FSR January 2023

L IQUID INTELL IGENCE

creativity behind these beverages was once strictly the realm of evening estab lishments. And while some flash-in-the pan trends quickly fizzle, boozy break fast/brunch is carving a permanent spot in the full-service space. “Is this a trendwith legs for the future? Absolutely,” says Robin Gagnon, CEO of We Sell Restaurants, a broker franchise specializing in restaurant sales. “If restau rants see this pay off financially, expect to see more than coffee or tea on early morning menus.” In terms of dollars and cents, serving drinks is a no-brainer. As Gagnon points “We have a saying at Another Broken Egg that brunchwithout alcohol is just a sad breakfast.” out, average profit margins on alcoholic beverages can reach as high as 70 per cent; food, on the other hand, hovers closer to 25 percent. “Alcohol sales in restaurants are com monplace for full-service dining and sports bars and clubs. at’s all changing, however, as alcohol emerges on menus starting with the breakfast daypart and extending into brunch and lunch,” Gagnon adds. From a cost perspective, the morn ing daypart has historically been a less expensive operation. The menus at chains like IHOP may be extensive, but throughput is fast and simple. Ingredi ents are typically less expensive, too. NextGen concepts may serve slightly more labor-intensive items and source pricier ingredients, but they can also charge a premium. Furthermore, these restaurants edge out their legacy counterparts in shorter hours of operation (often only one shift per day) that require fewer employ ees, but still manage to pull compara ble unit volumes. (For example, First Watch and Denny’s were neck and neck in 2021, with both posting $1.7 million

THE BAR IS A CENTRAL FOCUS AT ANOTHER BROKEN EGG, WHICH SERVES NEW DRINKS AND CLASSICS, LIKE THE BLOODY MARY.

ANOTHER BROKEN EGG (2)

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JANUARY 2023