Why Solidarity and Tech are Key for the Industry’s Come Back.
In 2020 the hospitality industry was truly on its knees. With no precedent to look to for guidance, we had to make fundamental changes overnight.
With every learning in mind, this year will be an opportunity for us to rebuild, survive and hopefully thrive. We’ve proven that we’re more resilient and creative than any other industry, so let’s start this year with our head held high, and persevere with two key things that will help us come back stronger.
Riding the wave together.
COVID-19 affected our industry more than we could have ever anticipated. Pair isolation with the unpredictable nature of the virus, and we were left to turn to each other for support while our industry fundamentally altered. 2020 became more about survival than competition.
If we face further regulatory change, restrictions or new norms this year, it’s even more crucial that we stick together. Solidarity is the key to rewriting our future and surpassing pre-COVID strength. Let’s continue to share insights, advocate for government support and keep in touch, even if it’s just for a chat.
John Sullivan Food and Beverage Director at Rockpool Group said:
“I think the pandemic has brought us closer and has made us more resilient – both individually and as a group. The broader community has also found a new level of respect for the industry and what we offer.”
Fortunately, the vaccine is looking promising so let’s latch onto that glimmer of normality. Until then, we can continue to create magical dining experiences for guests, and provide the much-needed fun and warmth in a lot of people’s lives.
This year is going to be a crazy ride, but we’ve already proved we can put up a solid front to any challenge. Let’s continue this solidarity and rebuild together.
Embracing a tech-focused business model.
The hospitality business model is broken. With low-profit margins and crazy high commission-based delivery players dominating the market, venues were stretched thin even before the pandemic hit.
If there’s a silver lining to 2020, it’s that the industry had a unique opportunity to pause and rethink the way we do things. For many operators, this meant embracing the right technology to unlock a more sustainable and profitable business model.
During 2020, customers using me&u in Aussie venues spent an average of 27.5% more on every order, giving businesses a much-needed boost in their revenue. Managers found when customers used a digital menu, they ordered with their eyes, and were more likely to choose beautiful higher-margin items and upsells.
For operators, capacity limits were one of the biggest hits to profitability this year.
Brad Jenkins, Head of Leisure at Lewis Land Group said:
“Government-mandated 300-person capacity limits had a huge impact on our NSW businesses which usually have an average capacity of 2000 people. We’re operating at 15%.”
Having me&u can help offset the losses of the last year as trade becomes normal again. More revenue per order makes all the difference.
Tech will cement its place as a fundamental player in the future of hospitality. After a year of reactive change, this is a chance for the industry to choose a stronger and more sustainable business model moving forward.
There’s no doubt this year will be a challenging one, but there’s also a lot of hope we can hold on to. Like everything we do, we’ll begin the rebuilding process with our trademark hospo perseverance, stick together and embrace a stronger tech-focused business model. me&u will be here every step of the journey and we can’t wait to see what the industry achieves this year.