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Volume 15 Issue 3 April/May 2009
Tom Stankiewicz accepts his $1000 Chef of the Year prize from Parmalat at the CRFA show. Left to right: Stankiewicz, the Racolli mascot, Parmalat Canada foodservice account 10 manager Paul McVety and Canadian Pizza magazine editor Laura Aiken.
10 TOM STANKIEWICZ: CHEF OF THE YEAR 2009
Meet Tom Stankiewicz, Canadian Pizza magazine’s Chef of the Year 2009, who is rocking the London, Ont., pizza scene with his gourmet pies.
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16 FROM FAMILY TO FRANCHISOR Learn how the Toppazzini family went from a family-run business to the franchisor of 36 stores.
22 TEN TIPS FOR SELLING YOUR PIZZERIA If the time has come to put your place on the market, don’t miss these 10 secrets to a successful sale. 26
24 GOOD SENSE IN
GOING GREEN For pizzeria owner Joe Leroux, revamping Amadio’s Pizza into an environmentally conscious store just made good business sense.
26 ORDER-UP EFFECTIVE 16
PEST MANAGEMENT You may have an abundance of topping choices for pizzas, but one ingredient you don’t want on the menu is pests.
www.canadianpizzamag.com
DEPARTMENTS 4
editor’s desk
6
pizza bites
12
canadian pizza online
18
the pizza chef
19
making dough
20
marketing insights
30
pizza on fire
COVER IMAGE: By Rick Alexander
APRIL/MAY 2009 pizza 3
from the editor’s desk April/May 2009, Vol. 15, No. 3
No time for a gift like the present deally, giving back to your community should be as streamlined into your life as brushing your teeth. In many cases it is to a degree, as our livelihoods are an inherent contribution. What we should all aspire to is giving back the gift of our time, our most precious commodity, freely and with purpose. This is why Canadian Pizza magazine has teamed up with Saputo to introduce the first annual Saputo Pizza with Purpose award. This contest, being introduced in this edition, aims to recognize the efforts of peers amongst the pizzerias who are going above and beyond the call of duty to contribute. We are looking for fundraising activity, sponsorships, participation in community events and creative contributions. Think out-of-the-box. I know one businessman who trains seeing-eye dogs, which is completely unrelated to his profession, but his cause has become a passionate part of his company. Dogs might not be a fit for your operation, but you get the idea on how we can all begin to find a way to bring our own passions into the pizzeria. Contributions can be local and only affect your community, or be national in scope. Or both. The winner won’t be determined solely on the amount of money raised. The winner will be chosen based on a culmination of activity over the whole year. Everything you do in 2009 counts and we want to hear about it. Your entry will be graded by a panel that includes experts on philanthropy as well as Saputo, who will be donating $2,500 to the winner to spend as they wish. Candidates are self-nominated only, so if you would like to get in the running for this award, contact me at laiken@ annexweb.com with a 100-word pitch on why you should be a candidate. After we
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have qualified your candidacy by checking that you meet the criteria of being an independent owner or franchisee, we will send you an application. Track your efforts right up until Dec. 31, 2009 and feel free to let us know how it’s going! We will be highlighting candidates throughout the year. Since everything you do this year counts, take until Feb. 8, 2010 to submit your final application to us detailing your year of giving back. The winner will be announced in March and featured in the April/May 2010 issue of Canadian Pizza magazine. As we introduce our new contest, we are pleased to announce the results of our last competition – Chef of the Year. Congratulations to Tom Stankiewicz of Bondi’s Pizza in London, Ont., for taking top honours with his Pizza Calabria. Diana Coutu of Diana’s Gourmet Pizzeria in Winnipeg earned a runner-up spot with her Quattro Canadese Pizzas su Biga Pasta. Stephen Goddard of Pomodori, N.B., rounded out the top three with his Mushroom Marsala Pizza. The three highest scoring recipes were baked in the Annex test kitchen and voted on by a panel of tasters. This year we received more entries than ever before, and would like to thank all of you who entered. It was an exciting competition. You’ll find the top two recipes within the pages of this issue and the third finalist in the June edition. Enjoy!
Editor Laura Aiken laiken@annexweb.com 416-522-1595 National Advertising Manager Christine Livingstone clivingstone@annexweb.com 519-429-5173 888-599-2228 ext. 239 Sales Assistant Ryan Culver rculver@annexweb.com 519-429-5183 888-599-2228 ext. 219 Production Artist Angela Simon Group Publisher Martin McAnulty mmcanulty@annexweb.com President Mike Fredericks mfredericks@annexweb.com Mailing Address P.O. Box 530, 105 Donly Dr. S., Simcoe, ON N3Y 4N5 PUBLICATION MAIL AGREEMENT #40065710 RETURN UNDELIVERABLE CANADIAN ADDRESS TO CIRCULATION DEPARTMENT, P.O. Box 530, Simcoe, ON N3Y 4N5 e-mail: cnowe@annexweb.com Periodicals postage paid at Buffalo, NY. USPS 014-059, ISSN 1203-6838. Published eight times per year (Jan/Feb, Mar, Apr/May, Jun, Jul/Aug, Sept/Oct, Nov, Dec), by Annex Publishing & Printing Inc. U.S. Office of publication c/o DDM Direct.com, 1223 William St., Buffalo, NY 14240. U.S. Postmaster send address change to P.O. Box 1042, Niagara Falls, NY 14304 Printed in Canada ISSN 1203-6838 Circulation e-mail: cnowe@annexweb.com Tel: 866-790-6070 ext. 207 Fax: 877-624-1940 Mail: P.O. Box 530, Simcoe, ON N3Y 4N5 Subscription Rates Canada – 1 Year $ 19.26 (includes GST - #867172652RT0001) USA – 1 Year $ 40.00 From time to time, we at Canadian Pizza Magazine make our subscription list available to reputable companies and organizations whose products and services we believe may be of interest to you. If you do not want your name to be made available, contact our circulation department in any of the four ways listed above. No part of the editorial content of this publication may be reprinted without the publisher’s written permission. ©2009 Annex Publishing & Printing Inc. All rights reserved. Opinions expressed in this magazine are not necessarily those of the editor or the publisher. No liability is assumed for errors or omissions. All advertising is subject to the publisher’s approval. Such approval does not imply any endorsement of the products or services advertised. Publisher reserves the right to refuse advertising that does not meet the standards of the publication. www.canadianpizzamag.com
pizzabites Dan Aykroyd Cabernet Shiraz wins LCBO award
mama rosa Hello everyone! Mama Rosa here. What a smart bunch of pizzaiolos we have in Canada! I sure hope you are staying cool in those steaming hot kitchens. So, I hope you’re ready for this month’s trivia contest question. Remember, it’s easy – I’ll ask the question and you find the answer somewhere in this month’s issue of Canadian Pizza magazine. Then fax, mail or e-mail your answer to me. If I pick your name from the answer bag, you win!
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an Aykroyd Discovery Series 2007 VQA Cabernet Shiraz has been awarded the prestigious LCBO Chair Award for Best General List Red Wine. The honour was given at the 2009 Cuvee Awards, reported Diamond Estates Wines & Spirits, the agency that produces and disThis monthʼs trivia question: tributes Dan Aykroyd’s Are you ready? Canadian wine. The What percentage of This month’s trivia Cuvee Awards are the small businesses question is: What only awards in Canahave five to nine percentage of small da where the winning employees? businesses have five to wines are chosen by the nine employees? participating winemakers. All tastings were conDeadline is May 6, 2009 ducted blind and over 50 e-mail: pizza@annexweb.com wineries competed with a Fax: 519-429-3094, Attn: Mama Rosa total of 190 wines entered Mail: Mama Rosa, into competition. Canadian Pizza Magazine, The award was preP.O Box 530 sented to Diamond Es105 Donly Drive South tates Wines & Spirits’ Simcoe, ON N3Y 4N5 winemaking team that is made up of Tom Green (VP of Winemaking) and winemakers Jason Roller and Scott McGregor. “This is a great achievement by our did you know? young dynamic winemaking team. They have diligently worked to create Many marketing experts argue that the a top-notch red wine that has clearly best way to stay profitable during an earned the respect and accolades from economic downturn is to increase or at Ontario’s best winemakers,” says Aykleast maintain your marketing activities. royd in a news release. Deep ruby in colour, the Dan Ayk-
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royd 2007 VQA Discovery Series Cabernet Shiraz displays a rich bouquet of dark berry fruit and peppery notes. The palate is smooth in texture, showing concentrated flavours of black plum and cassis complemented by an undercurrent of spicy layers. The varietal is available in most LCBO stores across Ontario for $14.95. The Ontario 2007 vintage is considered by experts to be one of the best ever. This is due in part to a long, drought-like summer mixed with the right amount of precipitation. This in turn produced complex and flavourful wines as a result of this pristine growing season. Recently, Dan Aykroyd’s wines have received anumber of high profile awards, including categories in the Ontario Wine Awards, the International Wine Competition at the Ottawa Wine & Food Show and the All Canadian Wine Championships. Diamond Estates Wines & Spirits produces, distributes and markets its wines nationally from its own Niagara wineries and vineyards including Dan Aykroyd Wines, 20 Bees Winery, EastDell Estates, Lakeview Cellars, De Sousa Wines and Birchwood Estate Wines.
Trans-fat regulation misses the mark A
Top honours for Ontario meat makers F
rom turkey kielbasa to a prime rib sausage, Ontario’s Finest Meat Competition winners were announced at the Ontario Independent Meat Processors (OIMP) annual conference. More than 100 premium meat or poultry products were submitted for a chance to be crowned in one of 12 categories. Competitors showcased their goods in the following categories: ham, country style bacon, coiled cold cuts, deli roasts, fermented sausage, premium dry cured, fresh sausage, cooked and/or smoked sausage, innovative product, home meal replacement, and homegrown Ontario beef steak. Entries were evaluated by food industry professionals and media including: Chris Borg, butcher, Bruno’s Fine Foods; Charles Bruce-Thompson, culinary professional; Jason Garforth, meat manager, Starsky Foods; Mike Gionfriddo, meat buyer, Michael-Angelo’s; Darlene King, food editor, Harrowsmith Country Living; Nicole
Young, chef and food writer; and Margaret Webb, author and journalist. Judging criteria was based on taste, aroma, texture, consumer and visual appeal, and the top three entries from each category were selected based on the judges’ combined scores. The Platinum winners of the 2009 Ontario Finest Meat Competition are: Paisanella Salami, Bona Foods, Toronto; Authentic Greek Chicken Gyros Cone, D & D Poultry, Toronto; Prosciutto, Florence Meats, Oakville; Franz’s Own Country Style Ham, Franz’s Butcher Shop, Peterborough; Porketta, Halenda’s Fine Foods, Oshawa; Turkey Kielbossa, Schinkel’s Legacy, Chatham; Jalapeno & Cheddar Smoked Sausage, Schinkel’s Legacy, Chatham; Montreal Smoked Bacon, Stemmler Meats & Cheese Inc., Heidelberg; Bacon, Townsend Butchers, Simcoe; Chicken Pot Pie, VG Meats, Simcoe; Prime Rib Sausage, The Village Kitchen, Markham and Ontario’s Pride Strip Loin Steak, West Grey Premium Beef in Durham.
new B.C. regulation that targets trans fat in restaurant meals doesn’t go far enough, says the Canadian Restaurant and Foodservices Association (CRFA). Trans fat must be removed from the entire food supply chain at a national level to meet public health goals. We applaud the objective of the B.C. trans-fat regulation announced today, but the process is fundamentally flawed, says Ron Reaman, CRFA vice-president, federal. Trans-fat reduction needs to happen at the national level and at the source, which is food production and manufacturing. Canadians source 84 per cent of their meals from grocery stores, according to market research firm NPD Group, but grocery purchases are not covered by the B.C. regulations. Restaurant operators source most of their ingredients and food products from the same manufacturers that supply grocery stores. The problem with these regulations is that they will force thousands of British Columbia restaurant operators to limit trans fat on their menus when they have no control over the supply of trans-fatfree products, says Mark von Schellwitz, CRFA vice-president, western Canada. We urge the B.C. government to join the call for national regulations. CRFA has been calling for the federal government to regulate trans-fat levels in order to send a strong signal to food producers, processors and manufacturers to further invest in healthy alternatives to trans fat. Health Canada’s trans-fat data monitoring program shows the restaurant sector has made significant progress in reducing or eliminating trans fat, says Reaman. “We recognize that as an industry we need to do even more to meet the targets recommended by the federal trans-fat task force, but it’s going to take a co-ordinated effort by the entire food chain.”
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pizzabites
CRFA applauds decision to review card fees T
he Canadian Restaurant and Foodservices Association (CRFA) applauds the Senate’s decision to review debit and credit card fees for merchants. The chamber supported Senator Pierrette Ringuette’s motion to have the Senate Committee on Banking, Trade and Commerce conduct a study on the credit and debit card systems in Canada, including the fees charged to businesses and consumers. “In an industry where average profit margins hover around four point two per cent, operators have a hard time absorbing credit card fees that have climbed as high as three per cent,” says CRFA’s vice president of labour and taxation, Justin Taylor. “And the situation is even worse in Ontario where margins are closer to two point nine per cent.” In the past year, Visa and MasterCard have moved from a simple fee to a complex matrix system with different fees for different types of cards. They have also automatically switched some cardholders to “premium” credit cards which offer additional benefits to cardholders at no additional fee but cost merchants significantly more to accept. Also, Interac has recently signaled their intent to move from a not-for-profit entity to a for-profit one.
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Pizza Nova awarded Ontario Family Enterprise of the Year he Family Enterprise of the Year Award, presented annually by The Canadian Association of Family Enterprise (CAFE), recognizes the significant achievement made by a Canadian family enterprise. This year’s GTA award was presented to Sam Primucci, founder and president of Pizza Nova, at an award ceremony that took place at Toronto’s Rosewater Café. This annual award, sponsored by KPMG and RBC, is presented locally for all CAFE Chapters across the country with the winners being eligible for the National Award. Primucci who opened the very first Pizza Nova location at the corner of Kennedy and Lawrence in 1963, thanked CAFE for the tremendous honour and offered words of advice for second- and third-generation Ontarians in attendance. “Never forget where you came from, or how you got here. Always have the courage to evolve, to stay ahead of the times. While, always staying focused on where you are going.” Primucci also thanked his wife and sons while citing the importance of open communication, of active listening and of relationships established and maintained through genuine, mutual respect. The National Family Enterprise of the Year Award will be presented in May.
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Big news for Vancouver small business here were approximately 379,700 small businesses operating in B.C. in 2007 accounting for 98 per cent of all businesses in the province. To support these small businesses as they continue to help power B.C.’s economy, Grand & Toy is opening the first of several new business centres. The business centres are designed to cater to all facets of conducting business, from human resources and imaging to social networking and specialized IT support teams. The centres will provide entrepreneurs and small business owners, access to Grand & Toy’s extensive business experience and the opportunity to discuss in person their business needs and concerns. They will feature trained, dedicated business advisors available to assist business owners in a personal and professional environment. Confidential business offices are available for immediate, one-on-one consulting services to help develop, grow and manage a small business.
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feature
Meet our Chef of the Year If Tom Stankiewicz were a rock star, Bondi’s Pizza would be his tribute album to gourmet pizza. BY LAURA AIKEN
B
ut pizza wasn’t always the plan. Stankiewicz found himself working in someone else’s pizza shop in the mid-’90s, a far cry from his original pursuit of car design. “I think the kitchen was the last place on my mind,” he says in retrospect. For more than five years Stankiewicz stayed under the tutelage of the owners at Eastown pizza, who had won the best pizza award at the Las Vegas competition shortly after he started in 1996. “My old boss Mark Briand, we have been really good friends for years now…those guys made typical Italian pizza –you’re talking a recipe for the dough, recipe for the pizza sauce, the gourmet toppings, you know, the whole thing. I think that was the major push for my whole interest in it.” Stankiewicz had been eyeing the concept of his own pizzeria for a while. Bondi’s Pizza, which experienced its rocking heyday in the 1970s and 1980s when it had six or seven locations, put its last location on the market in London Ont., in 2000. Stankiewicz stepped up to strike out on his own. “This pizzeria was typical old-Italian grease pizza. It had nothing to do with gourmet food or gourmet pizzas. It took me almost five years to convert it into gourmet, more exotic pizzas yet still keeping some of
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the recipes that been there for almost 20 years.” Stankiewicz envisioned Bondi’s evolving into a gourmet pizzeria from the start, and recognized the need to transition slowly lest risk alienating the current clientele. “You can’t just walk in, throw in a new menu and get rid of the old one, because that way you are going to get rid of your customers that you had before. You need to go step-by-step. You introduce the new product to the customer, give them the chance to still pick up the old one, but try to show what you are all about, that you are changing the concept from the traditional pizza that has been there.” “They have to be practical. You have to consider how much labour is going to be spent on the pizza. A typical pepperoni, mushroom, bacon, takes about a minute to make. The gourmet pizzas, they take sometimes up to four or five minutes to make, because of the complexity of the pizza itself, and that right away changed the timing for cooking.” Stankiewicz isn’t alone in his creative recipe process. Tom Havlik, also of his days at Eastown, and Briand are his chief collaborators. “Mark is kind of like the soul of Bondi’s. He is involved with business in any way possible, either suggesting changing things or
working on a new menu. There is not an idea that I have for the business that I’m not going to share with him.” Stankiewicz says he doesn’t read cookbooks, and recipes inspirations vary from watching a show on the Food Network to eating his wife Aleksandra’s cooking. “She is an excellent cook and I mean it. A lot of guys are going to say that but I mean that seriously. She’s got more cooking books than anybody I’ve seen.” Stankiewicz’ wife is also involved in the financial care of the business, and his sister Marta Stankiewicz is caretaker of the store when he is away. Family involvement helps Stankiewicz rest easy that the business is left in the right hands, which is a challenge he faces in expanding. “I run into a problem when I’m debating opening another location with the issue of not having the proper people running it. We have a huge demand of customers asking for expansion, but you need to really have somebody you can trust to do the products right and ensure you’re getting consistency with the pizza from one location to another.
Stankiewicz putting the final touches on his non-traditional entry at the International Pizza Challenge in Las Vegas from March 10 to 12. Stankiewicz was awarded a spot in the finals for the traditional category as part of winning our Chef of the Year contest and opted to compete in the non-traditional division as well.
Relocating Bondi’s Pizza proved good for business
Tom Stankiewicz Bondi’s Pizza
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hree years after taking charge, Stankiewicz found Bondi’s a new home. The pizzeria was in an old building and quickly growing too big for its britches. The large space, next to a Blockbuster video, provided better visibility and parking access for his customers. He finds himself still moving furniture around to find the best setup for a take-out and delivery-only store. Five years after the move, Stankiewicz says the business grew substantially. Twenty new recipes were created, but only six have homes on the menu.
The only way I can really see doing this is to franchise.” Franchise allows you to control your product because the people involved are the owners, he explains. You know they are going to be there and going to check on the quality because they’re invested in the business. Stankiewicz says he sees franchising as a better alternative to the potential disaster of opening five locations on your own only to end up closing four of them in two to three years because the pizzas weren’t consistent. “The bigger issue out of this is, that you are actually destroying your name. You spend eight years building your name and it can be destroyed within a year.” The Bondi’s reputation has been an important part of his successful conversion to a gourmet pizzeria, and quality control has been in the details. He has a passion for cheese, especially with a chilled white wine, and says the cheese you choose for your pizza is the substantial thing that gives the flavour and texture to the pie. Stankiewicz sources his ingredients from where they will be found the freshest.
“Ingredients are always best fresh. There is no substitution with any frozen product. If you’re doing gourmet pizza, it’s got to be fresh. If it isn’t, you might as well not do it all. Any markets that they sell fresh product at, vegetables or meat, in your town or wherever you are, is the best way to do it.” Some of the choices on Bondi’s menu require 24 hour notice on ordering, and while Stankiewicz notes this sounds silly, he points out that if someone is spending $40 on a pizza, they had better be impressed about what they are getting. Second-rate ingredients won’t do, nor will cut corners to save a buck when it comes to the purchase of cheese, meat or fresh vegetables, as he says these are the most significant items that make the difference between a good pizza and a great one. “The ingredients and the appearance of the pizza – it has to appeal, when you open that box, it has to be “wow.” Second thing is the smell and the third is the taste. If you have those three, you have success in a package.” And to Stankiewicz, success is a thing to be shared. He says he would ultimately like to win at the Las Vegas International Pizza Challenge three times, and then step back and become a consultant and teacher for other pizzaiolos who would like to continue
making traditional pizza. “Like a boxer, there will always be a challenger; always somebody with better ideas. If you prove you are good at what you do it is the perfect time to step back and share the knowledge and teach others to be more successful.” In another five years, he says he would ideally like to have another one or two pickup/delivery stores franchised, and to have opened a small, reservation only restaurant with a really nice selection of wine. “The only way to do this is to work hard and try to succeed. Everything else should be easy and should follow. The worst thing is to basically be self-centered with thinking that you know better…Always ask your friends, ask people who have done it before and try to guide yourself in the right direction. Don’t make the same mistakes someone else already made.” Stankiewicz sees true success lying in who you are, not what’s written at the bottom right-hand corner of the spread sheet. “Try to be the same as you were in the beginning. Care about your customers and care about your staff. You can really lose yourself after having five locations and start thinking you’re better than everybody else but you should always be the same person to the end. Always appreciate things.” •
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NEWS HIGHLIGHTS •
TRADE SHOW PHOTO GALLERY
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RESTAURANT INDUSTRY APPLAUDS DECISION TO REVIEW CARD FEES
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BOSTON PIZZA FUNDRAISER HELPS NIAGARA FALLS YOUNGSTER
•
CONSUMER CONFIDENCE SHOWS SIGNS OF LIFE
NEW PRODUCTS LG Electronics Canada has introduced a new line-up of digital signage solutions.
READ THESE STORIES AND MORE AT WWW.CANADIANPIZZAMAG.COM
WEB EXCLUSIVES S.A.M. - THE THREE-PART PROCESS OF SOCIAL MEDIA MARKETING By Dr. Maurice A. Ramirez Online social networking and social media marketing are the hottest new tools in business promotion. These tools are not only extremely effective for growing the brand, but for advancing the reputations and careers of executives, owners and managers alike. Customers love the ability to interact directly and personally with these business people. Paradoxically, the singular most common complaint of online social networking and social media marketing is the significant demand of time. So how does an executive or entrepreneur reap the benefits of online social networking and social media marketing for the minimal investment of time? For full details, go to www.canadianpizzamag.com.
ABIDE BY THE RULES OF ENGAGEMENT By Sam Allman We are in a war. Not the war in the Middle East, but the war we are all experiencing for sales. The battle is almost like hand-to-hand combat because it will be won by selling one customer at a time. To survive in these turbulent economic times, we must win the war for customers; we must be more effective at closing the fewer customers who are looking for our product or service. The game has changed, but the rules of engagement haven’t. For full details, go to www.canadianpizzamag.com.
READ THESE STORIES AND MORE AT WWW.CANADIANPIZZAMAG.COM
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BOOKSTORE Being equipped with the latest inside pizza-industry information allows you to not only compete, but win in the exciting world of pizza. Go to www.annexbookstore.com to order. DIGITAL MAGAZINE Visit www.canadianpizzamag.com to sign up for a free trial of Canadian Pizza magazine – the digital version. POLL Participate in our monthly polls. Are you planning to put a new item on your menu in the next month? Visit our website to vote on this month’s question. BLOG Have your say on a variety of subjects pertaining to the fresh pizza market in Canada: • price points • recruiting • customer service
feature
The top two recipes from our Chef of the Year contest *While specific product brands were submitted as part of the contest entries, the majority have been omitted in order for publication to maintain neutrality.
THE WINNER Tom Stankiewicz, Bondi’s Pizza
The Calabria Pan Size: 15 inch Yield: 6 slices Cook Time: 11 minutes at 505 F Dough: Whole Wheat Crust Sauce: 4 oz - Bondi’s Pizza California Tomato sauce Cheese: A blend of high fat mozzarella and Monterey Jack (50/50) and goat as a garnish Toppings: 1 cup sliced Chorizo sausage 1 cup julienne grilled Portobello mushroom caps 1 cup fire roasted red pepper fillets 1 tbsp oven roasted garlic 1/2 tsp dried basil 1/2 tsp dried oregano 1/4 tsp fresh pepper 1/2 cup creamy goat cheese Drizzle extra virgin olive oil 1 tbsp fresh flat Italian parsley 1 tbsp grated parmesan Roll pizza shell then apply 4 oz of sauce. Apply cheese blend evenly over sauce. Apply sausage then Portobello mushroom then red pepper then garlic. Garnish with goat cheese. Apply seasoning, oil. Pinch crimp crust. Bake. Garnish with parsley and parmesan cheese.
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THE RUNNER-UP Diana Coutu, Diana’s Gourmet Pizzeria
Quattro Canadese Pizzas su Biga Pasta (Four Canadian pizzas on Biga Dough) Prep all veggies and fruit according to required sizes indicated below. Ensure chicken breast and strip bacon is fully cooked. Spread approximately half of the sliced red pepper on a cookie sheet and drizzle a little splash of Extra Virgin Olive Oil (EVO) with a sprinkle of oregano, basil, minced garlic, black pepper and sea salt. Place in a preheated oven (350 F) for 15 to 20 minutes. Divide the fully cooked chicken into two equal amounts, marinate one with Kung Pao sauce and the other with hot sauce and set each aside. Hand slap out dough patty on to 12” size pizza disk. Take a second dough ball and stretch into a 12” by 4” rectangle. Using a pizza cutter wheel, cut second dough ball into 1/4” strips. Lightly wet one strip and place in center of pizza, essentially creating a barrier to divide it into two halves. Gently press the edges of the dough strip into the pizza shell. Lightly wet a second dough strip and place perpendicular to the first strip, creating four equal quarters. Gently press the edges of the second dough strip into the pizza shell. Drizzle Extra Virgin Olive Oil on two opposite quarters, then lightly sprinkle a small pinch of oregano, basil, black pepper, minced garlic and sea salt. For the Olive Oil and Herb Sauce: EVO 1/2 tsp Oregano 1/2 tsp Basil 1/2 tsp Minced garlic (dried- or 2 cloves fresh) 1 tsp sea salt (fine grind) 1 tsp black pepper
Next, spread approximately 1 oz of the poutine sauce on the third quarter and top as indicated below: Pierre’s Poutine Pizza quarter: (cheese on top) 1 oz fully cooked shoestring french fries (extra crispy) 1 oz Montreal-style smoked meat 1 oz Edam cheese 1 oz low fat mozzarella
Top one of the olive oil and herb sauce quarters the as indicated below: Kung Pao Chicken quarter 2 oz low fat mozzarella cheese 1 oz Kung Pao chicken breast .2 oz green onion .5 oz red onion .5 oz green pepper .5 oz red pepper 1 oz fresh hand-cut pineapple
Next, spread marinara sauce on the last quarter and top as indicated below: Smokin’ Perogy Paradise* quarter: (cheese on top) 1 oz cooked potato & cheddar perogies, (about 3-5 perogies) cut into bite size pieces .5 oz red onions .5 oz strip bacon Drizzle with ranch dressing 1 oz smoked mozzarella cheese 1 oz one year old aged white cheddar cheese *served with sour cream on the side
Top the second olive oil and herb sauce quarter as indicated below: Havarti Heaven quarter: (cheese on the bottom) 1 oz low fat mozzarella cheese 1 oz havarti garlic chive cheese 1 oz strip bacon 1 oz Frank’s hot sauce chicken breast .5 oz roasted red pepper .5 oz red onion
Bake in a deck oven seven to nine minutes or use a pizza stone preheated for an hour at 450 F and bake for six and a half minutes or until the crust and cheese are golden brown. Broil if needed. Remove pizza from oven upon completion of cooking, slice along the ‘dough borders’ into four, then slice each quarter in half, creating a total of eight pieces. Drizzle additional poutine sauce on top of the “Pierre’s Poutine Pizza” quarter and serve immediately. Remember to put the sour cream on the side for the “Smokin’ Perogy Paradise” quarter.
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feature
Franchisor Keith Toppazzini with Collingwood franchisee Dean Ackerland.
From family to franchisor BY KEITH TOPPAZZINI, PRESIDENT OF TOPPER’S PIZZA
M
y father Ron Toppazzini launched Topper’s Pizza more than a quarter of a century ago based on the desire to be his own boss and leverage the experience he gained from several years of working for others. Perhaps most important of all was his conviction that he could make a better pizza than the next person. Sound familiar? It was a worthy pursuit, but far from unique. Essentially, what my father was doing was following in the footsteps of tens of thousands of other small pizzeria operators and from a broader perspective, millions of small business entrepreneurs across the country. Anyone who owns and operates a small business knows just how gutsy getting started is. It often means leaving the comfort and security of a full-time job to explore the excitement and the uncertainty of running your own business. How many of us would consider starting a business if we had a better handle on
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our chances of survival? A sobering small business study conducted by Statistics Canada in 2005, showed that almost three quarters of small businesses endure in the first year, but less than a third of microcompanies (five employees or less) in Canada, are still in business after five years. Of the 2,283,000 small businesses on record, the overwhelming majority (1.83 million or about 80 per cent) operate with less than five employees. From there, the number drops dramatically. Only 178,000 or just 7.8 per cent of small businesses have five to nine employees. Fast-forward to businesses with 500 employees or more, and you’re left with just over 3,000 or a mere 0.1 per cent of the total business in Canada. On a graph, this is what they call an inverted hockey stick; but that’s enough about math and graphs. More interesting than the numbers is the story behind what it takes for a small business to grow beyond the initial plateau that it achieves. How can it double in size? And
in a best case scenario, how can it grow to a company with several million in sales and over 500 employees? What follows is a snapshot of Topper’s transition from a family-run business to franchisor and some of the lessons learned along the way. SO YOU WANT TO BE A BUSINESS OWNER? Before Topper’s opened its first store in Sudbury, my father had already spent several years managing a bakery at a large grocery store. Prior to that, he had several years experience under his belt working for the Toppazzini bakery, where they sought to differentiate themselves by making a great loaf of Italian bread while using the same dough to make and serve pizza for lunchtime customers. Like millions of other entrepreneurs, my dad started out with a great deal of transferable experience. His strategy was to use a decades old family recipe for great Italian bread, as
the foundation on which to build a great tasting pizza that would take market share away from the competition. That strategy of win-your-customersover-with-taste wasn’t exactly rocket science, but it worked well. Less than two years after his initial launch, he was ready to open another store.
people from outside the family circle wanted to share in Topper’s accomplishments. It was at this juncture that we came to realize that the only way to facilitate the further growth of the Topper’s brand was to become a franchisor. BRAND MATTERS We made the psychological transition
from family to franchisor, but the actual reality didn’t happen overnight. There was an initial period of expansion, where Topper’s went from five to 14 stores, then a contraction down to nine stores before we stayed on a path of growth to over 30 stores. We came to appreciate some of the key
Continued on page 21
THE EXPANSION MOTIVATION Back in the 1980s, the desire to expand beyond this initial level of growth wasn’t all that common and still isn’t today. According to a 2006 CIBC study called Small Business in Canada – Trends and Prospects, “almost 60 per cent of all small business owners in Canada consider themselves as ‘lifestylers’ that use their business as a means of generating income, while balancing other commitments or lifestyle choices.” While there’s nothing wrong with the lifestyler approach, what about the other 40 per cent of small business operators that want to keep expanding? What does it take to outgrow that small business mindset and take growth to the next level? In Topper’s case, the motivation was straightforward. After my father saw how successful his first store was, he made a conscious decision to grow to the point of dominating the greater Sudbury market. This meant selling more pizzas than any other chain or business entity in the area. Within three years, Topper’s expanded to five stores within greater Sudbury and achieved its objective of dominating the market. Obviously a number of factors affected this successful transition, not the least of which was maintaining quality and service control at all five stores. Making and distributing the dough from a single location and leveraging the experience and motivation of family members who could oversee the management of the other stores were also key factors. At this point, Topper’s reached a critical crossroad in the company’s evolution. On the one hand, it was still very much a family-run business and all of the growth was organic in that it was funded solely by family assets and managed only by family members. On the other, as a result of the success that had been achieved, a growing number of
APRIL/MAY 2009 pizza 17
the pizza chef
Slow season busters Diana Coutu
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n every pizzeria there will be a period when sales are going to slump. For many of us, it’s January and February, when our customers get their credit card statements that remind them of the spend-happy ghost of Christmas past. Other customers make New Year’s resolutions to eat out less and work out more. Some of us have seasonal businesses that rely heavily on the yearly influx of tourists, and fall becomes the official slow season. It’s important to track the trends and ebb and flow of your sales. There are several marketing strategies that, if used correctly, can not only bump that slump, but even increase sales over the previous month’s. Our ‘No Peeking’ red envelope promotion is one of my favourite marketing strategies that always increase sales in January and February. Have you ever had a scratch card for a department store that could only be scratched by one of their employees when you were paying for your items? This is a similar kind of promotion that we call ‘No Peeking’ because it’s a sealed red envelope with a winning certificate inside that’s good for one of five prizes. The sealed envelope has the words no peeking printed all over it along with instructions on how the promotion works and the five prizes that might be in the envelope. The reason we use red envelopes is so customers can’t read the certificate inside and the colour ties in with the time of year. Our five prizes are a free two litre, a $5, $10 or $25 voucher towards an order, and a grand prize that’s typically a $200 gift card to an electronics store. You can choose any prizes that you’d like to give away for your pizzeria but keep in mind that the majority of the
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prizes are the $5 voucher and the small- vided that they are presented unopened est percentage is the bigger prizes. We to my staff. My customers have had one have a small number of qualifiers for the or more of these envelopes in their homes grand prize because if we only had one or vehicles since December and by this certificate it would be a shame if the win- time they really want to know what prizes ning envelope never came back. are inside, especially when they’ve been We give the customer an envelope with told that they’re holding a winning enveevery order in December with specific in- lope. In my pizzeria, December is typistructions to bring it back unopened be- cally very strong for sales and this promoginning in January. This is where it’s im- tion is a great way to encourage all those portant to have scripting customers to come back in for your staff. This means January. We’ve been runyou should provide your ning this promotion every staff with the words to say year for five years and it This is as they hand out the enhas consistently helped where it’s velopes, otherwise they’re to increase our sales every likely to botch the explaJanuary over the previimportant nation and confuse the ous year. Once you unto have customer. “Every envelope derstand the dynamics of is a winner,” my staff will this promotion, it’s easy scripting say. “The catch is that it’s to adapt it to other simifor your not valid before Jan. 2 of lar slow season busters. next year and that it must Perhaps one of the biggest staff. be presented unopened to lessons to keep in mind is one of our delivery drivers that it’s not up to your cusor in store staff. Good luck tomers to remember your and no peeking!” pizzeria, rather it’s up to Of course, there are always a few you to make sure that your customers do people who will rip open the envelope not forget your pizzeria. • immediately after my staff member has explained the promotion. In those cases we tear up the opened certificate, hand them another envelope and calmly explain the promotion again, asking them Diana Coutu is a two-time Canadian Pizza Magazine chef of the year champion, internationally recognized not to open this envelope and to put it in gourmet pizzaiolo and co-owner of Diana’s Gourmet a safe place until the next month. Almost Pizzeria in Winnipeg, Man. In addition to creating all my regulars enjoy this promotion and award-winning recipes, Diana is also a consultant to other independent pizzeria owner/operators in menu new customers like to play along, espe- development, creating systems to run a pizzeria on cially when they know their good behav- autopilot, along with marketing and positioning to help operators grow their business effectively and strategiiour will be rewarded. cally. She is available for consulting on a limited basis, The exciting part begins in January, for more information contact her at Diana@dianasgourwhen the envelopes become valid, pro- metpizzeria.ca.
making dough with Diane
Diane Chiasson
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key step to building a solid marketing plan is reaching your customers outside your pizzeria, stretching beyond what they see or receive while inside your store. Everyone is familiar with the bills, junk mail, flyers and coupons that get stuffed into their mailboxes every day, but have you considered a newsletter? This can be a great way to communicate with customers and promote your specials. Whether newsletters are delivered by mail, e-mail, available in your store, local offices or even the street, they provide useful information about your pizzeria to customers, potential customers and staff. Newsletters are an excellent way to boost sales, build repeat business and increase customer loyalty. Most importantly, they are an ideal form of advertising. You can also use the newsletter to build your database by having customers sign up for it via mail or e-mail. Give them an incentive to sign up by offering them a useful coupon when they receive their first newsletter, or by holding a monthly or quarterly draw whereby winners are announced in the newsletter. First you have to decide how your newsletter will look. Be consistent with your graphics and layout. Your newsletter should convey your brand immediately. Use your brand colours, fonts and style in the newsletter so that your business is recognized immediately when someone picks it up. If you want to print and/or mail your newsletter, decide if you want to go with a single eight-and-a-half by 11 inch page or a 11 by 17 inch format, whether print will be on the front and back, and if you want full colour or black and white. Make sure you come up with a catchy
Eight ideas for fun and informative newsletters name for your newsletter that readers will be able to associate with your operation. Here are a few ideas that should get you started for at least the first year, and by then you’ll be an expert at writing newsletters. 1. INFORMATION THAT SHOULD BE IN EACH ONE Your newsletter should always include information about your company, the specials or promotions you might be running that month, highlighted menu items or any new products you might be debuting, as well as reminding customers how valuable they are by offering a special coupon. 2. INTRODUCE YOURSELF In your inaugural newsletter, you should tell your readers something about yourself and your great team. What is your pizza operation about? How did you go about starting it? Why did you decide to open a pizzeria? Make sure to include a photo of yourself and your team so that people will recognize you when they see you. 3. OFFER RECIPES AND TIPS You might want to include recipes of different styles of pizza sauces, or your secret salad dressing. Or you could educate readers on which wines would work well with your pizzas. You could also share some great and healthy topping combinations. Mention your chef’s latest creations. 4. FEATURE LOCAL FARMERS, CHEESE MAKERS Provide some information about where you source your food. You could have a spotlight for the local farmer or artisan cheese maker from whom you purchase your produce and cheese.
5. SAVE THE ENVIRONMENT You could write about what an environmentally friendly operation you run, what products are recyclable in your store, what eco-friendly materials you use in your kitchen, and what efforts you are putting in to make your store as green as possible. 6. SPONSOR CHARITIES OR SPORTS TEAMS If there is a particular charity you sponsor, you could write about what that charity does and what your store has done to help. Or, if you sponsor a local sports team, you could write about their wins and losses. 7. PROFILE EMPLOYEES Introduce your staff to your customers. It could be fun to feature one employee per newsletter offering short anecdotes about him or her, so that customers can get to know your staff better, and get a chance to share something personal with them. Include their picture and maybe a nickname. Good customer/staff relations also lead to better business. 8. APPRECIATE YOUR CUSTOMERS Let repeat customers feel special by giving them a chance to be in the spotlight; print comments from satisfied customers, and include photos of customers enjoying their pizza. • Diane Chiasson, FCSI, president of Chiasson Consultants Inc., has been helping foodservice, hospitality and retail operators increase sales for over 25 years. She provides innovative food and retail merchandising programs, interior design, marketing and promotional campaigns, and much more. Contact her at 416-926-1338, toll-free at1-888-926-6655 or chiasson@chiassonconsultants.com, or visit www.chiassonconsultants.com.
APRIL/MAY 2009 pizza 19
marketing insights
The best laid plans Michelle Brisebois
W
hen times are tight, many businesses cut their marketing budget. It’s a natural reaction. After all, you need to stay profitable and expenses have to be controlled. It may surprise you to know that many marketing experts argue that the best way to stay profitable during an economic downturn is to increase or at least maintain your marketing activities. Often advertising rates are attractive because publications are hungry for the business. There is also less competition for consumer eyeballs because fewer ads are being placed. Effective marketing is not an expense, but an exercise in business development. The key to ensuring that your marketing efforts are growing your business is to have a plan and the budget to support it. It doesn’t need to be a Swiss watch scale plan, but it needs to be focused to maximize impact. TIMING IS EVERYTHING Structure your marketing plan to capitalize on those times where there is natural momentum. Superbowl, March break and the dog days of summer are times when consumers are looking for pizza so their awareness will naturally be heightened. Take a calendar or spread sheet, divide it into periods or months, and plug in your major campaigns. Identify other opportunities like Mother’s Day, NHL playoffs and back-to-school. These are secondary campaigns. Don’t simply place your advertising because a sales representative has space they haven’t sold and will give you a good bargain. If it coincides with a strategic time period then it’s a win-win. If not, you’re best to pass on it.
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WHAT’S YOUR MESSAGE? Make sure that the message matches the target. Don’t trot out the same generic advertisement for everything. The Superbowl message couldn’t be more different than Mother’s Day sentiment. Big sporting events and elections are all about celebrating and gathering together so you’ll want to promote larger pizzas and have your message speaking to how pizza is loved by all and easy to share. Steamy summer days and Mother’s Day tend to be all about not wanting to cook. Here’s where you should have your message be about having more time for yourself. WHAT’S IN YOUR MARKETING TOOLBOX? Marketing campaigns should be integrated. It’s not uncommon to see operations promoting one product in its advertising only to find out that a totally different product is being sampled or heavily merchandised in the store. If your newspaper advertisement is promoting your large pepperoni pizza for Superbowl then this should be what’s featured on your coupons, in your sampling program and on your website. Use all of your guns. Consumers respond to recency (how long ago they heard your message) and frequency (how often they hear your message). Have your flyers hit the mail at the same time your ads appear in the newspaper and leverage digital marketing wherever possible. If you have an electronic newsletter, add that to the mix for sending electronic coupons at the same time your campaign appears. You will save on postage and internet analytics programs will allow you to measure its success.
PRICE IS A MARKETING TOOL TOO If you offer a limited time discounted price on certain menu items, this is a valid promotional tool. Too often these off-price strategies are last minute ‘Hail Mary’ plays that can erode your bottom line if they go on too long. Be purposeful, not reactive, about your discounting activities. If the special goes on too long or is employed too frequently then you’ll have trained the consumer to view the promotional price as the regular and now expected price. A week to a month of promotional pricing a few times per year for each product you highlight should do the trick. Make sure that you anticipate the sales lift you expect to see resulting from your sale price. Plan to have the necessary inventory and operational support in place. Bundling menu items into a promotional offer will also offer consumer value and possibly increase your cheque average at the same time. OUT AND ABOUT Take a look at special events and other forms of outreach that may support your business development efforts. Are there shows you can exhibit at? Can you sponsor pizza day at a local school? Perhaps it’s time to sponsor a little league baseball team? The uniforms will display your logo for all attending the game to see. You’ll be giving back to the community and enriching the lives of local families, a key target market. You’ll want to integrate other activities with these events to maximize their impact, so at
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FROM FAMILY TO FRANCHISOR Continued from page 17 differentiators between running a family business and a corporate franchise business. Among them was the need to properly screen franchisee candidates, establish formal systems for training franchisees and create franchise-wide standards for product quality and customer service. We also learned to leverage the expertise of outside resources ranging from industry consultants specializing in best practices, to business improvement consultants able to work directly with the franchisees at the store level. FOCUSING ON THE SUCCESS OF THE FRANCHISEE By 2006 Topper’s had spread across the north in communities such as Timmins, North Bay, to the south, as far west as St. Thomas and as far east as Ottawa. Then we arrived at perhaps the most important decision we had made since deciding to
transition from a family-run business to franchisor. We changed the metrics of our success from how many stores we had, to how profitable these stores were and how their revenues compared to industry standards. We focused on ways to motivate and engage not only the franchisees, but staff members and their customers. We pushed the envelope with respect to product diversification, sometimes in the face of franchisee resistance but in response to consumer demands. We embraced new technologies such as online ordering and online surveys. Perhaps most importantly, we made a conscious effort to establish a better back and forth dialogue with our franchisees in order to make sure they understood where we were coming from and to be more mindful of their aspirations and concerns. The number of Topper’s stores over the last two years still stands at 36, but our sales grew by nine per cent in 2007 and seven per cent in 2008. Revenues per store
are now double the industry norm. The results have been good enough that we are ready to begin looking at new expansion opportunities, but not at the price of undermining the success of our stores. It’s not easy to encapsulate everything we have learned in transitioning to a family business to franchisor with over 500 employees into a few words of wisdom, but it’s safe to say you have to begin with a desire to grow that is stronger than your fear of maintaining the status quo. Think in terms of dominating the markets where you do business, even if your market is just one community. While you don’t want to abandon the family values that made you successful, you need establish and embrace a corporate culture driven by the desire to help your newfound partners. Help the franchisee to be as successful as you were before you decided to become a franchisor in the first place. Then he or she can also join the privileged ranks of owning a small business that not only survives, but flourishes. •
APRIL/MAY 2009 pizza 21
feature
Ten tips for selling your pizzeria LLOYD R. MANNING
n the life of many restaurateurs, there comes a time to pass the oven and pans to someone else and move on. There are dozens of reasons you may decide to sell your pizzeria, many of which have nothing to do with failing health or declining economics. You are in a very competitive low profit, stressful business that can take its toll. In my many years as a commercial real estate and business appraiser and broker, I frequently witnessed restaurateurs who did everything wrong with selling their businesses and were frustrated when a year or so later they were still making pizzas. It is never as simple as placing an advertisement in a local newspaper, or listing with the nerdy cousin realtor and beating off the multitude of buyers who tramp through the door. Because of the number on the market, selling a restaurant must be a well planned and well executed undertaking. Bear in mind the following 10 tips on how to accomplish a successful sale.
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1. ENSURE THAT YOUR PIZZERIA IS SALABLE Make sure you are offering something tangible to the buyer. Don’t wait until you have taken everything good out of it. Sell on the uptick. Leave something on the table for the next guy. To be salable, a pizzeria must be capable of creating additional value for the purchaser. There can be no sentimental value taken into account, just the facts that are there. Your restaurant is not the jewel to another that it is to you. 2. SET THE STAGE Ensure your pizzeria is neat and clean, and that it will pass the strictest of sanitary and health inspectors at any time. The guy that stopped in for lunch without saying anything to anybody might be a buyer. Ensure all equipment is in good working order and there are no torn or dirty menus,
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dirty aprons, leaky taps, lifting floor tiles, or plugged up range canopy filter. 3. SET A REALISTIC PRICE Buyers purchase on potential yet base the price they will pay on the business history. Far too many restaurants do not get sold because the price is too high. Price and value must be the same. Better yet, value should exceed price. It may pay to get the pizzeria professionally appraised. However, this could be a waste of money if you have stripped the place and it’s going down with no hope of recovery. If you have it appraised, ensure the person hired is competent to assess restaurants. Few real estate appraisers are. There’s a big difference between appraising a small commercial building and an ongoing concern. 4. HAVE A MINIMUM OF THREE YEARS, PREFERABLY FIVE, INCOME AND EXPENSE STATEMENTS READY Don’t provide balance sheets. Don’t cook the books to make the place look better than it is. If you get caught you could be charged with fraud. Besides, smart buyers will take your statements to their accountant, who in turn will know if you are being dishonest. Plus, there are other ways to tell. Whatever you tell Canada Revenue Agency is what you must tell a buyer. 5. IF YOU LEASE THE REAL ESTATE, BE ABLE TO EXPLAIN THE FINER POINTS OF THE AGREEMENT If the lease has a short expiry date, it may be wise to negotiate a new lease before trying to sell. Any prospective will think a big increase in rent is coming; so a lease that expires within a year or two will scare away most buyers. If you own the real estate consider your options. Sell as part of the package, lease it to the pizzeria buyer and retain it as an investment, or sell it later to an investor.
6. HIRE A BUSINESS BROKER OR COMMERCIAL REALTOR WITH CONSIDERABLE EXPERIENCE IN SELLING BUSINESSES I know this is argumentative. You may think that a broker is overpaid for very little work. Not so. The competent ones earn their fee. The incompetent you should not hire. There’s a big difference between managing your pizzeria and selling it. However, if you are sufficiently talented in this area, and are prepared to spend the money for advertising, fend off lookers, dreamers and tire kickers and suffer through the explanations and showings at the most inopportune times, go for it. As it will detract from what you do best (making pizzas), you probably won’t save any money in the end, just have the satisfaction of knowing you did it yourself. If you hire a broker or realtor, ensure this person is experienced in selling businesses. 7. CONSIDER SELLER FINANCING Not all restaurants are for sale but, there are many. You have lots of competition. Most potential buyers do not have a wad of cash and banks are normally reluctant to lend to restaurant buyers. The mortality rate is far too high. What this means is, the chance of you getting all cash is slim. Accordingly, to effect a disposition you will probably have to carry back a substantial part of the purchase price by way of seller financing. If you do, beware of a caution or three! Ensure that you have sold at a fair price, and that the purchaser has an actual and not artificially concocted down payment for a minimum of 50 per cent of the purchase price. Ensure that the pizzeria is under capable management that can make the payments, not only on the lien or mortgage you will carry, but on any amount he or she may have borrowed to get into the business. Ensure
that your landlord accepts an assignment of the lease discharging you from all responsibility as you could be stuck for unpaid rent (you want to do this even in an all cash sale). If the purchaser defaults, all you will get back is the FF&E. Make sure your unpaid interest is never more than the FF&E’s salable value. Never take back a subordinate lien or mortgage, unless it is for a larger amount by which it will be in your interest to assume the defaulted first charge in the event of bankruptcy. If you carry a smaller amount you will lose it, guaranteed. Try to get a personal guarantee. You may not get one, but try. 8. INFORM YOUR EMPLOYEES You may not agree with me on this one but as a result of many years selling and appraising businesses, I can tell you plenty of horror stories that occurred when the staff was not informed. Almost always they soon figure out who these strangers and a broker coming in more than once are. Usually a prospective buyer will want to see the restaurant when it is open and operating, not after it is closed. When the owner tries to keep selling a secret, it most often causes more disagreement and distrusts that if he or she were upfront. Although sworn to confidentiality, some buyers will ask employees the most awkward of questions. When buying and selling hotels, if I wanted to know the room occupancy I would ask the maids, not the manager. The maids gave me the correct answer. 9. BE POSITIVE ABOUT YOUR MOTIVES Be positive about your motives for selling the pizzeria and more particularly what you want to do after the sale. Clarify your objectives and identify your constraints. You do not want to regret your decision in a few months time. 10. DEVELOP A CORPORATE PROFILE This is a one or two page highlight sheet that briefly outlines the salient features of your pizzeria. Detail the strong points. Provide the type of restaurant, services provided, classification such as seating capacity, delivery services, carryout facilities,
location data, accessibility, building type and occupancy, floor space occupied, total sales and income, hours of operation, lease highlights, total annual rent including common area costs, lease expiry, renewal options, and number of staff. And, of course, include price and terms. Be sure to identify growth opportunities and how a buyer can improve the restaurant. Add anything to assist in making your case. Make the profile neat and organized so that a prospective buyer will regard this as a very professional presentation. If you employ a competent broker, he or she will do this for you. Successful divestment depends on having a positive marketing plan, finding and qualifying a capable purchaser and providing this person with sufficient data to encourage him or her to say “yes.” Most times a restaurant that is well established, well located, has modern FF&E in good repair, a good premises lease, a well trained and reliable staff, is growing,
profitable, and properly priced, is salable. Still, you will get maybe-someday buyers and curious lookers. You must kiss a lot of frogs to find a prince (or princess). Before any buyer will say “yes”, that person must have a complete understanding of what he or she is buying, and that it meets his or her requirements, overcomes the constraints and is a genuine opportunity. He or she must be convinced that buying your pizzeria is preferable to buying a competitor, starting a new one, or continuing to do whatever he or she is now doing. You must tender a winning analysis of your market position and how your restaurant fits in and can be made even more profitable. It’s a tall order, but one that is doable if you do it right. • Lloyd R. Manning is a semi-retired commercial real estate and business appraiser, broker and financial analyst. He has had four business books published. He now writes articles for trade magazines on business topics. Lloyd resides in Lloydminster, Alta., and can be reached at lloydmann@shaw.ca.
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APRIL/MAY 2009 pizza 23
feature
Joe Leroux inside his revamped store, Amadio’s Pizza.
Good sense in going green BY LAURA AIKEN
madio’s Pizza delivery drivers probably never get lost. In fact, they probably don’t squint too often looking for unlit house numbers at midnight either. Thanks to Amadio’s owner Joe Leroux, each delivery vehicle has a GPS system and his drivers have in-store access to Streets and Trips software. This is just one measure Leroux has taken in revamping his Port Credit, Ont., based business into a more environmentally friendly operation that makes for a better bottom line. “You buy smart, save time and save money, and that’s saving the environment,” says Leroux. The mapping and route co-ordination is hooked into the Point of Success computer software for POS systems, which Leroux invested in, to save precious seconds in his business as well as green up the store. The system provides the most efficient routes by taking into account all the orders placed in a given time. By delivering several pizzas at once and in an order that reduces driving time, the amount of gasoline burned is significantly decreased. Furthermore, the drivers know exactly where they are going and this prevents detrimental periods of idling. According to the Centre for Energy, just 10 seconds of idling your vehicle consumes more energy than is used to restart the vehicle. Cutting out idling helps reduce carbon dioxide
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emissions into the atmosphere. The efficiency of the delivery system has allowed Leroux to continue to offer free delivery despite the rising price of gas, as he says the system has resulted in an average delivery time of only seven minutes from the time the pizza comes out of the oven. When a driver is lost and needs to pull out a map, three minutes can easily pass, he explains. If a driver is having this happen on a regular basis, a great deal of gasoline will be wasted along with unnecessary pollution added to the atmosphere. Leroux installed the computer software in 2006, and he says it has enabled him to make significant time savings in other aspects of his business. His average time for phone orders has dropped from 90 seconds to 30 seconds. An instrumentation technician by trade, Leroux concentrates his business improvements on saving time through technology. “You can add time, but you can’t take it away, he says, noting that even cutting 10 seconds off a process will add up over a whole night. He says he strives to gross a nickel per second, and uses timers with everything, including his pizzas. In traveling to Europe and seeing how things were done in the kitchens over there, he says he noticed that it was all about time. Another result Leroux achieved in streamlining his business with software was a reduction from 370 man hours a week to 265, saving on payroll.
He was essentially able to eliminate two employee positions. Inside, the pizzeria is open, airy and spotless. Leroux installed a washer and dryer at the back of the store as another cost-saving measure. As part of his co-ordinating efforts to green up the store, he uses recyclable cardboard pizza boxes and onsite composting. In addition, the computer system saves a considerable amount of paper in receipts. Amadio’s menu is based on a model of stone-baked handmade pizzas with no preservatives and market fresh ingredients. Leroux offers 38 toppings, including a variety of cheeses, tuna and grilled steak. His full menu includes wings, pasta dishes, panzerottis and chicken fingers. The restaurant offers take-out or delivery. Leroux started in the pizza business in 1974 at the age of 14, and has been in it full-time for 19 years. He has experienced moving a business three times. He became owner of his own pizzeria in 1990 and has been in Port Credit since 1993. Port Credit is a harbour front town on Lake Ontario and is part of the city of Mississauga. Since his time in Port Credit, Leroux says he has noticed the number of independent pizzerias reducing in comparison to chains, and this means independents must be willing to make changes to stay in business. All of Leroux’s business experience has culminated in a deep respect for commanding efficiency in your business, where going green just makes good sense. •
THE BEST LAID PLANS Continued from page 20 the games you sponsor consider handing out coupons for a free beverage with purchase or a discount. THE MARKETING BUDGET Once you’ve identified the components of your marketing plan and have plugged them into your calendar, it’s time to flesh out the budget. Simply attach the forecasted cost for all of these activities and then see if it seems reasonable. If the budget is too high, start cutting those activities that aren’t mission critical. If it comes down to pizza day at the school or the little league uniforms, consider that you’ll likely gain more awareness from the uniforms because parents won’t be at the school to see who’s supplying the pizza. Studies show that when we write down our goals we’re more likely to achieve them. If nothing else, a marketing plan will allow you to control your costs and focus your energy where the true opportunities exist. •
Michelle Brisebois is a marketing professional with experience in the food, pharmaceutical, financial services and wine industries. She specializes in retail brand strategies.
APRIL/MAY 2009 pizza 25
feature
Order-up effective pest management for pizzerias BY BILL MELVILLE
Y
Processors of Quality Fresh, Smoked & Cooked Meats Specializing In PEPPERONI – sliced, diced, whole HAM – cooked, diced SAUSAGE - sliced BACON ENDS – diced
Over 150 Items Available Serving the Pizza, Deli, Restaurant, Submarine and Foodservice Business across South-Western Ontario
♥ OF THIS PRODUCT SPRINGER’S MEATS INC.
QUALITY IS THE
544 Parkdale Ave. N., Hamilton, Ont. L8H 5Y7 Wholesale Dept.: (905) 547-1321 Main Office: (905) 544-0782 Fax: (905) 547-3107 E-mail: smi@on.aibn.com www.springersmeats.com Also Available From Chase Global Foods 1-800-263-1964
26 pizza APRIL/MAY 2009
ou may have an abundance of topping choices for pizzas, but one ingredient you don’t want on the menu is pests. In an industry where the customer is always right, restaurateurs should take precautions to make sure diners don’t get a surprise with their meals. By implementing an effective pest management program that incorporates sanitation, pizzeria owners and operators can rest easy while delivering a quality product to every customer. Pests are more than just a nuisance; they are a health hazard and can result in a health violation. Flies carry dangerous pathogens such as E.coli and Salmonella and transmit bacteria every time they land. Rodents can cause property damage by squeezing through holes as small as a dime, and chewing through electrical wiring inside your establishment. Since pests can cause illnesses ranging from food poisoning to pneumonia, an infestation should not be taken lightly. To establish a successful pest management program, you must understand the basics of pest behaviour. Foodservice establishments attract pests seeking out food, water and shelter – pizzerias provide ample supply of each. By managing the elements that draw pests to your restaurant, you can ultimately reduce pests. Integrated Pest Management (IPM) programs focus on identifying the reasons pests enter an establishment in the first Top Photo: While the inside of your restaurant has the three pest needs – food, water and shelter – the outside of your establishment can also give pests a reason to stop by. Hose down outdoor areas, such as sidewalks and parking lots, to remove any debris that might attract pests.
place and utilize alternative pest management methods, such as stringent sanitation and facility maintenance, to make an environment less attractive. Using this proactive approach to pest management, IPM employs more environmentally friendly techniques and limits the need for chemical treatments. Work with your pest management professional to incorporate the following tips into your IPM program to keep pests out of your pizzeria. Don’t wait until after diners leave to begin your sanitation routine. Clean throughout the day to reduce the amount of work at closing time and eliminate food or water sources that can attract pests during the day. Wipe down tables and chairs after each guest leaves. Clean up spills immediately, even if it is just water. Mice need only a few drops to stay alive in your facility. Watch out for sources of unnecessary moisture that can draw pests to your establishment. Outside, leaking air conditioners and rain puddles can attract pests looking for sustenance. Work with an HVAC or maintenance professional to quickly fix any problems. Eliminate standing water, which can also serve as a mosquito breeding site. Inside, spillage and condensation from ice machines and soda fountains are just as appealing to pests in need of water. Pests see our trash as a five-star meal. Frequently empty trash receptacles within your restaurant, and if necessary, create a schedule for waste removal. Letting trash collect outside your building is a welcome invitation to pests looking for a quick bite to eat. Keep dumpsters, a pest favourite, covered at all times and as far away from your building as possible. Clean and rotate dumpsters regularly to eliminate pests or residue that might attract them. With the heavy traffic restaurants receive each day, the floors and corners of your pizzeria can easily gather dust, crumbs and other debris. Sweep under tables after each customer and mop floors at the end of each night, especially in kitchen areas. Use an organic cleaner in floor drains to remove any buildup
that flies use as a breeding ground. For hard to reach cracks and crevices, a HEPA (high efficiency particulate air) filter vacuum can remove crumbs that sweeping might have missed. Pay attention to the area surrounding your restaurant as well. Hose down sidewalks and parking areas to remove any food debris that might interest pests. Request that your employees monitor for pests in these areas, in addition to your restaurant’s interior. Keep doors closed, especially those near shipment receiving areas and entryways to the kitchen. These are the two places pests are likely to frequent. The storage room is known as another hot spot for pests. Store all products on open-back shelving, off the ground, and at least half a metre from walls to allow easy access for inspection and cleaning. Inspect incoming shipments for signs of pests, such as droppings, before placing them in storage. Rotate products on a first-in, first-out (FIFO) basis to keep fresh products available. Wherever possible, eliminate any cardboard boxes that can provide excellent hiding places for insect pests. Create a written sanitation program for your pizzeria that includes daily, weekly and monthly benchmarks for your staff. Incorporating these steps into your routine not only helps keep pests at bay, but can also help protect your relationship with customers and your restaurant’s reputation. Work closely with your pest management professional to establish a strong partnership. A reputable provider can train your staff to identify the elements that attract pests and provide tips on how to prevent them. With a sanitation plan in hand and a team approach to pest management, you and your staff can keep pests off the menu and your customers happy. •
SUBSCRIBE TODAY ! BUY 1 GET 1 FREE! 2 Years for the price of 1
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(GST $18.90; QST/HST $20.34) US $40.00 (USD) • Foreign $50.00 (USD)
Name: ________________________________ Business: _____________________________ Address: ______________________________ City: __________________________________ Prov: _________________________________ P.Code:________________________________ Tel: __________________________________ Fax: __________________________________ e-mail: ________________________________ 1. TYPE OF BUSINESS (Select only one): ❏ Independent Pizzeria ❏ Pizza Chain/Franchise ❏ Italian Restaurant/Full Service Restaurant ❏ Other Non-Pizza Restaurant ❏ Take & Bake ❏ Catering Service ❏ Government, Library, School ❏ Distributor, Supplier, Manufacturer ❏ Other ______________________________ (Specify) 2. IF PIZZERIA RESTAURANT, ARE YOU A: ❏ Quick Service Pizzeria ❏ Family/Mid Scale Pizzeria ❏ Casual Dining Pizzeria ❏ Gourmet Casual Pizza Dining 3. WHAT IS YOUR JOB TITLE? ______________________________________
PAYMENT: Cheque - Payable to Annex Publishing & Printing Inc. Visa MC Amex Account #: _________________________ Expiry: _________________________ Signature: _________________________ Date: _________________________
TO SUBSCRIBE: Bill Melville is Quality Assurance Director for Orkin PCO Services. Mr. Melville has 35 years of experience in the industry and is an acknowledged leader in the field of pest management. For more information, e-mail Mr. Melville at bmelville@pcocanada.com or visit www.orkincanada.com.
Tel: 866-790-6070 Fax: 877-624-1940 Mail: Canadian Pizza Magazine c/o Annex Publishing & Printing Inc. P.O. Box 530, 105 Donly Dr. S., Simcoe, Ontario N3Y 4N5 e-mail: cnowe@annexweb.com
www.canadianpizzamag.com GST#867172652RT0001
0409PZ
APRIL/MAY 2009 pizza 27
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CONSULTING SERVICES
28 pizza APRIL/MAY 2009
EQUIPMENT
CUSTOM TRAILER
classifieds REAL PEPPERONI... Never compromise when it comes to your pepperoni toppings. What would your pizza be without great tasting pepperoni? Sila believes in traditional values. These values are supported by quality – quality you can feel, taste and smell. We never compromise on the rich flavour of real pepperoni. For more info, call Viau Foods, Inc. 1-514-321-8260 or fax 1-514-321-8770. ITALIAN SPECIALTY CHEESE... Salerno Dairy Products Ltd. Manufacturers and distributors of great tasting Italian cheeses and food products, invite you to contact their sales professionals. Each representative is motivated to ensure quality dairy products backed by service second to none. For more information and quality products, call 1-800-263-6536 or 1-905-544-6281. FOR ALL YOUR PIZZA NEEDS... Ricco Food Distributor. Your complete pizza supply distributor, serving southwestern Ontario. For further information and pricing details, call Don Windsor at 1-519-245-7081 or fax 1-519245-7126. SPRINGER’S MEATS INC... Processors of quality fresh, smoked and cooked meats. We specialize in pepperoni, ham, back bacon, bacon ends, over 150 items. Serving the food service industry of southwestern Ontario. For details call 1-905-544-0782 or fax 1-905-547-3107.
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Advertisers' Index Company
Page #
ADM ................................................ 9 Burke ........................................... IBC Crown Custom Cookware................ 5 Dutchess Bakers ........................... 23 Middleby-Marshall ......................... 13 Point of Success ............................ 17 Ricco Foods................................... 25 Salerno Dairy ................................. 25 Saputo ........................................OBC Springer’s Meats ........................... 26 Thunderbird Machinery.................. 21 Viau Foods ...................................IFC Use these advertiser contact numbers to find out more about a product advertised in this issue or to place an order. This index is provided as a service. Canadian Pizza Magazine is not liable for errors or omissions.
APRIL/MAY 2009 pizza 29
pizza on fire
Great ideas in a cash flow crunch Tom Stankiewicz
T
here are key things a small business can do to minimize losses over the next year. They will require you to look very closely at your current business model and find creative ways to make it even better. If you have already noticed a decrease in sales this year, do not panic as that will only result in rushed decisions. As small business owners, most of us don’t have a lot of extra cash put away for a rainy day, our budgets for advertising are pretty limited, and it is more difficult for us to obtain credit. The first step is to review your cash flow and determine where you can cut some costs. Your fixed costs, such as rent, will most likely stay the same unless your lease contract is coming up for renewal. If that is the case, you could use the current economic slowdown to your advantage and try to negotiate a better rate. The landlord might be willing to negotiate with you right now, as it would definitely be more beneficial for him or her to have that space occupied rather than become vacant. In the event that you are forced to close or re-locate your business due to high rent, it might not be easy for him or her to find a new tenant in a recession. Just by looking around your area, you have probably noticed that not too many people are willing to invest in opening a new business right now. I heard of some business reducing their hours of operation in order to cut costs. It’s true that it will lessen how much money you will have to pay in wages and lower your hydro bill at the end of the week, but carefully weigh whether it really make sense for you. Reduced hours mean less exposure to potential clients and that could translate into lost sales.
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However, this could be a reasonable solution if you know that you’ve always had minimal traffic during certain hours and now it has been reduced to zero. Otherwise, keep your hours of operation the same because customers are used to you being open during certain times. This is also a good time to stick to what has worked for your business in the past. For example, you can easily identify specials that have been more popular than others, such as family meal deals, pick up promotions, etc. Rather than advertising new deals, concentrate on the ones that have generated extra sales in the past. There are obviously good reasons why your customers prefer those versus others. You can be creative by adding small incentives to your pizza orders. For example, what works well for many pizza businesses is to add a free order of garlic bread or salad with a regular order of pizza. In the summer you can twist it a bit and change the offer to free ice cream. At Bondi’s, we have been researching an interesting idea that we plan to start bringing in over the next few months. We would like to offer our clients a chance to come in and make their own pizza from scratch. This would be in a form of a class that they would sign up for ahead of time. We’re hoping that offering such a handson experience shows our clients the whole process of making a pizza while gaining their trust and loyalty. As well, be more selective in terms of what changes you will implement today versus six months from now. For instance, if you noticed your sales drop in the last few months and cash flow is a bit of a problem, you wouldn’t want to start
expanding your business by adding additional space to it. It might be wise to wait a bit, assess the situation, and then decide if you still should go ahead with it. Cutting costs also means looking for different ways that you can use your employees to run the business more efficiently. Most employees are eager to learn something new to add to their existing skill set. After all, doing the same thing over and over for a number of months or years can become a bit boring. Some people get so good at their jobs that they do it without thinking about it. This might be a perfect opportunity to teach them something new and add some variety to their daily routines. If you find yourself in a situation where one of your employees leaves, you may find you can teach your existing staff to cover the work instead of hiring someone new. It could be as simple as teaching someone to take orders over the phone in addition to their existing duties of preparing pizza. In the fast food industry, it’s always good to train everyone to know how to do everything. If one of your employees calls in sick or doesn’t show up, you know that there are other people who can fill in on the spot. It will give you peace of mind that the business will run smoothly no matter what and your clients won’t notice a difference in service. Come up with some positive solutions and creative ideas to get your business through the next year. Don’t let your business freeze in time. Find ways to add value to what you already offer at a minimal cost to you. • Tom Stankiewicz has been in the pizza business for over 15 years. He has been the proprietor of Bondi’s Pizza in London since 2000.
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