E&S Extra

Editorial Director Joe Carbonara provides insights and commentary on the state of the foodservice equipment and supplies marketplace.

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4 Golden Opportunities for the Foodservice Industry

This past weekend marked birthday number 99 for American pop culture icon Betty White. To help mark such an auspicious occasion, preparing a list of 99-foodservice-related items to ponder seemed like the appropriate tribute. After careful consideration, though, that approach seemed plainly punitive. You’ve done nothing to deserve that. Instead, let’s go with four points – one for each of the Golden Girls – Dorothy, Rose, Blanche and Sophia – a seven-season sitcom starring, among others, White. Last week’s post was filled with lots of sobering news about the industry and when it comes to Betty White that’s just off brand. With that in mind, this week’s blog post will focus on some more upbeat information.

1. Operators’ outlook is slowly improving.

Thirty percent of operators are cautiously optimistic and expect their businesses to emerge from the pandemic stronger than ever, per a December study from Chicago-based Datassential. That marks a 4% increase from the previous month. In addition, 55% of operators remain worried but are fairly confident their businesses can get through this in one piece, while 15% are very nervous their businesses won’t survive. No doubt the release of 2 COVID-19 vaccines that month helped buoy operators’ outlook. It will be interesting to see how their outlook has changed when Datassential updates its numbers.

pro loadingImage Courtesy of Feeding America 2. NAFEM and its members step up. Big time.

Kudos to the North American Association of Food Equipment Manufacturers and the 151 member companies for their support of Feeding America. As part of the organization’s social purpose platform, NAFEM and its members donated 13,607,780 meals, or $1.36 million to organizations fighting hunger across the U.S. in 2020. During 2020, foodservice equipment and supplies manufacturers, as well as NAFEM associate members, contributed $364,802 worth of time, money and food directly to their local food banks. NAFEM contributed and matched or double-matched that dollar amount, sending $995,976 to Feeding America to distribute to local food banks. Making donations to hunger relief organizations is nothing new for the foodservice industry. Yet results of this magnitude are remarkable given that NAFEM unveiled its social purpose platform in February 2020, just weeks before COVID-19 brought the foodservice industry to a near standstill and increasing the need for Feeding America and the services its member organizations provide. Despite the mounting challenges their own businesses faced, that these companies still stepped up to this level of support makes this accomplishment all the more remarkable.

3. Chicago bar gives promoting COVID-19 vaccinations a shot.

The restaurant and bar industries know they have lots riding on the fast and wide distribution of a COVID-19 vaccine. One bar on Chicago’s northwest side has decided to put its money where its patrons’ mouths are by offering a $10 gift card good toward food or drink to the first 1,000 people who come in with proof of receiving a coronavirus vaccine, reports the Chicago Tribune. Even in the best of times, a $10,000 giveaway would be significant for a neighborhood joint like the Village Tap but it’s not like everyone will come into redeem the offer at once, so the bar’s owner feels it can weather the promotion just as it has the impacts of the closures mandated by Illinois Governor J.B. Pritzker in an attempt to slow the spread of the virus. Like many other operators, the Village Tap offers outdoor dining and has relied on takeout to help stay afloat.

4. The time to plan for the future is now.

In case you have not heard, the past year has been an unprecedented one for the foodservice industry. After contending with shutdowns, learning to social distance and waiting anxiously for the vaccines to roll out, most people want to know what normal life will look like when things get rolling. Will consumers revert back to their old habits? Or has the industry changed completely? As is often the case, I am inclined to think the industry will find its future reality somewhere in the middle of those two extremes. The importance for operators to continue to put on a sanitation show, one that connotes safety, can’t be overstated moving forward. Consumers won’t return to a place if they don’t feel the operator and staff take safety seriously. This will include important aspects of safety and some that are just for show. And there’s no doubt technology will play a greater role in restaurants of the future. That said, don’t underestimate consumers’ strong desires to congregate and break bread together, either. That will drive people back to restaurants and bars. So what to do while waiting for that time to come? Start investing in your future by developing a vision for where your business should go and start in investing in it. As restaurant consultant Matthew Mabel rightly points out, “Operators who forget what they learned once the economy improves do so at their peril.”

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