by Abby Henson | Sep 1, 2017 | Blogs
Are you looking to take on new sites to grow your hospitality business?
If the answer’s a resounding “yes!”, you’re in good company – 60% of UK pubs are now managed by multi-site operators, while in recent years the restaurant sector has seen a rise in the number of chain operators coupled with a decrease in the average number of sites per chain, suggesting a vibrant market full of opportunity for those looking to expand.
Adding new sites can be a fantastic way to increase revenues and profits, as well as create a recognisable brand image that will contribute to a business that is healthy and sustainable in the long term.
Here are our top tips for how to best approach your expansion, giving your new empire the best chance of success.
Cheers to expansion!
Mean Business
It’s natural for operators of single-site enterprises to think of themselves as publicans or restaurateurs. As your business grows, it’s necessary to move away from this and into the mindset of the company director. This may mean you have new concerns, like detailed budgets and structured financial planning, that were not previously a significant consideration. Be sure that you and the people around you are able to effectively take on this responsibility before committing to growth.
Focus on Sustainability
Expansion that is not sustainable will damage your reputation and in the worst cases could spell the end for your business. It’s important to prepare very thoroughly, making plans and contingencies for your short, medium, and long-term future. Before adding a new site, you should be entirely confident both in its viability as a single enterprise, and as part of your wider brand, without overstretching your resources.
Reconcile Systems and Processes
Like the biblical house built on stone, it’s important that as your business is constructed its foundations are strong. Having effective and scalable systems and processes in place is crucial. In our industry, this means trusted EPoS, labour scheduling, reservations, and payroll systems should be implemented and reconciled across all sites as soon as humanly possible. This will save time and money in the long run and allow for easy employee transfer across your growing estate with minimal retraining required.
Time for a dramatic change?
Consider your Offer – Do you Stick or Twist?
It’s important to take an honest look at your offer. You might have a fantastic brand, but if you’re essentially a one trick pony, you may need to think very carefully about geography when expanding. Even the biggest industry players can fall foul of pitfalls here; in the last two years JD Wetherspoon has put more than 80 of their worst-performing pubs on the market, citing their proximity to other Wetherspoon sites. If looking to acquire new sites within close geographies, consider fresh ways to give each site unique character, opening up new pools of potential customers without pulling trade away from your existing sites.
Leverage your Fanbase
If you’re in the position where expansion is a viable option, you must be doing something right, which means your business will already have a corps of loyal customers. Make the most of this in your marketing efforts for your new sites by promoting them heavily on your existing mailing lists and encouraging your fanbase to share details of your new locations on their social media profiles. This serves to organically create a reputation for your business in its new areas, which can be just as helpful as direct marketing.
Create a Great Culture
You may be used to working as part of a small, close-knit team that feels more like being among friends than colleagues. That’s brilliant, and one of the reasons we love this industry, but that closeness can be diluted as your company grows. Try not to let this happen and focus on building a great company culture across all your sites. Organising social events that bring different sites’ teams together and offering employees incentives to visit your other sites can be very effective ways of making sure staff feel they are part of something worth being part of, and want to produce their very best for your business.
Trust your People
The more sites you acquire, the tougher it will get to manage them all closely. Multi-site operators are well-advised to embrace this fact and be willing to let go of control. Be thorough in your recruitment; leave no stone unturned in finding the best site managers, but then be prepared to back off. Invest your trust in them to run a tight ship without the need for you to oversee their every move, and the returns will be great.
Expansion can be hard but there’s a world of opportunity out there. Following the guidance above will put you in the best possible position to conquer it. Go and build your empire.
by Abby Henson | Aug 15, 2017 | Blogs
S4Labour is the fastest growing labour solution for the hospitality industry. It is intuitive and user-friendly software designed to optimise scheduling of staff, as well as manage HR functions. In addition to significantly reducing operating costs, the system saves its users valuable time, allowing site managers to focus on doing what they do best – delivering great experiences to customers. Here are six ways S4Labour can save you or your managers time.
Saving time leads to increased focus on service levels
EPoS Links
We have established integrations with most leading till system providers meaning hourly sales data populates automatically into S4Labour with no requirement for managers to duplicate the process. This also facilitates perfect scheduling, with the right number of people on shift to deliver service standards throughout the day.
Easy Time & Attendance Tracking
We can also take clock in and clock out data directly from EPoS terminals, ensuring correct payment of staff. This removes the need for managers to update shift times at the end of the night and the hassle of dealing with pay-related queries.
Managing Human Processes
HR functions can be a drain on managers’ time. S4Labour automatically manages complex processes such as calculating correct holiday accrual and sick pay, and makes previously burdensome tasks like ensuring staff have legal right to work and logging appraisals, grievances, and disciplinaries a breeze.
Template Rotas
Manually creating a rota every week is often an unnecessary undertaking. S4Labour removes the need to do this by allowing users to create template rotas, which can be allocated to the required week in seconds, and then adjusted as much or as little as desired to account for the forecasted specifics of that week’s trade. There is no limit to the number of templates that can be created, and they can be created for the whole site or by department.
Better Communication
S4Labour makes worrying whether staff have checked when they’re due to work a thing of the past. Every time a manager creates a new rota, a copy of it is automatically emailed to all employees at the site. Employees can also take responsibility for managing their own personal details and requesting holiday through the system, further freeing managers’ time.
A Fully Integrated Solution
We integrate with leading training, payroll, and property management providers, and others. S4Labour is a one-stop-shop for management processes, removing the burden of working across multiple systems. Having an integrated solution allows S4Labour customers to work with the providers they prefer, safe in the knowledge that we will partner with them.
To find out more about how S4Labour can save your business time and money, or to request a demonstration, call 01295 267400 or email alec@cattonhospitality.com today.
by Abby Henson | Aug 9, 2017 | Blogs, Sales Figures
Barons Pub Company is a collection of food-led pubs in the south of England. It was founded by Clive Price in 2000 and has grown healthily since. Averaging a new site acquisition every two years, Barons expanded outside of its Surrey heartland for the first time in early 2017, opening The Black Boy near Reading. Barons pubs have won a host of local and national accolades, including the coveted Shepherd Neame Food Pub of the Year 2017, while Clive himself was a finalist in the prestigious BII Licensee of the Year Award in the same year.
Barons have been using S4Labour since 2015 to control costs, generate sales, and provide better insight across their growing estate. We met Clive to discuss his business, its success, and how S4Labour helps to drive it.
Clive outside his Rose & Crown site
How was Barons founded and developed to its current form?
Having worked in a wide range of hospitality jobs since the age of fifteen, as well as gaining a degree in catering management and economics, by the year 2000 I felt I had gathered enough experience to start out on my own. So Barons was born, originally as a single site restaurant which soon developed into a string of popular pubs. Our ethos has always been a simple one – promoting high quality food and drink in line with great hospitality from warm and friendly staff. Increasingly we have focused on attractive refurbishments of sites, which based on customer feedback and financial results, has been part of a winning formula.
How is the business structured today?
We employ 350 people across the seven sites, as well as fifteen head office staff who are based at our flagship site, The Cricketers at Horsell near Woking. I originally founded Barons with a business partner, who moved on from the business in 2008, although several other members of our head office team are approaching ten years’ service. We have recently appointed a dedicated administrative assistant at every site, which has helped create a professional atmosphere and freed up managers’ time to focus on guests.
What makes Barons unique and successful?
I believe that at its heart, hospitality is about making people feel good, and that this goes deeper than quality food and polished service. We pride ourselves on being the best we can, and identify several core company values. Amongst these are the celebration of success, covering everything from a new barman’s first perfect pint to winning a national award, and a desire to evolve and embrace change to stay on top of our game. This has created a positive, professional, forward-thinking atmosphere that has been at the core of our success.
Barons prides itself on staff satisfaction and motivation
What led you to decide an advanced labour scheduling solution would be of benefit to Barons?
There were numerous factors. We were frustrated with the lack of management control we had over labour costs. The pen and paper approach we were using felt dated and caused issues such as rotas going missing and difficulties accessing historic data. As we opened more pubs, we realised we needed a system that would give us insight into all sites quickly and easily.
What led you to decide that S4Labour was the best option for you?
The system came highly recommended to us by a former colleague, and when it was demonstrated we liked it straight away. It was clear that S4Labour would provide the solution we were seeking at a reasonable price, so we were very happy to proceed with the relationship.
What other tools do you use in your business, and how have these been able to operate alongside S4Labour?
We use Zonal for our EPoS system, and the fact that S4Labour run a seamless integration with Zonal for importing sales figures has always been a real benefit. We run our payroll through a local accountant, who has found S4Labour’s payroll export to be a hassle-free way of ensuring staff are paid correctly and on time.
How have processes changed as a result of using S4Labour?
We don’t see S4Labour as a stick to beat managers with, rather as a tool to help them optimise their rota-writing process. It has more often been used to identify understaffing than overstaffing, which has led to better scheduling, with increased sales and better service as a result. This success has prompted a wider technological push within our business, including the introduction of a new automated table reservation process.
How has your relationship been with individuals within S4Labour?
They’ve been very helpful. We always get a prompt and useful response to queries. Since our initial training we have felt that we are dealing with individual professionals who care about our needs and want to work with us, rather than a faceless corporation.
S4Labour integrates seamlessly with Barons’ other systems and processes
What’s next for Barons?
Ten years ago, I wrote a plan for how I wanted the next decade to look. This has now been delivered with a high level of accuracy. The core of our business is in excellent shape, and with the increased control we now have, there’s no reason this can’t continue for the next ten years. Turnover for the twelve months to September 2016 was £9.7 million, and this is projected to rise to £12.5 million for 2017. Profits are also likely to increase, in part because of better cost controls. We will continue to focus on delivering great hospitality in attractive pubs, and may seek to acquire sites with the potential to develop an accommodation offer. Ultimately, we are targeting twelve to fifteen sites, and will use S4Labour to help us reach this goal.
How do you plan to use S4Labour in the future to further improve processes and drive ongoing success?
As our business grows, any system that gives more management control is very welcome. We have recently started using S4Labour’s new HR module, which will give us greater insight into the human side of our business and save our administrative staff a lot of time. We will also continue to use S4Labour to optimise staff deployment to drive profits. We have been able to use the system to identify potential cost savings of £7,000 a week, and that we were underspending on labour at weekends by as much as 8% of sales. Rectifying this has led to happier customers, more profits through fewer missed sales opportunities, and more motivated team members.
What challenges do you face?
Without question our biggest challenge is cost pressure. Business rates have doubled in recent years and our rents have risen in response to our success. I approve of the National Living Wage as it encourages people to forge long-term careers in hospitality, but it is also a strain, while commodity prices have increased by 40% in some areas. S4Labour gives us better insight into and control of costs, which is a big help in planning for the future.
What advice would you give to any similar business that was looking to engage S4Labour?
Do it – especially if you are still working with pen and paper or a spreadsheet. There are so many benefits, including greater insight, control of costs, and clarity of communication, especially across multiple sites, that it quickly pays for itself.
by Abby Henson | Aug 9, 2017 | Blogs
School’s out for summer, and for our industry that means there are a host of opportunities for operators to maximise sales. Doing this well can provide an even greater boost to turnover at a time of year that typically sees the strongest trading, setting your business up for success into the autumn and beyond.
Here are our top tips to fulfil your site’s potential over the hazy weeks ahead.
The summer holidays bring golden opportunities to boost trade
Consider Your Deployment
The summer holidays are likely to mean changes to your trading patterns. No school means far more kids, and therefore accompanying adults, will be in pubs and restaurants through the week. This will be especially pronounced at lunchtime and early in the evening, with parents looking for ways to keep their children entertained. Demand for staff will be affected accordingly, and a greater emphasis on daytime shifts and early start times is likely to be necessary. It’s important to ensure that you are ready to make the changes to staff deployment required to meet this shift in demand, and that team members are prepared to handle any changes to their schedules.
S4Labour is innovative and intuitive web-based software that allows the hospitality industry to better understand their trading patterns, promoting optimal scheduling, reduced labour spend, and excellent service.
Busy Kids are Happy Kids
There’s many a pub and restaurant manager that knows the value of keeping children entertained to maintain a calm, welcoming ambience. Colouring books and crayons are a cheap and very effective way of doing just this. If you chose to go down this route in your site, it’s a good idea to ensure you have plenty in stock, and that staff are well trained in how to make their youngest visitors feel welcome and well looked after. Going the extra mile to cater for children can create a great impression with parents, encouraging valuable repeat business.
Consider Spend & Dwell Time
With soft drinks and small portions likely to be the order of the day for parents with children, it’s easy to get disheartened at low-spending tables. However, although they may not splash out on that high-end bottle of wine, families are also likely to have short dwell times. Considering spend in the context of dwell time shows that welcoming families can be a very lucrative move.
Capitalising on the opportunities a shorter average dwell time bring may require refinement of processes, including promoting efficient ordering and payment, and developing a summer menu that lends itself to a rapid style of service.
Attractive beer gardens are a surefire summer draw
Beat the BBQ
The biggest challenge for our industry over the summer holidays is convincing consumers to resist the temptation of buying cheap supermarket food and drink and staying at home. To compete, operators need to focus both on offer and atmosphere. Realistically, venues are never going to beat shops on price, so it’s integral to create a customer experience that is good enough to justify a higher price point.
It’s important that any outside spaces are more attractive than the back garden. This means that cleanliness, ease of access to the bar and toilets, and activities to keep children occupied are all important considerations. Special events like beer or cider festivals, live music, and family fun days can be a perfect way to draw the crowds, although developing wet weather contingency plans is always a shrewd move.
Driving year-round custom
The summer holidays can provide an invaluable revenue boost, but the best operators will be looking to use them to maximise sales into September and far beyond. Many parents, looking to keep their children occupied, will visit new pubs, cafes, and restaurants this summer. Delivering a quality of service and offer that will convert them from first time visitors to year-round regulars is a surefire way to boost the overall health of your business. Summer is a perfect chance to promote your business as the social hub of your community, bringing fantastic experiences to customers of all ages and walks of life. Succeeding in this is one of the very best ways to ensure your long-term profitability.
by Abby Henson | Jul 12, 2017 | Blogs
Last Thursday, we were lucky enough to sponsor the latest in a long line of excellent Propel events. This year’s summer conference, complete with evening party, as ever saw a programme packed with illuminating speakers from all areas of hospitality. Across those on stage, we saw a common theme – strong, genuine people with a passion for what they do. Such inspiring leadership leads to the development of successful businesses, and it was a pleasure to spend the day with them.
Even as industry experts, it’s always a good time to learn new tricks, and we left armed with fresh insight on how the very best operate. Here are the key messages we took home with us.
Looking After People Pays
Jonathan Arana-Morton, co-founder of café concept The Breakfast Club, whose London sites routinely attract prodigious queues, delivered a punchy and energetic talk on his brand’s approach and expansion. His dedication to developing people shone through, with several members of his central staff today having progressed from initial front of house roles. Charity projects are also a cornerstone of The Breakfast’s Club’s ethos, with those who are happy to dedicate time outside work to helping others likely to be employees who go the extra mile to deliver special experiences. This leads to a superb working culture that’s plain to see and with rave reviews from customers, the approach clearly pays dividends.
We also learned that Jonathan does a mean Bill Withers at karaoke. It stands to reason; with queues round the block it’s always gonna be a lovely day!
Since 2005, The Breakfast Club has built an extremely loyal fanbase
Exceptional Retention, Exceptional Business
Wetherspoon chairman Tim Martin was in typically bullish yet playful mood as he stormed through his Q&A session with his Propel counterpart Paul Charity. When asked the reasons behind Wetherspoon’s unusually strong staff retention – an average service of eleven years for managers is streets ahead of the industry norm – he quipped that it’s largely because after working at one of his 900+ pubs they could never get a job anywhere else.
But beneath the jocular façade is a critical truth. Wetherspoon is a monumental success story, with profits and influence at levels of which others in the industry can only dream. Exceptional retention leads to exceptional business, and investment in staff training and development to promote longevity of service is rarely wasted.
Big Data is a Big Opportunity
A consistent strength of Propel events is the variety of the speakers. Amidst the presentations from experienced front-line operators, Simon Blackbourne, commercial director of analytics firm Tahola, delivered an insightful talk on the vast opportunities ‘Big Data’ can bring for those shrewd enough to exploit them.
Trusting your gut to make decisions on everything from stock levels to new site locations is looking increasingly to be a thing of the past, while the scope for cross-platform pollination of data is evidently massive. Combining data from labour scheduling systems, EPoS, and training providers will provide a depth of knowledge to improve any busines.
Allow Site Managers to Focus on What They Do Best
Colin Sadler, managing director of Revere Pub Company, Marston’s’ premium managed concept, spoke with energy and enthusiasm on his experiences with the firm to date. Perhaps surprisingly, he described his relationship with the brewing behemoth as relaxed and liberal, with the freedom to build a brand however he sees fit. Simultaneously, he praised the support provided by Marston’s when required with systems and essential, if less glamorous, business functions.
With Revere reporting a 7% rise in revenue last year and eyeing numerous new openings, this approach seems to be working. We see a lesson here for many in our industry. Site managers and their teams are often superb at providing quality products and service, but may struggle with tasks behind the scenes. A good head office, backed up by an effective operations manager, can provide the building blocks for similar success by providing the systems and support that allow those at site level to focus on doing what they do best.
Mowgli have developed a quality alternative Indian offer
Quality is King
After a twenty-year career as a barrister, Nisha Katona took the bold decision to trade court chambers for tiffin boxes and founded her Indian street food concept Mowgli. Her tireless passion for the food of her heritage shone, and it’s no surprise a £3.45 million outside investment in the brand has now been announced to support forthcoming expansion.
As a relative newcomer to hospitality, Nisha has faced a steep learning curve, but when asked, “What do you think more established industry figures could do better?”, she didn’t hesitate in her answer; food quality. With more than a few in the audience hungrily eyeing her on-stage menu imagery it’s hard to disagree. Even in today’s discerning and saturated market genuine quality will still attract crowds.
Who Dares Wins
Few people build a successful pub company. Fewer still build three. Yet that’s exactly what David Bruce, currently chairman of The West Berkshire Brewery, has done. As he entertained the room with pithy tales of his experiences with Firkin Pubs, The Capital Pub Company, and City Pub Company, the common themes were vision, grit, and the courage to back your ideas when others doubt them.
Through crowdfunding and government-supported EIS schemes, David has raised over £100 million to fund his visions, and sends a clear message to today’s would-be hospitality entrepreneurs. For the visionary, determined and plucky operator, today’s market brings opportunities to secure the backing needed to be part of the next generation of success stories.
Work with your Community
Rounding off the day was another respected industry veteran, Rupert Clevely, MD of Ei Group managed joint venture Hippo Inns. Apparently named in response to Rupert’s desultory wallowing as he looked for a new project following the sale of Geronimo to Youngs, Hippo has enjoyed a fruitful first two years, opening a tenth London site last week.
Clearly animated by the venture, he emphasised the importance of understanding, appreciating, and working with the community around your sites. This is an ethos close to the heart of Hippo. Each pub is markedly different, their offers tailored to the communities around them, from contemporary and aspirational west London hotspots to rugged yet chic East End style. Making the effort to relate to your local community and having the foresight to develop an offering they will value is a recipe for a loyal following and sustained achievement.
Catton’s Richard Hartley goes for goal at the evening party
At S4Labour we’re dedicated to helping the best get even better by helping them control costs, maximise efficiency, drive sales, and save time. This provides a framework for long-term success that allows operators to pursue their passions and make their visions a reality.
It was a privilege to spend the day (and night) in the company of so many inspiring hospitality professionals, and served as a fine reminder why we love this industry. We’re already looking forward to doing it again at the autumn conference.
To find out more about how S4Labour can help drive your ongoing business success call 01295 267400 today.
