Episode 2023: A New Hope

2022 saw us take detours, dodge curveballs and weather storms that no one could have foreseen. Whilst few ended the year completely unscathed, it is important to learn from the difficulties of the past year and use those to positively influence 2023.

In lieu of a trusty crystal ball to reveal what the future may bring, we turned to our members to share with us their hopes, aspirations and of particular importance, their needs for 2023. It goes without saying that targeted action is a must in order to actualise these goals and whilst creative problem solving and innovative thinking go hand in hand with independent hospitality, it would be short sighted to ignore external influences that would help the sector to thrive. Despite being one of the largest contributors to the U.K. economy, the needs of the hospitality sector are often overlooked. Nevertheless, by identifying the specific areas in which help is needed, we can help to drive deliberate and targeted change for the betterment of the sector. Subsequently, we also asked members what external support they felt would help the industry to ‘strike back.’ Our crystal ball has yet to shine light on whether this support will materialise in the needed manner, but in this article from Issue 48 of Catering Quarterly, we explore the indisputable importance of targeted aid that would undoubtedly benefit the industry throughout 2023.

A New Hope

It is clear that there is a shared hope for growth and evolution this year, with many members seeking to branch out and expand their businesses. For Ed of Ed Bakes, 2023 will be ‘a year themed as a push for growth. Our artisan bakery […] is still in its baby stage and we are hoping 2023 will enable us to grow the team and substantially scale up our productions and diversification of our baked goods.’  Vimal of Baked Bird shared a similar hope for ‘more exciting […] new opportunities in the street food sector, alongside the growth of Baked Bird.’

For both businesses, 2022 has left them wanting more, but one can’t help but wonder what key lessons from last year, have shaped and driven their aspirations for this year. For Vimal and Baked Bird, the key take away is information. ‘Choose your events and festivals wisely, do not just believe what [you’ve heard] in terms of numbers, do your research and ask other traders about their experience.’ With this mentality, traders can make better informed decisions about what events to prioritise this year and how these events can help facilitate the growth of their business. Sophie and Holly from What the Cluck emphasise the importance of ‘trusting the process and staying true to yourself. It’s so easy to worry about what’s going to happen next, but as long as you’re sticking to your core values as a business […] things will work out in the end.’

It is important to be prepared and to have a plan for your business. However, life is often the part in between plans and there are only so many things within your control. Taking a leaf out of both What the Cluck and Baked Bird’s book, we can see that thorough research, coupled with a trust in the groundwork that you have already done, can encourage your business to grow organically (no pun intended), guided by past experiences and research.

A key goal for any business is growth, whether that is a larger net profit, expanding menus or branching out into new fields. Nevertheless, there are other areas in which businesses can show growth, such as an increased awareness of global concerns such as sustainability. The ‘need to act together and be more responsible around environmental factors’  stands now more than ever. Other areas of growth could include evolving the way your business operates, creating a strategy to retain staff, getting that website in place, better promoting what you do across social media or setting up collaborations with other independents. In short there are lots of moving parts when it comes to growing your business.

The Industry Strikes Back

So how do we go about securing this growth? Individual accountability is an important factor in this and by taking steps to review your previous year and identifying what well and what needs improvement, businesses can ensure a targeted approach throughout 2023. Moreover, innovative thinking, garnering inspiration from others and ensuring that you stand out from the crowd will further help to bring these goals within reach. Nevertheless, external support also plays a role in making these goals attainable. The current economic crisis, coupled with continuing efforts to recover post-covid, have left the industry in desperate need of external support. It is integral that we look within the industry to discover what kind of support can help to actualise these goals.

Governmental support at both local and national levels can be the extra push that enables many businesses to thrive, not just survive, this year. A stable economy was at the top of many businesses’ Christmas Wishlist, however, just like consistent sunshine in July, this can be prove to be a big ask. 2022 highlighted how external factors can have a massive knock on effect to supply chains, in both availability and price, and how energy crises disproportionately impact the sector. Though the root cause of these issues are outside of industry control, industry specific considerations can help to reduce any negative impacts.

But what would this support look like? For What the Cluck, welcomed support would come in the form of revisiting the structure of VAT and recognition of the impact that it can have on independents. ‘During lockdown when VAT was reduced, it was a massive help and it would be a massive help again. Very few of the products that we buy have VAT on them but as soon as we make them into our delicious street food we are charged the full 20%.’ Soaring energy prices and the impact of the cost of living crisis on the spending power of consumers, renders, for many, VAT an additional financial burden. Subsequently, adaptions in the structure and implementation of VAT so that it better reflects the economic pressures felt by the industry, has the potential to alleviate gratuitous financial strains.

Comparatively, others have noted the impact of increasing event and festival fees and their impact on accumulated profit. Baked Bird echoed that paying large commission rates can make it harder to make a profit due to very small margins. ‘Events and festivals are already incredibly hard work for traders and it would be therefore be helpful for the events industry to have a greater understanding of this and reflect this understanding in their rates.’ The notion of affordability can also be extended to retail parks and market halls etc. with Vimal noting that ‘there needs to be more platforms made available for smaller street food businesses to thrive in.’

And so how does the industry strike back? By identifying the specific areas in which external support is needed, the industry, and the collective voices within it, can champion and advocate for the betterment of the sector; striking back against policies that fail to recognise their unique needs.  And this is where NCASS comes in. We will continue to support our members throughout 2023 by looking for opportunities to secure the growth of the sector. Additionally, we will continue lobbying government, at both local and national level, highlighting the challenges that the sector faces and the possible solutions to counteract these difficulties.

Return of the Sector

In Issue 47’s article Independent Innovation we explored the ways in which businesses can attract customers and consequently boost the rejuvenation of high streets. From using seasonal and local produce to ensuring strong branding across all platforms, the drive for growth begins with the internal choices that an individual business makes. Yet, these choices have wider implications for local and national economies through the subsequent revival of town and city centres as cultural hubs. Therefore, when actioned in tandem with specific and considered support from governmental bodies, these choices can have a greater, more tangible impact for both the individual business and the wider community. In and of itself the sector does not need to ‘return’; it never went away and has in fact continued to fight and thrive in spite of unprecedented adversity. Nevertheless, in order to go back to its Jedi Knight level glory (we had to make a direct pun at least once), the importance of external support and the difference it will make to the ‘return’ of the sector in 2023, should not be ignored.

You can read other articles featured in our quarterly magazine and stay up to date with industry news here. You can also monitor government announcements that may impact your business and the wider industry here.