Delaware Restaurateur

4 / 24

4 Quarter 1
With the release of the National Restaurant Association’s 2016 Industry
Forecast, data reveals that the restaurant industry in the U.S. remains
the nation’s 2nd largest private sector employer. This is an impressive
number both across the United States as well as at home in Delaware
where restaurants provide opportunity for 1 in 10 working Americans. In Delaware
specifically over 46,000 people work in our 2,000 restaurants!
Although the overall economy is heading in a more positive direction, Delaware’s
operating environment is not without its challenges. Unprecedented crime levels in
Wilmington, struggling schools and big corporate layoffs all have a draining effect on
the psyche of our citizens. Restaurants absorb the challenges and conversations of its
people every day when they open their doors for business.
Some recent trends to watch in 2016:
• It is not all smooth sailing. From legislative and regulatory pressures and moderate
economic growth, to labor cost increases and cybersecurity, both new and old issues
will challenge profit margins and muddle operating procedures.
• Labor pool is getting shallower. Recruitment and retention of employees will re-
emerge as a top challenge for restaurant operators, as a tighter labor market means
greater competition with other industries for employees. Workforce demographics
are shifting to include a greater proportion of older workers while the younger labor
pool is shrinking.
• Everybody’s business. The restaurant industry has always been one where people
from all backgrounds have the opportunity to achieve the American Dream of
owning one’s own business. The restaurant industry is home to a growing number of
women-owned and minority-owned businesses, where many current owners started
their restaurant careers at entry level. Eating-and-drinking-place firms owned by
women and minorities continue to grow at a faster rate than the overall industry.
• Moderate sales growth. The restaurant industry will see its seventh consecutive
year of real sales growth in 2016. Substantial regional variations will continue,
reflecting local business conditions. The long-term trend of quickservice sales
growth outpacing tableservice sales growth will also maintain its momentum, along
with strong growth of snack and nonalcoholic beverage bars.
• Technology growing pains. The availability of technology options is starting to move
from novelty to expectation among many consumers. In the race to be tech-forward, new
systems are popping up in more places as guests say they want to use them. However,
two in five consumers say that technology makes restaurant visits and ordering more
complicated, indicating that perhaps not all these new systems are as user-friendly as
they could be. Restaurants will be focusing on closing that divide in the year ahead.
• American foodie 2.0. The typical restaurant guest today is not the same as the typical
restaurant guest 20 years ago. Having essentially grown up in restaurants, younger
generations have a very sophisticated world-view when it comes to food. Restaurant
operators say guests have higher expectations of their dining experience and pay more
attention to everything from diet-specific food, to sustainability, to food sourcing and
production than even just two years ago. Operators will carefully balance how to cater
to these precise tastes without becoming too niche or alienating more mature guests.
we l c ome
Delaware Restaurants
Continue to Navigate
Challenges in 2016
2016 DRA BOARD
OF DIRECTORS
CHAIRMAN OF THE BOARD
Steve Montgomery, The Starboard/Bethany Blues
VICE CHAIR
Jeff Cook, 2 Fat Guys
TREASURER
Scott Kammerer, SoDel Concepts
IMMEDIATE PAST CHAIRMAN
Bobby Pancake, Buffalo Wild Wings/High 5, LLC
PRESIDENT & CEO
Carrie Leishman
DIRECTORS
Javier Acuna, Hakuna Hospitality Group
Bob Ashby, Ashby Hospitality
Mashoor Awad, IHOP
Dena Calo, Saul Ewing LLP
Les Dukart, McDonalds/Dukart Management
Dennis Forbes, Cool Springs/Restaurant 55
Ryan German, Caffé Gelato
Mike Gershenfeld, Sysco Eastern Maryland
Carl Giorigi, Platinum Dining Group
Tom Hannum, Buckley’s Tavern
Bill Klemkowski, Jake’s Seafood House
Dr. Sheryl Kline, Univ of Delaware HRIM
Betsy LeRoy, Pizza By Elizabeths
Jean Lloyd, BDO USA LLP
Steve Lucey, Six Paupers/Ulysses
Hank Rosenberg, Harrington Raceway
Paul Ruggerio, NKS Distributors
Eric Sugrue, Big Fish Restaurant Group
Xavier Teixido, Harry’s Hospitality
Steve Torpey, Stanley’s Tavern
Bob Trostel, Breatkthru Beverage Delaware
DIRECTOR EMERITUS
Sydney Arzt
Kevin Davies
Paul Wise
DRA STAFF
Carrie Leishman, President & CEO
Krystal Peters, Director of Operations /
Education Director & ProStart® Coordinator
Karen Stauffer, Director of Communications
Rae Whichard, Membership Manager
2016 DRAEF BOARD
OF DIRECTORS
CHAIRMAN OF THE BOARD
Meghan Gardner, Blue Moon
VICE CHAIR
Xavier Teixido, Harry’s Hospitality
TREASURER
Josh Grapski, Nage
SECRETARY
Betsy LeRoy, Pizza by Elizabeths
PRESIDENT & CEO
Carrie Leishman
DIRECTOR
Ed Hennessy, Delaware Techinical
Community College
EDUCATION COORDINATOR
Krystal Peters
Carrie Leishman, President & CEO