[Review] Hospitality, Leisure, F&B: are you ready for the rebound

Published on 2020-04-15

On 14 April, the British Chamber Shanghai invited experts from Deloitte and China Skinny to discuss how we can bounce out of the COVID-19 situation, especially in regards to the industries of hospitality, leisure, F&B in China.

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Kicking off the session, Deloitte Financial Advisory Partner Jimmy Chan shared the findings of a joint catering industry survey conducted by China Cuisine Association and Deloitte in February and March (to view the survey ‘餐饮消费新格局助推行业加快数字化转型 | Impact of COVID-19 on Finance and Operations in the Chinese Catering Industry’). Respondents came from 26 provinces and major cities across China.  

The key findings include:

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Jimmy summarised companies’ predicaments during the pandemic (as below) and advised on corresponding countermeasures. 

  • Reopening and the impact on dine-in customer numbers
  • Corporate cash flows and finances
  • Staffing needs and affected departments
  • The pandemic’s effect on delivery orders
  • Delivery platforms’ current commission and ideal range

Further suggestion on measures for catering companies to improve operating and financial cash flows were also shared by Jimmy. 

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The COVID-19 outbreak is for sure bringing negative impact on China’s catering industry in the short-term, but this challenge can also be viewed as an opportunity for businesses to take advantage of new possibilities in the industry’s long-term transformation.  

Following Jimmy, Deloitte APAC consumer products and retail sectors leader Tian Bing Zhang shared his view on the future of quick service in the restaurant market and discussed the digital transformation from a consumer scenario view. Tian Bing also introduced solutions for enterprises to develop a sharper competitive edge and be better positioned for the consumption rebound to come.

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Mark Tanner then drew on his experience at China Skinny which has been closely monitoring the pandemic’s impact in consumer behaviour and business adaptation since January. In his presentation, Mark shared case studies of solutions and strategies that have been applied by some businesses to minimise the impacts and capitalise on the opportunities from the crisis.

BritCham Shanghai members can email Hilary.Wu@britishchambershanghai.cn to receive the webinar recording and presentation slides.