British pub chain Marston's eyes further price increases

Marston's said recent sales had been boosted by England's performance in the World Cup.

Marston's, which has over 1,500 pubs and bars across Britain, will increase prices by between 5% to 10%, its chief executive has said. 

Chief executive Andrew Andrea said he had not yet seen evidence Marston's was losing customers and recent sales had been boosted by England's performance in the World Cup taking place in Qatar. 

Marston's has already lifted the price of its food and drinks twice in 2022. Beverages account for around 60% of its overall revenue, while food items make up the rest.

Mr Andrea said prices could rise again early next year.

Christmas dinners at Marston's will cost up to 10% more this year, the British pub group said, but said bookings were higher so far than pre-pandemic levels. 

The price rise is lower than inflation in Britain, which reached a 41-year-high in November, leaving business facing the dilemma of how much they can pass on to customers of higher costs, including food and energy, without destroying demand.

Demand rises

For the Christmas period, the company has said total bookings were so far higher than in 2019 before the Covid-19 pandemic took hold, but it has not given precise figures and said walk-in trade accounts for much of its festive sales.

"We are not the cheapest, but similarly we are not the most expensive. So, I think we are picking up good value," Mr Andrea said. 

The company's pre-tax profit came in at £27.7m (€32.1m) for the 52 weeks through October 2, compared to a loss of £100m year earlier. Its operating expenses jumped more than 72% to over £684m.

The timing of the World Cup in Qatar, which was changed to avoid the extreme temperatures of the peak summer months, helped sales during the normally quiet November period. 

Reuters