Growth Club
1851 Growth Club
Franchising and COVID-19: Illinois to Shut Down Restaurants to Dine-in Customers by End of Day Monday
Governor Pritzker said to the Chicago Sun Times: “The time for persuasion and public appeals is over. The time for action is here,” the governor said. “This is not a joke. No one is immune to this, and you have an obligation to act in the best interests of all the people of this state.”
Both Gov. J.B. Pritzker (Illinois) and Gov. Mike DeWine (Ohio) have made the decision to close restaurants and bar to the public (dine-in guests) by Monday end of Day and by 9 p.m. on Sunday, respectively.
The drive for this action was after thousands of residents ignored pleas to stay in over the weekend, instead choosing to go to bars and restaurants on Saturday night. The large, close proximity crowds caused concern for the Governors.
According to the Columbus Dispatch, DeWine said he decided on the shutdown after hearing from people around the state Saturday night who were concerned about crowded bars. He said he was concerned that with St. Patrick’s Day coming up Tuesday, people would ignore warnings and go out to bars.
According to the Chicago Sun Times, Mayor Lori Lightfoot echoed the irritation: “it must be different, to save lives. I do not want to see hordes of people out in the streets. The bars will be shut. So please, stay home and be safe.”
What this will mean for franchise restaurants is two-fold. For those that have implemented third-party delivery, or delivery of their own, are in a strong position to still wow the customers with superior service. This will be those brand’s chances to give the customer the pickle. For those restaurants that haven’t jumped on this trend yet, it’s time to start thinking about how they can relieve some of the pressures of staff and franchise owners.
In response to the projected economic impact, GrubHub's CEO, Matt Maloney, sent out an email at 4:50 p.m. CST that said: With dine-in down as much as 75%, local restaurants need our support more than ever. As their partner, it is Grubhub’s responsibility to step up during this difficult time. So, we are deferring commission fees for impacted independent restaurants.
Delaying our revenue will increase the restaurant's cash flow, allowing them to pay their employees and weather this difficult situation. We are also matching all promotions run by independent restaurants with our Smart Promotions feature, to help make their investments in growth twice as effective.
To provide additional financial relief for our drivers and restaurants, we created the Grubhub Community Relief Fund. With this fund, all of your Donate the Change contributions will go to charitable organizations that support drivers and restaurants impacted by the coronavirus outbreak.
Local independent restaurants are the lifeblood of our communities and we must do everything we can to get them through this time of uncertainty. With empty dining rooms, restaurants are depending on pickup and delivery orders more than ever.
This week, 1851 will be co-hosting a special Franchise Community Webinar on the Coronavirus and Franchise. Register here: https://mbf6e734.clickfunnels.com/webinar-registration1584137477175
