The highly anticipated event on May 7th gathered together more than 100 members online to hear what Johnny had to say how about how China is coping with the easing out of lockdown and to gain some insight on lessons we can learn in the UK.
Flexibility to meet demand
As in the UK, Bidfood Asia has had to change its business model to meet the change in consumer shopping habits. Selling direct to consumers for the first time has led to the creation of its own dedicated consumer platform and the introduction of smaller pack sizes.
Rebound is happening quicker than expected
Despite social distancing – restaurants are limited to 50% capacity, 1m distance between tables and a maximum of four per table – the reopening of the industry is happening quicker than expected. Johnny explained this is because consumers simply want to go out and see their friends; they’re not spending money on big luxuries but spending on socialising. Consequently, this is impacting the Michelin-starred restaurants, who are having a tough time; the spend is with lower-end to mid-market restaurants. The main spend is at lunchtime, as consumers eat out as part of their working day, rather than in the evening.
Closures are inevitable but there is opportunity
Whilst many restaurant closures are expected, other restaurants will benefit from the new custom. And, as rents begin to decrease, opportunities will open up for new operators.
New trends
To cater for the ‘new’ eating out market, Johnny highlighted that they are seeing an increased demand for ready prepared products, as a result of reduced staffing levels. Demand for healthy, organic food and vegan options is also on the rise and technology, both from a B2B and B2C perspective is becoming increasingly predominant.
Partnerships are crucial
To support wholesalers, supplier brands need to be flexible in terms of changing consumer attitudes and have the agility to work with wholesalers. Relationships are vital in these fast-changing, challenging times, wherever you are in the world.