Country Range Group Managing Director Coral Rose has warned there’ll be no immediate bounce back for the hospitality industry after Covid-19.
Talking on TWC’s Sound Bites series, Rose admitted that while foodservice wholesalers would be there to support their customers as they make the first steps back to a new normal as the peak of the outbreak passes, consumer habits and restrictions will mean things won’t just return to the way they were.
“While outlets may reopen, people may not choose to eat there,” said Rose, who is also FWD’s Chair.
“Lots of people are doing different things and discovering different foods, and enjoying evenings in their own home. It has to be an experience when you go out and what sort of experience is that if somebody is serving you in full PPE? I’m not quite sure.
“Fine dining will be a tricky one, and it’ll be more about fast and casual business and takeaways. People may want to get some decent cooking if they’re sick of their own, but that experience might be in their own home, which alters the shape of the industry.
“I can’t see there being any big gatherings this year, so anything related to that – conferencing and banqueting elements, big dinners throughout the industry may not happen. I don’t think there will be a quick bounce back.”
Listen to Rose’s full interview on TWC’s Sound Bites
Hospitality in particular will rely on innovation and adaptability to find a new way of flourishing in a market severely impacted by the coronavirus outbreak and that extends to their wholesalers too.
While Rose says Country Range Group members have all remained open and reacted quickly to support consumers, care homes and local authorities during the crisis, most are still operating at between 60 and 70% down on revenues.
The added strain on independent wholesalers is likely to continue for some time to come and Rose says it’s her quest – both in her role at Country Range and at FWD – to make sure their voices are heard.
And while she understands and sympathises with the challenges facing larger wholesalers too, it’s the challenges facing independents that she feels for most.
“The difference with the larger wholesalers is that they will have reserves or they’re part of a larger global organisation that’s got the support them, whereas an independent wholesaler is a family business,” Rose adds.
“For independents, it’s based on what savings you have or what profits you’ve got, so there’s less to rely on when the business stops.
“The other thing to say is that independent wholesalers may not ordinarily get the visibility that the larger wholesalers have had. For example, look at the food programme for those who are shielding. While it’s great that Bidfood and Brakes have done all that, they were the only ones who were given the opportunity to take that business.
“That said, our members are working with lots of local authorities and delivering food parcels and working in their local communities in that way. We [Country Range Group members] are a strong group and nobody has closed their doors, or has any intention to do so. We’re strong and we’re resilient.”
Watch the full interview on TWC’s Sound Bites, which includes chats with a host of industry figures.
wholesalers’ account teams sit down to manually do the maths.
And what of lobbying for more share of product? It’s essential for local stores to access product as consumers seek to shop local. It is exceedingly difficult for wholesale to make the case for fair share without the market data to demonstrate the total impact it has on local communities.
A strong market read for all wholesale routes to market could really make the difference, transparently reporting stock throughout from wholesaler to outlet to consumer to unequivocally show wholesale’s essential role in the supply chain.
So, what would we like to see on the other side of this? As much as we hope the lockdown works to minimise infection and reduce mortality, what about the channel? Maybe more homeworking and less travelling for a 30-minute meeting? Perhaps less conferences, more webinars?
But, more importantly, effective digital strategies among wholesalers and their suppliers and better visibility of data for joined-up planning and reporting.