The top six opportunities for the leisure sector

Since March 2020 (which marked the onset of Covid-19, lest we forget) a total of 9,900 Hospitality venues have closed, a staggering -8.6% reduction in capacity in just 18 months.

Needless to say, the leisure sector has been hit hard by the circumstances brought about by the pandemic and its far-reaching consequences. 

These challenging circumstances, what they mean for the sector and much more are explored in Knight Frank's research report: UK Retail Leisure Report – Responding to an experiential crisis.

New brands, formats and concepts are likely to rise out of the ashes of the battered and bruised leisure sector, sparking a fresh wave of innovation.

Given the huge challenges facing embattled businesses, what opportunities are there? Particularly with the main obstacle, labour in terms of both availability and cost, still feeling very much like an immovable object that can't simply be side-stepped. 

Stephen Springham, head of retail research and author of the Retail Leisure Report, has identified these opportunities in his 'six opportunities vs six obstacles' section of the report. Ever the optimists, we start with the opportunities column, outlining what positive changes we can expect to see. 

1. A restless consumer

The consumer is willing to spend money on leisurely pursuits

2. Availability of space

Variety of floorplates becoming available through rising vacancy rates

3. A receptive landlord

With increasing appreciation for Leisure in a quality tenant mix

4. Market need for vitality

Leisure ideal formats to revive buzz of town centres

5. A multi-channel voyage

Pursuit of online/takeaway channels provides an additional revenue source

6. Welcome to the world of big data

Increased access to customer data via check-in/ordering apps

Keep an eye out for the series of articles exploring different aspects of the report over the next few weeks, including a look at the obstacles facing the sector and how these stack up against the opportunities. 

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