News Feature | August 10, 2015

Restaurant And Hospitality News – August 10, 2015

Christine Kern

By Christine Kern, contributing writer

McDonalds

In news this week, TravelClick is offering a free webinar on Q2 2014 Global Hotel Industry Performance, McDonald’s cuts another 225 corporate jobs as part of its turnaround plan, Chili’s experiences a drop in same-store sales as it rolls out its new loyalty program, and a new TripAdvisor app from EnPlug helps hotels and restaurants stream customer reviews in their physical spaces.

TravelClick Hosts Free Webinar on Q2 2014 Global Hotel Industry Performance

TravelClick, a global provider of innovative cloud-based solutions that help hotels boost revenue, has announced that it will be offering three complimentary webinars on August 20 and 21 that will present Q2 2014 performance results and trends.  The presentations by John Hach, Senior Vice President, Global Product Management, and Dr. Edwin Torres, professor at the University of Central Florida Rosen College of Hospitality Management, and will reveal findings on a new research study dealing with incremental revenue growth through social media. Included in the webinar will be a review of current and emerging market trends, highlights of Q2 2014 hotel performance results, and a discussion of future industry trends. Three sessions will be offered to accommodate a range of time zones, and you can register by clicking the links below.

McDonald’s Cuts 225 Corporate Jobs In Turnaround Plan

McDonald’s has followed up on the turnaround plan presented by CEO Steve Easterbrook in May, which is geared to trimming $300 million in general and administrative expenses by 2017.  It has announced  layoffs of 135 individuals from the corporate headquarters, in addition to 90 overseas jobs as it “removes organizational layers” in Europe in Asia, according to My MediaCom. The restructuring is an attempt to reverse a long sales slump by the fast food giant. McDonald’s spokeswoman Heidi Barker Sa Shekhem explained, “WE do not take decisions that impact jobs lightly, but we committed in May to implement meaningful changes to reset our business, remove layers and find cost efficiencies, and we are acting with a sense of urgency on that commitment.”

Loyalty Plan Roll-out Partially Responsible For Drop In Chili’s 4Q Sales

According to the Nation’s Restaurant News, same-store sales at Chili’s Grill & Bar company-operated restaurants dropped 0.8 percent in the company’s fiscal fourth quarter, which ended June 24, and it seems that the roll-out of the new Chili’s loyalty program may be partially responsible.  Specifically, CEO Wyman Roberts explained that during Q4, staff were concentrating on getting patrons signed up for the new My Chili’s Rewards program, rather than promoting add-on items like appetizers or desserts, resulting in the decline of the average check.  Roberts noted, “The softness is temporary.  The strength of the Chili’s brand remains intact.”  He explained that same-store sales at franchisees that did not implement the loyalty program actually saw same-store sales increase 2.1 percent during the same period, while system-wide same-store sales rose 0.2 percent.  And executives are optimistic about the results of the loyalty program, which Chili’s is integrating into its Ziosk tabletop tablets.  To date, nearly 3 million guests have enrolled in the rewards program, and executives anticipate an increase of 1.5 to 2 percent in same-store sales in fiscal year 2016.

EnPlug Taps Into TripAdvisor To Help Hotels/Restaurants Stream Customer Reviews

Enplug, digital signage solutions provider has announced that it has integrated with TripAdvisor to allow restaurants and hotels to stream their latest TripAdvisor reviews to any display in their venue.  It also allows users to curate content.  The TripAdvisor app allows users to display reviews and traveler ratings on any customer-facing displays, helping businesses to leverage online reviews and ratings to establish legitimacy and attract new customers. The app also allows business to issue a request for customer reviews. The TripAdvisor app joins Enplug’s suite of apps for customer interaction via social networks, including Yelp, Twitter, Instagram, Facebook and Swarm .  “Enplug has been a huge part of our social strategy. When customers see others’ social posts in the display, it entices them to get involved,” explained John Sungkamee, owner of Emporium Thai in Los Angeles.  “Customers are heavily using these social networks to make spending decisions and the new TripAdvisor app gives us yet another platform to further engage our customers and expand our reach online from inside our restaurant.”