Opening a venue? Plan for the bad days first

Author: FoodPeeps 

Opening a venue is exciting. The operators who last are often the ones who plan for what could go wrong before the doors open.

Andrew Wallace, director of the Esper Group, behind The Heritage Room in Sydney's CBD, says the first question is whether the business can survive a downturn. A closure affects staff, suppliers and guests, not only the owners.

Know who you are serving

Wallace says the biggest question is who the venue is for. The site and the strengths of the team come next. Once those are clear, the concept should be tested against tough conditions. A wet winter can empty an outdoor area. Group bookings tend to drop in the cooler months. A full house on a Friday night can expose a kitchen that is too small. The business model needs to work in both the busy and the quiet seasons.

Keep the guest at the centre

The build is usually the hardest stage. Under pressure it is tempting to cut corners or chase savings. Wallace advises against both. He also warns against becoming too inward looking during fit-out, since every decision should come back to the guest.

Do not leave music to the last minute

Karen Holmes, director of OneMusic, says music is part of a venue's brand. OneMusic research found 40 per cent of Australian customers have left a venue because of its music. About half have stayed longer when the music suited the room. A quarter have thought less of a brand because of poor music choices. Venues also need the right licences in place from day one.

Choose equipment and technology early

Ali van Woerden of Tomkin suggests judging kitchenware, cutlery and glassware on how they will perform in a commercial setting rather than on price alone. Suppliers who know hospitality can help through fit-out and beyond.

Stacey Lowther of Square says technology should be chosen alongside the menu rather than added later. Retrofitting systems in a venue that is already trading is much harder. Tools worth considering include point of sale systems that link menus, kitchen dockets and cost of goods, self-order kiosks for busy periods and on-demand rostering.

Quick checklist

•      Define your target guest before you sign a lease

•      Test the concept against a slow winter

•      Budget for licences, including music

•      Pick equipment for durability

•      Set up your technology before opening day