NY ban remains the burning issue
One year on and New York's smoking ban continues to have far-reaching consequences for the trade as Claire Hu discovered when she visited the Big Apple New York bar operator Lee Seinfeld is not sure he will still be in business in a year.
He counts himself one of the victims of the smoking ban, which opponents say has sparked a massive decline in the city's once-thriving bar scene one year after being enforced by Mayor Michael Bloomberg. Seinfeld, who runs a three-strong group of bars called Dive in the Upper West Side, has seen a sustained 30% fall in takings at the worst affected outlet as well as the loss of regulars who he says now prefer to drink at home.
"I will hold on for as long as I can, but I don't know if I'll be here next year," he says. "I've been in the bar business 25 years and never seen anything have such a detrimental impact. The smoking ban stinks." While the ban, which applies to enclosed workplaces, is popular with non-smoking customers and some bar staff who say it helps protect health and creates a more pleasant working environment all outlets reported a sustained fall in takings of between 10 and 50%. A very cold winter has further added to the trade's woes, as customers preferred to stay at home rather than freeze while smoking outside.
Worst-hit have been local corner bars in residential areas such as the Upper West Side, East Village and Queens, which were frequented by workers on their way home. This 5-8pm slot, known in New York as happy hour, has seen the biggest fall in trade, with operators reporting the loss of regulars who now go home to drink or don't stay as long, because they find continually popping outside to smoke annoying. The New York Nightlife Association (NYNA) questioned 300 bars and nightclubs last autumn and found the number of customers had dropped 30% on average.
"It's especially hurting the smaller bars and neighbourhood taverns in the outer boroughs," says NYNA executive director Bob Zimmerman. "The trendy destination-type places in Manhattan are not affected as badly, as people want to go to them, smoking ban or no smoking ban." Zimmerman says the expectation that more non-smokers would go out to bars has failed to materialise. "People are going out less frequently and bars are not getting new customers."
Such is the strength of feeling against a policy seen as deeply damaging to the Big Apple's reputation as a libertarian party capital, that the MA was told by numerous insiders that a large proportion of bars regularly flout the ban. Seinfeld claims up to a third of bars in Manhattan and half those in the boroughs allow regulars to light up after 11pm, when the health inspectorshave gone home and the curtains have been drawn. A barmaid in East Greenwich winked at regulars and asked "What smoking ban?" when questioned by the MA a joke perhaps, but indicative of how some sectors of the $9.7bn nightlife industry believe that breaking the law is the only way to survive.
The health department, however, says there is 97% compliance and fines of $217,000 have so far been paid by offending premises. Another problem that operators say the ban has caused is a rift between bars and residents, who complain about noisy smokers standing outside premises. Many bars have had to hire extra doorstaff, and one venue described how residents have taken to throwing eggs at customers hardly conducive to a welcoming atmosphere. Bar staff complain they have to work longer hours to make the same tips as before the ban, and some venues say they have had to cut back on staff.
Many are trying new ways to attract and retain customers, including putting on drinks offers to lure back workers on their way home and introducing food. The extent to which the ban has impacted on suppliers is difficult to determine. Some retailers believe the off-trade has been boosted, as many of their regulars now buy beer to drink at home, but some of the smaller brewers say their profits have been hit. Mike Vitale, vice-president of sales at Brooklyn Brewery, was quoted as saying the smoking ban, along with cold weather and a still limp economy, had resulted in a "horrendous" winter. "The biggest thing was the smoking ban," he says.
The only exemption to the ban in New York City is if businesses can demonstrate they earned at least 10% of annual income from tobacco sales before the ban. Specialist cigar outlets are reporting a roaring trade while bars nearby are suffering from this customer migration. However, political pressure for the ban to be reversed appears to be growing. The NYNA is supporting a proposed State Bill to permit bars to allow smoking if they install high-grade air conditioning, and this Bill will be used to increase pressure for the city to follow suit. Three of the Democrats considering running for mayor say they will make smoking one of their main campaigning issues, accusing Bloomberg of railroading through a policy without adequate consultation and without consideration for small bars, the "soul of New York"..
