WHAT NATURE OF A BUSINESS IS A PUB?
A pub is a lucrative idea for many people seeking to start a business as people are attracted by the big pubs with many people socializing, having fun and purchasing rounds and rounds of food and drinks. However, as with any other business, there is a lot of work that goes on behind the scenes to make it the success it is and one has to be dedicated and willing to sacrifice a lot for their investment to pay off.
A pub, short for public house, is a type of establishment that primarily serves alcoholic beverages, including beer, wine, and spirits, along with various non-alcoholic drinks. Pubs are known for their casual and social atmosphere, where people gather to relax, socialize, and enjoy drinks and sometimes food.
Pubs have traditionally been an integral part of British and Irish cultures, but similar establishments can be found in many other countries as well. They often have a bar area where customers can order drinks directly from the bartender, as well as seating areas for patrons to enjoy their beverages and engage in conversations. Some pubs may also offer entertainment options such as live music, pub quizzes, or sports screenings.
In addition to drinks, many pubs also serve food, ranging from simple snacks like crisps and nuts to more substantial meals like burgers, sandwiches, or traditional pub fare. However, the primary focus of a pub is usually on the beverage selection and creating a welcoming and social environment for customers.
It's worth noting that the specific nature of a pub can vary depending on the country, region, or establishment itself. Some may have additional features like outdoor seating areas or beer gardens, while others may specialize in certain types of beer or have a particular theme or ambiance.
WHAT BUSINESS CATEGORY IS A PUB IN?
A pub typically falls under the broader category of the hospitality industry or the food and beverage sector. More specifically, it can be classified as a food service establishment, a drinking establishment, or a combination of both.
From a business classification perspective, pubs can be categorized as:
1. Restaurant or Eating Establishment: Pubs that serve food along with drinks are often considered restaurants or eating establishments. They offer a menu of meals and snacks, and customers can enjoy a full dining experience in addition to consuming alcoholic beverages.
2. Bar or Tavern: Pubs that focus primarily on serving drinks and provide a social gathering place are often classified as bars or taverns. While they may offer some food options, the emphasis is on the bar service and creating a relaxed and sociable atmosphere.
3. Hospitality or Entertainment Venue: Pubs can also be seen as hospitality or entertainment venues, especially if they offer additional amenities such as live music, sports screenings, or other forms of entertainment. These establishments prioritize providing a social experience for their patrons.
It's important to note that the specific categorization may vary depending on local regulations and licensing requirements. The classification may also depend on the extent of food service, the local culture, and the legal definitions of different types of establishments in a particular region or country
Statistics on club business.
As statistics have shown in many countries around the world, several factors such as; rising prices of alcoholic drinks, reduced numbers of people consuming alcohol, people preferring to socialize at home among others have led to a reduced number of people going to pubs as compared to earlier years and this means reduced business as many people even prefer to buy cheap alcohol from supermarkets which are among the many competitors seeing as many new entertainment options are available.
Starting a pub can be a huge loss for an investor who either lacks the necessary knowledge to run a successful pub or the capital to run the business until the initial investment has been recovered and the income from the pub can sustain and develop the pub further. Funds depend on location and size of the establishment. It is therefore necessary to be ready and have strategic plans to have good management especially if you are unsure of your skills with especially public relations and paperwork. Pubs may also make one want to reconsider their time schedule especially those that operate till wee morning hours.
Strategic Planning.
Having a plan is the most essential part of any business as failing to plan is planning to fail. A pub business is no different and the hiccups are teachable moments from which one can avoid such situations in the future. Planning starts from the founding of the club and involves even the tiniest details with even the cash systems to use, food and drinks to serve, naming of the club, location of the club, times of opening and closing, what events to host which promote your club and financial security plans.
It is also important to have a team that shares your visions and goals and is willing to work tooth and nail to achieve them. With the right strategies and team, it is possible to build a franchise and even open up chains of pubs and other businesses with the income from just one pub. This is evident from the big chains of businesses that have started with a single store or pub and grown into international chains.
Marketing.
Now that we have looked at the pros and cons of starting a pub, it is in order that one familiarizes themselves with the target market and their needs as this directly affects the cost of not only starting but also running the enterprise. An establishment with a large capacity will definitely cost more to start up and run but the income is also relatively high as there is higher consumption. It is also advisable to serve a large variety of drinks, food and services that cut across people with various preferences to have a wider customer range.
Having a successful pub requires capital, determination, planning, a good team and marketing to achieve and while starting up a pub can be disappointing for some, it can also be a really worthy investment.