Insider Magazine | March 2020

INSIDER SOUTH CAROLINA RESTAURANT AND LODGING ASSOCIATION

MARCH 2020

ARE YOU SIGNING ONTO THE WELLNESS TREND?

©2020 South Carolina Restaurant and Lodging Association. All rights reserved. Reproduction or quotation in whole or part without written permission is forbidden. While this newsletter is designed to provide accurate and authoritative information, the Association is not engaged in rendering legal or accounting services. If legal advice or other expert assistance is required, the services of a competent professional should be sought.

SCRLA MEMBERSHIP BENEFITS With the South Carolina Restaurant and Lodging Association’s statewide buying power, you can save considerable dollars with our member programs. Learn more about membership at scrla.org or call 803.765-9000.

The SCRLA proudly hosts Restaurant Week SC each January. In addition, many of our local chapters host a separate Restaurant Week during another time of the year. Call 803.765.9000 for more information.

UnitedHealthcare delivers cost-effective solutions that meet the unique needs of restaurant owners and their valued customers. Restaurant members will receive special pricing on insurance products offered by UHC, including a 5% discount on group health plans. Visit restauranthealthcare.org or call 877.624.0495.

ServSafe delivers nationally recognized and accredited high-quality foodservice sanitation and alcohol training for managers and employees.

SCRLA members receive 15% discount on textbooks, online courses and exams.

Call (803) 765-9000 or visit ServSafeCertified.com.

Members can sign up the national manufacturer rebate program with over 350 manufacturers on 165,000 line items. Sign up to receive quarterly rebate checks on purchases – without changing the way you buy – on food, paper supplies, produce, meat, seafood and more.

Visit scrla.org/dining_alliance to sign up.

Association members receive local, personalized service along with Heartland’s exclusive simplified, value-added pricing for credit/debit card processing. Call 866.941.1477 or visit HeartlandPaymentSystems.com

Members receive a 10% discount on BMI licensing fees and can save another 10% on BMI fees when you pay on time.

Call 888.689.5264 or visit BMI.com.

Smith Travel Research offers members a discount of up to 31% on various customizable regional reports and industry profiles, including the STAR Report. Call 615.824.8664.

The leading Purchasing Services Organization (PSO) that provides innovative procurementbased solutions, supply chain management options, and strategic supply chain management services to all lodging operations of all sizes.

Gain local chapter membership in Beaufort, Charleston, Clemson, Columbia, Florence, Greenville, Hilton Head Island Area, L.U.C.C.Y. (Lancaster, Union, Chester, Chesterfield and York), Myrtle Beach and Spartanburg.

Fintech’s alcohol electronic payment system allows retailers to easily pay alcohol distribu-tors.

Members get a FREE 30-Day Trial and 50% discounted pricing. Call 800-572-0854.

We know that part of running a restaurant or hotel means navigating red tape and regulations and dealing with difficult employee issues, that’s why SCRLA provides members with 15 minutes of free consulting with labor and employment law attorneys licensed in South Carolina.

Restaurant members automatically become members of the National Restaurant Association. The SCRLA is also a partner state member of the American Hotel & Lodging Association and Asian American Hotel Owners Association.

The SCRLA’s government affairs team aggressively promotes public policy options through direct lobbying and grassroots coordination, to benefit the hospitality and tourism at the local, state and national levels.

Table of Contents 4 | Message from SCRLA Board Chair 6 | Latest SCRLA News 7 | South Carolina Department of Revenue FAQ 10 | Pour One Out: Trump's Wine Tariffs 11 | Serving Guests with Sensory Needs 12 | Instagram for Effective Restaurant Marketing 14 | SCRLA's Board of Directors 16 COVER | Increasing Revenue from Wellness Activities 18 | 2020 Hospitality Leaders Golf Tournament 20 | S.C. Tourism Reports Another Record Year 22 | Do you know what kind of seafood you are buying?

24 | Local Battles Over Airbnb 30 | Calendar of Events

Providing ServSafe Food Safety and Alcohol training across South Carolina Food safety and responsible alcohol service is important. Protect your guests, employees and business with ServSafe Food Safety and ServSafe Alcohol certifications.

March Classes: Florence ServSafe Manager March 3 Myrtle Beach ServSafe Manager March 4 Charleston ServSafe Manager March 5 Columbia ServSafe Manager March 10 Greenville/Spartanburg ServSafe Manager March 18 Myrtle Beach ServSafe Manager March 23 Charleston ServSafe Manager March 24 Hilton Head/Bluffton/Beaufort ServSafe Manager March 25 Columbia ServSafe Manager March 30 SCRLA members receive a 20% discount using the code SERV2.

Visit AtlanticFoodSafety.com or call 843.573.7935 to sign up for classes in your area.

Read how can support the SCRLEF at our upcoming Hospitality Leaders Golf Tournament on page 18.

South Carolina Restaurant & Lodging Association PO Box 7577 • Columbia, SC 29202 803.765.9000 • Fax 803.252.7136 Email info@scrla.org www.SCRLA.org

Message from SCRLA Board Chair Tourism spending in South Carolina—the state’s largest industry—continues to break records! In 2018, tourism generated $23.8 billion in economic activity statewide.

According to S.C. Parks, Recreation and Tourism Director Duane Parrish, the state has been growing for about a decade, giving credit to the high standards of hospitality and variety of experiences offered in South Carolina destinations.

The new economic impact was announced at the Governor’s Conference on Tourism and Travel in Myrtle Beach last month.

SCRLA Executive Committee Chairman Bobby Williams Lizard’s Thicket

Vice Chairman Michael Frits Doubletree Resort by Hilton Myrtle Beach Oceanfront

Treasurer Sam Agee Gateway Hospitality

Immediate Past Chair Bob Barenberg Hilton Hotel Corporation

Members Bill Ellen, Experience Columbia SC Athan Fokas, Old Towne Grill Chuck Lauer, Embassy Suites N. Charleston Sean McLaughlin, Forest Lake Club Tony Tam, IMIC Hotels

AH&LA Board Liaison John Munro, Sea Pines Resort, Hilton Head Island

NRA Board Liaison Carl Sobocinski, Table 301, Greenville

Association Staff John Durst, President and CEO

It’s the hard work and dedication of industry professionals like you who make a number of that magnitude possible.

We are entering that hectic, but fun, time of year at the Association. We recently hosted our Annual Meeting at the DoubleTree by Hilton Columbia with a record turnout. At the meeting, we voted on the 2020 Board of Directors, and I feel confident that we have an experienced, passionate board who will continue to lead and grow our Association.

The South Carolina ProStart Invitational is taking place in Greenville this month and we look forward to sharing all the details in the April issue of Insider. SCPI is the state’s premier competition for high school culinary arts and hospitality students. The winners receive scholarships and the opportunity to represent South Carolina at the National ProStart Invitational.

Save the date for Hospitality Day at the Statehouse, happening April 1. This is no April Fool’s joke! We hold a legislative luncheon unlike any other event on the General Assembly’s social calendar, featuring restaurants from across the state serving a taste of their menu specialties. The luncheon is a way of showing lawmakers the strength of our industry and thanking them for their support.

And don’t forget! We’ve also moved our Hospitality Leader’s Golf Tournament to April 20 at Dataw Island. Designed by the ever-artful hand of Tom Fazio, the course is built over terrain, which was coaxed from the marshes by a series of dikes, intended to create more land for cotton fields during the great plantation days of Dataw Island. As many of you know, I enjoy a challenging round of golf on a beautiful course and this course is sure to impress you. The Cotton Dike course is extremely beautiful. Six holes are literally on the edge of coastal marsh lands with awesome views as far as the eye can see. Depending on the tides, you may see muddy bogs with exposed oyster beds or flowing creeks and the occasional dolphin. I hope you will make plans to join us in April!

The SCRLA encourages all members to get involved in as many events as possible. Strength in numbers helps us build advocacy for our industry and better serve our members. Our goal is to make operating your business as smooth and profitable as possible, so that you can focus on staying ahead of the curve.

Sincerely,

Douglas OFlaherty, Vice President Susan Walters, Director of Meetings and Events Lenza Jolley, Communications Manager Christal Van Wickler, Bookkeeper/Education Coordinator Randi Sullivan, Membership and Business Development Nichole Livengood, Upstate Membership Director

Bobby Williams SCRLA Board Chair

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Like us, follow us, connect with us, and let's get social!

We want to make sure you have the opportunity to connect with us, and most importantly, with each other. Whether it's to share stories, or to talk about industry trends and experiences.

Get to know us better. Our social media platforms are a great way to learn more about our organization, upcoming events, involvement opportunities and industry news.

Currently, we are on Facebook, Instagram, Twitter, LinkedIn, Snapchat and YouTube.

Did you know that we also send out a bi-weekly e-newsletter to all of our members?

Snapshot offers a glimpse into what's happening in the hospitality industry and includes the latest trends, events and governmental affairs information.

Sign up for Snapshot at SCRLA.org.

Are you up-to-date on ServSafe regulations?

Revised regulation code, effective July 1, 2019. Code requires at least one certified food protection manager, that has obtained required information through passing a test that is part of an accredited program. That has supervisory and management responsibility, the authority to direct and control food preparation and service, the ability to enforce employee health policies and a frequent presence at the facility.

The Macintoch appoints new executive chef In a bid to recapture the dining public’s attention, The Macintosh has appointed a new executive chef—Ayanna "JC" JohnCarter. Chef John-Carter first joined The Indigo Road Hospitality Group in March 2019. Prior to joining The Indigo Road family, JC was part of the opening team at Kimball House and Watchman’s in Atlanta, Georgia. Chef John-Cater also owned Magnum Opus LLC, where she was a personal chef and hosted pop-up dinners across the country.

Orangeburg Country Club's Executive Chef wins 10th Annual Seafood Challenge Orangeburg Country Club’s Executive Chef Peter Spear and Sous Chef Garret Bailey will represent South Carolina and the club in the 2020 National Seafood Cook-off in New Orleans. The chefs ultimately won the competition with a coriander crusted goldentile fish served with Carolina gold rice and Sea Island pea pilaf, glazed vegetables, pickled shallots and carrot tops, a romesco sauce and a fennel crisp.

Darius Rucker named SC Tourism Ambassador Three-time GRAMMY Award winner and South Carolina native Darius Rucker will serve as an official ambassador for South Carolina tourism in 2020, under a new partnership with the Department of Parks, Recreation & Tourism.

Working collaboratively with SCPRT, Rucker will share his music and name recognition to strengthen the state’s tourism brand, leveraging his national and global appeal to promote South Carolina as a preferred travel destination.

Q: I recently registered my LLC with the Secretary of State and applied for my business license with the Department of Revenue. Do I need any additional credentials in order to teach local bartenders proper bartending skills and alcohol awareness?

A: Perry Mathis, Administrator of Alcohol Beverage Licensing at the South Carolina Department of Revenue, weighs in on the issue of proper credentials.

After registering with the Secretary of State, the applicant will need to also register with the Department of Revenue for a Withholding Tax Account to report withholding tax on employee wages. A South Carolina retail license is not necessary if the business is purely providing a service and not selling any tangible products. This includes, but is not limted to, beer, wine and liquor.

Bartending services are not permitted to make retail sales of beer, wine and liquor in South Carolina.

Got an FAQ? Let us hear from you!

Email John Durst at john@scrla.org with your question(s) for a chance to be featured.

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SCRLA Member Benefit

We are excited to announce the launch of the SCRLA Wage & Benefits Benchmarking Study, which will provide detailed salary and benefits data for key jobs in the hospitality industry. This data will enable decision makers to better assess the health of their businesses and compare their companies against industry peers across the state. This study focuses on local data for the diverse sectors in food service and lodging industry.

To make the study as beneficial as possible, your participation is critical to its success. We are now in the collection phase of the study, please visit SCRLA.org/Wage_Survey to enter your data. Members who provide the data will have complimentary full access to the study results.

Survey, wage and benefits benchmarking data is important to your business, especially in this era of extremely low unemployment and because many members are saying they’re challenged to recruit the workers they need to operate and grow.

The SCRLA Wage & Benefits Benchmarking Study: • Ensures you have comparison salary data you need to attract and retain employees.

• Provides benchmarks not just on wages, but on benefits provided to employees • Helps provide salary-benchmarking data that SCRLA can use to help market our industry to the next generation of talent.

Using this salary survey is vital to the effectiveness of your compensation plan and retention strategy.

Avoiding costly mistakes and taking advantage of this member benefit to maximize its protection of your biggest investment – your people!

Visit SCRLA.org/Wage_Survey to enter your data today.

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HOSPITALITY DAY at the Statehouse WEDNESDAY, APRIL 1, 2020 • 11:30-2:00 Individual tickets are free for SCRLA members. SCRLA member properties receive up to 5 tickets.

Pre-registration is required for ALL tickets. Visit SCRLA.org for more information!

Pour One Out: Trump's Wine Tariffs & How They'll Impact South Carolina First, I want to preface that I own a wine shop in Columbia and these tariffs are putting my livelihood at risk. My shelves are filled with wines from the European Union.

We’ve got wines from Slovenia to Spain and everywhere in between.

For those that don’t know, these tariffs, officially, are in response to Airbus getting subsidies from the E.U. Politics aside, the reasons for the tariffs are a little silly. If you want to punish France and the EU for these subsidies, then one would think to apply these tariffs to like industries.

‘Just sell American’ Many are quipping this as a solution to the tariff. My response is, “Daniel Island tomatoes, Prince Edward Island mussels and Idaho potatoes.” Sure, you can grow tomatoes and potatoes in your backyard, but the reason these foodstuffs are highly sought after is because they are from those respective places. It is the place that gives agricultural products their je ne sais quoi; American and other New World wines just don’t have the same character as their European equivalents. Not to mention that American wine producers just don’t have the capacity to replace the wines brought in from Europe.

Wine alone added $70 billion to the American economy last year; $23 billion was from domestic wines. In doing the math, American wine producers would have to triple current production levels to meet the demand for domestic wine needs. As my friend and winemaker Jerry Sass said, “That ain’t just gonna %&*@ happen.”

It’s the economy stupid What a lot of people don’t know is that there already has been a 25% tariff assessed back in October. An importer friend of mine said the only people who suffered under that one were the dockhands who were laid off to help “absorb” that particular tariff.

I know you’ve been waiting for the impact to South Carolina.

So, here it is. These are some numbers you need to know: The average retail markup for wine, from the importer all the way down to the store level, is around 32%. Granted Costco and Sam’s Club bring that number down, but those

numbers don’t exactly blow the doors off the bank account.

With these figures, “absorbing” these tariffs just cannot happen.

Another number to know is 65%—which is an estimate.

That’s the percentage the average restaurant in downtown Charleston has in Euro-centric wines. We all know that a restaurant has a premium added to a bottle of wine, but a healthy markup in beverages allows a restaurant to stay alive. If you sit down and think about it, there are Eurocentric restaurants open all over this state. Black Rooster in Columbia (French), Charleston has Estadio (Spanish), and Greenville has North Hampton Wine & Dine (Europe in general); all will have to raise their prices if this tariff goes through. They will have to raise their prices on the highestgrossing items in the entire restaurant, thereby killing all that revenue that is needed to keep the doors open. This will not only result in laying off servers and dishwashers, adding to unemployment numbers, but will also result in lost tax revenue for the state and municipalities.

The not-so-punitive nature of these tariffs If one thinks that losing the entire American wine market will hurt the European wine industry, I have one word for you: Asia.

Over the past four years, Asian wine markets have grown an average of 65% each year. All these winemakers will just turn around and sell their goods there.

Asia isn’t the only market for potential growth. An importer friend of mine who has the Caribbean and South America as a territory has already redirected U.S.-bound containers south.

The only thing this tariff will do is give French and Italian winemakers a reason to leave long established contracts with American importers and ship their wines somewhere they will get more money for them—not exactly a harsh lesson learned. In the end, the European Union won’t be harmed, but hundreds of thousands of jobs in the U.S. will be.

Reprinted from Columbia Business Monthly

Serving Guests with Sensory Needs People with sensory issues—that is, people who struggle with receiving and responding to information coming from their senses, including bright lights, loud noises, and strong smells—can have a difficult time while traveling.

Tanya Acosta knows this first-hand, not just as a speech pathologist, but also as the mother of a son with sensory issues. So she decided to do something about it. Acosta founded Sensory City, a nonprofit organization dedicated to offering guidance to businesses that wish to make their spaces friendlier for individuals with sensory needs. The organization assesses hotels and offers tips and training to make them more sensory-friendly.

There is huge demand for sensory-friendly properties.

Acosta shares what she thinks hoteliers need to know about this niche market.

1. It's underserved.

According to the CDC, 1 in 59 children are identified as having autism spectrum disorder. “I once had a mother tell me that finding a hotel that could accommodate her child with autism was like finding a unicorn,” Acosta says. “If a hotel offers sensoryfriendly spaces, families will seek that property out before any of the others in its market.”

2. Have neccesities on hand.

Acosta recommends having kits available to guests with sensory issues. These might include comforting items like weighted blankets or noise-canceling headphones. She also notes that having a spare set of sheets and extra towels in sensory-friendly rooms can ensure parents aren’t stuck waiting for a spare set if there’s an accident in the middle of the night.

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3. Small solutions can make a big difference.

Many of the solutions Acosta’s team recommends are very simple to implement. She gives an example: “We once visited a space that had this really long communal table and lots of chairs. When you moved those chairs in or out, they made a horrendous noise.

We suggested putting felt pads on the bottoms of the chair legs. It completely solved the problem.”

4. Be sure guests can communicate.

Acosta says that having communication boards for the front desk is a huge step in making a hotel sensory-friendly. “For those who are nonverbal or have a limited ability to speak, it can be a huge issue to ask for simple things like extra pillows or shampoo.

Front desks should have a picture book or sheet that they can bring out so that people can point to what they’re looking for,” she describes.

5. Training staff is essential.

“Our motto is ‘Changing Minds and Spaces,’” notes Acosta. “Changing spaces is the easy part—changing minds often proves more difficult.” Sensory City offers training for hotel employees via webinar and email, but the key to it all is making sure staff understand what these guests and their families are up against.

6. Spread the word.

Hotels that have sensory-friendly spaces should be vocal about their offerings. “It’s a no-brainer,” Acosta says. “It helps sell empty rooms and it’s good for the community. It also offers a wonderful PR opportunity for your hotel, because you’re doing something for the betterment of humanity.”

Reprinted from Lodging Magazine

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Instagram for Effective Restaurant Marketing If you run your own restaurant business, then social media marketing is a crucial element to expanding your profile and generating interest online that will ultimately lead to conversions, in the form of traffic through the door.

Instagram is a particularly useful means of engaging new and existing users, and offers a number of features that you can take advantage of to maximize returns. Here’s how you can use Instagram effectively to this end.

Operate a business profile The business profile option on Instagram is a great option to take advantage of as you can perform additional tasks, for free, that a personal profile doesn’t allow. For example, you can get access to analytics, to see who is engaging with your profile, when, and how, and you can also include a CTA (call to action) button that you could use for users to make bookings directly on your site, for example.

Post engaging content, and regularly Make sure that once your business profile is up and running that you post regularly (if not daily, then a few times a week) and that the content that you include is relevant and seasonal, meaning that you link to important events during the year such as Thanksgiving, Christmas, Easter, and Halloween.

“Show pictures of your food, of course, but also share recipe ideas, and links to other food and drink-related sources that you think would be relevant to your audience.

It’s all about building up engagements, and that’s what quality content, focused on the bigger picture, does,” suggests Annie Marks, a restaurant marketer at Writinity and LastMinuteWriting.

Run contests This is a great idea for engaging your audience, especially when you have built it up a bit. Offer free meals, or discounts as the result of contests that you run on Instagram, which will absolutely attract new users, too. And the secret here is to encourage user-generated content, so you can get followers to send recipe ideas, or take their own food pics, with the best, as selected by you, winning the free meal in your restaurant. Getting the users themselves to make the content is a win/win scenario as your account is generating plentiful content, but you don’t have to spend time doing it.

Use hashtags This links to keeping you relevant, as you can take advantage of what is trending online to bring users to your account. For example, there may be a food fair in

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your city, or a healthy-eating campaign. Piggyback onto these events and the interests of users by incorporating hashtags in your content posts.

Partner with food bloggers You may have heard of influencers—online personalities whose accounts attract high numbers of followers. Getting one of these bloggers, or influencers, to mention your restaurant could be a great move, as you are tapping into that person’s audience, and their point of view is valuable.

However, please note that it will cost you something in terms of a fee, or free meals etc. It may very well be worth it. Just a word of caution here, make sure that you find the blogger/influencer that fits your profile, so you are accessing the right audience, so do a little research first.

Respond to comments This is an old-fashioned way of doing things, akin to replying to fan mail, and it may be a little time-consuming, but it works. Keep a regular handle on what people are saying about you in the comments and replies, and try to respond as often and as sincerely as you can. That means thanking people who praise your restaurant, and then also responding to criticism in a friendly manner.

“When it comes to criticism, reply openly to say that you are sorry that the user feels that way, and then make the conversation private so you can deal with it out of the public eye. The point is that all of your users can see that you are sincerely trying to make things better, even if, ultimately, there is nothing you can do for that user. Don’t make it a public argument whatever you do,” warns Tom Zeolli, a manager at DraftBeyond and ResearchPapersUK. Use Instagram Stories This is a feature which you use to post several images or videos to form part of a story that runs like a slideshow at the top of your profile, that runs like a slideshow. It will disappear at the end of the day, but importantly it will appear on users’ timelines, and gives them the option to swipe up which can take them directly to your webpage.

Use paid ads And if you are feeling particularly able, then you can pay for Instagram Ads which will appear at the top of user profiles to give you maximum exposure. Of course, you can also use Ads to reach non-users too, and these are targeted depending on your requested demographics.

This is the ultimate way of marketing for new users on Instagram, but of course comes at an added cost.

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South Carolina Restaurant and Lodging Association's Board of Directors

Bobby Williams Chair Lizard's Thicket

Michael Frits Vice Chair DoubleTree by Hilton Myrtle Beach Ocean Front

Sam Agee Treasurer Gateway Hospitality

Bob Barenberg Immediate Past Chair Hilton Hotels Corporation

Bill Ellen Experience Columbia

Athan Fokas Old Towne Grille and Seafood

Chuck Lauer Embassy Suites Charleston Convention Center

Sean McLaughlin Forest Lake Club

John Munro Sea Pines Resort AHLA Liason

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Tony Tam IMIC Hotels

Carl Sobocinski Table 301 National Restaurant Association Liason

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Chapter Presidents John Keener Lowcountry Hospitality Association Charleston Crab House

Bill Groves Greenville Chapter Embassy Suites Greenville Golf Resort

Theresa Koren Myrtle Beach Chapter Holiday Oceana Resorts/Vacassa

Bobby Williams Columbia Restaurant Chapter Lizard's Thicket

Harris Mullis L.U.C.C.Y. Chapter Lee's Famous Fried Chicken

Chad Patterson Florence Chapter Raldex Hospitality Group

Marcus Munse Columbia Hotel Chapter Hotel Trundle

Board of Directors Expiring Dec. 31, 2020 Mark Baldwin CentraArchy

Scott Martin Wyndham

Tony Perricelli Bauknight, Pietras & Stormer, PA

Andy Briggs, CHA Solara Hospitality

Randy Marvin Gilligan's Restaurants

Glen Williams Hospitality America

Karen Hall CentraArchy

David Nelson Marina Inn Grande Dunes

Alan Wolf SERG

Tommy Hall Halls Chophouse

Heidi Vukov Croissants

Eric Young Pepsi

Steve Kish Queen Street Hospitality

Nico Iannelli Marsh & McLennan Agency

Board of Directors Expiring Dec. 31, 2021 Don Alcorn Rush's

Gary Cohen The Abernathy

Tom Propps Sysco

Gil Smith US. Foods

Adam Ashcraft The Silo @ RJ Rockers

Ron Glancy Raines Hospitality

RP Rama Sarona Holdings

Jonathan Sullivan Beaufort Inn

Dale Barth Red Bone Alley

John Marshall Chipotle

Brendan Reilley Coastal Restaurants & Bars

Mike Bolchoz Southern Eagle Distributing

Holly Penny Courtyard by Marriott USC

Patrick Rogers Marriott Hotel, N. Charleston

Cole Taylor Southern Glacier Wine & Spirits

Janice Brady Denny's

Patricia Porter PWP Hospitality Mgmt

Steve Seitz Table 301

Kirk Watkins Sizzling Steak Concepts

Ex-Officio Members Catherine Dority Lowcountry Hospitality Association

Stephen Greene Myrtle Beach Hospitality Association

Duane Parrish SC Parks, Recreation & Tourism

Amy Duffy SC Parks, Recreation & Tourism

Jill Maynard Lowcountry Hospitality Association

Chet Patel AAHOA

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How to Increase Revenue from Wellness Activities Reprinted from Lodging Magazine

Every industry is signing onto the wellness trend, and hospitality is no exception. Spas have traditionally been viewed as the sector’s “wellness” component, and much like gyms, they have become an indispensable amenity to luxury hotels. But as the notion of health and wellness is evolving, how can hotels stay relevant and capitalize on this growing trend?

A Circular and Systemic Approach to Wellness Meditation, yoga, tai chi, kickboxing, or nature bathing— there is no single approach. While people have a plethora of wellness activities to choose from, the discipline carries two fundamental truths. Wellness is multidimensional and holistic. Positive habits in one wellness dimension will reinforce another. For example, people who practice mindfulness make better food choices, and people who stick to a program of exercise also show better health and work-related behaviors. Hence, the very notion of wellness is challenging us to think circularly. This approach to health differs from the traditional healthcare philosophy in the United States, which typically identifies a symptom and treats it with a cure.

In the world of hotels, how well operating and support departments work together typically defines the quality of a guest’s stay, and the industry has moved away from selling “rooms” to selling “experiences.” Yet, how hotels assess performance is still primarily based on the room rate (ADR) and room occupancy. Spas, much like restaurants, are often categorized as add-ons to the core hotel activity.

As an auxiliary revenue center, spas are evaluated on their ability to demonstrate a departmental profit; a dollar invested must yield a dollar return. However, much like the multiplier effects of wellness initiatives on our being, hotel wellness activities will generate the highest returns when they permeate all aspects of the property.

Recalling the Spa Experience to Increase Guest Capture Rates Spas are often tucked away in a quiet corner of the hotel.

While the location of the facility is usually strategically chosen to deliver a retreat atmosphere, unless a guest is actively looking for the spa, they are unlikely to know it exists. Also, while spas are often situated near exercise rooms, they are frequently closed in the early morning or late evening when guests are working out. Resorts regularly use in-room flyers to promote spa services, but these do little to get the guest excited about splurging on a wrap or a massage. The spa experience is one that ignites the senses, and actions that can recall the spa bliss will serve better to increase guest capture rates.

Initiatives may include placing an aromatherapy candle in the guestroom or offering elixirs and healing teas at the bar.

For instance, Live Aqua, a luxury brand of Grupo Posadas, one of Mexico’s largest hotel operators, defines itself as

an “urban resort” that integrates the senses throughout the guest journey. At the Live Aqua Monterrey, a spa therapist offers a mini hand massage and a selection of essential oils for in-room aromatherapy at check-in, all while proposing to schedule a treatment.

Hotel Wellness: The New Third Space In some markets, wellness facilities and programming can attract substantial local visitation that may be converted to recurring revenue through a membership structure.

The Standard Spa in Miami Beach, which defines itself as “less of a ‘hotel,’ and more a spa with guestrooms,” entertains more than 500 members and is a popular meeting spot for the local community.

Properties that successfully manage membership clubs typically offer facilities where guests or members can hang out without having to systematically purchase highticket items, such as massages, wraps, or facials.

Activity programming is particularly important as it helps the guest define the package value (whether they engage in the activities or not) and promote a sense of community.

Also, in many cases, members often act as promoters of local events, such as birthday celebrations or wedding parties, which drives additional revenue to the resort.

All-Inclusive Wellness Destination spas are resorts that cater to guests who are looking for more than a yoga class and a massage.

Destination spas offer all-inclusive or partly inclusive stays and bundle wellness activities that are often unlikely to stand alone as an operating department. While bundling services into a single comprehensive package is not new, its popularity in the resort world is rising in the form of “allinclusive vacations,” as the last recession has heightened consumers’ search for value.

From a property’s perspective, bundling allows for selling more services and control costs by pre-selling wellness activities. However, in wellness resorts, offering a packaged product is also essential to customer satisfaction. For guests to achieve transformational wellness results in short periods, participants must be guided through programs that build on the fundamental dimensions of wellness (e.g., physical, spiritual, intellectual, environmental). Not surprisingly, destination spas tend to track per person occupancies and package rates rather than room revenue, which is reflective of how the product is constructed for the intended guest experience.

While the points detailed above are meant to assist hoteliers in defining their wellness revenue strategies, the most effective approaches are always product and market-specific. There is no one size fits all.

MOVED TO APRIL 20

Hospitality Leaders

GOLF TOURNAMENT 2020

APRIL 20 • COTTON DIKE GOLF COURSE AT DATAW ISLAND presented by

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why

Help us make a difference by supporting the 2019 SC Restaurant and Lodging Education Foundation Scholarship Recipients!

SPONSOR?

HAILEY AUSTIN Lowcountry Trident Technical College

KADEN BROWNING Greenville Greenville Technical College

NICHOLAS CANNON Columbia Clemson University

STEPHANIE DECKER Myrtle Beach Horry County Technical College

EMILY EASLER Greenville Johnson & Wales University

HANNAH ELIA Lowcountry College of Charleston

DOMINIQUE GIBSON Lowcountry Trident Technical College

MARCIA GURANY Lowcountry College of Charleston

KELLY HARTMANN Lowcountry College of Charleston

LEANN HUGHES Greenville Greenville Technical College

MARGARET JEWETT Greenville Johnson & Wales University

STEPHANIE LEE Myrtle Beach Horry County Technical College

ANTHONY SEDIO Columbia Johnson & Wales University

BRENT WEAVER Columbia University of South Carolina

Thank you to our Chapter Partners: Columbia, Greenville and Lowcountry Hospitality Association.

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South Carolina Tourism Reports Another Record-Setting Year Tourism in South Carolina is now a record $23.8 billion industry, supporting one in every 10 jobs and generating $1.8 billion in state and local taxes, according to figures released today by the South Carolina Department of Parks, Recreation & Tourism (SCPRT).

SCPRT Director Duane Parrish announced the new impact in a “State of the Tourism Industry” presentation during the Governor’s Conference on Tourism & Travel at the Marriott Myrtle Beach Resort and Spa at Grande Dunes. The figures represent tourism business activity for the 2018 calendar year, the latest for which there is a comprehensive analysis.

Parrish said the state has been growing for about a decade, and gave credit to the high standards of hospitality and variety of experiences offered in South Carolina destinations.

“We’re not a static, one-dimensional vacation destination,” he said. “We are an evolving, multi-faceted collection of unique travel experiences. That’s what brings more, new visitors to our state each year, and that’s what keeps those visitors coming back year after year.”

Indicators for 2019 hint at even more growth, Parrish said, suggesting that tourism in South Carolina has just recently completed its seventh consecutive record year.

For example, at the end of the last fiscal year, accommodations tax collections were up 4 percent and admissions tax collections were up nearly 5 percent.

Deplanements at South Carolina’s five major airports are up 10.5 percent in 2019, reaching a record 5.8 million.

Hotel inventory increased by 2.9 percent in 2019 and overall room revenue increased by 2.5 percent. Additionally, AirDNA has reported that the inventory of available short-term rental properties in South Carolina totaled more than 50,000 last year, an increase of 9.7 percent.

To keep the momentum going, Parrish said SCPRT will expand its support for the industry. The agency has allocated an additional $100,000 to its Tourism Advertising Grant program and will be offering new advertising opportunities in the agency’s consumer e-newsletters and Facebook pages so that the industry can easily reach thousands of proven fans and followers.

SCPRT also is expected to open a totally rebuilt welcome center on I-95 southbound in Dillon by early summer. State Parks, which recently exceeded its goal for operational self-sufficiency, will offer a new scavenger hunt mobile app, motivating visitors to travel around the state searching for unique attractions like a tabby fort or a Holcombe Hemlock tree. SCPRT also will continue refurbishing the oceanfront house at St. Phillips Island to prepare for exclusive premium rentals. And the agency will prepare historic homes near the Lace House on the governor’s mansion complex in Columbia – the Caldwell Boylston House and Carriage House – as unique rental venues. Combined with the Lace House, those properties will be marketed as the Venues at Arsenal Hill.

The agency also will continue its partnership with the South Carolina Battleground Preservation Trust and the South Carolina Association of Tourism Regions as it helps the state celebrate the Sestercentennial of the Revolutionary War. “These are just a few highlights of what we have lined up for this year as an agency and an industry to further capitalize on the success of the past 10 years,” Parrish said. “We’re hoping to set the stage for similar success in this new decade.”

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Phoenix-based company labeled Vietnamese catfish as grouper, says indictment A federal grand jury in Mobile has accused executives of a Phoenix seafood supplier of passing off Vietnamese catfish as more-expensive fish to customers throughout south Alabama and northwest Florida.

The 28-count indictment names three defendants: Karen L. Blyth, president and treasurer of CSE Inc. and president and chief executive officer of RF Inc.; David H. Phelps, vice president of those two companies; and John J. Popa, a Pensacola resident who serves as vice president of RF Inc. Phoenix-based CSE imported seafood under the name Clear Seas, while Pensacola-based RF Inc. was a distributor that sold the seafood to customers in the Pensacola and Mobile areas.

The defendants could not be reached for comment Friday. They face up to 20 years in prison if convicted of the most serious offenses.

According to the indictment, Blyth, Phelps and Popa conspired to falsely label, smuggle and misbrand more than 325,000 pounds of seafood to avoid tariffs imposed by the U.S. Commerce Department on Vietnamese-raised basa, swai and sutchi catfish from January 2004 to November 2006.

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SCRLA.org

Responsible Alcohol Service

Responsible Alcohol Service Low-cost competition has been a big issue along the Gulf Coast, particularly among shrimpers in and near Bayou La Batre. Joey Rodriguez, a boat-builder and past president of the Southern Seafood Alliance, welcomed the prosecution.

Real World, State-Specific Training

"I think a lot of that is going on," he said. "I think it's going on across the country. ... It's all about money."

The Commerce Department imposed a 63.88 percent tariff on certain frozen fish fillets from Vietnam after determining that they were being sold in the United States below fair market value.

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Law & Your Responsbility • Recognizing & They also are accused of passing off farm-raised and Preventing Intoxication • Checking IDs • foreign shrimp as wild shrimp caught in the United States, along with claming to sell fresh fish that actually safe with ServSafe.

Handling Difficult Situations was frozen fish that had been thawed, trimmed and washed in a bleach solution.

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concerns to Blyth, according to the indictment.

Local Battles over Airbnb Attract Capitol Hill Attention It was the most expensive local referendum in New Jersey history. Airbnb raised more than $4 million this fall to fight one city’s regulations on short-term rentals. But in a high-profile blow as the company prepares to go public next year, the short-term lodging service lost overwhelmingly, defeated by a coalition of groups that spent one-fourth of the money.

Jersey City was not the first local government to fight Airbnb, and now efforts to regulate short-term rentals have come to Capitol Hill. Like the fight in New Jersey, the House legislation has brought together sponsors who more commonly battle each other, including a Democrat in the Progressive Caucus and a Republican in the conservative Freedom Caucus.

The federal fight over regulating short-term rentals is about the scope of one sentence in U.S. code written well before websites like Airbnb were ever imagined. It’s also a classic political story of influence and power pitting two industries, one old and one new, against each other while fostering unexpected alliances. Each side accuses the other of being purely self-interested.

“They’re doing anything they can to limit competition,” said Steve Shur, president of the Travel Technology Association, which represents companies like Airbnb and Expedia.

Hotels don’t see it that way.

“It’s an unfair competition issue,” said Chip Rogers, president and CEO of the American Hotel and Lodging Association. “Marriott, Hilton, IHG, Wyndham — they compete against each other every day with the expectation that the guy across the street is playing by the exact same rules.”

But individuals are in the fight too: Travelers, renters, homeowners, workers and neighbors have made this debate more than just a power struggle between two industries. Besides being a digital competitor to the hotel industry, sites like Airbnb have disrupted neighborhoods and their housing markets, critics say. They see investors buying up large multi-unit buildings to turn into shortterm rentals.

“It’s a perfect example of how a major corporate entity and developers were trying to remove greatly needed affordable housing from Jersey City,” said Phyllis Salowe-Kaye, executive director of New Jersey Citizen Action.

That’s how the hotel industry ended up partnering with community groups and even some of the labor unions and activists they have battled with on other issues, such as the minimum wage.

“I believe the old saying about politics being the meeting of strange bedfellows,” said Mike Lux, a longtime Democratic strategist who founded AirbnbWATCH, an offshoot of his advocacy organization American Family Voices.

AirbnbWATCH, which has been involved in other cities’

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campaigns against short-term rentals but not Jersey City’s, is pushing legislation on Capitol Hill to remove the legal immunity that short-term rental sites have claimed against some state and local restrictions. American Family Voices has been airing cable TV ads in support of the legislation. It’s working with and receives funding from AHLA, the hotel lobby, which has traditionally donated to more GOP PACs, while spreading donations to candidates more evenly. Airbnb, meanwhile, has given overwhelmingly to Democratic congressional candidates running in 2020.

Both sides in this fight have been using the economic plight of others to bolster their arguments. Airbnb argues that its platform allows people to make extra income, something helpful to residents in high-tax areas like Jersey City.

“I have a lot of friends who are dependent on Airbnb, and not only people with their homes but people who work for the homeowners — the cleaning people, the maintenance people, the people who keep their books,” said Peter Klapper, a Jersey City resident who voted to overturn the city’s restrictions on short-term rentals.

Airbnb has argued that depriving tenants of the ability to rent out their apartments, as Jersey City’s ordinance does, is economic discrimination. That’s one reason the state and local NAACP chapters were opposing the Democratic mayor and governor, as well as many social justice and community groups. Airbnb and the NAACP are hardly strangers — they formed a partnership in 2017, which included a revenue-sharing agreement to encourage African American usage of the platform. Neither the New Jersey nor the national NAACP responded to multiple requests for comment.

Taking it to the Hill In 2017, The New York Times obtained internal documents from AHLA laying out how the lobbying group planned to fund opposition to short-term rental sites. That’s given fuel to Airbnb’s argument that the hotel industry — and now, Hawaii Rep. Ed Case — is the boogeyman. After his first stint in the House, Case became an executive for Outrigger Hotels and Resorts and eventually joined the board of AHLA, where there was initial talk of trying to amend a piece of federal law known as Section 230 of the Communications Decency Act. Section 230, which became law in 1996 as part of broader telecommunications legislation, says websites cannot be responsible for what third-party publishers post on their platforms.

Short-term rental sites have been arguing in court, largely unsuccessfully, that Section 230 shields them from any violations of state or local regulations.

“So when I was reelected to Congress, it was definitely on my radar to eliminate that argument,” said Case, who won an open seat in 2018.

The Protecting Local Authority and Neighborhoods Act, or PLAN

SCRLA.org

Act, would amend Section 230 so that short-term rental sites are responsible for listings that violate local regulations.

Airbnb has responded by attacking Case and the hotel lobby’s involvement in the legislation.

“We remain committed to continue working with any government to create smart, reasonable home sharing rules, but the PLAN Act is not that,” the company said in a September statement.

Bipartisan backing The co-sponsor list, so far, is evenly split with five Democrats and five Republicans across the geographic and political spectrum.

Some of them, including Case, have received money from the hotel industry.

Three Democrats — Illinois Reps. Mike Quigley and Raja Krishnamoorthi and California Rep. Scott Peters — have taken money from AHLA or a major hotel chain like Marriott this cycle. They’re members of the moderate New Democrat Coalition. Another Democrat, Rep. Chellie Pingree, a member of the Progressive Caucus, owns a lodge on an island in her home state of Maine.

California Rep. Mark DeSaulnier, another Progressive Caucus member, worked as a hotel services employee in Massachusetts and belonged to a hospitality union.

On the opposite end of the political spectrum is South Carolina Republican Ralph Norman, a member of the House Freedom Caucus, who was one of the earliest co-sponsors and has already accepted $5,000 from AHLA this year.

“I’m in the hotel business,” Norman said. His family’s construction company has made him one of the richest members of Congress.

He expects other members of the hard-line conservative Freedom Caucus to come on board. But there’s a range of Republicans co-sponsoring this legislation so far.

Pennsylvania Rep. Brian Fitzpatrick, a moderate from the Philadelphia suburbs who has received $5,000 from AHLA this cycle, signed on in October.

AHLA maxed out last year to Oklahoma GOP Rep. Tom Cole, who’s approaching the legislation from a traditional conservative framework. “The PLAN Act is a commonsense bill that affirms the authority of state and local governments,” he said in a statement to CQ Roll Call.

Last year, the GOP-controlled House and Senate overwhelmingly passed legislation, signed by President Donald Trump, that amended Section 230 to make it easier to crack down on online sex trafficking and prostitution. But that was a higher-profile political issue.

Lux isn’t expecting much movement on the legislation this year, and he knows that even if his party wins the House, Senate and White House in 2020, uniting Democrats won’t be easy given the coziness between some of them and the tech industry.

Reprinted from RollCall.com

HAVING THE RIGHT CONNECTIONS IS KEY FOR A SUCCESSFUL RESTAURANT.

In the foodservice business, we understand that timing and connections matter.

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Customers can track their deliveries, tap into culinary inspiration, read about market trends, check out rebates, and more. Download your Connect app today, or call your local Performance Foodservice sales representative for more information.

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The hospitality industry has The hospitality industry has a turnover rate of nearly a turnover rate of nearly

75

%

Take advantage of exclusive SCRLA member solutions from UnitedHealthcare to SCRLA offer your employees Take advantage of exclusive member solutions health benefits worthto sticking around for. from UnitedHealthcare offer your employees health benefits worth sticking around for.

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Source: National Restaurant Association, May 9, 2019.

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Source: coverage National Restaurant May 9, 2019.

Insurance provided byAssociation, or through UnitedHealthcare Insurance Company, UnitedHealthcare Insurance Company ofapply.

Illinois or their affiliates. Administrative services Some restrictions and exclusions may provided by United HealthCare Services, Inc. or their affiliates.

Insurance coverage provided by or through UnitedHealthcare Insurance Company, 19-19885c-SC 9/19Insurance Š2019 United HealthCare Inc. 19-13483 UnitedHealthcare Company of IllinoisServices, or their affiliates.

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Bobby Higdon robert.higdon@heartland.us 812-989-6044 heartland.us/restaurant Š 2019 Heartland Payment Systems, LLC

Reduce the Mess to Lessen Your Stress Spring is a terrific time to reflect on where your business is at, and where you’d like it to be. Assess what’s not working, declutter and freshen up. Follow these spring-cleaning tips to improve your brand, operations and bottom line.

Sprucing up content attracts potential customers and reminds loyal customers why they love your business.

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Online profiles: Thoroughly review your profile on every social media platform you use to ensure your business information is accurate. Incorrect address, phone number and hours can cost you sales. The last thing you want is customers hitting up the wrong address, calling the wrong number or showing up when you’re closed. Make sure your profile link sends visitors to the right landing page on your website.

Similarly, do a Google search of your business to see what consumers find when researching your business.

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Website: Your website creates first impressions. If the last thing you posted on your site was “Merry Christmas”, you’re past due for an update. Add spring imagery, an events calendar, and a deal related to spring to revive its appearance. Ask brutally honest friends or customers to look at your site with fresh eyes and to offer feedback about their experience.

Check to make sure new products, menu items and services are listed on your website, and those that have been discontinued have been removed.

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Promotions: Spring provides ample selling opportunities with Easter, Mother’s Day, Father’s Day, Memorial Day, Super Bowl and March Madness and graduations. Put your business’s seasonal spin on these occasions by hosting events, posting special deals, and running contests. Get customers to visit your store with an offer of a free gift, or run online contests and reward winners with a bundle of spring themed prizes. Use these promotions to collect new contacts for your email database.

PUT THE BRAKES ON WHAT’S NOT WORKING We’ve all tried something that didn’t work. Not every product or marketing promotion is a super seller. If something isn't working, it’s time to drop it and try something else.

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Menu: Do you carry menu items that are not popular?

Do you know which items provide the greatest margin? Doing a biannual analysis of your menu and your profit per dish is always a good idea. If some menu items are not moving, lower their price or remove them altogether. Consider replacing them with seasonal dishes to increase sales and set your restaurant apart.

Inventory: Every business has inventory that’s not selling. It’s time to replace stagnant and out of season products with new ones to remain fresh. Unless you sell wine, your inventory won’t get better with age.

The longer you delay disposing of things sitting on shelves or in a warehouse, the more it costs you.

Instead discount these items, bundle them with popular items, or use them as giveaways to make room for new merchandise.

Marketing strategy: Don’t keep throwing money at a marketing strategy that isn’t working. A new season means new marketing tactics. First, make sure you are targeting the right people in the right way.

Unless you know exactly why your marketing isn’t working, you can’t do anything to change it. Secondly, experiment with marketing tactics. For example, if your top goal is acquiring new customers, add promotions or special deals for first-time buyers.

KEEP IT FRESH WITH MAKEOVERS Freshness is key to getting found by potential customers.

By cleaning up your physical and digital business spaces, you will also free up your mind to clearly focus on what you want your business to accomplish.

SCRLA Calendar of Events March 4, 2020 Hilton Head Island Chapter Meeting UofSC Beaufort/Hilton Head Island Campus 1 Shark Dr., Hilton Head Island, SC

March 24, 2020 Lowcountry Job Fair Beaufort National Guard Readiness Center 1 Cavalry Ln., Beaufort, SC

March 8-10, 2020 SC ProStart Invitational Embassy Suites Hotel 670 Verdae Blvd., Greenville, SC

April 1, 2020 Hospitality Day at the Statehouse South Carolina Statehouse Grounds 1100 Gervais St., Columbia, SC

March 17, 2020 Florence Area Chapter Meeting Florence County Parks and Recreation 710 S. Irby St., Florence, SC

Hilton Head Island Chapter Meeting UofSC Beaufort/Hilton Head Island Campus 1 Shark Dr., Hilton Head Island, SC

March 19, 2020 Columbia Lodging Roundtable SpringHill Suites 511 Lady St., Columbia, SC

April 20, 2020 Hospitality Leaders Golf Tournament Dataw Golf Club 157 Dataw Club Rd., St. Helena Island, SC

We all want safe food.

Clemson University food safety and nutrition agents and specialists conduct training in safe food-handling for individuals, restaurants and commercial food processors to prevent outbreaks of foodborne illnesses.

Other programs focus on using and preserving fresh fruits and vegetables, and on dietary considerations and budget management for limited resource families.

Food Safety Training:

• ServSafe® Manager Certification • ServSafe® Employee Safe Food Handler Training • Food Safety Modernization Act (FSMA), Preventive Controls for Human Food Certification • Food2Market, Food Safety for Food Entrepreneurs • Better Process Control School • Carolina Canning™ and Youth Food Preservation • Food4Gatherings, Food Safety for Large Groups

Nutrition Training:

• Expanded Food and Nutrition Education Program • Healthy Lifestyles • Healthy Lifestyles for Senior Centers

www.clemson.edu/extension/food For more information contact us at cesfsn@clemson.edu

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This 2-day event will draw South Carolina’s most influential hospitality professionals and top-level executives Build relationships with industry leaders that will bring value to your business and help in pursuit of best practices, business trends and unparalleled networking opportunities. you expand your network. Collaborate and share inspirational ideas Super Early Bird conferenceand registration open until May industry.

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