FNB Business in India

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Presented by: Aum Hospitality

Consultants. Mumbai. Nagpur. Pune Presentation on F&B Business in India


Aum Hospitality
Consultants
Hotel & Resort
Project &
Management
Consultants

Mumbai. Pune. Nagpur


Introduction to Aum Consultants
❖ Aum Hospitality Consultants, under the leadership of Mr. Subodh Gupte, is a versatile and results-oriented
consultancy firm in the hospitality sector. Here are some key highlights:
❖ Comprehensive Services:
❖ Aum Hospitality Consultants offers a broad spectrum of services, covering various segments within the hospitality
industry, such as Business Hotels, Boutique Hotels, Budget Hotels, Theme Resorts, Camping Resorts, Clubs, Theme
Restaurants, Conference & Banquet Halls. This indicates a wide-ranging expertise that can cater to different client
needs.
❖ Result-Driven Approach:
❖ The company emphasizes delivering result-driven Hospitality Management Services, indicating a commitment to
achieving tangible outcomes for clients. This includes a focus on optimizing hotel assets, increasing occupancy rates,
and enhancing service quality and operational performance.
❖ Technical Planning Expertise:
❖ Aum Hospitality Consultants provides detailed consultancy in Hotel Project Technical Planning, ensuring that projects
are well-planned and executed. This expertise contributes to the overall success of hotel and resort projects by
optimizing returns on investment.
❖ Proven Leadership: Mr. Subodh Gupte, the Principal Consultant, is highlighted as a dynamic business leader with a
proven track record. His success in replicating achievements in both domestic and international markets, across
various hospitality settings, showcases his adaptability and strategic leadership skills.
❖ Financial Acumen: The mention of Mr. Gupte's ability to deliver profits and good returns on investment reflects a
strong financial acumen. The execution of strategies for a robust bottom line and quality delivery suggests a focus on
sustainable and profitable business operations.
❖ People Management: Mr. Gupte's emphasis on strong leadership, effective communication skills, and a knack for
recruiting the right candidates demonstrates a commitment to people management. The promotion of camaraderie
among candidates and providing steppingstones for promotions indicate a positive and nurturing work environment
❖ Educational Background: Mr. Gupte's diploma in Hotel Management Catering Technology & Applied Nutrition from
IHMCTAN, Dadar, Mumbai, in 1982, adds academic credibility to his extensive practical experience in the industry.
Overall, Aum Hospitality Consultants, led by Mr. Subodh Gupte, is a well- Greenarth Leisure Pvt Ltd: Instrumental in setting up a chain of theme resorts near
rounded consultancy firm with a focus on delivering tangible results, effective Mumbai and a luxury resort at Katjat near Mumbai, showcasing entrepreneurial skills
project planning, and fostering a positive work culture within the hospitality and a focus on theme-based hospitality.
sector.
Five Star Club in Nagpur: Currently involved in setting up a large club with
​Mr. Subodh Gupte's extensive exposure and experience in the hospitality industry international standards and a diverse range of amenities, including multiple
spanning over 42 years showcase a rich and diverse career. Some notable restaurants, a bar, a pub, banquet hall, health spa, and various recreational facilities.
highlights include his contributions to various well-known establishments:
F&B Expertise: Mr. Gupte's core expertise in Food and Beverage (F&B) is
Ramada Inn Palm Groves (Mumbai): A renowned hotel in Mumbai where Mr.
highlighted, particularly in the planning of kitchens, cuisines, menu planning, and
Gupte likely gained valuable experience in hotel management and operations.
menu engineering. His familiarity with international and national cuisine trends,
Taj Blue Diamond (Pune): Another prestigious name in the Indian hospitality including Mediterranean, Mexican, Italian, Japanese Sushi, and French Provençale,
sector, indicating Mr. Gupte's involvement in managing high-profile hotels. suggests a commitment to offering diverse culinary experiences.
Duke’s Retreat/Upper Deck Resort (Lonavala): This suggests experience in Ongoing Ventures: The mention of the ongoing project in Nagpur and the website
overseeing resort operations, a crucial aspect given the popularity of Lonavala as www.aumconsultants.net indicates that Aum Hospitality Consultants, under Mr.
a leisure destination. Gupte's leadership, continues to be actively involved in the development and
management of hospitality projects.
Kamat Hotels (Baroda): Involvement in the setup of a 250-room Five-Star Hotel,
showcasing expertise in large-scale hotel projects. In summary, Mr. Subodh Gupte's career reflects a wealth of experience across
various facets of the hospitality industry, from high-profile hotels to theme resorts
Daspalla Hotels (Hyderabad): Contribution to the establishment of a 125-room
and large-scale projects. His expertise in F&B, along with his entrepreneurial
Five-Star Hotel, demonstrating experience in diverse markets.
ventures, positions him as a seasoned professional in the field. The current
Blanket Hospitality Ventures (Kerala): Setting up operations for ten hotels in projects, including the club in Nagpur, highlight his ongoing commitment to the
Kerala indicates a wide-ranging involvement in the hospitality sector in a industry.
prominent tourist destination.
Table of Contents

❖ Introduction to Food & Beverage


Business
❖ Verticals in F&B
❖ F&B Attributes in Meal
Experience
❖ Hardcore Facts of F&B Business
❖ Food Trends in India
❖ Eating Out Culture in India
❖ EBITDA & Proven Growth In
Numbers
VERTICALS
IN F&B
INTRODUCTION TO F&B BUSINESS
 The Food and Beverage (F&B) business is a crucial  Diverse Offerings:
component of the hospitality industry, playing a pivotal
role in enhancing the overall guest experience. Whether  F&B businesses in hospitality offer diverse menus to cater to the
it's a hotel, resort, restaurant, catering service, or any varied tastes and preferences of guests.
other hospitality establishment, the F&B sector is integral to  This includes breakfast, lunch, dinner, snacks, beverages, and
creating a memorable and satisfying stay for guests. specialty items, depending on the type of establishment.
Here's an introduction to the F&B business in the context
of hospitality:  Revenue Streams:
 Scope and Importance:  The F&B sector is a key revenue stream, alongside room
bookings and other services.
 The F&B sector encompasses a wide range of services,
including restaurants, bars, room service, banquets,  Upselling and cross-selling F&B items can significantly boost
catering, and more. overall revenue.
 It is a significant revenue generator for hospitality  Professional Staff:
businesses and contributes substantially to the overall
profitability.  Skilled and knowledgeable staff, including chefs, waitstaff,
bartenders, and managers, are crucial for delivering high-
 Customer Experience: quality F&B services.
 Guests often remember their hospitality experience based  Customer service plays a vital role in the success of an F&B
on the quality of food and beverage services provided. operation.
 A well-managed F&B operation can contribute to guest
satisfaction, repeat business, and positive reviews.
INTRODUCTION TO F&B BUSINESS
 Menu Planning and Innovation:  Event Catering and Banquets:
 Developing a well-thought-out menu is essential, taking into  Many hospitality businesses offer event catering and banquet
consideration local tastes, dietary restrictions, and current food services, expanding their reach beyond in-house guests to include
trends. external events.
 Regular menu updates and innovative offerings can keep guests  In conclusion, the F&B business in hospitality is a dynamic and
engaged and attract new customers. integral aspect of the overall guest experience. Success in this
sector requires a combination of excellent service, culinary
 Quality Control and Safety: expertise, innovation, and a keen understanding of customer
preferences and industry trends.
 Maintaining high standards of food safety and quality control is
paramount in the F&B business.
 Compliance with health and safety regulations is essential to
building trust with guests.
 Adaptability to Trends:
 F&B businesses need to stay abreast of industry trends, such as
sustainable practices, farm-to-table sourcing, and health-
conscious menus.
 Adapting to changing consumer preferences ensures continued
relevance in the market.
 Marketing and Promotion:
 Effective marketing strategies, including social media presence,
promotions, and collaborations, can help attract customers to
F&B outlets within hospitality establishments.
F&B SERVICES ATTRIBUTES IN MEAL EXPERIENCE
 Food and Beverage (F&B) services play a crucial role in shaping  Personalization:
the overall meal experience for guests in the hospitality industry.
Several attributes contribute to creating a positive and  Providing personalized recommendations or accommodating
memorable dining experience. Here are key F&B service attributes special requests adds a personal touch to the dining experience.
that influence the meal experience:
 Quality of Ingredients:
 Service Quality:
 The use of high-quality, fresh ingredients contributes to the taste
 Prompt and attentive service enhances the overall dining and overall satisfaction with the meal.
experience.
 Knowledgeable Staff:
 Courteous and knowledgeable staff contribute to a positive
impression.  Staff with in-depth knowledge of the menu, including ingredients
and preparation methods, can enhance the dining experience
 Ambiance: through informative interactions with guests.
 The ambiance of the dining area, including lighting, decor, and  Culinary Expertise:
music, affects the mood and enjoyment of the meal.
 Skilled chefs and kitchen staff contribute to the overall quality and
 Menu Variety and Innovation: flavor of the dishes.
 Offering a diverse and innovative menu caters to different tastes  Communication:
and keeps guests intrigued.
 Clear communication about menu items, specials, and any
 Specials and seasonal offerings add variety and excitement. potential delays ensures transparency and customer satisfaction.
 Presentation:  Adaptability:
 Well-presented dishes create an appealing visual experience and  Being able to adapt to dietary restrictions, allergies, or specific
contribute to the overall enjoyment of the meal. guest preferences demonstrates flexibility and customer-centric
service.
 Timeliness:
 Efficient and timely service, from taking orders to delivering dishes,
is crucial for guest satisfaction.
F&B SERVICES ATTRIBUTES IN MEAL EXPERIENCE

 Hygiene and Cleanliness:


 Maintaining a clean and hygienic dining environment is essential for guest
comfort and well-being.
 Feedback Handling:
 Responsively handling guest feedback, whether positive or negative,
contributes to continuous improvement and guest satisfaction.
 Upselling and Cross-Selling:
 Skillful recommendations for additional items, such as appetizers, drinks, or
desserts, can enhance the overall dining experience and increase revenue.
 Value for Money:
 Guests appreciate feeling that they received value for the price paid, which
includes portion sizes, quality, and overall satisfaction with the dining
experience.
 These attributes collectively contribute to the overall F&B services and influence
the perception of the meal experience. Hospitality establishments that excel in
these areas are more likely to create lasting positive impressions and build
customer loyalty.
FEW HARD-CORE FACTS ABOUT F&B
 In the Food and Beverage (F&B) business within the hospitality  Banquet and Event Opportunities:
sector, several hard-core facts shape the industry's dynamics.
 Many hospitality establishments leverage F&B services for
Understanding these facts is crucial for anyone involved in banquets, conferences, and events, creating additional
managing or starting an F&B venture in the hospitality domain. revenue streams.
Here are some key hard-core facts specific to F&B in hospitality:
 Diverse Guest Preferences:
 Integration with Overall Guest Experience:
 Hospitality F&B businesses must cater to diverse guest
 F&B services are integral to the overall guest experience in preferences, including cultural, dietary, and lifestyle choices,
hospitality. The quality of food, service, and ambiance necessitating flexibility in menu offerings.
significantly influences guests' perceptions of the establishment.
 Quality Standards and Consistency:
 Revenue Contribution:  Maintaining consistent quality in food and service is crucial
 F&B operations contribute substantially to the revenue of for building trust and meeting guest expectations,
particularly in branded or upscale hospitality establishments.
hospitality businesses, complementing income from room
bookings and other services.  Menu Adaptability:
 Operational Complexity:  F&B menus in hospitality should be adaptable to various
meal periods, dietary restrictions, and the evolving tastes of
 Managing F&B services in hospitality involves complex a diverse clientele.
operations, including menu planning, kitchen management,
staffing, and coordination with other hotel departments.  Technology Integration:
 Hospitality F&B businesses increasingly incorporate
 High Labor Intensity:
technology for reservations, menu displays, online ordering,
 F&B services in hospitality require a considerable workforce, and payment systems to enhance efficiency and guest
including chefs, servers, bartenders, and support staff, leading to convenience.
high labor costs.
FEW HARD-CORE FACTS ABOUT F&B

 Guest Feedback Management:

 Effectively managing guest feedback, whether positive or negative, is crucial


for continuous improvement and maintaining guest satisfaction in the highly
competitive hospitality industry.

 Seasonal and Regional Influences:

 F&B businesses in hospitality may experience seasonal variations in demand


and should adapt offerings to regional tastes and preferences.

 Cost Control Challenges:

 Balancing the costs of quality ingredients, labor, and other operational


expenses while maintaining competitive pricing is a constant challenge.

 Health and Safety Compliance:

 Strict adherence to health and safety regulations is imperative in hospitality


F&B to ensure guest well-being and comply with industry standards.

 Cohesive Collaboration:

 Effective collaboration between F&B and other hotel departments, such as


housekeeping and front office, is essential for seamless guest experiences.

 Sustainability Considerations:

 Increasingly, guests in hospitality F&B expect sustainable practices, from


sourcing ingredients responsibly to minimizing food waste.

 Recognizing and navigating these hard-core facts is essential for successful


F&B management within the hospitality industry. It requires a strategic
approach, adaptability to changing trends, and a commitment to delivering
exceptional guest experiences.
FOOD TRENDS SPECIFIC TO INDIA
 Keep in mind that trends can evolve rapidly, and new  Artisanal and Handcrafted Foods:
developments may have occurred since then. Here are
some recent food trends in India:  The popularity of artisanal and handcrafted foods,
including bread, cheese, chocolates, and beverages, has
 Plant-Based and Vegan Cuisine: been on the rise, reflecting a preference for high-quality,
locally produced items.
 Growing interest in plant-based diets has led to an increase
in the availability of vegan and vegetarian options in  Street Food Reinvention:
restaurants and an emphasis on plant-based protein sources.
 Traditional Indian street food is undergoing a
 Regional and Local Flavors: transformation, with vendors and restaurants elevating
street food to gourmet levels, offering a modern twist to
 There is a renewed focus on exploring and celebrating classic favorites.
regional and local Indian cuisines, with chefs and restaurants
showcasing traditional dishes from specific states and  Functional Foods and Immunity Boosters:
communities.
 There is a growing interest in foods that offer health benefits
 Healthy Eating: beyond basic nutrition, with a focus on ingredients known
for their immunity-boosting properties.
 Consumers are increasingly mindful of their health, leading to
a demand for healthier food options, including dishes with
organic ingredients, superfoods, and those catering to
specific dietary requirements.

 Fusion and Cross-Cultural Cuisine:

 Chefs are experimenting with fusion cuisine, combining


diverse culinary influences to create unique and innovative
dishes that blend different regional and international flavors.
FOOD TRENDS SPECIFIC TO INDIA
 Online Food Platforms and Cloud Kitchens:  Dessert Diversification:

 The rise of online food delivery platforms has led to the  Apart from traditional Indian sweets, there is a growing
emergence of cloud kitchens and virtual restaurants, trend of exploring and incorporating international desserts
catering to the demand for diverse and convenient food and innovative sweet treats in the Indian culinary scene.
options.
 DIY Meal Kits:
 Sustainable and Ethical Practices:
 The trend of Do-It-Yourself (DIY) meal kits has gained
 Consumers are showing increased interest in sustainable and traction, allowing consumers to recreate restaurant-style
ethical food practices, leading to a rise in eco-friendly dishes at home with pre-portioned ingredients and recipe
packaging, locally sourced ingredients, and reduced food instructions.
waste initiatives.
 It's important to note that the food industry is dynamic, and
 Global Influences: trends can evolve quickly based on consumer preferences,
market influences, and global developments. To get the
 Exposure to global culinary trends through travel and digital most up-to-date information on recent food trends in India,
media has influenced Indian food preferences, leading to consider checking local food publications, culinary events,
an openness to trying international cuisines and flavors. and social media platforms where food enthusiasts and
 Beverage Innovations: chefs often share their latest discoveries and creations.

 Innovative and refreshing beverage options, including craft


cocktails, mocktails, specialty teas, and regional beverages,
are gaining popularity.
FOOD TRENDS SPECIFIC TO INDIA
 Conscious Eating:  Experiential Dining:
 Urban havens are evolving into epicenters of mindful dining.  Restaurants transform into sensory theaters.
 The discerning choose sustenance with a conscious flair,  Ambience, service, and presentation orchestrate a holistic dining
emphasizing sustainability and well-being. event.
 This trend resonates with a collective commitment to a  Diners yearn for memories etched in their senses1.
healthier planet and personal health1.
 Hotel-Specific Trends:
 Mexican Wave:
 Poco Loco: Enchants with innovative Mexican fare and tantalizing
 A bold testament to adventurous taste buds. cocktails.
 Transcends cultural boundaries, creating tantalizing global-  Hotel Marine Plaza: Weaves regional flavors into a diverse culinary
inspired Mexican cuisine. tapestry, celebrating India’s gastronomic heritage.
 A dance of spices and techniques that captivates those who  Napoli by Shatranj: Showcases sustainable cocktails
seek the unexplored and unexpected1. complementing authentic cuisine.
 Cocktail Renaissance:  Seeds of Life: Pioneers gluten-free and vegan options, setting the
stage for a sustainable gastronomic future1.
 Cocktails become immersive experiences beyond mere
libations.  In this culinary saga, 2024 is not just a year; it’s an epicurean
adventure!
 Unique, challenging-to-recreate-at-home drinks are in
demand.
 Sustainability and creativity play a significant role in crafting
memorable cocktail experiences1.
EATING OUT CULTURE IN INDIA

 Certainly! Let's delve into the **eating out culture in India**:  **Increased Frequency of Eating Out**:

 **Changing Eating Out Trends**:  According to FICCI, Indians used to eat out around **2-4
times** a month in 2010.
 Over the last decade, there has been an enormous growth in
the eating out trend in India.  However, the frequency has increased to an average of
**6.6 times** a month.
 Nearly **61%** of all aspiring adolescents (within the age
group of 14-17 and not financially independent) eat out once  Along with that, the average spend of a customer
a week on average. increased from **Rs 1000** to around **Rs 2500** per
month¹.
 For **90%**, eating out is a more than once a week activity.
 **Preferred Cuisines**:
 The frequency of eating out is similar in metros, mini metros,
and Tier II cities¹.  Over **80%** of respondents prefer **affordable casual
dining options** and **fast-service restaurants**.
 **Growing Restaurant Industry**:
 Popular cuisines include:
 In 2013, the Indian foodservice industry was worth
 **North Indian**: Dishes like Butter Chicken, Dal Makhni,
**INR 2,47,800 crores**. and Naan lead the way.
 By 2017, it had grown to **INR 3,37,500 crores**.  **Chinese** at **18%**.
 The increasing market potential can be attributed to changes  **Continental** at **16%**².
in consumer behavior¹.
EATING OUT CULTURE IN INDIA
 **Luxury Dining and WFH Impact**:
 Owing to higher disposable income due to **work-from-home
(WFH)** lifestyles, luxury dining across India has increased by
**120%**.
 Fine dining has increased by **105%**.
 The average number of diners per booking has also risen³.
 **Changing Food Consumption Habits**:
 A comparison between 1961 and 2011 shows shifts in daily food
consumption:
 **34%** produce (450g)
 **32%** grains (416g)
 **18%** eggs and dairy (235g)
 **10%** sugar and fat (129g)
 **2%** meat (29g)
 **4%** other (58g)
 In this culinary journey, India's food evolution is a delightful fusion of
tradition and modernity!
EBITDA & PROVEN GROWTH IN NUMBERS

 EBITDA - earnings before interest, taxes, depreciation and


amortization is an indicator of a company's financial
performance which is calculated in the following manner:
 EBITDA = revenue - expenses (excluding tax, interest,
depreciation and amortization).
 EBITDA is essentially net income with interest, taxes,
depreciation, and amortization added back to it, and can
be used to analyse and compare profitability between
companies and industries because it eliminates the effects
of financing and accounting decisions.
 The Indian tourism and hospitality industry has emerged as
one of the key drivers of growth among the services sector
in India. The third-largest sub-segment of the services sector
comprising trade, repair services, hotels and restaurants
contributed nearly US$ 187.9 billion or 12.5 per cent to the
gross domestic product (GDP) in 2014-15, while growing the
fastest at 11.7 per cent compound annual growth rate
(CAGR) over the period 2011-12 to 2014-15.
EBITDA & PROVEN
GROWTH IN NUMBERS
 Tourism in india has significant potential considering the rich
cultural and historical heritage, variety in ecology, terrains
and places of natural beauty spread across the country.
Tourism is also a potentially large employment generator
besides being a significant source of foreign exchange for
the country.
 The industry is expected to generate 13.45 million jobs!
Across sub-segments such as restaurants (10.49 million jobs),
hotels (2.3 million jobs) and travel agents/tour operators
(0.66 million). The ministry of tourism plans to help the
industry meet the increasing demand of skilled and trained
manpower by providing hospitality education to students
as well as certifying and upgrading skills of existing service
providers.
 India has moved up 13 positions to 52nd rank from 65th in
tourism & travel competitive index.
Subodh Gupte - Principal Consultant
HMCT. IHM. Mumbai 1982

Aum Hospitality Consultants


Hotel & Resort Project & Strategic Management Consultants

Mobile: +91 810 820 5025 | +91 96738 38535


Website: https://aumconsultants.net
E-mail: [email protected]

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