New and Improved Lighthouse

[grumpyoldman]

I had a glass of red wine - 160 baht.

Hmmmm............red wine is a variable, some of the nonsense fruit wines and reconstituted cr*p that people are discussing in that other thread, o.k. that price would be outrageous (agree with KB).

But if a decent Chilean cab and a decent sized glass, then thats fair.

[NamKangMan]

I know the Escape bar has wi-Fi.

I think wine is only 100-120 Bt a class for Mont Clair in the Escape and Office 2. Certainly nowhere near 160 Bt in the Tamarind.

One thing not mentioned, is that the staff in all three bars are friendly and they remember what you drink from the previous visit.

If we average your price of "100 - 120 Bt" for a glass of wine at 110 baht in The Escape bar and The Office. The Lighthouse, at 160 baht, is around 40% dearer than their competition.

You can charge that, IF, you have a niche market, or have a spectacular view etc etc, but not when the competition is so close by, offering the same product, for 40% cheaper.

The only way I can see the new owner breaking into the local market in the area is to take a hit, or break even, on alcohol sales for the first 6 months, to try to take some customers away from the competition, and then use those competitive alcohol prices to outclass the competition in the facilities, food and service side of the business, and then retain those customers as regulars, and slowly increase your prices.

That's awefully hard to do when you have either paid a lot for the lease, or paying high rent each month, or, a combination of both. You would have to have deep pockets. Also, as KB states, the sevice is already good in the other bars as well.

So, on that basis, it really does come down to what the new owner's overheads are, in particular his lease and/or monthly rent, as to whether he can compete or not.

To LiveSteam, I am not criticizing the new owner - I wish him the best - I'm just saying he has taken on a big commitment and one that is quite risky in the current tourism climate on Phuket, in particular, the new demographic of tourist that Phuket is now attracting.

[NamKangMan]

Anyone know what a beer is worth there?

[grumpyoldman]

I know the Escape bar has wi-Fi.

I think wine is only 100-120 Bt a class for Mont Clair in the Escape and Office 2. Certainly nowhere near 160 Bt in the Tamarind.

One thing not mentioned, is that the staff in all three bars are friendly and they remember what you drink from the previous visit.

If we average your price of "100 - 120 Bt" for a glass of wine at 110 baht in The Escape bar and The Office. The Lighthouse, at 160 baht, is around 40% dearer than their competition.

You can charge that, IF, you have a niche market, or have a spectacular view etc etc, but not when the competition is so close by, offering the same product, for 40% cheaper.

The only way I can see the new owner breaking into the local market in the area is to take a hit, or break even, on alcohol sales for the first 6 months, to try to take some customers away from the competition, and then use those competitive alcohol prices to outclass the competition in the facilities, food and service side of the business, and then retain those customers as regulars, and slowly increase your prices.

That's awefully hard to do when you have either paid a lot for the lease, or paying high rent each month, or, a combination of both. You would have to have deep pockets. Also, as KB states, the sevice is already good in the other bars as well.

So, on that basis, it really does come down to what the new owner's overheads are, in particular his lease and/or monthly rent, as to whether he can compete or not.

To LiveSteam, I am not criticizing the new owner - I wish him the best - I'm just saying he has taken on a big commitment and one that is quite risky in the current tourism climate on Phuket, in particular, the new demographic of tourist that Phuket is now attracting.

With sincerity, best of luck for the new owners. Forget the doomsday crowd.

I'll pay a little more if the product quality and service are good.

Again, can't rate prices when dealing with wine because those little bars bev costing with cr*p Mont Clair or Berrie Estates, is a lot better than if these guys are pouring a decent drop.

[NamKangMan]

I know the Escape bar has wi-Fi.

I think wine is only 100-120 Bt a class for Mont Clair in the Escape and Office 2. Certainly nowhere near 160 Bt in the Tamarind.

One thing not mentioned, is that the staff in all three bars are friendly and they remember what you drink from the previous visit.

If we average your price of "100 - 120 Bt" for a glass of wine at 110 baht in The Escape bar and The Office. The Lighthouse, at 160 baht, is around 40% dearer than their competition.

You can charge that, IF, you have a niche market, or have a spectacular view etc etc, but not when the competition is so close by, offering the same product, for 40% cheaper.

The only way I can see the new owner breaking into the local market in the area is to take a hit, or break even, on alcohol sales for the first 6 months, to try to take some customers away from the competition, and then use those competitive alcohol prices to outclass the competition in the facilities, food and service side of the business, and then retain those customers as regulars, and slowly increase your prices.

That's awefully hard to do when you have either paid a lot for the lease, or paying high rent each month, or, a combination of both. You would have to have deep pockets. Also, as KB states, the sevice is already good in the other bars as well.

So, on that basis, it really does come down to what the new owner's overheads are, in particular his lease and/or monthly rent, as to whether he can compete or not.

To LiveSteam, I am not criticizing the new owner - I wish him the best - I'm just saying he has taken on a big commitment and one that is quite risky in the current tourism climate on Phuket, in particular, the new demographic of tourist that Phuket is now attracting.

With sincerity, best of luck for the new owners. Forget the doomsday crowd.

I'll pay a little more if the product quality and service are good.

Again, can't rate prices when dealing with wine because those little bars bev costing with cr*p Mont Clair or Berrie Estates, is a lot better than if these guys are pouring a decent drop.

Hardly a "doomsday" post, GOM.

Did you see my next post? I asked members how much a beer is worth there, for the exact reason you point out. Wine varies, but a Singha, Tiger, Heineken etc are the same product in The Lighthouse, as they are in any other bar on Phuket.

If The Lighthouse serves beer in a beer cooler, and with a frosted glass, maybe having live sport on a big screen, I would expect to pay more and I would pay more. However, if it's served the same way as the competition that's just nearby, with no entertainment, and is 40% more expensive, then I probably would not go there.

So, does anyone know what they charge for a beer there? It's the one product that we can DIRECTLY compare prices with.

[stevenl]

<snip>

So, does anyone know what they charge for a beer there? It's the one product that we can DIRECTLY compare prices with.

Provided service, setting, clientele, etc are all the same.

[NamKangMan]

<snip>

So, does anyone know what they charge for a beer there? It's the one product that we can DIRECTLY compare prices with.

Provided service, setting, clientele, etc are all the same.

Fair point stevenl - bars on Phuket are not like MsDonalds restaurants, all around the world.

However, some things with The Lighthouse can be directly compared with it's competition.

The geographic location is the same. The view is the same. The climate is obviously the same. The parking the same. The security is the same. The product (beer) is the same. I read they seem to have lost the niche yachting crowd - so the customers in the area are generally the same. The facilities and hygene are similar. Someone mentioned wifi - I don't know if they are offering it.

Anyway, that just leaves the price. If they are 5 or 10 baht more than their competition - ok, but 20, 30 or 40 baht more, can it be justified, and who is going to pay it?

What are you getting, that the customer nearby is not getting, for paying an extra 20%, 30% or 40% more for your beer?

[LivinginKata]

I had a glass of red wine - 160 baht.

Hmmmm............red wine is a variable, some of the nonsense fruit wines and reconstituted cr*p that people are discussing in that other thread, o.k. that price would be outrageous (agree with KB).

But if a decent Chilean cab and a decent sized glass, then thats fair.

To be honest I can't recall the wine quality, for sure nothing special. Glass on the small side. I thought 160 a bit pricey but I was hungry and wanted to eat and not mess about going else where.

I too wish the new owner the best of luck. Just saying he will need a lot of custom to make it pay. I will sample the Light House breakfast/brunch from time to time.

[mikebike]

However, some things with The Lighthouse can be directly compared with it's competition.

The geographic location is the same. The view is the same. The climate is obviously the same. The parking the same. The security is the same. The product (beer) is the same. I read they seem to have lost the niche yachting crowd - so the customers in the area are generally the same. The facilities and hygene are similar. Someone mentioned wifi - I don't know if they are offering it.

Anyway, that just leaves the price. If they are 5 or 10 baht more than their competition - ok, but 20, 30 or 40 baht more, can it be justified, and who is going to pay it?

What are you getting, that the customer nearby is not getting, for paying an extra 20%, 30% or 40% more for your beer?

The view is much better at the Lighthouse as you are about 1 m above the road and 2.5 m back from it, whereas the others are ground level or lower and right on the road, vehicles both block the view and spew exhaust at nose level, especially at afternoon 'rush hours' when one million mini vans pile through.

The Lighthouse has a large private parking lot at the rear.

The overall ambiance and quality of materials in the Lighthouse are light-years ahead of the others.

Up to the customer to decide whether these things are worth a small premium.

Edited January 4, 2014 by mikebike

[IrishIvan]

However, some things with The Lighthouse can be directly compared with it's competition.

The geographic location is the same. The view is the same. The climate is obviously the same. The parking the same. The security is the same. The product (beer) is the same. I read they seem to have lost the niche yachting crowd - so the customers in the area are generally the same. The facilities and hygene are similar. Someone mentioned wifi - I don't know if they are offering it.

Anyway, that just leaves the price. If they are 5 or 10 baht more than their competition - ok, but 20, 30 or 40 baht more, can it be justified, and who is going to pay it?

What are you getting, that the customer nearby is not getting, for paying an extra 20%, 30% or 40% more for your beer?

The view is much better at the Lighthouse as you are about 1 m above the road and 2.5 m back from it, whereas the others are ground level or lower and right on the road, vehicles both block the view and spew exhaust at nose level, especially at afternoon 'rush hours' when one million mini vans pile through.

The Lighthouse has a large private parking lot at the rear.

The overall ambiance and quality of materials in the Lighthouse are light-years ahead of the others.

Up to the customer to decide whether these things are worth a small premium.

A few more cute staff and the place will be a gold mine. That's the one thing that Tamarind, Office, Escape bar have but the Lighthouse does not. Location is important but have a look around Phuket. It's not always the best location or the coldest beer. The best staff that makes the place. Owners will happily drop 10 million baht, but then baulk at paying a good staff member 350baht a day. Or even employing a few extras to hang around and keep the punters happy

[KarenBravo]

The view is much better at the Lighthouse as you are about 1 m above the road

One metre higher, you say?

Well, whoopdy-doo.

Can you see over the heads of the speed-boat guys as they like to hang-out right opposite and they can be quite loud sometimes.

Seen a lot of trucks with the 44 gallon drums of gas refueling the speed-boats in front of the Lighthouse, too. All around sundown which is the most popular time to go down that strip.

Anyway, you seem to know a lot about this place. How much for a beer and how much for a shot of house spirit?

[mikebike]

KB - I did know I lot when I ran it a few years ago and the things I mentioned have not changed. As for beer price now - no idea, I do not live in Phuket anymore, hence why I started the thread and asked the questions - lingering interest!!

BTW - to IrishIvan: staff is crucial to having return local clientele.

Edited January 5, 2014 by mikebike

[jpeg]

I had a glass of red wine - 160 baht.

My local wine shop worked out that a glass of the ubiquitous Mont Clair costs just 39 baht, wholesale. How can they justify a 121 baht mark up on this vinegar? The ones selling at 100 to 120 baht aren't much better. The Farang restaurant charges more for a thimble full of this stuff than a dish of their food. They don't understand marketing. I didn't want to drink water or Pepsi with my Thai/Asian food and so stopped going there. Hen Chef used to sell at 50 baht.

So, pissed off with the selection of assorted local poisons/overpriced imports, I've stopped drinking altogether. A month on and feel much better not to mention wealthier

BTW, why can I get a fantastic aray of smoothies/coolers/mocktails in Bangkok and Pai but only alternative here is Soda or Coke?

[glassdude007]

However, some things with The Lighthouse can be directly compared with it's competition.

The geographic location is the same. The view is the same. The climate is obviously the same. The parking the same. The security is the same. The product (beer) is the same. I read they seem to have lost the niche yachting crowd - so the customers in the area are generally the same. The facilities and hygene are similar. Someone mentioned wifi - I don't know if they are offering it.

Anyway, that just leaves the price. If they are 5 or 10 baht more than their competition - ok, but 20, 30 or 40 baht more, can it be justified, and who is going to pay it?

What are you getting, that the customer nearby is not getting, for paying an extra 20%, 30% or 40% more for your beer?

The view is much better at the Lighthouse as you are about 1 m above the road and 2.5 m back from it, whereas the others are ground level or lower and right on the road, vehicles both block the view and spew exhaust at nose level, especially at afternoon 'rush hours' when one million mini vans pile through.

The Lighthouse has a large private parking lot at the rear.

The overall ambiance and quality of materials in the Lighthouse are light-years ahead of the others.

Up to the customer to decide whether these things are worth a small premium.

A few more cute staff and the place will be a gold mine. That's the one thing that Tamarind, Office, Escape bar have but the Lighthouse does not. Location is important but have a look around Phuket. It's not always the best location or the coldest beer. The best staff that makes the place. Owners will happily drop 10 million baht, but then baulk at paying a good staff member 350baht a day. Or even employing a few extras to hang around and keep the punters happy

good post as I could care less about the view or the price 15, 20 bht diferant for a beer more than next door who cares how many drinks ya gonna have more than 5 doughtful...so ya save 100bht by not trying a new place and help them get started off on the right foot cause ya wanna save 20bht geeeezz

BUT IF..

There is a staff of pretty or even not so pretty but happy girls giving me attention those ladies will bring me back everytime..

Just cause it feels good to be around nice thai girls in Thailand as compared to old geezer expats looking for a cheap drink telling travel war stories we all heard before....

and no i am not a sex tourist or monger, I stopped doing that years ago..

I Just like to see nice bum's, boobs and happy people around me when I go for a beer or two .....KO_JAI

Hopefully over time the lighthouse will find some good help and survive its first year...will see?