The COVID-19 pandemic caused a sudden and drastic shift in the food and beverage industry, with a notable rise in at-home consumption but a complete halt in out-of-home consumption. As a result, the industry suffered a significant decline in business, causing it to become severely impaired.
The Olive Tree Group had to navigate through the challenging times brought on by the COVID-19 pandemic, just like other businesses in the food and beverage industry. However, despite the difficulties, the group managed to expand its business.
Prior to the pandemic, the Olive Tree Group had 17 outlets in Malaysia and the team believed that the pandemic had created a gap in the market that could be filled by offering high-quality food and service.
Good owners who work with a long-term perspective were able to help keep the business going by offering discounts and other forms of support. Despite government benefits, it was important for hotel management to take care of their employees and foreign workers who were also affected by the pandemic. Overall, the hotel industry was able to weather the storm and come out on the other side, with many now focused on expanding and seeking new opportunities for growth.
In an exclusive interview with BusinessToday, Leslie Gomez, The Olive Tree Group’s Managing Director, shares how the group managed to sustain itself during the pandemic and managed to successfully open 7 new outlets after the pandemic with the latest one opening in Straits Quay, Penang.
Surviving, Thriving During the Pandemic
“One of the biggest challenges during the pandemic was sustaining the workforce, especially with the closure of many hotel outlets and reduced business,” said Leslie.
Sustainability has been a core value for The Olive Tree Group in this industry, and it’s not something that started during the pandemic.
“We have always been focused on building a solid foundation and growing steadily over time. While we have not always been the top performers, we have learned from our mistakes and worked hard to improve. Even during the pandemic, our goal was to keep the business going and take care of our employees, especially the foreign workers who rely on us for their livelihood,” added Leslie.
The group were fortunate to have supportive owners who worked with them to offer discounts and keep their workforce in place. This allowed them to come out of the pandemic stronger and more resilient than ever before.
Ingredients for Success: Advice for F&B Investors
“It’s important to understand that getting involved in any industry requires a deep understanding and commitment to that particular industry. F&B is no different. Just because someone has money and wants to invest doesn’t mean they should blindly jump into it without knowing what they are getting themselves into.
It’s easy to see the glamorous side of racing from the outside, but the reality is very different. The long hours, hard work, and sacrifices required to succeed in F&B are not for everyone. If you don’t have a passion for it, it’s better to stay away and find other ways to make money,” said Leslie.
Many people enter the industry with the goal of making quick profits without fully understanding the risks and challenges involved. They may have a lot of enthusiasm in the beginning, but once the sales start dipping, it becomes a whole different ballgame.
Leslie believes that sustaining and growing a F&B business takes a lot of hard work, dedication, and patience. It’s not something that can be achieved overnight. Therefore, it’s important to leave the industry to people who have a genuine interest and commitment to it. Only then can the industry continue to grow and thrive.
Preparing for the Future
“Looking ahead, we are focused on continued growth and expansion, but not at the expense of our values. We want to build something sustainable and lasting, and that means taking a long-term view of our business,” said Leslie.
The Olive Tree Group has seen that one success often leads to another, and the group is excited about the opportunities that lie ahead.
Their revenge spending last year was a testament to their resilience and determination, and the group is confident that they can continue to build on that momentum.
“We are always looking for ways to improve and innovate, and we believe that by staying true to our values, we can create something truly special in this industry,” Leslie concluded.
