On a recent afternoon, Hangzhou chef Louis Li and florist Deng Xiaohua joined forces to present a unique flower-themed afternoon tea. Pastel blooms complemented salmon and scallop dishes, juices were created from petals, and figs accompanied Parma ham.
"Modern consumers want more than just tasty food — they also want an attractive environment," said chef Li of the RNL Catering Co. "And given that many restaurants offer similar menus, the overall customer experience does matter."
From a business perspective, creating unique restaurant experiences for customers has the distinct advantage of allowing restaurants to charge more. This is becoming all the more important in the current economic environment: According to the 2016 Annual Report of Food and Beverage Industry in China by China Hotel Association, the rising costs of food, rental, and labor make maintaining profitability increasingly challenging.
In Hangzhou, rental for a good downtown location is 20 yuan (US$2.98) per square meter per day, and even so, sometimes demand exceeds supply. "To cover all costs, a 200-square-meter restaurant needs to make turnover of 400,000 yuan every month," an insider revealed.
To remain profitable, some business-savvy restaurants are maximizing profits by commoditizing every square inch. InWE at the Kerry Center is a stylish contemporary teahouse where price tags are affixed to not just menu items, but also on chairs, tables and coffee machines.
"Tea, coffee and furniture are all about lifestyle," explained teahouse manager Zhou Yunsheng, adding that the restaurant has a partnership with a furniture brand.
Next door to InWE, the patisserie Mr Choi sells mouthwatering desserts — along with its signature teacups. Bernini Art Space, located in Hangzhou's prime Nanshan Road area, is split into several zones, with something for nearly every mood: a cafe, a restaurant, a florist studio, bar, and gallery.
Owner Jiang Hui explains that it was designed as a collection of artistic spaces, since "food, flowers and artwork are all artistic." Bernini spared no expense to create a stunning environment, with high-quality furniture, dinnerware, and even music curated by a French musician who varies his selections based on the weather, time of day, and number of guests. "Lifestyle is our product," said Jiang, echoing InWE's sentiments.
