Save our restaurants and eateries; the only future for dining out
Each week, we’ll distill industry and expert intel on a particular topic.
The hospitality industry has been one of the hardest hit by the effects of COVID-19 — particularly the restaurant industry. Mandatory closures forced many eateries and pubs to close, with some having to pivot their offering to focus on delivery and takeout in a fight to keep their business alive. Expected to lose up to $240 billion by the end of 2020 there is no doubt that this industry is in trouble, with 25% of restaurants expected to close permanently.
As lockdown measures start to release, at Fluxx we’ve been doing some thinking about the future of dining out and while it’s looking bleak and rather unromantic, we’ve come up with some ideas on how restaurants can survive.
Let’s paint the picture. Restaurants are starting to open, people are allowed to socialise in small groups at a safe distance. People are itching to go out, to be free, to socialise and eat out but there’s also a sense of nervousness — the virus is still there, how can we go out, be normal and have a relaxed, maybe even a romantic meal and feel safe doing so? On the flip side; owners, chefs, wait and bar staff want to get back to work, protect their livelihood and do so safely. It’s a joint responsibility. Here’s what we can do to save our restaurants and be respectful customers:
Romance isn’t dead. It’s just different.
Health and safety of customers is paramount. Not exactly a romantic start. As good consumers we need to change our mindset and be open to this. Things aren’t going to be the same, expect change and embrace the new normal. That said, going out will still need to feel special, to entice people out of their own kitchens and living rooms as takeaways and fakeaways have become the norm. Restaurants will need to create a new experience and not be the same old experience — with a social distance twist. For a start, people are the key ingredient to delivering this; customers need to be open minded and restaurants need the best people. As people are so critical in this service-led industry, brands focused on recruiting for the right behaviours will be out in front.
Reservations essential
To avoid queues and overcrowding, occupancy restrictions will mean restaurants can only serve a fraction of the numbers they did previously. Restaurants will need to embrace reservation platforms and virtual waitlists to manage reduced capacities and maximise revenue on each table.
Time restrictions will apply
Reduced capacity and pressure to turn tables quickly will mean restaurants will have to add time limits on reservations. It will have to be more planful to allow sanitising of tables before the next customers. With 38% of people saying they are worried about touching things that others have touched, restaurants will need to factor this into the fabric of service.
A natural service that’s just contactless
In the new world, minimal contact is the norm. Restaurants will need to protect their staff and customers by making sure any contact is minimal and necessary. To reduce interactions with staff to almost zero, restaurants can use QR codes on the table to let customers view the full menu, place an order (where they add an allergy note for the chef), and pay for the meal all on their phone. The entire service offered “at the click of a button”, without interacting with a server or holding a physical menu. This will work with more casual dining restaurants; for more of your 4 and 5 star joints they might want to introduce a set menu service that reduces some of the contact.
Redesign your space
Restaurants will need an array of creative solutions to ensure separation between diners; from shower curtains to plexiglass shields. One Michelin star restaurant in Washington has introduced theatrical mannequins wearing vintage 1940s-style outfits in a bid to make the social-distanced dining room feel less empty. Where possible we’d recommend restaurants expand their outside areas, or take advantage of space on the street in order to meet the demand for ‘distanced’ tables. Restaurants could introduce pods or individual dining areas; a restaurant in Amsterdam has installed glass greenhouses, a private dining experience for each party of customers.
It may not just be about re-designing the obvious space, restaurants are where we fill our very human craving to gather, and in the new world, they may look at fulfilling other get-together-needs like small business meetings where the office is full or out of bounds. We could also see multiple restaurants collaborating to co-fund bigger spaces and joint ventures to create a safe, and one off mass organised gastronomic experience.
Add ons to your usual service
As restaurants seek to adapt to this change in consumer behaviour they will need to develop new business models that complement eating at home. We recommend looking at add ons like selling produce from suppliers directly to consumers from fresh fish, homemade pastry and pasta to deli items that would usually make up elements of a meal. This is a way to adapt and develop solutions that work for businesses and their communities, finding their feet again in this new dining world. We suggest looking at offering an add on private dining experience where you bring the restaurant experience to people’s homes. We’ve also seen an explosion of live cooking and baking classes online as people are stuck at home, and this could be another service restaurants offer as part of their armoury of customer propositions. There’s no reason why restaurants can’t wade into this territory to drive interest; create an online community of fans, preparing and cooking their favourite dishes in the new ‘Chef at Home’ monthly subscription market.
Responsible consumers; partnership approach
Social distancing will mean fewer customers and lower takings — with the same overheads. In an industry that wasn’t exactly flourishing before the pandemic, this spells disaster. As consumers, we can’t have our cake and eat it. Consumer habits and responsibilities will need to change to make this work. Accepting change, working with businesses, eating out less but paying more will all be part of the new partnership.
Let customers know what to expect in advance
If everyone knows how to get the most out of their experience, lunch or dinner will feel a lot smoother and safety won’t compromise experience.
If you’d like to know more about how we could help — get in touch.
Natalia Walters is a consultant at Fluxx. Stay tuned with all that’s Fluxx by following us on LinkedIn or signing up for our WTF Newsletter.
Are you curious as to how Fluxx has helped companies such as Condé Nast, Mars, Thames Water, HSBC, Addison Lee Group and many more? Learn the secrets for sustained, repeatable innovation models, from expert practitioners. Get in touch now Natalia.Walters@Fluxx.uk.com. Equally, if you have any thoughts on the piece above, I’d love to hear from you!
