Australian Hotelier October 2024

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WHITE CANE INTRODUCING

An Australian re-imagining of white rum.

Available for Foxtel Business subscribers only. Foxtel marks are used under licence by Foxtel Management Pty Ltd.

Future Leaders Scholarship: Out of a talented pool of young operators, two winners were named for the inaugural scholarship program.

is evolving how operators interact with patrons.

Brand Talks: Zeller, has launched its new all-in-one EFTPOS and point-ofsale solution, Zeller Terminal 2.

PLS Review: The 2024 Pub Leaders Summit brought together publicans from across the country to learn and grow from each other’s experiences.

Spring Racing: The different ways operators are preparing for one of the most anticipated sporting seasons of the year.

REGULARS

8 News: What’s happening in pubs across Australia.

30 Design & Build: The Gateway in Mildura is providing a masterclass in masterplanning.

34 Tales from the Top: NIQ’s Tom Graham on shifting on-prem interactions from different age groups.

Editor’s Note

LAST MONTH, we held the Pub Leaders Summit in Sydney. It was a really fantastic two days of site visits, a packed program of excellent operators and experts, a top-notch showcase and networking opportunity. In the middle of a tough time for the sector, you could sense the optimism and the eagerness in the room of publicans. That was reflected in the program and conversations, with instances throughout the day showing better times were ahead, and that ingenuity and adaptability have ensured the pubs sector as a whole is doing better than most other segments of hospitality.

We also announced the two winners of the inaugural Australian Hotelier Future Leaders

Scholarship at the Summit. Personally, I am incredibly proud that we could support emerging talent in the industry, as well as shine a spotlight on a broader pool of young talent that will be the leaders of the industry we talk about in years to come. You can read more about it from p. 24. The future is incredibly bright for the Scholarship finalists, and I can’t wait to see what they do next within the industry.

Cheers!

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In the news

WHAT’S HAPPENING IN PUBS ACROSS AUSTRALIA

RECEIVERS CALLED IN ON SYDNEY PUB ASSETS

In the space of a fortnight, it was announced that receivers had been appointed to the Sydney pub assets of two separate groups: Public Hospitality and Virtical.

After a turbulent year, and much scrutiny about the state of Public Hospitality’s finances, receivers and managers were appointed to the group’s Sydney venues in mid-September.

Mid-year the group underwent a restructure after striking a new refinancing deal with Deutsche Bank and several investment firms for $400m, but it has not turned the company’s fortunes around.

Vaughan Strawbridge and Joseph Hansell of FTI Consulting were appointed as receivers and managers on 13 September to a number of Public Hospitality Group entities under security held by TREA ST Pty Ltd as trustee of the Public Group Security Trust. The appointment is over the four trading venues: The Strand Hotel; Camelia Grove Hotel; Norfolk Hotel; Oxford House; and one development site, the Exchange Hotel.

Additionally, Duncan Clubb and Andrew Sallway of BDO were appointed voluntary administrators of Public Lifestyle Management Pty Ltd; 146 Henderson Street Pty Ltd and Camelia Grove Operations Pty Ltd.

The Receivers are working with existing management and staff teams to continue to trade the venues while they commence a sale of business campaign.

“We will be working closely with management of the venues to ensure they continue uninterrupted by this process while we seek new owners for the venues to secure their future,” stated Strawbridge.

“We expect a lot of interest in these venues and will work closely with venue management to achieve a successful outcome.”

A week later, it was revealed that mixed property development firm turned hospitality group Virtical was also having trouble with its finances. It’s major financier, Bond Finance, called in BRI Ferrier’s Peter Krejci and Andrew Cummins to take hold of the situation, and recoup debts.

The news was revealed a week after Virtical agreed to sell the Republic Hotel in Sydney’s CBD at a loss to Thomas Hotels, for a reported $32m. Virtical had paid over $40m for the trophy pub 12 months earlier, and had completed the first stages of a significant renovation. Michael Thomas confirmed to Australian Hotelier that the sale of the Republic Hotel would go ahead.

Troubles for the group were first made public earlier this year, when a deal to buy Kinselas and Courthouse Hotel from MA Financial fell through and ended up in NSW Supreme Court. Virtical had agreed to buy the two Oxford St pubs for $61m, but attempted to back out of the deal. The Supreme Court ruled that Virtical was obligated to complete the deal, but it is currently appealing that decision.

Virtical also owns the Australasia Hotel in Eden, New South Wales, as well as the boutique Adelphi Hotel in Melbourne’s CBD, which it has relisted for sale 12 months after its acquisition. The group was also expected to buy the Metropolitan Hotel in Sydney’s CBD for $40m last year, but failed to settle on the acquisition.

The Strand Hotel is one of the Public Hospitality pubs placed under receivership. Image: Facebook

THA slams Tasmania’s cashless gaming proposal

According to a public consultation paper titled Player Card and Cashless Gaming released by the Tasmanian Liquor and Gaming Commission, the state’s cashless gaming system will see a single card system be used statewide, replacing the use of cash and coins for electronic gaming machine (EGM) play. It will also recognise a player regardless of where they choose to the play.

Once a player is registered, they will be issued with a single card featuring default pre-commitment limits and enable players to transfer money onto the card using cash or eftpos.

According to the paper, the new cashless system will also require clubs and hotels to implement new hardware, which will likely include a card encoder, pin pad, cashier terminal, and card reader and display on each EGM.

Tasmanian Hospitality Association (THA) chief executive

Steve Old has told our sister publication Club Management the industry is “completely frustrated” by the state government’s cashless gaming proposal.

“The industry is completely frustrated and has been blindsided with the entire process since the announcement of a mandatory pre-commitment card-based system,” he said.

“No system like this has been built anywhere in the world, we’re now 12 months out from implementation and we still have no information.”

Old insisted that adopting facial recognition technology would help minimise gaming harm instead.

“We are advocating for facial recognition technology. This system stops problem gamblers from entering a premises. You can’t change your appearance, but you can produce fake cards,” he said.

“Under this proposed mandatory pre-commitment card-based system, the Government is still allowing problem gamblers to lose $5000 a year. With facial recognition technology, we can reduce that to zero, while not placing unnecessary limits on the other 99.6 per cent of the population.”

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Archie Rose launches White Cane as part of its Fundamental Spirits range

Made from 100 per cent Australian ingredients, and previously part of the Signature Series, White Cane is the newest addition to the Archie Rose Fundamental Spirits range - and is for now, exclusively available to the on-premise.

DESIGNED TO encourage rum drinkers to enjoy a higher quality, local version of a much-loved classic white spirit, Archie Rose White Cane is an Australian reimagining of a white rum.

White Cane’s move to the Fundamental Spirits range means the product is available at a more accessible price point, while still retaining exceptional spirit quality. In addition, the lighter, easier-to-pour bottle is specially designed for the rail, meaning that there is now a locally produced, extremely competitive white rum style product, perfect for on-premise use.

Archie Rose’s Master Distiller, Dave Withers, said that White Cane continues Sydney’s strong tradition of rum production.

“The history of rum production in Australia runs deep and the city of Sydney itself is affiliated with countless stories about rum trade, production and celebration. These narratives are part of what has shaped Sydney, and while in Australia, unlike other countries, we’re

legally not able to call it a rum unless aged for two years, we’re thrilled to continue the tradition with White Cane, our showcase of an Aussie-made white cane spirit,” he said.

As with the rest of the Fundamental Spirits range, White Cane stays true to Archie Rose’s brand values, featuring local, native and sustainably sourced ingredients.

First, high-test NSW molasses is cold distilled using a vacuum still, capturing the delicate flavours of locally sourced sugarcane. This distillation is subsequently blended with sustainably sourced NSW blackstrap molasses to give depth, power and vigour to the blend. The result is an incredibly versatile spirit that is pillowy soft with a deliciously fresh finish and notes of roasted marshmallow, golden syrup and pineapple. It’s arrived just in time for the warmer months and is going to be perfect for classic rum cocktails and mixers.

White Cane joins the rest of the Fundamental Spirits range, consisting of

Straight Dry Gin, True Cut Vodka, and Double Malt Whisky. Archie Rose founder, Will Edwards, said that the Fundamental Spirits range allows more Australians to experience our country’s craft spirits.

“We know that Australians love drinking Australian spirits, but the artisanal nature of craft distilling means that our products, along with other incredible distillers, are often reserved for the top shelf, with international brands still dominating the market. We wanted to create a range that redefines the traditions of how Australians drink by offering an accessible gin, vodka, whisky and now rum to serve as the base for your favourite drinks any night of the week,” he said.

Archie Rose White Cane, 700ml, 40 per cent, is now exclusively available for the on-premise via all good wholesalers. Alternatively, get in touch with your local Archie Rose brand ambassador for more details, including any requests for Frank the ‘Cock-a-tail’ mugs.

Pints mean points

Molly Nicholas explores the rise of loyalty programs in pubs, and the evolution it represents in the way operators engage with patrons.

AS CONSUMER expectations evolve, patrons are seeking personalised experiences and tangible rewards for their patronage, and the pub industry is seeing a significant shift towards loyalty programs and apps.

Driven by value-conscious customers and modern technological solutions, loyalty systems are being adopted as a way of offering meaningful incentives, and for pub operators, the benefits extend beyond customer engagement, with the ability to capture first-party data, track sales trends, enhance operational efficiencies and much more.

In August, Endeavour Group announced the launch of its loyalty platform for pub-goers, pub+, reaching more than 350 ALH Hotels nationally and rewarding guests for visits using a points-based system redeemable for discounts in-venue.

Unlocking greater rewards and enhanced experiences, Endeavour Group managing director and CEO Steve Donohue expects pub+ to drive repeat visits and ensure ALH Hotels venues remain a destination of choice.

“In a tough macroeconomic environment, rewarding loyal customers and guests is the name of the game. Australians are looking for value and they want to be recognised for their commitment to our brands and pubs,” he stated.

Unlocking customer loyalty

By leveraging loyalty programs, pubs can create a sense of value and recognition for frequent visitors, and Melbourne-based hospitality group Francis Venues is one of many to get on board the trend. Launching in December last year, digital loyalty program Frisbie Rewards replaces physical members cards and allows better customer engagement.

Almost a year in, David Henshall, chief operations officer at Francis Venues, is pleased with the progress, noting customers especially enjoy watching their points and savings rise in the app.

“We’re excited by what we’re seeing so far, there’s been an incredible uptake on app downloads and member sign ups, and some fantastic feedback

from both staff and customers that it’s not only aesthetically pleasing but there’s ease of functionality for all ages, which is really important to us,” he stated.

Since 2020, the Applejack Loyalty App has enhanced Applejack Hospitality’s customer engagement and created synergy between venues, allowing customers to earn and redeem rewards at any location, with pub usage leading the charge.

Alexandra Barron, group marketing manager, praises the flexibility of the app and its crossvenue promotion capabilities, saying users are encouraged to seamlessly explore the group’s mixture of venue formats, which includes the Taphouse and Forrester’s pubs in Sydney.

“Through targeted push notifications, we keep our entire user base informed about various promotions and events, from pub trivia nights to bar happy hours, ensuring a dynamic and engaging experience across all Applejack venues,” she explained.

While loyalty programs can provide a direct line of communication to customers, they also capture valuable first-party marketing data. For Applejack, data that identifies purchasing

habits is integrated into CRM systems, allowing for personalised promotions.

“This data enables us to implement targeted marketing strategies, effectively converting users into loyal patrons,” added Barron.

“By analysing purchase patterns, such as frequent beer buyers or happy hour frequenters, we can tailor promotions to individual preferences, sending personalised notifications about relevant offers and specials. This data-driven approach allows us to enhance customer engagement and maximise the effectiveness of our marketing efforts.”

For ALH Hotels, pub+ is capturing equally valuable data, taking its expertise from Endeavour Group’s successful MyDan’s program, which now has 5.4 million active members and a scan rate above 80 per cent.

Since the launch of pub+, data shows that ALH customers complete between two and three transactions during their pub visits, and the group hopes to drive an increase through member-exclusive deals across multiple transactions.

“Our extensive experience with MyDan’s shows that loyalty leads to more visits and

Recently we successfully ran a food promotion across all venues and were able to see the sales of members versus non-members; this really helps us as a company quantify the effectiveness of the promotion, examine how members react to price drive promotions, and insight into what strategies we need to focus on next time.

The Applejack Loyalty app performs particularly well in the group’s two pub venues

higher average spends, and that’s our goal with pub+. We want to drive greater engagement with our guests while delivering a regular value-formoney experience,” says Donohue.

Streamlining your services

While these features create an attractive proposition for customers, they can also be utilised to the operators’ advantage. Real-time offers and dynamic pricing can be used to drive traffic during slower periods, strategically boost sales and clear inventory, while integration with other systems can streamline operations.

According to Barron, promotional pricing is most effective when used in alignment with calendar events and marketing campaigns, one example being the annual SoCal Taco & Tequila Fiesta which incentivises app downloads by pushing exclusive Margarita deals to users.

“This strategic approach allows us to effectively move stock, boost engagement, and provide tailored offers that resonate with our customers’ preferences and current events,” she explained. Additionally, data gathered from loyalty systems can be used to evaluate the success of such promotions with tangible data.

Henshall explained: “Recently we successfully ran a food promotion across all venues and were able to see the sales of members versus nonmembers; this really helps us as a company quantify the effectiveness of the promotion, examine how members react to price drive promotions, and insight into what strategies we need to focus on next time.”

Another important component of Francis Venues’ Frisbie Rewards app is its ability to connect to other third-party applications. Based on the Bepoz MyPlace app, Henshall says Frisbie Rewards is already integrated with the group’s other operating systems.

“We rolled out YourOrder online ordering at the same time, which is the Bepoz online ordering system, meaning customers can use their points at the table while ordering from the QR, they don’t have to join the queue at the counter to use them like in the past. Obee, our booking platform, is also set up on the app, allowing customers to book easily from the palm of their hand.”

ALH Hotels has integrated its customer facing platforms and backend systems to support pub+,

In a tough macroeconomic environment, rewarding loyal customers and guests is the name of the game. Australians are looking for value and they want to be recognised for their commitment to our brands and pubs.

Endeavour Group
CEO Steve Donohue

and Applejack Hospitality is also enjoying a streamlined operating system.

“The Applejack App has seen amazing results, particularly in our pubs where the order-to-table feature seamlessly integrates with the app experience, allowing easier customer engagement and downloads,” added Barron.

Ensuring a seamless transition

As with most technology, adopting new platforms isn’t without its hiccups, but a staged rollout has been the key to success for Francis Venues.

Frisbie Rewards first reached the Dingley Hotel in December 2023 as a test site, hitting the ground running with a launch party to engage customers. The staggered rollout that followed allowed the group to tweak the app and its capabilities before onboarding remaining venues.

According to Henshall, staff buy-in was crucial to a seamless transition to digital, with employees encouraged to trial the app themselves and experience it just as customers would.

“February 2024 was a big month for us, we rolled out seven other venues with all the same bells and whistles, ensuring staff knew how to sign customers up, what the functionalities were, how to troubleshoot and who to contact if they had any issues. This approach ensured that the first-time customer sign up experience was an enjoyable one, as any questions could be answered straight away and guidance was readily available,” he explained.

Similarly, Applejack Hospitality has implemented a strong support system for the Applejack Loyalty App to ensure a positive user experience across all venues.

Barron says: “Detailed training guidelines are integrated into our venue teams operations, with manager inductions and staff training. A dedicated app support team addresses customer issues promptly, complemented by our marketing team’s readiness to assist.”

Looking to the future of the industry, Henshall sees Frisbie Rewards being a crucial element of the group’s operations as it acquires more hotels.

“We’re still in the first year of the app, we’re learning what customers do and don’t want, how many push notifications work and what deals will keep customers coming back for more. It’s an exciting project for Francis Venues and we look forward to delivering an industry best experience for our customers and excited to see what’s next in this space.”

As pubs embrace technology to enhance the customer experience, loyalty programs and personalisation apps are essential tools for staying competitive in an evolving market. Not only do these systems meet modern consumer demands for value and personalisation, they foster long-term customer relationships, optimise operations and drive repeat business.

Enhancing operational objectives

Loyalty systems are an essential tool for publicans looking to stay ahead of the curve with their digital capabilities and value offer, but there are many other ways they can be used to achieve operational objectives, Donohue outlines.

“We see pub+ as an important part of our evolving approach to safer gambling, enabled through technology and a focus on player interaction. The app features voluntary pre-commitment where players can set time and spend limits and we will continue to explore additional harm minimisation features,” he stated.

In the last year Francis Venues has transitioned from a membership card to a digital loyalty app

Meet the new Zeller Terminal 2

Australian owned and operated fintech company, Zeller, has launched its new all-in-one EFTPOS and point-of-sale solution, Zeller Terminal 2.

ZELLER IS bringing a new all-in-one EFTPOS and point-of-sale (POS) solution to Australian hospitality businesses with the launch of Zeller Terminal 2, designed and engineered in Melbourne. It is suited to hospitality businesses of any size, and across all verticals, including pubs, bars, cafes, and restaurants.

With hospitality business owners needing to make changes to adapt to the tough economic environment, many are looking for affordable, flexible POS solutions. Zeller’s new all-in-one solution removes the need for multiple providers, which can be time-consuming and costly to manage. For businesses already using an existing point-of-sale system, Zeller Terminal 2 also integrates with over 600 third-party POS systems including Impos, Redcat, ZiiPOS, Abacus, Whoods, Simphony, and Triniteq.

Ben Pfisterer, CEO and co-founder of Zeller said that the company is committed to providing affordable POS solutions for the Australian hospitality industry.

“Zeller is proud to be a global leader in redefining the next generation in payments and point-of-sale, from right here in Australia. Zeller Terminal 2 is the most advanced, affordable, all-in-one

payments and POS solution anywhere in the world. While other banks and providers are raising their fees, Zeller is dedicated to delivering premium products at affordable prices. We’re helping Australian business owners to streamline their operations, deliver a better customer experience, and ultimately survive and thrive,” he said.

With a new sleek profile and three colour options of white, black, and graphite grey, Zeller Terminal 2 can be customised to suit a venue’s aesthetic. Additionally, the new ergonomic design is equally suited to handheld or countertop use.

The most notable feature of Zeller Terminal 2 is its built-in cloud point-ofsale software, Zeller POS Lite. Designed for micro, small, and mobile businesses, this free, easy-to-use POS solution records sales and manages customer checkout, removing the need for complex POS hardware and software.

Zeller POS Lite allows the user to add, edit, and manage items via Zeller Dashboard or directly on Zeller Terminal 2. Item listings can include added information such as images, descriptions, and modifiers. Any product changes are made in real time and synced across all platforms. Zeller POS Lite also includes detailed sales reports,

highlighting sales patterns, popular items, and revenue streams.

Transitioning to Zeller POS Lite is simple, as items can be imported from a previous POS system, and copied to a new device if a business expands to multiple sites. Best of all, it comes automatically installed on Zeller Terminal 2, with no monthly software fees or additional charges.

In addition, customers can dispense with paper receipts, with Zeller Terminal 2 offering the convenient and sustainable alternatives of sending receipts via email or SMS, or via a QR code which appears on-screen after payment.

The launch of Zeller Terminal 2 is the next step in the company’s impressive growth trajectory.

“Designed and engineered by our team here in Melbourne, the launch of Zeller Terminal 2 marks another significant milestone for Zeller. In just over three years, we’ve delivered more financial services, payments, and POS innovation into a single platform, and are excited to introduce next-generation solutions to support our customers across Australia and see a positive impact on their businesses,” Pfisterer said.

The new Zeller EFTPOS Terminal is available exclusively at myzeller.com.

Collective learning

The 2024 Pub Leaders Summit brought together publicans from across the country to learn and grow from each other’s experiences.

THE 2024 Pub Leaders Summit, brought to you by McCain Foods and Australian Hotelier was an exemplary event which ran 9-10 September in Sydney. It kicked off on Monday with a Study Tour, where 45 publicans got to tour three venues across Sydney: the award-winning Log Cabin, Penrith by Laundy Hotels; the under-construction Oran Park Hotel by Momento Hospitality; and Flight Club Sydney by NightOwl Entertainment, where the group ended an eye-opening day with a round of darts, canapes and drinks.

On Tuesday, 250 publicans and industry stakeholders gathered at the Waterview in Bicentennial Park for the Pub Leaders Summit conference and showcase. The day featured a packed program of panels and presentations on pressing topics like cybersecurity, modern marketing strategies and leadership. Esteemed pub operators and stakeholders participated in the day, including AHA National CEO Stephen Fergusion, ALH Hotels MD Paul Walton; Kickon Group founder Craig Shearer; AVC Chief Development and Training Officer Bianca Dawson; Solotel COO Ben Stephens; and Laundy Hotels group executive chef Jamie Gannon.

The day was punctuated with a fun round of trivia by Entain Venues, jokes by emcee Nick Bartlett, and the announcement of the first Australian Hotelier Future Leaders Scholarship winners. The day was capped off with Networking Drinks by platinum sponsor Coca-Cola Europacific Partners.

The day was full of valuable insights for the attendees, as stated by Ben Stephens, COO of Solotel.

“It was really valuable for our team who attended to be able to get out of their venues and think a bit bigger picture!”

Brian Fitzgibbons, managing director of The Glen Hotel in Brisbane, likened the Pub Leaders Summit to an annual check-up – a good gauge as to how business is faring, and how his venue compares to other experiences within the sector.

“It’s about taking the time to sit and listen to expert panelists, and to reflect on your own operations and where you can do better, and to give yourself a pat on the back. In some areas, you’re excelling, and others, you’ve got to pull your socks up a little, and I think that’s the wonderful thing about it. For me, it’s an annual tune up that I like to have, I put my car in more than that.

Reflecting on the day’s program, Fitzgibbons added: “Today [I learnt from] a combination of all the speakers. I think we learned a lot, and also we like to know that we’re up to date. It’s a checklist and it’s a benchmarking opportunity for us. I wouldn’t single anybody out, but I think the last couple of panels were very, very good, speaking to the CEOs of different companies. It was great to see how they think, and inspiring.”

It was an exemplary event, with insights and inspiration shared with 250 publicans from across Australia over the two days. We hope to see you in 2025!

Play it back!

Check out the video highlights from the 2024 Pub Leaders Summit by scanning the QR code.

Lessons learnt

Here are some of the key takeaways from the 2024 Pub Leaders Summit.

THE TOPICS at the 2024 Pub Leaders Summit were as diverse as pub operations across the country. We heard from publicans running massive national groups, to single-venue regional owners, so the full gamut of experience was covered. Here’s a rundown of some of the insights that were shared.

The economic environment

With tough macroeconomic conditions impacting consumer spend, the Summit kicked off with a keynote address from MST Marquee senior analyst Craig Woolford (ex-Citi), brought to the Summit by platinum sponsor Coca-Cola Europacific Partners. Woolford painted an optimistic picture, suggesting that the worst of the economic downturn has now passed and we will see recovery in 2025 and beyond. He suggested that the challenge in the year ahead will be shifting away from sales volume weakness towards trading down and weaker price realisation, but that successful businesses are embracing value propositions.

Ben McDonald of JLL Hotels & Hospitality Group explained how the current economic and regulatory landscapes had seen both operators and financial institutions shift favour to venue assets that had a better spread of revenue streams – not just weighted on gaming, but a mix of F&B, accommodation and retail outlets as well.

Operators Stephen Hunt of Hunt Hospitality, and James Thorpe of Odd Culture Group both explained how they have explored new business models of late, with Hunt adding a mix of accommodation and bottleshops into the group’s assets, while Odd Culture Group has had recent success moving into the e-commerce space for liquor retail.

Marketing

In one of the highlight sessions of the day, marketing experts discussed some of the most effective strategies that are currently working for them. The first big picture idea was to stop viewing marketing as a transactional exercise, and one of relational with your customers –that community-building is more effective than a direct sales push, which can be offputting.

Another big insight was the prevalence and power of TikTok among Gen Z (and millennials), who now use TikTok as a search engine more often than they use Google. Stanley House Studios director George Redmond, suggested it wasn’t as intimidating as it seems, with lo-fi user generated content being what gets the most engagement. The panel suggested that

giving younger employees agency to create this content was most effective, as they understand the trends and the audience.

Facebook still remains important as it drives more click-throughs, reaches an older audience and has good organic reach through group pages.

Cybersecurity

The state of cybercrime in Australia is alarming. There were 100,00 reports in FY23, representing a 30 per cent increase year-on-year. Small businesses are particularly vulnerable, with an average loss of $39,000 per compromise. Alex Hoffmann from CyberCX explained that the key risks include email compromise, ransomware, supplier impact (ie. a supplier with your business’ details is impacted), fraud and insider threats. Practical measures to mitigate risks include vetting supplier changes, keeping systems updated, implementing access controls and ensuring backups are stored off-site.

Should your venue fall victim to some form of cybercrime, Lauren Clancy from Porter Novelli suggested that it was important to respond to queries rapidly and transparently – even if only to say that you’re currently investigating the issue. Effectively, your patrons would expect the same level of customer service after a hack, that they would expect enjoying a night out in your venues.

F&B

Commissioned research from McCain Foods found that 64 per cent of diners say expectations of hospitality venues have gone up. They’re looking for value-driven offers, personalisation, and more experiential offers. There’s a huge focus on quality food and holistic and dining experiences, such as chef’s tables, and produceled dinners. Customer experience is key, and getting buy-in and knowledge from your front-of-house staff is as important as the output from the kitchen. Speaking of the kitchen, the elevation of pub restaurants is expected to be the next big thing, with well-known or fine-dining chefs moving into the pub world.

In drinks, cocktails are massive in pubs! Whether its cocktail trees, on tap, or quick-service cocktails, Aussies can’t get enough of them in the pub at the moment – so much so that they are eating into the market share of other categories. That’s not to say that beer and wine are done, but a different ratio of category representation is required for many pub outfits.

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The future is bright

From a talented pool of finalists, two young publicans were names the winners of the inaugural Australian Hotelier Future Leaders Scholarship.

AUSTRALIAN HOTELIER launched its inaugural Future Leaders Scholarship in June, in partnership with Allara Learning and Carlton and United Breweries. The scholarship was launched with the aim to help foster the careers of people working in pubs at the AVM level, in specialised roles or in junior group roles.

The finalists were invited to attend the Pub Leaders Summit conference, where they were celebrated throughout the day, before a ceremony at the end of the conference brought all the finalists on stage where they were cheered on by the 250 publicans and industry stakeholders in the room.

The finalists came from all over Australia – from Adelaide to regional New South Wales to Queensland’s Sunshine Coast. While the majority of finalists are assistant venue managers, others were in specialised roles like events or beverage quality manager.

“We are so thrilled to have launched the Australian Hotelier Future Leaders

Scholarship this year, and we’re pleased to do our part in putting a spotlight on new talent in the industry, and assisting them to develop new skills that will progress their careers within pubs,”

stated Australian Hotelier managing editor Vanessa Cavasinni.

The winners

While the intention was to only announce one winner, the high quality of applications overall made it very difficult for the judging panel to pick one winner and decided instead to announce two winners: Courtney Bull, functions and events manager at Settlers Inn, Port Macquarie; and Aydan Marshall, assistant venue manager at The Pub Tamworth.

“I am feeling very honoured and grateful to have won the Future Leaders Scholarship. Winning this award at the Pub Leaders Summit was an incredible experience, and it has truly inspired me to continue striving for success in the pub industry. This scholarship is an amazing

opportunity for my career and will assist my growth and development immensely,” stated Bull.

“My leaders and team within Settlers Inn Hotel and the Flower Hotels group have shown continuous support and belief in me throughout my career, instilling knowledge and confidence in everything I do. Special mention to my mentor Zoe Archer, general manager of Settlers Inn for always leading by example and Alistair Flower, managing director of Flower Hotels for encouraging me to apply for the scholarship. I am excited to see where this takes me and the impact this will have on my career.”

Marshall was also thankful for the Scholarship win.

“Winning this scholarship is an incredible honour, and I’m genuinely thrilled. It’s a recognition of my hard work and dedication, and it motivates me even more to excel in my field. I believe this award will have a significant impact on my career by opening new doors and providing opportunities for growth and development.

(L-R) James Richards, Allara Learning; winner Aydan Marshall; winner Courtney Bull; Peter Yeomans, Carlton and United Breweries; and Vanessa Cavasinni, Australian Hotelier

“I’m immensely grateful for the support I’ve received from my team at The Pub Group, especially Tierzah Douglas and Craig Power, Drew Holgate and everyone behind the scenes that was cheering me on. Their encouragement and belief in my potential have been instrumental in my journey. This recognition is not just a personal achievement but also a reflection of the collaborative spirit and commitment to excellence that defines our team. Thank you to everyone who has supported me along the way!” Marshall concluded.

The prizes

The two winners will each receive an Allara Learning leadership program valued at up to $5000, while the finalists will receive heavily subsidised leadership training opportunities through Allara.

“We were absolutely blown away by the exceptional quality of the candidates, who embodied the passion and potential that fuels the hospitality industry. Their recognition of the wealth of career path opportunities and deep personal connections forged in this field, underscored why pub leadership is a truly viable and rewarding long-term career choice,” stated Andrew Lewis, CEO of Allara Learning.

“The winners’ passion and dedication to the industry shone

through, leaving us truly inspired and filled with optimism for the future of hospitality. Being part of this scholarship is a testament to that bright future, and we are honoured to play a role in educating and nurturing the leaders who will shape it.”

Further adding to the prize pool, all of the finalists were invited to attend a tour of the 4 Pines Brewery in Brookvale the day before the Summit courtesy of Carlton and United Beverages. The tour also included a drinks trends presentation and lunch, where they could all network.

“The brewery tour was brilliant, I loved every second of it,” stated finalist Jonathan Peirson, group beverage quality manager for Maeva Hospitality.

Peter Yeomans, general manager sales NSW/ACT for Carlton and United Breweries, shared his support for Scholarship.

“Carlton and United Breweries was thrilled to support the Future Leaders Scholarship program. Pubs are an integral partner of ours, and assisting in developing a new crop of publicans is a worthwhile cause in ensuring that the industry continues to flourish. This year’s finalists and winners are all outstanding talents, and we were proud to host them at the 4 Pines Brewery for a one-of-a-kind experience. We have no doubt that this group of young publicans will go on to have thriving careers within pubs.”

Celebrating talent

Australian Hotelier congratulates all of the finalists and the two winners of the 2024 Future Leaders Scholarship. You can view the full list of finalists below:

Angie Bishop, Assistant Manager, Brighton Hotel Motel

Courtney Bull, Functions and Events Manager, Settlers Inn, Port Macquarie WINNER

Declan Hewton, Assistant Manager, The Highway Hotel, Plympton

John Holz, Assistant Manager, Oriental Hotel Tumut

Valencia Lama, Assistant Venue Manager, The Log Cabin

Aydan Marshall, Assistant Venue Manager, The Pub Tamworth WINNER

Madeline McDonald, Venue Manager, Grafton Village Green

Michael Montgomery, Assistant Manager, Tacking Point Tavern

Jonathan Peirson, Beverage Quality Manager, Maeva Hospitality

Anita Sattler, Restaurant Manager, Saint & Rogue

Rhiannon Smith, Assistant Venue Manager, Studley Park Boathouse

Camellia Stenning, Duty Manager, Terrigal Hotel

And they’re off!

With excitement building for some of the year’s most anticipated sporting events, Caoimhe Hanrahan-Lawrence looks into ways that operators can optimise their spring racing offering.

FROM THE much-anticipated Melbourne Cup to local race days, the Spring Carnival is a time for guests to meet with friends, back their chosen horses, and celebrate the races at their favourite pub. By enhancing the in-venue atmosphere, building excitement for the whole racing season, and optimising the offering on big race days, venues can create a profitable and enjoyable racing season this spring.

A key part of drawing in guests to a venue is creating a welcoming and enthusiastic atmosphere during, and in the lead up to, the spring racing season.

Tabcorp COO, Paul Carew, said that spring is a particular exciting time for sports fans.

“Spring is the best time in racing and sport, with footy finals and US Sport on as well. There’s never been more on offer as far as live vision goes, and TAB is helping boost and enhance that in our pubs and clubs every day,” he said.

This excitement can be heightened by

advertising about the Spring Carnival early on in the season, according to Kathleen O’Hara, marketing manager at O’Hara Group.

“We have state-of-the-art TVs, which people like viewing the races on, and we have betting with TAB all set up. Even though we have all that, I think people mostly enjoy the experience and the atmosphere. That means advertising early on. On our TVs, we use Sportsfy TV, which advertises any upcoming races, and we share that on our social media as well.”

The starting line

While Melbourne Cup is the race that stops the nation, the spring racing season runs for much longer, with many opportunities for pubs to draw guests wanting to enjoy the races.

“Cup Day is undeniably massive. The Melbourne Cup alone generates fifteen times more in turnover than the AFL Grand Final. But Spring Carnival is so much more than one day. Both the

Melbourne and Sydney Spring Racing Carnivals are absolutely packed with incredible Group One and feature races. Legends have been made during the Spring Carnival. This season is the opportunity for up-and-comers to stake their claim,” Carew said.

With the weather warming up, operations manager at Nikakis Hospitality, Paige Griffin, sees spring racing as a prime opportunity to draw in greater crowds.

“Spring Carnival is a huge part of the year for venues. There’s good weather, so we have organic growth from that, and it’s a great time where people come together. For us at the Rosstown, we have a great partnership with TAB that does a lot of work behind the scenes. We have experienced TAB operators, making sure people are able to understand what’s going on during the racing period,” Griffin said.

To draw guests in throughout the Spring Carnival, O’Hara Group holds Super Saturdays, offering drinks deals

and finger food in the sports bar on race day afternoons.

In addition, O’Hara Group has partnered with Tabcorp to further enhance its spring racing offering, with competitions such as TAB Tip ‘Em, which customers can sign up to for free, competing for prizes such as food and beverage vouchers. Additionally, O’Hara venues have hosted events with renowned racing commentator Dave Stanley, with a Punter’s Day planned for 26 October at the Warilla Hotel.

“We have held a few Dave Stanley events at other O’Hara venues, including the Berkeley Hotel and the Ophir in Orange. The cheer of the crowd when they back a winner is the best sound you can hear in a sports bar,” O’Hara said.

Pubs located near a racecourse may also benefit from providing entertainment before or after the race, with racegoers looking to meet with friends or continue to celebrate the day.

“The Camellia Hotel is right opposite the racetrack at Rosehill, so we have a lot of people visit there the night before. A lot of people stay in Parramatta or Rosehill, and a lot of horse trainers or owners come down the night before and make a weekend of it,” O’Hara said.

“We get people in the pub the night before, and then sometimes the morning before the races, or coming back after the

A better view

Tabcorp’s Paul Carew shared his simple tips for optimising guest’s viewing and betting experience on race day.

“Start by ensuring your screens showcase the best local and international racing coverage – SKY 1 and 2 are essential. Next, log on to MyTAB, our daily operations portal, where you’ll find everything you need for the Spring Racing season. From wall sheets to exclusive offers and promotions, it’s all available there,” he said.

“MyTAB is also your go-to for keeping up with TAB’s latest digital enhancements, ensuring you’re fully equipped to meet all your customers’ needs this Spring.”

Spring racing draws in the crowds at Rosstown Hotel
Dan O’Hara (Director, O’Hara Group) and commentator Dave Stanley at the Camellia Hotel

races. Race days are the big days at the pub, and we also put on live music or a DJ for everyone coming back in the afternoon.”

Hats, hooves and heroes

Melbourne Cup often brings a different clientele to the rest of the spring racing season.

“On Melbourne Cup day, we put on lunches at different venues, and we also do prizes for Best Dressed, like Fashions on the Field. We have the TAB facilities, and the TV is playing all day to create a different kind of atmosphere. We get a lot of ladies visiting, because the Melbourne Cup is just a fun day, whereas on a Sunday afternoon, probably the majority of punters are men,” O’Hara said.

To cater to this different market, a diverse food and beverage offering is often called for, as at the Rosstown Hotel.

“It’s a celebratory time of year when

people come together, and food and drink is definitely a huge part of that. We have an expansive menu, and we do normally theme it up, with more entrees, mains and desserts to make sure there’s something for everybody. The champagne is definitely flowing, and there’s plenty of cold beers as well,” Griffin said.

Additionally, Melbourne Cup can draw in patrons new to betting, who may need some assistance to operate the terminals.

“We see first time punters that want to come in and put their bet on a horse, whether it’s the favourite colours, favourite number, or a birthday. We do open the TAB early on that day, and we make sure we have lots of staff rostered on to keep the flow moving through the terminals. We like to put on a couple of people to help people through it and explain how to put their bets on their

winners. It might be the one day of the year that people have a flutter on a horse,” Griffin said.

However, it is still important to cater for the regular patrons wanting to view the race.

“Our sports bars are still busy as well, but those are people that want to come in bet and watch the races and not dress up or sit down for the whole lunch. They might be in and out, or they might just watch the races in the sports bar. It’s about targeting different markets, but still getting excited for spring racing,” O’Hara said.

With events like the Melbourne Cup drawing in seasoned punters and firsttime race viewers alike, the spring racing season presents a vibrant opportunity for pub operators. Focusing on atmosphere, entertainment and service can set a venue up for an unforgettable guest experience this Spring Carnival.

State of the art viewing facilities and enthusiastic staff help build excitement at the Berkley Hotel
Super Saturdays activations

Mastering the masterplan

The Gateway in Mildura has been undergoing a transformation over several years, starting off with the beloved outdoor dining space, Verde.

IN 2017, the owners and executive team behind The Gateway in Mildura decided that the venue needed an overhaul. The pub had been in operation for over 30 years without any major renovations in its lifespan. Looking to capitalise on one of the most prominent corners in the centre of the city, the team underwent a review of the hotel and what was needed in the hospitality scene in Mildura.

“The opportunity was there for us to look at what the provisions were within the hotel structure itself. We looked at the hotel, and we identified that there was a missing piece in the market, which was an upmarket outdoor dining and drinking facility,” stated CEO Gordon McIlwaine.

They took their idea to BSPN, and then went through a masterplanning exercise that saw the

outdoor facility as just the first – and largest – step in a multi-stage, long-term overhaul of the venue.

GOING GREEN

With construction undertaken during covid, The Gateway opened its outdoor dining space, Verde, in July 2022. The new outdoor dining and drinking facility was an expansion of the hotel, taking over the driveway that wrapped around one side of the venue that led to the venue, plus the old bottle shop space as well. The retail outlet has since been moved to the back of the pub.

What was constructed is an upscale covered deck space that seats 350-400 people, with its own bar and café space, and its own dining menu that differs from the indoor bistro. The area is filled with timber framing, lots of greenery (Verde means green in

Divisible sections mean Verde doesn’t feel like a big barn-like space
Verde was the first stage of The Gateway’s masterplan
Robust materials allow the space to withstand Mildura’s dusty climate

Italian and Spanish) and Cor-ten steel that purposely rusts over time for a natural earthy tone. It also has a louvred roof, to ensure that it can operate as an all-weather space.

Even though it’s a large space, it was important that it never felt cavernous, and that it appealed to different demographics and occasions.

“It’s a very big area, it’s got a huge floor space, but we wanted it to somewhat appeal through segmentation. So we developed the columns and the look of it so that people didn’t feel they were sitting in a barn. So it’s quite interesting. We can have grandchildren and grandparents within some sections, and we’ve got the high-vis guys along the outside of it, and it’s all terribly compatible,” explained McIlwaine.

“All of the different age groups and demographics are comfortable within the environment. That is Verde.”

BSPN director Mike Chandler agreed, stating that the importance of flow and smaller spaces was essential in making sure that even though Verde is very open, that it never felt cavernous.

“That’s one thing we’re really keen on, is not creating a barnlike environment but being able to separate areas into small little divisible spaces, where if you’re the first person into the lunchtime trade, you don’t feel like you’re sat in the middle of an empty airport lounge, but you’re able to find a bit of comfort. But then, as it fills up with other people, that space is able to accommodate the larger groups as well.”

While Verde is a component of Gateway offer, it has been designed in a way that whether you interact with the rest of the venue or not is up to you.

“People can come and go from Verde, and they don’t have to interact with other areas of Gateway if they don’t wish to. It’s interesting though, because a lot of people, when we first opened,

thought that it was an that was franchised off or was under different management. But no, it’s all part of The Gateway,” stated McIlwaine.

Since opening, Verde has attracted new demographics that previously had not frequented The Gateway.

“It’s awfully female friendly. You know, this used to be a typical country pub. And certainly it attracts a lot of people visiting Mildura, so that’s the holidaymaker and the corporates that fly in and out of town. It’s really it’s opened up a whole range of increased market share through visitation, which is absolutely fantastic.”

WEATHER PROOF

A big consideration when designing Verde was Mildura’s geographical climate. Located in Victoria’s north-west on the banks of the Murray River, Mildura is the last oasis on the edge of the Great Victorian and Gibson Deserts. Its specific and extreme climate makes a comfortable outdoor space a challenge, one that BSPN took on.

“Mildura has got a very dry, dusty atmosphere, and it was really important for Gordon and us to work together to understand how an alfresco area works with 40-plus degree days most of the year round, and very dry heat, but also a very dusty environment,” explained BSPN director Mike Chandler.

It doesn’t sound like a particularly inviting location for an outdoor dining space, yet Verde has proven very popular in the last 18 months. So how has the design allowed the space to work well in the hot, arid climate?

“The first part of that is the orientation, making sure we’re screening for the prevailing winds, but also shielding from the sun. We went through a couple of iterations of what we put as roofing over the top of the South-western area. We initially thought we’d

Bathroom quality

They’re often forgotten about, but Gordon McIlwaine makes the case that a high-quality bathroom is very important to ensure that people place your venue in high regard. As part of the Verde build, high-quality bathrooms were created that have proven so popular, they are being replicated throughout all other areas of the venue.

“You are judged by your bathrooms. If a bathroom in a isn’t clean, then it sets the standard for the what people think of the rest of the place. We’ve had long-haul truck drivers who’ve sought us out to say, ‘Hey, your bathrooms are marvelous’. They’re outstanding. So if you work from the premise that your bathrooms need to set the standard for the whole venue, we’ve done that.”

do it quite open with translucent polycarbonate, but we soon realised that it’s so bright and light up in Mildura for most of the year. So we don’t need that extra daylight, we can actually get enough through the holes. So we put out a more solid, opaque roof over the top, which then allows that shading.

The other main consideration was to use robust materials that can be hosed out, and to use earthy tones as well. With greenery being a big part of the venue’s décor, much attention was also paid to exactly what plants were used throughout the space. With Mildura being the centre of the Sunraysia horticultural region, many locals know quite a bit about native vegetation, and so getting that right was absolutely essential.

PULLING IT OFF IN STAGES

The creation of Verde was just the first step In The Gateway’s masterplan. As soon as that was completed, works began on the Club Bar, The Gateway’s sports bar, which opened at the end of 2022. After tweaking both those offers and getting them to trade really well, the next stage is about to start, with an overhaul of the gaming room, followed by some minor updates to the family bistro.

It’s a big undertaking over the last few years that has seen The Gateway completely transform, ensuring that each component of The Gateway operates as its own profit centre.

“The owners of the hotel have allowed me the latitude to be able to go ahead and develop these things, and I’m thankful for that. You know, the trust that’s been placed in me is monumental, so that’s very much appreciated,” stated McIlwaine.

While long-term masterplans are quite common when it comes to large clubs, they’re less of an

occurrence when it comes to pub renovation, where general thinking is to do a refurb every 7-10 years to refresh the venue. But Chandler argues a masterplan is a better way to futureproof your business.

“This is something that we like to talk about with new clients when we get briefed on a particular idea. Let’s just step back a bit and understand your business a little bit better, because if you haven’t got a strategic plan in place, what does that future look like, and how can we then best future proof their building? There’s nothing worse than when you complete a development and then a few years later you see it being knocked down, because future planning wasn’t taken into consideration.”

It’s a misconception that masterplanning only works for the largest venues too. If you have multiple offers, then it doesn’t matter how small your venue is. In fact, masterplanning helps to ensure that you have the budget for a big overhaul, as all the works are staged.

“If it’s still a multi-offer venue where they’ve got appetite to do things that they don’t necessarily have the budget to do everything all at once, that’s where the masterplan can come in. So let’s take this in bite-sizes chunks. Let’s do a smaller development. Let’s get the value back in again, which can then pay for the next stage of the development, rather than trying to bite off the whole thing at once.”

It’s a strategy that’s worked very well for The Gateway, which has seen a massive influx of new demographics to the venue, while still retaining its original patrons.

YOUR STRATEGIC PARTNER IN HOSPITALITY ARCHITECTURE, INTERIOR DESIGN

Changing on- and off-prem dynamics

Tom Graham from NIQ dissects how various age groups are interacting with the on- and off-prem, and how publicans can adapt to these new behaviours.

OVER RECENT years, the liquor industry in Australia has faced significant challenges. From the impacts of the pandemic to rising cost-of-living pressures and shifting consumer habits around moderation and sustainability, pubs and bars have seen big changes in consumer behaviour. For pub owners and operators, understanding these trends and how to navigate them is essential.

One of the biggest changes has been the decline in on-premise (in-pub/bar/restaurant) visits following a post-pandemic revenge spending period. Rising living costs have led consumers to spend more time at home, cutting down on how often they go out. According to CGA’s Pulse+ report, on-premise consumer penetration (proportion of visitors in a month period) dropped by two percentage points in July compared to the previous year, and 39 per cent of people say they are going out less. This has particularly impacted sales of spirits in the on premise, which saw a -7.7 per cent drop in total volume, compared to a small 1.4 per cent growth in beer sales over the last 52 weeks.

Demographic breakdown

The challenge for pub owners is clear: fewer people are coming through the doors, and those who do may be more priceconscious, particularly when it comes to spirits. However, all is not lost. Some consumers, especially younger ones (18-34), are still prioritising on-premise occasions. They tend to go out for experiential reasons like celebrations, live sports, or music events. These experience-driven events have increased in share, rising from 33% to 38% of all occasions (driven by those under 35). Pubs and bars that can cater to these types of experiences may have an edge in keeping these customers.

For older demographics, though, the picture is different. People aged 35-54, who are more likely dealing with mortgages and family responsibilities, are cutting back the most on their visit frequency (48 per cent visiting less often than usual). Meanwhile, the 55+ group, already ambivalent to on premise visits, are showing the strongest growth in off-premise liquor sales, spending more on drinking at home.

This shift to at-home drinking presents both challenges and opportunities. While among the whole liquor shopper universe, total unit sales in liquor stores have been stable, value has grown (driven by price rises). Reading between the lines, we know shoppers are buying more frequently but in smaller pack sizes, indicating a move towards occasion-based purchasing. Beer has benefitted the most from this shift, seeing significant growth in value due to both shoppers entering the beer category and existing category buyers buying more.

For pub owners and managers, these trends offer some direction. To attract younger customers, it’s essential to focus on offering unique, experience-driven occasions. Events, live sports, and a strong atmosphere may draw these groups in, even when budgets are tight. At the same time, understanding that older consumers may be more inclined to stay home could shape promotions or loyalty programs aimed at enticing them back into venues.

As the market continues to evolve, having access to comprehensive data, like NIQ’s Full View of Liquor, can help businesses stay ahead of these shifts. With the ability to measure both on- and off-premise behaviours, pub owners can better understand their customers and adapt to changing trends.

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