Downbeach Foodie Podcast: Steve Marchel on Waterdog, Betty’s, Bally’s.

This DownbeachBUZZ podcast features Margate’s Steve Marchel. Both he and his wife are the entrepreneurs behind popular shore eateries like Water Dog Smokehouse, Betty’s Barbecue and Fried Chicken, Betty’s Seafood Shack and more.

Steve discusses the evolving business landscape of Margate, Ventnor, Atlantic City and Brigantine.

Marchel shares powerful insights on operating a successful seasonal business down the shore.

Entrepreneur, foodie, financial guy, Atlantic City High School Sports Hall of Famer, Yale guy, Ivy League Baseball. Wow. He’s the man behind Water Dog Smokehouse, along with his wife, of course.

• Changing Demographics & Business Growth: The year-round population in the Downbeach area has significantly increased, with summer crowds now being 6x to 8x larger than the off-season. This has led to higher discretionary income and more room for new businesses.
• “Shoulder Season” Strategy: To survive the seasonal nature of the shore, Marchel expanded his operations from a May–October window to March–December. He highlights that catering and food trucks are essential for generating “ancillary income” during the slower months.
• Employee Retention: A unique aspect of Marchel’s business model is paying key staff year-round, even when the restaurants are closed. He emphasizes that keeping a core group of 6 to 12 people is vital due to the difficulty of finding quality labor in the area.
• Pricing & Cost Challenges: Marchel discusses “crushing” impact of rising costs, noting that jumbo lump crab meat and lobster prices have jumped nearly 40% in a single year. Because he lacks a liquor license to offset costs, his strategy relies on high volume rather than extreme price hikes.
• Casino Market (Atlantic City): Marchel shares a “swing and a miss” experience with his venture with Bally’s Casino. He warns that the upcoming New York casinos will likely decrease the number of “high rollers” in Atlantic City, making him less bullish on the city’s market compared to the Downbeach area or even Brigantine.
• Resilience & Hiring: Drawing from his background as a Yale baseball player, Marchel prefers hiring athletes because they are accustomed to failure and know how to “get up immediately.” He believes resilience is the most critical trait for a great employee.
• Summer Outlook: For 2026 season, Marchel is introducing new menu items like Teriyaki bowls and lobster bites, opening the Betty’s Creamy Hut ice cream shop full-time, and significantly expanding his catering operations.