Bean There, Done That!

Founder of Lease1 Phillip Chapman joins Phil to discuss the current landscape of the lease market and provide valuable insights and advice for business owners. They emphasise the importance of being proactive in lease negotiations and understanding the terms of the lease. Philip also highlights the need for retailers to right-size their stores and manage their occupancy cost ratio. He encourages business owners to seek support and guidance from professionals like Lease1 to ensure they are getting the best value out of their lease agreements.

Summary 💡

0:02:23 | Current landscape in the lease market post-COVID
0:03:15 | Importance of proactive lease negotiations
0:04:36 | Trend of smaller footprint in cafes
0:05:19 | Importance of getting the right size store
0:06:06 | Changes in lease negotiations over the past 20 years
0:06:46 | Importance of being proactive about leases
0:07:44 | Benefits of proactive approach as a tenant
0:08:02 | Common mistakes in lease agreements, particularly missing lease options
[0:08:27] | Importance of being proactive and having a critical path or gantt chart for your lease
[0:09:17] | Occupancy cost ratio as a measure of success
[0:10:30] | Engaging Lease1 at any point in the lease cycle
[0:12:11] | Timing aspects of leases and approaching the landlord proactively
[0:13:06] | Managing outgoings and questioning increases
[0:15:21] | Free lease review offered by Lease1
[0:16:16] | Importance of lease terms for cafes
0:16:42 | Lease terms shifting from longer to shorter due to risk.
0:17:02 | Flexibility in lease terms, such as 3 plus 2 plus 3 plus 2.
0:18:00 | Importance of ring-fencing assets and directors in leases.
0:18:45 | Be proactive, seek support, and connect with resources.
0:19:13 | Recommended lease term: three years with three-year option.
0:19:51 | Pending lease review and need for national minimum lease standards.
0:21:28 | Advice for cafes in financial distress: communicate and seek help.
0:22:26 | Reach out for support, join the community, and take action.
0:23:14 | Importance of being proactive and not doing nothing.
0:24:56 | Shift in focus from CBD to suburbs in cafe growth strategy.
0:24:56 | CBD cafes in Melbourne, Sydney, and Brisbane were too heavy in CBDs.
0:25:08 | Regional cafes were more profitable due to cheaper rents and higher coffee prices.
0:25:27 | COVID-19 accelerated existing trends, including the decline of CBDs.
0:26:03 | Limited hours and changing dynamics make planning difficult for CBD businesses.
0:26:26 | CBD cafes should focus on building assets and be well-prepared for risk.
0:27:10 | CBDs may become lifestyle centres with vertical living and more traffic flow.
0:27:42 | Work from home has negatively impacted CBD businesses.
0:28:05 | Turnover rent is a smart option for new CBD restaurants.
0:29:00 | Three tips for signing a lease: review the lease, surround yourself with good advisors, and consider the future of the lease.
0:31:39 | Leasing should fit into your lifestyle in terms of health, wealth, and time.
[0:33:10] | Coffee Commune leasing bootcamp
[0:33:41] | Lease1 helps people accelerate their potential

Episode Highlights 🌟

The Current Landscape of the Lease Market
In the post-COVID era, the lease market has undergone significant changes. Landlords and fund managers are focused on recapturing asset value and revaluing leases to find rental growth. Phillip emphasizes the importance of being proactive in lease negotiations and leveraging time to secure the best terms for your business.

Trends in Commercial Leases
One of the key trends in the lease market is the shift towards smaller footprints for businesses. Phillip advises businesses to carefully consider the size of their premises to optimise their occupancy cost ratio and avoid unnecessary expenses.

The Changing Dynamics of Lease Negotiations
Phillip emphasises the importance of reading and understanding your lease, as well as being proactive in managing it. Lease1 offers a free lease review service to help businesses assess their lease agreements and identify potential areas for improvement.

Mistakes to Avoid in Lease Negotiations
Phillip highlights the importance of being aware of lease events and taking proactive steps to secure favourable terms.

Managing Occupancy Costs and Outgoings
Phillip provides valuable insights into managing occupancy costs and outgoings. He advises businesses to focus on their occupancy cost ratio, which is the percentage of gross rent to sales.

Navigating CBD vs. Suburbs
The COVID-19 pandemic has accelerated the shift away from CBD locations. Phillip advises businesses to carefully consider the viability of CBD leases, as the dyn...

In this episode of Bean There, Done That! Phil chats with brand strategist and marketing expert Allan Bonsall. Also known as a successful author and long-standing panellist on ABC Radio’s Hidden Persuaders programme, Allan and Phil discuss the importance of standing out in a crowded market, creating a compelling brand story, and understanding the customer's needs and emotions.

Allan emphasises the shift from seller-controlled to customer-controlled markets and the need for businesses to differentiate themselves to attract customers. He also highlights the role of technology as a tool, not a solution, and the significance of customer experience in building trust and loyalty.

Summary 💡
[0:01:34] | Importance of standing out in a competitive market
[0:02:25] | Shift in power from seller to customer due to the internet
[0:03:52] | Abundance of competitors in the cafe industry
[0:04:46] | The need for a unique selling proposition and compelling story
[0:05:43] | Differentiation strategies for cafe owners
[0:07:10] | Importance of understanding competitors and customer needs
[0:08:38] | Creating a space for customers to feel welcomed and involved
[0:09:31] | Coffee and food options may not be the primary factors
[0:10:25] | The complexity of developing a brand and understanding customer satisfaction
0:10:25 | Importance of understanding customers for pricing and decision making
0:11:43 | Creating a memorable and emotional brand for cafes/restaurants
0:12:10 | Importance of planning from a customer's perspective
0:14:23 | Turning product features into customer benefits
0:15:29 | Emphasising emotional connection over transactional interactions
0:17:45 | Reluctance of business owners to understand target audience
0:18:38 | Importance of psychographic understanding of customers
0:19:53 | Customer-driven market and the need to understand customers
0:20:08 | Developing products and ambiance that reflect customer preferences
0:20:19 | Data on cafe customer numbers and average spend being down
[0:20:18] | Cafes still have the same number of customers.
[0:20:25] | Target audience is important for understanding customer behaviour.
[0:21:00] | Technology is a tool, not the solution.
[0:22:58] | Leveraging technology to create a brand requires understanding its implications.
[0:25:18] | Customer experience is crucial for building trust and loyalty.
[0:28:03] | Exceeding customer expectations leads to magic moments and word-of-mouth.
[0:29:16] | The Coffee Club's success came from being a meeting place.
[0:30:29] | Standing out requires understanding customer needs and delivering on them.
0:30:59 | First sale is about perception and standing out from the crowd
0:31:36 | Frustration with people who don't understand the importance of differentiation
0:32:14 | Key takeaways and mission to help others
0:32:26 | Allan Bonsall's work in strategic planning and purpose articulation
0:33:31 | Contact information for Allan Bonsall
0:33:44 | Book recommendation: "17 Rules of Game Changer Thinking"
0:34:20 | Shifting from entrepreneurs to game changers
0:35:01 | Importance of strategic thinking and not relying solely on technology
0:35:35 | Book recommendations and the purpose of the Coffee Commune

Episode Highlights 🌟

The Changing Landscape of Business
The rise of the internet and easy access to information has shifted the power from sellers to customers.

Differentiation: Understanding Your Competitors and Customers
To stand out in a crowded market, cafe operators must first understand their competitors and their weaknesses.

Creating a Memorable Brand: The Power of Emotion
Emotion plays a significant role in decision-making, and customers are more likely to choose a brand that evokes positive emotions.

Leveraging Technology: A Tool, Not a Solution
Technology can help streamline processes, gather data, and enhance the customer experience. However, it is the strategic thinking and understanding of the customer that drives success, not the technology itself.

The Importance of Customer Experience
Exceeding customer expectations and creating magic moments is crucial for building a strong brand. Customers want to feel valued, heard, and engaged. By focusing on customer experience, cafe operators can create a loyal customer base that will keep coming back.

Key Takeaways 🔑

1. In a competitive market, differentiation is crucial for success.
2. Understanding the customer's needs and emotions is essential for building a compelling brand.
3. Technology should be seen as a tool, not a solution, and must be used strategically.
4. Customer experience is the key to building trust and loyalty.
5. P...

In this episode, we dive deep into the world of recruitment in the hospitality industry. Our guest, Sam McNamara, founder of Get Ahead, describes his company as the "Tinder for employment" - a swipe app that connects job seekers and companies seamlessly.

Key Takeaways:

• The power in the recruitment process has shifted from employers to employees, making it more challenging for businesses to attract and retain staff.
• Get Ahead's swipe app allows employers to quickly match with potential candidates and conduct video interviews, saving time and improving the hiring process.
• Personality and attitude are becoming more important than experience in the hiring process, as businesses can train employees in the necessary skills.
• Referrals from existing staff can be a valuable source of new talent and can contribute to a positive company culture.
• Building a strong online presence through social media can help attract both customers and potential employees.

The Changing Landscape of Recruitment

The hospitality industry has undergone significant changes in recent years, particularly in the wake of the COVID-19 pandemic. One of the most notable shifts has been the transfer of power from employers to employees. As Sam points out, the job market has become more competitive, with a smaller pool of candidates available for hospitality positions. This has forced businesses to rethink their recruitment strategies and find new ways to attract and retain talent.

The Rise of Fast Recruitment

Traditional recruitment methods, such as posting job ads on platforms like Seek, have become less effective in the current job market. Employers are faced with challenges such as no-shows for interviews, high costs of advertising, and difficulty finding candidates with the right skills and personality fit. This is where Get Ahead comes in. The platform offers a fast and efficient hiring process, allowing employers to create a profile, swipe through potential candidates, and match with them for video interviews. By streamlining the recruitment process, Get Ahead aims to reduce hiring time and improve the quality of hires.

The Importance of Personality and Culture Fit

One of the key insights from our conversation with Sam is the growing emphasis on personality and culture fit in the recruitment process. Employers are realising that skills can be taught, but personality traits and a positive attitude are essential for success in the hospitality industry. Sam highlights the importance of creating a transparent and engaging profile on Get Ahead, where employers can showcase their brand and culture. By sharing videos and photos, employers can give candidates a glimpse into their business and attract those who align with their values and vision.

The Power of Referrals and References

Referrals and references play a crucial role in the recruitment process. Sam encourages employers to incentivise their existing staff to refer potential candidates. This not only helps in finding suitable candidates but also fosters a sense of community and camaraderie within the workplace. On the other hand, traditional reference checks may not always provide an accurate picture of a candidate's abilities and work ethic. Sam suggests doing your own homework and reaching out to people in the industry who may have worked with the candidate in the past.

Building an Online Presence and Brand

In today's digital age, having a strong online presence is essential for attracting both customers and potential employees. Sam advises businesses to leverage social media platforms like TikTok, Facebook, and LinkedIn to share their brand story and engage with their target audience. By posting regular content that reflects the culture and values of the business, employers can create a positive image and attract top talent. Sam also emphasises the importance of being authentic and genuine in your online presence, as candidates are looking for businesses that align with their own values and aspirations.

Conclusion and Future Outlook

The recruitment landscape in the hospitality industry has undergone significant changes, and businesses need to adapt to stay ahead. Platforms like Get Ahead are revolutionising the hiring process by offering a fast and efficient way to connect with potential candidates. The focus has shifted from solely looking for experience to considering personality and culture fit. Employers are encouraged to build an online presence and share their brand story to attract both customers and employees. By embracing these changes and adopting innovative recruitment strategies, businesses can overcome the challenges of the current job market and build a strong and talented team.

As the industry continues to evolve, it is...

Today, we speak with Kelly Maniatis, organisational psychologist who has been working with cafe owners for many years. In this episode, we will delve into the importance of developing a resilient mindset in overcoming the challenges faced by cafe owners, such as increased expenses, staff shortages, and long hours. We will also discuss strategies for retaining and attracting staff, staying relevant in a changing consumer mindset, and the role of emotions and ego in the cafe industry. So let's dive in and explore the mindset matters and how to become mentally stronger in the cafe industry.

Key Takeaways:

• Developing a resilient mindset is crucial for cafe owners facing multiple challenges.
• A growth mindset allows for open thinking and problem-solving, while a closed mindset limits possibilities.
• Negative thinking can impact the body and lead to physical health issues.
• Cafe owners should focus on productivity and effectiveness rather than trying to maximise time.
• Retaining key staff members is more cost-effective than constantly recruiting and training new employees.
• Building strong relationships with employees and customers is essential for success in the cafe industry.
• Staying relevant requires understanding the changing mindset of consumers and constantly evolving strategies.

Developing a Resilient Mindset

Kelly Maniatis emphasises the importance of developing a resilient mindset for cafe owners facing multiple crises simultaneously. She defines a resilient mindset as the ability to manage challenges without taking them personally, taking a step back, and approaching them with a positive and solution-oriented mindset. It is about bouncing back from setbacks and being open to learning and growth. Kelly highlights the impact of a closed mindset, which is fear-based and avoidant, on both the mind and body. She shares personal anecdotes about the physical toll that a closed mindset can have on cafe owners and emphasises the need to cultivate a growth mindset to handle challenges effectively.

The Difference Between Closed and Growth Mindset

Kelly explains the difference between a closed mindset and a growth mindset, drawing on the work of Carol Dweck. A closed mindset is characterised by a standstill, status quo mentality, while a growth mindset is open to learning and opportunities. She emphasises the importance of focusing on growth and looking for opportunities rather than fixating on problems. Kelly also highlights the impact of a closed mindset on the body, leading to negative physical symptoms such as heart problems and autoimmune issues. She encourages cafe owners to be aware of their thinking patterns and to dial down negative self-talk while focusing on positive steps forward.

Overcoming Mindset Traps

Cafe owners often fall into mindset traps, such as playing the victim or getting caught up in their own ego. Kelly advises cafe owners to be aware of these traps and offers tips for overcoming them. She suggests starting the day with positive intentions and being mindful of the thoughts and emotions that arise. By focusing on gratitude and problem-solving, cafe owners can shift their mindset and approach challenges with a more positive outlook. Kelly also emphasises the importance of separating the problem from the person, playing the issue rather than the individual. This shift in perspective can help cafe owners navigate challenges more effectively.

The Impact of Emotions and Ego

Kelly discusses the impact of emotions and ego on the cafe industry. While emotions can be contagious and create emotional engagement with customers and employees, they can also be fear-based and detrimental to the mind and body. She highlights the need to regulate emotions and avoid getting caught up in ego-driven thinking. Kelly encourages cafe owners to focus on emotional engagement with customers and employees, building trust and connection. She also emphasises the importance of self-awareness and labelling emotions to calm the body's stress response.

The Challenge of Staff Shortages

Staff shortages have been a significant challenge for cafe owners, and Kelly provides insights into strategies for retention and attraction. She emphasises the importance of retaining existing staff, as the cost of turnover can be two to three times a person's salary. Kelly advises cafe owners to focus on engagement, lifestyle, and career pathways to retain key employees. She also highlights the need to differentiate between regrettable and non-regrettable losses, moving on from non-performing employees while investing in the development and support of valuable team members. Kelly encourages cafe owners to create a positive and engaging work environment to attract and retain staff.

Staying Releva...

In this episode of Bean There, Done That!, host Phil Di Bella dives deep into the crucial topic of retaining top talent with special guest Lauren Karan. Lauren, an expert in recruitment and organisational coaching, shares her extensive knowledge on creating effective hiring strategies and fostering a culture of retention. They explore the importance of understanding your business's pain points, aligning hiring strategies with growth goals, and continuously building a pipeline of potential hires. Lauren emphasises the significance of leadership, inclusivity, and emotional engagement in retaining staff and offers practical tips on interviewing and onboarding processes. Whether you're in hospitality or any other industry, this episode is packed with actionable insights to help you build and maintain a high-performing team.

Key Topics and Themes:

• The importance of retaining top talent versus merely recruiting
• Strategies for proactive hiring and avoiding desperation in recruitment
• Creating a robust and effective recruitment process
• Utilising behavioural questions and psychometric testing in interviews
• The role of leadership and culture in employee retention
• Practical tips for interviewing and selecting the right candidates
• The value of involving your team in hiring decisions
• Balancing competitive wages with performance expectations
• Building a sense of belonging and emotional engagement in your team
• Recognising when and how to promote within your organisation

Takeaways:

• Effective recruitment processes are crucial for improving retention outcomes.
• Always be on the lookout for great talent and maintain a continuous hiring mindset.
• Leadership and culture are key drivers of employee retention; make your team feel valued and heard.
• Behavioural questions in interviews help reveal true capabilities and fit.
• Competitive wages should be balanced with clear performance expectations and a strong value proposition.
• Involve your team in hiring decisions to foster a sense of ownership and belonging.
• Promote from within by identifying and nurturing employees who take initiative and show leadership potential.

Time-Stamped Key Points:

• 00:05 - Introduction to the main topic: retaining top talent
• 01:30 - Phil introduces guest Lauren Karan and her background
• 03:45 - The importance of linking hiring strategy with business goals
• 08:20 - Tips for hiring in a competitive and transient market
• 15:10 - The significance of behavioural interviewing and asking for specific examples
• 22:30 - The role of leadership and culture in retaining employees
• 28:45 - Real-life examples of effective customer service and team dynamics
• 34:50 - Balancing wages with performance and commercial viability
• 41:20 - Identifying and promoting top performers within your team
• 50:10 - Strategies for continuous recruitment and building a talent pipeline
• 57:00 - Closing thoughts and the importance of simple, actionable steps

About Our Guest:
Lauren Karan is a specialist in technical and engineering recruitment within the building and civil construction market. With over 12 years of experience, Lauren holds a degree in psychology, accreditation in behavioural interviewing and psychometric testing, and certification as an organisational coach. Her hands-on, strategic approach to recruitment has set her apart in the industry, making her a sought-after expert in finding and retaining top talent.

Links and Resources:

• Book: "Belonging" by Owen Eastwood
• Book: "Unreasonable Hospitality: The Remarkable Power of Giving People More Than They Expect" by Will Guidara
• Podcast: Building Doors by Lauren Karan

Don't miss this insightful episode with Lauren Karan as we uncover the secrets to retaining top talent and building a high-performing team. Listen now on your favourite podcast platform and accelerate your potential with The Coffee Commune.

Produced by T...