Washington Hospitality Magazine July 2018

WA S H I N GTO N

July 2018

T E CH FO RWA R D HR TECH SOLUTIONS

TECH OUTLOOK 2018

BEST PRACTICES FOR 3RD-PARTY DELIVERIES

Washington Hospitality Association 510 Plum Street SE Olympia, WA 98501-1587

July 2018 │ 1

STANDARD US POSTAGE PAID APEX MAILING SERVICES INC

Get the low rates you want and the fuss you don’t.

HOSPITALITY’S OWN

Credit Card Processing Program We’re delivering what members have asked for – volume pricing, no rate increases behind your back, no annual contract, no early termination fees.

Powered by

Amy Spradlin | 800.225.7166 x 117 | amys@wahospitality.org

Solutions for Restaurants from Start to Finish Our products encompass the entire restaurant experience. From mobile marketing and waitlist management, to point of sale and payments, CAKE helps yourStart restaurant grow Solutions for Restaurants from to Finish

Solutions for Restaurants from Start to Finish

Our products encompass the entire restaurant experience. From mobile marketing and waitlist management, to point Our products encompass the entire restaurant experience. marketinggrow and waitlist management, to point of sale and payments, CAKEFrom helpsmobile your restaurant of sale and payments, CAKE helps your restaurant grow

Solutions for Restaurants from Start to Finish

Our products encompass the entire restaurant experience. From mobile marketing and waitlist management, to point of sale and payments, CAKE helps your restaurant grow

CAKE Point of Sale With 2.5%CAKE Payment Processing Point of Sale CAKE Point ofProcessing Sale With 2.5% Payment With 2.5% Payment Processing

CAKE Guest Manager Mobile Waitlist Reservations CAKE Guest&Manager CAKE Guest Manager Mobile Waitlist & Reservations Mobile Waitlist & Reservations

CAKE Connect MenuCAKE Discovery & Online Ordering Connect CAKE Connect Menu Discovery & Online Ordering Menu Discovery & Online Ordering

Setup a free demo at trycake.com Setup a1-855-696.CAKE free demo at trycake.com Setup a free demo at trycake.com 1-855-696.CAKE

1-855-696.CAKE Sysco Seattle, Inc.

CAKE Point of Sale With 2.5% Payment Processing

Sysco Portland, Inc.

22820 54th Ave. S. Kent, WA 98032 CAKE Guest Manager 206.622.2261 Mobile Waitlist & Reservations seattle.sysco.com

CAKE Connect Menu Discovery & Online Ordering

Sysco Spokane, Inc.

26250 SW Parkway Center Dr. Setup a free demo at trycake.com 300 N. Baugh Way Wilsonville, OR 97070 Post Falls, ID 83854 1-855-696.CAKE 208.777.9511 • www.syscospokane.com 503.682.8700 • www.syscoportland.com

EDITORIAL STAFF Publisher, Anthony Anton Executive Editor, Lex Nepomuceno Editor-in-Chief, Marianne Scholl Art Director, Lisa Ellefson Managing Editors, Paul Schlienz and Morgan Huether Contributing Editors: Andy Cook, David Faro, Jillian Henze, Morgan Huether, Sheryl Jackson, Lisa Leinberger and Nicole Vukonich

Inside

July 2018

EXECUTIVE COMMITTEE Chair: Frank Welton, Hilton Worldwide Vice Chair: Chad Mackay, Fire & Vine Hospitality EXECUTIVE TEAM President and CEO, Anthony Anton Vice President, Teran Haase CFO, Darin Johnson Senior Director of Communications & Technology, Lex Nepomuceno Director of Local Government Affairs, John Lane Director of State Government Affairs, Julia Gorton Director of Membership, Steven Sweeney Education Foundation, Naja Hogander Incubation Senior Manager, Ken Wells Benefit Programs and Events Senior Manager, Victoria Olson

510 Plum St. SE Olympia, WA 98501-1587 T 360.956.7279 | F 360.357.9232 wahospitality.org

Letters are welcomed, but must be signed to be considered for publication. Please include contact information for verification.

Reproduction of articles appearing in Washington Hospitality Magazine are authorized for personal use only, with credit given to Washington Hospitality Magazine and/or the Washington Hospitality Association.

Articles written by outside authors do not necessarily reflect the views or positions of the Washington Hospitality Association, its Boards of Directors, staff or members.

Products and services advertised in Washington Hospitality Magazine are not necessarily endorsed by the Washington Hospitality Association, and do not necessarily reflect the opinions of the Washington Hospitality Association, its Boards of Directors, staff or members.

ADVERTISING INQUIRIES MAY BE DIRECTED TO:

Andy Cook

360.956.7279 andyc@wahospitality.org Washington Hospitality Magazine is published monthly for members. We welcome your comments and suggestions. email: news@wahospitality.org, phone: 800.225.7166.

Circulation: 6,310

4 │ wahospitality.org

Features 14

Technology Forward: McDonald’s embrace of new tech keeps up with the changing times

16

Tech Watch: Trends You Should Know About

22

Third Party Delivery: What You Need to Know

26

You Can Automate That: Using HR technology to work smarter, not harder

In Every Issue 6

President and CEO

8

News Briefs

9

Association News

10

Local GA Update

12

State GA Update

29

Calendar and New Members

30

Ask the Expert

H.I.H.I.T. H.I.H.I.T. is cost saving built for hospitality organizations.

8779781839 Features of H.I.H.I.T. include: 50% Participation 50% Contribution Classing Out Dual Option Stand Alone Products Easy enrollment and group set ups Smart Phone App for TelaDoc PPO (Preferred Provider Organization)

HSA (Heath Savings Account) EAP (Employee Assistance Program) Direct Primary Care (DPC) Life Insurance Disability Insurance Cobra Administration Owners covered for on the job injuries

Call to find out more about H.I.H.I.T. and other standalone benefit programs like “TelaDoc” at $2.56/month/person.

President and CEO

Tech: OK—but how?

In May, I proclaimed 2018 the Age of Disrupters in my State of the Industry talk.

Definition of a Disrupter: a: to be the cause of disorder or turmoil; b: to be the destroyer, usually temporarily, of the normal continuance or unity; c: to be the cause of radical change.

There are so many disrupters in hospitality right now – from scheduling, to millennials, to third-party delivery and the onslaught of new technology. Undoubtedly, this month you have been dealing with at least one disrupter in your business.

Any economic cycle tends to have two to four disrupters.

What makes this business climate unique is the volume of disrupters. The Association is currently tracking more than 30 disrupters in hospitality in this economic cycle.

One of the reasons tech is challenging is because it isn’t what we do. Most of us got into hospitality either because we love people or we love the culinary arts. It’s the nature of our industry. None of us entered the industry seeking to get and use the best in tech. So how do we deal with something so out of our natural skill set?

This is where we look to the largest businesses in our industry that have resources to develop solutions the rest of us can learn from.

What do we see so far?

The largest companies are hiring experts. They aren’t 1990 IT nerds that would come by our desks to fix a printer, but truly strategic leaders who can develop and/ or adopt tech innovations that can deliver us to the other side of this storm of disrupters.

Nearly 100 percent of the top hospitality companies by size now have a chief tech officer or equivalent. Many employ more tech professionals than either tourism marketing organizations or menu developers.

For example: Domino’s Pizza’s CEO Patrick Doyle told Harvard Business Review about the importance of

6 │ wahospitality.org

technology when he said, “We are as much a tech company as we are a pizza company.”

He also pointed out that of the 800 people working at Domino’s headquarters, 400 people work in software and analytics.

Anthony Anton President & CEO

As your company’s leader, you don’t have to understand the differences between Snapchat and Twitter, know how to fix your Wi-Fi, or know how to create an e-dashboard for your business. But you do need to identify someone who does.

We understand most hospitality companies are too small to hire on full-time expertise to pave the way for modern success. So maybe the solution for our problem today is to look to our past.

When we needed bridges to technical solutions in the past, we all had a fixer. We all had a hood fixer, a cash register fixer or a refrigeration fixer.

On Sundays, my dad was constantly headed down to our family business to meet the latest parade of fixers with skills to solve an issue he couldn’t fix.

Maybe the time has come that we all need a tech fixer.

Or maybe that is too broad; maybe we need a handful of them: a social media guru, a programmer, a dashboard creator, a data manager, etc.

The point is that someone needs to be delegated to prepare and adopt the changes your company needs for the technology disrupter. And as your company’s leader, or at least as one of them, you are the one who must execute that delegation.

We would love to learn how we, as your primary source of information, can help. Go to our website and tell the Association what it can do to help you navigate the disrupter of tech.

We’re looking forward to helping you get to the other side.

HEALTHCARE

SOLUTIONS

We are confident that we have competitive rates to show you.

HEALTHCARE SOLUTIONS WA Hospitality Benefits Specialist Holly Hahn 877.246.0545 wahospitality.org/wise-buy/health-care-solutions

Primary Source of Information | News Briefs

Free webinars on sexual harassment prevention During the months of July and August, ServSafe Workplace is offering free webinars on sexual harassment prevention for employees. This 60-minute webinar is open to all restaurant and hospitality employees.

ServSafe Workplace is a comprehensive suite of training programs rooted in the cultural and social issues affecting today’s restaurant and hospitality work environments. This new product line focuses on mitigation and management of issues associated with the work and safety of employees. It is designed to assist in strengthening every establishment’s stance against harassment in the workplace.

ServSafe Workplace equips employees and managers with training to help manage emerging risks and advance the positive culture of the foodservice and hospitality industries. These programs will combine online training to create consistent messaging, while providing additional free resources such as breakroom posters, videos, and discussion guides to reinforce key training points.

Training topics is the full series include Sexual Harassment Prevention for Restaurant and Hospitality Employees/Managers (available Fall 2018), Diversity and Unconscious Bias which will be presented in partnership with the Multicultural Foodservice & Hospitality Alliance in Winter 2018, Workplace Safety, and Privacy and PCI Compliance.

Multiple webinars on preventing sexual harassment that will be available to the entire industry, at no charge, through the summer. Learn more at www.servsafe. com/ServSafe-Workplace/Sexual-Harassment-Prevention-Free-Webinar.

Ban on plastic straws and disposable utensils in Seattle goes into effect Seattle’s ban on plastic straws and disposable plastic utensils in foodservice is now in effective. As of July 1, 2018, straws, disposable utensils and cocktail picks must be compostable.

Up until this year, these products received annual exemptions from the city’s food packaging law, which requires one-time foodservice items, including packaging and utensils, to be recyclable or compostable. The exemption was not renewed this year because there are now adequate products available to meet the requirement.

Small portion cups and lids continue to have a temporary exemption from the city’s foodservice ware ordinance. Exemptions are reviewed annually.

Seattle composting facilities only accept approved compostable products, and compostable straws and utensils must be approved compostable by the City of Seattle. Products advertised as “biodegradable” might not be acceptable. A list of approved products is published by Cedar Grove Composting (cedar-grove. com/compostable/accepted-items) and Lenz Composting (greenblenz.com/ materials).

Learn more about Seattle’s food packaging requirements at wahospitality.org/ government-affairs/seattle-2.

8 │ wahospitality.org

Washington updates foodservice requirements for liquor licenses In June, the Washington State Liquor and Cannabis Board approved new language for food requirements under the Washington state spirits, beer and wine restaurant license. The Board expanded the definition of what a “complete meal” is to include many cultural dishes. There is now also greater flexibility in the requirement that side dishes accompany entrees.

The updates accommodate the diverse range of menu offerings popular today.

The changes, which are a win for our industry, come after months of work by the Washington Hospitality Association and with input from Association members. To read the updated language of the Washington Administrative Code, go to bit.ly/2tBlVmb.

Primary Source of Information | Association News

Awards to Honor Our Industry’s Best There is a time to honor the outstanding members of our hospitality industry, and that time is at the Washington Hospitality Convention, coming Nov. 11-13, at the Hyatt Regency Lake Washington in Renton.

One of the many events at the convention that you won’t want to miss is our presentation of the 2017-18 Restaurant Neighbor Award and the 2018 Stars of the Industry Awards.

Restaurant Neighbor Award Restaurants demonstrate an unwavering commitment to their communities in good times and bad. Perhaps no other industry has deeper community roots. In large and small communities, people turn to restaurants each day for sustenance, support and socialization – and restaurants give back to their communities, improving the quality of life for all they serve.

With nine in 10 restaurants involved in community service, the Restaurant Neighbor Award raises awareness of the many philanthropic efforts taking place in the restaurant industry. Recipients of the state-level award are selected by the Washington Hospitality Association and are nominated for the national-level award by the National Restaurant Association.

“These restaurants are making improvement of our community a priority,” said Anthony Anton, president and CEO of the Washington Hospitality Association. “We are honored to have them as part of our industry. They are strong examples for all of us to follow.”

Stars of the Industry Awards The Stars of the Industry Awards have a long and hallowed tradition at both the national level through the American Hotel & Lodging Association and here in Washington state, where Stars winners have been celebrated since 1999.

These awards honor the truly exceptional professionals and properties that exemplify the very best in Washington lodging.

Winners will go on to compete for AHLA recognition in January 2019.

The categories within the Stars of the Industry Awards include: Emerging Hospitality Leader of the Year. Our industry’s best ideas come from those who see the world with fresh eyes. This award is about recognizing the emerging leaders, under 30 years-old, who energize the industry and inspire others around them with “out of the box” thinking and their dedication to the craft of our trade.

Lodging Employee of the Year. This award gives nonmanagement superstars the recognition they deserve.

These unsung heroes drive our industry every single day with passion for hospitality, demonstrating strong commitment to their properties and communities, going above and beyond, making guests feel special, helping fellow employees and engaging with the local community.

General Manager of the Year. The finest hoteliers see the big picture while also looking after all the small details that make their vision a reality. These individuals have risen through the ranks and exemplify all the best attributes of our industry. They are managers who reach out to guests, inspire employees and extend themselves to the broader community.

Paving the Way Award. It’s time to recognize the amazing women of our industry. This award honors a woman who is more than a leader. She’s also a role model in the community and a mentor who is committed to raising up those around her. Her reach extends beyond the day-to-day and resonates through the property, industry and community. She is a shining example of all that can be accomplished in our industry, and stories about her outstanding leadership qualities, noteworthy accomplishments, volunteering and personal achievements will inspire others.

Innovation Award. Our industry thrives on innovation.

It’s what elevates the guest experience and propels us forward. This award honors a property, company or individual that drives fresh thinking and inspires a culture of innovation that encourages others to do the same.

Don’t miss this great event where we honor hospitality’s best and brightest thought leaders, its most outstanding humanitarians, its unsung heroes, and its innovators. Awards are one of many reasons to attend the Washington Hospitality Convention. Register at www.wahospitalityconvention.com.

July 2018 │ 9

Government Affairs | Local GA Update

Seattle repeals weeks-old jobs tax legislation

In a surprising move, the Seattle City Council voted on June 12 to repeal the tax on jobs it unanimously passed less than a month earlier. The controversial tax would have required high-grossing Seattle businesses to pay $275 per FTE starting in 2019, and the revenue raised would have added $45 to $50 million to current city spending on homelessness and affordable housing.

The day prior to the vote, Mayor Jenny Durkan and seven councilmembers sent out a statement announcing reconsideration of the legislation in a special council meeting.

In the statement, they cited the unpopularity of the tax and implicitly acknowledged the likely success of the repeal campaign, which was set to deliver twice as many signatures as needed to put the tax before voters in November. The council voted 7-2 to repeal the tax, with councilmembers expressing their commitment to work at the regional and state levels to find additional funding to address the homelessness crisis.

The Seattle Hotel Association and the Seattle Restaurant Alliance had opposed the tax on jobs and worked with members to bring attention to the negative impact this type of tax would have on the city’s economic vitality and on employment, particularly in labor-intensive hospitality businesses. Both organizations support a regional approach to addressing the complex regional problem of homelessness.

As hospitality industry employers, our members are proud to be able to provide a wide range of jobs from management and sales positions to low-barrier, entry-level jobs that offer hard-tocome-by opportunity to people with limited skills or education and to those who need a second chance in life.

Our members are also deeply invested in the success of the community and in supporting non-profits that are addressing the homelessness crisis. Earlier this year, SHA’s Evening of Hope gala and auction raised over $940,000 to help Mary’s Place provide housing and stability to women and families facing homelessness. This summer, a wide range of Seattle restaurants and other hospitality businesses are donating proceeds on August 8 as part of Pearl Jam’s “Banding Together to Fight Homelessness.” Learn more at pearljam.com/ thehomeshows.

10 │ wahospitality.org

Final rules for Seattle’s hotel initiative In late May, the Seattle Office of Labor Standards released the final administrative rules for the Hotel Employees Health & Safety Initiative (HEHS SMC 14.25), eighteen months after the voter-approved law went into effect in November 2016.

Unfortunately, the city’s Office of Labor Standards chose to disregard the input our local government affairs team and SHA members provided during the rulemaking process.

Instead, it used the rules to expand the law beyond the way it was written. In particular, the rules interpret a key provision on healthcare requirements to mean that lowwage employees are entitled to additional compensation for medical care even if they are offered insurance coverage but decline to enroll.

The Seattle government affairs and communications team provided SHA members with a fact sheet that summarizes the law and gives an overview of how the final rules fit with the ordinance’s requirements. You can download the fact sheet on the Seattle advocacy page at wahospitality.org/governmentaffairs/seattle-2. For more information, email Anna Boone at annab@wahospitality.org.

Spokane Golf Tournament Thank you to all the golfers, sponsors and volunteers who came out to the Spokane Chapter of the Washington Hospitality Association’s Golf Benefit on June 5 at Wandermere Golf Course.

Some 130 golfers enjoyed an afternoon of friendly competition, barbecue from Food Services of America and dinner from Borracho Tacos & Tequileria.

The event raised money for local ProStart scholarships, the Inland Northwest Culinary Academy and Feed Spokane. ProStart students from Ferris and North Central High Schools volunteered to check-in golfers and sell raffle tickets.

Sept. 11, 2018 SIGN UP: GOLf.WAhospitality.org

th

Government Affairs | State GA Update

The PAC for Hospitality Government Affairs and advocacy is one of the four pillars of the Washington Hospitality Association and plays both offensive and defensive roles to ensure Washington state remains friendly to business. In addition to the advocacy efforts of both the state and local government affairs teams, the Washington Hospitality Association Political Action Committee (PAC) is also significant to the political process.

The Washington Hospitality Association PAC is the third largest business PAC in the state and is funded completely by our members. The PAC will spend $650,000 over the next two years to elect hospitality and businessfriendly candidates. The candidate endorsements and PAC decisions were made at the June 26 meeting of the Government Affairs Committee.

With slim majorities in both the House of Representatives and the Senate, elections this year will determine control of the Legislature for the next two years.

More than 80 percent of hospitality members are small businesses. Running a small business is not easy and comes with its own set of challenges and opportunities, and the success of these hospitality businesses are critical to the state economy and our communities.

Because of your continued support, engagement and membership, at the state level the State Government Affairs team has been able to: Reinvest in tourism. An investment in tourism is an investment in Washington state. After a multi-year effort to renew statewide tourism funding, this year, together that goal was achieved. The state will provide up to $3 million every two years, with an industry- supported two-to-one match of the funds for up to $9 million. This is exciting news to help attract more out-of-state visitors to our state.

Thank you to everyone who played a part in passing this important legislation for our industry.

Defeat taxes. Despite extraordinary pressure to increase taxes, the final 2018-19 state budget agreement does not include new taxes that would have impacted our industry.

A few of the defeated taxes included: Multiple carbon tax proposals A capital gains tax proposal Changes to Business & Occupation taxes, which proposed to repeal the small business tax credit and increase the filing threshold A tax on drive-thrus A statewide tax on sweetened beverages Create pathways to jobs. A strong workforce begins with a skilled workforce. Hospitality provides first jobs and lifelong careers. This year the Washington Hospitality Association supported legislation to help identify barriers for high school students in pre-apprenticeship programs.

Support those in need of service animals. Service animals play essential roles in the lives of those who need them.

Unfortunately, sometimes an animal is misidentified as a service animal and brought into places where they shouldn’t be. This session with your help, the Washington Hospitality Association supported legislation that will give business owners the ability to call an enforcement officer if an animal is misbehaving. The enforcement officer may ask if the animal is required for a disability and may ask about the services an animal provides. The law creates a civil penalty and monetary fines if an animal is misidentified as a service animal.

Engage with rulemaking on paid family leave. Last session with significant input from the Washington Hospitality Association, the Legislature passed the most businessfriendly paid family leave program in the country. The Washington Hospitality Association is there every step of the way as the new program is established and then implemented. This includes active participation in the stakeholder work group and providing input on drafts during the rulemaking process.

Those are just a few of the most recent legislative highlights and victories made possible by the PAC and your generous contributions. Thank you.

VOTE FOR HOSPITALITY: Go to 12 │ wahospitality.org

wahospitality.org/2018_primary_election_endorsements for our endorsements.

Put your best

Fish forward.

Food waste is bad enough. Contamination is worse! How do you stop a bad fish from reaching the table? You make sure that your line staff knows the rules, knows how to how to detect bad product, and absolutely knows how to rotate your walk-ins so that you are always putting your best ingredients on the plate. Do your people know how to do that? Let’s hope so.

Safe service is good service.

ServSafe is the best service.

Train your staff today!

VISIT WHAEF.ORG for more info.

SERVSAFE MANAGER HOSPITALITY TRAINING SOLUTIONS

Technology Forward McDonald’s embrace of new tech keeps up with the changing times

By Lisa Leinberger

McDonald’s has been changing the very nature of quickservice since it got its start in 1948.

The menu changed and expanded over the years, but up until recently, customers could only order inside or in the drive-thru.

In its earliest days, the company streamlined and revolutionized cooking hamburgers using an assembly line, so customers received hot food quickly. In the 1950s, McDonald’s catered to an increasingly mobile population in love with its cars and long family road trips. Franchises set up shop along freeways and in busy urban centers so customers could pull in, walk up to the counter and order the same food they could order anywhere else in the country.

Today, customers can order on their mobile phones and have it delivered to their car when they arrive. Inside, they can bypass the counter, order from a kiosk and a crew member will bring their sandwiches to the table when they’re ready. Or they can order McDonald’s using Uber Eats and get their food delivered to their home or office.

It was a less complicated time. Mark Ray, a longtime franchise owner in Spokane, started working for the company 54 years ago as a crew member and remembers.

The restaurant chain is calling all of this “Experience of the Future” or EOTF. In Washington state, McDonald’s started rolling out these changes about two years ago. At the end of April, the chain had 90 stores on EOTF in the state. By the end of 2018, they hope to have 71 more.

“It was simple,” he said. “Busy, but simple.” He remembers they sold hamburgers, fries and milkshakes. Sometimes customers ordered double burgers, but that was about it.

Customers ordered at the front counter.

In 1975, the chain changed the way customers could order their food when it added its first drive-thru in Arizona.

Customers no longer had to get out of their cars to order lunch or dinner.

14 │ wahospitality.org

“Our goal is to be completely flipped and modernized by 2020,” said Lindsay Rainey, brand reputation manager for McDonald’s. “It’s all a part of building a better McDonald’s.”

Rolling out new technology In Spokane, the store at 3530 N. Sullivan Road recently completed a remodel to accommodate these changes. The local franchise celebrated its grand re-opening on May 2.

“We want to take care of the customer the way they want to be taken care of.”

General Manager Amanda McRae said new technology has changed the way they operate, from employees punching in to serving customers at their tables.

Her crew clocks in for their shift using their thumbprints.

She can take inventory and order stock using an app on her tablet.

“This job has taught me a lot about computers,” she said.

Orders on the mobile app pop up on their order screens as soon as a customer completes the purchase on his or her phone. There is a tablet in the front counter space dedicated to Uber Eats and one for mobile orders.

The new technology means employees need to be trained to troubleshoot problems with the hardware. McRae said she took an online training course. She now knows what questions to ask and what the parts of the computer are when something goes wrong.

“I know what a VGA cable is,” she said, referring to a video graphics array cable. “If you don’t stay in tune with technology, you’re going to be left behind.”

More technology does not mean smaller teams With minimum wage increasing and its adoption of new technology, many may assume that McDonald’s is eliminating positions. The opposite is true, and the company says its Experience the Future stores are creating more jobs.

Brittany Annett is a crew member working in a newly minted position: she’s a Guest Experience Leader.

Annett welcomes customers, helps them use the kiosk to

place their order and makes sure everyone has a great experience.

“Hi, guys, how’s it going?” she asks customers when they enter the restaurant. “Would you like to try ordering from our kiosk today?”

Customers order from the kiosk and can create any kind of sandwich they like. They can choose their bun, their protein and their condiments. When they finish ordering, they take a number to their table. When their food is ready, Annett or another crew member delivers it to the table.

“I absolutely love it,” Annett said of her new position. It allows her more one-on-one time with the customers.

Les Merriman is a supervisor of five stores in the Spokane area. He says Experience of the Future has created new points of sale and with it new positions in the store that need covering, at the kiosk, for Uber Eats and mobile ordering and serving traditional ordering in the drive-thru and at the counter.

“It’s really impacted the way we do business,” he said.

McRae agrees. She said two buses of students unexpectedly stopped by recently after the location of a high school game was changed. Ordinarily, this could have been a very hectic experience for everyone, but the students lined up at the kiosk to place their orders, making everything go smoother.

“We have never cleared out a bus so fast,” McRae said.

What hasn’t changed Owner-operator Mark Ray has seen firsthand just how much the franchise has evolved since he first signed on 54 years ago. While he now describes the business as “complicated,” when he thinks of all the changes over the years, he knows that at its heart, McDonald’s is still the same.

“We want to take care of the customer the way they want to be taken care of,” he says.

July 2018 │ 15

Far-reaching Trends You Should Know About Digital Waitlists Thanks to a variety of apps and services, your waitlist no longer has to be managed with pencil and eraser, and your guests no longer need to cram in the door until their names are called. Waitlist and reservations apps from waitlist.me, tablesready.com and waitwhile.com use texting to transform the wait experience. Yelp got into the act when it purchased Nowait, which allows diners to check on wait times at possible restaurants and to put their names on a waitlist without entering the restaurant. mPOS “Alternate ordering” is not just providing kiosks or online order options. It now includes POS systems that integrate with tablets that can be used to take orders anywhere in a restaurant or hotel. Mobile POS, or mPOS, is helping line busting during busy times as team members take orders on the go, reducing the need for guests to wait in line. Tablets have given hotels the freedom to radically rethink the front desk.

Facial Recognition Late last year CaliBurger, a quick service restaurant chain based in Southern California, unveiled a kiosk pilot program that uses facial recognition software to identify registered customers and pull up their loyalty accounts and order preference. Customers have the option of immediately activating their loyalty accounts as they approach the kiosks without needing to swipe a card or type in identifying information. The loyalty account shows a customer’s favorite historical meal packages, enabling the customer to complete the ordering transaction in a matter of seconds. In January, the pilot expanded to include paying by looking at a camera.

Chatbots Marriott is leading the way in using Chatbots to send a regular stream of helpful updates and respond to guest 16 │ wahospitality.org

requests, before, during and even after a stay. Marriott Rewards chatbots are available on Facebook Messenger, Slack and Google Assistant, allowing guests to quickly and effortlessly get answers to basic questions and make simple requests, from setting up a wake-up to making dinner reservations. Chatbot’s like Aloft Hotel’s ChatBotlr use artificial intelligence to get smarter the more it interacts with guests.

Augmented Reality Augmented reality is also finding its way into the hospitality industry. Early adopters, like the New York-based KabaQ, are using an AR app that allows users to see virtual 3D images of a restaurant’s food when ordering in-house or online. The company claims the app has increased sales by 34 percent thanks in large part to how the technology helps upsell customers.

Car Ordering Last year, General Motors introduced Marketplace for ordering and paying for food and making dinner reservations while driving one of its cars. Participating casual dining brands include TGI Fridays, Applebee’s and IHOP. Drone Deliveries In 2016, Domino’s claimed the first drone pizza delivery in world history. That milestone took place in New Zealand.

Here in the U.S., regulations overseeing drone flights have placed severe limits on the use of drones for delivery. That, of course, hasn’t stopped Amazon and Google. Amazon Prime Air and Google’s Project Wing have been making progress, and last year the Trump administration told the FAA to allow local jurisdictions to test their own drone regulations. The program laid out in the president’s memo would allow drones to fly out of operator sightlines and to fly at night, both of which are currently prohibited under FAA rules.

What Will New Technologies Bring to Hospitality?

Computer technology giant Oracle has been looking into consumer attitudes toward new technologies and recently announced the findings of two hospitality research initiatives: Oracle Hotel 2025 and Oracle Restaurant 2025. The goal of the studies was to identify attitudes toward new tech and how the implementation of these technologies will shape consumer behavior in the years to come.

One of the key takeaways is that consumers are most willing to engage brands with new technology if they feel that they are in control of their experience. Oracle also cautions hospitality operators to be wary of implementing automation without personal service.

The Hotel 2025 and Restaurant 2025 reports audited 250 restaurant operators, 150 hotel operators and 702 consumers in February 2017 on their reactions to technology’s role in the guest experience over the next eight years. Here’s what they found:

Recognition and personalization will be a driver for future technologies 33 percent of restaurant and 72 percent of hotel

Consumers are warming to voiceactivated experiences 59 percent of hotel guests believe controlling

operators say that guest recognition via facial

their room via a voice-activated device would

biometrics will be in use within the next five years.

enhance the guest experience and operators agree. Hotel operators polled indicated that managing room control and ambiance management (78 percent) via voice activation would be widespread by 2025. Hotel operators also believed that ordering room or hotel services (70 percent) via voice activation would be adopted by 2025.

Operators are keen on gathering customer feedback by voice; 61 percent of restaurant

31 percent of restaurant guests and 41 percent of hotel guests will be more likely to visit an

operators and 68 percent of hotels said this will be in use in the next 5 years.

establishment with greater frequency if they are recognized by a server or associate without having to give their name or show a loyalty card.

Virtual reality will enhance the booking and on-property experience in hotels

Both restaurant (49 percent) and hotel (62 percent) guests agree that having this recognition would improve their experience.

47 percent of hotel guests agree that using artificial intelligence to suggest items based on past purchases would improve their experience.

72 percent of hotel operators agree that AI-

Consumers also indicated that virtual reality tours of hotel properties (66 percent) and virtual reality lounges for entertainment (44 percent) would improve the guest experience.

Hotel operators also believe virtual reality technology will be widespread by 2025 with a

based systems that leverage guest preferences

variety of use cases: staff training (68 percent),

and buying history to make targeted dining

guest entertainment on property (64 percent),

recommendations will be mainstream by 2025.

and previewing meeting rooms (63 percent).

July 2018 │ 17

Tech-savvy guests seek online information, ordering options Smart operators can leverage technology to attract guests

Restaurant technology a factor for millennials in particular

About six in 10 consumers say they’re likely to choose one restaurant over another based on whether they can look at menus online or read online reviews before they get to the restaurant.

Millennials are more likely than Gen Xers and baby boomers to weigh technology options as they choose a restaurant.

Percent of consumers who agree the following options would make them more likely to choose one restaurant over another All Adults

Millenial (age 18–36)

Generation X (age 37–52)

Baby boomer (age 53–71)

Ability to view the menu online beforehand

60%

74%

68%

50%

Ability to read online reviews beforehand

57%

70%

60%

49%

Online ordering is available

42%

57%

48%

31%

Tech options like electronic ordering, smartphone apps or Wi-Fi

33%

45%

38%

25%

Source: National Restaurant Association, National Household Survey, 2016

Smartphones are now the norm Seventy-seven percent of all adults in the United States now have a smart phone, and more consumers are using their phones for restaurant- and hotel-related activities. The most common activity is looking up basic information like locations and menus, but consumers are increasingly using smartphones for activities like online ordering, deliveries, rewards programs and reading or posting reviews.

Guests of all ages are interacting with hospitality businesses via

Percent of consumers who own smartphones by age 100% 80% 60% 40% 20% 0%

94%

89%

73% 46%

Ages 18–29

Ages 30–49

Ages 50–64

Age 65+

Source: Pew Research Center Survey conducted Jan. 3-10, 2018.

18 │ wahospitality.org

smartphone

Percent of consumers in cities and elsewhere with smartphones 83%

90%

78% 65%

70% 50% 30% 10% Urban

-10%

Suburban

Rural

Source: Pew Research Center Survey conducted Jan. 3-10, 2018.

Guests engage with restaurants on mobile devices Almost nine in 10 smartphone users say they use their phones to look up restaurant locations, directions or hours.

Percent of consumers* who use a smartphone for these activities 100%

88% 80%

72% 63%

60%

58%

56% 46%

44% 34%

40%

20%

0% Look up location, directions or hours

Look at menus

Order takeout or delivery

Read online reviews

Use loyalty programs, rewards or special deals

Make reservations

Look up nutrition information

Pay for meals

Source: National Restaurant Association, Technology Consumer Survey, 2016 *Of those who own or regularly use a smartphone July 2018 │ 19

A third of restaurants accept mobile payments The mobile-pay-acceptance rate is higher for limited-service and chain restaurants.

Percent of restaurant operators, by type of operation, who say they currently accept mobile or wireless payment 49%

50%

47%

40%

32% 30%

20%

17%

15%

10%

0% All restaurants

Tableservice restaurants

Limitedservice restaurants

Independent restaurants

Chains/ franchise restaurants

Source: National Restaurant Association, 2016 Restaurant Technology Survey * among restaurants that have websites

Travelers are still more likely to book on desktop computer What devices people use to book hotels online 90% 80%

72%

70%

Up to 80%

60%

of last-minute

50%

bookings are

40%

made on mobile

30%

22%

20%

devices.

6%

10% 0% Desktop

Tablet

Mobile

Source: Critero. Numbers reflect share of bookings by device among travel advertisers in the U.S. and Canada, Q4 2017. Excludes apps and comparators.

20  │  wahospitality.org

Delivering A Greater Customer Experience

PRODUCE ~ CENTER OF THE PLATE ~ GROCERY & FROZEN FOOD ~ SEAFOOD BUSINESS SOLUTIONS ~ BEVERAGE ~ DISPOSABLES ~ SUPPLY & EQUIPMENT seattle.fsafood.com

July 2018 │ 21

What You Need to Know

By Andy Cook & Paul Schlienz

If you’re in the hospitality business, chances are that third-party delivery services are very much on your mind.

And they should be.

You’ve seen the explosive growth in these services. Quickservice chains now have parking spaces reserved for third-party delivery drivers, and Uber and Amazon have jumped into the food delivery business in a big way. Other companies that focus exclusively on delivery, like Caviar, GrubHub and DoorDash, are growing by leaps and bounds.

Pentallect, a food industry strategy firm, expects the $13 billion third-party food delivery market to grow at a 13.5 percent annual rate. The market, consisting of firms delivering both restaurant meals and groceries, is projected to reach $24.5 billion by 2022. By contrast, the $1.6 trillion U.S. food industry is only growing at three percent per year.

“Delivery has become a need to have and no longer a nice to have in the restaurant industry,” said NPD’s Warren Solochek when commenting on the global information company’s Future of Foodservice Snapshot: Restaurant Delivery report. “It has become a consumer expectation.”

22 │ wahospitality.org

Convenience, Choices So, why is third-party delivery so popular in 2018?

There are many reasons, but chief among them is its speed and convenience. And it’s the predominance of mobile phones and the subsequent rise of convenience culture that's driving these trends.

“It’s the phenomenon of the mobile phone,” said Emily Neudorf, director of product marketing and communications at ChowNow, a company that provides an app-based ordering service for restaurants. “People are constantly on their mobile phones. You can do everything inside and outside the home from mobile, and it’s quick and convenient.”

According to a recent survey from the research firm, Mintel, approximately half of all U.S. adults ordered food delivery in the past three months. Food delivery was most popular among millennial men in urban areas, with 69 percent of them having ordered during the past three months. Fifty eight percent of women aged 18 to 34 placed orders.

“It really is all about convenience,” said AK Barnett-Hart, regional general manager with DoorDash.

Interestingly, Barnett-Hart observes that millennials are still going to restaurants despite their heavy use of takeout and delivery services. In fact, many of today’s consumers are sampling potential new eateries from the comfort of their homes.

“Delivery is not replacing the fun and excitement of going out to restaurants,” said Barnett-Hart. “Instead, it is becoming a replacement for cooking.”

Additionally, more than ever before, there is a wide variety of food choices available through delivery, including foods that appeal to health-minded consumers.

Platforms for Discovery While third-party delivery is popular with consumers, there is much in it to appeal to restaurant operators.

“For our restaurant partners, we are providing new economic opportunities, a source for new customers as well as a means to stay in contact with existing ones,” said David Rutenberg, Western U.S. general manager for Uber Eats.

The way that third-party delivery services act as a source for new customers is through their apps, which allow customers to discover other restaurants that use the delivery service.

“Our core product, which is our website and app, enables discovery for customers to find different restaurants,” said Barnett-Hart. “We are merchandising and displaying for individual customers. If you open our app, you'll see a list of potential restaurants that might interest you.”

Getting into the Game If your restaurant is not already in the delivery game, it’s time to start seriously thinking about the opportunities you may be missing out on.

“Every restaurant needs to think about it,” said BarnettHart. “Make it a priority to investigate delivery. Meet with third party delivery companies. Try a few. Maybe two or three at the same time. Over time, you'll figure out which service works best for you.”

Many restaurants use multiple services, and at a recent Seattle Restaurant Alliance meeting several successful restaurateurs said they use six different services. Each one comes with its own tablet, bringing a Star Trekesque quality to the back of the house.

Patrick Yearout of Ivar’s said his company ordered from several services before selecting which ones to test with customers.

Their sampling included ordering for deliveries at both home and their corporate headquarters, giving them a taste of the customer experience.

Pricing for third-party delivery services is perhaps the most frustrating aspect for restaurant operators. There is a variety of models and plans, and rates and commissions generally boil down to the volume of business, customer acquisition and the ticket price.

For some services, the delivery fee to the consumer is also based on these factors. Operators may have the option of paying the delivery fee that would go to the customer.

Taking on this cost can be a strategy for building your delivery business.

Other concerns for restaurateurs include the risk that food quality will suffer in the time it takes to get it from the kitchen to the customer, and that a lousy driver will hurt the reputation of their business.

There are strategies to protect against both.

Things to Keep in Mind When Considering Third-Party Delivery Onboarding the appropriate amount of services: The extra profits of delivery can be negated by higher labor costs when a restaurant has so many services that it needs to have extra human resources on hand to meet the delivery demand.

Focus on efficiency and your ability to successfully, and quickly, get meals out the door.

Navigating the volume of orders: Be strategic about your delivery menu. Figure out what travels well, and what doesn’t, and consider the right number and profitability of menu options. While you can turn off some services, be careful not to overuse this option. Frequent on and offs will cause your listing to fall in ranking.

Focus on the guest: Once you do bring on a service, pay attention to the consumer’s experience and make sure you fully understand how your delivery service operates. Many providers have GPS order tracking. It’s also a good practice to order your own product as a method of “secret shopping” your delivery providers.

July 2018 │ 23

First and foremost, test what happens to your menu items in the delivery process. If the bun you’re using doesn’t hold up well to 30 minutes in a to-go container, find an alternative. You also can curate your delivery menu, and that can mean leaving off items you feel will not travel well.

It also gives you the opportunity to create special menu items that will not only deliver well but will also help you absorb the cost of delivery.

But at the recent Seattle Restaurant Alliance meeting, representatives from DoorDash, Caviar and ChowNow urged restaurateurs not to worry about the fries. Fries continue to be one of the most ordered foods, and customers have adjusted their expectations to a less than perfect experience with this in-demand item.

As for drivers, create accountability by time stamping the order to document when it leaves the restaurant and becomes the responsibility of the driver and the delivery service. Tamper-proof bags are becoming popular because they can secure the order. If you use these tamper-proof bags, ensure that you have a good system for making sure orders are accurate and complete.

One local company has a team member check each bag and attach a signed note before it is handed off to the driver, creating accountability on all sides.

Liabilities, Opportunities Another thing to consider before you pursue delivery is potential liability issues. Suzanne Singer and Damien Orato, attorneys with the Florida law firm, Rumberger, Kirk & Caldwell, which works with the hospitality industry, suggest that restaurant owners can mitigate risk by: • • •

• • •

Having indemnity language in the contract that if liability arises, the third-party service is responsible for defending itself.

Making sure the third-party delivery service has the resources to defend itself.

Requiring third-party services to align with industry standards for food safety, including having procedures in place should a customer not be able to accept an order at the specified time.

Having some sort of tracking capability is also important if chain-of-custody issues arise related to foodborne illness cases.

Requiring proof of insurance and vehicle title to show clear vehicle ownership by the delivery service driver or company itself.

Providing a disclaimer of any agency relationship with the restaurant.

If your restaurant is already delivering, but does not have an online ordering system, you have the option of using services that provide an app that takes mobile orders.

24 │ wahospitality.org

“We do not have a suite of couriers, but we do connect with a number of delivery services,” said ChowNow’s Neudorf.

“It’s up to the restaurants if they want delivery or not.”

Whichever service you choose in the end, the potential rewards of delivery are too great to be ignored.

Working with Third-Party Delivery Services In June, the Seattle Restaurant Alliance hosted a Q & A on how to best take advantage of the opportunities that come with third-party delivery services. Both members and representatives from several prominent third-party delivery companies shared advice. Here are some of the key takeaways from that conversation: Menu and food quality: Work on your delivery menu to ensure better food quality. Test and consider replacements for components or menu items that don’t hold up well to delivery times.

Cost: Rates and compensation structures vary between companies and services. Volume, ticket price items and customer acquisition are key factors in negotiating and determining rates.

Variety: Many members use several services, with some reporting using six or more. Before signing up for a service, order from it to test the customer experience.

Equipment: Most services require use of tablets, and restaurants using multiple services have multiple tablets. Some services offer printer rentals or purchases. Integration with POS systems is on the horizon.

Drivers: Poor service from drivers is a large concern.

Platforms can blacklist drivers, and it is important to work with your service(s) to eliminate bad drivers.

Time stamping: Restaurants can inform customers of when food is handed off to a driver by attaching a time-stamped ticket to the delivery bag.

Accuracy: One restaurant that has had success with deliveries has an employee check each delivery for accuracy and attach a hand-signed card to create accountability.

Speed: Every minute counts when it comes to a waiting driver or a waiting diner. Make speed a high priority.

Partnerships: Work with services as partners, not simply vendors, to resolve issues, improve service and build business.

Delivering a new revenue model.

Uber Eats is inspiring people to enjoy food in new ways. Partner with us to find new customers and grow your business with Uber-fast delivery.

Sign up at ubereats.com/restaurants

REMEMBER, WE ARE YOUR PRIMARY SOURCE OF

HOSPITALITY INFORMATION.

WAHOPITALITY.ORG

WEEKLY NEWSLETTERS

MAGAZINE

800.225.7166

SOCIAL MEDIA

YOU CAN AUTOMATE THAT Using HR technology to work smarter, not harder

By Morgan Huether, Andy Cook and Alina Day

Scheduling—HotSchedules A technology solution can streamline scheduling, shift swapping and help you stay in compliance with secure scheduling if you are in Seattle. Best of all, if you upgrade from paper schedules to a digital service, your staff can access schedules outside of the office. This means team members won’t need to call in to doublecheck their shift and they can swap schedules, with manager approval, using their smartphone.

HotSchedules is one of several digital scheduling services.

It is designed for individual operators, multi-unit franchises and enterprise brands. The service includes tools for labor, logging, time and attendance. Their model revolves around creating and managing schedules in less time while increasing staff satisfaction and shift-to-shift communication. For users in Seattle, Hotschedules allows easier compliance with the Secure Scheduling Ordinance by giving manager alerts and highlighting when a schedule would require additional compensation under the law.

Onboarding—FastrackOnboard Onboarding can be costly and time consuming. There are technology solutions for onboarding that can automate the onboarding process. These services can eliminate the amount of paper that is filed and stored in your office and can also prompt you with appropriate paperwork when onboarding new team members, so nothing slips through the cracks.

One automated onboarding service is FastrackOnboard. The service has options for background checks and is specifically geared to help keep hiring and onboarding compliant with federal, state and local rules. The system can present appropriate forms automatically based on location, job title and level within your organization. FastrackOnboard also manages staff documentation for future reference, as opposed to keeping paper records in physical files, and allows new team members to digitally sign necessary documents. Additional onboarding benefits include screening for tax credit opportunities showing each candidate’s tax credit eligibility.

26 │ wahospitality.org

Hiring—Heartland Hire Automated or tech-heavy hiring services aren’t a new solution, but they still can bring a lot of value to the table. Some automated services will allow you to reach the right candidates and manage paperwork during the hiring process.

Heartland Hire can reach candidates across multiple employment platforms, like Monster and Indeed. In addition to reaching candidates digitally, Heartland Hire screens candidates for tax credit opportunities and can show each candidate’s tax credit eligibility as well as manage the paperwork needed to file for the tax credit after the candidate is hired. Heartland’s platform can also manage your employee handbook, automating the process of getting employees educated with the information they need while also allowing new team members to digitally sign necessary documents.

Hiring—Instawork In addition to providing long-term team members, some online services allow managers to search for staff on a short-term, or “gig,” basis. Gig-style employment allows potential candidates the flexibility to pick up shifts as needed, which is an increasingly popular style of work among younger generations. Gig employees can be a benefit in the hospitality industry because a skilled staffer can pick up shifts wherever they like, and managers can bring on extra staff during events or busy seasons without the time and effort of hiring full-time employees.

One service that provides both gig-employees and fulltime employees is Instawork. The service allows managers to determine what type of work they need done and what requirements employees need to have and the service will provide a temporary team member to fill the need.

The employee is paid through Instawork, so there is no additional onboarding or temporary payroll to implement.

Instawork also has a permanent staff job portal, for managers looking to bring someone on for a longer term.

Hiring—Umami Jobs One challenge when sifting through applications is how difficult it is to get a feel for a candidate before an interview. Umami Jobs uses video technology to help employers get past that hurdle. This restaurant-focused service helps the employer showcase positions with video job listings, giving candidates a better understanding of how they might fit in the organization. In turn, candidates send videos in to apply for positions, giving hiring managers an opportunity to get a better feel for which candidates would be the best fit for a job.

Hiring— WorkSource In addition to other services available to alleviate the challenges of a tight labor market, the Washington Hospitality Association Education Foundation has partnered with Washington Employment Security Department to create a micro site on WorkSourceWA.com that connects job seekers with opportunities in the hospitality industry.

WorkSource allows hiring managers to search its talent database and to put out job postings searching for specific qualifications. Together with WorkSource, the Education Foundation also put on hiring events around the state in 2017 and 2018 that focused on helping bridge the challenges facing entry-employees. Learn more on the Education Foundation’s website at whaef.org.

July 2018 │ 27

Give your company something epic to smile about!

Revolutionary Software Gives You Worry-free Compliance

Automates your hiring packet, and Manages compliance requirements.

Get your 30 day free trial and see the exclusive offer to WHA members.

Includes full labor compliance: • Federal forms such as I9, W4, ACA ...

• Capture agreement to city, state, and your own company labor policies.

For more information contact: smile@fastrackonboard.com

• Proof of viewing of your Employee Handbook

A LLIED MEMB E R O F

Emails go to ‘smile@FastrackOnboard.com’, Call us at (888) 288-9506

It’s a shame for you to pay too much tax – when your competitors are paying less.

Which of these are you?

 I want to pay LESS in taxes.  I prefer to pay MORE tax.

See more of what people love about Employment-based tax credits when you email: ‘info@mckenziechase.com’

Trusted hospitality experts for 36 years

MckenzieChase.com Ph: (206) 547-8277 TF: (866) 547-8277 info@mckenziechase.com

A LLIED MEMB E R O F

NEW MEMBERS

INDUSTRY CALENDAR July/August TRAINING July 23

ServSafe® Manager, Tacoma

Aug. 7

ServSafe Manager, Seattle

Aug. 9

ServSafe® Manager, Spokane

Aug. 21

ServSafe® Manager, Kent

Aug. 27

ServSafe® Manager, Everett

®

MEETINGS July 11

Seattle Restaurant Alliance Membership Meeting

July 12

Seattle Hotel Association Board Meeting

July 17

Finance Committee Meeting

July 17

Spokane Chapter Board Meeting

July 18

Seattle Restaurant Alliance Board Meeting

July 31

Washington Hospitality Board of Directors Quarterly Meeting

Aug. 1

MSC Board Meeting

Aug. 7

Education Foundation Board Meeting

Aug. 7

Executive Committee Monthly Meeting

Aug. 8

Retro Trustee Meeting

Aug. 8

Seattle Restaurant Alliance Board Meeting

Aug. 8

Seattle Hotel Association Board Meeting

Aug. 14

H.I.H.I.T. Meeting

Aug. 21

Spokane Chapter Board Meeting

UPCOMING EVENTS Aug. 29

The Golf Club at Newcastle

Sept. 11

Golf FORE! Education at Washington National Golf Course

Nov. 1114

Washington Hospitality Convention at Hyatt Regency Lake Washington at Seattle’s Southport

Captain Whidbey, Coupeville

Marcela’s Cocina Mexicana, Chelan

Donna’s Place, Toledo

Noodle Express – Airway Heights, Spokane

Embassy Suites by Hilton Seattle Downtown Pioneer Square, Seattle

Pacific Pizza King, Inc., Turlock

Five Bistro, The, Edmonds Fremont Bowl, Seattle

Park Lodge, Spokane Rodeway Inn – Enumclaw

General Porpoise Donuts & Coffee LLC, Seattle

Serra SC LLC, Seattle

Holiday Inn – Issaquah

Seven Summits Lodge, Bonney Lake

Hotel Interurban, Tukwila

Skal Beer Hall, Seattle

Ishtar Greek Cuisine, Kent

Timberland Inn & Suites, Castle Rock

Jersey Mike’s Subs – Covington

Tri City Dust Devils Baseball Club, Pasco

Lassi & Spice, Seattle

Von’s Grand City Café, Seatac

Le’s Deli & Bakery LLC, Kent

NEW ALLIED MEMBERS Brown & Brown Insurance of WA, Inc. Alex Nephew anephew@bnbseattle.com 1501 4th Avenue Ste 2400 Seattle, WA 98101–3631 206.956.1600 www.bnbseattle.com Brown & Brown of Washington is the 4th largest retail insurance company in the US. We are a full service insurance brokerage that can handle all your hospitality insurance needs.

Starting with the construction to the property and liability insurance, employee benefits, and continuing as your professional advisor.

*Friendly Scheduling: All HOODZ customers are entered into our proprietary scheduling software which automatically alerts us when your exhaust system needs to be inspected in the future. *Code Compliance: Our work complies with the NFPA Standard 96, WAC codes, fire inspectors, and all federal state and local laws. *Trained and Certified Professionals: Our professionals complete an intensive training course, including hands-on training with a state-of-the-art training facilities followed by testing and ongoing education. *Customized Cleaning Program: Our local HOODZ office will create a customized cleaning program to fit your specific needs. We are fully licensed, insured, and bonded to protect your investment

Essential Benefits Gordon Kushnick gordon@essential-benefits.com 7900 E Green Lake Dr N Ste 216 Seattle, WA 98103-4819 206.906.9815 essential-benefits.com

Kalispel Linen Service Jason Holmbo jgholmbo@ktea.com 202 S Industry Drive Ste A Airway Heights, WA 99001-5232 509.481.6362 www.kalispellinen.com

Essential Benefits is a full service health insurance brokerage prepared to solve your insurance puzzle. All of our agents have restaurant management and/or ownership experience. Therefore, we are uniquely qualified to understand your goals and communicate them to your employees.

One of the most automated and technologically advanced commercial laundry facilities in the Pacific Northwest, Kalispel Linen Services specializes in laundry services for large to mid-sized hotels. Our 30,000-square-foot facility features environmentallyfriendly machines with the highest efficiency levels available to conserve natural resources. The hospitality-dedicated Jenson Finishing equipment delivers a sharper product to provide our clients with a pristine presentation and a luxurious feel. KLS provides on-demand and on-going services tailored to our client’s laundry needs.

Hoodz of the Greater Puget Sound Greg Noson greg.noson@hoodz.us.com 7414 86TH AVE NW Gig Harbor, WA 98335-6289 253.851.9130 www.hoodzinternational.com/greater-southsound We take pride in giving you the best cleaning and maintenance services in your commercial kitchen. Our certified professionals are trained in the latest techniques and follow all national and local jurisdiction requirements to keep you in compliance current standard.

29 │ wahospitality.org

Pan Pacific Seattle

Real Property Law Group, PLLC Sandip Soli ssoli@rp-lawgroup.com 1326 5th Ave Ste 654 Seattle, WA 98101-2655 206.625.0049 www.rp-lawgroup.com Hospitality attorneys

July 2018 │ 29

Ask the Expert

Freshen Your Technology to Gain Competitive Advantage

By Rick Braa, CHAE

Q:

The technology world is moving quickly. I’m fearful we will be irrelevant in the future. What are some of the pieces of tech I should be looking into now to stay current?

A:

Technology has played an essential role in redefining the restaurant industry. A recent industry report concluded 73 percent of consumers think technology improves their dining experience and 95 percent of restaurateurs believe technology improves restaurant efficiency. Consider several types of technology that can help you drive sales and profitability.

Employ an email service provider. Email is still the most economical and effective way to market restaurants. Over 90 percent of adults use email and 99 percent check email daily. The ROI on email communication is 28.5 percent better than direct mail, and according to OptinMonster, every dollar spent on email marketing rakes in $38.

Though tougher to execute and often time consuming, investing time in email marketing will drive interest and higher sales. Selecting an email service provider will ease the burden and time commitment. A simple internet search will provide a plethora of reliable providers.

Evaluate and improve reservation systems. Some restaurants take reservations, many don’t. Consumers have a lot of choice for restaurants and will decrease frequency due to long waits during peak periods There are big benefits by knowing traffic flow during every shift.

If a steady stream of reservations is developed, staffing can be optimized. If your restaurant takes reservations, vet anc compare possible systems against one another. These systens include Open Table, Resy and Seven Rooms. There are alternatives for those not interested in a traditional reservation system. No Wait allows guests to add a name to a waitlist without being at the restaurant. With either method, be sure to select a system that has a CRM to build strong customer relationships and analytics to optimize business levels.

Leverage online ordering. Convenience continues to drive adaption of online order for many reasons, including an inability to travel, a preference not to cook, the ease of ordering and time savings. According to the National 30 │ wahospitality.org

Restaurant Association, 51 percent of Americans use delivery services to purchase meals from casual dining restaurants and 26 percent order takeout or delivery at least once a week. Since 2014, digital ordering and delivery have been growing 300 percent faster than dine-in traffic.

While many have turned to third party delivery services, the opportunity to provide takeout through your website is a valid and profitable model. Pickup and takeout fees coordinated through a website cost far less. The consumer also has more time to order than in person or over the phone and are more likely to order extra items, increasing guest check averages.

Use a loyalty app to drive frequency. It’s easier than ever to design a great loyalty program on a stand-alone app or integrated with an online program. Some POS systems offer integrated loyalty programs that allow insight into consumer choice and the ability to offer additional frequency-building rewards to frequent guests. Online loyalty programs like Level Up provide great marketing insight by tracking customer behavior such as how often your guests visit and why.

Most loyalty programs track birthdays and anniversaries, providing further personal attention. To get the maximum return on investment, require your loyalty app to be mobile friendly.

Use scheduling software. Scheduling can be difficult. Using an electronic scheduling app allows managers to complete the schedule more quickly with easier management of vacation days, available and non-available schedule preferences, skills by employee, and costed schedules to name just a few of the features. In addition, employees can swap shifts, request days off, and have more flexibility which is vitally important to the workforce today.

Regardless of the technology platforms you invest in, always keep service and product in mind and choose platforms that provide an engaging guest and employee experience to drive happiness, loyalty and a healthier business.

For a more information on improving profitability and driving sales, contact AMP Services at rbraa@ampservices.com. Rick Braa is the co-founder of AMP Services, an accounting and consulting firm specializing in helping companies grow profitability.

WASHINGTON

CONVENTION NOVEMBER 11-13, 2018

Hyatt Regency Lake Washington at Seattle’s Southport

PE PR O PE O PL RF CE E, O SS RM , A

N

CE

www.hospitalityconvention.com

AL L IED M EM B ER OF