Better news for hospitality but ‘no-shows’ still a problem 

24/01/2023

The hospitality sector received a boost last year, as consumers opened their purses and wallets, following the easing of pandemic restrictions.

New data from Barclaycard shows consumer card spending increased 10.6 per cent year-on-year.

Restaurant spending up 

Spending on restaurants grew by 37.1 per cent for the year, while pubs, bars and clubs recorded a 53.6 per cent increase.

Esme Harwood, Director at Barclaycard, said: “Hospitality, leisure and travel all received a boost as Brits made up for lost time by socialising with friends and jetting off on holidays.”

While the spending was a boost for the hospitality sector, the industry is still affected by ‘no-shows.’ This is where people book a reservation but do not turn up, often making several different reservations and choosing one at the last minute.

A recent survey showed that over a four-week period, up to 19 per cent of customers admitted to not turning up for their reservation.

Some ways of mitigating the effect could include:

Utilising payment information 

Saving the card details of the person booking is one deterrent. When they book, let them know that if they fail to give at least 24 hours’ cancellation notice, they will be charged a set amount for not showing up.

Securing a deposit upfront 

Some people may be put off by paying upfront, but you could remind them that a deposit of say, £5 per head, will be deducted from their final bill. They’ll only lose out if they don’t give adequate notice of cancellation.

Sending text or email reminders 

A couple of friendly reminders will go a long way to cut the number of ‘no-shows’ and build a positive image of the business.

Simplifying the cancellation process 

Software for reservations can allow diners to cancel through a link on their confirmation email. Let them know that you can be contacted easily via email, phone and social media.

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