Dear Five Diamond Hospitality,

I am the In Room Dining Manager of a large hotel.  Our In Room Dining sales have really dropped over the last year.  Our service scores are also suffering.  Where do a start?

Great question!  Many hotels are reporting a drastic decrease in F&B sales per occupied room.  The In Room Dining sales have taken the biggest hit during these tough times.  Guests are really cutting back on the more expensive amenities of the hotels and room service is usually at the top.  Here are our recommendations:

1.  Revisit your menu and specifically your menu prices.  Many hotels dramatically increased their room service menu prices over the restaurant prices.  We recommend that the prices are similar, especially if your hotel is near many other restaurants…  especially if they are within walking distance.  Guests typically look at the room service prices and assume they are the same as in the restaurant.  If a guest feels they are too high, you have lost them as a customer in both room service and the restaurant.  Guests will grab breakfast from a quick mart and eat dinner at the restaurant next door. 

2.  Review the basics of room service selling with your Room Service Operators.  Now more than ever, they need to maximize the revenue on every call they receive.  Check out this article on how to increase your room service sales by as much as 50 percent!

3.  For help on improving your service, check out this article on how to deliver room service orders the right way!

Have any tips of your own?  Post them below!  Have a question that you would like answered?  Post it below or send it to us via the contact page.

In a study of chain restaurants in the July 2009 edition of Consumer Reports, customers reported at least one complaint during a whopping 43 percent of the visits!  The complaints reported are very surprising and an area that we should all be focused on improving in our hotel restaurants. 

Here are the top complaints:

1. Noise (reported in 26% of visits)
2. Poor Service (18%)
3. Cleanliness Issues (10%)
4. Food Quality (7%)

Most people would automatically assume that food quality issues would be the top complaint in a restaurant.  Keep in mind that this study covered restaurants from Denny’s all the way up to Morton’s Steakhouse.  You probably spend a lot of time working on your menu and your food quality.  Keep in mind that this is the area that the fewest people complain.  Where should you focus most?  First, hopefully your hotel restaurant does not have a noise problem. Very few of the restaurants our mystery shoppers visit have any sort of noise problem.  However, many of the hotel restaurants have both a service problem and some cleanliness issues.

Service problems are the biggest problem areas during our mystery shopper’s visits.  Surprisingly, the biggest problems are the most basic service standards.  Many servers struggle to do basic standards such as taking orders, pre-bussing tables, and delivering the check correctly.  Schedule a mystery shop today to see how your service ranks.

We also see a few cleanliness issues during our visits.  The main culprits?  Buffets and bathrooms.  Bathroom cleanliness was also a complaint in the Consumer Reports study.  Have a messy bathroom in your restaurant is probably the quickest way to scare a guest.  The buffet problems we report are issues such as dirty plates in the plate rack and messes left on the buffet from other guests.  Be sure that dishes are inspected after they come out of the dishwasher and before they are put on the buffet.  Also, be sure you have someone monitoring the buffet to clean up the mess left by guests who don’t know how to operatate a set of tongs.

Keep focused on the basics to improve your guest satisfaction scores!

Dear Five Diamond Hospitality,

I am a food and beverage manager at a hotel with two bars.  Can you tell me some ways that we can increase our revenues?  We are obviously a little bit slower lately, but is there anything that we can do to help?

The selling area of a bartender’s service is always overlooked. These selling standards are extremely important to generating higher revenues. Bartenders can come across as uncaring and unfriendly if they just approach and ask guests, “What can I get for you?” They also will not sell much more than the minimum guest order. Most hotel bars are not like the bars or nightclubs that stand alone. People usually expect more from a hotel bar. The service of a bartender should be similar to that provided by servers to a table of guests that are eating. There are many selling standards that should be in place for each time a guest arrives at the bar. This includes practices such as offering your drink menu to guests whether they know what they want or not, providing a food menu, suggesting any specialty drinks, offering more beverages, and offering bar snacks. Each of these practices has its own effect and benefit on your bartender’s guest service as well as revenues. Here is a breakdown.

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If you are like many hotels, you are looking for ways to reduce your costs in your restaurants to compensate for the lower revenues.  In this first cutting payroll edition, we are going to discuss how to cut the busser (bussperson, busboy) position.  Many restaurant chains across the country have now eliminated the busser position.  Take a look at this article describing how chains such as T.G.I. Friday’s have eliminated the position.

First, a brief overview of how we see the bussperson position. Bussers are the key to a restaurant’s cleanliness.  They are relatively inexpensive to have on the floor during busy times.  However, they can really hamper good guest service.  Restaurants tend to use bussers to help the servers serve guests by doing things such as offering beverages and pre-bussing.  The problem is that guests cannot tell the difference between a server and a busser.  It does not matter if their uniforms are different.  When an employee approaches a guest’s table and offers a beverage, the guest expects that person is going to serve them.  Unfortunately, they do not always speak English and are not trained to properly serve the guest.  Many guest’s questions are answered with a blank stare or with, “I’ll get the server”.  Servers should serve.  They should be the first to greet the guest when they are seated.  They should take the drink orders and deliver them.  They should pre-buss and should deliver the checks.  A busser should never go to a guest’s table while there is a guest present.  If a busser is doing any of these tasks out of necessity, your server probably is unable to handle the number of tables he/she has been assigned.  You should reduce his/her table count until his/her service improves.

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The Wall Street Journal posted a great article on the rise of employee theft as a result of the recession.  You can read the entire article on MSN’s Money page here.  The article reports that ‘New research shows that employers are seeing an increase in internal crimes, ranging from fictitious sales transactions and illegal kickbacks to the theft of office equipment and retail products meant for sale to customers.’  The article also mentions that ‘To many employers’ chagrin, the workers guilty of the most grandiose theft frequently turn out to be those deemed to be highly trustworthy’.   

We have seen a dramatic increase in internal theft while in the field and expect to see a continued increase in 2009, especially in employees who rely on tips for a large part of their salary.  Many hotels have been forced to dramatically reduce the number of hours as occupancy declines and many of the hotel restaurants have slowed down.  Many employees are now really struggling to make what they made in the past and most cannot afford to take a pay cut and still pay their monthly expenses.     (more…)

Anyone who has ever worked with Five Diamond Hospitality will tell you that one of the biggest things we preach is proper selling and up-selling techniques.  We have to give a tip of the hat to a restaurant that really nails the art of selling.  Here is our story:

Three of our team members went to the Hard Rock Cafe for a quick lunch.  Because the Hard Rock is a tourist destination, they really had a lot to sell.  The host sat us at a table, handed us menus and said that our server would be over in just a minute.  A minute later, the server arrived and greeted us.  She asked for our drink order.  Instead of just asking ‘what would you like to drink’, she also recommended three beverage selections including their specialty iced tea.  When one of us ordered a soda, she casually tried to up-sell him on the souvenir cup.  It probably would have added another $4 or $5 to the tab.

After taking the beverage orders, the server offered us an appetizer.  Instead of just asking ‘what can I get for you’, she recommended an appetizer sampler platter for us to share.  The appetizer platter was $19.

When she came back to take the entree order, she came up with creative ways to up-sell.  She offered different side order choices (at a premium price of course) and extra toppings on the sandwiches (add another buck for bacon, etc.).

While we were waiting for our food, she brought over a miniature catalog of Hard Rock stuff from the gift shop.  She said that if we wanted to purchase a t-shirt or something, she could get it and add it to our bill. 

After the meal, she attempted to sell us on some deserts.  The desert menu was cleverly placed inside of the check presenter so you would be forced to look at it. 

The server was great at selling and had a lot of opportunity.  She was very casual about everything that she offered.  It would have been very easy to say ‘yes’ to many of her choices.  She probably does very well with her tips and her average check is probably well over $20, even though most entrees are only around $10.

When I am not in a hotel, I swing by the occasional chain restaurant for a good meal.  There is one chain that I really like because they have awesome baby back ribs.  The problem is that my wife will only eat one thing on the entire menu.  Here is our experience and a good lesson in how to lose a regular customer.

 The server came by to take our orders.  I ordered the baby back ribs that I love and my wife ordered the fish (the only thing on the menu that she really likes).  The server took down the order and left for the kitchen.  My wife and I enjoyed our beverages and a little conversation.  About 15 minutes later, we were wondering where our food was when one of the restaurant managers came over and said ‘I’ve got some good news and some bad news.  The bad news is that we are out of the fish.  The good news is that we have everything else on the menu available.’ 

 I have no idea why they took 15 minutes to tell us that they were out of the fish.  Did they not know this when we ordered?  Maybe they were fishing out back and the fish just weren’t biting.  Who knows.  Anyway, we were annoyed but willing to move on.  My wife requested a menu so she could choose another entree. 

Not even one minute later, the server brought on my baby back ribs and held them in front of my face while asking ‘would you like these now or would you like me to bring them back when your wife’s food is up?’  Apparently, the server wanted to see me get a divorce!  I told the server that I would wait and eat with my wife so that I don’t have to sleep on the couch tonight. 

The server came back and took my wife’s second order.  A few minutes after that, a different manager came over to tell me that the restaurant was out of fish.  It was almost like they were rubbing it in at this point.  We told him that we already ordered something else. 

About 10 minutes later, the server brings my wife’s entree along with my ribs that were sitting under the heat lamp.  They had a nice twice baked taste to them.  I also enjoyed the twice baked potato that was now a three times baked potato. 

The restaurant kindly offered to give us a free dessert for our trouble.  We rarely get a chance to go out to eat; a free dessert was not worth the ruined meal.  Needless to say, we have not been back.

Got a bad service story to share?  Add it to our comments section!

Controlling your beverage cost is about much more than hiring the right bartenders and being hopeful that they are honest.  Whether your hotel just opened a brand new bar or have had one for many years, make sure that you have these 12 basic internal control standards in place to protect your bottom line.

1.  Position the POS terminal so that customers can see transactions rung up. Most bars have the POS screen positioned towards the bar so that the bartender must turn their backs to use the register. This helps on two fronts; first, all guests can see their transactions rung up and second, it is tougher for the bartender to see who is watching him or her ring up the transaction, making it less likely that they will risk using POS manipulation. If your bar design does not allow the terminal to be placed this way, consider installing a display arm that can be positioned to face the guest similar to ones in retail stores.

2.  Ensure that it is your bar’s standard to have alcohol poured first when preparing mixed beverages. Pouring the mixer into the glass before the alcohol can only mean one thing; your bartender is attempting to adjust the perceived alcoholic strength of the beverage. This is a good indicator that your bartender may be pouring less per drink to steal so that it will not throw inventory levels off.

3.  Require the bartender to give a receipt after each transaction. This is one of the simplest standards to use yet many bars obviously do not require the bartender to give one. Make sure that your bartender knows that if a guest pays cash, it is not some secret code for, “I do not want a receipt.” Even if most of the guests throw the receipts away, at least your bartender gave them one and hopefully rang up the transaction.  Check out our article on how bartenders split and re-present checks with the POS.

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In our last article, we told you how to perfect your hotel’s in room dining service.  If you have mastered your service, you should be ready to increase your room service revenues (and tips) up to 50 percent!  In room service, your team has an incredible opportunity to sell.  Room service guests are typically not price sensitive and often want to splurge.  Here are the secrets of selling and increasing your revenue:

Before we talk about suggestive selling, the first thing we have to talk about is how to ask the right questions.  The most important thing to keep in mind is to never ask open ended questions.  When I call room service, the room service operator typically asks, ‘what can I get for you?’ or, ‘what would you like this evening?’  If you ask either of those questions, you have lost all opportunity to sell.  At that point you are only an order taker.  Your questions have to be specific and lead the guest to buy. 

The first question you should ask the guest is, ‘how many guests should I set the tray for?’  Almost nobody ever asks this question.  They usually just guess based on the number of entrees ordered or just assume that the order is for one person.  Without knowing how many guests the meal is for, you cannot set up the tray properly… but more importantly, you cannot sell correctly!

Once you know how many guests to prepare for, you can start selling.  Selling is simple.  It is about anticipating the guest’s needs and making recommendations to match. 

The next question you ask is to take guest’s appetizer order.  With all of the questions that you will ask the guest, keep the following in mind: (more…)

This book, written by Robert Plotkin, has been around for quite a few years and is in its fourth or fifth printing.  The book does a very good job of covering internal theft in bars.  The chapters range from ‘Exploring the Causes of Theft’ to ‘Preventative Measures‘.  At 96 pages long, the book is an easy read and serves as a decent reference.  If you are new to beverage control, you will find yourself going back to the book time and time again as you try to improve the controls in your bar.  A more experienced Bar Manager will not find much of the book very useful.

While there is a lot of great advice on preventative measures, the book does feel a little outdated.  Also, many of the recommendations for beverage control seem very costly when it comes to supervision.  Hotels that do not have a F&B Manager on the floor at all times will have a very hard time with the recommendations.  In addition, many of the recommendations are just way too time consuming and small to midsized hotels will have a hard time finding the time and manpower to do them. 

Overall, we recommend the book for managers who are new to beverage control.  Veteran mangers can probably skip this book.