Initial Impact of Smoking Bans

July 2007

The first fortnight of smoking bans have seen a decline in sales from between 20% to 30% depending on location and clientele mix with the greatest impact on blue collar CBD venues with no non-smoking options.

The decline cant be solely a result of the introduction of non-smoking but has been magnified due to the extreme cold and rainy weather along with the last two weeks being mid-year school holidays, so which factor had the greatest impact?

It is believed that the majority of the decline in trade as a result of non-smoking has already been absorbed prior to 1 July and there will be a gradual recovery in sales back to the 2006-2007 sales levels over the remainder of the year as venues with non-smoking options have also felt the effects of the pre-mentioned contraction in trade.

John Williams

 

Send mail to bligh@jtw.com.au with questions or comments about this web site.
Copyright © 2007 JTW Group Hotel Brokerage & Valuation
Last modified: 03/06/08