I am Doner introduces ‘micro-bonuses’, sees increased productivity and 90% drop in customer complaints
We would pay a weekly bonus to all employees of 5% more per hour for every hour worked if they hit the realistic sales target for the site – and 5% if we have no controllable complaints, with both being directly linked back to overcoming our significant challenges. The result being that, in addition to their already enhanced pay package, the teams can earn 10% more directly linked to the performance of their store. The results have been fantastic, productivity is up, we’ve had far less turnover [of staff members], even with the current pressures of the market, and complaints dropped by more than 90%.”
Delivery and takeaway sales in June tripled compared with pre-pandemic levels, showing they remain a core part of managed restaurant and pub groups’ sales despite the return of eating out, CGA’s latest Hospitality at Home Tracker revealed.
It showed sales in June were 225% higher than in June 2019 – a drop on growth figures of 345% in April and 273% in May, reflecting the return of the majority of restaurants and pubs for the first full month of indoor service of 2021 in June.
While some consumers have opted to start eating out again, deliveries and takeaways accounted for 35% of managed operators’ total sales in June, with eat-in contributing the remainder (65%). The tracker showed 2021-on-2019 growth in groups’ delivery sales was more than four times as high as takeaways. The emergence of third-party ordering platforms in recent years means the volume of deliveries now exceeds that of takeaways and click-and-collect orders.
Karl Chessell, CGA’s business unit director – hospitality operators and food, EMEA, said: “The restaurant and pub delivery market has flourished during the lockdowns of the past 16 months, and while growth has slowed from the period of forced closures, it is going to stay a very big part of managed groups’ sales.”
Rarebreed Dining founders Jonnie and Sarahjayne Matthew, are to begin the rollout of their fledgling Island House concept, with an opening in Woking, Surrey. Propel has learned that the Matthews, who launched Rarebreed with Jordan Hallows in 2014, have secured the former Café Rouge site in the town’s Jubilee Square. The Matthews launched their all-day restaurant and cocktail bar concept last year on the former ASK Italian site in Reigate, Surrey. Island House centres on a “vibrant neighbourhood environment with a passion for food, drink and personal service”. The concept’s menu is “fresh and changing, from healthy options to blow-out dishes”. Its drinks list takes “equal precedence with great coffee, home-grown cocktails and well-sourced wine and beer”. The owners said Island House would be a “magical place to hang out with enchanting spaces, brilliant music and charismatic people”. It’s thought the Matthews, who stepped down from Rarebreed in 2019, hope to open a number of sites in the south east under the new concept. The founders self-funded their first Rarebreed Dining site before Havisham Group, a privately owned investment fund founded by David Brownlow, invested £6m of committed equity capital and institutional leverage in August 2016 to fund expansion. AG&G acted on the Woking deal.
Leon features in Propel’s Turnover & Profits Blue Book, which has recently been updated for Premium subscribers. Leon has turned over an average of £53.3m in the past five years. The Blue Book provides a five-year overview of turnover and profit, ranks 280 companies according to turnover, pre-tax profit and profit conversion. It also provides details of directors’ earnings and highest paid directors. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £895 plus VAT – whether they are an operator or a supplier. The regular single subscription rate of £395 plus VAT for operators and £495 plus VAT for suppliers remains the same. Email email@example.com to sign up.
Chef Gordon Ramsay (pictured) is set to open his fourth Hell’s Kitchen restaurant, at Harrah’s Resort Southern California. The restaurant, which is set to launch in spring next year, will be the third Hell’s Kitchen in the US – and the largest to date. It will have capacity for 332 guests across the bar, full-service restaurant and lounge. The new restaurant is a partnership between Ramsay and Caesars Entertainment, in conjunction with ITV America. From its show kitchen, Ramsay’s chefs will serve a menu that features many of his most famous dishes, including beef wellington, lobster risotto and sticky toffee pudding. “Hell’s Kitchen at Harrah’s Resort represents one of our most exciting projects to date,” said resort chairman Bo Mazzetti. “It’s an exciting moment to be able to bring such a well-known, high-energy concept to the resort and it’s perfectly in line with our continued commitment to keeping our guests excited, energised and full of options.” Hell’s Kitchen also operates in Caesars Palace Las Vegas, Caesars Bluewaters Dubai and Harveys Lake Tahoe. Ramsay is continuing to grow his UK restaurant business having opened the largest site to date under his fledgling Street Burger brand at The O2 in London this month. Ramsay is also set to open a site under the name Bread Street Cafe on the former Limeyard unit in Ealing High Street.
Scottish brewer and retailer BrewDog swung into the red last year as booming sales of its craft beer online during covid-19 pandemic lockdowns failed to offset the impact of bar closures. The company reported a £13.1m pre-tax loss in 2020 despite reporting revenues of £238m for the year, 10% higher than in 2019. Co-founder James Watt called the revenue increase during the year “the most significant achievement in our short history”. After the pandemic closed hospitality venues around much of the globe, BrewDog switched to selling its beer through its online shop. Its e-commerce revenues were up 900% compared with 2019, as it shipped 750,000 orders in 12 months. BrewDog called its online shop one of the most important divisions of our entire global operation” during 2020, and has further rolled out its e-commerce platform to Europe, the US and Australia. Before the pandemic took hold, the brewer had expected to make 40% of its revenue from more than 100 bars, located around the world. BrewDog, which employs 1,600 people globally, reiterated the pandemic had not dented its plans to continue opening more venues. It is working on 30 new locations – including bars and hotels – in cities such as Manchester, Mumbai and Milan. Watt called 2020 “without a doubt the toughest year in our 13-year history”. He said the company’s team “galvanised in the fire and adversity of the past nine months, is also stronger than it has ever been”. That comes only weeks after BrewDog apologised to former employees who accused Watt and the company in an open letter of fostering a “culture of fear”. In the letter, since signed by more than 300 former employees, they alleged the company had created a “toxic” culture that left staff suffering from mental illness. Watt released an update earlier this month on the company’s response to the claims by the group calling themselves Punks with Purpose. He said the firm has launched an independent review of the culture within BrewDog, has sent out an anonymous staff survey and has committed to creating an employee representative group.
Caprice Holdings, the Richard Caring-backed restaurant group, has promoted Richard Clark to managing director with immediate effect, Propel has learned. Clark was previously operations director for Caprice Holdings and The Ivy Collection, which he joined in January 2019. Before this, he held senior roles at Harbour Hotels and CAU Restaurants. Baton Berisha, chief executive of Birley Group, Caprice Holdings, The Ivy Collection and Bill’s Restaurant & Bar, told Propel: “I am delighted to announce Richard’s promotion to managing director. Richard has been an integral part of our team as operations director for Caprice Holdings and The Ivy Collection, and has been a driving force behind our continued evolution. Richard is best placed to deliver the unique experiences to our customers across our portfolio of restaurants. I look forward to continuing to work with Richard as we grow the business through 2021 and beyond.” Last week, Propel revealed Jonathan Peters had stepped down as chief financial officer of The Ivy Collection, Caprice Holdings, Birley Clubs and Bill’s Restaurant & Bar. Propel understands he stepped down to pursue another project and that his successor will be announced in due course.
Indian street food concept Mowgli has lined up its first opening in the south east, in Brighton. Propel understands the Nisha Katona-led (pictured) company has applied to open on the Oasis unit in the city’s Dukes Lane. The 12-strong group recently opened in Cheshire Oaks, and has openings in Bristol and Cheltenham lined up for later this year. It has also secured sites in Edinburgh and Glasgow for 2022, while Katona, the founder of Mowgli, hinted last week an opening in London is a possibility for the Indian street food concept before the end of this year. In an Instagram update, Katona said “the dogs and family have approved a possible site in London for October”. She also said the business was looking at Newcastle and Cambridge for 2023-24 and the brand would “continue to build at the steady rate of four sites a year as long as you want us”.
The Friday Wrap
Featuring Mark Stretton, Mark Wingett
and Charlie Gilkes
CLICK HERE to view
Sponsored by Stint
The Supplier Perspective
Order & Pay, a smart digital solution for the contactless COVID era
With Zonal’s CTO Jon Woodforth and Product Delivery Manager Matt Brooks
CLICK HERE to view