Tuesday, December 15, 2009

Responsibility of a Manager/Owner/Operator

Every year around the holidays, I often get emotional(I know...hard to believe) and I start to think about my responsbilities to the staffs that have worked so hard for me over the years. These responsiblities are often overshadowed by the day to day operations of the bar/restaurant/nightclub business.

So this year I did a little exercise...

I was in a room with a handful of nightclub managers, and I went around the room and asked each one to name one responsibility they have as a manager. Here are some of the answers I got(all of which are definitely true)....

-Operations
-Labor Costs/Payroll
-Marketing and sales
-State of Store
-Placing orders
-Hiring and Training
-Promotions

All of these things are definitely responsibilities of a bar/nightclub/restaurant manager, BUT they are not what I am talking about. Instead of focusing on these responsibilities ALL the time, take a moment(especially during the holiday season) to focus on the responsiblity that we as operators have to our staffs.... when truly they are the key to our success. Here are some of these responsibilities I am speaking of.

-Making the place fun for the staff
-Showing appreciation for hard work
-Making sure that you are helping them become better people and employees
-Doing whatever it takes to make sure that your staff can make money
-Honor "Request Offs", so that your staff can visit family and friends during the holidays
-Reward staff for extra effort
-Give Incentives
-Treat Staff as equals
-Show that you care
-Communicate clearly
-Do staff outings
-Celebrate small victories

These are just some of the responsibilities that I feel are JUST AS important as those involving operations. I am 100% positive that with these new focuses, the staff will be happier and more willing to give the extra effort that you need, especially during tough economic times.

Happy Holidays,

Randy

Wednesday, November 18, 2009

Secrets To Get The Table You Want at Any Restaurant

Great Article from Yahoo.....

Secrets To Get The Table You Want at Any Restaurant

With the economy so tight, I’ve been cooking at home more and looking for quick and easy ways to get dinner on the table. So when I do go out, I want to make it really count. I've found that where you sit in a restaurant can have as profound of an effect on your night as what you order. Facing a swinging kitchen door, being banished to a desolate back room, getting wedged next to a cougar birthday blowout: a bad table can really put a damper on your dining experience. But I’ve learned that you don’t need to be a big shot to get the best seat in the house. Here are some tips for scoring a coveted table:

Be Your Own Personal Assistant. When you call to make your reservation, say you’re making it “On behalf of Mr. or Mrs. (your last name).” Try to sound harried but polite. The reservationist will take note, or, at the very least, relate.

Be a Regular. Instead of bouncing from bistro to grill to cantina, cultivate a relationship with a favorite restaurant. Make a point of telling the owner how much you love their establishment (and how the competing place next door has an underwhelming ribeye). They’ll likely reward your loyalty with prime real estate.

Bribe. If you're bold and somewhat freewheeling with your money, the “slip the host some cash” trick is usually quite effective. I never have the guts for it, but rest assured that this practice is completely acceptable within the restaurant industry. Just try not to be showy about it, and never attempt it with denominations under $10.

Arrive on Time. This seems obvious (it is) but keep in mind that if you’re more than fifteen minutes late, your reserved table is likely to disappear. If you know you’re going to be late, always call to alert the restaurant – hosts and managers genuinely appreciate this.

Look Sharp. In our super-casual country, some people consider their favorite pair of sweats perfectly appropriate for more formal situations. Not to pass judgment on these choices, but just remember that “your lawn” and “a nice restaurant” are very different fashion moments. The front-of-the-house tends to give high-profile tables to well-dressed clientele.

Say It’s a Special Occasion. It’s best not to outright lie about a birthday or anniversary – your waiter might stick a candle in your crème brûlée, which can be awkward. But consider telling the host, vaguely, that the night is a special one. Because it is!

Send Yourself Champagne. If you’re planning on ordering champagne or wine with dinner, call ahead (as though you were someone not joining the dinner) and say you’d like to send your party a bottle of champagne. This puts you in the category of people popular and influential enough to have champagne sent to them—which restaurant managers love. When it’s delivered, appear surprised but nonchalant. Bonus: your dining companion will be thrilled.

Monday, November 9, 2009

Make A Personal Connection

Someone asked me last week "What is the key to building business in a nightclub?" Now my answer is not the typical answer that he or most people are looking for. It does not involve budgets or promotions or costs or advertising. It doesn't involve staffing. It doesn't involve planning or organizing. It doesn't involve maintenance or repair or music or atmosphere. It is just one simple statement that you should live by....

Make a Personal Connection.

Sounds funny and sounds easy... I will say that it can be funny and I will also say that it is definitely EASY. Try it for yourself and see.

Make a point to talk to every single guest that comes into your venue.

Ask questions... Where are you from? What brings you to XYZ Bar? What is the occassion? How do you like the music? How was your experience?

Introduce yourself...Learn names...Make eye contact...Engage Conversation...Invite people to come back...Buy patrons a drink or a shot...Do a shot with the entire party..Don't be afraid to make people feel special.

Once this becomes habit for you, cultivate it amongst your entire staff. Get every person in the building to do the same thing. Have everyone "Make as many personal connections" as they can throughout the night with old and new customers. Have a postshift to discuss customers they met and things they learned about those guests.

Now you and your staff will have a better undertsanding of who your guests are...Not only that, but you are creating regular customers everytime you open the doors by remembering people's names and why they are out. When people are deciding where to go for this or that special occassion, your name will be at the top of the list.

Best of all....IT IS FREE!

I believe that the theme song from Cheers was correct when it stated..."Sometimes you wanna go where everybody knows your name..."

Wednesday, September 9, 2009

Building a Natural Happy Hour

I get asked this question all the time... "How do I get people to come in early in the evening?" There are lots of sales techniques and segments used to address this questions, but for this blog I will focus on one.... "Natural" Happy Hour.

Natural Happy Hour
Natural Happy Hour, also known as the “After Work” Happy Hour, is that time in the early evening when businessmen and women go out to have a few drinks after work. This is usually a segment of the day prior to “PRIMETIME” but after lunch rush. (i.e. between 3pm and 8pm).

Drink specials should be offered during this time and if applicable food specials as well. Typical Happy Hour would look something like this….

• 3pm-7pm, Monday-Friday
• 2-4-1 Drafts, $3 Well Drinks, ½ Price Appetizers

Promotion for this segment has to be aggressive and done weekly without fail…

Focus in on the closest major businesses in the area (i.e. Businesses that have more than 20 employees that are within 5 blocks of your business).

• Every week drop off invitations (see “When Does a Flyer Become an Invitation”) every week with the receptionist or the person closest to the front door. Drop them off every week with the same person, this will build a relationship and loyalty. Give him or her something extra… a $10 Gift Certificate or a Free Dinner Coupon. They will become your best friend and in return bring people to your establishment. Do the exact thing with concierges for all surrounding hotels. Make sure the concierge knows you by name every single time you walk through the door.
• Gather information through business cards and/or word of mouth. Do not be afraid to ask for an email address or phone number…. Also, ask key questions like “Who plans your office parties?” or “Who goes out a lot?” or “Who is the most fun person in the office?”
• Use the information to build a database for just these businesses. Use this database once a month to send out an email with Specials and Discounts for ONLY THESE BUSINESSES. When I say only these businesses, I mean those businesses that you are planning to use to build your “Natural Happy Hour”. Make these people feel SPECIAL. MAKE A PERSONAL CONNECTION.

Natural Happy Hour is usually most successful later in the week. This doesn’t mean you shouldn’t have this segment early in the week, it just means that your success Wednesday thru Friday will historically be better than it will be on Monday and Tuesday(different cities/areas/neighborhoods will have different results).

For this reason, weekly promotions of this segment should take place early in the week when business people are planning the week. For example, every Tuesday at 2pm visit each business. Never take a week off. HIT UP THESE BUSINESSES EVERY SINGLE WEEK with something in your hand. No excuse for laziness.

You should add no fewer than 3 new businesses a week to your database(I would suggest 5-10). This means you must take control and visit 3 new businesses every week, while continuing to hit all of the ones you hit the previous week.

RELATIONSHIPS=$$$$

Wednesday, September 2, 2009

Profit Tip of the Week from Restaurantowner.com

This article was emailed to me today from one of the many email lists I am a part of.... Now, normally this stuff is trash, but I really like this article and I find it to be a good Profit Tip.

From RestaurantOwner.com.....

How Wrong Assumptions Hurt Your Restaurant

Most of your employees are clueless about what it costs to operate
your restaurant. In fact, most of them will "assume" you're making a
killing unless you've made an effort to enlighten them about basic
restaurant economics.

When I work with operators, I always bring this point to light by
asking three or four employees, individually, one at a time, how
well much money they think the restaurant is making. I take a
dollar bill out of my pocket and ask, "Out of every dollar in sales
that comes in this place, how much do you think the owner gets to
keep?" Typical answers range from 30 to 60 cents. The lowest I ever
recall hearing was 25 cents.

When employees think your restaurant is a high margin, extremely
lucrative business, it can affect their attitudes, behavior and
work habits. Employees that assume the boss is pocketing 50 cents
out of every dollar in sales (when in reality it's probably less
than a nickel), may find it easier to rationalize carelessness,
waste and even theft.

It's important to show your employee "where the money goes." Call a
meeting and give each employee 100 pennies. Explain to them it
represents a dollar of sales that comes into your restaurant and
you're going to show them where this money goes to pay all of your
costs and expenses.

Out of the 100 pennies each of them has, ask them give you back
their portion of expenses you pay each month. For example, you
might start out asking for 30 pennies from everyone for food, 32
pennies for payroll, 5 for payroll taxes, 4 for the utility bill, 6
for the rent and so on until there are four or five pennies or
whatever approximates your net income % remaining. Explain that
this is how much out of every dollar you get to keep.

At minimum, your employees will now know that your restaurant is
not the "cash cow" they had probably imagined and they might
understand better why you make such a big deal out of portion
control, counting products, scheduling and other cost control
activities.

Let your employees know, in terms they can relate to, that this is
a "low margin" business. Educate them and let them know what's
going on in your restaurant and they will usually do the right
thing.

The problem is that when you don't educate or withhold information,
people make assumptions and as you can expect, those assumptions
are usually wrong.

Tuesday, August 25, 2009

When Does a Flyer Become and Invitation?

When Does a Flyer Become and Invitation?
Whether you are a veteran of the Nightclub/Bar Business or you are opening your first venue, I would be willing to bet that you have seen hundreds of flyers of all shapes and sizes posted all over the city…. Flyers on car windshields, flyers on the ground, flyers on your door, flyers in your mailbox.

My theory on this is DON’T DO IT…

You should never pass out flyers, you should be handing out invitations. I know you are asking me what is the difference? I will tell you now.

Flyers and Invitations look the exact same. They are both made of paper (quality and color make no difference). They both have information about some upcoming event and include a picture of a hot chick and have a crazy drink special on them. Both have the address of the venue. Both have the logo of the venue. Both have some reason that everyone should come to that particular venue on some specific date.
THEY LOOK THE EXACT SAME.

The difference is ….. PERSONAL CONNECTION.

An invitation is placed in someone’s hand with a smile.
An invitation has energy behind it.
An invitation actually INVITES YOU TO COME TO THE VENUE WITH WORDS.
An invitation is not placed on a car, or a door, or a mailbox.
An invitation has a personal touch to it.
An invitation has VALUE… What do I mean by value?
• BRING THIS INVITATION IN FOR FREE COVER! Now that flyer isn’t just worth the paper it is printed on…. It is an invitation worth $5(or however much cover is).
• BRING THIS INVITATION IN FILLED OUT FOR A FREE VIP PARTY! Now that flyer isn’t just a piece of paper…. It has the value of a FREE Party AND it helps build your database.
• BRING THIS INVITATION IN FOR A FREE BEER! Now that flyer isn’t worth throwing on the ground… It is worth a BEER which could be as much as $5!

The next time you spend hundreds of dollars on invitations…. Think about this… ARE YOU PASSING OUT FLYERS OR ARE YOU HANDING OUT INVITATIONS?

Invitations=$$$$

Thursday, August 20, 2009

Profit Tip of the Week

I get asked at least once a week.... How has the economy effected nightlife business? Well DUH! The answer to this question is simple.... It has hurt it. Easy as that. But even with that in mind, it doesn't mean you have to give up. Use this opportunity to build staff unity, to build sales systems, and to fine tune your daily operation. I read an article from RestaurantOwner.com that seems appropriate. Read and enjoy...

Has the Recession Made YOU a Better Operator?

In responses from a recent survey, some of our members have told
us how the recession has actually helped them become better
business people.

Here's what one member said:

"The first quarter of this year was very tough, very grey and so
much financial anxiety of what the future would hold. Since May
we have seen incredible improvements to revenue and our profit
margins."

"One of the best things we ever did was to be incredibly
disciplined during the tough times about being positive towards
our staff & our customers. Every single evening, [customers]
would ask how we were doing, was the economy affecting us. We
didn't lie - we knew they would see right through it."

"But what we did say and what I believe none of our competitors
said was that it's the best thing that's happened to us. And I
truly believe it. It gave us the opportunity to become better
business people."

"We [now] manage our expenses more effectively, we look at
creative marketing and menu ideas and by doing so have increased
our profit margins and also lowered our break-even point."

"And just between my husband and I - it taught us to respect
money. When we first opened, we made so much money and we were so
incredibly busy it was overwhelming. We threw money at problems
to make them go away. Now we deal with them the way we should
have back then."

"We may have more grey hairs or wrinkles from the stress - but for
us - we grew and the business grew and I believe our staff grew. We
believe you don't become more successful until you learn to solve
your current problems - I can honestly say we did that."

What have you learned from the recession? How will the experience
make you a better business person in the future?

The Bar Factor

I often get asked questions from people all over the country about bars, bar promotions, and most everything involving bars, nighclubs, and restaurants..... So I finally figured I would start blogging different things that I have been asked over the years with answers to those questions..

I will write about what I know and that is really only one thing.... How to run and promote a bar, nightclub, and/or restaurant. I will give advice, I will display sales systems, I will tell stories all with the goal to show that normal people just like myself can be successful in the nightlife business.

I am no better than you, no more educated, not better looking, nor am I as smart as you are(well maybe). The purpose of this blog is just to help people that may need ideas or something to refresh their own ideas. If you are humble enough to take advice from someone who has been doing this for a long time, then check back from time to time and read the chapters of my blog(they are really the chapters of my life).

Cheers,

The Bar Man