Psst... We're working on the next generation of Chowhound! View >
HOME > Chowhound > Not About Food >
Sep 25, 2005 12:32 AM

Food network…missed opportunity??

  • j

Paris, New York, and New Orleans. The three most talked about food cities. The Food Network has missed a golden opportunity to raise money for New Orleans Katrina victims. I am shocked that they have not gotten together for some sort of benefit show to raise money for one of the greatest food cities in the world.

  1. Click to Upload a photo (10 MB limit)
  1. p
    Professor Salt

    Great idea. You should write to Food Network and present the idea, or *you're* missing an opportunity to help.

    1. I saw a promo from Rachel Ray last night regarding fundraising for the victims of Katrina.

      1. Uhm... Emeril, Rachel Ray, and two others were part of an ad campaign to help with Katrina's savage damage.

        1. Emeril already did a fundraing show. Of course, that doesn't mean the network couldn't do more.

          1. If I'm not mistaken, they are heavily promoting Dine Out America or whatever it is on October 5th. All proceeds from restaurants go to Katrina victims.

            Many chains, who have great financial muscle, are spear heading this. I know Outback Steakhouse Int'l has ALL of their concepts participating which is around 1,500 restaurants.

            6 Replies
            1. re: BlueHerons

              i thought i read about two different programs like dine out america yet i searched and can't find another- did anyone else read this too?

              1. re: toncasmo

                I received an e-mail from Rockenwagner in Santa Monica saying that they are participating in One Dinner, One Night, One Nation, on Thursday, September 27. Participating restaurants are donating 25% to hurricane relief, in particular restaurant workers who have been displaced.

              2. re: BlueHerons

                ALL PROCEEDS? NO! And this is not being spearheaded by major corporations--it was started after 9/11 by a group of restaurant employees in Seattle, resurrected for this catastrophe.
                Different restaurants are doing different things, but none are giving all of their proceeds. Some are giving a flat % of sales, some a flat % of what they are calling "profits". Outback is giving 100% of "profits" for the day. Profits, of course, are what is left after taking the day's receipts, subtracting out food costs, beverage costs, labor costs, taxes, social security wages, unemployment insurance, liability insurance, rent (or mortgage payments), cleaning costs, advertising costs, etc.
                Profits are prety slim in the food business--a typical restaurant makes less than 5%.
                Outback, while donating 100% of "profits" (on Wednesday--one of the slowest days of the week), is only giving 25% to Dine For America--75% to other charities. While the cause seems worthy, this is not a very efficient way to get your donation to those who need it. I would urge you to give directly to the Red Cross instead.

                1. re: Two Forks

                  Two Forks, my husband has been in the restaurant business for many many years and his restaurants would close if they only cleared a nickel on the dollar.

                  You need to get out of the business if unless you clearing closer to a quarter on the dollar.

                  That said, Outback Steakhouses restaurants fall about at that range. If you look over their financials, you can see this. So, take 1500 restaurants averaging $8000 in sales should generate about $2000 per. $2000 X 1500 = 3 million dollars.

                  If you would like to email me directly, I would be happy to discuss this with you. My information comes directly from the source, Paul Avery the CEO who is a personal friend.

                  1. re: BlueHerons

                    One last thing, if a restaurant averages less than 5% in profits, you are talking about a restaurant that generates $1 million a year in sales making less than $50,000 in profits.

                    1. re: BlueHerons

                      That is correct. There are very few businesses of ANY kind which run a profit margin anywhere near 25%. Sorry if you disagree, but facts are facts.