Hotelier AUSTRALIAN
AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE
vol. 34 no. 9 - OCTOBER 2018
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IN THIS ISSUE: BRILLIANT BBQ | WINNING WITH WINE | COFFEE MATTERS
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CONTENTS | ED’S NOTE
22 Craig Hawtin-Butcher
Editor’s Note
I
t’s been a fascinating month in on-premise, with statistics from the ABS showing alcohol consumption at its lowest levels in 60 years. But as with many headlines, it’s important to dig deeper for the real story, which is the increase in quality over quantity. This marks an opportunity for all hoteliers, something we’ve delved deeper in across this issue. Meanwhile property sales have slowed, while premium prices have increased. Again, quality is triumphing over quantity. There was also the landmark case against the Raffles Hotel in Perth – a fine example of common sense triumphing against a failed noise nuisance complaint. We have the inside story on page 6 from the legal team who handled Raffles’ defence. This month we look at those issues and more. We explore the kit you’ll need for popular US-style lowand-slow barbecues on page 12, gauge expert opinion on the state of on-premise wine on page 18, discover whether the next opportunity is in coffee service on page 22 and reveal the renovations at The Yass Hotel on page 26. If you have any comments about the magazine, feel to get in touch via e-mail. We’re always listening and learning. In the meantime, enjoy this month’s issue. Cheers,
18
Craig Hawtin-Butcher, Editor E: chawtinbutcher@intermedia.com.au
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Contents | October Special Features
Regulars
12 Barbecues: Discover the simple route to US-influenced BBQ foodservice. 17 Signature serve: Vodka meets rosé wine and gets on very well indeed. 18 Wine: Experts reveal the wines to get behind as the sector shows growth. 22 Coffee: Is the next ‘espresso ED’S martini’ success story simply PICK getting the coffee right?
6 News: The most relevant stories affecting your business. 26 Design and Build: The Yass gets an easy-going makeover. 30 Sports Calendar: October’s LIVE! sporting highlights on TV.
PUBLISHER: Paul Wootton EDITOR: Craig Hawtin-Butcher PUBLISHED BY:
12
chawtinbutcher@intermedia.com.au
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Jason Wild Tel: 02 8586 6213 • jwild@intermedia.com.au
GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams
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NEWS
HOW TO AVOID, AND FIGHT, NOISE NUISANCE COMPLAINTS With the Supreme Court of WA dismissing noise nuisance complaints against the Raffles Hotel in Perth, we talk to the lawyer who successfully defended the hotel in court to discover what hoteliers across the country can learn from it. Jessica Patterson is Partner at Lavan, the law firm that represented the licensee of the Raffles Hotel, Colonial Leisure Group Pty Ltd. While the case can still go to appeal, there are clear learnings to highlight now. “Publicans/hoteliers can take some comfort that given the right set of circumstances they may potentially be able to succeed in a noise-based nuisance action against them,” says Patterson. “However, publicans/hoteliers cannot be complacent about noise complaints. The Raffles case confirms the need to address and properly manage noise issues. There is a need to balance the interests of all concerned – residents, patrons and others. The history of a particular premises, the factors relating to the particular site and surrounding ambient noise are likely to be highly relevant in any given case.” The case related to noise complaints from a neighbour of the hotel over a period of time. Some of the key points that affected the outcome, according to Patterson, include the following (‘before the fact’): • The fact the hotel was already in existence and operating at the time the resident moved to his nearby apartment. A hotel had operated at the site since 1896. • The strata by-laws applicable to both the Raffles and the resident expressly provided for the operation of the hotel. • The site and the surrounding area has a high level of ambient noise.
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A hotel had operated on the site of the Raffles Hotel in Perth since 1896
• The Raffles has made changes to its business to address noise complaints and noise had reduced. • The interference of noise experienced by the resident was not found to be substantial or unreasonable. • The Raffles was found to be currently operating in a manner consistent with good management of such a venue. “Even a most obliging and diligent publican/ hotelier may not be able to avoid a nuisance claim,” says Patterson. “It is impossible to totally prevent people making claims against a licensee. However, publicans/hoteliers can take steps to minimise the risk and to best place themselves to defend a claim should they need to.” To try to hopefully avoid nuisance claims, Patterson recommends publicans/hoteliers do the following: 1. Not ignore noise complaints. 2. Respond to complainants and seek to address the noise complained of. 3. Maintain an open line of communication with residents (and others who may be involved in the noise complaint). Keep them informed of what is being done to address the issues. 4. Not ignore correspondence from the local council about noise issues. Respond and seek to address the noise. 5. Take meaningful steps to reduce noise emissions, such as the following, which was done at the Raffles and referred to by the Court in its decision: • Re-locating the position of DJs • Removing or re-directing some speakers • Limiting the hours when DJs perform
• Installing automated closing doors • Additional security to monitor noise emissions • Implementing a noise management plan • Sound system limitations “It may be necessary to engage an acoustic expert early on,” Patterson says. “Publicans/hoteliers should also keep thorough records of noise complaints and what is done in response to them, in case those records are needed in the defence of an action. This may include staff and management making notes of dates, times and the content of discussions with residents or others relating to the noise issues. It can sometimes be very difficult to piece together the history well after it has occurred if there are no proper records. “In the case of new mixed-use precinct developments involving hotels/taverns, ideally the residents and other businesses in the precinct should be given clear notice in advance of the hotel/tavern to be operating there.” Three things to do/not do when faced with noise nuisance litigation (after the fact): 1. Do not ignore the situation. Publicans/ hoteliers should notify their lawyers immediately upon receiving notice of the action and preferably sooner if legal action seems like a possibility. 2. Collate all records relating to the issues referred to in the nuisance litigation. 3. Avoid doing anything that might potentially jeopardise the case, such as speaking to the complainant or the media without prior legal advice.
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NEWS
PELATHON PUB GROUP SELLS QUEENS HOTEL
The report answers the perennial question of which is more popular, red or white wine
ON-PREMISE DATA SHEDS LIGHT ON WINE INDUSTRY SALES AND CONSUMPTION The inaugural Annual Beverage Index (ABI) report has revealed insights around buyer behaviour, seasonality, listed products versus actual sales and product positioning that have previously only been researched speculatively. Online B2B beverage trading platform, eBev, who released the ABI, gleans on-premise data and positions from their wholesale winepurchasing platform. The report answers the perennial question of which is more popular, red or white wine. The report’s authors say: “Red is king in winter and also dominates wine lists year-round, providing consumers with the most variety. However, white is the most consumed wine type overall. “Whilst red is the dominant wine type in winter, there is a significant reduction in the summer months while white stays stable. Rosé continues to have steady growth and a year-on-year comparison shows that when rosé increases, it cannibalises white not red.” The report also confirms suspicions that seasonality impacts on consumption and orders. “We’ve observed smaller sales in Winter and it is reds that win the day,” the report highlights. “It’s common knowledge that venues are sourcing new wines in the lead up to Spring and Autumn list changeovers. We can see this in the volume of product views by month. The exploration period is not as significant in March as we would have expected given the breadth of range in Winter.” The report also shows 16% of orders now take place on the weekend, with nearly one-third (29%) of orders taking place outside traditional 9am-5pm business hours. 44% of orders on the platform take place on a Monday, which remains the traditional order day. Additionally, the data shows the splits for geographical origin and varietals. The report shows the top three most popular varietials in pubs are: sauvignon blanc, shiraz and, lastly, pinot noir. The report also notes: “Consumers clearly favour locally produced varietals, with 65% of wines ordered being Australian-produced. French wine has a 9.5% market share but a larger 15.5% of spend, suggesting we are willing to spend more on French imports. This can possibly be attributed to the Australian fondness for French fizz and its higher average LUC.” “Recent years have seen an explosion of interest in artisanal handmade products and that is reflected with increased wine varietal exploration. Consumers are seeking out new grape varietals and trying new brands. This is benefitting the smaller producers particularly with less common grape varietals.” “Australians are patriotic in consuming domestically produced wine however not necessarily to their own State. Victorians show their pride by consuming 41% of their own state-grown wine but NSW is trailing with a 22% consumption of locally produced wine. Interestingly, NSW wine is very lightly ordered in Victoria at a miniscule 3% of orders.”
Pelathon Pub Group has sold the freehold of the Queens Hotel in Gladstone for $2,750,000 – representing a 37% price gain in just 10 months. CBRE Hotels’ Director Paul Fraser managed the sale process for Pelathon Pub Group, with the group having purchased the CBD property in November 2017. “The Queens Hotel presented the ideal counter-cyclical play, given the underlying fundamentals and the requirement for limited if any capital expenditure in the immediate future,” Mr Fraser said. The freehold has been purchased by Wylie Property Group with a leasehold to Be Bold Group. “We have great faith in the Gladstone region and partnering with Anthony and Phillip from the Be Bold Group, drawing on their knowledge, will ensure the future success of this asset,” Wylie Property Group’s Roger Wylie said. The purchase adds to their portfolio of hotels across Sydney and newly acquired Brunswick Hotel in Rockhampton. Be Bold Groups’ Anthony Burrows added, “We are confident that we can offer the local community atmosphere and, most importantly, a welcoming hotel experience.” Be Bold Group is a family-owned company with multiple venue across central Queensland. “Together, Wylie Property Group and Be Bold Group will be able to create a real hub for the local community,” Mr Fraser added. Queens Hotel consists of multiple revenue streams including 23 gaming machines, main bar with TAB and Keno facilities, 110-seat restaurants, 27 motel-style accommodation rooms, threebedroom managers’ residence and separate function space. Mr Fraser noted, “The purchase price is an indication, not only of the macro environment in Gladstone, but also the overall performance of the hotel. I believe that Gladstone is starting to see the effects of a resources sector revitalisation, which can only be good for the local economy. It’s an exciting time to be entering the market in areas that are resource-centric.”
Queens Hotel in Gladstone
AUSTRALIAN HOTELIER OCTOBER 2018 | 7
NEWS
Sales have slowed but values remained high. The Waterford Hotel sold for $22 million
FIRST HALF OF 2018 SLUGGISH FOR PROPERTY SALES New research shows the first half of 2018 saw slow property sales in the Australian pub sector, though prices remain strong. However, CBRE’s Australia Pub Trends report highlights that buyers are still hunting for higher yields and value-add opportunities outside of the major eastern seaboard cities, where yield compression is reaching its peak. “While high-quality city pubs are continuing to transact on tighter yields, savvy investors are also looking further afield for sites with value-add opportunities,” CBRE Senior Research Manager, Danny Lee, said. “This has been illustrated in New South Wales, with higher yielding pubs in coastal areas attracting investors who have been priced out of the metropolitan Sydney market, where yields have sharpened to 7.5 per cent – nine per cent for quality assets.” CBRE Hotels Director Ben McDonald noted that yields could compress further for high quality metropolitan assets, however he said buyers were showing strengthening interest in non-metropolitan NSW markets such as Newcastle. “In the Sydney market, industry stalwarts that went on a buying spree in 2017 have slowed activity in 2018 with a view to focusing on asset enhancement over the next 12 months,” Mr McDonald said. “However, we’re fielding continued interest in markets such as Newcastle, driven by strong population growth and infrastructure development, as well
8 | OCTOBER 2018 AUSTRALIAN HOTELIER
as locations such as Port Stephens, the Central Coast, Illawarra, Shellharbour and Wollongong.” In Victoria, CBRE’s report highlights that strong F&B trade drove demand for quality assets in the first half of 2018, exacerbated by the lack of assets available for sale. “Demand for leasehold pubs has remained strong over the past six months, driven by Melbourne’s buoyant hospitality market,” Mr Lee said, noting that the lack of sellers for both leasehold and freehold assets was expected to drive interest in available opportunities in the second half of 2018. Turning to Queensland, Mr Lee said there was strong, yield driven demand for pubs in South East Queensland, however a lack of available stock was limiting transactions. “There may also be a countercyclical play for savvy investors in coastal Queensland, with Gladstone and Townsville proving popular for investors capitalising on growth opportunities and infrastructure improvements,” Mr Lee said In Western Australia, CBRE’s report highlights that an ongoing decline in discretionary spending remains a concern for operators struggling with high rental costs. A decline in food and beverage trade over the past few years has been another concern for landlords. “Notwithstanding this, well-run and well-positioned going concern assets are in constant demand from the larger industry groups,” Mr Lee added.
NEWS
AHA NATIONAL AWARDS 2018 HOTELS WINNERS REVEALED The winners of the 2018 AHA National Awards for Excellence were announced at the Australian Hotels Association (AHA) National gala event at the Sheraton Grand Mirage Resort on the Gold Coast. Among the on-premise awards revealed, winners included the Pegasus Leisure Group, who took home the gong for Best Hotel Group Operator. Meanwhile Overall Hotel of the Year (Metropolitan) went to The Crafers Hotel, of the Adelaide Hills in South Australia, pictured. Sand Hill Road’s The Garden State Hotel in Melbourne, Victoria picked up two awards, with Ashly Hicks sharing the personal prize for Chef of the Year with Nancy Kinchela from Emirates One & Only Wolgan Valley in New South Wales, while the hotel itself was celebrated with a Best Bar Presentation & Service (Metropolitan) award. The regional equivalent of the latter award went to Sporties Tavern in Port Pirie, South Australia. In some of the other categories, Best Sporting Entertainment Venue went to the Beachfront Hotel in Darwin, Northern Territory, Best Gaming Venue (Regional) was taken home by Zagames Ballarat in Ballarat, Victoria and Best Keno Venue was awarded to The Middle Hotel in Korumburra, Victoria. Tom’s Tavern in Aitkenvale, Queensland picked up the award for Front of House Employee of the Year (General Division). AHA National President Scott Leach said the winners, chosen from
The Crafers Hotel, Adelaide Hills more than 5,000 members nationwide, were the reason Australian hotels continue to lead the world. “Our staff and venues combine as the heart and soul of our industry,” he said. “One brings our industry to life each and every day while the other forms its ‘bricks and mortar’ backbone – constantly evolving and changing to ensure we stay at the top of our game.” Among the highlights was the induction of Northern Territory-based liquor industry icon, Michael Burns, into the AHA National Hall of Fame. “Mick Burns’ life story reads like an outback fairy tale,” Leach said. “He is a larger-than-life figure, who has made his career by taking risks and trusting his gut instincts.” The national awards are contended by the 2018 state winners in each category.
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Hospo prices for hospo staff Does your venue offer hospo discount? Hospo Club is a place where venues can offer industry discount to current hospitality staff members. It’s invite-only, and you must be actively working in the industry to gain membership. Venues who join Hospo Club can attract more hospitality staff members as customers, while also helping to support those who make this great industry possible. To apply, please reach out on the following information: p 1800 957 858 e hospoclub@bellr.com.au
learn more:
bellr.com.au/hospoclub
Bellr
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PATRON RELATIONSHIP MANAGEMENT
BBQ TECHNOLOGY
AS SPRING GETS UNDERWAY AND ATTENTION TURNS TO THE GREAT OUTDOORS, CRAIG HAWTIN-BUTCHER EXPLORES THE BBQ EQUIPMENT YOU NEED TO MAKE THE MOST OF SUMMERTIME FOODSERVICE.
Smoke It Up For
A Sizzling Summer
W
ith the long-term weather forecast already predicting a drier and hotter summer in Australia than normal, hoteliers should be prepared for another bumper season for outdoor foodservice. We talked to some of the leading barbecue manufacturers to discover the advances being made in barbecue technology, from wireless connectivity to different fuel types and durability, along with the increasing trend for smoke. “People are barbequing more often and year-round,” says Karen Nguyen, Senior Brand Manager at BeefEater in Australia. “Even though barbeques are synonymous with summer, more and more venues are experimenting with their offering and putting on regular barbeque-themed menus throughout the year.” But as Nguyen points out, it’s not just the extended nature of the barbecue season that’s changed: “Once the only requirement was a large grill to cook mass quantities of sausages, steaks and onions,” says Nguyen, “but now versatility to cook a variety of dishes is key – from Sunday roasts, whole fish or sides of salmon. Even vegetarian barbeque menus are growing in popularity.”
BARBECUE WARS
Hark Texas Pro-Pit, offset smoker
With the largest barbecue competition in Australia, the Buffalo Trace Australian Barbecue Wars, just wrapped up at Port Macquarie’s Blues and BBQ Festival, it is clear there’s an appetite among chefs, and diners, to get involved. More than 100 teams, competitors and food vendors from around Australia took part. The festival hosts an authentic line-up of low and slow style barbecue vendors, live music and craft beer. So far, so unsurprising. But the prevalence of ‘low and slow’-style barbecues is a trend that’s
12 | OCTOBER 2018 AUSTRALIAN HOTELIER
dominating the US outdoor-eating scene and, some say, is beginning to take hold here in Australia too. The cooking style emphasises the use of real fire from lump charcoal or wood, to produce a low temperature that slowly cooks meat over time. The method allows for meat fats and connective tissues to break down for a more tender result on the plate, but requires careful management in hospitality venues. Luckily, we can reveal an easier way is possible.
OFFSET SMOKERS To achieve these Americanstyle barbecues, consider an offset Hark Big Boss, smoker, also known as a stick burner. gas smoker These are fuelled by charcoal or wood, or a combination of both. The fire is set up in the firebox and the smoke and heat from the firebox move into the cooking chamber to indirectly cook meats, poultry or vegetables. Foods typically cooked in these smokers are brisket, beef cheeks, beef short ribs, pork ribs, pulled pork or lamb. An offset smoker requires maintaining the fire to ensure that the fire and cooking temperatures do not drop. These offset smokers are popular with caterers looking to achieve the smoky flavour and the US style low and slow look and feel. But they do require more attention than is possible in many venues.
GAS SMOKERS For an arguably more workable alternative, consider a gas smoker. These still provide the low-and-slow style of barbecue, with that smoky flavour so popular right now, but since they are fuelled by a standard LPG gas bottle, can be more forgiving. Simply add flavoured wood chips and water and you are set to smoke for as long as your gas supply lasts.
Welcome to Hospo Club Hospitality is a unique line of work. The staff are semi-nocturnal, usually just clocking on as everyone else is logging off. The nights are late; the hours are long; the music is loud; the punters are boisterous. It’s tough work, and the sub-culture of people who undertake the task do it all to provide other people with quality experiences, and a vibrant social atmosphere to enjoy. It’s any wonder then, why the hospitality industry breeds some of the strongest workplace morale, where colleagues quickly become the closest of friends amidst the chaos of a busy venue. One such manifestation of this is the tradition known as ‘hospo discount’. Venues like to take care of their own, and in most cities this comes by way of an ‘industry’ discount available to hospo staff members who work at other venues in the scene. It’s a show of solidarity, and provides recognition to those who sacrifice their evenings so that others might enjoy them. However, for a long time this tradition has been little more than an unwritten rule. Enter ‘Hospo Club’. Hospitality promotions network, Bellr, has recently launched a new digital rewards program designed to unite hospo venues and staff through exclusive industry prices. The program is called the ‘Hospo Club’, and its generating significant interest at venues across the country. Venues who sign up are required to post a food, drink or entertainment offer that is exclusively available to members of the Hospo Club. It can be anything, and venues can change it as often as they like.
Any staff that work in the industry can also join the program. They simply email a copy of their most recent payslip (excluding any sensitive information) to hospoclub@bellr.com.au, and once approved they receive a unique membership code which grants them access. This unique ‘invite-only’ model ensures the club remains exclusive to people who actively work in the industry, and rewards the bartenders, wait staff, chefs and glassies, who work hard to make a night out possible for the rest of us. Speaking to Bellr co-founder Mitchell Stapleton-Coory, we learned a bit more about their goals with this concept: “This isn’t ground-breaking. Venues have been doing it for years. We’re just looking to better organise and promote what is already on offer, so hospo staff have more incentive to visit new venues and enjoy more of their city.” For venues or staff who are interested in finding out more, reach out to Bellr on the info below: 1800 957 858 / hospoclub@bellr.com.au
bellr.com.au/hospoclub
Bellr
TM
PATRON RELATIONSHIP MANAGEMENT
BBQ TECHNOLOGY
Green Mountain Grills’ Daniel Boone pellet grill technology
“THE TYPE OF BARBEQUES WHICH PUBS AND CLUBS NEED HAS ALSO CHANGED” – KAREN NGUYEN, SENIOR BRAND MANAGER AT BEEFEATER Gas smokers are highly portable, easy to operate and remove the need to maintain a fire over long periods. Flavoured wood chips are fairly widely available, try matching apple for pork, hickory for pulled pork or lamb, pecan for pork, poultry and game birds or cherry for venison and beef. Venues to opt for this approach include the Town Hall pub in North Melbourne, which uses the Hark Big Boss, pictured on previous page.
ELECTRIC SMOKERS It’s still possible to achieve a smoked barbecue effect using an electric barbecue, particularly a ‘pellet grill’, example pictured above. “Since 2017, we have seen a marked increase in the take up of pellet grills throughout Australia,” says Caroline Harkin of Hark BBQ, which distributes the Green Mountain Grills (GMG) brand in Australia, including the Jim Bowie and Daniel Boone pellet grills. “[These are] perfect for caterers who want to cook American style low and slow, but don’t want to constantly tend a fire,” says Harkin. Electric smokers run off 240V and are fuelled by pure hardwood pellets made of compressed sawdust from a range of hardwood blends. Choose pellets that contain no additives or chemicals. Those available from GMG are available in four different flavours – Fruitwood Blend, Gold Blend, Apple Blend and Texas Blend. The units can be preprogrammed for both cooking temperature and an internal temperature for the food itself. The whole cook can be monitored and controlled from your mobile phone via the GMG app. Venues including the CY O’Connor in Perth currently cook using a GMG, either in their courtyards or outside their kitchens due to the fact they are relatively easy to use and to control via the GMG app, cheap to run once and allow for ‘set and forget’-style slow cooking. Foods typically cooked on a pellet grill are similar to an offset smoker but repertoires can be expanded by adding a pizza attachment for highquality pizzas or raising the temperature to sear fish such as salmon.
14 | OCTOBER 2018 AUSTRALIAN HOTELIER
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WHY LOW-ALCOHOL DRINKS COULD BE YOUR TICKET TO ATTRACTING MORE CUSTOMERS
BELVEDERE
Native connection A CLOSER LOOK AT THE DAVIDSON PLUM
Matt Pomeroy on terroir, rye and the way forward for vodka
Romance is dead
HOW THE TRUFFLE WENT FROM ADORED TO OVERUSED
WINTER COCKTAILS
Sugar rush
Keep your customers warm and merry
RUM
Ian Burrell on spiced rum as an entry-point
FLAIR GURU
The man behind Tom Cruise’s moves in Cocktail
PLUS: THE RETURN OF THE NEIGHBOURHOOD BAR – JAMES IRVINE IN MEXICO – AUSTRALIAN SPIRITS
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BBQ TECHNOLOGY
Integration with the Weber iGrill app offers more control
KAMADO-STYLE BARBECUES It’s worth mentioning ceramic, ‘kamado’ barbecues – recognised brands in this category include Big Green Egg and Kamado Joe. These are popular at restaurants that either cook on one from scratch using a ‘Large’ model placed outside the restaurant, or use a smaller ‘Minimax’ model to smokefinish food before plating. Their use in pubs is more limited given their higher price point and because their ceramic materials require careful handling to avoid breakage. They do, however, offer versatile cooking options, from grilling and roasting to smoking and baking and are produced in the same factory that makes NASA’s heatshields for their shuttle programme. Venues that use Big Green Egg barbecues include Messer in Fitzroy, Melbourne, and restaurants such as Automata in Sydney and the Royal Mail Hotel in Dunkeld.
ELECTRIC BARBECUES GET SMART Popular among home users, the Weber line of barbecues has upped the ante by incorporating app technology into their electric ‘Pulse’ range, which may also suit the on-premise. Recognised for the even cook their domed barbecues produce, the app integration and convenience of electric adds up to an interesting proposition. Through the iGrill app’s settings and alerts, the barbecue confirms when the grill is ready to cook and when the food is cooked. Features porcelain-coated cast iron cooking grills and cooks at temperatures up to 300°C, with smoke circulating under the lid. Weber offers a large Pulse 2000, with two heat zones and a grill space of 1,796 cm2 for flexible cooking areas, RPP $699. With summer on its way shortly and a whole host of cooking options available, now might be the right time to start your search for the perfect catering barbecue.
Big Green Egg barbecue
16 | OCTOBER 2018 AUSTRALIAN HOTELIER
DURABLE BUILT-IN BeefEater offers a durable built-in option with five gas burners, within their Signature Line, the SL4000, RPP $3,799. Features a hood window for easier observation, additional side burner, removeable roasting hood, rust-resistant cast cooktop and antiflare technology for a more even cook.
SIGNATURE SERVE
Y L T H G I R P S G N I SPR INGREDIENTS:
METHOD:
• 60 ml Tovaritch vodka • Dash of simple syrup • 60 ml Maison Castel Côtes de Provence Rosé • 60 ml club soda
Combine cold rosé, simple syrup, vodka and club soda in a chilled glass. Delicately swirl the glass to mix contents.
Photographed at The Clock Hotel, Surry Hills by Simon Taylor
AUSTRALIAN HOTELIER OCTOBER 2018 | 17
WINNING WITH WINE
WINE MAKING A W
splash
ith the apparent consumption of alcohol per person in Australia falling to levels not seen since the 1960s, according to data released recently by the Australia Bureau of Statistics (ABS), should the industry be concerned by what’s happening? Speaking about the data, Louise Gates, ABS Director of Health Statistics, said: “This is the lowest annual figure since 1961-62 and it continues the recent downward trend which started around 2008-09. Over three-quarters of alcohol consumed was from either beer (39 per cent) or wine (38 per cent). And while alcohol consumed from wine has declined recently, the drop in beer consumption has been the main driver for falling alcohol consumption with an average decline of 2.4 per cent, per year over the last 10 years.” While that data shows wine consumption down by alcohol volume, the sommeliers and
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AS NEW FIGURES REVEAL ALCOHOL CONSUMPTION DOWN ACROSS ALL SEGMENTS, INCLUDING WINE, CRAIG HAWTIN-BUTCHER DISCOVERS THE INSIDE STORY ON WHAT’S REALLY HAPPENING WITH WINE ON-PREMISE.
industry leaders Australian Hotelier spoke to see the state of the market quite differently. “[Sales for us] are definitely up!” says Franck Moreau, group sommelier at Merivale and one of just five of the highly-acclaimed Master Sommeliers in Australia. “Our venues are still very strong and our wine business is very consistent and growing year on year,” he says. While he admits there has been some downside in certain bar areas where some of his clientele have been “changing their habits and moving in a different direction,” his sentiments echo the many we heard about the state of on-premise wine right now. “[Wine consumption is] up in my opinion,” says Giulia Mengoli, sommelier at The Crafers Hotel in the Adelaide Hills, and a finalist for Best Wine List in this year’s ALIAs. Doing battle with Giulia for the same award is James Hird, sommelier at The Dolphin Hotel in Sydney’s Surry Hills. “Wine is definitely on
the rise across our venues,” he says, attributing the rise in food service as the primary reason. “More people use pubs as a dining alternative [so] wine sales are on the up,” he believes. It’s a trend that appears to be consistent for Australian winemakers also. “Certainly we’re seeing steady growth in the wine category… albeit slowly,” says Tony Battaglene, Chief Executive of the Winemakers’ Federation of Australia (WFA). “There’s absolutely no doubt that people are starting to trade up, which is great news, as we can’t really continue producing lower price wine. We’re seeing a shift from quantity to quality across the board,” says Battaglene.
PROSECCO FIZZING “It’s no secret that prosecco is the phenomenon, like it has been internationally, particularly with Australian prosecco,” says Battaglene. “We’re predicting very good growth for the next three or four years with
WINNING WITH WINE
“I THINK THE DAYS OF SEEING WINE AS AN AFTER THOUGHT IN HOTELS ARE NUMBERED. IT’S INTEGRAL IN APPEALING TO A BROADER AUDIENCE. IT’S A HUGE MISTAKE TO UNDERESTIMATE THE ROLE OF WINE IN HOTELS IN 2018.” – JAMES HIRD, SOMMELIER, THE DOLPHIN HOTEL, SURRY HILLS.
James Hird
Australian-produced prosecco, from a $60 million industry to four or five times that if the international trends continue,” he says. Reflecting consumers’ love affair with bubbles, Battaglene also says “imports are still strong, particularly champagne.”
ONES TO WATCH For Merivale’s Moreau, rosé has been their biggest growth category, particularly French rosé. Other growth areas have been prosecco and pinot grigio, Moreau tells us. “The stock-standard rise of chardonnay is definitely coming back, which is very promising,” says Battaglene of Australian chardonnay. “We’ve still got more chardonnay producers [in Australia] than any other white grape variety, by a long way. We’re also seeing sauvignon blanc going off the boil a bit. Demand is still strong, but it’s certainly not the phenomenon it was a few years ago. Certainly the price points are dropping … for New Zealand sauvignon blanc, which was the category leader for white wine,” he says. “Pinot grigio continues very strongly, it’s a very popular variety,” says Battaglene. “The heartland is still chardonnay and shiraz. Cabernet sauvignon you may see a change there if the US market comes online. We’re investing a lot in the US market over the next two years. Hopefully that will renew some of our exports over there. That may well generate a change in plantings.” Elsewhere Mengoli highlights improved sales of pinot noir, chardonnay, riesling and sauvignon blanc, particularly Shaw+Smith in the latter. “People look for local wines,” she says, “but also Victorian wines for pinot and chardonnay, French (mainly Burgundy and Beaujolais) and Italian. Nebbiolo and shiraz are very popular too. [Popular wineries include] Tapanappa, BK Wines, Ochota Barrels and Shaw+Smith.” “White semillon has definitely been on the simmer of late,” says Hird, “Sorrenberg and Tyrrell’s have been standouts. We have noticed a real increase in demand for Australian ‘low-fi’ winemaking styles from producers such as Lucy Margaux, Shobbrook Wines, Blind Corner and Latta Vino to name a few.” Meanwhile at Merivale, Moreau says “Red wine [has] always been very strong in our restaurants but demand on lighter red wines is getting stronger too,” detailing exactly the same effect Hird has seen at the Dolphin Hotel. “Gamay has been a bolter of late and light style reds in general,” says Hird. “Of course organic, Bio or natural wines are on-trend too,” says Moreau.
Classy glassware (Riedel pictured) complements by-the-glass offerings
AUSTRALIAN HOTELIER OCTOBER 2018 | 19
WINNING WITH WINE
TECHNOLOGICAL ADVANCES Elsewhere sommeliers say technology is better enabling them to sell more wines by the glass. “Coravin has really opened up what we can pour,” says Hird. “At the Dolphin it means we can pour over 200 wines and that has really evolved how we go about writing the list.” Over at the Crafers Hotel, Mengoli agrees, saying: “Coravin and Enomatic machines [are the most important technological advances]. I can pour premium wines by the glass thanks to these devices.” The result is Mengoli now has a range of wines by the glass between $8 and $25 each. “Customers know that they could buy a bottle and sit at home and drink it, when they come here they know that they are paying not only for the bottle but also the experience, the glassware, the service and advice,” says Mengoli. “Our local customers are starting to be interested about wines and are willing to try new wines by the glass.”
CLASS IN A GLASS
“ROSÉ HAS BEEN OUR BIGGEST GROWTH CATEGORY, PARTICULARLY FRENCH ROSÉ. OTHER GROWTH AREAS HAVE BEEN PROSECCO AND PINOT GRIGIO.” FRANCK MOREAU, GROUP SOMMELIER AT MERIVALE Giulia Mengoli
Franck Moreau
With the growth of quality wines by the glass, some venues are placing a real emphasis on improving the quality of their glassware. “I believe that glassware is responsible for 50% of the wine tasting experience,” says Mengoli. “On wines by the glass with a price up to $14 we always offer premium glassware [and] have Plumm, Riedel and Zalto glasses.” Operating in tandem, it seems new technologies allowing more wines by the glass, plus a greater focus on-premise in quality stemware are combining with a key cultural shift that’s been taking place for a number of years. “What we are seeing is people more willing to change around and try new things,” says Battaglene. “There’s a greater willingness to experiment and I think that’s happening across all categories. You see craft beer, wine and internet sales from Naked Wines where they’re doing small producers. I think you’re seeing a lot more interest in those types of areas.” Consumer experimentation is also being reflected in different dispense methods. While off-premise consumers can expect to see canned wine imminently, in the on-premise Moreau confirms “We are continuing to grow wine on tap and to introduce high quality wine on tap [while exploring] how to be more sustainable and reduce waste.” He also says another focus for service is “how we can serve wines at the right temperature in all our businesses.”
PRESSURE ON PRICES While the on-premise scene seems buoyant, it’s not all good news. “We’re going into a time now where there’s tension between supply and demand – grape prices are definitely increasing and I think there’s going to be a time very soon when retail prices will be forced to go up,” says Battaglene. “Retailers will be forced to make that move,” he says, “as the China market is still driving the price of grapes and the cost of production. While the China market remains strong, then that’s certainly going to increase the [price to the] domestic market and the availability of our product in the domestic market.” The WFA is currently playing down any likely impact on prices from the current drought conditions, however. “It’s not going to make a big impact on us, certainly in this next vintage, we don’t believe,” says Battaglene. “But if the price of water goes up, and we’re seeing it go up, then the vintage after this, if there’s no break in the drought, that could certainly put a bit of tension on costs.”
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INTRODUCING YALUMBA’S NEW AND EXCLUSIVE ON-PREMISE COLLECTION
MADE WITH CONVICTION AND CARE,
the wild in the air¢ MADE WITH
Wines available to order via Samuel Smith & Son, and local wholesalers 10 September 2018. For more details contact your Samuel Smith & Son area manager.
COFFEE KICK
KICKING T ON WITH COFFEE
he apparent consumption of alcohol per person in Australia has fallen again, and is now at levels not seen since the 1960s, according to data released in September by the Australia Bureau of Statistics (ABS). The main driver has been reduced beer volumes, with an average decline of 2.4 per cent per year over the last 10 years, though there has also been a decline witnessed in wine sales. With that in mind, is it now time to pay more attention to the opportunities presented by non-alcoholic beverages and coffee in particular? With high margins possible, the opportunity to maximise those morning opening hours and to support or encourage a brunch service and foodservice, for those who get it right, the potential profits are highly attractive.
CAFÉ COFFEE CULTURE
WITH ALCOHOL CONSUMPTION ON A DOWNWARD TRAJECTORY, SHREWD OPERATORS ARE LOOKING TO COFFEE SALES FOR GROWTH. CRAIG HAWTIN-BUTCHER DOSES UP ON HOW CAFFEINE CAN HELP HOTELIERS HIT THE HIGH NOTES.
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“There is recognition from the on-premise sector that coffee has evolved to an important part of everyday life,” says Michael Taylor, national sales manager at Di Bella, Australia’s second-largest supplier and roaster of specialty coffee. “Coffee is communal and conversations that may have taken place around the bar over beer or wine now might take place at the suburban café sitting on milk crates over coffee,” says Taylor. But far from representing a threat, Taylor is clear that mornings represent an obvious opportunity for owners and operators. “I have supported clubs in the past that have chosen to open early with a full breakfast and high-quality coffee offering,” says Taylor. “Their coffee sales have moved up to volumes seen at some successful cafés. A successful coffee offering can open up a whole new client base not seen during the ‘traditional hours’ and provide a platform to a larger market.”
COFFEE KICK As a result, he says, many hoteliers are upping their game, looking to lure customers back into the on-premise through a quality offering. “We are seeing higher quality equipment sitting on benches and bars,” says Taylor. “The business may have even built a hole-in-the-wall coffee offering for those important coffee trading hours”.
SOPHISTICATED CUSTOMERS Such adaptations reflect the realities on the ground around coffee consumption and appreciation in this country. “The most important part to recognise for service of coffee in Australia now is that the customer base is very sophisticated,” says Craig Simon, former three-time winner at the Australia Barista Championships and fourth-placed at the World Barista Championships. Simon is also Australia’s first certified Q Grade Instructor, a programme that governs the international certification of tasting and grading coffee. While it’s fair to say Simon operates at the top of his game in the highly specialised world of high-grade, specialty coffee, the relevance to hoteliers of a quality coffee service in pubs isn’t lost on him. “Customers have been exposed to coffee in high quality specialty coffee cafés – Australia is regarded as the most advanced and sophisticated coffee scene in the world at the moment,” says Simon. “This means that you are going to need to put a little bit of thought into making sure you are serving a high quality, consistent product.”
TOP
INNOVATIVELY ENVIRONMENTAL Not only are expectations of quality rising, the need to entertain and innovate is ever more important. “In recent years, hotels and pubs have been focused on offering a wider variety of experiences and flavour combinations for their patrons,” says Mitch Monaghan, Nespresso coffee ambassador. “While we are seeing this in the vast range of different coffee cocktails now on the market, we are also seeing an increased diversity of morning and lunchtime coffee options as Aussies are looking to spice up their beverage routine. 1. Do a café crawl to a handful of the top cafés in your area. See what their coffee service looks, feels and tastes like. Incorporate some of the better parts of that experience into your offer. 2. Find a coffee specialist who can support you in upskilling your staff and recommend an equipment solution that will give you the best possible coffee offer (not necessarily the most expensive). Better coffee will sell better and ensure the offer is financially viable. 3. Work with suppliers who take the time to work out how to give you a solution that helps you make the best coffee possible in a form that suits your customers' taste preference.
Coffee in the on-premise is an open opportunity
AUSTRALIAN HOTELIER OCTOBER 2018 | 23
COFFEE KICK
TWO TO TRY “A SUCCESSFUL COFFEE OFFERING CAN OPEN UP A WHOLE NEW CLIENT BASE NOT SEEN DURING THE ‘TRADITIONAL HOURS’ AND PROVIDE A PLATFORM TO A LARGER MARKET.” – MICHAEL TAYLOR, NATIONAL SALES MANAGER AT DI BELLA ROASTERS. “From iced lattes with cold frothed milk to flavoured macchiato, establishments are experimenting with recipes to bring about a strong and lasting impression to the patron and guest experience,” says Monaghan. It’s clear that shrewd operators are indeed putting thought and affordable levels of investment into this burgeoning growth area. For operators concerned about spiraling costs to enact a quality offering, Simon has this to say: “This doesn’t necessarily mean super expensive equipment, coffee and staff, but it does mean making sure you are serving a good coffee rather than just having a machine on the bench.” In addition to the quest for novelty and the explosion in popularity of espresso martini, environmental awareness is increasingly important to consumers. Here, pubs have a distinct advantage with the provision of ceramic, not paper, cups. “We are also seeing the rise of the ‘conscious consumer’,” says Nespresso’s Monaghan. “There is an increasing focus on sustainability across economic, social and environmental factors, which is driving change in purchasing decisions.” Citing Australian research from last year, Monaghan says: “With 50% of 1824 year olds saying they only drink sustainably sourced coffee … eco-conscious millennials are expecting brands to manage their impact across all choices the businesses make.”
The Nespresso Professional Aguila 220 machine has 12 pre-programmed coffee recipes at the touch of a button, with a range of 13 pod coffees available for its Professional machines. Pods are recyclable and hermetically sealed to better ensure freshness while the manufacturer looks to ensure ethical relationships with coffee producers.
AUTOMATE TO INNOVATE In terms of overcoming barriers, the price of equipment and cup sales are probably going to be hoteliers’ biggest concern, argues Simon. “Making espresso coffee while not difficult is still an art form,” says Simon, “and having a high quality barista on staff in a pub or bar where coffee sales probably aren’t as high as a café is an expense that doesn’t make much sense for the business owner. Finding a solution that can automate the process of making good coffee is probably the avenue to investigate.” Fortunately the prevalence of good quality, affordable automatic machines can overcome many issues around consistency of service and training and managing staff costs. “Nespresso makes it possible for pubs to deliver a high quality, perfectly portioned coffee with just the touch of a button,” says Stefan Vermeulen, head of Nespresso Professional. “Regardless of who makes it, and especially during busy periods like lunchtime and the evening, [automatic] machines help publicans achieve excellent coffee in every cup without the need for a trained barista on each shift.”
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The Jura Professional WE8 also has 12 pre-programmed coffee recipes, offering a fully-automated whole bean-tocup provision. A solid build but weighing in at just 10kg and a small footprint, the Jura prides itself on a premium build and offers buyers complete flexibility on where they source their beans from.
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DESIGN AND BUILD
Wagyu beef burger with American cheese, pickles smokey BBQ sauce, Carolina mustard and aioli
High tables and chairs in the front bar area Prawn and chorizo linguine with cherry tomato, garlic, chilli, olives, capers and ricotta
Service area in the front bar
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DESIGN AND BUILD
BRINGING BACK COUNTRY CHIC
HARVEST HOTELS DUO RENAMES, REBRANDS AND RENOVATES THE YASS HOTEL IN REGIONAL NSW. CRAIG HAWTIN-BUTCHER DISCOVERS HOW THE VENUE HAS LOOKED TO THE PAST TO DEFINE ITS FUTURE.
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hen Harvest Hotels’ energetic owners Fraser Haughton and Chris Cornforth first arrived in the Yass Valley, some 60km north of Canberra, they saw an obvious opportunity. The valley area is home to 16,000 people and the way the duo saw it, the town clearly didn’t have the venue that it deserved. So when they took on the iconic cornerstone pub, The Royal Hotel, in December last year, they decided to change all that, ultimately renaming it The Yass Hotel in recognition of the important role the pub has in local life. Cornforth reveals that where others saw issues with the pub, he saw opportunity. “The hotel was run down, dingy and the spaces were very awkward and closed off,” says Cornforth. “It had a rather bad reputation in town and wasn’t known to be female or family friendly. We saw this as an opportunity to rebrand the venue into The Yass Hotel and as such closed the doors for a three-month renovation and rebrand.”
LOCALS KNOW BEST Highlighting the importance of research, Cornforth and his team looked to substantiate their hunch by discovering what the town really needed. “The general consensus was that they were looking for a nice place to enjoy dinner, drinks and a latenight dance,” says Cornforth. “Most of the hotels in Yass are not particularly family or female friendly so there was a huge demand for a venue in town that accommodated this.” Armed with these insights, Harvest Hotels engaged Vellum Interior’s Alex Gourlay to design their perfect pub. “The main objective of the re-design was to create a more friendly and welcoming atmosphere,” says Gourlay, “and to improve the flow between the spaces, without over-capitalising, or closing the venue for too long.”
COUNTRY CHIC The result, as Cornforth says, is very much ‘country chic’. “We have reinstated the hotel as a classic country corner pub, with ‘timeless’ features such as mosaic tiles, wooden bar and finishings, statement light fittings and beautiful wooden and leather furniture.” Gourlay elaborates on the resulting design. “The aesthetic is contemporary and playful while being sympathetic to the building’s Victorian roots,” she says. “It’s fairly laid-back and doesn’t take itself too seriously, while still being chic and sophisticated.”
The Yass now houses a bistro area, a large bar area and a bistro/bar area at the back of the hotel. Outside, a large beer garden is perfect for spring and summer alfresco dining and drinks. As Gourlay points out, reimagining the flow between these spaces for patrons was crucial. “Entering the pub via the main doors on Comur Street, it wasn’t clear where to go next, or even where the bar was!” she says. The answer? “We created large openings either side of the entry hall, so that it’s now not just bright and open, but has also created clear passageways to the bar and dining spaces.”
HOMAGE TO HISTORY The design team looked to the building’s existing history and original features for inspiration, which had been covered up and altered by multiple renovations since the 1940s, so the main theme of the design was to pay homage to the pub’s history, and re-imagine it to suit a modern audience. “I work primarily on residential interiors,” says Gourlay “and because of the layout, the pub felt to me a bit like a grand old home. Informed by this, I wanted to create spaces that could be used for a variety of occasions and situations. The idea was to create cosy, intimate areas for a quiet winter dinner or a date, as well as energetic, more fun spaces for families and young people, so that patrons could come to the pub at any time of the week and feel comfortable.” Gourlay focused on colour to lead the design look and feel. “Paint colours were the hero in terms of finishes, and has made the biggest impact,” she says. “The different colours used in each space have helped to define each area and set the mood. Timber and aged brass have also been used throughout, again because these materials are contemporary, as well as fitting with the heritage of the building.” Cornforth echoes the designer, saying: “We put a focus on using natural and reclaimed wood and invested in repainting the whole hotel (inside and outside) with our brand colours for its much-needed facelift.”
“My favourite feature would have to be the new little seating nook created in between the public bar and bistro. It’s a cosy space with a banquette seat and high chairs, perfect for a group of friends to settle in for an evening!” – Alex Gourlay, designer, Vellum Interiors.
CONFRONTING CHALLENGES The design also looked to solve some operational issues the team had discovered. “The previous layout was a bit of a rabbit warren,” says Gourlay, “and one of the main issues was that food could only be ordered from the front dining room, which was on the other side of the pub to the bar and bistro areas. There was also an issue for staff
AUSTRALIAN HOTELIER OCTOBER 2018 | 27
DESIGN AND BUILD
The front bar area
getting to and from the pass. These issues have now been smoothed over with a second pass created, and food can be ordered from multiple locations.” The renovation wasn’t without its challenges, however, not least working within the limitations of its heritage status. Structural realities on the ground also influenced the work. “One of the earliest ideas was to open up the original entrance on the corner of the building,” says Gourlay. “but we quickly realised this wouldn’t be possible because of the cellar that had been built underneath. Plan B was to create a new window here, but this wasn’t possible either. We had also wanted to widen the doors from the bistro space to the courtyard but ran into some structural issues.” The project also ran late and over-budget, but the team at Harvest Hotels took it in their stride. “At the end of the day it was better to get it 100% right than stick to the specified timeline and budget,” says Cornforth, clearly delighted with the results and with the contractors he was able to work with. The team at Harvest Hotels engaged a Sydney paint team under the leadership of Norman Osbourne, but otherwise were keen to work with as many local contractors as possible. These included Tom Hall Electrical, Doakes plumbing, B and S plastering, Terry Brothers Carpet Court, Yass Glass and Signarama Canberra. “I love how we have reinstated the heritage elements of the building,” says Cornforth. “From cleaning up existing mosaic tiles that were hidden under carpet to cleaning up the beautiful wooden doors. It was really important for Fraser and I to pay homage to the heritage aspects of the building and the Yass locals appreciate that we haven’t completely changed the beautiful building through our construction process.”
28 | OCTOBER 2018 AUSTRALIAN HOTELIER
House-made gnocchi with baby spinach, button mushrooms, feta and garlic butter
Mixed dining and drinking area
Head Bartender Alex Lanthier
CALENDAR
SPORTS FIXTURES OCTOBER HAS A HOST OF HEAVYWEIGHT SPORTS FINALS – HERE ARE YOUR HIGHLIGHTS FOR THE MONTH AHEAD.
CRICKET
NBA
The baggy greens will be looking to put together a strong performance against Pakistan in the two-test series hosted in Dubai, with pub-friendly 5pm starts. A three-game T20 series follows with 3am starts.
A double-header ushers in the new NBA season with Aussie Ben Simmons’ 76ers taking on the Celtics, followed by Thunder and Warriors. Thereafter expect a minimum of five live games every week during the regular season at lunch-friendly hours.
When: First test starts Sunday 7 October, 5pm. Second test starts Tuesday 16 October, 5pm. Channel: Fox Cricket.
When: From Wednesday 17 October, 11am. Channels: ESPN and ESPN2.
A-LEAGUE
NFL
The A-League hosts a Sydney Derby within a big double-header. Sydney FC haven’t lost a Derby since February 2017 and the Wanderers will be desperate to win back bragging rights. The double-header starts with Central Coast hosting Melbourne City. When: Saturday 27 October, 5:30pm. Channel: Fox Sports 505.
October promises three live gridiron games in HD every week to boost lunchtime trade as the NFL gets underway Stateside. Highlights include 2017/18 stand-out sides the Patriots and Chiefs on Monday 15 October. When: Every Monday, Tuesday and Friday from 10:15am until 7 October, 11:15am after. Channel: ESPN.
NEXT MONTH November sees the showpiece launch of Fox’s new dedicated 4K cricket channel, Fox Cricket. The Australian men’s team’s home calendar gets underway while our women’s team contests the ICC World Twenty20 tournament. When: Throughout November Channel: Fox Cricket. *All times are AEST
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