How a cyber-attack forced an iconic restaurant to close

We're talking good vibes and a restaurant closure that marks the end of an era. But first: We're feeling inspired (and jealous) by this restaurant team's annual trip to Italy! Wherever you are, pull up a chair for the latest edition of The Prep. 

On the menu:
💠 A new owner for Keens Steakhouse
💠 The latest on tipping etiquette
💠 The downside of discounting
💠 Meet Ryo, a restaurant robot

What's got our attention:  Billionaire Tilman Fertitta paid $30 million for New York City’s iconic steakhouse Keens. “We looked for a buyer that agreed to allow our team to continue to operate and manage Keens in the same tradition it has been for the past 140 years,” says Bonnie Jenkins, the restaurant’s general manager.

What we’re reading: A look at the tipping landscape from Restaurant Dive, which finds that customers feel frustrated with the pressure to tip across industries, but they still tip a relatively stable 18% at restaurants.

What we’re wondering: How will Wonder’s acquisition of Grubhub shake up the delivery industry?

What we’re following: The downside of discounting. Diners are hopping around from discount to discount and leaving restaurants racing to the bottom. “You can’t discount yourself to prosperity,” Brett Schulman, CEO of Cava, told the Wall Street Journal.

Plus: We’re loving Infatuation’s list of 2025 restaurant trends, and we’re excited to see more masa and mini martinis on menus next year. 

Diners are here for the vibes

A restaurant's "overall vibes" have become a big factor in choosing where to dine, according to a new survey by Resy of 1,000 Americans who dine out. One in four respondents said a restaurant's vibe was a top factor when choosing a restaurant. In fact, Resy reported, "Some diners are going for vibes only, with 23% of respondents going to cocktail or wine bars 'just for the vibes,' even though they drink very little." Sure, it's a little vague, but that feeling of being taken care of and making a connection in an interesting atmosphere can be hard to describe. (Resy) 

A cyber scam cautionary tale for restaurants 

Gotham Restaurant, a culinary landmark in New York City, has closed after a long fight. The famed 40-year-old restaurant that popularized “tall food,” or meal components stacked on each other, fell victim to a cyber scam this summer. The scam cost them $45,000 and led them to file for Chapter 11 protection in July. At the time, the restaurant owners hoped they could reopen. But Gotham was already hurting after closing for COVID and restoring and updating the restaurant during that closure. Ultimately, the owners decided they could not reopen. 

“Ours is a cautionary tale around the cyber-attack, but so many other factors that contributed to our not making it. ...It is such a tough industry, and we learned a lot,” says co-owner Cassandra Csencsitz.  (The Strong Buzz) 

"You can kind of think of it like a portioning jukebox. You load your ingredients, you pick your song, and then you walk off to go do something else."

-Jose Alonso, the Co-Founder and CEO of Caldo describing how his culinary assistant Ryo, works

(🎧The Feed)

💠 Report: 95% of restaurants use AI-assisted tools

💠 Restaurant spending reaches new high vs. grocery shopping

💠 Alice Brock, restaurant owner behind “Alice’s Restaurant,” dies 

99%

Restaurant operators surveyed spending more on labor costs compared to last year (TouchBistro) 

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