Revolution Bars Group is confident the demand for its late night business will return as the cost of living crisis eases, CEO Rob Pitcher tells MCA.
The bars business has picked up this year and NPS is higher than ever, indicating demand remains although accessibility is an issue, according to Pitcher.
“We’ve never seen the NPS higher,” he says. “The offering is good and really resonating with guests, they just can’t access it as much as they used to.
“Bars are definitely picking up this year, although they’re coming back from a challenged space. So we think the future is positive and need inflation to continue to fall.”
The Revolution, Revolucion de Cuba, and Peach Pubs operator reported overall group like-for-like (lfl) sales down 8.7% vs pre-Covid in the year ended 2 July 2023.
“We’ve not seen any disparity across the UK; it’s more about rail strikes,” Pitcher adds. “We’ve got another pay weekend coming up disrupted by industrial action. That seems to be the biggest factor.
“The market remains challenged, but when things recover, bars will perform well.
“We’ve clearly delivered on market expectations from a profitability point of view.”
Peach Pubs, meanwhile, saw full-year lfl sales 14% ahead of pre-Covid. The group is pleased with the performance and will look to grow the brand “when the time is right,” according to Pitcher.
“Peach continues to go from strength to strength,” he adds. “It’s an award-winning group of pubs and the hospitality offered is fantastic.
“It’s also based in wealthy community towns with an affluent guest base where the cost of living crisis has had less impact.
“We feel happy with the balance of the estate. Would I like more pubs right now? Yes, I absolutely would, but our base will rebound strongly post-crisis.”
Peach has seen a “pretty even” mix on growth across food and drink, with early summer weather helping drink sales in particular, he says.
The group is also “really excited” for its Founders & Co food hall concept, which has significant growth opportunities on the high street.
Revolution further reported Christmas pre-booked revenue was up 24.7% compared to the same period in FY22, showing strong corporate demand during the festive period.
“We’re looking forward to hopefully buoyant Christmas trading for the first time in a while,” Pitcher adds.
