You probably saw the headlines this week.  “Family Meal” (the restaurant owned by celebrity chef Bryan Voltaggio of “Top Chef” TV fame) is closing its Hagerstown location – after only six months in business (good grief, I think they only had their permanent sign up for the last two months).

This follows in the wake of the location’s former tenant, the “Stone Wall Tavern”.  I think that restaurant lasted – what – three months?

Why do new restaurants seem to close so quickly?

Well, there are a lot of factors at play in the restaurant business, such as location, price range, food costs, labor, reputation, etc.  Even the pros sometimes get it wrong, and more often than not, a restaurant is opened by well-intentioned first-timers who think that because they make a mean goulash in their home kitchen that they can easily run a 50 seat sit-down establishment.

Wrong.

The statistics bear this out.  The most famous study (produced by Ohio State)[1]  states that 60% of new restaurants fail in the first year and 80% go under within five years.  Those are some cutthroat numbers.

Everything has to be right for a new restaurant to work, from the menu to the parking lot configuration.  Diners are a fickle lot.  A new restaurant only gets one shot with a customer and a bad experience ripples through that customer’s friend network (as well as their social media posts) like wildfire, branding the place before it can even gain a foothold of clientele.

So what can you do to help a restaurant you like?

Well, first of all – patronize it.  Restaurants only make money if people come in the door (and it takes more than one couple or family of four to keep them afloat).  If your favorite spot is frequently empty (especially on a Friday or Saturday night), things do not bode well for a long future.

Second, if you like a place, spread the positive word.  Word of mouth is extremely powerful.  Just as a bad review can sink a joint, positive feedback can also entice new customers to try it out.  If you like that little Thai restaurant, speak up.  You may find that others like it as well.

Lastly, you know when the manager comes around and asks you “how was everything this evening?”  Be honest with them.  If you had a positive experience with a server – tell them.  If the burger was overdone, tell them.  Managers can’t reinforce their good attributes (or fix their mistakes) if no one tells them about it.  Communicate what you liked about the place.  Point out what you didn’t.  Be specific.  Constructive feedback is crucial for a manager to make adjustments to their operation.

Restaurants come and restaurants go, but to make sure your favorite stays in business, take a few extra steps to make sure you’re doing your part in helping that local hangout survive.

 

[1] Parsa, H.G (Ph.D.), Self, John T. (Ph.D.), Njite, David, and Kin, Tiffany, “Why Restaurants Fail”, Sage Journals, Cornell School of Hotel Administration, n.p., n.d., Thursday, September 1, 2016 <http://cqx.sagepub.com/content/46/3/304.abstract>