Orchid Group heading for 50:50 food:drink split

By Lesley Foottit

- Last updated on GMT

Red Lion: good food trade
Red Lion: good food trade

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Orchid Group anticipates achieving a 50:50 wet:dry sales mix in the next two years as its Pizza Kitchen & Bar (PKB) and Dragon sites continue to expand.

While PKB sites boast fresh pizzas aimed at a student clientele, the Dragon brand features Thai dishes with a small British menu for traditionalists.

The Red Lion in Kidlington, Oxfordshire, reopened this month as a PKB after being converted from an Independent Local and sales have jumped "dramatically, albeit from a small base".

Head of food Sarah Thomas said: "PKB is one of the best concepts for us. Much of our food growth is down to PKB — it really works. You can go there for any drinking or dining occasion. I think we will always be pubs but we’d be comfortable with a 50:50 split."

Last month’s company report revealed that food sales now account for 40% of the mix, up from 28% in 2006 and a £20m capex programme will see wet-led sites become food-led.

While the best-performing concept in food by volume is Free House Dining, PKB is a main focus for the group.

The Victoria pub in Cheshunt, Hertfordshire, reopened under the brand name last week and there are 25 further conversions in the pipeline, with three more launching soon.

These are the Bell in Maidenhead, Berkshire, Sawyers Arms in Manchester and the Alexandra in Harrogate, North Yorkshire.

The Alexandra has already closed for its repositioning from a Modern British site and is expected to launch next month.

The group’s Dragon brand is also trading strongly, with 12 open so far, and one more on the way. The sites generate particularly strong takeaway trade.

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