October 2014: What Recent Market Activity is Telling Us About the Hospitality and Pubs Industry in Australia

Corporate Finance & Restructuring

October 13, 2014

A range of transactions and events have occurred in the industry which have highlighted a number of key issues and trends. In this update, we take a closer look at five key themes currently relevant to licensed venues, and the underlying transactions and events which support and illustrate significant changes in the industry.

Changing consumer tastes are influencing hospitality offerings
The proliferation of “small bar” venues, the popularity of craft beer and cider, and the increasing sophistication of customer expectations and food tastes are fundamentals that are driving changes in the hospitality offerings around Australia. The growth of small bar venues, particularly driven by favorable licensing schemes, has had a major influence on traditional large licensed venues such as pubs. This has extended to aspects such as the food offering (cuisine, presentation) and the design and ambience demanded at venues undergoing renovation (intimacy, décor, small multi-purpose spaces).

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