Winterlicious - a squandered marketing opportunity

Winterlicious is a great idea gone wrong.

For the uninitiated, Winterlicious is a restaurant promotion organized by the City of Toronto to encourage people to try new restaurants. Participating establishments will prepare a special prix fixe menu at a substantially reduced price from their regular menu cost.

This is a cool concept as it encourages people to try restaurants they normally would not try, principally due to cost. High end restaurants like Biff's, Canoe, Monsoon open their doors to Winterlicious fans for a select period of time. People come in throngs to enjoy the savings as well as the (supposedly) great food.

Here is the problem. The restaurant often offers a substandard menu so as not to lose money on the Winterlicious promotion. They also reduce the service levels and some will even seat you in a "special" section when you announce that you have a Winterlicious reservation. In one outing, the host looked down his nose at us and said curtly "right this way, we have a wonderful table for you" (it was right by the kitchen door).

The menu is typically the light version of what you would normally get at the restaurant. Cheaper ingredients, smaller portions, slower service, sitting in the kitchen, etc all contribute to the underwhelming experience.

Why do some of the restaurants take these short cuts? I am still a paying customer ... but most importantly, I am a new customer (and like most Winterlicious types, an enthusiastic restaurant goer). I also have 1000 choices in Toronto and I have now selected your restaurant. And now you cheapen the experience for me? My expectations were so high, especially after reading the reviews from the pundits. I was excited!

Here is what I think when I leave:

1. I received poor value for my money, even at the reduced rate (I still dropped $100 incl tax/tip/booze on my meal for two .... not exactly a screaming bargain).

2. I was made to feel like a pauper as a Winterlicious customer (maybe they should hand out dunce hats and special T-shirts - NOT made by rightsleeve.com! - at the door).

3. Service was poor, and even worse if I did not order alcohol with my meal

4. A higher end restaurant like Biff's is not so high end anymore in my mind.

5. I have 1000 choices. The next time I will certainly not go to a place where I received mediocre value for my money, even if I paid a little less. A bad experience is still a bad experience, regardless of what it cost.

If I was a restaurant owner, here is how I would work the math.

1. Recognize that the cost to be an official Winterlicious restaurant is a marketing investment, not a cost.

2. Recognize that the reduced meal cost offered to patrons is also a marketing investment (I mean how much am I really losing? I doubt I am selling the food for less than cost, even at Winterlicious rates).

3. Ratchet up the service levels for my Winterlicious patrons. Give them the best seats, make the food extra special, do something to wow my new clients ... roll out the red carpet in a big way. This is my ONE chance to impress them and keep them interested.

After they leave, are my new clients raving about the experience? When people have an superb experience, especially when they get a deal, people TALK about it to EVERYONE. Conversely, when people have a poor experience, they also TALK about it to EVERYONE - often more so and certainly with more venom. Some people will even go so far as to blog about the poor experience - imagine that! :)

btw - the only restaurant that has impressed me with their great food and service at Winterlicious is the Rosedale Diner (just so you don't think I am excessively crusty)!

Conclusion - businesses that offer coupons, discounts, special promotions to bring new clients in the door have one chance to impress. Why put the B team on when you can really do something amazing to earn a client for the long term? A client who saves 20% off their meal on their first visit will more than make up for this loss in subsequent visits. It all comes down to the lifetime value of a client.

A client who saves 20% and has a bad experience will just spread the word about how underwhelming you are. What a squandered opportunity.