The death of the high street.
Discussion
Brooking10 said:
Neither would I.
I was replying to the suggestion from Helicopter that there could be an opportunity for a lower end Italian to compete with burger and chicken joints which are most definitely QSR.
You're so out of touch.I was replying to the suggestion from Helicopter that there could be an opportunity for a lower end Italian to compete with burger and chicken joints which are most definitely QSR.
https://youtu.be/lBgmZr4vU14
wisbech said:
How much is home delivery hurting places like Jamie’s? I presume much cheaper to supply from kitchens using non prime real estate.
I think the combination of low initial margins, high business rates and rents, increases in minimum wage and auto-enrolement pensions (which increases significantly in April) and too much choice on the High Street all conspired. I've never been a Jamie Oliver fan per se, however I do think he's tried to do right by the business (including chucking £4m of his own cash in earlier this year), but it's the overall market conditions that have sunk it.
janesmith1950 said:
I think the combination of low initial margins, high business rates and rents, increases in minimum wage and auto-enrolement pensions (which increases significantly in April) and too much choice on the High Street all conspired.
I've never been a Jamie Oliver fan per se, however I do think he's tried to do right by the business (including chucking £4m of his own cash in earlier this year), but it's the overall market conditions that have sunk it.
Losing 15 is sad - that’s done some good work. Presumably it was being propped up by the rest?I've never been a Jamie Oliver fan per se, however I do think he's tried to do right by the business (including chucking £4m of his own cash in earlier this year), but it's the overall market conditions that have sunk it.
Re the rest, JO had no credibility in the Italian market - why visit?
I disagree about QSR and Italian - there are lots of ways to achieve the objectives without wastage, but the whole operation has to be geared around those mechanisms and methods, which is at odds with the image of “lots of little Jamie’s hard at work cheffing”
skwdenyer said:
Losing 15 is sad - that’s done some good work. Presumably it was being propped up by the rest?
Re the rest, JO had no credibility in the Italian market - why visit?
I disagree about QSR and Italian - there are lots of ways to achieve the objectives without wastage, but the whole operation has to be geared around those mechanisms and methods, which is at odds with the image of “lots of little Jamie’s hard at work cheffing”
We may be gong round in circles but I wasn’t suggesting Jamie’s was a QSR format !Re the rest, JO had no credibility in the Italian market - why visit?
I disagree about QSR and Italian - there are lots of ways to achieve the objectives without wastage, but the whole operation has to be geared around those mechanisms and methods, which is at odds with the image of “lots of little Jamie’s hard at work cheffing”
I was saying that for a variety of reasons the UK isn’t right for a QSR Italian offering which as suggested by another poster could “compete with the burger and chicken chains”.
Helicopter123 said:
saaby93 said:
classicaholic said:
Jamie Olivers just gone tits up, funny that as its always been busy when I have been in.
-https://www.bbc.co.uk/news/business-48352026
Did anyone go there?
I visited the Victoria one a few years ago in it's opening week when they were discounting all food and non-alcoholic drinks by 50% whilst they trained their staff. A meal for 4 of us (with no wine or beer) came out at nearly £100 and that was half price!!!
Helicopter123 said:
amusingduck said:
Helicopter123 said:
saaby93 said:
classicaholic said:
Jamie Olivers just gone tits up, funny that as its always been busy when I have been in.
-https://www.bbc.co.uk/news/business-48352026
Did anyone go there?
This article mentions Brexit, so you can resume normal service now and ascribe it to Brexit. We all know you're itching to do so
1) It's a British-based Italian restaurant chain which made big of the fact that it used genuine Italian sourced ingriedients. Those have increased in price since he EU referendum as a direct result of the fall in the value of the Pound against the Euro. Surely a significant dent in their already slim margin?
2) Not sure what consumer confidence is like in your friendship group, but all my friends (middle-to-upper tier income earners, 40+ yr old professionals with families, South East ... total target market for JO) are tightening the purse strings because of Brexit uncertainty. Despite denials to the contrary from Leavers, people are not spending their money on luxuries, because they are worried about the short-term future. When you're at the higher end of the casual dining sector price wise this is going to hurt you, as evidenced here.
I am in probably one of the most non Brexit industries you could think of and we have seen business drop off a cliff the last 3 months.
A lot of my friends who own small businesses are reporting the same thing. We are down about 50% this month despite good conditions for trade.
It does not matter if you import wine from France or sell shoes made in Cumbria. People are not spending, despite the govt trying to cover it up with promising job figures etc.
I think this year is going to bite really hard for a lot of businesses.
A lot of my friends who own small businesses are reporting the same thing. We are down about 50% this month despite good conditions for trade.
It does not matter if you import wine from France or sell shoes made in Cumbria. People are not spending, despite the govt trying to cover it up with promising job figures etc.
I think this year is going to bite really hard for a lot of businesses.
PurpleTurtle said:
Helicopter123 said:
amusingduck said:
Helicopter123 said:
saaby93 said:
classicaholic said:
Jamie Olivers just gone tits up, funny that as its always been busy when I have been in.
-https://www.bbc.co.uk/news/business-48352026
Did anyone go there?
This article mentions Brexit, so you can resume normal service now and ascribe it to Brexit. We all know you're itching to do so
1) It's a British-based Italian restaurant chain which made big of the fact that it used genuine Italian sourced ingriedients. Those have increased in price since he EU referendum as a direct result of the fall in the value of the Pound against the Euro. Surely a significant dent in their already slim margin?
2) Not sure what consumer confidence is like in your friendship group, but all my friends (middle-to-upper tier income earners, 40+ yr old professionals with families, South East ... total target market for JO) are tightening the purse strings because of Brexit uncertainty. Despite denials to the contrary from Leavers, people are not spending their money on luxuries, because they are worried about the short-term future. When you're at the higher end of the casual dining sector price wise this is going to hurt you, as evidenced here.
100%
An interesting challenge for our local city (Newcastle) is going to be the proposed clean air tax. It's currently bring debated but essentially there are two options:
- £12.50 charge for cars in an emissions type zone similar to London
- £1.70 to use of the bridges to cross the River Tyne.
Both are very unpopular and have taken in just under 20,000 comments via the consultancy. This is reported as being a record for such schemes. The council are arguing they have no choice and are blaming the government.
I suspect they actually have no intention of the zone type charge and will introduce a toll for the bridges, trying to give the impression that "it could have been worse".
I think all this will do is force more people to use the retail parks and Metro Centre.
It will be interesting to see what happens and how it pans out over time. It will certainly impact the shops in the city centre as a lot of places do not have good public transport links unless you're on the metro line.
- £12.50 charge for cars in an emissions type zone similar to London
- £1.70 to use of the bridges to cross the River Tyne.
Both are very unpopular and have taken in just under 20,000 comments via the consultancy. This is reported as being a record for such schemes. The council are arguing they have no choice and are blaming the government.
I suspect they actually have no intention of the zone type charge and will introduce a toll for the bridges, trying to give the impression that "it could have been worse".
I think all this will do is force more people to use the retail parks and Metro Centre.
It will be interesting to see what happens and how it pans out over time. It will certainly impact the shops in the city centre as a lot of places do not have good public transport links unless you're on the metro line.
red_slr said:
I am in probably one of the most non Brexit industries you could think of and we have seen business drop off a cliff the last 3 months.
A lot of my friends who own small businesses are reporting the same thing. We are down about 50% this month despite good conditions for trade.
It does not matter if you import wine from France or sell shoes made in Cumbria. People are not spending, despite the govt trying to cover it up with promising job figures etc.
I think this year is going to bite really hard for a lot of businesses.
Yet speak to the delivery guys and there’s no slow down with on line sales.A lot of my friends who own small businesses are reporting the same thing. We are down about 50% this month despite good conditions for trade.
It does not matter if you import wine from France or sell shoes made in Cumbria. People are not spending, despite the govt trying to cover it up with promising job figures etc.
I think this year is going to bite really hard for a lot of businesses.
Heard on the radio earlier that Marks and Sparks are potentially in trouble again.
I can recall a time back in the 1990's when one Christmas it was estimated that something like one in six of all gifts bought were from M&S.
Am I correct that they still own a lot of their properties or were they sold off for short term profit and then leased back.
I can recall a time back in the 1990's when one Christmas it was estimated that something like one in six of all gifts bought were from M&S.
Am I correct that they still own a lot of their properties or were they sold off for short term profit and then leased back.
threespires said:
With Labour's promise of a £10:00 p/h minimum wage, will high street shops see increased spending as folks will have more cash in their pocket or will the increase in their costs force more shops to close? [Assuming Labour win next time]
Anyone on minimum wage now who has kids will, in reality, be getting a LOT more than £10 per hour anyway with tax credits and other associated benefits ''topping up'' their wages. wage stagnation is he driving force behind people having less disposable income, look at the police force pay increases since 2008 as just one example.
Another issue is the councils inability to adapt to change in consumer habbits, they could potentialy give high street shops business rate relief and offset that against retail parks/online businesses paying more as just a quick example.
The customer experience is still poor in many shops.
Another issue is the councils inability to adapt to change in consumer habbits, they could potentialy give high street shops business rate relief and offset that against retail parks/online businesses paying more as just a quick example.
The customer experience is still poor in many shops.
mike74 said:
Anyone on minimum wage now who has kids will, in reality, be getting a LOT more than £10 per hour anyway with tax credits and other associated benefits ''topping up'' their wages.
So £10ph for say 40hrs pw for 48 weeks is £19,200. There will be a small amount of tax deducted.The benefit cap in greater london for a single person is about £15k (£13.4k outside)
With kids (single or couple) that rises to a massive £23k inside greater london, £20k outside.
So, in london, with kids, your a "LOT" more is actually £3.8k (before tax) which is about (wait for it....) 5p an hour.
Lucky them...after 6 hours they might be able to afford a bag of sweets from the newsagent.
When was the last time you spent 5p on something? It is a tiny amount of money.
Highlights from this are:
- majority of in work benefits are for people working part time who have to meet full time housing costs
- the huge gap between perception and reality when it comes to a pistonheader's view of how much benefits actually are. Yes, there will be ctb and housing benefit as well, and universal child tax up to an earnings limit, but the idea in work benefit receprients are basking in some sort of generous monthly allowance is just a myth people indulge in.
- happy for my back of envelope maths to be critiqued by someone more familiar with this. Out of work benefits is a somewhat different topic: the quote I replied to was about minimum wage in the context of impact on the high street (abd presumably the "real" valve staff generate to a business vs. what they cost to employ)
- let's not mention the london living wage, provision for a sensible old age pension
Ian Geary said:
So £10ph for say 40hrs pw for 48 weeks is £19,200. There will be a small amount of tax deducted.
The benefit cap in greater london for a single person is about £15k (£13.4k outside)
With kids (single or couple) that rises to a massive £23k inside greater london, £20k outside.
So, in london, with kids, your a "LOT" more is actually £3.8k (before tax) which is about (wait for it....) 5p an hour.
Lucky them...after 6 hours they might be able to afford a bag of sweets from the newsagent.
When was the last time you spent 5p on something? It is a tiny amount of money.
Highlights from this are:
- majority of in work benefits are for people working part time who have to meet full time housing costs
- the huge gap between perception and reality when it comes to a pistonheader's view of how much benefits actually are. Yes, there will be ctb and housing benefit as well, and universal child tax up to an earnings limit, but the idea in work benefit receprients are basking in some sort of generous monthly allowance is just a myth people indulge in.
- happy for my back of envelope maths to be critiqued by someone more familiar with this. Out of work benefits is a somewhat different topic: the quote I replied to was about minimum wage in the context of impact on the high street (abd presumably the "real" valve staff generate to a business vs. what they cost to employ)
- let's not mention the london living wage, provision for a sensible old age pension
I understood the cap applied to benefits, not income including them? The benefit cap in greater london for a single person is about £15k (£13.4k outside)
With kids (single or couple) that rises to a massive £23k inside greater london, £20k outside.
So, in london, with kids, your a "LOT" more is actually £3.8k (before tax) which is about (wait for it....) 5p an hour.
Lucky them...after 6 hours they might be able to afford a bag of sweets from the newsagent.
When was the last time you spent 5p on something? It is a tiny amount of money.
Highlights from this are:
- majority of in work benefits are for people working part time who have to meet full time housing costs
- the huge gap between perception and reality when it comes to a pistonheader's view of how much benefits actually are. Yes, there will be ctb and housing benefit as well, and universal child tax up to an earnings limit, but the idea in work benefit receprients are basking in some sort of generous monthly allowance is just a myth people indulge in.
- happy for my back of envelope maths to be critiqued by someone more familiar with this. Out of work benefits is a somewhat different topic: the quote I replied to was about minimum wage in the context of impact on the high street (abd presumably the "real" valve staff generate to a business vs. what they cost to employ)
- let's not mention the london living wage, provision for a sensible old age pension
Brooking10 said:
PurpleTurtle said:
Helicopter123 said:
amusingduck said:
Helicopter123 said:
saaby93 said:
classicaholic said:
Jamie Olivers just gone tits up, funny that as its always been busy when I have been in.
-https://www.bbc.co.uk/news/business-48352026
Did anyone go there?
This article mentions Brexit, so you can resume normal service now and ascribe it to Brexit. We all know you're itching to do so
1) It's a British-based Italian restaurant chain which made big of the fact that it used genuine Italian sourced ingriedients. Those have increased in price since he EU referendum as a direct result of the fall in the value of the Pound against the Euro. Surely a significant dent in their already slim margin?
2) Not sure what consumer confidence is like in your friendship group, but all my friends (middle-to-upper tier income earners, 40+ yr old professionals with families, South East ... total target market for JO) are tightening the purse strings because of Brexit uncertainty. Despite denials to the contrary from Leavers, people are not spending their money on luxuries, because they are worried about the short-term future. When you're at the higher end of the casual dining sector price wise this is going to hurt you, as evidenced here.
100%
And yet 1 in 3 are set to vote for Farage.
Shocking.
Helicopter123 said:
Brooking10 said:
PurpleTurtle said:
Helicopter123 said:
amusingduck said:
Helicopter123 said:
saaby93 said:
classicaholic said:
Jamie Olivers just gone tits up, funny that as its always been busy when I have been in.
-https://www.bbc.co.uk/news/business-48352026
Did anyone go there?
This article mentions Brexit, so you can resume normal service now and ascribe it to Brexit. We all know you're itching to do so
1) It's a British-based Italian restaurant chain which made big of the fact that it used genuine Italian sourced ingriedients. Those have increased in price since he EU referendum as a direct result of the fall in the value of the Pound against the Euro. Surely a significant dent in their already slim margin?
2) Not sure what consumer confidence is like in your friendship group, but all my friends (middle-to-upper tier income earners, 40+ yr old professionals with families, South East ... total target market for JO) are tightening the purse strings because of Brexit uncertainty. Despite denials to the contrary from Leavers, people are not spending their money on luxuries, because they are worried about the short-term future. When you're at the higher end of the casual dining sector price wise this is going to hurt you, as evidenced here.
100%
And yet 1 in 3 are set to vote for Farage.
Shocking.
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