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Greater Santa Barbara Lodging & Restaurant Association
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INDUSTRY UPDATES

EMPLOYER NEWS

The U.S. Citizenship and Immigration Services has updated the I-9 form (Employee Eligibility Verification), which employers must complete for all new employees to verify their identity and authorization to work in the United States.

The new form must be used as of April 3, 2009.  USCIS had delayed the implementation of the update for 60 days, enabling the public to submit comments.  The major change was that employers can no longer accept expired documents, such as passports or drivers licenses, as forms of identification. The new form also updates the list of documents that can be used to verify identity and work authorization, eliminating some no longer issued by the U.S. government.

More:  A change in the I-9 employee verification form could make it tougher for restaurant operators to hire immigrants.

More:  What you need to know right now about immigration law.

 

EMPLOYEE MANAGEMENT

Five Tips for Managing Change – Many companies are undertaking bold change initiatives: merging, downsizing, divesting, thinking lean, going green, going online and, when all else fails, getting closer to the customer.  Change management is one of the most written about, but least understood, aspects of leadership. While many change leaders follow existing models and perform requisite rituals, too many continue to rely on hope as a strategy for success. 

Tip 1 - Rather than emphasize the benefits of the proposed change, highlight the potential losses that will accrue without changing. Leaders are supposed to be positive, upbeat visionaries — not gloomy forecasters of doom. But "prospect theory" says people tend to be motivated more by fear of loss than anticipation of gain.

Tip 2 – Be explicit about "what's in it for me" (i.e., you). If you stand to gain personally from the successful implementation of a change program, show your hand. That honesty builds up credibility and disarms critics. By being open and honest, we reduce employee conjecture, and increase the likelihood others will feel like partners in the change.

Tip 3 – Recognize the bias toward the status quo. Most people believe inaction is safer than action. Try turning the tables on risk: Make change safer than standing still. Reward people who take chances and embrace the unknown; penalize those who hold back.

Tip 4 – "Pull" can be more powerful than push. Most change programs involve one group (usually management) pushing the rest of the organization to embrace change. We try to persuade, cajole, even force staff to adopt new protocols, methodologies or technologies. If you can get someone on the other side [i.e., a customer] to demand that your products or services change, they can provide a very powerful pull for change.

Tip 5 – The basic tool of management is data. Companies demand evidence-based approaches to most organizational challenges, except when it comes to change. Most companies pushing change programs offer staff only a leap of faith in return — a bizarre "mode-switch" that may alarm many. Use whatever evidence you have to communicate the business case for change. While you may think your company has earned the benefit of the doubt, your employees may have a different view.

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RESTAURANT MARKETING

How to Build Mid-Week Evening Trade - Not just because the food and drinks are cheap, but because the value is fantastic or we get 'special treatment' that's not available on busy Friday and Saturday. Cheap isn't hard to find, but Good is rare...   If all you do is shift customers from one day to another, not much has changed, and if you do it by discounting the profit away, what's the point? The key is to attract new customers, and have the regulars visit more often. And of course the 3 key words for mid-week service are relaxed -- friendly -- efficient.

Boosting quiet mid-week nights will need new thinking (and effort), not a repetition of the 'old' methods that worked in prosperous times:

Invite staff, friends and family: employees, their friends and family, plus all your pals. It needs rules and an organized, very generous range of discounts (sufficient to arouse enthusiasm). Now's the time to give your staff (and those from other restaurants & bars) an opportunity to experience your hospitality at a considerable discount. These will be genuinely new customers, so the real cost to you is only the food and drink.

Promote special nights for special groups: families, neighbors, students, clubs and local workers - the groups you target can be best catered for with their own special nights.

Families: if you're promoting to young families, make sure the deal fits in with homework and bed times. This could also mean special deals for people who are in and out before 7pm.

Neighbors: if you've built a local following, this is a great opportunity to share the love with those nearby, and all their friends. 'Local' is such a powerful marketing word - play it up so neighbors feel they're getting something that others aren't normally offered. Midweek is when we relax more - at your place!

Create special deals with their own unique character: I've seen several restaurants creating early-evening platter offers, where delicious food is served 'family style' at a set time, early, to several large tables. Sit down and share, and when it's gone, it's gone - by 7pm they're preparing for the regular trade. Lots of range on the platter, but not the regular menu items. It helps if you already have a reputation for good food! This is a great opportunity for suppliers to help with fantastic deals on items that will be used just once - special fish, over-abundant produce or something they baked too much of.

Promote 'functions in the restaurant': it's more fun anyway, when 10 people share a large table and platters, instead of being tucked away as 'private dining'. Now we need them up front! Make sure their energy doesn't upset the quite couples nearby, and yes, they do have to obey the rules about what can and can't be included in a package deal. These arrangements are ideal for corporate groups, clubs and associations. Make it easy for them to find and share information with downloadable menus and online reservations.

Build up a frequent diner program: just like a coffee card, but applying to a wider range of food and drink. Ideally, it's run from your POS, or have a simple card printed while you try it out – make sure the benefits are used quickly. If you offer a fantastic deal, consider selling the card for $10 dollars - this lets you capture customer details.

Take special care of singles: they're likely to eat out more often, and your place can become 'home away from home'. They're after seating where they don't stand out (at a bar or smaller table), and may want to read while waiting for their order - have magazines available. They're open to conversation with the staff, and like wine by the glass or a beer.!

Emphasize parking and security: if 'relaxed' is one of the keys to make evenings work better, do what you can to take away concerns about 'where does the car go' or 'is it safe to walk back to it in the dark'. Add parking information to your website and all communication with customers.

Be smart and be careful: Make sure you avoid cannibal pricing , where you steal from your own sales. This is meant to make you more money, not less.  It's OK to make some mistakes: some offers will work and some won't.  If it flies, just keep going!

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…more RESTAURANT MARKETING

How to Attratct More Group Bookings – Packages, pricing and communication all need an urgent rethink. Easier, shorter and better value are the words that make customers happy – use this checklist to rework your offer for a much more competitive market.

* Use the word FREE more often (and mean it). It's part of smart packaging, not a sign of weakness. Free use of AV equipment, free parking, a free dinner reward for the organiser. All those picky charges for lecterns, screens and extra coffee just make people upset.

* Rename basic corporate packages so they shout VALUE. The Everyday Package or the Fresh & Lean Lunch Deal are just what's needed by the PA on a budget.

* Keep the corporate customers happy. They want detailed invoicing and prompt replies.

* Kinder, gentler conditions. You still need a signature and deposit, but is it really essential to have final numbers 7 days in advance?

* Update everyone's knowledge of costing and breakeven point. How many people do you need for the event to turn a profit?

* Better website promotion. 'If you can't be found online, you don't exist'. Sadly, it's true. To be web-friendly, you need all the commonly-searched words and phrases on the relevant web pages. You know what customers ask for, but most web-designers are not experts in the vocabulary of your business - they need help. A good function site is loaded with detailed information, useful downloads and great photos so everyone finds what they want.

* Help people promote their events. The more people they attract, the more money you make. Recommend online services, give them templates for party invitations, offer to manage payments for them and share your promotion and organising tips. Many voluntary and sporting groups do this poorly - give them a hand.

* Better, more appropriate party photos. Many photo galleries show gorgeous people making faces at the camera, way past their legal drinking limit. Does this really promote your venue? Digital cameras allow you to take hundreds of shots, then choose the ones that reinforce your reputation for fun, food, fashion, freshness or whatever...

* Take deposits and payments online. At our recent workshop, 75% of the enrolment booked and paid online - everything was handled automatically. This is how most people want to do  business (and of course you still take phone and mail bookings).

* Create your own events on the quiet days. Special dinners, bar nights, entertainment, classes – bars and music venues do this, but it's less common with restaurants and cafes.  Many people who attend will discover you for the first time.

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HOSPITALITY MARKETING

Kiss Your Brand Goodbye - That is one of the conclusions hospitality marketing professionals took away from a recent hospitality marketing conference.  But don't despair. There is still hope for some hoteliers.

Research shows 'Airline Brands' no longer matters to 51% of leisure travelers - an all-time low. That's down from 57% in 2006 and expected to crash below 50% for the first time when 2009 study results are published.

Why? Lack of differentiation, increasing price sensitivity on the part of travelers and the introduction of comparison shopping web sites. The industry that pioneered loyalty programs is becoming a commodity. Brand differentiation and loyalty are declining rapidly.

The same forces are at work against chain hotels as they too are becoming commodities. With increasing 'sameness' the chains will be left to compete primarily on price.

Now For The Good News! - There is a silver lining in this story and it pertains to hotels that offer guests a truly unique experience - an experience discerning travelers are willing to pay for. These are the hotels that can effectively resist becoming a commodity.

But it is only an advantage if you capitalize on it. You can by developing a strong, benefit oriented positioning and do everything in your power to continually strengthen your brand. Make sure your hospitality marketing team understands your brand and communicates it effectively across all messaging. Nurture your guests and prospects.  Nurture every guest before, during and after their stay.

Small independent hotels have never been in a better position to compete. Take advantage of it while you can.

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headlines ~ did you know? …

Restaurants focus on bar menus…. With alcohol sales not suffering nearly as much as food sales, restaurants are turning into bars and lounges and adding to their menus accordingly. (Wall Street Journal)

A national menu labeling law seems to be gaining appeal, particularly in the face of more states and localities proposing their own regulations.  (QSR Online)

The new “paper or plastic” – digital or print? – When is it more appropriate to stick a stamp on it than hit the Send button?  What does this customer prefer? Don't guess; go ahead and ask what the preference might be.  How much is it worth to stand out? Because so much business communication happens online, a print alternative might attract more attention.  Is it really either/or? There might be times when a strategy can benefit from a combination of print and digital components.  Is anybody there? As hard as it is for some of us to believe, a significant number of customers don't use the Internet at all.  (Marketing Profs)

The U.S. Travel Association has launched a lobbying effort to spread the word about how important conferences and corporate meetings are to the economy in the wake of public backlash over lavish company getaways.  (The New York Times)

Calif.’s proposed polystyrene ban could pack costly punch - Restaurant operators in California are concerned about legislation that could make California the first state to ban the use of polystyrene foam and nonrecyclable disposable foodservice containers. (Nations Restaurant News)  and  (California State Assembly Democratic Caucus)

Some senators who once supported the Employee Free Choice Act have started to waver. The act, also known as the card-check program, would make it possible for unions to organize workers without a secret ballot and would let federal arbitrators impose contract terms in instances in which management and unions can't reach agreement.  (Wall Street Journal)

Greater Santa Barbara Lodging & Restaurant Association is an association comprised of hotel, motel, and restaurant owners and operators. The association represents establishments throughout the county of Santa Barbara. Members range from small family-owned properties to larger convention hotels.  The Association also represents other local businesses that are affiliated with the Santa Barbara visitor industry.

The Mission of the Greater Santa Barbara Lodging & Restaurant Association is to represent the interests of the hospitality industry through education, advocacy, and member benefits that serve to promote and enhance our industry and our community.

The Association also represents the viewpoints of the lodging industry to the public through a positive public relations campaign focusing on the local news media outlets.

 

   
   
     

GSBLRA . PO Box 40260 . Santa Barbara . California . 93140
phone . 805.881.3385 or Email Us

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