PM40065710
Viau Foods full pg IFC
Volume 14 Issue 8 December 2008
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10 STAGING FOR SUCCESS Busy Stratford restaurant and pizzeria caters to the theatre crowd. Foodservice entrepreneurs Jeff Leney and Larry McCabe have developed several unique strategies for garnering success during a bustling theatre season. 14
14 YOU HAVE THE HAMMER When renewing your lease – never just sign and pay up. Help and advice on weighing your options to move or to stay put, as well as tips for getting the most out of negotiating a new lease agreement.
16 FRESH PRIORITIES 18
U.S. - based chain Papa John’s opens first Ontario restaurant in Belleville. With a local Belleville owner’s group committed to opening or developing another 12 to 15 stores and an aggressive marketing plan that earmarks Canada for 57 new stores in the next 10 years Papa John’s looks to become a major player in the Canadian pizza market.
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DEPARTMENTS 4
editor’s desk
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pizza bites
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canadian pizza online
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making dough
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marketing insights
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guest column
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the pizza chef
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pizza on fire DECEMBER 2008 pizza 3
from the editor’s desk December 2008, Vol. 14, No. 8
Drew McCarthy
Pizza can ride out the downturn
or almost four years now, Cam Wood has been the star quarterback of Canadian Pizza magazine’s editorial team. As editor, Cam reached out to every one of you in the industry, telling your stories, reporting your news and advocating on your behalf. I’m sorry to say that Cam has recently left the magazine, moving on to pursue other interests. I’m sure that all of you who got to know him personally, or through the pages of this magazine, will miss his passion, honesty and dedication to the business. I know I will. Many thanks Cam. Meanwhile, I’ve stepped up to the plate to get this issue into your hands. Some of you will remember me as the guy who ran the magazine before Cam. Although not actively involved over recent years, I have continued to follow the business closely and with interest. One of the important philosophies that Cam and I share is that this magazine is dedicated to a part of the foodservice industry that has its own unique interests and concerns. Serving a specialized product such as pizza means serving a lot more cheese and tomato products than the rest of the industry; creating and maintaining the pepperoni industry, using more flour than anyone else – except for bakers, and delivering more product more often to the front door than other restaurants would ever dream of. We share many interests with others in foodservice but we are different enough and important enough to warrant our own magazine. That’s why Canadian Pizza magazine exists, to serve the needs of Canadian pizza operators from coast to coast to coast. Our goal has been, and always will be, to further the good of the pizza business and to help the industry increase its share of the foodservice dollar.
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That goal has never been more important than right now. As we approach 2009, the economy is clearly everyone’s number one cause for concern. The situation the auto industry finds itself in could seriously impact Ontario and plummeting oil prices are having a show stopping effect in Alberta and Saskatchewan. The outlook across the remainder of the country is equally troubling. What does this mean for Canada’s pizza makers? As you might expect, there’s no easy answer. Generally speaking, we can all anticipate a downturn in consumer spending on the foodservice front, but I think that pizza is the one product with the best chance of riding out the downturn. When it comes to value, pizza sits at the top of the list. In spite of rising food costs, most pizza operators have held their prices over the last few years. Operators can now rightfully expect a decrease in food costs because of the decline in fuel prices and those reduced fuel prices may even offset some of the decline in consumer foodservice spending. Pizza’s high value and desirability should mean that while times will be tough, consumers will still be attracted to the product. At the end of the day, pizza may be one of the most economical indulgences that consumers will allow themselves in times of economic uncertainty. That’s not to say that there will be no impact, but it will likely be less severe than in other segments of the foodservice and hospitality industry. Canada’s pizza makers should stay focused on what they do best, knowing that they sell one of the most popular products ever created. There’s no substitute for faith, hope and, of course, really hard work. I hope you enjoy this issue. •
Editorial Director Drew McCarthy dmccarthy@annexweb.com 888-599-2228 ext. 265 National Advertising Manager Christine Livingstone clivingstone@annexweb.com 888-599-2228 ext. 239 Sales Assistant Laura Price lprice@annexweb.com 888-599-2228 ext. 219 Production Artist Emily Sun VP/Group Publisher Diane Kleer dkleer@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. ©2008 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
Middle-by Marshall full pg pg 5
pizzabites 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 monthís 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! Are you ready? This month’s trivia question is: What are two ideas for catering to children?
Toronto operators look forward to reasonable plan T
oronto’s restaurant industry applauds the decision by the Public Works committee to delay a decision on banning paper coffee cups. The move opens the door to more reasonable solutions to reduce in-store packaging. “Other communities are recycling paper cups and plastic lids, and it’s time for Toronto to seriously consider that solution,” says Stephanie Jones, Ontario Vice President for the Canadian Restaurant and Foodservices Association (CRFA). While last night’s vote on the coffee cup ban was a positive step, a number of concerns remain, including mandatory This monthʼs trivia question: discount for customers who bring their What are two ideas for own bags, and bans on plastic and compostable food packaging. catering to children? “Food packaging is designed to meet strict food safety standards,” says Jones, “It doesn’t make sense for the City of Toronto
Deadline is January 7, 2009 e-mail: pizza@annexweb.com Fax: 519-429-3094, Attn: Mama Rosa Mail: Mama Rosa, Canadian Pizza Magazine, P.O Box 530 105 Donly Drive South Simcoe, ON N3Y 4N5
did you know? Domino’s predicts it will deliver approximately 250,000 pizzas every quarter during Super Bowl Sunday.
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to encourage customers to bring their own food containers that might not be clean and could pose a health risk. Recycling is a more reasonable and responsible solution for dealing with take-out packaging.” The plan to force businesses to provide a10 cent discount per plastic bag that a customer does not use is another concern. It amounts to an indirect tax on business owners, whose cost for a plastic bag is typically far less than 10 cents. “The restaurant industry in Ontario is currently operating on razor-thin profit margins that are the lowest in the country, averaging less than three per cent of sales. We can’t absorb these extra costs and will have no choice but to pass them along to our customers,” says Jones. There are over eight thousand restaurant operators in the City of Toronto, employing almost 85, 000 people.
Rational celebrates 400,000th unit n October 2008, the 400,000th unit left the Rational factory. “The 400,000th unit is a milestone in the history of our company,” says Dr. Gunter Blashchke, Chairman of Rational. “We are especially pleased with the enthusiasm which the SelfCooking Center has triggered throughout the world.” Rational invented the combi-steamer technology in 1976, the original models had only two modes, “Dry heat” and “Steam”. Subsequent models saw further development and advancements made to the technology making it increasingly more complicated to operate. With the invention of the Rational SelfCooking Center, the company attempts to
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make cooking simpler than it was 30 years ago, the chef needs only to input their desired result and the oven will handle the rest. “The growth potential of this very young technology is still enormous, and we have already set our sights on the 500,000th unit,” says Blaschke.
Ontario eatery recognized Domino’s let’s TiVo users order pizza via TV by chief energy conservation officer W L
auded as Canada’s Green Restaurant, the Fall River Restaurant in Maberly, Ontario has been recognized for its commitment to energy conservation and environmentally responsible operations by Ontario’s Chief Energy Conservation Officer. Peter Love, Ontario’s Chief Energy Conservation Officer, presented a Certificate of Recognition for Energy Conservation to owners Paul and Michele Zammit. The certificate was awarded for: “Serving up a delicious platter of energy efficiency, combined with renewable construction materials and reduced greenhouse gas emissions, served with locally-grown organic food, proving that a culture of conservation can dress up your table and increase your profits.” “It’s great to have our efforts, and the work of our trades people, recognized,” said Paul. “We hope that other businesses see us as proof that environmentally sustainable practices are also economically sustainable.”
Napkleen awarded two U.S. patents
hy get up? Thanks to a new agreement between the two companies, TiVo subscribers can now order a Domino’s Pizza from their television. “We are really excited about this – and not just because we are the first to market and the first national program here, but because it represents the convergence between the Internet and television,” says Rob Weisberg, vice president of precision and print marketing at Domino’s. “We believe this is the future of marketing, this interaction with customers, so that they are receiving entertainment and doing their shopping.” Domino’s is targeting existing TiVo subscribers as well as potential subscribers through it’s “gold sponsorship” that will last forty weeks. The sponsorship includes a special tag in all Domino’s Pizza ads that will allow TiVo users to click through the ad. Order the pizza and have it delivered to their homes. Also, at TiVo “central”, one of the top five options will be set off with a star: Order a pizza from Domino’s. “We will be right at the front and centre,” says Weisberg, “because every TiVo subscriber has to go through that.” There will also be some video content that subscribers can access. “ The only thing better would be if we could actually beam the pizza to the consumer,” says Weisberg.
apkleen, a developer of disposable clothing protectors, recently announced it has received two U.S. patents for it’s revolutionary product. Marketed as a cost-effective alternative to napkins or bibs, Napkleen’s disposable product has an adhesive backing that will adhere to any type of cloth without damaging the clothing. The soft, waterproof material, which includes a fold-out crumb-catcher, cover’s the wearer’s chest and stays in place without the use of strings or ties. “There are so many practical applications for the product,” said Gary Shar, VP of Marketing & Brand Management. “Napkleen has already found a home in medical institutions across the country, as well as in nursing home and extended and long-term care facilities. We’re also starting to find a niche in the food service industry, where Napkleen replaces bibs and napkins.” The idea for Napkleen struck when co-developer Mike Chasan was on his way to an important meeting. “I spilled coffee on my shirt while I was driving,” recalls Chasan. “I had to buy a new shirt. It was then I realized that there was no practical – yet comfortable – way to protect my clothing. How many of us eat fast food in the car or soil our clothing at a restaurant? I knew there had to be a better solution.” The front surface of Napkleen can be utilized as a billboard for a company’s logo and branding, supporting print of up to six colours of food safe ink. Napkleen is offered in a 13" by 16" adult size, a 10" by 10" child size and an 8" by 10" infant/toddler size.
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READ THESE STORIES AND MORE AT WWW.CANADIANPIZZAMAG.COM
NEWS HIGHLIGHTS •
PANAGO LAUNCHES iPHONE FRIENDLY WEBSITE
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PIZZA HUT LAUNCHES ORDERING APPLICATION ON FACEBOOK
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CANADIAN PIZZA IS BIG IN BERLIN
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MAJOR BREWERIES CLAIM ALTA DISTRIBUTOR KEEPING BOOZE FROM THIRSTY DRINKERS
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MANGIA PIZZA DELIVERS AFTER SHATTERING LONGEST PIZZA LINE RECORD
READ THESE STORIES AND MORE AT WWW.CANADIANPIZZAMAG.COM
WEB EXCLUSIVES THE MOST POWERFUL MOTIVATOR Nothing makes us more uncomfortable than fear. And, we have so many fears: fear of pain, disease, injury, failure, not being accepted, missing an opportunity, and being scammed to name a few. Fear invokes the flight or fight syndrome; and our first reaction is always to flee back to our comfort zone. If we don’t know the way back, we are likely to follow whoever shows us a path. Robert Wilson writes about the primal instinct of fear as a powerful motivator; a powerful marketing tool that can elicit adverse reactions when not utilized carefully. For full details, go to www.canadianpizzamag.com
MANAGING MULTIPLE PRIORITIES It may be a popular advertising slogan – our customers are our number 1 priority. As a manager, however, buying into that strategy will actually reduce your effectiveness and damage your business. I learned this the hard way. Jeff Mowatt shares his experiences in restaurant management and provides helpful suggestions for those looking for a “fresh start”. For full details, go to www.canadianpizzamag.com
READ THESE STORIES AND MORE AT WWW.CANADIANPIZZAMAG.COM
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NEW PRODUCTS TODCO has introduced a line of Meno Trigger Grip TM Tongs for everyday use, especially by people with hand pain or hand challenges. BOOKSTORE 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. What city would you most likely travel to for Canadian Pizza Games? 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
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Staging for success Busy Stratford restaurant and pizzeria caters to the theatre crowd BY DREW MCCARTHY
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azzo” is Italian for crazy, but “crazy like a fox” is what comes to mind when you walk into the Pazzo Ristorante, Bar and Pizzeria in Stratford, Ont. The establishment, brainchild of foodservice entrepreneurs Jeff Leney and Larry McCabe, has just finished its 11th season in this unique and vibrant Southwestern Ontario town. “In Stratford, we think in seasons,” says Jeff. And that means theatre seasons not hockey seasons. The Stratford Festival has been in operation since 1953 and has grown into the most important economic driver in the community. Jeff and Larry both grew up in Stratford, working their way through high school and beyond in the industry, learning the restaurant business in a town known for such fine establishments as The Old Prune, Rundles and The Church. “The play’s the thing” and the thriving hospitality industry caters to the annual influx of theatre-loving tourists. High season, which accounts for about 75 per cent of Pazzo’s annual sales, lasts from the beginning of June until the end of October. After spending years honing their front- and back-of-house skills working in fine restaurants in their hometown, elsewhere in Canada and abroad, the duo returned to Stratford in the mid 1990s to open their own establishment. The pizzeria, which is located on the main street in town, was created in a space previously designed as a downstairs wine bar. Jeff and Larry took over the location 12 years ago and refurbished and redecorated everything themselves. The original concept for the pizzeria was based on a “make your own pizza” model that had inspired Jeff while working at a small hotel in Zermatt, Switzerland. The concept is simple: Each
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Jeff Leney (left) and Larry McCabe are the owners of Pazzo Ristorante, Bar and Pizzeria in Stratford, Ont.
table in the cozy cellar is supplied with a checklist-style order form and pencil that lets customers create their own individual 12-inch pizzas. The base product is a pizza margherita made with either a white (standard bread flour) or whole-wheat flour crust. A checklist of toppings includes meats, cheeses and other items. In addition to
this, the pizzeria offers a full variety of appetizers, salads and signature pizzas. The “make your own” model is truly a customer-focused approach to service but, as Jeff points out, it can sometimes be very challenging for servers and kitchen staff who have to order, build and deliver individual pizzas during a high-season seating where up to 150 customers
are served between 5:30 and 7:00 p.m. Still, the energetic employees at Pazzo’s are able to successfully improvise their roles six nights a week (the theatres and the restaurant are closed on Monday). Customers are encouraged to give their personal creations a name when creating their own pizzas, which can not only be fun, but also very helpful to a busy server who arrives at a table with a variety of customized pizzas. A server may come to a table, for example and say, “O.K., I’ve got Bugs Bunny’s pizza here. Who’s Bugs?” “Everyone wants to make a reservation for six o’clock,” says Jeff with an knowing smile, “but we could never operate that way, since all of those customers need to order, eat and settle up their bills in just 90 minutes to get out in time for an eight o’clock theatre start.” The Pazzo Ristorante, Bar and Pizzeria is actually a two-level location that houses two concepts under one roof. Soon after the downstairs location, which seats 120 with an eight-seat wine cellar overflow option, had been renovated for service, the upstairs part of the building became available. With all of the shared spaces, services and utilities, it became obvious to the partners that they needed to own both levels. They acquired the upper level and set about establishing a 115-seat
The downstairs seats 120 with an eight-seat wine cellar overflow option.
dining room on the street level that offers a more formal menu and atmosphere. The upstairs is only open during high season, while the pizzeria remains operational 12 months a year. During high season, both levels operate with a combined staff of about 50 employees, which is scaled back to a core staff of around 14 from November to June. The upstairs chef moves to the pizzeria level and all of the management and senior staff stay on full-time throughout the winter. The upstairs accounts for about 40 per cent of annual sales, although the pizzeria has continued to grow its sales in recent years over the winter and spring months. “This has been one of our biggest challenges, says Jeff. “We tended to end up with a lot of money at the end of October and then had to carefully plan its use in order to get us safely through the slower period.” One of the strategies for maintaining cash flow through the leaner months came about a short while ago when the partners signed an agreement for use of their upstairs facility with the Stratford Chefs School, a private non-profit culinary school, that runs fall and winter programs. This agreement, coupled with the increase in local traffic during the winter has improved the situation greatly. “It’s
taken about a decade to build the offseason business,” says Larry, “in the beginning those five months were dire.” But Pazzo’s success is based on much more than just sticking with it. A key strategy in building and maintaining a loyal clientele is always having one of the owners on the premises. “I think that’s key in running a successful operation,” says Jeff. “I’ve seen lots of situations with absentee owners and they run a much higher risk of failure than those of us who stay involved in the day-to-day running of the business. The customers like to see us here and it gives us an opportunity to greet them, talk to them and hear what they have to say.” Product is also fundamental. Providing high quality in a demanding and discerning market requires a balance of consistency and creativity. “The biggest challenge we face,” says Jeff, “is maintaining quality while controlling costs.” While food and labour costs have continue to increase, Jeff and Larry have been leery about raising prices. “We’ve held our menu prices at the same level now for the past three years,” says Larry, “but with cheese prices constantly increasing and the minimum wage in Ontario going up again, we may be forced to make some increases.”
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Left: Stratford has a vibrant and viable downtown, unlike many other small towns in Ontario, and people will always want to eat out.” Right: Pazzo head chef Will Gaynor.
Fundamental to all of this is the pizza itself. “We’ve both traveled extensively in Italy,” says Jeff, “and we’ve adopted the philosophy that the key to Italian food is keeping it ‘simple and fresh’.” This philosophy is reflected in Pazzo’s food preparation. They use a basic thin crust pizza, taking care to handle ingredients according to the moisture and temperature fluctuations in the kitchen and environment. Their sauce, created with fresh tomatoes, fresh garlic and fresh basil goes onto the pizza and into one of their two deck ovens uncooked. They use a standard good quality 16 per cent milk fat mozzarella from a national supplier and although they do not blend their pizza cheese, they source specialty cheeses for salads and antipasto plates from a second local specialist cheese producer. Their toppings are sourced right in town from a local butcher who supplies them with most of their imported meats. They also use a local supplier for their greens, who is able to supply them with most products through a greenhouse operation right through the winter. When fresh and
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local are not available, they rotate menu items according to the season. All of this scratch preparation is labour intensive, but the partners are adamant about never using product that has been prepared by someone else and “simply poured out of a pail.” “It’s all about value and quality perception,” says Jeff. “When people go out to eat they are looking for a great, not a mediocre experience, that’s why they go to restaurants.” “Keeping those quality ingredients costs down is the key to success,” says Jeff. Pazzo uses a combination of large and small suppliers to ensure they get the best prices available. “You need to shop around, negotiate and buy in quantity when you can. If you can’t control your food costs you won’t be in business for very long.” Pazzo’s core staff of 14 employees is the backbone of the operation and Jeff and Larry are appreciative of that fact. The pair are cognizant of the need to keep these regulars employed and feeling appreciated. “At the end of the season we usually do something special with the staff. Last year we rented a bus and did a wine tour in the Niagara region,” says Larry. Larry also provides individual wine training for new employees, which ends
up not only being fun for the employee but also great for sales. Pazzo’s stocks 130 wines in their wine cave and while most of their bottle sales are in the upstairs restaurant, wine by the glass is very popular in the pizzeria. Since starting the wine training three years ago, Larry says that wine sales have increased from 16 per cent of total sales to about 20 per cent today. In addition to the wine, Pazzo’s offers full licence products, which include shots, cocktails and locally brewed beer. The art of the cocktail is alive and well at Pazzo’s and Larry is also careful to ensure that all of the cocktails served are properly prepared and presented. “There’s an art to preparing a good cocktail,” say Larry, “and a good bartender will create a better tasting drink than a poorly trained or indifferent bartender.” Because of the highly seasonal nature of their business in Stratford, staff training is high on the list of priorities. With about 35 new employees all coming on board in late May and June, there is an awful lot of training that needs to be done in a short period of time. “It gets pretty crazy around here at the beginning of the season,” says Jeff, “and new staff members are never quite prepared for what is about to happen on the first busy theatre night of the season.”
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You have the hammer When renewing your lease – never just sign and pay up BY LLOYD R. MANNING
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or many pizzerias their most tangible business asset is their well-positioned space lease. When it runs out and you are hit with a rent increase or untenable terms and conditions, you have three choices; accept, move out, or convince the landlord that he/she is better off with you at the same or a lower rent than by obtaining a replacement lessee. You do not wish to pay more, and no property owner wants to lose a good tenant. Never just sign up and pay up or accept the landlord’s first “What I would like to have” offer as final. Weigh your stay or move options. If you move out, there are many extra costs faced by the landlord: leasing commissions, move in allowances, rental holidays, fixture allowances, taxes, insurance and utilities during the vacancy period, and probably renovation costs. Unless someone is immediately ready to occupy your space as is, the out of pocket expense and revenue loss will probably be about one year’s rent. Accordingly, all lessors will make concessions to keep the good tenant they already have. And, all have three prices; what they would like to have, what is wanted, and what they will settle for. You have the hammer. If moving, there’s the cost of you finding a new location, checking it out, lost time, equipment to be replaced improvements to be made, probably a new telephone number, staff adjustment, loss of customers, and all the money you spent to upgrade the present domain and install the equipment is gone. There must be a financial advantage. These up-front costs must be recovered by lower net rent, increased patronage, more profit, or other measurable benefits.
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IT’S ALL ABOUT PROFIT POTENTIAL If staying works in your favour, negotiate a better deal, if not, look around. However, before deciding which is better, consider your present leasehold’s profit making potential. The starting point is undertaking a location and market analysis, establishing the source of your customers, whether they are mostly eat-in, carry-out, or home delivery, their level of patronage, and the importance of your location to those customers. Although no statistics are available, cursory observation would suggest that 85 to 90 per cent of pizzerias are domiciled in leased spaces that range from the ground floor of upscale condominiums, to cluster shopping strips, to smaller neighbourhood commercial buildings. Hotel leases are quite different and we will address these in a future article. For many restaurants location is the principal drawing factor while for others quality of product, service, and pricing are more important. Is your pizzeria “location dependent or independent?” If location dependent, you draw customers for reason of location, accessibility, convenience, and amenities. In some cases you may rely on the cumulative attraction of other businesses and neighbours in your immediate locale to direct customers your way. You cannot move across town without losing patronage. Still, before yielding to what you consider your landlord’s unreasonable demands, ensure that location is your primary drawing card, and not other attributes. The realtor’s favourite spiel, location, location, location, although for many businesses often a myth, with pizzerias it is usually true. For reason of convenience with carryout, or speed of service and heat loss with delivery, customers usually patronize the one closest to home.
If customers patronize your pizzeria for reason other than your proximity to these traffic generators you are location independent. In this case, assuming you move to a safe, convenient, visible, and accessible location, with similar or better amenities, your clientele may change but your volume should not be adversely affected. Frequently, in this situation, were you elsewhere, and it’s cost effective, relocating may work well. It always boils down to how your bottom line would be impacted were you somewhere else. WHAT IS A FAIR RENT? Determining a fair rental rate is a twostep process. The first is reference to industry standards and the second, local market indicators. Unfortunately, for pizzerias Canadian restaurant industry rental statistics are skinny at best. BizStats, a US statistical service, suggests a range from 6.0 per cent to 6.9 per cent with a three years average of 6.5 per cent of total sales and income. This is quite in line with the older Canadian statistics that suggested a range of six to eight per cent. It is noted that as a per cent of sales rent has been declining over the past few years, which suggests that 6.5 per cent is not that far out. Still, operators must take into account what they are getting for their dollar. A pizzeria where the bulk of the business is carryout and delivery should pay a lower percentage rent that one having an elaborate dining room with liquor facilities. All percents should be tempered with discretion depending on local circumstances and management ability. You do not wish to pay your landlord a bonus because your revenue is above average; yet you cannot expect to be subsidized if below. Additionally, what is acceptable in a rural
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Above: For many restaurants location is the principal drawing factor.
Saskatchewan town may not be in midtown Toronto, as are space differences and rental concessions. Calculate your own ratio paying particular attention to what is included in the rent, your direct cost for tenant’s improvements, and what you feel is an equitable percentage of your revenue and operating profit. The second method is to compare the rental rate asked with what other businesses in your area pay for similar spaces. Compare! Consider both superior and inferior features, such as location, accessibility, visibility, available parking, age and condition of building, layout, interior improvements, amenities, what is included with the rent, and so forth. Examine the market for vacant and recently leased rental spaces, what was asked and what was obtained. Estimate how much demand there would be for your space were it vacant, the amount of rent that would probably be obtained from another, the rent up time, and the concessions the landlord would have to make. The object is to determine a fair market rental for your space as if vacant, which establishes your negotiating advantage. If you have trouble with this, a commercial real estate appraiser or leasing agent will do it, for a fee of course. Compare the results. Between the two you will have a good handle on what you can afford to pay, what your leasehold is worth to someone else, and the lessor’s chance of quickly renting to another
at a minimum cost. If you lease, at say $15.00 per sq. ft. including applicable common area costs, at the rental value of 6.5 per cent of sales your breakeven point is $230.77 annual income per sq. ft. of gross restaurant area. If sales exceed this, you are a winner where you are. If income and profit can be substantially improved elsewhere, perhaps it is time to move on. HOW LONG SHOULD THE LEASE BE? This should be negotiated based on your comfort level. For obvious reasons lessors prefer longer-term leases from national and solid tenants, shorter ones from the shakier class and start-ups. The days of restaurants being unwelcome tenants and only there because of necessity is long gone. Now, they are coveted occupants, traffic generators that attract patrons for the neighbours. Accordingly, you are entitled to the same concessions granted to other tenants in this class. There may have been some uncertainty when projecting your pizzeria’s future income and debt carrying capacity when initially leasing but by the end of the third year you should know where you are going. By the end of year five, inflation excepted, you have probably peaked out. If your business is well established and growing, rent is below the market, and you have an excellent location loaded with amenities, go for the longer term. If not, the shorter! Either way, as it costs you nothing and could
protect your investment always include one or two renewal options. NEGOTIATE TO THE BEST OF YOUR ABILITY When drawing up your lease contract, work with a lawyer. Never use or accept one of those pre-printed, standard, fillin-the-blanks, forms you can obtain from a stationary store. They don’t work. Proper lease structuring requires a full comprehension of what you do, how you do it, and your requirements. The lawyer’s job is to protect your interests. Ensure that the one hired has a good understanding of commercial leases, not all do. Negotiations are always give and take. You must take into account whether you are location dependent, your degree of reliance on the cumulative attraction of you and your neighbours, and what you will gain or lose by moving. A rent saving could be offset by other cost factors. Remember, no property owner wants to lose a good tenant and all will make concessions to have one stay. So much depends on how badly you wish to remain, how badly the property owner wants to keep you, and the negotiating skills of both parties. Do not just say “Yes” or “No” when hit with a rent increase or terms you do not like. Do an internal audit and location analysis. Weigh the pros and cons. Look, not just at the rent difference but total cost of staying or moving, what you gain and what you lose, and then, based on all factors, make your decision. •
DECEMBER 2008 pizza 15
feature
Fresh priorities Papa John’s opens first Ontario location BY TIMOTHY TWYDELL
eptember 17th, 2008, marked the opening of the first Papa John’s pizza franchise in Ontario. Located in Belleville, this is the company’s inaugural attempt at breaking into the lucrative pizza trade in the country’s most populous province. Founded in the U.S. by “Papa” John Scnatter, the company is set to celebrate a quarter century in the pizza business in 2010, and I currently estimated to be worth more than $1.7 billion (U,S,). From the company’s website: “ As a high school student working at a local pizza pub in Jeffersonville, Indiana, Papa John’s founder John Schnatter realized that there was something missing from the national pizza chains: a superior-quality traditional pizza delivered to a customer’s door. In 1984, John knocked out a
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broom closet in the back of his father’s tavern, sold his prized 1972 Z28 Camaro, purchased $1600 worth of used equipment and began selling his pizza to the tavern’s customers. The pizzas were such a success that John was able to expand his business by moving into adjoining space, leading to the opening of the first Papa John’s in 1985. The best pizzas are made using fresh, high quality ingredients. To ensure that every Papa John’s can offer the same quality products to it’s customers, no matter whether they be in Belleville, or Boston, the food distribution arm of Papa John’s has been forging partnerships in Canada to provide Canadian restaurants with the same quality product as their American counterparts. This means tomato sauce can only be made from vine-ripened tomatos; dough is made fresh and left to rise naturally before it is to be used and vegetables are brought in daily from local suppliers and cut that day to ensure freshness. Another cornerstone in the Papa John’s philosophy is customer satisfaction, “Papa” is actually an acronym for “people are priority always”. To that end, all franchisees work closely with the corporation to maintain a consistent level of satisfaction. The team responsible for bringing Papa John’s to eastern Ontario are; Dave Stewart, Patti McDougall and Ron Neal. All three owners reside in the local Belleville area and have extensive knowledge in restaurant management. The partners established PDR Associates in January 2008, and are committed to opening or developing a further 12 to 15 stores. For the immediate future the focus will be on eastern Ontario with hope of expanding into western markets. So what can Canadian customers expect on the menu at Papa John’s? Highlights include a spinach, chicken Alfredo sauce pizza and a chicken, bacon, ranch pizza that replaces tomato sauce with ranch dressing. Rounding out the menu choices are chicken wings, potato wedges, salads and breadsticks. While it may seem obvious that fresh ingredients and quality pizza are key to success in the pizza trade, too often larger companies lose sight of this simple philosophy and produce bland products using processed cheese and meats straight out of the vacuum packs. But with a clear vision of using only quality ingredients, a strong focus on customer satisfaction, and an aggressive expansion plan that has Canada earmarked for 57 new stores in the next five to ten years, Papa John’s looks poised to become a major player not just in the crowded Ontario market, but nationally as well. •
making dough with Diane
Seven easy ideas to cater to kids Diane Chiasson
ids are potentially your biggest customers. Today’s average parent will go to no ends to please and satisfy their children, and when it comes to food, parents will buy just about anything that their child expresses an interest in eating; pizza tops the list of favourite foods for kids. Kids are some of your most loyal customers and are often the ones who make the decision of where and what the family will eat that night. So it’s time to start marketing to your pint-sized customers as well. Here are a few easy-to-follow suggestions to get kids begging their parents to eat at your pizzeria!
K
1. CREATE AN ONLINE KID’S CLUB Allow kids to register to join your kid’s club online. Ask them their name, age, birthday and address, and keep this information in your database. It will come in handy for my next few suggestions. On your online kid’s club, set up games, printable colouring books, contests, and coupons for special drinks or candy. 2. DIRECT MAIL TO KIDS I don’t know any child who doesn’t get super-excited when they receive a piece of mail. Using the information acquired from the kids who registered online, you can devote an entire direct mail program to kids with a flyer (with their name on it) offering special pizza sizes, shapes and toppings made especially for them. You can also mail them coupons and other upcoming specials you may feature. Send each child a birthday card. Inside the card, offer a free slice of pizza or a free meal the next time they visit.
3. HOLD A MONTHLY KID’S NIGHT Once a month, have a special “Kid’s Night” at your pizza shop where kids can get a short tour of the kitchen, and have an opportunity to play with the dough, make their own pizza, and get their photo taken with their creation. Hire a clown or a balloon maker to entertain them. 4. MAKE PARENTS HAPPY BY GETTING KIDS TO EAT THEIR VEGETABLES In general, kids don’t like to eat their vegetables. It’s every parent’s struggle to get their child to eat their daily five portions of fruits and vegetables. In order to attract more health-conscious parents to buy your pizza, create a pizza sauce that blends in carrots, broccoli, red peppers and other healthy vegetables into a smooth sauce that is indistinguishable in look and taste from regular pizza sauce. Offer free samples of a vegetarian pizza to kids. They might not want to eat those vegetables at home, but in their favourite pizza shop, they would probably be more willing to try something new. You can also offer whole-grain crusts and low-fat cheeses to promote healthy eating. 5. SET UP A TOY PIZZA MAKING STATION Children hate waiting, especially waiting 10 minutes while their pizza bakes in the oven. Set up a toy pizza making station in a corner of your pizzeria. Several toy makers manufacture wooden pizza toys for kids to play with. You can also set up a computer station for kids to register for your online kid’s club and play games while they wait for their pizza.
Kids are some of your most loyal customers and are often the ones who make the decision of where and what the family will eat.
6. OFFER A KID’S-SIZED PIZZA Most kids I know only like cheese pizza or pepperoni pizza, while most parents I know would prefer to eat a pizza with more sophisticated toppings. By offering a kid’ssized pizza at an inexpensive price, a whole family can get what they want without having to mathematically try to calculate what would be the best way to order, or parents ordering a large all-dressed pizza and having to pick off all the bits and pieces of vegetables from their child’s piece. If you sell pizza by the slices, cut the slice of pizza into several smaller pieces that is small enough for a child to handle. 7. GIVE OUT FREE BALLOONS I have met several parents who shop at one particular grocery store solely based on the fact that their child gets a free balloon each time they visit. A free balloon is also an easy and inexpensive way to advertise your name around town. • For more than 25 years, Diane Chiasson, FCSI, president of Chiasson Consultants Inc., has been working with North America’s leading restaurant, foodservice, hospitality and retail owners and operators to deliver truly unique dining and shopping experiences for all their customers. Diane is recognized as an industry leader in providing innovative and creative foodservice and retail merchandising programs, interior design and marketing concepts. You can call her at 416926-1338 or 1-888-926-6655, fax her at 416-921-6994, contact her via e-mail at chiasson@chiassonconsultants.com or visit her website at www.chiassonconsultants.com.
DECEMBER 2008 pizza 17
marketing insights
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or the pizza industry, Super Bowl Sunday is well...the Super Bowl of pizza days. It’s what Christmas is to mistletoe. What Valentine’s Day is to chocolate. What St. Patrick’s Day is to green beer...you get the picture. Many pizzerias report that Super Bowl Sunday is their busiest day of the year and that means you should plan for it with the same precision a chocolatiere plans for VDay. When it comes to Super Bowl Sunday – do we have our playbook down pat? “The Super Bowl is one of the biggest snacking days of the year,” says U.S. FritoLay spokesman Jared Dougherty. He also lists Memorial Day and July Fourth as other contenders. Other product categories leading a recent ACNielsen report on Super Bowl statistics were beer ($17.9 million sales increase), cola and other carbonated beverages (up $13.2 million), frozen pizza (up $7.3 million). Consumers are likely attracted to the ease and cost of frozen pizza. They can cook it at their convenience at a lower perceived cost. Perhaps offering a few specially priced
F
topped uncooked pizzas on a par baked crust in the days leading up to Super Bowl would help capture some of this business for your foodservice operation? The numbers support the popularity of this segment, sales of Kraft Foods’ frozen pizza brands, including DiGiorno, Tombstone, and California Pizza Kitchen, spike about 25 per cent each year in the weeks leading up to the game. Henry Balzer of the NPD Group reminds us that some finger foods popular on Super Bowl Sunday are healthy too. “The true money on Super Bowl Sunday is in vegetables,” Balzer says. “You think everybody is watching the game, but [there are some] 210 million people in the country (U.S.) who aren’t watching it. They’re going to eat a Sunday meal, and that meal will almost definitely include a vegetable.” The NPD Group’s study of the most common food on American dinner tables (or TV trays) over the past five Super Bowl Sundays ranked vegetables highest, present at 29 per cent of meals, followed by potatoes (23 per cent), salads (14 per
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Game day (Super Bowl Sunday) is the busiest day of the year for many pizzerias.
cent), and sandwiches (13 per cent). Take some of those raw vegetables in your inventory and create a special Super Bowl veggie platter to go with your pizza offering. In Canada it’s estimated that about one Canadian households in six watches the big game on TV. Party gatherings are commonplace and will be even more so in 2009 as slower economic conditions make entertaining at home a cost-effective way to spend time with friends. Having a take-out/delivery program in place will be imperative and your marketing strategy will need to ensure that you start promoting your features and delivery service by about mid January. To promote your take out/delivery service, place ads in the sports section of your local paper and print some stickers for pizza boxes delivered during the month of January. Pizza Pizza Canada’s media centre showcases a nice “post game” analysis of this blessed event. “Super Bowl Sunday is our busiest Sunday of the year, in terms of pizza sales and deliveries,” said
Pat Finelli, vice-president of marketing for Pizza Pizza, Canada’s leading pizza-maker for slices sold. “The week of Super Bowl, our sales figures go up by about 6 per cent over an average week. At peak time, our call centre answers in excess of 150 calls per minute.” A poll also conducted by Pizza Pizza reveals that pizza is by far the favourite food fare for Super Bowl parties. In a survey of 1006 people conducted from Jan. 11 to Jan. 22, 2007, 81 per cent of respondents cited pizza as their favourite food followed by chicken wings at 9 per cent. Nachos garnered a modest 6 per cent of the votes. The findings closely match Pizza Pizza’s own sales performance for Super Bowl Sunday. On game day, the company typically sells over 40,000 pizzas and more than 150,000 wings. The most popular ingredients for the football feast are, in order of preference: pepperoni, green peppers, mushrooms, bacon and red onions. Since the Super Bowl itself is fertile
ground for those who love statistics, here are a few more courtesy of Pizza Pizza’s media centre: The pizzas they serve on Super Bowl Sunday represent a combined total of three tons of pepperoni slices and more than nine tons of mozzarella cheese. This equals enough slices to stretch the length of a football field and enough cheese to exceed the combined weight of each team’s 11-player starting lineup on the field. As the big game draws closer and the two top teams are revealed – why not create pizzas designed to represent each of the teams. Last year’s match-up between the New York Giants and the New England Patriots could have inspired a traditional thin crispy handtossed crust with pepperonis and light sauce (New York) versus a “Miami” style pie topped with salsa and spicy chicken. Why not have your own “team” get into the fun by wearing football shirts during the two weeks leading up to the game. It’ll prompt lots of questions from patrons. It also may just help you make it to the end zone. •
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DECEMBER 2008 pizza 19
guest column
Give feedback, get performance Jay Forte
e have all seen the Olympic gymnasts, American Idol contestants or other competitors anxiously wait for the scores from the judges. We watch our parents’ faces when we stand on elementary school stages or at recitals. We look for information returned from customer satisfaction surveys. Feedback – we watch for it, we want it. Whether it is good or bad, we always want information about how we are doing. We use this information to determine how to respond or what to do next. Feedback is one of the most powerful tools a manager has to influence performance. Employees now have a greater role in developing strong customer relationships that inspire loyalty and performance. Therefore, employees need to have the best skills, use sound judgment and feel competent in their jobs. To do this, they must always be learning, thinking and improving. They need information about the quality of their decisions, and to know if they are making good decisions. That means managers must be watching to catch employees doing great things and then provide positive feedback to sustain the performance. They also must watch to catch problems as they occur, to use the teachable moment to help the employee improve and develop stronger skills in order to respond better next time. Feedback is the way to guide, coach and educate employees to improve or sustain performance. Effective performance feedback has rules to ensure its effectiveness because, done poorly, it can do damage to the manager/employee relationship. Employees don’t want to be told what to do or to be scolded. They want meaningful information to help them improve. Following
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Feedback is a great way to guide, coach and educate employees to improve performance.
the feedback process below guarantees all feedback (for both great and problem events) will focus on behaviours and performance. Review the following five steps: STEP 1: START WITH A “COOKIE” (A POSITIVE COMMENT) No one likes to hear about something that needs improving with a strong statement. Feedback is about people, behaviours and emotions. So start each performance feedback with a positive comment, something that shows respect and understanding of who the person is and wins the employee into the discussion. STEP 2: DESCRIBE THE CURRENT BEHAVIOURS AND SITUATIONS (GIVE GREAT DETAILS) Describe what is currently happening, the behaviour that you want to reinforce or redirect and the specific situations where you observed the behaviour needing feedback. Be specific, brief and direct. Remember, the goal is to change behaviour that needs changing or encourage good behaviour to continue.
STEP 3: DESCRIBE IMPACT AND CONSEQUENCES (FIND THE “HOOK” OR THE “ATTENTION-GETTER” FOR THE FEEDBACK RECIPIENT) Describe the impact and consequences of the current behaviour, noting the effect the behaviour had on results, customers or employees. Be specific and quantify details. The more detailed and accurate the information, the more meaningful the feedback will be. Realize that no adult changes his behaviour unless he sees a personal reason to change. The impact in this case should not only deal with the organization, but should also be a personal hook for the employee (or feedback recipient). STEP 4: CREATE A PLAN TO CONTINUE GREAT BEHAVIOURS OR CHANGE NEGATIVE BEHAVIOURS (LET THEM HAVE A VOICE IN THE RESPONSE) Work with the employee to suggest options that would improve a negative event or keep a good event going; be sure that the employee has a voice in the process; the more the employee
Continued on page 25
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the pizza chef
Diana Coutu
ears ago my husband and I were lost. We had gone through a financially painful separation from a franchiser that never finalized into a legitimate franchise, but we bore the brunt of it. It was our fault, we shouldn’t have trusted these individuals, and had we done our due diligence, we would have seen them for what they were. Sometimes you can get so caught up in a dream, that you miss the red flags of reality. We consulted a couple of lawyers who each said, yeah sure you got a case, but do you have up to $20,000 and up to 2 years to see it through? AND, more importantly, do they have any money if you win? Knowing there was neither we had to walk away. But mentally, we couldn’t let it go, and went back and forth from anger to wallowing for too long. We were each working between 70-80 hours a week in store, on the floor, never mind running errands and picking up food and supplies on our ‘day off’. HA! Some day off. We were burning out and our sales were slumping. Debt was accumulating daily. We were living off of credit cards. Looking back, it was one of the worst things that we could have done. But when you’re in that kind of situation and your only focus is survival, you can rarely see options. We had been hit with a deadly blow and we weren’t recovering. It wasn’t long before we developed a ‘poverty mentality’. We were angry, disgruntled and knocked out. Our dream had become a living nightmare. I used to joke that I could see the light at the end of the tunnel, but most days I thought that it was a train heading 100 miles an hour for us. We put our failing store up for sale.
There’s a light at the end of the tunnel and it’s not a train
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22 pizza DECEMBER 2008
Though it may seem far off, there is a light at the end of most tunnels, and an effective business coach may be able to help you reach your goals.
But who in their right mind wants to buy a failing pizzeria? We got a few tire kickers, but no offers we could live with. We tried saving money everywhere we could, and we put in even more hours on the floor. I seriously contemplated getting a second job, but with little time or energy left, it was ruled out. Burning the candle at both ends, it wasn’t long before we were at our wits end. Anyone out there who is in business with their spouse (or close family member) knows full well that you can’t leave work at work – especially when things aren’t going well. This was the kind of stress that’s often fatal to marriages, partnerships and lifelong friendships. Through it all I knew in my heart of hearts that there was a bigger reason for all of it. I knew that we were supposed
to learn from this hardship, realize what was truly important in our lives. I knew that things could change for the better, if only we kept at it. But if you’re on the wrong track, it doesn’t matter how long you stay on it, or even if you run at full speed, you’ll never reach your desired destination. Plus you’ll hate the journey and it’ll wear you down rather than rev you up. I got very sick of it all. I was willing to do just about anything. Then one day I found a mentor. I found the better track. I read books, and luckily the more credible experts I studied, the more I got it, and did it, and things changed. My husband and I identified that we weren’t appropriately named so we changed our name and raised our prices. A business coach helped to steer me to a better path, to the path that I
wanted to walk. He showed me that the you’re in a tunnel, if you know in your path to lead me to all my dreams has been heart that your life wasn’t meant to be there all along. I just couldn’t see it. We this way, then perhaps you too will benjoined a mastermind group. Through this efit from a coach. You only have to decide mastermind group, we’ve were exposed to right now that you’re going to change your better ways of thinking, easier ways of get- life, and then follow through with help ting things done. We network with some from people who will keep you on your of the brightest restaurant marketing right track. People who have walked the minds in North America. path and can show you In a small group you truly from experience. All the have the mastermind prinbest athletes have great Before I hired a coaches, even when they ciple at work. And a good business coach will work business coach I weren’t at the top of their very hard to keep you up game, why not business didn’t have a life. people too? on the latest information and then help you figure Truth is, before I hired out how to use it. They’ll a business coach I didn’t send you stuff or show have a life. I had a job that you something and say ‘I think you barely paid me. I didn’t have time to come should know about this, give it a try’. up with award winning recipes because It’s not rocket science, but it does help my creativity was stifled. If you had come you find the answers to your life’s big into my life eight years ago and told me questions. If you’re tired of working so that in five years I’d need to expand into many hours without rest, if you feel like a bigger location, and I’d be representing
Canada competing internationally, travelling all over the world, coaching other pizzeria owners and franchising my own concept, I would have told you to stop sniffing the model glue. It wasn’t that I didn’t want all that in my life, it was that I didn’t think it was possible from where I was standing. Thank goodness I hired a business coach who helped open my eyes to possibilities and showed me the road to success. As it turns out, there was a light at the end of the tunnel and it wasn’t a train. • Diana Coutu is a two-time Canadian Pizza Magazine chef of the year champion, internationally recognized gourmet pizzaiolo and co-owner of Diana’s Gourmet Pizzeria in Winnipeg, Man. In addition to creating award-winning recipes, Diana is also a consultant to other independent pizzeria owner/operators in menu development, creating systems to run a pizzeria on autopilot, along with marketing and positioning to help operators grow their business effectively and strategically. She is available for consulting on a limited basis, for more information contact her at Diana@dianasgourmetpizzeria.ca.
DECEMBER 2008 pizza 23
guest column FORTE Continued from page 20 invents their responses, the more they own the results. STEP 5: END WITH A “COOKIE” (POSITIVE COMMENT) Regardless of the nature of the performance feedback (positive or negative), employees will process the message better when the performance feedback event both starts and ends on a positive and personal tone. Be sure to reassure the employee of the value of the discussion in the feedback. It sets the stage for an open and honest relationship and dialog about performance. The best way to see the impact of this process is to see an example. Let’s say your employee Jean was not very helpful to a customer on the phone. You heard the event and now must provide feedback for Jean to improve her understanding, confidence and performance: STEP 1: COOKIE Jean, you have some of the best customer service skills in the industry. Our customers are always very impressed with our service levels when they deal with you. STEP 2: DESCRIBE THE CURRENT BEHAVIOURS AND SITUATIONS Jean, I heard you on the phone with Stanton Company. You were short with them, told them to call back when they knew the part numbers they wanted and hung up without saying thank you. Did I hear this correctly? (Give Jean an opportunity to respond). STEP 3: DESCRIBE THE IMPACT AND CONSEQUENCES Jean, Stanton is one of our largest and best customers. They continually send other customers to us and if we do not treat them with our best and most supportive service, they will not refer others to us. They were critical in helping us achieve our profit targets, which resulted in bonuses for everyone on the team – including yours. Our relationship with them is critical to our success.
STEP 4: IDENTIFY ALTERNATIVE BEHAVIOURS Jean, what do you think you should do with Stanton right now? (Allow Jean to offer ideas and to own the solution). Great Jean, I like that idea, please get right on it. Mostly remember how important the relationship is with each of our customers. They call us because we know what we are doing and we treat them better than anyone else … it is how we do business. STEP 5: COOKIE Jean, you are an important part of the great service this team gives our customers. Thanks for making the difference that you do; please keep doing your best to help us be the best in the industry. Thanks. Feedback is not a process for the manager to vent. Feedback is a learning event that focuses on particular behaviours that need to be sustained or improved. Though this approach is more “human,” it does not coddle employees. It defines
expectations and holds employees accountable. This process insures that the employee is treated fairly, learns and is responsible for her actions. Feedback is one of the most significant tools that managers have to help guide, coach and instruct employees to continually grow, make extra effort and improve performance. Managers catch employees doing great things and applaud them. Managers catch employee performance problems and use them to improve performance and win employees back. Employees want feedback; be sure to provide the right kind of feedback that builds their skills, confidence and commitment to perform at their best. • Jay Forte is a speaker, consultant and nationally ranked thought leader. He applies years of research, along with his training as a CPA, working with organizations that want to successfully activate and inspire exceptional employee performance. Renowned for producing results, Jay’s first book “Fire Up Your Employees and Smoke Your Competition” is due January, 2009. For information on keynotes, speaking, consulting or to see the daily “BLOGucation,” visit: www.humanetricsllc.com or www.FireUpYourEmployees.com or call: 401-338-3505.
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PAZZO RISTORANTE, BAR AND PIZZERIA Continued from page 12
Things get equally crazy in September when most of the seasonal staff return to school with two months still remaining in the theatre year. “We all end up doing a lot of double shifts and extra days when the seasonal people leave all at once,” smiles Jeff. Jeff is philosophical about what it takes to work in an environment that puts so much stress on systems and staff, day in and day out, during the festival season. “We have a really good staff,” he says, “and working through those fast turnover seatings is something that everyone should experience, it can actually teach you to become a better person.” These rapid turnovers are happening all over town during the high season and competition for the dining dollar continues to increase. “Still,” says Jeff, “if you stay consistent in what you are doing, then you don’t need to worry about competition.”
The key to food at Pazzo’s is “simple and fresh.”
At a time when theatre ticket sales have been in decline, Pazzo’s has increased its sales by 30 per cent over the last three years. Jeff and Larry plan to refurbish the interior this winter, giving the place a fresh new look and they also plan to reorganize and renovate the downstairs kitchen, which has not seen any improvements in eleven years despite the large increase in the number of pizzas and other menu items coming out its doors. Pazzo’s started doing take-out last winter and that part of the business is growing. The restaurant offers a 15 per cent discount on these orders. “Stratford has a vibrant and viable downtown,” says Jeff, “unlike many other small towns in Ontario, and people will always want to eat out.” With Ontario now teetering on a recession, Jeff and Larry remain optimistic. A stronger American dollar will help in the upcoming season, lower gas prices may stimulate tourism and a growing local clientele are all factors that could balance higher cheese and labour costs. And just as Jeff says, getting through these challenges can always make you a better person. •
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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 1-905547-3107.
THE OVEN THAT CONSERVES ENERGY... Middleby Marshall’s PS 200 Direct Gas Fired Conveyor Ovens. Middleby’s ovens provide very efficient heat transfer to products. Energy is conserved as air is recycled from heater to product, with minimum flue or vent loss. For details Call Middelby Marshall 1-905-696-8252.
Advertisers' Index Company
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Abaro Group . . . . . . . . . . . . . . . . . . . . .28 Burke . . . . . . . . . . . . . . . . . . . . . . . . . .IBC CRFA Show . . . . . . . . . . . . . . . . . . . . . .21 Crown Custom Cookware . . . . . . . . . . . .9 Dacon International Gourmet . . . . . . . .27 Doyon . . . . . . . . . . . . . . . . . . . . . . . . . .28 Dutchess Bakers . . . . . . . . . . . . . . . . . .25 Hot Bag . . . . . . . . . . . . . . . . . . . . . . . . .27 Middleby Marshall . . . . . . . . . . . . . . . . . .5 Northern Pizza Equipment . . . . . . . . . .27 On Trend . . . . . . . . . . . . . . . . . . . . . . . .27 Prince Foods . . . . . . . . . . . . . . . . . . . . .27 Red Light Equipment . . . . . . . . . . . . . .27 Richardson Foods . . . . . . . . . . . . . . . . .13 RJ McDougall Associates . . . . . . . . . . .28 Salerno . . . . . . . . . . . . . . . . . . . . . . . . .19 Saputo . . . . . . . . . . . . . . . . . . . . . . . .OBC Speedline POS Systems . . . . . . . . . . . .27 Springer’s Meats . . . . . . . . . . . . . . . . . .19 Thunderbird Machinery . . . . . . . . . . . . .23 Viau . . . . . . . . . . . . . . . . . . . . . . . . . . . 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.
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pizza on fire
Planning to succeed Tom Stankiewicz
his is one argument that you it or not, he was actually looking out for will always win: having a good your best interest ensuring you knew what business plan is vital for anyone you were getting into. Just by looking at who’s starting a business. It will help how many businesses close in their first you in more than one way and keep you year of operation, it looks like having a focused on your goals. We all know a good business plan might not be such a few fortunate people who seem to turn bad idea. After all, it is created to help to gold anything they touch. All of their you; not for somebody else’s benefit. business ideas become successful and it Some of you may wonder then, what seems that nothing will ever turn against is a good business plan? Does it have to them. However, the reality is that most be 50 pages long? Do I need every detail of us are not that lucky and we have to about the business included in it? Well, put a lot of thought and planning into the answer is not a simple yes or no. It making our businesses successful. will depend on your organizational and The best advice that anyone can give planning skills, your ability to remember you and, in fact, the one that you will hear every detail that needs to be covered, and more often than not is to plan ahead. It even your personality. So for some of us a is a must not to only start business plan could be as a business but to keep it long as two pages, while running for as long as you for others it will need to In order to want it. It is okay to take be 10 in order to serve its be successful risks but make sure you purpose. The important have a sound plan to go thing to remember is that you have to along with it. It will not there is no sense having a continually only help you sleep betplan that you can’t follow ter at night but it will also or have problems underplan. keep you on track when standing. Since it is your things get a bit hectic. And plan, it has to make sense all of us who have some to you before you can experience already know that things can present it to anyone else for review and/ get crazy for sure. or feedback. Most of us remember the day we met What else can you do to succeed besides with a small business advisor at a bank have a business plan? Well, how about to ask about credit options in order to pur- doing some research about the industry chase or open a business. An experienced you plan to join. Ask yourself if there is and competent advisor would have asked opportunity for growth or is the indusabout the business and its nature. Most try slowly diminishing? What is being importantly you would have heard a offered out there, what has worked well question: What is your business plan? I’m in the past, what might be changed, what sure some of us out there were taken by will be your new and fresh perspective? surprise because all we wanted was some These are important things you should cash to start a business not talk about a know about before you decide to open business plan. Whether you agree with a business. And who are the best people
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A simple action such as placing an order for supplies is in fact planning ahead.
to ask for information? That would be all of us who have years of experience running our pizza stores. Simply put, sometimes you need to hear it from the horse’s mouth. Let’s not forget though that the planning process does not stop once the business is opened. In order to be successful you have to continually plan. The good thing is that most of us do it everyday, it becomes part of running the business and we don’t even think about it because it just comes naturally. A simple action such as placing an order for supplies is in fact planning ahead and when you think about it for a minute you know that your business wouldn’t survive without it. Planning for successful business does not have to be a separate task that you put on your to-do list and worry later on how to complete it. It’s the everyday tasks that you already do anyway. For example, scheduling your staff, getting ready for busy weekends or preparing for a big catering order. Just think about the upcoming Christmas holidays. I’m sure all of us are already planning for that busy time of the year, even if it’s just additional advertising. From my own experience, my advice is to plan, plan, and plan ahead. It will make your life easier and your business more successful. •
Your reputation, and ours, is in every pizza. It’s what keeps your customers coming back. Burke fully cooked meats are the key ingredients for consistent success, flavor, appearance, convenience and safety.
When you make it with Burke, you always make it your best.
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