Specialty Food Magazine

Spring-2021

Specialty Food Magazine is the leading publication for retailers, manufacturers and foodservice professionals in the specialty food trade. It provides news, trends and business-building insights that help readers keep their businesses competitive.

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foodservice operations in Los Angeles, says she joined the IRC shortly after it was formed last year. "We all were freaking out, trying to figure out what on Earth we were going to do and how we were going to get through what was probably the biggest challenge any of us would ever face in our restaurant lives," she says. The main goal of the IRC has been to obtain relief for independently run restaurants, Styne says, "because we are the ones who are struggling and who are in jeopardy of not existing anymore. All of us are in debt to our landlords and to our vendors and to banks because we've had to take out loans to keep ourselves afloat any way that we possibly can," says Styne. "Many of us on the [IRC] advisory board have actually lost our restaurants because we haven't been able to pay rent." The IRC coordinated a meeting with the White House in late February to discuss the proposed $25 billion grant program for restaurants in the COVID stimulus package. A few weeks later, President Biden's American Rescue Plan was signed into law. It includes the $28.6 billion Restaurant Revitalization Fund—up to $10 million per restaurant—and can be used to cover a wide range of pandemic-related costs. The grants will be distributed through the Small Business Administration, and include a $5 billion carveout specifically targeting small restaurants with less than $500,000 in revenues in 2019. The grants also prioritize businesses owned and controlled by women, veterans, and others considered socially and economically disadvantaged. Restaurant operators are hopeful that the fund will help prevent more restaurants from closing. "I think it will provide a certain level of comfort in knowing that you have enough capital to work through any pandemic-related downturns, as far as maintaining staff, helping offset some of the losses," says Richard Wall, a co-owner of The Heidelberg restaurant in Columbia, Missouri. Wall, who is also the treasurer of the mid- Missouri chapter of the Missouri Restaurant Association, said his restaurant suffered the worst year of its 58-year existence in 2020. "We had record-breaking business losses, and job losses," he says. The Heidelberg, which is located next to the University of Missouri campus, closed for a month last year when the university shut down most of its operations, and reopened for takeout with the help of a Paycheck Protection Program loan. The restaurant has since begun allowing indoor dining, with social distancing between tables. The funds from the Restaurant Revitalization Fund will help compensate for some of the losses the business suffered in 2020, he says. "It allows us some stability—some peace of mind," Wall says. Doug Levy, owner of Feast in Tucson, said his dining room has been closed for a full year—Tucson 16 SPECIALTY FOOD SPECIALTYFOOD.COM RESTAURANT RECOVERY Pandemic Drives Restaurant Technology Restaurant adoption of technology advanced significantly during the pandemic, as operators became dependent on online ordering and delivery platforms, QR codes that enable customers to download menus, and expanded use of social media platforms to reach homebound consumers. "Much of the pandemic actually has accelerated the integration of technology into the typical restaurant experience," says Hudson Riehle, senior vice president, research and knowledge group at the National Restaurant Association, citing contactless payment technologies as one example. That trend toward increased use of technology is one that can be expected to continue, post-pandemic. "The association's research indicates that well over one-third of all American adults still feel there isn't enough technology involved in their restaurant experience," says Riehle, noting that younger consumers in particular agree with that sentiment. The NRA's 2021 State of the Restaurant Industry Report found that about half of full-service, fast-casual, and coffee-cafe operators devoted more resources to technology since March, and 39 percent of quick-service operators did so. In addition, 40 percent of restaurant operators added contactless or mobile payment options. Twenty-nine percent of consumers said the availability of contactless or mobile payments would make them more likely to choose one restaurant over another for takeout or delivery, including 45 percent of Gen Z adults ages 18-23. The survey indicated similar preferences for mobile apps that allow ordering and payment.

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