The pandemic hasn't just changed the way New Yorkers work. It's also completely upended the way they eat and drink, severely impacting the concept of happy hour.
“People used to work 9 to 5, and they were happy when they finished at 5:01,” Eugene Rehm, co-founder of Catch Hospitality Group, told the Post. told. “But now the work never begins and the work never ends.
“So if you say 'happy hour,' 95% of people will say that.” [20 somethings] It used to happen on a regular basis, and they'd look at you and say, 'Hey, Boomer, I don't know what happy hour is.' ”
Lem's Manhattan hotspots, including Catch Steak and The Corner Store, are generally booked solidly, but he acknowledges that he and other restaurateurs in the city are facing changing habits.
Not only are New Yorkers working 24 hours a day, but Tee Totals are also becoming more popular. And the news that Gen Z is cutting back on alcohol just as they gain spending power doesn't bode well for those in the hospitality industry.
In fact, due to the drink's declining popularity and the rising cost of doing business in New York City, restaurants are having to raise their food prices.
“There used to be a formula of % food to % drink. That's all you sell. And the profit on the beverage is 10x. The profit on the food is 2x.” said Lem.
“But restaurant costs such as food, labor and rent are getting higher, meaning restaurants have to find new ways to make the numbers work. So when people stop drinking , that's when you have to change your model…Everyone has shifted their habits, so the business still needs to stay…the only thing you can do is raise prices.”
And while he loves New York City — he told the Post that just being here inspires him to work harder and work 11-hour days — the new landscape has made him want to go to Dallas, Miami, and more. forced to explore new opportunities in more affordable locations such as .
Rem isn't giving up on New York anytime soon.
“But look, you have to learn how to do more with less…” he said. “No one cares how the engine runs unless the guest notices that they are experiencing something different…
“So in our scenario, we are thinking very carefully about how we manage our workforce, how we manage our food costs, how we execute to ensure our profit margins. ”
He is also looking for innovative ways, explaining: And because people still want to taste something really great and have a great experience, we focus on developing unique drinks. And if they choose to do it without alcohol, we'll come up with other ways to make sure they have an enjoyable experience. ”
He's been in the industry for 20 years, long enough to know that the latest challenges are just part of a never-ending cycle of trends coming and going. Lem fully expects happy hours and more general drinking to be on the rise again soon.
“It's all about cycles, and alcohol has been with us for 5,000 years. I think it'll be around for another 5,000,” he said. “When people are happy, they drink. When people drink when they're sad, it honestly makes them feel better…I think it's all coming back into fashion.”
One thing he doesn't see as a trend is the position of power in New York City.
“If you want to be the best at something, this is where you should be.”
This article is part of a new editorial series called NYNext, which focuses on innovation across various industries in New York City and the people leading the way.
