Investment led growth
We drive value for our shareholders by delivering sustainable, profitable growth.
We achieve strong returns on capital invested, have an unrelenting focus on providing a great customer experience and maximise the multiple growth opportunities available to us.
|Driving like-for-like growth||Driving LFL growth by attracting new customers, increasing the frequency of visits of existing customers and raising the spend per game.||In FY2018, our LFL revenue grew by 1.8 per cent. Spend per game was the key driver of this, up 5.5%. Our approach is to increase dwell time and gain a greater share of customers’ leisure spend as well as drive game volumes in our centres.||Continued unrelenting focus on improving the customer experience through planned investments in technology, training our people, marketing and ensuring we have the right products available.|
|Refurbishment programme||Our refurbishment programme generates improved sales and profitability at existing centres through investment in the bowling experience (including the introduction of VIP lanes), new external signage, an upgraded bar offer and the introduction of the new Hollywood Diner concept. These upgrades attract new customers, drive game volumes, support higher prices and encourage a higher spend per game.||In FY2018 we refurbished/rebranded nine centres and have an average return on investment (ROI) greater than 33 per cent. We have between seven and ten refurbishments planned for FY2019 and we are confident we can continue to deliver above return on investment (ROI) expectations as we continue to roll out our family-focused model.||Continue to enhance our existing estate so we deliver a consistent level of quality across the Group by undertaking seven to ten centre refurbishments per year through a rolling capital investment programme. We have seven to ten refurbishments planned for FY2019 and we are confident we can maintain this level of ROI as we continue to invest in our family-focused model.|
|Conversion of the Bowlplex estate||Following the acquisition of Bowlplex in December 2015, 11 centres became part of the Group. We will refurbish and rebrand these centres as Hollywood Bowl, bringing them in line with the higher standards across the remainder of the Group’s estate.||We have completed the conversion of the Bowlplex estate with the refurbishment and rebrand of four centres in FY2018. The average revenue for the Bowlplex centres has increased to £1.88m from £1.81m in the prior year.||We have now refurbished and rebranded all 11 Bowlplex centres to Hollywood Bowl. The average revenue per Bowlplex centre for FY2018 was £1.88m – an increase of 4 per cent over the prior year.|
|Development of new centres and acquisitions||There are growth opportunities via new-build centres and from the acquisition and rebranding of bowling sites from other operators.||Dagenham opened in October 2017 and Yeovil in March 2018. New centres will open in the intu developments in Watford and Lakeside in FY2019. We have signed leases for new centres in York, Southend and Swindon which secures our pipeline to FY2022. We also have a number of other key opportunities in advanced stages of negotiation.||This year, we opened three new centres, in fantastic locations, which are all performing above expectations. We will continue to expand our estate and look for profitable opportunities to grow, opening an average of two new centres per annum, dependent on meeting our acquisition criteria and rental expectations.|
|Focus on people||Our people underpin our business. Attracting and retaining top talent is a key priority for the Group.||We continue to build on the success of our centre manager and assistant manager in training programmes in FY2018, 61 management positions were filled internally, a 17.3 per cent increase on FY2017.||Our team members are the face of our business and are responsible for ensuring that our customers enjoy the best possible experience every time they visit. Training, development and internal succession remain key focus areas for the Group.|