oh lord... here it comes...
we were told by our accountants that if we did not raise our prices we'd be lucky to make it another 6 months.
so... since we have PLANS, and we want to share them with you - and because we get the feeling from many of you that you'd like it if we stayed - we have no choice but to put up prices.
the hard part was deciding by how much.
so, generally speaking - after much painstaking spreadsheet calculating and head-scratching - most everything is going up by 50 cents. A few items went up by a little more, some by a little less... and believe it or not, a couple actually went DOWN by a dime or two.
Specialty items, custom orders and catering will also see increases but we're confident that we're still not out of our reasonable price range. We've had comments that our catering is "very reasonable, almost too cheap," so we feel there's a bit of room to move there, as we know our product is of high quality.
Oh, and by popular demand... THE BLACKBOARD MENU is coming back. I painted the wall for it today, and over the next couple days will reinstate it for old times sake. Many customers have commented how much they miss it, and we had to admit that we missed it too! We'll keep the printed menus for the convenience of taking them to your table for leisurely contemplation, but the blackboard will be resurrected for quick decision-making and to make it more obvious that we do serve more than nanaimo bars & muffins.
and don't forget - christmas is a'comin... so if you want us to do your baking for you, order it soon!!
ciao for now
kera
Monday, November 24, 2008
Monday, November 3, 2008
the pricing dilemma
yep, it would be GREAT if everything were just free and money didn't exist.
don't you think?
I've run into another pricing dilemma. The cost of wheat flour has come back down - not down to what it used to be, but down from the stupid price it went up to in the spring. This is a good thing. It means that now, maybe, we're actually turning a profit on bread products, where we have been barely covering costs for the past 8 months. Am I evil to think that?
A big part of my brain says, "now hold on, missy - if your costs are going down, then you have to put your prices back down"... which conflicts with the other big part of my brain (yes, my brain IS that big) that says, "but, but, we were finally maybe going to start making enough money to pay to be here!"
I guess what I'm looking for is some kind of absolution - from our customers, ultimately... is it ok for us to make a decent living doing what we're doing? or are we cutting our throats by charging enough and thus going to lose customers because our prices are higher than the grocery store or the joint down the street.
Since we started this adventure we have NOT made any money.
The first year we covered our regular bills... more or less. There was nothing extra. Then we had to get a new vehicle, and to do that had to remortgage our house... that meant bigger payments, more payments... which we thought we could handle. Suffice to say, we made some mistakes.
So that's where the guilty part of my brain comes in - it's not our customers fault that we made some financial mis-calculations and they shouldn't have to be penalized for that by us putting up our prices.
At the same time, that other side of my brain says... "ya, but if we don't put up prices, then we'll have to not exist, because we CAN'T exist on what we're making now."
So - what to do??
We've since found ourselves in a less than pretty position, with the bank on the verge of taking our house away, behind on the rent for the bistro, wolves at every door and a few windows too... and I'm questioning what the heck we're doing.
We do this because we love to do it. We love the sense of community that we've built here at the bistro. We love our customers and the fact that we know so many of you by name (and your grandkids names, and what your sister's husband's brother's son is doing next weekend). We love that we are providing quality, delicious food as an alternative to the chain restaurants up the road. We WANT to be able to offer you more - like community dinners, and opportunities share and connect like we did at thanksgiving this year.
Problem with it all is this - we have to put prices up by 20% in order to actually start seeing some improvement.
Alternative solutions:
- reduce portions but keep prices the same - i can't see ANYONE being happy with THAT idea - we all hate it when chocolate bars get smaller... it would feel the same for nanaimo bars and sausage rolls
- hold some fundraisers... hard to do for a "for-profit" business, but not out of the realm of possibility.
- attract some investors... not our ideal situation, as that usual means they get a say in what we're doing, but then if they're experienced in this business, that might be a GOOD thing.
- leave the bistro in the hands of some $9-10/hour employees so ian and i can go get real jobs that pay actual money so we can become our own investors.
- find other revenue streams - I currently do web & graphic design still on the side, which helps, but it's exhausting to stay and do that for 4 hours a night after working for 12-14 hours in the bistro already.
We're very open to ideas... so if you have one, don't hesitate to share!
There's one other place where we have a pricing dilemma...
wheat vs. gluten-free products.
Brown rice flour currently costs 5x more than wheat flour.
so, in theory, gluten-free products should cost significantly more than wheat products... right?
but how is that fair? I have a real problem penalizing people for their diet, which in most cases they wouldn't choose if they didn't have to. Why should a gluten-free muffin cost $3 when a wheat muffin costs $1.85? It's the same problem i have with organic pricing... as far as i'm concerned EVERYTHING should be organic and it should all be affordable.
Perhaps we'll take an in-store poll... that worked for the bread pricing... the large majority voted to get the identical product but pay more.
ugh. why can't it be an easy, obvious, no-brainer solution?
see you on the wild side...
kera
don't you think?
I've run into another pricing dilemma. The cost of wheat flour has come back down - not down to what it used to be, but down from the stupid price it went up to in the spring. This is a good thing. It means that now, maybe, we're actually turning a profit on bread products, where we have been barely covering costs for the past 8 months. Am I evil to think that?
A big part of my brain says, "now hold on, missy - if your costs are going down, then you have to put your prices back down"... which conflicts with the other big part of my brain (yes, my brain IS that big) that says, "but, but, we were finally maybe going to start making enough money to pay to be here!"
I guess what I'm looking for is some kind of absolution - from our customers, ultimately... is it ok for us to make a decent living doing what we're doing? or are we cutting our throats by charging enough and thus going to lose customers because our prices are higher than the grocery store or the joint down the street.
Since we started this adventure we have NOT made any money.
The first year we covered our regular bills... more or less. There was nothing extra. Then we had to get a new vehicle, and to do that had to remortgage our house... that meant bigger payments, more payments... which we thought we could handle. Suffice to say, we made some mistakes.
So that's where the guilty part of my brain comes in - it's not our customers fault that we made some financial mis-calculations and they shouldn't have to be penalized for that by us putting up our prices.
At the same time, that other side of my brain says... "ya, but if we don't put up prices, then we'll have to not exist, because we CAN'T exist on what we're making now."
So - what to do??
We've since found ourselves in a less than pretty position, with the bank on the verge of taking our house away, behind on the rent for the bistro, wolves at every door and a few windows too... and I'm questioning what the heck we're doing.
We do this because we love to do it. We love the sense of community that we've built here at the bistro. We love our customers and the fact that we know so many of you by name (and your grandkids names, and what your sister's husband's brother's son is doing next weekend). We love that we are providing quality, delicious food as an alternative to the chain restaurants up the road. We WANT to be able to offer you more - like community dinners, and opportunities share and connect like we did at thanksgiving this year.
Problem with it all is this - we have to put prices up by 20% in order to actually start seeing some improvement.
Alternative solutions:
- reduce portions but keep prices the same - i can't see ANYONE being happy with THAT idea - we all hate it when chocolate bars get smaller... it would feel the same for nanaimo bars and sausage rolls
- hold some fundraisers... hard to do for a "for-profit" business, but not out of the realm of possibility.
- attract some investors... not our ideal situation, as that usual means they get a say in what we're doing, but then if they're experienced in this business, that might be a GOOD thing.
- leave the bistro in the hands of some $9-10/hour employees so ian and i can go get real jobs that pay actual money so we can become our own investors.
- find other revenue streams - I currently do web & graphic design still on the side, which helps, but it's exhausting to stay and do that for 4 hours a night after working for 12-14 hours in the bistro already.
We're very open to ideas... so if you have one, don't hesitate to share!
There's one other place where we have a pricing dilemma...
wheat vs. gluten-free products.
Brown rice flour currently costs 5x more than wheat flour.
so, in theory, gluten-free products should cost significantly more than wheat products... right?
but how is that fair? I have a real problem penalizing people for their diet, which in most cases they wouldn't choose if they didn't have to. Why should a gluten-free muffin cost $3 when a wheat muffin costs $1.85? It's the same problem i have with organic pricing... as far as i'm concerned EVERYTHING should be organic and it should all be affordable.
Perhaps we'll take an in-store poll... that worked for the bread pricing... the large majority voted to get the identical product but pay more.
ugh. why can't it be an easy, obvious, no-brainer solution?
see you on the wild side...
kera
Tuesday, September 23, 2008
why is it so hard to be green?
I'm pretty convinced that the packaging industry doesn't really WANT us to all start packaging green. If they did, they'd make it obtainable, affordable and logical to achieve.
Problem number 1: Can't get small quantities. If I want to start using "green" coffee cups, I have to order 10,000 of them in order to not pay astronomical shipping costs or the highest possible price. Got any idea how much space 10,000 12oz coffee cups takes up? Well, picture a single car garage. Then picture it pretty much full. (meanwhile, picture the bank account pretty much empty, because I just spent $1200 on coffee cups).
Problem number 2: Our suppliers that we currently buy packaging from have no incentive to source out green packaging because the costs to them are high, which they then HAVE to pass on to us, which makes it even MORE unafforadable - EVEN THO we've told them we'll pay it... just don't make us buy 10,000 at a time!
Problem number 3: Much of the biodegradable packaging out there is made from corn. Corn is replacing wheat in many crops in order to make biofuel. Biofuel is the main culprit behind the cost of flour going through the roof... so... buying CORN-based products is essentially cutting off my nose to spite my face.
Problem number 4: Petroleum-based products are skyrocketing in price now because of the "oil shortage"... so now, we're seeing the prices of the packaging that we've already been buying start to climb toward the cost of biodegradable packaging, and it's still BAD for the environment.
SO... do we just keep buying the same old stuff until it finally is more expensive than the biodegradable stuff? Do we take a stand and say NO to packaging altogether until we can find what we want? We KNOW it's out there - we can see it on the internet! It's HOW to get it that's the problem.
It's a dilemma.
People don't quite seem ready to take their food away in their hands without some sort of paper or plastic product protecting them from it...
So if we say "bring your own packaging or you're gonna get food on your hands," do you think we'll lose customers? Of course we will. Will we lose them for long? This i don't know.
I'm hardly an eco-freak... I just feel like we HAVE to do our part as a business. It's up to business and industry to lead the way... because as long as they are getting the tax breaks, and making the most mess, the rest of the population will be calling "hypocrite" and that simply isn't right.
Why should we - i mean the collective we, as in the private citizens of the world, have to shoulder the entire burden of saving the planet??
Why aren't captains of industry, big players in corporate kingdoms, and international business leaders standing up and leading the charge? They are the ones who have the most to GAIN by taking the forward steps... THEY are the ones that we will support with our consumerism if they lead by example. THEY are the ones who will get lauded for being "forward thinking" and "visionary"...
But yet here we are - jack and jill average, scared to death that our grandchildren and great grandchildren may not get to see the sun, or that polar bears may extinct, or that summer and winter will change times of year - scrounging our cloth bags out of the trunk, or hiking to the store with our backpacks, or lugging around stainless steel, BPA-free, non-petroleum-based cups, plates, spoons and bags to carry our organic, fair-trade, small-estate, locally grown or built "whatchamahoosits" in back to our compact-flourescent-lit, programmable-thermostat-heated, energy-star-compliant homes that cost us a small fortune to convert - in an effort to save the planet...
I don't get it.
I do what I can, what I choose to afford, what i can rationalize in my own life... and I admit, sometimes I take the easier/cheaper way out.
And I feel guilty about it.
Why don't the big guys feel guilty?????
THAT is what I don't get, I think...
I can barely sleep at night knowing that I've paid $130 for 50 big cake boxes that are going to carry a cake from my store to your house, and then promptly end up in your recycling bin or fireplace... and those guys get to make zillions polluting the planet, and destroying the forests, and killing the oceans, and raping the tarsands...
Problem number 1: Can't get small quantities. If I want to start using "green" coffee cups, I have to order 10,000 of them in order to not pay astronomical shipping costs or the highest possible price. Got any idea how much space 10,000 12oz coffee cups takes up? Well, picture a single car garage. Then picture it pretty much full. (meanwhile, picture the bank account pretty much empty, because I just spent $1200 on coffee cups).
Problem number 2: Our suppliers that we currently buy packaging from have no incentive to source out green packaging because the costs to them are high, which they then HAVE to pass on to us, which makes it even MORE unafforadable - EVEN THO we've told them we'll pay it... just don't make us buy 10,000 at a time!
Problem number 3: Much of the biodegradable packaging out there is made from corn. Corn is replacing wheat in many crops in order to make biofuel. Biofuel is the main culprit behind the cost of flour going through the roof... so... buying CORN-based products is essentially cutting off my nose to spite my face.
Problem number 4: Petroleum-based products are skyrocketing in price now because of the "oil shortage"... so now, we're seeing the prices of the packaging that we've already been buying start to climb toward the cost of biodegradable packaging, and it's still BAD for the environment.
SO... do we just keep buying the same old stuff until it finally is more expensive than the biodegradable stuff? Do we take a stand and say NO to packaging altogether until we can find what we want? We KNOW it's out there - we can see it on the internet! It's HOW to get it that's the problem.
It's a dilemma.
People don't quite seem ready to take their food away in their hands without some sort of paper or plastic product protecting them from it...
So if we say "bring your own packaging or you're gonna get food on your hands," do you think we'll lose customers? Of course we will. Will we lose them for long? This i don't know.
I'm hardly an eco-freak... I just feel like we HAVE to do our part as a business. It's up to business and industry to lead the way... because as long as they are getting the tax breaks, and making the most mess, the rest of the population will be calling "hypocrite" and that simply isn't right.
Why should we - i mean the collective we, as in the private citizens of the world, have to shoulder the entire burden of saving the planet??
Why aren't captains of industry, big players in corporate kingdoms, and international business leaders standing up and leading the charge? They are the ones who have the most to GAIN by taking the forward steps... THEY are the ones that we will support with our consumerism if they lead by example. THEY are the ones who will get lauded for being "forward thinking" and "visionary"...
But yet here we are - jack and jill average, scared to death that our grandchildren and great grandchildren may not get to see the sun, or that polar bears may extinct, or that summer and winter will change times of year - scrounging our cloth bags out of the trunk, or hiking to the store with our backpacks, or lugging around stainless steel, BPA-free, non-petroleum-based cups, plates, spoons and bags to carry our organic, fair-trade, small-estate, locally grown or built "whatchamahoosits" in back to our compact-flourescent-lit, programmable-thermostat-heated, energy-star-compliant homes that cost us a small fortune to convert - in an effort to save the planet...
I don't get it.
I do what I can, what I choose to afford, what i can rationalize in my own life... and I admit, sometimes I take the easier/cheaper way out.
And I feel guilty about it.
Why don't the big guys feel guilty?????
THAT is what I don't get, I think...
I can barely sleep at night knowing that I've paid $130 for 50 big cake boxes that are going to carry a cake from my store to your house, and then promptly end up in your recycling bin or fireplace... and those guys get to make zillions polluting the planet, and destroying the forests, and killing the oceans, and raping the tarsands...
Tuesday, September 9, 2008
bye bye summer
Oh my... I DO apologize - it's been SO long since my last confession...
Seriously. I do NOT know how those professional bloggers do it... write every day, maybe even multiple times... jeez, you'd think they got paid to write or something!
Anyway... what can we tell you about the last few months?
So much has happened, and yet it was not a summer of any great note as far as numbers were concerned - down about 20% over last year, in fact. But I understand that's not uncommon... seems it's kind of just "the way it was" this year.
Our foray into multiple locations has come to an end. Simply was not what we expected being down there at the Gibsons Harbour. It was a ton of work, and the cost of doing business there was not being met by the revenues at any point, which was really disappointing. We'd had such high hopes, but I think what really got us more than the lack of tourists, or the rise of the "staycation" was simply that we were stretched beyond our limit. We didn't have enough staff, we didn't have enough resources, and we simply didn't have what it required to make it successful.
Live & learn.
On to other things! Like our gorgeous, wonderful, miraculous expansion here at Gibsons Way!!
If you haven't been in to see it yet, we really hope you DO come soon!
We had a fantastic team of volunteers - friends, family & customers who came out and swung hammers and swathed paint, and swept and washed, and drywalled, and decorated, and played with electricity... it was so incredibly cool and generous and amazing, and we are very very grateful and appreciative of every single second you spent helping us achieve this step in the journey.
In a nutshell, we've nearly doubled the size of the seating area, built a bar, rearranged the main service area, added a men's restroom (complete with the requisite fixtures), upgraded the overall look & feel of the entire place, redirected the chi, and boosted the energy level.
Hmmm... built a bar, you say?? YES!
So, one thing leads to another... no saying yet WHEN that will come, but expect sometime in the not ridiculously distant future to be able to get a glass of great draft or a hand selected red with you meals... aw heck, maybe even a perfect martini!
And THAT would also suggest that perhaps meals past 6pm might be on the horizon... WATCH FOR IT. We'll be doing test runs by invitation, so join the mailing list and we'll tell you how you can get invited!
The whole coffeehouse idea is going really really well... summer was a bit quiet, but we're looking forward to re-ramping things up this fall. We had standing room only crowds in the spring... now everyone can have a seat! and it'll be so comfortable you may never want to leave!
Again, join the mailing list so you can stay up to date with who's playing when... we've got shows on Sept 13, Sept 27 and Oct 11 fully booked... plus Nov 8 and Dec 13 and maybe more in between. Check the website for details (right hand side of the homepage).
I think that's all I can tell you right now. There are some other things brewing but until we have a good handle on them we'll keep them under wraps.
Watch for new menu items - likely sometime in October...
and special events...
see you soon!
kera
Seriously. I do NOT know how those professional bloggers do it... write every day, maybe even multiple times... jeez, you'd think they got paid to write or something!
Anyway... what can we tell you about the last few months?
So much has happened, and yet it was not a summer of any great note as far as numbers were concerned - down about 20% over last year, in fact. But I understand that's not uncommon... seems it's kind of just "the way it was" this year.
Our foray into multiple locations has come to an end. Simply was not what we expected being down there at the Gibsons Harbour. It was a ton of work, and the cost of doing business there was not being met by the revenues at any point, which was really disappointing. We'd had such high hopes, but I think what really got us more than the lack of tourists, or the rise of the "staycation" was simply that we were stretched beyond our limit. We didn't have enough staff, we didn't have enough resources, and we simply didn't have what it required to make it successful.
Live & learn.
On to other things! Like our gorgeous, wonderful, miraculous expansion here at Gibsons Way!!
If you haven't been in to see it yet, we really hope you DO come soon!
We had a fantastic team of volunteers - friends, family & customers who came out and swung hammers and swathed paint, and swept and washed, and drywalled, and decorated, and played with electricity... it was so incredibly cool and generous and amazing, and we are very very grateful and appreciative of every single second you spent helping us achieve this step in the journey.
In a nutshell, we've nearly doubled the size of the seating area, built a bar, rearranged the main service area, added a men's restroom (complete with the requisite fixtures), upgraded the overall look & feel of the entire place, redirected the chi, and boosted the energy level.
Hmmm... built a bar, you say?? YES!
So, one thing leads to another... no saying yet WHEN that will come, but expect sometime in the not ridiculously distant future to be able to get a glass of great draft or a hand selected red with you meals... aw heck, maybe even a perfect martini!
And THAT would also suggest that perhaps meals past 6pm might be on the horizon... WATCH FOR IT. We'll be doing test runs by invitation, so join the mailing list and we'll tell you how you can get invited!
The whole coffeehouse idea is going really really well... summer was a bit quiet, but we're looking forward to re-ramping things up this fall. We had standing room only crowds in the spring... now everyone can have a seat! and it'll be so comfortable you may never want to leave!
Again, join the mailing list so you can stay up to date with who's playing when... we've got shows on Sept 13, Sept 27 and Oct 11 fully booked... plus Nov 8 and Dec 13 and maybe more in between. Check the website for details (right hand side of the homepage).
I think that's all I can tell you right now. There are some other things brewing but until we have a good handle on them we'll keep them under wraps.
Watch for new menu items - likely sometime in October...
and special events...
see you soon!
kera
Wednesday, June 4, 2008
summer... ? summer? where ARE YOU????
ok, so this seems to be a trend. LAST YEAR we had this same issue - summer, gone missing...
Do you remember the ad in the paper? i think it was mid july... "LOST: SUMMER... IF FOUND PLEASE RETURN TO THE SUNSHINE COAST"... it was brilliant and oh so true.
We really will have to make severe changes if we don't get a summer again this year... it's surprising to me just how dependent our business is on the weather.
I'm not surprised by the kiosk's dependence on good weather, tho it is significantly slower down there than i expected. I'm sure it will pick up once school is out and families are travelling... but wow, it's tough to sit down there for a whole day.
As for the bistro - changes are afoot!
We got the ok to take down the wall and expand... so watch for it... the long awaited expansion - we've been talking about it for over a year. We've decided to just GO FOR IT... so things may seem a little more chaotic than usual while we make that happen - as it will be a night time transformation cuz we can't afford to close for a week to do it... We beg your patience & understanding while we go through the transformation.
AND - if you have a nice old table taking up extra space, we'd love to take it off your hands. We're looking for solid wood tables with character... that don't need a TON of refinishing, but will stand up to regular use. We're also looking for a comfy, easy to clean couch and big comfy chairs... if you've got something in storage, or are upgrading your living room - let us know. Of course there are certain parameters we have to keep in mind, as these will become public seating, so they must be clean and easy to keep clean - leather or microfiber would be preferred. Ya, it's a big ask, but if you don't ask, you don't know!
We really really hope to have at least the wall down and seating in before the next coffeehouse (June 14), because the LAST 2 coffeehouses have been standing room only... which is great, but not all the comfortable for those left standing for 2 hours...
After that will come the lunch counter, and the reconfiguration of the kitchen... i think it's gonna be great. We'll be able to seat 20-30 more people, and have a great space for parties & events.
Speaking of parties - did you know you can book the bistro for your own private functions?
Evenings & weekends we're available to host your party, mixer, meeting, seminar... whatever. Call us to discuss details - you can either rent for a flat fee that includes one staff member & beverage service... or go all out and have us cater your event, too!
Don't forget to come visit the kiosk - open every day! (so if you're hankering for a great coffee on a sunday or monday, just run down the hill to the wharf and you'll find us...)
that's all for now.
back to waiting for the sun.
Do you remember the ad in the paper? i think it was mid july... "LOST: SUMMER... IF FOUND PLEASE RETURN TO THE SUNSHINE COAST"... it was brilliant and oh so true.
We really will have to make severe changes if we don't get a summer again this year... it's surprising to me just how dependent our business is on the weather.
I'm not surprised by the kiosk's dependence on good weather, tho it is significantly slower down there than i expected. I'm sure it will pick up once school is out and families are travelling... but wow, it's tough to sit down there for a whole day.
As for the bistro - changes are afoot!
We got the ok to take down the wall and expand... so watch for it... the long awaited expansion - we've been talking about it for over a year. We've decided to just GO FOR IT... so things may seem a little more chaotic than usual while we make that happen - as it will be a night time transformation cuz we can't afford to close for a week to do it... We beg your patience & understanding while we go through the transformation.
AND - if you have a nice old table taking up extra space, we'd love to take it off your hands. We're looking for solid wood tables with character... that don't need a TON of refinishing, but will stand up to regular use. We're also looking for a comfy, easy to clean couch and big comfy chairs... if you've got something in storage, or are upgrading your living room - let us know. Of course there are certain parameters we have to keep in mind, as these will become public seating, so they must be clean and easy to keep clean - leather or microfiber would be preferred. Ya, it's a big ask, but if you don't ask, you don't know!
We really really hope to have at least the wall down and seating in before the next coffeehouse (June 14), because the LAST 2 coffeehouses have been standing room only... which is great, but not all the comfortable for those left standing for 2 hours...
After that will come the lunch counter, and the reconfiguration of the kitchen... i think it's gonna be great. We'll be able to seat 20-30 more people, and have a great space for parties & events.
Speaking of parties - did you know you can book the bistro for your own private functions?
Evenings & weekends we're available to host your party, mixer, meeting, seminar... whatever. Call us to discuss details - you can either rent for a flat fee that includes one staff member & beverage service... or go all out and have us cater your event, too!
Don't forget to come visit the kiosk - open every day! (so if you're hankering for a great coffee on a sunday or monday, just run down the hill to the wharf and you'll find us...)
that's all for now.
back to waiting for the sun.
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