lucrative lunches

01 January 2000
lucrative lunches

ENTERTAINING senior secretaries from nearby businesses is a well-proven means for a hotel or restaurant to tap into potential corporate business. But it makes the assumption that secretaries have complete control.

Gordon Beech, managing director of the Cheshire hotel and restaurant Stanneylands, is not so sure. For the past year, as well as inviting the secretaries for dinner, he has been targeting their bosses with the Cheshire Business Forum, the name he has given to a free lunch for company directors followed by a high-profile guest speaker.

"While people think of secretaries as the ones who make corporate bookings, the boss is still the boss, and a lot like to take an active interest in arrangements. They are decision-makers who are not easy to get todirectly, but a speaker of some consequence means they are pleased to come to the lunch."

The temptation is to have a speaker on complex business matters in which most company directors would be interested, such as company law, taxation or finance. So far, Beech has resisted this route, preferring to book entertaining speakers who are instructive, but not purely educational.

His first speaker was Liz Jeffreys, chief executive of the Greater Manchester Visitor and Convention Bureau, who spoke on the impact to local industry that a successful Olympic bid would have on Manchester.

Subsequent speakers have included leading industrialist Sir Roland Smith, who spoke to the audience on economic growth forecasts for the region. The last speaker was the most high-profile guest so far, Peter Brooke, Secretary of State for National Heritage.

No speaker so far has requested any payment. To book Peter Brooke, Beech approached his local MP to ask for help. The lunch date was picked around the minister's availability, but Beech was surprised how few problems there were to get a cabinet minister to come and address his guests.

Speaker costs may become a factor with the next person Beech is negotiating toaddress his industry captains - he is one of the best-known personalities in radio journalism, with a strong Cheshire connection.

Other costs are minimal. Food and drink for the lunches is covered by suppliers, who are persuaded that since increased business for the hotel should be the result of the lunch, it is in the interest of the suppliers to waive charges. That leaves staff costs, which since the restaurant is trading normally on the day of the forum lunches, is no more than one or two extra shifts from restaurant staff.

The list of invitees comes from mixed sources. There are key people from companies which already place a lot of business at Stanneylands, those who are making noticeably fewer bookings and those whom Beech would like to get business from.

Accurately measuring response from the Cheshire Business Forum is difficult, admits Beech. "We've had some obvious spin-off business bookings when a company has mentioned the Forum was their first visit toStanneylands, but it is a reminder to businesses that we are here as much as getting direct results. It's one of those intangible PR things which enhances the position and standing of the hotel."

Beech is certain the idea could be used by others, providing the hotel or restaurant is a credible product already enjoying corporate business. His advice is to get a speaker who the audience would not normally come into contact with, but would enjoy listening to. o

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