Propel Morning Briefing Mast Head Propel Hospitaliity website Paul's Twitter Link Subscribe Unsubscribe Web Version Forward Email Swifty Banner Morning Briefing Strap Line
Fri 28th Apr 2017 - Easter like-for-likes down 3.8%, restaurants see 9.1% drop
Easter like-for-likes down 3.8%, restaurants see 9.1% drop: It was an Easter break to forget for Britain’s managed pub and restaurant groups, with collective like-for-like sales down 3.8% on 2016’s four-day holiday weekend, according to the latest Coffer Peach Business Tracker. While managed pubs experienced only a 1% fall in like-for-like sales, restaurant operators in the Tracker cohort suffered a steep 9.1% drop in like-for-like performance over the extended weekend period, including Good Friday and Easter Monday, compared with last year’s holiday weekend. “It was not a good time for eating out, as within the pub figures food-led businesses were down more than their drink-led competitors, which actually saw a slight increase in trade,” said Peter Martin, vice-president of CGA Peach, the business insight consultancy that produces the Tracker in partnership with Coffer Group and RSM. “The weather will have played its part in the comparatively poor performance in restaurants but Easter falling late this year in April, rather than in March last year, will have been a factor too. However, there will be concern that the overall decline is not a sign of a tightening in consumer spending. Easter last year was wet and this year the weather was much better, so that would have favoured pubs over restaurants – the reverse was true last year. A late Easter also meant some school holidays fell before the bank holiday weekend, meaning some children will have gone back to school on Tuesday. This may have curtailed the urge for families to go out. There are a number of factors at work here and it has to be noted like-for-like trading in March was only down 0.5% on 2016’s numbers, even without the impact of Easter, which is usually a busy time for the sector. Operators will hope overall April sales will hold up, even with a disappointing Easter, and that trading will even itself up over the two-month period. We will know in a few weeks. However, there will be nervousness about consumer sentiment, with cost pressures hitting businesses and customers alike. We expect overall trading to remain fairly flat for the foreseeable future.” Last month, Coffer Peach reported an underlying annual sales trend for managed pubs and restaurants showed sector like-for-likes running at just 0.8% ahead for the 12 months to the end of March. Trevor Watson, executive director, valuations, at Davis Coffer Lyons, said: “Easter statistics are prone to variations around weather and time of year. Nevertheless, these figures indicate the UK consumer is starting to take a more cautious approach towards eating and drinking away from home. The pub sector is now seeing the benefit of being leaner than it has for some years, which contrasts with the restaurant sector.” Paul Newman, head of leisure and hospitality at RSM, added: “These latest figures highlight the tougher consumer environment for the eating and drinking-out sector. Since June, we’ve seen a significant drop in consumer confidence and this year’s Easter spending will have been impacted by the squeeze on household budgets due to rising inflation and relatively static wages. April’s results will give a clearer indication if the later arrival of Easter and the weather over the period impacted the figures significantly or if they are more representative of an accelerated slowdown. In the meantime, the government’s business rate relief fund is now available, which will offer welcome light relief to some operators.”


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
 
McCain Banner
 
Zapaygo Banner
 
Matthew Clark Banner
 
Deliverect Banner
 
A2Z Masks Banner
 
Pub Plants Banner
 
Yoello Banner
 
Ei Group Banner
 
OrderPay Banner
 
TipJar Banner
 
Trail Banner
 
Odamo Banner
 
Arla Foods Banner
 
Nestle Waters Banner
 
Yumpingo Banner
 
Camile Banner
 
Eagle Eye Banner
 
Pepper Banner
 
The Leisure and Hospitality Collective Banner
 
LunchMate Banner
 
Biff's Banner
 
Zonal Banner
 
Swifty Banner
 
Yudu Banner
 
Orderbee Banner
 
Startle Banner
 
Venners Banner
 
Pago Banner
 
Access Banner
 
Ten Kites Banner
 
Prestige Purchasing Banner
 
IOL Banner
 
COREcruitment Banner
 
Punch Taverns Link Punch Taverns Link
Wi5 Banner
ALMR Web Link Web Version Unsubscribe Subscribe Propel Info website