Management has instituted a strict "points of service" method and performs continual figure "8's" of the FOH floor to ensure it's all coming together.
2) Servers are given constant feedback on their ability to perform this method. New hires typically require up to one month and beyond.
3) A team effort where all the staff believes in this method and has genuine concern for all the restaurant patrons, not just the ones at their tables.
4) The menu and style of service is either QSR, quick casual or casual/family service.
It does not work when:
1) The restaurant is upscale. Watching over another's table is vitally important, but the bond made by the primary waiter in this sort of establishment should not be broken. Multiples of servers and support staff suddenly showing up and "over" servicing a table can leave a diner confused and feeling under-valued. The primary server should act as the captain of the ship in this type of restaurant for any table in their station, for the entirety of the meal.
2) The management team is not carefully watching the interaction amongst the staff. Therefore at times, some less professionally trained servers can rely on the "system" of swarming and forget about their primary tables. What happens is that the customer can feel as if no one is taking care of them.
What it can appear like to a patron if not done correctly:
A jumbled mess of confusion where the customer feels as if they have seen countless servers and the same questions asked repeatedly. This can exhaust a customer and put into question whether or not they return.
Wednesday, December 26, 2007
FOH Series Continued-Topic #2 eye contact, Genuine Concern
In our continuation on front of the house service our topic is eye contact which is what we call a sub-topic of GENUINE CONCERN (or lack there of).
There has been much noticed and written on the deterioration of service in the retail industry (including restaurants) in the past 15-20 years. I have noticed as times have evolved (I am 47 y.o.), the manners police have joined with the politically correct police to create a very high bar where everyone is a critic!
I can say with good confidence that while you do your retail shopping, you feel a sense of quality and (maybe even) knowledge on your initial, split-second interaction with a customer service rep, cashier, or server.
Isn't it true that the person you are paying your money to, you as a customer expect some sort of connection that says, "I appreciate your business, and you as an individual?"
Case in point: I can't count the retail locations I have gone to where the floor staff or cashier did not make eye contact with me or the people I am with. I have heard or read statements made that a certain picture is worth a thousand looks and others not even one.
Some simple points for staffers:
1) The last statement above pertains to beauty and looking at a picture, not a paying customer. Your customers are paying and deserve to have you create some sort of bond.
2) If you are addressing a table (server or order taker, cashier) of multiple people, it is your job to make a connection with everyone, not just the person you perceive to be paying the bill.
3) One of the simplest actions, aside from the providing of a warm smile is to simply make eye contact with your patrons and make them feel connected to you. The "connection" between customer and staffers is perhaps the most important issue customers think about when evaluating their experience.
There has been much noticed and written on the deterioration of service in the retail industry (including restaurants) in the past 15-20 years. I have noticed as times have evolved (I am 47 y.o.), the manners police have joined with the politically correct police to create a very high bar where everyone is a critic!
I can say with good confidence that while you do your retail shopping, you feel a sense of quality and (maybe even) knowledge on your initial, split-second interaction with a customer service rep, cashier, or server.
Isn't it true that the person you are paying your money to, you as a customer expect some sort of connection that says, "I appreciate your business, and you as an individual?"
Case in point: I can't count the retail locations I have gone to where the floor staff or cashier did not make eye contact with me or the people I am with. I have heard or read statements made that a certain picture is worth a thousand looks and others not even one.
Some simple points for staffers:
1) The last statement above pertains to beauty and looking at a picture, not a paying customer. Your customers are paying and deserve to have you create some sort of bond.
2) If you are addressing a table (server or order taker, cashier) of multiple people, it is your job to make a connection with everyone, not just the person you perceive to be paying the bill.
3) One of the simplest actions, aside from the providing of a warm smile is to simply make eye contact with your patrons and make them feel connected to you. The "connection" between customer and staffers is perhaps the most important issue customers think about when evaluating their experience.
Monday, December 17, 2007
New series on FOH service- You guys ready to order?
We are beginning a series on waiter service. The reason to write a series about this, is a result of what I see as small but powerful missteps from FOH staff that can be easily remedied with approaches and understandings.
I had been a professional waiter in many places. I was lucky enough to have been hired by the Hyatt Regency in 1980 to work in the Esplanade restaurant as a waiter in fine dining. Beyond that period I worked in a variety of upscale restaurants during and after hospitality school.
I am just going to jump in with my first topic:
Topic 1) Customers are not "guys."
Unless you work in a wings place, pizza or sub shop it is totally unacceptable to call a table of customers guys unless their are no females present (and I am not even sure you should call customers guys in these instances either, even folks, y'all or you all is more appropriate.).
Case in point; I have gone out more than once to upscale restaurants with my wife where the check average is clearly more than $15-25 per person and we are often asked , "are you guys" ready to order, etc.
Some reasons that is un-acceptable for wait staff to ever address customers as "guys". Some simple thoughts for a wait person to know:
1) If there was ever a romantic thought going on at that table, you just killed it.
2) Some people, however stuffy you as a server may think they are, are customers that have a paying privilege to be addressed accordingly. As the check average rises so should the formality.
3) Just like you as a server cares which side to place the silverware on, so goes this etiquette.
4) Customers are not your friends and family. Even if it's a family style/casual restaurant stick to the formalities. I always prefer to hear and be called either sir, ma'am or ladies and gentlemen.
I had been a professional waiter in many places. I was lucky enough to have been hired by the Hyatt Regency in 1980 to work in the Esplanade restaurant as a waiter in fine dining. Beyond that period I worked in a variety of upscale restaurants during and after hospitality school.
I am just going to jump in with my first topic:
Topic 1) Customers are not "guys."
Unless you work in a wings place, pizza or sub shop it is totally unacceptable to call a table of customers guys unless their are no females present (and I am not even sure you should call customers guys in these instances either, even folks, y'all or you all is more appropriate.).
Case in point; I have gone out more than once to upscale restaurants with my wife where the check average is clearly more than $15-25 per person and we are often asked , "are you guys" ready to order, etc.
Some reasons that is un-acceptable for wait staff to ever address customers as "guys". Some simple thoughts for a wait person to know:
1) If there was ever a romantic thought going on at that table, you just killed it.
2) Some people, however stuffy you as a server may think they are, are customers that have a paying privilege to be addressed accordingly. As the check average rises so should the formality.
3) Just like you as a server cares which side to place the silverware on, so goes this etiquette.
4) Customers are not your friends and family. Even if it's a family style/casual restaurant stick to the formalities. I always prefer to hear and be called either sir, ma'am or ladies and gentlemen.
Tuesday, December 11, 2007
Curent Restaurant Incubator Index
This month's current RII displays continued growth in emerging chains with less than 200 stores. Data indicates November was the best month for the RII growth in 5 months.
Yes, things are slowing in AUV is many shapes and sizes, but business optimism has not stalled at all. And seemingly, there is sufficient capital for the continued expansion. There is specific growth in the QSR type of locations. Casual/Family style remains flat.
Yes, things are slowing in AUV is many shapes and sizes, but business optimism has not stalled at all. And seemingly, there is sufficient capital for the continued expansion. There is specific growth in the QSR type of locations. Casual/Family style remains flat.
Thursday, November 01, 2007
Recent press on small sandwiches, some bets.
Recently we have seen in various trade magazines of some restaurant groups and chains who are focusing on small sandwiches and hamburger sliders. The defining moment is the reality that fast casual and family/casual restaurants are finally seeing the light regarding lower check averages.
In our blog we stated around a year go that we saw this as being the future. If we can pretened to have a crystal ball and look further into the future, we would bet the trend will continue for the next 1-2 years and perhaps longer.
We bet that chains that are of the casual nature will figuratively change their concepts in other ways as well.
We can also state that family casual chain growth has come to a near halt. Some chains are continuing, but the pace is very slow. We see this as a positive as chains work on store level P&L improvements by spending more on staffing, training and employing newer and faster technologies on stores already opened.
To reiterate another way;
This lends itself to the notion that operations is back! We suspect the talented GM's will increase their earning potential. There is and will be less demand in the store replication departments and more demand on store improvements.
In our blog we stated around a year go that we saw this as being the future. If we can pretened to have a crystal ball and look further into the future, we would bet the trend will continue for the next 1-2 years and perhaps longer.
We bet that chains that are of the casual nature will figuratively change their concepts in other ways as well.
We can also state that family casual chain growth has come to a near halt. Some chains are continuing, but the pace is very slow. We see this as a positive as chains work on store level P&L improvements by spending more on staffing, training and employing newer and faster technologies on stores already opened.
To reiterate another way;
This lends itself to the notion that operations is back! We suspect the talented GM's will increase their earning potential. There is and will be less demand in the store replication departments and more demand on store improvements.
Wednesday, October 17, 2007
The NAFEM show in Atlanta, 2007
I spent two days at the show just walking the floor and networking. Here's what I saw;
Restaurant equipments time has truly come!
We are in a period where, if you could imagine it, it can be done. I saw custom fabrication employed by dozens of companies with the use of microchips and some various applications inside the guts of restaurant equipment with the internet infused at times.
As a publisher of business data online, there is a notion by many that we are in an if-you-can- think-it, you-can-make-it world on the internet. That notion is advancing more quickly than ever in the operations of restaurants.
Antibacterial everything was a significant theme as well.
Restaurant equipments time has truly come!
We are in a period where, if you could imagine it, it can be done. I saw custom fabrication employed by dozens of companies with the use of microchips and some various applications inside the guts of restaurant equipment with the internet infused at times.
As a publisher of business data online, there is a notion by many that we are in an if-you-can- think-it, you-can-make-it world on the internet. That notion is advancing more quickly than ever in the operations of restaurants.
Antibacterial everything was a significant theme as well.
Monday, October 08, 2007
In the TV show Kitchen Nightmares, how come you don't see any multi-units portrayed?
How come you don't see any multi-units portrayed in the TV show on FOX called Kitchen Nightmares?
Because Multi-units have what's called Standards of Operations (SOP) or Standard Operating Procedures. As a previous family restaurant operator and a chain GM I learned the difference, clearly.
The TV Show Kitchen Nightmares (for those who have not seen it), has Gordon Ramsay (famous restaurateur) entering into a restaurant that is failing for some reason(s) or another.
Gordon than (correctly and quickly it seems) does a review of the restaurant from the front door to the back. What he finds in each and every mission is a staff that seems oblivious in many facets of restaurant operations.
You would never see so many obvious mishaps in a multi-unit operators store because they have SOP's. A manager or supervisor almost always has a reference as to what to place here, there, and everywhere (for the most part). Then (optimally) how to hire, train, supervise and execute shifts, all with forms of documentation and feedback.
Of course, not all chain stores work this way, but by and large they (the big chains) mostly all have MANUALS.
The restaurant manuals help the operator/owner to stay on some sort of track (including recipes for food served). I am not trying to make it sound easy, because it is certainly not. But if you don't have SOP's how does a staff tell right from wrong in most cases? How you can have accountability without direction?
To sum it up in my opinion, single-unit independents are NOT being swallowed up by chains because of their marketing and ad budgets, but because of no SOP's and therefore poor accountability. It's hard to have pride in hitting the bulls-eye if you don't even have a target.
Because Multi-units have what's called Standards of Operations (SOP) or Standard Operating Procedures. As a previous family restaurant operator and a chain GM I learned the difference, clearly.
The TV Show Kitchen Nightmares (for those who have not seen it), has Gordon Ramsay (famous restaurateur) entering into a restaurant that is failing for some reason(s) or another.
Gordon than (correctly and quickly it seems) does a review of the restaurant from the front door to the back. What he finds in each and every mission is a staff that seems oblivious in many facets of restaurant operations.
You would never see so many obvious mishaps in a multi-unit operators store because they have SOP's. A manager or supervisor almost always has a reference as to what to place here, there, and everywhere (for the most part). Then (optimally) how to hire, train, supervise and execute shifts, all with forms of documentation and feedback.
Of course, not all chain stores work this way, but by and large they (the big chains) mostly all have MANUALS.
The restaurant manuals help the operator/owner to stay on some sort of track (including recipes for food served). I am not trying to make it sound easy, because it is certainly not. But if you don't have SOP's how does a staff tell right from wrong in most cases? How you can have accountability without direction?
To sum it up in my opinion, single-unit independents are NOT being swallowed up by chains because of their marketing and ad budgets, but because of no SOP's and therefore poor accountability. It's hard to have pride in hitting the bulls-eye if you don't even have a target.
Tuesday, October 02, 2007
October's Top Ten Fastest Growing Concepts List
See the just released list of October's Top Ten Fastest Growing Concepts with less than 50 stores.
Four concepts were on previous lists this year. One concept that grew past 50 units had less than 50 at the start of the period. See the current list.
Four concepts were on previous lists this year. One concept that grew past 50 units had less than 50 at the start of the period. See the current list.
Tuesday, September 25, 2007
Mistakes in this weeks newsletter
Garlic Jims actually was #6 on our top ten list in July. We stated they were #10.
Also, Flemings increased by 8 units during the period, not 10 as we stated.
Sorry for any confusion.
We will print corrections in next weeks newsletter.
Also, Flemings increased by 8 units during the period, not 10 as we stated.
Sorry for any confusion.
We will print corrections in next weeks newsletter.
M&A representation by Restaurantchains.net
Time to sell?
or
Time to expand?
Take advantage of Restaurantchains.net's close contact with thousands of restaurant chains.
Restaurantchains.net offers merger & acquisition gateways. Restaurantchains.net and our principals have decades of M&A experience including FOH & BOH operational competency, consulting, advising and P&L management.
Services include establishing the right fit for the thousands of restaurant chains with whom we have frequent and close, inter-personal contact. We offer:
*Diligence and pre-screening of potential acquisitions and/or potential acquirers.
*Development of equity strategy including divestiture.
*Full fledged consultation of current properties including transition flow and core philosophy entanglement resolution.
Contact us for an initial confidential discussion. Contact us at restaurantchains@gmail.com or call Keith Gellman at 914-591-4297.
or
Time to expand?
Take advantage of Restaurantchains.net's close contact with thousands of restaurant chains.
Restaurantchains.net offers merger & acquisition gateways. Restaurantchains.net and our principals have decades of M&A experience including FOH & BOH operational competency, consulting, advising and P&L management.
Services include establishing the right fit for the thousands of restaurant chains with whom we have frequent and close, inter-personal contact. We offer:
*Diligence and pre-screening of potential acquisitions and/or potential acquirers.
*Development of equity strategy including divestiture.
*Full fledged consultation of current properties including transition flow and core philosophy entanglement resolution.
Contact us for an initial confidential discussion. Contact us at restaurantchains@gmail.com or call Keith Gellman at 914-591-4297.
Sunday, September 09, 2007
State of the Industry. New Alerts feature.
1)In all this recent hullabaloo about the economy,
My opinion is reflected due to my organic involvement with the business is that, the industry is going strong.
Due to the (ever so) consistent nature of daily food consumption by customers, the shift is still decidedly quick service. People have not stopped eating, just shifted according to their wallets. Our research has continued to show this to be the case for at least the past two years.
We anticipated this to continue for the foreseeable future. The August RII (will be posted next week) along with our internal capturing of growing concepts (see newsletters) helps to prove the case.
And,
2) Restaurantchains.net is going to issue an alerts feature showing clients which concepts are achieving new unit growth plateaus and benchmarks. This will enable end-users as well as manufacturers see who the newest growth winners are. Stay tuned.
My opinion is reflected due to my organic involvement with the business is that, the industry is going strong.
Due to the (ever so) consistent nature of daily food consumption by customers, the shift is still decidedly quick service. People have not stopped eating, just shifted according to their wallets. Our research has continued to show this to be the case for at least the past two years.
We anticipated this to continue for the foreseeable future. The August RII (will be posted next week) along with our internal capturing of growing concepts (see newsletters) helps to prove the case.
And,
2) Restaurantchains.net is going to issue an alerts feature showing clients which concepts are achieving new unit growth plateaus and benchmarks. This will enable end-users as well as manufacturers see who the newest growth winners are. Stay tuned.
Tuesday, August 14, 2007
Natural progression of recent RII and other issues
If you have seen the RII in recent months you will notice a last quarters rise of burgeoning companies with less than 200 stores. Please follow the link above to see the recent outputs.
We have begun to syndicate our weekly newsletters. You should be seeing us on www.restaurantnewsresource.com and bluemaumau.org. These are two sites that are PR related. Each has it's own twist on presentation and audience. We expect to be posted on some other major sites shortly.
We have begun to syndicate our weekly newsletters. You should be seeing us on www.restaurantnewsresource.com and bluemaumau.org. These are two sites that are PR related. Each has it's own twist on presentation and audience. We expect to be posted on some other major sites shortly.
Tuesday, July 10, 2007
Julys Top Ten Fastest Growing concepts below 50 units
Top Ten list for July in order of largest percentage growth;
1. Which Wich
2. Tacos Don Chente
3. Homemade Pizza Co.
4. Costa Vida Fresh Mexican Grill
5. Heidi's Brooklyn Deli
6. Garlic Jim's Famous Gourmet Pizza
7. Fat Tuesday
8. Extreme Pizza
9. La Paletera
10. Ted's Montana Grill
1. Which Wich
2. Tacos Don Chente
3. Homemade Pizza Co.
4. Costa Vida Fresh Mexican Grill
5. Heidi's Brooklyn Deli
6. Garlic Jim's Famous Gourmet Pizza
7. Fat Tuesday
8. Extreme Pizza
9. La Paletera
10. Ted's Montana Grill
Tuesday, June 12, 2007
Perfecting the figure 8, another 6th sense story
As a newbie manager in the 80's, the main issue for my leaders to get into my head was "awareness."
It was the ability to see what was going on where in the restaurant. Being that restaurants had a front as well as a back of the house in addition to numerous dining areas and entrances there was no real way to see it all once.
So we were taught to make a figurative "figure 8."
In other words to move from area to area, room to room and place to place over and over again throughout the shift. Then, from the perspective gained from floating from point to point you were able to gather the goings on of staffs and customers that often exceed 3 or 400 people, places and things to look at-all within minutes.
This was never easy, but this practice allows the unit manager to see, touch and feel the operation while being the manager on duty and providing necessary coaching and directing to create a successful shift. I found that this method was sound and enabled myself as well as other managers to obtain the elusive "sixth sense."
In order to graduate from a unit manager to become a GM, this was demanded of me. I believe most operators today strive for the same.
It was the ability to see what was going on where in the restaurant. Being that restaurants had a front as well as a back of the house in addition to numerous dining areas and entrances there was no real way to see it all once.
So we were taught to make a figurative "figure 8."
In other words to move from area to area, room to room and place to place over and over again throughout the shift. Then, from the perspective gained from floating from point to point you were able to gather the goings on of staffs and customers that often exceed 3 or 400 people, places and things to look at-all within minutes.
This was never easy, but this practice allows the unit manager to see, touch and feel the operation while being the manager on duty and providing necessary coaching and directing to create a successful shift. I found that this method was sound and enabled myself as well as other managers to obtain the elusive "sixth sense."
In order to graduate from a unit manager to become a GM, this was demanded of me. I believe most operators today strive for the same.
Friday, May 25, 2007
The NRA show in Chicago. Is it worth it to be an exhibitor?
I have been going to the NRA for 7 of the past 10 years and I have noticed some changes relating to how the show works, the attendees that visit and the exhibitors of which I am one of.
Being from outside of the region as an objective observer and a company trying to do business, I think it's fair for the amount of time I've spent at the show to make some reasonable observations.
This is my perspective as an exhibitor for the past three years,
1) The media hypes the show as a big deal. But it is a big deal. 75,000 folks going through Chicago veins is a lot of cash and great for the city.
2) Chicago rolls out the red carpet. Wherever you go the hospitality is felt.
3) There are more than 2,000 exhibitors.
4) The show is a big deal and very costly for the exhibitors as well. The exhibitors foot the bill more than any other sector. Even an 8'x10' booth commands around $2600 plus, electric, tables, chairs, shipping, handling, etc.
There are 8 miles of aisles. Then take into account the hotels, travel, food, entertaining, staffing etc.
All in all, it's a very large sum however you slice it.
5) Attendees have been increasingly local. More and more folks have badges that are of local states. This is the most painful part for the exhibitor after all the financial and emotional expense of putting on their show. Where are the non-regional restaurateurs?
Resulting opinion: By and large the show pays off for the bulk of the exhibitors. The exhibitors are always weighing their bang for the buck. So far the majority is hanging on year after year. But this is a national show and national attendee representation is waning.
Why does everyone in the greater Chicago area know that the NRA, perhaps is not the National Rifle Association and everywhere else, often automatically, believes that it is?
Additional thoughts turn to a marketing message that is not being heard in the national arena.
For the show to continue to thrive in Chicago, the city of Chicago working with the NRA must find a way or the show might lose some luster as a national meeting place for the industry.
Being from outside of the region as an objective observer and a company trying to do business, I think it's fair for the amount of time I've spent at the show to make some reasonable observations.
This is my perspective as an exhibitor for the past three years,
1) The media hypes the show as a big deal. But it is a big deal. 75,000 folks going through Chicago veins is a lot of cash and great for the city.
2) Chicago rolls out the red carpet. Wherever you go the hospitality is felt.
3) There are more than 2,000 exhibitors.
4) The show is a big deal and very costly for the exhibitors as well. The exhibitors foot the bill more than any other sector. Even an 8'x10' booth commands around $2600 plus, electric, tables, chairs, shipping, handling, etc.
There are 8 miles of aisles. Then take into account the hotels, travel, food, entertaining, staffing etc.
All in all, it's a very large sum however you slice it.
5) Attendees have been increasingly local. More and more folks have badges that are of local states. This is the most painful part for the exhibitor after all the financial and emotional expense of putting on their show. Where are the non-regional restaurateurs?
Resulting opinion: By and large the show pays off for the bulk of the exhibitors. The exhibitors are always weighing their bang for the buck. So far the majority is hanging on year after year. But this is a national show and national attendee representation is waning.
Why does everyone in the greater Chicago area know that the NRA, perhaps is not the National Rifle Association and everywhere else, often automatically, believes that it is?
Additional thoughts turn to a marketing message that is not being heard in the national arena.
For the show to continue to thrive in Chicago, the city of Chicago working with the NRA must find a way or the show might lose some luster as a national meeting place for the industry.
Tuesday, May 15, 2007
Management today, NRA show May 19-22, 2007
From my days in restaurant operations a few things held true. The General Manager was the "key" to the success of any store, and of great importance during busy shifts. It seemed the sixth sense was necessary to run a great store. It still is that way, but we have been seeing from a number of operators the "decentralization of talent."
Corporate offices want to to take away the drudgery and the artfulness. But is it possible? We think it is. We are seeing more and more operations who are working on a simplified system of narrow menu choices, big value to the customer and employee empowerment. Currently all indications are that this trend will continue.
Today's newsletter will be our last until after the NRA show. Exhibit space is sold out and it expects to be busy. See you there. We will be at booth #6365.
Corporate offices want to to take away the drudgery and the artfulness. But is it possible? We think it is. We are seeing more and more operations who are working on a simplified system of narrow menu choices, big value to the customer and employee empowerment. Currently all indications are that this trend will continue.
Today's newsletter will be our last until after the NRA show. Exhibit space is sold out and it expects to be busy. See you there. We will be at booth #6365.
Tuesday, May 08, 2007
Fluidity-let's talk Chipotle
Chipotle, it's restaurant and their stock are on an upswing if you haven't noticed their recent per share price. By the way, I am not a stock holder nor an operative for the company.
Most public chains today are huge due to their massive display of growth in stores and foot traffic. Same store sales of chains can often show an increase congruent to their advertising, promotion and PR department(s) expenditures.
But something feels different at Chipotle. On the customer end, their is a feeling of fluidity from the moment you get in the door through your last bite before exiting. There is an overwhelming part that makes you feel as though you are part of the process, and within this process, you feel valued and important all while spending around $10 and not leaving hungry.
My opinion is that if you can emulate that, you will have a winner on your hands. If you haven't visited a Chipotle, try it- I bet you will feel the same way.
Most public chains today are huge due to their massive display of growth in stores and foot traffic. Same store sales of chains can often show an increase congruent to their advertising, promotion and PR department(s) expenditures.
But something feels different at Chipotle. On the customer end, their is a feeling of fluidity from the moment you get in the door through your last bite before exiting. There is an overwhelming part that makes you feel as though you are part of the process, and within this process, you feel valued and important all while spending around $10 and not leaving hungry.
My opinion is that if you can emulate that, you will have a winner on your hands. If you haven't visited a Chipotle, try it- I bet you will feel the same way.
Thursday, April 19, 2007
Industry insights- operations and acquisitions
We are always tracking chains that are growing, those that are being acquired and those that are closing units. In addition, where I sit at my desk I typically have CNBC on the TV.
I often wonder while watching the stock channel as well as industry publications regarding buyouts as to what qualifies them to perform this sort of surgery on restaurants. From my perspective some chains and some management groups are suited to certain types of operations. It's almost always a square peg in a round hole and yet it is tried over and over again. However if the goal is to slash and burn by selling off or closing units, or changing trade names and concept operations, and your company is public, this can at times make wall street happy.
As for operators, we have noticed some large multi-concept growth in chains that are not meeting customer standards trying to run different concepts. For example, If their DNA is full service casual without deep formal training in upscale operations, I have found that by and large they simply cannot run them to discriminating levels and visa versa for those who make the addition of quick service to their already casual or upscale concepts.
I often wonder while watching the stock channel as well as industry publications regarding buyouts as to what qualifies them to perform this sort of surgery on restaurants. From my perspective some chains and some management groups are suited to certain types of operations. It's almost always a square peg in a round hole and yet it is tried over and over again. However if the goal is to slash and burn by selling off or closing units, or changing trade names and concept operations, and your company is public, this can at times make wall street happy.
As for operators, we have noticed some large multi-concept growth in chains that are not meeting customer standards trying to run different concepts. For example, If their DNA is full service casual without deep formal training in upscale operations, I have found that by and large they simply cannot run them to discriminating levels and visa versa for those who make the addition of quick service to their already casual or upscale concepts.
Industry insights- fast service, cheaper eats
We are reading in the media these days regarding the notion that fast service restaurants are out pacing full service restaurants regarding expansion of locations and unit volume increases versus those with higher check averages. Seems like old news to me.
It's been apparent with the ultra high cost of running full service locations and the squeeze put upon the broad mass of the population in the past 1-3 years, there isn't much choice if you are frequent diner who may go out to eat 5 plus times per week. Can an average person (let alone a family) really afford more than $15 per person for a meal multiple times per week, every week? I suppose some can. But new chain developments and those that are growing are decidedly quick/fast service, and have been.
It's been apparent with the ultra high cost of running full service locations and the squeeze put upon the broad mass of the population in the past 1-3 years, there isn't much choice if you are frequent diner who may go out to eat 5 plus times per week. Can an average person (let alone a family) really afford more than $15 per person for a meal multiple times per week, every week? I suppose some can. But new chain developments and those that are growing are decidedly quick/fast service, and have been.
Tuesday, April 03, 2007
April's top ten
Aprils Top Ten list of fastest growing concepts is now out. The winner, Nemos Seafood has a quick service seafood concept that more than doubled it's number of units within 4 months. Companies with less than 50 units and more than 3 are used for this study.
The Top Ten are:
1) Nemos Seafood
2) Shane's Rib Shack
3) Let's Dish!
4) Oceanaire Seafood Room
5) Hurricane Grill & Wings
6) Granite City Food & Brewery
7) Ohana Hawaiian BBQ
8) Jim 'N Nick's BAR-B-Q
9) Stevi B's Pizza
10) Crispers Fresh Salads and Such
Watch next week for our RCO2000 press release along with March's Restaurant Incubator Index results.
The Top Ten are:
1) Nemos Seafood
2) Shane's Rib Shack
3) Let's Dish!
4) Oceanaire Seafood Room
5) Hurricane Grill & Wings
6) Granite City Food & Brewery
7) Ohana Hawaiian BBQ
8) Jim 'N Nick's BAR-B-Q
9) Stevi B's Pizza
10) Crispers Fresh Salads and Such
Watch next week for our RCO2000 press release along with March's Restaurant Incubator Index results.
Tuesday, March 13, 2007
NY Restaurant show
In this years walk and talk of the NY restaurant show we saw the following compared to previous years (By the way, we walk the entire show at least twice) :
1) Lots and lots of Bakery items. Similar to last year as far as the number of cookies, croissants, cakes and specialty sweets. The move towards individual high taste desserts has not changed at all.
2) This year, spirits and beer sections were interspersed vs. last year when they were in one section. It seemed like a lot more fun last year, but perhaps for the vendor it made more sense to diminish the party atmosphere helping them to speak with serious buyers. I think last year they were overwhelmed with dispensing.
3) We always see new vendors and entrepreneurs at trade shows who tell us, "we just started with this show." There seem to be many this year. Innovation never ends.
However we often scratch our heads with wonder as to why any person or company would begin sales, their first days, with a trade show. I suppose it works now and then, but we have seen less than 1% of these efforts ever succeed to come back in subsequent years. It seems that new trade show exhibitors expect too much. I have to imagine it might work this way in other industries, but not ours.
4) The show was rocking busy! Once again, the exposition company got the people there.
1) Lots and lots of Bakery items. Similar to last year as far as the number of cookies, croissants, cakes and specialty sweets. The move towards individual high taste desserts has not changed at all.
2) This year, spirits and beer sections were interspersed vs. last year when they were in one section. It seemed like a lot more fun last year, but perhaps for the vendor it made more sense to diminish the party atmosphere helping them to speak with serious buyers. I think last year they were overwhelmed with dispensing.
3) We always see new vendors and entrepreneurs at trade shows who tell us, "we just started with this show." There seem to be many this year. Innovation never ends.
However we often scratch our heads with wonder as to why any person or company would begin sales, their first days, with a trade show. I suppose it works now and then, but we have seen less than 1% of these efforts ever succeed to come back in subsequent years. It seems that new trade show exhibitors expect too much. I have to imagine it might work this way in other industries, but not ours.
4) The show was rocking busy! Once again, the exposition company got the people there.
Tuesday, February 13, 2007
New information for users (and future clients)
We have just completed a migration to a more robust database. Speed and use issues have been resolved by the move to SQL server . In addition it's now easier to look up by key contact name.
In the very near future the export tool will allow you to choose the exact fields to export as well as the type of layout vs. the current limited allowance of two export models with fixed layouts.
Coming next week you will see a launch of our new free service for Chain operators called, "restaurant trademark watch."
Expect some surprises by the Spring, including a release of the data that's behind the Restaurant Incubator Index. It's been about a year, we have tailored our tracking to produce "never seen before" statistics of the restaurant chains we follow in our universe.
Included will be future forecasting of industry types. Please stay tuned!
In the very near future the export tool will allow you to choose the exact fields to export as well as the type of layout vs. the current limited allowance of two export models with fixed layouts.
Coming next week you will see a launch of our new free service for Chain operators called, "restaurant trademark watch."
Expect some surprises by the Spring, including a release of the data that's behind the Restaurant Incubator Index. It's been about a year, we have tailored our tracking to produce "never seen before" statistics of the restaurant chains we follow in our universe.
Included will be future forecasting of industry types. Please stay tuned!
Tuesday, January 16, 2007
Alerts Newsletter Pro
Today begins the start of a more enhanced newsletter that includes more detailed information than our typical Restaurantchains.net Alerts Newsletter.
The reason for the change and the enhancement is as follows:
*Readers wanted more information than we were offering.
*Internally we found we required additional income to make a more sophisticated newsletter.
*Non-subscribers were deluging companies in the Alerts Newsletter with too many prospecting phone calls. We believe the free aspect of the newsletter did not help sales personnel to be as discreet as they typically are.
So, starting today we are going to limit the amount of stories for no charge and provide the extra information we had not previously offered. The cost is around $7.50 per week.
Paid subscribers (and Restaurantchains.net Pro clients-the enhanced newsletter will be included with their company subscription) will be receiving a larger newsletter with contact folks, emails and all company particulars in MS Word and MS Excel formats.
The reason for the change and the enhancement is as follows:
*Readers wanted more information than we were offering.
*Internally we found we required additional income to make a more sophisticated newsletter.
*Non-subscribers were deluging companies in the Alerts Newsletter with too many prospecting phone calls. We believe the free aspect of the newsletter did not help sales personnel to be as discreet as they typically are.
So, starting today we are going to limit the amount of stories for no charge and provide the extra information we had not previously offered. The cost is around $7.50 per week.
Paid subscribers (and Restaurantchains.net Pro clients-the enhanced newsletter will be included with their company subscription) will be receiving a larger newsletter with contact folks, emails and all company particulars in MS Word and MS Excel formats.
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