Australian Hotelier February 2022 by The Intermedia Group

AUSTRALIAN

AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE

Vol. 39 No. 1- February 2022

THE 2022 ANNUAL INDUSTRY LEADERS FORUM

Take your business and career to the next level The industry’s leading annual conference for Australia’s leading pub operators and senior managers.

Learn: • Recruitment and retention best practice • Effective team leadership • Exploring new revenue sources • Hotel property market trends • The business of food and beverage • The future of gaming

Thanks to our sponsors

INTERESTED IN SPONSORSHIP? Contact Jason Wild T: 0416 576 256 E: jwild@intermedia.com.au

N O S T E K C I T ! W O N SALE SUMMIT

MONDAY 4 APRIL 2022 Doltone House Darling Island, Sydney We are pleased to be able to gather to explore ideas and innovations to help Australia’s hoteliers recover and grow following the hurdles we have encountered over the past two years.

Scan here to find out more!

EARLY BIRD TICKETS START AT $199 + GST www.publeaders.com.au

Get your brand in the hand of 700+ industry professionals on the night, as well as driving brand awareness and educating 203,000+ trade that read our B2B publications with your ALIA sponsorship package

Let’s have some fun and be creative this year!

Sponsorship opportunities Contact Shane T Williams 0431 857 765 or stwilliams@intermedia.com.au

Remember when we could travel anywhere..? Let’s do it again! At ALIA 2022

Dress for your next holiday!

LASS

FIRST C 2021

022

A 123

OBER 2 19 OCT

ON I T A N I DEST

2 2 0 2 ALIA

ALIA 20 A 123

19 OCT

AR THE ST Y SYDNE

18:00

Wednesday 19 October 2022 The Star, Sydney · Pre Drinks from 6pm

Save the date

CONTENTS & ED’S NOTE

WE ENCOURAGE RESPONSIBLE DRINKING Get the facts DrinkWise.org.au

Contents

P20

PUBLISHER: Paul Wootton

SPECIAL FEATURES 8 2021 in focus: A look back at the year’s

biggest stories. 37 Staffing Crisis: Hastings People MD Luke

Butler helps to shed some light on the way forward.

OPERATORS 10

Black Rhino Group

Merivale

Odd Culture Group

Porters Plainland Hotel

Sunshine Coast Hotels

The Sydney Collective

INDUSTRY PARTNERS 11

Carlton & United Breweries

Goodman Fielder

Gaming Technologies Association

Hostplus

JLL Hotels & Hospitality

Konvoy

Paul Kelly Design

Player Elite

Quantaco

MAX

profile several operators that have something

as we enter 2022, and

in common – they all did some moving and

while thankfully there’s

shaking over the past year – and we also talk

not a lockdown in sight,

to a number industry partners that helped

visit www.intermedia.com.au or Call: 1800 651 422 (Mon – Fri 8:30-5pm AEST) Email: subscriptions@intermedia.com.au

them and many other pubs out along the way. Read on to hear about their respective

this variant’s peak in sight as I write, there

challenges, pivots, and epiphanies as the

are strong reasons to be hopeful that we can

pandemic challenged them – as it has us all –

finally get a chance to experience ‘Covid

to reexamine the way they do business.

normal’ sometime soon.

Happy 2022!

While it’s true that some things will never go back to the way they used to be – such as

Amanda Bryan, Editor

commuting to the office five days a week –

E: abryan@intermedia.com.au

Australian patron’s love of pubs has proven

6 | Australian Hotelier

GROUP ART DIRECTOR – LIQUOR AND HOSPITALITY: Kea Thorburn kthorburn@intermedia.com.au

To subscribe and to view other overseas rates

In this issue – our Annual Leaders Forum – we

lockdowns lifted over the past two years.

GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams

1yr (11 issues) for $95.00 (inc GST) 2yrs (22 issues) for $152.00 (inc GST) – Saving 20% 3yrs (33 issues) for $199.00 (inc GST) – Saving 30%

is again being tested

itself time and again as we’ve found when

NATIONAL SALES MANAGER: Jason Wild Tel: 02 8586 6213 jwild@intermedia.com.au

SUBSCRIPTION RATES

The industry’s resilience

on our much-anticipated recovery. But with

EDITOR: Amanda Bryan abryan@intermedia.com.au

PRODUCTION MANAGER: Jacqui Cooper jacqui@intermedia.com.au

Editor’s Note Omicron’s spread has still put the brakes

PUBLISHED BY: Food and Beverage Media Pty Ltd 41 Bridge Road GLEBE NSW Australia 2037 Tel: 02 9660 2113 Fax: 02 9660 4419

‣ Accommodation ‣ Gaming ‣ Healthy Beverages

DISCLAIMER: This publication is published by Food and Beverage Media Pty Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by Australian and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials. The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement. The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information. All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded save for those conditions and warranties which must be implied under the laws of any State of Australia or the provisions of Division 2 of Part V of the Trade Practices Act 1974 and any statutory modification or re-enactment thereof. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2022 - Food and Beverage Media Pty Ltd

YEAR IN REVIEW

2021 in focus We wrap up another year with a look back at some of the biggest breaking news stories of 2021.

August Redcape announced plans to delist from the ASX subject to shareholder approval after posting strong financial results.

September Hostplus and Charter Hall announced a $1.7bn takeover offer for ALE Property Group and its 78 pub freeholds.

October Melbourne exited its sixth lockdown after reaching 70.5%

January

May

double dose vaccination, and Sydney

New Year celebrations were

Australian Venue Company sold six

exited its second lockdown after 106 days.

muted due to restrictions

Queensland leased hotel freehold assets to

that aimed to prevent crowds

Hotel Property Investments for $32.7m.

gathering. Melbourne,

November AVC announced an alliance

Canberra, Brisbane, the Gold

June

with Afterpay in its Australian

Coast, and Adelaide cancelled their official

The Great Northern Hotel in

venues in a world hospitality

New Year’s fireworks.

Byron Bay was sold by long-time

first for the buy-now, pay later platform.

owners the Mooney family to

Australia confirmed its first Omicron cases

February

two Melbourne businessmen for

after two international arrivals tested

Justine Baker stepped

around $80 million. Endeavour Group

positive for the new variant.

down as Solotel CEO with

listed on the ASX after Woolworths

Elliot Solomon taking up

shareholders voted in favour of

December

the role. In March, Baker was appointed

demerging the group. Intrust Super and

Australian Venue Co announced plans

Chair of advocacy group the Night

Hostplus announced plans to merge with

to purchase the Saturno Group’s eight

Time Industries Association (NTIA).

Hostplus CEO David Elia heading up the

pubs and four bottle shops in and around

merged entity.

Adelaide, bringing AVC’s South Australian portfolio to a total of 18 venues.

More in store

Thorpe says. “People will surprise you when

The group remains on an expansion

given the right tools to shine.”

trajectory, with plans to add two to three

So the group pivoted some of its pubs, trading off-premise only, and instead of using Uber or Delivery, they devised an

more venues in 2022.

in-house delivery system that saw all food

Fine dining focus

and beverages delivered by the group’s

Thorpe says this focus on employees,

operate them, rising freehold values in

bartenders, managers and floor staff.

specifically making hospitality “a sustainable

that sector and a changing regulatory

career for those who have the spark for it”,

environment increasingly favours other

has defined the group ever since.

license types, for example, small bars,”

“We even hired e-bikes for those who couldn’t drive. Our staff all maintained

“While we love pubs, and will always

employment through that lockdown,

“Our appointment of James MacDonald

and the pubs garnered such intense

as Group Executive Chef and working with

community support that they came back

his team of industry-leading head chefs

gaming machines has swayed our appetite

after lockdown to a frightening level of

like Anna Ugarte-Carral, Jesse Warkentin,

toward “clean slate” opportunities, rather

trade – which more or less persists to

Doug Alverenga, and John Hockey, is a

than “turnkey” pubs with a heritage

this date.”

massive highlight for me,” he says.

overlay.”

Ultimately, Thorpe says, Covid has given

Thorpe says. “That together with our aversion to

According to Thorpe, being one of the

The group’s Newtown bottle shop has

rise to several new venues for the group,

very few pub operators in the country that

also been a runaway success, according to

and the team is around four times the size

do not operate gaming machines means

Thorpe who says the group may add more

now as it was at the top of the pandemic.

that the food and beverage offering is an

bottle shop sites in Sydney this year.

People focus Odd Culture Group’s People & Odd Culture program was developed in

especially crucial part of the business mix for Odd Culture Group. Odd Culture Newtown, which opened in November, was the first project Odd

“We’ve also just secured a site in Melbourne for our very first hospitality venue out of state, so keep your eyes peeled for that.”

February 2022 | 19

OPERATOR

Reimagining city venues, nimble pivots into off-premise, and edgy new offerings are paying off for the recently rebranded Sydney group.

The Great Northern Hotel, Byron Bay.

JLL HOTELS & HOSPITALITY

INDUSTRY PARTNER John Musca

JLL looks back on a huge year of pub sales which saw five years of market aggregation compressed into one.

Managing Director, Hotels & Hospitality Group JLL

A STELLAR run of pub sales has been

a discreet, off-market invitation only

developments, while right across the

keeping the property brokers at the

Expression of Interest process.

country we saw ‘blue-line fever’ – the rush

pointy end of these transactions on their toes for the past year. JLL Hotels & Hospitality, one of the

Not far behind, according to Musca, was the sale of the All Seasons Hotel in

frontage or ocean views, driven by Covid

Bendigo, the Lansvale Ramada Hotel in

intrastate visitation movements.

key players in the pub property market,

Cabramatta, and Gilligan’s in Cairns, which

conducted 83 pub asset transactions

transacted for a combined $150 million.

nationally, with a combined value of $1 billion in sales. According to JLL’s national director

to place capital in assets enjoying water

All three had substantial

“We also saw the continued rise of the freehold-only hotel investment asset class as the retail investment of choice,

accommodation components. “Working

noting yield compression extending to

closely with JLL Hotels’ Investment

private tenancy covenants for the first

John Musca, this result was a credit to the

Sales & Advisory teams added essential

time,” he says.

dedication of the JLL team, and was also

education and guidance to buyers less

a statement about the confidence clients

familiar with accommodation operations,”

realignment and necessary adjustment of

have in the property broker.

Musca says.

the balance between landlord and lessee

With such a large volume of sales

“Finally, bringing the class-leading

“The COVID-19 pandemic taught us the

interests, what is considered a sustainable

occurring during 2021, Musca says,

Merivale hospitality group to Victoria for

rent for any hospitality proprietor, and the

it was essential to deliver proficiently,

their first interstate pub acquisition at

effect that has on property capital values

expertly and speedily when helping clients

the magnificent Lorne Hotel, was both a

when rents need to be reduced to maintain

negotiate and then navigate the complete

privilege and pleasure.”

a long-term business outlook.

What’s next?

retail investment sector across the board.”

sale process. “It was also important to maintain a

“This is likely to have implications for the

sensitivity to the uncertainty hoteliers were

Musca is predicting ongoing consolidation of

experiencing at the venue level,” he says.

the market for the larger revenue-generating

reminded us that freehold ownership and

operations in every state as an ongoing

venue scale “are very useful underwriters

trend that rapidly escalated in 2021.

of business survival and asset value

The high level of sales activity also called for the expansion of the JLL team to meet the overwhelming demand for its

“We witnessed over five years’ worth of

According to Musca, Covid also

preservation in unheralded times”.

professional services.

market aggregation in 12 months.

2021 highlights

balance sheets of the private group

pub brokerage team, and the launch of

“It was a truly extraordinary year,” Musca

has seen portfolio expansion emerge

a National Mid-Markets brokerage team

says. “There were so many highlights – but

as a boardroom priority, whilst supply

servicing caravan parks, motels and other

certainly the $75 million sale of the Great

constraints continue to evolve.”

diversified hospitality asset opportunities.

“The public capital inflows and strong

For JLL, 2022 will bring new digital offerings and the further expansion of its

Northern Hotel, Byron Bay is a particular

According to Musca, NSW saw high

“2021 saw us assist more clients than

example of the unique value that the JLL

volumes of regional smaller pub sales to

ever to transcend state borders for group

selling platform can deliver to clients.”

build EGM inventories and the emergence

expansion and this national approach will

of greenfield and brownfield hotel

continue to be a focus in 2022,” Musca says.

This sale, he says, was completed in

20 | Australian Hotelier

Hospitality Solutions Solutions Hospitality

Accountingand andbusiness business advisory advisory Accounting

We know hospitality and our experienced finance specialists We know hospitality and our experienced finance specialists provide a range of services from bookkeeping to benchmarking, provide a range of services from bookkeeping to benchmarking, personalised to your business needs and goals. personalised to your business needs and goals.

Insurance and risk Insurance and risk

We offer hospitality industry-specific insurance, helping to protect We offer hospitality industry-specific insurance, helping to protect your assets and mitigate your risk. Delivered clearly, collaboratively your assets and mitigate your risk. Delivered clearly, collaboratively and at a lower cost. and at a lower cost.

Capital advisory Capital advisory

We help you navigate the complex world of capital, achieving the We help you navigate the complex world of capital, achieving the right outcome whether you are expanding, divesting or simply right outcome whether you are expanding, divesting or simply renovating. renovating.

Digital and analytics Digital and analytics

We develop systems tailor-made to solve the challenges of the We develop systems industry, tailor-made to you solve the challenges of and the Australian hospitality helping increase productivity Australian hospitality industry, helping you increase productivity and reduce costs via a simple to use cloud-based applications. reduce costs via a simple to use cloud-based applications.

sa les@quantaco.co sales@quantaco.co

sales@quantaco.co

www.quantaco.co www.quantaco.co www.quantaco.co Potential. Delivered. Potential. Delivered.

KONVOY KEGS

INDUSTRY PARTNER

Despite significant obstacles, 2021 was a productive year that set up a solid foundation for the future. ONGOING LOCKDOWNS in 2021

Nick Becker Co-Founder Konvoy

reinvest into other parts of the business.

According to Becker, logistics and

created challenges for all players in

“We have heard from our customers

tracking had always been a challenge

the hospitality supply chain. For keg

that the biggest challenges are the nitty-

specialist Konvoy, many of its kegs

gritty processes behind transportation

remained at a standstill in warehouses

and supply chain, not to mention the

report on a number of valuable data

and various pubs and venues across

environmental strain that owned keg

points including the temperature and

different states and between Australia

assets and transportation can have,”

location of the keg.

and New Zealand.

Becker says.

“We were all in it together, so we

Keg pooling also reduces the number

for customers. “With these beacons, the devices can

“This data helps improve the overall process and puts the control back into

made sure to constantly check in

of assets created, he says, to ensure

the brewer’s hands. For example, there is

with our customers, kept the lines

that excess is prevented, maintain the

no more manual scanning to be done on

of communication open, and were

longevity of existing assets through care

arrival at a venue, so the billing process

empathetic to their situation,” Konvoy co-

and regular servicing, and decrease

is kept in the hand of the brewery,

founder Nick Becker says.

the level of carbon footprint that

improving processes and eliminating

transportation may have.

errors and the need for additional

Despite the significant obstacles, he says, Konvoy was able to turn 2021 into

“As more and more breweries are

a productive year that set up a solid

becoming environmentally conscious,

foundation for continued growth in 2022.

Konvoy is providing a sustainable service

Konvoy raised $30 million in capital over the year, and also finished 2021 with over 475 customers across ANZ. “Hitting these big milestones over the

to complement this.”

It’s got the IoT

employee resources when the kegs move through the supply chain.” Konvoy also handles the collection of the kegs, reducing further processes and also improving the efficiency of keg transport logistics. “In 2022, we are

Another Konvoy milestone in 2021 was

looking to introduce a new and improved

past twelve months have truly been great

adding specialist IoT tracking technology

beacon, Katch 2.0, that will unlock even

highlights,” Becker says.

to more than half of its keg fleet.

more valuable insights,” Becker says.

The keg journey

something new and innovative to the keg

tracking technology and the analytics

Konvoy’s business objective is to ease the

industry,” Becker says. “Thanks to our

Konvoy can provide its partners.

friction of the keg journey from brewery to

technology arm Katch, over 55 per cent of

venue and back again by offering a pooling

our fleet of 200,000 red Konvoy stainless

international footprint into the USA and

business model that frees up capital for

steel kegs are fitted with a smart IoT

Europe that will truly see Konvoy paint the

brewers and breweries so that they can

device that acts like a beacon.”

world red.”

22 | Australian Hotelier

“We have been very excited to bring

The plan is to continue to advance the

“We will also be looking to expand our

knowledge with global reach Domestic

As the largest national pub brokerage team in Australia, our global reach and local market expertise combine to deliver proven results. Our team of operatives set the standard through unwavering commitment to our clients’ objectives, delivering beyond borders. Partnering with the most successful national pub brokerage team provides you with the expertise of a local market leader, so contact us today.

TOM GLEESON

Senior Vice President +61 449 289 845

MARK WALSH Vice President +61 448 727 362

CHRISTIAN TSALIKIS Vice President +61 421 562 262

JOHN MUSCA

BEN MCDONALD

Managing Director Senior Vice President +61 424 257 004 +61 414 182 848

CHLOE MASON Senior Executive +61 466 610 729

WILL CONNOLLY Vice President +61 432 116 287

KATE MACDONALD GREG JELOUDEV Vice President +61 412 726 676

Executive +61 401 670 053

www.jl l.com.au/hospitality jll.com.au/hospitality

Porters Plainland Hotel won four QHA awards last year.

PORTERS PLAINLAND HOTEL

OPERATOR

This award-winning family-owned regional Queensland pub has a strong service focus and is also kicking goals in sustainability.

Melissa Porter

Co-owner and marketing manager Porters Plainland Hotel

PORTERS PLAINLAND Hotel, a regional

offer real connection, she says. “No amount

“The Hotel also has two 130,000 litre

family-owned Queensland pub, cleaned

of pivoting, online offerings or gourmet meal

rainwater tanks and collects rainwater off

up at last year’s QHA awards, taking

kits will ever change this.”

most roof surfaces. The water is used to

out Regional Hotel of the Year, and

That said, according to Porter, Covid

flush the hotel and motel’s many toilets.”

has made a positive impact in a few small

accommodation, best Keno venue, and

areas, such as expanding the venue’s

What’s next?

Chef of the Year.

online delivery service.

Next on the agenda is composting, says

“We now offer food and drinks delivery

Porter. “It’s funny. Back in the 80s

Melissa Porter says the Regional Hotel

in our local region and at one stage were

and 90s, we disposed of all food waste

of the Year award in particular was

the number one Bottlemart store in

ourselves and then over time moved

“definitely a highlight”.

Australia for deliveries.

away from this due to increasing Health &

“Not just for the past year but a nice

“And in our instance, being within the

Safety regulations.

feather in our hat for many years to

lucrative one-hour drive market from

come,” she says. “We try to do all the

Brisbane has seen our local roads

of food waste sustainably but do so in a

little things well. And our core focus is

and regions busy with travellers and

compliant way. We also have a lot of land

always customer service.

day-trippers.”

at our disposal. So, if any regional venues

“We often say you can walk into any pub in Queensland and get almost the same

For the planet

parmy and you can get the exact same

The pub is also known for its extensive

beer. So it’s our service that sets us apart.

sustainability programs, and the venue

How we make people feel. And consistency

built on this in 2021.

in both product and service is important.”

Beyond Covid

“We already had a 30kw solar system

“Now we want to loop back to disposing

that take care of their own composting have any tips, I would love you to get in touch and share your insights.” In 2019 the venue undertook an expansion which more than doubled the size of the premises, leaving just a few

operating on the roof of our Bottleshop.

small projects to work on such as a refurb

And in late 2021 we added a brand new

of its main kitchen dry store, scullery and

Not surprisingly, Porter says, lockdowns

66kw system on the roof of our new motel

front service counter.

have posed the biggest challenge over the

which is exciting,” Porter says.

past year. “Having to close the doors to

“Our water-saving initiatives remain

“In a few years we may look at adding more motel rooms, as our 17-room motel

your business with short notice and no

strong. The hotel has its own water treatment

is experiencing healthy occupancy levels,

real certainty as to when you can open

plant which currently recycles between

and possibly adding a wedding chapel/

them again is definitely not fun.”

8,000 and 10,000 litres per day and has the

multipurpose space on the green space

capacity to recycle up to 18,000 litres per

adjacent to the hotel, but the latter two

day. So we have room to grow here.

will be a few years in the making.”

Hotels don’t just sell food and beverages, but also fun and positive experiences, and

24 | Australian Hotelier

other top gongs including best pub-style

Co-owner and marketing manager

CMY

www.paulkellydesign.com.au

The Mermaid Beach Tavern sports bar.

PAUL KELLY DESIGN

INDUSTRY PARTNER

As it prepares to celebrate 25 years in business, Paul Kelly Design shares the past year’s highlights and what’s in the pipeline in 2022.

Paul Kelly

Director Paul Kelly Designs

2021 HAS been a wild ride for Paul Kelly

the Gardens at the Ambarvale Hotel for

shut down in a pandemic, it is also quick

Design (PKD). While some amazing

Colin Parras, a client for over 20 years.

to pick up speed once lockdowns end.

construction for months without a single

Project pipeline

that surrounded the industry was

site visit, while others remain unfinished

More projects are in the pipeline, says

overwhelming, although some could see

due to border restrictions.

Kelly. “We have some really exciting works

through the haze to the big picture and took advantage of the downturn.”

projects opened up, some were under

“When Covid first hit, the panic

“The biggest challenge in our field was

in progress at the moment. We are working

keeping our chin up, as we had a few false

with the Star in Brisbane on their signature

starts and a lot of uncertainty in regard to

rooftop development on Level 23 which is a

opportunity to renovate, according to

developments starting and pausing,” says

very exciting project for the PKD Team.

Kelly. “It seems that council working

PKD director Paul Kelly. “However, for a year that saw a massive

“We also have started working with

For instance, many venues took the

remotely has offered a real opportunity

Sam and the team at Iris on the new

for venues to complete repairs and

slowdown in our industry, we have had some

Queensgate Development (The Bourbon

maintenance over the past year, with

amazing clients that have decided to push

through to the Empire Hotel and retail),

the majority of the repairs being

through and have vision for the long game.”

and it’s such an honour to be working on

quite significant.”

PKD completed projects in Queensland with JDA Hotels’ Mermaid Beach Tavern,

such an iconic development. “But the biggest news is that in 2022

Kelly says this shows that the industry values PKD services, that owners are

in Griffith, NSW with the opening of Jim

Paul Kelly Design is 25 years old! We are

interested in increasing the value of their

Knox’s Gem Hotel, and construction has

planning a massive year of celebration

assets, and customers are in turn showing

begun on Franklin Wharf in Hobart.

and appreciation for all of the clients who

support with their patronage.

Other projects include the company’s first Byron Bay project, The North Byron

have been along with us on the journey.”

“I think after all of this, we are going to be in and out of limits on venues and

Hotel for Sean Dunleavy, as well as The

Constructive approach

Entrance Hotel for Andrew Thomas, the

Kelly notes that while the hospitality

and forth to timed seatings, allowing

Woollahra Hotel for Alister Campbell, and

industry has been one of the first to be

venues to focus on service and quality.”

26 | Australian Hotelier

reduced capacities and we will go back

Sunshine Coast-based hotel Baringa Tavern.

SUNSHINE COAST HOTELS

OPERATOR

Technology, staffing and community connection are key priorities for this family-owned Queensland group.

Scott Armstrong

Managing Director Sunshine Coast Hotels

QUEENSLAND PUBS have been lucky

of the Year, says the Sunshine Coast

design can reflect the latest customer

with respect to lockdowns, losing only

is a very close-knit community. “It is

cues like allocating more space in

11 days trading last calendar year.

important that our hotels play an active

gaming lounges.

Scott Armstrong, managing director

role with local charities, Chambers of

“The other significant advantage is that

of family-owned and operated pub

Commerce, and industry groups to

you have a clean slate with no baggage

group, Sunshine Coast Hotels, praises

contribute wherever we can,” he says.

from previous operators, employees or

the resilience of the local economy and

“All of our hotels have been greenfield

customers,” Armstrong says.

hospitality businesses on the back of a

sites, so we have had to work hard to

very challenging period.

build our awareness and profile from the

process for hotels with Poker Machine

moment we break ground.

Entitlements. “There is great uncertainty

“Restrictions have reminded locals how much they enjoy their suburban hotels and

“The community is central to our

On the downside, however, is the tender

with our current system in terms of

the social connection that we provide to

success – the way they view our venue’s

supply and this uncertainty breeds risk

people of all age groups.”

presentation, ambience, quality of food

which is at odds with the need to provide

and customer experience at each of our

entertainment in high growth areas like the

development of much new technology in

hotels will determine how well we perform

Sunny Coast.”

the industry, he says. “There are some

into the future, and it has been pleasing

really positive tech initiatives that we need

how well our hotels have been embraced

New directions

to embrace quickly.”

by the local community each time we have

Armstrong says the group’s plan is to

opened one.”

continue to grow and invest in venues

The pandemic has also accelerated the

Armstrong says the biggest challenge of the past year has been staffing. “With

that fit the group’s small to medium-sized

no overseas migration into Australia

Greenfield approach

and a tendency for people to look for

Sunshine Coast Hotels identified a few of

intensive, so selection is key in getting the

new opportunities outside of hospitality

the fastest-growing areas of the Sunshine

right ones.

post-Covid, our staffing levels have

Coast almost ten years ago, Armstrong says.

come under pressure, particularly in the kitchen department. “The other challenge has been simply

“Apart from a couple of pubs, the

portfolio. “Pubs are both time and capital-

“We have been working on a project in Bli Bli for a number of years and this

majors owned every hotel east of the Bruce

is finally under construction now. It’s

Highway from Caloundra to Noosa. So we

a large-format tavern that we will be

to keep pace with the changes in Covid

didn’t have much option but to look for

operating in conjunction with Richard

restrictions with respect to patron density,

new sites and engage with developers.”

Deery from the Story Bridge Hotel.

functions capacities, masks etc.”

Community focus Armstrong, who was named QHA Hotelier

28 | Australian Hotelier

Opening greenfield sites has its pluses

“Other than Bli Bli we’ll be fully

and minuses, he says, with the major

occupied maintaining a strong presence in

advantage being that you can design

the areas we currently operate and having

the hotel exactly as you want it, and the

fun with our locals at the same time.”

HOSTPLUS DELIVERS A PERSONAL BEST RETURN OF 21.3%^ IN 2021 Not only has Hostplus delivered its best ever single-year return for its Balanced (MySuper) Option, we’ve delivered top returns over the long term . Good numbers however you read it and a real WIN WIN for our members’ retirement savings. #

^Hostplus’ Balanced (MySuper) Option net annual return 2021. #20-year investment returns as reported in SuperRatings Accumulation Fund Crediting Rate Survey – SR50 Balanced (60-76) Index, 30 June 2021. Host-Plus Pty Limited ABN 79 008 634 704, AFSL 244392 as trustee for the Hostplus Superannuation Fund (the Fund) ABN 68 657 495 890, MySuper No 68 657 495 890 198. This information is general advice only and does not take into account your personal objectives, financial situation or needs. You should consider if this information is appropriate for you in light of your circumstances before acting on it. Past performance is not a reliable indicator of future performance and should never be the sole factor considered when selecting a superannuation fund. Please read the relevant Hostplus Product Disclosure Statement (PDS) and Target Market Determination (TMD), available at hostplus.com.au before making a decision about Hostplus. HP1548

PLAYER ELITE

INDUSTRY PARTNER

The war for customer loyalty has begun and the question is, if Pub A has loyalty and Pub B doesn’t, then how is Pub B going to survive? Player Elite has developed an automated digital loyalty system with a view to revolutionising the industry.

Bryan Te Wani CEO Player Elite

ALL GAMING venues face increasing

Loyalty war on the way

competition, so retaining the loyalty

As pubs and clubs and casinos start to

Outsourced offering a strategic advantage

of customers is becoming increasingly

compete more aggressively for the same

Player Elite’s model has another

difficult. Pub Loyalty programs have

patrons on the back of this trend, Te Wani

advantage – the company also runs the

been notoriously hard to implement, and

is predicting a “loyalty war”.

system for its clients. “We acquire the

due to a variety of systems, platforms,

“The old days of having a new purpose-

member into the loyalty program for the

and a lack of technology, they have

built gaming room or the latest pokies isn’t

pub – we make that process seamless for

rarely worked.

really going to be enough to differentiate

them,” Te Wani says.

Enter Player Elite, a tech startup that has developed an automated digital loyalty system that can be plugged into a venue’s existing gaming and POS systems. Player Elite’s four founders, who have collectively clocked up more than 100

you. Players will move around according to what’s in it for them.” In the gaming room, the main barrier to

“We drop in the tech and the human resources to actually drive their gaming operations and their loyalty forward.

loyalty has been a lack of expertise and a

We also offer guaranteed ROI, or your

lack of technology.

money back.”

Player Elite is tackling this head-on by

Player Elite also assigns a ‘Success

years of gaming industry experience, are

building inhouse expertise and creating

Manager’ to each client who assists in

led by CEO Bryan Te Wani whose industry

the first Digital Loyalty System that

the installation and running of the Digital

experience also includes senior roles with

allows for real-time rewards within an

Loyalty System driving growth

Diageo and Red Bull.

ethical framework.

and success.

“We came together after a couple of

“We don’t just focus on gaming, we

2015 specifically to build a solution that

The founders joined forces in late

big customers asked us to build them a

include food and other offerings, and

filled the glaring gap in the customer

digital loyalty system, which we did,” Te

we provide a 360 view of loyalty for

loyalty market.

Wani says.

the publican.”

In just six years in business, Player

Using the Player Elite digital loyalty

Elite has amassed around 60 clients,

system, a member gets greater value

suited to ambitious independent, regional

including Momento Hospitality, Harris

from visiting one pub over another.

and single venue operators that lack the

& Narvo Hotel Group and The JAGA

That’s because when playing on that

resources of their larger counterparts.

Group. Operators like these have sensed

pub’s gaming machine, they will earn

a revolution in the industry, and are in

real-time rewards such as EFTPOS cards,

system, work with market leaders to drive

turn seeking market leading solutions,

and these rewards are communicated to

their operations, and develop sustainable,

according to Te Wani.

them as they earn them via an SMS or

ethical rewards programs for hotel

through their app.

operators,” Te Wani says.

He says players today are more astute, they’ve got more money, and they’re

“The member can see the value just like

The company says this offering is well

“Essentially our vision is to deploy our

“We’re revolutionising the industry,

willing to travel, which means operators

they would on any loyalty program,” Te

and we’re changing the mindset. A digital

now need to differentiate their venue from

Wani says.

loyalty system is the future.”

the one down the road.

30 | Australian Hotelier

Find your success with our latest gaming, insights and data solutions. Experience it all by visiting MAX at the 2022 AHG Expo. Learn more and book a session at max.com.au/AHG

max@tabcorp.com.au max.com.au /maxcomau

© 2022 Tabcorp Holdings Limited. This document contains proprietary information belonging to Tabcorp Holdings Limited and its subsidiaries (MAX) and is being shared for the purpose of providing information in relation to MAX’s product and service offerings. MAX does not warrant or guarantee the future performance of the venue and accepts no liability for any loss or damage incurred as a result of any reliance on the information. It is recommended that the venue undertake its own due diligence and seek independent professional advice about the content of this document, as required.

Watsons Bay Boutique Hotel.

THE SYDNEY COLLECTIVE

OPERATOR

A new CEO, a strategic rethink, and continued expansion into the NSW north coast have resulted in a busy year for The Sydney Collective. IT’S BEEN an important year of change

the identity of our pubs, our financial

for pub group The Sydney Collective

modelling, and our people and leadership

which appointed a new CEO, Brett

programs,” he says.

Brett Sergeant

CEO The Sydney Collective

and understand it well.” Sergeant says The Sydney Collective is planning for continued growth. “We are

Sergeant, in the middle of the year.

“Lockdown gave us four months to sit in a

open to all opportunities, and we look at

Sergeant, who has held leadership

room as an executive team and nut out what

dozens of pubs weekly, and when we see

we wanted to do and how to go about it.”

something that fits our model, we’ll have a

positions with Merivale and Colonial Leisure Group, says his appointment aims

The executive team worked tirelessly,

to free the group’s prominent director and

the culinary team worked tirelessly, and

publican Fraser Short to focus on new

the venue teams got to work in the venues,

we’re all about location, the architecture

acquisitions and growth.

Sergeant says.

it sits in, what we see when we walk

“Fraser has really ambitious plans

“It was a very productive four months.

crack at it. “There has to be enough upside in it –

into the business, whether we can make

for the group which are hard to act on

We came out the other side with a very

something spectacular or special – there is

whilst trying to wear the CEO hat, and

clear purpose and a roadmap for how to get

a chemistry that happens.”

with a degree in design, he’s also heavily

there. We’re really satisfied and really happy

involved in the design process, so this

with what we achieved, and guest feedback

What’s next

allows him to do what he’s really good

has been amazing since we reopened.”

In addition to acquisitions, the pub group

at and allows me to run the operation of the business.”

A productive pause

Northern expansion

is planning for more improvement around customer experience – the service, the

According to Sergeant, the group’s

ambience, the presentation – the nuances

expansion north into Byron Bay and

of all of the things that a customer feels

According to Sergeant, the second

the broader region in NSW has been a

and sees.

lockdown happened at a good time for the

real highlight.

group, as it offered the executive team an

“We’ve had The Balcony Hotel in Byron

“It’s certainly been a challenge, making significant changes on the portfolio given

opportunity to take a brutally honest look

Bay for seven years, and we’ve had

at the performance of the pubs without

enormous success there, and now we’ve

the everyday distractions and crises that

got four more pubs in the region, and this

of really good talent, and on a

can occur in venues.

will soon grow to five or six.

comprehensive people and leadership

“It was a blessing in disguise,” he says.

“It’s no good having one pub, you may

the staff shortages,” Sergeant says. “We’ll also be focusing on recruitment

program. It’s all about having great

“We were not happy with our product,

as well have a satellite of them in what is a

leadership programs happening that we

and we had some work to do around

growing part of the state. We love the area

believe will attract great talent.”

32 | Australian Hotelier

QUANTACO

INDUSTRY PARTNER

Quantaco – formerly PKF Hospitality – unveiled a new name and a number of new business solutions in 2021 as it looks to better times for its hospitality clients.

Anthony Sullivan Founder & CEO Quantaco

MANY HOSPITALITY clients took

improvement, so too did Quantaco. “It

the daily takings sheet, benchmarking

the time out during lockdown to

was not any different at Quantaco. We

and data analytics dashboards; and

improve their businesses, which meant

worked hard at making our business

Rebate Reconciliator which tracks

professional services firm Quantaco was

better for when our clients got back to

supplier rebates.

also busy supporting them in this effort.

their business.”

“Most of our clients took the time through

In addition to a major rebrand

Bots boost

lockdown to renovate, rationalise and

from PKF Hospitality, during 2021

“We have also focused on the best use

improve systems and processes, maintain

Quantaco launched an insurance broking

of technology to deliver our advisory

relationships with their staff and in some

business and a discretionary mutual fund.

services so we can get the right

cases acquire new pubs,” says Anthony Sullivan, Founder and CEO of Quantaco. “The consumer is the winner. We

“Both have been extremely well

information to our clients as quickly as

received,” Sullivan says. “The uncertainty

possible so they can make informed

of insurance and risk cover is an area

decisions,” says Sullivan.

are now working with venues that are

that has plagued the industry for years.

continuing to diversify their offer in

Our solutions have gone a long way

platform now utilises robotics, significantly

innovative ways.

to providing a stable and sustainable

reducing the risk of fraud, increasing

“It’s not uncommon to hear of venues

“For example, our financial reporting

solution that will ensure the industry

accuracy and speed in the delivery of

servicing their customers with home

participants that take the right attitude to

financial data.”

delivery, making their own product,

risk management will have access to well-

building fantastic member offers,

priced risk solutions for the long term.”

or completely diversifying to new revenue streams.” Sullivan says, however, that one of the

Quantaco has also scaled up its debt

In 2022, Quantaco will also be helping venues reduce their carbon footprint. “We have identified a number of opportunities

advisory business. “The low interest rate

that we can focus on to help our clients

environment and liquid debt markets

reduce their energy consumption and

most valuable things to emerge from the

have enabled a broad range of choice for

move to a carbon-neutral position,”

impacts of Covid is a demonstration of

clients looking to maximise the efficiency

Sullivan says.

just how much communities value their

of their balance sheets,” Sullivan says.

local venues. “This support has led to further

“Both these financial services have

Going forward, he says, the staffing issues that are hampering recovery for

been very well received, this has further

clients will continue to be one of the

investment by owners and operators

enabled our scale and therefore benefit we

biggest issues facing the industry.

back into their businesses. It is now very

can provide to our client base.”

difficult to find a venue that does not have

Quantaco is also launching a number

“Even with the borders slowly opening staffing venues will be difficult. We

a thoughtful offer that is focused on the

of new software development initiatives

have worked closely with our clients on

community in which it operates.”

focused on helping clients better

strategies that helped clients stay close to

run their businesses. These include

their staff. This has paid off.

Insurance and risk

Salesline, which helps clients accurately

“Their staff have recognised the loyalty

According to Sullivan, just as the

forecast sales by shift in 15-minute

shown during lockdown and are now

company’s clients focused on

increments; Cash Up, which automates

remaining loyal to their employers.”

34 | Australian Hotelier

ht t

he //t ps:

Have you checked in... sho

to the Australian Hotelier newsletter?

.au

com

ut . str

/au ali an -ho i tel s cr

sub

er/ ibe

Subscribe now for the latest pub news, sales, compliance changes, and innovations. Delivered to your inbox fortnightly!

MAX

INDUSTRY PARTNER Paul Carew

MAX threw out the handbook when it came to navigating Covid, with agility proving to be the most critical skill.

Chief Operating Officer Gaming Servies MAX

IN ADDITION to navigating through

to keep our industry open and keep it

impact that this has all had on securing and

countless public health orders, ever-

that way.”

retaining industry talent.

around Australia, gaming products and

Satisfaction scores

we try to future-proof our businesses,”

services company MAX has spent an

One of the company’s biggest 2021

says Carew. “While we may not be able

enormous amount of energy ensuring its

highlights was its Venue Partner

to control those things, we can control

customers and partners were well informed

Experience Program, which was launched

helping to boost confidence for patrons

and supported.

in September.

to get back to venues and providing great

changing restrictions, and venue closures

“We’ve never seen times like this before

“Customers across the country were

“I think we’ve all had to look at how

experiences for them.”

or could have imagined the impact that

invited to share feedback on their

the pandemic would have on our industry,

experiences with MAX, so we can refine

experience has become a point of

and there certainly isn’t a handbook on

our servicing model and enhance our

difference and area of focus more than

how to tackle it, so the ability to remain

ability to provide the right level of

ever before. From a MAX perspective,

agile has been critical,” says Paul Carew,

support, when and where our customers

it’s about ensuring it provides stable and

Chief Operating Officer – Gaming Services

need it,” Carew says.

reliable solutions so that each part of the

at MAX. “Throughout the pandemic, we waived

“Pleasingly, the feedback we received

According to Carew, the in-venue

customer experience is a positive one, he

reinforced that our customers value our

says. “From EGMs, compliance, products,

over $180 million in fees for customers

partnership and the expertise we bring to

services and customer insights, we’ll work

nationally, helping them navigate long

the table, with seven out of ten customers

with venues to help them continue to

periods of closure and almost total

saying they would recommend our

operate at their best.”

revenue loss.

services to a colleague in the industry.

“We’ve received plenty of feedback

“As we move into 2022, we will use

Carew says operating within a responsible and well-regulated industry

from our customers, who have told us how

this feedback to finalise our key actions

should always be front of mind. “It’s

critical this support has been to them.

to innovate, improve and strengthen

crucial that our industry operates

Several have said without the suspension

what we do, so we can continue to strive

responsibly and ethically at all times, and

of fees, their businesses would have

towards greater customer advocacy and

that we are committed to delivering this

struggled to emerge from lengthy and

satisfaction in the future.”

for our customers.”

repeated lockdowns.”

Data, insights and analytics will also

Future-proofing

become pivotal for customers, according

bottom line,” Carew says. “However,

The industry will continue to be affected by

to Carew. “We’re aiming to really take a

together with our customers, we’re

uncertainty, according to Carew, whether

lead in this space in 2022 and beyond with

getting back on track, and we will

that’s due to new Covid variants, potential

several key developments in our product

continue to comply with all health orders

further restrictions or lockdowns, or the

offering to help make that happen.”

“This decision obviously affected our

36 | Australian Hotelier

SKILLS CRISIS

Escaping the RAT race

As Omicron adds to the pressure on an already chronically short-staffed sector, Hastings People managing director Luke Butler explores the longer-term impacts. Luke Butler is the BASED ON many recent conversations with

contact rules and their related isolation needs

operators in the pub sector, two key issues

have reduced the requirement for employees

are dominating our thinking right now.

to ‘in-residence’ exposure to Covid. The

The immediate focus is on managing the

problems caused by a Covid case visiting a

Covid wave and developing strategies to deal

venue are no longer as dramatic and staff

with critical staff shortages. The longer-term

no longer need to isolate if a colleague

issue involves coming to grips with what the

tests positive.

industry will look like once we finally get through this ordeal. So, first things first – what is the answer to staff shortages? Recent changes to close

As a result, there will be two factors that will combine to ensure a more stable supply of workers for venues. Many health professionals have stated that it is only a matter of time

managing director of hospitality recruitment firm Hastings People and emcee of Australian Hotelier’s upcoming 2022 Pub Leaders Summit which will be held in Sydney on April 4. For more expert tips on navigating the hospitality skills crisis, and much more, book your tickets now at www.publeaders.com.au. February 2022 | 37

SKILLS CRISIS

before most people get the virus. Once

who is not. This will help us all to

leader exiting your business, you’ll

the majority of your team members have

effectively manage isolation and help

understand the impact that has on

been exposed to the virus, their ability to

businesses monitor the virus in their

your ability to maintain consistency in

work will normalise.

staff base.

standards and approach. Until you train

Inhouse tracking

closing venues. When this happens,

the tasks of setting up a venue, writing

Many of our clients are already closely

more staff are driven from the sector

a roster, understanding the product and

tracking the infection status of their

as they seek alternate work to maintain

other day-to-day business changes.

employees, particularly across multiple

their income. RATs will help individuals

sites. This helps them understand which

manage their own infection status,

have not only left a business, but the

venues have the highest immunity base.

isolation requirements and that of their

sector entirely, meaning the industry has

It also helps them either group staff who

dependants. This in turn makes them

lost an incredible amount of knowledge.

have had the virus into specific venues