Harrods

Dining is not the first thing that comes to mind when consumers think of Harrods—despite its retail Food Halls being internationally famous. As one of the world’s top destinations for luxury, showcasing over 3,000 brands, the department store in Knightsbridge, London maintains a high-fashion image based on exclusivity and tailored service.

Even the retailer’s website is shy about the 26-strong restaurant and bar offer—you have to hunt around at the bottom to find the details. Yet eating and drinking in-store has blossomed to the extent that towards the end of last year it was trading 44% higher than it was pre-Covid, and transaction values were also 47% up on 2019. More widely, Harrods turned a profit again in the last financial year for which figures are available.

The latest addition to the roster of dining venues—which features fêted names like Jason Atherton, Vineet Bhatia, Tom Kerridge, Angelo Musa, Gordon Ramsay, and Em Sherif—arrived at the end of 2022. Studio Frantzén, brought another Michelin-starred chef to the store, this time from Sweden.

Björn Frantzén’s à la carte restaurant, with a signature Asian-influenced take on Nordic cuisine, is literally the pinnacle of Harrod’s dining experiences because it is found at the very top of the department store’s building on two floors, plus an outdoor terrace. The latter is claimed to be the only rooftop terrace in Knightsbridge and Mayfair, two of London’s most desirable districts. As well as being a choice for foodies, the 150-seat Studio Frantzén is open late and has a buzzy vibe with two bars, one of which offers sweeping views.

Data-led gains

So what is the attraction of having so many eating and drinking spots in the store? I had the chance to catch up with Harrods’ director of restaurants and kitchens, Ashley Saxton, to find out how food and beverage (F&B) is fast becoming a revenue driver and a cornerstone of the business.

“Our research has found that when customers engage with our restaurants they also engage more often with the store. They spend twice as long in the building and spend twice as much money,” he said.

That insight alone has given Saxton quite a bit of freedom