2006 Catering Study: Spreading the word

Half say catering revenue grew in 2006, led by colleges (70% of them) and B&I (66%).

Ads add up: In B&I, catering growth is due to promotional efforts, say more than one-quarter of respondents in this segment. Bill Carroll, general manager for Sodexo at Marathon Oil in Houston, says catering accounts for more than 50% of revenue at the account and is growing due to Web and print advertising.

“Our new menu is live on-line,” he says, “and we go out to the community. I sit on the Houston Chamber of Commerce and market [the site] to the chamber, and run a full-page ad in a [local] wedding magazine and national bridal magazines.” Those ads, he says, target Houston-area brides who might be attending college in distant cities.

Colleges, meanwhile, most often cite a growing customer base and customer satisfaction as prompting growth in catering. “We cater 1,900 events per year,” says Dean Wright, director of dining services at Brigham Young University in Provo, Utah. “Our biggest [catering] event last year was the BYU Women’s Conference; we served 5,000 people for one meal. We also did a horticulturalists’ convention attended by 1,500 people. The busiest time of year is Homecoming [during which] we can do as many as 40 to 45 events a day.”

Reaching out: To grow their catering businesses, non-commercial operators continue to look beyond their physical and organizational boundaries, with good reason—only 30% have an exclusive on their organization’s catering opportunities. Of those FSD Catering Study respondents doing catering, 51% do catering on-premise only, while almost as many cater events both on- and off-premise.

“We have been making a real push for business off-campus,” says Karen Focarazzo, director of catering at Fresno (Calif.) State University. “We have exclusive rights to catering on campus, but we are assertively partnering with people and organizations connected to the campus, such as community groups or university donors, to bid for off-campus business.”

Keysor adds that at Maine Medical Center, external catering represents new revenue to the hospital, and her department does market catering services to external entities. But as a non-profit organization—like many in the non-commercial realm—she must keep a tight financial rein on the catering business. “Internal catering is an expense to the medical center,” she explains. “Nutrition Services does bill and cover department costs for services; however, the goal is not to create more expense for the hospital.”

Maximizing revenue: Many in non-commercial also need to be careful how they charge off-premise customers. About two-thirds of FSD study participants say they can and do charge off-premise customers more than on-premise customers. At Maine Medical, for example, “we have a separate catering book to give to external customers listing the price they would be charged,” Keysor says.

BYU Dining Services doesn’t have an exclusive, but captures between 80% and 85% of business, Wright notes, describing off-premise business as “very limited, usually for donors.”

More From FoodService Director

Industry News & Opinion

Amherst-Pelham Regional School District in Amherst, Mass., is updating its lunch debt policy to no longer single out students, MassLive reports.

Under the new policy, students with lunch debt will be given the same meals as their peers, regardless of how much they owe. School officials will also be communicating directly with parents of students who have accumulated debt instead of through the students themselves.

The updated policy comes just before U.S. school districts will be required to publicly list their lunch debt policies, per new USDA requirements starting July 1...

Menu Development
eureka

Since California’s state motto is “Eureka!” it seems fitting that a recent conversation with the director of hospitality at San Diego’s Palomar Health led to the biggest aha moment I’ve had in a long time.

I called Jim Metzger in late April with the purpose of discussing Palomar’s recent commitment to the goal of making 60% of its total menu plant-based by this summer. It seemed a lofty number, and I was curious how the public health system planned to get there.

But my personal eureka didn’t come while we were talking about how Palomar had cleaned up the impulse-buy zones...

Industry News & Opinion

Labeling foods with indulgent buzzwords such as “sweet sizzlin’” and “crispy” can lead consumers to make healthier food choices , according to a recent study out of Stanford University .

In the fall 2016 study, researchers labeled vegetables in one of the school’s dining halls using terms from four categories: basic, healthy restrictive, healthy positive or indulgent.

The green beans, for example, were listed as “green beans” for basic, “light ‘n’ low-carb green beans and shallots” for healthy restrictive, “healthy energy boosting green beans and shallots” for healthy...

Ideas and Innovation
sparkling water

Our carbonated soft drink sales at Earls.67 reflect a national trend; we’re continually down on carbonated soft drink sales by 8% to 9% on an annual basis,” says Cameron Bogue, beverage director at the contemporary-casual chain Earls Kitchen + Bar.

The issue with spa water

Many operators are intrigued with the offering, but they are learning that infused water can’t be offered at a cost to guests unless there is added value beyond cut-up fruit. Bogue says, “I was adamant that I didn’t want to charge for spa water.”

Agua fresca alternatives

At the original location of

...

FSD Resources