Increasing food costs, workforce shortages, and inflation are just a few of the challenges that restaurants are already struggling with in 2023. However, not all restaurants are suffering equally, some have even managed to thrive in this difficult environment. The fast food and quick service categories were the least impacted by the pandemic due to their minimal interface model, and the coffee house, bakery, dessert shop category experienced the fastest recovery due to affordability and the return of office workers. Full-service restaurants have suffered the most and are taking the longest to recover. Those that are bouncing back attribute it to innovative menu offerings, expanded healthy food options, an emphasizes on social gathering spaces, and items that are price conscious.
Morgan Hill was voted one of the top 9 San Jose Suburbs to live in, according to a recent blog post from Redfin. The City’s small-town vibe, outdoor recreation activities, open-air markets, community events, and deep historical roots are top selling points for many San Jose employees looking to work but not live in the “Capital of Silicon Valley.”
In this eNewsletter, you will find information about key efforts that impact our business community, including:
-Third-quarter sales tax data remains positive
-(40) Significant projects currently in the pipeline
-Storm-impacted businesses could qualify for tax and loan relief
-Morgan Hill becomes home to the Bay Area Panthers
-What is the Chips and Science Act of 2022
-Nationwide holiday retail sales miss the mark
Read the January 2023 eNewsletterHEREand reach out to the team if you have any questions or want to connect with us. Thank you for continuing to “Choose Morgan Hill.”
Have questions? Contact City of Morgan Hill Economic Development Director Matt Mahood at Matt.Mahood@morganhill.ca.gov
For more than 41 years, the Mushroom Mardi Gras has been a celebrated community event in Morgan Hill. This year, not only the name but the event layout and attendance will look different. Ongoing security concerns since the 2019 Gilroy Garlic Festival shooting and a two-year event hiatus due to the pandemic, have forced the event’s Board of Director’s to reimagine the festival. This year, the new and improved Morgan Hill Mushroom Festival will span Monterey Rd, Dunne Ave, and the Community & Cultural Center parking lot. To conform to required enhanced security protocols, chain-link fencing will be placed around the entire festival perimeter. To cover the cost of the enhanced security measures, estimated to cost around $60k, festival goers will be charged an entrance fee of $15 for adults and $10 for seniors and military. Children under the age of 12 will receive free admission. Attendees can expect to enjoy the same arts & crafts vendors, cooking demos, and live music that the festival is known for, just in a more controlled environment.
Read the full article in the Morgan Hill Life NewspaperHERE.
The only true constant in retail, is change. Never has that statement been truer than in the past three years. For years Susan Reda, National Retail Federation Vice President of Education Strategy, has been publishing an annual retail prediction report. Here is what she predicts will be in store for the retail industry in 2023:
-The metaverse blends the physical and virtual worlds via virtual reality headsets. The tech is there but the consumer comfort level is lagging years behind.
-Web3 takes the metaverse a step further, implementing digital currency, tokens, and rewards redeemable either virtually or physically.
-Retail media networks will continue to gain momentum, providing targeted marketing and additional revenue opportunities.
-AI will become a stronger tool in retail, using first party data to influence personalized marketing messages that yield tangible conversion results.
-Right-sized retail stores and partnerships across smaller brands will continue to lead the expansion race.
-Gen Z consumers are currently driving the retail transformation, valuing both digital and face-to-face retail models. However, Gen A consumers will number 2 billion by 2025 further prioritizing social media and relationship-based marketing.
-Greenwashing will result in brand suicide this year, so businesses need to double down and stand behind their sustainability efforts.
-Nearshoring has been met with success by startups looking to sidestep the next supply chain disaster. Large businesses will continue to follow lead and in some cases partner together on cargo and storage space, providing an alternate revenue stream and savings for all.
-The Combatting Organized Retail Crime Act looks to decrease retail theft and violence rates, which have been steadily growing over the years.
-Continued warnings of an impending recession could lead to customers pulling back on purchases. However, although the number of transactions might decrease, they won’t sacrifice the quality, value or durability of the items they will continue to purchase.
Economic growth, job gains, and the renewable energy industry continue to fuel California’s economy, poising the state to soon surpass Germany as the 4th largest economy in the world. Renewable energy is the fastest growing business in California and a major contributor, alongside the tech industry and entrepreneurial magnetism, to the state outperforming the nation and the world in not one but several industries. California’s economy is surpassed only by the United States, China, and Japan.
