Week of Sept. 14, 2009

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TheWhat’sOnReport Gets a Facelift to Serve You Better
After 12 years, we present to you today a new look for TheWhat’sOnReport, our weekly subscription news service for foodservice and hospitality executives. Incredibly, the familiar old look has served our readers well despite having been created originally as a fax service before the Internet era took off. In fact, it was only some four years ago that we eliminated distribution by fax when the percentage of readers who preferred fax delivery to internet fell to one third of our subscribers. The document is now presented in an easier-to-read PDF format, providing our readers a better quality screen and print image. These changes are also in keeping with important improvements to our corporate websites to be introduced later this month. We also plan to include additional features in TheWhat’sOnReport in the weeks and months ahead.Our purpose, every week for the past 12 years, has been to provide you with one easy-to-scan-and-read document that gives you all of the week’s industry news, in one place. We hope you enjoy the changes! Tell us what you think. E-mail: [email protected].

Mr. Greek Waives $35,000 Franchise Fee as Competition Prize
An initial franchise fee (valued at $35,000) has been offered by Mr.Greek Restaurants Ltd., North York, Ont., on its website and at the Mr. Greek booth at last week’s National Franchise & Business Opportunities Show, held September 12 to 13 at the International Centre in Toronto. To enter the competition, a completed application form and an essay (500 words or less) on why the applicant deserves the franchise had to be submitted at Mr.Greek’s booth by 5 p.m. yesterday, Sunday, or online by 11:59 p.m. Five finalists will be chosen from among all eligible applicants. Each finalist will be assigned a Mr. Greek Express location from which they will compete with one another by performing a specific challenge. All finalists will be given the same challenge, which is designed to assess the finalists’ business acumen, creativity and productivity. The finalist who completes the challenge with the most successful outcome (based on one or more specific measurable quantitative parameters to be disclosed at the start of the challenge) will be declared the potential prize winner and may be eligible to have the initial franchise fee waived on a Mr. Greek franchise, subject to the potential winner’s satisfaction of all franchisee and competition eligibility requirements and final approval by Mr. Greek as a franchisee in due course. Official rules and regulations are posted on the Mr. Greek website.

McDonald’s Canada Expands Renovation Program – Tests 72 McCafes
McDonald’s Canada’s multi-faceted “Plan toWin” program has seen the “re-imaging” of some 350 of its 1,400 outlets across the country through extensive renovations. (See September 8, TheWhat’sOnReport, McDonald’s Canada Customer Count up by 15 Million – 2009 Sales to Reach $3B.) John Betts, president of McDonald’s Restaurants of Canada, reports that over the next several years 500 to 600 additional units will be upgraded. Another part of the program
includes testing 72McCafe concept restaurants in Eastern Canada, offering gourmet coffees such as cappuccino and lattes, fruit smoothies, hot chocolate and premium teas as well as muffins, scones and more. Some analysts have speculated that this is part of a direct strategy to challenge Starbucks; however, John Betts said there’s no plan yet to extend the concept at this time. “We have so much more regular coffee that we can sell — it’s not a priority of mine,” Betts said.

Manitoba Restaurant Turns Away H1N1 Sick Person, Faces Human Rights Charges
The Seven Sisters Motel and Restaurant, Seven Sisters Falls, Man., faces a human rights charge for refusing service to customers because one of them was sick with H1N1 flu. The incident occurred on July 2 when trucker Floyd Carlson was asked to leave the restaurant because his wife, Roberta, was sick. Roberta had been ill since June 15, and following the restaurant incident, she was admitted to the Health Sciences Centre in Winnipeg for treatment where she was placed on a ventilator. “I don’t remember any of it,” she said. “I was in a coma.” She was discharged on August 5. Roberta believes she caught H1N1 several days before getting ill while visiting with friends who had returned from Mexico. Her husband filed the complaint against the restaurant with the Manitoba Human Rights Commission. Tina Lehman of Seven Sisters Motel and Restaurant has apologized to Carlson, but added that she stands by her decision. “I’ve got nothing to hide,” she told Canwest News Services. “I just thought I was making the right decision. There are a lot of people in this town who agree with me.”

A&W Awards 12-Unit Multi- Site Agreement in Ontario
A&W Food Services of Canada Inc., North Vancouver, B.C., has awarded its first-ever multi-site new restaurant development agreement in Ontario to existing franchisees Upinder Dhanoa and Sandy Gill. The agreement is for 12 new A&Ws in the Hamilton, Burlington and Milton regions of Ontario over the next five years. The company also plans to do amulti-site deal in Quebec later this year. A&W is Canada’s second largest hamburger chain having exceeded 700 locations earlier this year. A&W currently operates more than 140 locations in Ontario, both free-standing units and in conjunction with major franchise partner Petro-Canada.

Smoke’s Poutinerie Restaurant Goes Mobile
Smoke’s Poutinerie, which serves authentic Quebec poutine in a quick-serve environment in downtown Toronto, is undertaking rapid expansion. Owner Ryan Smolkin, whose initial location opened late last year, will open two more Toronto locations — one this month and one in November — and this past weekend launched Smoke’s Poutinerie on Wheels, a 25-foot-long mobile food truck. His colourful customized truck, introduced through a series of Twitter messages to clients and media, was prominently featured with a photo in the Toronto Star. The vehicle is equipped with two industrial deep fryers, a steamer, two fridge/freezers and counter space. “I’ve been really low key on it,” the paper quoted Smolkin as saying. “But it’s…a true mobile food truck, and I’ll be taking it places randomly around the city — private and public.”He says that the poutine truck is a “mobile promotional tool” and is an extension of Smolkin’s restaurant business licence. The truck can serve food at public and private events, but it can’t set up at a fixed location. Smolkin hopes to create a “fleet” of trucks to add to his growing group of restaurants. He is also looking for restaurant franchisees in various Ontario locations.

Banff’s Photo- Crashing Squirrel Big Win for Tourism
Since a Banff, Alta., squirrel wandered in front of a visitor’s camera lens a few weeks ago and was photographed, more than 82 million impressions in over 70 countries have been created on TV, in print and online. Banff Lake Louise Tourism (BLLT), who estimated the impressions, has quickly turned the Internet sensation, which was posted online by the couple who took the photo, into a marketing tool for Banff National Park. “Two years ago we launched an integrated
social media program including the weekly Real Banff video report, a blog, Facebook page and Twitter profile,” said Julie Canning, BLLT president and CEO. “When the ‘Crasher Squirrel’ literally popped out of nowhere, our social media team was ready and able to quickly take advantage of the opportunity.” (Click here to see the precocious squirrel on You Tube)

U.S. Fast-Food Industry Successful in Selling Quality – BrandIndex
U.S. consumers are favouring fast-food restaurants not only because of the tough economy, but also because the fast-food industry is successfully selling customers on the quality of its food, according to the international consumer perception research firm BrandIndex, New York, N.Y. It points out that the industry has recently been focusing much of its advertising on the quality of its food instead of the old strategy, which focused on value, convenience and fun. BrandIndex surveyed 5,000 U.S. consumers every weekday on the Internet, selected from a panel of over a million survey participants across the country. The study tracked consumer opinions of McDonald’s, Burger King, Wendy’s, Carl’s Jr. and Hardee’s. Wendy’s was ranked highest in quality of food, value, satisfaction and reputation. BrandIndex’s Ted Marzilli, senior vice-president and global managing director, told Nation’s Restaurant News, “McDonald’s and Burger King have taken the brunt of the backlash at times among different government or consumer groups saying fast food contributes to obesity.Wendy’s, being the number three player, escapes that spotlight, and it also has a history of differentiating itself from [other quick-service restaurants].”

Brian Emmerton is CAFP’s New National President
Brian Emmerton is the new two-year-term president of the Canadian Association of Foodservice Professionals (CAFP). Emmerton, a member of the Toronto Branch of CAFP since 1990, is a registered dietitian, credentialed foodservice executive and vice-president of Operations for Complete Purchasing Services Inc., Toronto, Ont.

Businesses Selling Alcohol Face New Scrutiny in Calgary

New licence applications and renewals for businesses serving alcohol in Calgary will now face scrutiny by several city departments including bylaw, police and business licensing to “weed out the handful of bars that cause problems.”Commenting on the one-year test program, bylaw head Bill Bruce said, “Let’s not blanket penalties on everybody — let’s focus on the problems.” He added that the city has received good co-operation from industry.

McDonald’s August Global Sales Slow to 2.2 Per cent Rise

McDonald’s Corp., Oakbrook, Ill, has reported a gain of 2.2% in global sales in August, the smallest monthly gain in more than a year. U.S. sales were up 1.7%; Europe was up 3.5%; and Asia/Pacific, Middle East and Africa down 0.5%. Same store sales (SSS) rose 1.7% in the U.S.; 3.5% in Europe; and Asia Pacific, Middle East and Africa regions declined 0.5%. In the U.S., Angus Third Pounders and McCafe espresso-based coffees were strong sellers, the company said. CEO Jim Skinner commented, “We will continue to drive the business forward and build market share by executing our customer-centric Plan toWin.”

Ontario Chefs Contend with Tasteless Tomatoes

Ontario residents have been complaining about the lacklustre summer, but local chefs have been contending with the fallout as well. Cloudy days have led to a shortage of succulent tomatoes and sweet corn, causing a problem in the city’s kitchens, where chefs rely on local produce. According to the Toronto Star, chef Michael Steh of reds bistro & wine bar, has resorted to adding lobster stock to tomato soup to boost the flavour profile and Cowbell co-owner and chef Mark Cutrara was forced to cancel a special harvest dinner when there was nothing worthy to plate. “Sunshine is the gold for horticulture. It brings us the sweet flavours associated with southern Ontario produce. It’s the sun that creates that chemistry,” David Phillips, senior climatologist from Environment Canada told the newspaper. Luckily the news isn’t all gloomy, leafy green vegetables have flourished in the cloudy weather, and the apple harvest looks promising.

Chipotle Mexican Grill Launches Free iPhone App
Chipotle Mexican Grill, Denver, Colo., has released a simple ordering application for iPhone and iPod Touch users which is available from the Apple App Store. Customers with the app can now order Chipotle burritos with the touch of a finger. This free mobile application gives users the ability to create and pay for their Chipotle order while on-the-go, direct from their device. Customers can place multi-item orders under a single name, save favourite Chipotle meals online, as well as those of friends, family or co-workers. Chipotle Mexican Grill opened its first international location at Toronto Life Square in August 2008.

Coast to Open Re-flagged Hotel in Whistler
Vancouver-based Coast Hotels & Resorts has signed an agreement with OHR Springs Management Ltd. to rebrand the 186-roomall-suite, condo-style hotel Residence Inn byMarriott inWhistler, B.C. as the Coast Blackcomb Suites atWhistler, effective December 15. The six-floor, ski-in, ski-out lodge-style hotel situated on the slopes of Blackcomb Mountain is managed by O’Neill Hotels&Resorts Ltd. “Ever since Coast Hotels & Resorts left Whistler two years ago, we’ve been looking for a suitable property that would allow us to re-enter this highly sought-after market,” said Graeme Barrit, president of Coast Hotels & Resorts. “The addition of this prestigious hotel to our portfolio gives Coast Hotels & Resorts a much stronger presence in the Victoria/Vancouver/Whistler tourism triangle. The addition of the Whistler hotel will also complement our other snow resort properties in Sun Peaks and Revelstoke.” O’Neill Hotels & Resorts Chairman Robert O’Neill commented, “With the 2010 Olympic and Paralympics Games coming to Whistler in less than six months, there couldn’t have been a better time to move forward with the re-flagging of this world-class property.” The property offers a range of accommodation including luxuriously appointed studio suites to one and two-bedroom units all containing fully equipped kitchens, gas fireplaces and balconies.With the addition of theWhistler property, Coast Hotels & Resorts will have added 14 properties to the chain’s portfolio over the last four years. It has 42 hotels with 5,703 rooms in Canada and the U.S.

New Brazilian Grill Sizzles in Niagara Falls
A new Brazilian steakhouse has opened in the Hilton Hotel and Suites in Niagara Falls, Ont.. At Brasa Brazilian Steakhouse andWine Bar, steaks are cooked churrasco-style over an open range by a grill master from Brazil and served by Brazilian gaúchos. “This isn’t your traditional North American barbecue. This is a unique taste of South America, served up in Niagara Falls by one of Brazil’s Grill Masters, just in time to celebrate Brazilian Independence Day,” said Anthony Annunziata, vice-president of Marketing and Development, Hilton Hotel and Suites. Under the guidance of Ricardo Zanona and dressed in traditional Brazilian attire, Brasa’s gaúchos will serve guests 12 cuts of fire-roasted beef, pork, lamb and chicken at tableside. Salads and fresh grilled vegetables are offered on a buffet, while traditional Brazilian hot sides including, fried polenta and Brazilian cheese bread are served family-style. Diners employ a two-sided disk that gives them control over the pace of their meal — the green side signals gaúchos to bring more meat to the table and the red side requests a stop or resting point.“With Brasa, every detail is 100 per cent authentic Brazilian,” Annunziata noted.

St. Louis Bar and Grill Hands Over Hot New Wheels

Last Thursday, the Toronto-based St. Louis Bar and Grill restaurant chain presented its first annual Hot Snaps Contest grand prize — a new Mercedes-Benz smart car — to contest winner Anthony Cremonese of Richmond Hill, Ont.. Owners Manu Gupta and Amit Seth of the St. Louis Atrium location in downtown Toronto were on hand, as was Brent Poulton, president of St. Louis Bar and Grill and Mark McCorey, a Molson representative and contest partner. “This is the biggest campaign we have run to date, and it has been a phenomenal success,” said Phil Leach, director of Franchise Operations. “Our goal is to make this an annual event that our guests will always look forward to.” This was the first time St. Louis has given away a smart car, and the company looks to grow the new campaign every year.

CAFP Toronto Branch Meets September 21
The Canadian Association of Foodservice Professionals (CAFP), Toronto Branch will hold its next meeting on Monday, September 21, at the International Centre in Toronto. The event will feature an overview of Eggs in Canada with guest presenters Bernadette Cox, manager of Corporate and Public Affairs, and Bonnie Cohen, manager of Marketing and Nutrition Programs, Egg Farmers of Canada, Ottawa, Ont..

MUFSO, October 4 to 7, Dallas

The 50th annual Multi-Unit Foodservice Operators Conference (MUFSO), sponsored by Nation’s Restaurant News, will be held October 4 to 7 at the Hilton Anatole Hotel in Dallas.With the theme, MUFSO: The Next 50…Are You Ready?, the event will feature an all-new expanded educational program, with more than 20 sessions featuring successful leaders from foodservice and other industries sharing best practices and proven solutions. For information, call 212-756-5201.

Accor Appoints New HR Head
Dallas-based Accor North America has appointed Sherry Vidal-Brown as executive vice-president, Human Resources, for Accor North America. Prior to joining Accor North America,Vidal-Brown held senior positions at DFW International Airport, FedEx-Kinko’s, American Airlines and Personnel Decisions International. Vidal-Brown was also recognized by the Dallas Business Journal in 2009 as one of the “Top 25 Women toWatch” in Dallas as part of the publication’s  annual Women in Business Awards in 2009.

NRA/Ecolab Partner for Free H1N1 Webinar, September 16

A free one-hour National Restaurant Association (NRA) webinar dealing with the H1N1 flu and the foodservice industry will take place at 2 p.m. (EST) on Wednesday, Sept. 16. A Spanish language version follows on the next day. The English language presenters are: Dan Roehl; Public Affairs Specialist, NRA; and Dr. Bruce R. Cords, vice-president, Environment, Food Safety and Public Health, Ecolab. In partnership with Ecolab, the purpose of this webinar is to help educate NRA members on how to protect their employees and guests and minimize risks associated with the H1N1 flu pandemic.

A Couple of Chicks Ranked 38th in Profit Hot 50 Report
A Couple of Chicks e-Marketing has been ranked number 38 in the 10th annual Profit Hot 50 report in Profit magazine. The Profit: Your Guide to Business Success survey ranks young firms by two-year revenue growth. Co-founded by Patricia Brusha and Alicia Whalen, the internet marketing firm specializes in digital marketing services that include web strategy development, search marketing and search-engine optimization.

Four Seasons Launches Online Travel Magazine
A new, online monthly travel magazine was launched last week by Four Seasons Hotels & Resorts, Toronto, Ont. The new website is an extension of the recently redesigned Four Seasons Magazine, and is available quarterly in Four Seasons guest rooms around the world and by subscription. Both versions are designed to “offer readers insights into journeys of discovery from Four Seasons’ unique perspective,” said Susan Helstab, executive vice-president, Marketing. “We believe the onlinemagazine will create another layer in the strong relationships we have with our guests, giving them access to information as rich and relevant as the recommendations they get from our insiders at the concierge or front desk,” she added.

Federal Government Commits $75M to Improve Food Safety
The Government of Canada is making a $75-million investment to strengthen Canada’s food safety system. This new investment is in addition to the government’s 2008 commitment of $113 million for food safety. Announced last Friday by Agriculture Minister Gerry Ritz and Health Minister Leona Aglukkaq, the improvements include: hiring 166 new food safety staff of which 70 will focus on ready-to-eat-meat facilities; provide 24/7 availability of health risk-assessment
teams to improve support to food safety investigations; improve tracking of potential foodborne illness outbreaks through a national surveillance system; initiate a third-party audit to make sure Canada’s food inspection system has the right resources dedicated to the right priorities. Other objectives include improve coordination among federal and provincial departments and agencies and improve communications to vulnerable populations before and during a foodborne illness
outbreak. The plans also call for improved detection methods for Listeria monocytogenes and other hazards in food to reduce testing time and enable more rapid response during food safety investigations, as well as expanding the government’s ability to do additional Listeria testing.

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