Bookings up but bottom lines flat for Hong Kong reunion dinners
Seafood chain says bookings for reunion dinners have risen 10 per cent but overall year-on-year earnings for Lunar New Year period could ‘just about balance out’
Hong Kong restaurateurs expect earnings from family reunion dinners in the lead up to Lunar New Year to either remain stable or decline compared with last year despite an increase in bookings, citing a weak economy and a preference among customers for more affordable menu options.
Lee Kwong-hoi, CEO of Star Seafood Restaurant Group, which runs 14 outlets across Hong Kong, said while bookings for reunion dinners had risen by 10 per cent year on year menu prices continued to hover around HK$3,000 (US$383) to HK$4,000 for 12 diners, similar to last year.
“We did not dare raise prices as the economy still seems somewhat weak,” Lee said. “Our bookings are full from Friday to Monday, with some branches serving two rounds of dinners in an evening.”
Reunion dinners are traditionally enjoyed together by extended family members on Lunar New Year’s Eve, which falls on Monday this year, and are sometimes held by companies for their staff before the year ends.
Lee explained that whether one of his branches would serve two rounds of dinner would typically depend on its location and competition. If there were other Cantonese restaurants in the neighbourhood, there would only be one round.
The chain also reported a 60 per cent drop in sales of “poon choi” – a hearty stew which translates to “basin feast” in Cantonese, referring to the large casserole dish in which it was served – commonly enjoyed at home during Lunar New Year and other celebrations.