In partnership with
Overview
Many local hospitality venues excel at one thing in particular. Whether they pour the best wine or serve a cold brew that'll have you buzzing for a week, most of these venues focus on one specialty during a particular part of the day. For the Japanese café Kahii, located on Kent Street in Sydney, however, flexibility and variety are what keep the spark alive.
"Adding a night offering gave the venue a whole new life," says Kahii's director, Matthew Wong. Open from 8am until 3:30pm Monday to Friday, and re-opening from 5pm 'til 12am Tuesday to Saturday, Kahii serves freshly brewed coffee by day and cocktails by renowned mixologist Fumiaki (with a curated bar snack menu from Kuro's Executive Chef, Taka Teramoto) by night.
"Flexibility isn't just a survival tactic — it's a growth mindset," Wong tells Concrete Playground. When Kahii opened in 2016, it was purely a day-trade cafe inspired by the Japanese tea room, kissaten. "Quiet, minimal, refined". After the venue survived the pandemic (and subsequent lockdowns and venue regulations that gutted the city as a whole), Kahii wanted to do something "exciting" again.
"Licensing conditions had relaxed, and we saw the opportunity to introduce a tea and coffee-inspired cocktail program that reflected our identity while giving people something unique in the city," Wong adds. "It was both strategic and personal — a natural extension of who we are and what we enjoy."
Pros of Flexibility
According to Wong, the advantages of running a business that opens at different times of the day are plentiful. "It creates diversity—not just in revenue, but in the types of experiences we offer and the people we attract."
"During the day, we serve office workers, creatives, and locals grabbing their daily coffee or matcha. At night, the crowd shifts to people seeking somewhere intimate to unwind with a drink and a bite." Wong also notes that increasingly, regulars are starting and ending their day at the cafe. "There's crossover, too."
In addition to attracting a diverse range of patrons, from a business standpoint, Kahii is maximising the value of a "sunk cost"—rent. "Activating the space in the evening was a strategic way to make full use of it."
Being open throughout the day also creates a buffer from trade volatility. "Things like school holidays, transport disruptions, and weather don't hit quite as hard when we have more than one audience," Wong adds.
How to Adapt Your Business to Two Offerings
If you want to expand your hospitality business beyond its current offerings, Wong recommends starting with what you love. Then, build systems that support flexibility. "If you're transitioning from day to night, make sure the space is designed to shift moods—lighting, music, staff training, and menus all need to adapt seamlessly."
He also suggests thinking about operational flow. From bookings, orders, payments, and prep change, how will you widen your service? "The clearer your identity and the smoother your systems, the more your guests will feel like it's all part of one cohesive experience—not two separate businesses," Wong explains.
Tools like Square can help build upon this flow. Kahii uses Square for POS during the day and Square for Restaurants at night. The platform handles everything from payments to open orders and integrates with booking platforms. As he explains, "[Square] makes a huge difference to our workflow, especially as we transition between different trade periods and customer expectations."
Kill Your Darlings
Running a hospitality business comes with a lot of decision-making. Part of this means making calls that impact your day-to-day. "There were offerings we loved but had to let go of—sometimes because they didn't resonate with guests, other times because they were operationally clunky," says Wong.
One of the biggest lessons for Kahii has been knowing when to separate personal attachment from business performance, which Wong notes is never easy, but often necessary. "Looking back, every time we've made that call, it's created room for something better. Something that fits the brand, the customer, and the moment we're in."
If Wong could give any advice to other adventurous business owners in the same position, it would be to be honest about what's not working. Be open to new formats, offerings, or even the times of day you operate. And most importantly, don't be afraid to pivot with purpose.
"Talk to your team. Listen to your customers. Look at the data. Sometimes the smallest insights, like consistent feedback on a menu item or noticing a dip in trade at a certain time, can spark the biggest changes."
Square empowers local businesses to thrive by making it easier to run, manage, and grow their operations. Find out how Square can help your business grow.
Images: Kahii