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Gerard Hart
Advisor, RED ROBIN GOURMET BURGERS

Can burgers really survive the journey to 30,000 feet?

🎥 Nov 20, 2024 📺 Cheddar ⏱ 0m 👁 1717 views
Can burgers really survive the journey to 30000 feet? Red Robin CEO G.J. Hart weighs in on Shake Shack's new partnership ...
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About Gerard Hart

G.J. Hart, president, CEO, and director of Red Robin Gourmet Burgers, has discussed the company's "North Star" turnaround plan, which he described as a five-point strategy focused on returning to the brand's roots of quality, hospitality, and community engagement. In earnings calls and interviews, Hart stated that the company made progress in 2023, including a 1.6% increase in comparable restaurant sales and a 33% rise in EBITDA. He outlined plans to invest an incremental $3 million in marketing to promote the chain's expanded "bottomless" menu, which now includes 30 items beyond fries, and to redirect the loyalty program toward rewarding existing customers rather than offering discounts to new guests. Hart has also commented on broader industry trends, describing a partnership between Shake Shack and Delta Airlines to serve burgers in first class as a "challenging risk" due to the difficulty of maintaining burger quality after cooking. In leadership discussions, he has emphasized the importance of being genuine, caring for team members, and serving the people one leads, stating that culture in an organization is "done by design, not by default." Hart, a James Madison University graduate and benefactor of its Hart School, has also spoken about the need for restaurants to adapt to rising costs and labor challenges through innovation.

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Transcript (1 segments)
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Gerard Hart0:00
Shake Shack is partnered with Delta Airlines. They're going to serve burgers in first class at 30,000 feet. My first thought is how does a hamburger that we love hot survive that process of going through security, sitting on a plane, and then taking the time to stay fresh that high? Can that work, or is that a big risk for a brand? In my opinion, it's a challenging risk, particularly with burgers, because burgers themselves don't have great longevity once they come off that grill. So I would definitely have to think twice about it. But look, they probably have some way of doing it better, bigger, and better. Shake Shack has done a great job as a brand, so more power to them. But I do think you have to be really, really careful to understand what your product is, what you're trying to deliver on the experience and high quality, and you have to stay maniacally focused on that.