HOTREC MANIFESTO FOR EUROPEAN PARLIAMENT ELECTIONS 2014

HOTREC, the Brussels based organisation representing the hotel, restaurant and bar/café sector recently published a manifesto addressed to candidates in the European Parliament elections in 2014. It hopes to persuade the next set of EU parliamentarians to 'put tourism at the centre of European economic policy'.

Such an initiative, on the surface at least, sounds great, as tourism industry groups have been behind the curve in shaping the policy agenda. As a close observer of European tourism policy, I was naturally keen to see what HOTREC had to say.
The manifesto contains 16 demands which HOTREC highlights as 'priorities of the European hospitality sector' for 2014-2019.
These include...in it's own words;

• Accessibility - consider the burdens on SME's
• Copyright -  clear regulation of the audio-visual sector
• Cut red tape - reduce the administrative burden of enterprises
• Data protection - no extra burdens for SME's
• Distribution channels - ensure fair competition in online distribution
• Easier access to funds for SME's
• Food in restaurants  - ensure the use of fresh food is still possible
• Official controls in restaurants- no mandatory inspection fee
• Package travel - do no impair hotel bookings
• Payment cards - interchange fees must come down 
• Private accommodation - level the playing field for all participants in tourism businesses
• Smarter regulation - self-regulation should be promoted
• Social affairs - do not undermine job creation
• Subsidiarity must prevail
• VAT rates - maintain reduced rates for tourism
• Visa policy - facilitate the entrance of tourists to Europe

So it seems to me, that these demands are really just a 'wish list' of what hotels and restaurants want for their own individual businesses, rather than a justification for putting tourism at the centre of European economic policy.
While there is nothing wrong with this per se, this manifesto is, in my opinion, a lost opportunity.
If HOTREC is genuinely serious about elevating tourism's role within the EU, I would have expected a document outlining how tourism could contribute to the goals of the Europe 2020 strategy. It could also have taken advantage of the European Parliament's excellent resolution on tourism in 2011, to champion the strategic priorities for the sector. These include organisational structure, co-operation, research, innovation, technology, sustainability, training, entrepreneurship and funding. Such an approach would, I believe, certainly make future parliamentarians sit up and take notice.
A fairly obvious question which arises out of this then, is which organisation in Europe actually speaks on behalf of tourism to EU legislators?
Despite a plethora of interest groups, it is clear to me that there is no 'one voice' to speak for the sector at EU level. This leaves institutional representatives unsure how best to assist the sector and, as a result, other sectors get priority when political and policy decisions are made.
The HOTREC manifesto is unfortunately, yet another example, where the interest groups in tourism form a choir of soloists, where everyone sings their own song and where as a result, no one get heard.

POSITIVE NEWS FOR TOURISM IN BUDGET 2014

The highlight of Budget 2014 from a tourism perspective, is the retention of the 9% vat rate.

This rate was originally  introduced in July 2011. It applies to a wide range of operations including restaurant and catering services, hotel and holiday accommodation, cinemas, theatres, museums, fairgrounds, amusement parks, sporting facilities, hairdressing, and printed matter such as brochures, maps, programmes and newspapers. These services were previously subject to 13.5% vat.

Congratulations to Adrian Cummins, CEO, Restaurants Association of Ireland and his team for leading this initiative and running a super campaign.

The abolition of the €3 air travel tax from April 1st next year is also welcome news. This will reduce visitor access costs and enhance our competitiveness in international markets.

REPORT HIGHLIGHTS CONTRIBUTION OF FOOD TO IRISH TOURISM AND EXPORT GROWTH

Good Food Ireland (GFI) continues its excellent work in a new report highlighting the importance of food to Irish tourism. I absolutely agree that food is central to the visitor experience. For example, overseas visitors to Ireland spend more money on food and drink (36%) than on any other item. By comparison, visitors spend 28% of their money on bed & board, 17% on shopping, 11% on internal  transport, 6% on sightseeing/entertainment and 3% on miscellaneous services.

This report makes a valuable contribution in highlighting the economic value of small producers and operators to the Irish economy.  It estimates that GFI's members contribute €50 million  through their purchases of Irish food.
However, one of the findings which really surprised me, was that 'there is simply not enough funding for long-term investment in R&D'. I think the real issue, is not that there isn't enough funding, it is that respondants don't know it's there.  €641 million was allocated to the Agri-Food Research Programme within the Science, Technology and Innovation Fund 2007-2013. The good news, is that a further €80 billion has been allocated for research and innovation in the EU's next multi-annual finanical framework 2014-2020. Perhaps funding agencies need to find a better way to communicate what's on offer, particularly to SME's.  

TIPS FROM SIMPLY ZESTY SOCIAL MEDIA

Last week I joined a group of fellow hospitality and tourism lecturers from across the country in Galway to learn about developments in social media.
Despite my best efforts, it can be hard to keep up with what's happening online. Sometimes the only option is to purchase reports from companies like PhoCusWright or attend events such as the Travel Distribution Summit. The only problem with both options is that they are very expensive and beyond current budgets.
So I was glad to get a update from Niall Harbison, someone who knows this business inside out. Niall is the co-founder of Simply Zesty, an online PR and social media agency whose clients include Vodafone, Sony, Nokia and Dublin Tourism.
One of the things that Niall spoke about was the power of the 'group deal', a concept which is taking off in the online world. Essentially, a group deal is a type of pre-paid coupon, offering services or products at a steep discount. The idea is that a company sets the price, the conditions of the deal, and agrees a threshold the distribution company has to meet before it can actually sell the deal. Just one hugely discounted deal is offered every day.  Groupon is the big player in the States and Boardsdeals has started doing something similiar here. Recently, Shelbourne Park greyhound stadium sold 1,039 deals (a night at the dogs for two for €13) and the Village Café Rathmines sold 502 deals (a three course dinner for two plus wine for €35). Hotels, bars and spas are also getting in on the act with similiar offers. While it's great to be able to generate this volume of business, the challenge is to ensure that customers who buy these 'deals' are not treated less favourably than might otherwise be the case.
By the way, if you're interested in the ' Five fundamental trends that will shape social media in 2011' take a look at Niall's post here. Thanks to Paul Murphy in Fáilte Ireland for organising the event.

DINE IN DUBLIN 18th-24th OCTOBER

The Dine In Dublin Restaurant week launched by Dublin City Business Improvement District (BID) last year is an excellent concept. It is designed to increase footfall, raise the profile of restaurants and increase spend in the city. From October 18-24, three course menus are on offer each evening at €25 or €30 per person at venues across the city. Given the importance of the restaurant sector to the commercial well being of the city, this event has great potential for growth. Fortunately, we only need to look across the water to get some ideas!

London also launched a Restaurant Festival last year. While this event has very similiar objectives to the Dine in Dublin week, the range of activities on offer are much broader. Festival menus are a minimum of two courses and offered within the following price tiers -

• Under £10
• £10-£15
• £16-£25
• Over £25

Menus are offered at lunch and/or dinner.

In addition, opportunities are provided to participate in a range of festival events such as dine on the London Eye, go on a food safari, take part in a gourmet trail, enjoy a mobile pop-up food experience, attend a big food debate, celebrate an awards evening and more.....this year's Festival runs from October 4-18.

The price points are particularly attractive and provide something for every budget while the events create lots of opportunity to generate positive publicity for the restaurant sector.

We would do well to take a closer look.

CLIFF HOUSE HOTEL & MICHELIN STARS

The Cliff House Hotel, Ardmore, Co. Waterford, is a new entry in the Michelin Guide, Great Britain & Ireland 2010. It received a coveted 'One Star' from the toughest critics in the business. This is a stunning achievement for a property which opened just two years ago. I have been fortunate to visit and know it is very well deserved. Michelin stars are a big deal. Restaurant guests tend to place more trust in them as a mark of quality than in any other guide. So what does Michelin look for? Well, most people are confused and really have no idea. Surprisingly, a lot of what customers consider to be really important is NOT taken into account - warmth of welcome, general ambience, service level, customer experience and the quality of facilities & equipment.

The only criteria Michelin use in awarding a Star are -

• Quality of ingredients
• Skill in preparing them and in combining flavours
• Level of creativity
• Consistency of culinary standards
• Value for money

It then classifies restaurants on a three star rating system -

• One Star - 'A very good restaurant in its own category, a good place to stop on your journey'
• Two Stars - 'Excellent cooking, worth a detour, with specialities and wines of first-class quality'
• Three Stars - 'Exceptional cuisine, worth a special journey, where diners eat extremely well, often superbly'

So, what matters to Michelin inspectors is what's on the plate, nothing else! And that's where many chefs get confused.

For chefs, a Michelin star is the ultimate acolade, a culinary Oscar! However, many young chefs mistakingly think they should be cooking for stars rather than for customers and profit. They ought to be encouraged to think otherwise. I don't know if people remember the media fuss when Mint in Ranelagh won its star in 2008? Unfortunately, it closed its doors a year later.

RESTAURANTS ASSOCIATION OF IRELAND PRE -BUDGET SUBMISSION

The Restaurants Association of Ireland (RAI) launched its pre-budget submission on Monday last (16/11). It warned that 1 in 3 restaurants face closure in the next 6 months. It identified that over 80% of Irish Restaurants are running at a loss, putting 21,000 jobs at risk. In terms of costs, it said that Irish restaurateurs pay the highest catering wage rates in Europe, has the highest excise duty on wines in Europe and that Irish food cost inputs are 24% above the European average. Many of the recommendations in its 10 point survival plan make sense....recoverablity of VAT on corporate dining, reduction in excise duty, prioritisation of a 'food tourism' strategy, investment in training to be offset against employers PRSI and a reduction in local authority charges. While the submission was primarily for Dept of Finance officials to mull over, the associated media coverage painted the sector yet again in a negative light. How about a campaign to encourage people to 'Support Your Local Restaurant'? Naturally the packaging needs to be attractive. Take a look at Green 19 in Camden Street. While it may not be for everyone, the offering is very much in tune with the times.

'DINE IN DUBLIN' WEEK, OCTOBER 12-18TH

Not one but two Dine in Dublin weeks in 2009! The first one was in April & the second is only days away. Participating restaurants will offer Special Value Menus from 7pm. On the one hand, The Dublin City Business Improvement District deserve a lot of credit for taking the initiative to promote this idea. On the other, it's disappointing to see that many participating restaurants have no mention of it on their own websites! London is also having an inaugural Food Festival this year! London Restaurant Festival is on next week (8-13 Oct). I particularly like the pricing options on offer: Lunch £10 Dinner £15, Lunch £15 Dinner £25 or Lunch £25 Dinner £40. Might just be worth having a look at for 'Dine in Dublin' 2010!

A WEEK OF AWARDS - HOTEL & CATERING REVIEW GOLD MEDAL & GOOD FOOD IRELAND

I was at the Shelbourne Hotel on Monday evening last for the Hotel & Catering Review Gold Medal Awards. It was an excellent event and makes one realise the superb quality that is available across the hospitality sector in Ireland. Dunbrody Country House & Restaurant won the Supreme Award. I was delighted to see The Europe Hotel & Resort in Killarney win the 5* Award. Michael Brennan gave me a tour of the property in August & it looks fantastic after its €100 million makeover. A fellow Killarney property, Killeen House Hotel won the inaugural 'Customer Experience' Award. Owners Geraldine & Michael Rosney run a superb operation and are worthy winners. On Tuesday night at the K-Club, Good Food Ireland announced its 2009 winners. Peter Ward & Maurice Keller were joint winners of the Person of the Year Award while Rathmullan House won the Top Overall Member Award. I was also glad to see my former colleague, Catherine Fulvio, proprietor of the Ballyknocken House & Cookery School win the Regional Member East Award.

GREAT VALUE IRISH HOTEL PRICES

Hotels.com released its Hotel Price Index (HPI) today covering the period January-June 2009. The HPI tracks the real prices paid per hotel room rather than advertised rates. It finds Ireland was the least expensive country in western Europe for hotel rooms between January & June this year. The average price was €80. This is no surprise to me. Irish hotels have been offering superb value in recent times although this has never been properly communicated to the general public. The media has been allowed to shape the agenda and create the misleading impression that all our prices were way out of line. There is still some work to be done on the food & beverage side. In July, the French government reduced vat rates in restaurants and cafés from 19.6% to 5.5%! So for starters, how about ordering a cut in excise duty on wine and a reduction in vat on food?

BEST PLACES TO WORK IN HOSPITALITY

In the UK, Caterer & Hotelkeeper's awards for Best Places to Work in Hospitality 2009 were announced yesterday. The awards celebrate outstanding employment practices in the hospitality sector and the list includes Red Carnation Hotels Abode Hotels Michael Caines Restaurants The Peach Pub Company Q Hotels I was also delighted to see the InterContinental Hotel, Park Lane, London, receive an 'Excellence in Training' Award. Kirsten Ferguson gave me a tour of the hotel last year following its £76 million makeover. With 447 bedrooms, Theo Randall at The InterContinental and the very innovative Cookbook Café, it is a superb property.

THE €65 DINNER MENU

This summer, I was struck by the number of resort hotels offering four course 'table d'Hote' menus at a fixed price of €65. Eating habits are changing. People are more aware of their calorie intake and its impact on their health. Yet this does not seem to be reflected in the offering. The €65 price is not particularly attractive either! So I was interested in an article 'Restaurants shrink their servings and prices as diners think small' from The Times last Saturday. It seems some restaurants in the UK are beginning to reflect this trend with 'petits plats', 'grazing menus' and 'shared platters'. I wonder if perhaps we might we see a change here next summer?

JOLA'S RESTAURANT KINSALE

There are not too many restaurants out there who understand the importance of creating an environment that people actually want to spend time in! Too often, the lighting is inappropriate, the decor is bland and the tables are too close together. Get this right, add in great food, great service, value for money and you're on to a winner. Jola's in Kinsale is such a place. If you're nearby and want a romantic evening, a celebration dinner or have someone to entertain, I highly recommend it.

THE MILKING PARLOUR AT BALLYMALOE COOKERY SCHOOL

As interest in cooking continues to increase, Ballymaloe Cookery School continues to innovate. Darina Allen told me recently that the finishing touches are been put to a new milking parlour! It's neat, just room for three cows. Students can learn to milk and then, in an adjoining space, use the milk to produce cheese and yoghurt. How clever!

VAT IN FRENCH RESTAURANTS & CAFÉS REDUCED FROM 19.6% TO 5.5%

In a sign of the times, the French government has shown imagination and reduced VAT in all restaurants and cafés throughout France effective from today (1/7/09). The rate falls from 19.6% to 5.5%. The VAT rate applied to restaurants in Ireland is 13.5%. Duty levied on a bottle of wine here is €2.98 inc vat, the highest in the EU.

MATCHING MENUS & WINE LISTS

Meuns and wine lists are often presented to guests as the equivalent of a 'blind date'! They might be a good match or they might not. Guests often see wines on a list they do not recognise. But in my experience, waiters do not know how to describe and sell these wines! What about Perhaps menus should be presented with suggested wines as appropriate I suggest that consideration should be given to writing lists so that it indicates which wines go best with specific dishes. Remember, customers love informed advice and they tend to act on it. I know I do! rather than should compliment the other.

UNION SQUARE CAFÉ SPRING/SUMMER NEWSLETTER 2009

There is a good reason why readers of the superb Zagat guide consistently choose Union Square Café as New York's most popular restaurant. From my own perspective, it delivers a really enjoyable experience in a professional yet relaxed environment. Now that times have got even tougher, Danny Meyer's Spring/Summer newsletter is a real tonic. For those of you looking for some hope and inspiration, I suggest it's worth clicking on the following link!

LONDON ON TAP - DUBLIN SHOULD FOLLOW!

Following a trip to New York some months ago, I was struck by a question asked at almost every restaurant I visited. 'Would you like iced water or bottled water'? The expectation, on environmental grounds, was that you would order filtered iced water. Save all that plastic and needless transportation! What a nice question to ask diners rather than the usual one 'still or sparkling'? Now London is following the New York lead. London On Tap is an exciting initiative led by the Mayor of London and Thames Water to promote London's drinking water through its restaurants, bars and hotels. Great concept Boris! Now there's an idea for next year when Dublin's first directly elected Lord Mayor will be chosen!

WHAT WOMEN WANT IN RESTAURANTS

Why are some restaurants often buzzing while others are less so? It's generally a combination of great service, food and value. However, I think that 'ambience' is also very important. I regularly eat in places where the tables are poorly positioned, the music is too loud and the lighting inappropriate. Kate Muir wrote a very interesting piece in The Times Magazine some months ago. She stated that 'women care about the lighting and decoration first, then check that the food is OK-ish. For women, restaurants are places to relax, talk and then eat, whereas for men they are just troughs'. Consider the spots that are busy at present. I think Kate might have a point!

SETTING The TABLE WITH DANNY MEYER

It's almost two years ago since I first read Danny Meyer's book Setting The Table. It's superb, the best book on hospitality and running a business I have come across. Danny is the boss of Union Square Hospitality Group, one of the foremost restaurant companies in the US. If you are a hospitality manager or aspire to be one, this book is a must read!