Ready for Events - Highlands and Islands Enterprise

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Major events bring significant economic benefit to the host country. ... disadvantages that we will explore further in t
Ready for Events

A step by step guide to selling Scottish food & drink at events

Ready for Events Guide

Contents Section 1 Introduction – Opportunity Knocks at Events

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The Business of Events

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Section 2 Getting Started – The Options

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Identifying Opportunities

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How Much Might You Sell at an Event?

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Section 3 Working with Professional Caterers

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Contacting Professional Caterers

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Professional Caterers in Profile

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Working with Other Producers

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Producer Group Contacts

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Producer Groups in Profile

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Going It Alone

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Producers in Profile

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Section 4 Contractual & Legal Matters

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The Finances of Selling at Events

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Equipment & Food Preparation

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Customer Service & Payment

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It’s Not All About Sales

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Section 5 Help at Hand

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Ready for Events Guide

Introduction Opportunity Knocks at Events Events play an important role in increasing the value of Scottish tourism, as more and more of our visitors spend time and money at events throughout the country.

This Ready for Events guide aims to provide Scottish food and drink producers with –

Each year, Scotland hosts literally thousands of events of all shapes and sizes, ranging from the world’s largest arts festival and huge international sporting occasions, to community gala days and special interest events for enthusiasts.

• Advice on how to work with events.

• Details of the business opportunities that events can offer. • Guidance on the challenges that producers may face when entering the events sector. • Examples of businesses who have worked successfully at events to provide visitors with the very best food and drink experiences.

Events can introduce businesses to new customers and the events sector offers major opportunities to food and drink producers who want to increase their sales, enhance their reputation, raise their profile and access new markets.

• Information on where to go for help and support to make the most of opportunities in the events sector.

Visitors to events spend a lot of money on food and drink. They are expected to spend even more in the future and are willing to pay extra for quality, locally sourced produce. This represents a great opportunity for producers.

Ready for Events has been produced by the organisations below to assist food and drink companies to make the most of the business opportunities created by Scotland’s growing calendar of events.

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Ready for Events Guide

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The Business of Events Scottish events generate turnover of almost £1.5 billion a year. Events are obviously worth a great deal to the economy.

By comparison, expenditure on eating out grew by only 14% and expenditure in pubs actually fell by 6%.

Data gathered by the Office of National Statistics suggests that Scotland’s event sector generated almost £1.5 billion p/a in gross turnover and supported nearly 60,000 jobs in 2008.

Major events bring significant economic benefit to the host country. The 2010 Ryder Cup in Wales generated £82.4m spend, and we expect well over £100m of economic benefit from hosting the Glasgow Commonwealth Games and the Ryder Cup at Gleneagles in 2014.

In 2011/12, EventScotland, our national events agency, support funded almost 80 events that generated economic benefit of £47 million across Scotland, reaping real returns for businesses involved in the events industry. Research shows that the UK events industry is weathering the impacts of the economic downturn better than many other sectors. Market research firm Mintel suggests that events are a form of “affordable escapism”, on which consumers will continue to spend money while they cut back in other areas. As an example, UK visitor expenditure on music concerts and festivals has grown by 69% in the last five years.

Events represent a major opportunity for all Scottish businesses, but especially those in the food and drink sector.

EventScotland is the national events agency and works to build Scotland’s reputation as a leading destination for sporting and cultural events. Find out more at www.eventscotland.org

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The Business of Events Visitors to Scottish events are expected to spend £24 million on food and drink in 2012. Food and drink is important to visitors to Scotland. Nearly 20p out of every pound that visitors spend in our country is spent on food and drink. That equates to visitor spend of close to £800 million a year.

In 2009, Scottish Enterprise research found that, on average, visitors are happy to pay a premium of around 7 – 8% for food and drink that they consider to be Scottish or local. If all visitors were to pay this premium, it would equate to them spending an extra £50 million a year.

VisitScotland research shows that over 70% of visitors say they want to taste traditional Scottish dishes, regional specialities and fresh, locally sourced produce during their time in Scotland.

Independent research commissioned by Scottish Enterprise in 2011 forecasts that visitors to events in Scotland will spend £24 million on food and drink in 2012. This figure is projected to rise over the next ten years with a peak of almost £33 million in 2014, when we host the Glasgow Commonwealth Games and the Ryder Cup.

In particular, visitors want to know the stories behind the food and drink they are offered. They want to know that it’s genuine Ayrshire bacon in their roll; that Cullen Skink is a traditional fish soup from the North East; that the strawberries in their smoothie were grown in Perthshire; and that the whisky in their glass is made with water from a peaty Highland stream.

Visitors to events spend a lot of money on food and drink. They are expected to spend even more in the future and they are willing to pay extra for quality, locally sourced Scottish produce. That represents a great opportunity for Scottish producers.

8 out of 10 visitors tell us that the quality of local food and drink is something that influences where they decide to go on holidays and short breaks.

The average visitor to an all day event in Scotland will spend just over £10 on food and drink. This rises to around £20 per day for multiday events, such as music festivals, where visitors stay overnight on the event site.

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Getting Started The Options If you are a producer looking to enter the events market, there are three main ways to do it; • You can supply a professional caterer who will then use your produce in their menus. • You can join with other producers to work in partnership at events. • You can sell your produce yourself direct to customers at events. Each of these options has advantages and disadvantages that we will explore further in the following pages.

However, whichever option or options you choose, it is important that you learn to walk before you try to run. Don’t be over ambitious and expect to deal with major national events or international scale caterers from the outset. In the beginning, you can often gain more experience and make more money at smaller scale events, which can be accessible at lower cost and lower risk. Starting small will enable you to learn more about public demand and expectations, and to work out your own capacity constraints. It will also allow you to test the events market without investing too much in the additional staffing and equipment that are generally needed to work effectively at larger events. Equipment such as cookers, fridges and generators can be a significant investment. You’ll want to make sure that you know what you are doing and have a clear idea of the returns you can expect before you spend large sums of money on it. You should also be aware that it may take some time before you start to show a return on working with events. However, with a little patience and a little practice, you could soon be ready to make your mark in the events sector.

You might find it helpful to talk to other producers who are already active in the events market. One easy way to do this is to visit www.scottishfoodanddrink forums.org.uk. Join their LinkedIn group and start making connections today.

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Getting Started Identifying Opportunities How can you identify events that might offer business opportunities? There are a number of easy ways.

Local Knowledge You probably already know which events are held in your local area and you may well know quite a bit about them. If you don’t, coverage of them can usually be found in local newspapers and their promotional leaflets will be on display in information centres and other local outlets.

What’s On & Event Websites There are numerous on-line What’s On directories that provide details of events taking place at both national and local level. EventScotland list key events on their website at www.eventscotland.org and VisitScotland, our national tourism agency, have extensive listings of events at www.visitscotland.com/events.

Almost all What’s On websites have a search facility that enables you to look for individual events by type, location and date. Most sites also provide links to each event’s own website and contact details of the organisers.

Published Directories There are numerous directories of events available in printed format. Among them are The List’s Guide to Festivals & Events (www.list.co.uk) and the Nationwide Caterers Association’s Events Guide, which can be purchased through their website at www.ncass.org.uk. Research events as thoroughly as possible and talk to other producers and caterers to identify ones that they have found worthwhile. Shared experience and knowledge is always helpful.

In addition, there are commercial websites like www.whatsonscotland.com and www.whatshappeningon.com.

A growing number of event organisers now produce helpful specifications that outline the types of food and drink they want to be on sale at their event.

Always plan well ahead. Many event organisers begin taking stand bookings a year in advance and most events have a finite number of available stands. Leave it too late and you may miss out.

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Getting Started How Much Might You Sell at an Event? That is the million dollar question, which has no easy answer as every event is different.

The NCASS estimate that roughly 60% of food and drink sales at events are generated by mainstream catering outlets, while more specialist units account for the 40% balance of sales.

The first thing you need to know is how many people are likely to attend a particular event. Organisers should to be able to tell you how many people they expect at their event, but visitor numbers can be affected by many factors outwith their control.

So, if you are a specialist producer attending an all day agricultural show that attracts 20,000 people, you can possibly expect 4,000 of those people to be interested in your produce. How much you might actually sell will be directly influenced by how many other specialist producers are at the event. If you are one of eight specialist producers, you should be aiming to sell to at least 500 people during the day.

You also need to know what type and how many other suppliers will be at an event selling food and drink. That will give you an idea of how much competition you are likely to face. Remember, selling at events is a competitive market. The type of event can influence how many people are likely to buy food and drink at it. This is not an exact science, but the Nationwide Caterers Association (NCASS) (www.ncass.org.uk) estimate that 75 – 85% of people attending a live music festival or concert are likely to buy food and drink. Around 50% of people attending an all day agricultural show and around 40% of people attending local fetes and carnivals may buy food and drink.

Remember that the weather can have a big impact on visitor numbers and an outdoor event that attracts 10,000 people on a sunny day one year may struggle with half that number in the pouring rain the following year.

Actual sales will depend on many factors such as your pricing, differentiation between your produce and that of competitors, and the quality and speed of your customer service. These are all factors within your control.

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Working with Professional Caterers Professional caterers come in all shapes and sizes. They can be international companies employing thousands of staff, who will provide fine dining at national events for VIP guests, performers and event sponsors. Alternatively, they can be a single man with a van, who may sell a limited range of products at a small number of local events.

Caterers need producers to provide guaranteed quality, guaranteed supply and delivery, and guaranteed prices. Some caterers are somewhat wary of working with smaller producers and need to be convinced that they can guarantee to supply their produce in the quantities needed at the times it is wanted. It may not be possible to make additional deliveries during an event but whilst caterers cannot afford to run out of stock, they certainly don’t want to be carrying more stock than is absolutely necessary in between events.

Working with professional caterers can reduce the risks to producers seeking to enter the events market, as it minimises the need to invest in catering equipment, in staff training in areas like customer service and food hygiene, and in all the insurances and licenses that are part and parcel of serving food and drink direct to the public.

Professional caterers have recognised the increasing public interest in locally sourced food. Many are responding to this growing demand by introducing new local product lines and providing more information about where they source their produce.

However, while working with caterers minimises risk, it can also reduce potential profits as selling through an intermediary invariably involves lower margins than selling direct. At the end of the day, caterers are at events to make money. They need to make a profit on what they sell and they may dictate the price at which you sell to them in order to protect their own margins.

However, professional catering is a very competitive market. It can take up to a year to reach an agreement to supply a major national events caterer. However, there are rich rewards for producers who can deliver quantity, quality and value.

Caterers are likely to require evidence of the operational standards of producer businesses and may ask for copies of your policy documents on topics like: sustainability; environmental protection; equal opportunities; health & safety; waste management practices; and food safety & quality. They may also require you to undergo an independent audit of your facilities and processes – which you have to pay for.

Many larger caterers publish specifications detailing – • The types of products they need. • The volumes they need. • Where they need deliveries to be made. • When and how they need deliveries to be made. • The quality standards they require.

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Contacting Professional Caterers There are a number of ways in which producers can identify and contact professional caterers.

The NCASS site also has a wealth of advice and guidance about catering at events, which is helpful reading for any producers wanting to better understand how the events sector operates. We are grateful to the Nationwide Caterers Association for permission to quote from their website throughout this guide.

Business directories produced by Caterer Magazine and bodies like local authorities and Chambers of Commerce will generally include listings of caterers. Such directories are often a good source of initial contact information. If you are a producer, you should probably be listed in such directories yourself. Scotland Food & Drink is an industry-led organisation offering support to help food and drink companies develop new markets. Their INSIGHTS service provides market intelligence and a series of helpful “How Do I...?” guides, including one on accessing and working with caterers. Their Access to Markets service can help businesses engage directly with contract caterer buyers throughout the UK. All Scotland Food & Drink support and assistance can be accessed through www.scotlandfoodanddrink.org. The Nationwide Caterers Association (NCASS) is the nationally recognised trade association for mobile caterers, outside caterers, event and street food caterers. Its website at www.ncass.org.uk has easy-to-use databases with information and contact details of professional caterers throughout the UK, including Scotland.

At the simplest level, visiting events and talking to caterers can be a good way of making initial introductions and finding out more about their needs. However, don’t do this when events are in full swing and caterers are focussed on serving the public.

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Professional Caterers in Profile Caterers in Profile

Heritage Portfolio tailored to their individual needs that provides “an experience beyond food”.

Award-winning Heritage Portfolio is one of Scotland’s leading independent caterers with three divisions providing Event Catering, Retail Cafés and Office Boardroom Catering. The company offers clients a personalised service

As well as operating cafés at major day visitor attractions and corporate hospitality and weddings at over 30 distinctive venues across Scotland, Heritage Portfolio provide catering at large scale events such as the Pommery Champagne Café Bar during the Edinburgh Festival Fringe and the world renowned Edinburgh International Book Festival. Fresh and flavoursome local produce is a key element of Heritage Portfolio’s menus, which change with the seasons. The company has developed close

partnerships with many local suppliers across Scotland, seeing many producers as an extension to their own kitchens. At the Edinburgh International Book Festival 2011 it worked closely with Scotland Food & Drink to provide local produce to the 220,000 visitors, as well as the influential writers and commentators participating in the festival. Heritage Portfolio were recognised as the UK Event Caterer of the Year 2010 and further information about the company can be found at www.heritageportfolio.co.uk.

Caterers in Profile

Wild Rover Food

Set up in Fife by Cat Kilgour and Rob Wright, Wild Rover Food attend events and markets throughout the country

with their distinctive 1961 Land Rover, which tows an ex-army field kitchen incorporating: cover for wet weather; LPG gas burners; an oven and fridge; and an area with customer seating.

Their dishes are freshly cooked wherever they make camp and guarantee sensations for the nostrils, as well as the taste buds. They aim to serve food that is seasonal, scrumptious and sustainable.

Cat and Rob care passionately about food provenance and only work with the people who hunt, fish, grow and forage for Scotland’s tastiest produce. They source food directly from local game-dealers, farms and producers. As the food seasons change, their dishes do too as they follow a seasonal food chart, which they see as an inspiration rather than a constraint.

In 2012, Wild Rover Food will attend events as diverse as Stockbridge Market, the Scottish Bird Fair, the Big Tent Festival and Scotland’s Countryside Festival. Further information is available at www.wildroverfood.com.

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Working with Other Producers Recent years have seen a growth in groups of producers working together to offer a range and variety of local food and drink at events. There are numerous advantages to working in partnership with other producers at events.

While there are definite advantages to partnership working, it has to be recognised that this can take more organisation and effort and very much needs a team approach with good leadership from a central co-ordinator and point of contact.

• You may have more chance getting into an event if you can add greater colour and character to it by working in partnership with others.

Some groups formalise their operation by setting up a consortium co-operative or similar legal structure. Producer groups will also generally set their own quality criteria and an annual fee for membership. These are rarely onerous, but all members will be expected to operate within certain parameters and to contribute to the overall operation of the group.

• Working with a group of producers can be more appealing and easier for event organisers as contractual arrangements are simplified with one contract covering a number of producers.

All producer groups will want to provide a balance of different types of produce. There’s no point in a group turning up to an event with ten producers all selling the same thing. Complementary rather than competitive produce is key to success. Therefore, there may be limited opportunities to join established groups if they already have members selling your type of produce.

• You can often reduce your costs by sharing transport, equipment etc. with others. • Producer groups can offer a wider variety of produce that attracts more customers to their stand, increasing sales for everyone. • Producer groups have more resources to invest in activities like branding and marketing that support and add value to all members of the group.

However, at the end of the day, the advantages of partnership working in producer groups significantly outweigh any disadvantages.

• At the simplest level, working in partnership with other producers can provide operational help and support when you might need it and can create business relationships that continue outwith events.

Food from Argyll were the first partnership of producers to work as a consortium co-operative to target the events market and grow turnover year on year. Now other producer groups have sprung up in many different parts of Scotland.

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Producer Group Contacts SAOS is a specialist development organisation whose primary purpose is to strengthen the profitability of Scotland’s food and farming industries through co-operation and collaboration. It has a network of regional advisers across Scotland with extensive experience of providing information, advice and development support to producers and organisations that work together to achieve their objectives. More details can be found on www.saos.coop or www.ctwo.org.uk, their Cultivating Collaboration website.

There are a growing number of local producer groups and local food initiatives across Scotland. These are at different stages of development and give different priority to working together at events. Some of them organise their own events and festivals to promote local produce. These can often be a good way to test the events market.

Co-operative Development Scotland (CDS) provides specialist advice to food and drink businesses to support the successful creation of producer groups through setting up consortium co-operatives. Advisers can help groups: explore and assess opportunities; formalise and structure the consortium co-operative; source finance for the group; and develop member participation. Further information can be accessed at www.cdscotland.co.uk.

There is no single, comprehensive, up-to-the-minute listing of all producer groups across Scotland (although we are working on producing one). However, the Scottish Agricultural College’s “Food Networks Guide” is a good start point. It was produced in 2009 and has details of over a dozen local groups. It can be downloaded at www.sac.ac.uk.

The National Food & Drink Forum Network brings together producers with others involved in the food and drink sector online and at regional events, to share ideas, business opportunities and build relationships. Visit www.scottishfoodanddrinkforums.org for details.

Food forums and many producer groups make active use of social media like LinkedIn and Facebook to keep in touch and to share opportunities.

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Producer Groups in Profile Producer Groups in Profile

Food from Argyll A dozen local producers ran a food marquee where they offered all kinds of local specialties including roast beef, seafood, cheeses and vegetarian dishes.

Food from Argyll originally came together to help local food and drink businesses promote themselves to the 80,000 people attending the 2007 Connect Music Festival at Inveraray.

This first event was a steep learning curve for the producers who had never previously dealt with so many customers in such a short time. However, the group has since expanded its membership and activities to cover events throughout Scotland and England and, in 2012, will attend events ranging from T in the Park and Belladrum Festival in Beauly to the Edinburgh Gardening Festival and V Fest.

Food from Argyll has won numerous national awards and been recognised in the Scottish Parliament. A key element of the group’s activities is the promotion of Argyll as a visitor destination. Members recognise that their local environment and landscapes are part of what makes their produce unique and special. They hope to encourage their customers around Britain to visit Argyll for themselves to enjoy more of the local produce. Check out www.foodfromargyll. com for more information.

Producer Groups in Profile

Savour the Flavours of Dumfries & Galloway chefs, retailers and event organisers. It aims to raise awareness and appreciation of the exceptional produce of south west Scotland.

Savour the Flavours is a multi-faceted, industry-led initiative that works with all aspects of Dumfries & Galloway’s food and drink industry including producers,

As well as encouraging hotels, restaurants, cafes and events to serve local food and drink, Savour the Flavours organises showcase events like the annual Flavour Fortnight in August and September and a Spring Flavour Taster. These region-wide festivals encourage local businesses to host events such as open days, tours, demonstrations, workshops and tastings that give visitors opportunities to get closer to local

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artisan food and drink and to meet the people who produce it. Savour the Flavours has 60 producer members across Dumfries & Galloway selling everything from meat to honey and from beer to cheese. It also has over 50 catering members and 13 farmers’ market members, making it one of the largest and most active local food initiatives in Scotland. Full details can be found at www. savourtheflavours.co.uk and information about Flavour Fortnight is available at www.flavourfortnight. co.uk.

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Going It Alone What are the advantages of going it alone and operating your own catering stand at an event?

You also carry more risk by operating on your own. The returns can be greater, but so can the risks. Immediate profits are the exception rather than the rule, and it can take time to build up the experience and expertise that enables you to operate efficiently at events with minimum wastage and maximum sales. You may need to manage your cash flow very carefully in your early days.

The first is profit. If you get everything right, you could make more money as you are not sharing proceeds with intermediaries or partners. The second is control. You know your product better than anyone and going it alone may give you greater freedom and flexibility to present, promote and sell your produce as you see fit.

For this reason, it is often wiser to start out at smaller events where sales might be lower but so will costs and, consequently, risk. A cautious approach might reduce your immediate returns, but can result in greater long term benefits.

However, there are also disadvantages. You need to do everything yourself with less back up and support than you will get through partnership working. You will be responsible for making sure you have all the necessary equipment and all the essential licenses and permits. You will have to organise transport, carry out risk assessments, negotiate with the event organiser and the many other activities that are part and parcel of selling produce at events.

Many producers find it can take over a year of operation before they start to show a profit from selling at events. Sometimes it may take up to 3 years to move into profit.

The Event Ready Producers initiative offers expert advice and support on supplying events that is tailored to your individual business. Full details are available in the Food & Drink – How We Can Help section of the Scottish Enterprise website at www.scottishenterprise.com.

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Producers in Profile Producers in Profile

The Well Hung Lamb Company Ltd gourmet pies. They also source other local produce including wild venison, hot smoked salmon and wild chanterelle mushrooms.

The Well Hung Lamb Company Ltd is run by Robin & Penny Calvert, who farm at Reidchalmai Croft in Rogart, Sutherland. Robin & Penny produce high quality lamb, beef and pork products including bacons, hams, burgers, sausages and

Robin & Penny sell from their croft and have an impressive on-line retail operation. They also sell at local farmers’ markets and have moved more and more into the events sector, starting off at local Highland games and high quality craft fairs. They are now expanding their events activities to attend rock festivals where they can reach wider audiences.

and raise recognition of their name and brand. Robin says they have learned two important lessons about selling their produce at events. Firstly, never leave it too late to contact event organisers and secondly, never underestimate the amount you might sell at an event. More details about the Well Hung Lamb Company can be found at www.wellhunglamb.co.uk

Robin & Penny have invested in their own mobile catering trailer in order to present their produce more effectively

Producers in Profile

Original Smokies from Arbroath Although now having no connection with the company, Iain continues the family tradition of smokie making attending numerous events where, rather than simply just selling delicious smokies, he recreates the original Arbroath Smokie making process using wooden barrels, hardwood logs and hessian sacking.

Original Smokies from Arbroath Ltd is run by Iain R Spink, who started off working as the 5th generation in the well known, family-run, fish processing business of R.R. Spink & Sons.

This has proved to be a very popular attraction at outdoor events, as Iain provides a form of food theatre where visitors can see and learn about the entire production process before enjoying the end product.

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Iain‘s packed calendar now includes events such as the BBC Good Food Show, the Open Golf Championship, T in the Park, Royal Highland Show, Scone Game Fair, Dundee Flower and Food Festival and several Highland Games. Iain has found that event organisers welcome producers who can add something extra to their event. Demonstrating the smoking process generates additional smokie sales both at the event and afterwards when customers go on-line to order more. Log on to www.arbroathsmokies. net for more information about Iain and his smokies.

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Planning & Preparation Contractual & Legal Matters

will require you to do this. However, risk assessments need not be complex. The Health and Safety Executive (HSE) provide a leaflet on “Five Steps to Risk Assessment”, which can be downloaded at www.hse.gov.uk/pubns/indg163.pdf. This incorporates a simple one-page template for carrying out a risk assessment.

No matter which option you choose to enter the events sector, you will have to be aware of a number of contractual and legal requirements.

Trading Standards

License Agreements

You will need to ensure compliance with trading standards legislation including trade descriptions of your product and Revenue & Customs and Government regulations in respect of weights and measures. Assistance is available from your local authority trading standards representatives.

Most events require stall holders to sign a formal License Agreement or Contract. This protects both producers and event organisers and set outs what each can expect from the other. A standard License Agreement should include details such as: the size and location of your pitch; the type of unit that can be used on it (marquee, trailer, stall etc.); set up and breakdown times for the event; costs and payment terms; and any additional facilities and infrastructure services the organiser will provide such as electricity, water, waste collection, and staff badges.

Insurance Finally, you will need adequate insurance cover to protect yourself against any claims. You are likely to need product liability and public liability insurance, as well as employer’s liability insurance if you pay staff to help man your stand. You can generally get all required insurance cover in one policy. Your insurance broker will be able to advise you on options and costs. Alternatively, the Nationwide Caterers Association offer a range of insurance schemes to suit all types of catering operations, details of which can be found at www.ncass.org.uk.

Food Legislation There is a great deal of legislation relating to the production, preparation and sale of food and drink. Much of this concerns food hygiene and is designed to minimise public health risks. The Food Standards Agency produce a free on-line guide called “Starting Up – Your First Steps to Running a Catering Business”. This provides a lot of easy-tofollow information about legal requirements and good practice and can be downloaded at www.food.gov.uk. Above all, you must have a food safety system in place that is based on HACCP principles (hazard analysis and critical control points). The Food Standards Agency guide will help with this or you can contact your local Environmental Health Officer.

License Agreements and Contracts will also often specify what you may and may not sell from your pitch and may fix the prices you can charge for core items such as bottled water. This is to ensure fair competition between different caterers and a good mix of different types of food and drink.

Risk Assessments You should carry out a written risk assessment before you attend any event. Most event organisers 15

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Planning & Preparation The Finances of Selling at Events The cost of selling your produce will probably be different at each event.

Events will not invite back producers they suspect have been less than honest and word will get around the events community about who is trustworthy and who isn’t.

Traditionally, events have charged flat pitch fees, which vary according to the size and position of the pitch. However, an increasing number of events that are keen to enhance their food and drink offer now operate on a percentage of sales commission basis to encourage and assist smaller producers. Under such an arrangement, the event organiser will generally ask for at least 20% of the total value of your sales – maybe more. This will be payable some time after the event as outlined in the License Agreement or Contract.

Overall, you should expect to make around 15 - 25% profit on your sales. In other words, if you sell £1,000 of produce, you should expect to clear £150 - £250 profit once all other costs have been taken into account. These other costs will include – • The costs of your raw materials and produce (around 25 - 30%) • Overhead costs such as staff wages, transport costs, equipment etc. (25 - 30%) • Your pitch fee or sales percentage payment (20 - 25%). Obviously, the more you sell, the higher your percentage profit is likely to be, as overhead costs will be largely fixed irrespective of whether you sell £100 or £1,000 of produce. However, remember your initial set up costs may be considerably higher than outlined above.

Most events that operate on a percentage of sales commission basis will seek a guaranteed minimum payment and an advance deposit, which may be around 20% of your projected sales income.

Such an arrangement reduces your risk to some extent as your costs are more directly linked to your income. However, honesty is crucial to all effective partnership working. So, don’t try to hoodwink event organisers on their commission on sales. They may ask for proof of your sales figures and will have a good idea of how much you are likely to have sold.

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Planning & Preparation Equipment & Food Preparation If you are cooking or storing food at events, you will need a fair bit of equipment, especially if you are to cope with large numbers of customers who will invariably all come at the same time. You’ll need cookers, chills or fridges, wash hand basins and much more.

All gas equipment must be installed and serviced by a qualified engineer and gas and electric equipment must be CE Marked to prove it conforms to European safety standards. The more food and drink you can prepare in advance of an event the better, as it will free up time for the essential task of serving customers. However, be aware of the very strict regulations concerning food hygiene and the preparation of food.

Obviously, you can buy equipment. There are hundreds of suppliers selling all types of equipment at all costs. Shop around to find the best deals. Remember that buying collectively with others can reduce costs.

For example, when you are keeping cooked food hot, it must be kept at 63 degrees centigrade or above. Cold food must be kept at a temperature of 8 degrees or below and food cooked prior to the event will require to be cooled in accordance with food safety legislation. This may require hire of specialist equipment. However, some event organisers and professional caterers may operate to higher specified standards – always check with them first.

A quick internet search will also supply the details of dozens of companies who hire out catering equipment. Hiring equipment reduces initial capital outlay, but may prove more expensive in the long run. You may be able to borrow equipment from other producers or from bodies like your local farmers’ market if it has regular cookery demonstrations. Some public buildings like community halls and schools will have catering kitchens that may be available for you to hire to prep and pre-cook food off-site.

Full details of regulations are available in the Food Standard Agency’s “Starting Up” guide at www.food.gov.uk. Your local Environmental Health Officer will also be a good source of help and advice.

Make sure any equipment you use is regularly checked by a qualified person. Event organisers are likely to ask for portable appliance testing and gas safe certificates.

There are very strict rules about the storage of food to prevent cross contamination. For example, raw meat and ready-to-eat foods must be kept separate at all time.

In Scotland, if you are reheating food, it must reach a temperature of at least 82 degrees.

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Planning & Preparation Customer Service & Payment Friendly, efficient customer service is essential to event catering success. People will not queue forever to be served by untrained, unfriendly and untidy staff, no matter how good or interesting your produce may be. Staff will play a large role in creating an image for your business and in encouraging customers to come back and recommend you to others.

Running out of change will hold up your sales and lose you customers. Think about how you price products to avoid needing lots of change and coins. A proper till can be an advantage for cash security and reconciliation at the end of the event. It should also provide the event organiser with proof of your sales if you are operating on a commission basis rather than a flat pitch fee.

Skills Development Scotland offer funding support to businesses with up to 100 employees through their programmes of Flexible Training Opportunities that aim to enhance employee skills. Details can be found at www.skillsdevelopmentscotland. co.uk.

Not everyone will want to pay you in cash. People can be wary of carrying too much money at busy events and many are likely to seek to pay by credit or debit card. It can be a good idea to invest in hand held, wireless credit and debit card processing units. These link into mobile phone networks and are easy to use. Transactions can be processed just as quickly as cash sales.

There is a great deal of legislation relating to employing staff. If you are not already familiar with it, you can access information and guidance through the Government’s Business Link website at www.businesslink.gov.uk.

You will need to set up a Merchant Account to accept card payments. Your bank will be able to assist you on this and on identifying approved providers of mobile card units. This will be a cost to your business and needs to be built into your pricing model.

Customers expect efficient payment systems. You will need a cash float and a lot of small denomination coins and notes to provide change.

The national Tourism Intelligence Scotland initiative has produced two guides on “Food & Drink Experience in Scotland” and “At Your Service – A Practical Guide to Delivering the Best Food and Drink Experience in Scotland”. These are packed with market intelligence, insights and top tips, and can be downloaded free by registering on the TIS website at www.tourism-intelligence.co.uk.

Some large events are starting to move to cashless payment systems where visitors charge up a card when they enter and use it to make purchases. Mobile apps are also being developed to facilitate cashless payment.

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Planning & Preparation It’s Not All About Sales Obviously you want to sell enough at an event to cover your costs and generate profit. However, events can offer other worthwhile business opportunities for producers.

produce a small batch and test it directly with consumers at an event. That way you get direct customer feedback that should enable you to gauge likely demand for the new product and make any necessary changes to it before you invest in whatever is needed to go into full scale production.

Raising Awareness Events can raise general awareness of your produce and stimulate demand for it at other times. Many producers who started off selling initially at their local monthly farmers’ market have gone on to set up farm shops and on-line retail operations to satisfy on-going demand for their produce. Events can have the same impact. Make sure you take along promotional information about how and where customers can buy your produce once they have gone home after the event.

Product Launches A number of producers have launched new products at events in order to maximise their promotional impact. Events attract media and public attention and can be an effective vehicle for generating coverage about something new you are doing. Many event organisers are keen to support new product launches as they bring something additional and fresh to their event.

Direct Marketing Public Relations

At events you may be able to collect names and addresses of interested customers for future use in direct marketing. Promoting yourself to people who are already interested in what you do is generally more cost effective. A simple prize draw competition can be a good way to collect names and addresses, but be aware of Data Protection legislation that protects consumers from being bombarded with marketing messages that they don’t want to receive.

Don’t forget the PR opportunities of events. If you are attending an event, let your local and trade media know. Print and on-line media are always looking for interesting stories.

Social Media Use social media like Facebook, Twitter and LinkedIn to reach the growing audiences who access information online. Use the event to get your business name out into trade and public consciousness and remember to follow up after the event with a story about how successful it has been for you.

Market Testing Some producers have found events to be a good place to market test new products. If you have a new product idea, it can be cost effective to

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Help at Hand Each company receives up to 3½ days consultancy support, including a site visit, a bespoke action plan with forecasts for sales and turnover growth, and referrals to relevant assistance. The initiative is funded and managed by Scottish Enterprise and full details are available on the Food & Drink (How We Can Help) section of their website at www.scottish-enterprise.com.

There is a wealth of help and support available if you are a producer entering the events market for the first time, or a business that wants to expand its existing activities at events. Here are brief details of just some of that help.

Scotland Food & Drink (SF&D) Scotland Food & Drink is an industry-led organisation created to guide food and drink companies of all sizes towards increased profitability. It offers a wide range of services, benefits and expertise designed to help food and drink businesses grow. These include a targeted programme of exclusive industry events, a comprehensive news and INSIGHTS market intelligence service for the Scottish food and drink industry.

National Food & Drink Forum Network The National Food & Drink Forum Network is a series of local forums that bring together producers, caterers and others involved in the food and drink sector. These forums can be a good way of making contacts, sharing expertise and knowledge, and building business relationships. Information about the forums can be found at www.scottishfoodanddrinkforums.org.

SF&D’s Buyers’ Guide, which promotes Scottish producers and suppliers on www. scotlandfoodanddrink.org incorporates a new showcase featuring producers ready to supply events.

EventScotland The national events agency has produced “Event Management – A Practical Guide” - a step-by step guide to all aspects of event planning, organisation, management and marketing.

SF&D can be contacted on their helpline at [email protected].

EventScotland have also produced the Taste for Events guide for event organisers, which outlines the business case and provides practical suggestions for offering quality, Scottish food and drink at their events.

Event Ready Producers This initiative provides expert business advice to Scotland’s food and drink producers. The support offers companies a review of their readiness to supply events, and advice tailored to the individual business on: sales and supply strategies; product and price propositions; financial performance; marketing; staff skills; and service delivery.

Both guides can be downloaded from the Event Planning Resources section of www.eventscotland.org.

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Help at Hand Business Gateway

Its website at www.ncass.org.uk has easy-to-use databases with information and contact details of professional caterers throughout the UK, including Scotland. The site also has a wealth of advice and guidance about catering at events.

Business Gateway provides practical information and help to Scottish businesses, whether they are just starting out or looking to grow. Advice is available on areas such as legislation, grants, business management and market development. There are local Business Gateways in every part of Scotland. More details can be found on-line at www.business.scotland.gov.uk.

Provenance On A Plate This Scottish Government initiative provides a toolkit to clarify legal requirements and best practice guidelines for food and drink origin information. The toolkit can help producers provide clear and accurate information that assists visitors to make informed decisions about what they eat. It can be downloaded at www.provenanceonaplate.co.uk.

Local Authorities Many Local Authorities have launched food and drink initiatives to help local producers reach new markets. Many also have dedicated Events Officers and produce detailed Event Planning Guides that outline key local contacts. If you want to check how your Local Authority can help your business, log on to their website and search under Business Support.

Food Accreditation Schemes There are a number of food quality assurance schemes managed by Scottish Quality Food Certification, including Quality Meat Scotland, Scottish Quality Cereals and the Scottish Organic Producers Association. These provide independent quality guarantees that support and help producers. Event organisers and caterers may insist on producers providing relevant food quality certification. Full details of these schemes can be found at www.sfqc.co.uk.

Nationwide Caterers Association (NCASS) The Nationwide Caterers Association (NCASS) is the nationally recognised trade association for mobile caterers, outside caterers, event and street food caterers.

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Thanks are due to all the companies and individuals who provided information and assistance. Photographs are courtesy of VisitScotland/Scottish Viewpoint, Rob McDougall, Sandra Reid, event organisers, and the businesses and organisations featured in this guide. Every effort has been taken to ensure the accuracy of this guide, which has been based on details supplied in good faith. The editors cannot accept responsibility for any changes, errors and omissions. If you have any comments or suggestions about this guide, or you want to tell us about your experience so this can be built into future editions, please contact Scottish Enterprise at www.scottish-enterprise.com or [email protected].