Cafébec’s Post

“F&B is out of sync. It’s not like guests don’t want to spend money in hotels – they’re spending more on the average rate, they’re spending more on wellness, spa and leisure activities, golf, albeit it’s slowed down year on year. But they’re not spending money in the food and beverage outlets in hotels, or nowhere near enough to offset the cost increases,” insights from Michael Grove, COO HotStats featured in this interesting piece on F + B in this article by Hospitality Investor https://hubs.ly/Q02snsdK0

In the ever-evolving hospitality industry, Atlas Hotels stands out as a leader in innovation and operational excellence. In a recent Shiji Insights interview, Craig Couper, Product Operations Manager at Atlas Hotels, shared how the company is driving operational excellence across its 58 UK properties. Post-COVID, Atlas Hotels responded to a growing demand for quality F&B experiences by refreshing bar offerings, updating draught beer suppliers, and standardizing drinks menus. These changes, coupled with new technologies, have improved product quality and aligned with the market trend toward premiumization, delivering unique guest experiences that go beyond what can be offered at home. Craig also emphasized the crucial role of cloud-based technology in managing their diverse portfolio, enabling real-time performance monitoring and tailored promotions. The seamless integration of new properties and a focus on employee training have been key to maintaining consistency and control across the estate. To read the full interview, click here: https://lnkd.in/eeYu-ieg #shiji #atlashotels #shijiinsights #hospitalitytechnology

Britain’s hospitality sector has recorded its first quarter-on-quarter growth in outlets in two years, the new Hospitality Market Monitor from AlixPartners and CGA by NIQ reveals. Read the full Hospitality Market Monitor > https://lnkd.in/efr3ETRd

"Harnessing the Power of Predictive Planning for Exceptional Guest Experiences" As a Food & Beverage professional at Luxury Hotel, I am excited to share how predictive planning plays a crucial role in elevating our guests' experiences, particularly during high-profile events. Take a recent major concert by a renowned celebrity as an example. Such events significantly influence hotel occupancy and demand for our dining services. By leveraging data analytics and predictive tools, we can forecast guest numbers, preferences, and peak times, enabling us to tailor our offerings accordingly. Optimized Staffing and Inventory: Predictive planning allows us to anticipate the surge in demand, ensuring we have adequate staff on hand to provide impeccable service. This foresight also helps us manage inventory efficiently, reducing waste and ensuring we have the right ingredients to delight our guests. Enhanced Dining Experiences: Understanding the preferences of concert-goers, we curated special menus and themed cocktails to celebrate the event. Our team crafted a memorable dining experience, turning the concert weekend into a festive occasion for our guests. Personalized Services: With advanced data, we can personalize guest interactions. Knowing their preferences, we can offer tailored recommendations, enhancing their stay and dining experiences. This level of attention to detail sets Luxury Hotel apart, making every guest feel valued and special. Boosting Revenue: Predictive planning isn't just about meeting demand; it's also about maximizing revenue opportunities.Special events bring in guests eager to spend on unique experiences. By preparing in advance, we can offer exclusive packages and promotions, driving both occupancy and F&B revenue. In conclusion, predictive planning is a game-changer in the hospitality industry. By anticipating trends and guest needs, we can deliver exceptional service, optimize operations, and enhance the overall guest experience. At Luxury Hotel, we are committed to using innovative strategies to stay ahead and provide our guests with the luxury and service they expect. #PredictivePlanning #GuestExperience #HospitalityInnovation #PersonalizedService #LuxuryHospitality

𝗖𝗵𝗮𝗹𝗹𝗲𝗻𝗴𝗲𝘀 𝗮𝗻𝗱 𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝗶𝗲𝘀: 𝗡𝗮𝘃𝗶𝗴𝗮𝘁𝗶𝗻𝗴 𝘁𝗵𝗲 𝗧𝗿𝗼𝘂𝗯𝗹𝗲𝗱 𝗪𝗮𝘁𝗲𝗿𝘀 𝗼𝗳 𝗛𝗼𝘁𝗲𝗹 𝗙𝗼𝗼𝗱 & 𝗕𝗲𝘃𝗲𝗿𝗮𝗴𝗲 ➡️ Rising costs, especially in labor, are outpacing revenue growth, leading to a significant decline in profitability. ➡️ Strategies for maintaining profitability include investing in staff training, optimizing operations, and leveraging technology to reduce waste. ➡️ To compete effectively, hotel F&B must match the quality and experience offered by high street restaurants. ➡️ Creating a unique concept tailored to local demand can drive success, but it requires careful planning and execution. ➡️ Despite challenges, hotel F&B remains an essential contributor to total revenue and profitability, albeit not as significant as room revenue.

Hotel optimal departmental income, GOP and NGOP In the hospitality industry, particularly in hotels, optimal departmental income and profitability metrics can vary widely based on the type of hotel, its location, market segment, and operational strategy. However, there are some general benchmarks and guidelines that can be referenced. Optimum Departmental Income 1. Rooms Division: • The Rooms Division typically generates the highest revenue for a hotel. A well-performing Rooms Division may aim for a departmental profit margin (or departmental income) of around 75% to 80% of total revenue generated from room sales. 2. Food & Beverage Division: • The Food & Beverage Division often has lower profit margins compared to the Rooms Division. A healthy departmental profit margin for Food & Beverage can range from 35% to 45%, depending on the type of service (fine dining vs. casual dining, etc.) and the efficiency of operations. 3. Other Operated Departments: • This category can include services like spas, retail shops, and other amenities. Profit margins can vary significantly, but a range of 50% to 60% is often considered good. GOP% and NGOP% 1. Gross Operating Profit (GOP) Percentage: • A well-managed hotel typically aims for a GOP percentage of 40% to 48% of total revenue. This percentage can vary based on the hotel’s size, market segment, and operational efficiency. 2. Net Gross Operating Profit (NGOP) Percentage: • NGOP is calculated after accounting for FF&E and management fees. A target NGOP percentage might be in the range of 30% to 35% of total revenue, again depending on the specific hotel’s operational structure. Conclusion These benchmarks are general guidelines and can vary significantly based on individual hotel circumstances. To achieve optimal performance, hotels should focus on operational efficiency, revenue management, and cost control strategies tailored to their specific market and operational model. Regular benchmarking against similar properties and industry standards can also help in assessing performance. By Mr. Khaled Bahgat

The F&B business of a hotel is a cornerstone of revenue generation. The service, the food, and the presentation are the pillars that uphold this crucial segment. If even one of these elements falters, the entire guest experience can be compromised. Consistency is key. This doesn’t mean we should become static and ignore evolving trends. Delivering consistent service means maintaining the highest standards in taste and quality of food, while also ensuring that our offerings are visually appealing in today’s Instagramable world. A significant portion of the F&B business comes from non-residential guests. Keeping them coming back requires strategic engagement through loyalty programs, introducing new and exciting dishes, suggestive selling, and hosting events at the hotel. These are essential tools to keep our outlets vibrant and appealing. For our resident guests, it’s crucial to create a memorable breakfast experience. Offering cash vouchers to spend within our outlets and providing executive lounge facilities are effective ways to ensure they choose to dine in-house rather than stepping out. By focusing on these strategies, we can enhance guest satisfaction, drive revenue, and build lasting loyalty. Let's continue to innovate and elevate our F&B offerings to new heights! #Hospitality #FandB #GuestExperience #HotelManagement #Innovation #GuestSatisfaction #Consistency #Trends #LoyaltyPrograms #ExecutiveLounge #MemorableExperience #GENERALMANAGER #GMTALKS

In hotels, some common formulas used daily include: 1. Room Rate Formula: - If a hotel charges ₹10,000 per night for a standard room and a guest stays for 3 nights, the total room revenue is ₹10,000 * 3 = ₹30,000. 2. Food and Beverage Cost Percentage Formula: - If a restaurant generates ₹1,00,000 in revenue in a month and incurs ₹30,000 in food and beverage costs, the cost percentage would be (₹30,000 / ₹1,00,000) * 100 = 30%. 3. RevPAR Formula (Revenue per Available Room): - If a hotel has 100 rooms available and earns ₹2,00,000 in room revenue over a month, the RevPAR would be ₹2,00,000 / 100 rooms = ₹2,000 per room. 4. Occupancy Rate Formula: - If a hotel has 150 rooms and 120 rooms are occupied on a given night, the occupancy rate would be (120 / 150) * 100 = 80%. 5. ADR Formula (Average Daily Rate): - If a hotel earns ₹1,50,000 in room revenue over 100 occupied rooms in a month, the ADR would be ₹1,50,000 / 100 rooms = ₹1,500 per room per day. 6. GOPPAR Formula (Gross Operating Profit per Available Room): - If a hotel earns ₹5,00,000 in total revenue and incurs ₹2,00,000 in operating expenses over a month, with 100 available rooms, the GOPPAR would be (₹5,00,000 - ₹2,00,000) / 100 rooms = ₹3,000 per available room. 7. REVPASH Formula (Revenue per Available Seat Hour): - If a restaurant serves 500 meals over 50 available seat hours in a week, generating ₹1,00,000 in revenue, the REVPASH would be ₹1,00,000 / (500 meals * 50 hours) = ₹40 per available seat hour.

As the boutique hotel sector evolves, food & beverage (F&B) operations have become a true differentiator, blending memorable guest experiences with operational efficiency. Here are key takeaways shared by industry leaders Adam Weisblatt of Last Word Hospitality and Mitch Prensky, MBA of COJHO Hospitality Consultancy: ✨ Market Gap Analysis: Successful F&B concepts start by identifying what's missing in the market, beyond trends or personal preferences. Weisblatt cited Austin, Texas, where they found a lack of Italian cuisine amid barbecue and Tex-Mex dominance, creating a unique offering that resonated with guests. ✨ Balancing Creativity with Efficiency: Prensky emphasized treating hotel F&B outlets as “a business within a business.” To thrive, these outlets need systems that enable creative experiences while maintaining cost control and efficiency. ✨ Adapting to Evolving Guest Preferences: With fewer guests consuming alcohol, investing in innovative non-alcoholic options is essential. Wright of Nestle Premium Waters reminded hoteliers that creating memorable moments is crucial in today’s market. ✨ Engaging Staff through Creativity: Prensky's “Sunday Supper” concept showcases how themed events can foster staff engagement and creativity while offering something fresh for regular guests. Focusing on gap analysis, guest preferences, and adaptable operations enables boutique hotels to make F&B a valuable, profitable part of their brand. For hoteliers, this translates to thriving F&B outlets that enhance the overall guest experience. #Hospitality #FoodandBeverage #BoutiqueHotels #GuestExperience JWB Hospitality