Restaurant Responses to COVID-19

Restaurant Responses to COVID-19 In-Market Examples FROM WEEK OF 4.12.20 Classified - Confidential Intro & Core Themes With the foodservice industry shifting to off-premise, we are seeing tremendous creativity and innovation in the market, as restaurants find new ways to continue to drive their off-premise business. We have collected examples of these great ideas across different channels and the country, in order to share with our partners. Our hope is that these best practices also spark new ideas to help you during these uncertain times. They are divided into 5 Main Themes. 2 Classified - Confidential After some employees tested positive – Safety/Operations launched even tighter safety protocols & communication of these new protocols Who is doing it: Dominos What it is: After some employees tested positive, Dominos developed even tighter safety protocols & transparent communication on the work they are doing Customer Rationale: Build/maintain credibility with consumers Guest Rationale: Feel safe ordering take-out/delivery from Domino’s https://www.nbclosangeles.com/news/local/la-dominos-shuts-down-after- workers-reportedly-test-positive-for-coronavirus/2344650/ 3 Classified - Confidential Enhancing the safety elements for staff Safety/Operations Who is doing it: McDonald’s, CFA, Dunkin, Taco Bell, etc. What it is: Expanding masks, gloves, etc. Customer Rationale: Protect employees and consumers in the food preparation, food hand-off and payment exchange Guest Rationale: Enhanced safety measures makes me feel safer 4 Classified - Confidential Safety Precaution Communication Safety/Operations Who is doing it: Zao Asian Cafe What it is Social Channel post to communicate to guests that employees are masked for your protection Customer Rationale: • Remind guests that we are still here for them, are using safety precautions, and they can order via curbside, drive- thru, and online Guest Rationale: • Peace-of-mind that the restaurant is taking the necessary precautions to ensure that both customers and employees are safe 5 Classified - Confidential Communicating Levity Thru Packaging Communications Who is doing it: Lazy Dog Restaurants What it is: Tamper-resistant cup packaging with playful copy Customer Rationale: • Creates sense of ‘longing’ to finally indulge in your beverage purchase (‘The Moment You’ve Been Waiting For’) Guest Rationale: • Tamper evident seal instills consumer confidence 6 Classified - Confidential Engaging the brand in a unique way with Communications consumers in their “new normal” Who is doing it: TGIFridays What it is: The TGIFridays bartending finalist developed a specialty cocktail “The Very Berry Quarantini” & showcased how to make this from his home Customer Rationale: Engage in memorable ways with the TGIFriday consumer Guest Rationale: Fun, unique way to bring a little TGIFriday home 7 Classified - Confidential Finding ways to take Fine Dining Off Premise “curbside” Promotions Who is doing it: The Winery Restaurant & Wine Bar What it is: Find a way to deliver a fine “dining” experience in this “new” normal through order ahead & curbside delivery – this concept has also launched a “Winery Grocery” store to help consumers stock their fridge with high quality food/ingredients which they can pick up with their dinner Customer Rationale: Find a way to deliver revenue in a unique way – this customer has stated publicly they will continue take-out/curbside after this crisis is over but they will try to find the “Nordstrom” packaging approach – right now they are using what is quickly available. Guest Rationale: Still get to have the great food from the fine dining establishment I love! 8 Classified - Confidential Kids solve the challenge & eat free! Off Premise Promotions Who is doing it: Burger King What it is: Every day, Burger King will release a new question on its Facebook and Instagram accounts. The challenges will cover various school subjects, including math, biology, chemistry and literature. Solve the challenge and get a code for a free whopper! Customer Rationale: Capture attention with a “free” offer Guest Rationale: Reduce price/person by getting a valuable “free” offer 9 Classified - Confidential Daily family meal pre-order supported by Off Premise live music during pick up window Promotions Who is doing it: Restore Public House What it is: This FSR is developing a family meal per night with a requirement for pre-order. During the pick up window, they are greeting customers with live music to help “lift their spirits”. Customer Rationale: Finding new ways to deliver revenue, engage with consumers in memorable ways (live music) – they have sold out every night! Guest Rationale: Support my local restaurant, have an uplifting experience (music) while picking up food for my family 10 Classified - Confidential Unique delivery of off-premise Off Premise margaritas Promotions Who is doing it: Taco Cabana What it is: Deliver margaritas by the gallon and identifying how to mix at home Customer Rationale: Finding new ways to deliver revenue generating beverages Guest Rationale: Get my favorite margaritas at home 11 Classified - Confidential A little something “extra – special” Off Premise Promotions Who is doing it: Taco Cabana What it is: Add a special dessert at a value price point Customer Rationale: Deliver unique item at a value price to make the holiday a bit more special Guest Rationale: Add something special to the order for the family/me 12 Classified - Confidential Virtual Experiences – ‘Couchella’ Off-Premise Promotions Who is doing it: Shake Shack & Pieology What it is: Shake Shack – Free Shack Burger with $20 Postmates Purchase PLUS “Couchella” Tie-In Pieology – Drive awareness of multi-eater offerings and added Spotify component to differentiate Customer Rationale: • Drive average check with multi-eater offerings Guest Rationale: • Opportunity to improve virtual Coachella experience with great food 13 Classified - Confidential $1.99 Kids Meals Off-Premise Promotions Who is doing it: Red Robin What it is: $1.99 Kids Meal with purchase of entrée. From 3/31 - 4/13 Customer Rationale: • Drive guests to Red Robin for takeout or pick up. Encourages guests to take a break and treat the family at a great price point Guest Rationale: • Provides a financial incentive and gives guests a reason to order from Red Robin 14 Classified - Confidential $0.99 Fountain Beverages Off-Premise Promotions Who is doing it: Red Robin What it is: $0.99 Fountain Beverages Customer Rationale: • Offer competitive fountain beverage discount to increase average check and encourage add-on behavior Guest Rationale: • Discount is deep enough that a guest can easily add a beverage to their order 15 Classified - Confidential Family Meal Experiences Off Premise Promotion And Experience Who is doing it: Rubio’s What it is: Encouraging and supporting family eating occasions with new Burrito Box and experiential elements to drive engagement Customer Rationale: • Drive traffic and check with a higher priced multi-eater offering while providing an at-home experience with the brand Guest Rationale: • Give consumers more than food, as they chart the unknown waters of “Stay at home,” holidays, and meal experiences 16 Classified - Confidential DIY Taco Kit at Home with Ralph Rubio Evolving Business Formats Who is doing it: Rubio’s What it is: Creating personal brand connection with founder Ralph Rubio in his home via a live digital experience Customer Rationale: • Drive traffic, brand awareness & connection Guest Rationale: • Provides confidence in the brand and a connection to leadership 17 Classified - Confidential Celebration Dessert Kit Evolving Business Format Who is doing it: CPK What it is New for Birthdays & Graduation: Celebrate-at-Home Dessert Kits Customer Rationale: • Surprise and delight. Make it easy and fun to celebrate these milestones while at home. 4 kit offerings, single and double. Easy to add Prosecco Guest Rationale: • Make a loved one feel special, and a fun way to celebrate at home with pickup or delivery 18 Classified - Confidential Emphasizing Take & Bake Options Evolving Business Format Who is doing it: CPK What it is Take and Bake Pizza for guests who prefer the quality of pizza cooked at home Customer Rationale: • Alternative pick-up format for guests who are particularly concerned about product heat retention Guest Rationale: • An easy, already prepared option that can be made and even customized further at home 19 Classified - Confidential All Day Taco Night Evolving Business Formats Who is doing it: Del Taco What it is Discounted Taco Deal all day on Tuesday (New Dayparts) Customer Rationale: • Drive traffic all day with core craveable item and reinforce value messaging Guest Rationale: • Craveable Del Taco item at a great value any time of day (no longer limited to dinner) 20 Classified - Confidential New Approach to DT Ordering Evolving Business Formats Who is doing it: Chick-fil-A What it is New method of dt ordering to support social distancing Customer Rationale: • Utilizing a ‘selfie-stick’ promotes a safe, healthy distance for DT employees to stand Guest Rationale: • Emphasizes Chick-fil-A cares about creating a safe environment to order product 21 Classified - Confidential DIY Fine Dining Evolving Business Formats Who is doing it: STK Steakhouse What it is: Offering meal options where steaks come with recipe card and spice rub, to be cooked at home Customer Rationale: DIY is popular right now, it provides a fun experience, and ensures a fresh steak Guest Rationale: Great quality meat with

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