ISSUE 17 • JAN/FEB 2019
0(® É Ë maga zine Ë Ë &
OUTSTANDING LUXURY
Entries invited for our 2019 Awards
GIN RECORD
The Old Bell Inn adds to its record number of gins
P lus : INN PROFILE
The Pheasant Inn in Shefford Woodlands near Hungerford WWW.INNKEEPERMAGAZINE.CO.UK
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contents
welcome... this month...
The prospects for innkeepers in the coming year are looking better than that have done than they have done for several years. Wages are finally picking up, for the first time in a decade giving punters more disposable income - for as long as inflation remains low, at least. The pub and inn property market is also improving at last. Although prices are still lower than they were more than a decade ago prior to the financial crisis, they are steadily rising according to Fleurets’ latest survey of pub prices (page 5). Against this positive background we have announced our inaugural Excellence in Luxury Service Awards incorporating Innkeeper and Luxury Bed & Breakfast magazines. We are now formally inviting entries to the 2019 awards for inns and suppliers in categories ranging from Best Luxury Breakfast product to Best Luxury Seaside Inn. The purpose of the awards is to help raise the high standard already set by high-end inns across the UK. The final date for entries for the awards is 31 March 2019. Details of the awards can be found on page 8. Meanwhile we await news from the Competition and Market Authority which launched enforcement action last June against online travel agents and is yet to publish its final view on whether the terms and practices it is concerned about breach consumer protection law. The CMA is addressing industry complaints about false “discounts”, false availability claims and other “pressure selling” techniques, manipulated search rankings influenced by payments to the OTAs, and false “Best Price” guarantees. Watch this space.
4 NEWS Industry news from around the UK
12
12 PROFILE David Hancock of Inn Places reviews The Pheasant Inn in Shefford Woodlands near Hungerford
22 GIN INN The Old Bell Inn in Saddleworth, which won the Guinness World Record for its gin range, buys a bottle of the world’s most expensive gin
Bill Lumley EDITOR
28 WHITE SPIRITS The growth in the popularity of gin is being matched by the number of new distilleries
28 www.innkeepermagazine.co.uk
34 CVA Help may be at hand if you are facing financial difficulties JANUARY / FEBRUARY 2019 | INN KEEPER | 3
news
LOWALCOHOL BREWER SECURES INVESTMENT FUND Big Drop Brewing has received £500,000 in funding after its sales grew by 775% in the last 12 months. The British low-alcohol beer maker is on track for revenue of £1 million in 2019 and has set its sights on dominating the low- and no-alcohol craft beer sector in the UK and to expand overseas. The new funding will enable the brewer to increase marketing and production, it says, and the company will be moving some of its brewing to mainland Europe to meet the dual challenges of Brexit and satisfying increased demand. It is also looking at brewing options in Canada to reduce its carbon footprint and to provide a gateway into North America. Founder Rob Fink decided to develop Big Drop in 2016 after noticing a lack of flavoursome low- and no-alcohol beers in bars and supermarkets. He said the £500,000 windfall would unlock resources in the UK and abroad. “We aim to raise the standards for low- and no-alcohol beers and our numbers reflect that customers love what we do. The latest investment will unlock more resource, production efficiencies and sales potential both in the UK and globally. “We’re winning awards against full-strength beers, demonstrating that we are meeting a genuine need and delighting even dedicated alcoholic beer lovers. There’s a huge potential audience out there for us and we’re only just beginning. Stout is now the fastest growing beer variety in the UK due to the craft beer boom, and our version is doing phenomenally well. We look forward to see what 2019 has in store,” he said.
4 | INN KEEPER | JANUARY / FEBRUARY 2019
ENTRIES INVITED FOR THE 2019 EXCELLENCE IN LUXURY SERVICE AWARDS Entries have been coming in following the official launch last month of the inaugural Excellence in Luxury Service Awards incorporating Innkeeper and Luxury Bed & Breakfast magazines. The new awards span categories for innkeepers and B&B owners and for suppliers, ranging from Best Rural Inn to Best e-commerce Website Developer. The ultimate purpose of the awards is to recognise and promote excellence in luxury across UK inns and their suppliers, and thus help raise even higher the existing bar on standards in the high-end accommodation sector. David Hancock (pictured right) has been involved for many years with the Morning Advertiser Publican and Great British Pub Awards. He told Innkeeper magazine: “These Excellence in Luxury Service awards are about showcasing the quality of the inns and B&Bs. Many individual owners and some of the pub groups are investing serious money in the overall experience of staying at an inn beyond home from home comforts, and adding that extra detail. The Innkeeper awards are showcasing that investment and the quality that is on offer in the marketplace now. I think that is very important as regards people’s expectations when they stay in an inn. It is a great honour to be asked to be part of that.” The remaining panel comprises Inn Places managing director David Hancock; Bed & Breakfast Association chairman David Weston; hospitality business adviser Tina Boden of the Tiny Troubleshooter; owner of The Chapel luxury B&B in Harrogate Mark Hinchliffe; Be My Guest event director Diane Lloyd; hospitality coach Yvonne Halling; and Innkeeper magazine editor Bill Lumley. Deadline for entries is 31 March 2019. A shortlist of nominations for the awards will be published in April and the winners will be announced at a central London awards ceremony on 9 May at the Crypt on the Green, Clerkenwell, on the edge of the City of London. David Weston said: “I was delighted to be asked to be a judge in the inaugural Excellence in Luxury Service awards.
“I hope the new awards will complement established awards such as those run by the AA and eviivo, and add a new, luxury-focused element to the national awards scene, and new opportunities for the owners of high-end properties to showcase their businesses.” Diane Lloyd, event director for Be My Guest Events, said: “We are delighted to support JLD Media and Luxury Bed & Breakfast magazine on their inaugural Award series in 2019. It will be the perfect showcase for B&B owners up and down the country who are committed to delivering customer service of the highest order and delightful guest experiences. We can’t wait to read the entries and to see the winners awarded their deserved accolades.” To submit your entry to the 2019 Excellence in Service Awards visit www.innkeepermagazine. co.uk or email helen.richmond@jld-media.co.uk. See page 12 of this issue for further details of award categories www.innkeepermagazine.co.uk
news PUB SECTOR PROPERTY VALUES ARE SET TO RECOVER Values are steadily recovering and turnover in the pub sector is remaining firm, according to Fleurets’ latest survey of pub prices. The leisure property specialist reports there is no shortage of buyers with plenty of cash wanting to buy pubs or inns, and there is no shortage of talented operators wanting to operate, but in certain sections of the pub market there are very few buyers who have both the money and the ability to operate. The combined effect is that there are several types of property that are in strong demand and several types of operation where demand is very limited. Allowing for inflation, pub sales are still in line with 2008, according to the Office of National Statistics. Operators who are adaptable, creative and resilient are focussing on premiumisation, service standards and quality to differentiate their offer, according to Fleurets. However, rising costs and falling consumer confidence are focussing attention on bottom line profits, not helped by the protracted uncertainty over Brexit. Increasing costs and more selective consumers are encouraging a trend towards specific concepts with fundamentally lower overheads, for example micro pubs with a craft ale focus or gin bars that cater for a niche market and also operate from smaller premises, according to the survey. “They are very clear about their offer, often trading on just wet sales, or with a very limited and simple food offer, in order to keep costs to a minimum, thus enabling good profit to be made from modest turnover levels,” says the report. The food offer in pubs is expected to polarise, with large operations getting bigger, thus driving economies of scale, while smaller scale operations, often owner-operated, will be restricted on what they can offer due to staff limitations, it suggests. The middle market will be under pressure to simplify and de-skill their offer in order to minimise the effect of rising wage costs and staff shortages, and it forecasts a continued closure of small outdated pubs that can no longer cater for changing consumer demand, alongside growth of larger more modern operations that meet the current consumers’ needs. The ONS reports that in the last 10 years 41% of small pubs have closed, whereas medium and large pub numbers have increased by 16%. The numbers equate to a ratio of seven small pubs closing to every one large pub opening, which according to the survey is not expected to change in the short term. www.innkeepermagazine.co.uk
Average Sale Price of All Freehold Pub Sales 550 k 500 k 450 k 400 k 350 k 300 k 250 k 200 k 150 k 100 k 2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
514,230 377,555 255,642 175,707 152,632 260,731 284,777 327,631 281,970 363,543 416,624 445,537
Source: Fleurets
TYPES OF OPERATION WITH STRONG DEMAND High quality sites suitable for managed operation - These are typically sites that take over £12k pw for wet-led and over £20k pw for food-led units. City centre sites in strong demand from all types of buyer. Bottom end freehold pubs - Affordable to individual operators and local developers. Leisure investments - Driven by the appetite of pension funds and private investors attracted by longer leases often with RPI provisions and higher yields than other sectors. Nil premium free of tie leaseholds - Very little cash is needed, so enthusiastic operators can secure what is often a fitted unit with an opportunity to trade. Package deals - Strong demand in the last 12 months from operators and investors. TYPES OF OPERATION WITH LESS DEMAND Mid-sized, often owner-operated businesses - These can be very successful and attractive operations, but they do not fall into any of the active buyer markets. Many are too small and/ or too individually driven to operate under management, too food-led to operate under a tied tenancy model, and they require too much of a cash deposit for individuals to raise a bank loan to purchase. A 40% deposit plus costs is often far more than most private buyers can afford when purchasing a business between £500k-£1m, particularly in the North and Midlands.
Date
Pub Use %
Alt Use %
2018
64.5%
35.5%
2017
61.5%
38.5%
2016
62.4%
37.6%
2015
50.0%
50.0%
2014
56.4%
43.6%
2013
55.6%
44.4%
2012
53.9%
46.1%
2011
48.0%
52.0%
2010
49.7%
52.3%
2009
58.0%
42.0% Source: Fleurets
Leasehold assignments at a premium - For all but the very best sites in the major city centres, significant assignment premiums are very hard to achieve. This is due to a growing number of free of tie units being available on new leases. These are often fitted premises and offered either at lower rents or with better incentives than existing leases on assignment. JANUARY / FEBRUARY 2019 | INN KEEPER | 5
news EDITOR Bill Lumley bill.lumley@jld-media.co.uk 01892 739 507 | 07710 271 099 NORTHERN IRELAND EDITOR Francis Higney 07710 271 099 CONTRIBUTING EDITOR Caroline Sargent 07076 362 082 CONTRIBUTING EDITOR Matthew Attwood 07710 271 099 SALES MANAGER Frankie Butler frankie.butler@jld-media.co.uk 01892 739 524 | 07590 297 877 PRODUCTION MANAGER Stuart West stuart.west@jld-media.co.uk 01892 739 526
GUESTS’ MOST WELCOMING CITIES REVEALED Half of the most welcoming cities in the UK are in Scotland according to online travel agent booking.com. These comprised Stirling, Perth and Inverness on mainland Scotland, Portree in Skye and Stornoway in the Western isles. According to the booking.com research, some 67% of UK travellers say friendly and interesting locals are one of their top considerations when selecting a destination for their next trip. For the seventh annual awards, 759,845 properties across 219 countries and territories have been given an award by the OTA. In the top 10 countries most awarded, the UK has been ranked seventh, with 31,206 properties receiving a coveted Guest Review Award. Weymouth, Blackpool, Paugnton, Harrogate and Weston-super-Mare made up the remainder of the UK's top ten most welcoming cities.
PUBLISHING DIRECTOR Helen Richmond helen.richmond@jld-media.co.uk 01892 739 523 | 07765 008 507 No part of this publication may be reproduced, or transmitted in any form or by any means, electronic or mechanical including photocopying, recording, or any information storage or retrieval system without the express prior written consent of the publisher. We regret we cannot be liable for the safe custody or return of any solicited or unsolicited material. Contributors are advised to keep copies of all materials submitted. The opinions and views expressed in Innkeeper are not necessarily those of JLD Media. Being subject to the Advertising Standards Authority guidelines in place at the time of going to press, all data submitted by advertisers and contained in their advertising copy is accepted by JLD Media in good faith. Inn Keeper is available on subscription. UK & Ireland £65; Overseas £98. Inn Keeper is published bi-monthly. Printed by Stephens & George Ltd
Inn Keeper JLD Media, 29-31 Monson Road, Tunbridge Wells, Kent TN1 1LS
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6 | INN KEEPER | JANUARY / FEBRUARY 2019
UK'S TOP 10 MOST WELCOMING CITIES 1 .................................................Stirling 2 ............................................Stornoway 3 ...........................................Weymouth 4 .................................................... Perth 5 .............................................Blackpool 6 .............................................. Paignton 7 .............................................Harrogate 8 ..............................Weston-super-Mare 9 ..............................................Inverness 10 ............................................... Portree
TOP 10 COUNTRIES WORLDWIDE Italy .......................................... 106,513 Spain .......................................... 46,646 France......................................... 45,286 Germany .................................... 36,042 United States .............................. 35,626 Croatia ....................................... 34,027 United Kingdom ........................ 31,206 Russian Federation ..................... 26,729 Poland ........................................ 26,572 Brazil .......................................... 24,477 Source: booking.com
SPARKLING WINE SALES HIT RECORD HIGH Combined sales of sparkling wine and Champagne reached a record high in 2018, when Brits bought almost £2.2 billion worth of fizz. The latest market report from the Wine and Spirit Trade Association (WSTA) shows that almost 165 million bottles of sparkling wine and Champagne were sold in the UK last year. Of this, a record £1.5 billion – the equivalent of 146 million bottles – comprised sales of sparkling wine alone. The UK’s sales of sparkling wine have enjoyed rapid growth in the last decade, but more recently the category’s growth has been slowing. Despite this, more sparkling wine was sold last year in the UK than any previous year. Combined sales of sparkling wine and Champagne have almost doubled in volume and value in the last five years, according to the report. The sparkling wine category includes Prosecco, Cava, Crémant and English sparkling wine amongst others, all of which have found their way into supermarkets and
onto drinks menus in bars across the UK. The lion’s share of sparkling wine sales in the UK is from Prosecco. However, the growth in sales of Prosecco has slowed markedly, with drinkers exploring other fizz offerings, according to the WSTA. Chief executive Miles Beale said: “Fizz is traditionally enjoyed over the Christmas holiday period and 2018 looks to be another sparkling success for wine makers. UK consumers now have a far greater range to choose from than ever before, including world class English sparkling wines, Cava’s, Prosecco and Crémants.” He suggested that in order to enable consumers to continue to enjoy a wide range of quality sparkling wines, the government should not allow a ‘No Deal’ Brexit, which he said would stifle trade and limit choice. “The greatest gift for sparkling wine lovers this Christmas is a deal which allows for frictionless trade without tariffs,” he said.
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OPENING THE DOOR TO NEW 2019 DATES THE UK’S LEADING EVENT SERIES FOR INDEPENDENT ACCOMMODATION PROVIDERS
19 FEBRUARY, BOURNEMOUTH 5 MARCH, SCARBOROUGH
BOOK FREE TICKETS AT: BEMYGUEST.LIVE
news
VISITS FROM JAPAN TO THE UK EXPECTED TO GROW IN 2019 Innkeepers have been put on alert to attract Japanese tourists this year after a predicted growth of almost 10% in visitors from the country this year. The number of Japanese tourists visiting the UK is expected to grow in 2019 to its highest level since 2007, as the two countries continue to strengthen economic and cultural ties. National tourism agency VisitBritain reports that it expects visitor numbers from Japan to reach 270,000 by the end of the year. Spending by Japanese visitors in the UK is expected to reach £285 million this year, up from £250 million in 2017. One reason for the predicted growth in visitor numbers is that nationals from Japan will be able to use ePassport gates to enter the UK from summer 2019 as part of the government's commitment to develop a new global immigration system as the UK leaves the European Union at the end of March. ePassport gates, which are currently available for British and EU nationals, provide a faster route through the border as they allow eligible passengers to be processed quickly and securely. Growing airline connectivity with a new direct, non-stop route from Osaka to London scheduled for April this year by British Airways is also expected to boost visitor numbers. The news comes as UK Prime Minister Theresa May welcomed Japanese Prime Minister Shinzo Abe to Downing Street this month. Michael Ellis, UK tourism minister, said: “The UK and Japan have strong cultural, artistic and sporting ties and this is translating into increased visitor numbers to our shores. “Tourism is good for our understanding of each other’s cultures and can help strengthen our economies. With thousands of Brits expected to travel to Japan for the Rugby World Cup this year and the Tokyo 2020 Olympic and Paralympic Games, our continued close relationship will benefit both nations.” VisitBritain Director Patricia Yates said: “Japan is an important market for VisitBritain and we want the UK to be the number one destination in Europe for Japanese visitors, so it is encouraging to see the expected 8 | INN KEEPER | JANUARY / FEBRUARY 2019
growth this year. A passion for rugby is a strong connection between our countries and the Rugby World Cup in Japan this year also provides us with a valuable opportunity to promote Britain internationally as the ‘home of rugby’ and our associated destinations and tourism experiences. “Tourism is a fiercely competitive global industry and we continue promote the message of welcome and value, working with partners to make it easier to travel here and promote the amazing experiences that Japanese travellers can only have in Britain.” VisitBritain’s global campaign 'I Travel For…' that launched in Japan last year is also shining the spotlight on unexpected experiences and less explored destinations across the UK alongside its globally renowned and iconic landmarks and attractions to drive tourism from Japan. VisitBritain is working with travel trade and content partners to amplify its marketing reach in Japan and convert the inspiration to visit Britain into bookings. Visitors from Japan spent, on average, £1,011 per visit in the UK in 2017, compared to the all-market average of £625.
Last year, the Prime Minister and Prime Minister Abe announced an arts and culture programme of UK in Japan in 2019-20, bringing together British and Japanese artists, technology experts and businesses to continue to build creative links between the two countries. The programme, run by the British Council, will provide UK artists and their Japanese partners with opportunities to share state-of-the-art digital technology and showcase the best of UK and Japanese creativity in the run-up to the Tokyo 2020 Olympics and Paralympics. To coincide with this, Japan will also stage a parallel cultural programme in the UK. Japanese perceptions of the UK as a visitor destination are strong. Japan ranked the UK fourth out of 50 nations for its overall brand in the 2018 Anholt Nation Brands Index, and up one place on 2017. Japan also rated the UK highly for its vibrant cities and urban attractions and historic buildings and monuments. According to VisitBritain, culture is one of the key attractions for tourists from Japan who enjoy visiting the UK’s museums and art galleries, sightseeing at famous monuments and buildings and visiting castles or historic houses. www.innkeepermagazine.co.uk
news
SOMERSET CAMPAIGNERS AWARDED BY CAMRA FOR SAVING HISTORIC PACKHORSE INN Campaigners in Somerset who saved a village pub from closure have been awarded real ale lobbyist CAMRA's prestigious Pub Saving Award, recognising the communities that work hard to keep their beloved local inns and pubs open. The Save the Packhorse Project was set up by residents of South Stoke in Bath in May 2012 after the much-loved Packhorse Inn was sold to new owners, who planned to convert it into a residential property with ground floor office space. By the end of that month, the Save the Packhorse Project had acquired the support of Bath and North East Somerset Council, achieved national news coverage, and secured backing from nearly 1,500 signatories on an online petition. In February the following year, after a wave of local support and campaigning, the Packhorse Inn was added to the Council's Assets of Community Value list, giving the local community six months to raise funds to buy it. The community organised a Save the Packhorse pop-up bar in South Stoke in May 2013, which has become a well-attended annual event with entertainment, flowing drinks, and press coverage. After a prolonged stalemate with the pub's new owner, the team were informed in June 2016 that they had less than 100 days to raise the £500,000 plus legal costs to secure the pub. Within three weeks, £287,000 had been raised. By September 2016, they had raised £601,000 with the help of 200 investors. The Packhorse Inn is now the property of 430 shareholders. It was successfully reopened as a community pub in March 2018, after undergoing huge renovations to the building. It is estimated that more than 1,000 hours of volunteer time were allocated to the garden alone. During the course of its renovation, an original 17th century fireplace was discovered inside the pub. Local historians date the inn's founding to 1618 - meaning it reopened its doors exactly 400 years since its earliest days as an ale house. Dom Moorhouse, managing director of the Packhorse Community Pub, says: "We're absolutely delighted to hear the news that we've won the Pub Saving Award. It's really a testament to our visionary, generous shareholders and the hundreds of volunteers who have helped make the project a reality.
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"It's really hard work, doing what we've done, and it's so rewarding for everyone involved to not only have a great community asset but also be recognised for our achievement as a team." Paul Ainsworth, who organises CAMRA's Pub Saving Award, adds: "The Packhorse Inn was unanimously selected by our judges as the winner of CAMRA's Pub Saving Award. I have followed their story closely and with interest - it really is inspirational stuff! I hope that success stories such as this of the Packhorse Community Pub encourage other communities to fight for their local pub. The Packhorse has served the village of South Stoke for centuries now - to have lost it would have been devastating, and I am delighted that the team have been rewarded
for their unyielding persistence and effort." The inn serves local beers from Cheddar Ales based in Somerset, and a range of home cooked foods, always sourced locally whenever possible. All meat is sourced within a 15-mile radius. The inn uses Pynes of Somerset, an award-winning butcher who buys the finest meat from selected farms, with full traceability from source. The runner-up in the competition was the Volunteer Pub in Bexleyheath, which closed in late 2017 after 152 years of service as a public house. Saved by local campaigners, the pub was reopened in April 2018, and has established several football teams, an active golf society, and regularly promotes live music with Open Mic nights and acoustic guitar sets.
JANUARY / FEBRUARY 2019 | INN KEEPER | 9
PUB19 ANNOUNCES STAR-STUDDED SPEAKER LINE-UP T
he UK’s only dedicated trade show for the pub industry, PUB19, has secured an impressive line-up of speakers including the thought-provoking J D Wetherspoon’s chairman Tim Martin for this year’s two-day event in London’s Olympia 5-6 February. Martin, who founded the successful pub giant J D Wetherspoon, is well known for his candid view on a number of issues impacting the industry, most recently Brexit and the benefits of leaving the European Union; and the role of social media after shutting down all of the company’s accounts. At PUB19, Martin will be speaking with Peter Martin, Vice President of CGA, on the topic of Growth in the Face of Adversity. More than 200 exhibitors will be present at the show, which over the two days will be attended by thousands of pub operators and owners. Last year’s event welcomed more than 4,000 people through the door and showed a double-digit increase on the previous year’s event. Over one quarter of attendees cited the importance of being able to network with other members of the industry at the show.
10 | INN KEEPER JANUARY / FEBRUARY 2019
Across the two days there will be a whole host of industry experts, influencers, leading operators and suppliers, discussing a whole host of topics designed to help attendees develop their business and make 2019 a successful, profitable year. THESE INCLUDE: • Charlie McVeigh, founder of Draft House, joining award-winning beer writer and broadcaster Pete Brown, along with pub operators Lee Cash, Joycelyn Neve and James Nye to discuss strategies for growing your business. • David McDowall, CEO – Retail of BrewDog will be interviewed by Mark McCulloch, founder and CEO of We Are Spectacular about why 2019 will be ‘Year of the Dog’. • Kate Nicholls, CEO of UKHospitality, Brigid Simmons, chief executive of BBPA, Chris Hill, CEO of New World Trading Company and Kris Gumbrell, CEO of Brewhouse & Kitchen will examine the issue of improving recruitment and retention in the sector. • Paul Dickinson, Director of Food at Fuller’s, Ben Handley, Chef Patron at The Duck Inn, Tristan Hogg, co-founder and MD of Pieminister, and Ronnie Kimbugwe¸ executive head chef, Bel and the Dragon, will share their top tips on running a profitable kitchen. • Innkeeeper magazine editor Bill Lumley will chair a key session entitled Publican Panel: Raise a Glass to the Landlord, saying cheers to the unsung heroes of the industry. An award-winning panel of leading landlords will debate the big issues in the trade, from business development, legal compliances, and staff management to F&B offerings, innovation, staying relevant and staying sane. The panel will be made up of the heads of four outstanding pubs : Emma Gallagher, landlady at The Old Lion Inn in Cleobury Mortimer, South Shropshire, Ollie Coulombeau, manager of The Star Tavern in Belgravia, Oisin Rogers, general manger of The Guinea Grill Mayfair and Christo Tofalli, Landlord of Ye Olde Fighting Cocks.
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“PUB19 has absolutely cemented itself as a key date in the industry’s diary every year, and one that many publicans would be silly to miss. For me, it’s a vital platform to meet peers, share information, hear about what is happening in the industry and the predicted trends. The line up of speakers this year bring fantastic knowledge, experience and insight with them – it’s set to be another brilliant show.” Mark McCulloch, Founder, We Are Spectacular
The talks and workshops at PUB19 have been carefully designed to ensure visitors to the show can network with like-minded individuals, discuss experiences and come away with key learnings and fresh ideas. Other key discussion points across the three theatres – The PUB Theatre, in partnership with Nationwide Energy, The PUB Trends Bar, in partnership with Fever-Tree, and The Taproom will include: Reasons to be Cheerful, and how pubs can capitalise on trends and prosper in 2019; The PUB Trends Report: What Does the Punter Really Want?; Last Orders – what the new age of pubs need to do to create customer ‘experience’; Cider, is it the most misunderstood drink at the bar?; and How to sell more ‘low and no’ alcohol. Together with show favourites and mainstays such as the PUB Theatre, the PUB Trends Bar, in partnership with Fever-Tree and The Taproom, there are a number of new features at this year’s show: • THE BARCADE – the show’s central networking hub and the place to meet up, grab some lunch or simply sip a beer. Visitors can also take advantage of a variety of bar games such as pool, fruit machines and shuffleboard.
“PUB19 is always the most vibrant trade show in the pub industry calendar and every year it gets bigger and better. As the leading trade association for pubs, we’re delighted to be involved with a show that looks to support and inspire operators of all sizes and look forward to being part of this exciting event once again.” Kate Nicholls, chief executive, UKHospitality
• THIRSTY BUSINESS – a dedicated drinks area, Thirsty Business will play host to The Trends Bar, in partnership with Fever-Tree and The Taproom, as well as feature a wealth of drink-specific exhibitors including Halewood International, Drinks Cluster Wales and Hofmeister to name a few. PUB19 Commercial Manager, Alex Booth, said: “Every year our speaker line up is bigger and better than before, and this year is no exception. We have some prominent figures from the industry as part of the show this year, including Tim Martin, David McDowall, Joycelyn Neve and Paul Dickinson, who will all be on hand to share their wisdom and learnings with our visitors. On top of that, we have experts from every aspect of pub operations, talking across our three stages.” Last year, the event welcomed a record number of visitors to the show and has firmly become a key date in the UK pub industry calendar, he said. He added: “Our aim as always is to demonstrate just what a fantastically diverse and dynamic environment the UK pub sector has become, and we’re sure that visitors will leave the show with a wealth of new information and insight to help them grow their businesses throughout 2019. We look forward to seeing you there.”
• THE PUB TRENDS REPORT – visitors will be able to grab a copy of an exclusive report providing the latest consumer insight for the UK pub industry. Six pages of market data, commentary on emerging trends and an analysis of challenges and opportunities for food and drink retailers. • THE 2019 PUBCASTS – curated in partnership with award-winning beer writer and broadcaster, Emma Inch, this series of podcasts – or PUBcasts – are packed with insight to help operators wrap their heads around key industry topics.
To see the full line-up, register for PUB19 and keep up-to-date with the latest news and information, visit thepubshow.co.uk, or follow @PubShowUK on Twitter, Facebook or Instagram.
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JANUARY / FEBRUARY 2019 | INN KEEPER | 11
luxury bed & breakfast and innkeeper
DATE - 9 May 2019 VENUE - Crypt on the Green, London DRESS CODE - Black Tie Following much preparation, we are proud to announce the official launch of the inaugural Excellence in Luxury Service awards incorporating Luxury Bed & Breakfast and Innkeeper magazine. The awards span categories both for B&B owners and Innkeepers as well as suppliers ranging from Best Luxury Seaside B&B to Best Luxury Breakfast Product. The awards aim to recognise and promote excellence in luxury across the UK B&B and Innkeeper markets, thus helping raise the existing bar on standards even higher in the high-end UK B&B and Innkeeper market. We are also delighted to announce the judges of the awards. The panel comprises Inn Places managing director David Hancock; Bed & Breakfast Association chairman David Weston; B&B business adviser Tina Boden of the B&B Keeper and the Tiny Troubleshooter; owner of The Chapel luxury B&B in Harrogate Mark Hinchliffe; Be My Guest event director Diane Lloyd; B&B coach Yvonne Halling; and Luxury Bed & Breakfast /Innkeeper magazine editor Bill Lumley. The winners will be announced at a central London awards ceremony on 9 May at the Crypt on the Green, Clerkenwell, on the edge of the City of London. David Weston said: “I was delighted to be asked to be a judge in the first annual Excellence in Luxury Service awards.
WWW.LUXURYBBMAG.CO.UK
“I hope the new awards will complement established awards such as those run by the AA and eviivo, and add a new, luxury-focused element to the national awards scene, and new opportunities for the owners of high-end properties to showcase their businesses.” Diane Lloyd, event director for Be My Guest Events, said: “We are delighted to support JLD Media, Innkeeper and Luxury Bed & Breakfast magazine on their inaugural Award series in 2019. It will be the perfect showcase for owners up and down the country who are committed to delivering customer service of the highest order and delightful guest experiences. We can’t wait to read the entries and to see the winners awarded their deserved accolades.” Fellow judge and winner of this year’s Vision Style Award for Picture Perfect B&B The Chapel owner Mark Hinchliffe added: “I am delighted to be invited to be appointed as a panel judge for the 2019 Excellence in Luxury Service awards. These awards will help keep the high-end market on its toes when it comes to enhancing its luxury appeal.” HOW TO ENTER Submitting your entry is straightforward. Go to luxurybbmag.co.uk/awards and complete the online form. Deadline for entries is 31 March 2019. A shortlist of nominations for the awards will be announced in April, ahead of the awards ceremony in London 9 May.
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JUDGES
Tina Boden Founder The Tiny Troubleshooter
David Hancock Managing Director Inn Places
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The Pheasant ,Qž J Shun the M4 Services and seek out this stylishly refurbished old drovers’ inn for the relaxed vibe, modern British cooking and beautiful bedrooms. Inn Places founder David Hancock reports
ack Greenall Greenalll took over the reins of the – long a favourite of legendary Pheasant P Lambourn the Lambou urn Valley horse racing set – two years ago, w whereupon he promptly restored its reputation. The Pheasant is a cracking inn, and the best M4 pit-stop for miles (just north of junction 14, beside the B4000). The former drovers’ retreat may have morphed into a rambling roadside inn - a new-build bedroom extension has been added - but the gently refurbished bar and the dining rooms ooze rustic charm. Original beams and wood panelling, stone floors and blazing fires are beautifully matched with warm rich colours, comfortable cushioned settles, elegant old dining tables, mirrors, books, and a fine collection of equestrian prints, photos and paintings. Arrive early to bag the Chesterfield sofa in the cosy snug. The TV remains tuned to the racing, so guests should expect to rub shoulders with jockeys and trainers whilst ordering a pint; it’s totally laid-back and relaxing. Good-looking dishes range from Kelmscott pork belly to baked aubergine with courgette spaghetti to ale-battered fish and chips. And if you fancy staying the night, you won’t regret it: the bedrooms are elegant and striking. The guest rooms have all the relaxed, home-from-home comfort you’d expect from a country pub, with the minute attention to detail of a smart hotel and a fresh, modern approach to design.
Do not disturb Comfort and elegant understated style extends to eleven en suite bedrooms, which have been given a fresh modern look by London-based interior designer Flora Soames. Through clever combination of bold colours, rich fabrics, striking wall coverings, big lamps, individual artwork and contemporary furnishings she has confidently transformed new-build bedrooms into something very special, all are relaxing, warm and super comfortable. Elegant fluted armchairs, buttoned ottomans www.innkeepermagazine.co.uk
and individually hand-picked artworks are features, while bathamong the characterful char which have bathtubs as well as rooms, two of w powerful showers, are stocked with high-quality pow toiletries by local boutique indulgent handmade handm botanicals brand Bramley. All the rooms have high quality mnattresses, luxury Egyptian cotton bed linen, duck-down duvet and mattress toppers, plush towelling robes and 100 Acres sops. Brilliant bathrooms and welcome detail touches like Roberts radios, Smart TVs, Hampstead Tea, Mozzo Coffee, hot water bottles add to the cossetting Bramley bathroom products and complete the pleasing picture, and a cosy overnight stay is guaranteed. Wake up to warm pastries, grilled smoked trout with tomato chutney and Dijon mustard cream sauce, or a full English before donning your boots and tackling the Ridgeway Path.
What’s the Damage? 11 doubles/twin: £100-£120. Sunday night deal: £70 per person to include a 3-course dinner, bottle of Berry Bros wine and a glass of Pol Roger champagne on arrival
Mastering the menu Having spent time in the kitchen at Jack’s father’s pub, the excellent Duncombe Arms at Ellastone, Staffordshire, head chef Andy Watts joined Jack’s journey at the Pheasant and hasn’t looked back. Andy’s changing menus are rooted in classic modern British cooking and his dishes successfully combine the best ingredients from local artisan suppliers, including rare breed beef from Hungerford Park and Kelmscott pork, sausages and wild meat from Viccars Game, and cheeses from Alex James’s Cotswold farm. He bakes bread daily and everything is freshly prepared in the kitchen, including the fruity brown sauce that accompanies the delicious black pudding Scotch egg on the starter menu. Andy’s passion is for cooking fresh fish, so look to the chalkboard for the day’s catch, perhaps JANUARY / FEBRUARY 2019 | INN KEEPER | 15
É
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É Bar menu Tempura prawns, garlic aioli and lemon Black pudding scotch egg, fruity brown sauce, bacon sauce & honey Smoked chicken & avocado sandwich, chargrilled sourdough, rocket, mustard mayo, parmesan & skinny fries Seared calves liver, bubble & squeak, roast baby onions, crisp pancetta & madeira sauce Chicken pappardelle, marlborough mushrooms, parmesan sahvings, herb cream sauce
Dining Breakfast: The Pheasant is open daily for breakfast, whether it is a quick coee and a bacon sandwich, available to take away, a continental buet of homemade granolas, fresh fruit and yoghrt, pastries and freshly squeezed juices, or the full Monty including champagne and a full English, made from locally sourced produce. Breakfast is available between 7.30 and 10.30am weekdays and 8 to 10.30am at weekends. It includes free coee reďŹ lls, daily newspapers and superfast wi-ďŹ . Advanced booking for tables of four or more are requested. The Pheasant’s new upstairs dining space has been beautifully designed by Octavia Dickinson and is now available for cocktails and canapĂŠs or a private dinner party. The room seats up to 20 people and includes a Sonos sound system and a large at screen TV with a full Sky Sports package.
halibu with foraged sea vegetables and saron halibut potatoes, or Ramsbury Ale battered ďŹ sh & chips, potato crushed peas, tartare sauce. Lunchtime sandwiches crushe include ďŹ sh ďŹ ngers & tartare sauce and roast beef includ sirloin and horseradish mayonnaise. Don’t miss the slow-roasted lamb shoulder with Yorkshire pudding slow-r garlic & herb roast potatoes, seasonal vegetables and red wine wi sauce on Sundays.
Food partners Foo Th Pheasant The P also works very closely with Walter Rose & Son, family butchers in Devizes since 1847. All the beef is served from class Aberdeen Angus and Hereford crosses farmed by Tim Johnson at Stokes Marsh Farm, some eight miles www.innkeepermagazine.co.uk
from the butcher’s shop. Only heifers are selected as their small size and consistency of quality is better than the males. Each piece is hung to reach its optimum level of maturity, treated individually and checked daily. The beef has enough fat between the muscles and is marbled within to give great succulence and avour. The inn is able to serve unbeatably fresh ďŹ sh catches thanks to Flying Fish Seafoods, which sources the best produce coming into the Cornish towns of Looe, Brixham, Newlyn and Plymouth, and supplements its exceptional range with specialty products from Scotland and Paris. Its overnight delivery service enables the inn to serve unbeatably fresh catches in its specials. JANUARY / FEBRUARY 2019 | INN KEEPER | 17
É The Best Bits • • • • • • •
Iconic racing pub in Lambourn Valley Spruced up with style in 2016 Interior oozes rustic-chic charm Good modern British food Brilliant back bar; drinks galore Cosy rooms; attention to detail Best M4 (J14) pit-stop for miles
Behind the bar The bar may not be big but the fantastic choice of drinks on oer certainly packs a punch. Ale lovers can choose between Marston’s Pedigree, local Ramsbury Gold or Pheasant Ale on tap. Shelves groan with spirit bottles, including some unusual boutique gins (Silent Pool, Edinburgh, Twisted Nose, Monkey 47, Watercress Gin, King of Soho), vodka (Chase, Ramsbury, Isle of Wight, Grey Goose), and 30 dierent malt whiskies. Expect a ďŹ nd a 70-bin list of wines from Berry Bros and Bibendum, with 28 served by the glass. Drivers have a choice of premium juice brands, including Frobishers and Fever Tree, the latter goes well with Seedlip, the ďŹ rst non-alcoholic distilled spirit. 18 | INN KEEPER JANUARY / FEBRUARY 2019
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É Lunch Menu Nibbles Freshly baked artisan bread, Spanish Picual extra virgin olive oil, balsamic and avoured butter Garlic and herb marinated Spanish olives Root vegetable crisps, sea salt & Cornish artisan malt vinegar Honey & mustard glazed cocktail sausages, spiced apple puree
Starters roast parsnip soup, spiced onion bhaji Baked camembert, spiced pear chutney, toasted sourdough Salt baked beetroot, celeriac purÊe, root vegetable crisps & reduced balsamic Duck & chicken liver parfait, orange & cranberry chutney, sourdough toast Smoked haddock arancini, curried yoghurt, quail’s egg, pickled cucumber Fillet of beef carpaccio, black garlic purÊe, artichoke crisps & sweet potato Juniper & red wine cured salmon, potato omelette & horseradish cream
Mains Pheasant ale battered ďŹ sh and chips, crushed peas, tartare sauce, lemon 6 oz beef burger & smoked cheddar, bacon jam, brioche bun & skinny fries Wild mushroom tartlet, mushroom puree, spinach, garlic mash & roast chestnuts Twice baked blue cheese soue, red onion jam, mulled wine salsify chips & chargrilled broccoli Baked cornish cod, rosemary & potato pie, pea purĂŠe Scottish halibut, creamed sprouts, smoked bacon, sage & pine nut crust, poultry juices Half-roast creedy carver duck, fondant potatoes, pak choi & plum sauce Venison loin, parsley & garlic crumb, venison hot pot, braised red cabbage, game & redcurrant sauce 8oz wiltshire ribeye chargrilled with garlic butter, Slow roast cherry tomatoes, conďŹ t garlic, triple cooked chips, peppercorn sauce or bĂŠarnaise Salt baked saddle of lamb to share, garlic roast new potatoes, seasonal greens & rosemary jus
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JANUARY / FEBRUARY 2019 | INN KEEPER | 19
The secret to a JRſG stay Spilling the beans on the secret to guest satisfaction
* NESCAFÉ® in association with 3GEM, survey of 120 people who have stayed at a B&B or guest house in the last 12 months, October 2018 ** Centre for Economics and Business Research, Coffee and Its Impact on the UK Economy, April 2018
Spill the beans
F
or a great start to a great stay, good coffee might be the secret breakfast ingredient, a new survey from Nestlé Professional® has revealed*. The study of people who had visited a guest house or bed & breakfast within the past year showed that good coffee ranked higher than cleanliness*. It also revealed that a good cup of coffee is nearly as important to guests as a quiet night's sleep*. Coffee consumption has risen by 25 million cups a day over the past 10 years, with Brits now drinking a total of 95 million cups of coffee every day, according to the British Coffee Association (BCA)**. With such a significant rise in coffee consumption, it is perhaps no surprise that it factors so highly among guests' list of requirements.
Score your business
To help inn owners and managers find an ideal coffee solution for their guests, Nestlé Professional® has launched a new online tool. Score your business by visiting nestleprofessional.co.uk/bandb_coffee_score and answering a few simple questions. You'll get tips on improving guest satisfaction when it comes to your coffee offering, and Nestlé Professional® will send you some NESCAFÉ® samples to get started.
So, what should inns be thinking about when trying to boost customer coffee satisfaction?
Nestlé Professional’s® survey showed that nine in ten guests expect coffee to be offered in their room, when staying in a B&B or guest house*. In addition, a staggering 97 per cent agreed that small gestures such as offering complimentary coffee made a difference to their stay, and 95 per cent said that it made them feel they got more value from their stay*. Lynn Little, Channel Lead for Hotels at Nestlé Professional®, said: “For us, the results of our research came as no surprise. At Nestlé® we have over 80 years’ of coffee-making experience and this has taught us that good coffee can make all the difference when it comes to guest satisfaction. In fact, 90 per cent of the people we spoke to said that great tasting, premium coffee demonstrates high levels of customer care and quality, and overall it increases their positive perception of the accommodation*. “Our knowledge also means we know how to deliver the very best in instant hot beverages”, continued Lynn. “With our sachets and stick range, inn owners can rest assured that their guests have access to a wide selection of coffee-shop style coffee.”
ARE YOU MAXIMISING THE COFFEE OPPORTUNITIES IN YOUR INN?
your free NESCAFÉ® coffee samples * https://www.nestleprofessional.co.uk/bandb_coffee_score
*T&Cs apply | https://www.nestleprofessional.co.uk/Nescafe_BB_coffee_sample_terms
Providing in-room coffee facilities should be the first port of call. Nestlé Professional’s® survey showed 92 per cent of guests agree being offered a good cup of coffee in the comfort of their room could turn an average experience into a great one*. Good coffee ranked far higher than a television (13 per cent) and good pillows (5 per cent)*. The secret ingredients to a great coffee experience: 1. Put coffee-making facilities in every room to keep guests happy. A kettle and sachet options should do the trick. 2. Offer a choice of everyday & premium beverage types - for example NESCAFÉ® Azera and Gold Blend, alongside NESCAFÉ® Original. 3. Refill the rooms every day so guests can always make their beverage of choice, whether it's day one, two or ten of their visit. 4. For busy breakfast services, consider investing in a NESCAFÉ® Dolce Gusto® Majesto Automatic Coffee Machine nestleprofessional.co.uk/ nescafe-dolce-gusto/majesto NESCAFÉ® stick packs and sachets can be bought from cash & carries and wholesalers.
gin inn
22 | INN KEEPER JANUARY / FEBRUARY 2019
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gin inn
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gin inn A bottle of Morus LXIV, the world’s priciest bottle of gin, has been added to the world record-breaking collection of gins at the Old Bell Inn in the village of Delph near Saddleworth
P
hil Whiteman, owner of The Old Bell Inn, near Saddleworth, has bought a £4,000 bottle of gin to add to his world record-breaking collection. The bottle of Morus LXIV came from Harvey Nichols in London’s Knightsbridge - the only source where it is available, he says. However, Phil says he isn't currently planning to sell this bottle to punters, although he is contemplating buying another bottle which he would crack open to sell. The 64% ABV Morus LXIV gin is made by Jam Jar Gin from the leaves from a single ancient mulberry bush (Morus Nigra) and takes more than two years to produce. The gin is meant to be served neat or with a splash of water rather than with the traditional tonic mixer. Phil tells Innkeeper magazine: “We have toyed with the idea of buying a second bottle just to allow customers to taste it, but we’d have to charge £200 a shot.” There are 28 shots to the bottle, he says, so theoretically he’d be quids in. “Provided we sell it all, we’d get a total of £5,600 at that price, but once you have opened it the value has gone,” he says. If he decides opening it is too big a risk, he says the distillery produces 3cl individual samples. “We may play around and just buy a few more of these,” he says.
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gin inn Collecting gins It is only in the last few years that the gin collection has been formed, almost from scratch. He says that after picking up a few bottles in duty-free he brought them to the inn for feedback from his customers. This excited such a great interest among his regulars that in 2012 he began to expand both his range of gins and of tonics. Returning customers would often ask if there were any new gins to try, he says. “We started collecting a few gins and trying them out with the customers around six years ago, and then a member of staff found out there was such a thing as a world record. We decided to break it,” he says. This they achieved just two years later, having accumulated 404 different gins, at a time when the existing record was 140 types of gin. He explains: “We decided that if we were going to break the record, we would smash it out of the water.” But he did not stop collecting gins, which became if not an obsession then certainly a keen hobby: six years on the Old Bell Inn now boasts 1,258 different gins. It was only last April that the Old Bell took delivery of its 1,000th different bottle of gin. So how does the Old Bell Inn go about accumulating such a variety of gins? Phil says: “We source a lot on line. We do go abroad and pick them if we can’t get them online. We find a lot of our customers go to obscure holiday destinations and bring back gin for us to add to the collection, which is very nice.” The gin theme has certainly had an impact on the inn’s customers, he says. “People will come in the bar and ask if we have a particular gin, and if we don’t have it, we do our best to get hold of it.” It was not just keen or inquisitive gin drinkers that were targeted. The inn’s restaurant, which has been awarded an AA Rosette for Culinary Excellence, began to integrate the gin into some of its restaurant dishes, for example blood orange cured salmon with Black Death Gin served with capers, raisin dressing and spiced potatoes. “There are a great many gin distillers now open,” says Phil. “In fact, because of our world record for collecting gins, we are finding numerous distillers approaching us with new gins that they are bringing to market and asking us to put it on our shelves, which of course we do. If there is gin in our establishment, we can help promote it - it gets the ball rolling for them a bit,” he adds. www.innkeepermagazine.co.uk
Revered by gin collectors as the absolute pinnacle of modern spirits production, Watenshi is the “angel’s share” of our Japanese Gin, normally lost to evaporation but preserved using our pioneering distillation processes – which yields just 15ml of spirit per distillation. The result is a gin of unparalleled intensity and complexity, an expression of refined elegance that has previously only been attainable by the finest single malts and significantly aged cognacs. Only six bottles of Watenshi are produced in each batch: presented in a hand-blown decanter bottle and finished with silver elements by a jeweller whose other clients include Chanel, Tom Ford and De Beers. The liquid inside is just as exquisite, with notes of sweet citrus and spice, supported by bitter juniper and an incredibly long, complex finish.
Overnight guests He bought the 18-room inn 20 years ago. “Overnight visitors account for a big part of the business,” he says. “We find we have a lot of people coming to stay with us for the weekend, eating in the restaurant on the Saturday night then sampling the gins before they toddle off to bed - not always in the best of states.” The decision to grow his gin collection has coincided perfectly with growth in the popularity of the spirit. “People’s taste for gin has been growing, but I didn’t expect it to last so long. Its popularity is just getting bigger, and it is showing no signs of dying out,” he says. The Old Bell Inn has created cabinets all the way around the bar itself where the gin emporium has evolved, attracting a range of drinkers ranging from those comparatively unfamiliar with gin but keen to participate in the experience, through to what he calls the gin enthusiast - “the people who know about gin,” he says. “They will go for the rarer bottles in our collection, having tried all the run of the mill gins.” He reflects: “It’s good fun. Gin and tonic is not JANUARY / FEBRUARY 2019 | INN KEEPER | 25
gin inn
Morus LXAV is the world’s most valuable gin and also one of the rarest. It is available exclusively through Harvey Nichols. The insugral batch released in November last year was two years in the making and a total of just 25 litres will be released. Mirus LXIV Gin is distilled from the leaves of a single mulberry tree, morus nigra, that is more than 100 years old. The tree’s rare and flavoursome leaves are hand-picked and painstakingly dried along with many other botanicals, many of which grow close to the tree itself. The gin itself is distilled and rested before being aged in wooden casks prior to being bottled at a cask strength of 64% straight from the barrel. The exquisite liquid is smooth, woody and sophisticated, with a smoky sweetness, intense juniper and citrus zest oils. It is recommended to be enjoyed like a cask-strength Scotch, with a small sip to get a feel for it before adding a few drops of water to taste. According to Harvey Nichols, the craftsmanship that goes into Morus LXIV Gin is reflected in the precious vessel into which it is filled. It comes presented in a handmade white porcelain jar, which is embossed and polisyhed by hand, stoppered with a large cork and finished with cotton paper labels. Each jar comes with a porcelain stirrup cup in a fine hide leather case – a modern twist on the traditional British drinking vessel used for farewell drinks prior to fox hunts – and a matching 30ml miniature enabling you to share the joy. The drink is worth twice the value of the second most valuable gin. 30ml jars of Morus XIV are available from Harvey Nichols for £200 apiece.
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like it used to be, with different garnishes today, and you can play around with cocktails, of which we sell quite a lot as well.” At the time of interview, Phil says he had no plans to open the bottle, although he is looking at options for replacing the bottle. “We are talking to Harvey Nichols in Knightsbridge, from where we have the first bottle from the batch and the first ever to be sold,” he says.
Customer profile The profile of gin customer varies, he says. Some like to buy the more interesting or unusual gins for the sheer experience. For example, Anty Gin from Cambridge Distillery and the Nordic Food Lab is made with wood ants. Each bottle of gin is made with the essence of approximately 62 wood ants along with juniper, wood avens, nettles and Alexander seeds to complement the flavour of the insect. Phil says: “We have an Anty gin that we sell £65 a shot, and some people buy it for this reason alone, just to say they have tried it. For such customers we don’t just serve it to them, we talk to them for a few minutes and pass on the knowledge we have acquired ourselves on the respective dram. We therefore give them an experience rather than just selling them a gin,” he says. As well as owning a bottle of the world’s most expensive gin, he also has in his collection the second most expensive gin on the market, Watenshi Japanese Angel Gin. “It cost us £2,000, and we haven’t opened that yet either. There were only six bottles produced and we have one of that batch along with a letter of authenticity,” he says. The gin is distilled at half the pressure on Mount Everest at a temperature colder than the coldest day ever recorded at the South Pole, he says. “It is presented in a hand-blown decanter bottle with a silver feather around it designed by a jeweler Antoine Sandals, whose clients include Tom Forde and Chanel. This one is more about presentation,” he adds. Phil makes sure the total number of gins in his collection does not decline. “When a bottle is getting low and we may have had it on the shelf since perhaps 2014, we will stop selling it. This keeps it in our collection,” he says. “It’s incredible to think that I have produced something that is unique in the world. My team and I are so proud of this achievement and feel privileged to be part of an elite group of Guinness World Record holders. We have accomplished something great that our customers can enjoy,” he concludes.
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white spirits
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white spirits
The potency of a backstory The age of premium spirits is upon us. Craft distilleries have come of age, bringing disruption to the traditional spirits marketplace. Bill Lumley considers how that may aect inns
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white spirits
W
here once a small cluster of familiar brands would feature on the bars of inns and guesthouses, today the bar shelves are typically populated with a wide choice of appealing spirits with amazing labels and backstories to match.
Inn appeal As consumers’ expectations of a comprehensive spirits selection grow, so pressure grows on innkeepers to offer their guests a broader range of choice. Rising to meet this challenge makes perfect commercial sense – for the simple reason that it will generate higher revenues. The likelihood is that guests in a relaxed mood spending a couple of hours in the bar in your luxury property will be receptive to the prospect of sampling a few 30ml drams of different spirits.
Consumer taste Browse the shelves of the alcohol section of your local supermarket today and you are likely to see a host of niche brands from the that would not even have been considered as worthy of stick just
a decade ago or less. The reason for this is the evolution in consumer taste. As well as the Absoluts, Smirnoffs and Russian Standards, there are relatively unfamilar independent brands such as Black Cow or Whitley Neill Rhubarb. Vodkas previously only on display at trade fairs and feted in local hospitality venues are now on sale in Sainsbury. This shows how much domestic spirits retail dynamics have changed. The back stories are often as potent as the spirits themselves and are certain to have been used in the bidding to win shelf space in large national supermarkets. But vast competition in this field is expanding with the number of distilleries growing rapidly in England and Scotland, while the number Welsh distilleries has exploded in the past few years. Eye-catchingly last month Misty Isle Vodka became the first vodka to be distilled on the Isle of Skye by the Skye Distillery . The small independent distillery’s advance into vodka follows its successful foray into gin almost three years ago. Co-founder Thomas Wilson tells Innkeeper
Tommy’s Gin A limited edition gin was created by brothers Thomas and Alistair Wilson in memory of their late father who served in the Suez invasion. Tommy is also a generic name and term of endearment for a soldier. Isle of Skye Distillers co-director Thomas served in the Parachute Regiment. He has been in three theatres of conflict in Northern Ireland, Kosovo, Sierra Leone and served as a private military contractor in Afghanistan. Tommy’s Gin botanicals include poppy seed, juniper, coriander, liquorice root, blueberry and sweet orange.
magazine: “We always had the idea of making vodka since we first started distilling gin but, until now, we simply didn’t have the time to get into it properly.” Whatever the spirit, provenance is everything to the distillery, he says. Every part of the production process for Misty Isle Vodka, from distilling right through to bottling and labelling, takes place in Portree, the largest town on the island in the Inner Hebrides of Scotland. “Vodka is a pure spirit with no flavourings in it, so it is obviously something we as a distillery could turn our hands to making,” he adds. Misty Isle Vodka is a premium product that is both triple-distilled and filtered in a process that takes a few weeks per batch, which differentiates the drink from many other spirits brands. The result is a very smooth-tasting vodka. “Testing it we have found many people enjoy drinking it straight over ice or maybe with just a little bit of lemon wedge,” says Thomas. He is non-committal when it comes to forecasting how the vodka will fare in today’s market. “Who knows?” he replies. “To try and push the likes of Smirnoff off a shelf would be a hard task even for a big distillery and we are a very small company run by just myself and my brother so going forward if people would care to stock it, we would be absolutely grateful.” The distillers have kept the price point is deliberately low compared with many other premium spirits because they wanted to make it accessible to as many people as they could and to encourage bars and inns to stock it as their house pour.
Scottish spirit Premiumisation today is as much a central theme to the spirits market as bagpipes are to the Scottish Highlands. When Scottish products were released four or five years ago such as the like of Rock Rose, it started a shift in people’s mindset to trying something different and when Harris first came along, the premium spirit seemed to change the market for Scotland, he claims, paving the way for Isle of Skye Distillers’ gin range including Misty Isle Gin, Tommy’s Gin and Misty Isle Mulled Christmas Gin. “Even before you taste it, you’re in love with it when you see the bottle,” he says. “It’s from a wee island on the northwest of Scotland just like us.” Perhaps due to this new range of choice, he says, consumers today are noticeably less likely to go for the standard champion gins. Inns,
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white spirits hotels, guest houses and pubs used to stock fantastic products like Gordon’s Tanqueray and Bombay Sapphire, but now Scottish gin is riding high and there is great demand for small batch products, he says. “People today want to try something different. They will still drink their favourite Gordon’s or Bombay when they want to, but they also want to have a try of the other premium brands, like this one from the Isle of Skye. They then notice it tastes really good, with a lot more flavours going on compared with other products. “Then they may look at the bottle and they see that a lot of thought and effort has gone into its making and presentation,” says Thomas.
Premium vodka The market for premium vodka is not yet as mature as it is for whisky and gin, Thomas suggests, but it is nonetheless on the rise. “Vodka is a flavourless pure spirit, so there is not very much going on in it when you taste it. But Misty Isle is smooth – you don’t get that throat burn from the heat that comes through with many other vodkas when you drink them. “Being a smooth drink, it lends itself to a little more imagination. With a gin you can put different mixers in, but you kill the flavourings with botanicals when you start sticking in things like lemonade, bitter lemon or orange juice: you need something pure to be able to taste the botanicals. “By contrast with vodka you put a mixer in and it is the mixer you taste, but the harshness or power of the vodka depending on how it has been made can affect the pallet and the nose,” he explains. He says Isle of Skye Distiller’s goal had been to create a vodka smooth enough that when you sip it you still taste the alcohol, but without the burn characteristic of Russian vodkas. “It’s not for everyone,” he says. “I personally don’t like straight alcohol. When we make our gin, we thimble-test every litre that comes in to make sure the flavour is coming through. I don’t like it straight, I need a mixer because that is just the way my pallet is. “That’s why when we made the Misty Isle vodka we wanted to make sure there was something that still had a bit of bite to it yet was also smooth enough for the person that didn’t really like that harshness. “We wanted be able to add a wee bit of water just as you would with a good malt whisky, to soften that alcohol hit as you are drinking it, and it seemed to work.” www.innkeepermagazine.co.uk
Vodka sales – on trader versus off trade The Alcohol category is worth £16.8bn, an increase of 3.9% in value sales over the last year with volume sale remaining flat (+0.1%), according to the Wine & Spirit Trade Association (WSTA). The increase in price per litre (+0.18p versus last year) continues to play a crucial role in driving category growth. Vodka had a good start to 2018, with growth in both volume and value sales. This month the growth has been restricted to value. The WSTA notes that the trend for experimenting with flavours in vodka has not reached on the on trade. Compared with the off trade, flavoured vodkas have remained broadly flat over the last two years. Vodka sales - 12 months to November 2018 – on trade
Vodka Flavoured vodka
000s hl 162 7
%change -2 0
£m sales 1777 97
%change 1 5
Price/litre 109.94 133.92 Source: WSTA
Non-flavoured vodka remains broadly stable by value but continues to decline by volume in both yearly and quarterly sales. Flavoured vodkas have enjoyed an excellent quarter, posting high doubledigit growth in both yearly and quarterly sales, albeit from a low base. In 2014 flavoured vodka in the off trade sold the equivalent of 2.1m 70cl bottles worth £33m. In the last 12 months the off trade sold the equivalent of 3.3m bottles worth £59m. Vodka sales - 12 weeks to November 2018 – on trade
Vodka Flavoured vodka
000s hl 34 2
%change -6 0
£m sales 395 22
%change 2 1
Price/litre £115.4 £136.06 Source: WSTA
Demographic rules This less harsh taste may somewhat broaden the demographic appeal of Isle of Skye Distillers’ new vodka to appeal to the female drinker, who often prefers the less harsh edge, but he says vodka has already cracked that market. “If you look at all the people that drink alcohol, it’s women that are more down the vodka route than they are gins,” he says. “When we carried out market research four years ago in Edinburgh before we opened our distillery, it was revealed that men between 25 and 55 that were the predominant gin drinkers. This was a big shock, because the perception was that men don’t drink gin.
“What it shows it that It is hard to categorise what men and women prefer to drink. Today everyone is more open to trying new things, whereas before there would be people who wouldn’t even touch a whisky when offered the chance to taste it.
Try before you buy Indicative of this shift to greater flexibility in the spirits market is the behaviour of visitors to the kind of gin tastings that are held right around the country where they taste different small amounts of different products from a wide range of craft distillers. A preparedness to try a sample of a JANUARY / FEBRUARY 2019 | INN KEEPER | 31
white spirits spirit they woud not normally choose to drink has opened up a try-before¬-you-buy market, he says. “People say, ‘You know I didn’t like rum until a minute ago but I just tasted that one there from Glasgow and It really good so I’m going out to buy a bottle.’ “That’s how we got into gin – we didn’t drink it: at the time we were whisky people and thought we’d try a gin, and that’s what sparked the idea. We then tried pretty much every gin you can think of in Scotland and a fair chunk of the English ones as well. Today therefore, from a demographic perspective it is hard to say which ones
are going to be successful. But I certainly think the new vodka will be success with women.” He adds that most of the online sales of the new vodka have been to female customers.
Other spirits Besides diversifying into vodka, the company is in the early stages too of producing liquors and hoping to launch its first rum in early spring. It is somewhat curious given their location that they have not even considered making whisky because they held no such ambition. But he says they have had a few enquiries and now that they
Rock Rose Gin Hand-distilled by Dunnet Bay Distillers in Caithness, Rock Rose Gin takes its name from the botanical Rhadiola Rosea, literally a rose that grows in the rocks. The botanicals are foraged along the cliffs of the Pentland Firth and the flavour of Rock Rose is sweet and heathery. Rock Rose chose Rhadiola Rosea as its key flavour botanical on the basis of folklore, which tells of Vikings foraging on the same cliffs for the plant that was said to give them extra strength for their journeys.
have learned there are reports of a pending global shortage of single malt whisky they may consider it in the future. But for the time being they have enough on their plate. “The distillery is very small, the size of a three-bedroomed bungalow. Within our first month of opening we outgrew it just by making gin. If we are going down the route of whisky we’d have to find new storage, cooperage and so forth. So that’s a long game in the future – it’s not in our plans at the moment,” he says. Many distilleries are whisky focused but have started making gin because the margins were shrinking with whisky, he says. “They switched to gin and it rescued them overnight,” he says. He cites Benromach, which launched Red Door Gin. The distillers took a long time to come up with a gin, he says, and one day they realised that their distillery making whisky could be adapted to make gin as well. “It opened up the bracket,” he says. “The problem with Scottish gin now is that there is so much of it because of this trend for existing distillers to diversify into the market. “We often get enquiries from people who want to make their own gin. I tell them before they go rushing in and spending their life savings on it they should bear in mind that when we started there were perhaps 12 gins on a bar shelf and today there are hundreds from Scotland alone,” he says. “Yes, the bar might take it on and sell it, but where we used to sell two or three bottles every couple of days in a particular bar in Glasgow the rate has dropped to every couple of weeks, because the consumer has so much more choice. “Unless they choose to stick with a brand that they know and love then it is going to slow everyone down as people are trying different drinks continually because there is so much choice.”
Distribution choice Isle of Skye Distillers uses different distributors that work in different areas of the UK, but they also distribute direct to customers. He says this can often work out better for customers that only want one or two bottles for their bar since it may not be cost-effective for them to deliver just one case, and some distributors won’t mix cases. “We sell a lot online and we self-distribute as well, but we do use distributors because some bars and restaurants already have accounts,” he explains. “We’re situated on the Isle of Skye, so obviously there is an associated carriage cost, but with a new customers we usually cover the carriage cost ourselves. And we don’t impose minimum 32 | INN KEEPER JANUARY / FEBRUARY 2019
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white spirits Isle of Harris Gin The award-winning Isle of Harris Gin is Harris Distillery's inaugural spirit release. It is distilled in Tarbert in a small copper gin still, known affectionately as 'The Dottach' after a similarly fiery and feisty local woman. The Dottach imbues the spirit with the complex delights of nine carefully chosen botanicals as its distillery seek to capture the elemental nature of Harris island and the maritime influences of the seas which surround it and sugar kelp is key to the subtle coastal notes that mark out our spirit. This is hand-harvested by a local diver from the deep underwater forests of the Outer Hebrides.
Gin sales break £2 billion mark 9[[gj\af_ lg OKL9 Ú_mj]k$ af l`] kmee]j g^ 2018 gin sales reached record highs both home Yf\ YZjgY\$ h]Ycaf_ Yl z*&* Zaddagf& ;geZaf]\ q]Yjdq kYd]k g^ _af af l`] MC Yf\ :jalak` _af gn]jk]Yk `Yn] \gmZd]\ af l`] dYkl Ún] q]Yjk& Af *()+ l`] lglYd nYdm] g^ _af kYd]k$ MC Yf\ ]phgjlk$ j]Y[`]\ bmkl gn]j z) Zaddagf& L`] dYl]kl Ú_mj]k lYc]f ^jge l`] OKL9 k EYjc]l J]hgjl k`go l`Yl af l`] )* egfl`k lg Bmf] l`ak q]Yj kYd]k af l`] MC o]j] ogjl` gn]j z)&. Zaddagf$ mh +0 gf dYkl q]Yj& :jalk Zgm_`l Ydegkl .( eaddagf Zglld]k$ l`] ]imanYd]fl g^ Yf ]pljY ),&, eaddagf Zglld]k ogjl` Yf ]pljY z-). eaddagf [gehYj]\ oal` dYkl q]Yj& Goaf_ lg Y kmj_] af hghmdYjalq g^ :jalak` _af$ o`a[` `Yk Z]]f \mZZ]\ l`] _afYakkYf[] $ _af ak gml%h]j^gjeaf_ Yfq gl`]j khajal af l]jek g^ _jgol` g^ kYd]k af l`] MC& L`] bmfah]j%ZYk]\ khajal fgo Y[[gmflk ^gj .0 g^ nYdm] _jgol` af l`] khajalk k][lgj& DYkl q]Yj Yf AOKJ >gj][Ykl J]hgjl hjgb][l]\ l`Yl _af ak ]ph][l]\ lg _jgo Zq +/ Zq *(*)& :jalYaf fgo ZgYklk +)- \akladd]ja]k af l`] MC egj] l`Yf \gmZd] l`] fmeZ]j l`Yl o]j] gh]jYlaf_ Y[jgkk l`] [gmfljq Ún] q]Yjk Y_g Yf\ l`]j] are now well over 100 British gin brands on the eYjc]l& L`] fmeZ]j g^ _afk fgo YnYadYZd] af :jalYaf `Yk egj] l`Yf \gmZd]\ kaf[] *())&
order levels. If you want one bottle we’ll send you one bottle. It’s all about getting the customer what they need. We’re very much of the ‘plant a seed and grow a tree’ philosophy. We nurture our relationship with our customer,” he says. www.innkeepermagazine.co.uk
The distillery sells locally to regular customers on the island itself, where it markets 200ml bottles and miniatures as well as full-sized bottles of gin. “Many of the inns and guest houses put an Isle of Skye Distillers miniature in every
guest room as part of the welcome pack. They used to buy a couple of bottles of wine from the supermarket and leave them in the rooms, but the guests often wouldn’t drink them. “Now inns in Fife and Edinburgh are ordering our local Skye product just so they can give a Scottish product to their visiting guests,” he concludes. JANUARY / FEBRUARY 2019 | INN KEEPER | 33
Staying afloat More than one quarter of the UK’s pubs and inns have closed their doors since the year 2000, according to the Office for National Statistics. If your inn is facing financial difficulty you may be able to recover without resorting to liquidation. Bill Lumley reports
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lthough analysis of the market shows that these are now reopening under new ownership as bars at a higher a higher rate than in over a decade (see page 5), existing landlords would of course prefer not to have to go out of business in the first place. Whilst restaurants took the headlines last year with their high rate of closures, with more than 1,100 having become insolvent in the year to November 2018 according to accountancy firm Price Bailey, inn and pub insolvencies are still very much a problem within the hospitality sector. But inns and pubs are subject to the same pres-
sures. Market Growth Monitor from CGA and AlixPartners reports that by the end of the third quarter of last year there were some 6,000 fewer pubs and inns than five years previously. CAMRA meanwhile reports there were 476 inn and pub closures in the first half of 2018, and there have since been few signs of this rate slowing. If you operate your inn as a limited company, one way of staving off the liquidators should the business find itself starting to get into financial difficulty is to make use of a company voluntary arrangement (CVA). Under UK insolvency law an insolvent com-
É 6 8 According to a report by Ortus Secured Finance the number of pub and bar business insolvencies rose by 9% the previous year. Some of the causes of this downturn it says can be attributed to the general economic conditions experienced by other industries, including increased rents and business rates, but o`Yl k][lgj%kh][aÚ[ akkm]k ea_`l hmZ dYf\dgj\k Yf\ bar owners be dealing with various factors including: • AfÛ]paZd] d]Yk]k Yf\ l]fYf[q Y_j]]e]flk -Some pub leases and tenancies are characterak]\ Zq dY[c g^ Û]paZadalq$ oal` j]klja[lagfk Yf\ limitations on where stock can be purchased • Smoking ban - The smoking ban, introduced in 2007, has been a key factor in pub closures – between 2007 and 2015, almost 7,000 pubs in the UK closed down • Rises in the duty on alcohol - Although the duty on most types of alcohol was kept frozen in the Autumn Budget 2018, a rise in beer duty of 42% was recorded between 2008 and 2013 • Strong competition from other sources The comparatively low price of alcohol in supermarkets has created strong competition, with some consumers preferring to purchase cheaper alcohol from a supermarket or off-licence and drink at home before going out to a pub or bar, simply to reduce their costs • Changes in drinking trends - Drinking trends have changed over the last few years, with a rise in the popularity of wines and spirits, and new artisan beers and ciders taking hj][]\]f[] gn]j ljY\alagfYd Yd]k • Lower disposable incomes - With rising consumer prices and static wages, lower disposable af[ge]k `Yn] Z]]f Y ka_faÚ[Yfl ^Y[lgj af hmZ and bar insolvencies over recent years
pany pa any ny can can n enter ent nter e into int ntoo a company c mp co mpan any ny voluntary v lu vo lunt nttar n ary CVA, CV C VA, VA A, which wh hic ich iss similar sim miillarr too the th he personal peerrssoon nal IVA IVA VA (individual (in ind diivviidu uall voluntary arrangement), where an insolvency procedure allows a company with debt problems, or one that is insolvent, to reach a voluntary agreement with its business creditors regarding repayment of all or part of its corporate debts over an agreed period of time. The CVA can preserve the business and enable it to continue trading in order to rebuild turnwww.innkeepermagazine.co.uk
oover ov v and proďŹ t, paying back what it can aord over ov v the agreed period of time, usually ďŹ ve years. A company must be considered insolvent or already be in administration to be eligible to enter al iinto a CVA, and often creditors will be required in to write o signiďŹ cant amounts of debt as part of the th h CVA agreement. However, if a CVA is agreed, your yo o limited company can continue to trade. A CVA has a number of advantages, not just for fo o its creditors, but also for company’s directors aand shareholders. an • There are no upfront fees. Other company rescue solutions, such as pre-pack administration, may require a signiďŹ cant upfront investment. • Once the CVA is set up, the company is protected from the initiation or pursuing of legal action such as country court judgements (CCJs) or winding up petitions. The business receives protection from unsecured creditor pressure. • Approval of the CVA will see the business in a more stable ďŹ nancial position. • The company pays just one aordable monthly payment to the insolvency practitioner who acts as supervisor and distributes payment equally among your creditors. • No interest or charges from historic debts included in the CVA can be added from the date of approval. • The core business may continue to trade, providing employees and directors with employment. • In most cases, a CVA is a cost-eective alternative to other insolvency procedures. It is available to a company with ďŹ nancial diďŹƒculties, much like administration or receivership. • At the end of the CVA term, any outstanding unsecured unpaid debt, even liabilities to HMRC may be written o. A well-structured CVA can result in a fall in your yyo o monthly outgoings, an improvement in cash-ow, and a reduction in the overall amount cca a of your outstanding unsecured debt. Your of may also receive repayment of more of ccreditors cr r tthe th h money owing to them, something that may not n o happen if you simply had to cease trading. IItt also means employees stand a better chance of retaining their jobs.
Advantages of a CVA The purpose of a CVA is to help struggling businesses, and they are relatively exible arrangements. If your company’s situation changes and it is struggling to meet repayments, a variation
to the CVA may be put to creditors. If accepted, the monthly CVA repayment could be reduced for a set period, or a payment holiday permitted. The intention behind these variations is to help companies deal with changes in circumstance.
Consequences of a CVA There are many advantages of a CVA for companies struggling ďŹ nancially, according to business turnaround specialist Wilson Field. The ďŹ rm stresses that it is also important to consider the consequences before deciding how you should proceed: • There may be a failure of the CVA if no changes are made to the existing business model. There is an old saying, “if you keep doing what you’ve always done, you’ll keep getting what you’ve always gotâ€?. If your company continues making the same mistakes, it will end up in the same position in the future. • A CVA is a formal agreement and to ensure against failure, adhering to the terms in the CVA proposal are crucial. Not adhering to the requirements of the proposal will likely lead to voluntary or compulsory liquidation. This can in turn expose directors to the possibility of wrongful trading action. • Whilst there is an element of exibility, CVAs can be quite rigid, after all, they are legal schemes. In general, the CVA terms will be quite strict in what it expects the company to pay and over what period. • During the ďŹ rst few years of the CVA period, it will be diďŹƒcult or impossible to get credit. You may have to pay for goods or services on a pro-forma invoice basis or cash on delivery, while you build up goodwill with your suppliers.
Disadvantage of a CVA Companies House will register the fact the company is entering into a CVA, and there will be a recording of it on its credit ďŹ le. This means it will be more diďŹƒcult for the company to set up credit accounts or borrow money while in this structure. Another overlooked implication is the way in which the information on the company’s credit ďŹ le can aect new business relationships in the future. Many companies who are looking at doing business with you will check the ďŹ nancial viability of the company before working with you. The fact a CVA is in operation may mean that they feel that it represents a risk and may therefore refuse to do business with you. JANUARY / FEBRUARY 2019 | INN KEEPER | 35
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