Pub chain Orchid’s investment beats off the late night market blues

16th August 2010, 12:05pm

Orchid Group’s late night clubs and bars are reaping the benefits of the group’s £1.5millon-plus investment programme, enjoying healthy growth despite a challenging market for rival operators.

Ultimate Leisure, Orchid's late night clubs and bars division, is bucking the trend which has seen many venues close their doors for good.

Figures from market research Company Mintel show that 355 nightclubs closed over the past year, with the trend continuing to see around six venues fail each week.

Adam Bowers, head of marketing for Ultimate Leisure said: "The High Street and late night market has always been challenging. A few years ago consumers had little choice but to pay to go into a nightclub at the end of the evening, but were often faced with a poor experience all too often driven by low price and a lack of investment.

"With pubs, bars and restaurants now open later, customers have plenty of choice. Those companies, who fail to invest in their retail offer, are less able to differentiate themselves and evolve in what is now a highly competitive market. Currently, Orchid is one of the few businesses actively investing in the late night market, and the results, so far, have been very encouraging."

Here are some examples of work they've done:

Bambu nightclub has re-launched in Newcastle, with a fresh, vibrant look and innovations including Party Pods Private karaoke, which can be hired for parties of up to 16. The venue is taking an average of circa £30k per week in its typically quieter time of year, an increase of 28% compared to pre-investment. Here, the team focused on creating new experiences in areas of the venue that had little appeal to customers previously. For example, new Champagne beds behind the DJ booth, a rejuvenated mezzanine bar with boothed seating and new brighter lighting to be more comfortable as a transitional zone. There's also a new dance floor and suspended features along with AV effects and media screens to enhance the experience.

Beach in Belfast has reopened after a £250,000 refurbishment, with a complete redesign and exciting new look which now allows the venue to trade more effectively with a multi-room offer and its re-designed staging area allows for more effective use of high profile entertainment. The venue took £40k in its opening weekend, up 30% year on year.

The Lodge – A lighter, brighter design feel has softened and broadened The Lodge's appeal making it more conducive for daytime trading. Small touches have been introduced to make the venue more female friendly, for example; Fairtrade coffee, flowers and candles. The new food menu has encouraged daytime trade and early sessions after work. There's a 3D sports zone on the first floor (ideal for private hire) and the introduction of live entertainment during the week appeals to a fresh market looking for new reasons to visit.

Bowers continued: "We're mid-way through the £1.5m investment programme, and the next phase will see investments at venues across the North including the Cotton Factory Huddersfield, Halo/Quilted Llama in Leeds, Sea in Newcastle and Irene & Nans, Bar Bacca & La Lea in Belfast."

Ultimate Leisure is also launching its 'U Love It' privilege card, aimed at young people and students. The £3 card gives members access to exclusive offers on a rolling basis. More than 30,000 cards are set to be distributed with the idea to get closer to customers and create and establish long term fans.

Related Articles:

• 10 Nov 2010 - Bookings increase at Orchid pubs as customers plan to celebrate
• 19 Oct 2010 - Orchid wins National Training Award
• 06 Oct 2010 - Orchid managers volunteer in South African Townships
• 29 Sep 2010 - Pub company The Orchid Group invests in internal communications programme

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