On 21 March, Tatchai Nakapan woke up to the announcement of an emergency decree issued by the Thai government to curb the rise of COVID-19 cases in the country. The decree mandated the closure of venues that encourage social gatherings, such as department stores and shops, and banned restaurants from offering dine-in services. Tatchai Nakapan, one of the co-founders of Supanniga Group, which operates Supanniga Eating Room and Somtum Der, held an emergency meeting with his partners and other shareholders to discuss how their restaurants can survive while the entire city is on lockdown.
“We had been discussing a coronavirus contingency plan since the outbreak started in January, but we didn’t think a closure would be coming that soon,” Tatchai says. Due to stagnant tourism and the reluctance of locals to dine out, Supanniga Group’s restaurants were already suffering from decreased patronage even before the lockdown. When the government announced a state of emergency, the group had to rely on takeaways orders and delivery meals, which equates to only about 10 percent of its average sales.
“We had to do deal with many different conundrums and had to find efficient ways to manage stress,” the restaurateur further reveals. “The main priority is to maintain the survival with the least negative effect on our staff. We have always believed that we owe our success to them, and firing these people would be the last solution, and something that we don’t want to happen.” In order to avoid laying off employees, adjustments have been made to the numbers of staff working each day and cost reduction has been strictly implemented.
The restaurants in Supanniga Group also launched budget-friendly meal boxes priced at around B100, alongside their signature mainstays. “We first thought we couldn’t explore this option because we believed it wouldn’t be cost-effective. However, in these trying times, it has proven possible. We have shed all limitations and embraced all possibilities. Now, we realize we can delve into other services, like catering for events.”
All these efforts show how the group is trying to make the most of the crisis and how it is getting ready for an anticipated change in customer behavior even after the threat of coronavirus subsides. “We still don’t know when the pandemic will be over. It might be over in the next couple of months, but its effects will be felt for years. So we decided to develop a plan to convert short-term problems into long-term solutions for the future.” Tatchai believes that restaurants can no longer just rely on dine-in customers. Therefore, diversification and a proliferation of products are needed for restaurants to survive. For example, the development of Supanniga branded frozen food is also in the pipeline to cater to people who would rather dine at home.
However, Tatchai remains optimistic that the restaurant scene will rebound sooner than later. “People will still dine out, party and mingle but how they will do it will definitely be different, and that’s what we should take into account. It’s a challenge that we have to work on. We don’t know if what we’re doing is right but we just want to prepare for what’s to come.”