Restaurants revamp menus, operations to try to stay afloat
In the battle to keep their New York City restaurant going despite sharp restrictions during the coronavirus outbreak, the owners of Il Posto Accanto tried something Beatrice Tosti di Valminuta would have considered sacrilege in normal times.
That was offering their traditional Italian dishes for delivery “which never, never, never, ever, ever, ever happened before,” she said. “I like my food to go from the kitchen to the table, and that’s it!”
On Friday, she said she and husband Julio Pena decided to suspend operations for now because employees were wary of being out in New York City as it has become the U.S. epicenter of the contagion.
Across the United States, restaurateurs are transforming operations to try to stay afloat. The National Restaurant Association warns the outbreak could cost 5 million to 7 million jobs and hundreds of billions in losses and is pushing for a federal relief package for restaurants.
In an industry of traditionally tight profit margins, some decided it’s time to take chances.
Frisch’s Big Boy restaurants, a Cincinnati-based chain that laid off more than a third of its 5,000 employees in the first days of bans on in-restaurant dining, has pivoted into the grocery business. Besides its signature Big Boy double-decker burgers and onion rings, customers at its 100 restaurants in Ohio, Indiana and Kentucky can buy bread, milk and produce at its drive-thrus, carryout counters and via home delivery.
Frisch’s saw a quick jump in revenue at a time when people have been frustrated by long lines and shortages at traditional supermarkets. Toilet paper is in high demand, and Frisch’s and others are using it as a lure.
Westmont Diner in Westmont, New Jersey, has added it to carryout options at 60 cents a roll, along with paper towels, soap, bleach and other household needs. Lindey’s in Columbus, Ohio, throws in a free roll with all orders. Frontier in Chicago gave out decks of cards to homebound customers with their carryout dinners.
With the number of states with stay-at-home orders growing, some restaurateurs decided to shut down. Cameron Mitchell, based in Columbus, said carryout offerings weren’t bringing in enough business to keep his namesake chain of 36 restaurants in 12 states going. More than 4,000 employees were laid off last week.
Some fine-dining restaurants unused to carryout are trying scaled-down menus at bargain prices.
In Chicago, patrons can now carry out food for a fraction of the typical dinein tab at Alinea, where nabbing a seat typically requires reservations weeks in advance and dinners can cost as much as $395 per head. Alinea now offers takeout meals of beef Wellington, mashed potatoes and creme brulee for $39.95, and reports strong sales so far.
Meanwhile, in Los Angeles, Mayor Eric Garcetti said Monday that with Californians under a stayhome edict, restaurants are allowed to deliver alcoholic beverages along with meals to boost their revenue and, well, because booze.
Sitting in the nearly empty Frisch’s “Mainliner” restaurant where the chain originated in suburban Cincinnati in 1942, CEO Jason Vaughn said customers at the privately held chain’s 100 restaurants have asked for additions, such as orange juice, quarts of soup and coffee for home. Frisch’s is trying to leverage its supply chain to accommodate requests.
Vaughn predicts the crisis will change the industry.
“People have changed habits,” he said. “When the green light goes on, we don’t expect to come back as status quo when we go to whatever that new norm is, we’ll see if we can continue (groceries) if it’s a service the community wants.”
In New York, Tosti said leftover meals will be given to firefighters. She said the restaurant’s future will depend on how long quarantining and edicts against in-restaurant dining last.
“I’m better at taking it one day at a time,” said the restaurateur. “We can hope for a better day.”