TASCA: David, we are two years into this pandemic, which has just devastated so many local restaurants. What are the primary challenges facing local restaurants today?
DADEKIAN: Well, there are a lot. It’s hard to really focus on any one. I think if I had to think about it, in my conversations with a lot of my friends and restauranteurs, it’s probably food costs and staffing.
To a lesser extent, dealing with customers. It’s the easiest way to say it, but it’s definitely the minority. The ones that are (vocal) are very vocal. It’s a painful situation, especially in the restaurant business because everyone wants to please everyone. That’s the nature of hospitality. To have one customer that may stand out because they don’t want to wear a mask or they don’t want to follow the rules is very much the minority, but it is a disturbing problem.
TASCA: Have customer habits changed, as well?
DADEKIAN: Definitely. That’s an excellent point. Lunches are definitely down. There are fewer places serving lunch. Hours have been changed to accommodate. You know, it’s not profitable to be open with a few employees in the kitchen and in front of the house if you’re only going to have a few customers. On the flip side of that, lunches have probably gotten better in sandwich shops and places of takeout. Lunch there may be as good, if not better in many cases.
I think, in general, customers have probably moved towards takeout and moved towards ordering online and things like that. It’s easier to take an order online than to have to get on the phone and write things down, but it’s different.
TASCA: How has this pandemic specifically impacted wait staff at restaurants?
DADEKIAN: You know, if you’re a server in a restaurant, there’s a different tipped minimum wage and a different wage, in general. And this is part of the business structure of restaurants for many, many years. This isn’t anything new or underhanded but restaurants can pay that person much less and they make up for that in tips. But if you’re seeing a 50% reduction in customers, that’s going to be a 50% reduction in tips, if not more depending on how the day shakes out. So your day where you may have been making $30 in base pay and $200 in tips could be much, much lower.
That’s why a lot of servers have gotten out of the business. They’ve had to find work elsewhere in order to make their salaries. That trickles down to the restaurant because they don’t have the people in place to run their business.
TASCA: What do restaurant owners want their customers to know? If these restaurant operators could speak to their patrons and let them know about the challenges they’ve been facing, what would they say?
DADEKIAN: It’s almost painful to have to say this, but first and foremost, be kind. Understand that some of the things going on in these businesses are not something that a restaurant owner would choose, by any means. If some things aren’t perfect or not exactly how you enjoyed it the last time, maybe be a little flexible and forgiving and be kind.
I think the other thing we haven’t discussed as much, and it’s definitely something that’s going to get more and more important as we move forward, is that food costs are way up. Restaurant owners don’t want to pass that on (to customers). But it is what happens. You go to your favorite spot and an order of buffalo wings (used to be) 12 bucks, and now those buffalo wings, those chicken wings, cost the restaurant owner almost double what they used to be paying, you should be paying double for that dish.
That’s not happening for many reasons. The restaurant owner, first and foremost, obviously doesn’t want to scare his customers away by doubling the price of a dish. But that’s the reality of it. Food costs are up and that needs to translate, unfortunately, into dish prices and the customer has to know to pay that.
TASCA: Moving forward, what do you think the biggest challenge is going to be for restaurants as far as stabilizing and adjusting to this new normal for the indefinite future?
DADEKIAN: I would focus on food costs. I think the customer has to be aware that it’s not tenable what restaurants are doing right now for their bottom line. I think that’s really the message I’d like people out there to understand.
Restaurants have always operated on very, very low margins and it’s not getting better. In order to support your favorite place and see these places succeed and stay open, you’re going to have to pay more. And I think if that happens and restaurants are able to sustain themselves, the staff are going to come back and find a job that works for them and makes them money. All things will start to fill back in. Try to support (them) as best you can.
Joe Tasca can be reached at jtasca@ripr.org
