Holiday reservations could signal restaurant upturn

Izzy Kharasch is hoping the phones start ringing. President of Hospitality Works Inc., a Deerfield-based restaurant consultancy, Kharasch thinks ringing phones could mean an increase in holiday reservations - a sign the restaurant industry will see better days.

"The holidays are where things really fell apart last year," he recalls.

In that sense, there may be some good news. Scott MacKay, director of food and beverage services at Arrowhead Golf Club, a Wheaton Park District facility, reports "phones are ringing off the hook" with Thanksgiving dinner reservations.

A full house for the holiday doesn't mean the recession is over, however. For one thing, diners' habits have changed.

At fine dining restaurants, for example, the per-person tab now is more often $40 than the $65 it was a year ago, Kharasch says.

"People are spending less. They may share an appetizer and dessert, or buy glasses of wine rather than bottles," he says. "There may be as many customers today as there were last year, but they're spending 10 to 20 percent less."

At Arrowhead, where the top menu price is $20, MacKay notes that people are turning appetizers into meals.

"The burger," he says, "is the new filet."

MacKay, a 10-year restaurant veteran who understands the differences between a golf club restaurant and bar operation that benefits from "something of a captive audience" and a more typical restaurant, notes another interesting change.

"We've seen a lot more business clients in here," MacKay says.

The trick is to keep people coming, even if they spend less. Empty tables don't produce any revenue.

"There's still disposable income," MacKay says. "There are only so many days you can eat at home. We want to stay in the rotation, be one of the four or five restaurants you go to."

One way to keep people coming: "Keep key items so that customers see their favorites, especially on Thursday, Friday and Saturday," Kharasch says.

Another: Discount coupons - although not for MacKay. "I don't know how you'll ever walk people back up the ladder" once they get used to coupons, he says.

Restaurant marketer Jackie Camacho-Ruiz, make-it-happen director at JJR Marketing Consultants, LLC, Aurora, suggests adding such non-conventional marketing tools as social media and text messaging to bring diners in the door.

Then, she says, "Treat customers well once they come in. Make sure everyone from the hostess to the busboy is on the same page."

MacKay resorts to basics, a positive experience from the moment diners walk in the door to the moment they leave. "Customers are like apostles," he says. "They spread the good word - and the bad."

To assure more good words, MacKay focuses on staff training intended to assure "a consistent experience from the back of the house to the front."

• Questions, comments to Jim Kendall, JKendall@121MarketingResources.com. © 2009 121 Marketing Resources, Inc.