Sunday, November 4, 2007

Wine thy Name is Perception:

Jonah Lehrer post at The Frontal Cortex “The Subjectivity of Wine” expands the concept of perception.

“What these experiments neatly demonstrate is that the taste of a wine, like the taste of everything, is not merely the sum of our inputs, and cannot be solved in a bottom-up fashion. It cannot be deduced by beginning with our simplest sensations and extrapolating upwards. When we taste a wine, we aren't simply tasting the wine. This is because what we experience is not what we sense. Rather, experience is what happens when our senses are interpreted by our subjective brain, which brings to the moment its entire library of personal memories and idiosyncratic desires. As the philosopher Donald Davidson argued, it is ultimately impossible to distinguish between a subjective contribution to knowledge that comes from our selves (what he calls our "scheme") and an objective contribution that comes from the outside world ("the content"). Instead, in Davidson's influential epistemology, the "organizing system and something waiting to be organized" are hopelessly interdependent. Without our subjectivity we could never decipher our sensations, and without our sensations we would have nothing to be subjective about. In other words, we shouldn't be surprised that different people like different bottles of cheap wine.”


The challenge for restaurateurs is that guests taste with their senses, their notions and their worldview long before the actual food reaches the taste buds. The above experiments created value by adding a different label to the bottle or red food coloring to white wine. These simple steps which did not change the taste of the wine, rather what changed was the perception of the wine by the guest. One on the many tools you have available is this ability to influence perception, by naming or describing a menu item, by framing that item in a different presentation, by changing the lighting in the room, by adding a tall palm plant to your décor or by changing the uniforms that servers wear. It is all perception, however thoughts create reality.


Even before the first sip, Wine thy name is perception!

Saturday, November 3, 2007

Persistence:

"Nothing in the world can take the place of persistence. Talent will not; nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination are omnipotent. The slogan press on has solved and always will solve the problems of the human race." Calvin Coolidge

Patrick Williams at The Selling Sherpa writes:


“The big difference between those who excelled and those who did not was the ability to keep going back.”


Yoda advises “Do or do not, there is no try


The only mountain you can not climb is the mountain that you do not climb. The only restaurant you can not open is the one you do not open. Persistence is the most powerful force on the planet, it has no equal because so few are willing to put forth the effort it mandates.

To excel in life or in restaurants one must master Persistence!

Friday, November 2, 2007

Competitive Advantage:

Steve Yastrow’s recent post on TomPeters.com about “Relationships” offers the following thoughts:

“I was eating lunch with an executive of a hotel company, in a restaurant located at one of his company’s hotels. He was talking about competitive threats, describing how companies in his category are constantly copying each other’s innovations. I said, “If I were your competitor, I could walk into this hotel and easily copy your physical product. I could study your service standards, and copy them too. What I could not copy are the personal relationships you have with your customers. Those relationships would be impenetrable to me.”

In an age of interchangeable products and easily duplicated services, customer relationships have become one of the most powerful competitive advantages available to a business. Do you agree?”

In a restaurant, your competitor can copy your design, layout, menu, processes, color scheme and even the art on the walls. Creating customer advocacy is about connecting with your guest on a personal level. That connection is everything, cultivate it, nurture it, be responsive to it and you will have a Competitive

Thursday, November 1, 2007

Entrepreneur and Spouse:

Luke and Lisa Johnson offer differing perspectives on the travails of entrepreneurship in this FT.com piece. (hat tip FastCompany.com)

“By their nature, empire builders are obsessives who focus relentlessly on their careers. They feel they have a mission to create. And something in life normally has to give. That means a partner must be accommodating: willing to sacrifice almost everything for the business and willing to put up with the ego of their ambitious other half.”

One creates to fulfill a life, sometimes the creation process destroys the very life one hopes to fulfill. A Pam Tillis song explains an entrepreneur’s relationship quite well “If you are coming with me, you need nerves of steel, because I take corners on two wheels

Life is always on edge for the entrepreneur and spouse!

Wednesday, October 31, 2007

Bathrooms:

Annual Bathroom Blogfest is occurring today, All Halos Eve! There are some great stories about the horrors of bathrooms in the customer experience.

Restaurateurs invest ten to twenty-five percent of their construction budget into building bathrooms. A significant portion of your monthly rent payment finances their continued existence. Many a wonderful dining experience has been obliterated after answering natures calling. Why?

Have you ever visited a restaurants bathroom and thought maybe you had entered a war zone. The bombed out stalls, the peeling paint, the unhinged stall doors, the burned out lights, the chipping grout and the stained bowl, did you think to yourself why?

A restaurant will not create customer advocacy with its bathroom in disarray. Is it really that difficult to insure that the bathrooms are clean, that there are ample supplies and that possibly there are fresh flowers?

All Halos Eve is about the forces of darkness marshalling their energy for their climatic battle against the forces of light. Your restaurant needs to be on the victorious side in the battle of the bathrooms!

Monday, October 29, 2007

Smile:

Roger Dooley’s Neuromarketing Blog post “Smiles Really do boost Sales


“Flashing smiling subliminal images at customers waiting to be served at a burger restaurant doesn’t seem very practical, or very ethical for that matter. I think the study does show that even a tiny elevation of mood, so small that it is imperceptible to the subjects, could affect their spending. This means that the manager who trains her employees to smile is on the right track. It also suggests that imagery in the purchase area should be positive and people should be smiling.”


A smile is the best way to say “Hello, won’t you come on in. We are glad you here. You are very important to us”

Smile.

Sunday, October 28, 2007

City Anchors:

CEO for Cities blog post “The Bookstore as a Community Center” emphasizes the role of restaurants in community development.

“Distinctive retail shops and restaurants, particularly those that function as community gathering places, are now important amenities for cities. Cities need to learn to value these amenities (all stores are not created equal) and act accordingly.”

Real Estate development and restaurants need each other desperately. Cities to attract the creative class need to be areas where both can flourish.

Restaurants have always been City Anchors!

Saturday, October 27, 2007

Diners Bill of Rights:

Leslie Brenner’s Los Angeles Times article “Diners, Stand up for your Rights” examines a growing movement.


“VIP treatment. If you are not a VIP, you have the right to the same service as a VIP.”


Listen up restaurateurs, your guests are mad as hell and they are not going to take it anymore. Diners are demanding their Bill of Rights!

Tea is the New Coffee:

Restaurants and Institutions points to a New York Sun article “Tea Salon Get Set To Expand

"It's not just about tea — it's a lifestyle," she said. "You aren't going to go to a yoga class and then drink an espresso. You stay in the moment — you drink a cup of tea."

Tea is gaining ground because coffee is not for everyone. People want a non coffee alternative to enjoy. Chicago based Argo Tea is a concept the encapsulates the trend very well.

Tea is the New Coffee!

Karma:

Christian Science Monitor article “A restaurant with no checks” outlines life in our brave new world:

"In the spirit of generosity, someone who came before you made a gift of this meal. We hope you will continue the circle of giving in your own way!"

A previous post “Set your own price” asked the question when this would occur. The universe has a way of answering all queries, that is after all Karma!

That’s Expensive:

Patrick Williams whose blog is a must read has a very interesting response next time your guest questions your price. Whether you are putting together a large private dining affair or are taking a large corporate catering order the first time client will undoubtedly say how expensive that is. Patrick’s response is

“I looked them straight in the eye and confidently reply, “yes, it is reassuringly expensive, isn’t it?” I confirm they are buying the best because I couldn’t possibly charge that price if what I sold didn’t deliver.

Of course, the product or service must deliver and I am confident what I sell does deliver, time and again.”

Try the response out next time a new guest pushes for a discount. You and your staff strive constantly to put out the very best product you can. Don’t discount period, if you must make concessions use the value added approach by offering some additional product at no or limited charge.

You are now ready to respond when guests feign shock and say That’s Expensive!

Make plain food taste Great:

Titus-Armand’s Project Armand blog post on “11 Tips to make plain food taste great” offers an interesting take taste enhancement.

“Adjust the lighting. Lighting is really an important accent. It adds texture and color and glow to the food. There’s not a lot of knowledge about what lighting can do and most people take it for granted – it’s either on or off. Experiment with it and you’ll notice that the food might actually start looking better that you would’ve imagined!”

The post is aimed at individuals, however restaurateurs can easily gleam some very good ideas to Make Plain food taste Great!

Friday, October 26, 2007

Relational Customers:

Grokdotcom.com post explains the difference between a one time customer and a customer advocate:

“Transactional customers:

  • Consider only the current transaction when making a decision
  • Are generally willing to switch suppliers, stores, etc., for reasons of price alone
  • Prefer to be their own expert

Relational customers:

  • Consider any transaction to be one in a series of interactions with a given business/expert
  • Generally will not comparison shop once they’ve found their expert
  • Are searching for an expert they can trust”

Restaurateurs need to be resources for their guests, not just providers of a service. Restaurants need to add value to their guest’s life and in so doing develop Relational Customers!

Thursday, October 25, 2007

PCI Compliant

FastCasual.com has a good article on “PCI Compliance”

“The credit-card industry including Visa USA, MasterCard, American Express and Discover are cracking down on restaurants and merchants in an effort to better protect cardholder data.”


PCI compliance is being enforced vigorously. Many chains have taken an aggressive stance because they realize that a breach at any one of their locations puts the entire system at risk. The risk of course is non participation in the credit card payment system. That would be a death knell for any business in the 21st Century as customers are making $0.36 purchases with debit or credit cards. Single unit operators must be certain that there stand alone credit card machines are compliant.

The industry has come a long way from the messy carbon copies and we still have a ways to go because customers are vigilant about their accounts. The ability to view transactions online has helped and hindered. Customers do not understand the concept that the issuers have of holding an account after authorization has been given. Many a restaurant accountant has had to explain to an angry guest, that their card was charged the correct amount by the restaurant and it’s the credit card issuer who has added additional amounts to the hold waiting for the batch from the restaurant.

It is very important that you as a restaurateur make certain your establishment is PCI Compliant!

Wednesday, October 24, 2007

What was that special again?

Melissa Clark of the New York Times did a great article “If it sounds Bad it must be Good”.

“THERE are some restaurant dishes that I order because they sound better than everything else on the menu, and there are some I order because they sound worse. My reasoning goes like this: If a chef dares to offer something as unappealing as, say, a raw kale salad, chances are it’s fantastic. I’ve played this game at restaurants all over the world, with mixed results. But when I score I score big, with a perspective-changing moment that can inspire pure glee.”

Restaurateurs need to consider all aspects of menu marketing when creating and naming items. Restaurant guests are oblivious to the expenditure of energy that is require to develop and then name an item on a menu Actually menu design is both art and science with the dull unimaginative creations holding sway in most establishments.

There are many Melissa’s out there who will trust you when you drift from the familiar and take a chance, now what was that special again?

The Mud of Mediocrity:

"Make no little plans; they have no magic to stir men's blood...Make big plans, aim high in hope and work” Daniel Burnham

David Schwartz’s landmark book “The Magic of Thinking Big” provides a framework for success, “Think Big”. One of David Schwartz’s keys to finding success by thinking big is the concept of “adding value.”


My favorite phrase from that book is “the mud of mediocrity”. Most businesses produce barely enough to get by because they are mired in the mud. These enterprises never rise beyond the level of competence and certainly never aspire to greatness. They are very comfortable in the mud.

An entrepreneur to succeed must add value to everyone that touches their path. A guest walks into your restaurant because they believe you will add value to their lives, an employee works for your organization because they believe your organization will add value to their lives. Vendors do business with you because they believe you will add value to their lives.

I have banged this drum before and I will continue to do so. A guest does not walk into your restaurant because they want food. They can get food anywhere. They walk into your restaurant because they want you to add value to their lives.

Adding value to everyone who touches your path will create customer advocacy and lift you from the Mud of Mediocrity!

Tuesday, October 23, 2007

Eye Contact:

Creating customer advocacy is as simple as making eye contact. When your guest walks in, make eye contact. If you are behind the counter look into their eyes and notice the color of their eyes. Have the host or hostess notice the color of the guest’s eyes when they approach. Have a server notice the color of the eyes of the guest that is ordering. When a restaurateur approaches a seated table, they should notice the eye color of the person.

Looking at the eye color is a very good trigger to help you and your staff make Eye Contact.

Monday, October 22, 2007

Thank You:

The ending of a dining experience is the beginning of the next visit. Athletes, musicians and showman always like to end strong and leave the audience wanting more. Restaurants need to close a guest visit with a powerful Thank You!

The guest has enjoyed a wonderful experience in your restaurant, the food was innovative and delicious, the service was exceptional, the ambience perfect, now say goodbye with a Thank You!

A Thank You can be a forthright expression when giving change in a coffeehouse, a Thank You can be a cookie placed in the guest’s car by the valet, a Thank You can be a hostess or manager at the door opening the door or helping the guest with their coat, a Thank You can be a complimentary dessert provided to a guest, a Thank You can be a firm handshake and a warm smile.

A Thank You to be meaningful must be genuine, it must be unexpected, and create in the guest a sense of belonging and community.

Thank You!

Sunday, October 21, 2007

Rising Inequality:

Wall Street Journal Article by Greg Ip details the Income-Inequality Gap

“The wealthiest 1% of Americans earned 21.2% of all income in 2005, according to new data from the Internal Revenue Service. That is up sharply from 19% in 2004, and surpasses the previous high of 20.8% set in 2000, at the peak of the previous bull market in stocks.


The bottom 50% earned 12.8% of all income, down from 13.4% in 2004 and a bit less than their 13% share in 2000.”


The gap has been widening for thirty years so the effect has been pronounced. What might be an interesting question for restaurateurs is how this plays out in their restaurants. The last three decades has seen the rise of specialty coffee houses (i.e. Starbucks, Caribou), gourmet sandwiches (i.e Panera, Corner Bakery) and national upscale concepts (i.e. McCormick and Schmicks, Mortons).

Could the inequality that is being created be offset by the fact that some one can walk into Starbucks and for the price of a cup of coffee feel wealthier. The cost of meal or cup of coffee from a percent of income perceptive is negligible, however the wealth effect is substantial.

If your restaurant can find a way to make the vast majority of Americans at the lower 99% of the income strata, feel like they have experienced what the 1% of Americans at the top feel in their dining experience, than your restaurant will have bridged the Rising Inequality!