Restaurant And Hospitality News – September 19, 2016
By Christine Kern, contributing writer
In news this week, NRA Chief Economist Bruce Grindy says a restaurant recession is unlikely; Dig Inn snags former Panera Exec as COO; and Best Western leverages virtual reality to help enhance the customer journey.
Restaurant Recession Is Unlikely, NRA Chief Economist Says.
National Restaurant Association chief economist Bruce Grindy says that all of the hype about a potential restaurant recession is unwarranted. While same-store sales have seen a disturbing downturn since March, Grindy says that weak sales and traffic don’t “paint a picture of the health of the overall restaurant industry.” In fact, he says, overall restaurant sales have grown 6 percent, and sales have risen 3.3 percent when adjusted for menu price inflation. And these results suggest that the restaurant industry is seeing continued expansion after the recession.
Grindy also notes that the labor market is healthy, adding more than a half a million jobs over the past two months, which have helped boost the median household income by 5.2 percent last year. In addition, Grindy says, consumers want to eat out, with 45 percent of adults in a recent survey saying they are not eating out at restaurants as often as they would like, and 46 percent not getting takeout or delivery as often as they want.
Former Panera Exec Becomes COO For Upstart Dig Inn
Former Panera head of operations Irene Cook has been named COO of the farm-to-counter fast casual Dig Inn, according to QSR Magazine. Cook will focus on talent recruitment and on implementing a restaurant opening process for the brand as it expands. Dig Inn currently has 11 restaurants in New York and another in Boston, with five more under development. The chain also would like to expand into Chicago, Philadelphia, and Washington, D.C.
“That’s pretty big growth for a small company, so how do we put together processes immediately and start to implement those, so that it becomes a standardized process?” Cook asked. She sets that as one of her top tasks in her new role. “I just think this is a great opportunity to be on the ground floor creating the future, and do something with a concept that I truly believe in.”
Cook also will be leading Dig Inn’s culinary education program, which will be a natural part of the company’s external development process. She explained, “We’re going to literally change from hiring cooks to hiring future chefs.”
The main attraction of the brand is its holistic approach to food, and Cook says, “It’s so amazing to see the lines of customers and everybody talking in the line about how good the food is. We’re intending to change the way people eat, beginning with food that’s wholesome, that’s locally grown, that’s seasonal and fresh.”
Best Western Launches Virtual Reality Tour Program For Guests
Best Western Hotels and Resorts have launched a virtual reality (VR) experience that immerses guests in the company’s North American hotels. The program gives guests a look at nearly 2,000 North American properties, reinventing how guests view hotels and choose where to stay. The VR tours offer guided 3D tours of the hotels, including narration and music, and each video ranges from 50 seconds to 2 minutes in length. Best Western is the first major company of its size and scale to leverage VR technology to enhance the customer journey.
“Before even stepping foot on the property, guests will be able to view guest rooms, lobbies, and amenities, as if they were there in person,” said Dorothy Dowling, Chief Marketing Officer and Senior Vice President of Best Western Hotels & Resorts. “Best Western is a first-mover in this effort, and we know our guests and our hotels will benefit from this game-changing technology.”
The VR tours are made possible thanks to Google Street View’s help gathering 1.7 million photos of the nearly 2,000 North American BW locations. The videos are available on Best Western’s YouTube channel, Bestwesterntv. BWVRE is part of Best Western’s brand refresh, highlighting the hotel chain’s decade of success.