Businesses in the hospitality industry have had a rough time since the beginning of the pandemic and have taken a significant financial hit. With pubs and bars now back open for business, many are in desperate need of increasing their profits if they’re going to stay afloat.
Fortunately, there are steps you can take to increase the profits of your business. From optimised floor space to a cosier pub atmosphere, there are many factors which could encourage customers to visit more frequently, bringing in additional revenue and helping struggling pubs get back on their feet. Let’s explore some tips to help you achieve this.
Create a pleasant atmosphere
A good atmosphere will make your pub more enjoyable for your customers, encouraging them to stay longer and visit more frequently. Avoid bright lighting which can feel harsh and uncomfortable, especially in the evening. Opt for soft lighting or use a dimmer switch to dim the lights as the day draws to a close. To achieve a warm, cosy atmosphere, add small votive candles to each table or install industrial drop lights overhead.
Pubs need to be comfortable spaces for people to relax, so it’s essential to invest in good quality furniture for your seating area. Bar stools should be plush and big enough that people of varying body types can sit comfortably without falling off. Chairs and booths must also be comfortable and upholstered with quality materials.
Optimise your space
It’s important to make the most of the space you have and ensure you don’t have large areas of unused room. However, you don’t want to cram in so many seats or bar stools that no one can move around when the bar gets packed. Think strategically when setting up your pub. Consider how many tables and chairs you can comfortably fit and where would be the most effective spot to place booths, the DJ or band area etc.
Build customer loyalty
Building customer loyalty will help create a rapport with your regular customers and keep them coming back. Hosting regular events like a weekly quiz or an open mic night will give customers a reason to return. If the events prove popular, word will quickly spread to other locals in the area, bringing in further income for your business.
Offering a loyalty programme can also encourage customers to become regulars. They will appreciate the feeling of being rewarded for their custom and may visit your pub more frequently, as they will be motivated by the possibility of earning rewards.
Invest in insurance
Getting appropriate pub insurance may not seem relevant to profits at first glance, but it can significantly affect your take-home revenue in the event of anything from faulty equipment to a staff member being injured on the job.
For example, if a bartender slips on a spilt drink and breaks his leg, he may claim compensation for his injury. As it happened on your premises while he was working, you could be responsible for the payment. Without insurance, a huge financial loss could result in you losing your business, so insurance is essential to protect revenue.
It’s important to do your research and ensure you choose a policy which is tailored specifically to your pub and your individual needs and is from a reputable supplier. It would also be beneficial to compare quotes from several insurance providers to reassure you that you’re getting the best value for money.