Australian Hotelier July 2020

AUSTRALIAN

AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE

Vol. 37 No. 5 - July 2020

Navigating the new normal Head counts, app ordering and temperature checks

IN THIS ISSUE: REDUCING CONTACT VIA TECH | LESSONS LEARNT THROUGH SHUTDOWN

CONTENTS & ED’S NOTE WE ENCOURAGE RESPONSIBLE DRINKING Get the facts DrinkWise.org.au

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

Contents 4

News: What’s happening in pubs

8 10

20

CBD Operators: When your patrons are

across Australia.

corporates now working from home,

Health standards: The protocols that are

how do you adapt?

reassuring patrons right now.

24

Beers for winter: Stout is back in season.

POS and Op Tech: How payment and

26

Regional stories: Community spirit is

ordering tech is helping to reduce

helping the Fish Creek and Meeniyan

contact in venue.

Hotels get through the pandemic in

14 Ed’s Lessons learnt: What the current crisis has Pick

P10

country Victoria.

taught publicans about their businesses.

As such, we’ll be hosting a live webinar – The Road to Recovery – on Wednesday 15 July from 9-11am AEST. We’ll be talking to notable

moment – both for the

publicans and other hospitality operators on

hotel industry and for

the strategies they are implementing to get

Australian society in

their businesses through the next 6-12 months

general. With some states having practically

of uncertainty. You can find more details on

eradicated COVID-19, pub operations have

this free event on page 5.

In the meantime, we hope you enjoy this

are not too far off normal trade again. And

issue of Australian Hotelier, which will bring

yet, some states are seeing a resurgence in

you plenty of insight into how pubs across the

cases in line with the easing of restrictions.

country are adapting their offerings.

Victoria has just announced some suburban shutdowns around Melbourne (including

Vanessa Cavasinni, Editor

pubs) for the majority of July. So are we

P: 02 8586 6201

moving forward or backward?

E: vcavasinni@intermedia.com.au

It seems that the return to normalcy will pub operators will have to be nimble in their operations for at least the next six months, and have plans in place for any scenario.

2 | Australian Hotelier

NATIONAL SALES MANAGER: Jason Wild Tel: 02 8586 6213 jwild@intermedia.com.au GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams GROUP ART DIRECTOR – LIQUOR AND HOSPITALITY: Kea Thorburn kthorburn@intermedia.com.au

SUBSCRIPTION RATES

middle of a really pivotal

not be as straightforward as we hoped, and

JOURNALIST: Brydie Allen ballen@intermedia.com.au

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

as though we are in the

opened up so much that it feels like we

EDITOR: Vanessa Cavasinni vcavasinni@intermedia.com.au

GRAPHIC DESIGN: Alyssa Coundouris alyssac@intermedia.com.au

Editor’s Note RIGHT NOW, it feels

PUBLISHER: Paul Wootton

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% To subscribe and to view other overseas rates

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

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 © 2020 - Food and Beverage Media Pty Ltd

‣ Gaming ‣ Functions ‣ Preparing for all scenarios Average Total Distribution: 4,743 AMAA/CAB Yearly Audit Period ending 31 March 2019.

In the

news

The newly renovated hotel is returning to normal trade as restrictions ease

WHAT’S HAPPENING IN PUBS ACROSS AUSTRALIA

MARION HOTEL BOOMS AS SA RESTRICTIONS EASE In late June, South Australia joined Western

Group – were functions and gaming. The

Australia as the only two states in the country

move to the 2sqm rule will make both of those

who have moved to a one-person-per-2sqm

profitable revenue streams operational again.

rule. For South Australia, the easing of restrictions also saw the return of gaming.

At the large-format Marion Hotel, in

“Going up to the 2sqm rule allows us to have functions, and we will book out our function room almost to the end of the

suburban Adelaide, manager Anna Hurley

year in the next couple of weeks, which is

said that the venue’s trade was already close

fantastic. Being able to have functions back

to pre-COVID trading, and that this latest

in our venues is going to be a massive boost

relaxation of restrictions will help boost trade

to our trade.

even further.

“The increase from 80 people to 300 which happened last week was massive for

Hurley also suggested that resuming gaming will nudge the venue back to profitability.

“Having gaming open is really key in

our venue. The Marion Hotel is huge. The

underlying the profit

80-person cap was incredibly prohibitive and

of the business, which is very important as

very difficult to manage with such a big venue

well. Monday [first day of gaming] is going to

with so many different entry and exit points,

be a massive day.”

and a lot of demand from people wanting to go out,” explained Hurley.

“Going up to 300 already gave us a huge boost in trade, to the extent that this past weekend we almost returned to regular

In another positive implication of the relaxation in restrictions, Marion Hotel will begin to hire more staff to service the increased trade.

“In the last two weeks as the restrictions

trading levels on Friday and Saturday nights.”

have been released, we’ve gone from a team of

The only things missing from regular trade

under 50 to about 80, and I’ll be hiring at least

at the Marion Hotel – part of the Hurley Hotels

4 | Australian Hotelier

10 new people this week. It’s so exciting.”

Going up to 300 already gave us a huge boost in trade, to the extent that… we almost returned to regular trading levels on Friday and Saturday nights.

Anna Hurley, Marion Hotel

NEWS Keep up with the latest industry news!

Subscribe now to our fortnightly newsletter: www.theshout.com.au/subscribe-australian-hotelier

Melbourne heads back into shutdown Victoria has reinstated stage three restrictions across metropolitan Melbourne. Almost five million people Melbourne catchment area - including

COVID-19 shutters Rockhampton’s Great Western Hotel

pubs - are heading back into shutdown for

One of Queensland’s most renowned

a major impact on the Hotel. The Great

six weeks. The Andrews Government re-

country pubs will not be reopening,

Western is also reliant on major rodeos

imposed the restrictions after COVID-19

due to the stressors of the COVID-19

and music events, both of which it is

cases have begun to spike in the state,

shutdown. The owners of the Great

uncertain when they can resume.The

particularly within the capital city.

Western Hotel in Rockhampton have

inclusion of the Great Western Hotel in

and the businesses within the greater

cited the impacts of the shutdown

the Safe Night Precinct has also had a

the area after moves to increase patron

The news is a further blow to venues in

and the subsequent social distancing

negative impact.”

limits from 20 to 50 were put on hold last

restrictions as the cause.

month because of the rise in positive cases.

Eric Visscher is the general manager of

As a midway point for tourists between

There has been an outpouring of commiserations on social media since

Brisbane and northern Queensland,

the announcement was made, with

Taylors Lakes Hotels, a pub that is within

Rockhampton has become increasingly

thousands of people from all around

one of the first postcodes to be locked

reliant on tourism as an economic driver.

the world reminiscing about their

down. Just as he had begun ramping

With Queensland’s state borders having

experiences at the Great Western Hotel.

back up the hotel’s business, he is once

been shut and international tourism

more having to severely restrict trade.

unlikely to return for at least another 12

expressed his dismay about the closure

months, the Great Western Hotel has seen

of such a revered Queensland Hotel.

“For us it’s now back to takeaway only.... and just closing things down again. We

a large portion of its patronage dry up,

just started warming our buildings back up

even as venues return to on-premise trade.

because like heating and all the cool rooms

The large-format hotel is renowned

QHA CEO Bernie Hogan also

“Obviously, we are bitterly disappointed to see such an iconic hotel as the Great Western close in Rockhampton. It simply

and all that sort of stuff was switched off.

as an iconic ‘country’ experience, with a

shows the tough conditions that every

And it was getting to a stage where the

large undercover entertainment arena,

hotel and hospitality business is struggling

place started to get a soul again, but now

which hosted rodeos at least once a month

with in Queensland,” stated Hogan.

we’re back to doing the same thing.”

before the pandemic, as well as major live

“The COVID pandemic is simply the

Despite the blow to business, Visscher is

music acts. The pub also has four bars, a

latest in a long list of uphill battles that

pragmatic in his approach to the lockdown,

beer garden and a gaming room. Owners

businesses like the Great Western have

having now experienced it once.

Colin and Vickie Bowden have spent over

had to deal with, and we can only hope

$1 million in improvements to the hotel

that the people of Queensland realise

over the past five years.

that these vital parts of their communities

“It is devastating, but at the same time at least we have a date this time around and hopefully if it all goes well, we can

The Bowdens released the following

reopen in six weeks. If everyone does

statement on the decision to close the

what is required of them hopefully we can

158-year-old hotel.

are worth saving and get out and support those that are left.”

Outgoing GM Denis Cox said he hoped

then get it back up and running again.”

“Due to Covid-19 the Great Western

The Stage 3 lockdowns were initially

Hotel will not be reopening. The Great

a new owner could be found to take up

imposed on 10 postcodes on the CBD

Western Hotel is an iconic local tourist

fringes, but as cases continued to surge,

destination which is heavily dependent

which was established in 1862, you

the decision was made to lockdown the

on overseas and interstate visitors. The

never really own it, you are just part of

entire metropolitan area.

social distancing restrictions, border

its history and should aim to leave it in

closures and travel restrictions have had

better condition than when you found it.”

the baton.

“With a venue like the Great Western,

July 2020 | 5

NEWS

Australian Hotelier hosts free ‘Road to Recovery’ webinar Australian Hotelier – in conjunction with

Russell, group GM for W. Short Hospitality,

Hospitality magazine, Bars&Clubs and

will discuss the strategies they’ve put in

TheShout – is hosting a virtual event for

place for their various pubs – and how

publicans and other hospitality operators

location and demographics have affected

on Wednesday 15 July. The webinar brings

those plans. Morgan Kelly, restructuring

you leading operators and industry experts,

partner at KPMG, will discuss the financial

for hospitality venues in the

sharing their experiences of adapting to the

implications of hospitality recovery.

current environment

new trading conditions, plus offering advice on repositioning and business strategy.

Stephen Hunt of Hunt Hospitality; Andy Mullins of Sand Hill Road; and Jennifer

Stephen Hunt, Hunt Hospitality

sessions we will: • Address the challenges that lie ahead for pubs, bars, restaurants and cafes • Highlight best business practice

Other speakers on the day include

• Discuss how the sector (and your

Hamish Watts (Applejack Hospitality),

business) can position itself for

Mikey Enright (Barrelhouse Group) and Zara Madrusan (Made in the Shade).

Andy Mullins, Sand Hill Road

Jennifer Russell, W. Short Hospitality

REGISTER HERE FOR FREE! The Road to Recovery will be live-streamed on Wednesday 15 July from 9-11am AEST.

6 | Australian Hotelier

During multiple Q&A and Roundtable

strong recovery Registration for this event is free.

Morgan Kelly, KPMG

Hamish Watts, Applejack Hospitality

Click here for The Road to Recovery program

We’re an industry super fund.

Profits go to members, not shareholders and that means more money for your employees’ future.

From their first job to their last.

Hostplus. We go with you.

Issued by 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. Please read the relevant Hostplus Product Disclosure Statement (PDS), available at www.hostplus.com.au before making a decision about Hostplus. INH1217 0720

HEALTH AND SAFETY

Reassuring patrons A recent survey has found that Australians feel more comfortable returning to venues that are taking health and safety seriously through the use of temperature checks and other protocols.

THE TOLUNA and Harris Interactive COVID-19

It’s not all bad news though. The research

Barometer surveyed 1096 Australians last

found that many Australians are more likely

month to get a better picture of attitudes

to frequent hospitality venues that are clearly

towards returning to hospitality and

taking health and safety seriously. Respondents

entertainment experiences as these industries

suggested that they would feel safer and more

began to re-open. The responses show that

comfortable frequenting venues that limit

while some Australians are still wary of being

capacity numbers; provided hand sanitiser and

in public spaces, many would be more likely

masks; implemented temperature checks upon

to visit places that clearly show they are taking

entry; and utilised Perspex screens between

health and safety seriously.

people where possible.

With the onset of winter, nearly half (49%)

“It’s clear that Australians have faith that

of Australians surveyed said they’re more

social distancing measures put in place have

concerned about a second wave of COVID-19

been successful in curbing COVID-19 in the

than an economic downturn, compared

country, so entertainment and hospitality venues

with 42% who were more worried about the

need to take this seriously,” stated Stephen

economy. As such, 26% of respondents said

Walker, business director ANZ, for Toluna.

they are less likely to eat out, and 23% are less

“Australians want to go out and support their

likely to go to bars. One in five respondents

local bars, clubs and restaurants, but they’re

said they intend to hold off going out altogether

looking to venues to take the lead when it comes

until a vaccine is found for COVID-19.

to implementing health and safety precautions.”

What patrons want The Toluna and Harris Interactive survey found Australians are more likely to visit venues with the following protocols in place: 48% would be more likely to visit venues which provided hand sanitiser and masks 47% want venues to limit numbers through social distancing 43% would like venues to temperature check patrons to allow entry 33% would like to see Perspex screens between people where possible

8 | Australian Hotelier

Want the latest pub news as it happens? Subscribe to our newsletter to keep up with all things concerning the industry.

Sign up at www.theshout.com.au/ australian-hotelier

PUB SALES • F&B • APPOINTMENTS • REVAMPS • LEGISLATION

POS AND OP TECH

Turning to tech

Many pubs are implementing digital menus, ordering and payment in an effort to reduce contact and the chances of community transmissions.

THE FEAR of community transmission of COVID-19 has pervaded many day-to-day aspects our lives – from major considerations like how we commute or if we commute at all; to small things like using keep cups for our takeaway coffee or having a small bottle of sanitiser on hand whenever we go out.

The anxiety surrounding community transmission is a major concern for venue operators and patrons alike, with it being a major factor for many people in deciding if they go out, and where. As the coronavirus can be spread via surfaces and communal touchpoints, one way many hoteliers are combatting these anxieties in their venues – and making them as safe as they possibly can – is to reduce the amount of high-contact, communal touchpoints. Cutlery stations are no longer being used, and complementary water stations are also a thing of the past.

The other big communal touchpoint that many venues are getting rid of are physical menus. On an average day, menus can be handled by dozens of people, and thus are a high-risk transmission point. Some venues are getting around this by printing single-use menus, but there are negative financial and environmental implications to the practice.

Other hotels have turned to digital menus and ordering and payment systems to negate the risk of infection on the premises, using smartphone technology that is ubiquitous to modern life.

QR? A-OK! South Australia’s Hurley Hotel Group has introduced digital menus throughout the group through the use of QR codes, in an effort to make their patrons feel safe in their hotels.

“When restrictions started easing, we wanted our customers to feel as safe and comfortable as possible when visiting our hotels. We have a strong focus on best hygiene and COVID-safe practices, but decided to take one extra step in producing QR codes so customers could view our menus on their smartphone devices,” stated group marketing manager Elly Deegan.

10 | Australian Hotelier

POS AND OP TECH

COVID has... made contactless digital ordering a key benefit for our customers and our staff, to ensure they stay safe.

James Sinclair, Signature Hospitality Group

An app-etite for ordering The Signature Hospitality Group – which owns The Sporting Globe brand – has gone one step further, developing an online ordering and payment system via an app. Patrons simply scan a QR code to register their entry, and then are prompted to order via their loyalty program app, or as a one-time guest. Patrons

The Sporting Globe has implemented app ordering and payment across all of its venues

tap their phones to the beacons installed on each table so that the table number is recorded on each order.

The online ordering and payment system was Patrons simply scan the code on the table with

something that had been in the works within the

their smartphone camera (with QR scanning

group for a few years, but the COVID-19 pandemic

enabled) and the pub’s menu will then pop up on

provided the impetus to push ahead with the project

their phones for viewing. Deegan said the process

on a larger scale.

was simple to implement, using a free QR code generator found online.

“It’s future proof – if we update our menus, we can

“Digital ordering had always been in the pipeline, and we’d been testing beta versions before COVID, but certainly our expectation would have been that it

log into the backend of the program and change the

would have been a value-add for customers in areas

menu link without having to produce a new QR code.”

like beer gardens where there wasn’t full table-

The uptake of the digital menus via QR code has been a mixed bag for Hurley Hotel Group, with

service,” explains CEO James Sinclair.

“In areas like bistros where there was full table

many of the group’s patrons not familiar with the

service, it wasn’t our intent to be launching that.

technology. But with familiarity increasing each visit,

But COVID has obviously sped that up and made

the group is keen to forge ahead using digital menus.

contactless digital ordering a key benefit for our

“Each hotel has seen a different response, some with a much higher percentage of scans than others.

customers and our staff, to ensure they stay safe.”

Personally, I think awareness in SA on the purpose

Making it easy

of QR codes and how to read them is still quite low

While a change in attitudes towards communal

compared to overseas – the most common questions

touchpoints has necessitated the move to contactless

asked from our patrons is ‘What is a QR code?’ and

alternatives, Stevan Premutico, founder of me&u,

‘How do you use it?’, but we will continue educating

believes that this is a watershed moment that should

our customers on how to use them.”

see hotels evolve in line with other industries.

July 2020 | 11

POS AND OP TECH

An extra revenue opportunity During the shutdown, The Sporting Globe venues used their loyalty app as a way to process orders for takeaway and delivery (check out the video).

Signature Hospitality group also owns the TGI Fridays brand in Australia, and keeps up to date with how the original brand fares in the US. Sinclair says that He uses the example of ordering an Uber or

a holistic experience, but Sinclair knows that

checking into a flight on his phone, and how

human hospitality is still paramount to a day

effortless both processes are.

or night out. As such, the human interaction

“Particular technology has evolved in a very

has shifted from taking orders to place more

rapid rate in the world around us, but as an

emphasis on the role of host, particularly when

industry we haven’t evolved at that same rate.

beginning and ending the experience.

We continue to do what we’ve always done with

“It’s so important that we still have a high

the argument that it’s not broken. But I think

level of staff and service, particularly in early

there are parts of it that are broken and we can

phases of the experience. We’ve got a really

improve them.”

strong and increased focus on our hosts

Premutico suggests that technology can help

when you arrive, and they obviously need

the friction between customers who want to

to greet and entertain with energy like never

spend money and the roadblocks that impede

before, because the welcome is still a human

that spend, like long queues at the bar.

experience. Ultimately that’s where our service

“We can improve the profitability of the

experience starts and ends – with a warm

industry, and improve the customer experience

welcome and a sincere thank you at the end by

at the same time.”

a person.”

Staff are also on hand to help patrons with

The human connection

the app ordering as required, and can use those

Of course, the worry is that the use of

opportunities to upsell patrons. While moving

technology will affect the experience of having

ordering and payment to a software-based

that hospitable, human interaction which

solution has been pertinent during the current

embodies a pub outing. While using QR codes

pandemic, long-term Sinclair believes a hybrid

to replace physical menus, Hurley Hotel Group

solution will work best to get the efficiencies

have stopped short of moving the ordering and

of tech and the human connection of front-of-

payment process online for on-premise trading

house staff.

to keep that human connection going.

“We did look into allowing customers to order

“I think there will always be some guests who will like to order direct through a server,

digitally but preferred to keep some customer-

and we’d like to work through how that hybrid

staff interaction – at a safe distance of course,”

model can work, and ultimately we need to do

states Deegan.

what’s right for the guest. So we’ll be working

The Sporting Globe venues have moved

away towards that, but I certainly see ordering

ordering and payment to their app to create

via app as here to stay long-term as an option.”

12 | Australian Hotelier

takeaway accounts for 20 per cent of revenue for TGI Fridays in North America, while here at home it accounts for less than one per cent.

He hopes to be able to increase that percentage via the use of technology.

“The QSR space has really owned that revenue entirely in Australia. I think there are some pubs across the country that would have found that there is an opportunity to add incremental revenue through takeaway and delivery. For us that’s certainly the case, and our digital platform is key to facilitating that growth into the future.

“Delivery and takeaway, as well as pre-ordering, are all really valuable customer benefits now long-term, and are ancillary revenues that we were not getting before we had this technology in play.”

In business, every little saving adds up.

Suncorp Bank have teamed up with eftpos® to offer least cost routing within set transaction limits to Australian businesses, which may help reduce debit transaction costs.

Plus, all new Suncorp Bank customers receive 12 months free merchant terminal rental* to help keep operation costs down.

Helping local business save. That’s the Suncorp Spirit.

Learn more

Merchant facilities are issued by Suncorp-Metway Ltd ABN 66 010 831 722 AFSL 229882 (“Suncorp Bank”) to approved applicants only. Terms and conditions, fees and charges apply and are available on request. Suncorp Bank cannot guarantee savings/lower merchant fees for all merchants as this is dependent on the merchant’s industry, card types used to process payments, debit card eftpos daily transaction limits, method of payment, the value and volume of transactions and the merchant’s pricing plan. eftpos® is a registered trademark of eftpos Payments Australia Limited ABN 37 136 180 366. *The 12 months’ free merchant terminal rental offer is available to new and existing customers who apply for and open certain new merchant facilities. Offer valid until 31/12/2020 and can be withdrawn at any time. Further terms and conditions are available here. The information is intended to be of general nature only. We do not accept any legal responsibility for any loss incurred as a result of reliance upon it – please make your own enquiries.

COVID-19 As Lewis Land Group pubs begin to re-open, a larger focus will be made in investing in staff development

Lessons from a crisis

While the COVID-19 pandemic has been a massive blow for most pubs, it’s also provided many operators with some concrete learnings about their businesses.

14 | Australian Hotelier

COVID-19

WHILE THE shutdown and restricted trade has

At Crafers Hotel in the Adelaide Hills – known

had tremendous negative consequences for pub

for its considerable wine selection – owner Julie

operations across the country, one thing it has

Peter and her staff took the time afforded by the

afforded operators is the time and space to do a deep

shutdown to do a thorough stocktake of their wine

dive into the health and solidity of their business that

stores, and re-organising the selection.

they wouldn’t otherwise have the time for.

Some of these evaluations have provided some

“Our re-organisation involved bringing out every single bottle, assessing, cleaning and grouping

stark learnings into the processes that even under

them, and then re-entering them into the system.

normal circumstances could use a good overhaul.

Our diligent skeleton staff covered most of the

Australian Hotelier spoke to four pub operators –

internal floorspace with bottles during this sort –

Lee Behan, group general manager of ARK Group;

lasting many weeks – which is not something we

Brad Jenkins, head of leisure for Lewis Land Group;

would ever have been able to do under normal

Jaz Mooney, managing director of Pelathon Pub

business operations, “states Peter.

Fund; and Julie Peter, proprietor of the Crafers and

TOP RIGHT: Crafers Hotel in the Adelaide Hills Region BELOW: Having recently undertaken a large renovation, The Fiddler will soon enact a routine maintenance program to keep the venue looking fresh in the long term

“It was amazingly refreshing and therapeutic

Uraidla Hotels – about what they’ve learnt about

procedure which has resulted a complete overhaul

their venues throughout this crisis

in the way the various wine rooms and cellars

Cash flow and debt

TOP LEFT: Stock level evaluation was a major learning for Pelathon Management Group

are organised, and with everyone knowing where everything is!”

Jaz Mooney began evaluating his business in early March, before the shutdowns were announced. He had been warned by friends in the UK about what was to come – shutdowns at very little notice with cool rooms and stores full of fresh produce. He began clearing out his stocks as much as he could before the shutdown.

“Then comes what you find out about your businesses as you empty them. We did all the stores and food stores, and all the consumables; and you realise in most cases you’re actually overstocked. So that’s probably the big learning for me – the amount of top shelf high-premium goods that cost a fortune, and the vast amount of product, fast-moving or not, that was overstocked. So basically in turning my stocks around and using them in the best way for the business, if I was giving myself marks out of 10, I would’ve given myself a three.”

July 2020 | 15

COVID-19

“We have implemented more robust maintenance programs going forward, Jenkins said.”

At ARK Group, one of the evaluations made during this period was that one of their pubs, The Generous Squire, was in need of a major renovation. After 12 years of operations, the hotel needed a refresh and a change in direction.

Other overhauls of the group were more technological in nature, with Behan assessing the procedures they had in place that could be made more efficient.

“We channelled a lot of focus into technology platforms within the group and used the down time to roll out some new programs; FoundU which is a complete end-to-end employee management software, Cooking the Books for our kitchen stock management; and we’ve

Cash flow and debt

Maintenance programs were implemented at Lewis Land Group’s large-format pubs

been realigning our reporting to a cloud-based system which enables us to view live reporting at each location.”

The other big learning for Mooney was the true understanding of debt levels once the cash flow stopped.

“I knew I owed $1.1-1.2 million to our major supplier, but cash flow was comfortably taking care of that in a 35-40 day credit turnaround.

Consequently it was only when the hard reality of no cash flow coming in – except for a couple of bottleshops – that I owed all the suppliers a whole lot of money.”

While Pelathon Pub Fund’s suppliers have been very supportive throughout the crisis, Jaz said that the realisation of the debts was “a wake-up call” and the settling of outstanding bills has become a priority.

Tech and maintenance With no patrons in venue, operators were also given the breathing space to take a good look at the state of their venues, and the behind-

The shutdown solution here to stay

the-scenes processes they had in place.

While the takeaway/delivery pivot has kept a little bit of revenue trickling in through

“People bring the pubs alive, deserted pubs show all the sins of property management and maintenance,” suggests Jenkins.

After a busy summer trading period prior to shutdown, Jenkins said the detail in the Lewis Land Group properties had suffered, so the team did a lot of fixing and tidying, while planning to make that more routine in future.

16 | Australian Hotelier

the shutdown, some pubs that now have the necessary systems in place view it as an ancillary source of revenue that will complement their on-premise trading.

“We implemented takeaway platforms for food and drinks at three of our venues which helped us ride the wave during shutdown. Once reopened, we’ll be adapting them for our CBD venues as a grab and go ordering system,” explains Behan.

“With takeaway we also had the capability to sell cocktails and growlers which were a real hit with our customers, so we’ll keep that going into the future.”

COVID-19

The value of a great team has always been the key to our business and this was certainly proven during the crisis when everyone pulled together.

Lee Behan, ARK Group

“We removed some of the

the process got to know each other a

administrative burden from our

little better while trying to make the

management teams and freed up time

best out of a bad situation.

so they could focus on what was more important when their doors reopened.”

Team building

“What we found was that we have an amazing team who are immediately ready to step up and make sacrifices beyond our

While staff stand downs have been

expectations. Most of our core team

a necessary consequence of the

are Hill-based and are emotionally

crisis, the shutdown has made many

invested in this hotel, so they will do

operators see the true value of their

anything to keep it afloat. And for

personnel, and to ensure that staff

that, we are immensely grateful,”

understood that.

states Peter.

“Our team of staff are the most

Brad Jenkins agrees, suggesting

important asset to our business so we

that the level of commitment that the

made communication the priority and

staff had to the Lewis Land Group

tried to keep the team engaged and

pubs over the shutdown went above

in the loop with everything that was

and beyond. As such, the business will

happening in the industry and our

invest even more in staff when it can.

group,” says Behan.

“The value of a great team has

“A crisis reveals a lot more about your staff. Quality staff step up and

always been the key to our business

want to do anything to help, it was easy

and this was certainly proven during the

and quick for us to recognise those

crisis when everyone pulled together.”

who had a holistic joint view of the

Staff also dug deep at the Crafers Hotel to keep the venue afloat, and in

18 | Australian Hotelier

crisis, and we will invest more in them as we return to normal business.”

MAGGI MAKES

The Perfect Pair MAGGI elevates the classic combination of gravy and mash to the next level.

With a rich, traditional beef-style gravy to add depth of flavour to any dish, and creamy, flavour-filled mash made from 100% sustainably grown potatoes.

Both are gluten free, giving you peace of mind, restaurant quality in less than 5 minutes and sure to please any crowd this winter.

Serving Suggestion

MAGGI MAKES IT HAPPEN Find out how NestlĂŠ Professional can make more possible for your business at nestleprofessional.com.au

METROPOLITAN OPERATORS

Verandah in Sydney’s CBD

Bringing back a corporate crowd As cities slowly reopen, Brydie Allen reports that pubs in the CBD are starting to see a slow trickle of corporate patrons return and want to capitalise on that fact.

THE SHUTDOWN of the on-premise industry caused by the

At the time of writing, NSW and Queensland are continuing to

COVID-19 pandemic was, while devastating for all, felt

ease restrictions, however it’s at a slower pace than most other

differently across the country by venues. Differing experiences

states (except Victoria). Current regulation only allows seated

are happening now too, as Australia begins to cautiously

activity in an on-premise venue, and people are recommended to

reopen under a range of conditions nation-wide.

keep working from home if they can. While the streets of Sydney

Everything from a pub’s location and demographic to its size and offering has influenced how a publican has experienced the pandemic and the staggered reopening.

Pubs located in capital city CBDs, for example, usually rely on a large corporate crowd for lunch service, after work and happy hour drinks, and office events. But with much of this crowd living

and Brisbane aren’t as ghostly as they were during peak lockdown, they’re certainly not bustling with pre-pandemic levels of people.

But operators in these cities have said that the corporate crowd is slowly starting to return, with many looking to get back into the CBD for the pub and some semblance of normal life.

Nick Wills, CEO of the Tilley and Wills group, told Australian

outside the CBD and working remotely during lockdown, trading

Hotelier: “We’ve had reasonable support from our corporate

options were limited. Now that lockdown is lifting, many offices

locals, some who are pretty happy to be in the city so they can get

are still operating remotely, so the same opportunity experienced

to the pub. But it’s certainly nowhere near what it was, and it’s

pre-COVID hasn’t yet returned.

been tough.”

20 | Australian Hotelier

METROPOLITAN OPERATORS

Tilley and Wills operate Sydney CBD venue Verandah, which has both bar

nothing. We couldn’t do anything

and fine dining components, as well as

because our databases are made up

a range of other venues in other parts

of customers who are no longer in the

of Sydney, greater New South Wales

area, they’re from all over Sydney, so

and Queensland. From this spread of

that was particularly tough.”

venues, Wills knows the differences

At the Port Office Hotel, Meagan

that can be had between CBD and

Gregorski said the cost to drastically

suburban pubs.

change their operating model quick

Meanwhile up in Brisbane’s CBD,

great, and caused them to close

Meagan and Nick Gregorski, usually

completely for lockdown.

are made up of customers who are no longer in the area, they’re from all over Sydney, so that was particularly tough.

Nick Wills, Tilley & Wills

“We didn’t trade at all because after

patronage. The Gregorskis said that

running the numbers it was going to

pre pandemic, 70 per cent of guests

be too expensive to try to turn our

were corporates, while now, that’s

restaurant business into a takeaway

dropped to 50 per cent.

business overnight,” Gregorski said.

Despite the distance and differences

because our [venue] databases

enough to be effective was just too

the Port Office Hotel, owned by has a predominantly corporate

We couldn’t do anything

“But at our CBD venues, it was

between the venues, there are

The new normal

similarities in the experiences of

Both Verandah and The Port Office

Verandah and The Port Office Hotel

Hotel are now reopened and continue

that illustrates the impact of a

to react to the easing of restrictions. As

corporate crowd, or lack thereof.

all publicans would know, regulation

Life in lockdown

changes often come quickly and with a certain degree of uncertainty, given

When the government announced

what we’ve seen happen in Victoria in

lockdown measures, there weren’t many

the past month.

options left for pubs to keep operating.

But both venues are trying not to

In the CBD, many pubs weren’t already

let this create too much of a changed

offering takeaway, so continuing to stay

experience for guests who have

open with the restrictions would mean

probably had nothing but change in the

a huge shake-up to operations – and

past four months. Gregorski said they

that’s even before finding the clientele

wanted to retain as much of the Port

to make these changes worth it.

Office feel as possible, as this is what

Wills said the group’s reaction to

patrons would be looking for especially

lockdown in the city contrasted to

when they returned to business as usual.

their reaction in other areas, as the

“We have only made minor changes

customer bases were so different.

to our offering since reopening because

“With our suburban pubs, we had

we feel that during these uncertain times

some income coming in because we’ve

people are craving some semblance of

got a strong relationship with our

normality,” Gregorski said.

community and have great community

“The main things include dividing

databases. We made the adjustment

our restaurant into separate areas

very quickly and set up takeaway and

and introducing table service to the

shops to sell toilet paper, sanitiser,

entire venue (which has all come at

pasta… all the things that people

a cost, as more staff are required to

struggled to get a hold of. And that

facilitate all of these changes), to

was okay to help us maintain a

comply with legislation and to increase

connection and relationship with our

our sanitisation of common areas and

locals,” Wills explained.

frequently used surfaces.

July 2020 | 21

METROPOLITAN OPERATORS

instead applying the same changes to all venues across the hospitality industry.

It’s concerning to CBD publicans, especially considering the already high standards maintained in the pub industry, as it could discourage corporate patrons from returning to their office local.

While there’s caution about reopening too quickly, it’s worth highlighting that venues in many other states have enjoyed eased restrictions safely and even when there’s been COVID-19 spikes like the one seen in Melbourne most recently, these have been traced to home gatherings and not venues.

Wills said: “We’d like to see things relaxed quicker in New South Wales – the hotel industry is already highly regulated.

I’d just like to see things open a bit quicker, and to encourage people to get back into the city because I think now is the time to get things moving again.”

The Port Office Hotel in Brisbane’s city centre

Gregorski had a similar sentiment, pointing out a misalignment between how the government thinks the industry works,

“Altering the guest experience will be

compared to what is actually happening.

short term; in particular, we can’t wait to

“The Government has not shown a

allow our guests to be able to approach the bar again and stand around for a chin wag.”

Wills too said they didn’t want to alter too much of what people were accustomed to at Verandah and other venues. The changes they did make, like the Gregorskis, were to ensure increased health and safety standards, meet legislation and keep the business afloat.

There has been a lack of

great deal of leadership when it comes

understanding of what

back has been slow and cumbersome

it really takes to run a business in our industry.

Meagan Gregorski, The Port Office Hotel

“Our offering is changed in the fact that

to hotels and pubs. The restrictions roll with many rules that apply to a small restaurant or café have also being applied to a large hotel with a footprint sometimes up to five times their size – this type of equation just doesn’t make sense,” Gregorski said.

“Perhaps listening to industry leaders

we’re not doing any promotions just yet. To

would have been a step in the right

go out there and do discounts and happy

move. We’ve restructured menus and

direction – there has been a lack of

hours when we’ve got limited seats and

restructured venues in a fashion that

understanding of what it really takes to

limited capacity, we didn’t think it was the

makes it a little bit more sustainable for

run a business in our industry.”

smart way to go. As a business, we’re trying

revenue which is uncertain right now.

to get our heads above water,” Wills said.

“We’ve also got consolidated menus so we can control the number of people in our kitchen. Consolidated menus

“We just try to work as smart as we can

At the time of writing, both NSW and Queensland have continued with the

to look after our locals, and run things as

easing of restrictions, but seeing the

cost effectively and efficiently as possible.”

increased progress of states elsewhere, it’s hard not to be impatient. Pubs in

too where we’ve taken off a number of

Government decisions

our share plates and taken off a few of

While the lockdown affects pubs in vastly

city economies recover as people begin

our dishes that have got a large amount

different ways, the state government

returning to the office, if they only had

of perishable items, in case they don’t

standpoints often seem to disregard this,

more of a chance.

22 | Australian Hotelier

the CBD can be valuable assets to help

Get ready to play the game.

Paul Kelly Design Gaming are proud to present Gaming GuardTM backed by 20 years of solid gaming room and hotel design.

The world as we know it is evolving, Paul Kelly Design Gaming and Gaming GuardTM are your partners in preparing your venue for the medium to long term future.

Venues have reopened their gaming rooms, with strict social distancing measures in place. Once these restrictions relax and the situation stabilises, Gaming GuardTM can offer your patrons comfort and peace of mind.

Starting at $1200 per unit.

paulkellydesigngaming.com.au (02) 96608299

BEER

Stout season Why it’s the perfect beer to stock in the colder months.

AS TEMPERATURES change, so do tastes, and

John O’Brien, founder and chief brewer of

the beers that do well as summer sippers won’t

gluten free O’Brien Beer, described the allure

be in high demand when it comes to winter.

of the category.

Just like a food menu full of soups and stews

“The best part of a stout, in my opinion,

fits perfectly for the colder months, a classic

is the complex flavour of dark chocolate and

drinks selection for winter should feature stout.

roasted coffee, with a creamy mouthfeel and

Joe Wee, owner of beer-focused bar The Noble Hops, said: “I truly feel there’s always the right time for different styles of beers for

firm bitterness balanced by a light sweetness,” O’Brien said.

Like Wee, O’Brien called stout a great winter

different seasons, generally to reflect seasonal

warmer best enjoyed in a cosy environment by

ingredients, festive traditions, and even the

the fire. Plus, unlike other beers served ice cold

mood we are in.”

in summer, O’Brien said: “You can also drink

“In winter, I’d want a nice heavy bodied, malt-driven beer to give you a warming feeling when you drink them on a cold night sitting

[stouts] slightly warmer than lighter beer styles, which adds to them being suited to winter.”

While producers, venues and experts agree

in front of the fire (or heater) seeking warmth

that all beers can and should be enjoyed year

and comfort. Think dark rich complex stouts,

round, focusing on the best beer for a certain

porters or imperial versions of them. They’re

time of year can elevate moments a guest from

what I like to call winter warmers.”

simply having a drink to having an experience.

With an assortment of styles and options

From these experiences come trends and

available in the category, stout is a versatile

knowing that stout is the style to meet this

beverage for behind the bar this winter, catering

trend in winter therefore positively impacts

to a range of tastes and demographics.

your business.

24 | Australian Hotelier

O’Brien Beer Gluten-Free Stout Pie See the recipe

FREE WINTER WARMERS

Classic winter occasions deserve to be enjoyed with O’Brien’s gluten-free Stout or Brown Ale. Brewed with the goodness of ancient grains.

rebellionbrewing.com.au

REGIONAL STORIES

Getting through it together Community spirit is helping the Fish Creek Hotel and Meeniyan Hotel get through the pandemic in regional Victoria.

THE SHUTDOWN of pubs across the country came as a shock for most, publicans and patrons alike.

That was certainly the case for the Willcocks family, who own two pubs in regional Victoria; The Fish Creek Hotel and Meeniyan Hotel. The hotels are about a 10 minute drive from each other, in small towns with a population of just a couple thousand between them where they are

Publicans Greg and Gabi Willcocks with son and GM Andrew Willcocks (centre)

important cornerstones of the local community.

“Lockdown came at short notice and as a result we had to scramble to make decisions

on the pub as a place to socialise and have

around staying open, the cost of staying open

interaction with others. We were often asked

and the potential revenue we could generate if

over the bottle shop counter: ‘when do you

we did,” said publican Greg Willcocks.

think you will be open again?’ And we have of

Grappling with the sudden changes, unpredictability and uncertainty, most staff

Watch

video here Watch how the Meeniyan business community welcomed locals back into their venues after the shutdown.

“We found a number of our regulars rely

course seen those faces again on a regular basis since re-opening.”

were stood down and a scaled back takeaway

Now that the Fish Creek and Meeniyan Hotels

food menu was created. The Willcocks family

are reopened, albeit under strict conditions, that

said they were grateful and heartened to see

community spirit hasn’t faded. Doing business

patrons connect with the pubs, even under the

may be different right now, but there’s positivity

challenging circumstances.

about people supporting each other through to

“We have to say that the locals really got behind us and we had many returning each week.

the other side of the current struggles.

“The local traders in each town all pulled

I expect some of our patrons appreciated not

together as well to support one another, such

having to cook for an evening,” Willcocks said.

as buying a meal from one another, or creating a community video to promote the various local

Fish Creek Hotel

businesses. I think the atmosphere is one of pulling together; with the patrons supporting us, to the traders association supporting one another and everyone doing their best to smile and carry on,” Willcocks said.

“We are conscious to continue to adhere to the guidelines and keep everyone safe, but we look forward to hopefully seeing further reduction in restrictions and welcoming more guests into our hotels. The COVID-19 situation took us all by surprise and it has been a very stressful few months but as the central meeting place in town we hope to be the place for people to reconnect with each other and move out of this bigger and better in the next few months.”

26 | Australian Hotelier

powered by

Deliver live or recorded content directly to your audience Live Demos

Webinars

Live Streaming

Virtual Events

Live Panels

Virtual Summits Roundtables Product Launches Contests

Live Q&A

✓ Increase lead generation ✓ Boost engagement and brand awareness ✓ Educate and demonstrate to your customers ✓ Deliver digital dialogue with speed to market

Expanding your digital opportunities has never been easier!

Download the free kit today tinyurl.com/EventsVirtual To discuss further contact Jason Wild E: jwild@intermedia.com.au M: 0416 576 256 #TIGvirtualevents

BACK ISSUES AVAILABLE ONLINE

AUSTRALIAN

JUNE 2020

MAY 2020

APRIL 2020

MARCH 2020

FEBRUARY 2020

DECEMBER 2019

NOVEMBER 2019

OCTOBER 2019

Hotelier AUSTRALIAN

AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE

Guest Paging

VOL. 36 no. 6 – JULY 2019

Push for Service

Two Way Radios

Staff Paging

Gaming Paging System

Boost Phone Charging

Table Tracking ®

On-Cue Seating Management System

PAG I N G & C O M M U N I C AT I O N S O L U T I O N S LRSAUSTRALIA.COM.AU

IN THIS ISSUE: POS LATEST | BEER NEWS | DESIGN & BUILD

SEPTEMBER 2019

AUGUST 2019

JULY 2019

JUNE 2019