By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com)
Pre-pandemic, the operative model for many hotels was to
generate core earnings through the rooms division with more-or-less break even
or slightly positive support from one’s F&B offerings.
With the onsite dining experience heavily compromised by
COVID-induced restrictions to seating density and hence cover volume – as well
as less-than-motivating amenities like single-use menus, this is a disastrous
combination for keeping any outlet afloat, much less one in a hotel whose
primary purpose is servicing in-house guests.
In a world that’s crazy about COVID, one other fascinating
advent is the ghost kitchen – a restaurant purpose-built for online delivery
apps with no physical seating or store frontage whatsoever. They can be setup
practically anywhere close to the target market and kept lean by excluding all
costs associated with waiting tables such as dishware, server wages, ambiance
elements or high rental fees for a prime location on a main thoroughfare.
Without these overheads, ghost kitchens can seriously
undercut a hotel restaurant on menu pricing. Plus, many regular eateries in
your neighborhood have likely already converted their spaces into this type of
model, further driving local competition.
Given the grand shift in eating habits that is currently
happening, hotel guests may well prefer familiar ordering apps (Uber Eats,
DoorDash, SkipTheDishes or others) for in-room meal delivery over a quick
saunter downstairs to your restaurant. Then as per the title of this article,
how do you differentiate your dining outlet through these mobile channels so
that customers choose you over any other ghost kitchen? Moreover, how do you
build an emotionally impactful experience without in-person contact in order to
maintain loyalty and prevent any less-than-stellar online reviews from cropping
up?
In many ways, hotels have already faced this situation when
we started putting rooms inventory on the OTAs. These have historically been
great channels for maximizing property visibility at the expense of brand
dilution and operating income. Namely, when your hotel is solely represented in
any travel query by a tiny website letterbox of basic details amidst a sea of
other letterboxes for your competitors, there’s seldom any emotional resonance,
and customers end up gravitating towards price and location while not
necessarily dwelling on your other USPs.
Prior to a full curtailing of physical distancing rules at
restaurants so that you can resume pre-pandemic levels of turning tables, much
like how we acclimatized to the OTAs, the answer to our present dilemma is to
holistically embrace technology. You simply have no other option.
As a start, you need a staff member completely devoted to
making your restaurant visible with consistent information wherever guests or
locals are searching. This individual must also curate your content so that
customers can scan every possible detail without resorting to SMS or a phone
call.
Think multiple pictures of each dish as it will arrive at the room and
noting all ingredients with specific attention to allergens.
Rigid monitoring of review sites must also take place to
ensure any mistakes are immediately remedied. To this end, you may also want to
enhance your own channels to send out private feedback requests, aiding in
recovery situations before any objections reach the public.
Next, you have to generate demand. With everything shifted
to digital, this requires a tactful mix of paid search, social advertising,
in-app promotions, discounted beverage or family-size bundles and personal
offers disseminated via prearrival emails or from within your own branded app.
Importantly, by also showing how inviting and safe your onsite dining experience
is, these channels can act as a trojan horse for getting more foot traffic to
your restaurant.
Above all, while technology is instrumental to facilitate
this new way of consumption, there’s only so much you can gild a lily, meaning
that the food must ultimately speak for itself. The challenge your chefs face
is to deliver a product expressly for takeout or delivery that carries the same
flavor and presentation as if it were served tableside.
Especially in the face of these new ghost kitchen
competitors, where the cuisine is specifically designed to survive the various
nuisances of delivery without serious cost overruns, this requires a holistic
rethink of ingredients used as well as packaging and all the other cute, little
accessories you add to round out each order. All this won’t be easy, but you
can make your restaurant profitable if you act prudently.
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| Larry Mogelonsky |
About Larry Mogelsonsky
One of the world’s most published writers in hospitality, Larry Mogelonsky is the principal of Hotel Mogel Consulting Limited, a Toronto-based consulting practice. His experience encompasses hotel properties around the world, both branded and independent, and ranging from luxury and boutique to select-service. Larry is also on several boards for companies focused on hotel technology. His work includes five books “Are You an Ostrich or a Llama?” (2012), “Llamas Rule” (2013), “Hotel Llama” (2015), “The Llama is Inn” (2017) and “The Hotel Mogel” (2018). You can reach Larry at larry@hotelmogel.com to discuss hotel business challenges or to book speaking engagements.
One of the world’s most published writers in hospitality, Larry Mogelonsky is the principal of Hotel Mogel Consulting Limited, a Toronto-based consulting practice. His experience encompasses hotel properties around the world, both branded and independent, and ranging from luxury and boutique to select-service. Larry is also on several boards for companies focused on hotel technology. His work includes five books “Are You an Ostrich or a Llama?” (2012), “Llamas Rule” (2013), “Hotel Llama” (2015), “The Llama is Inn” (2017) and “The Hotel Mogel” (2018). You can reach Larry at larry@hotelmogel.com to discuss hotel business challenges or to book speaking engagements.
Media Contact:
Larry Mogelonsky
Email: larry@hotelmogel.com
Website: http://hotelmogel.com/
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