The important role played in ensuring economic development and growth by Malta’s restaurant sector is not always fully appreciated or understood. Yet despite this, the many restaurants that are found throughout the islands are a fundamental part of Malta’s tourism product and provide entertainment options for the locals throughout the entire calendar year.

The sector is also accountable for generating almost two per cent of Gross Value Added, it generates over €60 million in tax revenues per year and recent statistics released by the National Statistics Office also show that it is responsible for 2.5 per cent of total employment. The Malta Hotels and Restaurants Association is in constant contact with stakeholders within the industry and the prevailing perception and opinions about the local industry cannot be ignored.

We are often told that local restaurants are overpriced, that the service is not up to standard and that running a restaurant is an easy business and guarantees success. The truth of the matter is a far cry from these common misconceptions, which are however, damaging this far-from-elementary trade.

Let me deal with a very common perception that restaurants are overpriced while service is under par: A recent survey released by the Malta Tourism Authority rated tourist customer satisfaction with local restaurants at a staggering 77 per cent. This is certainly very positive news for those operating within the industry and one hopes that statistics like this one will go a long way in changing public and political opinion about restaurants.

This notwithstanding, the MHRA has continuously reiterated the importance of investing in quality fare and service. The 33 per cent who were not fully satisfied with the local fare cannot be ignored. We must continue to strive to improve our product offering so that successful results are not only repeated but also enhanced.

Turning to the second perception that the MHRA often hears – that running a restaurant is an easy affair and a guarantee for success. The fact of the matter is that running a restaurant is, quite frankly, a challenging task. It is a highly competitive and volatile industry, where your product and pricing are important factors yet your success also depends on other factors such as the quality of your waiting staff, the location of your enterprise as well as other social and economic factors that affect one of your core markets – that is, tourism.

Furthermore, from the word ‘go’, a restaurateur must strive to build a team that is prepared to work long hours under sometimes stressful conditions, yet who are also excellent in their work ethics and extremely customer-oriented and loyal ambassadors for the brand. Unfortunately, finding the appropriate staff is often a mission in itself, especially in Malta, where waiting on tables is not even considered as a career in itself, which is certainly a far cry from the truth!

In its vast experience within Malta’s restaurant industry, the MHRA has learned that the downfall of many operators in this industry is that they tend to only focus on turnover, giving little food for thought to the expenses incurred in the process, a crucial factor which can spell doom for many.

While there are approximately 1,400 licensed restaurants and snack bars in Malta and Gozo, which may give rise to the perception that running a restaurant is akin to owning your own goldmine, the reality of the situation is that a large proportion of these are striving to break even, and there are many which are on the verge of closing down.

If the industry is to have a sustainable and healthy future, it should start by correcting the often incorrect perceptions that abound. Instead, a better understanding of the industry’s dynamics and realities should be instilled in the hope that current and future operators and customer alike give due importance to the expertise, training and financial investment that running a successful restaurant requires.

Mr Pace is an MHRA restaurant committee board member.

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