Like-for-Likes Up for Third Consecutive Week

Like-for-Likes Up for Third Consecutive Week

S4labour has identified that last week’s hospitality sales figures are up by 8% when compared to the same week in 2019. This is the third week in a row where sales have been up on 2019 levels. 

There are also similar patterns between food and drink like-for-likes, with food like-for-likes yet again outperforming drink like-for-likes: up 16.5% compared to 1.5% respectively. 

Richard Hartley, S4labour’s Chief Innovation Officer, added: “the fact like-for-likes are up again spells even more positive news for the hospitality industry. Although there were fears on whether the industry can sustain its growth following the summer holidays, September has started off well. However, as positive as this growth is, there are concerns on higher VAT rates coming into effect from the 1st of October affecting hospitality.”

September’s First Week Boasts Positive Like-for-Likes

September’s First Week Boasts Positive Like-for-Likes

The culmination of August — in addition to the first week of September — saw hospitality sales rise by 12% when compared to the same week in 2019. 

Food like-for-likes increased by 24.5%: the highest number S4labour’s research has shown during August. Drink like-for-likes saw an increase too, however by a smaller 2.5%  — a common pattern throughout August. 

Week-on-week sales were less positive: there was an overall decrease of 9% in hospitality sales. Non-London sites experienced a 10% decline, whilst London experienced a 1% drop in hospitality sales. Although both site-locations were in decline, London outperforming non-London has been a rarity in recent weeks. 

S4labour’s Chief Innovation Officer, Richard Hartley, commented: “after seeing August’s monthly like-for-likes outperform 2019, these like-for-likes are continuing to paint a positive picture for the hospitality industry. The next few months could certainly be challenging, however this first week of September revealing positive like-for-likes is a good start.”

Hospitality Like-for-Likes See Slight Increase during August

Hospitality Like-for-Likes See Slight Increase during August

S4labour has identified that hospitality sales in August 2021 increased by a small 1.6% when compared to August 2019. 

Notably, food like-for-likes were up 16% — something we have been used to seeing throughout August in our weekly like-for-like analysis. However, the decline in drink like-for-likes of 12.5% clearly contributed to the small overall increase. Food sales outperforming drink sales occurred within both dry-led and wet-led sites for August. 

As for London and non-London sites, the similar pattern continued: non-London experienced significantly more growth than London for month-on-months (August 2021 compared to July 2021). Even though month-on-month hospitality sales rose by 9.5%, London sites saw a decrease of 24.5% whilst non-London’s sales increased by 16.5%. 

The Chief Innovation Officer for S4labour, Richard Hartley, commented: “although the increase in like-for-likes is small, given the recent months hospitality has experienced it is reassuring to see August 2021 has bettered August 2019 in regards to overall hospitality sales. The easing of restrictions has certainly helped consumer confidence. These figures offer some sense of reassurance for the hospitality industry, and hopefully this revival continues as we approach the autumn months; especially the London commute making a comeback.”

Hospitality sales up on last week but still down on 2019 by 4.9%

Hospitality sales up on last week but still down on 2019 by 4.9%

 

Following the lifting of restrictions, S4labour (the people, productivity and payroll software provider for hospitality) analysed last week’s hospitality sales figures. Comparing the same week in 2019, they found evidence of an overall drop in sales of 4.9% with food sales down 3.3% and drink sales lagging by 12.6%.
 
In London, total sales were down by 18.6%, with drink sales down 23.4% and a drop in food sales by 10.2%.
 
Non-London sales figures showed a decrease in drink sales by 9.6%, but an increase in food sales by 5.4%.
However, week on week sales saw an increase in overall sales by 6.9%.
 
Commenting on the analysis, S4labour’s Chief Innovation Officer Richard Hartley, stated “Given the current conditions of people having to self-isolate within short notice, we have seen a noticeable number of sites not being able to operate a full trading week. It’s also worth noting the effect this is having on the customers’ ability to show up for bookings as hundreds of thousands are in self-isolation. This clearly is hampering the industry’s ability to successfully trade”.
 

 

Hospitality Sales Down 9%

Hospitality Sales Down 9%

Hospitality Sales down 9%

 

According to analysis from S4labour, the people, productivity and payroll software provider for hospitality, like-for-likes fell last week by 9.6% compared to the same week in 2019. Drink sales were down 17.7%, with food sales down 0.8% compared to the same week in 2019.

 

Trading in London continues to lag with last week’s sales down 24.1%. This was largely attributed to drinks sales, which declined by 30.7%, with food sales down 12.6%.

 

Non-London sites traded below 2019 levels by 6.3%, with drinks sales falling 14%. However, food sales were slightly up 1%.

 

S4labour’s Chief Innovation Officer, Richard Hartley commented, “despite the excellent weather, there are a number of factors that are currently suppressing sales. With circa 5% of the adult population being forced into isolation last week, there is going less people able to get out to eat and drink. While the heat drove stronger performance for rural sites, London’s limited outside space made it difficult to capitalise alfresco conditions. This coupled with the labour crisis, exacerbated by the Covid App, made last week a particularly challenging environment for hospitality. While we wait in anticipation for what we hope will be a great week with restrictions being lifted, these figures show that there is still a long way to go to fully restore consumer confidence.”

 

Indoor Re-Opening Sales Figures

Indoor Re-Opening Sales Figures

Hospitality like-for-likes sales UP 9% on indoor re-opening week.

In the first full week since operators were able to serve guests indoors since November 2020, hospitality sales were up 9% compared to the same week in 2019. However, these figures paint a picture of mixed fortunes for the industry, with a significant bounce in food sales and the continued collapse in drinks revenue.

Food sales were up nearly 30% on the same week in 2019, representing significant demand for out of home dining. While there was pent up demand for eating out, remaining restrictions prohibit vertical and late-night drinking, resulting in the continued decline of drink sales, down 7% on 2019 levels.

While there was an overall bounce in like for like performance in the U.K., sites in London were level with the same week in 2019, with all the growth driven by sites outside the capital.

For the first time since hospitality re-opened in April, the majority of sites in the U.K. are trading at above 2019, even if many are only marginally so. Last week, only 19% of sites traded at 90% or less than their 2019 levels. This is in contrast with two weeks ago, when two thirds of operators were trading at below 90% of 2019.

The significance of being able to trade indoors is highlighted when looking at the difference between last weeks sales and the week prior, when it was outside only. Sales were up 83% last week compared to the last week before operators could serve guest inside and 95% up when only looking at sites outside of London.

S4labour’s Chief Customer Officer, Sam Wignell added, “life is coming back to the sector and we are buoyed by the green shoots, but we are concerned for our customers who are so heavily impacted by the restrictions. It is critical we do not delay the freeing up of our pubs and night-time venues from social distancing measures that are preventing them from trading profitably”.