Brand consistency is an important factor to success in the hospitality industry.  Customers will continue to return to an establishment if they know they can rely on a consistent experience each time they visit.  Striving for consistency can make many purchasing professionals sticklers for brand loyalty. However, there are times when product substitutions can not only be acceptable, but beneficial to your business. Subbing a brand name product can often be done without compromising quality. In addition, using a substitute supplier may offer both price advantages and increased stability to your supply chain.

Hotels, restaurants, and casinos put a lot of work into identifying suppliers that meet their quality standards. Suppliers of everything from food to linens must align perfectly with a company’s brand. The need for brand consistency is so imperative that many purchasing departments are reluctant to consider any substitute products once they’ve found a supplier they like. They are often unaware that there are alternative suppliers that can offer them a nearly identical product, often at a lower price. Once you’ve identified a company that offers products comparable to your current inventory, request a sample so you can thoroughly assess whether the supplier can meet your quality standards.

While cost savings is the main appeal of subbing a product, the substitute supplier may be able to offer values in other areas as well. For example, the company may carry a variety of products that your company currently purchases from multiple suppliers. Consolidating the number of suppliers you work with makes purchasing more efficient and can lower the costs of your hospitality supplies and services. If the alternate supplier is part of a large purchasing network, you can increase your cost savings even more by opting into their program to take advantage of discounts on items like food, linens, and maintenance supplies.

Even if you’re happy with your current supplier and pricing structure, it could still be beneficial to vet substitute suppliers. If you ever find yourself in a position where your current supplier experiences an inventory shortage or a significant price increase, having an alternate source for your essential products can help you avoid costly inventory shortages.

Identifying new strategic suppliers can be a difficult task, however, the purchasing specialists at Source1 Purchasing can help you identify the best suppliers for your business. Get to know our network of quality suppliers by contacting Source1 Purchasing today.

 

Big Data is more than just a buzz word. Restaurants, hotels, and casinos all utilize advanced business intelligence solutions to increase revenue and manage relationships with their customers. Data science has made it possible for businesses to market to their customers in ways they never thought possible. Gaining a deeper understanding of their customer base allows restaurants to create highly targeted campaigns leading to more guests walking through their doors. However, the value of data-driven technology does not stop at marketing efforts. Big Data can be beneficial for tracking employee performance and improving operations as well.

Data collection can be especially beneficial for restaurants seeking to gain insight into their customers’ dining habits. Loyalty programs originated as a marketing tool to encourage diners to visit a restaurant more often. Now restaurants are using loyalty programs to track customers over multiple visits while gaining valuable knowledge they can use to offer customers more personalized incentives. When a customer scans their loyalty card, for example, a restaurant can capture data pertaining to the number of people in that customer’s party, the time of day they are most likely to come in, and more. Similarly, Point of Sale systems have become powerful data collection tools, tracking everything from menu item popularity to table turnover rates.

The ability to track employee performance has made it possible for restaurants to improve their training and provide diners with a better customer experience. By identifying which servers are doing a better job of pushing daily specials, bottles of wine, or other upsells, restaurant managers can strategically schedule their top employees to work during the most important shifts and zero in on staff members that may require additional training.

Restaurants that have implemented advanced data tracking systems are better equipped to predict their customer flow on any given day. For instance, restaurants can identify how the weather or a local event impacts customer traffic and plan accordingly in the future. From an operations standpoint, the ability to forecast a spike in business is very beneficial to inventory managers. Data improves the capability of purchasing specialists to safeguard against inventory shortages during an increase in customer traffic and avoid product waste during times when business is slower.

As technology continues to evolve, Big Data will become essential to all businesses looking to be competitive in the hospitality industry. To learn how the professional procurement consultants at Source1 Purchasing can help your restaurant use data-driven technology to lower your hospitality supply costs, contact us today.

 

Welcome Paul Hodge, Owner & Managing Director at World Amenities (left) joined by Program Development Manager Lauren Arthur and Director of Business Development, Jason Blair.

It was a pleasure to have you at our Boynton Beach office today.

 

Increasing environmental sustainability in your restaurant is not only good for the environment, it can also translate into savings to your bottom line. Many restaurants lose a great deal of money each year to water, energy and food waste. The good news is that it can be simple to avoid these losses by making a few small improvements throughout your restaurant.

Save Water

Due to the nature of their industry, restaurants require a lot of water use for their daily operations. While much of this water use can’t be avoided, there are many areas where water waste can be evaded. A leaking faucet, for instance, is easy to overlook but can cost hundreds of dollars in wasted water annually if left unchecked.

In the dining room, consider refraining from serving guests water unless they request it. When glasses of water are automatically served to a table, many times it will go to waste. The waste comes not only in the water and ice in the glass but in the water that will be used to wash the glass later.

Cut Down Your Power Bill

Hot water is a necessity in a commercial kitchen, however, heating water requires a great deal of energy. Some ways to reduce your water heating costs include insulating hot water pipes and making sure refrigeration coils are kept clean. Additionally, make sure that your kitchen staff is trained to refrain from turning on any equipment until they are open for orders. It is not uncommon for fryers, ovens, and other equipment to be turned on hours before meal service.

Switching to LED light bulbs throughout your restaurant can translate to huge savings on your energy bill. These light bulbs are more expensive up front, but they last upwards of 15 years, which will save even more money in the long run.

Recycle

Have a recycling program in place to limit the amount of trash your restaurant contributes to the landfill. Recycling cardboard, for example, is incredibly simple yet accounts for much of the trash generated by most restaurants. If possible, it is also a good idea to make an effort to strategically source recyclable take-out containers to cut back on post-consumer waste.

Compost

Hopefully, your kitchen has systems in place to cut down on food waste, but when waste happens, look to compost if possible. This may seem like a large task, but your restaurant doesn’t necessarily have to compost on-site. There are a number of haul-away services that will come and pick up your compostable food scraps, meaning you simply have to have a system for storing them apart from non-compostable trash.

Increasing environmental sustainability in restaurants doesn’t have to be difficult and can go a long way in helping you cut down on costs. Take your next step toward greater profit with the Source1 Purchasing Solution.

Call: 888.411.9987
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www.source1purchasing.com

Click here to get your free Market Basket. (Typically, a Market Basket will identify savings opportunities of 9% or more!)

 

Jim Northcutt’s presentation at the 2018 Radisson Convention.

Thank you Corporate Caterers for visiting our Florida office and catering lunch for the Source1 Purchasing team!

Featured from left to right, Dennis McGinley, Co-Owner of Corporate Caterers; Santiago Arango, Program Development Manager at Source1 Purchasing; Elda McGinley, Co-Owner of Corporate Caterers; Sharon Wallace, Business Development Manager at Source1 Purchasing; Vicky Rivadeneira, Operations Manager at Corporate Caterers and Bill Maher, Sales & Marketing VP at Source1 Purchasing.

In recent years, Millennials have led the charge in the now widely-adopted convenience culture. When it comes to dining, consumers have come to expect on-demand services and flexible delivery options. Restaurants, cafes, and hotels have had to diversify their offerings to maintain their market share. With so many restaurants now offering speedy delivery services, consumers have more quality choices available to them ever. Restaurants need to find the right balance of quality, selection, and speed to earn diners’ business.

Technology has become a huge asset in helping the food industry accommodate customers and their need for instant gratification. Automated food ordering now works seamlessly with smartphones, allowing customers to order delivery from their favorite restaurant with a click of a button, or place their latte order before ever stepping foot into their local coffee house. But what about a walk-in customer who wants food in a hurry? For many cafes and restaurants, including those in hotels, their traditional offerings may require too much time to prep for customers that are on the go. That has many establishments looking to add pre-packaged items to their menus.

The rise of the convenience culture has forced hotels and restaurants to evaluate their suppliers and strategically source products that appeal to customers on-the-go. There is still a need to cater to traditional dine-in guests but having a selection of quality pre-packaged options available for customers in a hurry can be a valuable additional revenue stream if it’s done properly. Healthy grab-and-go snacks, bistro box lunches and upscale beverages like pressed juices are all popular offerings. Some of these items may be available directly from hospitality suppliers, but many restaurants and hotels may also choose to assemble these offerings in-house.

Convenience foods require vastly different packaging solutions than traditional take out. Containers need to be small and present their contents in an attractive way. Strategic sourcing of high-quality retail food packaging is integral to making grab-and-go offerings appealing to customers. Just because they want something quick and convenient, doesn’t mean consumers are willing to compromise on quality.

Partnering with a procurement consulting specialist like Source1 Purchasing can be helpful in sourcing the hospitality supplies your restaurant or hotel needs to create successful on-demand offerings for your customers.

Take your next step toward greater profit with the Source1 Purchasing Solution.
Call: 888.411.9987
Contact Us Here

Congratulations Albert Lee from Radisson San Diego San Bernardo on winning the VR System today at the 2018 Radisson Hotel Group Tradeshow. Glad to have you and your property onboard! Source1 Purchasing Radisson Rosen Shingle Creek. Picture also featuring Bill Maher & Emma Ryder from Source1 Purchasing and Amy Snook, Vice President of National accounts at Sysco.