Pubs and restaurants offering discount vouchers are being warned that customers will continue to expect value deals even when the economy improves.
Accountancy firm Deloitte advises pubs to be wary of undermining the long-term benefits of building a brand by offering continuous discounts.
Glyn Bunting, partner in the hospitality and leisure team at Deloitte, said: “The deals clearly help to buoy up trade whilst customers focus on value for money, but continuous discounting tends to undermine long term value creation from brand building.”
“In the long term, operators will want to build a brand that stands for more than simply being cheap. Price has to be competitive, but operators still need to have a good offering and manage their operations well,” he said.
By Emma White
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