Noci’s affordable positioning and “food-led” approach makes it well placed for growth as it targets further expansion in the capital, according to executive chairman Andy Bassadone.
Parent company Various Eateries reported a resilient performance last year with revenue growth of 12% to £45.5m.
It has previously taken a measured approach to expansion with the opening of two new restaurants under its pasta concept Noci and one Coppa Club site last year.
However, it plans to open up to 10 Noci sites and up to three Coppa Clubs in the next phase of growth.
“It’s the ultimate neighbourhood restaurant,” Bassadone tells MCA, describing the attractiveness of the Noci concept for consumers in the capital.
The brand centres around a modern Italian approach, with small pasta portions at an accessible price point, and currently operates sites in Islington, Battersea and Shoreditch.
“If it’s in your neighbourhood, you could eat once or twice a week, so we price it accordingly.”
As the market shrinks, it becomes even more vital to have a quality, distinct concept, he says,
“Especially in London nobody’s going to go to a chain, unless it is high-quality.
“I think the old chains, the food focus was done by the marketing department not by the people who cook.
“The times I’ve been successful, I’ve always had partners who are high-end chefs.
Bassadone previously held the role of chief executive at Signature Restaurants, where he ultimately led the sale of Strada in 2007 for £140m and co-founded Côté at the same time.
He says Noci’s expansion strategy would follow a similar path to these businesses, creating a strong London estate before pushing outside of the capital.
“We had 14 Cotes before we left London, and 27 Stradas.
“There are places which all London restaurateurs go to next”, Bassadone says, citing cities including Guildford, Oxford, Bath, and Bristol.
A move into the north would be “a long way down the road,” he said, adding, ”There’s lots to do in London and Greater London and the South initially.”
“You could have a significant business, probably by not being that far outside the M25.”
“If we can maintain the standard and keep the menu seasonality, then I don’t see why we can’t get to a large number [of sites].
Equally, Bassadone sees “lots of opportunities” for the group’s Coppa Club brand, which focuses on two models; large-scale sites with hotel rooms, and a smaller “townhouse” format.
He is “very keen on expanding” the latter, with a third opening set for Cardiff, and another site in the pipeline.
“I’d like to open three or four Coppa Club’s before the end of the financial year, and maybe five or six next year, subject to the right sites coming up,” he adds.
The executive chair says the market is a “mixed picture” but he is encouraged by returning tourism in the capital, and the resilience of consumers.
“You’ve got to hope that interest rates are on the way down, inflation is coming down. And recruitment is a lot easier.
“Eating out is so embedded in the UK now, consumers are remarkably resilient and resistant to cutting that out.
“It was a very tough environment last year, I think subject to international events it should be a better year.”
Notably, more property available on the high street has been beneficial for hospitality operators.
“The only bit of good news about Covid and the last few years, is that the property market has really shifted - the high street is unrecognisable now.
“Take the three sites we opened last year; I’d say we have saved between £200,000 and £400,000 on each site - we’ve gotten considerably better rent than the previous tenants were paying.”
