FSR August 2022

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NO. 104 FULL-SERVICE RESTAURANTS | THOUGHT LEADERSHIP FOR 10 YEARS

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CONTENTS

FSR August 2022 No. 104

30 The FSR 50 Last year marked a pivotal rebound for full-service restaurants, includ ing both public and privately held brands. In this, our first FSR 50 report in two years, we catch up with the biggest chains in the seg ment, taking a dive into their 2021 financial performances and what they’ve been up to in 2022. CHEFS & INGREDIENTS 15 Superheroes and Super Chefs Chef Darnell Ferguson grew up mesmerized by TV chefs, particu larly Emeril Lagasse. Years later, their example has helped Ferguson overcome personal difficulties and build a vibrant culinary career that includes plenty of television work. 20 Old World Cheese, New Tricks Niche cheeses from across the world (think: halloumi, raclette, and bur rata) are easier than ever to source, which not only helps chefs prepare authentic, international classics, but it also gives them license to experiment with new dishes. LIQUID INTELLIGENCE 25 Tequila Gets Its Shot The undying popularity of mar garitas has never been called into question, but savvy imbibers are now seeking out higher quality and greater varieties of tequila. Eager to satisfy demand, restaurants are expanding their collections of the agave-based spirit.

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FSRmagazine.com August2022 No.104

EDITORIAL EDITORIAL DIRECTOR Danny Klein Danny@FSRmagazine.com EDITOR Nicole Duncan Nicole@FSRmagazine.com CONTENT EDITOR Ben Coley Ben@FSRmagazine.com STAFF WRITER Trevor Griner Trevor@FSRmagazine.com DIRECTOR OF CUSTOM CONTENT Peggy Carouthers Peggy@FSRmagazine.com CUSTOM CONTENT ASSOCIATE EDITORS Charlie Pogacar Charlie@FSRmagazine.com Kara Phelps Kara@FSRmagazine.com

ADMINISTRATION Journalistic, Inc. 101 Europa Drive, Suite 150 Chapel Hill, NC 27517 GROUP PUBLISHER FOOD NEWS MEDIA Greg Sanders Greg@FoodNewsMedia.com

PRESIDENT Webb C. Howell

IT MANAGER Jason Purdy ,CUQP",QWTPCNKUVKE EQO WEB DEVELOPER Trey Daniels 6TG[",QWTPCNKUVKE EQO

THIRSTY LION / KATRINE MOITE

FIRST COURSE 9 Breakfast Hits the Big Leagues In light of First Watch’s impressive IPO and the rise of similar brands, could Next Gen breakfast unseat legacy casual-dining chains? 10 What’s - Ày >Ì] ƂÞÜ>Þ¶ As food costs soar, consum ers are anticipating smaller portions at restaurants. BACK OF HOUSE 49 >ÀiÌ}] ÕÃ the Big Budget YOUR TAKE Even small res taurants with lean teams and tight budgets can maximize their marketing reach without breaking the bank. 51 Restaurants Walk ¼Ƃ i i½ PERSPECTIVES Award-winning Ƃ NOOCMGT ,QCPPC ,COGU shined a spotlight on gender inequity in foodservice in her 2017 documentary. Now she’s

endeavoring to put more women in leadership roles through MAPP, a mentorship CPF CFXQECE[ PQPRTQƂ V 53 / i ½Ã - >Ài ON THE RISE As Oregon-born, now Arizona-based Thirsty Lion expands into new terri VQT[ KVoU FGRNQ[KPI C ƃ GZKDNG real estate strategy, one that allows the NextGen Casual to go big in some spaces but stay more compact in others. 56 Start Me Up Supply chain challenges NGF Ƃ TUV VKOG TGUVCWTCVGWTU Ria and Kevol Graham to bootstrap many aspects of their Caribbean-inspired res taurant Kokomo—including bamboo made of PVC piping. ALSO IN THIS ISSUE 4 Highlights from FSRmagazine.com 4 Brand Stories in Print and Online

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Welcome

A New Way Forward WHEN IT CAME TIME TO WORK ON LAST YEAR’S AUGUST ISSUE, the FSR edito rial team was faced with a dilemma: What in the world should we do about the annual report that ranks the highest-grossing full-service chains? Because the FSR 50 pulls financial data from the previous year, we were able to move forward with the report in 2020, which provided a “here’s where the industry stood before the bottom dropped out” perspective. But to build a report in which the vast majority of brands were in a tailspin seemed not only impractical (would their pandemic performance really be an indicator of future success?) but also a bit cruel. At a time when the whole industry was floundering, we wanted to share stories of resilience, not sales figures. That’s why the FSR 50 was supplanted by the Growth 23, which profiled chains that, despite the odds, added units to their system. Now, after a hiatus, the FSR 50 is back and given the amount of double digit sales growth, it’s a rather triumphant homecoming ( PAGE 30 ). Because fiscal years can vary, some brands, including the Darden portfolio, were still weighed down by 2020 calendar months seeping into their 2021 fiscal years. On the flip side, several concepts were already outperforming 2019 levels. As we look to the year ahead, the COVID-era conversations around off-premises options and al fresco dining are giving way to discussions around trimming costs as inflation and a stubbornly tight labor market bear down on restaurants. Call me naïve, but I find something reassuring in this shift. For as abnormal and difficult as the last two years have been, they did not break the cycle of change within foodservice. At the height of the pandemic, it seemed like the industry would be mired in the same challenges for a long time. The advent of new dilemmas pushes restaurants beyond this difficult period—it also keeps them sharp and adaptable. There is no “return to normalcy.” That implies backward motion. Instead, there is resurgence, a new way forward. And if this FSR 50 is any indication, operators now have the wind at their backs.

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CONDADO TACOS AND COOPER’S HAWK (LEFT AND BELOW) MANAGED TO GROW IN 2020.

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GROWTH

BY NICOLE DUNCAN

Last year offered little in terms of favorable market conditions, but that didn’t stop a small enclave of casual-dining chains from expanding their store footprints.

Nicole Duncan EDITOR

COOPER HAWK’S

This Time Last Year The August 2021 issue was an outlier. We TCP VJG Ƃ TUV CPF NKMGN[ QPN[ )TQYVJ TGRQTV YJKEJ TCPMGF HWNN UGTXKEG DTCPFU DCUGF QP JQY OCP[ NQECVKQPU VJG[ QRGPGF KP tC VKOG YJGP UQ OCP[ QRGTCVQTU YGTG RGTOCPGPVN[ UJWVVGTKPI VJGKT TGUVCWTCPVU 0QY C JCPFHWN QH VJQUG VQR RGTHQTOGTU KPENWFKPI (KTUV 9CVEJ 6GZCU 4QCFJQWUG .QPI*QTP CPF %QQ RGToU *CYM JCXG EQPVKPWGF VJGKT YKPPKPI UVTGCM KP VJKU [GCToU (54

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First Course

Adult beverages and elevated eats differentiate NextGen brands like Another Broken Egg.

ANOTHER BROKEN EGG

Breakfast Hits the Big Leagues BY NICOLE DUNCAN Expect more NextGen breakfast brands in future FSR 50 reports. WHEN IT COMES TO the largest players in full service, most are rooted in the lunch and dinner dayparts. High-powered breakfast brands, including IHOP, Denny’s, Cracker $CTTGN CPF 9CHƃ G *QWUG JCXG ECTXGF QWV their own space within casual dining, but the early daypart could receive an even

greater boost thanks to a number of grow ing NextGen Casual restaurants. #U VJG Ƃ TUV EQPEGRV KP VJKU GPENCXG VQ go public, First Watch’s IPO reveals break fast’s burgeoning potential. For one, few full-service restaurants have migrated to Wall Street in recent years. (Before First

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First Course

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Watch last fall, it was Kura Sushi in 2019 and Fogo de Chão in 2015.) Secondly, its public offering made quite the splash, clinching a $1 billion valuation. “[Going public] really sets us up to fuel our growth,” CEO Chris Tomasso told FSR. “It allows our loyal customers ... to feel even closer to our brand.” At about 440 units, First Watch is the largest NextGen breakfast chain by far, but it’s hardly alone. Another Bro ken Egg (81 units), Eggs Up Grill (60), Keke’s Breakfast Café (52), Snooze an A.M. Eatery (50), Broken Yolk Café (35), Famous Toastery (25), The Toasted Yolk Café (22), and other regional concepts are expanding, too. First Watch and Another Broken Egg disclosed average unit volumes of about $1.8 million—that’s on par with IHOP despite the former pair being QRGP C HTCEVKQP QH VJG JQWTU 6JKU GHƂ ciency gives NexGen breakfast players an edge in an increasingly tight labor market. With fewer hours to staff, the brands can focus on hiring top can didates and paying them more. Plus, GORNQ[GGU CTG Ƃ PKUJGF YKVJ VJG YQTM day long before the dinner rush. “We’re one of the few brands ... where people can really appreciate the quality of life they can have,” Paul Macaluso, CEO of Another Broken Egg, said in June. “We’re not poached as easily by other competitors.” These breakfast concepts are dis tinguishing themselves from legacy chains through elevated beverage offerings. First Watch launched a new alcohol program in fall 2020, and last year, Another Broken Egg bolstered its full-bar menu with premium options, packaged cocktails, and at-home kits. Such initiatives could raise sales even more. Snooze, which was ahead of the game in terms of its alcohol programs, boasts AUVs of $3 million. While larger chains might try to mimic NextGen success stories, some are catching their coattails in another fashion. In May, Denny’s purchased Keke’s for $82.5 million, and with break fast’s star showing no signs of dissipat ing, more deals could follow.

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What’s Y©×¬Ã¸Ă ~à¬ÉÃģ Anyway? INFLATION has been the word on every economist’s lips, but another, adjacent term is also popping up. Shrinkflation, also known as the “grocery shrink ray,” is the process in which manufacturers downsize their products without adjusting prices. As NPR recently reported, “It’s the inflation you’re not supposed to see.” Historically, the practice has been more common in the CPG and retail world, but a recent poll conducted on behalf of inventory manage ment platform MarketMan suggests consumers anticipate shrinkflation in restaurants, too. In fact, nearly three out of four (74 percent) Ameri cans said they expect operators to cut down on portion sizes as a result of higher food prices . What’s worse, 66 percent think they’ll turn to inferior quality ingredients without telling customers. For smaller, independently owned restaurants, a better solution could be to maintain size and quality and simply raise the price. After all, 61 percent of survey respondents reported they would be more likely to accept those increases from independents than from chains.

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First Course

Put to the TEXT EVEN BEFORE STAFFING SHORTAGES, keeping an ear out for phone calls while running a restaurant could be tricky. Now, with team members spread especially thin, it can be close to impossible. Texting with customers could offer a more convenient solution—and one that consumers just might prefer. In a survey by telecommunications provider Cloudli , twice as many respondents said they preferred to communicate via text rather than phone call . Furthermore, 78 percent reported the ability to text with businesses has improved DQG RU VLPSOLƓ HG WKHLU RYHUDOO H[SHULHQFH

Steak a Claim For as fast as trends evolve

in the restaurant world, some things stay the same. According to Black Box Intelligence , steak remained the No. 1 menu item at full-service restaurants in March to May 2022, based on positive mentions in online reviews. Steak was the most popular item in the same period the prior year. That’s not to say operators haven’t struggled on the execu tion side. Last year, critiques over food preparation cropped up in a number of reviews, with neg ative words like “undercooked,” “overcooked,” and “burned.” Clearly, however, it’s going to take more than a few complaints to dampen the demand for steak.

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Chefs & Ingredients

CULINARY INSPIRATION AND STORIES FROM INDUSTRY TRAILBLAZERS MENTIONED IN THIS SECTION SUPERCHEFS • • • THA DRIPPING CRAB • • • PICCOLO SOGNO • • • NONNINA • • • BORDER GRILL

Superheroes and Super Chefs

AT SUPERCHEFS, THE EGGS BENEDICT IS ANCHORED BY A PAIR OF DEEP-FRIED CHEESE GRIT CAKES.

DARNELL SUPERCHEF FERGUSON

AS A KID, DARNELL ‘SUPERCHEF’ FERGUSON would watch cooking shows and imagine himself one day starring in his very own TV program. His favorite host was Emeril Lagasse, because, as Ferguson says, the chef’s cheery and ener getic personality on “Emeril Live” captured his imagination. “As soon as I watched Emeril, I knew that my destiny was to be on television,” Ferguson says.

BY TREVOR GRINER Chef Darnell Ferguson joins the ranks of the celebrity chefs he’s long admired.

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CHEFS & INGREDIENTS CHEF PROFILE

Today, Ferguson is the chef and owner of several restaurants, including break fast concepts SuperChefs in Kentucky and Superhero Chefs in Alabama; sea food-centric Tha Drippin Crab in Ken tucky; and sports-themed Stadium in Ohio. Over the years, he’s also appeared on a number of shows, including “The Rachael Ray Show,” “Beat Bobby Flay,” and Guy Fieri’s “Tournament of Cham pions,” where he bested world-renowned chef Alex Guarnaschelli. Ferguson’s journey to the kitchen began in high school. After taking cook ing classes as a senior, he chose to attend Sullivan University, which offers degrees in culinary arts and hospitality studies. After graduating in 2008, Ferguson was selected to be a chef at the Beijing Olym pics for Team USA, which he describes as a pivotal moment in his career. After

all, he was one of only about 30 students nationwide to participate. “Being selected to cook at the Olym pics was major,” he says. “It really felt like I was being recognized for my talents. Not many people get to say they cooked at the Olympics.”

But by 2009, after a series of missteps that included selling illicit drugs, Fergu son found himself in and out of jail and living in his car. “Sometimes you just have to get stron ger in those challenging situations,” he says. “Living in my car was probably one of the best things to ever happen to me. I told myself, ‘I’m never coming back here. I’m never going backwards again. I’m just going to cook.’” So Ferguson refocused his energy into his work as a chef and found employ ment at some of Louisville’s best-known restaurants like Eddie Merlot’s, Oak room at the Seelbach Hilton, and Poof on Main, where he would perfect his craft and develop an intense work ethic. “Cooking is so transformative,” he says. “Your life can absolutely change in a kitchen.”

“As soon as I watched Emeril, I knew my destiny was to be on TV.”

Upon his return, he would land a job at Napa River Grill in Louisville, and it seemed as if Ferguson was on the fast track to become the next big thing in River City.

CHEF DARNELL FERGUSON

FAVORITE TOOL: Chef’s knife FAVORITE SUPERHERO: Superman FAVORITE COOKING SHOW: “Emeril Live” CHEF MOST LIKE TO WORK WITH: Emeril Lagasse UNDERRATED BREAKFAST DISH: Eggs Benedict

PANCAKES ARE A MENU STAPLE AT SUPERCHEFS, WITH OPTIONS VARYING WITH THE SEASONS.

DARNELL SUPERCHEF FERGUSON (2)

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CHEFS & INGREDIENTS CHEF PROFILE

name to SuperChef, allowing him to con tinue operating the Louisville location under the original name.) Ferguson describes his cooking as “urban eclectic” and adds that the res taurant design and menu are reflective of his personality. And while a playful breakfast menu doesn’t scream fine din ing, Ferguson says he applies classical techniques to all his breakfast creations. Perhaps the best example of this is the Steak and Eggs, which pairs sous vide– prepared filet mignon with two eggs atop a bed of hash browns and a side of chi michurri. The chef is already planning where he wants to open his next superhero themed spot. Always one to dream big, Ferguson thinks Las Vegas, with all its glitz and glamour, would be ideal for his over-the-top breakfast menu. “I’m not done with this industry until we’re viewed as the best new restaurant in Las Vegas,” he says. But Ferguson’s culinary career extends beyond the restaurant’s four walls. A few local TV spots led to an appearance on “The Rachael Ray Show,” which then led to contact with none other than Guy Fieri. He’s since become a proven competitor on a number of series, and under the guidance of men tors like Fieri, he’s beat established chefs, like Guarnaschelli, and up-and-comers, including Brooke Williamson, who won season 14 of Bravo’s “Top Chef.” “That was the greatest moment in my career,” he says. “Since I started com peting, I always wondered how my food would do against Brooke’s. Not because I think I’m a better chef than her, but because you have to beat the best to be the best.” After more than five years of com peting on television, Ferguson is much closer to his childhood dream of host ing his own TV show. In fact, he recently filmed a pilot for The Food Network. As for his childhood superhero, Emeril? Ferguson got to meet him on “The Rachael Ray Show.” “I had no idea he was going to be there,” he says. “That was one of those really special moments in life.”

FOR ALL ITS INDULGENT FARE, SUPERCHEFS ALSO SERVES FRESH SALADS.

DARNELL SUPERCHEF FERGUSON

and using superheroes is how we do that.” A group of investors from Alabama took notice of the Louisville location and convinced Ferguson to open his next restaurant in Tuscumbia, Alabama. The Tuscumbia store debuted in 2019, and another Alabama location, this one in Huntsville, followed earlier this year. “The Huntsville location is doing great,” he says. “We’re actually looking for a second location in Huntsville now.” Because Ferguson broke with his business partners, the Alabama loca tions are called Superhero Chefs to avoid trademark issues. (Nevertheless, the chef has legally changed his middle “We wanted to brand ourselves in a way that would make everybody feel welcome, and using superheroes is how we do that.”

In 2012, Ferguson launched a pop-up focusing on his favorite meal: breakfast. Its success led him back to Columbus, Ohio, where he opened brick-and-mor tar restaurant SuperChef’s with child hood friend Ryan Bryson and another partner, James Dawson. They went on to open a second Columbus-area unit in the suburb of Gahanna. The trio eventually disbanded, with Ferguson returning to Louisville to open his own SuperChefs in 2015 and later stepping down from the Ohio business. SuperChefs stays true to its name, thanks to dishes named after superhe roes and villains, like the Hulk Green Waffle Sandwich (with sausage, candied bacon, mozzarella, and scrambled eggs) and the Sub Zero, which layers blue berry pancakes with lemon-mascar pone sauce. Even the menus are styled like comic books. “At one point, I needed to be the super hero in my own life,” Ferguson says. “We wanted to brand ourselves in a way that would make everybody feel welcome,

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Old World Cheese, New Tricks BY TREVOR GRINER Lesser-known cheeses from Italy and Mexico are spicing up menus stateside.

HALLOUMI’S HIGH MELTING TEMPERATURE MEANS IT CAN BE GRILLED OR FRIED.

“Ten to 20 years ago ... you just couldn’t get halloumi or legit Greek feta unless you were in Greece.”

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CHEESE IS A WAY OF LIFE. That’s how Tony Priolo, chef and co-owner of Chicago’s Piccolo Sogno, describes his love of cheese. “It has the ability to enhance just about any dish,” he says. In addition to Piccolo Sogno, Priolo co-owns Nonnina with his business partner and longtime friend, Ciro Lon gobardo. He’s also appeared on numer ous television shows including The Food Network’s “Beat Bobby Flay.” Cheeses pop up in a number of menu

items at Piccolo Sogno, which focuses on traditional Italian dishes. He says one of the only rules in Italian cooking is to never use cheese in seafood dishes. The rest of the menu is fair game. “Everything else can get cheese,” he says. A fava bean appetizer is bright ened by pecorino, a salty, hard cheese not unlike parmesan but made with sheep’s milk instead of cow’s milk. The majority of Piccolo Sogno’s pizzas feature fior di latte (fresh mozzarella), while bustine pasta shells are stuffed with artichoke

and buffalo ricotta. Priolo says burrata (fresh shreds of mozzarella soaked in cream and sur rounded by an outer layer of mozzarella) could become more popular since it pairs so well with seasonal produce. Dishes like a grilled peach salad topped with burrata or olive tapenade and burrata spread on crunchy French bread show off the cheese’s versatility. Drunken cheese (soaked in wine) is another Italian classic that’s working its way onto U.S. menus. “Black truffle cheese, cheeses with

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AUGUST 2022

peppercorns—all of these are definitely starting to show up more,” Priolo says. Though his own cooking stays rooted in Italian cuisine, Priolo has noticed an uptick in the availability of other inter national cheeses. He says Mexican vari eties like queso fresco and Oaxaca cheese are becoming more common—even at restaurants that aren’t necessarily Mex ican concepts. Fried halloumi (a Greek staple) is also becoming more popular, he adds. “Ten to 20 years ago, you couldn’t eas ily find these cheeses unless you were in a specialty market or the country where the cheese comes from,” he says. “Now, with better and more modern trans portation, cheeses from other cultures are available. You just couldn’t get hal loumi or legit Greek feta unless you were in Greece.” And demand for cheese is as strong as ever. USDA data shows that between 2009 and 2019, per capita consump tion of cheese increased 19 percent. And according to market research company Statista, U.S. customers consumed just shy of 40 pounds of cheese per capita in 2021—second only to Europe, where consumers eat an average of nearly 45 pounds annually. “There’s no question about it. I love cheese. It’s a great element of a dish,” says Susan Feniger, a chef, restaurateur, cookbook author, and former television personality. She is also the co-owner of the California-based micro-chain Bor der Grill. Along with her business partner Mary Sue Milliken, Feniger opened the first Border Grill in 1985, with a menu featuring regional recipes inspired by home cooks from all over Mexico. Since debuting 37 years ago, Border Grill brand has grown to multiple locations, food trucks, and a catering business, as well as additional concepts like Socalo and BBQ Mexicana. For Feniger, cheese is more than an ingredient that adds flavor to a dish. She uses cheese as a way to structurally for tify certain dishes. “We’ll take a mixture of cheeses and melt it on the comal [a flat griddle] to

QUESO FUNDIDO IS OFTEN SERVED FLAMBÉ.

SUZANNE LANZA

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make it crispy. Then we lay the tortilla over it and flip it over,” she says. “It not only acts as an additional layer, but it also acts as a barrier for the tortilla so it doesn’t get soggy.” Feniger says the recent popularity of dishes like quesabirria (a corn tortilla filled with melted Mexican cheese and stewed meat) has made more obscure, cheese-centric Mexican dishes main stream. As quesabirria breaks out of regional markets and into the national restaurant scene, she believes authentic Mexican cheeses will become increas ingly prevalent beyond California and other border states. “Mexican cheeses are certainly more available than when we first opened Bor der Grill,” she says. “At one point you could only find these cheeses in Los Angeles, but now, they’re everywhere.” In terms of other cheese trends, Feni ger predicts some dishes that have fallen out of favor in recent decades could be poised for a resurgence. “You used to see a breaded and fried brie on a lot of menus, but that hasn’t

been around for a while,” she says. “But, I think it’s such a good dish, and it’s comforting. It’s perfect for today’s din ing environment where customers are looking for something familiar.” Feniger says raclette, an Alpine dish with Swiss cheese melted over pota toes, has a chance at making a come back, especially given the spectacle of it. Raclette is regularly prepared tableside, with servers melting the cheese directly from the wheel onto the plate. “With so many people using their home for entertainment over the last several years, I think now people want to head out for that experience,” she says. Fondue is another dish Feniger thinks could return to glory. The once popular menu item hasn’t seen the same demand as it once did in the 1960s and ’70s, but a bevy of new cheeses to melt might give it a legup. “I could imagine [fondue] making a big comeback,” Feniger says. “It’s such a great dish. I think you could turn it into something really interesting. I’d love to see that.”

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It creates an elevated experience for guests, but it’s very easy to use back-of-house.” Opportunities to menu queso go beyond the typical shareable appetizer, however. As a simple way to spice up an eggs benedict, queso can add interest to a brunch menu, or, as an alternative sandwich spread or pasta salad addi tion, it can work wonders during a lunch rush. “Menus are shrinking, and people are cir cling the wagon when it comes to ingredients, due to supply chain issues,” Kalil says. “Queso is a spicy, savory way to dress up any number of dishes across dayparts. And Land O Lakes ® Queso Bravo ® Cheese Dip is ready to eat right out of the bag—you can heat it just by throw ing it in boiling water, but you don’t have to. If you have a smaller or less experienced kitchen staff these days, or if you just don’t have the labor dollars to spend on someone making queso from scratch, it allows you to deliver a consistent product to customers every time.” Kalil recommends introducing queso to a menu as part of a limited-time offer. “With National Queso Day coming up on Sept. 20, it’s a good time to take some ingredients you already have on your menu and add queso to create something new, fun, and exciting,” he says. BY KARA PHELPS To learn more, visit landolakesfoodservice.com T

AS CONSUMERS RETURN TO DINING ROOMS in a post-pandemic world, several trends are starting to converge. Restaurant guests want familiar comfort food, but they also want to sample bolder flavors. When they dine out with their loved ones, they want to have an elevated experience that reminds them of the good times as much as it generates new memories. “Consumers want something that feels like comfort food, but they can’t make it at home— they want an elevated version of comfort,” says Chef Billy Kalil of Land O’Lakes Foodservice. “At the same time, we’re also seeing the trend of returning to group dining. People are shaking off the chains of the last couple of years when they couldn’t gather together and enjoy the company of their friends.” OpenTable recently found that reservations for two-tops and four-tops have increased their share of total dining reservations by 3 percent.

Single-diner reservations have simultaneously decreased by 15 percent. People are ready to connect—and reconnect—and restaurants are once again a preferred environment to do so. At the same time, nostalgic flavors and twists on familiar foods are surging. Seventy one percent of American consumers say they appreciate things that remind them of their past, according to Mintel, and 41 percent are interested in trying new flavors similar to those they know they enjoy. A few foods sit at the crossroads of these trends, and queso is one of them. “Sharing chips and a bowl of queso with your friends feels like a special occasion,” Kalil says. “Queso also feels like it skews toward comfort food, but it’s not necessarily something that would be easy to replicate in your home kitchen. Our Land O Lakes ® Queso Bravo ® Cheese Dip is high-qual ity and very dairy-forward with a nice spicy kick.

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Liquid Intelligence

TRENDS AND CREATIVE APPROACHES TO SPIRITS, WINE, AND BEER. MENTIONED IN THIS STORY AÑEJO RESTAURANT • • • A'VERDE

Tequila Shot GETS ITS

O O CK ,

ITS

O A U ER OF COCKTAILS AT ESTAURANTS LIKE AÑEJO.

SOCIETY HILL FILMS

TEQUILA IS EXPERIENCING a bit of a renaissance. What was once consid ered a party liquor has quickly become one of the country’s favorites, with sales climbing more than 30 percent between 2020 and 2021, per the Dis

tilled Spirits Council. The only category that outperformed tequila was pre mixed cocktails, which were helped by pandemic-related demand. Coupled with tequila’s surge is the rise of mezcals, another spirit made

BY TREVOR GRINER Mixologists and guests are seeking more nuanced, elevated tequila.

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LIQUID INTELLIGENCE

from agave. While tequila must be made from blue agave and produced in a desig nated region of Mexico, mezcal can use a variety of agaves and is produced in a separate region in Mexico. Mezcals are usually described as having a smokier flavor than tequilas. Discussions around such differentia tions are becoming more commonplace. “Today’s tequila is elegant. It’s complex,” says Ricky Camacho, director of culinary operations and corporate chef at Añejo Restaurant, which has two locations in New York City and a third in Philadelphia. Camacho says he believes tequila’s burgeoning popularity can be attrib uted to America’s love of margaritas. According to a 2021 report from mar ket research firm CGA Strategy, 49 per cent of cocktail drinkers order a margar ita when dining out. Camacho adds that the ubiquitous cocktail has acted as an entry point to Mexican culture for most consumers and, in his opinion, led to more Mexi can concepts being introduced through out the country. “The No. 1 driver is mar garitas,” he says. “Ten to 12 years ago if you wanted exceptional Mexican food and tequila, you’d have to go out to Los Angeles,” Camacho adds. “Now, you have Mexican concepts with Michelin stars. Tequila used to be associated with terrible hang overs and pounding headaches, but now it’s looked at in the same light as bour bon or cognac.” Margaritas are also being looked at in a new light. He says while the premixed frozen margaritas of yesterday are still around, fresh versions of the classic cock tail are making waves in more modern establishments. By using seasonal pro duce and a bit of imagination, he says, restaurants can create margaritas wor thy of today’s elevated Mexican concepts. “I love to experiment with different sweeteners,” he says. “Whether you’re using a house-made simple syrup or a natural sweetener, you’d be surprised at how much that can elevate a margarita.” The Añejo chef says elevating tequila based cocktails, like the margarita, is the next logical step, but he doesn’t want to

see the drink altered to the point where it becomes unrecognizable. At that point, creating an entirely new drink would be a better option. “It’s a staple cocktail. It’s refreshing, and it’s satisfying,” he says. “I’d rather not change it a whole lot.” Camacho adds that today’s drinkers aren’t settling for rail tequila. Instead, they're opting for high-end and lesser known versions. Customers are delv ing into a variety of styles like blanco, reposado, and añejo, which are distin guished by how long they’re aged. Blanco, also known as silver tequila, is unaged, while reposado is aged in American oak barrels between two months and one year. Añejo is also aged in American oak barrels but requires at least a year of aging. One of the ways customers are begin ning to sample these different styles is through flights. Restaurants like Añejo have started offering small sizes of var

AT AÑEJO, TACOS AND TEQUILA WIN THE DAY.

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LIQUID INTELLIGENCE

“It’s just scratching the surface.” Katsuji Tanabe shares Camacho’s enthusiasm. In addition to being the executive chef of newly opened a’Verde in Cary, North Carolina, Tanabe is also the curator of the restaurant’s tequila library. He says people love tequila for its versatility and complexity. Whether it’s mixed in a cocktail or served neat, the spirit's popularity has been aided by the many different ways restaurants can serve it, he adds. “It’s relaxing,” Tanabe says. “If you’re drinking it by itself, it’s great. The No. 1 drink in America is the margarita, and it’s great like that, too. When you’re hav ing tequila, you’re having a good time.” Tanabe, who moved to the U.S. from Mexico when he was 18, believes tequila is finally getting the respect it deserves. “I started going to nightclubs around 1999–2000, and that’s when I first really saw people drinking tequila,” he says, adding that the tequila back then was not of the same quality found today. “I think Mexico invested a lot into the region where tequila is made to help market it to the world. The same way people from France proudly say they are French and they drink champagne, now Mexicans can say, ‘I am Mexican, and I drink tequila.’” At a’Verde, guests can sip on a hand ful of tequila-based cocktails, like the So Basic, an elevated take on the margarita, featuring Espolon Blanco, orange liqueur, lime, Meyer lemon, and agave, as well as the Ghosted, with pink peppercorn– infused Lunazul, pisco, white vermouth, Dom Benedictine herbal liqueur, lemon, rosewater, and egg white. Tanabe thinks mixologists should also try giving classic cocktails a make over fronted by the agave spirit. “People have begun ordering tequila old fashioneds,” he says. “It works so well. We’re taking classic cocktails that didn’t belong to tequila, and now they’re tequila.” Perhaps what's most fulfilling for Tanabe is how tequila is now being respected as a pairing with food. “At my restaurant I want people to say, ‘My god, this particular tequila went really well with this dish.’”

TEQUILA PAIRS WELL WITH THE ELEVATED MEXICAN FARE (AND AMBIANCE) AT A'VERDE.

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ious tequilas and mezcals, allowing cus tomers to taste expensive and rare vari eties without breaking the bank. One option at Añejo is the Wild & Rare flight, which comes with specially produced mezcals like Pierde Almas Tobaziche. Camacho says serving tequila and mezcal in this form is good business for several reasons. First, it allows operators to move high-end products with a good ROI. Smaller servings priced accordingly can generate favorable margins, and, he says, as customers become more intrigued with top-shelf tequilas, this type of ser vice will become more commonplace. “You’re going to start seeing tequila as a high-end option in most places,” he says. Flights of tequila also serve as an edu cational opportunity. When customers come in and try a new brand or style, bartenders have the chance to steer cus tomers in the direction of new products and spark demand. For Camacho, the rise of tequila is just beginning. “We’re just getting peo ple to start looking at tequila,” he says.

FORREST MASON / ANEJO PHILLY

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