Expense Categories: Multiple
The House of Blues locations throughout the US were singing the blues due to local vendors charging exorbant fees and under performing. COO Don Watson knew things had to change, but he didn’t have the infrastructure, time or expertise to do an in depth audit of these many expenses. Don decided to call upon IYP to help.
To immediately reduce costs in W&R, Uniform Rentals, Linen Rentals and supplies.
Understanding the severity of the situation, IYP actually traveled on site to four House of Blues locations in order to gain a complete understanding of their relationship with current vendors. IYP reached out to incumbent vendors and worked out a new pricing model that would allow House of Blues to continue working with them. When necessary, IYP sourced out new vendors that offered a better ROI for House of Blues. IYP also monitored vendor performance and mediated any issues that may have arose.
Through negotiation with existing vendors and sourcing of new vendors when needed, IYP saved House of Blues over $450K. Certain House of Blues locations experienced as much as a 65% savings on some of their expense categories.
IYP: 320 hours not including the ongoing hours necessary to monitor savings monthly.
Client: 31 Hours
“There are many different esoteric parts of the hospitality business…and our individual managers do not have the time to do the research or track any results, we rely on IYP for that.”
– Don Watson
House of Blues