Whatcom restaurant owners look for ways to adapt during current pandemic restrictions
As local restaurants and cafes struggle through another few weeks of tough restrictions to try and slow the spread of COVID-19, the choice has become whether to adapt, wait it out or close altogether.
The Washington Hospitality Association estimates that the current restrictions, which are scheduled to last until Dec. 14, will cost the state’s restaurants about $800 million.
In Whatcom County, many of the businesses have switched back to the takeout/delivery format that became familiar to patrons last spring.
Unfortunately, closures are also becoming a significant trend. More than a dozen local restaurants, bars and cafes announced on social media that they would keep the doors shut until at least the current restrictions are lifted.
While there are no official statistics about local business closures, there are hints of what is happening through government data. At the end of 2019, before the pandemic, Whatcom County had 511 eating and drinking establishments that reported sales for tax purposes, according to the Washington State Department of Revenue. At the end of March, as the pandemic began, that number was down to 474. By the end of June, the number of establishments was down to 432.
One week into the new restrictions, it appears they may be even more challenging this time around, said Dominic Tino, owner of Mambo Italiano Cafe in Fairhaven. One issue is the lack of new federal funding for businesses and workers.
“This shutdown is going to much more devastating than the first as most small businesses are hanging by threads,” Tino said.
While new funding hasn’t become available from the federal government, the state is allocating $135 million in grants and loans to help small businesses.
Local groups have also been looking for ways to help. A group of local economic development agencies recently started a Think Local First gift card campaign. By going to thinklocalfirst.org, residents can send a buy local gift card for family, friends or colleagues by email, text or physical copy. Recipients can use the cards at more than 100 participating merchants in Whatcom County. Senders of the gift card are eligible for their own bonus card, depending on how much they spend.
Restaurants are being hit particularly hard because of the no-dine in rules, while stores are allowed to open with limited capacity. For those restaurants that are adapting, many are figuring out how to survive the next few weeks with the help of the community. Here are four examples out of the hundreds of local food establishments:
Birch Door Cafe
Ramping up take-out services was a bit easier this time around for the Birch Door Cafe because it had a good road map to draw from when they did it last spring, said co-owner Taria Nagler.
“The first time around there was a lot to figure out with ordering product, prepping food, staffing, setting up delivery services,” Nagler said in an email. “Our staff was great in helping with closing and opening to-do lists and figuring out all the new systems. It was like opening another business. Now we feel like we did it once, we can do it again.”
During the first week of the new restrictions they’ve noticed an increase in takeout orders, but it is not nearly as profitable as dine-in services, she said. The Meridian Street cafe did three times the amount of takeout orders on the weekend of Nov. 20 compared to weekends when they had limited dine-in, but overall revenue was down about 80%.
As a result, the cafe has had to lay off about 15 employees and cut back everyone’s hours. During the spring shutdown they also had to lay off staff that lasted about 12 weeks, so when it was time to hire staff again during the summer, many had moved on to to other jobs.
“We spent about all of June and July hiring and training to get back up to 35 employees. It felt like we had just got our rhythm back and the team back together and then had to shut down again,” Nagler said. “This time around we’re trying to keep as many people doing those limited shifts to keep everyone engaged. We’re hoping to get everyone back this time around when we can safely open.”
Nagler is hoping that residents continue to order take-out as much as possible to all the local restaurants. Sharing posts, tagging photos and engaging with restaurants on social media is also helpful.
Old World Deli
Old World Deli has seen higher volumes of takeout orders since the weather changed and the restrictions began, said co-owner Anna Adams.
It hasn’t been a huge increase, however, possibly because people were already more comfortable ordering takeout than using the limited dining services that were available during the summer.
Having the to-go system in place for some time now has helped work out many of the kinks, Adams said. One of the challenges is letting her customers know about the changes and what they are able to offer.
One thing that has helped the business is having a small grocery and wine area within the restaurant, which is helping spur holiday gift sales. That and the holiday meal orders have allowed them to keep all of their staff at regular hours. Perhaps knowing the importance of keeping those regular hours, the staff has been really good about following Centers for Disease Control guidelines, she said.
Along with takeout orders, Adams said gift cards are a good option for any restaurant during the holidays.
Mambo Italiano Cafe
Mambo has also seen an uptick in takeout orders, with most of the increase coming from loyal customers and those specifically trying to support local restaurants, Tino said. However, there are fewer takeout orders now than during the spring lockdown.
The Fairhaven restaurant set up its own online order and delivery system, which is getting a lot of good feedback.
“We have learned the safer/easier you make takeout, the better,” Tino said in an email.
While the restrictions have been more challenging the second time around, Tino said he doesn’t want to lay off the bare-bones staff he has left. To help his employees, Tino implemented a free meal for staff policy, used on their day off.
Along with more takeout orders and gift cards, Tino said the best way residents can help is to consider buying merchandise as holiday gifts. And, of course, to be safe.
“Everyone needs to be safe so we can get back open again and get to the other side,” Tino said.
Pepper Sisters
Pepper Sisters has seen steady volumes of takeout orders throughout the pandemic, said co-owner Kelsey Andrews, adding that it wasn’t a huge drop in meals served when they lost the ability to serve indoors because seating was already very limited.
Even with the limited indoor seating, having it taken away makes a big difference in terms of revenue. Andrews noted that takeout orders means a lower bar tab, which can be a significant part of the dining-in bill.
“So even if we ended up with a similar number of orders, having fewer in-person customers does produce less revenue,” Andrews said in an email. They have been able to put together many different cocktail kits and created meals that travel well for takeout to try to offset the loss of indoor dining revenue.
During the first shutdown, the longtime downtown restaurant was able to fine-tune its online ordering. They are also working with Viking Foods to set up a delivery option soon.
Andrews said they haven’t had to lay off employees yet, but hours have been reduced, mainly the front of the house staff such as servers.
Along with ordering takeout, customers spreading the word is also crucial, she said.
“Sharing photos or good experiences and tagging the restaurant on social media helps,” Andrews said.