World Wine Culture
Consumption patterns across the world are so different it can be startling. Here in the U.S., the largest share of the wine market is Chardonnay as an aperitif. Last year I was in Alba, Italy and was lucky enough to witness a few local winemakers having a discussion about the proper wine to pair with breakfast! They settled on a Dolcetto table wine at 10% ABV…
Wine, its place with cuisine and its socially acceptable consumption is perceived very differently from country to country. I was in Germany earlier that year at a wine festival in Stuttgart and there must have been 100 producers there, with a 1000+ Germans very happily drinking sweet Riesling and Spatburgunder with their schnitzel & spatzele (very little dry wine). What an awful wine-food pairing, based on the U.S. palate. To a large extent, wine demand represents local preference, i.e. the weak market for import wines in California.
Breakfast of Champions, or NOT
So, could a wine producer develop a market in the U.S. for a very light, low alcohol red wine with a minimum of fruit, like the breakfast Dolcetto in Italy? Doubtful… but it sure has me thinking about the lifestyle associated with that kind of demand. I may be living in a shack on the beach in Italy soon! Wait, it would never work. My wine cellar would never fit!
Formula for a Successful Restaurant
So many restaurant owners ignore the potential of their beverage service. Yes, it requires an investment, but I have run the numbers many times… and it is just too difficult to hit the necessary gross profit margin without at least a 30% revenue and 40% profit contribution from beverage. Business plans become tortured, when based on food alone. I don’t care how good the product is. U.S. business statistics show, only one out of seven new restaurant start-ups last past the first five years.
Attitude and Passion
To run a beverage program at a fine dining restaurant requires an infectious passion and an ability to be a wine ambassador to draw your clientele into wine culture to succeed. The fine dining experience is all about superior service, telling stories and relating to the customer, all with an eye on education – not only regarding wine/beer/spirits, but also appropriate food pairings too. This seems to overwhelm many owners, but the result is worth the effort and may even be the key to long-term survival.
Business Planning in the Restaurant Trade
So often businesses lose sight of the financial viability of their annual budget and business plan (if they have one). I think, especially so in the restaurant trade. As a business owner, the tendency is to focus on a comfort zone and day-to-day operations, while overlooking whether the right plan is in place to achieve success. Having owned businesses and managed organizations in the past, even those with highly motivated employees, it is easy to lose track of the need for financial planning, marketing and experimenting with ways to enhance customer loyalty. Beverage is one of those keys to success.