Stats Of The Week
The State Of The Industry
According to a recent Yelp survey, since March, restaurants had the highest number of business closures
with a total of 23,981 closures as of June 15. 53% of those closures have been reported as permanent
while 47% are temporary. Of all business closures, including retail, restaurants, and fitness, their
report shows the largest spikes of permanent closures occurred in March followed by May and June. This
data indicates that businesses that were already struggling had to permanently close right away and the
businesses that were trying to hold on, but could not withstand the impacts of COVID-19, were forced to
recently close.
The Top QSRs Implementing COVID-19 Safety Measures
According to research from global market research firm Ipsos' Consumer Health & Safety Index, Chipotle ranks as the top restaurant brand for health and safety compliance during the pandemic. The firm conducted in-store visits at over 5,700 retailers across the country. They found that 90% of employees at visited Chipotle locations were consistently wearing masks, while 83% of locations included employees wearing gloves. 49% of Chipotle’s locations also had hand sanitizer available at the entrance and 82% had hand sanitizer available in restrooms. McDonald’s and Starbucks were also among the top QSRs for following health and safety measures with 95% of McDonald’s visited having barriers in place at checkout and 93% of Starbucks employees wearing masks at locations visited.
What’s Trending
State Reopenings Hault As COVID-19 Surges
As coronavirus cases continue to spike across the country, the idea of ambitious reopenings is dwindling. On Monday, Arizona marked another day of record hospitalizations leading Governor Doug Ducey to order the closures of bars, gyms, movie theaters, nightclubs, and water parks across the state for 30 days. In Texas, another state with rising cases, Governor Gregg Abbott issued an executive order to close bars and reduce restaurant capacities from 75% to 50%. Florida has suspended bars from on-premise alcohol consumption, but bars can still sell alcohol to go in sealed containers. The city of Miami is imposing mandatory multiday closures for businesses that don’t adhere to limited crowding and mandating face masks. Business violators face the possibility of shutting down for 10 days for an initial violation, 15 days for a second offense, and 30 days for a third offense. These enforcements come as the number of positive COVID-19 cases continue to rise in these states.
Momofuku Group Creates Restaurant-Oriented Safety Protocols
David Chang’s Momofuku Group has recently released a detailed guide specifically for restaurants on
health and safety procedures to implement in their establishment. David Chang tweeted that his group had
been working on their COVID-19 safety protocols for four months and believes that it is important for
all restaurants to start working off the same page and helping each other out.
The health and safety guide includes guidelines from general operating procedures and cleaning and sanitation to back of house and front of house operations. The comprehensive guide aims to create safety procedures for restaurant staff and employees to follow and help prevent the spread of COVID-19. While government-mandated guidelines differ from each state and lack specific details, Chang hopes that other businesses can find his safety protocols useful.
“While these standard operating procedures will always need to be adapted to each individual restaurant, we hope that they will serve as a good jumping-off point for anyone looking to create a handbook of their own,” Chang said to Restaurant Hospitality.
Coronavirus Accelerates New Ordering & Payment Technologies
The coronavirus pandemic has not only reshaped the way restaurants run their business but has also reshaped the way customers make orders and pay for meals. Contactless ordering and paying have been on the rise in the current climate because it involves little to no human contact. For example, some establishments have implemented QR codes that customers scan to view menus and order through their phones without having to download an app or having to use a menu that has been used by other customers.
Brian Levine, VP of Mobiquity, a digital consultancy, credits the transformation of customers utilizing contactless options to the surge in first-time users. Levine analyzed about 100,000 reviews of top QSR apps, including McDonald’s, Chipotle, and Pizza Hut, in Apple’s App Store and found a 36% year-over-year increase in the number of reviewers who expressed it was their first time using the apps, according to Restaurant Business.
“I think there’s an opportunity for [restaurants] now. The benefits weren’t big enough before. But once you get someone to use something, they’ve gone through the biggest hurdle,” Levine said to Restaurant Business.
Domino’s Expands Their Contactless Options
On Monday, Domino’s launched a new carside delivery option for customers that order pizza online. Customers will no longer have to go into the restaurant to pick up their pizzas and instead will have Domino’s employees bring their pizzas to their cars. Diners who select carside delivery will be asked to add their vehicle color, make, and model so staff can easily identify them when they arrive. Once a customer arrives at their Domino’s location, they hit an “I’m here” button on Domino’s Tracker page or reply “HERE” to Domino’s texting system to alert employees that they have arrived and to bring out their order.
Chipotle Connects Consumers & Farmers
Chipotle has announced a way for consumers to buy food supplies directly from farmers called Chipotle
Virtual Farmers Market Tuesday with Shopify. The launch is aimed to help farmers in the company’s supply
chain create their own online marketplaces to sell meat, dairy, and grains to average consumers. As many
suppliers have been hit with decreased sales due to the pandemic, this program aims to give suppliers
access to a new means of revenue. Chipotle plans to assist with the design and development of each
supplier’s website and will cover hosting fees on Shopify for two years. The first launch of the program
will include four Chipotle suppliers: Niman Ranch, which supplies pork and steak, Petaluma Creamery,
which supplies Monterey shredded cheese, McKaskle Family Farm, which supplies organic brown and white
rice, and Meister Cheese, which also supplies Monterey Jack cheese.
Bright Spots In A COVID-19 World
Local Diner Helps Out A Fellow Business
In Winston-Salem, NC, a well-known restaurant, Mary’s Gourmet Diner, had to close down for good due to coronavirus shutdowns halting business. The owner, Mary Haglund, decided to auction off the iconic paintings hanging on the diner’s walls that were cartoons specifically made for her and her restaurant. Haglund auctioned off some of the paintings on social media and was shocked to find that people were having bidding wars.
In the end, she made $5,000 from her paintings. Instead of keeping the money for herself, Haglund decided to give her earnings to a local Mexican restaurant called La Botana. La Botana is Haglund’s favorite Mexican restaurant in town and she became great friends with the owners, July and Rigo, over the years. Haglund thought it was the least she could do to help her friends keep their business.
“When you can pay it forward like that, it’s not even a choice. Of course, I’m going to help these people, this is a family-owned business,” Haglund said to CNN.
NYC Pride & Food Organization Hosts Fundraiser For COVID-19 Patients
Each year NYC Pride and God’s Love We Deliver, an organization that cooks and home-delivers meals, joins forces to host an immersive culinary fundraiser. With the coronavirus pandemic, the celebration went virtual this year and is running for a week with special segments featuring celebrity chefs. God’s Love home delivers medically tailored meals to individuals that are too sick to shop or cook for themselves. The organization was originally created during the AIDS crisis and has now been a lifeline for COVID-19 patients. They have reported a 25% spike in clients and now deliver 10,000 meals a day with 60% fewer volunteers due to social distancing protocols. During each online event, viewers are encouraged to donate $10 to fund meals for a client.
Quote Of Hope
“Food is liberation, it’s freedom. Food is justice. Food is emancipation. Food is empowerment. Food is peace, food is love. Food is community.” – Chef Ameer Natson, acclaimed chef and faith leader
