Search
The Caterer

Mitchells & Butlers takes market share from rivals as food sales climb

09 April 2008 by
Mitchells & Butlers takes market share from rivals as food sales climb

Harvester and All Bar One owner Mitchells & Butlers (M&B) is taking market share from struggling rivals thanks to its offer of a "value and volume" dining experience, the pub group claimed today.

The embattled pub operator, currently a takeover target after it incurred a £274m loss on the closure of a proposed joint-venture property hedge fund, said overall sales for the 27 weeks ending 5 April had remained resilient thanks to strong food sales.

Food sales now account for 38% of all spending at M&B pubs and bars and have increased 4.8% in the last six months. M&B now serves 110 million meals a year.

Although drinks sales fell by 1.4% in the period, M&B said the drop actually represented a market share gain, as overall on-trade beer sales have fallen 9% in the same period.

M&B added that soft drink and wine sales had benefited from food sales growth and that beer now accounts for just 25% of overall sales.

It also pointed to the strong performance of the 239 sites it acquired from Whitbread in 2006. To date 196 have been converted into M&B brands and are trading on average 19% ahead of pre-M&B purchase levels.

M&B's future still uncertain

Punch Taverns rules out solo bid for rival Mitchells & Butlers

Rising food costs herald the end of mid-market restaurant boom

E-mail your comments to Christopher Walton here.

The Caterer Blog](http://www.caterersearch.com/blogs/catering-news-blog/) Catch up with more news and gossip on the Caterer Blog here
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!