Facelift favours food
WITH DEVELOPING food sales high on the agenda for more pubs than ever, the traditional relationship between pub operators and tenants/lessees is undoubtedly changing for the better.
The idea that pubcos should focus on rents and beer sales, leaving licensees to fend for themselves when it comes to food, is looking increasingly shaky. With 2,200 pubs, Scottish & Newcastle Pub Enterprises (S&NPE) is one of the top five leased operators in the country, and has a stronger track record than most when it comes to joint investment aimed at driving food sales.
One example of this approach is at the Staff of Life, at Sutton in Ashfield, Nottinghamshire. Lessee Bill Tomlinson has been at the pub for 24 years, initially as a manager when the pub was owned by the now-defunct Home Brewery. He became a tenant when S&NPE acquired the business.
Last year saw a major refurbishment of the pub, with an investment cost approaching £200,000 split between the company and Bill and his wife Marlene, who have invested £70,000 in the business. Following the refurb, Bill has taken another step up, from tenant to lessee.
The Staff of Life proves that it is possible to develop a food-led business model without losing the essential nature of a community pub.
"We've always been a traditional sports pub - darts and dominoes," says Bill. "The smoking ban was a big factor. Well before it was implemented, I realised I was going to have to make some changes to attract a different group of customers, including families."
Carvery added
The evolution of food at the pub has been gradual. "We started with a table behind the bar making sandwiches," says Bill. As trade developed, a room previously used as a wine and cigarette store, was converted into a small kitchen. The menu has also developed gradually, with a carvery added as business picked up.
"I've always taken a cautious approach to changes, assessing the market carefully," says Bill. "We've gone from 10 per cent food sales to 70 per cent food sales over the years."
Until last year, Bill and Marlene were offering a basic pub food menu from noon to 2pm and again from 6pm to 8pm.
Having seen the area becoming more competitive as managed houses offered more food, Bill drew up the plan for the latest refurb and put his proposal to S&NPE.The company backed his plan and were supportive from start to finish. "It's been a real team effort," says Bill. S&NPE even bought in a kitchen designer to maximise the kitchen space and make it more productive. It also helped with ideas to market the menu.
The pub has now doubled its capacity for diners to 120 covers. It offers two menus: basic pub food at around £5 a head, and a more creative restaurant-style Mediterranean menu, which allows the full-time Mauritian chef to try more ambitious recipes. The popularity of the Sunday carvery means extra space has to be found in the pub's function room, and a Wednesday night carvery has been added for people tired of cooking midweek.
Bill admits that when he developed the business plan for the Staff of Life he was thinking about survival. Now he and Marlene can see an opportunity to pass a going concern on to their son and daughter, who are also both involved in the business, when they retire.
