Tribecca Designs had an opportunity to ask Restaurateur and Business Consultant Shaun R. Smith about his restaurant’s experience with restaurant week. Shaun is a founding partner of Crema Restaurante, the #1 rated gourmet Mexican restaurant in New York City and also is the founder of Leadas Business Advisors, a consultancy devoted improving business processes for small and medium businesses.
Celebrating its 20th year anniversary this month, we hope to learn about how a restaurant can best participate NYC Restaurant Week.
Q1: Do you think that NYC’s Restaurant week is a good vehicle for
sales and promotion for all restaurants?
Yes – although I think the recent moves to “expand” Restaurant Week have weakened it instead of strengthening it. Originally, Restaurant Week was actually a week – and it was an event. It created buzz. Patrons came in from outside the city. Friends got together to enjoy some of the city’s greatest restaurants at a great “sampler” rate. Then it was 2 weeks officially. Now it’s a full month. This is diluting the potential power of this marketing event. Some restaurants have even started incorporating year round cheap ($35 is the dinner restaurant week prix-fixe menu) 3-course dinner options. This is leading to a decrease in the excitement and interest in Restaurant Week and turning it into business as usual.
Q2: How do you choose the appropriate menu for Restaurant week?
Different restaurants have different strategies for choosing a restaurant week menu. At Crema, my management team, my partner Chef Julieta Ballesteros, and I want to create a WOW experience for our regular customers and also for new customers who might be encountering Crema for the first time. Therefore we create a unique menu that is only found during this event (at least for the first two weeks). Since we’re paying to participate in Restaurant Week with the intention of meeting new customers, we want them to fall in love with Crema.
I have, however, as a customer, visited other restaurants that seem to have a different strategy. I was at one restaurant where their restaurant week menu was all items from the regular menu – that you could purchase a la carte CHEAPER than the restaurant week deal. Seeing this just made me feel like they were trying to cheat me, and I discourage anyone from visiting this restaurant. Some restaurants also only reserve a very small number of tables for RW patrons. They want the publicity without actually having to serve the customers this special meal. Finally, I have visited restaurants that seem to put their cheapest and worst items on the RW menu. I suppose they are trying to manage their costs, but again, instead of winning a new customer, it creates ill-will and negative word of mouth.
Q3: How did you evaluate the effectiveness of Restaurant week for your restaurant?
To evaluate the effectiveness of RW, we look at our weekly sales during that period compared with the weeks before and after RW. We also examine our food and labor costs during that period compared with non-RW periods to see how much more it is costing us to deliver this menu versus our regular menu. Finally, we watch our average check to see if people are spending more or less during RW than other weeks.
Q4: What advice would you give to restaurants who are looking to
participate in the future?
It is a great opportunity if you can get into the program. However, like any marketing effort where you’re going to invest in attracting new customers – don’t try to make all your money in the first visit. Concentrate on creating a memorable experience for each person who visits your establishment so that they become raving fans.
Are you a restauranteur that has had a similar experience? Did you find value in your restaurant week promotion? We look forward to hearing about your experience.
A huge thank you to Shaun for his expertise and time!
About Our Expert Q&A Series: Tribecca Designs invites experts we admire to provide insight into topics relevant to the hospitality and corporate worlds. If you are an expert and have something interesting to share with our audience please contact us at info@tribeccadesigns.com