Paul Antico, Founder of AllergyEats.com

Anita Jones-Mueller:  Who would give up a cushy job as a mutual fund manager to become a full time advocate for the food allergy community? Paul Antico did just that …

“Paul, I have talked with you a few times over the last year, and each time, I learn so much from you. I really admire your tenacity and commitment to a very important health issue … and one that touches you deeply. Tell us about your journey to help your kids and all those who suffer from food allergies.”  

Paul Antico: “I had a really successful investment management career for 17 years. The  Fidelity Small Cap Stock Fund I managed from its inception until I left reached $5.2 billion in assets, beating over 83% of its peers and outpacing the Russell 2000 Index by just over 4 percentage points per year. But all that wasn’t as important as my kids. Three of my five kids have severe food allergies. And I reached the point where I wanted to dedicate the same energy and drive that I had channeled into making money for others into helping make sure my kids, and other food-allergic families, could enjoy a higher quality life. So I retired from the investment industry to give AllergyEats 100%”

Anita Jones-Mueller:  “Tell us how you knew that was the right choice for you and your family.”

Paul Antico: “Well, one weekend my wife was out of town, and I decided to take the kids out to eat. I knew we could go to Bertucci’s because we eat there a lot, and they are great about preparing meals for my three kids who have the food allergies. But, Bertucci’s had an hour and half wait, and there was no way my kids could handle that. We were hungry!

So we started driving around looking for another restaurant. My wife was the expert on where to go, what to order for the kids and what to tell the restaurant so that we would avoid any cross contamination problems. But that day it was up to me to figure all that out. We were driving around and around and couldn’t find a restaurant that I knew I could count on. My kids were upset. I was overwhelmed. I knew we couldn’t take the chance of choosing a restaurant that wouldn’t be committed to preparing the kids’ meals without any trace of allergens.

It was that night that I knew I wanted to  help find a solution to eliminate the aggravation and fear my family was experiencing each time we wanted to eat out. I knew that the proportion of the public with food allergies was increasing at an alarming rate and others with food allergies were going through this same type of dilemma each time they wanted to dine out. I thought, if Bertucci’s can do this, any restaurant can, if they want to.” 

Anita Jones-Mueller:  “Wow! What a story. I think this is such an important issue and yet, a pretty complex one. I’d like to break this interview into two parts. So for Part I, let’s focus on how restaurants can benefit by offering allergen information. And then Part II will give a step by step “how-to.” 

So, you told me that you have developed an ROI case in which you can show that restaurants investing in a high quality allergen strategy will reap a reasonable ROI.  Is that right?”

Anita Jones-Mueller:  “So explain your ROI strategy.”

Paul Antico: “There are about 15 million people in the USA who have food allergies or diagnosed Celiac Disease (gluten intolerance). Let’s assume 20% of those will never feel comfortable eating out and another 20% will eat out anywhere even if the restaurant is not allergy friendly. That leaves about 9 million people who will spend money in restaurants if they feel secure that they will be served meals that are safe for them to eat. And don’t forget that each one of these 9 million people will dine out with other family members, friends, co-workers and business clients. So, I’ve made a conservative assumption that a new ‘food allergy’ customer will bring only two others to a restaurant that will cater to those with special dietary needs. (This estimate is especially conservative given the greater prevalence of food allergies in children, who often eat out with a party of four or more.) Therefore, if 3% of the public is the target market of potential new food-allergic  customers, then the total revenue opportunity grows to a 9% or greater potential increase for an allergy-friendly restaurant when considering the additional people whom those with food-allergic customers will bring to the restaurant.”

Anita Jones-Mueller:  “Ok, we’re following your analysis.”  

Paul Antico: “Good, here’s where it gets interesting: Let’s assume a casual dining chain averages roughly $2 million in sales per restaurant annually. For each sales dollar, say the restaurant earns a 15% profit. However, for each ADDITIONAL sales dollar, the restaurant will earn 25% or more (since many fixed costs are already covered).  Therefore, a 9% increase in sales at a typical casual dining chain that had been earning $300,000 per year would increase revenues by$180,000 per year with an additional $45,000 or more in annual profits.  That’s a 15% increase in the bottom-line each year!  And the beauty of this for the restaurateur is that becoming allergy-friendly does not require a significant investment.  I’m confident that this analysis is just as applicable to a smaller, independent restaurant as well as a large chain.

Anita Jones-Mueller:  “Thanks for that financial analysis. I know that the veto factor is really important. I’m sure that those with food allergies make up a very loyal market segment that can help restaurants if they provide an “allergy friendly” environment, which we’ll discuss in Part II of this interview.”

Paul Antico: “Yes, I know firsthand as the father of three children with food allergies that I avoid restaurants that won’t accommodate my kids’ special dietary requirements. I don’t have a choice. I have to take my family of seven to an allergy-friendly establishment. And through AllergyEats.com, I hear from others within the food-allergy community every day and they feel the same. The feedback is clear – if a restaurant has food allergy protocols in place, a trained and knowledgeable staff, and a respect for the needs of this community, food-allergic diners and their parties will be loyal to that restaurant. This has been confirmed by many food allergy-friendly restaurants.  From a business perspective, it’s in restaurants’ best interests to accommodate the food allergy population, as it can lead to significantly higher profits.”

Anita Jones-Mueller:  “I know you think Bertucci’s serves their customers with food allergies well. Are there others?”

Paul Antico: “Yes, Disney is the gold standard. They ask, “What does your child want to eat, and we’ll find a way to make it so they love it.” We just vacationed in Orlando for a week and my kids were treated so well. You can read my blog about our trip at AllergyEats.com. PF Chang’s is phenomenal in their methods to please guests with allergies, too. So is Legal Sea Foods. We have a local restaurant in Boston called Blue Ginger. Ming Tsai is the chef, and his son has food allergies, so Chef Ming definitely understands the needs of those who have allergies. Another local standout is the regional chain Not Your Average Joe’s, which has a sparkling 4.9 (out of 5.0) customer-based AllergyEats allergy-friendliness rating.  So if these restaurants can become allergy friendly, I know any restaurant can.

Anita Jones-Mueller:  “Before we finish, tell us about AllergyEats.com.”

Paul Antico: “I launched AllergyEats in February 2010. The site provides those with
food allergies an objective, peer-based format to find allergy-friendly restaurants and avoid those that don’t measure up. Right now, AllergyEats lists over 600,000 restaurants nationwide, which site visitors with food allergies can rate. The site also offers information on restaurants’ menus, including gluten-free menus, allergen lists, nutrition information, certifications, web links, directions and more. Tens of thousands of visitors now use the site monthly, and more than 3,000 social media “fans” follow
the site, participating in discussions and posting comments. The overwhelmingly positive response to the site demonstrates that AllergyEats is meeting a tremendous need in the food allergy community.”

Anita Jones-Mueller:  “Thanks, Paul for sharing this information. I look forward to
Part II where you give us more detail on how a restaurant can reap the benefits of becoming “allergy friendly.”

Pictured is the Antico Family: Bree is 1 year old and allergic to egg,  Keegan (left) is
9 years old and allergic to peanuts, tree nuts, dairy and sesame and Tucker (right) is
13 years old and allergic to peanuts and tree nuts.

- Part II will be posted on May 26