This week we'll be recapping some of the sessions at this year's Bar & Restaurant Expo that focused on all things people: building teams, retaining employees, creating a culture, and more!
At the 2025 Bar & Restaurant Expo, Steve Palmer, founder and chief vision officer of The Indigo Road Hospitality Group, shared a compelling message with attendees: Culture isn’t just a feel-good buzzword—it’s a powerful business model that drives growth, employee retention, guest satisfaction, and profitability.
In his session, "Culture as Currency: Building a Business Model for Success," Palmer discussed how he went from taking over a failing steakhouse in 2009 to overseeing 35 restaurants and six boutique hotels generating $135 million in annual sales. Palmer’s journey is proof that prioritizing people and purpose pays off.
From Service to Hospitality
Palmer kicked off his talk by distinguishing between service and hospitality. “Service is transactional. Hospitality is how we make people feel,” he said. Citing Danny Meyer, Palmer stressed that guests and employees remember emotional impact more than any technical performance.
This foundational belief shaped The Indigo Road’s approach: defining culture not by perks, but by behavior, empathy, and shared values.
Building a Collaborative, Values-Driven Team
One of Palmer’s most impactful strategies was democratizing culture creation. Early in the company’s growth, he invited team members to define what made the group work. “None of it had to do with résumés,” Palmer said. “It was all about emotional intelligence—humility, teamwork, curiosity, and drive.”
From this, they created hiring practices aligned with those values. Every manager and chef candidate now goes through six interviews and a paid “stage” (trial shift) to assess how they interact with staff and guests. The goal? Eliminate toxicity before it enters the building.
“Hire slow. Fire fast,” Palmer said. “Toxic people drive out your best employees. If someone’s hurting your culture, let them go—quickly.”
Transparency, Accountability, and Trust
Culture, Palmer emphasized, must be lived daily—not posted on a breakroom wall. To foster trust and accountability, Indigo Road shares P&Ls with staff and invites feedback through anonymous, long-form employee satisfaction surveys.
“We ask, ‘Do we live up to who we say we are?’” said Palmer. “If not, we want to know."
Leaders also model vulnerability and integrity. “If you say the schedule’s out by Wednesday at 3, it has to be. If you mess up, apologize,” Palmer said. “Without trust, none of this works.”
Culture Leads to Profitability
Palmer provided a striking example of culture’s financial impact. One of his restaurants, Indaco in Charleston, had long plateaued at $3 million annually. After replacing a toxic chef with a values-aligned leader, sales jumped to $4.7 million the next year—with no change in pricing or concept—and profit margins increased to 19%.
“It’s not magic,” Palmer said. “Energy is everything. When people like their jobs, guests feel it—and they come back.”
Investing in People—Literally
Palmer’s commitment to his employees goes beyond free meals or recognition. When he overheard a server struggling to save for a home, he launched an internal down-payment loan program. Indigo Road provides interest-free loans to long-tenured staff who demonstrate savings discipline. So far, roughly four dozen employees have bought homes—and not a single one has defaulted on the loan.
Other employee-centric initiatives include:
- Free mental health support
- Matched tuition for culinary school
- Weekly surprise-and-delight moments for both guests and staff
- Charity involvement in 105 organizations across seven states, raising $11 million last year
These investments, Palmer emphasized, don’t have to be expensive, “It’s not about grand gestures. It’s about showing people that they’re seen and valued.”
Scaling Without Losing Soul
While Indigo Road has grown significantly, Palmer stressed that they remain fiercely independent in spirit. Each concept retains its own chef, menu, and identity. What unites them is culture.
Palmer visits all 35 restaurants every 60 days to conduct “culture talks.” The goal isn’t control—it’s connection. “Culture doesn’t scale automatically,” he said. “You have to fight for it.”
Culture Isn’t a Perk—It’s a Strategy
Palmer’s session delivered a simple but powerful truth: Taking care of people isn’t an obstacle to profitability—it’s the path to it.
“If your employees hate their job, your chance of success is low,” he said. “But if they’re engaged, supported, and inspired, your business will thrive.”
In an industry facing labor shortages, rising costs, and increasing competition, Palmer’s message resonated: Culture isn’t just about creating a nice place to work—it’s about creating a business that works.
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Plan to Attend or Participate in Our Events:
- 2025 Bar & Restaurant Expo Colorado, October 26-28, 2025, Denver, Colorado
- 2026 Bar & Restaurant Expo, March 23-25, 2026, Las Vegas, Nevada.
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