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All Day Café did not even last one Year in Raffles Place!
The All Day Café, a promising culinary venture located at One Raffles Place, has officially announced its closure, less than a year after it opened its doors. This development comes as a shock to many of its patrons who had come to appreciate the café’s unique offerings and the vibrancy it added to the Central Business District (CBD) of Singapore.
The closure of All Day Café can be attributed to a confluence of factors that have made it increasingly challenging for establishments, particularly new ones, to thrive in this competitive landscape.
One of the primary challenges possibly faced by All Day Café was the high rental costs associated with its prime location. One Raffles Place is renowned for being a prestigious address within Singapore’s CBD, attracting a high footfall of professionals.
However, the premium on rental space in such coveted locations can be a significant burden on businesses, especially startups that are still working to establish a steady revenue stream. For All Day Café, the high rental costs likely eroded its profitability, making it difficult to sustain operations in the long term.
Staffing costs in Singapore’s F&B sector have also seen a sharp increase, further straining the operational budgets of many establishments. The city-state’s tight labor market and stringent employment regulations contribute to higher labor costs, which are often passed on to businesses. For a new café like All Day, balancing the need for quality service with the cost of staffing could have been a delicate juggling act, impacting its bottom line.
Additionally, the rising energy bills have become a concern for many businesses across Singapore. The global energy crisis has led to increased utility costs, affecting restaurants and cafés that rely heavily on energy for cooking, refrigeration, and air conditioning to provide a comfortable environment for their customers. This increase in operational costs could have been another critical factor that led to the decision to close down All Day Café.
All Day Café’s closure was exacerbated by its inadequate social media presence, a crucial factor for success in today’s digital age. In a time when social media platforms serve as vital tools for businesses to engage with their audience, promote their brand, and drive traffic, All Day Café’s strategy—or lack thereof seems to have significantly impacted its visibility and customer engagement.
The café’s limited number of posts and minimal online engagement strategy meant it was unable to effectively capture the attention of a broader audience beyond the foot traffic at One Raffles Place.
Lastly, the local competition in Singapore’s CBD is fierce, with numerous dining options vying for the attention of the same demographic. The area is saturated with a variety of food and beverage outlets, ranging from high-end restaurants to casual dining spots and coffee shops.
For a newcomer like All Day Café, standing out amidst this crowded marketplace and attracting a loyal customer base might have been a daunting challenge. The intense competition not only divides the potential customer base but also places pressure on pricing and service quality, further complicating the survival of new entrants.
Need a great restaurant in the CBD near Raffles Place?
Check out Tomahawk over at 6 Battery Road
