Shopping and fine dining... in a virtual world

LEISURE companies have been particularly hard hit by lockdown, with public spaces shut and customers no longer allowed to enjoy restaurants, cinemas and other leisure activities.

William Higham, at consultancy Bright Young Things, says there is pent-up demand for ‘connection’, and people can’t wait to socialise again and enjoy leisure time.

Equally, we will be nervous about crowded spaces, making it hard for leisure-related businesses to make a profit.

When we do venture out, says Higham, our dining experience will be very different. He says: ‘Restaurants will have lower capacity, more outdoor seating.’

On the Continent restaurants have already started to include more outdoor seating and plastic bubble areas for dining.

In Amsterdam diners have been seated inside small greenhouses in outside spaces. This will be difficult for many restaurants and we’ve already seen Casual Dining Group, owner of Bella Italia, plan to bring in the administrators.

Faith Popcorn, of Brain Reserve, says many people will prefer to socialise online for the foreseeable future – and that companies able to meet this demand will thrive.

So, for example, online restaurant experiences will be part of a virtual reality boom where we travel,

meet friends and play games in a virtual world.

She adds: ‘Companies such as Aerobanquets are pioneering virtual reality meals where you watch amazing, artistic landscapes as you eat.’

Microsoft and Alphabet (Google’s parent company) are the big companies involved in virtual reality, while Chinese giant Alibaba has an online virtual reality shopping experience which might scratch the social shopping itch while the malls are closed. Investment trust Schroder AsiaPacific has a large holding in Alibaba while Polar Capital Technology has stakes in both Microsoft and Apple.

The Schroder fund has incurred losses of just 1.9 per cent over the past year, but has recorded gains of nearly 58 per cent over five years.

Polar Capital Technology has generated returns of 31.5 per cent over the past 12 months.