Local Restaurant Owners Concerned About 'Oprah' Segment

Some Owners Worry Expert's Advice Will Hurt Business

Updated: 1:17 pm CST January 24, 2009

Local restaurant owners concerned about business in the struggling economy said they are hoping customers keep coming and don't heed the advice of a nationally known financial expert.

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The restaurant group Madison Originals said it fears a guest segment featured during the "Oprah Winfrey Show" in early January will affect its bottom line.

Oprah's "Best Life" series included personal finances expert Suze Orman as her guest. Orman suggested that 300 cash-strapped audience members take a number of pledges to save money and pay down debt -- including not dining out for one month.

"I understand times are tough -- save money, stay home. But if money is tight, and you have to make a choice, our philosophy is make the choice to spend the dollars locally," said Lisa Lathrop, a Madison Originals consultant. "Oprah is so powerful; people do listen when Oprah speaks. They are afraid the call to not eat out for a month will really hurt these local businesses."

WISC-TV has been getting many responses from both sides.

Amy from Madison wrote in an e-mail: "I am all for the episodes encouraging the public to live within their means, but to suggest a boycott of an entire industry is not only senseless but irresponsible."

And Lorel of Deerfield wrote: "I felt the challenge was directed toward people with poor spending habits who needed small steps to try that would help drag them out of their downward spiral."

Restaurant owners who are part of the Madison Originals group got together in downtown Madison late Thursday to talk about the possible impact Oprah's guest could have on their bottom line.

Some said they are especially worried about Orman's comments because of Oprah's popularity with audiences and the influence she has had on book sales and items featured in her "Favorite Things" series.

"She is a force. There's nothing wrong with that; I think that's great. I think she just missed the mark, and I think it needs a correction," said Robert Von Rutenberg, the owner of Mariner's Inn.

The restaurant owners said they are especially worried about the timing, as January is typically considered a very slow month.

On Friday night, however, it was standing room only at Quivey's Grove in Madison. The restaurant is locally owned and its Friday Fish Fry is a big seller.

WISC-TV spoke with many of the patrons about the pledge and about two-thirds said they probably wouldn't do it. The other one-third said they're already making choices when they want to save some money.

"I don't think that's too difficult to do. I'd say we dine out every other Friday, but then we'll go a stretch of a month or two and not," said Dan Kleist, a Madison resident.

"That's peoples' living. I mean, maybe people should not over-exceed what they can afford to do, but you shouldn't take away someone's livelihood," said Barbara Kontny, of Marinette.

Whether diners agreed or disagreed, almost everyone WISC-TV spoke with Friday knew something about Orman's pledge to save money.

And concern in the hospitality industry isn't just happening in the Madison area but also at the national level.

WISC-TV obtained a copy of a letter sent to Orman from Dawn Sweeney, the CEO and president of the National Restaurant Association.

The letter says that "if the roughly seven million viewers of 'The Oprah Winfrey Show' did not patronize restaurants for a month, the economic impact would be enormous for thousands of Americans who work in the industry."

The letter also cites the restaurant industry as the second-largest, private-sector employer in the country. Then goes on to say that "during this difficult economic period, we hope you will not encourage action that could cost jobs and hurt some of the very recession-pinched Americans you seek to help."

The Wisconsin Restaurant Association is meeting in La Crosse next week and this issue will most likely be added to the agenda, WISC-TV added.

A public relations member of Harpo Productions Inc. directed WISC-TV to an interactive Webcast Oprah held with Orman, again her guest, one week after the "make a pledge" TV Segment aired.

In the Webcast, Orman clarified that her advice was directed toward people trying to get out of high credit card debt.

"One of the largest expenses that I have found that people are spending money on when they have serious credit card debt, they don't have any money saved, is they're going out to eat. And that is not, in my opinion, a necessity of life when you know what it feels like to have credit card debt and you know what it fees like not to be able to pay your bills."

Watch the Webcast at this Web site.

Orman also reiterated that her advice called for a 30-day suspension of dining out, not a year-round avoidance of restaurants.

WISC-TV was unable to reach Orman's staff for comment Friday night.

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