Dabbawal – Indian Street Food in Newcastle

Posted on 18/02/2012 by

Article by Ian Hanlon – A Coverpoint Senior Consultant

There is an awful lot of talk at the moment about “Street Food”. London has lots of it, and we are now seeing more and more outside the capital. We have projects in Liverpool, Leeds, Bristol and Cardiff, all cities with a growing “Street Food” culture.  Having pounded the streets of Newcastle City Centre all morning, due to the fact we have 2 major retail foodservice projects in the City and Gateshead on at the same time, it was time to stop, regroup and reflect on the days work.

With a long journey home, and even in the brand’s ‘back yard’, a Gregg’s Sausage Roll alone just wasn’t going to cut it on this particular occasion. Something more substantial, more wholesome and more ‘International’ was required to satisfy this meal occasion.

We know the City very well, and the Restaurant and Bar landscape in particular, as we have spent a significant amount of time advising on the future direction of foodservice in the City, including Eldon Square and earlier, The Gate. If you haven’t been to the City on a Friday night you have truly missed one of the 7 wonders of the alcoholic and party world!

It was during this particular project in 2011 where we came across Jalf Ali, the owner of the award-winning Spice Cube Indian Restaurant in the development. Part of our work at the time involved interviewing  Tenants “face to face” to understand their business, the issues and any opportunities or concerns that lie beneath the surface of a simple annual turnover figure.

Despite being 2011, I remember it well. It had been a long day and Jalf was the last of our interviewees, long after the majority of restaurants had closed for the evening. After an intriguing and informative session, it was past 10.00pm and Jalf sensed that we might be hungry, so he invited us to stay for dinner with him. The only problem – the kitchen had closed. Not an issue. We were cordially invited to stay and partake in ‘Staff Curry’, and, without doubt, it was one of the most flavoursome meals that we have ever tasted. Simply stunning – the staff are well looked after in this Restaurant!

Coming right up to present day now, with memories of the “Staff Curry” still in my head, I  took the time to drop in on Jalf to catch up on business and see how things were progressing. Not a lot had changed at The Gate, but Jalf had created  a new unit, Dabbawal, 6 months earlier, located on High Bridge, a little side street off the bustle of Grey Street.

The name Dabbawal is short for Dabbawalas, and as the website explains, is a tribute to the  ‘lunchbox men’ of Mumbai, who spend their days teeming through the Streets keeping the City fed. A quick look at the menu and ‘Indian Tapas’ leapt from the page. This was getting interesting.

The ‘small plate’ movement is growing at a pace – from the ‘original’ La Tasca, to the exciting offers found in Polpo and Bocca Di Lupo in London. This, coupled with the exciting Street Food movement, meant that a visit to Dabbawal for lunch was “a must”.

I was greeted immediately at the door and shown straight away to a nice, quiet, corner table, just right for a ‘Billy no mates’ lunch! The unit was, well, like any other Restaurant really – banquette seating, a smaller ante-room accessed through an alcove, presumable for more intimate parties, nice décor and good lighting. An open kitchen with a fiery tandoor oven was the only element to sing out ‘Indian’. I don’t really know what I was expecting, but images of ‘hawker’ stalls and the hustle and bustle of a Street market had flashed through my mind before entering.

I digress. Now to the food. I tried the small plate ‘Indian Tapas’ – 3 different varieties to ensure I got a good range of flavours and spices. The first tried was Lamb Chops marinated in ginger, paprika and peppercorns, served on a bed of crunchy cucumber and red onion. The 3 chops were moist and succulent but with the ‘charred’ and crispy fat that only a tandoor can achieve, and with a definite kick of ginger and chilli. Delicious.

Next came Punjabi Chilli Chicken Tikka in a chilli, cumin, garlic and ginger marinade. Not a hint of dryness about the chicken, as it was buttery soft and packed with flavour.

Finally, I selected the Citrus King Prawns with chilli, lemon grass and kaffir lime leaves. Three butterflied prawns arrived, served in the shell and swiftly opened up to devour the sweet, plump prawn. Now, it was at this point that I gave up with the knife and fork and went for the fingers option. I am told this is the traditional way of consuming, using bread as a “holder”.

And that’s the thing. I think of Indian Street Food as hand held ‘goodies’ cooked by hawkers on the streets, not served on stylish plates and eaten with a knife and fork. The presentation was more akin to Finer Dining than ‘rough and ready’ Street Food. Then I listened to the background music (told you it was a Billy no mates lunch), which appeared to be a combination of ‘authentic’ Indian sitar melodies, punctuated by mellow ‘New World’ compositions. Maybe, this is the concept – authentic Street Food delicacies, but with a contemporary twist.

The total bill for a very tasty and flavoursome lunch – 3 tapas dishes, a garlic naan bread and a Coca Cola, came to £19.75, without service. Value for money? Without doubt “yes” with the quality of ingredients used. The debris from my lunch, a pile of Lamb Chop bones and Prawn shells bearing testament to a very satisfied customer.

The food is great, the decor striking. Work on the presentation of the food so it isn’t quite so “restaurant” and it will be a hit, on any street.

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Novikov – The Russian “X Factor”

Posted on 12/02/2012 by

I have wanted to try Novikov on Berkeley Street in London since it opened, but hadn’t had the opportunity, or company, until last week. Mr G from the “corner shop” and I were due to have dinner together and he suggested Novikov “if I was paying”. It sounded reasonable, at the time.

We were due to meet in the Lounge Bar at 6.30pm and dine around 7.30pm in the Asian Restaurant, one of two, the other being Italian, in the same space. The first thing you need to know is that Novikov London is vast. Well over 400 covers, 2 restaurants and a basement lounge bar. This is dining on a grand scale but you also need to know a little bit more about Novikov, or should I be more precise and say Arkady Novikov, to understand what is going on.

He is Russia’s most famous and successful restaurateur. Arkady Novikov is the head of a gastronomic empire with more than 50 restaurants throughout Moscow. During my time in that City I have used several of his restaurants and it is always entertaining, and often the food is very good. This isn’t always the case and the Muscovite way of doing things can sometimes get in the way of having a great meal. Don’t get me wrong, I don’t mean the restaurant staff, but the customers. The fashionable and quality end of the restaurant scene attracts some interesting “characters”.

There is no doubt that Arkady Novikov has done well since 1992 when he opened his first restaurant. He is synonymous with “the place to be seen in” and that is why, dear readers, he has now landed, well and truly, on the London restaurant scene. If you read the blurb he has an enviable clientele including Vladimir Putin, Bill Clinton and Naomi Campbell. The opening of Novikov Restaurant & Bar in the heart of London, is a big statement. Rumours abound about the capital cost of the site. Some say it exceeded £20 million, which if true, makes the return on investment almost impossible, despite the turnover. However you all need to understand that if any restaurant is going to be the highest grossing in London, this may well be it, with a bit of luck.

Set across three floors, the venue has been created by Geometry Design from Moscow and was overseen by Keir Townsend,  Project Managers. The end result is startling, subtle and brash in equal measure, but impressive from any angle. The concept is subdivided into three distinctive spaces – the Asian Restaurant, the Italian Restaurant and the Novikov Bar – all with very different interior styling. The lighting is worth a visit on its own, to see how it changes through the evening. You arrive through the front door on Berkeley Street and immediately arrive at a bar counter, with hostess station. Beautifully dressed (and beautiful) people surround you quickly to check your reservation and send you in the right direction. The initial contact was a little confrontational until they knew I had a reservation. I suppose I didn’t quite fit the typical profile they were expecting.

We were booked into the Asian Restaurant, a 130 seat contemporary-style eatery, on the ground floor, but I was offered the Lounge Bar while waiting for my colleague from the “corner shop”.  I went downstairs and was impressed by the scale of the room, with much of it feeling like a library with comfortable seating. I sat and waited for my order to be taken, whilst marvelling at the extensive use of red lights in the ceiling. There were very few people in at that time, with almost as many staff as guests, but it still took 20 minutes to get a gin and tonic from the bar to my table. At £13.50 it should have been much faster.

The Novikov Bar has an unusual and eccentric collection of furnishings and objects from different countries and periods.  It sort of works, in that you can chose where you want to sit and the room is certainly capable of handling large volumes. A quick check later, during our meal, revealed it was packed.  

Mr G joined me and we had the same delay in getting a drink for him. Bizarrely, when service did arrive and a Gin and Tonic was asked for, no form of option was offered. A smart “turn on heel” and  10 minutes later a drink arrived. Too little attention to detail for the clientele that were gathering. It is pretty obvious that the Lounge Bar has already become one of the “social” locations in that part of town with some impossibly beautiful young things drinking copious quantities of champagne whilst enjoying other peoples company. A quick wander through the space and there were clearly lots of Russian guests, as well as English, Japanese and others. Truly multi-cultural.

We went up the beautiful staircase to the Asian restaurant, which has a visibly open kitchen with staff and cooking on display, very reminiscent of Roka and Zuma, as well as Dinner and Hakkasan. Some impressive comparisons.

We started with some Edamame beans and some Dim Sum. The beans were fine, the pork and crab Dim Sum lacked any real substance and some had “taken on water” so they were wet inside and not so pleasant. A small side order of Tempura Prawns excited and delighted – just what was needed at that point in the meal.

We then had some Tuna Tartar and a shared Peking Duck dish. The Tartar was very good, if a little small to share, but again lacked any boldness in the seasoning and spicing. We expected something a little more exciting, but it didn’t quite match the sort of products that I have had in Zuma or Roka recently, or in Japan for that matter. The prices certainly indicated that we should be expecting something special, but we will come onto that later.

We then had some Maki roll, Sashimi and Nigiri which was undoubtedly the high spot of the meal. Beautifully presented on a platter, with delicate flavours and finishing, this really was the best part of the meal so far.

Finally we ended with a Coconut custard and a caramelised apple. Both competent and pleasant but not “stand out” products. The wine list, dominated by Italian bottles, starts at what I would consider high prices, then goes higher. We had a nice bottle of Cartizze Bisol Prosecco, which was a perfect match for the food. Small bubbles, slightly sweeter and therefore a perfect accompaniment to the Asian cuisine. It reminded me of a memorable meal I had with my brother in Hakkasan when we consumed too many bottles of Pol Roger Rich, again a perfect semi dry fizz.

It has to be said that there are lots of staff, but the service is lacking the professionalism that you see in this pier group and at this price. On 3 separate occasions staff tried to deposit food on the next door tables to ours – food that the guests on those tables had not ordered. The drink service was good upstairs, contrasting starkly with the Lounge Bar. Not intrusive, not too “heavy sell” and paced just right. The food arrived in reasonable time after each order, but there was little or no dialogue.

I have made several references to the bill already. So here goes. Dinner, WITHOUT the gin and tonics or wine, was £120 a head, including the 12.5% service. There were many parts of the meal that were good, but it wasn’t consistent enough, or good enough. It could be as good as Zuma, Roka or Hakkasan but wasn’t on the night. A collection of small things need changing, but it will make a big difference. The prices are high, the service charge additional and so the delivery has to be better for Western European consumers.

So why the title “Novikov – The Russian X Factor”. Well it has to be for a number of reasons, three to be precise. First, Arkady Novikov clearly has “the X factor”. The restaurant was buzzing on a Monday night in February with snow on the ground. It is one of “the” places to go at the moment and he has international support so he will suceed.

Secondly, like the X Factor, it is in some ways trying to emulate original success. In the same way that “unknowns” come onto the stage and belt out a song from one of the world’s great Superstars, Novikov is trying to emulate the success of some major London competition – Zuma, Roka, Nobu and Hakkasan in this case. That is a hard act to follow and it isn’t there yet.

Finally, like the X Factor and the cult status that Simon Cowell has achieved with his female following, there were many tables in the Lounge Bar and Asian Restaurant taken by uninteresting, middle aged men with their trousers pulled up too high – but who were surrounded by stunningly beautiful and attentive ladies. I guess the men must be very good conversationalists!

The one thing you have to do with Novikov is admire it. This operation is slick, focused and very good at making people happy and pushing cash through the tills. It provides an achingly trendy and popular rendezvous, is heavily Russian orientated and for that reason alone will likely be a huge success in London, now and in the future. Welcome to the new economic order.

Вы будете наслаждаться опытом – (You will enjoy the experience!)

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The Jetty – Christchurch

Posted on 12/02/2012 by

First of all, I have to put this particular meal in context.  Any man on this planet will identify with the dilemma I have found myself in. I have been away an awful lot recently. Business in the UK has not been great, but Coverpoint have always worked around the world and we have had great success recently in Europe and beyond, but at a price. Those of you that spend time in airports, waiting to fly back and forwards on business, know it is not glamorous. So as we approached 14th February, “Valentines Day”, I had to think how we could celebrate in what is going to be our 25th year of marriage. The long suffering Mrs D needed some special treatment.

The early part of Saturday was spent visiting a litter of Chocolate Labrador puppies. We have decided to take the plunge and become dog owners again, after all these years and we were both excited and slightly nervous. We left for the coast knowing we were going to be proud owners of a handsome puppy christened “Bentley”, in just two weeks. We were heading for Christchurch, and The Jetty, now run by Alex Aitken and his most excellent team. This was the “romantic” dinner planned to celebrate 25 years together, in a place we go to regularly and have never had anything but the best food and service. No pressure then.

For those of you that don’t know, Alex Aitken was the former director of cuisine at Lime Wood in the New Forest and now passionately heads the kitchen team at The Jetty. The modern, stunning restaurant sits on the edge of the Harbour in the grounds of the Christchurch Harbour hotel. It’s a nice size at 70 seats in the Winter, expanding onto beautiful terraces in the Summer months. The building was designed by Baufritz architects, it is modern, custom-built and an innovative timber build, specifically chosen for its carbon-neutral qualities.

 

The site had been constructed for a previous kitchen master, Gary Rhodes, who opened Rhodes South in the building now occupied by The Jetty and a Brasserie in the Kings Christchurch hotel, which closed in November 2009. Rhodes originally opened the two restaurants in partnership with the Harbour Hotels Collection, the owner of the Christchurch Harbour and Kings Christchurch hotels, at the end of 2008. For a number of reasons it didn’t work, but having used both the “Rhodes” versions on several occasions, it wasn’t food quality that was the issue, simply a lack of atmosphere and too many formalities, which for these locations is just not right.

Alex Aitken on the other hand, could not be more different, apparently starting his career as a trawler man. He has spent 25 years cooking within the New Forest, running his own, very successful and well regarded restaurant Le Poussin in Brockenhurst. This was rewarded with a Michelin star in 1995. I had been several times and always marvelled at the local sourcing of product. This was over 15 years ago remember, so it wasn’t even on peoples agendas at that time. He then moved to Parkhill, which was then developed into Lime Wood, where Alex was both partner and director of cuisine. Alex has shared widely his love affair with local food and that is why we ended up booking The Jetty for this special evening.

 AJ, Charlie and the team were already into their stride when we arrived. We haven’t been for a while, for the reasons I have already outlined, but we were greeted and seated like old friends. AJ (Alex Aitken Junior) was on top form and had us seated and comfortable in no time, despite the need to get rid of outer layers due to the cold. A gin and tonic swiftly arrived as did some stunning little nibbles of garlic mussels, salmon and prawns and we were off!

We chose the Tasting menu, at £49.50 a head and added in the wine matching at £29.50 a head, giving a total of £80 for each of us. In comparison to London and South East prices this was much less expensive, so would it live up to expectations? Well yes, and some.

The whole experience took just over two hours. 7 courses of beautiful and delicate cooking, with perfectly sized portions allowing a full taste without having to consume volumes of the same food. That, in my view, is the essence of a “tasting menu”.

We started with an Amuse Bouche of butternut squash – warming, rich and very smooth. Somehow there was more body and “roundness” to it. At that point we had finished the Gin and Tonics and waited for the first of the tasting wines.

 The next course was a signature “Alex Aitken” terrine of roasted Poussin, foie gras and prunes, served with a Doisy 1990 Sauternes. A classic combination, with the terrine being chunky and very enjoyable, giving the opportunity to enjoy each part of it.

My favourite dish came next with Weymouth scallops and Pork Belly, washed down with a South African Gewürztraminer. A single plump scallop with a perfect square of pork belly and a surprisingly fresh glass of wine made this dish very special.

Then came the Solent Cod fillet with poached oyster and a delicious sauce of fine herb and cucumber, made even more impressive by the bed of beautifully cooked leeks it was sitting on. Again a perfect portion size, enough to enjoy the amazing flavours, but not an arduous task to finish. Served with a delightful Picpoul de Pinet which, on occasions, can be a bit acidic for my liking, this dish was the real surprise. It all worked so well.

We were then treated to the “Hairy Bikers” venison dish served with an Argentinean Malbec that had the body of Sylvester Stallone in a Rocky movie. Powerful, strong and a perfect match for the beautifully cooked venison. This dish and pairing is not for the faint hearted. The venison is lightly cooked, the wine is punchy, but they work really well together. It was at this point we needed a rest. Not because of the quantity of food, but because our palettes had been treated to some truly wonderful combinations. AJ was full of enthusiasm for the wines and delivered a nice introduction with each course, giving just enough information to understand why the wine was matched with the food.

I think it is important, at this point, to say why this restaurant works so well for us. The food is, without question, some of the best I have ever had. Fresh, locally sourced, high quality but also carefully prepared. The cooking is delicate, protecting the raw ingredients and allowing the natural quality to shine through. The atmosphere is relaxed, very well organised, but not formal. You immediately feel at home and that, to me, is why it works. We were served by at least 6 different people, but they all engaged, all served beautifully and added to our experience.

We then had a stunning salad dish of poached pear and creamy Isle of Wight blue cheese. Sensational with the chilled red dessert wine Banyuls. If you haven’t tried this do, it is like Port but so much better and a real difference on the dinner table.

Finally, the last dish arrived. A Passion Fruit Soufflé with sauce. Beautifully light, the Soufflé was cut and the sauce poured in. Tangy, sharp, sweet, light, fluffy, crispy, warm and smooth, all in one. Inspirational. The Monbazillac was stunning with this too. Perfect matches, perfect wines.

We finished with coffee. The bill, excluding service was £90 a head. I am not exaggerating when I say that it was one of the best meals I have ever eaten, and at that price, with those wines, was quite simply outstanding value for money.

Mrs D, my significant “other” is over the moon. We had a romantic dinner together, the food and drink were perfectly balanced and the portion sizes were just right. Neither of us felt like we had consumed too much and I am definitely back in the good books – until I have to fly to Amsterdam, Dubai and Istanbul in the next 3 weeks!

Thank you to the team at The Jetty – see you soon. It might be sooner than you think if I need to treat Mrs D again.

 

 

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Adapt and survive, you may even thrive!

Posted on 05/02/2012 by

 (First published in FSM Magazine – February 2012)

Just as I finish this article, Standard and Poor’s have downgraded the credit rating for France from the much prized, triple A, rating. Not something we would usually worry about, but in our connected “Euro zone” world that we now live in, it means yet more uncertainty for our UK economy. Most of the business community are now getting used to things not being “normal”. We haven’t actually had anything close to normal for 3 years now. In fact many businesses have failed in that time, have “gone to the wall” or have been cleverly “packaged” and taken into, and out of Administration, faster than you can say “debt write-off”. But many more have survived, and some have even thrived, and it is those that are catching my interest at the moment.

Those of you that know me, understand that we are not sector specific in our consulting advice. I am a great believer in taking great ideas and successes from the business and industry world and trying them in commercial operations, and vice versa. So. if you read the newspapers and magazines at the moment, you will see that many foodservice operators are doing ok. There are some exceptions, but that is more down to the recession exposing the existing weaknesses of businesses, rather than creating new problems. If you were always bad at credit control and cash flow, this recession is going to kill you off.

So for most businesses that are still trading, they have managed this by adapting what they do and therefore surviving. It might have been as simple as tighter credit controls, stricter Terms and Conditions, or moving into new business areas because existing ones have dried up or no longer create solid enough revenue streams. It could be that you have “got closer to your customer” and you have shaped and varied your service accordingly.

Sadly, I am not excited by the innovation and the approach to “adapting” what is going on in the Contract market at the moment. I have gone on record before and said this, but Contract Catering Partners are not the most “go- getting” when it comes to change. What I have found amazing is that if they are not doing it now, when are they going to? I am constantly being told how challenging the economic conditions are, how difficult it is to make the turnover from site populations  and how costs have escalated. Often I step out of these meetings and into another one with a High Street operator, on a commercial project or shopping centre. The differences are quite often stark and very revealing. Yes, they are finding it hard, but they are innovating, marketing and engaging with their consumers and they seem to be winning.

So is there anything at all that can be learnt from the High Street, right now, to allow Contract Catering Partners to adapt their offer, to survive and even thrive? Yes, yes and yes.

When was the last time you saw, in a business and industry site, a caterer offer their guests a special offer on a particular day when trade is traditionally very poor. “Orange Wednesday”, the promotion of free cinema tickets and the subsequent growth in turnover for many high street operators is just that. Pick your worst day, accept a lower margin and go hell for leather to grow your top line cash sales. Your worst day will suddenly be busier, with more cash coming in, and your consumers will be talking about it.

I cant remember seeing any form of “bounce back” being used in Business or Industry accounts. Let’s face it, you’ve all done the hard work and got the customer into your Cafe, Restaurant or Coffee Bar.  If you were on the high street, in current times, those same guests would be given a reason to come back, at a quieter time. An incentive, a reason to return, but no, sadly, most Contract Partners sit and expect the customer to just keep returning.

There is little or no evidence of “premium trading” either. All the talk is about less cash, less spend and cheaper food items. This is only part of the story and I can absolutely prove that a limited, “gone when it’s gone” premium offer does work. Putting 20 portions of lamb gigot on the specials board at a premium price, or a market fish offer at 30% more than the usual spend is not madness – completely the opposite. Don’t forget that some people are now taking their main meal at work, as it is cheaper and easier for them in the current economy. This means they might, jut might want something a bit better than the norm.

As “connected” consumers, we are also used to Groupon and Voucher Cloud offers, from the High Street operators. These time sensitive offers give great value for money and give certainty on the numbers and bookings. However I haven’t seen anything like this ever being used in a Contract environment. I have seen many half empty Restaurants, Cafes and Dining facilities that would benefit hugely from this sort of promotion. The operators would not need to use anything technical, just a simple bit of promotional material on site.

All of these examples work for high street operators, but why? Simple really, they bring more consumers to either quiet times of the day or week, or they promote greater value or lower price. Whatever the mechanism, more customers are brought into the facilities, more cash is handed over and more of the costs of running the operation are covered. Come on, face it, you can’t keep cutting labour and other costs, because you finally get to the bone. That leaves you one option only – grow your cash sales. Cash is what pays the wages, not margin and I am increasingly looking at Cash as the measure of success. If you want to know how its done, take a stroll down any high street – there are plenty of restaurant managers who will tell you exactly how they have adapted and survived. Some of then are even thriving – so can you.

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Union Jacks – Just don’t mention the “P” word!

Posted on 29/01/2012 by

Article by Adam Griffin  – A Coverpoint Senior Consultant

It seemed entirely appropriate to visit Jamie Oliver’s newest creation, on a grey, wet and windy January lunchtime in London – How much more British could it get? Nearly at the end of the month, with Christmas a decent memory, I found myself at Central St Giles. There was Union Jacks, the restaurant that Jamie Oliver and Chris Bianco have opened. The central products are “flats”, which look remarkably like pizza, but as Chris Bianco has said himself “they’re round circles cooked with fire, you cal them whatever you want!”

Chris has teamed up with Jamie after opening hugely succesful restaurants in Phoenix, which have a strong Italian strand, including Pizzeria Bianco, Bar Bianco and Pane Bianco. A true specialist and fitting contributor to the concept.

So “wood-fired flat breads with traditional british flavours” – sounds alright doesn’t it?

Entering its third month of trade, my visit was long overdue. With no reservation I arrived early expecting queues, but I was the first and chatted with the chefs, who were finishing off their ‘mis en place’, whilst the front of house team completed their team briefing. They certainly took their time, but it is always very re-assuring to see a team briefing in full flow, with all staff sampling the specials of the day.

A lot of thought has gone into creating Union Jacks, setting the menu aside for a moment, it’s a bit like going down memory lane, with classic padded plastic menu holders, ‘stripy straws’ and ‘Don’t you want me Baby’ by the Human League adding to the retro British vibe. We seem to be in a “retro” world at the moment, looking back towards better times, or at least we thought they were.

In fact Union Jacks brings together an eclectic mix of British memorabilia and I was half expecting to find plastic tomato shaped ketchup bottles on the table, but of course the menu wouldn’t suit that – no ‘greasy spoon’ favourites here.

The menu is simple, offering ten starters – some real British classics including potted shrimps, pate and prawn cocktail served in a Kilner jar, and some proper British desserts including the world famous arctic roll. However, the clever bits are the main courses, focussed on 7 ‘flats’, incredibly thin and crispy wood-fired flat breads, or “pizzas” to you and I, each one lightly topped with some very British combinations.

I’m not sure that there is much representation from Scotland, Wales or Ireland, who are, certainly for the moment part of the Union, but you cannot deny that the ‘Flats’ concept is a clever way of delivering a ‘British’ menu, using the humble pizza as a vehicle. British pizza doesn’t have the same ring does it?

I couldn’t resist the By-Catch Fish Fingers with Tartare sauce to start. They were great, crisp with a delicious Tartare, but there was not enough of them. My waiter tried hard to up-sell the Special Fish Pie Flat, it did sound good, and having seen the staff ‘road-testing’ it on arrival in their briefing, I was tempted. In the end I opted for the Old Spot Flat, mainly because I am a sucker for real crackling, and I wasn’t disappointed. All of this washed down with a great ginger beer complete with stripe waxed straw. I rarely have dessert, but couldn’t resist the Sticky treacle tart, which disappointed but only in its size.

All in all a thoroughly decent ‘British’ experience, well conceived and executed. It wasn’t especially busy, but it didn’t matter and in a month when the only other really British restaurant institution, Little Chef announced the closure of 67 of its roadside operations It is refreshing to see a clearly scalable British concept ready to launch. I’m not sure it will go viral in the same way Jamie’s Italian has gone, but that brand has broken all records in its growth and sales per unit levels, so I would never have thought it reasonable or likely that it could do the same.

The brand is opening in Chiswick shortly so I guess that will be the real test of scalability and longevity. The competition is fierce, the consumer very product and value focused at the moment and it has lots of local favourites to compete with too. If you can cut it there, you can do it anywhere.

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The UK just can’t get enough of Greggs

Posted on 13/01/2012 by

The consumer has spoken clearly in the results published yesterday by Greggs. You might laugh, but this brand now has over 1,500 stores in the UK, more than McDonalds and posted another impressive set of results. The company estimates that about 50% of the UK population does not currently have access to a Greggs shop! From this they believe there is potential for an additional 600 shops in the UK in the next few years. A very impressive estate, so what is the secret of their success?

Going back in time, the business began in the late 1930s when John Gregg delivered yeast, eggs and confectionary on his bicycle. The first small shop, with a bakery at the rear, opened in 1951, only 60 years ago. This was the same year that the Festival of Britain was held and Dennis the Menace first appeared.

Following the death of John in 1964, his son Ian Gregg took over the family business, which included seven delivery vans for the shop and bakery. Under Ian’s leadership, the first regional bakery was built in Newcastle and by the 1970s Greggs had expanded into Scotland, Yorkshire and the North West. Growth continued and Greggs now boasts over 1,500 shops, 10 regional bakeries, the savoury production centre, 2 distribution centres and 375 delivery vehicles. Impressive indeed.

More impressive is the bumper Christmas and New Year just reported in their  trading update. The chain said sales over the five weeks to 7 January were up 10.8% overall and by 5.1% on a like for like basis. In the deflationary world we live in at the moment, this is better than solid. Over the whole financial year to 31 December, Greggs total sales rose by 5.8% and 1.4% on a like for like basis.

The highlight appears to have been the “seasonal range”, which included sales of more than 7.5 million sweet mince pies. That’s nearly 5,000 for every single store in the company.

84 new shops were opened in 2011, more than they have ever achieved in one year, with a further 90 openings expected to follow this year. This growth is certainly providing Greggs competitors with plenty to think about and especially the launch of the a new format from the baker, Greggs Moment.

 Moment, the new format being trialled by the business, seemed like a good option for breakfast as I trudged through the streets of Newcastle today. A quick look on my iphone and I am sure I would find it. However, I was a little confused when 15, yes 15 Greggs stores came up in Newcastle City Centre. I knew they were keen on their beloved Greggs up here, but 15 stores is bordering on the obsessive! There may well be more, it certainly felt like that.

Located on Northumberland Street, the Greggs Moments has a completely different look and feel to the rest of the estate. Not surprising really, as I am certain this was the aim. Coverpoint were lucky to work with Greggs over 15 years ago and we enjoyed the openness and honesty of the business and the people. I remember casting my eye over some of the trading figures then and thinking the combination of self production and high unit sales was a winning formula. We helped point them in the right direction for foodservice product at that time, as they moved from a High Street baker to the most prevalent purveyor of lunch in cities and towns. That is a really important point. The future was never going to lie in selling people a loaf of bread or a box of cakes, no matter how good they were. The supermarkets would see to that. Greggs have been masterful in the way they have “surfed” the eating out market, increasing their sales along with the trend for consumers to “eat on the go” and buy lunch around their workplace.

This hasn’t come without its difficulties. You need to be prepared to do some maths now to appreciate the quandary that Greggs has given UK shopping centre Landlords. They do phenomenal sales. Central Birmingham stores, in locations like the Bull Ring, clip £1 million in sales annually. These sales are made up of lots and lots of very low transaction values. You really can eat very cheaply at Greggs. Say the average transaction is £1.50 – that’s 670,000 people being fed a year. That same 670,000, if they didn’t have the Greggs “option” would probably still spend, but would likely fork out an average transaction nearer £2.20 per head. That’s £470,000 of additional revenue that Landlords wont get turnover rent on.

So turning to the Greggs Moment store, it’s bright, clean, but very different from the usual Greggs fascia and merchandising standards. There is a lack of harsh and bright colours but the signature orange has still been retained to provide a subliminal link to the “mother” brand. On Northumberland Street, Newcastle, historically one of England’s most expensive high streets outside London in terms of commercial rents, this unit sites next to Costa and along from an M&S Fresh Kitchen.

The restaurant design, is radically different, quirky and thoughtful. Philip Watts, of Philip Watts Design was the man behind the look and feel of this concept and various other brands. It is the first dedicated coffee shop and eat-in Cafe as the vast majority of the estate have no seats – you buy and walk.

 It is well put together. Great finishes quirky touches like the bowler hat lights, open cake displays and real wood furniture set it apart from the “other” high street contenders. where else do you see Union Jack sofas and wooden ducks flying in single file across the walls!

The food and drink was, as you would expect, good quality and good value. The displays were more open, with less packaging, more accessible presentation and thankfully, not chilled to within an inch of its life. A service kitchen sits behind to deliver out the finished product. They have even included high level power sockets for laptop users.

I have no idea how the unit is trading, but by the evidence of today it is doing well. The impressive thing for me was the food offer. Most other coffee orientated offers have had to work very hard to deliver anything close to a decent food offer. Greggs have come at it the other way. They have a good, no nonsense, value for money food offer. The most interesting thing is the coffee is great too. If you are up in Newcastle you won’t miss Greggs, they are everywhere, but take the time to visit this store, if only for a “moment”.

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Little Chef – Hear the BBC Radio Interviews

Posted on 12/01/2012 by

Listen to the radio interviews with Jonathan Doughty on BBC 5 Live and BBC Wales, recorded on 11th January 2012, following the announcement of the closure of 67 Little Chef restaurants.

Please click on the links below to hear the interviews.

Radio 5 Live Interview

Radio Wales Interview

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The Fat Chef Gets Slimmer – The Little Chef “Diet”

Posted on 12/01/2012 by

It was a sad day, today, when Roadside restaurant chain Little Chef confirmed that it will close 67 sites and shed between 500 and 600 jobs. Sad for those people who work in the units and sad for the brand that has had such a difficult time in the last half a decade.

In a statement the company said these sites had been trading “unprofitably for a number of years”. What lies behind this statement is anybody’s  guess, but I am sure it goes back to before the current grinding, and deep, recession. More importantly for the future of the brand, the company believes their closure would allow Little Chef to focus its resources (money) on developing its more successful restaurant sites. As ever, once the closures and staff consultations have been completed Little Chef will operate just  94 sites and employ approximately 1,500 people. This is one big drop from the heady days of having over 400 restaurants and being the de-facto standard for roadside food.

I, like many, remember with great fondness certain locations for Little Chef that my family used to use on the way to distant lands, like Brighton and even Kent. Cherry pancakes, milkshakes and Olympic breakfasts were part of my childhood whilst sitting by the A23 and watching the cars go by. I guess the staff who have stood by the brand have been doing a lot of that lately – watching the cars go by.

The current Chairman of Little Chef,  Graham Sims,  said today that when the business was rescued from administration by private equity firm RCapital in 2007, it inherited a number of sites with leases that were uncompetitive. This was almost entirely due, I surmise, to the sale and leaseback of over 60 properties when under the ownership of the Peoples Restaurant Group. The £52 million paid for the business was quickly recouped by the £60 million gathered from the sale of these sites to Arazim Property. A net gain of £8 million. Sadly not very much found its way into the sites to deliver the much promised “reinvigoration” of the brand. Coffee Tempo arrived, as did various other initiatives, but sales slowed and by January 2007 the business was in administration.

“Despite very hard work from some very committed colleagues, we have been unable to lift the performances of these sites to a level where they are viable,” Graham Sims said. “Consequently, following a thorough review in which we considered all the options, it is with regret that we have had to close a number of sites. By closing these sites we will be able to focus our attention on protecting over 1,500 of our colleagues’ jobs and enabling our investments to be targeted on our remaining strong sites and to develop our brand and our New Concept – towards which the customer response has been very positive.”

This makes sense, no matter how bitter this pill is to swallow. The legacy of the sale and leaseback means that the business has rent to pay, and whilst it was probably a reasonable rent level in 2005, the erosion of turnover, changes in customers purchasing habits and the cold wind of recession have taken their toll. You can imagine how an “affordable” rent becomes a mill stone round the neck of the business very quickly. Little Chef were losing business in all sorts of directions. Consumers wanted it quicker, cheaper, better and the business under the old management, just couldn’t respond in time.

RCapital  are a good business, with gifted people who know what they are doing. They have a sound and long track record of turning businesses around but even they have been challenged by this inherited problem. Had we not had the recession, had customers not been a lot more careful with their cash and had there not been such a growth in competition, this probably wouldn’t have happened. Who knows.

There is a delicious irony in this story though. The same Graham Sims that is now Chairman of Little Chef was also Retail MD at BP. Great credentials for the job, but also one of the leading companies that developed its foodservice proposition in Wild Bean Cafe that did so much damage to Little Chef. So it is no wonder that the revamp by Michelin-starred chef Heston Blumenthal, has focused on great product quality, fresh cooking and reasonable price. It also helps that the 13 stores that have received the “new format” are bright clean and have good toilet and support facilities. Industry information and the statement today suggests a more positive future.  ”Overall, Little Chef continues to trade strongly.”

RCapital bought the majority of the business and assets, saving 193 of the 235 restaurants in 2007. Today we learn that there will be less than 100. The company’s strategic plan is to expand its business by opening and introducing new sites over the coming years. This is quite possible and we need to recognise that the road network and transport infrastructure has changed dramatically since the birth of the brand in 1958. Some stores have been converted to Starbucks, others to motorcycle accessory shops and even some to “Adult” stores – or so I am told! Little Chef have a job to do to grow again, but they would never have done it with that mill stone, as I have already said.

Look at the results from Greggs, issued on the same day as the news about Little Chef, and you can see how the foodservice consumer is behaving right now. Extraordinary value, offers and discounts, “big eats” for small money are all out there, keeping the consumer buying.

Rather unfairly I beleive, the GMB union, which has members at the chain, said the situation showed private equity was a “disaster” for jobs. GMB senior officer Paul Maloney said: “This is dreadful news for the employees in these restaurants due for closure. Little Chef has had so many owners over the past decade that GMB members have struggled at times to keep up with who owns what. “What GMB members have had no difficulty in following is the extent to which the private equity owners asset stripped the organisation with the sale and leaseback of land at unaffordable rents which killed off hundreds of restaurants. “Little Chef has shared the same history as Southern Cross and the pubcos in being financially engineered to death. Private equity has been a disaster for jobs while enriching the multimillionaire elite.”

Some of this is true, but it is not fair to lay blame at the feet of RCapital in my view. They have invested, they have improved and they have achieved. It is the legacy of the sale and leaseback, way back in 2005 that has been their undoing. “Charlie”, the symbol of Little Chef, will no longer be over the door of 67 units. This will, as Graham Sims put it, allow the remaining 94 sites to survive. He said the 18 restaurants boarded up on Wednesday were losing “in excess of £10,000 a year before rent” and had “dragged down” the rest of the company.

In an interesting twist, given his past with BP, Sims also said it was finally time for Charlie to face up to competition from other, faster, alternatives on Britain’s motorways. “I used to run BP in the UK and created BP Connect and the BP Wild Bean Café,” he said. “Now I’m going to start attacking BP”.

Nobody knows how Little Chef will do in the coming year. There is too much uncertainty in the economy for that. However one thing I am certain of, RCapital have made a major step forward today in protecting “Charlie” for the future.

Anybody want 67 restaurant sites, going cheap? Thought not.

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CH & Co acquires a 50% stake in Apostrophe

Posted on 09/01/2012 by

PRESS RELEASE FROM APOSTROPHE

Catering Group CH&Co has announced today that is entering into a joint venture with Apostrophe, by buying a 50% stake in the business. CH&Co has also acquired a master franchise agreement from Apostrophe, which will allow CH&Co to deliver the Apostrophe brand at its catering venues, including popular visitor attractions and office environments.

Apostrophe opened its first outlet in Shoreditch, East London, in 2001 and is now present in 18 locations in central London, Heathrow and Gatwick. CH&Co is a privately owned corporate and commercial caterer and has been trading since 1991. It currently owns six operating brands and Ampersand, the public attraction and venue catering business in the CH&Co portfolio, already runs an Apostrophe outlet outside the Tower of London. “This joint venture offers new horizons for CH&Co commercially and wider choice for our clients gastronomically,” said Tim Jones, Chairman of CH &Co. “Increasingly our clients are seeking premium quality high street brands in their own in-house environments.

To help meet this desire we can now offer the benefits of Apostrophe at visitor attractions or in the workplace. Apostrophe enjoys strong brand recognition and has tremendous potential to grow. We look forward to being part of its future success.” “As a joined force Apostrophe and CH&Co offer a unique proposition in the market place, combining a leading high street presence with industry leading contract catering expertise,” said Amir Chen, CEO of Apostrophe. “This joint venture gives Apostrophe the ability to grow into new markets, which were previously inaccessible. It also provides Apostrophe with additional fire power to expand its presence on the high street and underpins a focused and ambitious growth strategy for the future.” This growth strategy will make its mark imminently, with two new Apostrophe outlets opening in the City in early 2012.

COVERPOINT COMMENT

An interesting alliance and knowing both parties really well, I think they are a great cultural fit. I love the coffee too! This is another example of the quality and provenence of a brand coming to the front. Looking forward to seeing how they bring the two together in future against the mainstream, high street, competition.

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New Year, Same Challenges

Posted on 03/01/2012 by

First published in FSM Magazine January 2012 www.fsmmagazine.co.uk

Let’s be honest, nobody expected the current economic gloom to continue as long as it has. The newspapers and radio have been full of bad news on the run up to Christmas and how bad the retail sector is right now. The economy is not improving and the Euro zone crisis has left a massive cloud over the end of 2011 and the beginning of 2012.

In the world of foodservice we have some really odd things going on. The High Street continues to trade ok but this is mostly in the South East and some other key locations, it is certainly not across the board. Discount vouchers, special deals, value products and bundling have kept the consumer buying and most of these operators are doing ok. Margins have been squeezed but cash continues to come in and bills continue to be paid.

So looking to the workplace, what are the challenges going to be in 2012? The giveaway is in the title of this article – they are essentially the same as they have always been, but like the recession, these challenges are harder and “deeper” than any of us ever thought they would be. So let’s have a look at some of these and see what could be done in the world of foodservice in the work place.

The first, and biggest challenge, simply is the number of people being catered for on site. We have seen some massive shifts in site population over the last 3 years, pretty much since the collapse of Lehman Brothers in September 2008. Good friends and colleagues of mine were caught up in this, and there is no longer any certainty to the number of people on each site. Companies are “down-sizing”, not recruiting or closing locations and bringing them together. All necessary stuff, but the caterer has a tough job to try and keep the workforce satisfied and, to put it bluntly, the Client, who will want the same standards and no higher subsidy, even if the workforce numbers have reduced. I know it is a bit of a company mantra for us, but “partnerships” will only work if both parties are truthful with each other about the site population numbers.

The second challenge is the agreed budget between the parties. Often months of negotiations have gone into the service specification and budget, and then at the tap of a keyboard (often from the Finance Director) savings are being sought from the Foodservice Partner. Not easy if you have set up the operation to meet the service specification. Client and Foodservice Partners then need to go into another round of budgets and forecasts, all spiced up with a pressure to reduce costs. Putting a gun to the head of your catering contractor isn’t going to get what you need in the long term, but it is a tactic that is still being used in these challenging times.

The third challenge, and this has to be laid at the door of some of our Contracting Partners, is that they simply don’t have the skills or abilities to trade economically in difficult times. Our business spends a lot of time managing Contracts and I am too often appalled by the complete lack of commercial understanding that some of these companies display. No knowledge of average spends, no idea what people are buying, why they are leaving site not eating, what dietary requirements are missing in the offer and a host of other, most basic issues, that prevent them from running the site economically.

It has been said that this recession has taught people to be thrifty and careful again. I am certain that it is teaching some Foodservice Partners, in a very painful way, that there are a range of skills needed to run a foodservice Contract. It is not just about great food, it is not just about staffing, or hygiene, but about balancing the costs with the revenue. That is where I find most of the “partners” wanting. They simply don’t know how to generate sales in a declining market. There is an abundance of great examples on the High Street on how to engage with consumers and get them to keep buying, and how to promote and drive sales, but I sometimes feel it is falling on very deaf ears.

The fourth challenge has crept up on us all and has had a profound effect in 2011. Price increases on food and drink have again damaged margins and are likely to do the same in 2012. Whether it is the actual cost of the goods, or the increasing cost of getting them to us, we saw significant price inflation in 2011. Some contractors were already smart and were using cheaper cuts, lower cost but quality ingredients to offset the increases, others just tried to pass these onto Clients. I am not saying they shouldn’t be, but a bit of price mitigation would have been nice first. At the end of the day, the recipes are set by the Contracting Partners, so they should be able to re-specify to offset some of these cost increases. The other thing that bugs me is when a Contractor tries scare Clients and Consultants into price increases. Not a helpful strategy and it will always get the same response from me – what have you done first to try and offset this?

The last really big challenge for me is that of price comparison. Our consumers have not seen prices in their supermarkets go up, mostly because the “price war” between the big groups continues unabated, keeping value to the consumer high and prices on the shelves low. Consumers in our canteens and restaurants especially, seem to delight in drawing comparison with what they can purchase at their nearest Tesco, Asda or Sainsbury’s, not taking account of the space, people and preparation that go into it. We are also seeing those same companies setting up shop on the doorstep of office buildings, hoping to lure consumers out of the building with the promise of cheap, quality food. M&S at Baker Street and Sainsbury’s Fresh Kitchen on Fleet Street are just two examples.

I am concerned about this coming year. I am concerned because we are all going to have to “dig deep” to achieve the goals and targets that we are being set. We are going to have to be more collaborative and more creative than ever before. Most of all however, some companies just aren’t going to make it, if they don’t figure out, pretty quickly, how to meet and beat these challenges.

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