Welcome to the August edition of Bord Bia's Ireland Market Foodservice Newsletter – albeit circulating on 2nd September!
w/c 12th August we were out and about for a series of Face to Face trade interviews as part of our 2019 Irish foodservice market insights research. Next week we will be undertaking consumer ‘dine alongs’ to gather further insights on existing consumer behaviours and attitudes when it comes to eating out of home. Before the end of September we will open online registration for our 2019 Irish foodservice seminar that is taking place on 13th November in Citywest Convention Centre – confirmation of speaker line up and agenda to follow.
General Industry News
Tourism Ireland comments on CSO figures indicating modest growth of +2.8% in overseas visitors for January-July 2019
www.tourismireland.com– 29.08.2019
Commenting on figures published by the CSO for overseas visitors to Ireland for January to July 2019, Niall Gibbons, CEO of Tourism Ireland, said: “Today’s figures from the CSO indicate that overseas arrivals increased by +2.8% in the first seven months of 2019. However, the month of July has shown a continuing weak trend – with a fall of-0.5%. “The figures for January to July indicate a very mixed picture – with a modest performance and some continuing underlying weakness from Britain (+0.5%) and Mainland Europe (+2.2%), but with North America (+6.4%) and long-haul markets (+7.1%) showing growth so far this year. Feedback from industry partners on the ground suggests weaker demand in the peak summer season and a late booking pattern, with concern being expressed for the remainder of 2019”.
Consumer confidence in Irish economy at six year low
The Irish Examiner – 13.08.2019
Consumer confidence in the Irish economy is at a six-year low. That is according to the latest KBC Bank consumer sentiment index for July. It has seen a sharp drop compared to June, with Brexit, the jobs market and spending power the main worries among consumers. Chief Economist at KBC Bank, Austin Hughes, said while Brexit is their main concern, there are also other factors behind people's downbeat views. "During the survey period we also had a number of high profile domestic warnings about recession, about over-heating. When consumers are struggling to understand what Brexit might do...it just makes consumers altogether more confused about their economic outlook."
Norwegian has confirmed it is stopping its transatlantic flights to Ireland from next month.
The Irish Examiner – 13.08.2019
The airline has blamed the global ground of 737MAX aircraft for the decision. The airline said it would continue to fly 46 non-stop routes between the US and Europe using Boeing 787 Dreamliner aircraft, but Ireland will lose out. Non-stop services to Cork and Shannon ended in March with the grounding of the 737 MAX aircraft and passengers were rerouted to Dublin flights out of both Providence and Stewart. The airline said the service to Dublin from the two US cities and, also Hamilton, Canada, continued, but will now end with the last flight from the U.S. – both Providence and Stewart – on September 14, arriving in Dublin on September 15.
Quick Service Restaurant (QSR) Sector & Pub Sector
Record revenue at Krispy Kreme in Blanchardstown
www.rte.ie – 22.08.2019
The record-breaking Krispy Kreme doughnut store at Blanchardstown in Dublin enjoyed average weekly revenues of almost €300,000 last year. A spokesman for Krispy Kreme Ireland said that the store remains "the best performing" Krispy Kreme store across the 1,300 strong network in 31 countries. In terms of new store openings in Ireland, the Krispy Kreme Ireland spokesman would only say: "Whilst we have no confirmed plans we are looking to open more stores in to Ireland in the future."
Rugby stars pocket profits from their two Dublin pubs
The Irish Times – 21.08.2019
Two Dublin pubs co-owned by some of the biggest names in Irish rugby last year recorded combined profits of €415,876. Accounts from the companies behind the Lemon&Duke off Grafton Street and The Bridge 1859 in Ballsbridge show that both pubs enjoyed a lucrative year in the 12 months to the end of February this year. The co-owners of the pubs are Rob Kearney, Jamie Heaslip, Seán O’Brien and Dave Kearney.
Hotel & Restaurant Sector
The Well, Dublin’s Newest Bar, Opens on Stephen’s Green
Food For Thought – 31.07.2019
Dublin’s newest bar has opened on Stephen’s Green, on the site of the former Dandelion venue.
The Well is billed as a multifunctional bar, and is split into two distinct areas – a café-bar, coffee shop & restaurant upstairs, and an event space at basement level. The new venue serves a range of coffee, beers, wines, spirits and a bespoke cocktail menu along with food from the on-site kitchen operated by Dublin Pizza Company. The Well also provides a co-working space. Speaking on the launch, Dan MacDonnell, Partner, The Well said: “We are delighted to be opening the doors of this new and vibrant venue at one of Dublin’s most prominent locations. The Well will provide something for everyone, whether it’s business meeting over coffee, catch up with friends for drinks and pizza, or a quiet creative space to work”.
Paddy McKillen jnr’s Press Up selling stake for up to €50m
Irish Times – 16.08.2019
Press Up’s owners are seeking to secure €45 million-€50 million for a 45 per cent stake in group, a figure that is based on the chain’s enterprise value of more than €100 million. The share sale relates to Press Up’s trading operations only and does not involve any of the properties in which its 46 bars, restaurants and hotels operate. The company’s portfolio, which includes the Stella Theatre, Angelina’s, Captain Americas, Elephant & Castle and the Dean hotel are mostly located in buildings delivered by Mr McKillen jnr and Mr Ryan’s development business, Oakmount, which is operated independently of Press Up.
Casual Dining Sector
The Happy Pear to open new Café at Dublin Airport
www.hospitalityireland.com – 20.08.2019
The Happy Pear is set to open a new café in Dublin Airport's first terminal next month. The Dublin Airport outlet, which is being opened in association with global food service group HMSHost International and will be located beyond terminal one's security screening area, will offer customers a wide range of healthy food on the go, including healthy cakes, a selection of vegan and vegetarian offerings, signature Happy Pear sandwiches, salads, soups and hot food bowls, and The Happy Pear's pesto and hummus products. The new café will also serve Happy Pear hand-roasted coffee.
Contract Catering Sector
Sodexo appoints Margot Slattery as Global Chief Diversity Officer
Irish Times – 29.08.2019
International service and catering group Sodexo has appointed a new Global Chief Diversity Officer, with its Country President for Ireland Margot Slattery taking up the role. Ms Slattery will take up the role from September 1st, with the current Managing Director of Corporate Services Julie Ennis replacing her as Country President. Sodexo employs 3,700 people around Ireland, working on 230 sites. The company provides food and facilities management services for companies involved in finance, pharma and technology, with well-known names such as Ervia, Gas Networks Ireland, Bord Bia, the Central Bank, PayPal, Dell and Microsoft among its clients. Its businesses in the Republic and the North had a combined turnover of €141 million in 2018.
CH&Co acquires Gather & Gather
www.thecaterer.com– 18.08.2019
CH&Co has announced the acquisition of Gather & Gather and Creativevents from Mitie. The caterer said that bringing the workplace caterer and events business into its growing portfolio would increase turnover by £137m.The deal will see catering continue to be supplied to Mitie by Gather and Gather under an exclusive partnership agreement.Bill Toner, chief executive officer, CH&Co said: “This acquisition is a key part of our growth strategy and represents a great opportunity for Mitie, Gather & Gather and CH&Co. “We also welcome a significant number of new clients to our family and we’ve gained a footprint in Ireland. It’s very much business as usual for all parties involved; the Gather & Gather name will be maintained, and clients will still deal with the same people as they do today.”