Industry Q&A: The Food Factor

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Industry Q&A: The Food Factor Industry insiders discuss the growing importance of gaming destination foodservice operations July 9, 2018 As Canadian gaming facilities continue to expand their amenities and customer-service options, food and beverage offerings have taken on an increasingly important role in casinos across the country. Canadian Gaming Business recently asked senior F&B executives from leading Canadian gaming facilities about the growing importance of food and beverage in the customer experience. Here is what they had to say… Participants: Andrei Kun, Vice President, Resort Operations, Niagara Casinos Jon McCartney, RSE, Regional Manager, Corporate Food & Beverage, Western Canada, Gateway Casinos Joseph Moore, Director, Food and Beverage, Caesars Windsor What are some of the biggest challenges facing casinos and gaming organizations when it comes to food and beverage amenities and how is your organization positioning itself to best deal with these challenges? Andrei Kun: The landscape of food and beverage has seen tremendous changes which are requiring unique solutions. With increases in competition, in both quantity of restaurants and quality of service, there is a shortage of culinary labour across Canada. We are continuously looking at ways to offer unique solutions and create greater incentives for joining our team. Additionally, to compete with the growth of the restaurant industry over recent years, we must have unique and exclusive offerings that will set us apart. At Niagara Casinos, we are always looking for the opportunity to showcase new and innovative solutions that push the limits. This allows us to stay ahead of the curve and continue to create the “wow” experience that customers will always remember and return for. Jon McCartney: Our ultimate goal is to meet or exceed every guest’s expectations during each visit. The challenge can be perceived value (or lack thereof). With so many entertainment and dining options competing for consumers discretionary funds, expectations are very high when they do decide to open their wallets and disappointing experiences are seldom tolerated. Gateway has invested and will continue to invest in their facilities, quality offerings and most importantly their people. The food and beverage industry traditionally has higher turnover in comparison to gaming operations, so investing in recruitment, training and retention efforts is key to delivering consistent and excellent customer experiences. Joseph Moore: One of the biggest challenges facing food and beverage in casinos is the ability to be profitable. There is an ongoing struggle to define the actual purpose of F&B operations: Are they an amenity or are they revenue-generating services to be profitable? This is a true balancing act we face daily. To meet these challenges, you have to ensure you are listening to the customer to ensure you are providing the products they are looking for and at the level of service they expect. As trends change we do our utmost to adapt to the changes while maintaining the service levels expected of our brand. To be successful the entire team needs to understand standards and guest expectations and to consistently provide it each and every time. Where do you see the greatest growth opportunities for F&B operations in casinos in 2018 and beyond? AK: Consumer demands for health-conscious and sustainable dining options at casinos are often not met. This is an area that we have been making headway in several different ways. We have added features to menus that include locally sourced food and beverage options, realistic portion sizes and options for a variety of dietary needs. This past year we began a journey with OceanWise to offer sustainable seafood choices in several of our restaurants. Options like these show our customers that we are dedicated to providing the best possible experience. JMc: Breaking the stigma that Canadian casinos are not great options for dining, outside of “fueling stations.” Staying ahead of and even setting the trends will be paramount to establishing an individual identity for our F&B offerings. Instead of being food that is served at the casino, we need to be amazing food that happens to only be available at the casino JM: The future growth opportunities are with the non-gaming customer who comes for the entertainment factor. By providing new experiences — whether being the place to try all things local or just the place to see or be seen, and doing this with quality products and service — not only will this market grow, it will bring new customers with them. Experiences need to be more organic in nature and not come across as overbearing. This will migrate naturally into the staple offerings within the casino footprint.
How must gaming organizations continue to evolve in order to address the ever-changing F&B needs and preferences of customers along with changing demographics? AK: In our ever-changing and fast-paced world, it is often difficult to not only stay with the trend, but to be ahead of it. Consumers today expect to get the information they need with a few clicks and are more informed about dining options and offerings. At Niagara Casinos, we cater to a wide spectrum of demographics and ethnicities and we have over 10 dining options to meet the needs of our customers. But, the one thing that will always set us apart is being located in a region known for exceptional wine and dining options. The Niagara Region is one of the biggest competitive advantages that we have and integrating local food and beverages into our offerings is crucial. This allows us to cater to our customers while offering a truly Niagara experience. JMc: Embracing technology will be the key to staying relevant with the light and casual demographic. Understanding and evolving with technology has the potential to keep you at the forefront of trends that are developing in our industry. Some examples that reach beyond the obvious (social media) are portable hand-held devices to speed up the order taking process or smart kitchen equipment like wifi-enabled combi ovens or automatic slicing machines. JM: To appeal to Millennials, the one thing all experts say is not to market directly to them; they are not interested in prepackaged approach. They are a very social generation and want to experience as much as they can in all they do. Attracting ethnic groups for banquets and catering functions is a great market to get into. It is a market that requires the property to fully understand and be able provide what that demographic is looking for and requires, not what the property thinks they want. Authenticity is crucial to have longevity with any specialty market. What general F&B trends can casino operators leverage to increase traffic to both their foodservice operations and the gaming floor? AK: It always comes back to quality; you must deliver an all-around excellent experience. Offering easy-to-use offers, providing remarkable service, great atmosphere and mouthwatering meals leave our customers satisfied. We are focusing on food and beverage offerings that are natural, local, health conscious, and cater to specific dietary needs. Additionally, by integrating technology into our restaurants through iPad menus and online booking we are striving to create easy and enjoyable consumer experiences. No matter what the trend is, providing outstanding and engaging experiences will continue to create happy customers, extended stays and repeat visits. JMc: If you listen to the customers they will indicate what trends are important to them. For example, the past few years people have become more educated about what they are putting in their bodies. Gluten free, vegan diets and other health-focused trends are influencing people’s entertainment destination preferences. It can be difficult to be everything to everyone, but ensuring that we have options that are not going to exclude certain groups is essential to attracting individuals into our facilities, and allowing them to enjoy the entire entertainment experience. JM: Loyalty programs are a proven tool to attract and maintain customers whether it is at a F&B operation in a casino or standalone location. Attracting new business and increasing enrollments is top of mind for many operations and leveraging food and beverage to draw new customers to the property works well (i.e., sign up for loyalty program and receive a free buffet). Offering this type of incentive to a guest to join the property’s loyalty program not only increases the database but introduces the new guest to other amenities that they might not have otherwise visited.
Why is it important to offer a diversity of F&B options (i.e. fine dining vs. casual) and how do these various options fit in to your organization’s current operations? AK: A diverse group of customers walk through our doors each day, therefore our food and beverage options must also be diverse. We cater to various ethnicities and age groups with varying amounts of disposable income. Each customer needs to feel welcomed and have options that suit their needs and desires. To achieve this we have dining options that range from buffets and delis to lounge and four-diamond restaurant experiences. There is an option for everyone. JMc: The more diversified your facility’s dining offerings are, the larger your reach can be. There is a possibility that a guest is looking for a night out with an elegant sit-down dinner one night and the next day that very same guest is looking for a quick bite to eat on their lunch break. If we have offerings that cater to those needs we have an opportunity to attract guests like this to our property and then provide them with some additional entertainment offerings on our gaming floor. JM: The F&B options to be successful have to meet the needs and wants of the diverse customer base. Different options are considered by the customers for different occasions. For example, some customers only eat in “fine dining outlets” while others treat those outlets as a place for celebration. Other customers want the ability to grab a quick bite and go back to the floor or perhaps enjoy a break in the buffet where they can select the food they want at their own pace before going back to the floor. Having a diverse offering does not necessarily mean multiple outlets; it can be diverse menu offerings or different offerings based on time of day. How can other non-gaming amenities be combined with F&B operations to create a more satisfying casino destination experience for customers? AK: What we have created when someone steps foot into Fallsview Casino Resort is truly a unique experience. As a full-service resort we offer not only gaming and award-winning dining options, but also big name entertainment shows, shopping, spa, hotel and more. Our food and beverage teams take these non-dining experiences to the next level by providing services such as beverage service on the gaming floor, menu options in The Spa, and room service. In addition to these great offerings, we are incredibly lucky to be located overlooking the beautiful Niagara Falls. Partnerships with local tourism in combination with our full-service resort create an all-encompassing Niagara Falls destination experience that continues to drive people back to the region and the casino. JMc: Anything that can generate some fun and excitement has the ability to contribute to the positive energy in our facilities. Wherever possible we create outdoor and patio dining spaces to further enhance the guest experience. We attempt to leverage experiences within our food and beverage operations such as sports viewing clubs that have fun contests with prizes that enable individuals to enjoy their experience in a group setting. JM: Casino customers come for an experience and want to it to be seamless. The amenities need to appeal to the gaming and non-gaming customer alike. The gaming customer wants to enjoy a total experience and the non-gaming customer travelling with the gaming customer wants to also enjoy an experience, and when they do the gaming customer are more inclined to play more. Amenities need to provide quality products and service to give the sense of value to gaming customers.

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