Leading with Authenticity with Ricky Richardson of Eggs Up Grill

Speaker 1: 0:00

Welcome to another edition of Give an Ovation, the restaurant guest experience podcast, where I talk to industry experts to get their strategies and tactics you can use to create a five-star guest experience. This podcast is sponsored by Ovation, an operations and guest recovery platform for multi-unit restaurants that gives all the answers without annoying guests with all the questions. Learn more at OvationUpcom. And today it's gonna sound like I got a movie star on here and I'm pretty sure that his name used to be something like maybe your name was like Kerry Jameston and you were like no.

Speaker 2: 0:34

I want to change my name to.

Speaker 1: 0:36

Ricky Richardson that is a movie star name for a movie star guy the CEO of Eggs Up Grill, which is the number one breakfast franchise, and the former president of TGI Fridays. Welcome to the podcast, ricky.

Speaker 2: 0:49

Thank you so much, Zach. Happy to be here and a big fan of your podcast.

Speaker 1: 0:53

Well, thanks, I'm a big fan of yours and truly, though, your birth name is Ricky Richardson.

Speaker 2: 0:58

I joke with Richard Richardson, even better, right. Oh that's true. Yeah, I joke that. I guess I surprised my parents and they didn't have time for coming up with some alliteration. That was a little bit not so common.

Speaker 1: 1:11

But it works well. What's your middle name? Leslie Wesley. Leslie L? Oh, Leslie, like the comedian.

Speaker 2: 1:19

Yes, the rationale is my grandfather was an RLR, my father is an RLR, my older brother is an RLR, and he and I have both passed that down on our families as well, so same initials.

Speaker 1: 1:32

I love that. That's super cool. Well, much cooler than my name I was named after my mother's ex-boyfriend.

Speaker 1: 1:38

Well that being all said, with so many years of being a leader in this industry and you have a very unique style because you're not a bombastic personality, that's like when you typically think of, oh, what's like the leader of a restaurant group going to be like. When we talk, ricky, I feel like I am talking to just a Wall Street executive. How do you maintain the fun of what a restaurant is and the organization of like obviously you are an operations guy. How do you balance those two things?

Speaker 2: 2:13

That's a great point, a great question, zach, and it's you get more experience, get older in life, you learn a lot more about yourself and how you're wired. What I've loved about this industry since day one is the immediate satisfaction that you can get. I don't know another industry that has this type of scorecard that we do in restaurants, where you can know, guest by guest, whether or not you've been successful. Have you put a smile on that guest's face? Are they leaving happy An interaction with a team member? Have you made them better? Have you helped their day? At the end of the day, what did sales look like? How did those compare to projection? How, hey? At the end of the day, what did sales look like? How did those compare to projection? How did those compare to last year? How'd you do on the most recent restaurant review? What do your guest scores look like?

Speaker 2: 2:52

I've always loved the immediate gratification of the restaurant industry and the ability to get that instantaneous feedback.

Speaker 2: 2:56

That's the type of person that I have, but I've learned over time that I am, as you described I'm not a very outgoing person a bit reserved.

Speaker 2: 3:10

It is important, though, to realize, particularly in a leadership role, whether that's a leadership of a shift or leadership of a restaurant or leadership of a brand, that you've got to show the passion, express the passion, because people connect emotionally. The strongest connections come with a very clear and positive emotional connection there, or emotional component there. Realizing that about myself, creating opportunities to do more overt actions to try to show that passion Pretty reserved, quiet. Some of the most satisfying shifts in running a restaurant or running a business satisfying days are when you're in the midst of chaos. You can come out of that with a very positive set of experiences. But you want to stay even keel. You want to stay unemotional a bit and, respecting the fact that a lot of people need and want to see that passion, you work at it and try to find those events and activities and opportunities to connect with your team or with guests that way as well.

Speaker 1: 4:07

And that's one of the things is that, being a little more reserved, you're a very authentic person, I think. Sometimes, with people like myself, we're very gregarious, very outgoing. I am like 100% yellow on the scale. I don't need to be alone for even four minutes during the day. I always want to be around people. Sometimes that can come across as inauthentic, even though I guess I'm not trying to be anything. I'm just like being me, but you have this very authentic air aura about you. What would you recommend? And I loved how you talked about staying even keel during the chaos. As restaurant leaders, we're all getting blasted every which way and there's a New York Post article about this or an article about that and reviews about this and GM's not showing up to work and like all this stuff happening. What's some advice that you have about how do you stay even keel and how do you portray that authenticity?

Speaker 2: 5:06

There's a couple of components and layers to that, zach. I think it starts with being really clear on what the one thing is. And the one thing is what is it that's going to make this shift, this day, this month, this brand, successful? I think that's most important as a leader. We've got to accomplish X over the next month in our business. That's my one thing. To go deliver. Even amidst the chaos, even amongst the distractions that are going to happen and the fire drills that are going to take place or the strategic issues that'll come up, you can't lose sight of what that one thing is. And rallying your team around that. I think clarity as a leader to the team on what that one thing is and what their role is really really, really important as well. And then being consistent and not scatter shooting. So what's the one thing? The second piece is making sure your team understands that they're in part of something bigger than themselves. Sounds a little bit melodramatic, but another key piece of leadership is creating that energy and creating that clarity of I am a part of a team, I'm a part of a brand, I'm a part of a much bigger organization and we're gonna do amazing stuff together. And this month, my one thing is X, or this year, our one thing is Y. So the two things number one what's the vision, what's the destination? How can I be a part of something bigger than myself? And being really, really focused, as a business or as an individual, on what that one thing or that primary thing is that needs to get accomplished, and I think, when you've got those in place, that's really helpful and critical.

Speaker 2: 6:39

When we came to Ex-Up Grill, the business was acquired by the investment group I'm an investor in Ex-Up as well back in 2018. And it was a relatively successful concept at that time. Very little structure to it founder-led, but we had a whole new leadership team and a whole new ownership group. That was very new to the brand. We needed a true north about what our brand is.

Speaker 2: 7:00

What is it about this brand that resonates with guests, what is it that is important to franchise partners and how do we get that documented? So we don't stray from that and we created what we call the DNA of our brand. That's a list of critical touch points with guests, from products to ambiance, to service to, ultimately, the emotional reaction that we create. At a strategic sense. Our one thing at Eggs Up Grill is staying true to what the DNA of our brand is. All the initiatives we bring forward, how we communicate to our franchise partners, how we communicate to our consumers, our guests, have to go through that filter to ensure that we stay true to the brand. So a bit of a rambling answer. It's about clarity of purpose. It's around creating emotional connection, about being a part of something larger than themselves and consistently executing against that.

Speaker 1: 7:50

And that's so interesting because it's kind of like you guys adopted a new kid who is about to graduate high school. Right, there's already a lot of the personality there. They had a lot of the friend group. You couldn't just like alienate yourself from, like your new child, from the friends. You had to go back and understand where did this person come from? What is it about this child and again, I'm speaking about Eggs Up Grill what is it about this child that is so special and how do we focus on that and really hone in on what's working?

Speaker 1: 8:22

Because it is a tricky situation when you come in you get the chance to totally screw things up at the very end by saying, no, it's all wrong, correct.

Speaker 2: 8:30

I've been in the industry a long time. I love it, and a student of the industry for just as long. And there's case study after case study, Zach, of brands that have been very successful either in a single location or in a regional concentration and they've decided to put their foot down on the accelerator, either because they just want to grow, or there's new ownership that comes on board and you look out three or four years later and it's stumbling all over itself. Its core restaurants aren't doing well. Its new markets. They're not special anymore. They've lost their way. They've lost their true north.

Speaker 2: 9:01

At the beginning, that was my job. One that I believe was most important is we've got to do the hard work and the important work to make sure we all know what we're about and what it is that's made Exit Real successful. To this point, we're at 24 restaurants we came on board. We just opened our 73rd three weeks ago. We'll be close to 100 by the end of this year. 95 to 100 by the end of this year. Through that 4x growth that we don't lose sight of what has made this successful and kudos to my team and the work that they've done and our franchise partners. Our AUVs are up 40% over 2019. Wow, Almost half of that is in guest count growth, not just price. And they're doing a lot of things really well. And that work that we did about to use your analogy of the child understanding what's special about that child, helping them develop those parts of their personality, those parts of their skillset, strengthening areas that they may not be confident in Again, playing out that analogy has been the work that's helped us be successful.

Speaker 1: 9:58

I love that and, at the end of the day, what this all boils down to is the guest right. What do you think the most important aspect of guest experience nowadays is?

Speaker 2: 10:06

Our brand promise is everything to make you smile and that's what we ensure that our DNA built up to. And there's an incredible amount of things that are important to the guests. And there's the basics of the business. It's got to be a sparkling clean restaurant. The first arrival has got to be a positive impression.

Speaker 2: 10:22

The speed with which you're sat, the convenience of their entire experience, food coming out at water, accuracy is always key pieces. So there's a thousand different elements to a great experience. But if you fascinate around, at the end of the day when they walk out, if they got a smile on their face, they're going to tell a friend about it. When they remember Ex-Up, it's probably going to bring a smile back to their face and they're going to think fondly about us and they'll come back in. So whether that's a perfect experience is why they leave with a smile or because they had a problem. But it was handled correctly by the team and by the franchise partner, by the manager, and we made it right for them. When they leave with a smile, you know you've got an advocate for you and they'll be back. So we paint it in two foot letters above our kitchens for every guest to see of let me make you smile, and it's working well for us.

Speaker 1: 11:13

Love that. That in and of itself is a great tactic of just having that guest-centric verbiage, that both the guest and the servers are aligned with Any other tactics that you've used to improve the guest experience.

Speaker 2: 11:26

Absolutely. We've done technology things that we've invested in the business. When I got here in 2018, there was 24 restaurants. As I said, there was three different POS systems. At that time, we in the first six months concurrent to doing the DNA 2018, there was 24 restaurants. As I said, there was three different POS systems at that time. Wow, we in the first six months concurrent to doing the DNA work. We also organized a group of franchise partners and we identified Toast as a POS solution and it works for most of our franchise partners or small businesses, so it fits that profile really well.

Speaker 2: 11:53

From a service standpoint, though, it's a really intuitive system. We started day one with the handheld devices order at the table, pay at the table, convenience really drove the convenience side of that. Kds kitchen display systems we've started implementing. We've got about half our system right now. Thinking about throughput, thinking about guest convenience and the guest experience has been really important for us. On the guest set, understanding our guests better, we've got a tool with Vicki works really well CDB platform and then Ovation, obviously, that we have in.

Speaker 2: 12:24

I think 12 or 15 of our restaurants right now are continuing to expand that tool. In fact, I just got a weekly meeting and update on some further expansion of that test and being able to correspond to guests. Communicate to guests outside of the full walls is a critical piece, particularly when you acknowledge the feedback that they gave to you. Which is one of the beauties of automation as a tool is, when we hear good things or we hear things that aren't so great about an experience, that we can engage with that guest on their level and on their channel and do the work that needs to be done to put that smile on their face, even if it's a virtual smile because we're not in the same room together.

Speaker 1: 13:01

Right, and really it comes down to meeting the guests where they are, and I think you guys are, as we're continuously realizing that off-prem is not a fad. It seems crazy to even say that now, cause it's like, well, duh, it's like people eat food. Off-prem is staying around. It's like it seems so obvious, right. But one thing that a lot of brands haven't caught up to, that you guys are doing a great job of, is realizing that you have to treat that off-prem guest the same. You need to make sure that you don't throw out all your DNA because of that. And what does a smile mean for an off-prem guest? And one of the things that we've seen is, as you've been responding, as your team has been responding to these customers who have had some issues, the response back is wow, I can't believe you responded.

Speaker 2: 13:49

And wow, that is the virtual smile Absolutely, and you know that your whole comment about off-premises is incredibly accurate and it's not just that it's here to stay, but it's also the realization as a franchisor, as a brand leader, and the team's recognition. It's a constant piece of work to keep the awareness of the priority of that experience Top of mind for the restaurant teams as well as our franchise partners. Unfortunately, at times it can be kind of out of sight out of mind teams as well as our franchise partners. Unfortunately at times it can be kind of out of sight out of mind and it's just a random ticket process through the queue. But what's been really insightful for us is helping our franchise partners understand and our restaurant teams understand most of our transactions are not regular guests of Exit Grill.

Speaker 2: 14:32

It's incremental business for us and because sometimes just early days this spike in off-prem it was, I'd rather them come in inside because it's more convenient for me and easier for them and they'll have a better experience if they'll come dine in my restaurant versus accommodating them through third party or through online ordering or through catering. And coming to the realization through the data that it's incremental visit and incremental guests. A guest is likely not going to use you if they can't access you through those channels, I think puts a whole new level of appreciation on how you build your business and why meeting them where they are, as you just said, is so important, and not just to get the food to them accurately and timely, but also ensuring that you communicate with them. That adds a little bit of personalization and brand DNA to it.

Speaker 1: 15:21

Amen Love that. So switching gears. Who is someone that deserves innovation in the restaurant industry? Who's someone that we should be following?

Speaker 2: 15:30

Oh, wow, that's a great question. I think that some of the people that I'm most impressed with in the industry these won't be new names to you I don't know these folks but I continue to be amazed at the work the team at Chipotle does in that business. The way that they continue to not only grow the financial success of that business but the brand passion that they have created and the loyalty that they've created within that business is really really cool and I think on a macro level, there's lessons to be learned from what they are doing. I think that there's small players that I'm a big fan of.

Speaker 2: 16:05

There's a brand in Dallas called Macero Tex-Mex Concept that has really upped their game over the last couple of years from a guest experience and guest service standpoint. It's been around for probably a decade. Over the last two or three years of really invested in elevating that experience Interestingly, elevating the asset as well as the quality of their food and their service but it has created a much more upbeat and energetic vibe. So sometimes you think about going more upscale and it gets quieter and it gets A little more stodgy yeah, more stodgy, more reserved.

Speaker 1: 16:36

Kind of like TGI Fridays right, just a little quiet, reservedness. We've done just the opposite.

Speaker 2: 16:42

We've always been a big user there but also a fan of what they've done from a brand positioning standpoint. So one really, really big brand. As you can tell, I like Tex-Mex, I like Mexican food, so that's where I tend to lean with my experiences outside of work.

Speaker 1: 16:55

Where can people go to learn more about Eggs Up Grill or how to franchise it? Or maybe here's some more of your music, Ricky.

Speaker 2: 17:02

EggsUpGrillFranchisecom or reach out to me directly, rickyrichardson at EggsUpGrillcom. We'd love to talk to you about the brand, just to make you a fan, but also if you're interested in investing in Eggs Up Grill. We've got a ton of momentum, a lot of success, some fascinating numbers that we'll be publishing in our upcoming franchise development disclosure document next month. So life is going well here, team's working hard, we've got phenomenal partners.

Speaker 1: 17:28

That's awesome. Well, Ricky, despite having a name that sounds so good, it seems made up being authentically you. Today's ovation goes to you, Ricky. Thank you for joining us. Today's ovation goes to you, Ricky, Thank you for joining us on Give an Ovation.

Speaker 2: 17:39

Thanks, zach, I appreciate it. Take care.

Speaker 1: 17:41

Thanks for joining us today. If you liked this episode, leave us a review on Apple Podcasts or your favorite place to listen. We're all about feedback here. Again, this episode was sponsored by Ovation, a two-question SMS, SMS-based actionable guest feedback platform built for multi-unit restaurants. If you'd like to learn how we can help you measure and create a better guest experience, visit us at OvationUpcom.