Page 40 - RLI March 2019
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RLI LEISURE INSIGHT




                         WHAT’S ON THE HORIZON?


                         IN THIS moNTH’S LEISURE INSIGHT pIEcE, paUL NEwmaN,
                         RSm’S HEad of LEISURE aNd HoSpITaLITy pREdIcTS SomE
                         of THE majoR TRENdS THaT THE INdUSTRy IS LIkELy To
                         SEE acRoSS 2019.





                                ighlighted below are some of the upcoming trends   greater visibility regarding sustainability of ingredients, and a
                                that the leisure and hospitality sector is likely to see   focus on demonstrating the local sourcing and ‘farm to table’
                         Hover the next 12 months, as new and innovative   provenance  of  food  offerings. We  expect  a  greater  use  of
                         ideas  and  trends  sweep  across  the  constantly  changing   technology  in  the  supply  chain,  through  RFID  tracking,  to
                         consumer landscape.                          monitor the origins of ingredients. Continued diversity of food
                                                                      communities, including rapid growth in vegan and flexitarian
                         The fighT for lunchTime spending             diets, will make niche food groups too big to ignore. Expect
                           The fight for lucrative lunchtime spending is set to intensify   more meat and dairy free options on menus going into 2019,
                         in 2019. Established coffee chains have struggled against food   and more inventive ways to replace meat in our diets.
                         first brands such as Pret and EAT which have encroached on
                         the high margin caffeine providers. Newer coffee chains such   Will hyper personalisaTion become
                         as Joe & The Juice and Black Sheep have more differentiated   The neW norm?
                         food  offerings,  but  traditional  coffee  brands  have  failed  to   Where  science  meets  food  and  drink  -  start-ups  and
                         adapt to growing demand for better quality lunchtime meals.   universities are looking at how we can personalise what we
                         We expect the county’s largest coffee chains to fight back in   eat and drink. Imagine making water taste better by altering
                         2019 with innovative new menus, selective promotions and   the colour, taste and smell. Or using our DNA to identify
                         better loyalty programmes.                   what  we  should  be  eating  or  more  importantly,  not.  For
                                                                      many health-conscious consumers taking a swab and posting
                         london off The boil                          it back to gain a DNA-based eating and exercise plan is a
                           With  a  saturated  market,  expensive  rents  and  higher   no brainer. Throughout 2019 we will see more inventions as
                         wage  costs,  London  is  in  danger  of  pricing  new  concepts   companies look to win the hyper personalisation race. This
                         out of the market. Loungers, the 144-site bar chain has seen   will keep R&D experts busy.
                         consistent growth and is a tried and tested model. It is said to
                         be mulling a public listing, all without a single site in London.   premium becomes sTandard
                         Other brands have struggled to gain a foothold outside of   We’ve  seen  the  explosion  of  craft  beer,  gin,  whisky
                         the  capital,  demonstrating  that  London  often  requires  a   (everything) and our humble mixers and soft drinks are no
                         differentiated approach to other areas of the UK. With the   exception.  Research  suggests  that  consumers  now  expect
                         outlook on the UK high street promising to be tough we   that this is offered as standard and are prepared to pay more
                         expect more hospitality businesses to look beyond the UK   for a better-quality drink than their ‘usual’. It’s not just drinks
                         to overseas expansion, either directly or through franchise.  though with higher end bar snacks now entering the market.
                                                                      For many, the expectation is that a premium offering should
                         social conscience conTinued                  be available whether it’s alcohol, mixers, snacks or soft drinks.
                           2018 was the year that public awareness of plastic pollution   Restaurants, bars and pubs will up their drinks and snacks
                         went mainstream, and businesses rushed to react to public   game, making premium the standard choice in 2019.
                         sentiment. 2019 will build on this ethical foundation. Expect
                                                                      blurring The lines beTWeen Work
                                                                      and play
                                                                        Restaurants and bars will jump on the co-working train.
                                                                      Across  London  a  few  forward  thinking  restaurants  and
                                                                      bars have adopted the co-working revolution as their own,
                                                                      offering packages or day rates for people to use their spaces
                                                                      to work during the day. For many this makes perfect business
                                                                      sense. By offering early stage entrepreneurs a more flexible
                                                                      place to work operators are getting an uplift in spend during
                                                                      the quieter parts of the day. We expect to see more offers
                                                                      like these in hotspots for start-ups around the country.

                                                                      public gdpr breaches on The horizon
                                                                        Recent  research  has  found  that  nearly  50  per  cent  of
                                                                      hospitality companies are at risk of prosecution for breaching
                                                                      GDPR  rules  and  we  could  potentially  see  some  hefty
                                                                      fines hitting the headlines in 2019. Businesses will need to
                                                                      make sure they are looking after their customers’ data and
                                                                      maintaining compliance with GDPR.


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