Archive for the ‘ Marketing ’ Category

A-V: the Underappreciated Profit Center, Part II

Are you losing huge profit opportunities in meetings audio-visual and technology sales? Last week we looked at two of these four questions:

1. How is your audio-visual offering described on your web site?

2. Do you have a marketing plan for selling audio-visual equipment?

This week we’ll look at 3 & 4, and I’ll point you toward some best practices.

3. How do these offerings set you apart from your competitors?

4. How important is audio-visual to your F&B profit picture?

THREE.  About your offerings being competitive: I probably wouldn’t have to ask this question if we were talking about bar, restaurant, catering or room service menus.

Is your product essentially generic? Same things “everyone” has? Your third party vendor probably has access to a lot of equipment, especially high-tech, that you don’t list. Why don’t you list it? Because no one orders it? Because you only list what your competitors list? Because you don’t participate in creating the list (please see #2)?

For example, I rarely see “digital white boards” listed. There are many types, the latest allow meeting participants to literally email (or save to a thumb drive) whatever is on the board at a specific time.  I’ll bet your vendor has access to them. Or, how about audience polling systems. Same thing. Of the last 20 hotels and conference centers I’ve looked at, I’ve seen digital white boards twice, and audience polling systems just once. What’s your profit on a digital white board compared to a flip chart?

And what’s the impression you make on a meeting planner when you list high-tech items, and when you list services such as “web-casting your keynote speaker’s address”?

FOUR. What is audio-visual’s contribution to your departmental profit? For this information I looked at a handful of brands and checked the operators’ P&L’s.  I took the net commission a hotel makes from selling A-V and divided by total departmental F&B profit. The average was 10%. In other words, 10% of all hotel F&B profit comes from audio-visual. This is an average and your numbers may be much lower or much higher. But at some hotels, 10% could be thousands or hundreds of thousands of dollars.

Let’s summarize Parts I & II.

  1. Create a serious presence for audio-visual and other technology products and services on your web site – I recommend a Technology Menu.
  2. Develop a marketing plan for audio-visual and other technology – use your F&B marketing skills as your guide, you’ll do well
  3. Use A-V and other technology to enhance your competitive advantage in the meetings marketplace.
  4. Set a goal for increasing your commission/profit dollars, and work with your A-V company to get there. Next year, work with them to create some win-win packages.

Finally, here are a few Best Practices noted while conducting research for this column.

  • The Hyatt Shanghai, Ritz-Carlton Santiago and Westin Montreal don’t claim to have an audio-visual expert. Rather, they each have a “Technology Concierge”. If you don’t like that title, how about “IT Consultant” or “Director of Technology”?
  • Marriott Banquet menus have a section dedicated to Technology.
  • The Marriott San Diego Gaslamp’s Technology section bundles several of their technology features into Presentation Packages, with everything a presenter could need for a certain type of presentation. Smart.
  • The Holiday Inn Chicago Mart Plaza has an excellent technology menu. So does the Radisson Plaza-Warwick Hotel in Philadelphia. Pictures, graphics, professional layout, packages and a long list of equipment. Attractive layouts,  just like they were selling food and beverage.

Those are my thoughts, let me know yours.

 

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A-V: the Underappreciated Profit Center, Part I

Are you losing huge profit opportunities in meetings audio-visual and technology sales? Here are four questions for your consideration. We’ll look at two of these this week, and two others next week. 

  1. How is your audio-visual offering described on your web site?
  2. Do you have a marketing plan for selling audio-visual equipment?
  3. How do these offerings set you apart from your competitors?
  4. How important is audio-visual to your F&B profit picture?

I’m thinking that audio-visual equipment rental is something that gets little attention from most F&B Directors, at least until the projector light bulb burns out in the middle of a meeting and the A-V tech can’t be found.

So, let’s drill down a little on these four questions.

ONE. Look at your web site – does A-V get its “fair share”? Most of the hotel web sites I’ve looked at have descriptions that fall into one of three categories:

  1. A generic description of offerings and services, sometimes with a couple of examples. This is akin to having a restaurant’s web presence limited to a statement about how wonderful your food is, you’re sure to enjoy it, etc.
  2. A list of items. Often these lists are outdated – I’ve seen lists with 35mm slide projectors and laser disc players. Thinking about your restaurant again, would you put a simple list on your web site in lieu of a menu? “We have: hamburgers, steaks, salads, chicken, breakfast, soft drinks, desserts, wine, beer & cocktails”.
  3. A link to a third party. Many of the third party A-V (and other technology) companies have a very impressive array of equipment and offerings. Sharing this information with meeting planners is certainly appropriate. But wouldn’t you like share the information in the context of your hotel’s services? When I go to a site and (eventually) find the audio-visual information, if I just see a link, what I really get is the feeling that “hey, we’re busy, go bother the A-V company, but don’t worry we’ll talk again when it’s time to give you the bill”.

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Are Food Trucks a Threat to Hotel Catering Business? Part II

Food Trucks may pose a threat to hotel catering business. Last week in the first part of this blog I suggested that:

  1. Food truck foodservice is not a fad, in fact it is here to stay, so get used to it
  2. Food trucks offer some very real – and in 2011 very relevant – advantages compared to hotel catering

In fact, I went so far as to say that were I doing a SWOT analysis for a hotel catering department in a major market, I would list “Food Truck Catering” as a threat.

Then I foolishly promised suggestions in Part II- how to turn this into a competitive advantage for your hotel.

OK so now what?

Go buy a $100,000 food truck? That would be OK, but not, I think practical. Anyway, don’t ask me to do the ROI on that one.

So, no, don’t buy a truck.

Instead, leverage what you do best, what the food trucks cannot do. Then turn it into a competitive advantage. I’ll explain.

It’s simple really, and everybody wins. Partner with a number of high quality food trucks. The way you already partner with outside caterers for certain special needs required by your customers from time to time (I’m thinking kosher events at hotels without a kosher kitchen and ethnic weddings, for example).

Next, create a new section for your catering menu, “Food Truck Events”. Think about it. How many years have you had “Mexican Station” on your menu? And when was the last time you saw a competitor without a comparable offering? Let’s get the potential customer excited. If you’re not sure what I’m talking about, please see Part I.

What’s a “Food Truck Event”? It could be a tent with 5 food trucks in your parking lot. It could be your “normal” in-house reception, even wedding reception, but now two of your stations are catered by two popular (brides’ choice?) food trucks.

Catering Directors: this is a win-win-win-win (Hotel-Customer-Food Truck Operator-Employee). You add excitement to your offerings, your menu. You get new business that might not have otherwise booked with you. You’ve negotiated a margin with the food truck owner(s) plus (more important!) some exclusivity for your hotel. You don’t want every hotel offering “your” food truck offerings. The food truck owner has a source of new business. More work for your banquet team.

Why will this work? Because of the innate competitive advantages that hotels have over food trucks:

  • You can serve beverage alcohol, they can’t
  • You can provide a large variety of items, they cannot
  • You have a roof, they don’t
  • You have tables and chairs, a dance floor and lighting – they don’t
  • You are a one-stop-shop, they are not – who wants to book every last thing, including tables and chairs separately?
  • If the event is outdoors, you can offer a backup plan for inclement weather – they cannot

Finally, don’t forget one more thing that they have and you can leverage: a following in social media. Maybe this partner thing could really go somewhere?

So, reach out now. Find the best food trucks in your area, trucks that support your hotel’s quality level and image, and form alliances. And don’t forget to update and market that menu.

Those are my thoughts, let me know yours.

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Are Food Trucks a Threat to Hotel Catering Business? Part I

Food trucks competing with a well-equipped catering department at a midscale or even upscale hotel? Forget it, I’m kidding.

[FYI: the second highest Zagat food quality rating for any restaurant in San Francisco, 28, is a food cart that’s available 2 days a week. I’ve been. Zagat’s right.]

I don’t know a single catering director who has expressed concern about this. I’m not sure it’s on anyone’s radar. Yet. In fact I know some pretty smart hoteliers who have hosted food truck events. I wrote about it last year.

[Oops. I just Googled “Weddings & Food Trucks” got 23 million hits.]

[Oops again. The Knot just published its 11 top weddings trends for 2011, and guess what?]

We all know that, really, food trucks are a fad, and anyway health departments will be shutting them all down soon and we can get back to the way things were. For example the city council of Richmond CA just put the kibosh on new licenses for 45 days while they figure out which regulations should apply, and how. Closer to home, Atlanta has very strict enforcement policies.

[On the other hand cities such as L.A. – 10,000 food trucks – and Santa Monica and Chicago are passing strict but reasonable laws to govern the trucks. In fact, food truck owners welcome this, they understand that ultimately it will bring them more and new customers who are now reassured about the safety aspect. The New York Times said this “may be the ultimate sign that this faddiest of food fads is going mainstream”.]

Why is this happening, and why is it a trend – not a fad? Some will cite technology and others the recession and they would not be wrong, but there is more. There is a permanent shift in what we value, and this shift began before the recession. The best explanation I’ve seen for this is found in Spend Shift by John Gerzema & Michael. The subtitle says it all: “How the Post-Crisis Values Revolution Is Changing the Way We Buy, Sell, and Live”. Call it “new normal” or whatever you wish: consumers are rejecting “overconsumption”. The authors of Spend Shift cited 5 emerging values – emerging prior to the recession by the way. Among them are these two:

  • We are “adopting a more nimble, adaptable and thrifty approach to life”
  • Old status symbols appeal less, and “purpose, character, authenticity and creativity” are pathways to the “new good life”

Let’s apply this to food truck catering. What do they have that a top notch hotel doesn’t? Affordability. Variety in venue (pick a venue, any venue the trucks can access). Specialization – oftenFood Trucks are great at just one thing, that’s all they do. And Authenticity. For examples check out the Top 20 Food Trucks in the USA. Fun, Buzz, Creativity – and it’s all wrapped in social media marketing.

And now it’s time to get back to hotel catering. Is this really a “threat” to your business? If you asked me to do a SWOT analysis for your business, and if you are located in a major market, I would have to answer “yes”.

OK so now what?

I’ll suggest a response in Part II next week.

Those are my thoughts, let me know yours.

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Trends & Tealeaves

I think I’m going to start publishing my own trends list, and here’s why: how could I be wrong? If my forecasted trend happens, I’m smart, if it doesn’t, I’m just “ahead of the curve”, right? Or, maybe it’s not that simple. Turns out there’s are fine lines between “best” and “worst”, data and tealeaves, trends and fads, opinion and fact.

By now you’ve mulled over the 2011 trends. Among the best and smartest prognosticators:

Baum & Whiteman

The annual NRA poll of 1,500 Chefs

And of course Technomic

These are well thought out and always interesting. Many trends are mentioned multiple times by multiple sources (examples include: sustainability, small or mini plates, more sophistication/culinary emphasis on cocktails, and my pick for the most interesting, the “celebrity farmer”.)

But what about last year’s trends? Did they pan out? [I know the pun police are coming to get me.] Who looks back to see which of the forecasted trends evolved? Is there a scorecard? Nope.

Reading Tealeaves

Which do YOU prefer, computer or tealeaves?

I pasted a few groups of projected trends for 2010 and 2011, even some from 2009, to compare them. Then I searched for a kind of reverse or negative trend, and here are some of my observations, not rocket science but possibly worthy of your consideration:

  • A real trend is a multi-year evolution, never a single-year instance (for that we have another name, “fad”), so it should show up on lists for a few years at least as it evolves or emerges
  • The lists that differ every year are thought-provoking and informative. But if a “trend” wasn’t on someone’s list last year, it is at the birth or discovery stage. Let’s call it an early-stage trend.
  • Then we have the emerging trends, they didn’t start last month or maybe even last year, but they’re expanding at a consistent or even rapid pace over an extended period of time
  • Trends end when they become mainstream; if they never evolve in some way into a broader consumer application or acceptance they weren’t trends in the first place
  • It can be just as informative, and more fun, to view “negative” or “worst” trends
  • What about “trends” – found on both emerging and “worst” lists? A cursory look of items found on both include cupcakes, iPad wine lists, bacon and its variations, culinary “dirt”…
  • No “Best Worst” lists here, but a couple of my recent favorites are by: John Mariani, Trends We’d Like to Call a Thousand-Year Ban On, and David Zinczenko, the author of Eat This Not That. It’s also interesting to see Esquire’s list for “tired” restaurant trends for 2009 – are they asleep now?
  • Most ubiquitous prediction: the gourmet/upscale/celebrity-chef burger concept is now over done. Well done? Well, maybe.

Those are my thoughts, let me know yours.

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“Culture of Outlets” — Ban this Word!

And when was the last time you said, “Let’s go eat at an outlet”? I’ll bet you’ve never heard this dialogue:

Spouse A: Honey, it’s Saturday, let’s go out to dinner.

Spouse B: Sounds great. What kind of outlet are you thinking about?

Spouse A: What? I said dinner.

Spouse B:  Got it. At the hotel we call them outlets. Hey after dinner at an outlet, let’s go to an outlet for drinks.

Spouse A: I don’t want to eat at an outlet, I want to dine at a restaurant, then drink at a bar.

Spouse B: Sounds a little strange to me, but OK.

Also an Outlet

So, “B” works at a hotel. Why don’t we say “restaurants & bars” when we work at hotels? Well, it’s convenient to say outlets if you want to encompass every type of service in one word. Room Service is not the same as restaurant, and a mini bar is not the same as a Bar. But both are “outlets”. I suspect the term emanated from accounting where analysis often requires lumping the non-banqueting areas together.

Well, lump them together all you want, but don’t call my restaurant an outlet. Or my bar. Guests don’t eat at outlets – just ask them. I can see the intercept survey now: “Sir, would you mind sharing some of your opinions about the outlet you dined at last evening?” Restaurants, Bar/Lounge, Room Service and Mini Bars all work for me. Let finance people refer to Eating & Drinking Revenue Centers.

Cute Outlet, but not a Restaurant

So I pledge here and now: stop what this “culture of outlets”. This culture supports a second-class image for hotel restaurants and bars. Language both reflects and reinforces culture:  ban the word “outlet” from your hotel. Hold your F&B head high.

And while we’re at it, here is some more “culture of outlets” behavior we should put to rest:

  1. Using the hotel logo on bar and restaurant promotional materials. Your restaurant has a name, right? Your bar? And logos? [Note: I’ve seen hotel restaurants and bars without logos – you can design a useable logo on line for a couple hundred bucks. Do it.]
  2. Room Service should be positioned as a service of the restaurant, not a service o the hotel. Yes, in some instances Room Service is truly unique, with a different staff and different kitchen than the restaurant. But in most cases, when it comes to Room Service, we fail to leverage all of the internal marketing we’ve done for our restaurants and bars. We don’t use restaurant and bar logos, we don’t talk about the restaurant Chef and we don’t do anything to indicate that the Chef even knows that his or her food sometimes goes to the rooms (how about: “We have prepared this Signature from our restaurant kitchen specifically for our Room Service Guests”, etc.)

    This is Also an Outlet

  3. Performing “competitive shops” at other hotels. So you really think your guest leaves the hotel for dinner and walks or drives…to another hotel? A competitive survey should determine where guests eat and/or drink when they don’t eat/drink at your bars and restaurants. Your employees and your regular guests can both tell you this. Ask them.
  4. Hotel web sites. My recent “Banana” blog addresses the need for independent web sites for your bars and restaurants. But how about the hotel web site? I actually think that the driver of “culture of outlets” here is space: “dining” is a 6-character word. “Restaurants & Bars” is 18 spaces. The same culture at work, I think, that figures it’s OK to use “Events” as a placeholder for “Weddings”. Reorganize the site, make the space.

Please let me know what words or phrases you think might work better than “outlets”.

Those are my thoughts, let me know yours.

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When Selling the Right Thing is the Wrong Thing

Once last month I was thinking too hard and managed to work myself right into a contradiction. I was at a property roughly 75 miles from Wine Country.  I was congratulating management on their wine promotion, a simple but effective Best Practice, how I reported it. I was also congratulating myself on congratulating management as this would reinforce the Company’s excellent wine sales culture that I had supported in previous reports and meetings.

Regrettably, while compiling the report I encountered a sinister force trying to destroy the superb writing and brilliant conclusions of my masterful report: data. Oops. 

Turns out, the customer didn’t follow the well-merchandised direction: “drink more wine…drink more wine…” This is the thing about customers, that just when you expect them to do just one simple thing…well, you know.

Previously I had looked at sales, or the beverage mix. So, the spirits-beer-wine mix might be 30% – 32% – 38%. Great, we’re selling more wine. Keep it up. Promote wine. Good job. Report emailed.

Then I stumbled across some additional information. By “stumbled across” I mean I decided to look at the other data contained in the sales mix report. The other data was “number of items sold” though it wasn’t labeled clearly and this will continue to be my excuse for missing it first time around.

So, it turns out, incidents of beer sales surpass, significantly, incidents of spirits or wine sales in the lounge. Of course spirits and wine sales are critical and must be promoted, but promoted strategically. In fact wine sales and incidents of wine sales dominate room service beverage, for example.

But back to beer. Digging some more. Beer at this location wasn’t discounted significantly. Craft and imports were popular. The beer selection paled (pun?) next to the wine selection. There is a wine list but no beer list. There was excess capacity in the beer cooler. Management is smart and open minded. In other words, all of the usual obstacles were gone, and opportunities abound.

The hotel is adjusting inventories, re-writing beverage menus and developing new promotions. Adding some taps in the Lounge. Ratcheting up room service wine promos. All because of some data.

Six months from now I’ll request an updated mix and overall sales analysis,  and we’ll see happened. We’ll see together – I’ll share it here.

Those are my thoughts, let me know yours.

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My Banana Has a Web Site

Yup. It does. See for yourself: www.ChiquitaChampions.com. Chiquita is working to associate – to make you associate their product with sports achievement.

My question is, hotel restaurant managers, GM’s, F&B Directors, et al: do you? Have a web site? For your restaurant? And for your bar if it’s a separate concept?

Many have “preached” for years that to be successful, a hotel restaurant must be deemed separate from the hotel, an independent entity. In fact many hotels have a truly independent restaurant operated by a separate company, sometimes a high-profile brand or chef, and to me that seems to work well. Most hotels don’t have the right location or the ability to invest in a high profile third party operation, and/or they prefer to operate F&B themselves for sound reasons. In these cases, the majority of hotel restaurants and bars make attempts to separate their concept(s) visually or functionally: individual name, logo, trade dress; separate entrance; separate phone number; reservations through OpenTable, etc.

So, why not create separate identity in the easiest of all ways: through an independent web site? The data on this is compelling.

As far back as 2007 AIS Media reported that more than half of American consumers look at a restaurant’s web site prior to dining. I’ve seen research more recently suggesting that two-thirds of consumers look at restaurant or bar web sites before they visit. Perhaps surprisingly, the numbers are similar for Boomers and Millennials. Most-often looked at? Menus. At the NRA show in May, Yelp!’s VP for business development stated that the average Yelp! user looks at three sites before selecting a restaurant.

I should mention that there is no data on the percentage of Millennials or Boomers checking the internet prior to purchasing bananas.

And now for a little GVC “research”. Not enough for statistical validity perhaps, but maybe interesting? During a virtual visit to a medium-sized market I looked at the top ten (of 415 reviewed) restaurants on Yelp! Nine had web sites. Then I looked at the bottom ten: only 5 had web sites. Maybe part of the formula for being a top restaurant is maintaining contact with your customer?

OK, more. All ten of the top ten had pictures posted on Yelp!, while half of the bottom ten had posted pictures. Of those who had pictures: top ten restaurants averaged 3 pictures per store, bottom ten 1.2.

And now for hotels. Same market. Eight hotels had 17 different restaurants or bars. Only 3 of the 17 had independent sites.  To their credit, more than a third of the hotel sites had their menus posted.

So, now what? Well, the cost of creating a dedicated restaurant web site is lower than ever. A company at the NRA was charging $1,200. Four others I’ve spoken with will create one for $1,000 – $3,000. These lower-cost sites use templates, but can be made to look fine and serve you well. A few more dollars for SEO accompanied by some strategic social media activity and supported by a social media “champion” within your hotel will get you in the game.

Oh, and we need more research on banana-buying and the Internet.

Those are my thoughts, let me know yours.

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Lobby Wars: Clash of the Titans

A note to F&B Directors:

For years I’ve wondered about the Clash. No, not the legendary punk group from London. I mean, I’ve wondered about them too but that isn’t germane to today’s topic. I’m talking about hotel Titans: the General Manager and the F&B Director. From my F&B point of view, it’s quite simple: the Lobby is the entry point to the hotel, often the only entry point. Therefore it should both inform the incoming guest and excite them. And encourage them to spend money. 

By “excite them” I mean “drive them to the F&B outlets”. With respect, “try our new (pick a scent) amenity toiletries” may not excite the guest. On the other hand, for example, a description and picture of something like the remarkable Beet Berry Pop I enjoyed at the even more remarkable Holeman & Finch Public House last weekend would, let’s just say, pique my interest (cazadores blanco, la muse verte absinthe, beet berry soda + fresh lime juice).

So what is the clash? Let me illustrate with my own story: yes, I am a veteran of Lobby Wars, 1988. I was a Food & Beverage Director, and we had a bar that spilled out into the lobby, or came close to doing so. I wanted to put a small $2 chef-served buffet in the lobby to attract passers by, as the lobby was a walk-through for many office workers in the connected office building. The Titan GM, a great manager and even greater person, said no. It would wreak havoc with the lobby (which of course was my intent: mix things up with a little chaos, generate excitement). A short time after he said “no”, guess who went to Europe for two weeks? Cutting to the chase: we erected a buffet, put up a sign, and when the GM came back there was a line of 25 patrons going through the $2 buffet, bar sales were up 38% and I had added seating in the bar as we were now at overflow. After he fired me (this happened more than once) we compromised on a location at the “edge” of the lobby and I know that the promotion was going strong a decade later.

So, are GM’s too touchy about their lobbies? Do they not “get it”? If only our business challenges could be met with such easy answers. No, GM’s are not the problem, their focus is and should be the “big picture”. But there IS a conflict. I think a designer’s and GM’s perspective is that a lobby must first and foremost drive the hotel’s image (and indirectly ADR). Whether the desired impression is one of “elegance” or “class” or “professionalism” or “at your service”…that impression may not be one of excitement.

Over in F&B however, excitement is the name of the game. Especially where bars are concerned. We (and by this I mean “you”) work hard to create an environment that fosters  a certain feeling – maybe fun or  mystery or adventure or curiosity? A nicely done poster in the lobby might help convey this feeling. But I recommend doing something that will GRAB the guest’s attention.. Can this be done without a clash? Is a clash really a bad thing?

If you would like to create an attention-getting promotion, think outside of the box (poster). Project a movie of your bar scene on the lobby floor (or wall or ceiling). B&W works fine. Spray water-color stenciled images (foot prints?) on the lobby floor, that lead to the bar (check out: www.gogorillamedia.com). Get a brightly colored light-rope and string it from a point in the lobby (“start here”) to the bar (run it along the ceiling, or along the walls, etc. – and don’t go in a perfectly straight line).

Finally, my all time favorite combines wayfinding, humor and mystery. If you’re old enough to remember Burma Shave you should be fishing, not reading this. Regardless, construct a small humorous story, put a piece of the story on each of several signs, and let the signs lead your guests where they want to go. Change the signs/story often. Try a 4-day rotation. Like this. You travel too much | You work too hard | When is it time? | To let down your guard? | (name of lounge) | One hour, two hours, | Even three | Happy they are | Come at 5 and see! | (name of lounge) See also:  www.burma-shave.org.

By the way: you might want to wait for the GM to go on vacation.

Those are my thoughts, let me know yours.

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How to Sell Less Wine

You’ve managed wine sales and service in restaurants and/or hotels for much of your career. You’ve been training servers, attending wine tastings, meeting with wine purveyors and wine makers, visiting vineyards and reading Wine Spectator for years. Decades, maybe.

And you’ve been writing, designing wine lists.  Creating lists for menus. Only now do you realize, wine list elements you’ve relied upon for years are, well, ineffective. Thanks to Sybil S. Yang and Michael Lynn, Ph.D., and The Center for Hospitality Research at Cornell University we now understand which wine list attributes correlate to increases in wine sales. In their breakthrough finding, “Wine List Characteristics Associated with Greater Wine Sales”  [Cornell Hospitality Report, Vol. 9, No. 11, July 2009], Yang & Lynn detail how they meticulously studied the wine lists and wine sales of 270 restaurants spanning several major markets.

Reading this is easily an “Everything You Know is Wrong” moment (thank you, Firesign Theatre). Here are some examples.

  • There is no correlation between wine sales and the number of wines on a wine list, in fine dining.
  • There is no correlation between greater wine sales and the presence of Champagnes or sparkling wines, dessert wines, wines by the glass, or tasting flights on the wine list
  •  One may reasonably infer from the data that casual theme restaurants benefit from a greater selection of lower priced wines, however this is not so in fine dining, where increasing the selection of lower priced wines does not result in additional sales.
  • There is evidence that a wider range of prices on a wine list (or a more narrow range), whether casual or fine dining, has no effect on sales.
  • Wine list design: only two attributes were found to correlate to higher wine sales: placing the list on the menu (instead of a separate book), and not using the dollar sign ($).
  • Fan of “progressive” categorization? Think again: “In addition (and counter to conventional wisdom), wine lists that used wine style as an organizational heading were associated with lower wine sales.” (Hedge: the authors suggest, well maybe it’s just about the type of restaurants that use this list…)
  • Do recognizable wine brands matter? Maybe. This tactic can’t hurt, the authors data shows, and “more frequent mentions of some brands were associated with greater wine sales”. You have to experiment.
  • Finally, you don’t have to offload those special selections: there is a positive correlation between sales and having a “reserve” section on the wine list.

The report can be downloaded on line – register and get it. Or send me a note, I’ll happily forward the PDF to you.

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