Unit-15 ON-LICENSED TRADE MANAGEMENT

 Unit-15 ON-LICENSED TRADE MANAGEMENT

On-Licensed Trade Management A/601/1799



LO1 Understand key issues that impact on the licensed trade industry


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Understand key issues that impact on the licensed trade industry Brewing and the licensed trade: economic, social and legislative history Agreements: freehold; leasehold; tenancy Types of licensed premises: family; themed; community; country; town houses; branded pubs including franchises Future developments: national; EU influences Industry challenges/issues: the health agenda; responsible retailing; anti-alcohol lobby; smoking ban; violence; ethics; social responsibility; alcohol related disorder; gambling; pub closures; sustainability and the environment


1.1 assess the economic, social and legislative pressures that have created the present structure of the licensed trade and that might determine its future


1.2 evaluate the impact of key issues on the licensed trade industry, suggesting potential strategies for management





LO2 Understand the effective development and operation of on-licensed premises


Understand the effective development and operation of on-licensed premises Design: interior and exterior design, ergonomics, customer and workflow, economic use of space, provision for family areas (indoor/outdoor) Regulatory constraints: licensing law; health authorities; the police; planning authorities; licensing justices; weights and measures; safety; risk analysis Profitable product development: food; liquor; games; Amusement with Prizes (AWP) and Amusement with Skills (AWS); profit and loss statement analysis Stock and cash security: Electronic Point of Sale (EPOS) systems; associated integrated software and paper systems; the prevention of fraudulent practices; till security; security of cash on premises and transference Staffing: structures; recruitment; training; retention; outstanding performance; best practice and successful units; the role of area management


2.1 evaluate production and commercial areas, identifying appropriate control systems

2.2 discuss the constraints on development and operational activities

2.3 justify appropriate food, liquor and entertainment products and services for a specific type of on-licensed premises

 2.4 justify a staffing structure and training programme for a specific type of on-licensed premises
LO3 Be able to develop a merchandising and sales promotion strategy for onlicensed premises 


Be able to develop a merchandising and sales promotion strategy for on-licensed premises Marketing skills application: market research; Strengths, Weaknesses, Opportunities, Threats (SWOT) analysis; trend identification such as changing consumer needs, product/brand life cycle; communication of the value proposition; keeping and growing the customer base; the role of innovation; relevance of existing business models; sourcing strategies; effective management of the food safety risk; target market identification; market penetration Sales: merchandising and promotional activities; Point of Sale (POS) materials; back bar design; increasing turnover


3.1 justify a merchandising strategy for a specific type of onlicensed premises

3.2 produce a sales development and promotional plan for a specific type of on-licensed premises 

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LO4 Be able to evaluate the development of on-licensed premises



Be able to evaluate the development of on-licensed premises Development project: negotiate and agree with relevant people a development project; company or brewer; objectives; targets; timescales; resources to be used Focus: food; beverage; entertainment (consistent with target market) Design: eg internal, external, current regulatory constraints Systems: staffing structure; personnel policies; stock and cash control systems Financial investment: types eg wholesale and incremental project analysis, retail and operating cost analysis, Return on Capital Employed (ROCE), payback, discounted cash flow, yield Evaluate: types of activities undertaken; techniques used; interpersonal relationships; benefits; difficulties; objectives; timescales; resources; feedback to owner/manager


4.1 discuss the product development area, design, systems and financial investment


4.2 evaluate the project against original objectives, targets, timescales and resources to be used

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