Yes, Chef: How realistic are the non-negotiables in “The Bear” season three?
DALLAS (KDAF) — Everyone's favorite chef is back for season three of "The Bear," FX's Hulu show that follows Carmy Berzatto as he balances the soul-crushing realities of small business ownership, his strong-willed kitchen crew and his strained family relationships.
The trailer for season three showed Carmy writing out his "non-negotiables" — for a restaurant, non-negotiables are a list of things that must be done to set up the business for success at the highest level. Carmy includes things like "vibrant collaboration," "push boundaries," and "if it's not perfect, it doesn't go out," which are all great ideas — in theory — but they don't guarantee that your costs are covered and you'll be making money. As Uncle Jimmy points out: Where's the money?
If you ask real restaurant operators, the list of non-negotiables probably looks different, especially for new restaurants. The National Restaurant Association reports that only about 40% of new restaurants make it through their first year, and the cost of opening a restaurant has increased significantly in recent years, which necessitates a longer path to breaking even.
We spoke with Kevin Bryla, SpotOn's Chief Marketing Officer, about realistic non-negotiables for restaurants, which included: giving yourself some wiggle wiggle room in the budget, prioritize profitability, streamline operations as much as possible, own your guest relationships, keep state regulations in mind, and expect the unexpected.
Give Yourself Room to Operate"Make sure you have between six months and one year of operating costs when opening your restaurant," Bryla said. "These costs can be broken down into two categories: COGS (which includes food and beverage), and labor. Keeping these costs in check is a critical component of making a profit."
Prioritize Profitability"In 'The Bear,' Carmy is aiming for Michelin stars — realistically, not all restaurants are doing the same when they open their doors," Bryla said. "However, all restaurants do need to think about how they will stay profitable when accounting for rising food and labor costs, changes in consumer dining habits, and pressure from third-party online ordering platforms. All of that may seem overwhelming, but there are a few simple things to keep in mind. First, keep your food costs low. Carmy doesn't want to use the same ingredient twice, but using the same ingredients in multiple dishes helps to streamline your orders and lower costs. Second, a simple menu is a great menu. Don't try to do too much at once—nail the basics and offer a few very strong menu items that keep your staff from being overwhelmed and keep your costs of goods low. Third, optimize your menu items. Using reporting from your POS, identify items that aren't selling and remove them from your menu. Next, look for opportunities to replace high-cost ingredients with more affordable options. Finally, adjust labor and operating hours. By analyzing your sales data, you can determine how profitable your business is down to the hour. Use this information to determine the restaurant's dayparts and whether you should open later, close earlier, or reduce the number of employees on a shift."
Streamline Operations as Much as Possible"Running a restaurant is expensive, so it's important to ensure you aren't spending money on unnecessary things. This is where technology really comes into play," Bryla said. "QR codes and order kiosks can cut down on staff having to spend time taking orders, meaning they can focus on providing great food and efficient service. Additionally, handheld point-of-sale devices are great for both servers and customers. Speed is one of the most important aspects of customer service, and handhelds allow restaurant staff to save time on back-and-forth trips to the POS station for orders and payments, reducing inaccuracies and waiting times and making payment times quicker. The right restaurant technology can also help you manage inventory, optimize staffing schedules, and analyze what's working and what isn't to make quick decisions that will impact your bottom line for the better."
Own Your Guest Relationships"Third-party platforms that handle things like delivery and reservations may seem beneficial from the outside, but they don't allow restaurants to own their guest relationships after the transaction is completed," Bryla said. "Owning your guest relationships allows you to provide more tailored experiences for regulars and also stay in touch with customers through email marketing or loyalty programs, which are becoming increasingly important as consumers become more value-conscious. These will help turn a new customer into a repeat customer. A good restaurant tech stack should integrate with delivery platforms in a way that allows you to continue to own your guest relationships while getting support for online ordering and delivery seamlessly."
Keep State Regulations in Mind"Unlike many other states, Texas has simple wage requirements. However, Texas does have a tipped minimum wage that businesses must follow," Bryla said. "A tipped minimum wage is a lowered hourly wage that matches or surpasses the regular minimum wage after employees receive their tips. In Texas, tipped employees must receive a minimum cash wage of $2.13, and the maximum tip credit is $5.12. The combined minimum wage for tipped employees equals $7.25 per hour. As with any business, Texas employers can also choose to pay their employees above the minimum wage rate. Small businesses can use their point-of-sale system to stay on top of labor regulations and to automatically distribute tips to employees, saving time and keeping your restaurant compliant."
Expect the Unexpected"This applies financially, but in Texas, this can also mean being prepared for things like extreme weather," Bryla said. "Extreme heat waves are becoming more common in Texas, and knowing how weather events like these may impact your business is vital. One of our clients, Trey Dyer, Owner of Mesero Group, changed the way he operates to adapt to the extreme summer heat last year. He scheduled more staff during later hours of the day and shifted his traditional happy hour to a late-night happy hour, taking advantage of the cooler temperatures. Being able to lean on technology to stay flexible and make quick changes will minimize losses and create systems for future use, whether you're dealing with weather, construction, or any other unforeseen circumstances."
