Local restaurants have revealed the financial impact no-shows have on staff and business
Local restaurants have revealed the financial impact no-shows have on staff and business
Local restaurants revealed the financial impact guests who book and don’t show up can have on business. Shockingly it’s staff who are hit the hardest by no-shows, often being sent home resulting in a lower than expected pay cheque due to shortened hours.
According to new data from Dojo, the average cost to a restaurant for a table of two not turning up for a dinner reservation is between £51 and £100. A whopping 92% of businesses report cancellations impact their total revenue.
Restaurateur Giuseppe Spinuso launched La Familgia on Stanley Street in 2019. The family-run business has been a labour of love and once praised by critics as the ‘best new restaurant’ and ‘best family friendly restaurant’ in the Italian Awards.
For Giuseppe, no-shows can have a dramatic impact on his business’ finances. He told the ECHO: “People don’t understand this is a family business and even if we have one or two tables who are no-shows, it can really hurt.
“As a family business, we don’t take deposits. So, when there are tables of two or three or even big groups not showing up that we’ve prepared for, we’re losing money.
“People need to understand that when they book a table and can’t make it, it is fine. We understand. But the least you can do is tell us so we can be prepared for walk ins. If you are booked and we are still expecting you, we won’t give away your seat. If you don’t show up, we’ve lost two potential customers.
“I don’t think it’s nice for us to take a deposit because we’re affordable. I don’t want to take a £5 deposit when a pizza only costs £10 and that’s half of your bill. However, I understand why big businesses do it, to save money and protect the business, but we’re a family business and it doesn’t feel right. So, when people don’t show up, they don’t lose out – we do. Please just tell us beforehand. It’s not a problem.”
The Ivy Brasserie is the latest new addition to the city’s dining scene. Located in a prime spot on Castle Street, surrounded by a number of restaurants and bars, it’s a perfect spot for a date night or a catch-up with friends.
The bar and restaurant is famous for its gorgeous interiors and quality experience but even it struggles with no-shows from time to time. The Ivy Brasserie’s assistant manager, Dan Scott, told the ECHO: “For larger bookings, usually in the private dinning room, we will take a deposit and put more staff on to accommodate the workload.
“For bigger tables more than six, we sometimes take a deposit per head just to make sure everyone actually shows up. This time of year is the hardest because it’s quiet so any no shows make things worse because we could’ve saved on labour if it wasn’t needed.
“Our reception team call people on weekends just to make sure bookings are still going ahead. Not everyone answers the phone or they will only cancel the booking when we call. No shows don’t have a huge impact on us – the cost of additional labour is the problem as we’ve staffed the night expecting a certain number of covers.”
Tapas restaurant El Gato Negro recently announced its relocation to Castle Street which is expected to be complete in March. The restaurant’s general manager, Anthony Hardbattle, told the ECHO guests have figured out a way to dodge the no-show fee therefore covering their own back at the cost of the business.
Anthony said: “Sometimes people will put in their card details for a deposit but the account has no money. When we go to charge someone for a no-show they don’t get the charge and it can be damaging if it’s a Friday or Saturday night and we’ve expected to be busy.
“We put more staff on because we expect to be busy then noone shows up. The last thing we want to do is waste staff’s time by sending them home. It impacts everyone’s finances. It’s difficult for the hospitality industry in general at the minute. Everyone’s struggling so you have to manage your costs as best as you can.
“We will have a lot of bookings for dates like New Year’s Eve or Valentines Day then a portion of them never arrive. I know a few people who book two or three restaurants for Valentines Day and decide closer to the time where they want to go.”
The majority of customers have reported the main reason they cancel reservations is due to feeling sick and being unwell, with 29% of respondents claiming this. A shocking 11% of customers who don’t turn up to restaurant reservations have reported to have simply forgotten about the reservation.