Cheers

Cheers - November 2015

Cheers is dedicated to delivering hospitality professionals the information, insights and data necessary to drive their beverage business by covering trends and innovations in operations, merchandising, service and training.

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www.cheersonline.com 6 • November/December 2015 FIRST SIP THE TIPPING POINT TIPPING HAS COME UNDER FIRE in recent weeks, particularly since Danny Meyer's Union Square Hospitality Group announced in October that it will eliminate the practice from its 13 restaurants. The New York-based company was scheduled to debut the new tip-free system in November at The Modern, and roll it out to its other concepts, which include Union Square Cafe and Gramercy Tavern, during the next year. How? USHG is raising its prices and will put the additional revenue towards paying its employees more. Why? A letter Meyer on the USHG website explains that by eliminating the gratuities, "We will now have the ability to compensate all of our employees equitably, competitively, and professionally. And by eliminating tipping, our employees who want to grow fi nancially and professionally will be able to earn those opportunities based on the merit of their work." Rising labor costs fueled by minimum wage increases have prompted many operators to rethink the restaurant compensation model. The arguments for a no-tipping policy are compelling: it provides steadier wages for waitstaff, helps eliminate unfairness and discrimination and lessens the pay gap between the front- and back-of-house workers, among other benefi ts. But restaurants worry that guests will be put off by higher prices or balk over a service charge—even if the check amount is the same in the end. And waitstaff bringing in the most tips aren't likely to eagerly embrace a set wage. The system is due for an overhaul, but tipping is so ingrained in the U.S. culture that it's going to take time to change that mindset—for customers, operators and employees. Now that a respected and infl uential industry fi gure like Meyer has made such a bold move, others may be more inclined to follow suit. We wrap up our 25th year with an issue packed with strategies to help you improve your beverage program, service and sales. These include updates on imported whiskey (page 16), holiday cocktail trends (page 26), cider pairings (page 32), and tips for holding holiday events (page 36), plus our cover story on Champagne and sparking wine. We've also identifi ed the top 20 beverage alcohol launches of the past 25 years (page 20). It wasn't easy to narrow them down, considering all the product releases just in the past fi ve years. Check out the timeline with the article to get a sense of how many have hit the market since 1990—it's quite impressive. Cheers! Melissa Dowling Editor Cheers November/December 2015 / Vol. 26 No. 9 Editor Melissa Dowling 203-855-8499 ext. 2223 mdowling@epgmediallc.com Associate Editor Kyle Swartz 203-855-8499 ext. 2225 kswartz@epgmediallc.com Managing Art Director Dodi Vessels dvessels@epgmediallc.com Production Director Cherri Perschmann 763-383-4425 cperschmann@epgmediallc.com Contributing Editors Kelly Magyarics, Jack Robertiello Thomas Henry Strenk Senior Regional Sales Managers Bruce Kostic 203-855-8499 ext. 2215 bkostic@epgmediallc.com Mark Marcon 248-761-6231 mmarcon@epgmediallc.com Debbie Rittenberg 215-431-8787 drittenberg@epgmediallc.com List Rental MeritDirect, Jim Scova jscova@MeritDirect.com 914-368-1012 Reprints Robin Cooper rcooper@epgmediallc.com Cheers ® is published by EPG Media & Specialty Information Editorial offices at 17 High Street, 2nd Floor Norwalk, CT 06851 Tel: 203-855-8499 • Fax: 203-855-9446 CEO Marion Minor Sr VP/Audience Development Joanne Juda-Prainito Sr VP/Finance & Operations Gerald Winkel VP/Beverage Group Amy Collins Cheers (ISSN 1051-564X—USP Number 007-239) is published nine times per year (January/February, March, April, May, June, July/August, September, October, November/December) by EPG Media & Specialty Information, 17 High Street, Norwalk, CT 06851. Periodical Rate Postage paid at Norwalk, CT and additional mailing offices. POSTMASTER: Send address changes to Cheers, P.O. Box 2123, Skokie, IL 60076-7823 SUBSCRIPTIONS: One-year subscription rates: USA $35.00; Canada $50.00; air mail to other countries $75.00. All subscriptions payable in U.S. dollars. Payment must accompany order. To subscribe write: Cheers, P.O. Box 2123, Skokie, IL 60076-7823, or call the Cheers customer service line at 847-763-9565, Fax 847-763-9569, M-F 8 a.m. to 4:30 p.m. CST. Subscription customer service e-mail: cheers@ halldata.com. Copyright 2013 by EPG Media & Specialty Information, 17 High Street, Norwalk, CT 06851. Reproduction without the express written consent of the publisher is prohibited. EPG Media & Specialty Information, publishes Cheers, Beverage Dynamics, StateWays, Wine & Spirits Industry Marketing, Handbook Advance, Liquor Handbook, Wine Handbook, Beer Handbook and Fact Book.

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