How Small Restaurant Groups Can Thrive Despite California's $20/hr Wage Hike for Larger Restaurant Chains.

While the $20/hr wage hike for fast food workers in California may present challenges for small restaurant groups, there are strategies that owners can implement to thrive in this new landscape. By focusing on building a positive work culture, offering unique perks, keeping menu prices competitive, emphasizing customer service, and leveraging technology, small restaurant owners can retain quality staff, attract customers, and ensure the long-term success of their business. With the right approach and a commitment to excellence, small restaurant groups can navigate the changing economic environment and emerge stronger than ever.

1.     Building a Positive Work Culture: Small restaurant groups may have the advantage of being able to create a more intimate and supportive work environment compared to larger chains. By fostering a positive work culture that values employee well-being and growth, small restaurant owners can attract and retain quality staff. This can be achieved through team-building activities, regular staff meetings to address concerns, and providing opportunities for advancement within the organization.

2.     Offering Unique Perks: In order to compete with larger restaurant groups that may have more resources to offer higher wages, small restaurant owners can differentiate themselves by offering unique perks to their employees. This can include things like dining cards that allow staff to enjoy meals at the restaurant for free or at a discounted rate, shift meals provided during work hours, flexible scheduling, and opportunities for professional development or training. These perks can help to offset the lower wages and make working for a small restaurant group more appealing to potential employees.

3.     Keeping Menu Prices Competitive: As larger restaurant chains are forced to raise their menu prices to cover the increased labor costs, small restaurant groups can take advantage of the opportunity to keep their prices slightly lower in order to attract customers. By offering high-quality food and service at a more affordable price point, small restaurant owners can appeal to budget-conscious diners and create a loyal customer base. This can help to offset the impact of higher wages on the bottom line and ensure the long-term success of the business.

4.     Emphasizing Customer Service: One of the key advantages that small restaurant groups have over larger chains is the ability to provide personalized and attentive customer service. By emphasizing the importance of customer satisfaction and training staff to go above and beyond for every guest, small restaurant owners can set their establishment apart from the competition. Building strong relationships with customers can lead to repeat business and positive word-of-mouth referrals, helping to drive revenue and offset the impact of higher wages.

5.     Leveraging Technology: In today's digital age, small restaurant groups can leverage technology to streamline operations, increase efficiency, and reduce costs. This can include implementing online ordering systems, utilizing social media for marketing and promotions, and investing in software that helps to track inventory, sales, and employee schedules. By embracing technology and staying ahead of the curve, small restaurant owners can position their business for success in the face of rising labor costs.

In wrapping up, it's clear that the jump to a $20/hr minimum wage for fast food workers in California's gonna shake things up, especially for the smaller restaurant crews out there; but hey, it's not all storm clouds on the horizon. There are some pretty smart moves restaurant owners can make to not just survive but actually thrive. If you are a small restaurant owner, what do you do, or plan to do, to keep your competitive advantage?