LONDON (Reuters) – Britain’s struggling bars and restaurants could earn over 5 billion extra kilos every year by adapting their opening hours to trendy shopper patterns, a study by Barclays stated on Thursday.
Britain’s excessive avenue is affected by weak shopper spending and intense competitors, with the likes of burger chain Byron and Italian meals restaurant Prezzo closing shops this 12 months.
App-based meals supply providers corresponding to Deliveroo and Just Eat (JE.L) are difficult conventional gamers, and Barclays stated that restaurants could even use such platforms to spice up their revenues with round the clock takeaways.
“The current leisure environment does present a number of challenges for the sector’s businesses,” stated Mike Saul, Head of Hospitality and Leisure at Barclays.
“Those that don’t adapt to this type of newly developing consumer demand risk being left behind in this ever-competitive environment.”
Restaurants, takeaway meal shops and pubs, bars and golf equipment could make an additional 5.5 billion kilos ($7.34 billion) in income every year by adjusting their opening hours, the analysis by Barclays stated.
Including gyms, cinemas and different leisure operators, the whole annual profit for the trade could be 6.75 billion kilos in whole.
The study, which surveyed 2,334 folks and 553 companies, discovered fifth of British staff anticipated 24-hour providers throughout the hospitality and leisure sector.
It additionally discovered that whereas 42 % of companies had acquired requests for extra versatile opening hours, solely four % stated that they perceived a lack of enterprise by not being open when prospects need.
“While a significant number of consumers experience frustrated demand, most UK leisure services believe they are keeping up with their customers’ opening requirements,” the report stated.
“With many customers prepared to pay a small premium for services at unusual hours, businesses that find ways to meet this pent-up demand stand to grasp a significant opportunity.”
Reporting by Alistair Smout; enhancing by Stephen Addison