With the madness of Christmas and New Year a distant memory, more time and attention can be given to minimising the impact of the cost-of-living crisis in the year ahead.

In a visit to one of our customers recently, we helped them to carry out eight easy actions that, once implemented, saw GPs start to increase almost immediately – improving their bottom line and making a huge difference to their financial reporting.

By having full visibility of your inventory, you can maximise profit margins, which in turn will help you to make better decisions around purchasing, sales and marketing, enabling you to sell more products and reduce the need to mark down old, unsold stock.

So why not take the opportunity in a quiet moment to focus on getting your stocks in order by completing this checklist:

1. Ensure all purchasing and cost prices are correct and ensure all delivery notes are accepted in your EPoS
2. Ensure that all old, obsolete products are not being displayed on your EPoS system
3. If your POS allows you to set up suppliers behind your products, ensure the correct supplier is enabled as default to ensure you’re ordering stock from the correct place
4. If your EPoS system uses recipes, make sure your recipes are correct and up to date with the latest ingredients from the right suppliers
5. Double check that all Promotions and Discounts were set up correctly for the Christmas Period – and start thinking about upcoming events for the year
6. Triple check that all figures are correct before accepting any new stock orders
7. Get into the habit of reporting on your stock every 7 days, in order to keep a firm eye on your weekly usage of stock and make sure you’re spotting any potential issues/mistakes as quickly as possible
8. You may benefit from additional stock training to ensure that your team are following the correct stock procedure – Get in touch with your provider to find out what training they have available to upskill your team

If you’re using a purchase-to-pay solution that’s fully integrated with your EPoS:

1. Ensure all deliveries have been reconciled and accepted in your purchase-to-pay solution
2. Check all products and prices are correct in your purchase-to-pay solution

Please get in touch to learn more about how Zonal technology can help operators manage costs. 

Every month the Zonal Product teams release new and innovative features to our full suite of hospitality technology solutions, all aimed at helping our customers achieve their business goals, and ensuring everything in-venue runs as smoothly as possible.

For those who haven’t had the time to explore some of the great new functionality we’ve added to Zonal Bookings this year, we’ve summarised our top seven features released during 2023

1. Central reservations  

If you manage multiple sites within an organisation and would benefit from central sales, then this one is for you. You can view and manage all your sites within the Events Host app without having to log in and out of each site. Views can be filtered by site, as well as all the usual handy options, in addition to allowing you to keep tabs on all your properties and their bookings in one space. Along with Central Res came the convenient feature of Labels. This allows users to assign labels to bookings internally. As opposed to Tags, Labels allows users to define the labels themselves – for example, by department or booking feature. What’s more, our invoicing functionality automatically creates an invoice for each reservation with the ability to link the invoice to all requirements including pre-orders and payments, decreasing the time spent manually inputting invoice requirements.

2. Tasks

Along with the “Central Reservations” feature, you can also assign tasks to bookings.  You can add a To Do, email or to call prompt or a deadline to a booking.  The task will pop up in your notifications tab at the top of your Host screen to remind you to complete at the set time. Perfect for chasing Christmas bookings, menus, or deposits.

3. User audit details in Tables 

In addition to the current history button shown on a booking, you can now see details of which user has made changes to availability settings within Tables Host.  If you use the pin lock option, then it will still show the name of the user who made the changes using their pin lock. No more questioning who or when a change to availability was made, with admin access, businesses can now view a complete audit trail to clear up any confusion.

4. Pre-order choices 

For those using our pre-order functionality, a great addition to the guest place cards had been made, giving the site the option to print the guests’ choices onto their place card.  A lifesaver for busy events – sites no longer need to worry about people forgetting their orders!

5. Menu and occasion exclusions

For any occasion you have created, you can also select up to 10 dates that you do not want that occasion to be available to book.  So, for example if you have a standard restaurant occasion set up running every day but you have a special event coming up where you don’t want restaurant bookings to show online at the same time as your event you can add an exclusion for that day.  A good example would be Christmas party nights – you would have a Christmas occasion running on specific dates in December and you wouldn’t want guests booking on a regular restaurant booking at the same time. This allows for increased flexibility and control over your occasions.

6. Table shuffle  

The Shuffle feature within our Table Management solution has been further refined to enhance capacity optimisation and assist hosts in maximizing revenue while simplifying the process for staff. The latest updates to this functionality both ensured that shuffled tables remained within their designated areas, as well as taking this further to provide venues with the ability to shuffle tables per bookable area, granting hosts greater flexibility in managing their spaces and boosting overall capacity utilisation.

7. Improved guest portal  

The Guest Portal in Group Bookings has seen notable updates this year to enhance the user experience. Hosts now can log in and manage guest activities, streamlining attendee additions by allowing bulk actions instead of individual entries. Venues can configure pre-ordering journeys in a booking by menu type by either requiring the organising guest to pre-order all items, or if they need to add each attendee who can then action this themselves, simplifying what can be a complex process. Moreover, the integration of our EPoS significantly benefits support teams, addressing issues related to deposit synchronisation. Additional improvements include extended email timing and enhanced management of time slots and events within the portal. These updates aim to provide more comprehensive functionality and ease of use for customers, creating a more efficient booking experience.

Find out more about Zonal Bookings, or get in touch today and our team of hospitality technology experts will be happy to talk you through what’s possible.  

How 2023’s Licensee of the Year Award winners and finalists use technology in their pubs

If our Pioneering Pub People podcast series, in partnership with the British Institute of Innkeeping, has shown us one thing, it’s the sheer resilience of the people working in the hospitality industry. Whilst it hasn’t been the smoothest of years, the industry has done a sterling job of weathering every storm that comes its way.

Technology has undoubtedly played a role in helping operators adapt to changing environments, with each operator featured on the podcast leveraging hospitality tech to help manage operations, keep costs down and contribute to improving the overall customer experience.

So, exactly how do these leading operators use technology in their businesses to their advantage? Read on to find out…

1. “Use your database!”

Joe Buckley and Flo Pearce, The Tollemache Arms, Harrington, Northampton – episode 6

Direct email marketing plays a big part of enticing people to revisit The Tolly according to the pub’s operators Joe Buckley and Flo Pearce.

Through their booking system and by moving bookings for their annual ‘Tollyfest’ onto a digital platform, the team has built up a database of over 7,000 contacts. Joe and Flo know that those who share their email addresses are interested in what’s happening at the pub and they use this to their advantage, sharing updates on menu items, deals, and events taking place at the pub. The Tollemache Arms has made this a success, with their email marketing enjoying a 25% open rate, in comparison to the national average across industries which sits at 21.3%.

They say the key is to not overthink it. Make it simple and have some great imagery, using email marketing as small “we’re still here” reminders.

2. “Digital reporting helps us better manage sales and staff rotas”

Michelle Gilmour, The Old Windmill, Coventry – episode 7

Innovative and easy to access digital reporting enables operators to get an accurate view of how well your pub is performing day to day, which makes planning easier says The Old Windmill’s licensee, Michelle Gilmour. The team at the pub can foresee which days of the week they are going to be most or least busy and base staff rotas on the insight. Having sight of which nights are quietest has also enabled the team to drive business during these times by putting on events, deals or promotions to entice people into the venue.

Having access to reports in real-time has been particularly useful for the team. The ability to check sales data in real-time and on any device (such as Michelle’s mobile) means quick, strategic changes can be made to menu items, based on what is and isn’t working. It also allows Michelle to react effectively – for example, if she sees a sudden spike in sales, she can pop down to the venue to lend a hand or make calls to get more staff in.

3. “Mobile order and pay tech can revolutionise the customer journey”

Ollie Coulombeau, The Turk’s Head, Twickenham, London – episode 8

The Turk’s Head adopted iPads as a mobile order and payment option, allowing its staff to take orders from tables. According to the pub’s licensee, Ollie Coulombeau, this has revolutionised the customer journey, as the team are able to serve people more quickly, resulting in reduced wait times for customers and an increase in sales going through the tills.

The pub has also continued to find the use of QR codes valuable for processing orders and payment in other areas of the venue. The pub often hosts regular theatre-style comedy events, so the team has implemented QR codes that enable customers to order drinks to their seats. Not only does this make the experience seamless for customers, but it also helps the bar staff manage orders easily and reduces queues.

4. “The right back of house tech should give you real-time updates”

Keris De Villiers, The Pig & Whistle, Wandsworth, London – episode 9

Landlady Keris De Villiers at The Pig & Whistle relies on her back office technology to review sales figures, GPs, and to keep on top of finances which has proven to be invaluable.

Being able to see exactly how all aspects of the business are performing and being able to see the most up to date information has enabled the team at the pub to make effective and strategic business decisions, and at speed. The hospitality sector is ever-evolving, so being able to remain agile and reactive is vital, Keris says and having tech working in the background to analyse sales data helps The Pig & Whistle to continue being as nimble and profitable as possible.

To stream the complete Pioneering Pub People 2023 podcast series, featuring BII Licensee of the Year Award winners and finalists from this year, click here!

No-shoes remain a blight for the industry, with our latest research in partnership with CGA by NiQ, showing that 12.3% of guests who make a booking don’t let venues know their plans have changed and proceed to no-show rather than cancel. These unfulfilled bookings are currently costing the industry an estimated £17.59bn in lost sales, however in reality, the impact is much more significant than that.

This figure doesn’t take into account food waste or overstaffing, for example, nor does it take into consideration the financial impact of lost business from keeping a reserved table for guests that will not arrive. And, unfortunately, there’s not much sign of improvement.

Our latest research has shown that the no-shows rate has doubled since August 2022, rising from 6% to the 12.3% figure mentioned before. This indicates a worrying trend as our industry faces continuing external challenges that will likely continue into 2024. Taking a deep-dive into the data, we can see that the worst affected sector, restaurants, account for over a quarter (27%) of businesses impacted, followed by food-led pubs at just under a quarter (24%).

Who are the no-shows?

Young people continue to be at the forefront of the no-shows problem, with 40% of guests aged between 18 and 34-years-old having admitted to being a no-show. This figure drops significantly the older the guest is – just 13% of 35- to 44-year-olds no-show, dropping further to 6% of 45 to 54 and 55 to 66-year-olds. For the entire 65s and over, the no-shows rate sits at only 3%.

This disparity is partially down to the fact that younger adults tend to make bookings more frequently than their older counterparts. In our previous research into consumer booking behaviours, 73% of 18- to 34-year-olds said that they’d made a reservation within the previous month — well above the national average of 60%, and of the older 65+ demographic at 52%. It may also be down to younger consumers remaining more spontaneous, with last minute changes to plans being more commonplace.

Interestingly those who more frequently visit restaurants, pubs and bars are more likely to be no-shows, with our most recent data showing 21% of those who go out weekly no-show, dropping to 10% for those who visit monthly and rising again slightly to 13% for those who visit less than once a month. Geographically, Londoners are the most likely to no-show.

What can be done about the problem?

Of those that have failed to show up for a booking, 16% simply forget about their booking. Sending out reminders appears to be one of the simplest and most obvious solutions to tackling no-show rates, with all the evidence suggesting that venues that send reminders ahead of time have far lower no-show rates than venues that don’t.

The timing of these reminders can be a key factor in their success. According to our research, the most popular timeframe for guests to receive a reminder is a few days in advance at 38%, followed by the day of the booking (28%) and a week in advance (11%). Systems can be set up to do this automatically, easing the pressure on staff and providing a better experience for guests.

Ensuring that it’s easy for customers to cancel their booking is another effective way of combatting no-shows. More than half (51%) of people prefer to cancel a booking digitally, so clearly signposting how and where guests can cancel should they need to can have a significant impact. This process should be simple, easy to navigate, and require just a few clicks to be truly effective.

Deposits can be another solution to the no-shows problem – albeit a more controversial one. When we last asked the public about this in our consumer research, we found that over half (51%) said they would be willing to pay a deposit to secure a booking, however with this remaining close to 50%, it remains a divisive issue. This changes, however, when it comes to booking for a large group or special occasion, with 65% willing to pay a deposit to secure a booking in these instances – however this drops down to 45% for casual occasions. 45% is still a significant number of customers, however, and so whilst deposits may not be the way to go for every venue, it’s worth keeping an eye on general consumer sentiment. This means that, whilst not a catch-all solution that would work in every type of venue, situational applications could be effective – such as large group bookings or special occasions – to put a safety net around these bookings and reduce the likelihood and potential of a no-show. However, it’s important not to be too heavy-handed with this approach, as guests likely won’t want to pay a deposit for a casual lunch if it’s not necessary.

Lessons learned from other industries could also provide options worth considering too – such as the practice of over-booking. Whilst there may be some hesitancy towards this, the data collected from reservation systems could be used to identify when, where and by how much you might be able to over-book whilst not impacting the guest experience. Whilst this may be a drastic change at first, customer acceptance would likely increase if adoption spread throughout the industry.

Guest blog by Mission Group

The hospitality sector has disproportionately suffered the cost-of-living crisis since 2021, causing many industry leaders to revisit the old management maxim that it’s cheaper to keep current customers happy than to find new ones. Increasingly, data-oriented management teams have been interrogating their loyalty programmes in search of new insights and ideas for innovation. And now there’s new research available: a study by Zonal and CGA which asked 5,000 British people their opinions on loyalty in the context of eating and drinking out.

The findings are fascinating, and I hope will help industry leaders get back to basics in their efforts to turn customer KPIs green.

Vision – what’s your brand promise?

The report reveals the diverse range of factors that influence loyalty, emphasising that it can only be achieved by delivering the fundamentals of hospitality consistently over time. At the top of the list, by a substantial margin, is “value for money,” a factor that resonates with nearly half (47%) of all consumers. Importantly, value doesn’t necessarily equate to cheap; it’s about offering quality and satisfaction that align with the price – also known as keeping a ‘brand promise’.

Brand promises make up our rich consumer landscape. For instance, if I go to the local Community Club, I expect a pocket-full of change from my round of drinks in a friendly, local environment – and not much else. When I go to Gordon Ker’s Blacklock I expect a steak dinner experience that blows the local pub away, without forcing me to remortgage at the latest Bank of England interest rate. If I occasionally dare to take my wife to a Michelin Starred restaurant for Valentine’s, I expect the experience to impress her for longer than it takes to subsequently pay down my credit card. You get the idea – my loyalty to these brands is relative to how well they keep the unique brand promises they make to me as a customer – not who’s the cheapest.

It is the leader’s (or leadership team’s) responsibility in a hospitality business to nurture a clear and compelling vision for their brand promise. And, when the vision is clear, it is their further responsibility to ensure that it is shared by all, so that the entire organisation can work coherently to deliver it. In my examples above, it would be no good if half the Blacklock team spent their days cutting costs to match those of a Community Club and the other half worked on a £250 per head Michelin-Star-style tasting menu. That would result in chaos internally and customer confusion (and disappointment) externally.

Traction – delivering your brand promise through each and every employee

Whereas vision is all about getting your team 100% on the same page with where you’re going, traction means actually getting there. This is where most hospitality leadership teams fall down and their companies pay a particularly heavy price for poor employee execution in times of economic uncertainty, when consumer loyalty comes under increased scrutiny.

According to Zonal and CGA’s recent report, 52% of consumers now admit to having higher expectations of the brands they are loyal to. This figure jumps to a remarkable 64% among the 18- to 24-year-old demographic.

Consider a boutique hotel brand, committed to delivering a “home away from home” experience for travellers seeking authentic local encounters. Their vision might be to transform every guest’s stay into a unique story about the locale. To achieve traction for this vision, the hotel might initiate weekly sessions focusing on KPIs like guest feedback on curated local experiences, staff training on regional history and customs, or partnerships with local artisans and businesses. By ensuring that each department’s daily activities actively contribute to crafting these individual guest stories, the hotel can bring its brand vision to life, consistently and effectively.

Healthy relationships – bringing everything together with a customer-centric culture

Even with a clear vision and the right habits for traction, it’s team harmony which forms the real backbone of a thriving hospitality business. And harmony doesn’t simply mean avoiding conflict; it’s about addressing and resolving issues constructively, fostering open communication, and building an environment of trust and mutual respect.

In the case of our boutique hotel, this might mean ensuring that the front desk collaborates seamlessly with housekeeping, that the kitchen and service staff operate in unison, and that every team member feels valued, heard, and empowered.

Great leaders promote the idea of vulnerability-based trust within teams. For example, imagine a further scenario where a chef at our hotel feels comfortable admitting to a mistake in ordering supplies without the fear of retribution. This open admission allows the team to quickly adjust and find solutions. It also fosters an environment where learning and growth are prioritised over blame. When each member of the hotel staff takes ownership of their responsibilities and commitments, the result is a smoother guest experience.

Whether it’s ensuring that a guest’s special request is met or promptly addressing feedback, a healthy team that holds itself accountable ensures that the brand’s promise is consistently delivered and customer loyalty is earned day in day out.

The hospitality industry’s path forward

In conclusion, the hospitality industry’s path forward hinges on the simple yet profound principle of keeping promises. The Zonal and CGA study underscores the need for brands to understand and deliver on what ‘value for money’ truly means to their customers. It’s about aligning every aspect of service with the brand’s core promise, from the boardroom to the front line. As consumer expectations climb, especially among the younger demographic, the margin for error narrows. Authentic experiences, not price wars, are the new battleground for customer loyalty. For leaders in the industry, the mission is clear: cultivate a culture that prioritizes a consistent and genuine delivery of the brand promise. When every employee understands and contributes to this mission, customer loyalty will follow. Let’s not just chase the green on spreadsheets, but foster the kind of loyalty that comes from customers who leave as satisfied storytellers of the unique experiences they’ve had.

Social media serves as a pivotal tool for enhancing brand visibility and awareness and has evolved into an integral part of the hospitality industry’s marketing mix.

It is also becoming a vital part of the guest booking journey – and not just for research purposes, either. Channels such as Facebook and Instagram are increasingly influential as booking tools in their own right. Hoteliers must therefore review and develop their social media strategies with this in mind, if they are to make the most of the opportunity.

Social media now needs to be seen as more than a mere shop window for the business and more of a way of driving revenue via direct bookings.

What guests are looking for

Just how influential are channels such as Facebook and Instagram in engaging potential guests, and how does this differ between generations?

When researching hotels to book, older consumers prefer using hotel websites, but younger adults are turning to social media. Three in five (60%) of those aged 18 to 34 say they visit a hotel’s social media pages before making a booking — that’s 18 percentage points higher than all other consumers. With younger adults being much more frequent users of hotels than older ones (more than a third of 18- to 34-year-olds have visited a hotel at least monthly in the last six months, and nearly a quarter have done so weekly — twice the average among all consumers) this trend is worth bearing in mind.

Price and location are by far the biggest factors in booking a hotel, but consumers are also looking for amenities, and so it makes sense for hoteliers to look to showcase these on their channels. According to our research, the most desirable amenities are: WIFI (66% of consumers say this is a must have), a restaurant and/or bar (57%), parking (57%) and in room amenities such as a TV or an iron (also 57%).

When looking at younger guests and Gen Z specifically, sustainability, inclusivity, wellness, corporate social responsibility, and employee welfare are also a priority. While these aspects have always held significance, they are evolving into more pivotal factors for this generation, having a significant impact on their decision-making. Consequently, businesses aiming to engage this group must earnestly address these concerns, and social media is a perfect platform to communicate this.

Leverage the power of social media to drive revenue

Social media is also beginning to play a more pivotal role when it comes to encouraging people to click that ‘book now’ button. Forward thinking hoteliers should therefore be looking at ways to use social media to drive direct bookings, in order to boost profits, as well as avoid commission fees from third-party booking platforms.

Hoteliers would benefit from using their social media as more than just ‘shop windows’ for their business. Thinking strategically about what they share via these channels will be vital to encouraging people to hit that all important ‘book now’ button. Firstly, showing aesthetic images of hotel rooms, lobbies, and other communal spaces is a great way to demonstrate the hotel’s best features and encourage people to stay at the hotel. Including a link in your Instagram bio that clicks through to the hotel’s booking platform will also help facilitate direct bookings, turning those looking for a hotel into new customers.

Social media can also be used to encourage people to spend across other arms of the business. Hotels that have F&B outlets, for example, can leverage their social profiles to drive awareness of the great experiences on offer in their bars and restaurants and encourage further footfall from guests and locals alike. Social media is also a great place to promote exclusive deals and promotions on food and drink to encourage people to not only book at the hotel, but to make the most of the on-site restaurant as opposed to dining out.

What’s more, we know that one of the main reasons guests will choose to book with a hotel directly is down to trust. This presents a unique opportunity for hoteliers. By promoting their brand, their company values and their great experiences via social media – and ensuring they are communicating regularly with people whether that is via posts or responding to comments and messages – hoteliers can establish trust with potential future guests, turning lookers into direct bookers.

Now more than ever, consumers want the brands and businesses they interact with to have a human quality to them. Social media is a great way to build trust and demonstrate the qualities that consumers want to see and to encourage them to stay. From engaging regularly with guests, answering queries in a timely manner, to running engaging social media campaigns, demonstrating a business’ authenticity is a fantastic way to drive bookings.

Not only do hoteliers need to frequently communicate with consumers, but their booking platforms need to be user-friendly, up to date, responsive and secure. While only small numbers of consumers have booked a hotel via Facebook (11%), Instagram (11%) and Twitter (9%) currently, many more indicate they would be interested in doing so in the future. In fact, 43% of 18 to 24-year-olds agree that a button to book a hotel directly from social media accounts would make their booking journey easier. Fortunately, it is not difficult to integrate a booking button onto Facebook pages and this is something operators should be looking to do.

Capitalise on guests’ desire for experiences

All this points to the growing influence of social media in the hotel industry but with the channels developing and changing fast, hoteliers need to be ensuring they are future-proofing their approach.

For now, Instagram and Facebook remain the most useful platforms to our sector but, as Gen Z get older and younger generations come through, the importance of TikTok and other channels is likely to increase.

The growth of ‘creator content’ is also important here. Hotel social media channels need no longer be full of self-generated content, marketing teams can harness the power of creators by developing “Instagrammable” moments and experiences. Thoughtful and creative interventions, whether it’s strategically placed artwork or an innovative decorative space, can prompt guests to share their experiences, effectively amplifying the hotel’s reach with their target markets and, in the end, driving revenue.

And, as the desire for ‘experiences’ over products continues to gain momentum among consumers, crafting a purpose-driven strategy, grounded in engagement, and tailored to diverse target groups, hotels can position themselves as more than a mere accommodation-provider. Hotels become creators of desirable and memorable experiences.

As we can see then, as social media continues to evolve, the principles of targeted content, channel-specific strategy and driving direct bookings from the channels themselves will become ever more key to boosting hotel revenues.