More Restaurants Face Trouble Paying Rent
Operators fared worse in April than they did in February. As the ebbs and flows of pandemic-related pressures persists, a number of operators remain concerned about their ability to remain open. According to the latest information from Alignable, which studies small businesses, 33 percent of restaurants were not able to pay their rent during April. That number represents a 5-percentage point increase from February. Restaurants aren’t the only businesses struggling to meet rent obligations. Industries like art/entertainment (59 percent), travel/lodging (41 percent) construction (33 percent), and retail (34 percent) all faced similar situations, or worse. In the same report, 46 percent said their rent was higher now than it was six months ago. Another 7 percent said their landlords are planning to raise rent soon. Small business owners in New Jersey, Illinois, Maryland, and California have faced more rent challenges than earlier in 2022, while Georgia, Texas, Massachusetts, New York and Florida have seen better conditions. With inflation placing substantial pressure on operators, federal assistance could play a major role.
Restaurants Reach for New Levels of Personalization
One transaction at a time. Consumer demands for personalization and relevance are facing an Amazon-like shift in foodservice. Guests today now expect the same tailored experience and frictionless ordering in their digital food experiences as they do with ecommerce. Georgia Price, director of digital and CRM at healthy and wellness company Pressed, viewed the shift as an opportunity. Could the brand become more connected with users? Could it attract new ones? In the past year, pressed boosted engagement and open rates, and worked 1:1 on levels that promise even further growth. Price chatted with QSR about the journey, and why although the pandemic might have expedited this trend, it’s been a focus of omnichannel companies for years. Let’s start with how the pandemic changed channels of communication with consumers. How did Pressed use digital and CRM to engage and build relationships during a time when the face-to-face part of the equation became far less common?
How Restaurants Can Drive Profits and Growth
During a perfect storm. Soaring prices, continued supply chain disruptions, and ongoing staffing shortages are creating a perfect storm for restaurants. Food and labor costs are elevated and expected to remain high in 2022, negatively impacting restaurants’ profit margins. Additionally, supply chain disruptions remain a huge problem, with 96 percent of restaurant operators saying they experienced supply delays or shortages last year. And seven out of ten operators said their restaurant doesn’t have enough employees to support customer demand. So, how do restaurants drive profits and growth while navigating this trifecta of challenges? They need to do two important things:
- Maximize their existing resources, using staff, budget, and supplies more effectively.
- Invest in tech tools that allow them to work smarter and make data-based decisions.
To maximize your existing resources read on.
The seven deadly sins. There is no turning back the clock. Technology is reshaping the how, where and when of what it takes to operate a restaurant. Now more than ever, the digital world is driving the way restaurants connect and communicate with customers. In this new digital frontier, online menus are where the taco meets the grill (so to speak) and are often cited by customers and restaurant management alike as the reason why customers come to a particular restaurant. Translation? Online menus have an overwhelming influence on the ability of restaurants to attract new customers and ultimately grow their business in the face of competition. That’s why, at Marqii, we’ve developed what we call the “Seven Deadly Sins of Online Menus” for restaurants – a list of the most common mistakes we’ve seen as we’ve helped thousands of restaurants get the most from their online menus. We’re not just sharing this because we offer a platform that makes it easy for restaurant operators to publish and update their online menus across 75 consumer-facing sites directly from their POS. It’s also because helping restaurants find the best digital solutions to help grow their business is just… what we do. We can’t help ourselves. If a restaurant continues to struggle with managing their online menus and using them to get new guests in the door, some of these callouts might feel personal. We promise they’re not.
DoorDash Opens a Ghost Kitchen in Brooklyn
With seating. DoorDash is continuing to tinker with ghost kitchens. Its latest effort: A delivery-centric Brooklyn food hall that offers seating and the ability to order from multiple restaurants at once. It’s the company’s third DoorDash Kitchens location, and its first on the East Coast. The others are in Hollywood and the Bay Area. A fourth, in San Jose, is scheduled to reopen soon. The new operation is in downtown Brooklyn, inside a larger shared kitchen facility operated by a company called Nimbus. It will offer five restaurants for delivery, pickup, or dine-in in the 20-seat cafe area—a first for DoorDash. The roster includes three well-known New York restaurants: DOMODOMO (sushi), Kings Co Imperial (Chinese) and Pies ‘n’ Thighs (Southern); as well as Little Caesars and the Moonbowls virtual brand. Many of them are coming to Brooklyn for the first time. Customers who order on-site will also have access to Birch Coffee, Kado Patisri and Milk Bar. And in another first, customers who choose to pick up their food will be able to order from multiple DoorDash Kitchens concepts in a single transaction using the DoorDash app.
The Restaurant of the Future: A Vision Evolves
Post-pandemic trends toward safety, convenience, and digital. Consumer demands for convenience and seamless digital experiences are on the rise, further accelerated by the COVID-19 pandemic. How can food establishments elevate customer experiences to be successful with the next-generation guest? We’re serving up insights into three trends that are shaping consumption patterns among restaurant guests and examine actions restaurants can take to thrive in the future. The restaurant industry is grappling with questions that used to be certainties. What does a modern-day ordering experience look like? What does it mean to operate a restaurant in 2021? What counts as a restaurant, anyway? In late 2019, the answers to those questions were already in flux. Since then, many forces have accelerated change in the restaurant industry, and the shifts are not always obvious. Similar to early pandemic trends, there are three main factors at work influencing restaurants: convenience, digital, and safety. These catalysts overlap and influence each other greatly, but together they point toward a single, overarching mandate for restaurant brands to fundamentally change their business models.
More Than Just a Casino
All within two hours from New York City. The Borgata Hotel Casino & Spa in Atlantic City is often referred to as the Las Vegas of the East Coast. It’s located two hours from New York City in the Marina District of Atlantic City. And like Las Vegas, there’s plenty more than just gambling. The Borgata is a large property with 2,000 rooms and suites—each one with a view of either marshes and marina; the boardwalk; or the skyline. But for the ultimate luxurious experience stay at The Water Club, an upscale boutique property within the larger resort. It’s just steps away from all the entertainment, nightlife and restaurants of the main hotel, but in an upscale, tranquil setting (and with upgraded amenities). There are 14 different dining options ranging from fine dining to fast and casual. American Bar & Grille is the newest restaurant to open at the Borgata and it has quickly become a fan favorite. Top menu options include the bigeye tuna crudo; the 16-ounce New York strip steak served with Argentinian chimichurri; the double-cut pork chop and the local New Jersey fluke, which is served with wild mushrooms and a truffle leek sauce. The menu focuses on produce that’s in season.
Hoboken’s ‘Invite Only’ Restaurant Penthouse Tavern
Is it real or fake? Penthouse Tavern’s website, which launched in 2020, states, “With 20 years of experience cooking in the finest restaurants, our chef, Dick Steves, is excited to present their vision to you and all our guests. Our caring and committed staff make sure you have a fantastic experience with us. Experience an elegant and incredibly intimate dining experience with us. Our goal is to provide save-worthy plated fares supplemented by warm company, stories, and experiences directly from our staff. We show our confidence in our craft, by first preparing gourmet entrees, and then joining our guests in a feast to remember. What sets the restaurant apart is that it’s an “exclusive dining experience” in which you need an invite or a password to make a reservation or be allowed inside. The website continues, “In order to qualify, guests must personally know the staff or provide the secret phrase upon a reservation request.
Did You Know?
Outback crafts smaller prototype as it anticipates unit growth. Bloomin’ Brands Inc. is introducing a smaller Outback Steakhouse prototype as it anticipates U.S. growth, shaving as much as 16% off the typical unit’s size, company executives said Friday. The Tampa, Fla.-based parent to Outback, Carrabba’s Italian Kitchen, Bonefish Grill, Fleming’s Prime Steakhouse & Wine Bar and other brands, released earnings for the first quarter ended March 27, saying it planned to accelerate new unit development, especially in the United States. “We’ve been patiently designing a smaller, less expensive Outback prototype that we believe will enable more meaningful restaurant growth with healthy returns,” Graff said. “These smaller units provide fill-in opportunities and markets as we’re able to pursue new trade areas.”
CIA offers impressive line-up of online master’s degrees for working professionals career advancement. To answer the challenge of advancing professionally within a changed industry, the world’s premiere culinary college, The Culinary Institute of America (CIA), has developed a robust master’s degree program. “We are at a big crossroads in the industry and moving in the right direction is a part of that,” said Robert Tremblay, The CIA’s assistant director of admissions at the New York campus. Designed especially with busy industry professionals in mind, degree options in the graduate program include master’s in sustainable food systems, master’s in food business, and master’s in wine and beverage management. Each program answers a pressing need within the industry.
Bielat Santore & Company – Restaurant Industry Alert
BIELAT SANTORE & COMPANY SELLS ANOTHER NJ RESTAURANT
As the saying goes, “Good things come in small (and sometimes obscure) packages.” That is the case with Gregory’s Seafood Restaurant in Manchester Township. N.J. This family run, quaint and quirky seafood “shack” has been turning out award winning seafood dinners since 1995. Earlier this month, local business owner and entrepreneur, Chris Garbooshian saw an opportunity to expand upon this already successful concept. He purchased Gregory’s according to Robert Gillis of Bielat Santore & Company, Allenhurst, New Jersey, the salesperson for this transaction.
REGIONAL RESTAURANT COMPANIES
ACTIVELY LOOKING FOR NEW LOCATIONS FOR IMMEDIATE EXPANSION!
Considering the sale of your existing restaurant (including land, building and liquor license)? Call Bielat Santore & Company first. The restaurant companies we are currently working with are internally funded, have established banking relationships, are corporately managed and can move expeditiously toward closing on the right locations.
Contact Richard Santore, 732.531-4200 for a free personal consultation.
We invite you to visit our website, where you will find all our current listing inventory, a library of helpful industry resources and a collection of client testimonials expressing their assessments of our work and our service within the restaurant industry.
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