Operators turn to 'plastic' bartering

Nation's Restaurant News, Jan 9, 1989 by Richard Martin

Despite the apparent cash-savings advantages of meals-for-media bartering, many operators have misgivings about the concept. For instance, the sudden, heavy redemption of credits by cardholders can send restaurateurs, reeling with complaints. "They forget; there's not free ride," said Aschkenasy, who found himself temporarily annoyed by a series of large parties booked by meal-credit cardholders.

"Barter is like any other marketing decision," Aschkenasy said. "You have to pay the piper. You get the benefit [of advertising or services] right away, but then you have the pain of paying [with seemingly "free" meals] over a long period of time."

Few participating operators denied that the storefront-de-cal logos and embossed plastic cards of the barter-broker clubs are relatively discreet and innocuous. However, some managers are concerned about the possible loss of a restaurant's prestige that could result from being identified as a purveyor of discounts.

"Cities like New York and Los Angeles have incredibly finicky customers," said Anne Marie Moylen, general manager of Cinco de Mayo restaurant, which is affiliated with most of the major discount-card outfits.

Doubtful about the programs despite Cinco de Mayo's involvement, Moylen believes many customers may "steer clear of places that have a lot of decals in their windows."