Keep it simple . . .

April 24th, 2013

Rube Goldberg DrawingThe best businesses control themselves, keep things simple, stay on track, and do not allow themselves to be overwhelmed, overloaded, or confused.  Their guests and customers are exposed to an ever-increasing daily barrage of messages daily from a million different points in the world.  In order to engage people, it’s smart to understand that there is beauty in simplicity.

That’s not to say that complexity does not sometimes work, as I was reminded when I spoke recently with the Dallas Business Journal’s Ghianda Becerril for her article Boston’s Restaurant & Sport Bar is for families, sport fans alike.

The interesting thing about Boston’s is that they operate two concepts under one roof: a family restaurant and a sports bar. They are a powerhouse in their native Canada and they are working to gain a foothold here.  Their calculation is that a better average unit volume (AUV) can be built with two concepts under one roof.  But let’s face it,  there is certainly a family dining customer who does not want their kids around a sports bar — even if it’s on the other side of a wall.  And I guarantee you there are sport bar fans who may feel a little intimidated about displaying their love of sports and alcohol in a building with kids. If Boston’s could generate the same AUV with one concept,  I’ll bet they would.

A week after I was interviewed for this article I talked about this with a high school team at the Texas State Pro Start Finals where I judged Critical Thinking in the management competition.  One of the teams had invented a concept with a restaurant downstairs, and a live music venue upstairs.  I suggested they read the article, and visit Boston’s to learn how much extra work there is in multi concept.  (Note:  My suggestion was not for them to visit the sports bar side.  We are dealing with high school students here.)

Every time you add complexity to your business it is important to understand and consider what the true benefits are. The lesson  is not to avoid complexity completely, but to recognize it for what it is, and that it’s only worthwhile when it’s paying off.  I love a complex model as much as the next guy — people who know me may say even more so.  Some people even remember when I was part of the first multi-concept nightclub in Texas back in the 80s. It had three concepts under one roof!  But these days  experience has taught me. I am wary of making things more and more complicated in pursuit of a simple goal.

You are in control of your own destiny.

January 31st, 2012

Successful business people keep their eyes on their own product, creativity, service, culture and execution. When they do their job right, they have an awareness of what other businesses are doing, but spend their time perfecting what they themselves are doing.

Quick service, fast casual, casual dining, fine dining. Think fast! There’s a good chance that you have been to all four recently, and enjoyed them all, though for different reasons. The owners of those establishments know that success comes from performing well within the niche they selected, not necessarily from selecting the right niche.

So I was surprised to hear that part of the strategy to re-launch Bennigan’s out of their bankruptcy was to take advantage of people being bored with fast casual. However, I have not detected that fast casual is on the wane. I went point-counterpoint with Bennigan’s Franchising Co. CEO Paul Mangiamele about it in the Dallas Business Journal last week. Like a throwback to CNN’s Crossfire, I took issue with his claim that casual dining will be profiting from fast-casual fatigue. The article, “Reborn Bennigan’s is in growth mode” by Steven R. Thompson, appeared in the Friday, January 27 issue.

To be fair, Bennigan’s still has a strong and meaningful brand. So the outlook is good for Paul’s comprehensive plan to relaunch the brand in this market. Though there are still a few vacant Bennigan’s on the freeways, the concept nearly vanished from the North Texas area during the 2008 bankruptcy. One of our clients recently converted an empty Bennigan’s to their own concept. Another intended to, but the landlord decided to go in a different direction. It will be interesting to see the latest life of Bennigan’s, and whether it will stand out in the casual dining universe.

The lesson for business owners of any type is to focus on what they can control. Factors outside of their control, like changing trends, are part of the operating environment.