What's IN it for You: Nov. 16

Economic difficulties complicate keeping restaurants in the family

Ron Ruggless takes a look at several family-owned restaurants, including The Blackhawk in Wheeling, Ill., which will close New Year's Eve after 40 years in business, to see how macroeconomic problems put more pressure on the family business. As long as there have been family restaurants, one of the biggest hurdles to keeping them going was finding interested and capable heirs to take over operations.

These days, however, even when second- and third-generation operators want to run the family's restaurant, the recession has put a dent in succession planning capabilities all over the country. The more that asset and real estate values decrease, and the more strain on cash flow resulting from customers cutting back, the harder it can be to plan for future generations.

Hibiscus blossoms as a food, drink ingredient

With a smell and taste that are both tart and floral, hibiscus is an ingredient that's getting more attention and application in the restaurant industry, though some chefs interviewed for Pam Parseghian's article have used the flower for a long time.

Some of the more interesting uses for hibiscus look pretty work-intensive, so keep that in mind. French chef Pierre Gagnaire, who's scheduled to open Twist next month in Las Vegas' CityCenter, showed off a dessert with a hibiscus jelly base, while The Melting Pot, a fondue specialty chain, drops a candied hibiscus to the bottom of a Champagne cocktail.

Gender-based hiring invites scrutiny: Restaurants can avoid lawsuits, inquiries with proactive policy modifications

Maybe your restaurant's always hired only female servers, busty or otherwise, or perhaps a previous management regime tended only to hire older, male servers and porters in the dining room. Take a good long look at your staff, because as Equal Employment Opportunity Commission lawyer Anna Park says, discrimination in the name of tradition is "never going to work as an argument for the EEOC."

Couple accused of poisoning customers

Business has started to come back to Kansas restaurant Mi Ranchito, where two former disgruntled employees stand accused of poisoning guests in August.

'Tis (always) the season

Now for some news from the restaurant in Chicago that everybody's been saying since I moved here that I have to try: The Publican. I've been intrigued ever since an On the Menu feature NRN ran when the restaurant opened, but this latest promotion has put The Publican over the top.

The restaurant isn't waiting for Black Friday to start the gift-giving season.

On its newest version of the menu, the beer list has a "Kitchen" section, from which customers may select a six-pack to send to the kitchen to thank the prep cooks and chefs for a meal well done. The choices of beer will change due to availability throughout the year, but the price to send a sixer to the kitchen is $10.

Nothing to dislike about this. I've always tried to find ways to compliment the kitchen on really great restaurant meals, usually by writing a quick "food was great" or "dinner was fantastic" on the receipt, but of course the tip I leave always goes to the server and gets tipped out to bussers and food runners. Giving customers a concrete way to show their appreciation to the staffers who are never seen but are always so integral to the meal is a real classy move.

And looking at it from the restaurateur's point of view, this has to be the easiest, cheapest win-win going. Paul Kahan, The Publican's executive chef and partner, just found a way to add $10 to the top line and recognize and motivate his staff at the same time.

On a related note, I cooked up a storm last Wednesday at Chez Independent Thinking, so if the Mrs. or any sympathetic reader is wondering what to send back to the kitchen, I love Goose Island 312, Anchor Steam or good ol' Coors Light.

(Above photograph is credited to Bob Briskey Photography, via Restaurant Intelligence Agency)

What's IN it for You: Oct. 26

The Pub brings full-service dining to Wegmans supermarket chain

Don't be alarmed, but definitely be aware of this development. Wegmans is another supermarket chain to expand its on-premise restaurant options, Whole Foods being another. Ron Paul, president of Chicago-based consulting firm Technomic, isn't too worked up about it though: "It's just a modest development, not really that significant," he said. "As a restaurateur I wouldn't give it a second thought."

Paul and others maintain that any perceived threat to restaurateurs from a grocery store eatery is mitigated by the fact that, well, the eatery is in a grocery store. People aren't going to go to a grocery store for the dining experience. But they might for the price points. Entrees for sale at The Pub, for instance, include an $11 New York strip steak and $12 Australian lamb chops.

Teens look to spend, socialize at restaurants

... And the teenagers shall lead you out? Well, let's not get ahead of ourselves here, but a recent report by investment firm Piper Jaffray & Co. indicated that teens from households making at least $75,000 are spending more at restaurants for the first time since the beginning of the recession. Not surprisingly, Starbucks benefits the most from teens feeling a little more flush, as do Chipotle and Chili's, to name a few.

Yep, those are all chains, but there's an opportunity here for indies. Analysts for Piper Jaffray said brands that offer a social experience and perceived value stand to gain market share among younger consumers, who have a fair amount of buying power. As an independent, one of your biggest inherent advantages is the social-experience part of that, because community involvement is the backbone of succeeding on your own. Sponsoring local causes and forming ties with local schools, for example, builds good will with local teens, and probably gives many indies a foot in the door at schools or other local hangouts to advertise deals or new items. Don't forget the perceived-value component either, as teens have become much more conscientious of how tight money has become for their parents and their friends.

Catering software helps organize off-site foodservice business

Chains use specialized catering software a lot to grow that part of their business, but it's a great opportunity for independents and franchise operators with only a few units, too. Of particular interest to indies would be catering software's ability to simplify and automate a lot of the marketing and customer relationship management that's necessary to make catering a major revenue center.

If I'd had an unlimited word count for this story, I totally would have fit in the story of Michael Attias, the founder of Restaurant Catering Systems who built his catering component to more than $1 million in his 104-seat Corky's Bar-B-Q franchise, with the "jump-to-conclusions mat" gag from "Office Space." You think catering software is a good idea? The guy made a million dollars!

Holy atomizer, barman! Mixologists spray

 cocktails with aromatics for taste and looks

As always, Sonya Moore has great coverage of what's going on in the world of alcohol and premium cocktails. I also wanted to point out the great headline, courtesy of Mike Dempsey. Plus, the article gets restaurateurs and their beverage directors thinking about more than just the taste experience with cocktails. Aromatics let you get creative with how drinks look and smell, too, which makes them a not terribly expensive way to go the extra mile.

Also, this issue has lots more MUFSO coverage, which you can follow online with our at-the-show blog.

The Aught Nots List

This week the Chicago Tribune came out with a fantastic list of the 10 worst dining trends of this past decade -- the Aughts? the 2000s? the Aughties? -- and I've got to say, it's pretty dead-on. The reporter certainly did his homework, rounding up a comprehensive source list with everybody from Tim Zagat to It-chef David Chang.

The best point about the article, which several sources made, is that the worst of these trends started to peter out when the economy fell off the cliff in 2008. So what the unsustainable economy giveth, the unsustainable economy taketh away. For most of the decade, these precious trends started and thrived because there were too many self-indulgent weiners with too much bloody money.

Without further ado, the top 10, "in order of annoyance":

10. Fried-onion blossoms

9. Molecular gastronomy

8. The $40 entree

7. The communal table

6. Proudly obnoxious fast-food options

5. Knee-jerk online reviews

4. Foam

3. The menu as book

2. The chef as media whore

1. Deconstruction

Is it just me, or do No. 9, its kissing cousin No. 4, and Nos. 8, 7, 2 and 1 all reside together in the same restaurants? Given all the bile for these trends and the disappearance of easy money, we'll be seeing fewer of those too expensive and pretentious eateries for sure. But all the backlash for deconstruction and molecular gastronomy is likely to produce more of one of my biggest pet peeves: the self-righteous chef who thinks she's the first culinary school graduate to ever truly venerate simple preparation of the freshest local ingredients.

Yes, I know, those chefs cook good food and run nice restaurants. I admit, we'd all be better off with 1,000 more bistros where you can get a simple braised lamb chop and in-season vegetables. I just hope all those proprietors don't go the "chef as media whore" route, because I hear people waxing poetic about the simple rustic comfort food too much as it is during my job.

What's IN it for You: Oct. 19

Innovation key to recovery, MUFSO '09 attendees say

I think it's appropriate to start with the overview of the 2009 Multi-Unit Foodservice Operators conference. Readers of an independents-focused blog may cry foul at the mere mention of a conference for multiunit operators, but 1) the whole NRN organization works incredibly hard to make the conference something any restaurateur, regardless of size, can attend and learn from, and 2) it's the reason why we've all been so busy and thus why my posting schedule has fallen off a cliff.

Here's a link to the comprehensive coverage of MUFSO up on NRN.com. Keep an eye out for the Oct. 26 issue as well, where all our at-the-show coverage breaks down all MUFSO's award ceremonies and educational sessions.

Employers prepare for hikes in unemployment taxes

DHS rescinds unpopular 'no-match' regulation

A couple of legislative stories in NRN show that Washington isn't completely gridlocked just over the health care debate right now.

First, any restaurateur able to read the writing on the wall should expect unemployment insurance tax rates to go up. With the recession hanging on and unemployment inching toward 10 percent nationally, several states simply won't have the necessary funds available to pay out unemployment benefits. More than 20 states are borrowing money from the federal government to keep up with demand for benefits. Nobody can definitely say just how much more you'll have to pay next year, but be prepared for a significant increase in the amount of money asked of your business.

On another front, illegal immigration, the Department of Homeland Security has finalized its decision to rescind the "no-match" ruling, which requires businesses to fire workers with discrepancies on their Social Security records, effective Nov. 6. The no-match provision had been issued in August 2007 under the Bush administration, and the industry had been trying to get the tactic overruled ever since. Several industry experts said the effect of this ruling doesn't completely mitigate the issue of staffing restaurants with illegal immigrants. More likely, the focus of immigration enforcement would shift from large-scale raids on businesses to a more selective prosecution of employers known to be bad actors and consciously hire undocumented workers.

Escalating steaks: Beef sales sizzle as guests go crazy for bargains on premium cuts

"There seem to be better bargains in the meat world than the fish world," says Jason Ambrose, chef-owner of Salt Tavern in Baltimore. "We're constantly looking at beef prices, and when they do move we try to do our best to share those savings with our customers."

Prices have come down on tender cuts of beef like prime rib, strip steaks and filets, representing an opportunity to put more red meat, always a crowd pleaser, on the menu.

What's Hot in San Diego

California Modern 1250 Prospect St. in La Jolla (858) 454-4244

Cowboy Star Restaurant and Butcher Shop 640 10th Ave. (619) 450-5880

Farmhouse Cafe 2121 Adams Ave. (619) 269-9662

Roseville 1125 Rosecrans St. (619) 450-6800

1500 Ocean 1500 Orange Ave. in Coronado (619) 522-8490

What's IN it for You: Oct. 12 (week of)

Hey guys, sorry for the delay this week. I've intermittently been away from the office unexpectedly these past few weeks and have to play catch-up while we produce our issue with all the MUFSO coverage. "No excuses, Mark," you say. "You're better than that!"

Well, no, I'm not. On to the big special report on independents that was promised!

Adapting chain mindset with indie way of thinking levels playing field

Featured prominently in this special report are former Indy Talk guests Vijay Puniani and David Scott Peters, as well as a few of Peters' clients who say his operations systems have helped them think like the chain competition and become more efficient restaurateurs.

That's one of the two main points to the article: To beat a chain restaurant, start thinking and acting like one with sophisticated systems for training, purchasing, labor management and even culinary R&D. Many indies learn such systems on the job, either starting out in a corporate chain environment or in a well-run independent. For those with less experience, consultants like Peters offer training at either seminars or through year-round networking groups.

Which brings us to the other crucial theme of the article. Just because you're an independent doesn't mean you have to go it alone. There are lots of reasons to join business groups and associations, either specifically for restaurant professionals or just for businesses in a given area. 

I talked to Douglas Katz, chef-owner of Fire Food and Drink in Cleveland and president of Cleveland Independents, a network of independent restaurateurs that's leveraged the efficiency of collective marketing and, to a smaller extent, collective purchasing. To hear him tell it, competition is a healthy thing. It's not all about eating the other guy's lunch, and working in a group with other restaurateurs actually motivates him to make his restaurant better.

Then there's Punk's Backyard Grill in Annapolis, Md. For them, not going it alone means getting involved in the community, which reinforces some of the most central tenets of an independent restaurant: getting to know your customers, being a local hangout and meeting place, and providing hospitality.

Chefs find fried chicken has legs

Some of the best applications of chicken are the fried variety, and it's happening at tons of fine restaurants where you won't find a bucket outside of the supply closet.

Green day for Punk's Backyard Grill

Wanted to get this piece of news up on the blog before Monday, when NRN's special report on independent restaurants goes out. One of the indies I talked to for that piece, Punk's Backyard Grill in Annapolis, Md., had a lot of great things to say and share, many of which I couldn't include because of space constraints.

Luckily, because this is a blog, I can write all I want about Punk's becoming the first restaurant to be certified on the Maryland Green Registry. The restaurant is a fast-casual concept serving burgers, grilled chicken and other backyard fare cooked on a giant grill in the center of the restaurant. Among its eco-friendly practices are biodegradable and compostable utensils and packaging, locally sourcing hormone-and-antibiotic-free meats, and Energy Star-rated kitchen equipment.

"We take our commitment to environmental responsibility very seriously," says general manager David McCabe. "It's one of our core values that guide our business decision making. We are thrilled to be a part of a community that shares our values, and we are proud to be a leader in the green-restaurant community in Maryland."

Congrats and continued success to the team at Punk's.