Coffee and breakfast boosts pub group

JD Wetherspoon has belied much of the ailing UK pub sector by reporting record sales.

The pub group says like for like sales increased 1.2% in the year to 26 July as takings from food and coffee helped boost revenue. Pre-tax profits before exceptional items increased 13.6% to £66.2m.

Wetherspoon, which has 731 pubs across the UK, says its decision to open its pubs for breakfast has helped drive revenue. The company says it sells over 715,000 breakfasts and coffees each week, “more than most coffee shop chains”, it claims.

It adds that its business proposition has helped weather the current recession. “As in the recessions of the early 1980s and 1990s, the company has traded well by concentrating on the key ingredients of standards, service, staff training and incentives,” it says.

Wetherspoon’s performance comes amid desperate times for much of the on-trade. The British Beer and Pub Association recently said that pub closures have increased to a record of 36 a week  as deep discounting by supermarkets leads to more drinking at home.

Tim Martin, chairman of Wetherspoon, says the increase in off-trade sales combined with a decrease in sales volumes in pubs has increased levels of ‘unsupervised’ drinking, adding that this has “contributed to many pubs’ closure, at the same time exacerbating the problem of binge-drinking”.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here