- COVID-19 induced lockdown brought an immense change in the dining style of restaurateurs, guest values and behaviour.
- Contactless dining seems to be the new normal of the future, with customers being more cautious about their health and safety.
- Furthermore, restaurants, cafes and bars are now reshaping their businesses to stay afloat by switching to new takeaway menus, contactless deliveries, drive-through and cook-at-home meal kits.
- Breville Group, an electrical appliances provider, is booming with the home-focused environment, primarily due to apprehensions of people regarding their safety and hygiene.
COVID-19 pandemic has turned everything upside down, with food and beverage (F&B), being one of the worst hit industries.
The ripple effect of the lockdown and social distancing norms have miffed dining restaurants and smaller, unorganised standalone outlets.
As of now, the picture looks bleak, as numerous restaurants have witnessed closure due to weak and unpredictable customer footfalls. However, several restaurants might be able to withstand the blow of no dine-ins but are concerned about the survival with inconsistent cash flows, insufficient reserves, and excess of rigid landlords.
Nevertheless, every cloud has a silver lining, with reopening of economies, several restaurants have now commenced their operations with a focus on surviving restrictions, while ensuring public and workforce safety. The restaurants are following the measures advised by the state and Federal government of Australia.
Having said that, restaurants are striving hard to take orders and payments, and following physical distancing norms and furnishing contactless experience to their customers.
Restaurants have reopened, but the social context has changed dramatically, and consumers’ foot traffic is expected to start off slowly, with the emergence of numerous questions as mentioned below-
What would be the new normal for dining amid social distancing norms in place? How would retail stores reshape their businesses?
Let us now get acquainted with answers to all the above questions.
Redesigned layout of restaurants with ensured physical hygiene and social distancing.
Restaurateurs are contemplating a new business model based on contactless dining to shed non-essential human contact and safeguard interest of both their diners and staff.
The new layout would not have any plate or cutlery on the table rather everything would be sanitised in front of the guests, including chairs and tables. The dine-in tables would also witness physical distancing.
The dining area would be monitored diligently; contactless experience and frequent sanitation are some of the ways in which diners can be assured of hygiene.
Furthermore, restaurateurs are embracing technology and modifying a multitude of touchpoints with a guest.
Do you know, diners can book a table, pre-order meals and make payments digitally?
A new digital wave has brought in smart menu boards, QR codes, digital/ touchless menus, etc, and online/in-app ordering might reduce physical contact between the guests and staff.
The conversations between waiters and diners mostly help in building rapport between them. However, removal of face to face interaction may pose a risk of distancing a customer from the restaurant.
In light of the above statement, a personalised software might emerge into the picture, displaying frequently ordered items, recommending new things, which would make a consumer feel important and they might proceed to place an order.
Cashless payments, born out of convenience has now become a necessity, as the fear that cash might be an easy vehicle in spreading the virus exists among people; also, these payments are more secure and hygienic.
Speaking of restaurants, cafes, and bars, they are not carrying on their businesses with a laid-back attitude; instead, they are reshaping their businesses to thrive by switching to new methods like takeaway menus, pickup, contactless delivery, and cook-at-home meal kits.
Amid pandemic, restaurants have been determined to include digital ordering, contactless delivery, and cashless transactions to speed up the ordering process to provide services to homebound customers.
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Restaurants have opted for a new model that would foster greater efficiency in managing costs, inventory, pricing, and customers.
Even though some of the restaurants have retained their high sellers and specialities, the overall menu size has noted a reduction.
The cut down on menu size would ensure quick serving of the food. Moreover, restaurants would also have the advantage to charge varied prices based on demand and supply.
Although restaurants, bars and cafes are following all the measures to give contactless experience, people are facing a dilemma whether it’s worth moving out of the households and enjoy a pleasant dining experience to break the monotony of their new stay-at-home reality or to just sit within the safety of their respective abodes.
Leaving the house might pose a risk of possible exposure to the virus; thus, people are still opting for the in-house cooking experience.
The in-house cooking has soared the demand for home appliances.
One of the electrical appliances provider, Breville Group Limited (ASX:BRG) is expected to grab further opportunities coming out of the current home-focused environment.
As per predictions by analysts at Morgan Stanley, BRG has a scope to achieve about AU$3.1 billion of the AU$10 billion global serviceable markets by the fiscal year 2030.
As per its May update, product revenues have grown exponentially during the pandemic. Since the beginning of 2020 to 30 April 2020, BRG had witnessed a strong growth of 31.5% (in comparison with pcp) in its revenue and stood at AU$266 million.
In Mid-June, the Company had announced the successful completion of its AU$10 million underwritten Share Purchase Plan (SPP). Moreover, BRG had completed a fully underwritten AU$94 million Placement to its eligible institutional investors on 14 May 2020. The Company had disclosed that the proceeds would further support the financial flexibility to boost upcoming opportunities.
On 17 July 2020, BRG closed the market session, at AU$23.31, moving up by 1.715% from its last close.