Research & News

We are excited to welcome Rob Ury to the Beta team as Senior Vice President. Rob is among the best in the business with extensive knowledge in both brand and owner representation. His dedication and passion for the real estate industry has allowed Rob the opportunity to collaborate with best-in-class brands and owners throughout his career.Rob has worked with a number of notable brands, including Adidas, Sephora, Uniqlo, sweetgreen, CorePower Yoga, Buffalo Wild Wings, Five Guys Burgers and Fries, Blaze Fast Fire’d Pizza, Mendocino Farms Sandwich Market, Sonos, La Colombe Coffee Roasters, Bonobos, Oakley, Nothing Bundt Cakes, Asics, Flywheel Sports, J. Jill, Kriser’s Natural Pet, Mitchell Gold + Bob Williams, OneWest Bank, Pei Wei Asian Diner, and Veggie Grill. Rob’s ownership clients have included ASB Real Estate Investments, CIM Group, Federal Realty Investment Trust, Rockwood Capital, Simms Commercial Development, Topa Management Company and West Coast Investors, along with several individual owners and family trusts.Mr. Ury is a top producer with over 14 years of commercial real estate experience and has completed more than 275 lease transactions during his career.

We are thrilled to add Rob to the Beta team.

‍View Rob’s Full Bio

We as a nation have faced health crises before, and while the duration of the effects of Covid-19 are still unknown, our society will hopefully return to a level of normalcy with the development of a vaccine. During different times such as these, all businesses, especially restaurants, must adapt and overcome the various challenges they face. These challenges include but are not limited to the need for an increased online presence, proper safety measures, minimized in-person dining, and menu adaptation. Adjusting to the above challenges are difficult for any restaurant owner, but to stay afloat, they must also prepare for a return to normalcy. In the following paragraphs, I will outline five ways that restaurants and new concepts can be successful in a post-Covid -19 world.

‍Create a Menu Around Customer Needs

‍With 21 million Americans unemployed, individuals are going to conserve funds and choose what they purchase with higher specificity. According to a TD Ameritradesurvey, 64% of Americans said they are only going to order from the restaurant of their choice if they feel that the meal is reasonably priced and adjusted to the reality of times. I think that revising prices will be an excellent way for restaurants to rebuild their customer base and sales numbers in the post-Covid-19 world. According to a new study by Simon-Kucher and Partners on restaurant dynamics post-Covid-19, customers’ latest value drivers are price and number of healthy options available.

* The above bar graph displays restaurant value drivers in a post-Covid-19 worldThis public health crisis has made millions of Americans re-evaluate what they eat, the ingredients used, and its effect on overall dietary health. With customers’ needs shifting, restaurants and new concepts have to create menus that are cost-friendly and taste-oriented through the use of organic ingredients.‍

Use Creativity to Build Stability

‍After an extended period in quarantine, customer’s habits have changed drastically. They have become used to ordering to-go, cooking meals at home, and not sitting within dining rooms at their favorite eateries. As society returns to a level of normalcy, I don’t foresee all customers immediately reverting to pre-Covid ways. I think that restaurants have to use creativity and think outside the box to build a steady customer base once again. One way that restaurants can add new customers and revenue streams is through DIY boxes of popular dishes. What this entails is a well-designed box that represents the restaurant’s style and approach to food. Included would be all the necessary ingredients and recipe instructions, to cook dishes to restaurant-quality perfection. Restaurants can also develop an iOS application that allows customers to view tutorials and chef secrets to making their favorite dishes. Combining these two ideas will provide a sub-category for consumers who are tired of online ordering but don’t want to go through the process of making a meal from scratch.

‍Streamline the Delivery Process

‍Throughout the pandemic, restaurants have experienced a broad level of instability shaped by state mandates. This has forced owners to shift a large portion of their business to online delivery or in-store pick-up, ultimately accelerating the percentage of online orders through third-party delivery services. The consequence of an increased rate of online orders is an overstressed kitchen, lower profit margins, and uncontrollable food quality. To combat these issues, restaurants can develop several initiatives, including kitchen segmentation and an advanced pick-up system. Kitchen segmentation would divide the kitchen into two parts, creating a workspace and team that focuses exclusively on delivery. This would reduce stress on the head chef, which in turn could have a positive effect on food quality and taste. Another option that helps reduce the burden of online orders is the creation of a Ghost Kitchen. While GhostKitchens are a reasonably new concept, they can help reduce kitchen overload while simultaneously expanding the delivery radius. To control the quality of food, restaurants can help reduce the time it takes for delivery drivers to obtain the meals physically. This can be done through a separate hostess and organizational system near the front of the restaurant.

‍Expand on Initiative’s Created During Covid-19

‍A recent survey by OpenTable, a provider of online restaurant reservations, has counted a tenfold increase in outdoor seating this spring compared with a year ago. Once a vaccine is developed, and people are entirely comfortable eating out again, restaurants should not revert to the traditional in-dining room experience. For restaurants that have the ability to, there needs to be a hybrid initiative that allows customers to choose between eating inside or at a custom patio area. In addition, restaurants need to provide greater ambiance for customers who decide to eat outdoors. This can be done through several ideas that can already be seen in restaurants across Los Angeles and New York City. These initiatives include private outdoor cabanas, string lighting, painted murals of the dining room, and even astroturf. The outside seating area should also reflect the restaurant’s design cues and stylistic approach. Hopefully, these improved dining initiatives will assist restaurants in providing a sublime atmosphere while building a new customer base.

‍Develop Permanent Safety Protocols

‍Even with the development of a vaccine, a portion of consumers are still going to be wary about shopping and eating in a retail setting. To make nervous consumers feel safe and protected, restaurants must have safety measures in place to reduce the risk of transmitting viral diseases. To do this, they can implement virtual menus, provide hand sanitizing stations, and invest in air-purification systems. Through a safety-first type of approach, restaurants will be able to rebuild trust amongst consumers.

‍Closing Argument

‍The early stages of covid-19 were chaotic for all restaurant owners, forcing them to adapt overnight to new state restrictions and customer’s perspectives. Many restaurants and concepts were unable to make such sudden shifts in the ways that they operate. Once a vaccine is developed, I foresee restaurants having to alter their business models once again and quickly too. Restaurant owners must realize that preparation is key to being successful in the new normal. The ideas that I have outlined above aim to help restaurants rebuild their customer base and differentiate themselves based on new consumer dynamics. As a “foodie” I hope for the best for the restaurant industry, and I yearn for the day when I can enjoy my favorite dishes inside dining rooms once again.Author: Connor Wohl, Beta Summer Intern 2020

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‍Sources:

1. https://www.mckinsey.com/industries/retail/our-insights/how-restaurants-can-thrive-in-the-next-normal#
2. https://www.qsrmagazine.com/consumer-trends/restaurants-greatest-competition-post-covid-19-home-cooked-meals
3. https://stories.starbucks.com/uploads/2020/06/Letter-from-Kevin-Johnson-and-Pat-Grismer-2020.pdf

4. https://www.nytimes.com/2020/08/04/dining/nyc-restaurant-news.html
5. https://www.nytimes.com/2020/06/16/business/coronavirus-restaurants-outdoor-seating.html
6. https://www.fsrmagazine.com/expert-takes/restaurant-future-20-premises-simplification-and-evolution-dine
7. https://www.timeout.com/miami/news/buy-these-diy-meal-kits-and-cook-your-favorite-miami-restaurant-meal-at-home-032720
8. https://la.eater.com/2020/4/16/21223106/los-angeles-omakase-sushi-restaurants-coronavirus-bento-box

The global pandemic has shifted the retail landscape drastically and is forcing retailers to get creative to produce events and concepts that make people feel safe while still providing some sense of community and normalcy. We understand that things may never go back to how they were pre-pandemic and the new normal is the reality. Retailers must adapt and pivot to stay relevant and use this chance to capitalize on their brand positioning to continue engaging with their target audience. Below are several examples from best-in-class innovators that are leading the charge during these uncertain times: The Barber Truck – is LA’s first mobile barber truck founded by celebrity Stylist Jason Schneidman. The creation of the truck actually dates back to two years ago when Jason and his team found a 24-foot Morgan Olson sitting unloved at a Ford dealership. They immediately saw its potential and completely renovated the truck to bring it back to life, but with a twist from Jason and his team. It now features three chairs indoors and up to three chairs outdoors, a 55” TV and incredible interior/exterior design. The Barber Truck offers expert hair services including haircuts, cleanups, blowouts and more. For now, you can find the truck at Summer Social Club, a socially safe summer festival outside of Employee’s Only in West Hollywood. Irvine Improv – Fans of comedy can now experience live comedy like never before, thanks to the folks at the Improv. The company has taken the stage outdoors to the top of the Regal Parking Deck at Irvine Spectrum to continue bringing laughs to audiences in a socially distanced setting. The concept is similar to a drive-in theater, except it’s a live performance that’s projected onto a 50-foot screen. The bigger the screen, the more fun it is, right? Floating Cinema – Beyond Cinema Australia is bringing the first of its kind cinema experience to a body of water near you. Having already successfully launched the venture in Paris, the Australian company is bringing the experience to multiple cities in the US this September. Each show will be made up of 12 to 24 mini boats that can each hold up to eight people. The event requires that each group has to rent the entire boat in order to guarantee safety, regardless of party size. This means that you get to be the king of the boat and have the ultimate VIP experience, perfect for an intimate date night or a fun night with the whole family.

We are entering a new evolutionary stage of retail, in which big companies will get bigger, many mom-and-pop dreams will burst, chains will proliferate and flatten the idiosyncrasies of many neighborhoods, more economic activity will flow into e-commerce, and restaurants will undergo a transformation unlike anything the industry has experienced since the Prohibition era[1]. What will the future hold? No one quite has the answer yet. Perhaps 2020 is the wakeup call that we all needed to work towards a better future for all. As we have seen with the examples above, there are creative ways for brands to continue connecting with their audience while having a good time doing so.[1] The Pandemic will Change American Retail Forever:

‍https://www.theatlantic.com/ideas/archive/2020/04/how-pandemic-will-change-face-retail/610738/