​Many restaurant operators have asked us how they can expand their business without investing large amounts of capital to open new restaurants or concepts. There are numerous avenues in generating new revenue streams, but I caution restauranteurs and executives that they need to be deliberate and controlled in their decision making. And they need to be willing to support this organizationally and most importantly willing to invest in leadership to run their new venture. So, I thought I would share some proven success factors for one of these revenue streams, Off-Premises Catering via Take-Out and Delivery.
 
Take-Out and Delivery Catering can come in two different forms – more traditional catering where the food is fully prepared and ready to go such as individual grab-and-go box lunches or buffet items – or bulk items that are heat-and-eat such as Clover Food Lab’s Party in a Box. The benefit of this type of revenue channel is that you can launch it with a minimal capital investment as you can leverage your current kitchen facility and much of your current staff. Your kitchen simply prepares the food and everything else is up to the customer to plan on their own.
 
Through our experience we have found these as some keys in successfully developing and launching a Take-Out and Delivery Catering Program.

• Hire a dedicated leader:
  • As restauranteurs, we couldn’t imagine running our restaurant without a manager, and this should also be the case for your catering program. For you to truly be successful, you need a dedicated leader who will drive and manager the overall program. You don’t want to be in the position of a manager needing to prioritize their time between running your restaurant and running the catering operation. If that is the case, both operations are going to suffer.
• Invest in infrastructure:
  • It is important that early on you also invest in technology, financial reporting tools and accounting to ensure you and your dedicated leader can successfully manage this new revenue stream as a separate entity. The more you can separate expenses out, the more comfortable you will be in continuing to grow and expand this business as well as invest in it.
• Catering won’t sell itself:
  • Simply putting out catering menus and/or having a dedicated web page will not generate enough sales to warrant a dedicated catering team. We have found that the most successful launches were the result of creative and less conventional marketing. For one operation, we created a position of “brand ambassador” and tapped into the best and most outgoing servers. These brand ambassadors would target key businesses - delivering a goody basket and catering menus – and prepared to sell the catering services. We also included lucrative financial incentives to motivate the team to sell and develop a relationship with the business. ​
• Make the menu the star:
  • Develop a menu that travels well AND is easy for guests to serve themselves. We have all been to an event and have watched guests struggling to serve themselves pasta such as Fettuccini Alfredo. Conversely, a Baked Penne Alfredo would be a better catering option as it fits the brand, travels well, stays hot, and is easier for guests.
  • Your menu should create excitement and represent your brand well. Envision yourself as a guest – Are you wowed by what you get? And is it clear where the food came from? The most successful menus focus on items that the restaurant is known for or items that complement the current restaurant menu. And if your signature items aren’t well-suited for catering, consider an adaptation of a that menu item.

• To deliver or not to deliver:
  • The easiest way to “cater” is to have clients pick up their own orders. But we know that consumers are looking for convenience these days and this could limit your sales. Another option, but in my opinion less desirable, is to partner with a third-party delivery company. This will make it easy for clients, but will have a big financial impact to your business. We recommend that you invest in a branded delivery truck. Not only is it a practical option, but a great way to advertise your brand as the truck drives around.
• There are ways to ease into the catering business as well: 
  • You could dip your toe into the world of catering by offering catering during key holidays such as Thanksgiving and Christmas. Additionally, you could focus on a menu with sides, desserts, bread, and appetizers, versus focusing on center-of-the-plate items. Often in these situations the guest would reheat the product and you would include reheating instructions with each order. At one concept we offered full Thanksgiving dinners. Guests would have a 3-hour window of time to pick up their meals on Thanksgiving Day. And after the last order was picked up, we treated everyone who worked that day to Thanksgiving dinner at the restaurant. 

Adding a catering business can help grow your brand in so many ways, but it’s important that this doesn’t come at the cost of losing focus of your core business. It’s a road that can be navigated successfully and the team at Matrix Restaurant Consulting would be honored to partner with in successfully creating and launching an Off-Premises Catering business. So let's Let's Talk!

Having run several restaurant companies that focus on healthy eating and with the current plant-based meat fad (yes, I think in general it is a fad, and I’ll explain later), I am often asked about my thoughts on plant-based meats and more specifically, what type of plant-based burger is best for their operation.
 
The begin, I ask two questions that are fundamental in finding the right solution. “Who are you targeting?” and “Are you replacing a current menu item?” 
 
Who are you targeting?
There are two main groups to target by offering a plant-based burger on your menu – True Vegetarians/Vegans and Flexitarians. If your operation is just introducing a plant-based burger option, the answer to this question will determine if you should offer a plant-based meat burger or if you should offer a vegetable burger option.
 
Depending on the survey or poll, Vegetarians/Vegans represent 2-6% of the population. However, according to 2021 research commissioned by Sprouts Farmers Market and conducted by One Poll, nearly one in every two Americans consumes more plant-based meals than meat (i.e. a Flexitarian), with the flexitarian lifestyle proving more popular with Gen Z. Clearly, the bigger market opportunity is to offer a plant-based meat burger and appeal to the flexitarian.
 
Who has the best-in-class Plant-based Burger?
Nation’s Restaurant News is currently conducting a readers poll on “Which Plant-Based restaurant will be the first to go national?” And although this doesn’t answer the best-in-class question, respondents are very passionate about their choice. From a broader list, PLNT Burger and Nomoo are vying as the reader polls “most likely to go national first.” Additionally, BuzzFeed did a recent taste of - “All The Veggie Burgers From National Chains That We Could Get Our Hands On To Find Out Which Ones Are Worth It.” The PLNT Cheeseburger was rated 8 out of 10, the second highest score after the Impossible Whopper which was rated 9 out of 10.
 
What makes a great Plant-Based Meat Burger?
Interestingly, both PLNT Burger and Nomoo use Beyond Meat. And it appears from earlier articles that Nomoo switched from Impossible Foods. Please note, I am not endorsing one brand over the other, simply stating what I have found. With that said, there are some common themes with plant-based meat burgers.
The Burger Patty: Most restaurants are altering the plant-based meat to differentiate their burger. By way of blending the plant-based meat with vegetables, herbs, spices or other secret ingredients. Furthermore, most are making the patties thin. Think 5/1 or 6/1 patties versus a 2/1 or 3/1 patties.
The Burger Build: In almost all cases, restaurants are creating signature burgers, even with the common cheeseburger. For PLNT, the PLNT Cheeseburger has a Beyond Meat Patty, Caramelized Onion, Pickles, NewFields American Cheese, Green Leaf Lettuce, Roma, Tomato, PLNT Sauce, Potato Buen. For Nomoo, The NOMOO has a Brioche bun, nomon × Beyond Patty, nomoo sauce, American Cheeze, Pickles, Onion, Tomato, and Lettuce. Clearly a signature sauce and signature bun are must haves and having other unique ingredients such as caramelized onions, fried onion straws, smoked tempeh bacon or a different cheese like jack cheese will differentiate your burger.
 
Are you replacing a current vegetable-based burger?
If you are replacing a current vegetable-based burger, it is important to know who is buying this burger. Is it a flexitarian or a true vegetarian/vegan. If the latter, you will certainly alienate them and potentially lose this group as customers if you switch to a plant-based meat burger. 
 
Numerous studies have shown that the demand for fake meats is almost entirely driven by meat eaters despite fake meat long being associated with vegetarians. And plant-based meat producers know this fact and realize the vegetarian and vegan aversion to eating animals means they're pretty weirded out by the hyper-realistic fake stuff too. Additionally in 2021 Food & Wine asked several longtime vegetarians what they thought about the plant-based meat boom. The common theme, these vegetarians agreed that more meatless options were only a good thing, but the idea of eating something that's formulated to taste more like meat was also off-putting. It's one thing if you swap your beef burger order for an Impossible/Beyond patty now and again; quite another if you long ago abandoned burgers altogether. Afterall, many vegetarians on the planet have been eating three meals a day without new advances in meat technology for years and they have already learned to live without meat.
 
Why I believe plant-based meat is a fad…
I do believe the demand for meat alternatives will continue, but the industry will not survive unless it continues researching a better product – focusing the needs on affordability and taste. Additionally, consumers are becoming more and more leery of the ingredients and the Orwellian technology used to produce some of these faux meats. I had the opportunity to try several faux meat products from chicken to beef to eggs to shrimp to poke-style tuna while attending the National Restaurant Association Show in Chicago this year. Sadly, these products were disappointing in flavor and texture. And whether by chance or by luck, I had just sampled some amazing blue-fin tuna at one booth and then sampled the poke-style tuna at the next booth. The difference was night and day. I am truly supportive of finding necessary alternatives to meat for environmental and ethical reasons, and I realize you have to start somewhere, but we are not there yet.
 
If your company needs assistance in developing plant-based menu items for vegans, vegetarians or flexitarians let us know! We have an incredible network of talented chefs who specialize in each of these areas. Let’s Talk!

#plantbasedburgers #fauxmeat #burgers #vegetarian #vegan #foodtrends2022 #restaurants #restauranttrends

We are excited that Tony Tahmosh, CSW has joined Matrix Restaurant Consulting. I recently asked Tony to outline the opportunities and challenges operators will face in 2022 as they look at their beverage programs, specifically the future of wine sales and how to react to consumer shifts in wine consumption. Here's what Tony said....

State of the Beverage Industry
Consumer Beverage Spend in the U.S. increased by almost 2% in 2021, and is currently valued at $146 billion.  Although wine consumption continues to decrease, the U.S. Beverage Industry is projected to continue to grow at an average rate of 1.7% through the end of 2026.
Here are some challenges and opportunities in today’s beverage world.

Some of the challenges operators are facing today....

• The importance of wine as a viable sales channel will likely continue to decline in the restaurant industry due to overpricing on the menu and consumers placing a higher value on other alcoholic beverages. And because of the ‘dine at home’ trend, a result of the COVID pandemic, consumers have become more educated regarding the retail prices of wines. Restaurants may find that wine is not in demand at these higher prices and thus questioning the cost to maintain deep stocks of wine. 
• With movements like mindful drinking and “sober curious” gaining popularity, research indicates that alcohol consumption has declined in the U.S., with younger generations drinking less as they show greater interest in holistic wellness and health. This trend is expected to continue at least through the end of the decade.
• The challenge of recruiting younger, health-conscious, multicultural consumers into the wine category, combined with the aging of the older core wine consumer, remains. These consumer groups have different values and spending patterns. The wine industry has done little to alter their marketing message to attract or retain either consumer cohort. 

Opportunities for Operators to Increase overall Beverage Sales

• “Better-for-you” beverages, featuring clean labels, natural ingredients, less sugar, fewer calories, and caffeine alternatives are on the rise. Products with these qualities have been in high demand, as the pandemic only heightened people’s focus on wellness, immunity and stress reduction. The next wave of “better-for-you” drinks spotlight ingredients that have perceived health benefits such as superfoods, probiotics, prebiotics, antioxidants, vitamins, minerals, botanicals, and protein. This trend is impacting every beverage category, particularly tea and kombucha, energy and sports drinks, and bottled water.
• CBD is another ingredient to watch. Although the FDA has not approved the use of CBD in foods and beverages sold in interstate commerce, some marketers are bringing products to market. Molson Coors recently introduced Verywell, a line of sparkling waters with hemp-derived CBD and adaptogens, through a subsidiary. The drink is currently only available in Colorado.
• Many wineries are prospering by focusing on premiumization. Their customers have been trading up for years, paying more for better quality. 75% of the wine sold in the U.S. costs less than $10 a bottle retail, and those wines are suffering from shrinking sales, sometimes by more than 10 percent a year. Younger consumers are interested in luxury products, at least ones they can afford. While COVID continued to accelerate premiumization, and while total volumes of wine sold are dropping, wines in the premium segment increased the volume sold at higher prices in 2021, and this trend is expected to continue for several years.
• Celebrity beverage endorsements are nothing new. Think George Clooney and Nespresso, Jennifer Aniston and Smart Water, or countless sporting stars endorsing energy drinks. But expect to see more and more vineyards and champagne houses partnering with big names to capitalize on their glamorous images and extend their respective brand portfolios. After John Legend or Brad Pitt, Cameron Diaz is the latest celebrity to venture into the wine business with her “clean” wines. The range comprises of an organic and vegan French rosé and Spanish white with no added sugar, with Diaz tapping into both the wellness trend and that of the growing thirst for ‘pink wine’.

The hospitality industry continues to evolve and shift at a rapid rate and Matrix Restaurant Consulting is here to help you navigate through the ever changing beverage world.

#Beverages #BeverageTrends2022 #wine #RestaurantTrends #Restaurants2022 #CBDFoodProducts #CBD