May 6 2024
What does a Hotel Manager do?
Hotel Managers have one of the most challenging yet rewarding jobs in hospitality, and that’s why the job is not for the faint-hearted. The role attracts those who have high ambition, a passion for service, and are natural-born leaders. A career in hotels can be exciting, luxurious, and lead you to travel the world. Whether you work in a boutique hotel or a multinational chain, the day-to-day challenges can be similar. So, just how do you embark on a career in hotels and attaining the Hotel Manager title?
What is Hotel Management?
Before exploring career opportunities in hotel management, it is important to know what working in the hotel industry entails.
In the hospitality industry, hotel management plays a crucial role in ensuring the smooth functioning of various departments such as guest services, food and beverage, and sales. It involves effective planning, management, and organization of lodging operations to deliver the best possible experience to customers. Depending on the size of the lodging business, management may oversee multiple departments and is responsible for leading and motivating the team to achieve a profitable business with exceptional customer satisfaction.
What does a Hotel Manager do?
The very essence of managing a hotel is keeping day-to-day operations ticking over. Therefore, Hotel managers may be required to:
- Manage hotel services, such as accommodation and catering.
- Oversee events and conferences.
- Troubleshoot any issues arising in hotel operations.
- Liaise with contractors and suppliers.
- Supervise any maintenance work and renovations.
- Safeguard security and compliance, conducting inspections where necessary.
- Lead on sustainability programs
- Manage heads of departments or entire teams
- Drive forward sales strategies and oversee expenditure
Handling financial responsibilities of the hotel
Clearly, hotels are looking to turn a profit. Hotel managers must therefore secure high occupancy levels and see to certain strategic financial and accounting duties, for instance:
- Managing budgets and controlling expenditures.
- Tracking hotel revenues, setting sales targets and optimizing profits.
- Analyzing sales figures, reports and the different market segments and channels to define the best-suited pricing and distribution strategies.
- Maintaining statistical and financial records.
Leading a successful team
Smooth hotel operations are reliant upon professional staff who are respectful and in tune with guests at all times. Hotel managers need to get the best out of their teams if their establishments are to be successful, which involves:
- Talent-spotting, recruiting, and providing ongoing training.
- Defining the staff rota and working around holiday absences.
- Monitoring and motivating staff with constructive communication in a positive work environment and a shared vision of targets and career progression.
- Investing effort in employee engagement and retention in collaboration with HR.
Providing great guest experiences
Hotel managers are responsible for ensuring guests enjoy their stay. With this in mind, they may be tasked with several duties aimed at enhancing the guest experience and seeing to positive customer relations. These may include:
- Meeting and greeting guests with a warm welcome.
- Being attentive to guests’ needs and wishes, taking opportunities to optimize the guest experience.
- Addressing complaints with a personal touch to restore customer satisfaction.
- Keeping a watchful eye on both competitors and technological trends and innovations in hospitality with a view to leveraging any insights to build customer relations.
Handling reputation management
To cultivate those all-important glowing online reviews and keep guests coming back for more, hotel managers may also take care of various reputation management and branding duties, such as:
- Managing the hotel’s online presence and generating an online buzz through special offers and promotions.
- Ensuring all customer inquiries are dealt with in a timely manner and customer-oriented responses are issued for all negative reviews.
- Pursuing strategic branding endeavors.
Hotel manager working hours
Hotels never sleep. You would also be forgiven for thinking hotel managers never socialize. The role does entail almost constant pressure and long, erratic working hours that are likely to include some late nights, weekends, and/or bank holidays depending on the shift pattern. To offset this somewhat, your on-the-job capacity may be freed up thanks to in-house meals and the absence of a commute in the case of live-in posts. The job may also offer flexibility in other ways, such as the potential for overseas travel and the added bonus of discounted accommodation.
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How to become a Hotel Manager?
Becoming a hotel manager may take several years of education followed by several years of career progression depending on the size of the lodging business you want to work for. Typically the bigger the hotel brand, the longer and more difficult it will be to land that role due to increased competition and higher requirements. You might start out on the front desk, a revenue manager, marketing specialist, or event manager, and then manage one of those departments before having the opportunity to progress to the hotel manager or assistant hotel manager role.
The possibilities are endless for beginning a career path toward general management of a hotel. Landing a Graduate Scheme enabling you to work in all areas of a hotel would be a smart first move for recent graduates wanting to climb the career ladder quickly and gain a 360-degree view of hotel operations.
Education requirements
To excel in the hotel industry and become a successful hotel manager, it’s essential to acquire a diverse range of skills and hands-on experience in lodging management. Many large hotels and international facilities require a bachelor’s degree in hospitality management as a minimum requirement. Finding a degree course that has a dual-education configuration is most advantageous, as it allows students to get practical experience in the field as well as learn theoretical components. This way, not only does the theory become more solidified in the students’ minds, but it also bolsters their resumes with professional experience at the same time.
However, by obtaining a Master’s degree in Hospitality Management, you can distinguish yourself further from other candidates and increase your chances of landing a management position. Remember, with hard work, dedication, and the right qualifications, you can achieve your goals and reach new heights in your career.
What is the ideal hotel manager profile?
If you aspire to become a hotel manager, you must have impeccable people skills, an unflappable, trustworthy, and professional demeanor, and the ability to lead, communicate effectively, and stay ahead of emerging trends. You should also possess a keen eye for numbers and be adept at analyzing data. Additionally, you must showcase your exceptional talent and dedication, be adaptable, resilient, and able to make swift decisions under pressure. Keep in mind that this role requires significant sacrifices, including less time spent with family and friends.
What skills does a Hotel Manager need?
Hotel Managers need a myriad of hard and soft skills in order to be successful. Here are some of the most highly valued skills you will need to demonstrate on your CV:
- Leadership
- Teamwork
- Communication
- Numeracy
- Technology literacy
- Project and people management
- An eye for detail
Develop related experience
Gaining work experience in a hotel or hospitality environment will help you climb the ladder to the position of Hotel Manager. Whether it’s in the form of an internship during or after studying, or starting in a junior role or operation-specific role that you are qualified for – such as in marketing – with the aim of side-stepping into a Hotel manager or General manager role. Hands-on experience at any level is highly valued in the hotel industry and failing that, experience in customer-oriented environment would be desirable.
Hotel Management career outlook
The career outlook for future hotel managers is looking bright.
According to research, global travel and tourism employment is forecast to rise to 320 million in 2023, a 25 million job position increase on 2022 figures, and just short of pre-pandemic levels. With more people wanting to travel, the industry growth creates more demand for lodging managers.
What’s more, Hospitality statistics from Statista show the global hospitality market reached nearly 4.7 trillion U.S. dollars in 2023 and is forecast to grow to 5.8 trillion U.S. dollars by 2027 at a compound annual growth rate (CAGR) of 5.5 percent. Hospitality comprises of multiple industries, the largest of which are accommodation and food and drink services making it a desirable industry to build a career in.
It is true that managing a hotel requires a great deal of dedication. It is a complex, demanding job, but the rewards can be rich indeed for those who choose to tackle it.
About EHL Group
EHL Group is the global reference in education, innovation and consulting for the hospitality and service sector.
With expertise dating back to 1893, EHL Group now offers a wide range of leading educational programs from apprenticeships to master’s degrees, as well as professional and executive education, on three campuses in Switzerland and Singapore. EHL Group also offers consulting and certification services to companies and learning centers around the world. True to its values and committed to building a sustainable world, EHL Group’s purpose is to provide education, services and working environments that are people-centered and open to the world. www.ehlgroup.com
EHL Hospitality Business School
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Credit Hospitalitynet
May 2 2024
Hotel CEOs Share Insights on Managing Change
BERLIN — Although both Federico Gonzalez Tejera of Radisson Hotel Group and Elie Maalouf of IHG Hotels & Resorts have been with their respective companies for a significant period of time, the two hotel executives have been in charge of leading significant changes of late.
Speaking at the recent International Hospitality Investment Forum, Gonzalez Tejera said the key to managing changes at his company has been clear and honest communication. Some of his major changes include the offloading of its U.S.-based business to Choice Hotels International and his assumption of the chief executive role with Louvre Hotels Group while maintaining his role as chief executive and executive vice chairman with Radisson.
“I’ve learned from many people that I’ve worked for in the past, but I think the most important [lesson] is when you try to do something with honesty, with good intentions and the intention to serve and do something good for the future, things work,” he said.
He said over his time as a leader, the theme of honesty keeps coming back up, especially during periods of transformation and significant change. He said that ethos becomes even more important when dealing with groups of people from different cultural backgrounds who might have differing expectations.
“I think you need to be, in advance, very clear that there are cultural differences. …. We’ve been upfront in recognizing that to avoid misunderstandings,” he said.
Maalouf, meanwhile, has been with IHG for nearly a decade but in the last year has taken over as CEO. He said that transition has been a chance to get a new perspective on the company and get more hands-on.
“I’m not new to the business, but what I did first thing, which many of you do when you take over opportunities, is really go out and see it,” he said. “I’ve always felt we had an incredible trajectory ahead of us. All of the data will tell you so … but until you go out and see it for yourself in your own markets with your own people, it doesn’t feel the same.”
He said despite the company’s eight-decade history, he thinks there remains significant growth opportunities, driven by moving into new markets and deploying new technology.
“We’ve done a lot over the last 10 years to position this company in a very successful place,” he said. “We’ve broadened the portfolio. We’ve entered new markets. We’ve put in place some foundational technology enterprise systems. That puts us in a place to take the next step.”
He said recognizing how the larger macro-environment has shifted in recent years and being proactive is an opportunity for businesses like his and others across the industry. One big example of this is hotels’ collective rising profile for real estate investors.
“Real estate allocators in total want to allocate 8% to 10% of their total assets to real estate between equities and bonds,” he said. “That used to be mostly office and retail, then industrial, then apartments, and hotels were last. Well, hotels are actually among their top priorities today. So, yes, the cost of capital may be higher, but there’s a lot of equity interested to go into a performing asset class.”
Credit Hotel News Now
April 30 2024
Hotel franchising poised for growth across Southeast Asia
Hotel franchising is rapidly emerging as a viable business model in Southeast Asia’s hotel real estate market, offering local and regional hotel owners an avenue for growth and resilience in the wake of the pandemic.
In Southeast Asia, the number of hotels operating under franchise agreements has doubled over the past decade rising from 3 percent of the market to 6 percent in 2024.
Gaining momentum in Southeast Asia
While this remains a modest proportion of the overall market, franchise agreements have proven to be a winning formula elsewhere, attracting hotel owners seeking to tap into the reputation and expertise of renowned brands to drive distribution through their network and their loyalty programmes. This trend has been driven further and faster by major hotel brands like Marriott International, Hilton Worldwide, Wyndham Hotels & Resorts, Choice Hotels International, and Intercontinental Hotels Group, shifting towards an asset-light strategy.
Despite growth in the US and Europe, the model remains in its infancy in Southeast Asia, hampered by the region’s fragmented hotel market, which is made up of numerous small local owners, a lack of options for third-party operators as well as regulatory and legal barriers .
Management contracts are the dominant model of hotel ownership across the region but they often result in disparate operational standards and inconsistent branding.
But before embarking on a franchising deal, hotel owners must grasp the complexities involved and there are some key considerations.
- Balance independence with brand recognition
Balancing operational independence with the franchisor’s brand benefits is paramount for hotel owners. While retaining control over talent and cost management is crucial, tapping into the brand’s global and regional programs, such as access to global Request for Proposals (RFPs) and loyalty programs, can significantly enhance the bottom-line. Whilst we see more owner-operators venturing into this space, they will need to ensure their current operational team can adapt acquiring new knowledge and expertise. Be in subscribing to optional commercial support from the brands to bringing in third-party operators or operational consultants /asset managers.
- Use asset enhancement initiatives (AEIs) to stand out
Franchise agreements offer owners an opportunity to potentially negotiate relevant AEIs with the franchisor that align with brand standards. This grants owners the freedom to spruce up their assets and differentiate themselves in the market while upholding the brand’s reputation and integrity having that market insights on trends that present low hanging fruit opportunities.
- Use data to analyse progress and market position
Regular benchmarking against industry standards is essential for hotel owners to assess their performance and identify areas for improvement. Analysing key revenue and operational metrics helps owners to make informed decisions that can improve their competitiveness and profitability, and keeps hotel owners ahead of the curve.
- Streamline operations with multiple franchise hotels
Transitioning from managing hotels to franchising them can unlock efficiencies across a portfolio of properties, particularly by consolidating operations under an experienced management team. Centralising operations under a single General Manager (GM), or commercial teams across hotels for example, and delegating day-to-day tasks across multiple properties streamlines communication, aligns processes and can ultimately reduce costs. This also allows franchised hotel owners to attract higher value talent across their portfolio. Exploring this in greater detail, including cross-training and multi-skilling, and back-office clustering across different business functions are areas where some brand-operated hotels may not be able to capitalise on.
- Seek alignment
Successful franchise agreements between brands, operating entities and owners require significant alignment. This is critical to ensure owners are maximising the value of the franchise arrangement, drive operational autonomy and efficiencies, create ongoing value through, unique AEIs whilst being brand compliant. An internal or external governance/asset management structure managing and overseeing see this would be key to consider.
As the hospitality industry anticipated to rebound in 2024, with revenue per available room (RevPAR) recovery reaching 93% of pre-pandemic levels in the APAC region in 2023, investor interest in hotel investments is on the rise. Thailand, in particular, is poised to embrace hotel franchising, seizing opportunities accelerated by the COVID-19 crisis.
We are confident that hotel owners across Southeast Asia. will consider more of such opportunities as we notice the markets evolve, yet readiness is paramount to unlock the potential.
Source and Credit: JLL
April 22 2024
Asia-Pacific Trends: 2024 Meetings & Events
A positive shift is underway for meetings and events this year. Global trends show a return to in-person gatherings, increased attendees, and increasing budgets. What about the Asia-Pacific region specifically? While this region falls behind others when it comes to in-person meetings and events, positivity about health and safety – as well in other key areas – is strong with a ranking of 8 or higher on a scale of 1 to 10.
Our 13th annual Global Meetings and Events Forecast provides a comprehensive overview of what to expect over the next twelve months, including a look at regional trends in Asia-Pacific.
Slow and steady growth
Meeting professionals in this region are expecting a steady overall increase in activity in 2024. This steady increase balances growth with cautious optimism in most categories due to a variety of factors.
A few standout trends and findings include:
- Small and simple meetings will be the most common meeting type.
- 46% of meeting professionals say they’re likely or very likely to look for a new job in the next 12 months.
- Health and safety protocols remain a strong factor (at 28%) when selecting meeting locations.
- 67% of respondents said that sustainability has been strongly adopted in their meeting program.
Destination appeal
New to this year’s Forecast, we’re including the Top 5 meetings and events locations as determined by 131 American Express Global Business Travel meetings professionals. The results are based on criteria that include accessibility, local attractions, safety and security, and more.
With its cutting-edge facilities and state-of-the-art infrastructure, Singapore has reemerged as a global hub after enduring several years of restrictions. Tokyo and Bangkok rank second and third, further highlighting the vibrant and dynamic cities in this region. Sydney and Hong Kong occupy the final two positions contributing to the regional landscape of premier event destinations in Asia-Pacific.
This year we’re featuring two special must-read sections:
- 7 actionable insights to elevate your meetings program includes highlights to help kick start your program’s evolution and optimize upcoming trends.
- Event marketing trends: Are you ready to impress your marketing stakeholder, focuses on key trends and insights into what matters to your marketing stakeholders plus questions and tips to help you better align with them.
Credit and Source
April 17 2024
Aimbridge's New CEO Wants To Think Like Small Operator But Create Advantage With Size
Craig Smith Talks Talent Pipeline, Financials, Other Challenges
In the CEO role for nearly one month, Aimbridge Hospitality’s Craig Smith is determined to recast the company’s size to its advantage while thinking “like a small company that’s really dedicated to each owner and each hotel.”
Over the last month, Smith has been meeting with owners, property teams and brands from some of the more than 1,500 hotels under Aimbridge management, along with his corporate teams. It’s all in effort to learn more about the company he’s leading, what needs to change and what should stay the same.
On April 11, Hotel News Now moderated a virtual fireside chat with Smith that was live streamed to Aimbridge’s hotel owners and associates. This article includes his answers in that fireside chat, a live Q&A with the audience and an exclusive interview with HNN following the chat.
Smith took the CEO role in mid-March for Aimbridge, the world’s largest third-party hotel management company, following the departure of Mike Deitemeyer at the end of 2023.
The majority of Smith’s career has been with Marriott International. After more than 30 years with Marriott, he retired from the company in February 2023 as group president and managing director, international.
Focusing on the Property
Some of the feedback that Smith has received so far is that Aimbridge isn’t using its size to its advantage.
“We can’t talk about size being the advantage,” he said. “You have to use your size to create an advantage.”
Aimbridge needs to move away from quoting its size, because even though it’s the largest hotel management company in the industry, bigger doesn’t equal better, Smith said. With that in mind, Aimbridge is readjusting its operating model so that its regional vice presidents and their teams will be able to visit properties 12 times a year now. That creates more opportunities for hotel general managers to meet with their executives and learn from them directly.
“If their boss is only visiting them a couple of times a year, then they have less opportunity to learn and to be held accountable for what they’re doing,” he said.
The hotel’s director of finance is not going to learn from the general manager because their jobs are different, Smith said. Having finance executives work on a geographical territory will help hotel teams by answering their questions and fixing problems.
“At the end of the day, it’s about mentoring and development,” he said.
Senior leadership needs to get out into the hotels because visiting them lets them hear what’s going on, Smith said. He wants to flatten the organization to have more people closer to the business, not adding more layers in between.
“We’ve got to think like a small, third-party management company and less like a large company,” he said. “In other words, we use our scale for things that are important to us, but our [thinking] has to be almost like a small company that’s really dedicated to each owner and each hotel.”
Having a greater focus on hotel general managers is an important part of the overall strategy, Smith said. When he was an area vice president at Marriott, he had oversight of 25 hotels. It took Smith about six months to figure out that 80% of his time was spent on 20% of those hotels, and those were the ones with poor general managers.
“The truth of the matter is, if you center everything around that general manager, they’ll make everything work on property,” he said.
There’s a tendency for all companies to get ahead of themselves and forget what their business is all about, Smith said.
“Our business is all about making every single general manager successful, whether that’s developing them for the future, training them when they’re already a general manager,” he said. “I think there’s a lot in there, and that alone will actually solve many more other potential issues in the future.”
Company Financials
Aimbridge’s financial situation has fueled a lot of behind-the-scenes industry chatter, as people wonder whether it has overextended itself to fuel its growth.
But when asked about it, Smith said Aimbridge doesn’t have a financial problem.
“There’s a big difference between having a financial problem and not hitting your long-term goals,” he said. “I’d say for me, it’s more about OK, how do we turbo-charge the organization to move faster?”
As for rumors about layoffs, Smith said that right now, he doesn’t see cuts happening in the future. When he talks about flattening the organization, Smith said he doesn’t mean it in the way other executives do when they’re referring to cutting back.
“I’m talking about redistributing people and getting them closer [to property level],” he said.
To improve Aimbridge’s accounting, the company hired an outside consultant. Smith said one of his biggest realizations is the disconnect between corporate and hotel accounting.
He said one of the biggest realizations is that there’s been a disconnect between corporate and hotel accounting. The consultant has taken a few teams at the corporate level and shown them how accounting works on property so there’s a better understanding how it works and how corporate can better serve properties. Thus, that accounting responsibility is taken off the plate of general managers, who can focus on hotel operations.
Property audits are another new initiative starting under Smith’s leadership. They’re designed to analyze a hotel in different ways, then go over the results with the hotel’s management team, identify goals and loop in ownership.
“It’s not an audit to catch some of what they’ve done wrong,” Smith said. “It’s an audit to say, here are areas where you can improve and let me teach you how to do that.”
He said he draws on his experience restructuring audits at Marriott. Bridging that gap between the property and corporate leadership is a critical step, he said, because it helps both groups learn from each other to improve the hotel.
“I think that’s a big piece that has been missing: We need to listen more to the leaders in the field and then structure our corporate headquarters so that we’re actually listening to them and saying, ‘What do we need to do to help you make the hotels more efficient, more successful, drive more top line, drive more bottom line?’” he said.
Developing Talent
Building a better internal talent pipeline is another priority, particularly for general manager roles.
Smith said it’s been upsetting to learn how often certain positions are filled through external hiring rather than promoting from within.
“We’ve got to get the point that we’re growing our own talent,” he said.
As a result, the company has set a goal that 75% of its future general managers will be sourced internally, he said.
Someone can interview well for a general manager job or a director of finance or sales position in a hotel, but the chances of success are better if that person already works for the company where there’s firsthand knowledge of their work and training, Smith said.
Building a solid talent pipeline at the property level also helps solidify job satisfaction and lower turnover. He cited general manager turnover as a particularly terrible thing for hotels, since it dings performance, the team loses a leader, and finding a new person takes valuable time.
Aimbridge’s job, he said, is to put general managers in place and make sure they’re happy, while finding the next wave of leaders and developing their skills.
He drew on his own experience to illustrate how important it is to build and retain talent in one place.
“I didn’t have to go anywhere else to get promoted,” he said of his career at Marriott. “I didn’t have to quit Marriott and go to another company.”
And Aimbridge’s size is definitely an advantage when it comes to giving new hospitality employees experience in many types of hotel jobs that they might otherwise need to company-hop to get.
“Imagine you can do it all in one company,” he said. “This is where our size is a competitive advantage. Because we’re large enough that we can say, ‘Listen, you can work in a select-service hotel and become a general manager and then transfer to a full-service hotel.”
Labor Strategy
Aimbridge’s overall staffing should be one of its three biggest competitive advantages, Smith said.
Turnover at Aimbridge is down, and it’s trending in the right direction again, he said. The company will continue to focus on retaining talent. A lot of people are retiring out of the workforce, and everyone is competing for good talent.
In recent years, Aimbridge initiated several employee-oriented programs as part of its attraction and retention efforts. It offers daily pay, allowing all employees to request up to 50% of their earned hours in their wages anytime during that pay period. It also provides flexible scheduling to employees and, in certain markets with enough property density, shift sharing in which employees of one hotel can pick up hours at another nearby Aimbridge-managed hotel.
These strategies help the company stay ahead of the curve, something Smith said is critical. He’s particularly excited about apprenticeship programs, which he called a helpful career path for young adults not pursuing four-year degrees, and other people a chance to retool their skills in order to change careers.
“We need to train people for jobs in the future,” he said.
Labor issues are top of mind for company’s Aimbridge’s size.
The company recently has run into challenges negotiating a new contract with Unite Here Local 11 for several of its hotels in the Los Angeles area. In January 2024, Aimbridge signed a memorandum of understanding with Unite Here Local 11 for six properties. Later that month, the union announced a boycott campaign against Aimbridge-managed hotels in the area.
When asked about the status of its negotiations, Smith said Aimbridge is focused on being a good steward of its hotels. The main things are doing what’s best for the owners of its hotels while also protecting the people that work for Aimbridge.
“If it’s a union hotel, then how do we work with the union?” he said. “Instead of fighting them, how do we work with them to figure out what is best for the people that work for them?”
Aimbridge has a responsibility to the hotel owners to make sure the properties are represented properly, he said. It also must make sure the associates working for Aimbridge are treated fairly and are taken care of well.
When asked for comment on its negotiations and allegations of sexual harassment six female employees reported at two Aimbridge-managed hotels, Unite Here Local 11 co-President Kurt Petersen said in a statement that it was “despicable” how Aimbridge’s leadership is drawing out the labor dispute and not taking these accusations seriously.
“If dozens of other bigger and more popular hotel brands can agree to give their workers the Olympic wages and protections they deserve, then Aimbridge should be no different,” he said. “Moreover, the ridiculous response to the letter sent to the CEO after women came forward is a clear example of how the company does not value workers or women.”
When asked about the sexual harassment allegations, Aimbridge released a statement saying, “Every day we set out to create a safe, healthy, and positive work environment for our associates, and will not stand for harassment of any kind. As soon as allegations were brought to our attention, we immediately launched a thorough investigation and took actions reflective of our zero-tolerance policy.”
Credit Hotel News Now
April 7 2024
Hotel Brands: Complete Guide to the Top Hotel Chains
What are hotel brands?
Hotel brands are unique identities created by hotel chains or individual hotels to stand out in the market. They represent a mix of services, designs, and experiences tailored to different types of guests, such as luxury seekers or budget travellers. These brands help hotels attract loyal customers, showcase what makes them special, grow their revenue, and compete effectively in the busy hospitality sector.
However, not all hotel brands carry the same level of recognition, value, or distinctiveness. Some brands have become household names, renowned for their exceptional service, iconic design, and consistent quality across locations. These leading brands often command higher prices and a loyal following. In contrast, lesser-known or emerging brands may struggle to make their mark, competing on price or niche offerings to attract guests.
The value and distinctiveness of a hotel brand can significantly influence its market position and the perceptions of potential guests, making brand development and management a critical aspect of hotel operations.
Table of contents
- 1. What are hotel brands?
- 2. How can luxury hotel chains inspire your hotel brand?
- 3. What makes a hotel brand the best in the industry?
- 4. Top hotel brands: Biggest hotel chains in the world
- 5. Marriott Hotel Brands
- 6. Hilton Hotel Brands
- 7. IHG Hotel Brands
- 8. Hyatt Hotel Brands
- 9. Wyndham Hotel Brands
- 10. Accor Hotel Brands
- 11. Choice Hotel Brands
- 12. Best Western Hotel Brands
- 13. Pet friendly hotel brands
How can luxury hotel chains inspire your hotel brand?
In the hospitality industry, taking inspiration from the best, even those who may be competitors, is a strategy for success. There’s an old adage that good authors borrow but great authors steal; the idea being that you shouldn’t be afraid to be inspired by the excellence around you, or even outright copying what you know works. By observing and integrating the high standards, innovative amenities, and unique experiences offered by luxury hotel chains, your hotel can elevate its offerings.
However, wholesale imitation is hardly the foundation for a unique and powerful hotel brand. The key lies in not just mimicking these elements but reinterpreting them in a way that aligns with your brand’s unique identity and values. This approach allows you to blend the best practices from top-tier hotels with your distinctive flair, setting your property apart and creating an unparalleled guest experience.
What makes a hotel brand the best in the industry?
Every hotel is unique, but uniqueness is not enough to be counted among the best. It’s certainly a factor for a hotel brand to stand out, but no matter what your niche is, there are some consistent aspects that are key to mastering to be one of the best hotel brands in the industry.
Exceptional customer service
Exceptional customer service is the cornerstone of a leading hotel brand, turning ordinary stays into memorable experiences. The best hotels invest in training their staff to embody the brand’s ethos, ensuring that warmth, attentiveness, and personalisation are at the heart of every guest encounter. By making guests feel valued and understood, hotels can foster loyalty and positive word-of-mouth, setting themselves apart in a competitive industry.
Prime spot/locations
A prime location is a pivotal attribute of top hotel brands, enhancing accessibility and enriching the guest experience with convenience and charm. Being situated in the heart of a city, near major attractions, business districts, or breathtaking natural landscapes, means guests have the world at their doorstep. This strategic positioning not only caters to the practical needs of travellers, ensuring ease of movement and time efficiency, but also immerses them in the local culture, cuisine, and sights.
The best hotels leverage their location to offer unique experiences, from stunning views to exclusive local partnerships, making each stay not just a visit, but a destination in itself.
Loyalty programmes
Loyalty programs are a defining feature of leading hotel brands, rewarding guests for their continued patronage with a range of benefits and exclusive experiences. These programs are designed to foster a sense of belonging and appreciation, offering perks such as room upgrades, late check-outs, and special member-only rates.
Beyond the tangible rewards, the best loyalty schemes create a community, inviting guests to be part of a story that extends beyond their stay. They leverage personalisation, recognising individual preferences and celebrating milestones, to deepen the guest relationship. By investing in loyalty programs, hotels not only encourage repeat business but also turn satisfied guests into brand ambassadors, amplifying their reputation through positive, word-of-mouth endorsements.
Innovative technology
Innovative technology sets leading hotel brands apart, offering guests a seamless and modern experience from booking to check-out. These hotels integrate cutting-edge solutions, such as mobile check-in, digital room keys, and personalised in-room technology, to streamline operations and cater to the digital-savvy traveller.
Beyond convenience, technology is used to enhance the guest experience with features like customisable room environments and AI-driven concierge services. The best hotels use technology not just for efficiency but to create memorable moments, whether through virtual reality tours of local attractions or apps that curate personalised city guides. By embracing innovation, these hotel brands not only meet the expectations of today’s guests but also anticipate the needs of tomorrow’s, securing an audience for the future.
Sustainable practices
Sustainable practices are increasingly becoming a hallmark of the best hotel brands, reflecting a commitment to environmental stewardship and social responsibility. These hotels adopt green initiatives such as energy-efficient lighting, water conservation systems, and waste reduction programs to minimise their ecological footprint.
Beyond operational changes, they often incorporate local materials and cultures into their design and offerings, supporting local communities and preserving heritage. The leading brands communicate their sustainability efforts transparently, engaging guests in their mission by offering options like linen reuse programs and locally sourced dining.
By integrating sustainability into the core of their operations, these hotels not only contribute to the well-being of the planet but also resonate with the growing number of travellers who prioritise eco-friendly and ethical choices in their accommodations.
Great reputation
A great reputation is a powerful asset for top hotel brands, built on a foundation of consistent quality, exceptional service, and memorable guest experiences. It’s the result of every positive review, recommendation, and return visit, woven into the fabric of the brand’s identity. Leading hotels invest in maintaining high standards across all touchpoints, from the attentiveness of staff to the cleanliness of rooms and the quality of dining. They actively manage their online presence, responding to feedback and engaging with guests long after their stay has ended.
A stellar reputation not only attracts new guests but also fosters loyalty among existing ones, creating a virtuous cycle of positive experiences and endorsements. In the competitive hospitality industry, a great reputation sets a hotel apart, making it not just a choice but a destination in its own right.
High quality dining and entertainment
High-quality dining and entertainment are key elements that distinguish premier hotel brands, offering guests an immersive experience that extends beyond their room. These hotels feature gourmet restaurants helmed by renowned chefs, showcasing culinary excellence with innovative menus and locally sourced ingredients. Dining becomes an event, with settings that range from intimate and atmospheric to grand and theatrical. Entertainment options are equally diverse, ranging from live music and performances to exclusive events, ensuring guests have access to unique cultural experiences without ever leaving the hotel.
By providing exceptional dining and entertainment, top hotel brands elevate the guest experience, turning a stay into a memorable journey of sensory discovery and indulgence.
Top hotel brands: Biggest hotel chains in the world
Now you know what makes a hotel great, but what businesses epitomise greatness? Below, you’ll find the top largest and most successful hotel chains from which to take inspiration.
Marriott Hotel Brands
Marriott International boasts a vast network of over 3,700 properties worldwide, catering to a broad spectrum of travellers from luxury to budget-conscious. The company’s commitment to quality, innovation, and guest satisfaction has solidified its standing in the hospitality industry, making it a go-to choice for both leisure and business travel.
Who owns the Marriott?
Marriott International, Inc. is the parent company behind the Marriott Hotel Brands, a leading global lodging company with a portfolio that includes a wide range of hotel brands catering to different market segments.
When was Marriott founded?
Marriott was founded by J. Willard and Alice Marriott in 1927. The company started as a root beer stand in Washington, D.C., and has grown into one of the largest hotel chains in the world.
Which hotel brands are part of Marriott?
Marriott International’s portfolio extends across a variety of brands, each tailored to different types of travellers. Key brands include:
- Marriott Hotels & Resorts: The flagship brand of Marriott International, known for its service and innovation in the upscale segment.
- The Ritz-Carlton: Part of Marriott, this luxury brand is renowned for its refined elegance and personalised service.
- Residence Inn by Marriott: A brand that offers extended stay accommodations with spacious suites and home-like amenities.
- Sheraton Hotels & Resorts: Acquired by Marriott International, Sheraton is a global hospitality icon with a presence in major cities and resort destinations.
- Westin Hotels & Resorts: Also part of the Marriott family, Westin is known for its wellness initiatives, including its signature Heavenly Bed and fitness programs.
Frequently asked questions about the Marriott hotel brand
- Is Hyatt part of Marriott? No, Hyatt is an independent hotel brand and not part of Marriott International.
- Is Wyndham part of Marriott? No, Wyndham is an independent hotel brand and not part of Marriott International.
- Is Hilton part of Marriott? No, Hilton is an independent hotel brand and not part of Marriott International.
- Is Hampton Inn part of Marriott? No, Hampton Inn is a brand under the Hilton portfolio.
- Is Omni part of Marriott? No, Omni Hotels & Resorts is a standalone hotel, separate from Marriott.
- Is Four Seasons part of Marriott? No, The Four Seasons is not part of Marriott International.
- Is Intercontinental part of Marriott? No, InterContinental Hotels Group is not part of Marriott, and is known for the InterContinental brand itself and Holiday Inn.
- Is Waldorf Astoria part of Marriott? No, Waldorf Astoria is part of Hilton Worldwide, not Marriott International
Hilton Hotel Brands
Hilton Worldwide encompasses over 4,800 properties across the globe, offering a wide range of options from luxury to more accessible accommodations. The company is renowned for its innovative approach to hospitality, guest services, and loyalty programs like Hilton Honors. Through its extensive brand portfolio, Hilton continues to be a prominent choice for travellers worldwide, offering memorable experiences and exceptional service.
Who owns the Hilton Hotels brand?
Hilton Worldwide Holdings Inc., commonly known as Hilton, is an American multinational hospitality company that owns and manages a broad portfolio of hotels and resorts.
When was the Hilton brand founded?
Hilton was founded by Conrad Hilton in 1919, with the purchase of his first hotel in Cisco, Texas. Since then, Hilton has grown into a leading global hospitality company.
Which hotel brands are part of Hilton Hotels?
Hilton’s portfolio includes a diverse range of brands catering to different segments of the market, such as:
- Hilton Hotels & Resorts: The flagship brand, known for its commitment to hospitality and innovation.
- Waldorf Astoria Hotels & Resorts: A luxury brand offering unique experiences in iconic destinations.
- Hampton by Hilton: Focused on providing quality, consistent accommodations and amenities.
- Holiday Inn: Not part of Hilton, but a brand under the InterContinental Hotels Group (IHG).
- Sheraton Hotels & Resorts: This brand is part of the Marriott International portfolio, not Hilton.
Frequently asked questions about the Hilton hotel brand
- Is Holiday Inn part of Hilton Hotels? No, Hyatt is not part of Hilton, but a brand under the InterContinental Hotels Group (IHG).
- Is Sheraton part of Hilton Hotels? No, this brand is part of the Marriott International portfolio, not Hilton.
- Is Hyatt part of Hilton Hotels? No, Hyatt is an independent company, not affiliated with Hilton.
- Is Staybridge Suites part of Hilton Hotels? No, Staybridge is part of the IHG family of brands, not associated with Hilton.
- Are Hilton and Marriott the same? No, they are different and independent hotel brands.
IHG Hotel Brands
IHG boasts over 5,900 hotels worldwide, providing a wide range of options from luxurious InterContinental resorts to convenient Holiday Inn Express locations. The company is known for its commitment to quality, innovation, and guest satisfaction, making it a key player in the global hospitality market.
Who owns the IHG Hotels brand?
InterContinental Hotels Group (IHG) is a global company headquartered in the United Kingdom, owning and operating a diverse portfolio of hotel brands around the world.
When was IHG Hotels founded?
IHG was officially formed in 2003, but its roots can be traced back to 1777 with the establishment of Bass Brewery, which later diversified into hospitality and acquired the InterContinental brand in 1988.
Which hotel brands are part of IHG?
IHG’s collection includes a variety of brands tailored to meet different guest needs and preferences, including:
- InterContinental Hotels & Resorts: The luxury flagship brand known for its world-class services and prestigious locations.
- Holiday Inn: One of the most recognized hotel brands globally, offering friendly, reliable accommodations for families and business travelers.
- Crowne Plaza Hotels & Resorts: Catered towards business professionals and meetings, providing premium services in major urban centers.
- Hotel Indigo: A chain of boutique hotels, offering unique designs that reflect the local culture and history.
Frequently asked questions about the IHG hotel brand
- Is IHG the same as Hilton? No, IHG is an entirely separate entity from Hilton and operates its own unique portfolio of hotel brands.
- What does IHG stand for? HG stands for InterContinental Hotels Group, reflecting its flagship brand and global presence in the hospitality industry.
Hyatt Hotel Brands
Hyatt is renowned for its innovative approach to hospitality, emphasising thoughtful and caring services. With over 1,000 properties in 68 countries, Hyatt continues to expand its presence, offering a diverse range of experiences from luxury resorts to convenient city hotels. The company’s dedication to guest satisfaction and loyalty is reflected in its World of Hyatt program, which rewards frequent travellers with exclusive benefits and experiences.
Who owns Hyatt Hotels?
Hyatt Hotels Corporation, an American multinational hospitality company, owns and manages the Hyatt portfolio of brands. The Pritzker family played a significant role in the company’s development, with Thomas Pritzker serving as executive chairman.
When was Hyatt Hotel founded?
Hyatt was founded in 1957 by Jay Pritzker when he purchased the Hyatt House motel near the Los Angeles International Airport. Since then, Hyatt has grown into a global hospitality brand known for its commitment to genuine service and guest care.
Which hotel brands are part of Hyatt Hotel?
Hyatt’s brand portfolio caters to various market segments, including:
- Park Hyatt: Luxury brand offering sophisticated and elegant accommodations and personalised services.
- Hyatt Regency: A major brand within the Hyatt portfolio, known for its exceptional service and amenities for business and leisure travellers.
- Andaz: A collection of boutique-inspired luxury hotels, reflecting the unique culture and spirit of their surroundings.
- Hyatt Place and Hyatt House: Brands designed for casual hospitality and extended stay needs, providing modern comforts and conveniences.
Frequently asked questions about the Hyatt hotel brand
- Is Hyatt part of Hilton? No, Hyatt is independent and is not part of the Hilton Hotels group.
- Is Hyatt part of Marriott? No, Hyatt is not part of Marriott and is, in fact, a competitor of Marriott.
- Is Hyatt part of Bonvoy? Bonvoy is the loyalty program for Marriott International, and Hyatt has its own loyalty program, World of Hyatt, which is not affiliated with Bonvoy.
Wyndham Hotel Brands
With over 9,000 hotels in more than 80 countries, Wyndham Hotels & Resorts boasts a vast and diverse portfolio designed to meet the needs of every type of traveller. From upscale accommodations to budget-friendly stays, Wyndham’s brands are united by a commitment to delivering exceptional service and value. The company’s focus on accessibility and customer satisfaction makes it a trusted name in hospitality, offering experiences that cater to a wide range of preferences and travel needs.
Who owns Wyndham Hotels?
Wyndham Hotels & Resorts is an American multinational hotel and resort chain headquartered in Parsippany, New Jersey. It is one of the largest hotel franchisors in the world and a leading hotel management company.
When was Wyndham Hotel founded?
Wyndham Hotels & Resorts was established in 1981 by Trammell Crow in Dallas, Texas. The company has since evolved into a global hospitality provider with a broad portfolio of hotel brands.
Which hotel brands are part of Wyndham Hotel?
Wyndham’s diverse portfolio caters to a wide range of travellers and budgets, including:
- Wyndham Grand: An ensemble of distinguished hotels offering refined experiences in iconic destinations.
- Ramada by Wyndham: A large multinational hotel brand known for its commitment to high-quality accommodations and a warm, welcoming atmosphere.
- Days Inn by Wyndham: Offers affordable lodging options with a focus on value and convenience.
- La Quinta by Wyndham: Known for providing bright, welcoming accommodations and friendly service at great value.
- Super 8 by Wyndham: A budget hotel chain that offers basic amenities and comfortable lodging.
Frequently asked question about the Wyndham Hotels and Resorts brand
- Is Wyndham part of Marriott? No, Wyndham operates independently and is not affiliated with Hilton or Marriott International.
Accor Hotel Brands
Accor’s global presence spans over 110 countries with more than 5,100 properties, making it a powerhouse in the hospitality industry. The company is committed to innovative hospitality, sustainability, and exceptional guest experiences, ensuring that every stay is memorable. From luxury resorts to budget-friendly hotels, Accor’s portfolio is designed to meet the needs of every traveller, making it a go-to choice for diverse travel experiences around the world.
Who owns Accor?
Accor is a French multinational hospitality company that owns, manages, and franchises hotels, resorts, and vacation properties. It is one of the world’s leading hotel operators and the largest in Europe.
When was Accor founded?
Accor was founded in 1967 by Paul Dubrule and Gérard Pélisson with the opening of their first Novotel hotel in Lille, France. The company has since grown to become a global leader in the hospitality industry.
Which hotel brands are part of Accor?
Accor’s extensive portfolio includes a wide range of brands catering to various segments from luxury to economy, such as:
- Sofitel: Accor’s flagship brand of luxury hotels, known for its blend of French elegance and local culture.
- Pullman: Targets the business traveller segment with upscale accommodations and meeting facilities.
- Novotel: A midscale hotel brand that offers modern, easy living spaces for both business and leisure travellers.
- Ibis: A well-known economy brand that provides comfortable and affordable accommodations with a consistent quality standard.
- Raffles: Offers a thoughtful, luxurious experience with enchanting hotels that are the epitome of service and elegance.
- Fairmont: Renowned for its grand and iconic hotels that offer guests unique experiences and timeless memories.
Choice Hotel Brands
Choice Hotels International operates more than 7,000 hotels across 40 countries and territories. With a commitment to delivering value, quality, and exceptional service, Choice Hotels caters to a wide spectrum of travel needs, from economy to upscale. The company’s award-winning Choice Privileges loyalty program offers members benefits and rewards across its extensive network of properties, enhancing the guest experience and fostering loyalty among travellers.
Who owns Choice Hotel?
Choice Hotels International, Inc. is an American hospitality holding corporation which is the owner and franchisor of several hotel brands. It is one of the largest and most successful lodging companies in the world.
When was Choice Hotel founded?
Choice Hotels originated from a 1939 merger of seven motel owners to form Quality Courts United, which is considered the first hotel chain in the United States. The company was renamed Choice Hotels International in 1990.
Which hotel brands are part of Choice Hotel?
Choice Hotels boasts a diverse portfolio catering to a wide range of travellers, including:
- Comfort Inn and Comfort Suites: Mid-range hotels known for their warm, inviting accommodations and value. Comfort Inn is part of the Choice Hotels family, directly owned and franchised by Choice Hotels International.
- Quality Inn: Offers affordable accommodations with genuine service, appealing to both business and leisure travellers.
- Sleep Inn: Designed to provide a pleasant stay with modern rooms and amenities at a great value.
- Clarion: Targets travellers seeking full-service facilities, including meeting and banquet spaces, in a midscale hotel setting.
- Econo Lodge: One of the best-known names in budget hotels, offering basic accommodations at an affordable price.
- Cambria Hotels: Represents the upscale segment within Choice Hotels, offering contemporary, locally-inspired accommodations.
Best Western Hotel Brands
Best Western Hotels & Resorts operates in over 100 countries and territories worldwide, with over 4,700 hotels under its brand umbrella. The company is known for its commitment to providing quality accommodations and excellent service at a great value. Best Western’s award-winning loyalty program, Best Western Rewards, offers members points that never expire and can be used for free nights, gift cards, and more. Through its diverse brand portfolio, Best Western continues to cater to a wide range of travel needs, from budget-friendly stays to upscale retreats, ensuring a consistent standard of hospitality and service across the globe.
Who owns Best Western?
Best Western Hotels & Resorts is a privately held hotel brand with a unique membership model, where each hotel is independently owned and operated by its respective owner. This structure allows for local flair and commitment while benefiting from the global presence and standards of the Best Western brand.
When was Best Western founded?
Best Western was founded in 1946 by M.K. Guertin as a referral system among the hotels in California. The brand has since expanded globally, becoming one of the largest hotel chains in the world.
Which hotel brands are part of Best Western?
Best Western’s portfolio has evolved to include a range of brands tailored to meet various market segments, including:
- Best Western: The flagship brand, offering comfortable, quality accommodations for leisure and business travellers.
- Best Western Plus: Provides an enhanced level of comfort and amenities for guests looking for a little extra during their stay.
- Best Western Premier: Targets the upscale market with refined and stylish hotels and superior guest services.
- Vib: A boutique urban hotel concept, focusing on convenience, technology, and social engagement.
- GLŌ: A midscale boutique hotel brand, designed with a focus on modern, sleek design and a unique guest experience.
- Executive Residency by Best Western: Offers extended stay accommodations with spacious rooms and kitchenettes, blending the convenience of hotel services with the comforts of home.
Pet friendly hotel brands
The demand for pet-friendly accommodations is on the rise, with more and more hotel chains recognising the importance of welcoming four-legged family members. Understanding this trend, several leading hotels have stepped up their game, offering exceptional services and amenities tailored specifically for guests travelling with pets.
1. Kimpton Hotels
Kimpton Hotels welcomes not just dogs and cats but any pet regardless of size, weight, or breed, at no extra charge. Each hotel offers unique pet amenities such as pet beds, food, water bowls, and mats. Kimpton also hosts a nightly wine reception where pets are more than welcome to join the fun. Their approach is a testament to their belief that pets are integral members of the family, ensuring they receive the same level of hospitality as human guests.
2. Best Western
Best Western is another chain that rolls out the welcome mat for pets, with over 1,600 pet-friendly hotels across North America. They require a nominal fee for pet guests, which varies by hotel. Best Western hotels provide a comfortable stay for pets, with some locations offering dedicated pet areas, treats, and disposal supplies to ensure a convenient and enjoyable stay for both pets and their owners.
3. Loews Hotels
Loews Hotels offers a very accommodating pet policy through their Loews Loves Pets program. They provide amenities such as gourmet room service menus for cats and dogs, prepared by the hotel’s executive chef. Additionally, they offer pet beds, litter boxes, scratching posts, leashes, and collars. Pets are greeted with a welcome package that includes treats, bowls, and toys to make their stay as comfortable as possible.
Some other pet-friendly hotels include:
- Radisson Hotels
- Bonvoy
- Hampton Inn
- W Hotels
- Crowne Plaza
- Doubletree Hotels
- Country Inn and Suites
- Riu Hotels
What hotel chains allow pets for free?
While some hotels charge a pet insurance fee or similar, some hotels have differentiated themselves in the market by including a pet’s stay in the cost of their owner’s stay. Some examples are the aforementioned Kimpton Hotels, as well as Aloft Hotels (with dogs up to 40 pounds allowed to stay free) and Red Roof Inn (one pet per room staying for free).
By Dean Elphick
Dean is the Senior Content Marketing Specialist of SiteMinder, the leading technology provider delivering hoteliers unbeatable revenue results. Dean has made writing and creating content his passion for the entirety of his professional life, which includes more than six years at SiteMinder. Through content, Dean aims to provide education, inspiration, assistance and value for accommodation businesses looking to improve the way they run their operations achieve their goals.
Credit: SiteMinder
April 5 2024
10 Creative Ways Hotels Can Boost Revenue Through Upselling
In the competitive landscape of the hospitality industry, hoteliers are constantly exploring innovative ways to increase revenue and enhance the guest experience. Upselling presents a lucrative opportunity for hotels to maximize their profits while providing added value to guests. By implementing creative upselling strategies, hotels can drive additional revenue streams and foster guest loyalty. Here are ten creative ways hotels can engage in upselling:
- Personalized Room Upgrades: Offer guests the option to upgrade their room to a higher category based on their preferences or special occasions. Personalized recommendations can make the upsell more appealing and increase the likelihood of conversion.
- Exclusive Experiences: Create unique and exclusive experiences such as private dining on a rooftop terrace, personalized spa treatments, or guided tours of the local area. These premium offerings can be upsold to guests seeking a memorable stay.
- In-Room Amenities: Showcase a selection of curated in-room amenities such as luxury bath products, gourmet minibar selections, or personalized welcome gifts. Guests can choose to enhance their stay by adding these special touches to their stay.
- Dining Packages: Offer guests the option to upgrade their dining experience with packages that include breakfast in bed, chef’s tasting menus, or wine pairing dinners. Highlighting these culinary experiences can entice guests to elevate their dining experience during their stay.
- Leisure and Wellness Enhancements: Promote wellness and leisure activities such as yoga classes, fitness sessions, or spa treatments that guests can add to their itinerary. Upselling these experiences can cater to guests looking to relax and rejuvenate during their stay.
- Local Experiences: Collaborate with local vendors and attractions to offer guests unique experiences such as guided tours, cooking classes, or cultural excursions. By showcasing authentic local experiences, hotels can upsell guests seeking to immerse themselves in the destination.
- Room Service Enhancements: Enhance the room service experience by offering special promotions such as late-night snack menus, themed afternoon teas, or cocktail kits for in-room mixology. These enticing options can drive additional revenue through upselling room service offerings.
- Celebration Packages: Create celebration packages for special occasions such as birthdays, anniversaries, or romantic getaways. These packages can include amenities such as champagne, flowers, and personalized decorations to enhance the guest’s celebratory experience.
- Upgrade Bundles: Offer bundled packages that combine room upgrades, dining credits, and spa treatments at a discounted rate. By providing value-added bundles, hotels can encourage guests to upgrade their stay and indulge in a variety of amenities.
- Loyalty Program Enhancements: Reward loyal guests with exclusive upselling opportunities such as complimentary room upgrades, early check-in/out options, or priority reservations at hotel facilities. By offering tailored upselling benefits to loyal guests, hotels can incentivize repeat bookings and foster long-term guest relationships.
By implementing these creative upselling strategies, hotels can not only increase their revenue streams but also enhance the overall guest experience, leading to higher guest satisfaction and loyalty. Embracing innovation and personalization in upselling initiatives can differentiate hotels in a competitive market and drive sustainable growth in the hospitality industry.
Credit eHotelier
March 22 2024
How Hyatt's Andaz Brand Is Delivering Laid-Back Luxury to Hotel Guests
Travelers in the luxury lifestyle hotel segment still want all the bells and whistles, but they also want levity, experimentation and fun, according to Crystal Vinisse Thomas, Hyatt Hotels Corp.’s vice president and global brand leader.
Andaz, a brand under Hyatt’s Boundless Collection, recently unveiled its first global brand refresh in eight years called “Be Like No One’s Watching.” Vinisse Thomas spearheaded the campaign.
The Andaz luxury lifestyle brand first launched in 2007.
According to the Hyatt’s website, there are 29 Andaz resorts open across the globe and 17 in the pipeline, including the Andaz Doha, Andaz Miami Beach, Andaz Turks & Caicos, Andaz Libson and Andaz Bangkok.
The desire among today’s travelers to mix opulence with lightheartedness helped guide the Andaz campaign.
“We wanted to showcase Andaz not just as a hotel brand, but a place that empowers guests to unlock new sides of themselves, ones they may have never known or were too afraid to explore before,” she said in an email interview. “We tried to tap into these ideas through as many facets of the campaign as we could.”
Vinisse Thomas said her team has infused feedback from its guests and loyalty members, including catering to the expectations that new generations have for experiences at Andaz properties.
“We’ve incorporated small changes; for example, every hotel now stocks plant-based milks in line with changing consumer preferences and dietary preferences. But we also have larger considerations — what do millennials, Gen Z or even Gen Alpha look to us to bring to the table? They often want hotels that feel sophisticated without being stuffy. They don’t mind alternative, quirky decor and unconventional experiences as long as they reflect the local destination. Even within the marketing, they’re looking for brands with authenticity and diversity. We took all of this into consideration as we crafted the campaign,” she said.
As the sea of luxury brands deepens across the industry, Andaz is digging into the core of what “luxury lifestyle” actually means to consumers as well as what it means to Andaz.
To bridge that connection, Vinisse Thomas said a brand must know who they are and what they stand for. Andaz used storytelling to drive the campaign and welcome everyone’s personal style.
“‘Be Like No One’s Watching’ is about harboring unfulfilled desires and ambitions and having the rare freedom to unleash them when you travel. These are incredible and authentic emotions that we all experience but hotel brands rarely highlight in their interactions with guests,” she added. “By focusing on these universal and genuine feelings, we hoped to create a message that resonated with audiences emotionally and distinguished Andaz from other luxury lifestyle brands.”
She said it was also important to integrate local culture at each of Andaz’s hotels.
As part of the campaign, the brand introduced experiences in which guests could immerse themselves in unique cultures — from leaving a creative mark through graffiti art at Andaz Prague to embracing a desert safari at Andaz Dubai The Palm, Vinisse Thomas said.
“Leaning into the journey of transforming and exploring your identity during travel is something we know everyone can relate to. That shared connection allowed us to highlight the unique and locally inspired ways each Andaz property could help guests do just that,” she said.
Credit: Hotel News Now
March 9 2024
How Accor's Reorganization Into Two Distinct Entities Has Streamlined Operations, Owner Relations
French hotel firm Accor’s recently completed corporate reorganization is a mark of how it looks at the industry — and how executives plan to capitalize on the shifting dynamics of travel and hospitality.
In the words of Jean-Jacques Morin, Accor’s group deputy CEO and division CEO for premium, midscale and economy: “Now, the next step is for us to get the juice.”
Late last year “was the last stage of a multiyear, multi-phase reorganization of Accor. Yes, it was messy at times, but now we have a fantastic set of reorganized assets and the recognition that the industry is so many different animals,” Morin said during a strategy update from the French firm’s Fifth Avenue offices in New York City.
In its full-year 2023 earnings results, Accor reported a record €1 billion ($1.08 billion) in earnings before interest, taxes, depreciation and amortization, a 49% increase versus 2022. For the same period, revenue increased 20% to €5 billion.
Some of that is a result of the hotel industry bouncing back from the calamitous months of the pandemic, but Morin said it’s also a testament to the refocusing of Accor’s operations.
The company’s hotel operations are now in two divisions: luxury and lifestyle; and premium, midscale and economy, managed by a new organization of regional CEOs.
The two-pronged strategy allows the company a “much better feel as to what the hotel business is about to do,” Morin said.
One example is how Accor learned that hoteliers in Australia have become more friendly to franchising.
“In the end, franchise is a good thing as long as you can adapt. Discussions with owners are fluid, and you will see that in the mix. [Franchising] is a little less than 30% of rooms, but it will rapidly grow,” he said.
Morin said the strategy is to put more focus on brands but with fewer brand standards.
“Previously, we had solutions by region and brand. All were different, so what we figured is how to take the best of what we had, not to have 10 variations. The goal is a better night’s sleep,” he said. “In luxury, there is no franchising. There we want to go further in protecting brand equity, and the best way to do that is with a hotel management agreement.”
Martine Gerow, Accor’s group chief financial officer, said being fluid also makes sense financially.
“Management franchise fees have increased, and, yes, we expect them to increase more,” she said.
Chasing Corporate
Another see change — something the hotel industry might have taken for granted in 2019 — is the return of corporate travel, although the nature of it has changed.
“We have decided to create a luxury sales team focusing on large, corporate accounts. The reason for this is we felt this segment is an opportunity, and we have had success,” Gerow said. “A change we have seen this year is the increases in corporate negotiated rates. That’s the first time in a while. Corporate is returning to travel, although the long intercontinental trip in 24 hours has probably gone.”
Gerow said Microsoft is a good example of a company that has shifted its resources to better serve client demand.
“We now have one Microsoft account worldwide. Yes, a lot of that is in Paris as that is where a lot of our people are, but not always. The focus is on the account,” not the geography, she said.
Morin agreed that focus is the critical attribute.
“Working on the basics again, which we moved away from during our expansion. The significant reduction in some brands’ brand standards, some by around 70%, helps get over the line, even if that might be counter to protecting brand equity,” he said, citing such Accor brands as Mövenpick, Pullman and Swissötel.
He said Accor believed it did not have its fair share of those brands in some markets, but now it has the right teams, the right products and the right thinking.
The two divisions are marked by different operating philosophies, the executives said.
“Luxury is not managed by geography but by brand,” Gerow said.
She added Europe is beginning to see the return of conferences and events, but the focus in the U.S., a relatively small market for Accor, needs to be different.
“In the U.S., you need recognition of brands and then distribution. You need scale, but there is potential for us,” she said.
That potential will continue to be largely in Accor’s luxury and lifestyle brands.
“Eighty percent of the U.S. premium, midscale and economy market is in the hands of five or six players. To get access, you need to be super-surgical and super-smart, but in luxury and lifestyle, it is a different play,” she said.
Morin said in China the focus changes yet again.
“We can employ different models, but the right way to move the needle is to have partnerships. Again, the only place we do not do that is in luxury and lifestyle,” he said.
Gerow said criticism of Accor’s pruning of its portfolio is misjudged.
“We’re always scrutinizing our hotels to see if they should remain in the network. That’s a huge benefit to existing and new owners, although maybe not to the [profit and loss account],” she added.
Credit Hotel News Now
Feb 19 2024
Hotel brands: Who owns what?
Are you fascinated by the glitz and glamour of the hotel industry? Do you dream of a career where you could work anywhere from a quaint boutique property to a soaring glass-walled skyscraper? With over 18 million guest rooms worldwide, the hotel sector offers boundless opportunities for ambitious hospitality professionals.
But with mega-brands owning an ever-larger share of properties, navigating this dynamic industry can feel overwhelming.
This comprehensive guide breaks down the top hotel chains, groups, and conglomerates, detailing key facts and statistics to help you research potential employers or education pathways.
- The evolution of hotel brands and chains
- How do hotel brands work? Franchising vs. management agreements
- What are chain hotels? Different types of chain hotels
- Top hotel groups: Key facts and stats of leading hotel brands in 2024
- How to pick the right hotel chain for your hospitality career
- Mega-brands driving career opportunities in hospitality
The evolution of hotel brands and chains
Simply put, a hotel chain consists of multiple properties united under the same branding. For guests, sticking with a reputable brand takes the guesswork out of the accommodation experience, so they know what standard of amenities and service to expect.
Behind the scenes, brands maximize their profits through economies of scale. By centralizing operations like reservations, marketing, staff training and procurement across locations, they leverage their size while allowing individual properties to focus on delivering great on-site experiences.
Many chains and brands don’t actually own the hotels in their portfolio. Instead, they franchise the brand or manage the property for independent owners.
The franchise model is hugely popular in hospitality, making up over 67% of chain properties in the U.S. Owners pay an initial fee then ongoing royalties to license everything from branding to management software to loyalty programs. In return they gain powerful global distribution and marketing capabilities.
Over the past few decades, the hotel landscape has changed dramatically thanks to massive industry consolidation. Mergers and acquisitions have enabled a handful of multi-brand conglomerates to dominate the market across segments from luxury to budget.
In the early 2000s, there were over 20 major hotel companies. Fast forward to today and the 10 largest groups control a staggering 65% share of U.S. room supply.
What’s fueling this rapid consolidation? As competition grows ever more intense, scale and distribution advantages are more important than ever. Combining forces through M&A enables hotel firms to expand their footprint, benefit from pooled resources and loyalty members, and cross-sell brands to a wider audience.
For travelers, the explosion of choice can feel both thrilling and paralyzing. For hotel owners and staff, consolidation provides opportunities to align with established players but also intensifies competition – including from sister brands. And for hospitality students and aspiring managers, understanding this complex web of brands and owners is key to charting your career journey.
How do hotel brands work? Franchising vs. management agreements
If you assumed hotel brands directly own and operate the majority of properties flying their flag, think again! Contrary to popular belief, mega-chains predominately utilize franchise and management contracts to expand their empire with minimal capital investment.
Let’s break it down:
A hotel brand essentially acts as an umbrella identity for a chain or collection of hotels, unified by brand standards, amenities, design, and service. The brand creates recognition, shapes guest expectations and differentiates the hotels from competitors.
Most hotel brands don’t directly own the hotels but rather engage in management agreements, franchising or licensing arrangements in return for a fee and adherence to brand standards. This asset-light strategy spreads risk and enables rapid growth. Marriott, Hilton and Hyatt are prime examples of brands largely relying on this model.
Franchising
This is the most prevalent partnership structure, used by powerhouses like Marriott, Hilton and Hyatt to fuel rapid growth. Franchisees pay an initial fee and ongoing royalty payments for the licensed use of globally recognized brands, reservation systems, marketing campaigns, loyalty programs and other services.
While day-to-day operations are handled independently, franchises must adhere to brand standards around things like decor, amenities and guest experience. For owners, the trade-off of less autonomy brings powerful distribution and operational efficiencies.
Management agreements
Under these contracts, hotel owners engage branded management groups to operate properties on their behalf. Services typically span marketing, branding, reservations, procurement, human resources and accounting. Remuneration models include base + incentive fees generating around 2-7% of total revenue for operators.
Contracts run 10-15 years on average and brands often secure an option to purchase the asset outright. While owners retain ownership control, brands still influence certain property elements to align with portfolio standards.
So why choose big brands? Recognition, scale and access to global reservation systems are compelling advantages, especially alluring for independent conversions. Consolidation will likely only accelerate this trend.
Still today over 66% of hotels worldwide remain independently operated. For owners prioritizing distinction, character and local market connections over distribution reach, independence endures as a viable route.
What are chain hotels? different types of chain hotels
Simply stated, a hotel chain brings multiple lodging properties together under the umbrella of common branding, standards and marketing. Chain hotels are comprised of multiple properties of the same brand located in various geographical areas. For travelers, chain hotels provide the reliability of knowing what standard to expect when booking across the brand’s locations.
Chains allow hotel brands to grow rapidly, penetrate new markets while benefiting from economies of scale regarding purchasing power, distribution, marketing and back-end technology. On the other hand, hotel groups describe companies that own a collection of multiple hotel brands.
Among branded hotels, the main classifications include:
Full-service chains
These range from luxury resorts to business-focused convention hotels. Guests can expect loads of amenities like multiple restaurants, pools, event venues, room service and concierge support. Staffing levels run high and properties skew towards the polished and professional. Think brands like JW Marriott, Hilton and InterContinental.
Select service chains
Offering a more streamlined service model, these hotels focus amenities on the basics like comfortable rooms, internet access and breakfast. You’ll find options like Courtyard by Marriott, Holiday Inn Express and Best Western Plus positioned as “essential-plus”, nestled between limited service and full service.
Boutique chains
BYO-personality is the mojo here with offbeat interior design, hyper-social lobbies and locally-rooted perks setting the vibe. Size skews intimate. You’ll often find collections of independently-owned properties aligned specifically by aesthetic over amenities. Examples include Kimpton, Ace Hotels and Canopy by Hilton.
Resort chains
Lush grounds, recreational facilities and programming come standard at these properties catering primarily to leisure travellers seeking an all-inclusive convenient escape. Expect beachfront, ski or golf resort settings along with family-friendly amenities galore. Brands like Club Med, Sandals and Atlantis dominate here.
Extended stay chains
When overnight turns into a week or month, amenities and service shift to suit long-duration guests. In-room kitchens, laundry units, discounted weekly rates and easy access parking make life smooth. Brands specializing in this niche include Staybridge Suites, Candlewood Suites and Hyatt House.
Hotel Industry Consolidation: What Does Hotel Industry Consolidation Mean For Travellers And Hoteliers?
No question about it – consolidation has dramatically concentrated power among a cluster of hotel mega-chains. While the multi-brand nature of conglomerates creates an illusion of consumer choice, competition has objectively diminished.
Waves of mergers and acquisitions amongst major hospitality players are fueling hotel industry consolidation. Consolidation enables hotel groups to expand their brand portfolios to cater for broader market segments and capture greater market share.
As a result, a handful of hospitality giants have emerged owning a vast array of hotel brands. Smaller brands struggle to compete, facing high barriers to entry. However, industry consolidation also provides tremendous career opportunities within mega hotel groups.
The pros:
- Global scale yields negotiating power and cost efficiencies
- Loyalty programs drive substantial guest retention
- Big data & analytics strengthen decision-making
- Highly professionalized training develops talent
The cons:
- Reduced competition enables rate hikes and fee creep
- Individuality suffers under rigid brand standards
- Staff face grueling routines with little job variation
- Heightened rivalry across sister brands drives stress
- Interestingly, increased dominance from chains seems to have fueled a resurgence for
- independents leveraging distinctiveness. Boutique and lifestyle hotels now represent over 50% of properties in development pipelines.
Opportunities exist for independent hotels at both ends of the pricing spectrum, where personalized experiences trump scale efficiencies.
Top hotel groups: Key facts and stats of leading hotel brands in 2024
Several hospitality behemoths lead the hotel industry today by number of rooms and properties under their brand umbrella.
Marriott International is the world’s largest hotel company, encompassing hotels spanning from luxury to economy. Hilton, IHG, Accor and Wyndham also rank amongst the top five by properties and rooms.
Key hotel industry statistics 2024
- Total number of hotel rooms: 18+ million globally
- Projected industry value 2024: $540 billion
- Global hotels counting 10+ rooms: 700,000+
- Hotel rooms in construction pipeline: 3+ million
- Direct hotel employees globally: 25+ million
Below are the 10 largest hotel chains, providing an overview of their brand portfolio diversity, properties, geographical reach and statistics.
#1. Marriott International Inc. Brands
Most extensive hotel portfolio globally from luxury to economy properties. Unmatched scale provides vast training & growth opportunities.
- Properties: Over 8,700
- Locations: 139 countries
- Brands: 40
- Rooms: 1.5 million+
- Employees: 130,000
- Revenue (2022): $20.4 billion
- Loyalty Program: Marriott Bonvoy
- Development pipeline: Over 500,000 rooms
The world’s largest hotel group remains at the forefront of the industry by continually expanding its unrivaled portfolio of brands. Following its 2016 acquisition of Starwood Hotels, Marriott now spans all segments from luxury to premium selects.
Flagship brands include:
Luxury: Ritz-Carlton, St. Regis, W Hotels
Premium: JW Marriott, Sheraton, Westin
Select Service: Courtyard, Aloft, Element
Extended Stay: Residence Inn, TownePlace Suites
An innovative leader, Marriott recently debuted home-sharing platform Homes & Villas and new lifestyle brand Moxy, while its Bonvoy loyalty program soared past 173 million members in 2022.
#2. Hilton Worldwide Holdings Inc. Brands
Iconic multi-brand group offering exceptional training & benefits. Wide range of segments from luxury to focused-service.
- Properties: 7,000+
- Locations: 122 countries
- Brands: 22
- Rooms: 1 million +
- Employees: 420,000
- Revenue (2022): $8.0 billion
- Loyalty Program: Hilton Honors
- Development pipeline: 400,000+ rooms
Hilton remains a hospitality powerhouse nearly a century after its founding in 1919. Its portfolio appeals to virtually all traveller segments under brands like Waldorf Astoria luxury residences, DoubleTree by Hilton mainstream hotels, and Hampton by Hilton budget-friendly accommodations.
Vast global scale aside, the company is also one of the industry’s most admired employers thanks to strong training programs, diversity initiatives like its Open Doors pledge for refugees, and flexibility offerings like remote work and sabbaticals.
#3. Intercontinental Hotels Group PLC Brands
Global hotel giant providing strong training and inclusive work culture across portfolio.
- Properties: 6,000+
- Locations: 100+ countries
- Brands: 17
- Rooms: 880,000+
- Employees: 325,000
- Revenue (2022): $3.89 billion
- Loyalty Program: IHG Rewards
- Development pipeline: 268,000 rooms
Despite its recent sale of voco, Kimpton and Regent brands, IHG retains an enormously valuable portfolio of both established and upscale brands. Flagships like InterContinental Hotels & Resorts in the luxury segment and Holiday Inn Express in midscale drive consistent profits thanks to high guest loyalty.
Rapid growth in underpenetrated markets like China positions the company well for future expansion while a strategic focus on expanding its luxury footprint signals more acquisitions could be on the horizon.
Meanwhile, first-of-their-kind brand concepts like EVEN Wellness cater to shifting demand with a hotel experience designed entirely around healthy choices.
#4. Wyndham Hotels & Resorts
Renowned as the world’s largest hotel franchisor. Diverse economy portfolio supplemented by upscale brands.
- Properties: 9,000+
- Locations: 95 countries
- Brands: 24
- Rooms: 810,000+
- Employees: 13,900
- Revenue (2022): $1.60 billion
- Loyalty Program: Wyndham Rewards
- Development pipeline: 228,000 rooms
Franchise giant Wyndham commands an enormous midscale and economy footprint across the Americas and Europe. The 2018 acquisition of La Quinta instantly boosted its U.S. scale while also positioning its premium brands like Trademark for growth.
Wyndham Rewards loyalty program now exceeds 95 million members, providing a goldmine for driving repeat reservations across its portfolio.
Flagship brands include:
Luxury: Dolce Hotels & Resorts
Upscale: Wyndham Grand
Midscale: Wingate, La Quinta
Economy: Super 8, Howard Johnson
With over 20 brands ranging from luxury to budget, Wyndham has opportunities to suit just about every traveler – and hotelier – looking for scale, distribution and operational efficiencies.
#5. Accor Hotels
Europe’s largest hospitality group. Acquisitions expanded brand portfolio spanning luxury to economy plus extensive lifestyle brands.
- Properties: 5,300+
- Locations: 110 countries
- Brands: 40+
- Rooms: 777,000+
- Employees: 240,000
- Revenue (2022): $2.6 billion
- Loyalty Program: Accor Live Limitless
- Development pipeline: 300,000 rooms
Paris-based Accor brings its signature French hospitality flair to a vast spectrum of luxury and lifestyle hotels. The group has aggressively expanded its global footprint, snapping up storied brands like Fairmont, Raffles, Swissôtel, and sbe Entertainment Group.
Alongside proven midscale properties like Novotel and Mercure sits Accor’s fast-growing collection of distinctive brands like SO/, Mondrian, and Hyde. Meanwhile, Accor Live Limitless rewards program keeps guests hooked with unique lifestyle experiences.
With historic European brands and fresh lifestyle concepts, Accor straddles heritage and innovation. Add in strategic partnerships with hotel giant Huazhu Group in China along with co-working space provider Wojo and you have a company charging towards the future.
#6. Choice Hotels International INC
- Properties: 7,000+
- Locations: 40+ countries
- Brands: 12
- Rooms: 570,000+
- Revenue (2022): $1.4 billion
- Development pipeline: 1,800 hotels
Choice leads the midscale hotel space with proven flagships like Comfort Inn and Quality Inn driving impressive profit margins through tightly optimized operations. Strategic focus areas like corporate travel, leisure destinations, and international growth rack up results– for example, milestone openings of both its 1000th property in Europe and 500th Comfort brand hotel in the LatAm region occurred in 2021.
Guest loyalty also remains paramount at Choice thanks to initiatives like personalized rewards promotions and loyalty bonuses to keep business travelers coming back.
#7. Huazhu Group
China’s largest hotel group. Booming domestic travel enabled huge nationwide growth across multiple economy brands.
- Properties: 8,000+
- Locations: 17 countries
- Brands: 14
- Rooms: 829,000+
- Revenue (2022 revenue): $805 million
- Development pipeline: 2,950 hotels
Already China’s largest hotel group, Huazhu has set its sights on becoming one of the top multinational chains in Asia and beyond. Its three main brands give it strong positioning: HanTing Hotels in the economy segment; Hi Inn targeting young budget travelers; and Joya serving the upscale market.
Rapid expansion plans call for quadrupling its international hotels including recent select openings in Singapore and Thailand. Partnerships with Accor and Sunac China cement Huazhu’s ambitious global growth strategy.
#8. Indian Hotels Company
- Properties: 220+
- Locations: 4 continents
- Brands: 22
- Rooms: 33,000+
- Revenue (2022): $630 million
- Development pipeline: 50+ hotels
South Asia’s largest hospitality company, IHCL is also one of the region’s most respected employers thanks to its Tata leadership commitment to sustainability and social conscience. With luxury flagships like the iconic Taj Hotels and growing portfolio of Ginger budget hotels and amã Stays & Trails homestays, this Mumbai-based powerhouse appeals across the spectrum.
Strategic priorities like expanding brand footprint in North America, consolidating market share in India, and driving digital innovation paint the picture of a forward-focused company ready to think big.
Discover legendary properties like The Taj Mahal Palace ranked by Condé Nast Traveler among the Top 10 City Hotels in India.
#9. Radisson Hotel Group
Rapidly growing hotel giant following recent acquisitions and openings further cementing global footprint.
- Properties: 1,700+
- Locations: 120 countries
- Brands: 8
- Rooms: 100,000+
- Revenue (2022): $967 million
- Development pipeline: 200,000+ rooms
This Brussels-based company has undergone major restructuring including a rebrand from Carlson Rezidor Hotel Group to Radisson. The new strategic roadmap has an intense focus on the US, specifically targeting massive expansion of its Radisson Hotels and Radisson Blu brands along with fresh lifestyle concepts like Radisson RED.
Sustainability is also a key pillar going forward with commitments covering everything from responsible construction and renovations to eco-labelled hotel linens.
#10. Louvre Hotels Group
- Properties: 1,600
- Locations: 54 countries
- Brands: 7
- Rooms: 150,000+
- Revenue (2022): $661M
- Development pipeline: 300 hotels
Paris-based Louvre made two game-changing acquisitions in recent years, snapping up Sarovar Hotels and Resorts in India to catapult its South Asia footprint as well as Spain’s Hoteles Plateno. Add in an asset-light growth strategy and you have a lean expansion machine powering 10% annual growth in hotel numbers.
Flagships like Golden Tulip midscale and luxury Campanile hotels drive results while innovative offerings like LG’s Smart Room feature Amazon Alexa assistant and mobile keyless entry through an app. Talk about hospitality innovation!
How to pick the right hotel chain for your hospitality career
With mega-brands dominating hospitality, scoring a job with an industry titan seems a savvy career move for aspiring hoteliers. Hilton, Marriott, and others promise everything from celebrity clientele to exotic transfer opportunities.
However, before committing, carefully vet potential employers for fit. Between corporate bureaucracy, narrow job scopes and mass layoffs when times get tough, the grass may seem greener working for a giant chain.
Here are key considerations as you evaluate hotel companies:
Growth trajectory
Analyzing the expansion strategy of hotel groups offers clues to internal promotion prospects. Dynamically growing portfolios (I’m looking at you, TRU by Hilton with 200+ pipeline US hotels) suggest far greater upward mobility than static or shrinking ones.
Employment reviews
Anonymous feedback-sharing sites like Indeed and Glassdoor offer genuine insights around corporate culture, leadership confidence, work/life balance, and more – so use them. Watch for red flags like micromanagement or high turnover rates.
Location variety
Global footprints like IHG span over 100 countries. If exploring far-flung destinations inspires you, prioritize broadly dispersed hotel groups boasting an international menu of placement possibilities.
Staff support
Progressive policies and practices around compensation, benefits, well-being, diversity, and sustainability speak volumes about an employer’s compassion. Generous parental leave, fertility benefits, reduced single occupancy fees, and easy room point transfers for staff travel all make a difference.
As the world’s largest hotel operator, Marriott International offers unmatched global opportunities combined with a people-first values-based culture reflected in supportive perks like employee sabbaticals. No wonder Marriott ranked #16 among Fortune World’s Most Admired Companies in 2023!
The future looks bright for hospitality pros committed to continual skill building in areas like emotional intelligence, creativity, and cognitive flexibility regardless of employer.
Mega-brands driving career opportunities in hospitality
The expansive growth across hotel companies provides tremendous opportunities within hospitality globally. By pursuing an education specializing in hospitality, whether at the undergraduate, graduate, or executive level, you gain key skills and global connections to reach your career aspirations. As hospitality rebuilds, explore how you can positively impact this dynamic industry.
Not sure how to get started? Here are 8 lucrative career paths in the hospitality and tourism industry and how to choose a culinary and restaurant management course.
Whether at an international luxury resort or a charming boutique property, every hospitality environment shapes skills, insights, and connections to equip your future success.
Now confidently go explore this dynamic world of hotel empires and carve out your career niche! Check-in anytime at EHL Insights as your informational concierge along the journey.
Credit EHL Insights
Feb 19 2024
Taylor Swift is Coming - Is Your Hotel Ready for It? - By Kelly Johnson
Are you ready to dazzle your Taylor Swift fans with a fantastic experience at your hotel? As we approach her much-expected concerts in Australia and Singapore, hotels must prepare for the surge in demand, deliver exceptional customer service, and prioritize guest satisfaction.
Everything Taylor Swift touches turns to gold. In 2023, her tour stopped in 20 North American cities that broke records and was even said to boost the economy by $4.6 billion. Fans flocked to these cities in droves, which positively impacted the local economies. Naturally, Swifties must eat, utilize transportation, and of course, book accommodations. It’s no wonder that her concerts are creating a hospitality phenomenon. In Chicago, hoteliers experienced the “TSwift Lift” firsthand, as the first two days of Swift’s shows resulted in record hotel bookings for the city, an average of 44,383 per night. The TSwift Lift is real and hoteliers quickly realized they’d be in trouble if they weren’t well prepared for a fully booked property. Let’s discuss some ways to prepare and avoid bad blood with the Swifties as they descend upon APAC in the coming weeks.
According to a recent article on STR’s Data Insights Blog, Taylor Swift’s impact on hotel room revenue in the US is remarkable. The article highlights that her tour has already contributed to a staggering $208 million in hotel room revenue. By drawing in thousands of fans to each tour stop, Taylor Swift’s presence creates a surge in demand for hotel accommodations, resulting in increased revenue for hotels in those destinations. Pittsburgh and Nashville doubled their RevPAR from shoulder weeks, while eight markets overall reported RevPAR premiums of 50 percent or higher. It was anything but a cruel summer for the cities on the tour lineup.
How Hotels Can Capitalize on the Positive Impact of Taylor Swift’s Tours?
Hoteliers know all too well how important it is to provide the best guest experience. Guests are more likely to leave a review when they have an experience to remember – both positive or negative. This means that hotels need to be prepared to handle the influx of fans and provide exceptional customer service to ensure a positive experience for concert-goers. Many hotels impressed guests by going above and beyond by offering pop-up shops with Taylor Swift merchandise, specialty menu items at on-site restaurants, or decorating with a Swift theme throughout the hotel. From check-in to concierge services, hotel staff must be attentive, efficient, and accommodating to meet the heightened expectations of Taylor Swift’s enthusiastic fans.
In the era of online reviews and social media, guest reviews hold major importance for hotels. This is a delicate topic because we all know that guest reviews hold a lot of weight during the booking process. And how do you get your guests to leave a review? The answer isn’t as tough as you think – just ask for it. In a recent study, guests were asked why they didn’t leave a review and the answer was surprising – they didn’t know where to leave it or were never sent a survey. TrustYou has an easy solution! Prepare and send out a post-stay survey to your guests. Positive guest reviews can boost a hotel’s reputation and attract more visitors in the future. Conversely, negative reviews can have long-lasting consequences. Too busy to respond to all of those reviews? Shake it off with TrustYou’s responseAI, which allows you to quickly respond to guest reviews in the tone and language that fits your brand. You’ll thank us later.
Taylor Swift’s tours have proven to be a force that extends beyond the music industry, leaving a lasting impact on the hospitality and hotel industry. With her Eras Tour breaking records and generating significant revenue for hotels, the influence of her tours cannot be underestimated. By focusing on revenue growth, customer service, and the importance of guest reviews, hotels can leverage the “Taylor Swift Effect” to their advantage.
To learn more about TrustYou and all the ways we help make guests happy, reach out here.
Credit: HNR Hotel News
Feb 12 2024
Hotel Brand Overload: The Coming Shakeout
The rise of brands has been the dominant trend in the global hotel industry over the past four decades. During this time, many hotel owners sought brand representation, while most brands themselves exited the business of owning or operating hotels.
Starting with some three hundred brands at five price points, the hotel chains have repeatedly created brands that subdivided those price points.
With brands now numbering over a thousand, hotel owners and guests face a “sea of sameness” among many of the brands in today’s markets. In some cases, one brand is only marginally distinguishable from another, and the challenge is to discern the differences.
One outcome of this growth is greater bargaining power for independent operators who can use social media to attract guests. Another outcome is a search for additional brand concepts, including lifestyle brands.
To continue growing, brands will increasingly have to use technology and also apply research and development to assess their brand concepts. In sum, brands must find a way to differentiate themselves and develop “tribes” of customers who identify with particular brands.
The past fifty years have seen a power shift between hotel owners and hotel brands at all levels. In the late 1970s, owners had the power and brands that didn’t own their own hotels were begging for business. Today, brands have the power, with owners begging to affiliate. One manifestation of this power shift is the presence of an “area of protection,” also known as a “radius clause,” in hotel management and franchise agreements. Thirty years ago, the establishment of an area of protection was more the rule than the exception. Today, it is more the exception than the rule.
Two factors underlie this power shift—increased room supply, and consolidation of numerous brands under one umbrella. The approximately 10 million hotel rooms that were available in 1990 had grown to about 17 million rooms by 2020. In 1990, most firms held a handful of brands in their portfolios, typically fewer than 10, but today Hilton carries 19 brands, Marriott 32, Accor 43, Hyatt 29, and IHG 19, for a total of 113 brands among the top five firms. While many brands are well conceived and reasonably successful, others are struggling.
In an earlier era, a brand would report its financial ratios by citing occupancy percentage, room rates, and revenue per available room. Those ratios still underlie the brands’ success or failure, but the key measure- ments today are the number of rooms that a brand represents and growth in that number. To give just one example, early in 2024 Marriott reported some of the following outcomes. In that report, its system included 9,000 properties and more than 1.6 million rooms. In 2023 Marriott reported adding a company record 91,000 rooms. As part of its 2023 growth, the company acquired the City Express brand, which added 150 properties and 17,500 rooms. Other publicly held hotel companies can make similar reports to shareholders.
This power shift from owners to brands has led to brand bloat, brand blurring, and brand burden, reflected in higher fees. As I discuss below, this bumper crop of brands has led to a “sea of sameness” that threatens the viability of existing brands, confusing guests as well as owners. I foresee a battle between brands and hotel owners in the years ahead, with brands demanding stricter adherence to brand standards and owners holding brands account- able for the return on brand investment—a coming shakeout in which some owners and brands will part ways and some brands will go extinct. In this article, I discuss how we got here, where we are, and where we are headed.
Click here to download the complete article.
Credit: HNR Hotel News
Feb 9 2024
Tips for maintaining mental health and wellness in hospitality
In the dynamic and demanding world of hospitality, where late nights and long hours are the norm, maintaining good mental and physical health is essential for your long-term success and well-being.
For the millions of people employed worldwide across the industry, it often becomes a way of life and a community as much as it is a career in Hospitality. Working with a great team to deliver incredible experiences for customers under time pressure can be exhilarating and satisfying. However, it’s also essential to maintain a healthy balance between work and rest.
For Hospitality Management students and aspiring professionals entering this fast-paced industry, the importance of monitoring and prioritising your mental health cannot be overstated. To make sure you stay well under pressure, we’ve compiled some valuable tips essential to achieving a healthy work-life balance, avoiding or correcting a toxic workplace, and navigating the challenges of an industry that never sleeps.
But first, let’s take a quick look at a few key points illustrating why mental and physical health in hospitality is key to having a long and successful career.
Understanding the challenges of the Hospitality industry
Ask any restaurateur or hotelier; the hospitality industry is famous among professionals for its intense nature. From managing high-stress situations in the kitchen to dealing with customer expectations, professionals often find themselves under pressure. Plus, many hospitality businesses operate for long hours, which means employees are at risk of interrupted sleeping patterns. Sleep deprivation is linked to all kinds of physical and mental illnesses, from diabetes to depression. Acknowledging these challenges and risks is the first step toward fostering a culture of mental well-being in your workplace.
Recognising the signs of stress and burnout
Long hours and irregular schedules can take a toll on the mental and physical health of even the most experienced hospitality professionals. It’s crucial to recognise signs of stress and burnout early on, particularly among your staff if you happen to be a manager. Encourage self-awareness among your colleagues and employees, keep an eye out for the red flags of unhealthy workplace culture, and seek support when you notice symptoms in yourself.
When you have a balanced approach to work and life, your hospitality career can be incredibly rewarding, dynamic and sustainable. Follow these tips to ensure you have a long and healthy career ahead of you.
Strategies for managing stress in a Hospitality workplace
1. Build self-care into your schedule
In an industry where taking care of others is a priority, it’s easy to neglect personal well-being. Your health and wellbeing is important; remember to prioritise daily acts of self-care, including adequate sleep, proper nutrition, spending time with loved ones and regular exercise. Small, consistent efforts can significantly impact your overall mental health over time.
2. Effective time management
If you’re feeling overwhelmed and you keep missing important dates or losing track of tasks, you might benefit from the use of some organisational tools and management strategies. Develop effective time management skills to balance work and personal life, such as setting realistic goals, prioritising tasks, and learning to delegate when necessary. Efficient time management strategies can reduce stress, particularly if you’re not someone who’s naturally organised.
3. Building a supportive network
Don’t fall into the ‘I’ll be fine if I manage it myself’ trap. If you’re struggling, reach out to trusted colleagues, managers or peers. If you’re still studying hospitality, use the university network to build a support system. Professors, colleagues, and peers can offer valuable insights, share experiences, and provide emotional support. Connecting with like-minded individuals fosters a sense of community and solidarity, and people around you may be able to recommend strategies or services that can help.
Promoting a healthier work-life balance
4. Establishing work-life boundaries
Although this may be difficult in some roles, such as for a Head Chef, it’s really important to set clear boundaries between work and personal life in hospitality. Although your workmates often naturally become your friends in hospitality, make sure you set aside time for your friends and family outside your working community. Try to avoid bringing work-related stress home and create dedicated time for relaxation and leisure activities. This separation is essential for maintaining a healthy work-life balance.
5. Continuous learning and growth
Choose a role, workplace or career where you can grow and work towards your own future. It’s important for your mental health to feel a sense of professional and personal development, to have your own career goals and to be working towards these ambitions. Continuous learning not only enhances professional growth but also allows for better adaptation to changes, reducing the impact of stressors.
6. Seeking professional help when needed
It’s important to recognise when professional help is necessary. If stress and mental health challenges persist over time regardless of your circumstances, you could benefit from seeking professional support. Many universities offer counselling services that can provide assistance and guidance, and in Australia, everyone is eligible for some amount of subsidised therapy.
Avoiding or correcting toxic work environments
7. Recognise the ‘red flags’ of a toxic or exploitative working environment
Stress can also be a natural and healthy response to working in a toxic or exploitative environment. In this case, stress is a clear message from your body to leave an unsafe situation, and you should pay close attention to it. No hospitality professional should feel obligated to endure abusive behaviours from staff, employers or customers, such as shouting or threats, discrimination, withholding or docking of pay, harassment or abuse, personal insults, or the neglect of employee mental or physical health. The first step to understanding if your stress is the natural response of your body telling you to leave an unsafe environment is to recognise these red flags of a toxic workplace.
8: Leave, fight or fix a toxic work environment
If you’ve come to the realisation that your work-related stress is a natural response to a toxic environment or a workplace offering bad conditions, you have three options for correcting this situation, depending on your role within the business.
- Consider leaving and finding work in a better environment. In fact, high turnover is a particular issue and a red flag in hospitality and employers should take note.
- If you’re committed to a long-term relationship with an employer, but you feel you’re getting a raw deal in pay or conditions, you can approach your employer to ask for improvements directly, join a union or organise collectively with other professionals in your industry to fight for better conditions.
- If you’re a hospitality manager, hotelier, restaurateur or business owner, it’s your job to take care of employees and to provide a happy and healthy work environment in your establishment. If you notice high rates of employee turnover or other signs of employee dissatisfaction, it may be time to improve your workplace conditions or pay. After all, there’s ample research demonstrating that happy employees are more productive and better for customers and for your business.
The world of hospitality may be fast-paced and demanding, but with the right strategies and a supportive workplace, it’s certainly possible to stay happy and healthy. By acknowledging the unique challenges, developing effective coping mechanisms and challenging bad workplace practices, hospitality professionals can work together to foster a culture of well-being in the industry that never sleeps.
Credit eHotelier
Jan 19 2024
Google’s removal of third party cookies will punish independent hotel marketers
By Max Starkov
Hospitality & Online Travel Tech Consultant
This month Google announced it was removing its support of third-party cookies for Chrome users. Why is Google doing this? Not purely out of user privacy concerns and government regulations. The search engine giant simply no longer needs third-party cookies since it already has the largest first-party database in the world and, together with Facebook, already controls more than 50% of advertising spend worldwide.
Google and Facebook have built humongous “walled gardens” with billions and billions of logged in users and their first-party data and they know exactly who their customers are.
What does the elimination of third-party cookies mean for hotel marketers?
The privacy moves by Google, Firefox and Apple, as well as government privacy regulations like EU’s GDPR and California’s CCPA underscore the importance of first-party data, which allows hotel marketers to establish direct relationships with their potential, past, present and future customers.
Will the elimination of third-party cookies affect the major hotel chains like Marriott with its Everest-sized first party data derived from its 192 million loyalty membership? Or Expedia with their 185 million reward members? Hardly.
So who will be the biggest losers from the elimination of third-party cookies? Independent hotels, midsize and smaller hotel brands and chains that do not have well-structured, well-centralized first-party data and the technology to manage and utilize it across the organization, including in marketing, customer service, operations, and revenue management.
First-party data in hospitality is the customer data (past guests, website users, opt-in email subscribers, lists of corporate travel managers, meeting planners, wedding and event planners, SMERF group leaders the property has been doing business with or at least in communications with, etc.) that comes from the PMS, CRS, WBE, CRM program, from the property’s website, opt-in email sign-ups, even customer lists sitting on laptops of sales and marketing personnel.
How do you manage your first-party data?
The answer is very simple: by investing in CRM technology and guest appreciation/reward program.
The CRM system allows the independent hotel to collect, store and manage all of the property’s first-party customer data – online and offline data – and have it cleansed, de-duped, enriched and appended automatically in real time thus creating “a single source of truth” of the customer. The CRM data feeds can be used in guest communications, guest services, CRM communications and marketing automation and drip marketing campaigns in the pre-, during- and post-stay, email marketing, personalization and digital marketing, loyalty marketing initiatives, etc. to improve dramatically the customer experience, efficiency and profitability.
Industry examples of CRM technology are Cendyn CRM, SHR Allora CRM, Revinate CRM, etc.
Credit: hospitalitynet
Jan 18 2024
How Google's Elimination of Third-Party Cookies Could Affect Hotel Marketers
Digital Marketing Expert Encourages Hoteliers To Engage Agency Partners, Trusted Sources.
The “Cookie Apocalypse” is upon us, and hotel marketing and distribution experts should prepare for what’s to come, according to one digital marketing expert.
In early January, Google announced it’s moving forward with removing third-party internet cookies for Chrome users. These plans have been in the works for years; it was originally set to take place in 2020 but was postponed due to complaints by the ad industry and privacy advocates.
Just 1% of Chrome users, about 30 million people, are being affected now through a test rollout. Google plans to eliminate cookies for all users by the end of this year.
A move like this could potentially cause a shake-up for hoteliers’ digital marketing strategies.
Speaking during an interview with the Hotel News Now Podcast Network, Tim Peter, founder and president of Tim Peter & Associates, which provides strategy and digital marketing consulting services, said this change is driven primarily by the European Union and privacy advocates in the U.S.
“This is really an attempt to reduce the amount of information that advertisers, not just Google but all advertisers, can gather about people,” he said.
Peter said the hotel industry might not see a sizable change right away. That’s not to say, however, that hoteliers shouldn’t take some proactive steps now.
“What’s really key is paying attention to the effectiveness of your advertising and of your marketing channels to see if you notice any difference in what’s being reported,” he said. “The particular challenge here is, in very, very early tests, it looks like the problems that people are seeing at the moment are not with how messages are targeted to users and more about the ability to attribute the effectiveness of those ads to the people they’re showing them to.”
Peter said the biggest mistake hotel marketers and distribution and revenue strategists could make right now is having a knee-jerk reaction.
“You want to work with your agency partners, you want to work with some trusted resources to say, ‘What’s actually happening here?'” he said.
Taking the time to understand whether a decline in performance is related to a browser tracking issue or due to a specific marketing campaign suddenly not performing well is important, he said.
In Peter’s experience, hotel marketing campaigns don’t tend to fall off a cliff all at once but rather as a gradual decline over time.
“If you see a big drop-off all at once, especially as we get later in the year when [Google] rolls this out to a wider set of people, that’s probably more a sign of attribution and you want to take a chance to look at that,” he said. “If your top-line numbers are moving in a big way, that’s a bigger problem and you probably want to react a little more quickly.”
Hoteliers often have to operate with the mindset of doing more with less, and in the future less data could be available on groups of customers due to this “Cookie Apocalypse,” he added.
For Hotel News Now’s full conversation with Tim Peter, listen to the podcast above and subscribe to the Hotel News Now podcast on Apple Podcasts, Spotify or wherever you find podcasts.
Credit: Hotel News Now
Jan 4 2024
Reciprocal visa-free policies fuel surge in business travel between Malaysia and China
Malaysians can enjoy 15 days of visa-free entry to China for business, holidays, or visiting relatives and friends, reciprocated by Malaysia offering a 30-day visa-free entry for Chinese citizens. This positive development aligns with the 50th anniversary of diplomatic relations between the two nations.
Mint Leong, managing director of Sunflower Holidays, disclosed that her company has secured several significant incentive groups from China, each exceeding 1000 delegates, scheduled to visit Kuala Lumpur from March 2024 onwards.
Additionally, Sunflower Holidays has also received numerous incentive inquiries for group sizes averaging 500, to popular destinations including Kuala Lumpur, Genting, Penang, Langkawi, and Sabah.
As for outbound groups to China, Leong shared that China’s weak renminbi and flight accessibility has generated interest from the Malaysian corporate sector for incentive travel, where corporates will start travelling from March onwards.
She added: “We are now seeking Chinese partners to promote off-the-beaten-track places such as Suzhou and Wuxi for both business events and leisure segments.”
At the state level, Penang Tourism and Creative Economy committee chairman Wong Hon Wai shared that there were plans afoot to organise roadshows with Penang’s industry players in China this year, aiming to further promote Penang as a business events and leisure destination.
Jan 4 2024
Vietnam aims to attract between 17 and 18 million international visitors this year
Vietnam’s tourism industry aims to attract between 17 and 18 million international visitors this year, according to the Vietnam National Authority of Tourism. The body estimates total tourism receipts will reach circa VND840 trillion (US$34.7 billion) in 2024, its representatives said at a press conference, according to a recent statement.
Based on figures in a report presented at the briefing, Vietnam welcomed 12.6 million international visitors in 2023, up 244.2 percent year-on-year. The 2023 figure represented about 70 percent of the 2019 number, the period before the onset of the Covid-19 pandemic. Total tourism revenue in 2023 was estimated at VND678 trillion.
Vietnam has a casino industry, but most venues are only open to foreigners.
The country’s main tourism source market last year was South Korea, which accounted for 3.6 million arrivals, followed by China, which supplied 1.7 million visitors.
According to Vietnam’s tourism authority, by the end of 2023, the country had 3,921 international travel businesses, an increase of 1,027 compared to 2022. The country was host to about 38,000 tourist accommodation establishments with an aggregate of 780,000 rooms. Among the venues, 247 were five-star hotels, offering in total about 80,896 rooms.
Jan 4 2024
Jumeirah Group to Invest in Its Brand and Double Its Portfolio by 2030
Jumeirah Group, the luxury hospitality company and member of Dubai Holding, has set out ambitious plans to double the size of its portfolio by 2030, building on its strength in the UAE and further expanding its portfolio into key global markets. Plans include upweighting its presence in Europe, leveraging its strong base in London, Capri, Mallorca and Geneva to acquire luxury properties in other major cities as well as exploring opportunities in the US. The Group will also look to capitalise on the strong growth potential of the Asia Pacific market to extend its current reach beyond its properties in China, Bali and the Maldives.
The growth plans are part of Jumeirah’s Mission 2030 strategy which will also see an evolution of the brand with a renewed focus on delivering distinct guest experiences and new ancillary businesses to complement its ultra luxury positioning. Launching in 2024, this will include the integration of wellness into the entire guest journey based on the principles of lifelong learning, longevity and inclusivity, as well as a re-imagined family experience with a focus on education, self-discovery, environmental stewardship, cultural immersion and the arts.
Katerina Giannouka, Chief Executive Officer of Jumeirah Group, commented: “The luxury landscape continues to evolve in response to consumer demand, particularly from younger millennial and Gen Z audiences, and as a brand we need to continually innovate to stay relevant. Mission 2030 is a strategic plan that is designed to evolve the Jumeirah brand from a regional success story to a global leader in ultra luxury hospitality. It focuses on four key areas – international expansion, brand and product development, operational excellence and ancillary business – with an overall aim to sustainably double the size of our portfolio by 2030 and enhance our brand experience to meet the diverse and evolving needs of our guests.”
Sustainability is integral to every aspect of Mission 2030 under the Group’s three pillars: Planet, People and Governance. With a focus on decarbonisation of operations, eco-conscious building design, strong governance on supply chain, diversity and inclusion, Jumeirah is especially committed to preserving biodiversity given the location of its hotels in fragile ecosystems.
The announcement comes after a busy year for Jumeirah Group with the acquisition of Le Richemond in Geneva, the completion of residences at the highly anticipated Jumeirah Marsa Al Arab in Dubai, the opening of Jumeirah Makkah – the Group’s first property in Saudi Arabia – and renovations at Jumeirah Dar Al Masyaf, Jumeirah Mina A’Salam, and Malakiya Villas, in Dubai.
Next year, Jumeirah Group plans to continue its growth trajectory alongside the planned opening of both Jumeirah Marsa Al Arab in Dubai and Jumeirah The Red Sea in Saudi Arabia, as well as Le Richemond in Geneva which is currently closed for a complete renovation.
Dec 19 2023
8 pricing strategies for hotels during the holiday season
The holiday season marks a period of increased travel, festive cheer, and heightened demand in the hospitality industry. For hotels, this time offers a golden opportunity to implement effective pricing strategies that not only cater to the surge in guests but also optimize revenue generation.
1. Dynamic pricing model
Implementing a dynamic pricing model allows hotels to adjust rates based on demand fluctuations. During peak holiday periods, consider adopting a revenue management system that factors in various parameters such as historical booking data, competitor pricing, local events, and even weather forecasts. By dynamically adjusting rates, hotels can capitalize on high-demand periods, maximizing revenue without deterring potential guests.
2. Tiered pricing and packages
Offering tiered pricing or bundled packages tailored for different guest segments is a savvy approach. Create attractive holiday-themed packages that include accommodation, festive meals, entertainment options, or exclusive amenities. This not only adds value for guests but also allows hotels to upsell services and capture diverse customer preferences.
3. Early booking incentives
Encourage early bookings by offering incentives such as early-bird discounts, complimentary upgrades, or exclusive perks for guests who confirm their reservations in advance. This strategy not only secures bookings but also helps in revenue forecasting and inventory management.
4. Limited-time offers and flash sales
Leverage the sense of urgency associated with the holiday season by introducing limited-time offers and flash sales. Use targeted marketing campaigns across digital platforms and social media channels to promote these time-sensitive deals, driving immediate bookings while creating a buzz around your hotel.
5. Flexible cancellation policies
While maintaining revenue is crucial, offering flexible cancellation policies during the holiday season can be a winning strategy. Providing guests with reassurance and flexibility in changing their plans due to unforeseen circumstances can encourage more bookings, as travelers often seek peace of mind when making holiday arrangements.
6. Value-added services
Enhance the perceived value of your offerings by including complimentary services or experiences. Consider adding complimentary breakfast, spa credits, local tour packages, or family-friendly activities, enticing guests to choose your hotel over competitors.
7. Targeted marketing and segmentation
Segment your audience based on demographics, interests, or past booking behaviors. Craft targeted marketing campaigns that resonate with specific audience segments. Tailoring promotions and content to cater to different guest preferences can significantly increase engagement and conversions.
8. Monitor and adapt
Continuous monitoring and analysis of pricing strategies and their effectiveness are vital. Regularly assess the impact of implemented strategies, gather guest feedback, and adapt your pricing tactics accordingly. Flexibility and responsiveness to market changes are key to optimizing revenue during the holiday season.
Summary
Implementing these pricing strategies effectively will position your hotel as a sought-after destination during this festive period while ensuring a profitable season ahead.
Unlock the potential of the holiday season and elevate your hotel’s revenue by deploying these smart pricing strategies tailored to meet the needs and expectations of your guests.
Not to forget you may offer Vouchers as well to attract potential guests during this peak festive season.
Source eHotelier
Dec 15 2023
Inspire to be cash flow positive by end of 2024: COO
Mohegan Inspire Entertainment Resort (pictured) in South Korea, which had a soft opening on November 30 for non-gaming amenities, is likely to be “cash flow positive” by the end of 2024, says Jody Madigan, chief operating officer of its promoter, Mohegan Tribal Gaming Authority.
He was speaking on Thursday during the earnings call for the United States-based group’s fourth-quarter fiscal results to September 30.
The first phase of Mohegan Inspire has been described as a US$1.6-billion project.
Mr Madigan stated he had been present for the launch, and that post-opening, there had been “good foot traffic on the weekends” at the resort, near Incheon International Airport.
The COO stated that he was “happy to report that our team performed flawlessly” for two large-scale events held at Mohegan Inspire shortly after opening.
Reviews – including on social media – had all been “raving about the quality of property, and the service of our team,” said Mr Madigan.
Raymond Pineault, chief executive of Mohegan Gaming, said in prepared remarks that the company – which has the bulk of its business in the U.S. – achieved adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) of US$399.9 million for fiscal-year 2023.
He said this was “the second highest in our 27-year history, compared with adjusted EBITDA for fiscal 2022 of US$403.9 million, which was the highest to date.”
The CEO added: “We continue to see growth in our digital gaming segment and with the recent soft opening of Mohegan Inspire on November 30th, our diversification efforts will further enable Mohegan [Gaming] to achieve strong results.”
The group’s chief financial officer (CFO), Carol Anderson, said on Thursday’s call that the company was not expecting to need further funding to “complete construction and development of the project” in South Korea.
“As previously announced, we agreed to make an additional investment of up to KRW155 billion, or approximately US$119 million in the aggregate, to fund costs to complete Mohegan Inspire,” she reiterated.
The CFO said that as of September 30, Mohegan Gaming’s total debt – excluding unamortised debt issuance costs and discounts – was US$3.27 billion, up US$176.2 million from the June quarter.
Mohegan Inspire formally applied “last week” for a permit to run gaming for a foreigner-only casino to be opened at the venue, and faces a “two-month” wait for approval, which might come between February 2 and 8, 2024, just before the February 9 to 12 lunar new year holidays in that country.
That is according to an official at the Ministry of Culture, Sports and Tourism – a public department with a role in overseeing the casino sector – in response to a GGRAsia enquiry.
Source： GGR Asia
Dec 13 2023
Should restaurants offer dynamic pricing?
A recent discussion on LinkedIn promoted this post. As a regular restaurant eater I have always been surprised that dining establishments are offering fixed pricing – rain or shine – that is the same every day of the week, every season, even on public holidays.
Why the same appetizer, salad or main dish cost the same on a Tuesday evening (super low demand at many restaurants) and Saturday evening (super high demand). At 6pm and 8pm? Or meal pricing for the last available table at the restaurant? The same questions for pricing for drinks and cocktails at the bar.
Travel consumers are used to paying different prices if travel booked at different times or paying premium for more coveted inventory. Ex. Airline seats booked in advance vs last minute or hotel rooms with sea view vs parking lot. So why not pay premium for the most coveted restaurant tables or most desired times at the restaurant?
Analytics can easily identify high vs low demand. F&B revenue management should start using dynamic rates, it’s no brainer!
At the minimum, F&B should introduce variable pricing using the simplest formula for differentiated pricing: Ex. Standard demand=100%; high demand=120%; low demand=90% of the standard price, etc. A simple, but effective variable pricing example from Australia was offered by Larry Mogelonsky, P. Eng., where restaurants offer prices that are 10% higher over the weekend and 15% higher on public holidays.
Happy Hour is variable pricing that typically involves selected items from the menu, not the full menu. Dynamic pricing is real-time pricing based on real-time demand plus customer data, which should come from the restaurant CRM and partially residing with the table reservation vendors like Open Table, etc. Ex. Why offer the same pricing to a regular patron and an out-of-towner who would never visit the restaurant again?
Variable pricing is a good start that any restaurant should have before implementing dynamic rates and before restaurant-specific RMS enter the sector. One such startup RMS (Restaurant Management System) vendor is DynamEat, offering dynamic pricing and Smart Menus technology. DynamEat is already live in some Radisson hotels and will soon be available for all the properties. All the concerns of the F&B management that clients won’t accept dynamic pricing were proven wrong.
Restaurant RMS improves profits and inventory management, as well as staff compensation and service delivery.
Just imagine what could be achieved by using an AI-powered F&B RMS and dynamic pricing based on real-time demand and real-time customer data derived from the restaurant CRM!
Source hospitalitynet
Should restaurants offer dynamic pricing? | By Max Starkov (hospitalitynet.org)
Dec 11 2023
Customer Service Excellence in the Luxury Segment: How to Stand out
In this article, we shine a light on:
- Consumer trends that are transforming the luxury segment
- The ten commandments of luxury brand service strategy
- Practical ways to build customer service excellence
- Relevant KPIs to measure customer experience in the luxury segment
The luxury sector is growing steadily and creating great opportunities for brands to enter the market or grow their audience. But it’s no longer all about being flashy and pricey, today’s luxury shopper is more influenced by personalization, innovation, conscious consumerism, and an emotional experience. So while today’s luxury industry is broader and more accessible than ever before, it’s also more challenging. To meet the high expectations of today’s discerning luxury buyers and stand out from the crowd, brands must achieve customer service excellence.
Business is booming again for luxury brands
In the last few decades, consumption in the luxury segment has increased considerably and steadily:
- In 1995, this industry had 90 million customers;
- In 2013, the figure rose to 330 million;
- Today, approximately 400 million people make purchases of this kind.
- 60% of these people say they are willing to increase their spending in this
- segment if they find options they like.
Post-pandemic, the global luxury industry recorded sales of €1.15 trillion in 2021 and it continued to grow by around 20% in 2022, with the same growth expected this year. Luxury hospitality, luxury cars, and personal luxury goods represent over 80% of the total market.
Plus, the industry is evolving in response to changing consumer demands:
- Millennials and GenZ shoppers created all of the growth in the luxury sector last year.
- Trends like quiet luxury and save-to-splurge spending habits are growing.
- Socially responsible, sustainable luxury purchases are more desirable than ever.
- Technology has opened the doors for greater personalization and made luxury shopping available to nearly everyone on the planet.
It’s a great environment for business. But it’s not for every brand. As the consumption ticket has grown, so has the competitiveness. There is a large audience out there that spends and invests in the luxury segment, but brands can only get a slice of the pie if they achieve customer service excellence.
The value of luxury customer service
To understand the impact of customer service on business success, we’ll go to the experts who created EHL Advisory Services’ Definitive Guide to Service Excellence, which states:
“According to a study by McKinsey, 71% of buying experiences are based on how customers feel they are being treated. This means that a large percentage of business success stems from how a customer is made to feel, not just how happy they are with their purchase or service.”
Indeed, if around 70% of all shopping experiences are based on how the customer feels treated in all industry sectors. Imagine how much more important it is for an audience that is making a significant expenditure and seeking status, exclusivity, and unique experiences.
In fact, 89% of luxury customers consider the quality of service as important as the product itself.
Given this context, we’ll deconstruct the luxury segment to analyze its key principles and the practical actions you can take as a leader to achieve Customer Service Excellence.
The decalogue of the luxury segment: 10 pillars of service strategy
Before getting into practical matters, you should assess whether you are considering all the pillars of Excellence in Customer Service in the luxury segment. We can summarize the essence and challenges of the luxury industry in 10 major principles that you can use as a conceptual foundation for your future actions.
1. The luxury consumer is not just anyone
Luxury consumers represent approximately 5% of the world’s population, so using general demographic data to try to understand them is a serious mistake. Conducting focus groups, cross-referencing data among your leads, and other more focused measurement methods are key.
2. Reputation is your primary asset
A Harvard Business Review report found that a decrease of one star in the average rating on review sites like Yelp can result in a 5-9% reduction in sales for luxury-associated businesses, such as Michelin-starred restaurants. And bad reviews can damage the reputation of a luxury brand for a long time. A study by ReviewTrackers found that 94% of consumers avoid a brand with bad reviews. This is a general statistic; imagine how much worse it is within a luxury niche!
3. Innovation and exclusivity go hand in hand
It’s not about having the most expensive furnishings to receive your clients or including materials like gold or diamonds in certain products. That’s only ostentation and barely a small part of exclusivity. As Suzanne Godfrey, an independent brand and marketing consultant and lecturer at EHL, once said, “Luxury brands are leaders, not followers”. Today, luxury users perceive a brand as exclusive if it offers different options, is at the forefront of the market, and has innovation as its mindset.
4. Quality is in the small details
Luxury segment consumers are selective and seek exceptional experiences and exclusive products. These customers value quality over quantity, seek exclusivity, and are willing to pay more for it. Additional service and personalized reception, with taste and subtlety, can make a big difference.
5. A consumer who demands the best is not indifferent
Authenticity and sustainability are becoming increasingly important, with 71% of luxury consumers seeking products that reflect these personal values. This statistic underscores the evolution of the luxury consumer towards social and environmental consciousness.
6. It’s Not all about status: Emotions matter too
In the luxury segment, emotions can weigh more than material status. For example, Ferrari is not just a car manufacturer; it’s an emotional experience. People don’t buy a Ferrari solely for its status but for the passion, prestige, and excitement the brand evokes. Sporting heritage and constant innovation are values that people see in this brand, beyond the price of its cars. “The most beautiful car is the one that is yet to be made”, Enzo Ferrari used to say.
To better understand the role of the brain and emotions in the consumer decision-making process, check out this EHL blog article about the neuroscience behind customer service.
7. Controlled exclusivity versus growth
It’s important to maintain a balance between exclusivity and accessibility. Exclusivity is essential in luxury, but you should also be approachSable and welcoming to your clients. With that in mind, luxury brands can offer limited-edition products and unique experiences to maintain a sense of exclusivity, while also offering an enjoyable, intuitive online shopping experience to reach a larger audience. Consider some of these examples of best practices in the luxury hospitality industry.
8. Inspiration is a duty
To achieve or maintain the status of a luxury brand, you must aim to inspire your customers with beauty, creativity, and innovation in everything you do. In the general industry, referencing other brands is very useful to standardize elements like price, quality levels, and service scope.In luxury, it’s not. To stand out in the luxury crowd your brand has to be different, be what your customer demands, and create a brand personality that resonates with your specific niche, even if it’s a tiny niche.
9. The value of time is more important than the cost
The value of time in the lives of high-class individuals is an essential consideration. These individuals often have tight and busy schedules, with professional and social commitments demanding their attention. As a result, time becomes a scarce and precious resource.
To avoid wasting your valuable customers’ time, consider the principles of service design and the way it impacts the whole customer experience of shopping, purchasing, and any follow-up required. Make it easy and quick to seek assistance and get answers to important questions, and make the payment process as seamless as possible.
10. In luxury, marketing and sales must be 360°
From personalized in-store service to exclusive events and engaging online content, luxury brands must create an interconnected world that immerses customers in their narrative and lifestyle.
Here’s some advice from the luxury watch industry: “Forty percent of people buy only one watch in their lifetime; it is, therefore, vital to be in the right place at the right time when it comes to marketing activities. Podcasts, Youtube, and Instagram are the preferred digital channels to drive interaction and visibility in our main markets.” Brian Duffy, CEO, Watches of Switzerland.
5 Practical actions to build customer service excellence in the luxury segment
Considering the conceptual pillars of Excellence in Customer Service in the Luxury Segment, consider strategic actions such as:
1. Segment your customers and determine their luxury profile
Don’t follow standard market measures. Dive into the specific reality of the luxury world and, once there, perform a much more precise segmentation. For example, you can collect and analyze data to understand what kind of luxury customer you have:
- Know-it-all: Considers themselves an expert in a sector and seeks the best and most exclusive within it.
- Investor: Prioritizes luxury but with financial awareness. Wants to feel they added value to his wealth.
- Hedonist: In a good economic situation and wants to indulge themselves. Not looking for ROI or wealth contribution but a sensation of the highest level.
- Conservative: Consumes in the luxury segment but thinks it through carefully. Has an analytical and slow buying process.
- Disillusioned: Has spent a huge amount of money on luxury brands and feels they’ve been disappointed most of the time. Maybe the issue isn’t quality but wanting something much more personalized.
2. Conduct tests, no matter the cost
Failures resonate in the minds of luxury consumers for a long time. A strategy misaligned with the customer’s profile can significantly damage reputation.
That’s why you should test and retest before officially launching a product or communication line. Conduct A/B tests, simulate products with digital animation, and explore other alternatives to be of great help.
3. Be a luxury consumer yourself!
Are you already living a luxurious lifestyle? You need to understand your customers’ perspectives, so immerse yourself sensually in what they experience every day.
It can be a very enjoyable form of training! Stay at five-star hotels, dine at the best restaurants, drive an exclusive car… these are small sensory stimuli to understand your customers’ interaction with the luxury universe.
4. Hyper-focused staff training
Like you, your employees need to understand how the customer in this segment acts, thinks, lives, and breathes. One way to help your staff practice interactions with VIP customers is to conduct role-playing exercises and simulations. Additionally, you can reach out to experts in customer experience to design and deliver specialized training measures for the luxury segment.
Also, it’s important to define a true purpose within luxury that your employees can connect with. For example, show how luxury creates unforgettable family moments and unique connections.
5. Align your KPIs with luxury
In the luxury segment, your Key Performance Indicators (KPIs) are not the same as everyone else’s. Think about Customer Service Excellence metrics that are truly relevant within the luxury segment:
- Index of Satisfaction in Exclusive Events Experience: Create a framework for evaluating your customers’ perception and experience.
- Customer Word-of-Mouth Value: Evaluate the impact of your customers’ recommendations on new customers and additional sales.
- Purchase Exclusivity Index: Measure how many exclusive or limited-edition products a customer buys in relation to their total purchases.
- Expectations Met Index: Ask your customers about their expectations before making a purchase and then evaluate if those were met or exceeded.
In broad terms, the luxury segment departs from generalities, standardization, and scalability (producing as much as possible with the minimum possible resources) of the general market.
And this should be taken into consideration in every action you undertake as a leader, from a customer profile study to the selection of KPIs for your strategy.
This article originally appeared on EHL Insights.
Dec 4 2023
International Tourism to end 2023 close to 90% of pre-pandemic levels
International tourism is on track to recover almost 90% of pre-pandemic levels by the end of this year. According to the latest data from the World Tourism Organization (UNWTO), an estimated 975 million tourists travelled internationally between January and September 2023, an increase of 38% on the same months of 2022.
The newest UNWTO World Tourism Barometer also shows:
- World destinations welcomed 22% more international tourists in the third quarter of 2023 compared to the same period last year, reflecting a strong Northern Hemisphere summer season.
- International tourist arrivals hit 91% of pre-pandemic levels in the third quarter, reaching 92% in July, the best month so far since the start of pandemic.
- Overall, tourism recovered 87% of pre-pandemic levels in January-September 2023. That puts the sector on course to recover almost 90% by the end of the year.
- International tourism receipts could reach USD 1.4 trillion in 2023, about 93% of the USD 1.5 trillion earned by destinations in 2019.
The latest UNWTO data shows that international tourism has almost completely recovered from the unprecedented crisis of COVID-19 with many destinations reaching or even exceeding pre-pandemic arrivals and receipts
UNWTO Secretary-General Zurab Pololikashvili said: “The latest UNWTO data shows that international tourism has almost completely recovered from the unprecedented crisis of COVID-19 with many destinations reaching or even exceeding pre-pandemic arrivals and receipts. This is critical for destinations, businesses, and communities where the sector is a major lifeline. ”
The Middle East, Europe and Africa lead recovery
- The Middle East continues to lead the recovery by regions in relative terms, with arrivals 20% above pre-pandemic levels in the nine months through September 2023. The Middle East remains the only world region to surpass 2019 levels this period. Visa facilitation measures, the development of new destinations, investments in new tourism-related projects and the hosting of large events, help underpin this remarkable performance.
- Europe, the world’s largest destination region, welcomed 550 million international tourists over the period, 56% of the global total. That represents 94% of pre-pandemic levels. The rebound was supported by robust intra-regional demand as well as strong demand from the United States.
- Africa recovered 92% of pre-pandemic visitors this nine-month period, and arrivals in the Americas reached 88% of 2019 numbers this period, as the region benefitted from strong US demand, in particular to Caribbean destinations.
- Asia and the Pacific reached 62% of pre-pandemic levels this period due to slower reopening to international travel. However, performance among subregions is mixed, with South Asia recovering 95% of pre-pandemic levels but North-East Asia only about 50%.
The World Tourism Barometer includes more focused data on regions, as well as sub-regions and individual destinations.
Tourism spending strong
Strong demand for outbound travel was reported by several large source markets this period, with many exceeding 2019 levels. Germany and the United States spent 13% and 11% more respectively on outbound travel than in the same nine months of 2019, while Italy spent 16% more through August.
The sustained recovery is also reflected in the performance of industry indicators. Drawing on data from IATA (the International Air Transport Association) and STR, the UNWTO Tourism Recovery Tracker details a strong recovery in air passenger numbers and tourist accommodation occupancy levels.
Against this backdrop, international tourism is well on track to fully recover pre-pandemic levels in 2024 despite economic challenges such as high inflation and weaker global output, as well as important geopolitical tensions and conflicts.
Nov 28 2023
Dealing with online harassment while traveling
51% of female social media users have experienced online harassment whilst travelling. Out of these 51%, 70% have received sexual images, and 55% getting sexual comments.
This was discovered in a recent survey carried out by WayAway on 1,148 travellers from the USA.
Daisy Dyke, a digital nomad, blogger behind Daisy’s Travel Diaries, and a contributor to Business Insider, shares her thoughts on the topic.
I’ve been travelling full time for 13+ years to 60+ countries so have experienced sexual harassment across the globe countless times. From the odd cat call, a creepy stare, a hand up my skirt from a random passerby, a leg or bum touch on public transport, being grabbed in a club, being locked in a taxi, having men expose themselves to me, generally made me feel very uncomfortable.
But, I tend to brush them off as they are few and far between, plus I don’t know what else to do? Who would I tell, how should I act without encouraging or escalating the behaviour when I’m alone in a country where, often, I don’t even understand what the man is saying to me?
Online harassment though is a whole new ball game I’ve had to deal with a lot since growing on social media this year. My travel account has grown from 6K in January to nearly 70K now. This has lead to a lot of incredible opportunities but also a whole new level of hate, harassment & abuse which, maybe naively, I was not prepared for:
“Bruh, she’s had a continental train ran through her,”
“Bet is whistles under a gust of wind,”
“I imagine a grand canyon now between your legs,”
“I can smell your 🐟🌮from here,”
“She looks like a 50yr old meth head,”
“Look at those wrinkles, she’s going to die alone,”
Also, the odd cheeky slide into my DM’s: “I’m going to smash you when you get here.”
Although I play it off a lot of the time, as I know they are just stupid men (& sometimes women) writing them, it does still instil some fear of, “what if these men find me in real life.” Especially, when I am travelling the world solo, vulnerable and alone. This scares me.
What’s upsetting also is how entitled and justified these people feel in sharing their thoughts. They often say “If you’re online then you’re asking for it,” — to me, it’s like them saying, you exist so you deserve it.
Well I’m here to say you DO NOT deserve it. Any of it. You deserve to feel empowered, confident & to travel in peace.
SO, what to do about it? The horrid truth is — there is not much we can do. Trolls are like cockroaches, you kill 1 and 100 more come out to comment.
There have also been times where I have reported comments which are insulting, sexist and vile. But Instagram & Tiktok rarely take any action and I’ve had countless reports coming back saying these comments “Do not violate community guidelines.” But they do, they violate me, as a woman. As a human.
So for now, take all the control you can: blocking, reporting, deleting & sometimes (in my case) exposing the creeps.
There are also steps to take to aid safety whilst travelling solo. Such as:
- NEVER EVER post my current location on my stories or posts. I will always film the location I am in, then, when I am away from there I will add it to my story. I also make it very clear to hotels and hostels I collaborate with, that I will NOT be sharing the location or name of the accommodation until I have left. I have never had anyone dispute this.
- NEVER put exact arrival times, flight numbers, bus numbers etc. You don’t want an unwelcome creep waiting to meet you.
- Connect with other female solo traveller communities online to support each other.
I will forever encourage you to live the life you choose. We cannot let fear stop us. So take back all the power you can, be careful & remember, solo travelling is the most empowering, incredible, amazing thing you’ll do and for every vile person, you will meet 100 good ones.
There is a long way to come for social media platforms in terms of ensuring a safe space for people. Also, as social media grows, so will the hate, the abuse & peoples entitled feeling of “it’s a free world to comment how I like, love.”
So, this post is not to instil fear. It’s to raise awareness and say if you are experiencing harassment, you’re not alone. Let’s unite, share & support each other on our quest to strut around the globe with confidence and the knowledge that through all the online hate, there is also an online army of like minded people who support each other & cheer each other on every step of the way.
Credit WayAway Blog
Nov 22 2023
The Hotel General Manager: Time for a New Job Description? By Dr Demian Hodari
The hotel General Manager (GM) is the person ultimately responsible for a hotel’s performance. A GM’s ability to make decisions and take action will thus have an important impact on his or her hotel’s operational and strategic results. GMs, however, may not always have the autonomy to make these critical decisions as the hotel’s owner and/or hotel management company (HMC) may in fact limit this through their own decision-making interventions.
Through a survey of 116 hotel general managers working in independent and chain-managed upscale and luxury European hotels, we examined how much autonomy GMs actually have to make operational, financial, strategic, marketing and human resource decisions. We also examined the impact that hotel size and GM education and experience have on the GM’s independence.
Our findings suggest that while GMs report relatively high levels of autonomy in their position, these levels do vary substantially across individuals, and particularly across functional responsibilities, management structure and hotel size, and the degree of human capital.
It’s all about the function
We found that there were significant differences in the average level of autonomy across the different areas. The most autonomy was reported in marketing, followed by strategy, human resources, hotel operations and finally finance. Our findings confirmed previous research that finance is the area of least autonomy. However, we were surprised to find that hotel operations, although generally considered a core competency for most GMs, was ranked second-to-last on the autonomy scale.
In other words, if GMs are generally given vast control over operational issues, why did they rank this so low in terms of their autonomy? We were further surprised to find that the GMs we surveyed also reported “strategy” as the second highest area of autonomy. This finding intrigued us because strategy’s emergence as a GM competency is, according to most previous research, very recent and most GMs have reported little academic training in the area.
Independent VS chain hotels
We found that there were significant differences in the average level of autonomy across the different areas. The most autonomy was reported in marketing, followed by strategy, human resources, hotel operations and finally finance. Our findings confirmed previous research that finance is the area of least autonomy. However, we were surprised to find that hotel operations, although generally considered a core competency for most GMs, was ranked second-to-last on the autonomy scale.
In other words, if GMs are generally given vast control over operational issues, why did they rank this so low in terms of their autonomy? We were further surprised to find that the GMs we surveyed also reported “strategy” as the second highest area of autonomy. This finding intrigued us because strategy’s emergence as a GM competency is, according to most previous research, very recent and most GMs have reported little academic training in the area.
Independent VS chain hotels
We also found that GMs of independent hotels did in fact have more autonomy than their counterparts in HMC hotels. Leeway was given to GMs regarding operational, marketing and HR decisions; yet, they had little say when it came to financial or strategic issues. We suspect that this is because HMCs are known for their centralized policies and focus on economies of scale, both of which appear to reduce GM independence. Owners who contract an HMC for its management know-how expect the company to make and implement better decisions, and to guide the hotel GM, all of which is meant to result in improved operating performance.
Size matters
We discovered that the effect of hotel size on autonomy is substantially different for independent and HMC-operated hotels. In independent hotels, GMs of smaller properties had more autonomy than GMs of larger ones. We believe that this is because such owners may wish to remain more involved in the management of their larger (and thus more expensive) hotels, which is sometimes referred to as “ego-ownership of trophy assets.”
However, hotel size had no impact on the level of GM autonomy in HMC-operated hotels. In follow-up interviews, many of our respondents suggested that this was because HMCs implement the same type of management model regardless of the type, scale or location of the hotel.
Education or experience? Both!
We found that within independent hotels, GMs with more managerial experience did in fact have more autonomy across all five functional areas, but education did not have a similar effect. In HMC hotels, meanwhile, neither experience nor education had an effect on GM decision-making authority. We then looked at this issue by combining education and experience and found that while there was no change in independent hotels, there was a significant impact in HMC hotels. This means that GMs running HMC-operated hotels who are better educated and have more experience have substantially more autonomy than other GMs.
So what?
The study has some important implications for GMs, owners, HMCs and hotel/business school programs in continued education.
Given that lower autonomy is often associated with greater job burnout, choices about education and training could also have important career implications for managers. Individuals seeking to attain the oft-coveted role of GM may benefit by focusing on, at least in the earlier stages of their career, on the traditional areas of hotel operations, marketing, and HR. Indeed, it appears that owners and HMCs expect their GMs to focus on and excel in these areas. This does not mean that finance and strategy should be neglected, but rather that skills in these areas may not be the deciding factor for being promoted to GM.
Those seeking to become a GM may also want to consider whether they are more likely to work for independent or HMC-operated hotels. Those interested in HMC-operated hotels are encouraged to earn advanced degrees along with extensive managerial experience as this combination appears to be valued by HMCs. Alternatively, GMs with extensive experience but limited education may be better served by following the independent hotel path as hotel owners do not seem to value education to the same extent.
Similarly, managers should consider the level of autonomy that they actually want in their job. Those who are content to have limited decision-making freedom may be better suited to working in large HMC-run hotels, while individuals seeking a high degree of autonomy would appear to find smaller and/or independent hotels as the best fit.
HMCs and owners would also benefit from considering the level of involvement they desire to have at the property level, and the ensuing amount of autonomy they are willing to grant their GM. HMCs and owners may find a better fit with GMs whose aspirations with regard to autonomy align with their own views. One clear implication is for realistic recruitment whereby owners and HMCs openly discuss expected autonomy levels with prospective GMs.
Dr Demian Hodari – Associate Professor of strategic management at EHL
This article originally appeared on EHL Insights.
Nov 21 2023
What Is a Luxury Hotel by Today’s Standards?
Historically, the idea of “luxury” in the travel and hospitality space has typically been associated with all the pleasures of staying at five-star hotels such as the Ritz Carlton’s or Four Seasons’ of the world, who are widely popularized and known for offering the most posh travel experiences.
The value was originally found in the creation of ease and feeling of complete and utter relaxation, highlighted by pampering and ultra upscale amenities.
As some may still find this ideal to hold true, over the past few years, we in the hospitality space, have seen a significant shift in the industry that has transformed and redefined what “luxury” now means in today’s standards for the current travel consumer.
What is Luxury?
The dictionary defines the word “luxury” as a state of great comfort and extravagant living. What that means for the travel and hospitality industry, is the idea of offering extravagant and sometimes over-the-top accommodations, married with creating the ultimate level of relaxation and comfort for guests while they are traveling. Traditionally, there has been a very materialistic approach to what defines luxury for the discerning traveler, with the expectation that these experiences should mirror the living situation found in the homes of the uber rich. Upscale guestrooms, top-tier amenities, exceptional fine dining, high-end spas and treatment options, along with other material offerings have become standard across the luxury hospitality space.
Luxury services for hospitality have traditionally been associated with notable five-star brands that offer an exceptionally high level of quality, comfort, and exclusivity. The idea that the average consumer could not afford this level of service created even more demand and excitement, as guests are willing to pay a high price tag for the limited nature of the product. This idea of luxury was designed to appeal to people who are willing to pay extra for these exclusive experiences that are truly special by nature – as not everyone can afford to appreciate it.
Although the luxury traveler still enjoys the comforts and exclusivity associated with staying in a high-end property, the expectations and wants from their stay have begun to shift away from high-end accommodations with well-known brands and instead to prioritizing unique and meaningful experiences.
The Shift in Market – Luxury Redefined for the Modern Traveler
The most discerning travelers are less focused on luxury through materialistic offerings. There has been a significant shift in the market for a new emerging thought process and perception that has allowed additional brands who were not specifically categorized in this luxury space before to now enter.
Luxury travel is no longer solely defined by extraordinary physical spaces and exclusive material offerings. Today’s luxury travelers yearn for unique experiences that are immersive, allowing them to gain a deeper understanding and sense-of-place in a more hands-on and interactive way. Sightline Hospitality is a great example of a company that is paving the way with multiple ownership groups in this newly defined view of luxury. Although Sightline Hospitality isn’t known to be a “luxury operator,” in traditional terms, the third-party management company committed to truly living the lifestyle of this newfound definition for “new luxury” travel. Consumers are not looking for only the high-end leisure offerings, but are also interested in unique, out of the ordinary experiences – and are willing to pay a higher price for it.
This altered landscape has brought about a new definition of luxury travel, one that goes past upscale guestrooms and fine dining and focuses on the intangible elements of unforgettable moments. Luxury is getting transformed and redefined from physical spaces and material offerings into experiential travel and Sightline Hospitality’s vast portfolio of unique, independent hotels are now fitting the bill on what is considered luxury. Focused on highlighting the culture of each property and using each property to create a sense of place, the San Francisco-based company’s executive team and creative trailblazers are inspired to push the limits of possibility to deliver individualized solutions and big-ideas that embody the individuality of each property that also serves the needs and earnest curiosity of guests.
This altered landscape has brought about a new definition of luxury travel, one that goes past upscale guestrooms and fine dining and focuses on the intangible elements of unforgettable moments. Luxury is getting transformed and redefined from physical spaces and material offerings into experiential travel and Sightline Hospitality’s vast portfolio of unique, independent hotels are now fitting the bill on what is considered luxury. Focused on highlighting the culture of each property and using each property to create a sense of place, the San Francisco-based company’s executive team and creative trailblazers are inspired to push the limits of possibility to deliver individualized solutions and big-ideas that embody the individuality of each property that also serves the needs and earnest curiosity of guests.
Dr Demian Hodari is an Associate Professor of strategic management at EHL.
This article originally appeared on EHL Insights
Materialism, No More. It Is All About the Experiences
Connectivity has become key with discerning travelers. Whether it is a desire for personal growth, genuine connections, or experiential learning, luxury travelers are increasingly in search of unique opportunities to connect with destinations-and the people and culture amongst them-on a deeper, more authentic level. This has been seen through the rise of the “experience economy.” The experiential value of one’s trip has been shown to be held to a higher regard than cost attributed to it – and the luxury traveler is willing to spend more for those experiences that they deem truly one-of-a-kind and special.
One experience that has reigned supreme for discerning travelers has been activities that are cultural-focused. Cultural immersions have become a cornerstone of what luxury travel is today. Guests aren’t just looking for a comfortable place to stay while visiting an area, instead, travelers are looking for hospitality stays that offer more. Hotels are expected to act as an integral part of the communities and reflect the local culture in which they reside. From hosting wine tastings in Napa Valley to catching one of San Francisco’s Cable Cars or offering surfing lessons in Waikiki’s crystal-clear waters, Sightline Hospitality’s diverse portfolio focuses on the essential experiences that welcome guests not solely to their room, but into the fabric of the local community and culture.
The focus on highlighting and celebrating each property’s individuality brings together people, places, and possibilities – which in return, will ultimately create soulful stays that make a lasting impression on visitors long after their departure. This cultural immersion can include a number of aspects, but one that reigns true time after time is incredible culinary experiences. Food is the heart and soul of a destination and allows travelers to really learn about traditions through tasting and learning about authentic dishes. Having culinary offerings at a property can bring guests a fresh perspective and deep connection and understanding of the place they are visiting.
But, culinary is not the only way to bring this feeling; offering opportunities to further connect with the local community through volunteer work or educational experiences like Sightline Hospitality’s International House Hotel’s striking second floor MAGDALENA Gallery and the nation’s largest BANKSY mural – sharing the rich history of New Orleans – can also bring this sense of cultural appreciation.
Another experience that stands out for luxury travelers that hotels can incorporate in their programming are personalized experiences. As every traveler is different, one size does not fit all, therefore tailor-made itineraries are imperative with a luxury expert to create customized experiences that cater to every guest’s unique interests. This will ultimately make that once-in-a-lifetime trip that travelers are yearning for with this new definition of what luxury properties are. Hospitality is all about building these deep connections with guests. This customizable offer will create big moments that truly resonate with the luxury traveler and, as a result, will make them want to come back to stay year after year.
Luxury Hotels in Today’s Standards
Luxury is no longer defined solely as materialistic offerings, but rather unique and authentic experiences. The expectations and desires of discerning travelers will continue to redefine and evolve what luxury travel is, however, the importance of unique and extraordinary experiences will continue to be a strong focal point for hotels to offer travelers for years to come.
Source: hospitalitynet
Nov 20 2023
7 last-minute ideas to sell vouchers this holiday season
Let’s dive into the sleigh of swift strategies and tips on how you can offer vouchers to drive ancillary revenue.
1. Personalized holiday cheer
Send to your past customers with a festive email, blending warm holiday wishes with exclusive vouchers. Make it personal, make it special – because every gift should be as unique as the season itself.
Sprinkle your message with holiday tinsel, luring customers everyday from everyday gifts to something special – a holiday!
2. Seasonal packages that pop
Wrap up your vouchers with tempting seasonal deals and popular services. Picture this: a summer spa escape or an exclusive local experience. Try to whip up custom packages that ignite curiosity and demand.
Create different packages to attract guests or sell via vouchers.
3. Treat yourself, it’s the Season
While everyone’s busy gifting others, remind your guests to indulge themselves too! Craft offers that invite them to treat themselves – because ’tis the season of self-love.
4. Cash flow wonderland
Vouchers aren’t just gifts; they’re instant cash flow magic. Guests pay now, redeem later, and you enjoy an immediate boost to your business cash flow.
5. Design and storytelling extravaganza
Wrap your vouchers in holiday magic! Infuse creative designs that capture the spirit of the season. Whether it’s a Christmas tree or a touch of Himalayan charm, make your vouchers irresistible at first glance.
6. Flash deals, beyond the norm
Deck the website with more than just the usual holiday sales. Introduce flash voucher sales for the spontaneous souls, available now but redeemable during your off-peak season.
7. Rescuing abandoned carts
Turn missed opportunities into golden moments. Target those almost-booked guests via social media and email. Tempt them back with exclusive last-minute deals and offers they can’t resist.
In a bow
Gift vouchers are the perfect ribbon to tie around your last-minute holiday campaign. Sure, you might’ve missed a few early shoppers, but it’s never too late to make a grand entrance. The gift of travel isn’t just for the holidays – it’s a year-round enchantment waiting to unfold.
So, unwrap the possibilities, sprinkle that holiday magic, and let your vouchers steal the spotlight!
This article was first published on 7 last-minute ideas to sell vouchers this holiday season
Nov 20 2023
Hotel Brand Executives Bullish on China’s Economic Recovery
Third-Quarter Earnings Results Surpass 2019 Levels for IHG, Hilton
Here are some highlights from hotel company earnings calls on the continued recovery in demand from China:
Tony Capuano, President and CEO, Marriott International
“Cross-border travel continued to strengthen, helping drive RevPAR growth in the third quarter. Asia-Pacific, again, saw the most meaningful quarterly increase in international visitors, aided by global events like the Women’s World Cup and improved airlift. The percent of global room nights from cross-border guests was about 1 percentage point below 2019 levels of approximately 20%.
“The most upside is still expected to come in Asia-Pacific as international airlift to China improves. International airlift in Greater China was roughly 50% of 2019 capacity at the end of the third quarter and is expected to improve to around 60% by the end of the year.”
Chris Nassetta, President and CEO, Hilton
“You will have a very strong start [for revenue per available room growth] in China in 2024. There’s a lot of noise about China and their economy, but from a travel and tourism point of view, in China it’s very strong now. … from a pure RevPAR year-over-year-growth point of view, China and thus Asia-Pacific will lead the charge.”
Kevin Jacobs, CFO and President of Global Development, Hilton
“In the Asia-Pacific region, third-quarter RevPAR was up 39% year-over-year, led by the continued demand recovery in China. RevPAR in China was up 38% year over year in the quarter and 12% higher than 2019. The rest of the Asia-Pacific region also saw significant growth with RevPAR, excluding China, up 40% year over year.”
Mark Hoplamazian, President and CEO, Hyatt Hotels Corp.
“Demand in China is extremely strong, and international travel is steadily recovering. I think the first quarter was down 60% to 2019. Second quarter was down 40%; third quarter was down something like 19% or 15% — something like that, mid- to high-teens.
“We’re seeing a steady increase in international inbound, which is really encouraging [and] a little surprising to me, actually, because air cover and air schedules are still well below where they were before. The relevance of that is that the inbound international travelers are spending more. So there’s a lot of demand; performance in hotels is really good.
“We’re seeing very strong, continuous pipeline growth but also new openings for UrCove, our upper-midscale brand, and also other projects being completed and under construction. I feel really good about the short term.
“Now, there is a dichotomy between more private-sector developers and those that have state-owned enterprises either backing them or controlling them. There’s a big dichotomy there because those who are private and depend on the debt markets are having a very tough time.
“The debt contraction, the availability contraction, is still with us and will remain with us for some time. It’s going to take the Chinese government a while to work through the bad bank issue that they’ve got with Country Garden and Evergrande. But in the foreseeable future, I’m actually optimistic that we’re going to be able to maintain both net-rooms growth but also pipeline growth.”
Elie Maalouf, CEO, IHG Hotels & Resorts
“In China, development activity is also coming back, with 37 hotels signed, 24 of which are in the Holiday Inn brand family. That is almost 7,000 rooms, the highest quarterly signings number since 2021. Again, we expect more in [the fourth quarter].
“China is demonstrating an excellent rebound in trading. Overall, we expect close to a 4% increase in network systems growth by end of the year.
“Third-quarter revenue per available room increased 10% versus 2022 and 13% versus 2019. … Greater China continued its excellent rebound with RevPAR now above 2019, which the Americas achieved in the second quarter of last year; and Europe, Middle East, Asia and Africa in the fourth quarter.”
Hubert Wang, President and Chief Operating Officer, MGM China
“[In] Macau, I believe that the recovery is going to continue. The government issued their forecast for next year during their budget season. And we are looking at a [gross gaming revenue] number for next year around $27 billion for the entire year. And this is quite consistent with our belief, our expectation and the market consensus as well.
“Now, I think yes, in China, there is some softness in its overall macroeconomic situation. The GDP growth is around 4% to 5%, which is at the trough, if you look at the long-term window period. But I believe that Macau is not [a] … reflection of the average GDP growth or spending pattern in China.
“We, as a town, cater to about 30 million visitations a year. The unique visitation is probably less than half of that. It’s still a very small number in the grand scheme of population in China. …
“Macau is positioned to cater to the group with high spending.”
Editor’s note: Chris Nassetta serves on the board of directors for Hotel News Now’s parent company, CoStar Group.
Credit: Hotel News Now
Nov 17 2023
Singapore Based Capella Hotel Group Looking at Middle East, Europe
The latest version of Capella Hotel Group is expanding across the Asia-Pacific region, with plans to grow into Europe and the Middle East, but President Cristiano Rinaldi said it’s not simple growth that makes Capella special.
Rinaldi, who has been with the Singapore-based hotel company since 2020, said it’s the attention to detail and focus on luxury that sets Capella apart.
Speaking on the Hotel News Now podcast, Rinaldi said the real goal is to “keep creating wonderful experiences for our guests.”
“We always position ourself to a degree in a niche of experience travel, to be very honest,” he said. “I think we’ve been really crafting the art of creating these experiences way before the pandemic. That’s something Capella has always done rather successfully.”
Capella Hotel Group was founded in the early 2000s by long-time Ritz-Carlton head Horst Schulze, but since Schulze’s departure and the company’s sale to Pontiac Land, it has embarked on a new era, moving to a headquarters in Singapore, focusing on growth in Asia and establishing two distinct brands: Capella Hotels & Resorts and Patina Hotels & Resorts.
Since then, the company garnered several awards for its properties and brands. As recently as September, Capella Syndey in Australia was named Hotel of the Year in the AHEAD Awards Asia, and Capella Bangkok and Capella Singapore both ranked in The World’s 50 Best Hotels 2023.
“To me, those awards are a statement and a validation to what we do on a daily basis,” Rinaldi said.
Source: Hotel News Now
Nov 15 2023
Record-High Counts in China’s Hotel Construction Pipeline
Upscale and Upper Midscale Chain Scales also Reach Peak Totals in Q3
In the Q3 2023 China Construction Pipeline Trend Report by Lodging Econometrics (LE), at the end of the quarter, China’s total construction pipeline reached a record high of 3,720 projects with 686,017 rooms, up 3% by projects and unchanged by rooms year-over-year (YOY). The record-high projects in the total pipeline can be attributed to the number of upscale and upper midscale chain scale projects, which both hit project and room count peaks this quarter. The upscale chain scale ended Q3 with a total of 850 projects/198,277 rooms, and the upper midscale chain scale has 1,222 projects/194,515 rooms. Combined, these two chain scales account for 53% of projects and 55% of the rooms in China’s hotel construction pipeline.
At the close of the third quarter, there are 2,661 projects/480,538 under construction, up 5% by projects YOY. Projects scheduled to start construction in the next 12 months stand at 356 projects/65,606 rooms. Projects in early planning are up 9% YOY, reaching a record 703 projects with 139,873 rooms.
Brand conversions also reached record high project and room counts in Q3. Conversion totals in China increased 44% YOY by projects and 36% YOY by rooms, with 156 hotels/24,885 rooms. Construction starts and new project announcements (NPAs) each grew substantially YOY, standing at 205 projects/35,455 rooms and 310 projects/49,874 rooms, respectively.
Cities in China with the largest pipelines, at the Q3 close, are Chengdu, with a record-high 144 projects/29,207 rooms; Shanghai, with 121 projects/23,222 rooms; Guangzhou, with 108 projects/22,686 rooms; Hangzhou, with 90 projects/18,917 rooms; and Wuhan, with 90 projects/12,540 rooms.
Through the third quarter of 2023, 468 new hotels, accounting for 75,491 rooms, have opened in China. The LE forecast for new hotel openings expects another 310 hotels with 44,313 rooms to open in the fourth quarter, bringing the forecasted new hotel openings to 778 new hotels with 119,804 rooms by year-end.
The LE forecast for new hotel openings for 2024 expects 983 new hotels with 156,814 rooms to open by year-end. In 2025, the forecast is for 899 new hotel openings with 169,363 rooms.
Hannah Paoletti
Media Relations Manager
+1 603 427 9556
Nov 14 2023
8 hospitality industry trends in 2024 and tips to stay ahead
The hospitality industry has always been at the forefront of adapting to changing trends and customer preferences. As we approach 2024, it’s evident that the industry is on the cusp of significant transformation.
Staying ahead in this dynamic environment is crucial for hotels, restaurants, and other hospitality businesses.
Let’s look at the emerging hospitality industry trends for 2024 and tips to help you remain competitive and deliver exceptional experiences to your guests.
1. Personalized experiences
2. Sustainable practices
3. Contactless smart technology
The pandemic accelerated the adoption of contactless technology, and it’s here to stay. From mobile check-ins to touchless payment options, guests expect a seamless, safe, and convenient experience. Ensure your hotel or restaurant is equipped with the latest technology to meet these demands.
Smart technology is making waves in the hospitality industry, with the likes of chatbots, robots, and various forms of artificial intelligence gaining popularity. These advancements offer hoteliers the ability to provide guests with instant, personalized information and recommendations. Furthermore, facial recognition technology is revolutionizing the way guests access services, and smart hotel rooms, connected through the Internet of Things, empower visitors to tailor their experience using a mobile app or their voice.
Not to forget online distribution (Cloud-based Channel Manager) is non-negotiable in today’s time.
4. Data security
Protecting guest data is non-negotiable. Ensure your systems are secure and compliant with data protection regulations like GDPR. Trust and security are paramount in the hospitality industry. Robust data security measures are essential to safeguard customer privacy, maintain compliance with regulations, and preserve the integrity of the business.
5. Storytelling marketing
Finally, embrace storytelling in your marketing efforts. Share your brand’s story, mission, and values with your guests. People connect with brands that have a compelling narrative, and this can set you apart from your competitors.
6. Wellness and health-centric services
In 2024, the focus on wellness and health will be stronger than ever. Offer wellness packages, fitness amenities, and nutritious menu options to cater to health-conscious guests. Additionally, consider partnering with local wellness providers to offer spa treatments and yoga classes for a holistic experience.
7. Multifunctional spaces
Adaptability is key. Multifunctional spaces that can be transformed for various purposes are a significant trend. Create spaces that can host conferences, weddings, and social events, allowing you to tap into multiple revenue streams.
A growing trend in the hospitality industry is the conversion of hotel lobbies and cafes into shared workspace areas. Hotels are recognizing the evolving needs of modern travelers, many of whom seek flexible and comfortable spaces to work and connect while on the go. By offering free Wi-Fi, comfortable seating, and convenient amenities, hotels are not only attracting guests but also business travelers and remote workers looking for a change of scenery. This transformation of traditional hotel spaces into multifunctional hubs reflects the industry’s commitment to meeting the diverse demands of its clientele.
8. Online reputation management
The digital era demands strong online reputation management. Encourage guests to leave reviews on platforms like TripAdvisor, Yelp, and Google. Address feedback promptly and professionally to maintain a positive online image.
Online reputation management has become an essential aspect for businesses to maintain their image and attract guests. The hospitality industry, particularly hotels, heavily relies on guest feedback and online reviews. Hence, hoteliers need to be conscious of their online reputation and use review management tools to monitor and respond to guest feedback effectively.
This article was first published on https://blog.staah.com/featured/8-hospitality-industry-trends-in-2024-and-tips-to-stay-ahead.
Nov 13 2023
Gary Neville’s Relentless Developments Announce W Hotel and W Residences to Open 2027 in Manchester
Gary Neville’s £400m (S$665million) St Michael’s development in the very heart of Manchester will be home to W Residences in a major deal with Marriott International
W Residences come with all the amenities and services of a W Hotel. First occupancy expected in 2027.
The former Manchester United and England footballer is working in partnership with property developer, Salboy, and his Relentless Developments team to launch the city’s very first branded residences alongside a 5 star W Hotel.
After retiring from professional football, Gary Neville established himself as a property magnate and businessman as well as acquiring a rapidly growing media profile as a popular commentator for international broadcasters Sky Sports, BBC, ITV and more recently, Netflix.
The arrival of W Residences to his flagship St Michael’s scheme will see hotel-inspired living offered at all St Michael’s 217 apartments, offering buyers the opportunity to purchase a permanent residence within Manchester’s most exclusive postcode.
The luxury residences will offer owners all the amenities and services of a W Hotel, including 24-hour concierge (W’s whenever/wherever service), round-the-clock in-residence dining, laundry and dry cleaning.
Located within the development’s iconic 41-storey tower, the residences will feature alongside a 162-room W Hotel which is set to open Q1 2027. W Manchester will bring bold design, distinctive dining and always-on programming to the city as well as having a pool, it will include signature W spaces, such as the Living Room, W Lounge, W Wellness and FIT gym.
W Residences Manchester are the brand’s first outside London and one of only 20 worldwide. The globally renowned brand joins a raft of international companies at the transformative St Michael’s development including Nikkei restaurant brand, Chotto Matte.
Located within Manchester’s architecturally-inspiring and historic civic quarter, St Michael’s connects the Spinningfields business district with Chinatown and the city’s designer retail stores.
Gary Neville, Director at Relentless Developments, said: “W Hotel and W Residences are going to put the distinctive 41-storey tower that is No.2 St Michael’s on the global map.
“There is no better home for W Hotel in the North of England than Manchester. This is a bold city which continues to defy expectations and which embodies the same values of originality and passion that have made the W Hotel experience world-renowned.
“Situated alongside this, W Residences Manchester will be immersive, design-forward homes that will set a new standard in hotel-inspired living and massively raise the bar for city-centre home ownership.
“I’d like to thank Marriott International and our developer partner, Salboy, for seeing the potential in this scheme and remaining committed to our vision.”
Simon Ismail, Co-founder & MD, Salboy Group, added: “The W brand became famous for vibrant, diverse, urban locations like Manchester. Salboy is really proud to be working alongside Relentless Developments to launch and deliver Manchester’s first branded residences and a truly 5-star international hotel.
“W Residences Manchester will offer a residential living experience and level of service unlike anything in the city right now. From a dedicated concierge handling anything you need at any time, to world-class interiors and top specification fixtures and fittings plus your own secure lift. Not to mention all the benefits of the W Hotel including the restaurants, the gym, pool, spa and relaxing in your own residential lounge or W living room.
“Something will always be happening, whether it’s art pop ups or music experiences, right here in this super prime Manchester location.”
Jaidev Menezes, Regional VP – Mixed-Use Development EMEA, Marriott International, commented: “We are delighted to work with Salboy and Relentless Group to launch our newest residential development under the W brand in Manchester.
“There is a growing demand for luxury living in Manchester and this project in the St. Michael’s mixed-use development will deliver that with its vibrant design and impeccable service for its residences and hotel.”
Ruben Koh, Senior Director, Co-Head of International Residential Sales, Savills Singapore, said: “The W Residences will be the first ever branded residence in the heart of Manchester, it will provide residents with a luxury lifestyle never before experienced in the North of England.
“Located in the heart of the city of Manchester it gives its residents the very best access and convenience to experience Manchester.”
Adrian Lim, Senior Director, Co-Head of International Residential Sales, Savills Singapore, said: ” We are thrilled to introduce The W Residences to the vibrant city of Manchester. As the first-ever branded residence in the heart of this iconic city, it is set to redefine luxury living in the North of England and promises an extraordinary lifestyle that has never been seen before in this region.”
Sales will launch in Singapore on 11-12 November at an exclusive event hosted by Savills Singapore. The event will take place from 11am to 6pm at The St. Regis Singapore, Embassy & Consulate Rooms (Ground level).
Source: Hotel News Source
Nov 11 2023
Radisson Hotel Group wins a trio of “Best Hotels – Resorts Awards” in Vietnam
Radisson Blu Resort Phu Quoc named “Leading Beach Resort” and wins “Vietnam’s Leading General Manager” title, and Radisson Resort Phan Thiet claims “Vietnam’s Leading Boutique Resort” award.
Radisson Hotel Group is celebrating after two of its popular beachfront properties in Vietnam – Radisson Blu Resort Phu Quoc and Radisson Resort Phan Thiet – were honored at the “Best Hotels – Resorts Awards” 2023, a prestigious annual award ceremony organized by Wanderlust Tips travel magazine held on 20 October 2023.
Radisson Blu Resort Phu Quoc achieved the “Vietnam’s Leading Beach Resort 2023″ award, in recognition of its fantastic facilities and guest experiences. Set directly on Bai Dai Beach, this stylish seafront resort is gaining a strong reputation among domestic and international guests alike, for its spacious rooms and suites, large lagoon pool and diverse dining venues.
Mr. Nikholas Bauer, General Manager of Radisson Blu Resort Phu Quoc, was named as “Vietnam’s Leading General Manager 2023” – an important accolade that reflects his outstanding leadership and commitment to creating exceptional guest journeys.
These awards mark the latest successes for Radisson Blu Resort Phu Quoc in 2023 after it was named as the “Best Pool Villa Resort” and “Best Resort Service” in Vietnam in the Haute Grandeur Hotel Awards.
Also at the Best Hotels – Resorts Awards, Radisson Resort Phan Thiet was named as “Vietnam’s Leading Boutique Resort 2023“. Under the exemplary leadership of General Manager, Prakash Ganesan, the resort scaled a new peak of success. Featuring 76 roo
ms and suites, all nestled in a prime beachfront setting on Vietnam’s southeast coast, this is an enchanting option for golfers, couples and families alike.
Andre de Jong, Area Senior Vice President, South East Asia & Pacific, Radisson Hotel Group, said: “We are delighted to win these three impressive awards, and I would like to congratulate the teams at Radisson Blu Resort Phu Quoc and Radisson Resort Phan Thiet for their commitment to excellence. At Radisson Hotel Group, we always strive to create the best possible guest experiences, and these awards give us confidence that we are succeeding. We look forward to raising the standard of Vietnamese hospitality even higher in the future.”
The Best Hotels – Resorts Awards were created to recognize world-class hotels and resorts around the world for their effort and performance. These international honors are based on the collected reviews and evaluations of influential people in the luxury sector, including affluent globetrotters and the editors of Wanderlust Tips, the acclaimed travel magazine.
Nov 10 2023
Melco Resorts & Entertainment joins the Sustainable Hospitality Alliance as first member headquartered in Asia
Established in 2004, Melco is a renowned developer, owner, and operator of integrated resort facilities across Asia and Europe. Headquartered in Hong Kong and with operations in Macau, the Philippines, and Cyprus, Melco is positioned as a founding member of the Alliance for the Territory.
Melco stands out for its innovative properties in luxury hospitality and entertainment, as well as its collaborations with globally renowned brands, making it a leader in providing exceptional guest experiences that cater to a diverse range of clientele. The company’s unique blend of design, entertainment, and quality sets it apart, solidifying its position as the global leader in premium integrated resorts.
As a one-of-a-kind developer and operator, Melco partners with some of the world’s greatest talents in entertainment, architecture, cuisine, art, wellness, sport, and hospitality to deliver unparalleled experiences. With a workforce of over 16,000 dedicated colleagues, Melco actively contributes to the communities in which it operates. The company’s five integrated resorts in Macau, the Philippines, and Cyprus are spearheading sustainability initiatives within the industry. Chairman & CEO Lawrence Ho is leading the charge to achieve carbon neutrality and zero waste across its resorts by 2030.
The Alliance brings together leaders from the hospitality industry, strategic members, and partners like Melco to address key challenges affecting the planet, local destinations, communities, and people. Together, they harness the collective power of the industry to deliver Net Positive Hospitality. During the Alliance’s recent Mainstreaming Net Positive Hospitality Summit, members and partners made commitments to drive the sector towards a more regenerative and inclusive future, as part of the organisation’s 5-year strategy.
Lawrence Ho, Chairman & CEO of Melco Resorts & Entertainment, comments:
“Realised through positive engagement and action, Melco’s aim is to inspire our guests by showing them a sustainable future is a better future. We fully stand by and support the Sustainable Hospitality Alliance’s commitment to creating a sustainable and responsible hospitality sector, and are excited and honoured to become the Alliance’s founding member in Asia. We look forward to our collaborative efforts to contribute towards the sustainable future that is crucial.”
Glenn Mandziuk, Chief Executive Officer of the Sustainable Hospitality Alliance, expressed his enthusiasm for the Alliance’s new Asia Pacific Founding Member, stating:
“I am thrilled to announce Melco as our newest member. Having the global leader in premium integrated resorts in the Asia Pacific region join forces with the Alliance is a significant milestone. Sustainability lies at the core of Melco’s business strategy, combining their social and environmental achievements and ambitions in their Above & Beyond strategy. By aiming to eliminate the impact of their resorts on the climate by 2030 and leading circular economy approaches to address global plastic waste, Melco’s strategy aligns seamlessly with our Pathway to Net Positive Hospitality. We are excited to collaborate and assist Melco in accelerating its Sustainability programme, making them a benchmark for our industry and beyond.”
With nearly 50 donor members and a reach of over 7 million rooms, the Alliance brings together engaged hospitality companies, the wider hospitality value chain, and strategic partners to tackle key challenges affecting the planet, people, and places worldwide. Through strategic industry leadership, collaborative action, harmonisation of metrics and regenerative solutions, the Alliance is dedicated to accelerating the path to Net Positive Hospitality. It leverages the transformative power, innovation, and resources of the industry, guided by the four pillars of people, planet, place, and prosperity.
To find out more about Melco’s commitment to sustainable and responsible hospitality , visit https://www.melco-resorts.com/sustainability2020/home.html.
About Melco Resorts & Entertainment
Melco Resorts & Entertainment, with its American depositary shares listed on the NASDAQ Global Select Market (NASDAQ: MLCO), is a developer, owner and operator of integrated resort facilities in Asia and Europe. Melco currently operates Altira Macau (www.altiramacau.com), an integrated resort located at Taipa, Macau and City of Dreams (www.cityofdreamsmacau.com), an integrated resort located in Cotai, Macau. Its business also includes the Mocha Clubs (www.mochaclubs.com), which comprise the largest non-casino based operations of electronic gaming machines in Macau. Melco also majority owns and operates Studio City (www.studiocity-macau.com), a cinematically-themed integrated resort in Cotai, Macau. In the Philippines, a Philippine subsidiary of Melco currently operates and manages City of Dreams Manila (www.cityofdreamsmanila.com), an integrated resort in the Entertainment City complex in Manila. In Europe, Melco operates City of Dreams Mediterranean in Limassol in the Republic of Cyprus (www.cityofdreamsmed.com.cy). Melco also continues to operate three satellite casinos in other cities in Cyprus (the “Cyprus Casinos”). For more information about Melco, please visit www.melco-resorts.com.
Melco Resorts & Entertainment is majority owned by Melco International Development Limited, a company listed on the Main Board of The Stock Exchange of Hong Kong Limited, which is in turn majority owned and led by Mr. Lawrence Ho, who is the Chairman, Executive Director and Chief Executive Officer of the Company.
About the Sustainable Hospitality Alliance
The Sustainable Hospitality Alliance brings together engaged hospitality companies and the wider hospitality value chain, along with strategic partners, to address key challenges affecting the planet, people and places around the world.
Through their strategic initiatives and global networks, they develop practical programmes and resources to create a prosperous and responsible hospitality sector that gives back to the destination more than it takes.
Their members represent over 50,000 hotels spanning 270 brands – totalling over 7 million rooms – and include world-leading companies including Accor, Choice Hotels International, Hilton Hotels & Resorts, IHG Hotels & Resorts, Marriott International, and Wyndham Hotels & Resorts, as well as regional brands. Their network also includes other parts of the hospitality value chain, including owners, investors, suppliers, and other partners to further drive joined up action on sustainability, and accelerate the industry on the path to Net Positive Hospitality.
Nov 8 2023
Thailand tourism showcases ‘Meaningful Relationship’ marketing concept
The Tourism Authority of Thailand (TAT) is using the WTM 2023 as a platform to launch its new ‘Meaningful Relationship’ marketing concept to a worldwide tourism industry audience.
The Amazing Thailand Press Conference was helmed by Minister of Tourism and Sports, H.E. Ms. Sudawan Wangsuphakijkosol, and TAT Governor, Ms. Thapanee Kiatphaibool, as well as TAT executives.
Ms. Thapanee said:“ The new ‘Meaningful Relationship’ concept is designed to encourage travellers to engage in a meaningful connection with Thailand.”
“When travellers form a relationship with the people they meet and the place they visit, they will have an opportunity of creating lifelong friends”
The concept will be incorporated into TAT’s ongoing promotion of Thailand as a sustainable and responsible tourism destination.
TAT has developed and implemented its own Sustainable Tourism Goals (STGs) in line with the 17 Sustainable Development Goals (SDGs) by the United Nations Development Programme.
TAT’s STGs encompass the entire tourism industry in a Sustainable Tourism Acceleration Rating (STAR) system.
Businesses that comply with goals attain a corresponding number of stars.
Currently, there are 251 businesses with STAR certifications in Thailand.
TAT also held the annual Responsible Thailand Awards.
They recognise sustainable Thailand tourism in six categories such as Animal Welfare, Nature, Community-based Tourism and Hotel, Eco Lodge/Eco Hotels.
This year, the winners are Mahouts Elephant Foundation, New Heaven Reef Conservation Programme, Kao Thep Pitak Community Restaurant, Devasom Khao Lak Resort, Elephant Hills, and Pattaya Elephant Sanctuary.
TAT’s partner, the Thai Ecotourism and Adventure Travel Association (TEATA) in collaboration with Tourlink, has developed seven carbon-neutral travel routes for travellers to explore Thailand. while helping reduce the impact on the environment.
Featured destinations include Bangkok, Ratchaburi, Phangnga, Trat, Phetchaburi, and the three Isan provinces of Udon Thani, Nong Khai, and Loei.
For the UK market, TAT will place focus on potential segments with higher spending, a tendency to stay longer, and those wanting to explore local areas.
These segments include luxury, wellness and responsible travel.
From 1 January – 31 October 2023, Thailand recorded over 21.6 million arrivals and generated over THB927 billion.
The top five markets are Malaysia, China, South Korea, India and Russia.
The UK market contributed 617,017 tourists.
Nov 6 2023
Langham Hospitality Group grows presence in the Greater Bay Area
Langham Hospitality Group (LHG) has signed a management agreement with Parkland Group for The Langham, Foshan, a brand-new hotel to be based in China’s Greater Bay Area. Part of the One Sanlong Bay development – which includes luxury residential units as well as Grade A and prime-commercial office spaces – Foshan’s first high-rise urban resort is scheduled to open in 2028.
“The Greater Bay Area is a key international powerhouse where Langham Hospitality Group enjoys a strong and growing presence with all of our brands represented. Introducing The Langham to the first-tier hub city of Foshan is an important strategic move for us in this context, and one that will set a new benchmark for luxury experiences,” said Bob van den Oord, Chief Executive Officer, Langham Hospitality Group.
Mr. Guo Dongfeng, Vice Chairman of Parkland Group said: “The partnership with Langham Hospitality Group will ensure that we deliver an innovative and unique luxury hotel in an outstanding location that will attract and cater to both local and international visitors.”
Foshan has exceptional local transport links, and the resort is next to the Foshan Tanzhou International Convention Centre. The city is 25 minutes from Guangzhou South Railway Station, 40 minutes from Shenzhen, one hour from Guangzhou Baiyun Airport, and two hours from Hong Kong,
The Langham, Foshan will feature an extensive number of meeting and event spaces including one of the largest ballrooms in the city, spanning 800 sqm.
Cantonese dining will be offered in T’ang Court, a sibling of the 3-Michelin starred Black Pearl establishment with the same name in Hong Kong. The Langham’s signature afternoon tea will offer the British classic. Chuan Spa, LHG’s proprietary wellness brand based on the principles of Traditional Chinese Medicine, will also find a new home there.
Foshan is known as the birthplace of Cantonese Opera, the cradle of Kung Fu and home to the family of Bruce Lee. The southern edge of Foshan boasts the peaks, caves, and the waterfalls of scenic Mount Xiqiao.
Nov 3 2023
APAC Hotel Recovery Now on Par with the Rest of the World
While other parts of the world began their post-pandemic recovery earlier than Asia Pacific, recent data suggests that the region is accelerating its recovery process and could potentially reach levels seen in Europe and America.
Demand catches up with the rest of the world
Year to date through August 2023, hotel occupancy rates surged past 90 percent of the 2019 comparable levels across most subcontinents worldwide. Notably, the occupancy indices in Asia Pacific subcontinents closely aligned with those in most European subcontinents and North America, ranging from 91 to 100. This indicates that demand in the Asia Pacific region has reached comparable levels to other parts of the world that began their post-pandemic recovery journey much earlier.
While uncertainty surrounds the possibility of a full return of Chinese outbound demand throughout the region, there is a growing demand in domestic tourism, as past data revealed that leisure markets China, specifically Hainan and Sanya, took the top spots in terms of RevPAR recovery over the summer period across all global markets. Moreover, more recent data for the 2023 National Day Holiday has shown that the region’s occpancy performance has edged close to pre-pandemic performance, showing more evidence of growing domestic demand.
Forecast: APAC recovery matching EMEA’s pace
Combining the forecast data for the remaining months of 2023, Asia Pacific markets are poised to recover at a pace similar to that of EMEA markets, with the exception of Melbourne, Beijing, and Guangzhou, which are expected to lag behind 2019 levels.
Other than demand-side factors that drive growth in APAC, such as increased demand from Chinese tourists, RevPAR growth in the coming years is more likely to be driven by rate increases. This is due to multiple reasons, such as events, inflation, and cost increases. All things considered, data shows more positive signs compared to the end of 2022.
This article originally appeared on STR.
Nov 1 2023
Centara Hotels & Resorts launches one-stop approach for MICE events
Centara Hotels & Resorts has launched a one-stop approach to MICE events dedicated to delivering unforgettable experiences that engage and inspire.
New Agenda: Meetings Redesigned is targeted to welcome both domestic and international clients with a range of creative meeting, culinary and team-building concepts, alongside sustainable venues in fascinating locations, from convenient city-centre hotels to stunning heritage sites and world-class beach destinations.
The initiative aims to set a new standard for MICE gatherings across four key pillars:
· Starting with Centara’s One-Stop Meeting Guru service, personalised end-to-end event management with a single point of contact to ensure seamless communication, planning, coordination and execution onsite.
· Centara’s in-house F&B team designs unique and immersive Creative Catering and dining experiences to reinforce and strengthen participation, with tailored ideas that can include a sensory-driven “Dinner in the Dark”, a power lunch on a Maldivian submarine, casual beach barbecues, a Thai food stall journey, MasterChef-inspired cooking challenges, and a create-your-own cocktail bar, amongst others.
· Team-building Redefined sees teamwork reach new heights as Centara partners with globally renowned training provider, Asia Ability, to develop bespoke team-building programmes that foster resourcefulness, knowledge-sharing, and active participation through workshops, community outreach activities and beyond.
· Sustainability efforts include offering greener meeting options with sustainability, convenience and eco-conscious amenities into one package with the use of LED and natural lighting, low-flow taps, waste separation, eco-friendly materials and locally-sourced produce to reduce carbon emissions throughout its venues.
Centara also offers Earth Care Activities, including the ‘Plastics Only, Please’ beach clean-up campaign, to empower teams to give back and reaffirming the brand’s commitment to the environment.
“New Agenda: Meetings Redesigned reinforces Centara’s commitment to delivering outstanding MICE events tailored to the ever-evolving needs of our clients,” said David Good, executive VP – Hotel Operations of Centara Hotels & Resorts. “With innovation at our core, we are proud to offer venues and experiences that not only inspire, but also contribute to a more conscious and sustainable future.”
Oct 30 2023
Social media marketing tips for smart hoteliers
There is no definitive guide to social media marketing because social media is constantly evolving. But the tips in this blog can help you always stay ahead of the curve.
1. It’s all about knowing your audience
If you understand your target audience and their interests, that’s half your battle won on social media. Start by digging into the people who currently follow you on social and engage with your content (see Facebook and Instagram Insights for this information!). Who are they? What are their shared characteristics? Consider traits like age, location, language and hobbies.
Overlap information from social media channels with your other channels to create personas of your ideal customers. Then align your social media messaging to talk to these ideal guests.
2. Be authentic
Authenticity is worth gold on social media where users don’t care for ultra-polished posts or lengthy words. They want something that is different, even if unpolished and messy. Be real – post the bloopers of serving guests or laundry gone wrong. Making the connection is important when it comes to social media.
3. Choose your platforms wisely
You can’t be everything to everyone, everywhere. Choose the social platforms you want to be active on widely – based on your target audience and their preferred channel. Remember, do few, do them well.
4. Audience-led content
Tell your brand story – sure, but in a manner that your audience wants to hear them. Tailor your content to suit their needs and mix your brand message in it. If you need inspiration – see a Nike ad. It’s never about the brand, but how it makes its customers feel – empowered.
5. Posting etiquettes
Don’t be offensive – there is a fine line between humour and being rude. It’s easy to cross over on the other side on social media and the repercussions can be disastrous for a brand. Posting regularly and on the right time is not just good for optimisation – or getting maximum engagement – it is important to meet your guests’ expectations.
6. Be responsive
If you have a message in your inbox, respond quickly – a maximum of 24 hours, although a few hours is better. If your audience is engaging with your post, participate in the conversation with them.
7. Get serious about videos
As short-form videos skyrocketed in popularity in 2022, many brands started to dip their toe in the format. Social media managers were tasked with creating videos on the side to complement their other social efforts. Now it is almost a full-time job to keep up with the consumer appetite for videos. Arm your employees (the right ones!) with access to your business social accounts and a smartphone, and create authentic video content.
Remember in all your content, videos or photos, highlight your services in action or what’s around your property.
8. Showcase testimonials and reviews
Word-of-mouth marketing isn’t going away—it’s just getting a makeover. Data from multiple sources shows that consumers like to see brand social content that features real customer testimonials and product demonstrations. So rather than catchy slogans and marketing spin, focus on providing your audience with authentic content from real customers they can relate to.
9. Be human
Be authentic. Build an emotional connection with your audience. No one wants to buy from a brand… most buy into the story. Tell your story, don’t sell rooms. Take a stand on issues that matter to your audience and bring personality into your storytelling.
10. Partner with creators
Your job is to provide a great service. If social media content creation is coming in the way, hand it over to professional creators who have domain knowledge and the following to take your message further.
Remember, you can even turn your staff into content creators and distributors.
11. Have a process
Create a content plan and allocate a budget to promote it – half the battle is won if you know what you are doing and when. Next, have an approval process in place that is seamless so no one person holds back regular posting and content creation.
12. Keep testing
Digital media, especially social media, keeps evolving. Make sure you keep testing social media channels, content types, frequency of posts etc. Testing is the only way to optimise in the digital world, remain relevant and get desired results.
Critical to testing is data and insights. Use analytics and insights from social platforms, website and booking engine, channel manager and PMS to see what’s working and where you need to make improvements.
13. Keep an eye out on competition and market
Stay alert for trends and viral content doing the rounds. Where applicable, adapt your strategy to it. And much like pricing, be aware of what the competition is doing on social channels so you can match their sentiment where needed.
Wrapping up
Social media marketing can be hard work. But the benefits are difficult to ignore. If you don’t take it seriously, you’ll undoubtedly miss out on leads. Use these social media marketing tips to fine-tune your strategy until you’ve created a winning strategy. Just remember, social networks are made for conversing with others. If you don’t make your audience a top priority – you won’t see results.
This article was first published on https://blog.staah.com/featured/social-media-marketing-tips-for-smart-hoteliers.
Oct 29 2023
Is the Annual Budget Process Still a Necessary Evil for Hotels?
For hotels, the annual budget process is like a high-stakes poker game in which the owners keep their cards close to their chest and the operators try to guess what cards they’re holding and if they’re bluffing. By the time everyone shows their hands and the year kicks in, the game has often changed significantly, and all bets are off.
Does it have to be this way? Today, more data than ever is available to enable operators to budget and forecast based on current conditions rather than rely on outdated projections. But will this serve the needs of owners?
For insights, HotStats reached out to hospitality leaders around the world. We asked them, “Is the annual budget process still a necessary evil for hotels?” Here is a condensed, edited roundup of their responses.
Ajay Singla, Senior Vice President Finance, Fairmont Hotels & Resorts
My personal opinion is we should be more guided by 12 to 18 months or two years of rolling forecasts based on what is happening in the market today rather than being influenced by a budget that was done in September, is valid until next December, and is based on what was happening in the market nine months ago.
That would be more productive. And I think ownership would also be more interested in a rolling forecast scenario. But we have an obligation in our management contracts. And ownership has many obligations from a hotel operations and financial ability point of view. They have loans, interest, debt service payments, etc. They need to know how much cashflow hotels will generate. So, we have to live with it.
The objective for us, the operator, is to harmonise what ownership expectations are and how we can achieve them while still meeting guest experience, product, and brand requirements. At the end of the day, we are brand operators, so we have to make sure that the brand promise is also delivered to the guests because that’s what matters the most for us in terms of bringing the guest back again and again.
Elena Ladisova, Vice President, Brookfield Asset Management
Yes, I definitely do. I mean, what gets measured, gets done, and it sets a benchmark. That kind of logic hasn’t really changed. It’s true that there’s a lot of volatility, and I think month by month forecasting becomes much more important than before. But budgets are still something where you can plan ahead and plan your cash flow at the early stage, and then obviously you adjust for the forecast. So, I think forecasting is gaining more importance over time.
Joe Pettigrew, Chief Commercial Officer, Starwood Hotel Asset Management
I think the budget process is still useful. Obviously, it has many uses for banks, lenders, and other investors for setting targets, goals, and bonuses, etc. But the most useful aspect is that it is the one time of the year that you all have full alignment on what your strategy is going to be for the next year.
So, assuming the macro environment is going to be X and our current market share is Y, what are we going to do differently next year in order to improve our market share? What cost initiatives will we implement to get to the NOI that we need to get to? The discussion around how we’re going to do that is so useful and valuable … and the budget process is the most natural time and place to do it. So, I think the annual budget process is very valuable. I don’t see it as a “necessary evil”.
Paul Nisbett, Chief Financial Officer, EMEA, Valor Hospitality Partners
Well, it’s a necessary evil because every bank requires it. Investors require it.
Regardless of whether we like it or not, you need a stake in the ground for legal requirements and compliance. But I think most people will move to a rolling 12 months.
So, the fact is that all this is really a stake in the ground and a review process that has to happen for different stakeholders in the business. But actually, if you don’t use it and put it on the shelf and don’t keep it live, you’re not gaining anything. So, the rolling position becomes more important.
Amy Stevens, Group Director Revenue and Distribution, Rocco Forte Hotels
Absolutely, it is a necessary evil because you have to have parameters to measure or you will have no goal post and no idea of where you’re going to be. The flipside is it is not a set-in-stone number. As an industry, we tend to treat it as such. But it’s just a snapshot in time of what we knew then, what we thought was going to happen, and things that we could get data on. That could change. For example, who knew Russia was going to invade Ukraine? That completely upends the entire strategy, the numbers, and everything you came up with.
So, it is a necessary evil. But I do think as hoteliers we need to take a step back and remember that this is why we forecast. The budget is a point in time. With forecasting, it becomes more important to be proactive and to adjust to changing realities, particularly in a post-Covid environment.
Pete Sams, Chief Operating Officer, Davidson Hospitality Group
The budget process is a chance to step back and create a plan. That strategic plan is really more critical to me than the budget. It speaks to where we belong in the marketplace, how we are going to improve our standing, and how we are going to generate the results that we aspire to.
The budget is the financial support behind that plan. You enter the year and understand that you’re going to update it every month and constantly reevaluate half of what you assumed may be incorrect, whatever that number may be.
How do we adjust on the fly? We focus on a rolling 12-month forecast at all times. So, we’re always looking into the future, beyond just the calendar year, and that is a valuable exercise with our budget process.
In the end, budgeting is absolutely critical. It presents an opportunity to sit down with your respective ownership groups and truly articulate your understanding of the business, the plan, how you’re going to get there, and to make informed requests. Be mindful of the fact that it will be inaccurate to some extent, ideally for the better, but articulate how you’re going to get there and then be prepared to adjust and adapt.
David Hart, Chief Executive Officer, RBH
From our point of view, it shouldn’t be. We already run a monthly rolling forecast process, and we forecast 12 months out. Ultimately, when we come to the annual budget, we find that the lion’s share of the work has been done. So it’s not the one-off effort that it used to be.
In terms of whether it’s a necessary evil, investors and funders still require it … From my point of view, it shouldn’t be, but it fundamentally is because there are so many stakeholders involved in the process. Until they all get over the line of not needing it, then it’s going to be difficult to change the process. But for us it’s less onerous because of how we forecast.
Michael Grove, Chief Operating Officer, HotStats
I think the annual budget process is a good discipline. It’s basically a strategy meeting. You start with a half-year of actual data and use the forecast to project the rest of the year’s data. Then you build the budget on the back of that based on assumptions about what will happen over the rest of the year and throughout next year. Then you review performance monthly throughout the year. Some budgets aren’t signed off until January, after the year has already begun.
But things move so much from budget time to the actual year from the cashflow and operational perspective that it makes sense to have more regular review. The forecast has become automated based on run rates, which for me, misses the element in the budget process of revisiting the strategy and operational efficiencies. Maybe quarterly or half yearly reviews are the middle ground.
Owners have a different perspective, however. This is the necessary part. The budget is needed for financing, funding, and planning. The reality is, from an operational perspective, hotels need to update budgets more regularly. That’s why at HotStats we’re committed to providing benchmarking data on a monthly basis, allowing hotels to continually compare and improve their performance against the market.
To discover how HotStats benchmarking data and market reports can help your budget process and boost your P&L follow the link: https://www.hotstats.com/hotel-profit-benchmarking.
About HotStats
HotStats provides monthly P&L benchmarking and market insight for the global hotel industry, collecting monthly detailed financial data from more than 8,500 hotels worldwide and over 100 different brands and independent hotels. HotStats provides more than 550 different KPIs covering all operating revenues, payroll, expenses, cost of sales and departmental and total hotel profitability.
Oct 28 2023
Hotel companies step up their HR game to win intense talent war
Hilton has developed a recruitment procedure that allows candidates to use their smartphones to book interview slots and record a pre-screening presentation. The company has also implemented an AI-driven assessment tool that screens candidates who are a better fit for the job traits, Hilton culture, and the hospitality environment.
Patsy Ng, vice president for human resources – Asia-Pacific, Hilton, said: “To attract talents to join us, we need to focus on delivering a great candidate experience and will leverage recruitment technology to achieve that. We have reduced the number of touchpoints for candidates’ online applications and introduced new tools such as HireVue and Traitify to enable same-day hires, which for high volume jobs has become a critical competitive advantage.”
Hilton has several Team Member Resource Groups (TMRGs) to support staff at work and at home. The Women’s TMRG, for instance, is a community of allyship where female team members can tap on different leaders for support and counsel.
Over at Onyx Hospitality Group, compulsory training will come into effect in 2024. All staff must complete 60 hours of training every year in order to advance on their personal career track in the organisation. This requirement is part of the new Onyx Academy, which will launch with instructor-led as well as online courses that are jointly developed with a range of partners such as eCornell and Harvard Business School Online.
There will also be cross-training opportunities, where staff may be assigned to work and learn at other properties.
Yuthachai Charanachitta, owner and CEO of Onyx Hospitality Group, said: “At the end of it all, they will be better ready to move forward on their career track.”
Completion of courses will earn participants certification with reputable institutions.
He believes the programme will appeal to the younger generation, as they “want to learn and rise up quickly in the company, and the academy provides such career development opportunities”.
Meanwhile, Pan Pacific Hotels Group (PPHG) has engaged human resources consulting firm Mercer to study how work processes could be redesigned with practicality, staff well-being and resource considerations in mind.
The project involves scrutinizing all processes across departments, from front office to kitchens.
Choe Peng Sum, CEO of PPHG, emphasises that a strong work culture remains critical. “To have a strong workplace culture, every team member needs to feel like they own the business.”
Performance incentive schemes come in handy to encourage staff buy-ins. Across PPHG’s hotel operated restaurants, for instance, team members enjoy profit sharing.
“Some individuals can make up to 40 per cent more of their monthly income,” said Choe, who added that team members have become very motivated to come up with innovative ideas to excite and impress guests.
“We have 6,000 staff all over the world. If everyone feels that they own the business, I can sleep well at night,” remarked Choe.
Oct 25 2023
Revenge Travel is over – Even in China, Says CEO of InterContinental Hotels Group – CNBC
Pent-up travel demand – which drove global travel recovery following the Covid-19 pandemic – is over, said Intercontinental Hotels Group CEO Elie Maalouf.
“People started traveling really by the end of 2020 as restrictions started to lift,” he said. “So we’re really past revenge travel — even in China.”
The company’s latest quarterly update showed travel demand remained strong during the close of the summer travel season.
“We think we’re in a sustainable place,” Maalouf said. “Our bookings for groups and meetings going into 2024 and beyond are the strongest we’ve seen in a very long time.”
“We’re pleased with the demand that we’re seeing from travelers … and hope it continues,” he added.
Occupancy levels in the third quarter at IHG hotels was 72% — just 1% shy of pre-pandemic levels, according to the quarterly update. But average room rates have jumped well above 2019 levels — up nearly 6% in Greater China, 15% in the Americas, and 24% in Europe, Middle East, and Africa (EMEA) and Asia.
But rising rates are barely keeping up with inflation, said Maalouf.
“Room rates have not really exceeded inflation in any of our markets,” he said. “I think people’s willingness to travel is exhibited by the fact they’re willing to pay.”
Oct 23 2023
China Recovery Underpins IHG’s Improved Performance in Third Quarter
Group and Business Travel Aid Overall Earnings
Elie Maalouf, CEO of IHG Hotels & Resorts, said a rebound of hotel performance in Greater China underlined continued improvement across its global estate in the third quarter.
Maalouf, who started in the role on July 1, said in his first quarterly earnings presentation that 12 months ago the pandemic still was affecting business in China.
“This is another strong trading performance, the fifth quarter of subsequential improvement, with excellent rebound in Greater China, which, too, has completed its post-pandemic recovery,” he said.
He added across IHG’s portfolio, average daily rate remained “very robust,” and occupancy was up 4% year over year to 72% in the third quarter and down only 1.3% from the same quarter in 2019.
Also providing confidence are increases in signings and business travel, which Maalouf said would soon reach full recovery.
Michael Glover, chief financial officer, said business travel revenue increased by 6% year over year, while group bookings revenue was up 8%, although that metric lags 2019 numbers by 9%.
“Two-thousand rooms were opened in [Europe, Middle East, Africa and Asia] in the third quarter, and 5,000 added to the pipeline, and we expect a significant uptick in openings in the final quarter of the year, traditionally our strongest quarter for signings,” he said.
Glover said 40% of hotels in the development pipeline are in the luxury and lifestyle segment.
“In China, development activity is also coming back, with 37 hotels signed, 24 of which are in the Holiday Inn brand family. That is almost 7,000 rooms, the highest quarterly signings number since 2021. Again, we expect more in [the fourth quarter],” he said.
“China is demonstrating an excellent rebound in trading. Overall, we expect close to a 4% increase in network systems growth by end of the year,” Maalouf said.
“We’re acknowledging short-term financing challenges, but supply will return, as it does in every cycle. Our 125 conversion signings this year is a record,” he added.
Glover said the first hotel under IHG’s Garner brand, launched in August, is due to open by the end of 2023.
Maalouf said the firm “opened nearly 8,000 rooms across 50 hotels in the quarter and added [16,800] rooms to our pipeline across 123 properties. Year to date, signings are up by 16%.”
“Third-quarter revenue per available room increased 10% versus 2022 and 13% versus 2019. … Greater China continued its excellent rebound with RevPAR now above 2019, which the Americas achieved in the second quarter of last year, and Europe, Middle East, Asia and Africa in the fourth quarter,” he said.
Third-quarter RevPAR increased 10.5% year over year. By region, the metric increased 4.1% in the Americas, 15.9% in EMEAA and 43.2% in Greater China.
“Pricing remained very robust,” he added. “It was also pleasing to see rooms revenue growth for each of leisure, business and group travel.”
“For two years, always there seems to be something that can be worried about. The adverse consequences everyone predicted have not happened in the economy and for our company. We are not blasé to this, but the U.S. consumer did not soften even following several Federal Reserve decisions.
“The same can be said in China, where people are earning and traveling. We’re not seeing any cracks in their desire to travel, but [recovery and travel desire are] an all-region play,” he added.
“[Glover and I] spent a week there a couple of weeks ago, and we left feeling very confident,” he said, noting that more than 1.8 billion trips were taken by plane, train and car during the recent mid-autumn holiday in China.
Glover said Chinese guests are traveling in good numbers to Southeast Asia and increasingly into Europe, but their presence in North America remains muted.
“China into U.S. is less than 1%, but agreements between the countries will increase air lift, so it is not a huge effect on us. … We see a tailwind going forward,” he said.
Maalouf said loyalty program data shows North American guests make up about 10% of IHG’s total base in Europe, and that group constituted approximately 50% of bookings made from North America.
He joked about his new home since taking up the CEO role for the British firm.
“I have residence in London now, so I do not count as a North American visitor anymore,” he said.
As of publication time, IHG stock was trading at 61.54 pounds sterling ($74.68) a share, a increase of 34.9% year over year. The London Stock Exchange’s FTSE 100 index was up 7% over the same period.
Source: Hotel News Now
Oct 20 2023
9 easy ways to boost hotel guest satisfaction
Why guest satisfaction matters
Guest satisfaction matters because it impacts reviews, which directly affect your bottom line.
The fact is, people trust recommendations from other people more than they trust your hotel advertising. When choosing a hotel destination, 50% of travelers rely on advice from family and friends. And 49% turn to social media.
Moreover, a mere 1-point increase (on a 5-point scale) in a property’s review scores can support an 11% higher daily room rate.
When your property delivers memorable guest experiences, you’re rewarded with repeat business and loyal brand advocates who share their great experiences far and wide. This ultimately drives your future growth.
9 easy ways to improve guest satisfaction in hotels
1. Simplify the booking process
You can improve your relationship with guests by making it fast and easy for them to complete a reservation. Start by recognizing that 30% to 40% of online travel sales happen on mobile devices. So, make certain your website design is mobile first.
In addition, your guests get inspired by images and posts on places like Instagram and Facebook. Use a platform that makes it easy to monitor and connect with guests over social media. And reduce steps by linking your social media accounts directly to your booking engine.
One final tip: Include a prominent click-to-call (CTA) button for seamless access to your call center.
2. Use guests’ preferred communication channels
Your guests may initially contact you through email, move to text or live chat, and then finish up with a phone call. Throughout it all, 86% of them expect it to be a seamless conversation across channels.
To keep your guests happy, you need a flexible marketing solution that works on all channels your guests like to use. It should also collect and organize guest data into one place that’s easily accessible by all guest-facing team members.
3. Create personalized experiences
Your guests want to feel unique and known by name, with nearly 9 out of 10 travelers looking for personalized experiences during their stays.
Luckily, advanced technology can give hotel staff instant access to rich guest profiles that allow them to tailor guest experiences. For instance, if you know a couple is celebrating an anniversary, you can surprise and delight them by offering to have chilled champagne and chocolate-covered strawberries waiting when they arrive.
4. Address concerns 24/7
Delays in responding to guest issues or complaints can be detrimental to your guest satisfaction level. On the flip side, resolving problems quickly can be quite beneficial.
According to a Deloitte survey, hotel guests are 40% more likely to promote a positive experience at your hotel when their issue is fixed in a timely manner.
5. Collect and act on feedback
Another great way to ensure your guests are happy is to simply ask them. You can send guests mid-stay and post-stay surveys. The feedback you receive lets you see exactly what you’re doing right and where you can improve.
The right solution helps you quickly correct any issues, preventing negative reviews before they occur. It also makes it easy for guests to turn positive feedback into positive reviews.
6. Respond to reviews
According to a Tripadvisor study, 4 out of 5 travelers (81%) read reviews before booking their hotel. This is easier when you leverage a solution that consolidates them all in one place and makes it easy for you to respond quickly.
And your personalized, polite, and fast response is important for maintaining high guest satisfaction, particularly for negative reviews. It turns out that promptly and courteously responding to negative reviews matters to travelers.
7. Stay in touch
The guest experience doesn’t end when your guests check out. The right technology lets you send regular email newsletters and promotions to further build those relationships.
The best email marketing tools automate this process and allow for segmentation. This is crucial, with research from Hubspot showing that subscriber segmentation is the most effective strategy for email marketing campaigns.
With segmentation, you can customize offers and news based on guest data. For instance, you can send information and promotions about kid-friendly activities to your guests that travel with their families.
8. Reward loyal guests
According to Kalibri Labs, Ioyalty-related bookings account for more than half of total hotel bookings in the US. With the right technology platform, you can easily see which of your guests visit most often and/or spend the most on property.
You can build greater customer loyalty by recognizing and rewarding these high-value guests with special perks that speak to their preferences. As a result, they’ll feel valued and are more likely to become brand evangelists, spreading the word and further boosting guest satisfaction.
Oct 14 2023
Centara and SCG Energy join forces to pave the way for ‘Smart Hotels’ with renewable energy
Centara Hotels & Resorts, Thailand’s leading hotel operator, has formalised a Memorandum of Understanding (MOU) with SCG Cleanergy Company Limited, a service provider of solar energy solutions for industrial sites, hotels, hospitals, and department stores across Thailand. This significant partnership marks Centara’s dedication to embracing the “Smart Hotel” concept by integrating “Smart Energy”, a sustainable and clean electrical technology, throughout its extensive portfolio of hotels and resorts.
Under the terms of this MOU, Centara and SCG Cleanergy are embarking on a transformative journey to research and plan solar energy usage through the integration of “Smart Grid”, a smart electrical network operated by the SCG Cleanergy Platform.
This pioneering initiative will commence with Centara Grand and Bangkok Convention Centre at Central World serving as the inaugural pilot property to utilise renewable energy from SCG Cleanergy as its primary electricity source. The installation of rooftop solar panels capable of generating 861.35 kilowatts of electricity, is expected to reduce over 540 tonnes of carbon dioxide equivalent emissions annually. This clean energy venture is an integral component of Centara’s comprehensive 10-year sustainability plan spanning from 2020 to 2029. This multifaceted strategy seeks to lower the brand’s impact across four key areas by reducing energy consumption, water usage, greenhouse gas emissions, and the amount of waste sent to landfills by 20% compared to the baseline year of 2022. These ambitious goals underscore Centara’s continued dedication to sustainability and responsible environmental stewardship.
Oct 10 2023
InterContinental Hotels & Resorts unveils a distinctive global brand evolution
InterContinental Hotels & Resorts, the world’s first and largest international luxury hotel brand, is embarking on an exciting new chapter with the launch of an extensive global brand evolution announced today.
This transformative journey is driven by the brand’s long held belief that travel can expand minds and connect cultures, enhanced by cutting-edge technology, innovative design, and the exceptional talents of InterContinental’s diverse team members.
This holistic evolution includes new offerings and experiences, a fresh brand culture, unique brand differentiators, and a game-changing food and beverage and hotel design strategy tailored to the traveller of tomorrow.
With InterContinental hotels in the world’s finest cities from Rome to Shanghai, and 93 new hotels and resorts in the pipeline, these concepts will shape the future of InterContinental.
Tom Rowntree, Vice President of Luxury Brands at IHG Hotels and Resorts, said: “This isn’t a rebrand or repositioning; rather, it’s a comprehensive transformation from start to finish of InterContinental, ensuring we stay at the forefront of crafting a luxury experience for the modern luxury traveler. Collaborating with our 215 hotels worldwide, we are committed to delivering precisely what todays and tomorrows guests, owners and colleagues require.”
New initiatives include scientifically backed food and beverage programmes aimed at helping guests reduce travel fatigue while ensuring dining options reflect differing guest needs throughout the day. All guests will also receive access to the Timeshifter, a jet lag app which enables travelers to use the latest circadian science to adjust quickly to new time zones. InterContinental is collaborating with neuroscience-based designer Isabelle Sjovall to revolutionize guestroom spaces to enhance the restorative process needed for travel fatigue and reimagine other versatile physical spaces so they can seamlessly adapt to evolving needs at different times of the day.
The concierge, at the heart of cultural exploration, will play an even more significant role. InterContinental will develop innovative Concierge Galleries in hotel lobbies, transforming them into epicentres of unrivaled local, cultural knowledge.
Going far beyond the standard concierge desk, these new outposts will more closely resemble a luxury boutique, bringing together interactive displays, library spaces and informative features, in some cases even art installations or designer pop-ups.
InterContinental Hotels & Resorts will further elevate micro-occasions for guests who wish to enjoy any number of life’s milestones, from birthdays to baby showers, through its brand-new Incredible Occasions programme.
The Incredible Occasions programme will help signpost bookable spaces around the hotel, where groups of guests can enjoy privacy while celebrating memorable moments. Unlike grand settings or spacious ballrooms, each intimate space will include programming and packages, consisting of amenities and experiences, such as beautiful tablescapes, decadent candlelit dinners or private masterclasses which can be offered.
InterContinental will also unveil Celebration Suites across its global portfolio. These are reimagined spaces designed specifically to help guests elevate life’s most special moments, from lavish dinner parties to landmark birthdays.
The brand evolution focuses on further elevating quality design and timeless style under the umbrella of “Cultivated Elegance”.
InterContinental’s diverse style domains cater to different traveller preferences, from idyllic escapes such as InterContinental Maldives to romantic getaways at InterContinental Rome Ambasciatori Palace to unique stays at properties such as Bill Bensley-designed InterContinental Khao Yai.
Melissa Messmer, Global Head of Design for Luxury Brands at IHG Hotels & Resorts, said: “Each InterContinental hotel or resort is an experience-driven bespoke concept, tied together by our new Design Pillars that form the strength of our brand design style, Cultivated Elegance.”
IHG Hotels & Resorts currently has a portfolio that spans over 479 properties in more than 70 countries.
Oct 6 2023
5 tips to get more hotel reviews
Five top tips for getting more reviews from your guests:
1. Just ask
This may seem obvious, but statistics show that “65% of consumers left reviews in response to requests from a business.” Get your team involved in actively asking guests for reviews. Aside from just encouraging reviews, get your staff trained to spot opportunities with guests to enhance your online presence, such as offering to take photos for a group of travellers or creating photo-friendly moments throughout the guest’s stay.
2. Do more than what’s expected
We know it’s not always easy to go above and beyond for every guest’s every stay, but having moments where you can delight your guests could be the difference between them leaving a review or not. According to a study by BrightLocal, “81% of consumers are “likely” or “highly likely” to leave a positive review if they feel the business went above and beyond to ensure an exceptional experience.”
3. Make it easy for your guest to leave a review
Leaving a review can be time-consuming and not top of the list of priorities for most guests, but making it easy and simple for them to leave a review will go a long way in getting those reviews. Try placing strategic QR codes around the hotel, and after the guest has left, you can send them a post-stay email prompting them to leave a review. Again, make it simple by including an easy-to-follow link to leave a review.
4. Show that you care about feedback
Often guests don’t understand the importance of leaving a review. To encourage future guests to leave reviews – and to make those who already have felt heard and acknowledged – it is important to continue to engage with your guest’s feedback. Responding to all reviews is of paramount importance. It can have a positive impact on the way potential guests review your management team and a positive impact on your SEO.
Engagement with reviews shows potential guests that you value feedback and are committed to continuous improvement. Furthermore, you can share the reviews on your social media and on your website as a form of social proof, indicating to future guests that their reviews mean something to your hotel.
5. Remind guests again to leave feedback after their stay
While some guests may be eager to leave reviews, others may need an additional nudge. If you don’t remind them or prompt them to share their experience they may simply forget. Implementing a proactive review request strategy can make a huge difference. For example, Portmeirion Village saw a massive 569% increase in the number of reviews they received on Tripadvisor when they began sending GuestRevu post-stay surveys with Tripadvisor integration.
In the highly competitive landscape of the hospitality industry, mastering the art of collecting online reviews is a strategic move that can set you apart from the competition. By actively engaging your guests, providing exceptional experiences, simplifying the review process, and demonstrating your commitment to feedback, you’ll not only boost your online reputation but also gain valuable insights to improve your service.
Oct 5 2023
H World, formerly Huazhu, produces economy hotels with more than 1,000 hotels in China signed during 2Q2023 alone
What’s behind the name change from Huazhu Group to H World Group in June 2022?
As H World Group may not be so widely known outside China, let me first give a brief introduction.
Our founder (executive chairman Qi Ji) is a serial entrepreneur. He also co-founded Trip.com and Home Inns & Hotels Management. I have never in my life met anyone who brought three companies successfully to NASDAQ (laughs).
The first H World hotel was the economy HanTing Hotel in the suburbs of Shanghai, opened in 2005. Ji already had the vision then of creating a different hotel company. He is an engineering and computer science major, so he always believes that technology can change the hotel industry.
So, we really are using technology in all our operations and our management system to revolutionise the industry.
How is H World revolutionising the hotel industry in China?
We focus on technology-enabled economy and midscale hotels. Around 86 per cent of our rooms are limited service hotels, hence we are able to automate them. We are also going into select service. We do have a portfolio of full service hotels and a few ultra-luxury hotels in China through the acquisition of Deutsche Hospitality, but economy and midscale remains our core. (Note: the acquisition of Deutsche Hospitality was completed in January 2020. H World Group also holds the master franchise for Mercure, Ibis and Ibis Styles, and an agreement to co-develop Mercure and Novotel, in China.)
Most of our hotels are ‘manchised’ (a model that combines management and franchise). We develop all our operating systems internally – the CRM, RMS, PMS, staff management, etc – so we can keep everything in our own ecosystem, which is important. As a result, we have the largest membership programme with 218 million members. The next largest is maybe Jin Jiang (International), probably below 200 million. Marriott (International) has less than 190 million (a check with Marriott shows it has 182 million Bonvoy members globally). Our members account for 76 per cent of nights spent in our whole system – so, technology has enabled us to develop traffic.
We also automate almost everything. Members can book online through our app, choose or change rooms online, check in automatically at the lobby, produce the key and go to their room, order services such as laundry online, request for extra pillows and our robots – we have lots of them now running around in our hotels – will deliver and call them to pick up the items outside the door. Basically, you can do practically everything online.
What is your staff to room ratio?
Half of the industry standard. We still spend quite a lot of time thinking about how we can further use technology to improve efficiency.
We also try to make life easy for our franchisees. Each of our brands has a clear design and the hotels are highly standardised. We have a very big supply chain management; we even source construction companies for them (franchisees). So, if you are a lazy franchisee, you don’t need to do too much – you just need to get the location and pay for the model. As you know, with the managed franchise model, we recruit the hotel manager, train the staff and send them to the hotels to deliver our standard.
We are proud that we have revolutionised the Chinese hotel industry and we are still growing very fast.
Limited service is still the biggest market no matter where, even in the US, because only a small portion of people can afford luxury.
I travel a lot internationally and I believe our limited service products are among the best in the world.
When you compare our products such as HanTing with, say, the motels in the US or Europe, ours are much better products. We keep our rooms clean and extremely efficient, and we constantly push out a new version of our brands and ensure people will love them.
I noted that in the first half of the year you closed 302 low-quality economy soft brand hotels, and HanTing 1.0 properties, as part of your drive towards quality growth.
Yes, we are not looking to pump up our number of rooms. We tried that before and learnt from the Oyo effect (the group still has a small stake in the budget hotel player). We tried to imitate their business model and created a soft economy brand but it didn’t turn out well. The business model is just distribution: you come onto my platform and I charge you a fee. We found a lot of the hotels were just not up to our standard. Some were badly managed. It’s more damaging to our reputation.
You already have 8,622 hotels in operation as of June 2023. I saw that you signed 1,054 new hotels in China in 2Q2023 alone, a jump from 561 signings in 2Q2022. These are excluding the economy soft brand hotels. Is it still a lot of room to grow, especially in secondary-tier cities?
We find that more and more customers in China, and more so in the US, like branded hotels, even in the lower end. In the US, 70 per cent of hotels are branded. In China, I saw a newly-published number from an association that 38 per cent are branded, compared with 26 per cent in 2019. You can see it’s increasing fast.
During Covid-19, many independent hotels closed shop. They learnt it’s quite difficult to make money in such (an unprecedented) down cycle. People began to understand they needed a consistent brand and a solid distribution system. This benefitted us actually.
Are you growing fastest in Tier 3-4 and below cities?
China is a huge single market. There are four Tier 1 cities – Beijing, Guangzhou, Shanghai, Shenzhen – followed by the Tier 2 cities, which are the capital city of each province, and we are quite well covered in many of these cities. It’s important to go into every corner where we can have our hotels, thus we’ve set up a target of about 2,000 counties we think are possible for our expansion. Currently, we’ve covered close to 1,100 cities and counties, so still quite a lot of blank spots for us to go into.
During Covid-19, there’s less business, so we did some internal restructuring and set up six regional offices – in east China, south, central, west, north and north-east – to penetrate those places.
How’s the situation in China now? What are your views on reports of China’s cooling economy and China’s property crisis?
Actually, business is excellent for us. As you saw, our first-half earnings were the best ever.
We did not feel a slowdown. We benefit if there is a consumption downgrade as demand for our types of hotels grows stronger. We also benefit from revenge consumption, and there was some of that as reflected in the Spring Festival, for example.
There are lots of projections about how China’s GDP is going to grow. I’m not an economist, so it’s difficult for me to comment. What I want to stress is our business model is inelastic. If the business environment is good, we do well. If the business is challenged and people do not have that much money to travel, they will come to our hotels because these are really mass market products.
We do not see a slowdown in our demand. This year, we’re going to do quite well and we believe this trend will continue for our hotels.
But we don’t see Chinese travellers coming back in full force yet. What’s your take on the outbound market?
There are several reasons. One, (the number of) people who could afford outbound travel is not a huge amount (versus domestic travel). Second, the international flights are not fully recovered. The third is the visa issue – a lot of people cannot get visas. So, it’s a different play from the domestic mass market.
You’ve opened an office in Singapore. Are you planning to expand your brands in Asia?
We already have a JI Hotel (in Singapore), which opened during (the pandemic). It did quite well during the (recent) F1 event.
I think some of our brands that are universal, like JI and Orange, could be expanded. It depends on the market and on the owners.
Is Thailand an opportunity, since it’s the biggest market for Chinese travellers who are already familiar with your brands?
Yes, we do like Thailand, also Vietnam – actually the whole South-east Asia because our members like to go to these countries.
You joined the company in 2021 as CEO of international business, from CapitaLand and Temasek in Singapore. You were then promoted to H World Group CFO in December 2022. How do you find the hotel business in China?
(Laughs) It’s very interesting and I meet very interesting people, especially at property level. They are so passionate and pay attention to every detail. I really like to interact with them – it’s better than dealing with data centres!
Source: TTG Asia
Oct 3 2023
New York’s Historic Waldorf Astoria Inches Into New Era
Landmark Hotel Has Been Under Renovations Since 2017 To Add Luxury Condos
One of the most iconic hotel properties in New York, The Waldorf Astoria hasn’t housed a single guest since its Chinese ownership decided to shutter the building in 2017 and convert a significant portion of its rooms into luxury condos.
Six years later, there has been some recent movement on the property, including recently approved plans for a revamped ballroom space, but the most up-to-date timeline still doesn’t call for the property to reopen until 2025.
Here’s what you need to know about the world famous hotel and its path to reopening.
- The Waldorf Astoria was sold by Hilton in 2014 for $1.95 billion to China-based Anbang Insurance agency with Hilton signing a 100-year deal to maintain the branding and operations of the property.
- The 47-story building is located at 301 Park Ave.
- Hilton’s Waldorf Astoria Hotels & Resorts brand now has a portfolio of 34 hotels across the globe, including the New York hotel.
- The hotel closed in 2017 for renovations and is converting a large amount of the hotel’s space into 375 luxury condos, which were reported to cost in the range of $18 million a piece for buyers. At the time of closure, the property had more than 1,400 guest rooms but is expected to reopen with just 375.
- Immediately after the hotel’s closure, the New York City Landmarks Preservation Commission unanimously voted to protect “several interior spaces.”
- The Waldorf Astoria is now owned by Beijing-based Dajia Insurance Group, a financial group created after the Chinese government took over the financially troubled Anbang Insurance Group and the company’s chairman was arrested under corruption charges. Dajia has been steadily selling off its other hotel assets.
In early 2023, company executives announced the property will not reopen until 2025 at the earliest. Previously it was suggested the hotel could reopen in 2024.
Most recently, the Landmarks Preservation Commission unanimously approved plans in August to change the hotel’s grand ballroom, one of the several protected spaces on the property.
The New York Post reported in 2022 that costs for the projects have ballooned to roughly $2 billion, twice the original estimate.
Source: Hotel News Now
Oct 3 2023
Rosewood Hotel Group Commits to Branded Residences for the Long Term
More than 50% of Rosewood Hotels and Resorts’ existing portfolio and development pipeline include a branded residence.
Brad Berry, vice president of global residential development at Hong Kong-based Rosewood Hotel Group, said the decision to develop residential components starting in 2008 felt like a natural progression for the company.
It was evident there was space for the branded residential business to grow. And it did.
Rosewood Hotels & Resorts has 14 Rosewood Residences open and operating that are situated within or directly adjacent to a hotel or resort. Eleven residences are currently in the pipeline.
In the past year, the company announced its new stand-alone residences include the Rosewood Residences Kamala in Phuket, Thailand; Rosewood Residences Naples in Naples, Florida; Rosewood Residences Lido Key in Sarasota, Florida; Rosewood Residences Hillsboro Beach in Hillsboro Beach, Florida; and Rosewood Residences Beverly Hills in Beverly Hills, California.
“I’ve been involved in this business for many years, both on the developer side and the brand side in a variety of capacities and … it’s real estate at the end of the day, and that’s a business that’s going to go forever. This little nugget of that [real estate] business is really pretty special from a hospitality and hotel standpoint,” he said.
“The one thing that we have done is focus in the past couple years on the stand-alone [residences] business, which is a branded residential building or group of homes without a hotel. We can continue to see that growing as well. But we like both of those, whether it’s a mixed-use or a stand-alone,” he said.
They key components that Rosewood looks for in a branded residential deal are alignment with the development partners, a robust real estate and hotel market that needs luxury accommodations, and interest in the market from current owners.
Though the real estate business can be cyclical, Berry said: “If you stick with it in the long term, then I think people will benefit, and developers will benefit. We’re in it for the long term.”
Developers look to brands such as Rosewood for a track record of mitigating risk, creating confidence and generating demand, he said.
Berry said Rosewood doesn’t have a preference between developing a stand-alone residence or one with a hotel, but a stand-alone allows the brand to enter in more “real estate markets” that aren’t necessarily a great fit for a hotel.
“Or you could infill in a market where you already have an existing hotel … in some of the big U.S. cities and European cites,” he added.
There currently isn’t a large supply of branded residences in Europe, Berry said, and Rosewood sees plenty of opportunity there in urban centers.
The challenge, however, is dealing with a larger amount of older buildings that come with zoning hurdles.
“It’s exciting; we kind of have become a steward of these older, iconic buildings,” he added.
The average development timeline for an existing building is two years, while a greenfield development can take up to five.
Rosewood will continue to focus on expanding in Asia and North America, and there is untapped potential for the brand in South America. The company has a residential and hotel in São Paulo, Brazil, that is performing well, he said.
Source: Hotel News Now
Oct 1 2023
Guest Satisfaction: 8 Ways to Improve It
A modern hotelier knows that the crux of success isn’t just about good interiors or fine dining; it’s about how guests feel during their stay. That feeling, often intangible yet unmistakable, encapsulates what the industry terms as ‘guest satisfaction’.
It’s more than a mere metric; it’s a narrative of guest’s experience. A tale of moments where the hotel met or outdid their expectations.
What is Guest Satisfaction?
Simply put, it’s the barometer that gauges how pleased guests are with a hotel’s offerings and services. It’s founded on three core Q’s:
Quality
Quantity
Quickness
The equation is simple here: high-quality service + the right quantity of amenities + quick responsiveness = peak guest satisfaction.
Imagine a cramped room, devoid of essential amenities, and service that’s slower than a snail’s pace. The feeling of disappointment looms large, doesn’t it?
This highlights how crucial the trio of quality, quantity, and quickness is in defining guest satisfaction in the hospitality industry. When these three elements align, hotel customer satisfaction soars, and when they don’t, the very essence of the guest’s experience falters.
Why does Guest Satisfaction matter?
Satisfied guests become ambassadors, their word-of-mouth referrals catalyzing new footfalls and ensuring repeat business.
To put it in perspective, without a reservoir of satisfied guests, hoteliers can find themselves shelling out 5 to 25 times more money just to reel in new customers.
But the repercussions stretch further. By elevating hotel guest satisfaction ideas into strategy, hotels not only foster loyalty but also sidestep potential crises. Being proactive, anticipating hurdles, and tailoring services with precision can save countless hours and mitigate stress for both staff and management.
How to measure Guest Satisfaction?
Guest Satisfaction Surveys (GSS)
Hotels can extend a digital link, allowing guests to share experiences and rate services on varied facets. This method ensures a comprehensive guest satisfaction score, exclusive to the property’s archives. Consolidate this feedback and your average satisfaction rate is at your fingertips.
Online Reviews on OTAs
Understanding the underlying sentiments behind Online Travel Agencies (OTAs) reviews can make a world of difference. You can pinpoint areas of your service that shine and those that require attention. It’s about turning feedback into an actionable roadmap for enhancement. It provides insights into guest satisfaction in the hotel industry across categories, be it room amenities, culinary delights, or ambiance.
8 ways to enhance Guest Satisfaction
1. Online Reviews: Over 40% of travelers share their experience online after a pleasant stay. Monitoring platforms like Tripadvisor, Expedia, Google, and Booking.com is essential. A higher review rating can significantly influence booking decisions. Be proactive; embrace both commendations and critiques.
2. Customer Satisfaction Surveys: The digital version of the age-old feedback form, surveys offer insights directly from the guest. Metrics like:
- CSAT (Customer Satisfaction Score): “How would you rate your overall satisfaction with your stay?”
- CES (Customer Effort Score): “How easy was it to interact with [property name]?”
- NPS (Net Promoter Score): “How likely is it that you would recommend us to a friend or colleague?”
These scores offer a comprehensive guest satisfaction meaning, pointing to areas of improvement.
3. Online Reputation Solutions: The digital influx has resulted in an avalanche of online reviews. Using online reputation management tools like Quoality can help streamline, organize, and act on feedback. This holistic approach amplifies guest satisfaction in the hospitality industry.
4. Website Live Chat: A real-time solution to real-time queries! A live chat feature can bridge the information gap, offering instant answers and ensuring a seamless booking experience.
5. Social Media: Social platforms are the new-age concierges. Engage with your audience, run polls, ask for suggestions, and be a part of the conversations with tools like Linkfluence and Mention. Social engagement can redefine guest satisfaction in the hotel industry.
6. Digital Messaging Platforms: Why wait till checkout? Send automated text messages during a guest’s stay, seeking feedback. A timely intervention can remedy any dissatisfaction, ensuring a memorable stay.
7. Hotel Upselling Software: Offering room upgrades or spa sessions can not only increase revenue but also enhance the guest experience. It’s a gentle nudge to make their stay special. It’s not just about upselling; it’s about elevating their experience with the help of a leading upselling software like Quoality.
Conclusion
While technology has provided an array of tools to measure and enhance satisfaction, the foundation remains rooted in genuine human interactions, attentive service, and the drive to exceed expectations. Remember, every guest carries with them a narrative, a set of desires, and an idea of the perfect stay. By tuning into these narratives and aligning our services accordingly, we not only ensure their satisfaction but also secure their loyalty. After all, a satisfied guest is the best brand ambassador any hotel can hope for.
Source: HNR Hotel News
Sept 29 2023
PATA Welcomes Noor Ahmad Hamid as New CEO
The Pacific Asia Travel Association (PATA) is pleased to announce the appointment of Mr. Noor Ahmad Hamid as its new Chief Executive Officer, effective October 1, 2023. Noor’s appointment for a three-year term will usher in a new era for PATA as one of the world’s most influential industry associations dedicated to promoting responsible travel and tourism within the Pacific Asia region.
A Malaysian citizen, Noor, 60, has had a distinguished 35 years career in Travel & Tourism, including the last 13 years specialising in the critical Meetings, Incentives, Conventions and Exhibitions (MICE) sector.
PATA Chairman, Peter Semone, said, “We extend a warm welcome Noor to the PATA family. He is clearly the right person for this job at the right time. His extensive experience in association management, particularly in the trade association sector, and his deep understanding of the Asia Pacific region make him the ideal leader for PATA in this crucial period of change and challenge. The Executive Board unanimously supports Noor’s appointment and looks forward to working with him to build a more resilient, responsible, responsive, sustainable, and stronger travel and tourism industry.”
Noor commented, “I am deeply humbled by this opportunity and extend my heartfelt gratitude to PATA Chairman and Executive Board for their trust and support. I pay tribute to PATA’s founders and leaders, past and present, and applaud the members for their steadfast support over the years.”
He added, “The Asia-Pacific travel and tourism industry is rebounding faster than anticipated. But this is an era in which crises have become the New Normal. Helping the PATA membership deal with them will be equally as important as helping them capitalise on the many opportunities. I believe PATA’s long history and collective strength makes it well placed to deliver value, stability and sustainability in a rapidly evolving New World Order.”
Noor’s inaugural engagement as CEO will be at the prestigious PATA Travel Mart, scheduled from October 4 to 6 at Pragati Maidan, New Delhi, India. He looks forward to connecting with host destination officials and members, chapter and youth leaders, exhibitors and buyers, partners, members of the media, and the entire travel and tourism community.
Born in the state of Perak, Malaysia, Noor graduated with a diploma in Tourism Administration from the MARA Technological University (UiTM), Malaysia. In 1984, he joined the Malaysia Tourism Promotion Board (now Tourism Malaysia) and served there for more than 16 years in the Public Relations, Marketing, Domestic Promotion and Convention departments. He was also based in its Los Angeles, USA office for four years.
After a brief stint at an events management company specialising in international sporting events, Noor joined a Malaysian government-affiliated company focussing on hospitality and tourism investment.
In 2009, Noor joined the International Congress and Convention Association (ICCA) as the Regional Director of Asia Pacific where he served for 11 years gaining enormous experience in the nuances of not-for-profit association management. During his tenure, membership in Asia Pacific grew substantially to become the largest regional bloc within ICCA.
In 2019, he was appointed COO of Malaysia Convention and Exhibition Bureau (MyCEB) and played a key role in the post-Covid recovery of Malaysia’s business events industry
In 2022, he was inducted into the Events Industry Council Hall of Leaders, the most prestigious award in the global business events industry, the only Asian recipient alongside distinguished professionals from America and Europe In 2018, he received the China MICE Leaders Award from Meetings and Conventions China for his contributions to the Asia Pacific region.
Sept 28 2023
Thailand Convention and Exhibition Bureau (TCEB) aims the country to become a high value-added MICE destination
In a bid to build up Thailand’s image as a high value-added destination, TCEB seeks out opportunities that enable event owners and organisers to tap into high-potential future industries while also making it easier to discover more authentic and localised activities that meet the demands of a new generation of MICE visitors.
TCEB’s new focus on future opportunities is supported by insights from a recent study “MICE Foresight” that revealed the future-oriented opportunities and authentic experiences to be among the top buying criteria.
TCEB President, Mr. Chiruit Isarangkun Na Ayuthaya, said: “As an advocate for Thailand’s MICE industry, TCEB keeps a close eye on how Thailand stands out.”
Towards this end, TCEB is drawing on its experience in promoting MICE Cities as well as its collaboration with the Office of the Eastern Economic Corridor (EEC) who is in charge of driving the country’s strategic industrial sectors.
The following projects illustrate TCEB’s pivot towards future opportunities and authentic experiences:
- Promoting Pattaya as the business hub of the EEC
In addition, TCEB has also collaborated with the City of Pattaya to create a special “City Package” for MICE which was launched at IT&CMA 2023 during 27-28 September.
- Promoting the gastronomy of Phuket
TCEB is building on Phuket’s status as a UNESCO Creative City of Gastronomy and the city’s own gastronomy promotion campaign to create a fine-dining experience called “Food for Faith” as part of TCEB’s Festival Economy initiative. Inspired by the island’s Vegetarian Festival and co-created with some of Phuket’s most celebrated chefs. A showcase of creative ideas and a fusion of wellness wisdom curated from the island’s culture, “Food for Faith” will introduce visitors to a new side of Phuket and help establish it as an island paradise par excellence for MICE.
- Promoting Chiang Mai as the gateway to Thailand’s best coffees and teas
Fresh from celebrating Chiang Mai’s win as a “World Festival and Event City” from the International Festivals & Events Association (IFEA) in 2022, TCEB has embarked on a new project with Chiang Mai and Chiang Rai to develop a multi-faceted coffee-and-tea route for MICE visitors.
Email TCEB for more information [email protected]
Sept 20 2023
Manish Nambiar appointed Managing Director of Siam Kempinski Hotel Bangkok and Vice President Operations, South East Asia Kempinski Hotels
A veteran hotelier with almost 20 years of experience with Kempinski, he joins one of Kempinski’s flagship properties from his executive role as Area General Manager of Africa since 2021. In his previous position, he oversaw the operations of all Kempinski properties in the Africa region and was based at Kempinski Hotel Gold Coast City Accra, in Ghana.
Manish started his career path with Kempinski S.A. as a food and beverage specialist in Tanzania, East Africa in 2004 and enhanced his expertise by opening various Kempinski properties in the Middle East and Africa.
As the Vice-President of Operations for South East Asia, Manish will be responsible for the execution of operations, including service, operational brand standard delivery and the quality of all Kempinski hotels in the region. He will be based at Siam Kempinski Hotel Bangkok and will lead four other stellar properties in South East Asia.
‘I am proud to join an iconic landmark and flagship property of Kempinski and contribute to Thailand’s incredible reputation for warm hospitality and Bangkok’s dynamic hospitality community’, he said.
Like all hotels of the luxurious European hotel group, Siam Kempinski Hotel Bangkok is a member of the Global Hotel Alliance (GHA), the world’s largest alliance of independent hotel brands, and offers a wide variety of benefits to members through the KEMPINSKI DISCOVERY Loyalty Programme.
August 30 2023
KEY ELEMENTS OF A USP (Unique Selling Proposition)
There are three factors that determine a hotel’s USP and only three.
- Location.
- Comfort.
- Value.
A good USP integrates all three elements to form a clear concept of the hotel. If you are unique (and positively so) on all three points your USP is perfect. But that’s rare (in fact so rare if this is the case you don’t need any marketing at all). You’ll often find one of these points is totally unique and the other two are passable. It can happen that only one is great and the other two are not good at all, then put all your focus on what’s great as that could be enough to drive people to your hotel.
Let’s go over these three points a bit more.
LOCATION
With your location you are telling the future guest that your hotel is going to save them time if you are not in the city center then show them how easy it is to reach the city center from your hotel. If there’s a direct subway line to the city center or other point of interest then use it to your advantage. If you’re just too far from anything of interest then you can still use it to your advantage but we’ll cover that in the other points.
COMFORT
The decoration and interior design fits in there. But remember you need to tell your future guest how they will personally benefit from it. Essentially you need to tell them how it will make their life better. Ultra comfortable beds in a luxury setting, 24 hour service, voted the friendliest staff in the city are all great ways to take advantage of comfort. However pictures say a lot about comfort and large images of the rooms and the comfort will do more than many words.
VALUE
This doesn’t need too much explanation. Is your hotel going to save them money? That doesn’t mean you’re going to only be cheap, it means that you could be the best value money can buy – while still having a high average daily rate. Remember that it’s about customer perception and that’s not necessarily objective. Here’s where a bad location can be an advantage, your hotel may not be in the city center but because it’s a bit further away it’s cheaper for a much better quality. Just like the classic ad campaign by Avis “We’re only number two but we try harder.” A hotel can use its negative position as an advantage in comfort and value.
SUMMARY AND HOTEL USPS
Everybody needs a USP – because guests aren’t interested in staying somewhere that isn’t the best nor the cheapest. As hoteliers and marketers it’s your job to find out where you are the best and how you are the cheapest in a particular sector.
August 28 2023
A Beginners Guide to Lead Generation for Hotels
If you’re in the hotel business, then you know that generating leads is essential to your success. After all, without leads, you won’t have any guests! That’s why we’ve put together this beginner’s guide to lead generation for hotels.
Let’s cover some of the basics of lead generation, including what it is, why it’s important, and how to do it the right way. By the end, you’ll have a better understanding of how to generate leads for your hotel business and be on your way to more guests (and more business)!
So, let’s get started!
What is lead generation?
Lead generation is the process of attracting and converting strangers into potential customers or guests. In other words, it’s how you get people to come to your hotel.
There are several ways to generate leads, including online and offline marketing techniques, as well as word-of-mouth referrals. You just need to find the lead generation method that works best for your business.
Why Is lead generation important?
Lead generation is an essential aspect of any successful business or marketing strategy. This is because it helps to identify and target potential customers who are likely to be interested in a particular product or service. By generating leads, businesses can reach out to a larger audience, increase brand awareness, and drive sales and profits.
Many factors contribute to the importance of lead generation. First, it allows businesses to better understand their customers’ needs and preferences. This information can then be used to develop more effective marketing campaigns that speak directly to these needs and interests.
Second, lead generation makes it possible for companies to connect with consumers at all stages of the buyer’s journey—from initial interest through conversion and beyond. This enables businesses to engage with potential customers at exactly the right time and in a way that resonates with them most effectively.
Third, generating leads helps companies build strong relationships with their customers over time. By building trust and credibility through regular interactions, businesses can establish themselves as thought leaders in their industry, gain valuable referrals, and nurture long-term customer loyalty.
Overall, lead generation is an important tool for success in today’s competitive business environment. It enables companies to effectively engage with prospects across multiple channels and build meaningful relationships that drive results for years to come.
How to generate leads for your hotel business
There are several ways to generate leads for your hotel business. Some of the most effective methods include:
1. Identifying your target market
The first step in generating leads for your hotel is to identify your target market. Who are you trying to reach with your marketing efforts? What type of guest are you trying to attract? After you’ve identified your target market, you can start targeting your marketing efforts specifically toward them. This will help you generate more qualified leads who are more likely to convert into guests.
2. Using SEO to drive traffic to your website
Another great way to generate leads for your hotel is to use search engine optimization (SEO) to drive traffic to your website. By optimizing your website for specific keywords that your target market is searching for, you can increase the chances that they’ll find your website when they’re looking for hotels in your area. When they already find your website, all you need to do is provide them with a way to contact you (more on that in a minute) and you’re well on your way to generating a new lead!
3. Providing a way for guests to contact you
Once you’ve driven traffic to your website, you must provide visitors with a way to contact you so that they can inquire about booking a stay at your hotel. The best way to do this is to include a contact form on your website that visitors can fill out with their information. After submitting the form, their information will be sent directly to you so that you can follow up with them and try to close the sale.
4. Using paid advertising
Another great way to generate leads for your hotel is through paid advertising. There are several different platforms where you can place ads (such as Google AdWords or Facebook Ads), and each platform has its own set of targeting options that allows you to reach specific audiences with your ads.
Paid advertising can be an effective way to generate more leads because it allows you to reach people who are already interested in what you have to offer.
5. Staying in touch with past guests
Of course, remember past guests! These people have already stayed at your hotel and had a positive experience, so they’re more likely than anyone else to book another stay in the future.
Stay in touch with them by sending them periodic emails or postcards letting them know about any special offers or promotions that you’re currently running. You could also invite them to your corporate events or make them aware of any changes or improvements that you’ve made to your hotel.
By staying in touch with past guests, you’ll be able to generate repeat business and create loyal customers who will continue booking stays at your hotel for years to come.
Wrapping up
Generating leads is essential for any hotel looking to succeed in today’s competitive market. By using the methods described above, you can start generating leads for your hotel business and putting yourself on the path to success.
Source: eHotelier
August 22 2023
Six Hotel Sales Strategies To Increase Occupancy And Revenue
A hotel sales strategy is a plan of action designed to increase hotel revenue and bookings. It involves identifying target markets, setting sales goals, and creating a plan to achieve those goals.
Here are six hotel sales strategies to increase your revenue.
1. Understand your target audience
It is important to understand who your guests are in order to provide relevant offers and guest experiences and find the right channels to reach them. Once you know who your target audience are, it will be easy to plan your sales strategy and offer deals to attract them to your hotel.
2. Use social media marketing
Here are some ways to use social media marketing for hotels:
- Choose the right platforms: Not all social media platforms are created equal. Identify which platforms your target audience uses and focus your efforts on those platforms. For example, Facebook and Instagram are popular platforms for travel-related content.
- Create engaging content: Use high-quality photos and videos to showcase your hotel’s amenities and unique features. Share interesting and relevant content such as travel tips, local events, and food recommendations.
- Utilize user-generated content: Encourage guests to share their experiences at your hotel by using hashtags or tagging your hotel in their posts. Share user-generated content on your hotel’s social media channels to showcase positive guest experiences and promote your hotel.
- Offer promotions and deals: Use social media to offer exclusive promotions or deals to your followers. This can encourage them to book directly with your hotel instead of through third-party booking sites.
- Engage with your audience: Respond to comments and messages promptly and in a friendly manner. Use social media as a way to build relationships with potential guests and provide excellent customer service.
- Collaborate with influencers: Partnering with influencers can be a powerful way to promote your hotel to their followers. Identify influencers who align with your hotel’s brand and values, and work with them to create sponsored content.
- Monitor analytics: Monitor your social media analytics to track the success of your social media efforts. Use this data to refine your strategy and improve your social media presence over time.
3. Partner with local businesses
Partnering with local businesses such as tourist attractions, restaurants, and shopping centres can help attract more guests to your hotel. Offer discounts or special packages to guests who visit these businesses.
Here are some steps to follow when partnering with local businesses:
- Identify relevant businesses: Identify local businesses that are likely to attract potential hotel guests. This might include tourist attractions, restaurants, shopping centers, and transportation providers.
- Reach out to potential partners: Contact potential partners and introduce yourself and your hotel. Explain the benefits of a partnership and how it can be mutually beneficial. For example, you might offer to promote the partner’s business to your guests in exchange for them promoting your hotel to their customers.
- Offer exclusive deals or packages: Work with your partners to create exclusive deals or packages that are only available to guests who visit both your hotel and the partner’s business. This can encourage guests to stay at your hotel and visit the partner’s business, and vice versa.
4. Offering promotions and deals
Here are some examples of promotions and deals that hotels can offer:
- Discounted rates: Offer special rates for specific times of the year or days of the week. For example, hotels might offer lower rates for weekday stays or during the off-season.
- Package deals: Create package deals that include extras such as free breakfast, spa services, or tickets to local attractions. This can add value for guests and encourage them to book directly with the hotel.
- Last-minute deals: Offer last-minute deals for guests who book within a certain timeframe. This can help fill rooms that might otherwise go unoccupied and increase revenue.
- Group discounts: Offer discounts for group bookings, such as weddings, conferences, or other events. This can attract large groups of guests and increase revenue.
- Gift cards or vouchers: Offer gift cards or vouchers that can be used for future stays or amenities such as restaurant or spa services. This can encourage guests to return to the hotel and increase revenue.
5. Provide exceptional customer service
Exceptional customer service is critical to the success of any hotel. Train your staff to provide personalized, attentive service to guests, and respond quickly and efficiently to any issues or concerns they may have.
Here are some tips for providing exceptional customer service:
- Greet guests warmly: Greet guests with a smile and a warm welcome. Use their name if possible and offer assistance with their luggage.
- Be attentive to guest needs: Anticipate guest needs and offer assistance whenever possible. This might include providing extra towels or pillows, offering recommendations for local attractions, or arranging transportation.
- Respond promptly to guest inquiries: Respond quickly and professionally to guest inquiries and concerns. This might include answering questions about hotel amenities, resolving complaints, or addressing maintenance issues.
- Provide personalized service: Treat each guest as an individual and provide personalized service based on their needs and preferences. This might include offering a specific room type, providing a welcome amenity, or catering to dietary restrictions.
- Follow up with guests: Follow up with guests after their stay to ensure they had a positive experience and address any concerns they may have had. This can help build guest loyalty and encourage repeat business.
- Empower staff to provide excellent service: Train hotel staff to provide excellent service and empower them to make decisions that benefit the guest. This can help create a culture of exceptional service throughout the hotel.
6. Monitor online reviews
Online reviews can greatly influence a guest’s decision to book a hotel. Monitor and respond to online reviews promptly, and use feedback to make improvements to your hotel’s amenities and services.
Here are some tips for monitoring online reviews effectively:
- Claim your listings: Claim your hotel’s listings on popular review sites such as TripAdvisor, Yelp, and Google My Business. This will allow you to respond to reviews and update your listing with accurate information.
- Set up alerts: Set up alerts for new reviews so that you can respond in a timely manner. This might include email notifications or using a reputation management tool that aggregates reviews from multiple sites.
- Respond to reviews: Respond to reviews, both positive and negative, in a professional and courteous manner. Thank guests for their positive feedback and address any concerns or complaints they may have had. This can help show that you value guest feedback and are committed to improving the guest experience.
- Address issues raised in reviews: Use feedback from online reviews to identify areas where the hotel can improve. This might include addressing issues such as cleanliness, maintenance, or service.
- Encourage guests to leave reviews: Encourage guests to leave reviews by including links to review sites in post-stay emails, on your website, or in promotional materials. This can help increase the number of reviews and provide a more representative picture of the guest experience.
Conclusion
Hotel sales strategies should be monitored regularly to ensure they are achieving the desired results. This might involve tracking metrics such as occupancy rates, revenue per available room, and guest satisfaction scores, and making adjustments to the sales strategy as needed.
Source: eHotelier
August 21 2023
Six Technologies That Boost F&B Revenue
With hotels focused on increasing revenue per available room (RevPAR), food and beverage (F&B) revenue is often an overlooked source of financial opportunity for properties.
Hotels and resorts can’t afford to ignore their F&B offerings, and successful properties invest in innovative technology solutions that expand their F&B reach and create new revenue streams to improve their bottom line.
As reported in a survey by the International Association of Conference Centers earlier this year, while location and price rank the highest to planners, a hotel’s F&B takes the third spot on their priority list during site selection. Today’s F&B solutions offer more choices to guests in terms of anytime access and flexibility in ordering, elevating their experience on property and further personalizing their stay, and help hotels optimize operational efficiency and retain their strongest employees.
1. Digital Menus
Digital menus can provide guests with a clear view of ingredients and nutritional information, and they can offer upsell opportunities for the hotel. Guests can easily make choices on dynamic menu boards updated in real-time. If the restaurant is out of a food item, it will not appear on the menu, and the property avoids disappointing the guest and wasting their time.
Many digital menu solutions allow users to create menus with supplied templates or create their own designs with high resolution images, dynamic pricing, and menus with auto-updates at scheduled times. Venues can program rotating menus and promotional prices or seasonal specials. Connecting the digital menus to the property’s F&B point-of-sale system on the back end ensures all prices and images are auto-updated so guests are viewing all selections, nutritional information, and pricing in real-time.
2. On-Demand Food and Beverage (F&B) Service
A guest-facing order-and-pay solution is a revenue stream that many properties are missing out on because they do not extend their F&B service beyond the walls of the restaurant. Through on-demand F&B service, guests can access menus from multiple food and beverage outlets across the hotel property, can conveniently pay via their mobile device, and have food ready for pickup or delivered wherever they are on property by scanning a location-specific QR code – whether in their room, by the pool, or in the spa. This extends the convenience of anytime ordering to meet the guest on their terms.
With the right F&B solutions partner, properties can improve operational efficiency. On-demand menus can be updated in real-time to avoid guests ordering items that are no longer available, and venues can be displayed or hidden on the solution to coincide with their operating hours. On-demand solutions help improve the level of service provided, as allowing the guest to order directly ensures order accuracy, the guest doesn’t have to wait for staff to take their order, and the order goes straight to the kitchen without delay. An on-demand solution can also recommend upsell items, increasing the average ticket.
3. Self-Service Kiosks
Self-service kiosks allow resorts to expand their service reach by providing F&B outlets and grab-n-go markets with a quick self-serve and self-pay option for guests. This technology has seen rapid adoption at grocery stores, and more recently, with unassisted bag drop at airports. For hotels, kiosks provide guests the freedom to browse menus at their convenience, from anywhere on property, without requiring staff interaction. This is especially appealing to guests where the control of self-service and moving quickly through lines is held in high regard.
4. Point of Sale (POS) with Mobile Functionality
While on-demand F&B service provides guests with a self-service option, mobile POS solution allows staff to take F&B service to guests who desire a more personal service experience. Resorts are finding that mobile point-of-sale solutions for food and beverage service dramatically increases profitability by allowing staff to cover more tables in a shorter period, reducing staff stress, and allowing the resort to operate in situations with limited staff availability.
Through full POS functionality offered on a tablet, staff can offer F&B service to guests in areas like the pool deck, on the casino floor, in the spa, or in the lobby. Menus, ingredients, and specials are updated in real time, and orders go immediately from the tablet to the kitchen reducing errors. This is another opportunity where technology increases efficiencies yet also creates another high value interaction point with the guest.
5. Contactless Payment
Solutions that allow guests to scan a QR code on their food bill to pay their check or give them the option to pay on their mobile device are convenient and time-saving for guests and staff. Guests don’t have to wait for a server to return to process their credit card, providing the added security of ensuring the guest’s credit card always stays in their possession. Guests have now been conditioned to expect flexible payment options like contactless payments. As a result, properties have seen a rise in adoption especially within the last year.
6. Inventory and Procurement (I&P) Solution
One area that many hotel properties forget to prioritize is inventory and procurement. A large portion of a property’s operating costs are related to food purchases and optimizing how supply is managed on an ongoing basis. I&P solutions help staff manage and predict inventory needs, manage food costs, and limit food waste.
Why F&B is More Important than You Think
Aside from its impact on property revenue, hotel F&B is one area that can make an immediate impression on the guest, build loyalty, and affect the property’s reputation. Food experiences play a critical role in guest stays as can be witnessed on vacation social posts. A bad food experience, whether unavailable food choices, ingredients not being displayed, or poor service, can lead to negative reviews of a stay. Even if every other aspect exceeded guest expectations, a bad food experience can damage a property’s rating. This also plays an expanding role in terms of contribution to RevPAG.
F&B is also important for hotels focused on meetings and events business. According to the International Association of Conference Centers, “Accommodating guests’ dietary needs is a great opportunity for upselling. No attendee wants to forgo a meal because of an allergy or a food sensitivity, and rarely do they want to make a fuss about their dietary restrictions…Venues that can serve vegan, vegetarian, gluten-free, and dairy-free options will be more attractive to planners even if they are more expensive.”
Properties can’t afford to ignore the importance of F&B in driving loyalty and ongoing hotel revenue. When they provide a variety of F&B offerings delivered through innovative technology tailored perfectly to a guest’s preferences, properties see an increase in spend and a positive impact on the guest experience.
Hotels that offer guests the ability to choose how they want to order food – whether face-to-face with their favorite server in a fine dining restaurant or delivered to their cabana at the pool – will see a direct increase in F&B revenue and better reviews for the property and in the form of tips to their servers.
These properties are retaining their best team members, they are extending the reach of service to capture more orders, they are better managing their food and labor costs due to improved operational efficiency, and helping to forge a lasting bond with guests who receive an exceptional experience through their food and beverage interactions.
About Agilysys
Agilysys is well known for its long heritage of hospitality-focused technology innovation. The Company delivers modular and integrated software solutions and expertise to businesses seeking to maximize Return on Experience (ROE) through hospitality encounters that are both personal and profitable. Over time, customers achieve High Return Hospitality by consistently delighting guests, retaining staff and growing margins. Customers around the world include: branded and independent hotels; multi-amenity resort properties; casinos; property, hotel and resort management companies; cruise lines; corporate dining providers; higher education campus dining providers; food service management companies; hospitals; lifestyle communities; senior living facilities; stadiums; and theme parks. The Agilysys Hospitality Cloud™ combines core operational systems for property management (PMS), point of sale (POS) and inventory and procurement (I&P) with Experience Enhancers™ that meaningfully improve interactions for guests and for employees across dimensions such as digital access, mobile convenience, self-service control, personal choice, payment options, service coverage and real-time insights to improve decisions. Core solutions and Experience Enhancers are selectively combined in Hospitality Solution Studios™ tailored to specific hospitality settings and business needs. Agilysys operates across the Americas, Europe, the Middle East, Africa, Asia-Pacific, and India with headquarters located in Alpharetta, GA. For more information visit Agilysys
Source: Hospitality Net
