Wisconsin Restaurateur - First Quarter 2012 by Wisconsin Restaurant Association

The Magazine of the Wisconsin Restaurant Association

Wisconsin Restaurant Expo March 12–14 The State’s Largest Foodservice Event

Technology to Connect with Customers Building Genuine Relationships Face-toFace and Online

Info to Go Q & A Sneak Peek at Expo Products

First Quarter 2012

www.wirestaurant.org

Vol 79 • No 1

Local. Social. Frugal. Personal.

sue! – s i s i th this Enjoiatyion memberscgheqtuarter Assoc resource ea valuable

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Restaurateur • First Quarter 12

With the Durbin Amendment taking effect you’ll see more money in your bank account...

As long as you process with Heartland. Your Durbin Dollars are Waiting for You On October 1, important legislation that reduces the amount you pay for processing debit card transactions went into effect. The Durbin Amendment imposed a cap on debit interchange — or transaction fees — and every cent of savings you see adds up to valuable Durbin Dollars you can put to use for your business. Here’s how it breaks down

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Get What’s Coming to You! This is exciting news for businesses like yours that accept debit card payments. What you may not realize is that before your Durbin Dollars can get to you, they go through your card processor — which may not be passing along these savings to your business. Without exception, Heartland Payment Systems is sending every single dollar mandated in the Durbin legislation back to its merchants — just as intended. In fact, based on our calculations, the average Heartland merchant will see an additional $1,200 annually in Durbin Dollars. Don’t hesitate to ask your current processor what they are doing with your savings.

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First Quarter 12 • Wisconsin

Restaurateur

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IN MADISON W i s cOPENING onsin RSOON estaura t eTHE ur • F i r s t Q u a r t AREA er 12

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10 Info to Go:

First Quarter 2012

Vol 79 • No 1

Answers from the WRA Hotline Team

• Who can be included in a tip pool? • What are the current teen labor regulations? • What do I need to know about overtime? • Do I have to use only commercial equipment? And more…

. Social. Frugal. Personal. 16 LRocal estaurant Trends 2012 22 Wyourisconsin Restaurant Expo: guide for what to see and do 24 Technology to connect with customers genuine relationships 29 Bfaceuilding -to-face and online of products you’ll discover at the 38 PWreview isconsin Restaurant Expo Co-editors Tracy Kosbau & Kate Reiser Art Director Gary Cox

4 A La Carte 6 Chairman’s Column 8 President and CEO’s Column 43 WRBN 44 The Back Burner Visit us online at www.wirestaurant.org

Advertising Director Ryan Pettersen Managing Editor Gail Parr Circulation Director Dennis Hartman

Layout and Electronic Imaging Shane Sanders Printing W.D. Hoard & Sons Printing, Fort Atkinson, WI

The Wisconsin Restaurateur is the official publication of the Wisconsin Restaurant Association. Published quarterly by the Wisconsin Restaurant Association with editorial and executive offices at 2801 Fish Hatchery Rd., Madison, WI 53713. 800/589-3211. Postmaster: send address changes to Wisconsin Restaurateur, 2801 Fish Hatchery Rd., Madison, WI 53713. Periodicals postage paid at Madison, WI and additional offices. Publication number (USPS 688-540) ISSN 0274-7472. Subscriptions: $17.50 annually; $8.00 per copy. Non-members $32.00 annually.

First Quarter 12 • Wisconsin

Scan the code to access past WR feature articles.

Restaurateur

A La Carte A S a v o r y S a m p l i n g o f R e s t a u r a n t N e w s a n d Tr e n d s

BeTween Meals

weens and teens can play an important role in influencing the decision-making of their friends and families in their dining choices. Research firm Technomic and Brand Marketing Agency C3 found that 58 percent of teens and 54 percent of tweens report that their family decides together which full-service restaurant to visit. “Today’s tweens and teens are a diverse population, even within demographic and age segments,” says Ian Davidson, senior manager, Brand Insights at C3. “They can often be difficult for marketers to understand and engage. Brands that are successful with tweens and teens will need to demonstrate a tiered strategy to reach this powerful group of consumers.” Other interesting findings from Technomic and C3 about tweens and teens: • Teens may be suffering from fast-food or brand fatigue; new and exciting foodservice concepts are most likely to appeal to them. • Because the attitudes and behaviors of tweens and teens reflect specific life stages, foodservice operators and suppliers may find success by tailoring menu offerings and marketing strategies to fit these stages. As an example, the majority of tweens report that they wish restaurants would provide a separate menu for kids their age.

A La Carte

WRBN

Roundtable

Waking up to Breakfast

Increased consumer demand for breakfast away from home continues into 2012. According to a study by research and consulting firm Technomic, breakfast patronage is up at foodservice locations, particularly fast-food restaurants, where 46 percent of consumers now occasionally purchase weekday breakfasts compared to just 33 percent in 2009. “Breakfast is a very dynamic segment in which consumers are looking for healthier options and place a premium on convenience,” says Technomic

Hotline Q&A 4

Wisconsin

executive vice president Darren Tristano. “Our busy lives and weekly routines drive the need for fast, convenient options in the morning.” The breakfast research study also found that consumers generally place greater importance on convenience and speed of service than price for breakfast occasions, indicating that consumers are willing to pay more for a morning meal that saves time and fits their daily routine. About 75 percent of consumers surveyed agree that a convenient location is important when purchasing a breakfast item from a restaurant or other foodservice location. Coffee is playing an increasingly important role in consumers’ breakfast purchasing decisions: 33 percent of consumers who drink coffee at breakfast indicate they are loyal to a coffee brand or restaurant that serves their preferred coffee, up from just 25 percent of consumers who said the same in 2009.

Obsession with the Supper Club

While supper clubs have always held a certain allure, there has been a great deal of media interest in the subject of the supper club as of late. The media and the public seem to be intrigued by the question “what is the definition of a supper club?” and “what is the unique appeal that has stood the test of time?” Last year, several different Wisconsin newspapers delved into the history and character of supper clubs and even The New York Times ran an article on Wisconsin supper clubs in November, 2011. A Madison television news program featured segments on several supper clubs that were voted “best in the area” by viewers, and a television documentary called “Wisconsin Supper Clubs: An Old Fashioned Experience” aired early last year on Wisconsin Public Television—the program has now aired on public television stations in over ten other states. Capital Brewery latched onto this trend and sells a beer called Supper Club. Will this renewed interest drive diners in droves to supper clubs in Wisconsin? Only time will tell. But the extra publicity certainly can’t hurt. WR

Restaurateur • First Quarter 12

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W R A B o ar d Directors

o f

Executive Committee

Chairman

Making a profit: It takes a team by Mary Rowley, fmp Goose Blind, Green Lake

ike me, 27 years ago, the majority of new restaurant owners have very limited knowledge of what it takes to run a restaurant. The glamour of being a restaurateur can fade fast, and that is why we need an association like the WRA. With the WRA on your side, you have immediate opportunities to learn and access the tools you need to run your business. I experienced firsthand, in my start-up years, how seat-of-the-pants management will hurt you. Inability or unwillingness to establish operational standards makes your business more chaotic to run and leaves your staff in the dark about the expectations of their jobs. Many things I learned through WRA have helped me to organize my operations, define expectations and turn my staff into a professional team. One of my sayings to my management team is “inspect what you expect.” I want my staff to understand that making a profit is what business is all about! Profits support both my family and theirs. It takes profitable small businesses to maintain the economic health of our communities. Over the years, I have learned (sometimes the hard way) that to have a profitable business it is necessary to keep your management in the loop, create a cost-conscious culture and stay on top of your P&Ls. With rising food prices and customers with less money in their pockets, I need a well-trained, well-informed staff working with me to fight that constant battle of the bulge of operating costs. Luckily, after 27 years, and with the help of the WRA, I am a success story and still around to talk about my mistakes. The WRA has kept me informed of new and convenient ways of doing business and given me access to time—and trouble—saving tools. These tools and strategies have allowed me to spend more time focused on running my business. If you have not accessed the great information and tools on the “Members Only” section of the WRA website, you should check it out for printable forms, documents and up-to-date information on laws and regulations designed specifically for Wisconsin restaurants. Alternatively, just call the experts on the WRA Hotline team. As restaurateurs, we can never rest on our laurels or we will be left in the dust. That is one of the reasons I have always planned my annual trip to the Wisconsin Restaurant Expo to make the most of all the new ideas, great seminars and networking opportunities available there. Yes, actively seeking new and better approaches in your business takes more work, but at the same time, you are reinventing your own work environment and yourself. Running a restaurant will always be challenging, but you will never get bored if you re-energize your business with new ideas. The Expo is a great place to get your management team involved in helping to maintain or grow that profit margin. As I conclude my year as WRA chairman of the board, I feel more than ever that membership in the WRA has given me much more than I have given back. I thank my family, friends and team at the Goose Blind for all their support this past year and always through the years. I also want to thank the WRA Board of Directors for the time they unselfishly give to support our industry. I am happy to say that my goal of growing our association membership by spreading the word of its real business VALUE to Wisconsin restaurants has gotten off to a successful start. Thank you to my Member Services Committee chairman, Terry Bolland, our WRA professional staff and the dedicated Board of Directors who all made this year memorable. I welcome our incoming chairman of the board, Lynn McDonough, and look forward to his strong leadership, which I am confident will lead to the continued growth of our great organization. God’s Blessings and Bon Appétit,

Wisconsin

Vice Chairman of the Board/Chairman Elect Lynn McDonough Connell’s II at the Airport, Eau Claire Treasurer Charlie Gray Culver’s Frozen Custard, Rothschild President & CEO Ed Lump, fmp Wisconsin Restaurant Association, Madison Immediate Past Chairman Thomas E. Saxe Saxe’s Dining & Banquets, Delafield Ada Lara Thimke Lara’s Tortilla Flats, Oshkosh Steve Schilling ZaZING!, North Prairie Chico Pope Buckhorn Supper Club, Milton The board of directors is comprised of 39 restaurant operators from around the state and industry supplier representatives. The board directs the WRA staff and sets the policies of the Association.

W R A E d u c at i o n F o u n d a t i o n B o ar d of Directors Executive Committee Chairman of the Board Steve Davis, FMP Ardy & Ed’s Drive-In, Oshkosh Chairman Elect Larry Deutsch The Vollrath Company, Stoughton Treasurer Michael K. Tsuchihashi MMM Concepts, Milwaukee Secretary/Executive Officer Ed Lump, fmp Wisconsin Restaurant Association, Madison Immediate Past Chairman Keith Blew Talula, Madison WRA Chairman of the Board Mary Rowley, fmp Goose Blind, Green Lake R.C. Schroeder, Jr. Big Tomatoes, Green Bay Rhoda Steffel Mark's East Side, Appleton The Foundation board of directors is comprised of approximately 30 individuals who are foodservice operators, educators and industry suppliers. The board directs the WRA EF staff and sets the policies of the Foundation.

Visit www.wirestaurant.org for a complete listing of board members.

Mary Rowley, FMP

Chairman of the Board Mary Rowley, fmp Goose Blind, Green Lake

Restaurateur • First Quarter 12

WRA Gives You ACCESS to a Team of EXPERTS You could try to find the answer for yourself, but we make it easy.

There’s no fees, no hassles. Just answers to your questions. “If I didn’t have the restaurant association for my human resources questions, I’d have to hire a human resources attorney which would be incredibly expensive.” Joe Vancik, Owner/Franchise Operator Little Caesars • Madison

“I use the WRA Hotline whenever I have a question. I want to make sure I’m doing everything right, so it really helps to have someone who knows the ins and outs of the issue walk me through it.” Robert Klemm, Owner INdustri Café • Milwaukee

“Being a member gives me the comfort of knowing that WRA resources are available on just about every issue, problem or concern that I may face. And it’s great to have access to a labor law attorney as part of WRA’s team of expert staff.” David Flannery, Owner Apple Holler Restaurant • Sturtevant

Call or email the WRA Hotline Team and get fast, confidential answers. 800.589.3211 F i r s t Q u a r t e• r 1hotline@wirestaurant.org 2 • Wisconsin Restaurateur

Chairman L

President & CEO

The only constant in this economy is change

WRA Board of FMP Directors by Ed Lump, WRA President and CEO

consider myself a student of our industry. My wife and I dine out several times each week in Wisconsin and also travel a fair amount, allowing me to see what’s going on in other parts of the nation. This provides me with the opportunity to talk with restaurant people in every segment of the industry. I also avail myself of the latest trend information supplied by the National Restaurant Association at www.restaurant.org/research All this is helpful because virtually every conversation I have with restaurant owners and managers includes questions like: “What are you hearing about business in this area and around the state?”; “What are others doing to build traffic?”; “What’s new?”; and the ever popular, “How can people keep opening new restaurants?” There is never a right answer because the effect of this economy on business is both local and personal to every restaurant. Nonetheless, there are some things I can say. Overall, restaurants report stable or increased sales/traffic. They also report spotty sales (up one day and down the next) and an increase in banquets, size of parties and corporate sales. Consumer confidence appears to be up somewhat and consumers are willing to spend money on quality-of-life things like dining out. However, they are more demanding and very selective. They want things their way. Customers want value, but value isn’t always measured in price and quantity. Quality, originality (made in-house), a la carte, smaller portions, splitting plates, organic, vegetarian selections, healthy options, calorie counts on the menu and use of local products are just as likely to be a measure of value as price or quantity. The public is also much more aware of food safety and sanitation issues than ever before. It is no longer possible to do business as usual. Change is the watchword of the day. Over the past couple of years, I have seen many restaurants achieve much greater success by embracing this new reality instead of trying to outlast the recession. Bar menus, new menus and remodeling are producing results. Some of the hottest new restaurants are advertising all organic, locally grown and Wisconsin products used in recipes—even behind the bar. Change is also the watchword in marketing. It amazes me that so many restaurant owners do not embrace the use of technology in marketing their product. In a previous article, I mentioned two Ethiopian women who received the NRA American Dream Faces of Diversity Award in 2011. In their acceptance speech they touted the use of “social networking” in their restaurant’s success. I personally know restaurant operators whose first priority every day is to update their Twitter posts and Facebook page. In an ever-changing and very competitive marketplace, it is essential to keep up-to-date information about what’s happening in your restaurant in front of your customer. Operators need to have someone in their operation taking responsibility for monitoring and looking for opportunities with social media. Finally, I want to recommend that a good start to embracing the reality of change would be attending at least one day of the Wisconsin Restaurant Expo, March 12-14. The brand new Customer Building Block has been created to be the center of new up-to-date promotional ideas and easy technology to implement them. New ideas to help restaurateurs seize the opportunities presented by the change surrounding us will dominate the Expo this year. It’s time to go shopping. Don’t just rely on one supplier or the first salesperson in the door. Kick the tires on some new ideas and network with other restaurant operators. Register now at www.everythingfoodservice.org. I hope to see you there.

Wisconsin

o c al

WRA

h a p t e r

r e s i d e n t s

e p r e s e n t a t i v e s

Participating at the local level is a great way to get involved with WRA and network with others in the foodservice industry. Visit www.wirestaurant.org for a comprehensive chapter map and listing (Click on About WRA/Chapter Contacts). Big Four Chapter Bruce Petrie Fox Banquets Rivertyme Catering Appleton (920) 756-3244 Blackhawk Chapter Chico Pope Buckhorn Supper Club Milton (608) 868-2653 Door-Kewaunee Chapter Doris Thorn (area representative) Roadhouse of Downtown Carlsville Sturgeon Bay (920) 743-4966 Eastern Shore Chapter Scott Trempe Bourbon Street Sheboygan (920) 458-1779 Green Bay Chapter Jay Gosser Legends DePere (920) 336-8036 La Crosse Chapter Tina Tryggestad The Cheese Corner La Crosse (608) 790-2912 Lake-To-Lake Chapter Joan Cunningham Schreiner's Restaurant Fond du Lac (920) 922-0590 Madison Chapter John Kavanaugh Esquire Club Madison (608) 249-0193 Milwaukee Chapter Sue Boehler Dunkin Donuts Menomonee Falls (262) 373-1799

Restaurateur • First Quarter 12

Northeast Chapter Amy Shaffer Shaffer Supper Club Crivitz (715) 854-2184 Northwoods Chapter Mike Pitzo (area representative) Polecat & Lace Minocqua (715) 356-3335 St. Croix Chapter Sheena Peterson Valley House Hudson (715) 549-6255 South Central Chapter Todd Baker Eagle Inn of Sauk Prairie Prairie du Sac (608) 643-4516 Southeast Chapter Dick Rudin (area representative) House of Gerhard Kenosha (262) 694-5212 Vacationland Chapter Timothy Tyler Nick’s Family Restaurant Spooner (715) 635-3129 West Wisconsin Chapter Joanne Palzkill Draganetti’s Ristorante Altoona (715) 834-9234 Wisconsin River Valley Chapter Don Thompson Red Mill Supper Club Stevens Point (715) 341-7714

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employee how much they will be required to contribute to the tip pool. For more details on the tip credit, refer to pages 34 and 35 in this magazine.

Q u e s t i o n s a n d A n s w e r s A b o u t R e s t a u r a n t B u s i n e s s f r o m t h e W R A H o t l i n e Te a m C a l l 8 0 0 . 5 8 9 . 3 2 1 1 • Vi s i t w w w. w i r e s t a u r a n t . o r g

by Kate Reiser As 2012 begins, it’s a good time to take stock of your policies and make sure that you are steering clear of the most common pitfalls that face restaurant operators. Resolve to stay on the right side of the law and remember that WRA’s Hotline Team of experts is ready to help answer your questions via phone or email.

At my restaurant everyone on staff contributes to the dining experience that our customers have, so I think we should include everyone in the tip pool. Can I do this?

This is what the U.S. Department of Labor states on their Fact Sheet #15: Tipped Employees under the Fair Labor Standards Act: “The requirement that an employee must retain all tips does not preclude a valid tip pooling or sharing arrangement among employees who customarily and regularly receive tips, such as waiters, waitresses, bellhops, counter personal (who serve customers), bussers and service bartenders. A valid tip pool may not include employees who do not customarily and regularly receive tips, such as dishwashers, cooks, chefs and janitors.” So, even though you view the dining experience as a collaboration between all of your employees—front of the house, back of the house, customarily tipped or not—the DOL is pretty strict about who is allowed in that pool! Keep in mind that employees in a management role should also be excluded from tip pools. In fact, the National Restaurant Association reveals in their Legal Problem Solver that when an employer-established tip pool includes any ineligible employees, including supervisors, the employer must reimburse those who contributed to the pool in an amount equal to the tips turned over to the ineligible employees. And the business may lose its eligibility to apply a tip credit against the wages paid to employees. To add to the pain, the employer would not be able to seek reimbursement from ineligible employees. You may be aware that rules impacting the tip credit changed in spring of 2011 and one of the changes involves tip pools. The guidelines for what is considered a valid tip pool haven’t changed (as described above, a tip pool can only include those employees who customarily and regularly receive tips—employees who don’t typically receive tips may not participate in the pool). The new rules address how much of their tips employees may be required to put in the pool. The rules now state that the law “does not impose a maximum contribution percentage.” In the past, the NRA and WRA had advised employers that the DOL would consider tip pools with a maximum threshold of 15% of employees’ tips to be valid. Now that percentage is up to the employer, although it is unclear how the DOL will enforce their definition of “customary and reasonable” as to required contributions. You must notify your

I know that the rules in Wisconsin about scheduling teens changed over the summer. How do I know that I’m scheduling my teen employees correctly?

As of July 1, 2011 the state rules match federal rules in most situations. After Labor Day, shifts for 14- and 15-year-olds must end at 7:00 p.m. instead of 9:00 p.m. All employers must follow these rules for scheduling 14- and 15-year-olds: • Between Labor Day and June 1, they may not work before 7:00 a.m. or after 7:00 p.m. • Between June 1 and Labor Day, they may not work before 7:00 a.m. or after 9:00 p.m. • They may not work more than 6 days a week • They may work up to 3 hours on school days and 8 hours on nonschool days • They may work up to 18 hours during school weeks and 40 hours during non-school weeks (no more partial week allowance) • They must receive a 30-minute meal break if working more than 6 hours – break may be unpaid continued on page 12

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Restaurateur • First Quarter 12

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continued from page 10

Info to Go

There are fewer restrictions when it comes to scheduling 16- and 17-yearolds now that state AND federal laws do not limit the hours that minors 16 years of age or over may work per day or per week. Keep in mind that they are not permitted to work during hours of required school attendance. Please note that there are still differences in allowable job duties depending on whether the restaurant is subject to Wisconsin law only or to both Wisconsin and federal law. Visit the Members Only section at www.wirestaurant.org to access WRA’s revised Teen Labor information which includes more details on 16- and 17-year-olds and allowable job duties for 14- and 15-year-olds. And remember that all teens under the age of 18 must have a work permit before beginning work for you. For the scuttlebutt on work permits call the WRA Hotline or visit www.dwd. wisconsin.gov/er/labor_standards_ bureau/work_permits.htm

No, Wisconsin’s Food Code states: FOOD EQUIPMENT and UTENSILS for use in FOOD ESTABLISHMENTS shall meet the published standards for sanitation of an American National Standards Institute (ANSI)−accredited EQUIPMENT CERTIFICATION PROGRAM, or the APPROVAL of the department of health services and the department of agriculture, trade and consumer protection. Only commercial foodservice equipment should be used in foodservice establishments because household equipment is not built to withstand heavy use. However, in some rare cases regulatory authorities may approve the use of high-end household equipment, but it is unlikely that would be allowed for a refrigerator as household refrigerators aren’t designed to be able to keep the ambient air temperature low enough to keep food at 41 degrees or lower, or to properly cool hot foods in a rapid fashion. Additionally there are sanitation standards for equipment and it’s important to purchase equipment that has been designed with sanitation in mind. Food contact surfaces must be: safe, durable, corrosion resistant, nonabsorbent, and sufficient in weight and thickness to withstand repeated cleaning, smooth and easy to clean and resistant to pitting, chipping, scratching and decomposition. Look for the NSF International mark and Underwriters Laboratories (UL) product marks on equipment acceptable for use in a restaurant or foodservice establishment.

One week my line cook worked overtime, the next week he worked less than 40 hours. Can I average out an employee’s hours over our two week pay period?

Our refrigerator is on its last legs. I don’t think I can afford to replace it with a similar model. Could I just buy a regular household refrigerator that I find on sale at Best Buy or Costco?

Wisconsin

Absolutely not. The law requires employers to pay overtime when more than 40 hours in a week are worked by a non-exempt employee. It just takes one complaint to trigger a wage and hour audit. If you are found to owe unpaid overtime, you will have to pay back wages for every employee who

worked more than 40 hours in a week during the last two years (while also facing additional penalties). Employees cannot waive their rights to overtime! Any agreement to waive overtime pay is not legally valid. Here’s more about overtime: Employees must be paid one and one-half times their regular hourly wage for all hours over 40 worked in a designated work week. Employers must determine overtime owed for each seven day period, regardless of the length of the pay period used by the individual business. It is up to the employer to determine what the designated work week is (i.e. Sunday through Saturday; Wednesday through Tuesday). But the employer must use that designation consistently. Hours worked in separate weeks may not be averaged. If an employee worked 35 hours in the first week and 45 hours in the second week of the pay period, the employee would be due 5 hours of overtime pay for that pay period. Please note that paid leave time does not count for the 40 hours threshold. If an employee puts in unauthorized overtime you may discipline the employee for breaking your policy, but you cannot deny the overtime pay. To help avoid this problem you can use the “Employee Overtime Authorization” form in your HERO manual (it’s also available in the Member’s Only section of the WRA website www.wirestaurant.org). Keep in mind that salaried employees who work more than 40 hours a week would still be owed overtime unless exempt as an executive, administrative or professional worker as defined by law (for more information on exempt vs. non-exempt employees contact the WRA Hotline at 800-5893211). Just saying that your cook is salaried doesn’t mean that he actually fits the criteria. Some employers continued on page 14

Restaurateur • First Quarter 12

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First Quarter 12 • Wisconsin

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Info to Go

mistakenly believe that labeling an employee salaried means no overtime. Not true if DWD or DOL find that your employee is improperly classified.

One of my managers just quit without notice. She’s saying that I owe her for vacation and sick pay. I say she forfeited that when she walked out. Who is right?

The answer to this depends on your vacation and sick pay policy. If a complaint is filed with the Department of Workforce Development, it will enforce your policy. Therefore, if your employee has “earned” the time according to your policy, then yes, you’ll need to pay her unless you have very specific language in your employee handbook clearly stating otherwise. Vacation pay is a benefit that is up to the discretion of the employer. If you offer paid vacation, you should consider the following issues: Who is eligible? How much time will you offer? How much will you pay for a day’s vacation? Is the time allocated based on the calendar year or employee’s anniversary date? Is the time forfeited if the employee doesn’t take it within a certain amount of time, or can it be carried over? And what happens to vacation pay if an employee quits or is fired? A sample statement for your handbook that could have prevented your current problem is: “Employees who voluntarily terminate their employment and give at least two weeks’ notice will receive their

Wisconsin

unused vacation time pay on their last paycheck. Employees who are terminated or who quit without giving two weeks’ notice will forfeit their unused vacation pay.” Our contacts at DWD report that they get more wage claims about vacation pay than just about anything else! DWD views paid leave time (vacation, sick pay, PTO, holiday pay) as “wages” to which employees are entitled if the policy gives them that entitlement, so be very careful about how you word your policies. Again, if you don’t want employees to be able to be paid for unpaid vacation pay in lieu of actually taking time off, you need to say so. According to DWD a policy that is specific as to how the benefit is determined, when and how it can be used and what happens to it at termination of employment, should cover the biggest problem areas.

significantly. Those poster companies would like you to believe you need all new posters. You may have heard about the turmoil surrounding a poster from the National Labor Relations Board regarding employees’ union-organizing rights. The requirement to display this 11" x 17" poster has been opposed by segments of the business community and the compliance deadline has been pushed back several times already from November 14, 2011 to January 31, 2012 and most recently to April 30, 2012. The NRA and other groups have filed a lawsuit seeking to block the regulations. Stay tuned for the most recent developments!

I keep getting mailings from a company that seems really official insisting that I need to order posters from them. Do I?

This makes me crazy. There are many companies out there that send countless menacing mailings to businesses about the required workplace posters. They often have a name that invokes a sense of dread by combining the words poster, compliance, bureau, national, federal, etc. Frequently their logos will feature eagles or the scales of justice to heighten the impression that they are a government agency. They are right about the need to display federal and state posters, but wrong by implying that you need to pay their inflated prices! If you are a WRA member, you have received a set of laminated posters from us including the required state and federal posters. We have sent out individual laminated posters as needed over the years when a poster has been significantly revised or a new poster has been created. Later this winter we’ll be sending out several revised posters. All of the Wisconsin posters recently got updated revision dates, but in most cases the content was not altered

If you’re concerned that you haven’t kept your WRA set up-to-date, you can order a replacement set for $25 (the non-member price is $50). Or you can always download a set free of charge from the Department of Workforce Development website. Visit www.dwd. state.wi.us then search for workplace posters. DWD also includes links to the federal posters. You can print these out on your own computer—something those poster companies don’t want you to know. Keep in mind that not every employer must display every poster. Check the postings requirements page in your WRA HERO manual or review the chart on the DWD website. Most importantly, don’t panic and end up paying exorbitant prices for posters. WR

Restaurateur • First Quarter 12

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800-589-3211 wirestaurant.org

Restaurateur

Local. Social. Frugal. Personal. b y M a r y L o u S a ntovec

he customer is always right. Pundits will argue the merits of that statement but for operators, knowing what their customer wants and being able to deliver it will pay dividends in return visits and ultimately the bottom line. So, what do your customers want? Operators who follow national media have witnessed the growing popularity of local foods and local sourcing. So it’s little surprise that 1,800 professional chef members of the American Culinary Federation identified locally sourced meats and seafoods, locally grown produce, hyper-local meals and locally produced wine and beer as four of the top 10 trends on restaurant menus for 2012. “As the years roll past, in general, the typical restaurant patron has become more interested in the story behind their food,” said B. Hudson Riehle, senior vice president of the research and knowledge group at the National Restaurant Association. How and where food is grown, how it’s shipped, processed, prepared and cooked are playing a larger role in the choices consumers make. Technomic, Inc., a Chicago-based consulting and research firm serving the food industry, also forecasts local sourcing as one of its seven leading U.S. restaurant trends for 2012, along with another trend: transparency on everything from calories and allergens to local sourcing practices. “Customers have become information conscious,” said Mary Chapman, director, product innovation at Technomic. “People are interested in where things come from and a growing number are serious about nutrition, labeling, sustainability and community involvement and are using it to make purchasing decisions.” 16

Wisconsin

Some positive growth in sales

With over one million restaurants across the country, people have a multitude of options on where to spend their food dollars. “One of the greatest strengths of the industry is that consumers love going to restaurants,” said Riehle. “Nine out of ten American adults say they love to go out to eat.” In 2011, restaurant industry sales on a national basis were $600 billion, a record high, he added, despite “still modest growth in the economic environment.” Last year was the best operating environment for the industry in the past four years. This year looks about the same with the economy, especially unemployment, being the driving force behind the numbers. “In 2012, there’s unlikely to be a rebound to prosperity for the industry, but it will be a positive growth environment,” Riehle said. “It’s just not one of the magnitude the industry is used to.” Technomic forecasts 2.5 percent growth for the industry in 2012, with sales essentially flat. Cash remains tight for most customers and they remain “extremely judicious in how they spend their dollars,” Riehle said. “So they spend more time deliberating about whether to patronize a specific restaurant. Expectations of having a good experience are higher because of the cash-on-hand constraints.” If those customers don’t have a good experience at your establishment, they will vote with their feet.

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An era of frugality

We’re definitely in an “era of frugality” and your customers are looking for value for their dollars. “Restaurant traffic is certainly tied to unemployment and consumer sentiment,” said Chapman. “There’s not a lot of new restaurant visits, but swapped restaurant visits.” Swapping one restaurant for another means operators must have a strong differentiation factor. It’s no longer the case of “if you build it they will come.” With your menu or in the story you tell, you have to give customers a good reason to spend their hard-earned dollars at your restaurant. “Two out of five American adults report not using restaurants as they would like,” said Riehle. Operators must be creative in their marketing and promotional mix to “nudge” them to go out to eat. From the operator’s perspective, there’s resistance to discounting. “For high-end operators, discounting conveys to their customers that the products are not as valuable as they were before,” said Chapman. Instead, operators are offering flexible options such as counter service at lunch and full table service at dinner. Alternatives go far beyond 10 percent off or adding combo meals to the menu. They include serving an innovative menu, “cravable” foods and changing the menu frequently. “It’s a much broader thinking process to a lot of operators,” she added. Despite their willingness to spend money on the latest technological incarnation, don’t look for the Millennials (the last group of children born in the 20th century) to help boost your bottom line. “Millennials would rather make sure their Internet bill is paid, their smartphone is up to date and their mobile phone bill is paid,” said Dan Coates, president, Youth Pulse, Inc.

“While getting together to have fun with friends is as important as ever, the days of conspicuous consumption have long passed,” he added. “Millennials look for value and are well aware that not all of their friends have the same means, making low- to moderate-priced venues their favorite pick.”

Fast casual becoming more popular

The fastest growing segment of the industry is fast casual. “Having only 6 percent of market share, it offers tremendous growth potential—possibly as much as 10 percent in 2012,” said Chapman. Offering convenience, ambiance and low price, customers view the fast casual segment as providing value. It’s a way to trade down pricewise but get a delicious meal that’s made to order. Fast casual selections are “approachable” and frequently ethnic, which plays into a trend of consumers looking for a twist on the familiar. “Shell-shocked consumers are in no mood to take risks, but novel flavors still tingle their taste buds,” she said. “Break-out items taken from less-familiar global cuisines” are expected to give way to “comfort foods with a twist (gourmet, ethnic, artisan and wood-fired).” The basic American’s palate is more worldly and refined now than at any time in history. As an age group, the Millennials is the most diverse group of adults to date. “They’ve also been raised with a more sophisticated palate,” according to Chapman. Millennials have also been raised to know their way around the kitchen. With an ever-increasing number of women in the workplace, Millennials are less likely to have had a “stayat-home-mom,” requiring them to pitch in and help in the kitchen. “Their upbringing has left its mark, resulting in a generation that not only knows how to cook, but likes to cook,” said Coates. continued on page 20

Restaurant Industry Forecast to Analyze Sales, Projections The National Restaurant Association released its annual and highly anticipated Restaurant Industry Forecast on February 1, 2012. The Forecast includes economic, workforce, consumer and menu trends, as well as information for operators to overcome current economic challenges and position themselves for future growth. This year’s Forecast includes in-depth analysis of sales by restaurant segment, employment outlook and state-by-state projections. It addresses how economic conditions affect restaurant sales and

Wisconsin

operations as well as how changing consumer tastes and preferences impact restaurant operations. In addition, it provides insights into the factors shaping growth in the fullservice and quickservice segments. Interested in obtaining a copy? WRA members may access a PDF of the Forecast free of charge or order a printed copy for the discounted rate of $39.95. Non-members may purchase a copy for $199.95. Visit the NRA website www.restaurant.org

Restaurateur • First Quarter 12

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First Quarter 12 • Wisconsin

Restaurateur

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Creating a two-way conversation

“In the restaurant industry, demographics is truly destiny,” said NRA’s Riehle. “Operators f must know who their core patron is,” and how to reach them. If you really want to know what your customers are thinking, ask them. Whether it’s a manager visiting tables, a quick exit interview as a customer is leaving, seeking expertise from a consultant or employing social media tools, knowledge is power. Operators must be able to determine who is patronizing their restaurant and engage those who meet their demographics and haven’t tried it yet. Social media, whether it’s Twitter, Facebook, Foursquare or other electronic tools, are simply ways of developing and maintaining relationships with customers. Don’t assume that if your patrons are all collecting Social Security that there’s no need for you to have an electronic

presence. The largest demographic group joining Facebook are those over 65. Restaurant review sites such as Open Table let customers share their experiences. Information-seeking customers are putting more of their trust in friends and peers rather than professional marketing sources according to one of the Technomic trends. “There are dynamic restaurants, especially some of the chains that are interactive and use the information they gather on social media to build menus and to try to attract ‘like demographics’ to their restaurant,” said Chapman. “The rise in social networking in general and geo-tagging in particular have pressed Millennials’ hot buttons,” said Coates. “Millennials like to see and be seen and their stage consists of social media platforms like Facebook, allowing them to send out a continuous pulse that signals who they are and what they’re doing.” Operators ignore these behaviors at their peril. “Given that

What Do Wisconsin Restaurant Operators Predict? We asked restaurant owners, managers and chefs in Wisconsin what they think the trends will be for 2012

“Quality, but more for less.” Blanca L. Webers, Owner/President Casablanca de Mexico Restaurant & Lounge, Racine “Customers looking for good food and prices that are very reasonable and quick/friendly service.” Polly Worthington, Owner Booyah Shed & Grill, De Pere “If you’re not heavily promoting yourself online, you’re going to get caught with your pants down—if it’s not already too late.” John Hayes, Owner Red Ox Seafood and Steakhouse, Appleton

“Food trucks continue to grow in the Midwest. Whole hog butchering— snout to tail cooking, charcuterie. Breakfast all day. More focus on local and sustainable food. Infused oils. Indigenous ingredients. Food safety and allergies. Menu transparency. Korean and Peruvian food.” Peter Gebauer, Executive Chef Potawatomi Bingo Casino, Milwaukee “A continuation of mid-level restaurants preparing fine dining foods at value prices. Small portions. More ‘regional’ farm to table as well as ‘hyper local.’ Eggs complementing dishes.” Joe Muench, Executive Chef Maxie’s Southern Comfort & Blue’s Egg Restaurants, Milwaukee “Value focused menus. Due to the very depressed economy, food brokers will have to value price their food items so that restaurateurs might have a chance at bringing the financially stressed public in to eat and also possibly having a chance to make a profit on what we sell. Especially true in the Northern Wisconsin communities.” Glenn Fieber, President Solly’s Grille, Glendale

Wisconsin

“More craft brewery options available at all restaurants and making of own condiments—we are going to be making our own pear ketchup next summer as soon as the season hits.” MaryBeth Van Every, Owner The 75th Street Inn, Salem “I think we are going to see a return to good home-cooking, people going out are going to look for comfort foods—and cheesecakes.” Don Castine, General Manager Capn’s Steakhouse & Saloon, Fort Atkinson “Small plates will get even more popular.” Chris Wiken, General Manager The Packing House, Milwaukee “Using more fresh, natural products. Avoiding processed foods. Ethnic/specialty foods will continue in popularity.” Matt Mazur, Chef Blue Bayou Inn Restaurant, Manitowish Waters

Restaurateur • First Quarter 12

the single greatest influence in the decisions of Millennials is what their peers recommend, restaurant owners should make it as easy as possible for Millennials to endorse and recommend them,” said Coates.

Other trends

Both the National Restaurant Association and Technomic are seeing customers wanting healthful meals for children. Tying into this trend are customers who seek information on nutrition and labeling, those who request smaller versions of adult menu items for children and those who want to ditch the fries in favor of fruit or vegetables as a side dish. Americans’ change in eating habits from three square meals a day to snacks, eating late at night and sharing appetizers as a meal also has operators rethinking their menus. The cost of commodities is driving “rustic fare,” defined as the “simple preparation of fresh ingredients,” in-house. Operators are swapping the purchases of value-added items for those requiring more back of the house preparation. Operators have the chance to recoup some of the ground lost over the past four years in 2012. Remember that the only thing constant these days is change. Those that embrace it will reap its rewards. WR

Take Advantage of Technomic’s Presence at the Expo in March! WRA is proud to announce that Technomic, Inc. will be participating in this year’s Expo March 12–14 in Milwaukee. A major player in our industry, Technomic is routinely featured in national trade publications and is the leading source of information about consumer trends and industry research. Technomic will be a part of this year’s new Customer Building Block where they will be available for face-to-face conversations about what’s going on in the world of restaurants today and their Consumer Trend Report Series will be available for purchase. Additionally, Matthew Mandeltort, a senior consultant with Technomic, Inc. will be conducting the seminar, Foodservice Trends – 2012, on Tuesday, March 13th from 1:00 – 2:00 (included with Expo admission). Don’t miss this opportunity to learn what will be on the minds (and plates) of your customers and how to adapt to current challenges.

Jump Into Membership

Become a WRA member before March 7th, and get four free admissions to the 2012 Wisconsin Restaurant Expo in Milwaukee, March 12-14.

Apply online: wirestaurant.org Give us a call: 800-589-3211 First Quarter 12 • Wisconsin

Information. Answers. Connections.

Restaurateur

State’s largest industry event March 12-14, 2012 Wisconsin Restaurant Expo • Frontier Airlines Center • Milwaukee, Wisconsin

More than a trade show. It’s the business experience of 2012. What’s hot for menus. Money-makers. 100s of exhibits. New tech. Kitchen equipment. Eco-friendly products. Reaching new customers. Buy local. The next great thing.

See more in one place, at one time, than you will all year.

Special Thanks to our 2012 Sponsors

Brought to you by

Culver's VIP Foundation

Wisconsin

Restaurateur • First Quarter 12

Monday, March 12 Complimentary Coffee in Registration Keynote Address by Duff Goldman, star of Food Network’s “Ace of Cakes” EXHIBIT HALL OPENS F&B Cost Control: 10 Steps to a Better Bottom Line Local Food Safety Q&A Book Signing with TV’s Duff Goldman Chef Demo in Culinary Theater That’s Fabulous! Event Design Trends for 2012 Equipment Purchases: Options for Cash, Financing and Leasing Chef Symposium on Local Sourcing Designing and Operating an Energy Efficient Restaurant Smart Phone Apps for Businesses Chef Demo in Culinary Theater College Culinary Competition Awards (events start at 9 am) EXHIBIT HALL CLOSES Happy Hour at the Hyatt Regency

Tuesday, March 13 10:00 10:00 10:30 11:30 11:30 1:00 2:30 2:30 4:00 5:00 6:00

EXHIBIT HALL OPENS How to Engage in Social Media and Digital Marketing Sourcing Local for Large Volume Kitchen Ventilation: Tips, Tricks and Technologies Chef Demo in Culinary Theater Foodservice Trends - 2012 Pouring Profitable Pints Chef Demo in Culinary Theater ProStart® Invitational Awards (events start at 9 am) EXHIBIT HALL CLOSES Elegant Awards Dinner at the Pfister Hotel

Frontier Airlines Center Milwaukee, Wisconsin everythingfoodservice.org

Just $25 when you register by March 8

WRA Members receive FOUR FREE advance registrations! Members and non-members are encouraged to attend. Sorry, non-exhibiting suppliers and children under 16 may not attend.

All Day Events Block Party with WRA Charitable Auction in Booth 217 Cheese Carvings – Watch Live Culinary Theater with TV’s “Wisconsin Foodie” Customer Building Block – Drive Business by Getting Personal Expo Exclusive – Craft Beer Sampling Foodservice Exhibits – 1000’s of Products Go Green! Pavilion i.Menu Expo on Mobiles and Tablets Live Competitions Pastry Studio Picture Ops in the Photo Booth Something Special from Wisconsin Tabletop Design Competition Wisconsin Creamery WRA Expert Consultants

See the full schedule and booths to visit at:

www.everythingfoodservice.org

Wednesday, March 14 10:00 10:00 10:30 11:30 11:30 Noon 1:00 3:00

EXHIBIT HALL OPENS Session on Social Media Cupcake Creations and Flavor Trends Chef Demo in Culinary Theater Improve Yourself and Get Ahead through Networking Pastry Studio Workshop Pairing Beer and Chocolate EXHIBIT HALL CLOSES First Quarter 12 • Wisconsin

Restaurateur

Expo Schedule: Highlights

9:00 10:00 11:00 11:30 Noon Noon 12:30 1:30 1:30 1:45 3:00 3:00 3:00 4:30 5:00 5:00

March 12-14, 2012

Technology to Connect with Customers by Katjusa Cisar

he text goes out at midnight, offering a discount on a burrito at Qdoba. By 3:30 a.m., the deal has expired—and if you were a hungry college student crawling State Street in Madison or North Avenue in Milwaukee at bar time, you’re exactly in the demographic this flash campaign targeted. Abby Lutgen, marketing manager at Roaring Fork Restaurant Group, said she hears it from Qdoba fans all the time: “It was so cool to get a text from Qdoba at bar time!” Fast, relevant and personable are the marketing practices she aims for at Roaring Fork, which operates Replay Sports Grill in Milwaukee and 34 Qdoba restaurants across Wisconsin. Using technology to market directly to customers is no longer just for college kids, however. Texting, email blasts, loyalty cards and social media put control in the hands of the marketer as well as the customer, and many restaurateurs agree the time to start engaging with diners with online or tech-based campaigns is now. “You better join in, or get left behind,” said Jim Constine, owner of The Vault in De Pere. Joe Gabriel, association alliances manager at Fishbowl Marketing, echoes the sentiment: “Do it. Jump in with both feet. It’s where the customers are these days.”

Wisconsin

Restaurateur • First Quarter 12

Email: The core constant

Email is such an accepted, basic form of communication these days that the novelty it played in the Tom Hanks-Meg Ryan feature “You’ve Got Mail” seems quaint just 14 years later. Yet therein lies its power. Email is the “core constant” in online marketing, said Gabriel. Facebookers, Twitter updaters, Yelp reviewers and strict email-only Internet users have one thing in common: email. “Of course,” Gabriel continued, his company's online marketing strategy for about 44,000 clients nationwide has evolved and “stretched out beyond email.” But a basic email blast is still useful. Restaurants that use Fishbowl have found success sending out a yearly birthday email offering a free dinner, “no strings attached,” he said. A restaurant can keep track at the point-of-sale of people who redeem it—and offer the same deal to all the friends they bring with them to their birthday dinner. “Word-of-mouth has never gone away,” Gabriel said.

Talk to them at the Customer Building Block at the 2012 Expo.

Alex Shehadeh uses the do-it-yourself email service Constant Contact to send out a monthly email newsletter to customers of his Kenosha restaurant, Shehadeh Pita Shack. The email advertises events and new specials and generally keeps people “in the loop,” he said. The trick is to value the customer's choice to receive the email and not barrage their inboxes with too many updates. In that case, “people just get annoyed with it and delete it right away,” Shehadeh said. Timeliness is key, said Lutgen. In January during a snowstorm, Roaring Fork sent out a quick “snow day” email to Qdoba fans, offering a “buy one, get one half-off” deal on burritos.

Texting: A mobile VIP club

As communication becomes increasingly mobile, some restaurants are using text messaging to reach customers. “Not everyone carries their computer with them,” said Ken Ubert, owner of Text It Advertising, based in Germantown. Despite the popularity of smartphones that access the Internet, most cell users in the U.S. own basic phones. According to a recent study by the Pew Research Center, 73 percent of American cell phone users send and receive text messages, and one in three texters would rather text than talk. That's not just with friends and family, either: another study showed one in 10

Americans have donated to a charity by text. Abel Hamdan uses Text It Advertising to tell about 30,000 “text club” members about deals for his Milwaukee restaurant, NYPD Pizza. “The text is freakin' powerful,” he said. In hindsight, he wishes he'd kept the text club smaller and more exclusive. Still, he said it's gotten people in his door faster than other marketing platforms.

Talk to them at the Customer Building Block at the 2012 Expo. Since customers respond to texts so quickly, it’s an appropriate channel for unexpected circumstances. If the chef ordered 50 pounds of salmon by mistake instead of ten pounds, Gabriel said, send out a text about a salmon special. Texting is increasing among older people, as they find new ways to communicate with their children and grandchildren. Conrad Carney, owner of the text marketing service CMS Text, has evidence of that right in his own family. If he wants to reach his children, he texts them. “If I call them, it goes to voicemail,” he said. “If I text them, I get an continued on page 26

First Quarter 12 • Wisconsin

Restaurateur

continued from page 25 immediate response.” Ninety-seven percent of texts are read, Carney added and many are read within 4 minutes. “When you compare that to any other form of marketing, it's off the chart. These are customers that have to opt in upfront. They're opting into a mobile VIP club.” Smartphone lovers aren't forgotten, however. Ubert is developing a locationbased app, supported by Androids and iPhones, that allows users to find deals at nearby restaurants.

Talk to them at the Customer Building Block at the 2012 Expo. Loyalty programs: An even playing field

The marketing trend of the last few years has been in flashy deals that lure in new customers with half-off prices. That's changing. Many marketers agree, as Fishbowl's Gabriel put it, that “where we see the needle moving is loyalty.” Heartland Gift Marketing is one program that sinks its strategy on finding and rewarding loyal customers. Run

Wisconsin

by the payment-processing company Heartland Payment Systems, the program allows restaurants to pass out $5 gift cards to nearby, non-competing businesses. The businesses in turn hand out the cards to their best customers. The cards can be reloaded, and the more money added or the more often the card is used, the bigger kickback percentage the customer receives. Shehadeh Pita Shack signed up for Heartland Gift Marketing in the summer of 2011, and Alex Shehadeh said so far the program is boosting his business. The card in his customer's wallets is a reminder. “I've noticed because they have the card, they're coming more frequently,” he said. The Heartland program is used at more than 30,000 restaurants nationwide, said director Dan Tierney. It works so well because customers are prebuying from restaurants, an act he calls “the ultimate form of loyalty.” “Their behavior will change, because once they load that card, it becomes 'free' money. Having that money loaded, pre-bought, is really a major deterrent to that customer going to a competitor,” Tierney said. The Heartland card also gives restaurants a measurable, reliable way to track and reward loyal customers, he added. He uses the hypothetical example of a restaurant that says it

rewards its regular customer “Joe” with an occasional free appetizer. “Joe might be loud and charismatic, so as a result of that, we know Joe’s a regular, but Lisa comes in just as much or more, but she doesn’t make a big deal about coming there so the staff doesn’t really connect with Lisa,” he said. With the Heartland card, loyal customers get an even playing field. Heartland Gift Marketing is relatively new to Wisconsin but two veteran users on the West Coast rave about its impact on their establishments.

“I've noticed because they have the card, they're coming more frequently.” – Alex Shehadeh At Blenders in the Grass, a small smoothie chain in the Santa Barbara area, co-owner Art Tracewell said community involvement is the primary marketing tool. Blenders sponsors a girl's volleyball team and all the local Little League teams and donates gift cards to hundreds of charities. Redemptions on the cards are “incredibly high,” he said, and “it doesn't continued on page 28

Restaurateur • First Quarter 12

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www.everythingfoodservice.org First Quarter 12 • Wisconsin

Restaurateur

continued from page 26 take a brain surgeon to figure out if you're enticing people with money,” they'll visit more often. Loyalty is why the system works so well, he added. The company is reporting a 26 percent increase in sales from the cards from 2010 to 2011. Diva Espresso spends nothing on advertising and about one to two percent of its budget on marketing for its eight coffee shops in Seattle, said general manager Laurie Cheeley. Heartland has given Diva a way to reward its regulars for their loyalty by allowing Diva “to focus on what people really want from us: camaraderie alongside a perfect cup.”

Social media: Engagement in our backyard

“Don't delete anything” is the advice Roaring Fork's Lutgen gives to any restaurateur starting a Facebook page. Even a negative comment left on the brand's Facebook page can turn into a meaningful conversation. Engagement on the local level is paramount, so she runs Facebook pages for five Qdoba markets in Wisconsin. “We want to talk to guests as if they're in our backyard.” Joe Sorge disparages what he calls “broadcast” marketing. Every business is different and takes a different advertising strategy, he's careful to say. For his restaurants—which include AJ Bombers, Swig, Water Buffalo and Smoke Shack—text messaging is “passe” and email doesn't even enter the equation. Social media is more sensible if you're an independent operator on a lean budget, he said. AJ Bombers was named one of the top 12 brands on Twitter by Social Fresh. The restaurant, which has locations in Milwaukee and Madison, shared billing with the likes of Whole Foods, Starbucks and the American Red Cross. Sorge also runs a Facebook page for the restaurant. Each site has its own flavor: Twitter is like the office water cooler, while Facebook acts more like a bulletin board. He uses the sites to ask customers questions (“Pulled or chopped pork? What say you?”), share random facts about food or advertise

Wisconsin

specials (“Don't forget it's Birthday Wednesday!”). Constine of The Vault says he spends very little on advertising. “Utilizing Facebook and in-house opportunities are free, and your current customers are your best advertising. We would rather dedicate money to the known rather than the unknowns.” But he admits this strategy works because The Vault is a relatively small operation.

Bringing it together: Use your eggs in different baskets

Most restaurant owners agree not one strategy or single platform is enough to attract diners. “Use your eggs in different baskets,” says Shehadeh. He takes out advertising for Pita Shack in newspapers, has a Facebook, an email database and offers the Heartland gift marketing card. NYPD Pizza's Hamdan also does a little bit of everything: “I never turn down advertising. Never, never, never, never, never.” He posts on social media, drops flyers in dorms, offers a Groupon deal, does TV and radio spots, buys billboard space and barters. Hamdan says the secret is to learn from mistakes and keep trying new strategies. “You have to stay on the grind,” he said. “You have to not stop grinding.” WR

WRA Announces a New Member Benefit Wisconsin Restaurant Association members now receive a 15% discount from our new industry partner, Text It Advertising.

Customer Building Block at the Wisconsin Restaurant Expo

Drive Business by Getting Personal Put more butts in seats. That’s what we all need to do. But, sometimes we’re unsure where to start. Or we know what to do, but need reliable service providers and solid resources to get the job done, simply and easily. This fun, interactive resource center will give you fresh ideas, show you new trends and help you find new and different ways to attract customers to your business. At the Wisconsin Restaurant Expo March 12-14, 2012 Frontier Airlines Center, Milwaukee In the Expo’s brand-new Customer Building Block, you’ll access simple things to help you: • Reach out with emails • Branch into text messaging • Keep ahead of top trends • Thrive in the social media world • Focus on neighborhood marketing • Appeal to people who eat • And more! Admission to the Expo is just $25 when you register online before March 8, 2012. Visit everythingfoodservice.org for more information.

877-410-TEXT TextItAdvertising.com

Restaurateur • First Quarter 12

Building

Genuine

Relationships

Face-toFace and

Online by Jennifer A. Smith

n the restaurant world, the smallest interactions can make or break a customer’s experience. Once, at a Japanese restaurant my husband and I frequent, I ordered something I hadn’t tried before: black cod. While I’m usually a savvy diner, I didn’t realize that black cod, also called butterfish, was utterly unlike the Atlantic cod I’ve enjoyed at many a fish fry (duh!). While my meal was well-prepared, the flavors and textures just weren’t for me. Though I didn’t complain, our server saw me stealing bites of my husband’s sushi and, completely unbidden, said she’d be happy to let me order something else—no extra charge. While that restaurant swallowed the cost of a black cod entrée that night, it cemented my loyalty as a customer. By noticing my disappointment and proactively offering a solution (generously, and without making me feel foolish), the server demonstrated that she cared about my enjoyment of the experience. We’ve been back many times since. That’s a restaurant with a view of the bottom line that stretches beyond a night’s receipts. That example also goes to show that what might be a negative experience

for a customer can easily be turned into a positive with a little effort and staff who are motivated and empowered to connect with customers. And in today’s world—when customers can instantly share their thoughts with friends and the public at large—connecting with customers personally and keeping them happy is a necessary ingredient for success. A great experience or a dismal one can be posted in minutes on Facebook, Twitter, or a customer review site like Yelp or Urban Spoon. As Danny Meyer of New York’s legendary Union Square Café once told The New York Times, “A great restaurant doesn't distinguish itself by how few mistakes it makes, but by how well they handle those mistakes.” Now more than ever, smart restaurant operators are seizing opportunities to make positive connections with customers, both face-to-face and online.

One-on-one hospitality leads to brand ambassadors

Mark Phillips, innkeeper and public relations manager at the Old Rittenhouse Inn located in Bayfield, often deals with customers who have particularly high expectations: people

on vacation. With Americans’ shrinking vacation days, when we do have time to get away, we want it to be spectacular. Located just blocks from Lake Superior, the Old Rittenhouse Inn is an acclaimed Victorian-style bed and breakfast that also operates a fine dining establishment, the Landmark Restaurant. Phillips’ parents, Jerry and Mary, founded the business. Following the example they set, Phillips strives to connect with customers the moment they contact the Inn. He and his staff thoroughly answer the questions of potential guests and diners and act as guides to the community. “We want to act as that ‘Google page’ for Bayfield,” says Phillips, who runs the business with his wife, Wendy.

“A great restaurant doesn't distinguish itself by how few mistakes it makes, but by how well they handle those mistakes.” – Danny Meyer continued on page 30

First Quarter 12 • Wisconsin

Restaurateur

continued from page 29 Clearly, the Rittenhouse’s efforts to connect personally with customers and leave a favorable impression are working. Phillips describes one guest who makes an anonymous gift each year so that someone in the community can attend the Rittenhouse’s Wassail concert free of charge. Phillips describes the generous man as “someone who made an emotional connection here many years ago” due to visits to the Rittenhouse with a family member who has since passed away. When picking the Wassail ticket recipient, “We try to pick people who are deserving or have had a tough year.” The guest who anonymously treats another patron also responds enthusiastically to the Rittenhouse’s Facebook posts, frequently sharing the posts with his own list of friends. “He’s what I would call a brand ambassador. He’s out there promoting our brand, and that’s just invaluable.” What Phillips describes is a good example of what marketing gurus dub “customer “The difference with Facebook is evangelists”—people who are so connected with your that it’s a lot more two-way, with brand or establishment back-and-forth interaction. It’s been that they take the lead in promoting it. Nowadays, incredibly important.” when many people are to friends rather – Alex Galt turning than restaurant critics to decide where to dine, these evangelists play a critical role in your marketing strategy.

A two-way street

Other restaurant operators are using Facebook to attract new customers and keep the lines of communication open with existing customers, fostering a personal bond and creating loyalty. Becky

Wisconsin

Berger, founder and owner along with her husband Scott, of Yo Mama! Frozen Yogurt in Wauwatosa uses Facebook for several reasons. Berger uses the social-networking site to spread the word about the yogurt flavor of the week, run contests, and ask customers about their favorite flavors and toppings. Says Berger, whose business is expanding rapidly, “We’re good about getting back to people pretty much immediately. We’ve gotten a lot of input from our customers by using Facebook.” Berger also uses Twitter (tweeting under the handle “yomamagoodness,” which has over 850 followers). While she posts on Facebook generally just once a day, her tweets are more frequent. “Twitter is more of an ongoing dialogue with customers,” she says. The original Yo Mama! location opened in June 2011; a second store will open in Brookfield in April 2012 and, after that, a third location in Shorewood. Part of the reason for the business’ rapid success has been its ability to forge connections with customers—especially parents. The store has been a hit with families with young children and even holds a “Story Time with Mama” event for preschoolers every other week. After being read a story, children do a related craft project. Then, they make their own yogurt creation from the self-serve bar. Many parents and kids have become Story Time regulars and Berger’s manager knows them by name. The event provides parents a fun outing with their children and also encourages repeat business and a sense of Yo Mama! as a family-friendly community gathering place. Berger recalls a time in which a mom posted on Yo Mama!’s Facebook page that her daughter was having her tonsils removed and was hoping that her favorite yogurt flavor, cookies and cream, would be available that week. Berger made a special effort to get the flavor and pack pints of it; both mom and daughter were thrilled—and, one imagines, told their friends about the special touch Yo Mama! delivered.

Restaurateur • First Quarter 12

Physical space, real connections In Green Bay, Alex Galt, who owns two adjacent businesses with his wife, Linda—Kavarna Coffeehouse and Parisi’s Delicatessen—says making personal connections involves face-toface interactions, social media and an

important third element: the physical space itself. “One of the things we realized was crucial was a good counter for people to sit at. That’s been very important for allowing a personal connection between staff and customers. People are very comfortable speaking over a counter… it’s almost like a doctor/ patient relationship,” he laughs. The long counter running nearly the length of the coffeehouse offers a comfortable space for customers to chat with staff about food, cooking or even personal topics, creating a homey vibe.

Creating a Culture Where Connections Happen

So as a restaurant operator, how do you foster this type of vibe? You can’t force chemistry or tell your staff they need to be best friends with all of their customers. But you can cultivate a culture where these types of magical spontaneous connections between employees and customers are likely to happen. A simple way to do this is to recognize the positive connections that employees are already making and point these out as good examples in front of their peers. As an owner or manager, you can also be a good example yourself when you are interacting with customers to set the bar for how customers should be treated. Most importantly, employees need to feel empowered to make this happen. continued on page 32

Take the short drive to Milwaukee for the Expo Register at www.everythingfoodservice.org First Quarter 12 • Wisconsin

Restaurateur

continued from page 31 Social media has replaced Kavarna’s monthly e-mail newsletter. “We got positive comments and it grew a lot over the two years we did it,” says Galt of the newsletter, “but the difference with Facebook is that it’s a lot more two-way, with back-and-forth interaction. It’s been incredibly important.” The Galts can quickly share information not only about food and beverage offerings, but music, farmers’ markets, a crafters’ market, lectures and other in-store events. “We’re up to almost 3,400 fans on Facebook, which is pretty sizable for our market,” notes Galt. While he doesn’t tweet directly, Galt has set things up so his Facebook posts also show up on Twitter (@kavarna).

Know your customer—and keep listening

something fun,” he says. For a couple who got married at the club, Fox planned a special two-year anniversary At the Madison Club, executive chef party at which the menu echoed that of and assistant general manager Dan Fox the wedding day. also finds face-to-face interactions and a The Madison Club also takes note well-thought-out use of social media to of who hasn’t been in lately. “If we be a winning combination in developing haven’t seen a member in a long time, personal connections with customers. As we send them something or call them to an upscale, membership-based club, “Our encourage them to come back in.” business model is making that personal Community involvement can also connection with customers,” says Fox. be a way for restaurants to connect with customers on a personal level. Tomaso’s, a familyowned restaurant in Cedarburg that specializes in pizza, gives out scholarships to local high schoolers and has also made a sizable donation to the local volunteer fire Happy department. Says employees will co-owner Nicole spread the word Schemenauer, While your “We’re a small employees community, and so “If we haven’t seen a member in a long time, are invaluable we know a lot of the ambassadors families coming in.” we send them something or call them to when they are on In the end, the encourage them to come back in.” the clock, they best strategy for can also be your restaurant owners ambassadors online. these days seems – Dan Fox Talking to staff at to be combining the Wisconsin Restaurant Association, the time-tested (good old-fashioned The Madison Club takes its social I found out that many employees customer service) with the new (social media strategy seriously, using an outside identify so positively with the place media) to connect with customers. consultant to make recommendations that they work, that they frequently Keeping the lines of communication about content to post via Facebook or say great things about the restaurant to open and engaging with customers Twitter. Maintaining a stream of fresh their friends on Facebook, Twitter and directly makes for a happy—and content is the biggest goal. Posted items the like. Some even routinely post on profitable—business. include food pictures, contests, photos of Facebook when they will be working As Mark Phillips of the Old people enjoying themselves in the club and urge their friends and acquaintances Rittenhouse concludes, “You can learn and even cooking videos. to stop by and see them. The positive so much just by listening.” WR The club’s face-to-face strategy entails power of having employees who feel knowing customers’ preferences and personally invested in the place they special events in their lives. “If their For more information work has increased dramatically in this child’s sixteenth birthday is coming up, visit the WRA website age of social media. we’ll put together a special dessert or

wirestaurant.org

Wisconsin

Restaurateur • First Quarter 12

How to Compare Credit Card Processors A Useful Checklist The various charges implemented by different credit card processors can make it difficult to have an apples-toapples comparison. WRA has developed this checklist in consultation with multiple industry experts to assist restaurant operators when comparing credit card processors.

Pricing q

Ask for a pricing table that identifies all the interchange fees and transaction fees that will apply to your bankcard activity.

Does the pricing table include their mark-up?

Is the pricing guaranteed throughout the agreement?

q q

Are there charges for PCI Compliance or security fees? Ask for a detailed breakdown of all other fees that will apply to your business including transaction fees, authorization charges, monthly, annual support fees, etc.

The key to successfully analyzing a proposal is to obtain complete disclosure and to understand the pricing points.

Equipment q

Will your current equipment work or will you be required to purchase or lease new equipment?

q q q q

Is there a reprogramming fee?

Service q q q

Are there costs to terminate the lease agreement?

Leasing equipment is generally not a good idea as the cost to purchase is considerably less.

What are their support hours? Are there service reps in Wisconsin that can make face-to-face calls?

Are there charges for service calls? If so, how much?

Does the processor keep customers informed of changes in card processing standards or security compliance mandates by the industry?

Funding and Deposits q

When are your funds for bankcard activity credited to your checking account?

When and how does American Express or Discover activity get credited to your account? Compared to MasterCard and Visa.

Does the processor charge their fees daily as activity is deposited or at month end? Are there additional charges for daily vs. monthly?

If charges are deducted daily, reconciliation with your checking account may be more difficult.

Contract and Terms q

Have the representative highlight the paragraph in the merchant contract that details termination and any penalties that apply. Early termination of an agreement may cost several hundred dollars.

Also have the representative highlight the paragraph that details circumstances that may trigger a price increase or change in terms.

Are there terminal support fees? How long is the lease agreement?

Who provides the help desk service?

These are the important provisions of the contract and you need to be satisfied that you understand them.

If you have additional questions on credit card processing, please contact WRA at 800-589-3211 or hotline@wirestaurant.org. A special thank you to independent industry expert George Krug for consulting with WRA on this project. F i r s in t Q u aWRA rter 1 2 â&#x20AC;˘toWanswer i s c o nyour s i n credit R ecard s t aprocessing u r a t e u r questions during the Expo. 33 Krug will be on-hand the booth

WReier-Aviles on DSKGBLS3C1PROD with RULES2

customarily and regularly receive tips. occupation in which the employee authoriz However, an employer must notify its qualifies a ‘‘tipped employee.’’ part 531 18856 Federal Register / Vol. 76, No. 65 / Tuesday, April 5,as 2011 / Rules and Regulations employees of any required tip pool Pursuant to section 3(m), an employer is commiss contribution amount, take a Act minus was paid. * *credit In accordance with 6(a)(1) of the ■ 15. Amend § 531.54 by addingmay two only not$2.13), eligible to take the *tip unless by the em section 3(m), a tipped employee’s sentences to the end of the paragraph to provided that the employer satisfies all tip credit for the amount of tips each has 3(m). informed its tipped employees * regular rate of pay includes the in amount * the requirements of it section This read as follows: employee ultimately receives, and may of tip credit taken by the employer per tip credit is in addition to any credit for advance of the employer’s use of the tip § 531.54 Tip pooling. hour (not in excess of the minimum board, lodging, facilities which not any the tips for or other credit of 3(m). the provisions ofby section 3(m)minus PART 55 * *retain * Section 3(m)of does notemployees’ impose wage required section 6(a)(1) may be allowable under section a maximum contribution percentage on (b) As indicated in the tip any other purpose. $2.13),amount the reasonable cost or fair value FAIR LA of§ 531.51, the Act, i.e.: The of the cash valid mandatory tip pools, which can credit may be taken only for hours of any facilities furnished to the wage that is to be paid to the tipped EMPLOY ■ 16. Revise 531.55 who to read asworked follows: only include those§employees by the employee in an employee by the employer, as customarily and regularly receive tips. occupation in whichemployee the employee by theauthorized employer; the under section 3(m) and this GOVERN employer mustofnotify its qualifies as a ‘‘tipped employee.’’ §However, 531.55an Examples amounts not part 531, and the cash including additional amount by which thewages wages employees of any required tip pool Pursuant to section 3(m), an employer is commissions and certain bonuses paid received as tips. contribution amount, may only take a of tip the tipped are increased on ■ 20. Th not eligible to take the credit unless employee by the employer. * * * tip(a) credit for the amount of tips each it has informed its tipped employees in A compulsory charge for service, is revise * credit * * claimed * * by the account of the tip employee ultimately receives, and may advance of the employer’s use of the tip such as 15 percent of the amount of the employer, which amount may not OF THE not retain any of the employees’ tips for credit of the provisions of section 3(m) PART 553—APPLICATION Author any other purpose. on a customer by of Would the i.e.: The amount of the cash bill, imposed anAct, you FAIR LABOR STANDARDS ACTwage TO andamended difference between minimum rather sort through exceed the value of the tips actually wage that is to be paid to the tipped EMPLOYEES OF STATE AND LOCAL ■ 16. Revise § 531.55 to read as follows: the employee’s hourly wage is known as pages legalese employer’s establishment, is not a tipof confusing 150, 99 S received employee; that all tips employee by the employer; the by the GOVERNMENTS the tip credit. The amount of the tip credit –OR– get your info from WRA in § 531.55 Examples of amounts not and, even if distributed by theadditional employer Pub. L. 10 amount by which the wages received by the tipped employee received as tips. depending onmust the Thevary authority citation forbase/cash part 553 of easy-to-understand the tipped employee arelanguage? increased on ■ 20.can to(a)itsA employees, cannot be counted as compulsory charge for service, is revised readbut asexcept follows: berules retained by the employee for$4.92. If,203(y)). wagestopaid, can’t exceed account thetiptip credit claimed the Theofnew credit from thebyfederal such as 15 percent of the amount of the a tip received in applying the employer, provisions which amount may not Authority: Secs. 1–19, an 52limited Stat. 1060, does as over a pay period, employee not Department of Labor went intopooling effect a (DOL) valid tip arrangement ■ 21. Am bill, imposed on a customer by an amended (29 U.S.C. 201–219); Pub. L. 99– exceed the value of the tips actually receive enough money in tips plus actual of section 3(m) and 3(t). Similarly, in May, 2011 and address what information employer’s establishment, is not a tip to employees customarily and 150, 99 Stat. 787 (29 U.S.C. 203, 207, 211). paragrap received by the employee; that all tips who base/cash to bring himU.S.C. or her up must beby provided to theemployee employee must by the and, evennegotiations if distributed by the employer areceived L. 106–151,wages Stat. 1731 (29 where between hotel and the tipped regularly receivePub. tips; and 113 that the tip and rede to its employees, cannot be counted as to the full minimum wage, the employer employer in order for the employer to for take 203(y)). be retained by the employee except aa tip customer banquet facilities include credit shall not apply to any employee received in for applying the provisions as f a valid tip pooling arrangement limited increase the base wage to makeread up advantage of the tip credit. ■ 21.must Amend § 553.210 by revising of section 3(m) 3(t). Similarly, to employees amounts foranddistribution to employees who customarily and who has not been informed of these paragraph (a), removing paragraph (b), the difference. where negotiations between a hotel and regularly receive tips; and that the tip and redesignating paragraph (c) as (b) to§ 553.210 of the hotel, the amounts so distributed What exactly is the requirements thisas section. The credit a customer for banquet facilities include credit shall not apply to any employee inread follows: What’s new? tip credit? amounts for distribution to employees are not counted as tips received. (a) As who has not been informed of these allowed on account of tipsProtection may be less § 553.210 Activities. of the hotel, the amounts so distributed It was Fire always recommended that Thein federal Fair Labor requirements this section. The credit (b) As stated above, service charges 13(b)(20 than thatbe permitted byused statute are not counted as tips received. (a)employers As in sections 7(k) and allowed on account ofAct tips may less inform employees that the tip Standards (FLSA) allows and other sums whichthan become (b) As statedsimilar above, service charges 13(b)(20) of the Act, the term ‘‘any that permitted by statute (minimum wage required by section credit was being utilized; the rules nowemploye an employer to pay a and other similar sums which become employee * * * in fire protection (minimumare wage required by section part of the employer’s gross receipts require that employers must notify theiractivitie 6(a)(1)anminus it refers cannot more. employee hourly $2.13); part of the employer’s gross receipts are 6(a)(1) minustipped activities’’ to ‘‘anbe employee, $2.13); it cannot be more. employees. For example, if a not tips the purposes Act. wage less than the legal not tips for for the purposes of the Act. of the including a firefighter, paramedic, In order for the employer to claim thethe employer In order for to claim therestaurantincludin Where such sums are distributed by the takes the tip credit of $4.92 anrescue hour emergency medical technician, minimum wage under certain maximum tip credit, the employer must Where such sums are distributed by the emergen maximum tip credit, the employer must employer to its employees, however, ambulance or demonstrate that the employee received worker, ($7.25 minus thepersonnel, base/cash wage of circumstances. In Wisconsin employer to its employees, however, they may be used in their entirety to hazardous materials worker, who—(1) isworker, demonstrate the employee received at least that amount in actual tips. If thethat $2.33), their employees would need to the base/cash wage can satisfy may the monetary requirements of the trained in fire suppression, has the legalhazardo employee less than the they be used in their entirety to received least that amount actual tips. the bein informed of that. WhileIf this notification atat $2.33 an in hour. The Act. authority and responsibility to engage in maximum tipbegin credit amount tips, the satisfy the monetary requirements of the can be done verbally, it is strongly employee’s tipsbalance and employee received less thanand the fire suppression, is employed by a trained i ■ 17. Amend § 531.56 by revising the employer istipped required to pay the recommended employers provide authorit fire department of that ain municipality, last sentence in paragraph (d) to read as so that thehourly employee receives at least wage when combined Act. maximum tip credit amount tips, the the minimum wage with the defined county, fire district, or State; and (2) isof follows: written notice, to make the evidence must equal at least the minimum ■ 17. Amend § 531.56 by revising the employer is required to pay the balance combination of wages and tips. With the engaged in the prevention, control, and fire supp their compliance indisputable. wage (currently $7.25 an hour). The § 531.56 ‘‘More than $30 per month in tips.’’ exception of tips contributed to a valid extinguishment of fires or response last sentence in*paragraph (d) to read as so that the employee receives at least to fire depa * * * * tip pool as described in § 531.54, the tip emergency situations where life, (d) * * * It does not govern or limit minimum wage with the definedis at risk.’’ county, follows: credit provisions of the section 3(m) also property, or the environment the determination of the appropriate require employers tocombination permit employeesof wages ■ 22. In § 553.212, reviseWith paragraph and tips. the(a) engaged of wage creditthan under$30 section to retain tips received by the §amount 531.56 ‘‘More per month in all tips.’’ and the last sentence of paragraph (b) to exception of tipsread contributed to a valid extingui 3(m) that may be taken for tips under employee. as follows: 6(a)(1) (tip *section * * credit*equals *the ■ 19. Amend § 531.60(a) removing tip by pool as described in § 531.54, the tip emergen difference between the minimum wage § 553.212 Twenty percent limitation on the paragraph designation ‘‘(a)’’ and (d) * * * It does not govern or limit provisions of section nonexempt work. 3(m) also property required by section 6(a)(1) and $2.13 per revising the first andcredit third sentences to the determination of the appropriate hour). Employees in law read as follows: require employers(a)to permitengaged employees enforcement activities as described in ■ 22. In * * *of wage * * credit under section amount to retain all tips § 531.60 Overtime payments. §received 553.211 mayby alsothe engage in some and the ■ 18. Revise § 531.59 to read as follows: 3(m) that may be taken for tips When under overtime isemployee. worked by a tipped nonexempt work which is not read as f § 531.59 The tip wage credit. employee who is subject to the overtime performed as an incident to or in section 6(a)(1) (tip credit equals the ■Act, 19.the Amend § 531.60(a) by removing conjunction with their law enforcement pay provisions of the (a) In determining compliance with difference between theofminimum wage activities. The performance employee’s regular rate of pay is the wage payment requirements the the paragraph designation ‘‘(a)’’ andof such § 553.212 nonexempt work will not defeat either nonexem determined by dividing the employee’s Act, under the provisions of section required by section 6(a)(1) and $2.13 per revising the firsttheand third sentences to section 13(b)(20) or 7(k) exemptions total remuneration for employment 3(m) the amount paid to a tipped hour). (a) Em unless it exceeds 20 percent of the total (except statutory exclusions) in any employee by an employer is increased read as follows: hours worked by that employee during enforcem workweek by the total number of hours on account of tips by an amount equal *to the formula * * * * actually worked by the employee in that the workweek or applicable work set forth in the statute 531.60 Overtime payments. period. A person who spends more than§ 553.21 for which§such compensation (minimum wage required by section ■ 18. Revise § 531.59 to read asworkweek follows: When overtime is worked by a tipped nonexem 34 Wisconsin Restaurateur • First Quarter 12 § 531.59 The tip wage credit. employee who is subject to the overtime perform VerDate Mar<15>2010 15:25 Apr 04, 2011 Jkt 223001 PO 00000 Frm 00026 Fmt 4701 Sfmt 4700 E:\FR\FM\05APR2.SGM 05APR2 conjunc pay provisions of the Act, the (a) In determining compliance with

Tip Credit rules changed in 2011!

Are you in compliance? WRA deciphers confusing regulations for you.

Federal Register / Vol. 76, No. 65 / Tuesday, April 5, 2011 / Rules and Regulations how the DOL will enforce their definition ofnecessary “customary reasonable” as to of to and determine the portion wages represented facilities, all such required contributions.byYou must notify facilities musthow be measured your employee much they by willthe be requirements of section 3(m) and required to contribute to the tip pool. subpart B of this part. It is the Administrator’s opinion that deductions Does a form I same may beWRA made,have however, on the basisuse? in an overtime workweek as in can nonovertime workweeks 531.36), We created a basic template(see that§you can if their purpose and effect are not to use. Keep in mind, however, that you are evade the overtime requirements of the responsible forlaw, informing each the employee Act or other providing amount ofdeducted their specific base/cash wage the does not exceed theand amount which could be deducted if the amount of tip credit being taken. This employee may had only worked the to information vary from employee maximum number of straight-time hours employee within a business (unless all during the workweek. Deductions in tipped are paid same excessemployees of this amount forthe such articles base/cash as tools orwage). other articles which are not ‘‘facilities’’ within of the WRA advises thatthe youmeaning put employee Act are illegal in overtime workweeks tip credit notification in writing, so if there as well as in nonovertime workweeks. is ever an audit you will be able to prove There is no limit on the amount which that notified employees. mayyou be properly deducted for ‘‘board, lodging, or Remember, restaurants that don’t follow other facilities’’ in overtime workweeks (asnew in workweeks when no overtime the DOL requirements could lose is worked), that these deductions their right toprovided use the tip credit, forcing are made only for the ‘‘reasonable cost’’ them to pay the full minimum wage to of the items furnished. These principles WR tipped employees! assume a situation where bona fide deductions are made for particular items in accordance with the agreement or Download the of TiptheCredit Employee understanding parties. If the situation is template solely one by of refusal Notice visitingor failure to pay the full amount of wages required by section 7, these principles have no application. Deductions made only in overtime workweeks, or increases in the prices charged for articles or services during overtime workweeks will be scrutinized to determine whether they are manipulations to evade the overtime requirements of the Act. (b) Where deductions are made from the stipulated wage of an employee, the regular rate of pay is arrived at on the basis of the stipulated wage before any the facilities) below the required deductions have been made. Where minimum wage. Facilities must be board, lodging, or other facilities are measured by the requirements of section customarily furnished as additions to a 3(m) and this part to determine if the cash wage, the reasonable cost of the employee has received the applicable facilities to the employer must be minimum wage in cash or in facilities considered as part of the employee’s which may be legitimately included in regular rate of pay. See Walling v. ‘‘wages’’ payable under the Act. Alaska Pacific Consolidated Mining Co., 152 F.2d 812 (9th Cir. 1945), cert. * * * * * denied, 327 U.S. 803. ■ 9. Revise § 531.37 to read as follows:

WReier-Aviles on DSKGBLS3C1PROD with RULES2

This notice must include the following five§points: 531.7 [Removed and Reserved] •■Amount of direct base/cash wage 7. Remove and reserve § 531.7. paid to§ the employee (in ■to 8.be Amend 531.36 by revising paragraph read as follows: Wisconsin(a) thetominimum base/cash wage is $2.33 an hour) § 531.36 Nonovertime workweeks. • Amount theno employer claims as a by (a) When overtime is worked tip employees, credit (e.g. the difference the section 3(m) base/ and this part apply applicable cash wageonly and to thethe current minimum minimum wagean forhour) all hours worked. To wage of $7.25 illustrate, where an employee works 40 •hours The tip credit at can’t exceed actual a week a cash wage rate of at tip earnings least the applicable minimum wage and •isEmployers can’t claim theand federal paid that amount free cleartip at the end of the workweek, and in addition is credit unless they inform employees furnished facilities, no consideration of the federal law’s provisions on the need be given to the question of whether tip credit such facilities meet the requirements of •section The law3(m) requires that part, employees and this since the employee has received in cash retain all their tip earnings, with the applicable minimum wagetofor all hours exception of contributions valid worked. Similarly, where an employee tip pools is employed at a rate in excess of the applicable minimum wage and during a What constitutes a valid particular workweek works 40 hours for tipwhich pool?the employee receives at least the freeisand clear, the Theminimum guidelineswage for what considered employer having deducted a valid tip pool haven’t changed. from A tip wages for facilities furnished, whether such pooldeduction can only include those employees of meets the requirement whosection customarily and regularly 3(m) and subpart receive B of this part tips.need Employees who don’t typically not be considered, since the employee is still receiving, after the receive tips (like cooks, dishwashers has been made, a cash anddeduction other back-of-the-house staff) may wage of at least the minimum wage for each nothour participate in the pool. However, worked. Deductions for board, thelodging, new rulesordon’t set a limit onmay howbe made other facilities in nonovertime workweeks much of their tips employees mayeven be if they reduce the required to the put cash in thewage pool. below The rules prices nowminimum state that wage, the lawprovided “does notthe impose charged do not exceed the ‘‘reasonable a maximum contribution percentage.” In items cost’’ of such facilities. When such theare past, the NRA the andemployee WRA had advised furnished at a profit, the deductions fromwould wagesconsider in weeks in employers that the DOL whichwith no aovertime is threshold worked are tip pools maximum of considered be illegal only to the 15% to be valid.toNow that percentage is extent that the profit reduces the wage up to the employer although it is unclear (which includes the ‘‘reasonable cost’’ of

§ 531.37

Overtime workweeks.

(a) Section 7 requires that the employee receive compensation for overtime hours at ‘‘a rate of not less than one and one-half times the regular rate at which he is employed.’’ When overtime is worked by an employee who receives the whole or part of his or her wage in facilities and it becomes

VerDate Mar<15>2010

www.wirestaurant.org

10. Remove the undesignated center heading above § 531.50.

■

11. Designate §§ 531.50 through 531.60 as subpart D, and add a heading for subpart D to read as follows:

■

Subpart D—Tipped Employees ■

12. Revise § 531.50 to read as follows:

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18855

§ 531.50 Statutory provisions with respect to tipped employees.

(a) With respect to tipped employees, section 3(m) provides that, in determining the wage an employer is required to pay a tipped employee, the amount paid such employee by the employee’s employer shall be an amount equal to— (1) the cash wage paid such employee which for purposes of such determination shall be not less than the cash wage required to be paid such an employee on August 20, 1996 [i.e., $2.13]; and (2) an additional amount on account of the tips received by such employee which amount is equal to the difference between the wage specified in paragraph (1) and the wage in effect under section 206(a)(1) of this title. (b) ‘‘Tipped employee’’ is defined in section 3(t) of the Act as follows: Tipped employee means any employee engaged in an occupation in which he customarily and regularly receives more than $30 a month in tips. §§ 531.51, 531.56, 531.57, 531.58 [Amended]

13. In addition to the amendments set forth above, in 29 CFR part 531, remove the words ‘‘$20’’ and add, in their place, the words ‘‘$30’’ wherever they appear in the following places: ■ a. Section 531.51; ■ b. Section 531.56, the section heading and paragraphs (a) through (e); ■ c. Section 531.57; and ■ d. Section 531.58. ■ 14. Amend § 531.52 by revising the second sentence to the end of the paragraph to read as follows: ■

§ 531.52

General characteristics of ‘‘tips.’’

* * * Whether a tip is to be given, and its amount, are matters determined solely by the customer, who has the right to determine who shall be the recipient of the gratuity. Tips are the property of the employee whether or not the employer has taken a tip credit under section 3(m) of the FLSA. The employer is prohibited from using an employee’s tips, whether or not it has taken a tip credit, for any reason other than that which is statutorily permitted in section 3(m): As a credit against its minimum wage obligations to the employee, or in furtherance of a valid tip pool. Only tips actually received by an employee as money belonging to the employee may be counted in determining whether the person is a ‘‘tipped employee’’ within the meaning of the Act and in applying the provisions of section 3(m) which govern wage credits for tips.

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Inspiration in Your Backyard Solutions for Sourcing Local at Wisconsin Restaurant Expo by Amy Steger

oday’s consumers are showing an ever-increasing demand for locally-sourced menu items. The National Restaurant Association (NRA) recently reported in their National Household Survey that on average, 69% of adults said they are more likely to visit restaurants that offer locally-sourced food items. Surprisingly, this movement is not specific to a single age demographic; consumers of all ages said they prefer to eat local foods.

Adults More Likely to Visit Restaurants that Source Local 76% 69%

68%

Local sourcing education

61%

18 to 34

35 to 44

45 to 54

55 to 64

To help restaurateurs and foodservice professionals better understand local sourcing practices and processes, the Wisconsin Restaurant Expo will hold a series of education sessions at the 2012 show.

65 or Older

Source: NRA, National Household Survey, 2010

In any business, it’s essential to periodically review fads and trends to best capitalize on what the public wants. For foodservice, this often means adapting menu items and dining practices to incorporate the latest consumer desires. Right now and in the coming year, it’s clear that local sourcing is all the rage for restaurant menus.

What's Hot According to 1,800 Surveyed Chefs Locally sourced meats and seafood

83%

Locally grown produce

81%

Hyper-local ingredients

77%

Locally-produced wine and beer

73%

(e.g. restaurant gardens)

To stay on the “hot spot” list with their customers, both fullservice establishments and quickservice operations are seeking ways to make the most of this increased consumer awareness and interest in local food sourcing and farm-to-fork practices. There are many resources available to support restaurants interested in the “buy local” movement.

Local Food Safety Q&A On Monday, March 12 at noon, Steve Ingham, food safety division administrator for the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) will cover food safety measures related to the local buying process as participants get answers to their food safety questions. Session attendees will also receive the Wisconsin Local Food Marketing Guide, a publication providing thorough information on local food sourcing. The seminar will be facilitated by Lois Federman, director of DATCP’s Something Special from Wisconsin™ program.

Source: NRA’s “What’s Hot for 2012” Survey of American Culinary Federation of Chefs

Wisconsin

Restaurateur • First Quarter 12

Photo Courtesy: Wisconsin Milk Marketing Board

Chef Symposium on Local Sourcing The popular public television series, Wisconsin Foodie, hosts a local sourcing panel discussion to be held Monday, March 12 at 1:45 p.m. Several Wisconsin chefs that use local products will gather to share their experiences on sourcing local foods and how it has benefited their businesses. Wisconsin Foodie is an Emmy-nominated independent television series dedicated to discovering the stories behind the food we eat. The TV show’s host, Kyle Cherek, will facilitate the chef symposium. Sourcing Local for Large Volume It’s a common misconception that large volume buyers cannot source local due to product availability. While challenges may be present, they can be overcome. In an introductory session held Tuesday, March 13 at 10:30 a.m., large volume buyers will get help identifying goals and taking the first steps toward getting in on the “buy local” movement. Panelists will include Laura Witzling,

Dane County’s Institutional Food Market Coalition (IFM) coordinator, Scott Hoffland, director of restaurant operations at UW-Milwaukee, and Amy Miller, services director at Sauk Prairie Memorial Hospital.

companies that operate in the state will also be featured at a number of booths. Buying from Wisconsin-based companies in the Expo exhibit hall areas is an investment in the state’s economy and its future.

Local suppliers

Watch and learn

Buying local boosts the Wisconsin economy, keeps money in local communities, employs local residents and saves jobs in our state. Every dollar spent on locally-produced products works to sustain local farmers, food processors, entrepreneurs, communities and the Wisconsin way of life. Director of nutrition and healthy living for the National Restaurant Association, Joy Dubost, Ph.D, R.D., agrees. “Local farms and food producers have become an important source of ingredients for chefs and restaurateurs wishing to support the members of their business community and highlight seasonal ingredients on menus.” Wisconsin is home to several programs that support locally-produced and locally-sourced food. Two prominent forces in this venture will be at the Wisconsin Restaurant Expo this March: DATCP’s Something Special from Wisconsin™ program and Wisconsin Milk Marketing Board with their all-new Wisconsin Creamery. Each program will feature Wisconsinmanufactured products from Wisconsin-owned companies to taste and try in specialty pavilions on the Expo show floor. Many other products and services from

First Quarter 12 • Wisconsin

When diving into local sourcing for restaurant menus, it’s important to have a clear understanding of how to implement local ingredients into menu items. In the Wisconsin Restaurant Expo’s Culinary Theater, top Wisconsin chefs will prepare signature recipes, live onsite. Attendees will watch the chefs in action as they incorporate local ingredients in recipes and discuss timely topics like sustainable sourcing and local farm-totable networks. Special guests appearing in the Culinary Theater over March 12-14 are prominent advocates of local sourcing and hail from different regions of Wisconsin. They include: Chef Justin Aprahamian of Sanford in Milwaukee; Chef Tory Miller, owner of both L’Etoile and Graze in Madison; Chef David Swanson, owner of Braise on the Go in Milwaukee; Chef Stefano Viglietti, owner of four Sheboygan restaurants; and others.

More info

For more information on local sourcing activities and education planned for the Wisconsin Restaurant Expo, visit the Expo website at www.everythingfoodservice.org. It’s just $25 for advance registration ($35 onsite)—a great value for all that’s offered over the three days. WRA members that qualify for four free advance registrations should check their email or call 800-589-3211 for their special registration code. WR

Restaurateur

EXPO 2012: PRODUCT PREVIEW Taste awesome flavors and menu items? ✔ Test tons of stuff over just 3 days? ✔ Check out what’s new in foodservice? ✔

Legend:

At the Wisconsin Restaurant Expo, 100s of suppliers (local and national) are on-hand to answer questions on the latest innovations in foodservice. It’s all there to, ultimately, help you attract customers and make more money.

– New since March 2011

Here’s a preview of just some of what you’ll see in Milwaukee, March 12-14:

– Exclusive Expo Discount

Beverage Grade CO2

Airgas provides a hands free, maintenance free CO2 / Nitrogen System to keep your soda and draft beer properly carbonated. Discount on first month's lease!

Cooking Oil Recycling

Recycle used cooking oil to appear, more eco-friendly and more sustainable, while enhancing your image with customers!

Airgas National Carbonation, Booth 928

Blue Honey Bio-Fuels, Booth 752

All Natural Gyros

Authentic allnatural gyros with tender, fresh-broiled meat and imported Greek spices. Easy-to-cook portioncontrolled slices: just use any flat-top griddle. Handmade in Waunakee, Wis.

Athens Gyros, Booth 831

Strata Buffet System

Transform your buffet with an innovative system of interchangeable components. Designed to use three types of heat: chafing fuel, electric and butane.

Boelter Companies, Booth 402

Genius Retractable Awning System

Cayenne Kicker Fillet

The retractable awning combines the beauty of a pergola, flexibility of a retractable awning and comfort of a room addition. For a small deck, large patio or huge pavilion.

Breaded, whole muscle fillet seasoned with real cayenne pepper. Kick up the heat on chicken applications.

Brakebush Brothers, Inc., Booth 316

Baraboo Tent & Awning, Inc., Booth 325

Broaster Recipe 4oz Cod Two Hearted Ale

A remarkably drinkable American-style Indian Pale Ale, balanced by a significant malt body, massive Centennial hop presence with characteristic grapefruit and pine resin aromas, and the signature fruity aromas of Bell's house ale yeast.

Bell's Brewery, Inc., Booth 609 Citrus juicing that's fast and powerful, simple to use and easy to clean. 10% discount on show orders!

Berkel Midwest Sales & Service, Inc., Booth 220

Wisconsin

Broaster Sales, Booth 435 Casio Cash Registers

Affordable, easy-to-use with a robust menu of features: age verification, check tracking, receipt logos, frequent items, data backup, inventory and time/attendance.

Zumex Versatile Pro

Four ounce natural cut premium cod fillets coated with ale batter. Frozen cod is perfect for Friday Fish Fries or Lent. $4 off cases on show orders!

Cornerstone Processing Solutions, Booth 615

Restaurateur • First Quarter 12

Custom Cut Cutting Boards

1/2" thick custom cut cutting boards available in white, green, red, yellow, blue and tan. 3/4" and 1" thick available in white only.

Cozzini Bros., Booth 335

Heartland Gift Marketing

Promote your restaurant through rewards and registration features of "Pay-forPerformance" gift marketing programs. Flexible and easy to implement.

Heartland Payment Systems, Booth 538 & Booth 535

Cleaning Caddy

Cleaner, odor-free restrooms at a low cost. Disinfect daily with the compact, convenient Ecolab Cleaning Caddy.

Honey Smoked Salmon

Ecolab, Inc., Booth 909

Fresh fully-cooked hot smoked salmon, Kosher, all natural, diabetic friendly and gluten free.

Canyon Dinnerware

Enhance food presentations without the cost of replacing existing dinnerware patterns. White porcelain in a variety of shapes and sizes complements any china pattern.

Edward Don & Company, Booth 902 Qualified Accounting Services

Three services for small business: accurate and timely monthly financial statements, tax planning and monitoring and business consultations. FREE comparison to your current service!

Honey Smoked Fish Co., Booth 444 Breakfast Buttermilk Biscuits

Rich, flaky buttermilk biscuits, brushed with extra virgin olive oil, filled with lightly folded eggs and a variety of fresh ingredients. Perfect for breakfasts.

Kabobs, Booth 808

EWH Small Business Accounting, Booth 238

Absolutely Chicken Base

Reduced sodium, full flavored chicken base with no wheat glutens and no trans fat. It's “The Chef’s Choice!” Buy 12 lbs, get 12 lbs free!

Karlsburger Foods, Inc., Booth 845

Gold’n Plump® Ground Chicken

Made from premium quality boneless chicken that’s juicy and flavorful, ground chicken delivers taste and healthy eating.

GNP Company, Booth 408

Manitowoc Group – Kolpak Walk-Ins

Talk with the experts of walk-in freezers and refrigerators—see how easy and affordable a walk-in can be.

White Bean Tableready Salad

Kavanaugh Restaurant Supply, Booth 514

Tasty tableready salad made with great northern beans, green and red bell peppers, onions and celery and dressed in white balsamic vinaigrette.

Somerville buffet service offers functionality, high quality, a stunning finish and unique accent features. Bring an upscale image to any décor.

Gordon Food Service, Booth 720

Kessenich's, LTD, Booth 606 Mozzarella Provolone Mild Blend

Crumble·Ons®

All natural, with a wellbalanced taste that’s subtle enough to use as your everyday cheese, yet flavorful enough to set your menu apart. Labor-saving diced or shredded reduces waste.

Easy-to-use and 100% original, S’mores Crunch® Crumble·Ons® deliver the s’mores taste and crunch of marshmallows sandwiched between milk chocolate and crisp graham crackers.

Meyers Bay Foods Company LLC, Booth 734 continued on page 40

Grande Cheese Company, Booth 740

First Quarter 12 • Wisconsin

Restaurateur

Hidden Bay Cooked & Uncooked Shrimp

continued from page 39 Leinenkugel's Summer Shandy

Premium quality and expertly frozen for firm, fresh texture and flavor. Perfect for elegant cocktails, zesty appetizers or stunning signature dishes.

Brewed with fine wheat, malted Red River Valley barley, real Wisconsin honey and a touch of lemonade to create a light, crisp flavor. Available via Miller distributors this March.

MillerCoors, Booth 838

Reinhart FoodService, Booth 702 67th Street BBQ Fully Cooked Barbecued Meats

Fully-cooked, naturally hardwood smoked and sauced with Sweet Baby Ray's. Simply heat and serve.

New Era Marketing, Booth 550

ZOOM Point-of-Sale

A reliable, secure, powerful, expandable and user-friendly POS system.

Retail Control Solutions, Booth 541 Payroll Processing

Payroll processing, tracking service allocations, processing cash/credit card tips, calculating blended wages and more. WRA members save 10% on first year of fees!

Cabin Fever Honey Bock

Pale bock brewed with Wisconsin two row barley to balance with special European hops. Naturally sweet clover honey is added in the kettle!

Schenck SC, Booth 323

TRIM-PLUS

New Glarus Brewing Co., Something Special from Wisconsin Pavilion

Property/casualty insurance for restaurants. Special endorsement extends limits and coverages at no additional charge. Discounts for WRA members!

Society Insurance, Booth 521 Nueske's Applewood Smoked Chicken

Tender, juicy applewood smoked chicken livens up soups, salads, pastas or pizza. Pre-cooked and ready-to-serve. Whole bird or boneless breast. Made in Wittenberg, Wis.

Restaurant Lending

Restaurant and foodservice lending, from working capital to building loans to equipment financing. $500 app fee waived with new loans!

Spectrum Capital, Booth 624

Nueske's Applewood Smoked Meats, Booth 640

Consumer Trend Report Series In-depth data and analysis on consumer attitudes and usage of foodservice products and brands. These powerful reports highlight the latest industry trends.

Restaurante Style Yellow Corn Tostados

Restaurant-quality tortilla chips. Fresh taste and crisp texture of every chip is delicious with salsas or dips.

Technomic, Inc., Customer Building Block Booth 533

Old Dutch Foods, Inc., Booth 421 Virtuo SmartJuke

A jukebox with built-in camera photo booth and a full-on karaoke experience! Entertainment accessible with cash, credit card or a mobile app.

On-Line Amusements, Inc., Booth 844

Wisconsin

Torke Iced Coffee

A sweet vanilla flavored iced drink infused with invigorating coffee. Easy-to-prepare, cool, smooth and refreshing.

Torke Coffee Roasting Co., Booth 802

Restaurateur â&#x20AC;˘ First Quarter 12

Digital Dining Online Ordering

Naan Teardrop

TransformPOS, Booth 630

US Foods, Booth 544

Hand-stretched flatbreads, baked in an authentic tandoori oven for airy texture and blistered crust. Available in Original, Roasted Garlic and Masala flavors.

Version 7.4.2 offers online ordering, gift card sales, loyalty programs and more. 10% off show orders!

Mirage Pro

Instant heat, 100 power levels and 80°-400° range, for low-end control to fast, high temp cooking. 90% energy-efficient. No open flame for a cooler, safer kitchen.

The Vollrath Co., L.L.C., Booth 837

VTEC Infrared Charbroiler

Mozo Sharkz Chef Signature Collection Shoes

Footwear that's as inspired, creative and passionate as chefs are. 10 ounces of cool comfort in a variety of styles.

Upper Midwest Gourmet, Booth 748

Delivers increased production and decreases gas usage by 50%. Easy to operate and clean.

Woolsey Associates, Booth 728

Wisconsin Restaurant Expo See these products and more at the Wisconsin Restaurant Expo!

March 12-14, 2012

Frontier Airlines Center • Milwaukee, Wisconsin Check out suppliers and featured products that’ll be at the show on the Expo’s full exhibitor list online. Don’t forget to register!

www.everythingfoodservice.org

Exhibit Hall Hours Monday: 11am-5pm Tuesday: 10am-5pm Wednesday: 10am-3pm Your 3-day pass is only $25

WRA Members: Get FOUR FREE Registrations!

First Quarter 12 • Wisconsin

Restaurateur

Reasons to be a WRA Member

#10 TIMELY INFORMATION

Get email alerts when laws change – and they change all the time – with clear info on what you need to do to comply

#9 ESSENTIAL RESOURCES

#5 THE LATEST TRENDS

Receive Wisconsin Restaurateur magazine: a great read, written specifically for restaurant operators in Wisconsin

Information at your fingertips that #4 VALUABLE PROMOTION explains the laws and regulations you WRA promotes member restaurants to need to follow – not in “governmentese” – new customers with the statewide gift but in plain English – and customized certificate program, online dining for foodservice in Wisconsin guide and publicity opportunities

#8 REAL ANSWERS

#3 NEW IDEAS

#7 SERIOUS COST SAVINGS

#2 RESOURCES YOU JUST CAN’T FIND ANYWHERE ELSE

Your very own Hotline Team waiting to answer your questions – quickly and confidentially Save money on things you already use like credit card processing, ServSafe food safety and alcohol training, business insurance, music licensing and more

#6 GENUINE CONNECTIONS Network with other operators – good ideas often come from talking to others facing some of the same challenges

WRA members receive four free admissions to the Wisconsin Restaurant Expo in March

WRA is an ally, resource, liaison, advocate, educator – all rolled into one – WRA has your back

#1 Because just like your mom always said “It’s good for you” -- and good for your business!

Wisconsin

Restaurateur • First Quarter 12

In Memoriam – Heinz Fischer

WRBN

Wisconsin Restaurant Business News, continued from page 22

Wisconsin Restaurant Business News

National Restaurant Association Awards

Congratulations to the following state finalists for the NRA’s Restaurant Neighbor and Diversity Awards! Finalists will go on to compete at the national level with nominees from every state. Small business: Maxsells/Encore Ballroom – Rachel Egelseer, owner, located in Florence Medium to large business: Cougar Enterprises, Inc. dba Hardee’s – Mary and Al Williams, owners, office in Medford National chain: To be announced Cornerstone Humanitarian: Chef Fred Griesbach, sous chef, CEC, AAC at The Sky Club in Plover Faces of Diversity/American Dream: Krishna Pradhan, owner, Himal Chuli in Madison

Roundtable

Heinz Fischer pictured at the 2010 Celebration of Excellence.

Kudos: Members in the News

Hinterland Erie Street Gastropub in Milwaukee was highlighted in The Week magazine as a “Critics’ choice: 2011’s ‘Best Places to Eat’ – in Five Cities.” Chef Dan Van Rite’s food was described as “transcendent.” This fall New York Times readers voted to send Frugal Traveler writer Seth Kugel to Madison for the weekend on a tight budget. During his whirlwind trip, he enjoyed meals at many WRA member restaurants: Lao Laan-Xang, Weary Traveler Free House, State Street Brats and Dotty Dumpling’s Dowry. His article “My Trip to Madison: Bikes, Brews, Burgers and a B&B” is at www.nytimes.com.

Hotline Q&A

Bravery in a Bad Economy

While economic conditions are still uncertain, some restaurants are optimistic and are forging ahead with remodeling, expansions or new concepts. Paul Cunningham of Schreiner’s Restaurant in Fond du Lac recently announced the opening of Bernie’s Pub in place of their former gift shop. Schreiner’s, which was founded in 1938, renowned for their home-style cooking and fresh bakery items, has now carved out this new niche with dark wood, custom stained glass and embossed tin ceiling in the style of a traditional European pub. Cunningham and his wife Joan used local firms for the design and construction of the pub named for previous owner Bernie Schreiner. Raul Perez, owner of the Lumber Inn in Delafield also has plunged into an ambitious expansion of his establishment. A 1,500 square foot addition will more than double the size of the diner that he purchased over 11 years ago from Dave and Sharlene Huebner but will retain its cozy and homespun atmosphere. Originally from Mexico, Perez began his career in foodservice as a dishwasher. Working as a cook, he began saving for his own restaurant. He told the Lake Country Reporter that he was expanding the restaurant in the middle of recession because he has the money to do the job and “contractors are hungry for work.”

First Quarter 12 • Wisconsin

Heinz Fischer passed away on December 2, 2011 in Minocqua. Born in Danzig, Germany in 1918, he moved to Milwaukee in 1925. After graduation from high school, he attended Marquette University and held a variety of jobs working for a lumber company, as a real estate agent and a home builder. In 1960 Fischer and his wife Lisette purchased the Holiday Inn Supper Club in Minocqua. His entrepreneurial spirit and warm, smiling persona made him the ideal restaurant owner, a position he held for 26 years. During those years he was very active with both WRA and the WRA Education Foundation, serving on both boards, holding the honor of being the first WRA EF Chair all while being involved in WRA’s Northwoods Chapter. The state ROY winner in 1978, he also funded an endowed scholarship (in his and Lisette’s name). He also chaired the Nicolet College Advisory Committee for Hospitality Management and was a consultant to the Wisconsin State Technical College Advisory Board. Fischer truly embodied the American Dream and was an inspiration to many in our industry. He is survived by his son Richard, a granddaughter Cindy, a great granddaughter Nicole and great-greatgranddaughter Klea. WR

Restaurateur

We asked restaurant operators from around the state:

The Back Burner

What is your favorite food memory?

Simmer on this Holiday dinner around my grandmother's table out on the farm: roast turkey, ham, mashed potatoes, gravy, stuffing, homemade cranberry sauce, fresh baked rolls ... I can smell her kitchen right now. Judy Danielson, Executive Chef / F&B Director Burnstad's European Restaurant & Pub, Tomah Ruffalo's Restaurant in Kenosha, WI. Unbelievable gnocchi. Home-made sauce with pasta. My family would go there once a week. I will never forget Ruffalo's great food and service.

Eating fresh fish we caught on White Lake in Waupaca County over a campfire. Tim Neuman, Restaurant General Manager Ground Round Grill & Bar, Neenah

Todd Zukowski, Owner Riverside Cafe at Timber Terrace, Chippewa Falls

Making pies and bread with my grandmother. Cooking dinner at the James Beard House in New York City, featuring local foods.

Scott Patchin, Owner David W. Heiney's Dining & Spirits, Black Earth

Peter Gebauer, Executive Chef Potawatomi Bingo Casino, Milwaukee

Making poultry stew with freshly killed ducks in a duck blind with my dad growing up. We had a propane burner & big stock pot and started with a rough mirepoix (didn't know that was the name then) red wine and chicken stock and just cleaned and seared the ducks as we shot them, added them to the pot and cooked ‘em low and slow. Delicious. Dan Sidner Maxie's Southern Comfort & Blue's Egg Restaurants, Milwaukee

When we were in Florida for our honeymoon at a seafood restaurant. We had hush puppies for the first time. They were great, but I've never found them again quite the same. Dick Luther, Owner Joe Jo's Pizza and Gelato, Ephraim

When I went to prom at Ted's Grandview in Fremont I ordered filet mignon. When they brought it I argued with the server that it wasn't what I ordered as my dining experiences up to 17 lead me to believe any filet was always fish. Hence my car nickname... the fast food graveyard. John Hayes, Owner Red Ox Seafood and Steakhouse, Appleton

Share with your fellow restaurateurs on the next Back Burner question—visit www.wirestaurant.org 44

Wisconsin

Restaurateur • First Quarter 12

Industry’s Best Training and Certification

Protect your business. Meet state requirements. Be certified by a leader.

ServSafe

Brought to you by:

■ Serving Safe Food Initial State Certification ■ Wisconsin State Food Manager’s Recertification ■ Online Food Safety – Initial and Recertification ■ ServSafe Starters™ Employee Training ■ Responsible Alcohol and Bartender Training – Online Available across Wisconsin. Contact WRA for locations or more information.

We’ve Got You Covered! “Product and Profitability” For you... the restaurateur, we believe that “Training with a Purpose for Profit” is the key to your success and our partnership. Dierks Waukesha is proud to present the finest plate coverage available. We are Center-of The-Plate Specialists, featuring Custom Cut Fresh Meats from Melotte Wholesale Meats and Fresh Seafood from St. Paul Fish Company. As a member of UniPro Foodservice, Inc., Dierks Waukesha delivers exceptional quality and value with a 12,000 item selection of NATIONALLY BRANDED goods. UniPro is the largest foodservice distribution cooperative in the United States, with over $31 billion in buying power which directly benefits you. Together, we will create pleasurable dining experiences that your patrons will find positively irresistible.

900 Gale Street • Waukesha, WI 53186 • (262) 542-8841 • (800) 283-7788 46

Wisconsin

Restaurateur • First Quarter 12

See us at Booth #654