Shutov’s background is in the advertising industry in his native Russia, and he’s brought new ideas to the London restaurant industry since opening Bob Bob Ricard nine years ago. Every table is a booth, the Champagne buttons have proved a hit, and he limits the margins on wine prices. For a while, he included wine-price comparisons on the list, a measure that was unpopular with rival restaurateurs.
“It’s what we learn in economics 101, it calls for price differentiation. I do realize it’s a bit of a brave decision because any departure from the standard model involves risk. But I am not really worried. We are not changing the menu. We are not trying to entice customers with anything from what they know and love. We are just saying that on certain days it will cost less.”
Sadly, Shutov has no immediate plans to introduce flexible pricing on the wine list. But he is close to opening a second restaurant in the City of London financial district, where the concept of market-led pricing is likely to strike a particular chord with diners.
And now it may finally be possible to get a table for dinner at Bob Bob Ricard.
This article was provided by Bloomberg News.