Staff shortages in the leisure industry were an unfortunate consequence of the pandemic, but the removal of health restrictions has been a signal for entrepreneurs to renew the search for acquisitions and refresh their growth ambitions.
We’re seeing a degree of consolidation in the leisure industry, fuelled by new investors entering the market and others implementing a buy-and-build strategy by snapping up smaller companies. Consolidation is also evident on the supplier side of the market, as scale and efficiency become more important.
The success of tourism goes hand-in-hand with success in hospitality and recreation. The lines between these activities are becoming blurred and the battle for the tourist ‘dollar’ is getting more intense. We expect this trend to continue for the time being.
The end of pandemic restrictions was marked by an increase in the number of strategic acquisitions. The leisure industry is embracing the importance of online visibility, and we are noticing trends in scaling, diversification and chain formation.