Propel Morning Briefing Mast Head Propel Hospitaliity website Paul's Twitter Link Subscribe Unsubscribe Web Version Forward Email Hobgoblin Banner Morning Briefing Strap Line
Fri 15th Mar 2013 - Breaking News - Managed pubs grab 22% of eating out market
Managed pubs are outperforming with a 22% share of the UK eating out market: Food sales through managed pubs are outperforming the UK’s eating out market, insights firm Horizons has reported. Managed pubs are showing the most dynamic growth in the UK’s foodservice sector on the back of keen pricing, effective marketing and a broadening of their offering to appeal to a wider audience, said Horizons. The report says that managed pub restaurants now hold a 22% share of the UK’s popular eating out market (pubs, restaurants and quickservice outlets) up from 18% in 2008. Horizons expects this share to rise to 26% by 2016. The managed pub restaurant sector consists of almost 17,000 pubs and has combined food and associated beverage sales worth £4.8bn in 2012, 39% of their total sales. Leading operators include Mitchells & Butlers, JD Wetherspoon, Whitbread, Greene King, Spirit and Marston’s. The sector has been able to increase its share of food sales by successfully adjusting to changing consumer demand. Breakfast, for example, has become a growing revenue stream, accounting for 6% of all managed pub meals, with sales now worth £280m a year. Sales of midday meals – both weekdays and weekends – have also increased substantially, growing in value from £855m in 2006 to almost £1.5bn in 2012.“Consumers are choosing to eat in pub restaurants over other types of restaurant and this trend is likely to continue over the next few years. Managed pubs are doing a brilliant job at appealing to today’s consumer by being flexible in their offer and price sensitive,” said Horizons’ managing director Peter Backman. “In June 2011 our own QuickBite survey of 2,000 consumers showed that pub restaurants accounted for 17% of all meals eaten out. By December 2012 this had risen to 20%. Managed pubs are certainly getting something right in terms of their food, which is successfully filling the gap left by retreating alcohol sales. With growth at the current rate likely to continue, we expect food to account for 50% of managed pub sales by 2023.” Having multiple income streams not only allows pub operators to adjust their business model by shifting between lower margin and higher margin lines, but also provides operational flexibility to cope with short-term changes in demand prompted by the weather and sporting events, for example. This flexibility has also seen managed pub operators change in the longer term, adjusting to growing demand for new areas of business such as breakfast and coffee. “The managed pub restaurant market is dynamic – it leads the way in giving old favourites a new twist and capitalising on the latest trends. This sector has become a significant eating out market that is distinct from other sectors by offering consumers a product, service and atmosphere that they can’t get elsewhere,” added Backman. Managed pubs served 453 million meals in 2012 with the average price for a main course in the managed pub sector is £5.48, £3.61 for a starter, and £3.01 for a dessert. The price of an average meal is £9.41. In 2012 the top eight operators had food and associated beverage sales of £2.5bn. Mitchells & Butlers, the largest managed pub operator, sells more food in total than the biggest restaurant operators, with 48% of its total sales accounted for by food. Food sales at Marston’s represents 44% of its total sales, with food sales at Greene King reaching 38% of its total sales.


Return to Archive Click Here to Return to the Archive Listing
 
Punch Taverns Link
Return to Archive Click Here to Return to the Archive Listing
Propel Premium
 
Toggle Banner
 
Taylors of Harrogate Banner
 
Harri Banner
 
Bord Bia Banner
 
Swifty Banner
 
Lifebuoy Banner
 
BrewDog Banner
 
Eagle Eye Banner
 
Interiors UK Banner
 
Ei Group Banner
 
Trail Banner
 
Yumpingo Banner
 
Bizimply Banner
 
Lucky Saint Banner
 
Hello Beer Banner
 
Taylors of Harrogate Banner
 
Chika's Banner
 
The Vegetarian Butcher Banner
 
Zonal Banner
 
Pago Banner
 
Access Banner
 
Ten Kites Banner
 
Prestige Purchasing Banner
 
IOL Banner
 
COREcruitment Banner
 
Startle Banner
 
Bums on Seats Banner
 
Punch Taverns Link Punch Taverns Link
Twinings Banner
ALMR Web Link Web Version Unsubscribe Subscribe Propel Info website