Wetherspoons' Tim Martin's incredible success story
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A no-frills pub phenomenon
Whether you love it for its cheap and cheerful dining and drinks or loathe it for its no-frills ethos and corporate ambience, Wetherspoons is now a British institution. From humble beginnings as a lone pub in a former north London bookies to a ubiquitous 900-strong chain across the UK and Ireland with an annual turnover of £1.6 billion, we track the rise of one of Britain’s biggest brands, and the story of its outspoken and flagrantly pro-Brexit founder Tim Martin (pictured far right).
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Martin’s Free House
On 9 December 1979, Norwich-born entrepreneur Tim Martin opened his first pub in Muswell Hill, north London, fittingly named Martin’s Free House. That summer Martin had qualified as a barrister from the University of Nottingham but he decided to turn his back on the law and study a different kind of bar.
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A swift name change
Martin’s Free House had barely been going a month before its founder renamed it JD Wetherspoon. The name is said to have been inspired by Martin’s primary school teacher, Mr Wetherspoon, who reportedly told a young Martin he’d never make it in business. The JD part of the name came from the character Sheriff JD 'Boss' Hogg from the Dukes of Hazzard TV series.
Following in Walmart's footsteps
The pub chain's success is largely down to its approach to its supply chain. Rather than be beholden to breweries, Wetherspoons has its own taps and distribution network so it can keep its prices down. This tactic is inspired by Martin's hero, Walmart founder Sam Walton (pictured in his college years), whose 10 rules for business, such as 'Listen to everyone in your company' and not to 'be beholden to... supply chain', Martin tries to follow to the letter.
Discover more about Walton's tactics in Meet the Waltons: the family story behind Walmart's staggering success
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The oldest pub in the chain
The first ever Wetherspoons pub has since been sold, making the chain's oldest pub The Rochester Castle in Stoke Newington, London. In fact, the site has been a pub as far back as 1702, as before it joined the Wetherspoons family The Rochester Castle was a drinking establishment under the name of The Green Dragon.
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Profits at last
Martin didn't get off to a great start though. He struggled to make money and it was 1984 before Wetherspoons first made a profit. From then on the chain and its domineering boss, with his six-foot six-inch frame, never looked back.
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London-centric early years
In the early 1980s, Wetherspoons outlets were mostly confined to the streets of north London and head office was above The Dog pub in Archway.
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A million-pound profit
From the mid-80s onwards the British pub chain became increasingly popular. By 1991 the company reported profits of more than £1 million.
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Floating on the London Stock Exchange
A mere three years later JD Wetherspoon was valued at £45.6 million, sustained success that, in 1992, saw the company float on the London Stock Exchange with an initial price of £1.60 a share.
Expansion out of London
Its flotation on the Stock Exchange seemingly kicked Martin and his team into expansion overdrive. Until then the chain’s 44 pubs were chiefly confined to London. In 1993 the first Wetherspoons pubs outside the M25 opened in Bracknell and Norwich (pictured).
A market-defying vision
Martin is known for his brave business decisions, including some that seem like they may be the result of a drinking session. One such decision was to convert shops into pubs, which was derided in a column in The Times when the chain was floating on the stock exchange and suggested investors abandon the company. But Martin held firm, as did the investors, proving that persistent determination can pay off.
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FTSE 250 status
The year 1996 saw the chain enter the FTSE 250 index for the first time. It also opened its first pubs in Wales (Wetherspoon, which was swiftly renamed The John Wallace Linton, in Newport) and Scotland (The Counting House in Glasgow).
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Curry Club comes to town
In 1998 the chain’s iconic Curry Club meal deal was launched. Curry remains on the menu today, and Wetherspoons sells more curries than any other restaurant in the UK.
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Branching out to accommodation
Also in 1998, the company opened its first hotel. The Shrewsbury Hotel was opened alongside the Wetherspoons pub in the Shropshire market town, with a not-so-modest 22 bedrooms.
Steak Club arrives
Hot on the heels of the successful Curry Club, in 1999 Wetherspoons introduced its Steak Club, which was originally known as Steak Out.
Pub Company of the Year
Recognising the success of the chain, the turn of the millennium saw Wetherspoons given the accolade of Pub Company of the Year in the Publican Awards. The same year, it was also named Retailer of the Year.
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'No TV or music' rule banished
The year 2000 also saw Martin finally end one of his golden rules of having no music or TV in his pubs. Previously Martin had stood by a no-background noise policy to allow customers to hear each other talk. However, when they bought 10 Lloyds No.1 bars for conversion into Wetherspoons, they made the transition slowly and eventually kept the Lloyds No.1 bars' music.
Wetherspoons snaps up Lloyds No.1s
By snapping up 10 Lloyds No.1s, Martin saw sales rocket almost immediately at the bars. So, in typical bullish fashion, he proclaimed that he would open 500 more Lloyds No.1 bars.
Flushed with success
Adding yet more silverware to its cabinet, in 2001 the company was recognised for taking pride in its pubs' toilets, winning a 'Loo of the Year' award.
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Breakfast revolution
The company began its breakfast revolution in 2002, opening all its pubs for breakfast six days a week. This was a great success and in 2015 The Guardian named it the nation's fifth favourite breakfast destination.
Share price tumbles
Despite its multi-award-winning status, in 2002 Wetherspoons took an uncharacteristic knock when the company’s shares fell by 28% after issuing a warning that profits would be down 10% on expectations. The expansion drive was scaled back, with Martin blaming "increased red tape and taxation", two things he has strongly fought against since.
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Taking a sabbatical
In September 2003, after over 30 years in the business, Martin announced he was taking a six-month sabbatical. On his return to work, he announced he was to become a part-time chairman. John Hutson became the company’s chief executive.
Making the influential list
The chain’s misfortunes were short-lived, and in 2005 it was announced that Wetherspoons was the world's number one seller of Pimm's.
Hands-on management
Despite supposedly taking more of a back seat, Martin continued his hands-on management style. In 2005 he admitted to visiting at least 15 of his pubs a week, tasting at least two beers in every pub he visits.
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Free Wi-Fi for all
While it's now a given, in 2006 Wetherspoons was leading the pack again when it made free Wi-Fi available to customers in all its pubs.
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Most Responsible Managed Pub Chain
Martin’s practical management style certainly seemed to be paying off, as in 2006 Wetherspoons won the ‘Most Responsible Managed Pub Chain’ award in the Responsible Drinks Retailing Awards.
A step ahead on the smoking ban
Years before the 2007 public smoking ban, in 2005 Martin decided to make all his new pub openings non-smoking. It was a bold, seemingly crazy move that saw turnover drop by 7% in those pubs. But the company learned from this early smoke-free experience, and when the nationwide ban came into play in July 2007 the company was a step ahead of the curve.
Wedding bells ring
Never afraid to branch out, in 2007 Wetherspoons hosted its first wedding when its Knights Templar pub in Chancery Lane, London was granted a wedding licence.
Fish Friday launched
Capitalising on the success of its other meal deal campaigns, 2012 saw the arrival of Wetherspoons' Fish Friday meal deal. Its battered fish with chips and a drink remain hugely popular today.
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Wetherspoons hits Ireland
In 2014 the company finally hit Irish soil, opening The Three Tun Tavern in Dublin. A second pub swiftly followed when The Forty Foot opened its doors in Dun Laoghaire.
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Britain’s first motorway service station pub
In 2014 Wetherspoons hit the headlines once more, when its Hope and Champion venue became Britain’s first motorway service station pub. The motorway pub, on the M40 at Beaconsfield Services, is open from 4am to 1am. Critics condemned the move, warning it would cause “guaranteed drinking and driving.” Martin quickly hit back at critics, pointing out that service station retailers have sold alcohol for years.
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Backing Leave
Never one to steer clear of the limelight, Martin was a high-profile lobbyist for the Vote Leave campaign in the 2016 EU referendum. Such was the Wetherspoons founder’s passion to Leave the EU that he donated £200,000 to the Leave campaign.
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Goodbye social media
Causing controversy once more, in April 2018 Martin decided to close all Wetherspoons' social media accounts. The move shocked commentators, though Martin didn’t seem at all phased, stating: “I don’t believe that closing these accounts will affect our business whatsoever.”
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Ditching European drinks
Several months later, Wetherspoons raised eyebrows once again when its pro-Brexit chairman announced plans to sell more drinks from Britain and non-EU breweries ahead of Brexit. The move came into play in all Wetherspoons pubs from 9 July 2018. “This move helps us to broaden our horizons so that we create an improved offer for the two million customers who visit our pubs each week,” Martin commented.
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The mighty get mightier
And the headlines don't seem to be hurting the business one bit with the latest figures painting a rosy picture for the pub chain. In May 2018 the company boasted a 20.6% increase in pre-tax profits. The chain’s founder retains a realistic ethos on his company’s resounding success, saying: “We’ve had a good run for a few years now. The cliché is that trees don’t grow to the sky, so at some point we’re not going to have 6% like-for-like sales. We have to make sure we put that message across.” According to the Sunday Times Rich List, Martin now has an estimated net worth of £448 million.
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