Raising the Bar in Hotel F&B
Reprinted from the Hotel Business Review with permission from www.hotelexecutive.com.
Bar Rio in Bend, Oregon. Photo: Ben Titus
F&B is an undeniable cornerstone of the hospitality industry, but all too often it's feast or famine. When operations and marketing work together effectively, F&B can make significant contributions both to the guest experience and to revenue generation. As F&B operators race to embrace the latest trends, marketers must trot in tandem as key partners. Harnessing the latest trends on both the operations side and the marketing side will surprise and delight prospective guests, even before they set foot in your restaurant.
The Green Stack
One of the most prominent trends in the hospitality F&B sector is the shift towards sustainable and regenerative practices. When environmental benefits mean cost savings, all the better still. At BLLA's annual conference in October, thought leaders gathered on a panel to share ideas around regenerative F&B. Simple swaps like clear waste bins in kitchens can make a big difference. The visual of trash building up might inspire a move to compost, reduction in portion sizes, or a bit of both. Ginger Pierce, Culinary Director of 1 Hotels Hollywood described innovations in her kitchen, including a pressurized hose in the dish pit, using air instead of water to spray off plates, reducing water consumption before the dishes are cleaned and sanitized. Cale Genenbacher, CEO & Co-founder of LOGE, added that low flow hotel showers and sinks have substantially reduced water use and utility bills on property. Native landscaping is another great way restaurateurs and hoteliers are using less water in their operations.
Today's consumers are increasingly environmentally conscious, seeking out dining experiences that align with their values. As hotels integrate local and sustainable practices into their F&B operations, marketers must get creative when it comes to sharing these practices with prospective guests online. Sustainability, once considered a footnote, has become a key differentiator when it comes to credit card advocacy. Behind-the-scenes footage in the kitchen, or behind the bar, allows marketers to show instead of tell, a marketing tactic that goes a long way on social media.
Brand partnership in action at Lumeria Maui, via Flytographer
Raising the Bar, Lowering the ABV
As food costs rise, more emphasis is being placed on drink menus and bar offerings than ever before. This shift makes economic sense and aligns with ongoing wellness trends. Mocktails and low ABV drinks are having a moment, appealing to health focused guests who enjoy kicking back without the hangover. Marketing this shift from family friendly dining to more lively, bar experiences requires a unique set of skills.
Marketing bars is all about the vibe. Static photos must be supplemented with video content using camera tricks and transitions to add interest. At Bar Rio Cocktails & Tapas in Bend, Oregon, formerly Barrio Restaurant, drinks magically appear, a tall pour is exaggerated, and a drip is emphasized with slow motion. A trending sound or audio is added to create a sense of place and make the content relevant on Instagram. Social media platforms are crucial for showcasing bars. Short, engaging videos create buzz, get shared, and draw in guests.
Tech Integration
F&B operations are leveraging new technology to make service more efficient. While printed menus and table service both made a comeback in 2023, operators are still leaning on online ordering as an added revenue stream. Many also continue to partner with Door Dash and others for delivery.
Point of sale systems offer a hidden competitive advantage to restaurant marketers: access to guest data captured through the transaction. Systems like Square not only allow restaurants to send emails directly from the app, but also provide a live dashboard of the campaign performance, including revenue generation. Analyzing campaign performance helps to create personalized offers and promotions, which enhance customer loyalty and return visits.
Although reservation systems like Resy and OpenTable do not offer a baked-in email platform, they do allow restaurants to download reservation data and import it into a third party system. Understanding guest preferences from reservations can help tailor offerings and marketing efforts.
Collaborations and Partnerships
As the restaurant and bar market becomes more saturated, and dining habits change, our restaurant and bar clients have found success in local, regional, and national partnerships. For example, one of our bars partnered with Don Julio for a series of hosted events to promote the brand's new rose tequila, while another bar partnered with Union Mezcal for a one-of-a-kind tasting event. When the bars and the brands cross-promote the event to their followers, the reach is more than twice as good, creating viral reach that's greater than the sum of its parts.
When hotels lease restaurant space to an independent restaurateur, marketers can work together to create Instagram Collabs across the restaurant and hotel accounts, to reach both audiences at once, a benefit to both businesses. We aim for at least half of our video content to be collaborative with partners to expand our reach, grow awareness, and drive reservations.
ABD Creative hotel social media content shoot in Kauai, Hawaii
Challenges Along the Way
As guest preferences continue to evolve, keeping pace with trends like sustainability, tech, and partner programming, can be challenging. Some restaurants are managing to keep the pace by launching seasonal menus, offering online ordering, and hosting partner events. Marketers must be kept in the know in order to share these rapid changes with audiences. F&B operations must continuously innovate to stay relevant, and marketers must act as partners to brainstorm and create promotional content.
While digital marketing is essential, guest interaction is equally crucial. Relying too much on technology can lead to a perceived loss of the personal touch that is central to hospitality. We experienced this loss with QR codes in the aftermath of the pandemic. While guests were craving human interaction, restaurants were angling to recoup losses by limiting labor. In the end, the human touch won, and most restaurants have returned to paper menus and table service.
With rising operational costs, particularly when it comes to tech integration, maintaining profitability while streamlining the guest experience is a significant challenge. On the other hand, smart sustainability moves and regenerative initiatives can save money in the long run, so these initial investments should pay off.
Effectively using social media platforms for marketing requires a strategic approach, too. Embracing trends while staying true to the brand and your audience requires attention to detail and an adept creative team. Social media is just one piece of the puzzle. Smart marketers are holding tight to email marketing; the most effective form of hospitality marketing in terms of ROI. Marketers must be nimble in their omni-channel approach, parsing out content across the web, email, and social media platforms to successfully market F&B outlets.
Future Opportunities and Predictions
We can't talk about the future without talking about AI and the many ways it impacts F&B. AI will continue to play a big role in personalized dining experiences. From AI-driven menu recommendations to personalized marketing messages, AI will enable F&B operations to cater more precisely to individual preferences.
As noted earlier, sustainability will continue to make headway as a standard practice. This further shift may include innovative eco-friendly solutions in food sourcing, waste management, and energy-efficient operations.
The future will see a rise in dining experiences that go beyond food, incorporating elements of entertainment and immersion. This trend will provide new avenues for creative marketing. Collaborations with influencers, local artisans, household names, and chefs, will continue to provide fresh and appealing marketing content, drawing in more guests.
As the F&B sector navigates these challenges and opportunities, flexibility and innovation will be key. Embracing new tech, staying attuned to guest preferences, and maintaining a balance between digital efficiency and personal hospitality will shape the future of F&B marketing in the hospitality industry.
Hotel F&B From Here
In 2024, the focus in hotel F&B is clear: sustainability and regenerative practices, innovative bar experiences, and the strategic use of technology. These trends are key to meeting guest expectations and driving both loyalty and revenue. Innovations like air-based dishwashing and native landscaping are just a few examples of how sustainability is being integrated into F&B operations. Marketing these green initiatives is paramount in attracting today's eco-conscious guests.
Furthermore, with rising food costs, there's a growing focus on bar offerings. Health-conscious drinks like mocktails and low ABV beverages are trending, with marketing strategies shifting to dynamic, experiential content on platforms like Instagram and TikTok.
Tech integration is also playing a significant role in F&B operations. Online ordering and advanced POS systems are streamlining services and offering valuable tools for personalized marketing. Collaborations with brands and influencers are proving fruitful in expanding reach and creating unique guest experiences.
Savvy F&B operators and marketers are redefining dining experiences in the wake of ever-changing guest wants and rising food costs. This isn't just about serving meals, it's about creating stories, carving out unique spaces, and building fruitful partnerships. With the right mix, operators can transition hotel F&B outlets from routine offerings into dynamic, revenue-generating bars and restaurants. As we move forward, F&B operations will undoubtedly face new challenges. Adapting to trends while staying true to your brand, harnessing sustainability as a cost-effective cause, embracing technology to improve the guest experience, and maintaining a balance between digital and personal interactions, just might be the key to success for F&B this year.
