Survival of the fittest in the hospitality industry: “Without a good concept, no right to exist”

The corona pandemic, skyrocketing inflation and major staff shortages. According to the Amsterdam hospitality association, this is a very worrying cocktail for the future of the sector in the city. But not everyone sees it so gloomy, according to entrepreneur Tijn Verstappen, Amsterdammers will always continue to eat out, even in tougher economic times. Only the customer is more critical, he says. So it is eat or be eaten as a catering entrepreneur, in other words survival of the fittest.

catering – NH News

After two years of corona, Amsterdammers were only too happy to eat out again last year, according to figures from the second and third quarter. Nevertheless, the Amsterdam department of Koninklijke Horeca Nederland is concerned about the future.

“We also experience that consumer confidence is declining in Amsterdam. The guest is becoming increasingly critical. Not everyone is hit equally hard by inflation, but the catering industry is still seen as a service that you can cut back on first when the spending budget decreases. We also take care of how this will develop in the future if the purchasing power repair for consumers is disappointing,” a spokesperson said.

“The quality of the food must be good, the service must be good and the atmosphere must be good”

tijn Verstappen, catering entrepreneur

Despite the crisis, Tijn Verstappen will soon open two new cases. “I think Amsterdammers will always continue to eat out, but they are picky, so everything has to be right. The food has to be good, the service has to be good, the appearance has to be good.”

With the arrival of these things, the counter for Verstappen will soon be at 12. His secret? “I put a lot of love into a case.” In this way he travels around town and country for the perfect interior. Hospitality staff brings the entrepreneur from abroad. “I went to dinner with my partner in Madrid for our new Spanish restaurant. There we found a cook who is willing to come and cook for us in Amsterdam. Just bought it. That’s not very special, but you put a lot of time and energy into it. I think that’s what the customer notices with us.”

Hard work

But not every entrepreneur will be able to participate in the battle for the critical customer. According to KHN Amsterdam, some companies have been on their toes for a while now.

“The effects of two years of corona, high tax debt, enormous cost increases resulting in sky-high inflation, large staff shortages, means that the catering industry is still under pressure. Also in Amsterdam. More and more entrepreneurs calculate that with the margins of now it makes no sense. has to continue on the same footing. We see that many companies are for sale and change owners, many entrepreneurs start new businesses or adjust their concepts,” a spokesperson said.

Catering broker Lukas Arends also sees many changes of the guard. Although the interest in starting a catering business seems to be waning. “We have fewer viewings, but the interested parties out there have a better quality and are more focused on catering takeovers.”

How come? Due to corona, banks are less eager to finance catering projects. In addition, there is more security for employers due to the labor shortage, so that people without experience are less likely to embark on a catering adventure, Arends says. According to him, that is not a bad development. “It separates fortune seekers from the more serious entrepreneurs. That ensures that the catering industry gets better quality, people stop less quickly and more stability in the market.”

Can you not start anything in this time without experience? “Fortune seekers can make an effort, but it will be less. They mainly end up in lighter catering. When the gentleman or lady who can bake so well at home starts a pastry shop. You need less money for that, but you still often notice that they find it hard work and consider stopping after 2/3 years.”

“The Amsterdammer ultimately decides what works and what doesn’t”

lucas arends – catering broker

But will all matters soon be in the hands of the big boys? “That is possible, but that is of all times”, says Arends. Verstappen says that it is not up to him, but to the market: “I understand where you want to go, that there will be a kind of monopoly by the established order, which I do not include myself, but yes, the market determines. “

Arends also indicates that ultimately it is the Amsterdammers themselves who determine which concept works and which does not. “Fortunately, you see that there are always enough concepts to coexist in a city,” says Arends.

And even if you as an entrepreneur are in demand now, even then it could be different tomorrow. “It may be that people will be tired of my concepts in ten years’ time, I hope not of course, but you don’t know. Maybe I should come up with something new or develop concepts further. You just have to stay sharp.”

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