ROUNDTABLE: Hilton Food Forum

Caterer Middle East managed to get Hilton’s regional F&B power team all together in one restaurant – BiCE at the Hilton Dubai Jumeirah – last month to grill them on everything from ambitious restaurant expansion plans to digital menus

Hilton Worldwide has announced plans to open 500 restaurants in three years. How many of those can we expect to see in the region?
Simon Lazarus: The overall strategy depends entirely on the market and customer needs. We match concepts to the market so strategy-wise it’s open. We currently have 52 hotels and 41 in the regional pipeline, with an average of five outlets in each new hotel.

That comes to about 200 new outlets within the [upcoming] hotels in this region over the next three years. We also have several renovations and refurbishments underway in the region.

Jean-Michel Dixte: We have a range of new builds, master plans and renovations globally. Within the Middle East and Africa, F&B solutions we offer range from bespoke concepts to prototype concepts and partnership deals. We are also trying to promote brands we want to get affiliated with, as well as celebrity chefs.

How many of the 200 restaurants in the region will be bespoke concepts and how many partnership deals?
JMD: We’re trying to give some bespoke solutions to each individual property according to the local market and the demand in each city. So for instance, in Dubai we would like to implement 30% Hilton original concepts.

SL: We will be much more focused on bringing branded outlets to key markets like the UAE, and not ruling out cities like Cairo. If the brand is right we will put it in.

Is there a move towards more branded restaurants within hotels?
SL: I think the industry in general is moving towards branded, known concepts – there’s definitely a trend in that direction. We’ve been doing that for many years now. This restaurant [BiCE] is a prime example of a franchise partnership which works amazingly well.

JMD: The UAE in particular is very brand-centric. Brands work here. There are other areas that wouldn’t support a franchise brand, but I think the UAE is a few steps ahead. It’s almost like Las Vegas in terms of the brand offerings, with its combination of celebrity chefs and the known outlets.

Is Hilton looking to create more celebrity tie-ups with its restaurants?
SL: We had a fantastic partnership with Gordon Ramsay at Hilton Dubai Creek, but [when that ended] we formed a great partnership with the local chefs that were already at the restaurant (now called Table 9) – Nick Alvin and Scott Price.

Knud Bundgaard: The trend is going towards homegrown, local celebrity chefs, so when people go to Table 9 they know that the celebrity chef is actually cooking – that’s what’s changed in the last couple of years. People want to know that the food is being cooked by the chef who’s got their name on the restaurant.

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How has the performance of Table 9 changed since the contract with Gordon Ramsay ended?
KB: From a food perspective, I don’t think you could get a better meal in Dubai. It’s creative and it is not handed over as a recipe [from a celebrity chef], it’s cooked by the people with the skills.

SL: The volumes are definitely up year-round – that’s no question. We took a bit of a different strategy where we lowered the price points slightly and offered a good range of value to the guests, and that’s proven to work – so far so good. We know it’s going to perform.

Which has the highest revenue potential – franchise or homegrown concepts?
Sl: They [the franchiser] will take a percentage of revenue but you’ll find that known brands generate more volume.

So in 80-90% of cases you see more revenues if the restaurants are franchised. The price points vary wildly but in general terms you see a higher footfall providing you have the right franchise partner.

Hilton has launched the website Hiltonrestaurantconcepts.com inviting outlet concept ideas from restaurateurs – how does the website work?
JMD: You have two different platforms: one is specifically designed for the Hilton culinary teams, the hotel owners, franchisees as well as general managers of hotels. They have the ability to communicate specific requirements such as menu frames, price points and design elements.

The website will try to match these requirements with a choice of concepts, including branded partnerships, taking into account what we’ve got across the network already and looking at a range of great concepts that suit the needs of operators and owners and offer valuable experiences for local guests.

So are there new concepts being pitched to Hilton through the site by restaurateurs?
JMD: Yes, we’ve got Ruth’s Chris Steakhouse – that’s one of them. We’re trying to develop partnerships as we go along. It’s a way for franchisers to promote and affiliate themselves with the Hilton brands.

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How many new brand partnerships do you expect will arise from the website?
JMD: It’s difficult to say at the moment, but we’re obviously looking at a variety of complementary brands that suit the local market and each property.

You mentioned Cairo earlier in reference to new brands. How has your approach to that market changed due to the effect of the Arab Spring?
Jarrett Beaulieu: Cairo’s a bit of a different case for obvious reasons. There’s a challenge with price points – it’s more sensitive – and there’s less footfall in the hotels, so for us to get our market share we’re doing some creative and innovative promotions and ensuring that the quality is better than that of our competitors’.

Tourism is certainly down, so we’re focusing more on trying to attract the local market.

Have you had to change any of the restaurant concepts as well as your price points?
JB: We’re trying to offer more value; we’re working on menu engineering with lower price points and some added richness. We’re fighting for the market.

Have you found it difficult to get hold of ingredients for your Cairo restaurants?
JB: There have certainly been challenges. In our Asian restaurant in the Conrad Cairo, for instance, we try to be as authentic as possible, which means importing vegetables from Thailand.

There was a stage where one or two vendors were unable to supply the produce, so we had to ask them to supply to us exclusively and paid a bit more for it.

There’s also a drive towards locally-sourced produce. There are some beautiful products from the local farms, but they traditionally go straight to Europe.

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Are you using the lower footfall in restaurants as an opportunity to revamp outlets?
SL: In Egypt especially it is prime time to do it and our owners recognise we’re capitalising on it. In the Ramses Hilton, for example, we’re soon to enter into a massive refurbishment of everything from rooms through to restaurants.

The refurbishments are not across all hotels in Egypt as there are still some properties doing quite well, but in Cairo it’s the perfect time.

How many refurbishments are currently underway in the region?
Andrew Joyce: There are around 20-25.

How often would you say a restaurant in this region should be refurbished to stay competitive?
JMD: It depends on the type of property and the city. The cycle can last up to seven years for a good solid concept – sometimes it is four years, but five to seven is the most common.

What innovations and technologies are you introducing into your outlets?
AJ: Here’s one example – we’re looking at software for a wine menu which will be on a tablet – an iPad or a Kindle. Diners can select their wines, they’ll have the normal menu screen, then you’ve got a selection of beverages, then you can get down to types and different categories. Customers can select by price, grape and region.

The information and imagery can be updated immediately. It’s going to be a big culture change, but the future is technology.

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How will this affect the role of the sommelier?
SL: It doesn’t take it away from the staff, it helps them in their jobs. Everything we do we have to get the customer feedback before we really commit to it so we’re doing it in Doha now and I’m sure the younger generation love it.

Do you see all restaurant menus becoming digitalised in the future?
AJ: It just depends on the concept – there are some concepts for which digital menus will never work, others lend themselves well to it. At the moment we’re going to trial the wine and beverage menu, and then we might start extending it.

And finally, what are emerging as the most popular restaurant concepts and cuisines in the region?
JMD: Because of the economic challenges and the fact that people are trying to find reassurance in food concepts, the sharing concept is very popular. It brings a familiar feeling where everyone’s united around the table. People are much more knowledgeable about what they want and they’re price conscious. They’re demanding respect but we’re getting away from a sense of formality.

In the UAE, particularly in Dubai, the market is getting very mature in terms of the restaurant experience – not just the food but the service, the design and all the different elements that create it.

People are looking for a restaurant experience where a manager can take full ownership, the staff can recognise you, make you feel welcome and offer you food that is identifiable, simple and good value for money.