The UK pub industry may have been hit by a slump but the latest research has revealed that the future is looking bright. Between March 2012 and March 2015, a huge 42% of the country’s current pub businesses were established. This indicates that the past few years have been an incredibly exciting time for the industry.
Adam Rowse, head of business banking at Barclays, the national bank that carried out the research says, “The UK’s pub businesses are a key part of Britain’s culture and heritage in addition to a valuable contributor to the economy.”
And the new lease of life is all thanks to fresh faced young landlords who are becoming an increasingly common fixture across the nation. Figures indicate that the number of pub owners aged between 25 and 34 has risen by 25% since 2012. Industry analysts are hailing these young entrepreneurs for driving growth, fostering innovation and helping Brits rekindle their love with local watering holes. To ensure young pub entrepreneurs continue to prosper we’ve come up with some top tips on how first tie young landlords can arm their bars with the best chance at success.
Don’t forget to focus on food
One of the key factors driving growth in the pub industry is a focus on food. Matt Hiscox, Owner, Carpenters Arms in Pontypool has enjoyed unprecedented success over the past few years and puts it largely down to his kitchen. “Years previously, turnover would be approximately 75% in drink sales, but today – and for the past four to five years – that same proportion of turnover has shifted to food sales,” he reveals. Enticing punters with appetising food menus featuring fresh produce, unique flavours, old favourites and fair prices is a guaranteed way to boost profits.
Meet market demand
Plain and simple, new pub owners need to have an in-depth understanding of what the market wants. Hiscox explains “We’ve found by turning our business around to echo the demand of the public, we’ve managed to thrive and turnover has doubled.” Take the time to research your market and develop an aesthetic environment that appeals to punters, accompanied by a strategic menu and service plan.
Choose quality over choice
Industry analysts at the London Wine Fair have predicted that Brits are starting to shift away from traditional ‘big menu’ pubs and opt for a higher quality experience. The Wine Intelligence Carpe Vinum report warns, “Last century’s world of stand-up beer drinking in poorly lit and scruffy pubs is being pushed further to the margins, and may disappear entirely from urban centres over the next 5-10 years.” Remember, quality not quantity!
Take out insurance
Before throwing open the doors of a new pub the venue should be protected by a comprehensive pub insurance policy. This will ensure that if anything goes awry young landlords will enjoy immediate financial support in order to get back on their feet.
Armed with these three insider tips young pub landlords will be able to give their enterprises an edge over the competition.