By Triana O'Keefe, editor Australian Hotelier
Without a growing customer market, and with added regulatory and legislative pressures, the need for hoteliers to reinvest and remain relevant is more pressing than ever before.
According to Ferrier Hodgson's Morgan Kelly, in order to retain and grow market share, operators must entice customers to their venues over other offerings in a saturated market.
"Customers now have higher expectation than ever before," he said.
"Small bar atmospheres, point of difference themed venues, quality food and beverages, design decor – even all this is sometimes not enough."
Kelly urges operators to keep agile in a rapidly evolving market by constantly reinvesting in their venue.
Pat Connolly of Colliers International suggests hoteliers should consider two markets when planning to make improvements to their properties.
"First they must consider their own day to day customers – the eaters, drinkers and punters – or in other words, their income," he told Australian Hotelier.
"The second is the hotel property and business market – the person who will eventually purchase the hotel – or in other words, the value."
JLL's vice president pub investment sales Mitchell Humphreys agrees that pub owners must be across all facets of their business from food, wine, beer selection and service.
"The pub design, its architecture and theme have all become topical for patrons, which is creating more pressure for operators to constantly update and spend capital on their venues," he said.