Adaptability is “the new competitive advantage” for hospitality businesses
16 Oct 2017
The UK hospitality industry has taken quite a knock in recent months, but hospitality industry business expert Matthew Burge of Beavis Morgan says hospitality businesses must be flexible and adaptable to succeed.
According to the CGA’s latest Business Confidence Survey, restaurants, bars and pubs across Britain have seen a significant decline in like-for-like sales in the past year, down 0.9 per cent compared to last September.
The CGA’s Coffer Peach Business Tracker* shows that London restaurants were the most affected, suffering a 3.2 per cent decline in collective like-for-like sales as consumers reduce spend on eating and drinking out.
Whilst UK tourism is set to benefit from the weak pound, and the retail sector has finally seen a boost in sales performance, the hospitality industry is not so optimistic. The rising cost of property, tax, employees and raw materials is putting pressure on the industry, leaving just 34 per cent of SMEs in the sector feeling upbeat about prospects for the market as a whole.
“There is now a strong strategic opportunity for good business ideas in the restaurant industry, as well as an increased demand for exciting new products and exceptional service. Business owners must therefore be flexible and adapt to innovative ways of marketing their establishments and engaging with customers to drive footfall.
“It is also essential that business owners partner with an adviser who has an in-depth understanding of the hospitality industry and the unique set of challenges it presents. This trusted adviser will support you in making those all-important decisions which will mean the difference between success and failure.”
At Beavis Morgan, we have extensive experience of working with clients in the hospitality sector and our professionals are acknowledged experts in issues affecting pubs, bars and restaurants.
Through our partner businesses, BM Structured Finance and BM Advisory, we are able to help with sourcing and restructuring debt finance for SME businesses, as well as assisting with resolving issues which can impact on business performance and success, and finding innovative solutions for businesses and individuals in distress.
* The CGA Coffer Peach Tracker industry sales monitor for the UK pub and restaurant sector collects and analyses monthly performance data from 38 operating groups, and is recognised as the established industry benchmark.