Business

The future strategies of fresh food markets in Australia – what's on the horizon?

The future strategies of fresh food markets in Australia – what's on the horizon?

This year we have had the privilege to provide food consultancy for some of Australia’s best fresh-food markets; both existing and under redevelopment. Our exposure to projects such as the new Sydney Fish Market, Adelaide Central Market (both under redevelopment), plus Melbourne’s Queen Victoria Market and Camberwell Market have provided us with contemporary insight and research into the opportunities, challenges, management and direction of large and small footprint, fresh food and specialty produce market-retail.

Adapting to Changing Consumer Food and Hospitality Needs Amidst Rising Cost of Living Pressures

Adapting to Changing Consumer Food and Hospitality Needs Amidst Rising Cost of Living Pressures

As the cost of living pressures continue to bite in Australia, consumers are becoming increasingly discerning about where, when and how much of their disposable income they spend on eating out. For shopping centre management and F&B operators, this scenario presents a partnership opportunity to plan and implement strategies to adapt to new consumer F&B spending patterns and continue to drive visitation, overall spend and maintain or increase asset value. In this article, we delve into practical strategies that shopping centres and F&B operators can employ, considering the specific needs of different customer segments, to maximize visitation frequency and spending in a time of escalating cost of living.

Customised EOI procurement strategies – find the right F&B partner to achieve best practice outcomes.

Customised EOI procurement strategies – find the right F&B partner to achieve best practice outcomes.

Future Food has long been recognised as a leader in Food & Hospitality Master Planning. However, in the past 5 years, we have assembled a new specialist skill set that involves actively managing expressions of interest (EOI) and tender campaigns for a wide range of companies and sectors. This niche service is gaining popularity in the food and hospitality industry, and at Future Food, we have revolutionised the methodology of connecting our clients with the talent they have been seeking for the betterment of their assets, precincts, and venues.

Two Cultures – One Contract – Using Leadership to Deliver

The culture of a company, the shared set of values, goals, attitudes and practices that characterise an organisation, are critical to the success of any business particularly in attracting and retaining employees.

In organisations where food, hospitality and catering form an integral part in supporting the business goals – the culture of a traditional commercial catering company engaged to deliver and execute the food vision – must adapt to reflect and fit in with the same values.

Failure to adapt the culture and execute the food vision, not understanding and meeting the needs and wants of the customer/employee base, risks damaging the client’s corporate culture creating a gap in expectations and contributing to employee/customer turnover. 

The culture of a company can take years even decades to build, culture is a long term game and not something that should be eroded by a short term strategy or financially motivated quick fix gains. 

In an ever-changing world of food and hospitality, the expectations of corporate clients and their customer or employee base have never been higher in supporting the company culture. Expectations are fuelled by experiences in the retail world of food and beverage which continues to set the benchmark and evolve, offering improved food quality, creativity, convenience, service and new concepts in design driven spaces.

By contrast, the culture in many traditional commercial catering companies is not aligned with modern day expectations, often looking to outdated food and service models. The company ‘culture’ inherit in many of the traditional commercial catering organisations in Australia has typically been static and not evolving, lagging behind the expectations and culture of their client’s organisation.

Herein lies the issue for the larger traditional commercial catering companies. How can the culture of a slow moving, cost minimising, revenue maximising, food and service laggard be transformed into an adaptive, agile, customer-centric and solutions focused innovator that not only executes the food vision as promised but enhances the client’s culture? 

In a word, leadership.

Over the past two years, Future Food have engaged with many commercial catering companies through our expression of interest campaigns and F&B strategy projects on behalf of our clients. From local councils with community focused cafes to ACMI in Melbourne, Port Melbourne Yacht Club, Malthouse Theatre, Northern Beaches Hospital and multi–national companies like BHP, feeding 10,000+ employees three times a day – leadership has been a defining element for adapting the catering company culture to meet the needs and expectations of the client and their customer/employee base.

While it is no surprise that leadership shapes the culture of a company, it is the alignment of the leadership team from the managing director through the catering organisation down to the office-based or onsite manager that forms the strongest indicator of success for executing the food vision day after day. 

For commercial catering to be successful and sustainable, leadership alignment must start with the Expression of Interest (EOI) or Request for Tender (RFT) documentation with the client articulating their vision of food and hospitality along with the specific requirements of the catering and service required.

The processes mentioned above are intended to source, select and secure the best fit commercial catering company that aligns to their needs and company culture. Identifying and defining the leadership required from the outset sends the strongest possible message to the commercial catering business development team on the importance of having leadership at the forefront of their model to ensure the best cultural fit and deliver on the vision for food and hospitality.

During the selection process, it is not always possible to have names against the leadership structure at the site level, but this can be readily addressed by defining the structure, roles and responsibilities while demonstrating recent success with mobilising new contracts. Leadership principles can be further demonstrated through the recruitment process priorities, internal management development and key leadership retention programs.

Although key leadership personnel will change on both the client and catering teams, articulating strong key strategy drivers (KSDs) for leadership and staff retention during the EOI or RFT will create a framework for success over the longer term. These KSDs can then be translated and measured through key performance indicators (KPIs) in the final contract terms to provide a complete circle of continuous improvement.

The importance and influence of leadership on culture between the two companies cannot be overstated and is often only truly tested in challenging times. Aligning leadership and the culture between the client and the commercial catering company doesn’t stop at winning and mobilising the contract.

Leadership is a live, constantly evolving process that needs to be nurtured and developed throughout the life of the contract – during good times and bad – to build the partnership and ensuring the company culture is enhanced; contributing to employee and customer retention. 

The Australian Craft Beverage Movement – Reshaping the F&B Landscape

The Australian Craft Beverage Movement – Reshaping the F&B Landscape

The craft beverage movement has been building significant momentum over the past 10 years and has subsequently reshaped the liquor industry as we know it. With craft brewing, small scale local distilleries and small batch wine production capturing greater market share year on year, we are seeing a shift in the market towards quality over quantity and experiential over mainstream.

How food and hospitality can flourish in the next normal

How food and hospitality can flourish in the next normal

Retail Relationships Rewarding Foodies

As we witness the gradual relaxing of restrictions placed on food operators state by state and an uncertain return to trading, one thing is certain – the Food & Hospitality will inevitably recover. In fact, the latest credit card data from both the ANZ and CBA shows that spending on F&B is coming up from its lows.

People are social creatures by nature, with hospitality ingrained in our way of life - albeit it to differing degrees from person to person granted! Moreover, there is still a considerable amount of latent demand: Pre-COVID levels of demand for F&B were not a fad as consumers’ interaction with Hospitality is a practice that has been building over the last two decades.