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Support local restaurants during Covid-19

Between March and September of this year, sales at restaurants and bars plunged 27%, compared to the same period in 2019, according to the U.S. Census Bureau. And by April, according to the National Restaurant Association, more than 8 million restaurant employees had been laid off or furloughed. Experts anticipate that between 30% to 50% of all restaurants will close for good by the time the pandemic ends.

After staff layoffs and furloughs at the beginning of the pandemic in response to mandated closures and stay-at-home orders, many restaurants applied for federal payroll protection plan (PPP) funds that provided limited relief from lease payments, utilities, and payroll costs. During this time, restaurateurs were forced to pivot from dining room service to outdoor seating (some expanded into parking lots), takeout, and delivery options. This required staffing up to meet demand as restrictions softened and guests began to return. It also led to an influx of new technology and partnerships as restaurants transitioned to web orders, digital menus, mobile apps, and delivery services like Uber Eats and Grub Hub.

Even those restaurants that remain open and appear to be bustling are likely barely breaking even – if that. Depending on state protocols, indoor seating capacities are capped at 15% to 30% of pre-Covid limits. Table turns that used to take a minute or less, in some locales that require 10 minutes of drying time before clean tablecloths can be laid, can take 15 minutes or more to turn. When you take into account the reductions in revenues coupled with the added costs of personal protection equipment (PPE), technology, and fees paid to delivery services, it all but eliminates the possibility of earning a profit.

Although it’s a tough time for restaurants, there are ways you can help:

  • Visit a local restaurant today. If you can, arrive early or late to avoid displacing revenue during peak times.
  • Order takeout or delivery. Consider takeout over delivery as this reduces the burden on restaurants and lowers their expenses.
  • Be patient. Restaurants are working hard to comply with state and local protocols that govern everything from seating capacity to sanitation protocols.
  • Be flexible. Understand that some of your favorite items may not be available, as many menus have been pared down – especially takeout and delivery menus that omit items that don’t travel well.
  • Order appetizers, desserts, and, if you imbibe, beer, wine, or a cocktail (some restaurants even offer alcoholic beverages with takeout orders) – as these are high-margin items for restaurants.
  • If you can, be especially generous when tipping. Servers’ sections have been drastically reduced. This limits the total number of tables they can serve, which translates into fewer tips.
  • Buy gift cards. This provides much needed cash to restaurants in the near term and has the potential to attract new patrons and added revenue in the future.
  • Post about your experience on social media to encourage others to support their local restaurants. And be sure to tag the restaurant in your post. They will appreciate the recognition and public support.
  • Finally, craft a positive online review for the restaurant. I’ve read that a single star increase in a restaurant’s overall Yelp rating led to a 5% to 9% increase in revenue.

Restaurateurs are currently engaged in a very real battle with Covid-19. Corporate life is at stake. Many are working tirelessly, risking their capital and accumulating personal debt while, at the same time, smiling, greeting, and graciously serving their guests. As winter approaches and outdoor seating dwindles, they will no doubt pivot and innovate in order to remain open and continue to serve their communities. Let them know through your enthusiastic support that they are not alone in this fight!

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