‘Sorry’ Spur aims to listen to customers

Group executives in damage-control move after boycott bites

WITH Spur eateries under siege as they continue to feel the impact of a national boycott, apologetic senior executives have announced a nationwide tour to effect damage control.

The move has been welcomed by Eastern Cape franchise operators who say customer numbers are still down in the wake of the now notorious altercation between two patrons in Gauteng in March.

One of the patrons was subsequently banned, sparking a fierce backlash against the group.

Announcing the tour, Spur Corporation chief executive Pierre van Tonder said: “We have realised that we have not been listening to our customers.

“The altercation . . . and the reaction that followed, drove home a powerful message, namely that we urgently needed to give attention to the needs and frustrations of our customers.

“We also have to accept and recognise the sentiments of both the public and our franchisees, with regards to our overall handling of the situation.

“We hereby unconditionally apologise to any person or community who has taken exception to our actions and will ensure a fair hearing is conducted prior to judgments being made in future.”

Van Tonder said the company had appointed a panel of experts to evaluate the negative response and produce recommendations.

“However, due to the overwhelming public response and customer input from ground level, Spur has decided to put the panel’s work on hold for [now].

“At this point we are convinced there is more value in listening to our franchisees and the public – our clients – hence the tour.

“We note that several franchisees are now under pressure, without having done anything wrong. Spur will assist [them] in re-establishing the personal relationships they foster in their respective communities.”

Van Tonder oversees 326 Spur Steak Ranches.

Spur’s latest move comes amid a protracted price slump for the restaurant chain’s JSE-listed shares, which were trading at R3 050 a share before May 30 and at about R2 851 yesterday.

The value of Spur’s shares, however, have not been linked to the boycott action.

Bay asset management company Edge Financial Group said yesterday the Spur share price slide mirrored overall decline in values experienced across the JSE.

“I would not attribute the share price drop to the boycott,” Edge managing director Edward Gutsche said.

“We have had two quarters of recession and Spur’s share values have reflected the trends experienced across the retail and FMCG [fast moving consumer goods] sectors.”

Andre Olivier, owner of Tampa Bay Spur in Jeffreys Bay, said the boycott had definitely hit the outlet but that this should be viewed against current economic conditions which were also affecting trade.

“I am aware of the management tour and I do think this is a step in the right direction,” he said

Pieter Kruger, owner of Wild Rapids Spur in Uitenhage, said: “It’s a huge victory for us.

“They have started to listen to the customers. The approach must be bottom-up. The statement they have issued shows that management has taken a step in the right step direction.”

Kruger revealed he was part of a committee that consulted with management in a bid to find a solution after customers became disillusioned following the boycott campaign on social media.

Kruger, whose business was hard hit by the boycott, said trade was picking up.