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'Youthful' Europe, 'Mature' USA
March 17, 2008

I’ve been traveling to Europe for more than a decade, having the honor to work with some of the best young restaurant entrepreneurs and their developing companies. This past week (for the twelfth time) I had the pleasure to visit INTERNORGA in Hamburg, the largest restaurant trade show in Europe. It was a remarkably different experience than the original one I had in 1997.

On my first few visits, there was a general sense of insecurity, almost inferiority, about the state of the restaurant industry in Germany and Europe in comparison with the United States. A decade ago, the American quick-service giants were on the march and the Continent was ripe for the conquering. Europe in the late ’90s was dominated by small, independent and mostly traditional family restaurants. What few multi-unit managers existed wanted to learn all the “secrets” from the home of the chain business.

Today that no longer is the case. Europe, and especially Germany, is a vibrant and innovative restaurant market (see Lane Cardwell’s recent blog on Vapiano). New concepts, new ideas, and certainly more home-grown branded companies are the rule, not the exception.

In fact, I am firmly convinced that there is more to learn from the “youthful” Europeans than operators in the “mature” United States ever would imagine.

Here are a few lessons to be learned:

1. Fresh and natural can also be labor efficient. The array of convenience products that are truly fresh is outstanding. There is no question that the cost of labor is a larger factor for the Europeans than it is here. So investment in cost effective, labor-saving but high- quality and innovative products has been a necessity not a choice for more than a decade.

2. Fresh fruit as a symbol of natural ingredients is the basis for new product innovation. Fruit and fruit juice is incorporated in an extensive array of products. It partners in everything from a “Chilled Orange” lager beer to nonalcoholic malt beverages, energy drinks and orange colas. Fruit is the core of lighter sauces, yogurt smoothies and baked goods.

3. The aesthetics of great design are as important to the sensory branding of a restaurant as is the food or the service . Design is more than a one-time expense it’s a lasting investment in an ongoing relationship with the customer. Great design starts with décor and ends with stunning food presentations.

4. Energy efficiency starts with technology. The most cost effective technology in any restaurant should be found in the kitchen. Making a commitment to smaller, smarter (yes smarter) and green production equipment and cooking methods is the future for the U.S. market, but advanced technology is fully integrated in European kitchens today.

5. Finally, in Europe people are seeking wellness, freshness and natural products across all segments of the restaurant spectrum. The only difference between there and here is they have more innovative choices than we do.

--Chris Muller

Posted by Chris Muller on March 17, 2008 | Comments (0)



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