The last few years have been a wild ride for UK hospitality – from rising costs to staff shortages and changing customer habits. But let’s not dwell on the bad. Instead, let’s dive into what’s on the horizon for the industry in 2024.
The Current Scene:
According to UKHospitality, only 29 percent of hospitality businesses feel optimistic about the next year. It’s been tough, but here’s the good part – despite the challenges, the industry is holding its own. Kate Nicholls, the Chief Executive of UKHospitality, rightly points out that the sector created over 20 percent of new jobs in the past year, showing incredible resilience.
A Beacon of Hope:
Hang on, there’s a silver lining! The UK’s hospitality scene is strong and is set to boom. Data from Mordor Intelligence predicts a whopping $27.42 billion industry by 2028. Plus, a record 2.6 million people are working in hospitality, with the industry snagging one in every five new jobs. That’s some serious growth potential.
Spotting Opportunities:
In the face of challenges, there are chances to grow. Kate Nicholls cheers on the industry’s resilience, and VenueScanner’s data agrees. Year after year, there’s a steady increase in venue demand. For businesses savvy enough to ride the current booking trends, there’s a real shot at not just surviving but thriving.
Sure, the UK hospitality industry has faced some storms, but guess what? It’s still standing. Challenges will stick around, but with a bit of grit and some clever planning, businesses can ride the waves and find success in the ever-changing world of hospitality.
So what are the trends we’ve seen in 2023?
Parties are Back!
Did someone say party? You bet! Party bookings have skyrocketed three-fold since the pre-Covid days. Bars and restaurants are stealing the show as the go-to spots for throwing a bash, and guess what’s topping the charts? Christmas parties! Businesses are all about celebrating the festive season, making it the hottest event type in town.
For bars and restaurants, this is more than just a fun fact – it’s a golden opportunity. With party bookings on the rise, there’s a chance to shout it from the rooftops. Focusing on party (especially Christmas party) bookings can be the secret to raking in higher revenues and tackling increasing costs.
Company Away Day Bookings are up 30% From Last Year
As the business landscape evolves with more hyrbid work, the hunger for face-to-face connections among colleagues is real. Enter the era of increased demand for company offsites, spanning from one-day affairs to multi-day extravaganzas with overnight stays. The result? A whopping 30 percent year-on-year spike in company away day bookings in the vibrant city of London.
This surge spells out a massive opportunity for London’s event venues, hotels, and even the beloved pubs, bars, and restaurants. Shake things up and diversify those revenue streams.
London’s venues can be marketing themselves not just as event spaces but as the ultimate away day destinations. Think creative workshops, scavenger hunts, or immersive experiences – the possibilities are endless. By tapping into this trend, businesses can position themselves as the go-to spots for unique, memorable, and awesome offsite events.
Conferences are on the Up
The hunt for conference venues is heating up in the business world. While hotels remain a popular choice, there’s a growing appetite for more unconventional spaces to host company gatherings.
London’s small and medium-sized enterprises (SMEs) are leading the charge, exploring options beyond traditional conference rooms. Warehouses, galleries, and studios are making waves, alongside the tried-and-true charm of bars and restaurants. The rise of remote-first businesses has added a new twist, with a surge in demand for affordable meeting spaces and hot desking spots for teams to reunite in person.
In a climate where consumer spending is taking a hit, VenueScanner’s data reveals a smart move for venues looking to stay ahead. Those diversifying their spaces for business-to-business (B2B) offerings are not just increasing foot traffic but also filling up more of their downtime. This strategic shift is poised to be a game-changer, especially in the mission to safeguard and boost revenues in the coming year.
Businesses are Moving Towards Bars, Restaurants, and Experience Venues
Like with conferences organisations are now venturing into more unconventional spaces for their meetings and other company gatherings.
Enter the era of experience-driven venues like Otherworld VR and Swingers Crazy Golf, alongside the classic charm of bars and restaurants. In the scenic city of Edinburgh, the trend takes a bold turn – bars and restaurants are stealing the spotlight, accounting for three times more business bookings than their hotel counterparts.
This shift is more than a change in scenery; it’s a testament to the growing desire for unique and engaging spaces that go beyond the traditional boardroom. As businesses seek to make a statement and create memorable experiences, the rise of non-traditional venues is rewriting the playbook for corporate events.
Looking Forward: How Venues Can Succeed in 2024
In the face of formidable challenges, the future growth of the UK’s hospitality businesses hinges on a crucial strategy: diversification. VenueScanner’s data paints a clear picture – while the need for party bookings is undeniable, the real game-changer lies in a venue’s ability to pivot towards a business audience.
Imagine transforming your space into the ideal setting for a company away day or turning those idle tables into hot desks. The opportunities are not just present; they’re ripe for the taking. The UK’s hospitality sector isn’t just resilient; it’s vibrant and adaptive. It’s a force that’s ready to emerge from the current challenges stronger and more profitable.
If you’re looking to get more events in your venue for the remainder of 2023 and beyond, VenueScanner is here for you. We’re here to guide you through the process of seizing these opportunities. Let’s explore how your venue can navigate the path to a more robust and diversified future. Here’s to unlocking growth and thriving in the evolving landscape of hospitality.
