AUSTRALIAN
AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE
Vol. 37 No. 6 - August 2020
Resilience in the COVID era Adapting revenue streams for a new way of life
IN THIS ISSUE: MANAGING CASH FLOW | GAMING UPDATES | FUNCTIONS
CONTENTS & ED’S NOTE WE ENCOURAGE RESPONSIBLE DRINKING Get the facts DrinkWise.org.au
PUBLISHED BY: Food and Beverage Media Pty Ltd 41 Bridge Road GLEBE NSW Australia 2037 Tel: 02 9660 2113 Fax: 02 9660 4419 PUBLISHER: Paul Wootton EDITOR: Vanessa Cavasinni vcavasinni@intermedia.com.au
Contents
P22
SPECIAL FEATURES
REGULARS
8 Finance: Morgan Kelly discusses the
4 News: What’s happening in pubs
cash flow implications of COVID-19. 10 Gaming: The latest in gaming
room innovations. 14 Functions: How do function bookings
work with social distancing and an uncertain future? 18 Profile: Jake Smyth is an eternal optimist
across Australia. 22 Ed’s Design & Build: Jessi Singh has no Pick
regrets about opening a new pub during the pandemic.
26 Tales from the Top: How the Australian
Live Music Business Council can help pubs who put on a show.
who opens rooftop bars in winter.
have always been
We look at the latest innovations for
savvy, adaptable
gaming rooms not trading at full capacity
businesspeople, and
from p. 10, and how different venues are
never have these
handling functions bookings in this era of
qualities been tested to
uncertainty from p. 14. Plus, we profile a
their limits more than in the last six months.
couple of optimists in Jake Smyth (p. 18)
Hoteliers have had to respond faster than
and Jessi Singh (p. 22). Enjoy!
ever before to a changing situation, and have had to get really creative when thinking of
Vanessa Cavasinni, Editor
strategies to keep cash flow ticking over.
P: 02 8586 6201 E: vcavasinni@intermedia.com.au
in most parts of the country, now is the time
new era of trade. As always, we’re here to help. Morgan Kelly of KPMG gives advice
2 | Australian Hotelier
GROUP ART DIRECTOR – LIQUOR AND HOSPITALITY: Kea Thorburn kthorburn@intermedia.com.au GRAPHIC DESIGN: Alyssa Coundouris alyssac@intermedia.com.au PRODUCTION MANAGER: Jacqui Cooper jacqui@intermedia.com.au
To subscribe and to view other overseas rates
on how to deal with cash flow on p. 8.
various revenue streams will operate in this
GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams
1yr (11 issues) for $95.00 (inc GST) 2yrs (22 issues) for $152.00 (inc GST) – Saving 20% 3yrs (33 issues) for $199.00 (inc GST) – Saving 30%
GREAT PUBLICANS
for operators to take stock, and assess how
NATIONAL SALES MANAGER: Jason Wild Tel: 02 8586 6213 jwild@intermedia.com.au
SUBSCRIPTION RATES
Editor’s Note
With the initial chaos having settled down
JOURNALIST: Brydie Allen ballen@intermedia.com.au
visit www.intermedia.com.au or Call: 1800 651 422 (Mon – Fri 8:30-5pm AEST) Email: subscriptions@intermedia.com.au
DISCLAIMER: This publication is published by Food and Beverage Media Pty Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by Australian and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials. The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement. The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information. All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded save for those conditions and warranties which must be implied under the laws of any State of Australia or the provisions of Division 2 of Part V of the Trade Practices Act 1974 and any statutory modification or re-enactment thereof. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2020 - Food and Beverage Media Pty Ltd
‣ Training ‣ Super and HR ‣ Pub Dining Average Total Distribution: 4,743 AMAA/CAB Yearly Audit Period ending 31 March 2019.
We have been helping Australian hotels throughout uncertainty and into recovery. For a FREE Super Health Check for you and your business, contact our service team: service@intrust.com.au
The Super Health Check service is available even if you’re not an intrust Super client. Issued by IS Industry Fund Pty Ltd | MySuper Unique Identifier: 65704511371601 | ABN: 45 010 814 623 | AFSL No: 238051 | RSE Licence No: L0001298 | Intrust Super ABN 65 704 511 371 | SPIN: HPP0100AU | RSE Registration No: R1004397
In the
news
WHAT’S HAPPENING IN PUBS ACROSS AUSTRALIA
Hotel Esplanade
Experiencing Victoria’s second lockdown “It’s devastating, there’s no doubt about that.” This is how it feels to go into another lockdown, according to Andy Mullins, director of Sand Hill Road. Mullins provided his insights as a Victorian
“You only have one thing on your mind and that’s to get to the other side and whatever it takes to do that.” Both back then and now, JobKeeper has been
operator on a panel for the recent Road to Recovery
critical for the business, even though not all staff
webinar, co-hosted by Australian Hotelier. He
qualify. Mullins said he sees it as “near impossible”
described the speed of change and almost constant
to trade without that kind of support for the next 12
uncertainty in Melbourne during the second
to 18 months.
lockdown, and his advice and learnings from that. “The strategy is changing by the minute, because
“It’s going to be a long, long, long road to recovery out of this, and it’s one of those things that
each time we get an update on what we can and
the more support we can get, the better. But I can
can’t do, we’ve got to be flexible and adapt to that,”
tell you it won’t be a short term fix for hospitality in
Mullins said.
this country,” Mullins said.
These strategies are informed by initiative
Although this shutdown is being felt differently
undertaken by Sand Hill Road at the start of the
to the first one, there is a common thread – the
first lockdown - they had all of the management
absolute drive and connectivity of an industry doing
team across the whole group sit down individually
everything they can to survive.
and draw up 50 ideas for getting through the pandemic and improving the business as a whole.
“There are teachings every day, but what it shows is you don’t realise how much you love something
The only thing that matters right now is survival. You only have one thing on your mind and that’s to get to the other side and whatever it takes to do that.
“We came up with about 860 different ideas that
until it’s taken away. We’re just so passionate about
Andy Mullins,
formulated 10 to 12 different strategies, and we’re
this industry, we love it so much… and it’s so sad to
constantly pulling the different levers of different
see us all so broken,” Mullins said.
Sand Hill Road
strategies at different times. The only thing that matters right now is survival,” Mullins explained.
“It’s an extraordinarily resilient industry and I know we’ll get back on our feet.”
THE INTERMEDIA GROUP’S ENVIRONMENTAL RESPONSIBILITY The Intermedia Group takes its Corporate and Social Responsibilities seriously and is committed to reducing its impact on the environment. We continuously strive to improve our environmental performance and to initiate additional CSR based projects and activities. As part of our company policy we ensure that the products and services used in the manufacture of this magazine are sourced from environmentally responsible suppliers.
4 | Australian Hotelier
This magazine has been printed on paper produced from sustainably sourced wood and pulp fibre and is accredited under PEFC chain of custody. PEFC certified wood and paper products come from environmentally appropriate, socially beneficial and economically viable management of forests. The wrapping used in the delivery process of this magazine is 100% biodegradable.
NEWS
are really struggling, with one industry operator commenting “Merivale can continue to grow and develop without standing on the shoulders of struggling Melbourne businesses to do so.” In light of the criticism, Merivale announced that it would be ‘pausing’ the The meal pack from Hotel Centennial
expansion into Melbourne, until after the local hospitality scene had reopened and
Merivale in and out of Melbourne
had somewhat recovered.
IN LESS than a week, Merivale both
that we can help with the comfort and joy
comfort and joy of great meals from
announced that it would be launching its
of great meals from our best chefs. Dining
our best chefs at home, but we didn’t
Merivale at Home arm into Melbourne,
is so often at the heart of social connection
anticipate the unintended consequences
and then postponed the interstate push
and community; it has been amazing to
of expanding into Melbourne at this time.
after copping criticism from Victorian
hear so many stories of special moments
It was an oversight on our behalf, and as
hospitality operators.
around the dinner table during this time.”
soon as we heard from some of the local
When first announcing the news, CEO
But immediately after the announcement
“Our vision is simply to provide the
operators, we hit pause and decided
Justin Hemmes said moving into Victoria
was made, many Melbourne venue
to hold off launching Merivale at Home
would help its supplier partners and would
operators began criticising Merivale for
until Melbourne is back on its feet and
bring comfort to the Melbourne community.
trying to move in on a market that has
hospitality venues are open again.
“We have always had amazing guests
been decimated in the last four months,
“This is an enormously difficult time for
from Victoria at our venues, so our
and potentially taking up a portion of what
Victoria, and our thoughts and sympathies
expansion into Melbourne was a natural
little revenue is left for local operators.
are with our southern friends; we truly
progression. Our southern friends are
Many labelled the announcement as tone
hope that there is light at the end of the
doing it really tough right now - we hope
deaf at a time when Victorian venues
tunnel very soon.”
Pubs to tap into $1.2bn gift card market A NEW Pub and Bar gift card available in
“We’ve always believed there was a
Woolworths will help Australian venues
good opportunity to create an industry-
tap into a new revenue channel, at a time
style gift card, and when COVID-19 came
when revenue is more crucial than ever.
along, we thought it was good way to show
The Pub & Bar Card has been launched by TCN – The Card Network, in association with the AHA, and Woolworths as a major distribution partner. Using TCN technology, the gift card can
our support,” stated TCN co-founder Richard Hewitt. The gift card market via grocery channel is valued at $1.2 billion in Australia.
“We want to make sure that all of the
The entertainment sector (restaurants,
smaller businesses get it – because they
be used exclusively in all pubs and bars
cinemas, etc.), accounts for roughly $80
miss out on these types of promotions so
across Australia. Venues do not have to
million of that – with none of that spend
often. Even if its only one person coming
pay anything or set anything up to be able
targeted at pubs and bars until now.
in and spending $50 – that’s still money
to use the card – it simply works in the
The card will not compete with a pub
that could have been spent literally
same way as an EFTPOS card, or can be
or pub groups’ own gift cards, but will
anywhere else. So we’re able to provide
used via digital wallet for a contactless
rather drive incremental sales via a new
that blanketed coverage to all pubs and
tap-and-go experience.
channel – particularly for smaller venues.
bars in the country.”
While the card has been in the works
Now instead of purchasing a retail gift
The Pub & Bar Card is currently
for some time, COVID-19 provided the
card, the public can choose to gift dollar
available in 1100 Woolworths stores –
impetus to get the card launched to
amounts to the recipient for their local
meaning it is seen by more than 10 million
support the industry as soon as possible.
pub or bar.
people per week.
August 2020 | 5
NEWS
Crossroads Hotel cluster puts NSW on high alert AT THE end of the national shutdown, both federal and
the position to be able to comply with the Department
state governments warned that there would be small
of Health. That’s been our fortunate position, and
outbreaks of COVID-19, as people started to return
they’ve commended us for it,” stated Marlow.
to some normalcy and businesses began to reopen. After a month of no cases in New South Wales, the first
Fines and restrictions
cluster was identified at Crossroads Hotel in the south-
Since then, the state’s hotels have seen more inspections
west Sydney suburb of Casula, a large-format hotel,
from NSW police to ensure that both venues and patrons
late-trading hotel that sits on the Hume Highway and is
alike are complying with social distancing rules.
a popular rest stop for interstate travelers. Originating
Venues have been hit with $5000 fines after they
with an interstate visitor from Victoria, there are now
have been found to be in contravention of Public Health
57 cases of the coronavirus linked to the Crossroads
Orders, with patrons seated or gathering too closely.
Hotel cluster.
AHA NSW director of liquor and policing, John Green,
The hotel was shutdown immediately after being
has called on venues to ensure they are implementing
notified, to undergo a deep clean, and all staff self-
a COVID Safety Plan, and also called on the public to
isolated for 14 days after one staff member tested
respect and comply with social distancing requirements.
positive for the virus. Jason Marlow, managing director
“It is vital licensed premises not only have a COVID
of the Marlow Hotel Group, said that while the hotel
Safety Plan, but that they also ensure measures are in
is closed and all staff are in isolation, they are pleased
place to ensure that plan is complied with.”
with their compliance and how that has helped NSW
The Berejiklian Government has also brought in
Health in investigating the outbreak. He also suggested
tougher restrictions for hotels once more, with group
that it wouldn’t be the last instance of COVID-19
bookings again capped at 10, and maximum capacity
clusters occurring in pubs. Since then, we have seen
for large format hotels at 300. All venues must now
several smaller pubs across the state close for a few
keep a digital record of patron names and phone
days to undergo a deep clean after a positive case has
numbers that can be submitted to health authorities
been found within their premises.
within 24 hours, and venues must have a designated
“Unfortunately I don’t think it’s going to be the last
‘COVID Safe Hygiene Marshall’, in distinct clothing
time in New South Wales for our industry. I appeal to
keeping ensuring that patrons comply with social
everybody to do the right thing and make sure they’re in
distancing requirements.
Keep up with the latest industry news! 6 | Australian Hotelier
Subscribe now to our fortnightly newsletter: www.theshout.com.au/subscribe-australian-hotelier
Crossroads Hotel, Casula
SAVE THE DATE! SUMMIT 2020
Monday 23 November Doltone House Darling Island, Pyrmont
www.publeaders.com.au THANKS TO OUR SPONSORS PLATINUM SPONSOR
GOLD SPONSORS
SILVER SPONSORS
FINANCE
Cash flow
is king Morgan Kelly of KPMG discussed the financial implications of COVID-19 for hospitality operators during the recent Road to Recovery webinar. MORGAN KELLY, restructuring partner with a
Taking a head-in-thesand approach isn’t going to be helpful to anyone. Understanding your cash flow dynamics is the key.
disposal of perishable stocks will need to be
Australian Hotelier editor Vanessa Cavasinni about
considered all over again, but this time for some
the financial issues operators are faced with during
operators it will be in the context of having had to
COVID-19. Here are some of the key takeaways
do this once before, so reactivation of strategies like
from that discussion.
home delivery or online ordering might be easier.
Melbourne’s second lockdown
experience delivered to your home had mixed
Melbourne venues that were just starting to re-open
results, and there may have been some lessons
in the toughest trading restrictions in the country are
learned from that.”
now back in lockdown. How do hospitality venues in Melbourne survive a second lockdown? Kelly says the sad reality is that some businesses in Melbourne just won’t survive the second lockdown, with not enough time for a bounce back
“Some of the attempts to have an in-venue
Kelly says it’s also very important to have proactive discussions with landlords and financiers, keeping them informed of your plans and expectations to prevent any surprises on all sides.
in between the two shutdowns. But for others,
Shoring up cash flow
he hopes the context and experience of the first
With the Federal Government pursuing a
shutdown period will see operators react more
suppression strategy for COVID-19 rather than
quickly this time around.
outright elimination, we can expect surges of
“We are now back to revisiting a sensible six-
hotspots in different areas around the country, and
week care and maintenance plan, and an HR plan
therefore potentially more shutdowns. How can
involving which staff go on JobKeeper, who is
operators prepare for this uncertainty?
required to maintain the venue, and who is in charge of customer and staff engagement,” states Kelly. “Planning for staff requirements needs to take
“Operators need to have the capability to conduct flexible forecasting and cash flow monitoring. Operators need to be agile and be able to respond
into account the expected mode of operation
with cost control measures to a change in the
(if any) during shutdown. For example, is there
revenue mix or the external environment. Having a
expected to be any activity at all through home
good relationship with your financiers, key suppliers
delivery? It needs to consider basic maintenance
and landlords is really important in being prepared
and customer communication, but also staff
for responding to these changes,” suggests Kelly.
engagement. You need to have a good strategy
8 | Australian Hotelier
Simple things like using up beer kegs and the
focus on hospitality for KPMG, recently spoke with
“You also have to have an eye on the future.
to maintain a connection with your teams while
During the first lockdown we were urging operators
they are at home so you can preserve your most
to work on their reopening plans, and to prepare
important asset, good people. That might be
for the new reality. At that time, we were saying this
regular calls or online meetings.”
would look like making nervous patrons feel safe,
and overtly or explicitly demonstrating COVID compliance with
If you can’t meet those costs, then what are the options? In
personal distancing screens, relocation of tables, temperature
that instance, Kelly suggests that venue operator may need
scanning equipment and sanitisation procedures. That’s still the
to consider enacting safe harbour provisions or voluntary
case. What if compliance became more stringent – is your venue
administration, but assures operators that this does not
match fit? Are there things you could do or implement to make
necessarily mean it’s the end of your business, but rather
compliance with COVID safe regulations easier?”
protects directors from legal action. These provisions can
So with stymied revenue and so many unknowns in the future, what can operators do now to shore up their cash flow position? The first thing is to take as much uncertainty out of the equation by finding out exactly what your expenses and revenue mix looks like right now. Understand what the operating expenses of the business are, and work out which expenses you have some control over and
also help restructure a business to a satisfactory outcome for creditors, and then the company can potentially emerge from the process, fit for the new trading environment. Whatever strategy you decide to implement, Kelly stresses that it’s important to do something, rather than just waiting for this to be over. “Taking a head-in-the-sand approach isn’t going to be helpful to
which you don’t. This might include interest and rent, but you have
anyone. Understanding your cash flow dynamics is the key. When
to remember the difference between a cost that is being reduced,
you have a handle on that, and what you can do to control it, you
and a liability that is building up and has to be paid at some stage.
can make decisions on what you are going to do, or need to do.
Then you need to understand the revenue mix you are
“The key to survival is engage now with stakeholders, plan and
reasonably able to achieve with social distancing and your
walk towards the pain. Don’t avoid difficult decisions, and if you
customer pool. What support can your landlord and financier
need to, get advice.”
provide, and what overheads and expenses can you reasonably reduce to match that revenue mix? “The fundamentals are: what is it going to cost to maintain the business, and then reopen, in a compliant way. This might mean some capital expenditure is required. Then, can these costs can be met and serviced by the achievable revenue mix. You need to have a flexible financial model to work that out.”
To hear more advice from Morgan Kelly on navigating the finances of COVID-19, you can watch his full Q&A, and the rest of the Road to Recovery seminar for free, by registering at kapara.rdbk.com.au/landers/6ca5a6.html
August 2020 | 9
Image by Paul Kelly Design Gaming
GAMING
Gaming in 2020 With AGE 2020 cancelled due to COVID-19, we take a look at the innovations made in gaming, particularly in adaptation to the crisis. JUST LIKE other facets of pub operations, gaming has been hit
“Hoteliers and club operators are moving current multi-million
hard by the COVID-19 pandemic. One of the most profitable
dollar gaming room fitouts around to achieve the potential next
streams of a pub operation, venues with gaming machines
level of compliance, however the rooms were never originally
have felt the pinch of not being able to activate their gaming
designed for these spacing parameters. The resulting layouts for
rooms. Even with VIP lounges across most of the country now
gaming rooms in the short term are going to lack optimum player
functioning, social distancing requirements mean that they are
circulation, have reduced vibrancy of machine/game clusters,
running at a fraction of what they once were. In Victoria alone,
may separate machine intensity and could jeopardise smoking
new state government data shows that gaming revenue has
compliance,” states Paul Kelly.
taken a big hit, with turnover for the 2019/20 financial year down 26.33 per cent. It is another revenue stream in which operators are having to
When the government-mandated social distancing is lifted and the downward turnover of gaming machines starts affecting venue turnover, gaming rooms are going to be re-organised back
show their ingenuity and adaptation, in order to maximise revenue
into their original configuration in an attempt to optimise the
under the current circumstances. While hoteliers would normally
profitability of the rooms once more. However this time, patrons
turn to expos like AGE for the latest innovations, maximum event
will not want to sit directly next to others, with the worry of
capacities mean the show – which would have been held this
community transmission in such close proximity still in play.
month – has not been able to proceed this year. With that in mind,
Gaming Guard provides that physical separation between
Australian Hotelier has highlighted some of the new products and
players, while maintaining that gaming room feel. The gaming
services within gaming.
industry needs the turnover and activity to return as soon as
A social distancing long-term solution
possible, to ensure the industry can at least maintain its financial position. Gaming Guard shows patrons that you understand their
Paul Kelly Design Gaming has formulated a protective screen,
safety concerns and want them to be as comfortable as possible
Gaming Guard™ to assist in both the medium- and long-
so they can resume their activities without having to take their
term distancing strategies for gaming patrons in regard to the
mind off the game.
COVID-19 social scenario. The acrylic screens divide patrons, sitting in between existing gaming machine bases and machines,
All Aboard
achieving a physical safety barrier between players, allowing
Operating your venue under COVID-19 restrictions can be a
gaming room layouts to remain as they are.
challenge and Konami understands the market requirements on the
The social distancing strategy of 1.5m between patrons is the current scenario to achieve a safe level of human interaction,
road to recovery and has re-aligned their product roadmap to suit. Almost two years ago the All Aboard series was launched into
however the inability of a variety of hospitality ventures to achieve
clubs and hotels across Australia and New Zealand, and Konami
this will have a significant economic downgrade on the majority of
has now released their first All Aboard multi-game – All Aboard
hotels, clubs and restaurants.
Express – in response to market changes during COVID-19.
10 | Australian Hotelier
NOW AVAILABLE WITH AN ARRAY OF NEW INNOVATIVE GAMES Premium Virtual Button Deck Programmable Edge Lighting Modular Design 4K Screens Gen 9 Electronics Streamlined design Industry-leading content
GAMING
A multi-denomination with three of the most
The MarsX cabinet has been crafted with
The shutdown’s impact
popular All Aboard titles – Dynamite Dollars,
the latest technology featuring new Gen 9
Piggy Pays, and Go West – it was released in the
electronics bringing hardware in-line with 64-bit
In Victoria alone,
same week as the latest standalone All Aboard
capability allowing for greater performance than
gaming turnover
game (Prosperous Panda) and they have been
ever before. The premium virtual button deck
was down 26.33 per
showing great performance in the first month.
serves as a canvas for game-driven graphics.
cent, year on year for FY19/20.
“All Aboard has continued to be a success
The MarsX cabinet is a true standout on any
in hotels and with a large range of games to
floor with its streamlined design, improving lines
support this series, there are many options
of sight across a floor.
for the hotel market. Further to this, we have
Experience Aristocrat’s newest addition to its
reviewed our games portfolio to drive further
standalone progressive portfolio, Big Sky, which
successful games in 2020 and with All Aboard
is the first to combine ‘choose your free games’
Express (Multi-Game) performing and the Bull
and ‘repeat win’ features. Big Sky includes
Rush series of games coming soon, we look
popular game mechanics, nostalgic themes and
forward to continued growth in hotels,” said
the new ‘collect & spin’ feature.
David Punter, Konami’s national sales manager. Expanding on the popular All Aboard concept,
The next evolution of the legendary 5 Dragon’s brand is here, with 5 Dragons Reign.
Konami has now developed Bull Rush, an
It offers double the fun with a two-game
improved game series starting with three titles
multigame option. It has a new integrated
– Golden Empress, Roses & Riches, and Toucan
jackpot trigger, the familiar ‘choose your
Twist – and they are confident that players will
volatility’ free games feature and an innovative
enjoy these games too.
‘wild respin’ feature.
Bull Rush will satisfy both players and
Alternatively, if your venue enjoys the
operators alike with the enhanced popular
variety and flexibility that the Player’s Choice
Repeat Win, two-level progressive jackpots,
brand offers then the new Player’s Choice
dynamic bonuses, multi-denomination
Royale is for you. Players will be spoilt for
including $1, player configurable lines and the
choice with an array of games to choose from
introduction of the “X-TRA HIT” concept.
including three traditional spinning reel games
To find out more on what Konami has on offer, arrange a visit to its showroom.
Out of this world Our industry is continuously evolving with
and three non-spinning reel games. This pack is a dedicated high denomination product and perfectly suited to high-denomination areas in your venue. As pioneers of ‘hold & spin’, Choy’s Kingdom
rapid technological advancement and player
brings innovation to this market segment. It is
expectations; relying on thought-leaders to
showcasing four new creative game titles that’ll
drive innovation and industry sustainability.
entertain low, mid and high denomination players.
Aristocrat’s latest hardware advancement,
Aristocrat is committed more than ever to
MarsX, is a testament to the collective
continuously evolving our hardware and platform
brilliance amongst the talented individuals in its
solutions which is evident in the MarsX cabinet.
organisation. This highly anticipated hardware
To find out more on the new MarsX cabinet and
release recently launched in NSW with a bang
its extensive range of exciting games, please
and will be launching soon across other markets.
reach out to your Aristocrat sales representative. MarsX is launching with five new titles
12 | Australian Hotelier
NE W
Konami Australia 28 Lord Street Botany NSW NSW www.konamigaming.com Konami AustraliaPty PtyLtd. Ltd. 28 Lord Street Botany Michael Martin (QLD Sales Manager) T: 0419962353 martin1107@konamigaming.com Contact your Konami Sales Executive or call 02 9666E:3111
FUNCTIONS
Events back on the menu
Functions are one of the last things to return to pub offerings after reopening, but are already having a great impact on business. Written by Brydie Allen. AT THE height of Australia’s initial
giving operators the chance to bring back
Doing things differently
COVID-19 peak, one of the biggest
the things their spaces were known for,
The Windsor Hotel decided to start offering
casualties in the on-premise offering was
and help people celebrate again.
functions again when the WA Government
events. Before restrictions even began,
Of course, in some states, functions are
announced Phase Three of the reopening
cancellations were widespread and then
not really an option right now. However,
plan. Alicia Weber, functions coordinator,
when the industry shut down, functions
for pubs in the more reopened locations,
said the staggered approach they adopted
became the furthest thing from most
like The Windsor Hotel in South Perth
in line with the restrictions easing helped
publicans’ minds.
and the Astor Hotel in Adelaide, bookings
them transition their events capability.
But now that venues are beginning to
are rolling in and events are back on the
“At the beginning, we were cautious
reopen where and how they are allowed,
menu. Hearing the insights from these
with numbers of each event and spreading
functions have again come bubbling
two cities which are reopening at different
out the functions across the week, so we
back to the surface. And while things are
paces, shows that functions can be part of
were sure we met the restrictions of that
certainly not back to normal, functions are
a safe reopening strategy.
time,” Weber said.
14 | Australian Hotelier
FUNCTIONS
“As restrictions eased further,
consuming and it’s staff consuming,
the WA Government continued to
but we’re prepared to do that to get
communicate updates and changes
our customers back in the door,”
to regulations, which allowed us to
Turner explained.
plan functions of bigger size for future dates. The lifting of restrictions was
at The Windsor Hotel, they are now
welcomed by us!”
being more flexible with their booking
In South Australia, home of the Astor
All the functions we lost
worked incredibly well so far in getting
stage as WA. When Australian Hotelier
more people in, and would be employed
spoke to owner Kym Turner, they had
again should there be a second wave of
just started to offer functions again,
the pandemic in the state.
during COVID-19 were immediately contacted
“We were just trying to get back to
70 per cent of them booked again. Alicia Weber, The Windsor Hotel
policies. Weber said this strategy has
Hotel, restrictions aren’t at the same
although quite different to what people
when we reopened and
After a staggered return to functions
may have been used to.
“All the functions we lost during COVID-19 were immediately contacted when we reopened and 70 per cent of
normal as quickly as possible while
them booked again. When COVID hit
still meeting restrictions. It’s very hard
we decided to immediately refund all
for functions, because they’re grouped
booked prepaid functions without any
in the same category by police as
hesitation to ensure we were fair and
nightclubs… it’s very hard educating
flexible,” Weber said.
people that they can’t dance and the
“Flexibility is important for
music is going to be low, when they
everyone in such unstable times and if
want to celebrate,” Turner said.
COVID-19 strikes round two in WA, we
The first post-lockdown function at The Astor Hotel was also different in
will carry out the same refund policy.”
terms of a business perspective, as
Adaptability
what they could offer and how they
For any change to be successful, it has
would operate was changed.
to be embraced from both a business
“We weren’t allowed to do cocktail food, so we did ‘stand up a la carte’
perspective and the patrons themselves. Turner said this is happening at The
as we call it, which is individual little
Astor Hotel, by trying not to change
food platters for each person. It’s time
too much about the venue other than what absolutely had to. The guests so far have done well with this approach. “Staff costs [in relation to functions] have gone up, but in our business we’re not prepared to raise prices because it’s not the people’s fault, and it’s not our fault either, but hopefully everyone will do the right thing and everyone can get back to business sooner,” Turner said. “The [guests] are all behaving themselves and all understanding. I think the education getting out from the government has been good for that.” Weber also said that the local patrons have been incredibly supporting and adapting to the current requirements for going out.
August 2020 | 15
FUNCTIONS
The Windsor Hotel, South Perth
benefit our guests. All we can do during these times is adapt as efficiently and as quickly as possible,” Weber said. At the Astor Hotel, they are also doing refundable deposits, should COVID-19 impact a function booking. However, Turner said that there is more that the Government could be doing to avoid the potential of this, and the likely knock on effects from second waves. “I think that the COVID app is a fantastic idea and the Government should really be pushing it for people going into licensed venues, including restaurants and cafes,” Turner said. Despite the rest of the year being incredibly unpredictable right now, there is hope for a positive and function-filled future. Bookings and events are a huge
Finding reasons to party Both Weber and Turner have said guests are often rebooking functions for later dates and finding new reasons to celebrate. At the Windsor Hotel, a baby shower became a “The local support has been fantastic from all our guests and we couldn’t be more grateful. It has been relieving for all our guests, locals and regulars to be able to come to The Windsor and know they’ll have a good time,” Weber said. The Windsor Hotel focused on
christening party, while at the Astor, a big 21st birthday was replaced by a big 22nd, booked for next year.
A functional future With the current uncertainty brought on by COVID-19 – especially seeing
increasing communication with guests,
the second lockdown in Victoria and
and doing a push on marketing to help get
spikes in New South Wales – some hold
the word out that functions were back on
concerns that planning too far ahead for
the menu.
the future isn’t viable, due to the risk of
“Once we were given the OK by the Government to allow functions, we immediately contacted all functions we
second waves and increased restrictions impacting those plans. Both Weber and Turner said the hotels
lost, as well as guests who hosted events
had this in mind, but needed to take the
with us last year. We communicated via
opportunities as they came and react
newsletters, physical mail outs, in-house
accordingly. Again, the ability to adapt
advertising, digital advertising, social
quickly is invaluable at this time.
communication and in-house produced
“Of course there is concern that if a
catalogues for our bottleshop, Windsor
second-wave hits WA, venues will have
Cellars, which communicated functions.
to re-impose further restrictions which
“We are trying to drive more marketing
will alter booking numbers and spend.
output because we believe that it’s going
If it were to hit again, we’d maintain the
to be a very competitive year.”
cancellation/rescheduling flexibility to
16 | Australian Hotelier
part of pub offerings, and even though they’ve been gone for a while, their return at The Windsor Hotel and Astor Hotel means promising things for the industry as a whole.
Local matters We’re for the celebration of local produce, that’s why for more than 50 years, we’ve been helping local businesses serve home-grown produce. Naturally good food, simply made. www.mccainfoodservice.com.au
We're for Local
PROFILE Mary’s Underground
An eternal optimist
Jake Smyth and Mary’s Group may have closed one venue during the pandemic, but that hasn’t stopped them from opening a rooftop bar in the middle of winter. By Andy Young.
WHEN JAKE Smyth started working in
out there currently that are feeling the pain
fight is important, Smyth adds, “There is a
McDonald’s at 14 years old it was the
of COVID in a way that if life had been a
true joy to what we are doing”.
start of a journey through the hospitality
little harder over the last 15-20 years in
industry that now sees him driving a
Australia they wouldn’t be feeling it.”
hospitality venue group into a new era as a result of the COVID-19 pandemic. Smyth’s drive and desire for change is
Smyth said it was something they realised in Mary’s Group very early on. “It’s one thing to open a successful
He also said while there are moments of joy and exhilaration about being where the group is in Sydney’s CBD and surrounds, there is also the brutal reality that the group has had to close one venue already
about much more than simply creating
hospitality company in the most explosive,
(Mary’s Pitt Street) and are in negotiations
COVID-safe venues – although that is what
dynamic and growth-led times in our game,
regarding Mary’s Underground, with
the group is doing – it’s about creating
ever. It’s another thing entirely to run a
significant challenges facing the group
true joy in the industry and changing the
successful business through this period.
over the future of that venue.
future, and making the most of the crazy
“We are committed to it, for reasons
times that we have all experienced so far
that go far beyond financial stewardship.
from opening a rooftop bar at the top of
in 2020.
This is my life. This is my life’s work.
Lansdowne Hotel.
“Australia is extremely lucky, but that
But that hasn’t stopped the group
This is everything I believe in. This is
“We’re balancing everything and being
luck has a tendency to create a sense of
literally my morals and my ethics writ
cautiously optimistic, but then at the same
complacency. I think you see that in our
large. That’s not going to be something
time we are opening fucking rooftops in
Government’s preparedness for this, for
I let go of easily. It’s not going to be
the middle of winter and in the middle of a
the world’s preparedness for this. There
something where I go ‘oh financial
pandemic, in classic Mary’s style.
are a lot of industries that have really
pressures’ – this is bringing out the dog
become bloated and ours is one of them,”
in me and in the company.”
suggests Smyth. “When you really stop and think about
CAUTIOUSLY OPTIMISTIC
“This is what we’ve always done well. We’ve kept the cerebral along with the light-hearted. The serious matters of the heart and the world, we have always
the role and goal of hospitality, I think there
That’s the kind of passion the industry
been attentive to but there is a real deep
are a lot of businesses and business models
needs in these times and as much as this
element of ‘Oh fuck it, let’s just do it’ too.”
18 | Australian Hotelier
PROFILE
After researching the details of Sydney’s winter weather, Smyth realised that with average temperatures not dropping below 17 degrees and just 17 days of rain, now was the perfect time to open a rooftop bar and give people some sunshine and good burgers. “The reality is, it’s 19 degrees today, and 19 degrees on that rooftop is fucking glorious. It’s a real success already, we’re busy, we’re full every day and turning tables.” Smyth says the immediate success of the bar is down to two things: “One is Sydney loves a rooftop because we don’t have any, and second people want to have a feel-good story and they see this and say ‘Good on ‘em, let’s go’”.
Mary’s Group founders Jake Smyth (left) and Kenny Graham
Looking to the future and the post-pandemic industry, Smyth says that while people will be looking for more risk-takers, no-one yet knows how much the world has changed. “The world is upside down and spinning in reverse. I heard someone say that events like this cram 10 or 20 years of ideas on things that were going to progressively evolve in the future, into the now. It forces people to wrestle with the concepts now. “I really, honestly feel that is absolutely happening. You can see it across so many aspects of society. “Our corner of the world is small, but it is reflective of an attitude that is really pervasive in people right now, which is that they don’t want to go back to normal, they do want to try new things, they want it simpler, they want something honest and they want something that speaks to them and their community. And Mary’s has always been about its community.” This is another area where Smyth’s passion rises to the fore. “We’ve created these little communities, in little pockets of our wider industry based on ethical and moral standpoints that we really believe in. But we set it to the backdrop of cool music and fucking burgers. No pretension. But it is a moral and ethical standpoint that we make and I think if you don’t have this as the fucking core of your business in hospitality going forward, you are going to struggle.”
LIVE MUSIC IS BACK The Lansdowne Hotel held its first live show since shutdown in mid-June, with Caitlin Harnett selling out two live shows of 50 people seated.
August 2020 | 19
PROFILE
“It was a very different experience to The Lansdowne having 300 sweaty kids spilling beer over themselves, but it was a lovely moment. “But the arts are in trouble as they always are in Australia. Right now I feel optimistic, because I feel that right now people are hungry for art. It’s not until you miss it, it’s not until it’s gone and you realise the depth to which you take it
Our corner of the world is small, but it is reflective
for granted,” states Smyth. “People are fucking sick of sitting at home watching television. So people are now saying I choose to come and see live music, and it’s beautiful. With the last few months to reflect on what’s been happening, Smyth thinks
of an attitude that is really
that the crisis has made a lot of people reflect on the status quo, and hopes
pervasive in people… they
level of potential – both in and outside of the industry.
don’t want to go back to normal, they do want to try new things, they want it simpler, they want something honest and they want something that speaks to them and their community.
that it will make more people stop going through the motions and reach a higher “I am an eternal optimist and I believe we are and we can create a different world. There is an element where a lot of us, including governments, had a sense over the last 20 years that we were just floating into a future that was not being written by us. “I feel there is now a sense of empowerment where ‘I can do what? I can change what? I can be how? I can re-imagine?’ and I really, truly believe that we can write our own future and we don’t just have to take what is given to us and we deserve more than what is just given to us. “I want a part of me fed and my kids fed that is deeper and wider than simply money and power, and I think that this is a widely-held feeling that has been brought into the here and now and is within people’s grasp.” That’s the kind of belief and passion that gives you confidence that this industry will bounce back from COVID, and from lockdown, not just stronger, but different, better and with a drive and belief that will become the new normal and we will all be enriched rather than beaten by the pandemic. This article was first published by our sister publication barsclubs.com.au, and has been edited for space. Head to the Bars and Clubs website for more small bar news.
20 | Australian Hotelier
What I love most about the CHEF range is that they can be added to any dish, at any point for epic flavour
SOON COMING
To view Shannon’s recipes or place an order visit www.chef-anz.com Available from food service distributors, Amazon or call 1800 20 30 50.
TAG DESIGN & BUILD
The Australian dream Restaurateur Jessi Singh has always wanted to open a pub in Australia – and what better time than during a pandemic?
ABOVE: Mr Brownie runs across four levels, including a basement cocktail bar RIGHT PAGE, TOP TO BOTTOM: The Boom Boom Room cocktail bar The bottle shop carries 500+ beer SKUs The view from the rooftop bar The rooftop was at max capacity for the five days it was open
IT HAS always been Jessi Singh’s dream to open a
projects, and Singh found the area appealing,
pub. Born in India, he and his family immigrated to
and a great challenge.
regional Victoria where he first got a taste of what the local pub meant to the community. “The pub is a place of community check-in,
Melbourne, because it’s a bit lost in translation when it comes to hospitality. You’ve got Port
especially in rural areas. I experienced that, and I
Melbourne, South Bank, Albert Park – they’ve all
always wanted to be a part of that. That’s one of
got their little nooks, so not many people would go
my best memories of the Australian countryside,”
to South Melbourne as a hospitality hub.
reminisces Singh. Even now, living in metropolitan Melbourne,
“In the second week of March I counted 49 hospitality businesses up for lease in that street.
the ‘local’ is just that – a place where the local
I thought it would be a great challenge to open
community can catch-up at any time. So for him,
a business in the area — I could have massive
the decision to open a pub was more a personal
support from locals, because they were looking
one, rather than a business decision.
for a new venue.”
Operating several restaurants in Victoria, one in
22 | Australian Hotelier
“Beforehand I wouldn’t have considered South
Sydney and two in the United States, Singh turned
An opening of pandemic proportions
his attention to his pub aspirations about a year or
Of course, the timing meant that Singh took over
two ago. With pub real estate in high demand, it
the hotel in the midst of the COVID-19 pandemic.
has been a long time on the hunt for a space, but he
With a transformation of the venue and the transfer
found the perfect South Melbourne spot early this
of a liquor license delayed, the hotel opened for
year. The hotel had been owned and operated by a
just five days, before on-premise trading was
developer who wanted to turn his attention to other
shutdown again.
DESIGN & BUILD
“Everybody was telling me it was a stupid idea to open a new business right now, but the landlord was very supportive. So I took the risk to open a business when everyone else was closing down.” As devastating as the coronavirus has been – Singh personally knows people here and in the US who have suffered with it – he has a different perspective on the societal and business aspects of the shutdown. “I’ve seen many, many tragedies in my life, coronavirus is another one. Australians don’t really know what curfew or lockdown is. My childhood was spent in India; I grew up in the middle of a civil war. So lockdown was everyday and it would last months – you wouldn’t have the freedom to go shopping or exercise. It was a total lockdown. You’d get shot if you left your house.” With that in mind, the hospitality impresario was not overly fazed by the prospect of opening up under these circumstances, and will not let the long-term uncertainty surrounding COVID-19 cripple his ambitions. “The thing with the coronavirus is that it’s not going to go away. It’s another thing we need to learn how to live with. I’ve always known that, so I thought I’m going to go ahead with opening. I was aware that the pub would get shut down again. There might never be a vaccine, so we have to learn to live with it.” Singh also just wanted to bring something good and fun into the world at a time when people, particularly in Melbourne, were overcome with bad news. And while the opening was incredibly short, it was very gratifying, with the venue fully booked out (in accordance with social distancing requirements) the entire time. As such, Singh counts it as one of the biggest openings he’s ever experienced in Australia.
Concept and colour Mr Brownie comprises a ground-floor Punjabi-style deli, a 70-pax footpath beer garden, bistro dining room, rooftop terrace with city views, and the Boom Boom Room — a basement cocktail and dancing lounge that will be opened until late into the night. The ground-floor deli sell’s Singh’s “unauthentic IndianBritish pub food”, available to eat in or takeaway. It will also have a 500-strong beer list, complemented by a curated selection of international and Australian wines. In the first- floor main pub area, guests can expect IndianBritish pub fare, though everything available at the ground-floor bodega can be purchased and consumed on any of the levels. The rooftop terrace has city skyline views and will support everything from brunch to dance parties in the early hours of the morning.
August 2020 | 23
DESIGN & BUILD
The Boom Boom Room, a speakeasy-style basement cocktail and dancing lounge is only accessible via a concealed wall of beer cans, which opens down to an underground space offering bespoke cocktails and 16 tap beers. The concept of a curry pub was something that Singh felt was lacking in the Australian pub scene, which otherwise caters to various different cuisines and cultures. “It’s very big thing in the UK, where you’ll find numerous curry house pubs everywhere. So why not try to open that in Melbourne? “Australians are well-travelled — most young Australians have lived in the UK at some stage. So they have experienced that British pub culture. Australian pub culture is derived from UK pub culture, so I thought it’s something we’re missing. Especially for a worldly city like Melbourne where we have every sort of cuisine or concept.” Also missing in Australian pubs, according to
Singh wanted Mr Brownie to be very bright and colourful
Singh? Colour. Mr Brownie is an explosion of reds, yellows, greens and blues, a far cry from the traditional neutral palettes seen in most pubs. The idea is that Mr Brownie is a fun party space – and in particular it’s a place of cheer in the middle of the pandemic.
Resilience and hard work Opening a new hotel in June under the current restrictions, would make even a seasoned pub operator want to tear their hair out. But Singh is not only positive about what he’s doing with the venue, he’s also ensuring that he is taking care
What’s in a name? The names of all of Jessi Singh’s venues have some meaning or dedication to members of his family. Babu Ji – both in St Kilda and NYC – means grandfather; Bibi Ji means grandmother. Don’t Tell Aunty in Sydney is dedicated to his auntie, while Mrs Singh is named after his wife. Mr Brownie, the latest in the long line of dedications, is an affectionate ode to his father. “It’s a celebration of my family. They left their home, left their comfort zones, spoke very little English, came here and built a life for themselves and their family, and future generations. So I’m dedicating all of this to my family. It’s a dedication to that immigrant family legacy. I’m proud of where I am today, and it all happened because of them.”
of workers who are not eligible for JobKeeper. Singh has hired 13 staff, and most of that number are workers here on a visa who can’t return home, but have no safety net. So instead, the venue has been operating the ground-floor takeaway deli as a not-for-profit, with Singh helping the workers cook in the morning. The workers then take home the entire proceeds of the day to keep themselves afloat. “I’ve opened this business and spent money in the middle of the pandemic when hospitality businesses are shattered. This pub has created direct and indirect 30 jobs. People should see from Mr Brownie that we are hard-working people. This is such a big positive for our community.”
24 | Australian Hotelier
The first-floor public bar area
61 2 9660 8299 paulkellydesign.com.au
Longueville Hotel
TALES FROM THE TOP
Music to our ears Get to know the newly formed Australian Live Music Business Council and why you should get involved.
THE LIVE music industry is one that is often
backbone of live music in Australia,” it’s a
intrinsically linked with hospitality, and one
council that publicans should take note of.
that has been hit exceptionally hard by the COVID-19 pandemic. Sharlene Harris, ALH Group national
make these shows happen, as they look to
lockdown was wide reaching, from venues, to
other industries to find a way to make a living,”
acts, to behind the scenes workers that make
Harris said.
Harris along with a wide realm of music
ABOVE: Sharlene Harris, ALH Group National Entertainment Manager
26 | Australian Hotelier
of losing hundreds of experienced people that
entertainment manager, said the impact of
the industry possible.
TOP: The McClymonts at The Village Green Hotel
“It’s been said a lot of times, but we truly do need to be in this together. We are in danger
“For a lot of Aussie pubs, entertainment is part of their offering, and at the moment this
industry members, realised the situation was
looks like the very last piece of the jigsaw to be
incredibly dire, with multiple people falling
put back into place. We need to work closely
through the cracks during lockdown, and no
with Government to be able to bring it back
united voice representing the businesses that
into the mix across the board in a step by step,
support the Australian music scene, like pubs.
COVID safe manner.”
“A few of us realised… that we needed to
With the support-local trend experiencing
represent the micro end of the music business
a marked increase in popularity, getting local
with one overarching body,” Harris said.
musicians back into gigs has the potential to
“It’s particularly important right now
breathe some much needed life back into not
because there are venues around the country
only the music industry, but also live music
that are totally geared to a live performance
venues. Harris said the ALMBC hopes to bring
model and their very existence post pandemic
the buzz back into communities and pubs
is under threat.”
across Australia, while supporting the live
And so the Australian Live Music Business Council (ALMBC) was formed, designed to
music sector’s workforce of 65,000 people. You can join the ALMBC for free until
advocate for the industry in these uncertain
January 2021, or find more information, by
times. With Harris describing pubs as “the
heading to almbc.org.au
powered by
Deliver live or recorded content directly to your audience Live Demos
Webinars
Live Streaming
Virtual Events
Live Panels
Virtual Summits Roundtables Product Launches Contests
Live Q&A
✓ Increase lead generation ✓ Boost engagement and brand awareness ✓ Educate and demonstrate to your customers ✓ Deliver digital dialogue with speed to market
Expanding your digital opportunities has never been easier! Download the free kit today tinyurl.com/EventsVirtual To discuss further contact Jason Wild E: jwild@intermedia.com.au M: 0416 576 256 #TIGvirtualevents
Low admin fees Strong long-term returns More super for you
Hostplus. We go with you. Issued by Host-Plus Pty Limited ABN 79 008 634 704, AFSL 244392 as trustee for the Hostplus Superannuation Fund (the Fund) ABN 68 657 495 890, MySuper No 68 657 495 890 198. This information is general advice only and does not take into account your personal objectives, financial situation or needs. You should consider if this information is appropriate for you in light of your circumstances before acting on it. Please read the relevant Hostplus Product Disclosure Statement (PDS), available at www.hostplus.com. au before making a decision about Hostplus. Past performance is not a reliable indicator of future performance and should never be the sole factor considered when selecting a superannuation fund. INH 1217 0720