Better Business – the Canbury Arms

24 October 2011
Better Business – the Canbury Arms

Previously a backstreet boozer, the Canbury Arms in Kingston has been transformed by Michael Pearson into an all-day local serving home-made food accompanied by real ale and boutique wine. Aaron Morby hears how he did it

This week The Canbury Arms, Kingston upon Thames, Surrey
Why? Time and Leisure gastropub of the year

Need to know Michael Pearson was brought up the son of publicans at the Saracens Head on the idyllic banks of the River Wye in Herefordshire. With the business in his blood, he studied hotel management at Westminster and worked at the Savoy Group before joining Greta Hobbs at the Inverlochy Castle.

After a period at the luxury Warren House conference and training venue in Surrey, he decided the time had come to move on. Six years ago, he seized the opportunity to buy a long lease on a local pub, nearby in Kingston, for £75,000 from Enterprise Inns.

Previously a backstreet boozer, the Canbury Arms was gutted, completely refurbished for £250,000 and opened as a community pub in the hope of fulfilling a perceived demand for a quality local.

Hidden away in north Kingston between Richmond Park and the River Thames, the pub strives to stand out by serving the finest food and drink, with the best customer service in the area.

Target market "In Kingston there are either pubs or restaurants; we tend to straddle both sectors successfully. This gives us an edge but also means we have a broad spectrum of customers streaming through our doors," explains Pearson.

The Canbury has built a loyal following among the 35-plus family set, who appreciate quality products in a refined yet relaxed atmosphere.

"We are open from 9am and serve breakfasts daily, which attracts families and professionals alike. We serve our main menu alongside a cheaper lunch menu catering for a huge spectrum of diners.

"Whether customers are on their lunch break or it's a special occasion, there is something for everyone."

Food and wet

Canbury Arms
Canbury Arms

Customers can enjoy a peaceful meal and a drink in a relaxed environment with the freshest food from seasonal menus, featuring traditional British dishes and, where possible, hand-made food, such as bread and pasta.

The head chef runs a team of four in the bustling kitchen, which dishes up 1,000 covers a week.

"Pub favourites feature on the menu with Scotch rib-eye steaks, hand-made burgers and classic beer-battered fish and chips.

"More recently our kitchen has adapted to the tapas/small plates fad with bar bites and platters. We add a touch of gastro to our menu with dishes such as scallops with black pudding and pea purée," he says.

Wet trade accounts for 35-40% of sales depending on season. Pearson strongly believes in cultivating a reputation for serving good ale, with five pumps offering a mix of locals such as Twickenham, Wandle and Surrey Hill alongside more familiar favourites such as Doombar and Landlord.

Wine accounts for 60% of wet trade turnover. "With wine we really try to exceed people's expectations," explains Pearson.

The Canbury uses two boutique wine shops. Lower-priced wines are sold at a gross profit margin of 70%, reduced on top quality wines, which can cost up to £90 a bottle.

Both suppliers share databases with the pub to hold tastings.

How it stands out The pub introduced an extremely popular loyalty card in 2006, which operates like a Nectar card. Customers purchase it for a one-off payment of £20. Whenever they pay, their card is swiped and 10% of the total goes back on to their account, which can be used at any time as cash equivalent.

This seem like a huge risk, but Pearson feels that it engenders mutual loyalty with customers. The Canbury returns about £1,300 a month to cardholders, which is factored into the business.

"It is an invaluable tool as we now use this data to keep our customers up to speed with events. Our database currently contains over 2,500 live contacts with around 10 new ones added daily," he says.

The loyalty of customers keeps the business thriving even in today's financial climate. When Pearson took over the pub it was churning £10,000 a week, now takings are more like £23,000.

"We are on track to do £1m net of VAT," predicts Pearson.

Business advice "Your staff are the face of your business so teach them, train them, and test them," he says. "We employ a range of staff - from school leavers and students to veterans in the hospitality industry. The mix gives the pub its energy and the customers love it."

He trains staff using basic service guidelines, which are casual, but attentive to customers' needs. "Simple qualities work best: a warm welcome for customers, with staff trained to work in a quick professional manner while still ensuring the atmosphere is relaxed.

"We pride ourselves on our quality service and attention to detail, as well as the product on offer," he says.

"As our customer base expands, people are expecting more from us, so we continually look at ways to polish our service and food to ensure that each customer's visit is an improvement on their last."

Future growth With his in-depth knowledge of the hospitality industry and a strong team behind him, Pearson is looking over the next two years to develop the consultancy arm of the business and eventually look into expanding the Canbury portfolio with other pubs.

He says this will offer his trademark consistency in quality of food and service and never taking your customers for granted.


Spotlight on the community

Canbury community
Canbury community
Like many pubs, the Canbury supports various local charities and boasts enthusiastic male and female dragon boat crews.

Pearson is a great believer in reaching even further into the community, especially schools. "We hold quarterly inter-schools quizzes where regulars and brainy parents battle it out, all for a good cause," he explains.

The head chef even took a group of single mums on a masterclass around Asda to show how to stretch a £30 shopping budget recently.

"We host an early-morning market every other Friday called From The Ground Up, which provides organic home-grown goodies in exchange for the space," he says.

The pub supports other independent businesses in the area with networking events to keep up to date with changing trends both locally and nationally. The last event gave insight into the Olympics, as Kingston prepares to host a bike race in the opening days of the games.


Facts and stats
Owner Michael Pearson
Average spend per head on food £20
Head chef Iain Wilkie
Average covers per day 150
Staff 21 (6 full-time, 15 part-time)
Barrels per week in beer consumption 20


MICHAEL PEARSON'S REVELATIONS
Favourite hotel Inverlochy Castle
Favourite restaurant Le Gavroche
Book that inspiredKane and Abel by Jeffrey Archer
Motto He who endures shall conquer
If you were not a publican what would you have been? Professional golfer
Who do you most admire? Rick Stein
Five words that sum up your business
Constantly evolving work of art

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