VinePair on the Latest Wine and Beverage Trends

Hosted annually by the Specialty Food Association (SFA) in New York City, The Summer Fancy Food Show is the largest specialty food and beverage event in North America. The New York City event showcases hundreds of future-focused restaurants, organizations, and innovators dedicated to crafting unique menus and products that meet the ever-changing needs of consumers today.

Host Paul Barron chatted with a number of trendsetters and up-and-comers in the industry this year. Adam Teeter is the CEO and co-founder of VinePair, a publication committed to providing cutting-edge wine, beer, and cocktail content that is both informative and entertaining. Teeter shares his thoughts on current beverage trends, as well as what he sees coming next for drinks.

The former director of business and audience development at Tablet Magazine, and a frequent speaker at a number of renowned food and beverage conferences throughout the United States, Teeter has always been passionate about making drinks accessible.

“We don’t have as much of a consumer base who only drinks one drink,” says Teeter. Millennials tend to be more experimental with eating and drinking when compared with older generations. “It’s fun for the industry, as it allows for lots of growth. It’s also really hard for the industry, because you now have the Budweisers of the world being like, ‘wait, these used to be really loyal consumers and now they’re not?’ It’s challenging, but there’s a lot of opportunity.”

Teeter notes that low- and non-alcoholic wines, cocktails, and beers represent a growing trend. Consumers are looking for drinks that taste as though they are drinking alcohol, but still fit into a weekday healthy lifestyle. Prosecco, rosé, and craft beer continue to be popular, and millennials and members of Generation Z love to try wines from unfamiliar countries and styles.

Wine is especially growing in popularity, as it is perceived—somewhat erroneously—as healthier than beer and cocktails, and helps consumers feel part of a larger culture.

“The idea of single serve is becoming really popular,” adds Teeter. “We are a demographic that unfortunately has commitment fears. We want to try before we buy.” And, according to Teeter, trying is often more important than buying. “We want to be experts, but to be an expert is just knowing a little more than someone else. You just want to say you’ve had it before—it doesn’t have to be the whole bottle.”

Check out the video above to hear Teeter’s thoughts on the possibilities for canned cocktails and purchasing alcohol online—or even one day ordering a glass of wine through UberEats!

Why Data Ownership Should Be Key When It Comes to Tech in Foodservice

According to the National Restaurant Association’s State of the Industry 2019 report, “more than 8 in 10 restaurant operators agree that the use of technology in a restaurant provides a competitive advantage, and many are planning to ramp up their investments in technology in 2019.

This is great news for consumers but with so many choices in the technology sector, operators can be left feeling overwhelmed.

What’s important to remember is whichever tech advancement— whether it's their POS, online ordering, smartphone app, mobile payment, or loyalty program— operators decide to prioritize, it must make sense for their type of business and unique customer needs.

Watch the video above to learn how BurgerFi accurately figured out what tech advancements make sense for their business to get a proper ROI and how data ownership must be a priority in this day and age!

Produced and Researched by:

Vanessa Rodriguez

Vanessa Rodriguez

Writter & Producer


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FAT Brands Embraces Ghost Kitchens

FAT Brands is adding ghost kitchens to its repertoire. The global franchising company has acquired a number of major restaurant brands, including Fatburger, Buffalo’s Express, and Yalla Mediterranean. And, in a unique spin on the ghost kitchen concept, some of those brands might be seeing their menu items available for delivery via other brick-and-mortar restaurants owned by the conglomerate.

Ghost kitchens represent a low risk delivery option for budding entrepreneurs and restaurants. For those looking to start a business in high-rent places like New York City, ghost kitchens save hundreds of thousands of dollars in square footage alone.

Updating and expanding a menu is also an easier and more lucrative process. Peter Schatzberg, the founder of virtual kitchen Green Summit, notes that for a traditional restaurant, it can cost over $800,000 to try a new menu. For Green Summit, if a menu fails to gain traction, the company only loses about $25,000.

According to Andy Wiederhorn, the president and CEO of FAT Brands, the company simply wants to do what is best for customers. “We want to take the opportunity to offer our brands everywhere we can,” says Wiederhorn. “We don’t necessarily have to have a brick-and-mortar location.”

Just last month, FAT Brands acquired fast casual chain Elevation Burger for $10 million. Elevation Burger currently maintains over 50 locations worldwide. Later this year, FAT Brands intends to offer a modified Elevation Burger menu out of select sister brand restaurants for delivery purposes only. According to Wiederhorn, the move would ideally provide a supplementary revenue source for franchise partners.

“It doesn't grow unit count, it grows total sales per franchisee,” adds Wiederhorn. “Our entire focus is on the success of our franchisees.”

FAT Brands has already implemented a similar co-branding strategy for its Fatburger and Buffalo’s Express brands. Over 100 of Fatburger and Buffalo’s Express restaurants are placed in the same location, uniting the two brands under one roof and driving up the average unit volume by 20 to 30 percent.

FAT Brands is also looking to experiment with adding a few plant-based and vegan Fatburger items to the Elevation Burger menu. Elevation Burger already prioritizes organic and sustainable meat, so FAT Brands is hoping current customers will be interested in trying plant-based options. And according to Wiederhorn, Tyson’s plant-based nuggets—courtesy of its Raised & Rooted brand—may also be on the menu.

Summer Fancy Food Show Highlights Plant-Based The Little Beet

The Specialty Food Association (SFA) annually hosts the Summer Fancy Food Show in New York City. The largest specialty food and beverage event in North America, the Summer Fancy Food Show features a growing number of restaurants and organizations focused on providing innovative menus and products.

This year, host Paul Barron interviewed a number of leaders in the industry. Becky Mulligan, a former Starbucks executive and the new CEO of The Little Beet, offered her perspective on the growing consumer demand for plant-based products.

After spending sixteen years overseeing thousands of Starbucks units, Becky Mulligan switched gears in 2018 and joined The Little Beet team.

The fast casual veggie restaurant chain just seemed like a perfect fit. “It was perfect for my lifestyle,” says Mulligan. “I was drawn to the concept immediately.”

The Little Beet recently expanded its offerings to a full service gluten-free restaurant: The Little Beet Table. According to Mulligan, the two branches work in tandem: customers continue to go to The Little Beet for a quick, healthy breakfasts and lunches, and they go to The Little Beet Table for dinner, drinks, and special occasions.

“People are becoming more educated about what they consume,” notes Mulligan. “It’s helped us to have a broader platform to talk about why it’s good to have a plant-based diet.” While she emphasizes that plant-based foods should make up the bulk of your diet, balance rather than guilt is ultimately the goal. “We want consumers to have accessible food that is good for you—and that you want to eat.”

All food at both The Little Beet and The Little Beet Table is made fresh everyday. All vegetables and ingredients are prepared from scratch, and the company avoids added sugars and non-blended oils. These prerequisites can be challenging for staff in terms of ensuring everyone is served in a timely fashion, but rewarding for the brand and customers alike.

The Little Beet currently consists of ten units, and there are four The Little Beet Table locations. Mulligan says the company hopes to double those numbers by next year. The chain is also developing a beverage platform.

Check out the video above to learn more about the future of The Little Beet and the company’s plant-based mission.

Third Party Delivery Life or Death for the Restaurant Operator

The conversation surrounding food delivery continues to be a major concern for today’s restaurant operators as they wade through a number of new technologies providing third-party delivery solutions.

GrubHub is up by over 38 percent in sales. The online delivery marketplace has also acquired Tapingo, Eat24, and LevelUp, and recently partnered with Dunkin’. However, not far behind, DoorDash just overtook GrubHub in U.S. monthly food delivery sales. The ever-popular Uber maintains a steady 91 million monthly active users in over 20 countries and provides food delivery for 50 percent of the U.S. population.

Nevertheless, our research here at Foodable Labs shows that there are some beginning signs of fatigue in both the operator and the consumer in terms of sentiment toward third-party delivery. An analysis of over one million conversations about third-party delivery reveals a few key areas that consistently problematize the companies’ claims to convenience.

Top 10 Third-Party By Sentiment Rating

Source: Foodable Labs

The Fees hit both the operator and the consumer. Operators typically pay third-party companies 20 to 30 percent of the base cost of the ordered food. Depending on the delivery service, consumers may pay a yearly fee or pay fees for delivery from certain restaurants. In just this past quarter, there has been a sentiment drop of 3.6 points on the consumer side across the top ten delivery services. On the operator side, the drop is even direr: sentiment fell by 5.8 points.

The Data represents a constant battle between the operator and the delivery service: who owns a guest’s information, order habits, items, and frequency of purchase? The restaurants believe the guests’ data belongs to them because the customer is their guest eating their food, whereas delivery services want to leverage the data to the max with deals, app notifications, and constant marketing.

The Brand is a key area that hits home for every restaurant business. Because the restaurant loses control of the delivery, brand continuity often comes into question. Food safety and new packaging is a constant concern for restaurants to ensure they maintain each customer’s business and overall enjoyment of the restaurant.

The Jimmy John’s sandwich chain, one of the first restaurants to embrace delivery services, has refused since its beginnings to deal with third-party companies due to these issues. “We’ve been researching … what is best for our customers and our brand,” says Jimmy John’s Chief Marketing Officer John Shea. “In our exploration, we came to the conclusion that we do it better.”

The question still remains whether food delivery companies like GrubHub and UberEats can come up with a program to solve these issues. My take is that the industry is incredibly complex: businesses range from independent to franchises to emerging chains to Titans of QSR, and each business has different needs and complaints regarding the current model of third-party food delivery.

Some members of the industry are seeking the bottom line of profit, while others are looking for top-line sales and incremental lift. The brand also comes into play, and profit is always a factor. The guest connection could also change the entire landscape of food delivery over the course of the next few years.

A few brands are taking matters into their own hands. Third party delivery can deeply cut profits, so fast-casual restaurants like Modern Market and Panera Bread are investing in their own ordering and delivery platforms. This move is risky, as it could limit the company’s competitive potential. But the choice ensures that the restaurant can maintain brand continuity and better address customer concerns regarding the food delivery process.

Third party delivery providers have a fiduciary responsibility to grow the business and create stockholder value. And history shows that pushback from the community can be a deterrence to the growth of these companies. The real difference here is that the dynamics of the restaurant industry does not fare well for third-party deliverers. The real future for the third-party delivery companies lies in the development of their own foodservice brands —whether they are cloud and virtual kitchens, or full on commissary systems that can meet massive demand. In my video report from last November, I break down the idea of how third-party restaurant brand development is the real gold rush for likes of Uber and GrubHub.