Late night drinking: Outlook unsettled

Research shows the pub trade has plenty to think about if it is to make the new licensing laws work.

Like most in-depth research projects, Mintel's recent investigation into the impact of late licensing revealed only what those most closely involved in the matter realised all along - in this case that the long-awaited licensing reforms that come into effect in four weeks time are unlikely to be the pub trade's equivalent of winning the lottery.

Despite what the Daily Mail - and other sections of the media - have been telling people, the report suggests that only a modest minority of the population - some 20 per cent - have a strong inclination to go on drinking beyond 11pm.

Indeed, whether Continental-style drinking habits take hold at all on this side of the Channel will depend on a variety of factors, among them the confidence of consumers and the amount of disposable income they have available, and the outcome of government moves to ban smoking in public places.

We could have told them that, you'll be saying. But the 100-plus page Mintel report also includes some important insights into how licensees and pub companies might modify their operations to make the most of the opportuntities that the new licensing laws undoubtedly make available.

The 2,000 consumers questioned divide into three broad groups based on their attitude to late opening (the percentages add up to more than 100 because there is some overlap between the groups):

• Anti-late licensing (57 per cent)​
  Includes people who will not be tempted to stay longer in the pub or who will not go out late because they feel unsafe or disturbed by rowdy behaviour or would simply find it difficult to get home.
• Pro-late licensing (20 per cent)​
  Includes people who will go out or stay out later or drink more.
• Potential converts (31 per cent)​
  Includes people who will be encouraged to stay longer in the pub if there was entertainment or they were celebrating a special occasion, plus those who would stay out longer if they could afford it.

That more than half of those surveyed hold some anti-late licensing attitudes is perhaps worrying. But the interesting group for licensees are the potential converts. These are the people who it is possible for the trade to influence and win over, and there are a substantial number of them.

There may not be much you can do about how much cash they have in their pocket - cutting your prices is not an attractive option - but a desire to spend more time in the pub can be turned into a reality if you give them a good enough reason.

Mintel concludes that "special occasions offer the best opportunity for outlets to persuade people to stay late", with 21 per cent of people saying they would spend more time in the pub for something like a birthday party or a hen or stag night.

But the special occasions need not be so personal. The calendar is packed with significant dates and this research suggests that many people will seize such an excuse.

For 13 per cent the weekend is a good enough argument, vindicating the decision made by much of the trade to open later only on Friday and Saturday nights.

After special occasions entertainment is the next most popular reason, cited by 14 per cent, and food, too, could be a part of the mix that makes a success of longer hours.

As well as offering potential customers something more than an open door, it is clear from the report that the trade, at least in town and city centres, will also have to raise its game by making the streets a safer place if licensing reform is going to work for them.

Some 28 per cent said they already avoid town centres late at night because of rowdy behaviour and nine per cent said they would not feel safe if they stayed out longer than usual.

Mintel recommends that "instead of overtly competing with each other, outlets need to work together to attract back these people who, it is worth noting, are by no means restricted to the older age groups.

"A joint marketing campaign to guarantee safety and security could be mounted in conjunction with local authorities and the police," it stated.

Such initiatives are, of course, already in place, and the Mintel survey was conducted at a time of rising moral panic around drink-related disorder that might well have influenced these results.

But the overall lack of enthusiasm for late-night licensing among a majority of the public is, in more ways than one, sobering.

Mintel's main conclusions​

• Later opening will not, in itself, persuade most people to stay longer or drink more. Many consumers are likely either to drink the same amount over a longer period or simply venture out later
• To hold onto customers later in the evening pubs will have to broaden their offering with, for instance, entertainment or late-night food
• Increased staffing costs and other overheads mean that it may only be cost-effective to extend opening hours on special occasions, when a full house can be guaranteed
• Town-centre rowdiness is already putting people off going out late, and pub operators need to become "pillars of the community" and get fully involved in initiatives to improve safety and security for potential customers.