Www.peach-factory.com. Universal Trends November 2008 Peter Martin.

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Transcript of Www.peach-factory.com. Universal Trends November 2008 Peter Martin.

www.peach-factory.com

Universal Trends

November 2008

Peter Martin

Survival

“It is not the strongest of the species that survives, not the most intelligent, but the one most responsive to change.”

Jim Sullivan quoting Darwin

“One reason why downturns tend to be good times to launch new

businesses is because established companies abandon growth opportunities too fast”

The Economist, November 2008

How bad is it?

Lucky not in cars, construction…or the USA

… or the book shop business

Brands must evolve marketing from traditional media to new consumers venues

78%

66%

51%

50%

13%

6%

5%

1%

10%

17%

16%

24%

24%

25%

20%

13%

1%

1%

2%

5%

9%

3%

0%

22%

18%

37%

61%

24%

17%

11%

60%

49%

71%

58%

32%

0% 25% 50% 75% 100%

Watching TV

Surfing the Internet

Listening to the radio

Listening to music

Playing computer games

Watching sports

Playing sports/fitnessactivities

Going to traditional pubs

Going to restaurants

Daily Weekly Monthly Not done in the past month

Source: Gamestec / Harris (November/December 2007)

Frequency of leisure activitiesHow to reach consumers? If they are not out they are surfing the net

What do we know about the UK?

How often do we eat out?

3

1

4

5

9

7

4

4

9

9

18

22

19

21

21

23

21

25

33

23

23

23

38

36

34

34

25

23

21

22

21

23

31

31

19

27

26

25

15

14

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Self service

Fine dining

Pub/bar meals

Fast food restaurant

Bakery/sandwich shop

Coffee shop

Casual dining

Pub restaurant

Daily 2-6 x a week 2-4 x a month Every 2-6 months Rarely (once/twice a year) Never

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

How often under 24s eat out?

8

3

11

14

18

7

5

4

13

8

24

42

33

24

26

33

16

29

30

23

26

22

35

31

27

28

16

7

8

16

16

14

33

28

15

9

8

27

13

13

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Self service

Fine dining

Pub/bar meals

Fast food restaurant

Bakery/sandwich shop

Coffee shop

Casual dining

Pub restaurant

Daily 2-6 x a week 2-4 x a month Every 2-6 months Rarely (once/twice a year) Never

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

Convenience driving 16-24 experiences

Why bother with under 25s? • Despite growing over 65 market• Will remain a major group• Numbers will remain same for next 20 years

• But…..– eat out more – drink out more– forming opinions – creating new brands– preferences will drive through market for coming years

What people complain aboutYounger and mid-income diners most dissatisfied; older most contented. Service big issue.

2

2

2

4

4

6

7

9

9

18

26

22

19

21

23

36

36

36

31

51

34

41

36

41

42

41

35

34

32

19

36

34

42

33

29

17

21

20

26

10

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Bad experience - didn't complain

Complained

Sent food back

Rude service

Lack of cleanliness

Poor quality food

Lack of choice on menu

Incompetent service

Toilets not cleaned

Slow service

Always Often Sometimes Rarely Never

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

Consumer attitudes

28

28

33

45

32

30

13

43

36

35

28

27

27

41

33

54

24

38

14

23

15

6

13

14

21

11

12

11

11

6

3

6

9

9

4

5

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

I like to know the acoholic strength ofwhat I'm drinking

I don't think about health or diet wheneating out

I'm concerned about salt, sugar and fatcontent when eating out

I like a menu with a range of healthoptions

I like to know where ingredients aresourced

Pubs and restaurants have a role toplay in reducing obesity

I only buy from companies with a soundenvironmental policy

I'm adventurous in my tastes and trynew things

I like menu items I can share

Strongly agree Slightly agree SameNeither agree/disagree Slightly disagree Strongly disagree

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

35-44 year olds least health conscious; women most likely to be concerned about, salt, sugar and fat, want more healthier option and believe restaurants should play a role on obesity

Consumer attitudes

28

28

33

45

32

30

13

43

36

35

28

27

27

41

33

54

24

38

14

23

15

6

13

14

21

11

12

11

11

6

3

6

9

9

4

5

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

I like to know the acoholic strength ofwhat I'm drinking

I don't think about health or diet wheneating out

I'm concerned about salt, sugar and fatcontent when eating out

I like a menu with a range of healthoptions

I like to know where ingredients aresourced

Pubs and restaurants have a role toplay in reducing obesity

I only buy from companies with a soundenvironmental policy

I'm adventurous in my tastes and trynew things

I like menu items I can share

Strongly agree Slightly agree SameNeither agree/disagree Slightly disagree Strongly disagree

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

35-44 year olds least health conscious; women most likely to be concerned about, salt, sugar and fat, want more healthier option and believe restaurants should play a role on obesity

Austerity Britain

• Still cool to save the planet?

• Cool to “cut-back” on indulgence?

Key role of serving staffWaiters will become the brand’s tableside spokespeople on sourcing, sustainability, energy policy, as well as daily specials

Time to rethink the pub?

Is alcohol becoming a luxury?

When visit the pub for a drink?Local still most popular place for a drink; but eating-out a bigger draw

1

2

2

4

3

7

4

7

11

12

14

17

9

7

30

19

21

20

16

13

28

20

24

20

68

70

28

43

28

34

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Night club

Pub on way home from work

Country pub

Bar

High street pub

Local pub close to home

Daily 2-6 x a week 2-4 x a month Every 2-6 months Rarely (once/twice a year) Never

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

What else people doDrinking at home a major competitor, but most popular with older people

3

4

12

28

4

3

28

21

27

23

23

20

32

27

24

14

37

34

17

16

16

10

23

23

18

32

18

15

13

19

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Eat a take away at home (collected)

Eat a takeaway at home (delivered)

Eat a ready meal

Drink alcohol at home

Go to friends houses to socialise

Cook for friends at home

Daily 2-6 x a week 2-4 x a month Every 2-6 months Rarely (once/twice a year) Never

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

Attitudes to the pub

27

18

36

17

17

19

8

43

30

42

32

33

43

27

18

27

19

26

13

15

21

21

19

6

12

12

6

26

12

26

53

3

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Pubs should limit amount customersdrink

Pub is great value for money

Prefer pubs with good food and wine to'boozers'

Go to pubs more often since smokingban

I'm bored with going to pub

Regularly meet friends at pub for nightout

Pub centre of my social life

I like the traditional British pub

Strongly agree Slightly agree SameNeither agree/disagree Slightly disagree Strongly disagree

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

But people like pubs - or at least the idea of the pub

Attitudes to the pub

27

18

36

17

17

19

8

43

30

42

32

33

43

27

18

27

19

26

13

15

21

21

19

6

12

12

6

26

12

26

53

3

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Pubs should limit amount customersdrink

Pub is great value for money

Prefer pubs with good food and wine to'boozers'

Go to pubs more often since smokingban

I'm bored with going to pub

Regularly meet friends at pub for nightout

Pub centre of my social life

I like the traditional British pub

Strongly agree Slightly agree SameNeither agree/disagree Slightly disagree Strongly disagree

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

Still an important social role, but no longer the centre of people’s lives

Attitudes to the pub

27

18

36

17

17

19

8

43

30

42

32

33

43

27

18

27

19

26

13

15

21

21

19

6

12

12

6

26

12

26

53

3

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Pubs should limit amount customersdrink

Pub is great value for money

Prefer pubs with good food and wine to'boozers'

Go to pubs more often since smokingban

I'm bored with going to pub

Regularly meet friends at pub for nightout

Pub centre of my social life

I like the traditional British pub

Strongly agree Slightly agree SameNeither agree/disagree Slightly disagree Strongly disagree

Source: Eating-out and the Consumer 2008, Peach Factory/Harris Interactive (survey February 2008)

People want better value, but most importantly seem to want a different type of pub - with more wine and food

A chill wind from the States• Neighbourhood restaurants hitting the buffers

• QSR benefiting from trading down

• But operators fighting back• ‘Survival’ and ‘Value’ the key drivers

Technological solutions: Voice recognition to improve drive-thru, carry-out and

delivery orders - staying on top of costs

The new wallet

‘Restaurant meal replacement’

• Hiring chefs to enhance their culinary credentials • Wholefoods Markets doing more take-out hot food than Applebees or Outback

Sampling

Premiumisation

Applebee’s Bruschetta Burger on Focaccia

Pasta Hut promotion

Pubs, restaurants can still win• Quality, freshness• ‘Tout technique’• Superb service• Affordable treat• ‘Cabin fever’ factor• Make it easy• Stay in touch

Always regulation

“In every downturn, who succeeds and who fails is

likely to be determined not by what costs are cut, but how they are cut and above all which ones are not cut.”

The Economist, November 2008

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