By Colin Macintyre, Managing Director
The UK gastro pub sector has been a cornerstone of British culture for decades, with over 50,000 pubs and bars across the country. Gastro pubs, in particular, are known for their high-quality food, welcoming atmosphere, and premium drinks selection. However, the industry has been hit by various challenges in recent years, including the cost-of-living crisis and the COVID-19 pandemic leading to a shortage of staff, which has further strained the industry.
How has the Cost-of-Living crisis affected Hospitality?
The cost-of-living crisis in the UK has resulted in an increase in the cost of food, energy, and other essential goods and services. As a result, gastro pubs have struggled to maintain their profit margins, leading to closures and revenue losses. However, industry leaders have implemented cost-saving measures to counter these challenges.
Many gastro pubs across the UK have also taken steps to reduce costs and remain competitive. For example, some have reduced their menu sizes and sourced more seasonal ingredients from local suppliers. These measures can help to maintain profit margins while still offering high-quality food and drink.
What Is the Hospitality industry doing to support itself?
Despite these challenges, the UK gastro-pub sector remains an important part of the country’s hospitality industry. According to a report by AlixPartners, the sector is expected to generate revenue of £20.3 billion in 2023, up from £18.2 billion in 2018. However, to achieve this growth, businesses need to adapt to changing consumer expectations.
Customers are increasingly seeking value for money and high-quality experiences. According to a survey by CGA, 47% of consumers said that they are willing to pay more for high-quality food and drink if balanced with great service. Moreover, 52% said that they would return to a pub if the quality of the service, food and drink was good. Therefore, a strong people plan, investing in the right staff and providing training and development opportunities are crucial to providing excellent customer service and building a positive reputation.
How can Ginger Hospitality support your Hospitality Business?
As the cost of living crisis continues to affect the industry, and with Easter upon us and summer approaching fast, working with the right industry recruitment specialists like Ginger Hospitality Recruitment will be key to ensuring your business secures the talent to deliver in 2023. Team Ginger has a proven track record of delivering exceptional results, and is eager to help. With a deep understanding of the industry, we can provide support and advice on staffing issues, helping businesses build and deliver their people plans. Whether it’s front-of-house, back-of-house, or management positions now is the time to ensure that your business is ready for the new season ahead.
