How Business Turntables Due to COVID - 19

A legend in his lifetime, Hemant Oberoi became an independent restaurateur after retiring as a celebrated corporate chef from the Taj Group of Hotels. He was played by Anupam Kher in the 26/11 movie, Hotel Mumbai.

DINING OUT has been a concern in our country in the last decade with the economic slowdown and the number of restaurant places coming up with newer concepts launching every fortnight to survive in this competitive market. It was pretty fast-paced and some concepts were in the pipeline when COVID 19 hit the world. This pandemic is definitely going to affect the culture of eating out. Social distancing will be seen at least for some time to come and you might not see big social tables.

The industry literally has come to stand still and it seems like it will continue till the end of May which is also uncertain. Most of the hotels will not have much occupancy as people are firstly scared to travel and the aviation sector will also operate very few flights. Europe and America have been severely affected and might not bounce back for months. Aviation, hotels, travel and restaurants business are all interlinked.

Luxury Business will definitely suffer the most in the forthcoming months, as large consumers will be spending only on essential goods. Availability and shortage of imported food products and ingredients is going to be the biggest concern as by the time Europe and the western world opens up, it's going to be later this year. Whether we like it or not, people will be hesitant for the time being to use Chinese origin raw materials. The fraternity will have to be united in a price war, hygiene and quality products as the customer are going to be more sensitive to all these factors.

Restaurateurs with deeper pockets only will be able to bear the losses and others will have to look for creating a new brand portfolio which could help them boost the sales and absorb some of the shocks of uncertain calamities. The investors and the government should support the business and show solidarity. It's going to be a new beginning and the crisis is big and the industry will need support and have to be together and only then will we win the economic battle. The government will have to support this industry in terms of rentals either by way of compensations or asking the landlords to waive it off for a few months. There is going to unemployment because many outlets will have to down their shutters. Mid-level restaurants may survive but that will take many months to come back to normalcy. Every owner will have to find out new ways, novel ideas to bring back the lost business. Price factor will play a major role in the next 12 months.

Winning the guest confidence is also going to be of utmost importance with all the health checks along with food handlers being the priority. As everyone is aware, a natural calamity is beyond anyone's control, we will need the following assistance:

* 4-6 months rent-free period from landlords or the compensations

* No CAM for the same period

* Liquor licence renewal rebates and excise duties to be reduced

* wages compensations for the staff

* TDS/GST assistance for one year at least

All of us have to be positive to get up and stand up on our feet. I saw the 26/11 and with the support of government and Mr.Tata at the helm and support of our loyal staff, we bounced back in 21 days. NOTHING IS IMPOSSIBLE! We will come out as winners and bring back the economy. The consequences of this pandemic are quite hard but we can stand strong, aware and together to defeat this fatality.