Author: Harri Jaaskelainen, 21 September 2017

The much awaited UK retail property conference REVO is in full swing in Liverpool.

It has been great to see the industry people coming together to connect, to make deals and to share ideas, knowledge and industry news. I particularly like how the retail property industry is embracing the constant, unavoidable technological change, with all sorts of innovative solutions being made available for the benefit of the many parties involved.

As well as having a busy day meeting with clients and colleagues, the first day of REVO was a particularly big day for us as we launched MENU, the F&B market segmentation matrix. For those of you who weren’t able to make it to the launch event, here is a quick summary of why FSP identified the need for MENU and, more importantly, how it can help you to create an F&B provision that best matches demand.

FSP's Food and Beverage segmentation MENU

We launched a nationwide survey 6 months ago to understand what drives F&B demand. We spoke in depth with a representative sample of over 1,000 respondents from across all regions of the UK. We wanted to establish how the average usage and spend differs between different demographic segments and geographic locations within the UK. We now have a detailed understanding of how the UK population spreads its F&B spend in terms of:

  • what drives eating out choices
  • where spend is committed by both segment and operator
  • how much is the average spend
  • how often people visit

During the research we discovered that there are two main drivers of F&B demand;   respondent life stage and the occasion, or the ‘mindset’ one is in. These two variables provided statistically the most significant variances in terms of F&B demand.

This allowed us to segment the market and the total F&B spend between the categories. This is easily represented on the MENU segmentation matrix.

FSP's MENU matrix
Harri Jaaskelainen launching MENU

You may ask “what is in it for me?” In summary, MENU allows you to:

  • Quantify demand for your location
  •  Assess existing provision to identify over-provision and gaps
  • Create the optimal F&B operator mix provision for your location, matching demand
  • Compare locations and provide a compelling case for target operators
  • Drive customer satisfaction, footfall, visit frequency and spend
  • Strengthen lease negotiation position, drive rental growth and increase asset value in the longer term

Following the launch we heard lots of positive feedback and how timing for this could not be better as both the operators and investors continue to monitor the uncertainty that is prevailing in the current F&B market.

If you are still at REVO for the second day, please stop by at Stand 52 today. If not, please email me at Harri@fspretail.com to hear more

FSP MENU Launch at Revo 2017

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