Hotel and Restaurant Times Oct - Nov 2014

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OCTOBER/NOVEMBER ‘14

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BUSINESS

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HOTEL

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INDUSTRY

OPTIMISM WITHOUT COMPLACENCY SHAUN QUINN INTERVIEWED

IRISH HOTELIERS CONSOLIDATION IN A CHANGING MARKETPLACE

GREAT STRIDES GREAT NATIONAL HOTELS CONTINUED GROWTH

TAXING THE TOURIST BUDGET WOES

www.hotelandrestauranttimes.ie


No.1

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CONTENTS

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COVER: Shaun Quinn, CEO, Fáilte Ireland

CONTENTS NEWS + APPOINTMENTS SHAUN QUINN INTERVIEWED FÁILTE FOCUS IRISH HOTEL GROUPS CAMDEN COURT HOTEL THE SPENCER HOTEL THE SILVER RESTAURANT RAI NEWS CATEX TOURISM IRELAND NEWS FÁILTE IRELAND NEWS GREAT NATIONAL HOTELS IFSA NEWS BOOKASSIST WHITEWARE FROM BUNZL MCLAUGHLIN GMIT NEWS DIT NEWS TAXING TOURISM ENERGY COMSUMPTION AND COSTS GREEN HOSPITALITY

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Hotel & Restaurant Times is circulated on subscription to Chief Executives, Directors and Proprietors of Hotels and Restaurants in Ireland along with Architects, Interior Designers and Suppliers to the Hotel and Restaurant Industry. Managing Editor: Cyril McAree (01-6285447, cyril@hotelandrestauranttimes.ie) Business Development: Alan Doherty (01-2842909, alan@hotelandrestauranttimes.ie) Contributors: Pavel Barter, Cynthia Bifolchi, Frank Corr, Dr. Des O'Mahony, Fáilte Ireland, IFSA, Tourism Ireland, Restaurants Association of Ireland, Conor Power, Susan Clarke, GMIT, DIT. Printing: W G Baird All paper used in the production of this magazine comes from certifiably sustainable forestry.

ALL CONTENTS OF THE MAGAZINE ARE COPYRIGHT OF HOTEL & RESTAURANT TIMES: H&R HOUSE, CARTON COURT, MAYNOOTH, CO. KILDARE. TEL/FAX: 01 628 5447. E-MAIL: editorial@hotelandrestauranttimes.ie WEB: www.hotelandrestauranttimes.ie H&RT OCTOBER/NOVEMBER ‘14

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Long may it continue… As we go to press, the budget is imminent and the industry is hoping for favourable treatment for the sector. The CSO figures continue to show growth, and projections are looking good for 2015 (or “2.15” as Minister Noonan might say). Over 34,000 jobs recently created can be directly attributed to the reduction in VAT to 9% - any tampering with that would be seen as a renegade step. ERSI recent reports are confident that growth in real terms will be in the region of 5%; the same is expected for 2105. One wonders if other VAT rates were to be reduced, would it have a similar effect across other sections of businesses throughout the country, and create continued growth in jobs and exchequer returns? Let’s hope common sense prevails and the current 9% VAT rate is at least left as is. With all these encouraging signals about the economy, from varying experts, a neutral budget is anticipated.

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EDITORIAL

In a recent interview, Shaun Quinn gave an insight to some of the objectives of Fáilte Ireland and his recognition that the industry cannot afford to become complacent. Industry growth is from a very low base, and any increase could be misinterpreted that the sector doesn’t need the same support and investment of previous years. Equally welcomed is the fact Fáilte intend to create an image bank to assist with social media aspect requirements and ensure we have the best imagery to sell Ireland through web browsers. Another key piece in the jigsaw for is the new British-Irish visa arrangements. This new scheme which will enable visitors from China and India to travel freely between Ireland and the United Kingdom, using the same travel documents - i.e. using either an Irish or UK visa. This is a significant step, as it will mean Chinese and Indian visitors will be able to visit Ireland and the UK, including Northern Ireland, on a single visa of either country. Tourism Ireland will be working hard to promote the new BritishIrish Visa Scheme in China and India, with the message that the island of Ireland is open for business and visitors are welcome to our shores.

Continual investment in physical property is another sign of renewed confidence. With hotels such as The Spencer and Camden Court investing substantial sums in refurbishing and upgrading facilities, coupled with the likes of the Newbridge Silverware restaurant revamping their entire restaurant, it’s incumbent on the Minister for Finance to support commitments and investment.

With interest in Irish hotel stock attracting notice from more overseas investors, we talked to some key home-grown players to see how they see the future of Irish owned and run properties. It is felt that the new breed of Irish hotel group is a much leaner animal than its predecessor.

Forged in an era of slim pickings, these are businesses with a trimmed-down cost base and a quietly voracious instinct for expansion. The Irish hotel industry was one of the first industries that suffered in the downturn. It is also one of the industries that have bounced back quicker than most others. Long may it continue…

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Cyril McAree Editor








Suppliers of Contract Furniture, Pub Memorabilia and Architectural Salvage

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BHA Construction successfully completed yet another hotel refurbishment scheme in Dublin City Centre. Works to the former Clarion Hotel and now The Spencer Hotel, Chic Boutique 4 star hotel located in the hub of the Irish Financial Service Centre, included refurbishments to all 165 bedrooms, corridors, bar, restaurant, kitchen, reception and lobby areas. The Spencer remained open and fully operational whilst works were being completed. BHA Construction worked closely with award winning Interior Designer Brian McDonald from McDonald Design, hotel management and Paul Fitzpatrick to ensure all works and deadlines were completed on time and within budget.

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INTERVIEW

Optimism without complacency In a time of great upheaval and change the Irish tourism industry has had to rise to the challenge with inventiveness and determination. Now, with signs of the industry tentatively turning a corner it seems the hard work and commitment is paying off. To find out more we met with Fáilte Ireland CEO Shaun Quinn to reflect on the first shoots of recovery and discuss what still needs to be done if tourism is to grow as a driving force of economy growth as well as a leading sector in job creation. It’s certainly a time of optimism. Official statistics have been encouraging, pointing to growth in the international and domestic markets, and for the first time a pickup in virtually every region. And to complement these hard numbers, Fáilte has also tracked growth in the number of deeper, more qualitative, surveys they do each year. “There is optimism,” Shaun tells us. “But we can’t become complacent. It has taken us a long time to get where we are in terms of turnaround. We’ve become much more competitive than four or five years ago and that’s one of the reasons we’ve done better this year. We can’t throw that away. You can become uncompetitive very quickly and it takes time to reverse that.”

“ We have been overwhelmed by the positive response from tour operators and punters who have visited the Wild Atlantic Way. But there’s more to do - its not going to turn the fortunes around overnight but it is something we’re betting on.

Other reasons he cites are incomes in some source markets improving, pent-up demand and crucially, plenty of air and sea access. And of course the implementation and retention of the 9% VAT rate. He also recognises that businesses themselves have made great strides in becoming more cost efficient and using labour more effectively, and that a lot of local authorities individually have worked with the trade to try and ease the cost burden. That growth is Dublin-centric is a common refrain however, but Shaun insists recovery is now taking hold in virtually all

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Shaun Quinn

regions and that new initiatives like the Wild Atlantic Way in the West and a new heritage brand for the South and East will provide a substantial return to counties beyond the capital.. “We have been overwhelmed by the positive response from tour operators and punters who have visited the Wild Atlantic Way. But there’s more to do - its not going to turn the fortunes around overnight but it is something we’re betting on. Over the past 20 years we lost valuable visitors touring the West in significant number. Over the same period we experienced a growth of city breaks. The people who come to Dublin are not necessarily those who want to consume Wild Atlantic Way. We need both market segments - it’s not a case of either/or.” And what about those who worry the South and East are being left behind? “That is not the case,” says Shaun. “It’s only natural to see a new initiative in the West and think you’ve been forgotten about but the reality is we have put most of our capital investment into the South and East in recent years and to great effect. We need to leverage that investment and to that end we’re currently finalising work on a new heritage-based brand proposition .Stretchinh from the Boyne Valley to Waterford we have over 5,000 years of European history. We have attractions which


INTERVIEW

Josephine O'Driscoll, Fáilte Ireland, Trish Bevan, West Cork Development Partnership, Seamus O'Driscoll, Cape Clear Island Ferries, Fiona Ardrundel.

are older than the Egyptian pyramids! We have researched our work with consumers and it reasonates well and I am confident it will deliver results.” And according to Shaun the turnaround in tourism in these areas - in fact in the entire country - will be driven by overseas visitors. This belief is at the core of Fáilte’s strategy for growth. He says: “The opportunities for this industry are overseas so we’re putting our efforts behind big projects that can stand out internationally - apart from being price competitive you have to have compelling propositions of scale. The bulk of the growth will come from three or four core markets already very familiar with what Ireland has to offer. The domestic market is not going to grow to the same extent but it remains terribly important in terms of helping to sustain the level of investment across the sector and in supporting The opportunities shoulder business - I would say don’t ignore it, make the most of it, but don’t for this industry are become too dependent on it.” overseas so we’re putting Fáilte’s strategy is also focusing on our efforts behind big marketing and social media, as in this projects that can stand out new age of technology the two are internationally - apart from inextricably linked. As Shaun says, being price competitive today’s discerning traveller is more you have to have influenced by user generated content compelling propositions such as reviews on TripAdvisor or of scale. experiences shared on Twitter or Facebook than Tourist Boards. That shift has upped the responsibility of the industry to provide the best possible experience. Fáilte also provides a digital bank of high-quality videos and images that would be too expensive for businesses to commission individually. According to Shaun providing this content to the trade boosts Ireland’s online presence and satisfies travellers’ appetites for a ‘sense of place’ via compelling online content. “What does Ireland look like if you Google it?” explains Shaun. “For example we have found that some of our imagery isn’t right - it’s very stereotypical, staid and old and travellers are not looking for that. One of the priorities we have going forward is to invest in new imagery to help reposition the Irish tourist offering in the minds of our target segments.” And of course as the sector continues to grow it will have a knock-on implication in terms of getting qualified staff. To meet this need Shaun says that training staff

will be an area of top priority for Fáilte in the coming year. “Our focus is primarily in area of professional cookery and chefs and will remain there,” he says. “We’re currently in discussion with Solas on a new apprentice programme for tourism and hospitality. Unlike the college model the apprenticeship places a greater onus on businesses to hold up their end apprentices by nature need to learn on the job so we’ll be looking to see how we can help the trade in that regard. It’s incredibly important we lift our game collectively in the whole training area as it has such an effect on the quality of the product.” He finishes, reiterating that although the potential for tourism is phenomenal, there remains much work to be done if it is to be realised: “This is not the time to take the foot off the pedal. I would urge that there wouldn’t be any reduction in investment. Tourism has demonstrated time and again in recent years that when Government invests in tourism it gets a healthy return arguably better than from other sectors. When we were running the Gathering we asked for €13m. We got it and it generated a return of €170m back. Our research has also shown that since the VAT rate was cut to 9%, tourism has generated an extra 30,000 jobs. If we are to be serious about employment growth in the economy, tourism has shown, being a labour intensive industry, that it can generate jobs like no other - if the conditions are right.”

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FÁILTE FOCUS

Fáilte Ireland sales blitz to ensure international travel agents put Ireland on the map in 2015 Over 10,000 direct meetings between Irish tourism businesses with top overseas travel buyers

Fáilte Ireland sales team on hand at the recent Canadian Expo Workshop in Clontarf Castle Hotel, Dublin

Fáilte Ireland is already setting its sights on growth for next year as it arranged for members of the Irish tourism industry from across the country to take part in a targeted 2015 sales drive throughout September and October. With a series of custom-made workshops to enable Irish tourism operators to pitch directly to the cream of the global travel industry, over a five week period Irish tourism businesses will engage in over 10,000 one-to-one meetings with approximately 140 of the world’s key tour operators. Each one of these “Destination Ireland” events, organised by Fáilte Ireland will focus on a particular market. These include: • Canadian Expo Workshop (September 17th) • British Coach and Group Tour Operators Workshop (September 22nd) • New and Emerging Markets Workshop (October 16th) • American Expo (October 21st) Stressing the importance of hosting events like these and the benefits for the Irish trade involved, Martina Bromley Head of Sales with Fáilte Ireland said: “This has

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been a great year for Irish tourism so far with the recent CSO figures showing strong growth in both revenue and visitor numbers for the first six months of the year. However, we can’t rest on our laurels and Ann Marie Murphy, Fáilte Ireland showcases the Rock of Cashel to Canadian buyer Lynn Stager it’s important to build on this year’s momentum. “We are delighted to welcome these important overseas travel operators to our shores as they plan their 2015 packages. These overseas agents have the capacity to deliver significant amounts of visitors to Ireland and their presence here is testimony to our enduring strong appeal as a destination and the variety and attractiveness of the Irish holiday. Hopefully the deals made over the four workshops will assist growth in Irish tourism in 2015.” To further showcase what Ireland can truly offer, Fáilte Ireland has also put together a number of specially crafted tailor-made tours for the travel agents to get out and about, to learn first-hand more about the country, and really get an authentic taste of what an Irish holiday can offer. These trips provide a great opportunity for overseas operators to experience first-hand the full-on Ireland experience and can play a key role in closing the deal and persuading these agents to choose Ireland as a holiday destination for their customers.


FÁILTE FOCUS

Tourism sentiment high on the back of a good summer for most businesses Fáilte Ireland survey: most tourism businesses enjoyed busy and profitable season and very optimistic about future

Almost three quarters (74%) of tourism businesses say that they are upbeat about their 2014 business performance according to the latest Fáilte Ireland Tourism Barometer which was published at the end of September. The survey of tourism businesses, carried out in August and September, records business sentiment at a level not seen since the Celtic Tiger years: Business Sentiment Index (%) 2007 2008 2009 2010 Up 45 14 15 28 Same 24 18 11 25 Down 31 68 74 47

2011 39 31 30

2012 48 26 26

2013 68 21 11

2014 75 17 8

The recovery in tourism is now apparent across the country with all regions reporting strong accommodation sector increases on last year. The South West, in particular, enjoyed an exceptional performance so far this year with 84% of respondents reporting business to be up on 2013. Many respondents in that region cited the recent Fáilte Ireland initiative, The Wild Atlantic Way, as a positive factor this year.

A group of overseas media are pictured at the Cliffs of Moher Visitor Experience on a recent trip to the Wild Atlantic Way

Dublin, which has been leading the recovery in tourism fortunes for a number of years, continues to perform strongly and the Shannon region, where improvements at the local airport are mentioned as a positive factor, is also recording robust growth. Commenting on the research, Shaun Quinn CEO of Fáilte Ireland said: “Business sentiment amongst the Tourism trade is buoyant and that’s no surprise as the

industry is now experiencing growth in all sectors and throughout the country. “For now, tourism is back but this has been a very hard won recovery. It has taken a mixture of sacrifice and innovation by many operators - as well as far-sighted Government support for the sector - to make Ireland a competitive destination again. Fáilte Ireland initiatives such as ‘The Gathering’ and ‘The Wild Atlantic way’ have also strengthened our hand as we pitch for visitors from overseas.” “The danger now for tourism would be to allow complacency to creep back in. To sustain this year’s growth, we need to remain competitive, build on our appeal and continue to aggressively target those segments of our markets with the most potential”. Other points to note from the survey of tourism businesses include: • A strong majority (79%) of accommodation providers report an increase in visitor volumes so far this year, compared to the same period last year. • As in previous years, hotels remain the strongest sector, with 82% of respondents reporting an increase in visitors. However, 2014 has also proved to be a good year for guesthouses (69% report increased visitors) and B&Bs (60% are up). • The overseas market has provided sharp increases for restaurants, with 72% of respondents reporting their overseas visitor volumes to be up on 2013. • Decent summers and signs of improved economies in Ireland and overseas are seeing operators becoming more optimistic, with some beginning to reinvest in their own products. • So far this year, Germany, North America and to some extent Great Britain are becoming stronger markets, and many also report greater volumes and spending within the domestic market. • For those on the west coast, the Wild Atlantic Way continues to be a draw for visitors and is strongly appreciated by operators and industry leaders. • While the proportion is dropping, fuel and energy costs remain a concern for 58% of respondents. Low-priced competition and other operating costs also remain significant issues for some in the industry. You can access the full report in the Research Section of the Fáilte Ireland website, www.failteireland.ie/researchinsights

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HOTEL GROUPS

Consolidation in a new and more fractured market With all the general indicators up in a year when tourism figures returned to pre-bust levels, Ireland’s hotel groups are looking strong. Headlines are talking of consolidation and growth after a period of stagnation and fragmentation. But what of the possible pitfalls ahead? Is this a time of positive change for the future or simply the calm before another storm?

Pat McCann, CEO of Dalata

“ “ In Ireland, we used to have a reasonable amount of dominant groups such as Jury’s, Ryans and Great Southern… All of those guys would have had a strong presence in the market. But since 2007, there has been a strong demise of hotel groups.

In terms of room numbers, the market share breakdown of hotel groups in Ireland is as follows: Dalata (9.4%), Carlton (2.9%), Moran & Bewley’s (2.9%), Tifco (2.4%), Hilton (2%) and Choice Hotels (2%). In total, the top six hotel groups in Ireland control only 21.6% of the market between them. “Over the last few years, the market has become very fragmented,” says Pat McCann, CEO of Ireland’s largest hotel group Dalata.

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“In Ireland, we used to have a reasonable amount of dominant groups such as Jury’s, Ryans and Great Southern... All of those guys would have had a strong presence in the market. But since 2007, there has been a strong demise of hotel groups.” Despite this fractured market, we are now, McCann believes, heading into a period of consolidation between groups. Whilst the market will not be dominated by hotel groups as it was in the past, we’ll probably see a smaller number of large groups. The new breed of Irish hotel group is a much leaner animal thanits predecessor. Forged in an era of slim pickings, they are businesses with a trimmed-down cost base and a quietly voracious instinct for expansion. “The Irish hotel industry was one of the first industries that suffered in the downturn,” notes David Kelly of the FBD Hotel Group, owners of hotels in Ireland and Spain. “It’s also been one of the industries that have bounced back quicker than most.” A number of global players such as Hilton and Starwood have jettisoned large chunks of their portfolios and pulled back from the Irish market. But if the Irish hotel industry continues to glow as healthily as it is at the moment, isn’t there a danger that many of these larger fish will come around again and simply swallow the Irish hotel groups whole? “That’s the possibility,” says David Collins, whose own hotel group, Great National Hotels, has been making significant inroads in the UK market. “We’ve seen that happen before, although the last time I saw this was at the start of the 1980s, when there was some semblance of growth in the Irish hotel industry. At that point, people were predicting that some of the big international brands would be landing in their droves. That didn’t happen and I think that it’s unlikely to happen unless it’s in urban locations. “The foreign money coming into David Collins, Great National Hotels Irish industry - hotel or otherwise There isn’t a shortage of has to be welcomed,” says Kelly, pointing out that it “sets a floor” for room-nights, nor is there a market valuation and recovery in the threat of a return to the bad hotel sector. old days. I think that we can “The market doesn’t particularly confidently say that those suit them (the big international heady days are well behind groups),” says McCann. “Outside us... I think that there’s a lot the urban market, there’s an overmore sanity prevailing in dependence on domestic tourism the industry now than there and that really doesn’t suit the larger was pre-crash. international chains. And if you look at what’s happening in recent times, you have overseas companies coming in and buying some landmark hotels, but so far, they tend to be the trophy assets such as the Shelbourne, Doonbeg and Fota. They haven’t been buying much of the vast bulk of the sector that sits in the 3-star and 4-star range.”

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HOTEL GROUPS

David Kelly of the FBD Hotel Group

All hotel group chiefs firmly believe that this core sector of the hotel industry in Ireland is a world-beating one in terms of the quality of product. Our unique setup is comprises a strong indigenous 3 & 4 star sector with an equally strong guesthouse/B&B sector that largely covers the 2-star market. But is there a danger of success eating itself? The latest International Hotel Price Index from Hotels.com shows the kinds of increases in the average bed-night prices that can send alarm bells ringing: national increases of 11% and increases in Dublin of 15%. Does this herald a swift return to the bad old days of the Celtic Tiger years that were seemingly marked by high prices, cool welcomes and poor value? McCann is quite certain that we won’t. Moreover, he’s not entirely convinced that things were quite as bad during the noughties: “There’s been a lot of talk about room rates in Dublin. Occupancy rates have always been quite decent. If you take Dublin now, we’re the second-highest in Europe (after London) in terms of occupancy but we’re about 14th when it comes to rates. So even though we have high occupancies, we have low rates relative to our European counterparts.” He also points out that, even at the peak of rooms rates in Dublin in 2008, we were still relatively cheap for accommodation, with only high input costs and taxes inflating the restauration side. “There isn’t a shortage of room-nights, nor is there a threat of a return to the bad old days,” says Collins. “I think that we can confidently say that those heady days are well behind us... I think that there’s a lot more sanity prevailing in the industry now than there was pre-crash.” Are there safeguards against such an occurrence happening in the future?

The Irish hotel industry was one of the first industries that suffered in the downturn. It’s also been one of the industries that have bounced back quicker than most.

“I think that the market will dictate,” says Kelly. “The market will correct,” says McCann, echoing the confidence of the hotel groups in one of the basic laws of economics. “It’s supply-and-demand that will quickly focus your mind as to whether your pricing is wrong or not because you simply won’t get the customers.” In terms of wish-lists for the forthcoming budget, the first thing on the lips of all the hotel chiefs is the retention of the 9% VAT rate: “The VAT reduction really has helped an industry that was on death’s door,” says McCann. “I’d look at, for example, investment opportunities, grant-aid subsistence,” suggests Collins. “Even practical measures such as enforcing invoicing credit law: the hotel business is a cash business and to that end, if you have people taking advantage of more than 30 days’ credit, that can have an impact on the viability because cash-flow can become constrained very quickly.” Keeping the Irish hotel industry competitive is the general hope and in that context, Kelly suggests that they would “like to see the government look at putting a cap on rates... It’s a massive fixed cost for any hotel.”

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REFURBISHMENT

The Camden Court takes on the 4 star market Investment, understanding and constant refinement bring 4 star status to the Camden Court Hotel

The Camden Court Hotel, Dublin has been deservedly accredited with its fourth star following extensive investment in both its facilities and service levels. The hotel, established in 1998, has always been a popular hotel choice in the city for both leisure and corporate markets locally and internationally. In recent years, the expectation level of the corporate and leisure visitor has grown with increased demand for technology and personalised service offerings. This meant that hotels, particularly independent hotels, have had to step up their game to succeed in a highly competitive market place and more particularly in the demanding corporate sector. The Camden Court Hotel had always pushed beyond their former three star rating but realised that it was necessary to tap into the four star market place and grab a share of the booming corporate business in the surrounding locations. With the push on standard and service, comes success and additional revenue generation. The Camden Court Hotel is up against some

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major international chains in the immediate location so there is an understanding that as an independent hotel, standard and service levels would need to be beyond exceptional to ensure success in this market place. At the heart of the hotel’s re-classification strategy is a solid blend of capital investment and an acute understanding of consumer needs. The Camden Court hotel’s General Manager, Stephen Hanna comments, “In 2006, we initiated a €10m refurbishment with a new restaurant and conference centre. This investment ensured that we thrived during the recession. Our competitive advantage during this time also gave the team the opportunity to focus on offering great value for money whilst continuously exceeding client expectation levels. It was a combination of both of these elements which has now put us in the enviable position of exceeding our former three star classification.”


REFURBISHMENT Court Hotel will not become complacent. With newly projected targets to reach, the hard work and vast improvements are only beginning. Conveniently situated between Harcourt Street and Camden Street, the Camden Court Hotel offers guests everything they expect in a four star venue, with luxurious leisure centre, dedicated conference facilities and complimentary parking. The hotel boasts 251 bedrooms comprising of a mixture of standard, suites and family rooms. The hotel also offers two separate dining areas with high quality food offerings with an emphasis on locally sourced produce. From a corporate perspective, the venue can host up to 250 delegates within its 12 fully serviced conference rooms as well as a dedicated reception area, event management and catering team.

More recently, in 2014 the Camden Court Hotel underwent a further €3m investment which consisted of a complete re-design of the bedrooms, a state of the art technology and internet roll out and an extensive staff training programme. “Although the improved aesthetics have played an imperative part in our four star award,” Stephen continues, “the most integral part of this upgrade is having focussed our strategy on understanding our consumer and potential consumer needs and reacting to these needs by incorporating their feedback into our future services and offerings.” Despite this significant achievement in its on-going strategy for development and improvement, the Camden

Supplier of super luxury mattresses to The Camden Court Hotel

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RE-BRANDING

Making the transition

The newly reopened 4 star The Spencer Hotel, (formerly The Clarion Hotel), is the third hotel in the Fitzpatrick Lifestyle Hotels Group portfolio. It may be located in the heart of corporate Dublin but it’s the principles of a traditional hotelier that means hospitality comes to the fore. Paul Fitzpatrick says it was the potential and location of the former Clarion Hotel, in the heart of the Irish Financial Services Centre that drew him to it above any others. Along with his investors, Patron Capital, Paul says they considered The Morrison and Trinity Capital Hotels first, but paying the right price for this hotel paid off for them. “It’s a purpose built, 165 bed hotel, with 10 meeting rooms, a great ground floor and a fitness centre in a prime Dublin city centre location, we couldn’t have built it for the price we paid for it.” Paul acknowledges the hotel needed refurbishment and having been in receivership for two years, it also needed revitalisation. However, he says they bought the hotel just as the area was starting to rise with the tide again and his vision was to bring the hotel back to life along with the growth happening in the area. “The convention centre right beside us, 3Arena, the Samuel Beckett Bridge opening us up to

the other side of the river and the Bord Gáis Energy Theatre meant this was the right location for us at the right time.” The Fitzpatrick Lifestyle group also includes The Morgan Hotel in Temple Bar and the Beacon Hotel in Sandyford. According to Paul the new Spencer Hotel creates a great synergy with the other two hotels and the group now have a very good presence in Dublin as a result. Located in the hub of corporate Dublin, Paul says their Monday to Friday business is predominantly corporate and conferencing and weekend business includes domestic leisure as well as UK, European and American tourists. The rebranding process from The Clarion to the new Spencer hotel wasn’t as seamless as Paul had first hoped and they experienced a two month transition period during which they lost some corporate business. However, Paul says they decided to take all the pain in one go, refurbishing 30 rooms every two weeks and completing the ground floor in April. The senior management team, including Carol Byrne, Group Director of Sales and Marketing and Leila Ryan, Group Revenue Manager, worked hard to get their corporate links re-established and they are now well ahead of last year. Paul says that controlling a large percentage of the boutique unbranded bedrooms in Dublin city centre now is a very positive result of this sales and marketing strategy. Coming from the traditional hotelier business, Paul’s focus is always on the quality of the experience of the people staying in his hotels as well as the service they receive from his team. “The majority of corporate people are travelling on their own and it can be a lonely box up in that room. We want to give people a great night’s sleep, good shower, good connectivity but also to make them feel part of something by bringing them down to the ground floor, the sitting room of the hotel.” With this in mind the refurbishment included; rainforest power showers in all the rooms along with big TV’s, good connectivity and European adapted sockets. A healthy breakfast is provided in The Pantry, a separate area from the EAST restaurant at the rear of the hotel. The ground floor was very important to Paul and he put a lot of time and thought into creating the atmosphere he wanted. Paul worked closely with Irish interior designer Brian McDonald. “Brian understands hospitality and how people interact,

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RE-BRANDING

Paul Fitzpatrick

the ground floor is key to that, there has to be vibrancy.” During the day the ground floor is bright and airy, providing a work hub for those wanting to work on this floor. In the evening the ambiance changes and allows people to leave the world of work behind them while they enjoy a cocktail in the bar or a meal in East, the hotel’s restaurant. Paul believes creating this ground floor has given the hotel one of its most important USP’s. Using Irish businesses to help create the new hotel was also important to Paul and Hugh O’Connor and BHA construction were brought in to refurbish the rooms. As every hotelier knows, red wine and Lucozade carpet stains are the bane of the industry’s life! Andrew Weddick Carpets Ltd solved this problem for The Spencer as their stain proof carpet was used throughout the hotel. Brian McGuigan of Orior Furniture worked closely with Paul and his interior architect Brian McDonald, to design the bespoke furniture, which helps create the sophisticated and welcoming ground floor.

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Paul says they are still evolving and there are plans to refurbish the meeting rooms and The Spencer Health Club next year. However, this is what it’s about for Paul “I love to see it working! I love seeing everyone in the hotels enjoying themselves. I love that!” Paul is keen to give credit to his hotel team and this he says extends to his senior managers including Rory Duggan Finance Director. During the transition from The Clarion Paul explains “we were lucky to inherit some really good people, some went with The Clarion, others moved on and some stayed with us.” He says it was a natural evolution and management made real efforts to include the staff in the plans for the hotel holding monthly meetings and getting valuable feedback. Eddie Sweeney is now the hotel manager holding the reins at The Spencer and coming from The Morgan, Paul has every confidence Eddie knows how to bring the culture of the Fitzpatrick Lifestyle Hotels Group to The Spencer. So with The Spencer Hotel having such a successful impact on the city centre market so quickly, how does Paul feel about the future? “Very encouraged about the future. Dublin’s busy; I’d love to see that growth continuing. I’d love to have at least another Irish hotel in the pipeline by next year.” In terms of the industry Paul says he sees growth happening, but feels rates will need to go up in order to counter the rise in utility rates, insurance as well as labour. “We are here, we survived it, we battled through the recession and we are realistic now.” Paul Fitzpatrick and his team have created another successful string to the bow of the Fitzpatrick Lifestyle Hotels Group; however, it is the warmth, hospitality and enthusiasm for the industry that can be experienced from the top down at The Spencer Hotel.


INTERVIEW

Silver service at the Silver Restaurant

In business for eighty years, Newbridge Silverware is an iconic brand steeped in history. And with 350,000 visitors from Ireland and abroad each year to the Newbridge Silverware Visitor Centre and the Museum of Style Icons in Kildare, a top-standard food offering is crucial. The Silver Restaurant meets this need with high-quality hot food, sandwiches, salads and cakes in an attractive and atmospheric setting.

Recently renovated to mark the company’s eight decade milestone, we met with proprietor Natalie Collins, also owner of the Japanese Gardens Restaurant in Kildare, to talk about the Silver Restaurant, her ethos as a chef and restaurateur and how she went from a student in Ballymaloe to running two successful restaurant businesses. Natalie’s mother was a keen baker, and so it’s in the home kitchen she first discovered her love of food. Creative and artistic, a “life-changing” three month course in Ballymaloe cemented her dream of cooking for a living. The Ballymaloe ethos, she tells us, is something she still follows today in the Silver Restaurant. “I always wanted to have my own place,” she says. “My Dad put that work ethic in me and I applied that to my food. I moved up to Ballymaloe after the course and

Natalie Collins

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INTERVIEW

worked under Myrtle Allen and Rory O’ Connell, the Head Chef, for three years. It was an amazing part of my life. The whole Ballymaloe ethos of eating off the land using good products and seasonality was a huge learning curve. You picked the vegetables, dug the potatoes, picked the herbs and butchered the meat - that was the way of life. You saw what you could get locally and built your menu around that and I’ve carried that through to today.” Natalie then decided to travel, first cooking for a wealthy family in New York for a couple of years, and then under Terence Conran in the Pont de la Tour in London, a busy high-end restaurant of 400 to 500 covers a day. From there she moved to Australia, where she found herself opened up to new, interesting foods. “The quality of ingredients in Australia was unbelievable. I learned so much about international food and was exposed to foods I had never seen before. There were a lot of Asian influences and plenty of salads and raw ingredients, and I still use a lot of that today in Newbridge,” she says. When her Dad became unwell Natalie moved back to Dublin, and it was then the opportunity came up for a franchise in the Japanese Gardens. She tells us: “It was an amazing role for me. I began with the food I loved doing the salads I made in Australia, and that’s how I started off. It became successful and I’m still there today.” At this time she was also working with Domini and Peaches Kemp for their popular bagel chain, Itsa. According to Natalie it was with their help she evolved from chef into businesswoman. “Working with the girls was a much more commercial business,” she says. “I knew how to make beautiful food but I didn’t know how to make it commercially viable so I got that grounding from them. It was eye-opening. In a small business, I’m head of HR, accounts, head of marketing, I’m a Jack of all trades.”

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A year after opening the Japanese Gardens, Natalie joined Newbridge Silverware, collaborating with owners the Doyle family to open the Silver Restaurant. It is a role she clearly relishes. “When I was asked to take it over I jumped in with two open arms. I was nervous coming to such a historic company but working alongside the Doyle family has been an amazing learning curve,” she says. The restaurant has gone from strength to strength, this year undergoing a renovation, Natalie tells us, to ensure a better flow from entry to exit for the customer and to accommodate large groups such as tour visitors. The ‘focal point’ is a new “enticing, mouth-watering” display counter piled high with jams, honeys and homemade cakes, flanked by photographs of current and previous employees, a celebration of the company’s 80 years in business. This heritage is central to the redesign. The windows show the history of the company throughout the ages and along the walls are pictures of current and past staff, icons like Princess Grace and past and present Newbridge Silverware ambassadors. “When you come into the restaurant the one overwhelming thing you can see is that the employees are a huge part of the business. That brings a sense of warmth and involvement to the restaurant. It’s connecting, bringing the people from the locality and abroad together. People have given their lives to Newbridge Silverware and the Doyle family are grateful to them for making the company what it is today.” To complement the redesign, the menu has also been freshened up and modernised. All soups, breads, sandwiches, salads, hot food and cakes are made from scratch in-house with a focus on locally sourced produce. “We use Rooney’s Vegetables, Newbridge Meats and Doyle Meats. We try and use as much local produce as possible. It’s from my training in the early days - if you use good quality ingredients it shines through. We don’t use any processed foods,” Natalie says. “I love what I do,” she finishes. “I’m very proud of the premises and proud to be associated with Newbridge Silverware and my staff. Coming to work is not like coming to work - I’m doing my hobby, I’m doing what I love, it’s very rewarding. I would like to have a long career with Newbridge.”


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FOOD

forTHOUGHT Restaurants Association launches its Pre-Budget 2015 Submission The Restaurants Association of Ireland (RAI) launched its Pre- Budget Submission 2015; “A Progressive Plan to retain current effective measures in Government, maintain and grow employment in the restaurant industry, and sustain economic competitiveness in Ireland.” The Association presented it’s submission to Government and highlighted the key issues facing the industry for 2015

1) Shortage of Chefs RAI CEO Adrian Cummins says “there is now a crisis in the shortage of chefs in the country, and an investment in training is needed. An immediate training fund needs to be made available to employers so that the huge demand for chefs of all grades can be met.” Speaking on the crisis, Chief Executive Adrian Cummins said “We’ve been trying to provide a solution to the problem since April 2012 but it hasn’t been heard. The problem is getting worse day by day”.

2) VAT rate of 9% must be retained to 2020 to ensure continued job growth in tourism. Since the VAT cut 34,000 Jobs were created in

Tourism & Restaurants. Regarding the 9% VAT rate, Chief Executive Adrian Cummins warned that it is critical that the reduced VAT rate is kept in place until 2020, in order for the Irish economy to remain competitive. “When the economy went into decline, restaurants endured falling numbers of diners, rising prices and great financial uncertainty, with many having to close their businesses. Money generated by this reduced VAT rate, however, has kick-started a reversal of fortunes. Since the VAT cut, employment in the restaurant and tourism sector increased by approximately 23, 324 direct jobs with an additional 10, 728 indirect jobs which gives a total employment increase of 34.052. This growth will continue if VAT at 9% remains in effect” said Adrian Cummins.

Restaurants Association of Ireland 11 Bridge Court – Citygate - St. Augustine Street - Dublin 8 - Registered Company No. 56224

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sensible drinking in a regulated environment. • The Government should re-enforce the code of practise in the responsible Sale of Alcohol, and thereby discourage a nation of ‘handbag drinkers’. 4. Reduction of Overheads and Regulatory Burdens • The Restaurants Association of Ireland is calling on the Government to lighten the regulatory load on all SMEs. Restaurants deal with, on average, twenty-five different agencies and authorities in the day-to-day running of their business. In a recent survey carried out by the Restaurants Association of Ireland, it was found that a restaurant in Ireland pays on average €15,813 per year on their Annual Rates.

3. Reduce the Current Rate of Excise Duty to encourage spend in restaurants • The savage increase in Excise Duty in Budget 2014 has crippled many restaurants. The RAI is calling for the current rate of Excise Duty to be reduced.

• Create a Business Inspection and Licensing Authority that absorbs the existing business inspection activities of the Health and Safety Authority, and the National Consumer Agency. • Create a single food safety monitoring agency, building on the existing Food Safety Authority, responsible for food safety inspection from farm to fork

• Tourists and Irish consumers compare Irish prices with those in other tourist destinations, e.g. Spain, Italy, Portugal, Greece and France, where there is no duty on wine. Wine served with a meal in a restaurant should attract the rate of 9% VAT applicable to food in restaurants. • The Association believes that any possible increase in excise duty should be levied towards below cost selling of alcohol in off-licenses and supermarkets and feel this reduction will impact on excessive unregulated home drinking as well as encouraging Restaurants Association of Ireland

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FOOD

Restaurants Association of Ireland & Volvo Partnership

forTHOUGHT

Following on from the successful partnership between the Irish Restaurant Awards & Volvo Cars Ireland, the Restaurants Association of Ireland are delighted to announce that Volvo have joined the association as a Patron. We are very much looking forward to working with Volvo throughout 2015.

In Total Produce, we’re a little bit different Proud to be Irish, our nationwide network of depots makes us unique. No matter where you are in Ireland, there’s a Total Produce “Depot On Your Doorstep”, thirteen in all-with local people selling local produce to local customers TotalProduceFoodService.ie is our new website dedicated to lifting the veil on Irish fresh produce’s journey from farm to fork. Introducing visitors to the “people behind our produce”,

it profiles local growers from across the country, features video tours of their farms and glasshouses and offers an insight into the passion, dedication and hard work that goes into growing the freshest, tastiest Irish produce. Built into TotalProduceFoodService.ie is our Online Ordering Portal, a new, extra option for removing the hassle from ordering-though we’ll always be at the other end of the phone! So. TotalProduceFoodService.ie. It should be your first port of call if you’re looking for quality local fresh fruits and vegetables. And it’s online now.

Improve your guest experience through the power of scent this Christmas. Of the five senses, smell is the most powerful trigger of emotions and memories.

• Maximum fragrance effectiveness at minimal costs, due to a fully programmable dispensing system

This Christmas you can scent your lobby, elevators, and halls to create a lasting impression that is sure to generate a positive response.

For more information on Premium Scenting and to avail of a free sample of our festive Christmas scent call us today on 1890 269 269 or visit our website www.ambius.ie

Attractive scents affect our memories and emotions and they can reinforce your brand. Create a warm and memorable festive experience with our “Christmas Tree” or “Iced Gingerbread” scents giving your customers a reason to stay longer or want to return.

Benefits:

• Premium Scenting reduces odours thanks to our patented technology • Maintenance free at customer level as it’s serviced by trained service technicians Restaurants Association of Ireland

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NEW MEMBERS Restaurant Name

County

Restaurant Name

County

Nyonya

Dublin 2

Dijon Café

Co Laois

Quay Cottage Restaurant

Co Mayo

Nirvana

Co Donegal

The Mill Restaurant

Co Donegal

Café 1

Co Kilkenny

Oscars Café Bar

Dublin 7

The Pines Bar & Restaurant

Dublin 12

Cape Greko Greek & Cypriot Restaurant

Co Dublin

Crawford Gallery Café

Co Cork

Kates Kitchen

Co Sligo

The Pines Bar & Restaurant

Dublin 12

The Old Convent

Co Tipperary

Michaels Food & Wine

Co Dublin

Maggie May's

Co Galway

Kinara Kitchen

Dublin 6

Mitchel House Restaurant

Co Tipperary

Pat Shortts Bar

Co Cork

The Crozon Inn

Co Sligo

The Salmon Leap Inn

Co Dublin

Kafe Katz

Co Kilkenny

Reardens

Co Cork

Morrison Grill @ Morrison Hotel

Dublin 1

The Granary Foodstore

Co Cork

Hassett's Restaurant

Co Cork

The Oyster Restaurant @ Durty Nellys

Co Clare

Food Heaven

Co Clare

Italee

Co Cork

Ashcourt Restaurant @ Crover House Hotel

Co Cavan

The Drift Inn

Co Donegal

The Crusty Corner

Co Meath

Kafka Restaurant

Dublin 6

Vino's Restaurant & Café

Co Wicklow

Perry Street Market Café

Co Cork

GG's of Naas

Co Kildare

Perry Street Market Café - Blackpool

Co Cork

57 The Headline

Dublin 8

Perry Street Market Café - Little Island

Co Cork

Viva

Dublin 2

The Salt Yard

Co Kilkenny

Street Cart

Sligo

The Pullman Restaurant @ Gleno Abbet Hotel

Co Galway

The Royal Curragh Golf Club

Co Kildare

The Arlignton @ The Heritage Golf & Spa

Co Loais

Beech Park Golf Club

Co Dublin

Sol Oriens Italian Steakhouse

Co Loais

Newlands Golf Club

Dublin 22

Allo's

Co Kerry

Greystones Golf Club

Co Wicklow

Carreygerry Country House

Co Clare

Craddockstown Golf Club

Co Kildare

Sanjay 's Kitchen Indian Restaurant

Co Kidare

Lillies Bordello

Dublin 2

New Associate

Careys Viking House Hotel

Co Donegal

Associates

County

Website

Pisces Restaurant

Co Kerry

Munster Group Insurance

Co. Clare

www.munstergroup.com

Links Restaurant @ Arklow Golf Club

Co Wicklow

53 Avenue Bistro

Dublin 5

Tierney's Office Automation

Co Clare

www.tierneys.ie

Honest To Goodness

Dublin 2

Zapper.com

Dublin 2

www.zapper.com

The Hatter Tea Room

Co Donegal

Write the Record

Dublin 15

www.writetherecord.ie

Eastern Tandoori

Co Galway

Chopins Café & Restaurant

Co Kerry

Cuisine de France

Dublin 22

http://www.cuisinedefrance.ie/

Beeftro

Dublin 16

Wall Gecko

Dublin 18

www.wallgecko.com

Clodaghs Kitchen Blackrock

Co Dublin

D'Lush Café

Co Wexford

Red D Recruitment

Co Westmeath

www.redd.ie

O'Regans @ Foynes Flying Boat & Maritime Musuem

Co Limerick

Volvo

Dublin 24

http://www.volvocars.com/ie

Cashel House Hotel

Co Galway

Irish International Hotel & Catering School

Co Galway

Real Gourmet Burger

Co Dublin

Watermill Lodge

Co Fermanagh

Leah's

Co Kerry

R P

Restaurants Association of Ireland

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EXHIBITION

50 years serving up new products and innovative ideas - CATEX 2015 celebrates its golden jubilee! Next February 17 - 19 at the RDS CATEX will open its doors for the 50th time since 1965! Its core objective of showcasing Foodservice excellence may not have changed but the innovation and technologies certainly have. Over 230 exhibitors will line out to provide a range of new products and services equipped to meet the current demand and uplift in the Irish market. Commenting on stand bookings and preparation’s to date, event manager Garret Buckley commented “it’s such a privilege to be part of CATEX 2015 as it celebrates its 50th anniversary and also as the Foodservice Industry moves into growth mode once more. CATEX 2011 and CATEX 2013 represented tough times for the Industry but CATEX has remained a key destination for the Industry to meet and build relationships which now flourish as the sector is experiencing a surge in expenditure not just in Dublin but also out into Galway, Cork, and other key hospitality destinations. I anticipate that CATEX 2015 will be the most positive event that we have all been involved in for many years.” With this in mind CATEX 2015 will be focused on showcasing new areas in foodservice excellence through people and innovation. CATEX 2015 will see a completely new chef’s competition schedule over the three days with new events such as the Contract Caterers Chefs Challenge, The Inter College Challenge and look out for a “new faces” chef’s competition. These events will be run in association with The Panel of Chefs of Ireland one of the many trade organisations who chose CATEX to showcase their own sector events. Both The Speciality Coffee Association of Ireland and the Bartenders Association of Ireland will also host the finals of their respective National Championships. The Restaurant Association of Ireland pop up restaurant will be returning in 2015, providing a unique lunchtime setting for a business meeting or just time out from the busy show floor. Also returning will be the popular Hospitality Hero’s live stage where visitors to CATEX can sit in on topical panel discussions with some of the country’s most successful Chefs, hoteliers, and hospitality professionals. Already over 120 key suppliers have booked their place at the 50th CATEX and show owners IFSA are confident that the event will sell out before Christmas. Commenting on the uptake on stands to date IFSA Chairman Sean Martin says, “We have been overwhelmed with the stand bookings to date. Already over 75% of stand space has been allocated, many of the exhibitors being IFSA members, and many other who have new and exciting products to show, - This will be the largest CATEX many of us will have ever seen”.

Book your stand today Contact Margaret Andreucetti Phone: + 353(0) 1 846 0020 Mobile: + 353 (0) 86 055 4181 Mail: margaret.andreucetti@eventhaus.ie

Exhibitors to date include: 100 percent Italy, Altro Ltd., A Taste of Italy MOAK, Aryzta Food Solutions, Automatic Amusements, Baileycare, Ballymaloe Country Relish, BD Foods, Bewleys Coffee & Tea Ltd., Bord Gáis Networks, Brady Catering , Brakes, Bunzl McLaughlin, Bunzl Rafferty, Business Support Systems, Calor Gas, Carbon Removal Systems, Cashguard Ireland, Churchill China, CBE, Combico, Corcoran Food Equipment, Coppinger Corporate Uniforms, Derry’s Ltd, Devlin Retail, DWS Supplies Ltd., Easiyo, Enviroclad Systems, EU Beveragenet, Food Safety Authority of Ireland, Forbo Flooring, Fridge Rentals, Galgorm Group, GH Enterprises, Glana, Glass to Sand Ireland, Henderson Group, Higgins & Company Ltd., Hugh Jordan, Hygiene Management Systems, IFSA, Ille Paper Service, International Glass & Pottery Ltd., Invest Northern Ireland, Italicatessan Ltd., Jimo Cooling Technology, Kendermar Distributors Ltd., Kepak Convenience Foods, Kiernan’s Food Ingredients, Lynas Food Service Ltd., Lyreco, Mainly Menus, Marco Beverage Systems, Martin Food Equipment, Matthew Algie, McCabe Design, Michael Flannery Catering, Milano Coffee Systems, Money Point, Moolicious Foods Ltd., Murphy’s Bakery Catering & Laundry Equipment, National Hygiene Partnership, Nestle Cereal, Nestle Professional, Nisbetts, Noel Recruitment, North South Retail, OBS Storage Systems, Over and Above, Pallas Foods, Prestige Foods, Priory Press Packaging, Rational, Rosie & Jim Gourmet Foods, Rubbermaid Commercial Products, Servequip Kitchen Systems, Steelite International PLC, Stephens Catering, Tekspek, Tillwatch, Timepoint, Total Produce, Velox, Wallbridge Ltd., Weighing Machine Services, Western Hygiene Ltd, Wild Irish Game and Wireless Solutions.

Caoimhe Gleeson Phone: + 353 (0) 1 846 0020 Mail: caoimhe.gleeson@eventhaus.ie Richard Byrne Phone + 353 (0) 86 814 0544 Maill: richard.byrne@eventhaus.ie

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TOURISM

Tourism Ireland welcomes British-Irish visa scheme Tourism Ireland has welcomed the new British-Irish Visa Scheme which will enable visitors from China and India to travel freely between Ireland and the United Kingdom using the same travel documents i.e. using either an Irish or UK visa. This is a significant step, as it will mean Chinese and Indian visitors will be able - for the first time - to visit both Ireland and the UK, including Northern Ireland, on a single visa of either country. Tourism Ireland will be working hard to promote the new BritishIrish Visa Scheme in China and India, with the message that the island of Ireland is very much open for business and visitors are most welcome to our shores. Tourism Ireland will also be collaborating with VisitBritain to present the UK and Ireland as an attractive, accessible combined holiday and business destination, to compete more effectively with countries in the Schengen area. Welcoming the British-Irish Visa Scheme, Niall Gibbons, CEO of Tourism Ireland, said: “The introduction of the British-Irish Visa Scheme is really good news, making it easier than ever before for visitors from China and India to visit the island of Ireland. It is a significant step in helping us to grow visitor numbers from these markets - whether those visitors wish to travel here for sightseeing, golf or as business tourists.”

HE Dan Mulhall, Irish Ambassador to Great Britain; Theresa May MP, British Home Secretary; Frances Fitzgerald TD, Minister for Justice and Equality; and Niall Gibbons, CEO of Tourism Ireland, at the launch of the British-Irish Visa Scheme in the Irish Embassy in London.

Tourism Minister Paschal Donohoe promotes Ireland in Boston

Tourism Minister Paschal Donohoe and Tourism Ireland CEO Niall Gibbons (front, centre), with the delegation of tourism companies from the island of Ireland at the ‘Jump into Ireland’ (JITI) event in Boston.

Tourism Ireland and a delegation of 14 tourism companies from the island of Ireland undertook a two-city trade and media blitz in the United States recently. The ‘Jump into Ireland’ (JITI) events took in the key cities of Chicago and Boston, with Tourism Minister Paschal Donohoe joining the delegation in Boston. The busy schedule included a B2B event in each city, showcasing the island of Ireland via a 60-minute travel TV show format to the leading travel agents in attendance. Each event included an opportunity for networking with influential travel and lifestyle media. Tourism Ireland also sponsored the travel showcase at iFest in Boston, a brand new festival and showcase of contemporary Irish culture, entertainment and innovation.

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Tourism Ireland scoops four prestigious advertising awards for Wild Atlantic Way campaign Tourism Ireland scooped four awards at the prestigious CLIO Awards, which took place recently in New York. The organisation won the awards for its global campaign to promote the Wild Atlantic Way - which has reached an estimated 40 million people around the world this year. The CLIO Awards - considered the “Oscars” of the advertising world - are the most recognised and prominent advertising awards which aim to honour “groundbreaking work and talent that pushes the boundaries of creativity”. Tourism Ireland picked up the following awards: a gold CLIO in the Music Digital Integrated category; a silver in the Music Innovative Media category; and two bronze CLIOS for Music in Film and Music in Digital/Social. Tourism Ireland’s winning campaign set out to showcase the dramatic scenery of the western seaboard and to encourage people around the world to add a journey along the Wild Atlantic Way to their bucket list.


TOURISM

Waterford ready for prime time on French TV Images of Waterford will be beamed into the homes of more than two million TV viewers in France early next year. A TV crew from a popular travel and culture show, called Faut Pas Rêver (meaning ‘Do Not Dream’), visited Waterford during the recent Irish National Hot Air Ballooning Championships - and filmed some stunning aerial footage of Waterford city and county during the event. The episode of Faut Pas Rêver filmed in Waterford will air to more than two million people across France, in January 2015, on France 3 - France’s second largest public TV channel. Finola O’Mahony, Tourism Ireland’s head of Europe, said: “We are delighted that this prime time TV programme will bring the wonderful Waterford landscape to the attention of more than 2 million people in France in 2015. It is a wonderful opportunity to highlight this part of Ireland to a huge audience in France.”

Presenter Sabine Quindou during filming at the People’s Park in Waterford for the French travel programme Faut Pas Rêver.

A Taste of Ireland at New ITV series to showcase Wild Atlantic Way to ‘Flavours’ workshop millions in Britain Forty-five Irish tourism enterprises travelled to London to take part in Flavours of Ireland 2014. Tourism Ireland’s B2B tourism workshop, now in its 12th year, saw some 100 representatives of the top UK inbound tour operators come together to do business with the various Irish tourism companies. Tourism Minister Paschal Donohoe said: “‘Flavours of Ireland’ is about looking to the future and figuring out the ways we might work with others to accelerate the tourism growth that is so central to our recovery. Overseas visitors contribute almost €4 billion a year to the Irish economy and help to sustain 200,000 jobs. Government initiatives on the air travel tax and on visas have been instrumental in helping our industry to address issues of competitiveness and make it easier for people to come to Ireland. They have also made it easier for those from some of the fastestgrowing markets, like China and India, to include Ireland on their travel plans.”

Tourism Ireland has teamed up with ITV and Northern Irelandborn television presenter and celebrity, Christine Bleakley, for a new, six-part television series highlighting the Wild Atlantic Way. Filming for the new TV series took place recently; it will air in spring 2015 and will highlight the spectacular Wild Atlantic Way to millions of viewers - or potential holidaymakers - across Britain.

Christine Bleakley with John Connolly, Burren Wild Tours, on the Connolly family farm during filming in the Burren.

Lanch of Yeats 2015

Pictured are (l-r) Derry Cronin, Select Hotels of Ireland; Niall Gibbons, Tourism Ireland’s CEO; Tourism Minister Paschal Donohoe; Amber Richards, ACIS/AIFS (UK) Ltd; and Úna Young, Select Hotels of Ireland.

Yeats 2015, the national and international celebration of WB Yeats, was launched in London recently, at the Embassy of Ireland. The year-long event will take place across Ireland and the world, marking 150 years since the birth of WB Yeats in June 1865. Pictured at the launch are Senator Susan O’ Keeffe; HE Dan Mulhall, Irish Ambassador to Britain; and Mark Henry, Tourism Ireland.

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FÁILTE IRELAND NEWS

Significant boost for tourism as Fáilte Ireland brings 700 of the world’s top adventure specialists to Ireland Adventure travel market worth over €850 million and growing Adventure and activity tourism in Ireland received a significant boost at the beginning of October with the arrival of the world’s top adventure specialists to the Adventure Travel World Summit 2014 in Killarney. Ireland hosted the high profile event for the first time ever and it proved to be a fantastic opportunity to sell the country to the most influential players within one of tourism’s fastest growing sectors. Many of the 700 international delegates took part in pre-summit “adventures” (tailored tours to showcase the best Ireland can offer) which ensured that activity tourism operators across the country had an opportunity to impress the world’s top experts in this sector. The direct economic impact for the Irish economy from hosting the Summit was almost €1m, along with the significant marketing, industry education and global networking value it also provided. The global world adventure travel market is estimated to be worth almost $90 billion and in Ireland alone the sector is worth over €850 million. The profile of the Summit and the promotion which took place during its proceedings greatly strengthened Ireland’s hand as it seeks to grow revenue and jobs in this area. The timing of the Summit was particularly fortuitous for Ireland following hot on the heels of the recent launch of the Wild Atlantic Way. The Fáilte Ireland initiative is particularly well suited to visitors who are looking for outdoor pursuits or activities.

Chris Doyle, Executive Director, Adventure Travel Trade Association Europe with Tracey Coughlan, Fáilte Ireland, abseiling in Scotts Street Killarney.

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Nathan Kingerlee, Outdoors Ireland, Canyoning, in Killarney. Canyoning involves traveling in kayaks using a variety of techniques that may include outdoor activities.

Speaking of the Summit’s importance, Shaun Quinn, CEO Fáilte Ireland emphasised: “This is big - big for Kerry, big for the Wild Atlantic Way and big for Irish tourism. Ireland was very proud to host this prestigious event at a time when adventure tourism is high on our agenda and integral to growing visitor numbers on the Wild Atlantic way.” “It was an incredible coup for Ireland, and a huge mark of approval from the leaders of the global adventure trade, that our country had been chosen as a setting for the summit and I think that this very much reflects the fact that Ireland - while long recognised for its friendly people, its heritage and its culture - is increasingly also now being recognised as a destination with the assets that can deliver unique adventure experiences and compelling offers to visitors who love the great outdoors.” To ensure that all delegates are given a warm Irish Fáilte and really get a taste of what Ireland can offer, a number of events have been organised in the run up to conference proceedings. The Summit was organised by the Adventure Travel Trade Association (ATTA) and Chris Doyle Executive Director-Europe with the ATTA said - “Failte Ireland, Ireland’s travel community and the 2014 ATWS Steering Committee in Killarney stepped up strategically and practically in preparing to host and conduct business with 700 delegates from 66 countries representing some of the most influential adventure travel companies and organizations worldwide.” “The manner in which this year’s delegates responded leading up to the Summit with eagerness and genuine interest to learn more about Ireland’s adventure potential and readiness - boded well for what eventually proved to be a productive week together.”

Delegates, Gaby Vegaz, Luren Hefferon and Eric Hiss, arriving for the Adventure Travel World Summit in Killarney


FÁILTE IRELAND NEWS

From clash of the ash to tourism cash Fáilte Ireland’s latest overseas media promotion showcased Ireland’s unique sports and passion in pitch for higher profile and more visitors

Clare hurler Podge Collins and Maire Mc Grath, Clare camogie star, pictured with a group of international journalists from the UK, Denmark, Germany, Brazil, New Zealand, Canada and India. The group were taken on a tour of various locations, organised by Fáilte Ireland, which introduced them to some of the very unique and original aspects of Irish sporting life.

During the weekend of September 6-7th, Fáilte Ireland treated a group of 12 international writers to a sports extravaganza climaxing with an attendance at the thrilling All-Ireland Hurling final between Kilkenny and Tipperary which ended in a draw. This was the tourism authority’s latest initiative to influence international coverage of Ireland as a destination and, to date this year, Fáilte Ireland has welcomed nearly 1,000 overseas media to experience Ireland. This has involved the design of 400 different itineraries encompassing a variety of Irish experiences. Fáilte Ireland estimates that all this work has helped profile Ireland to a global audience reach of 684 million. The September sports-focussed tour, planned and organised by Fáilte Ireland, sought to immerse the overseas journalists in unique and original aspects of Irish life. The overseas media, were from a diverse amount of backgrounds - from the UK, Denmark, Germany, Brazil, New Zealand, Canada and India. Fáilte Ireland were keen to ensure that they enjoyed a tour which truly showcased the unique and very different sporting experiences on offer in Ireland. These including a visit to the Laytown beach races; a visit to the Michael Cusack Centre at Carron, Co Clare, a training session in County Clare to master the skills of hurling, a visit to Dunboyne Football club for a masterclass in Gaelic Football; finishing with a tour of Croke Park followed by attendance at the All-Ireland hurling Final. Brenda King, International Publicity Officer with Fáilte Ireland, explained: “We really use these media trips to grow our Ireland’s reputation as a destination and to lure more people here. And why not? Ireland is unique for many reasons. We have our own language, traditional music and rich heritage. This trip sought to showcase our strong love of sport - through our very special national game of hurling, which has existed for over 2,000 years, as well as our love of horses and horseracing. This trip was crafted for impact and to ensure that it provided our media guests with an eye-opening opportunity to experience Ireland as they never have before”. One of the journalists, Chris van Ryn from New Zealand, was subsequently

referenced in the Washington Post as that publication drew on his impressions and thoughts of the match to explain this uniquely Irish sport to its readers. In his article following his visit, Chris captured and shared what he experienced by noting: “Through my lens I saw before me a sport which has come from the forge of life’s journey, the players harnessing all of history’s emotions in play on the field. It is as if each player is imbued with centuries of the emotional ebb and flow of Ireland.”

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BRANDS

Great National: The most important hotel brand in Ireland and the UK today?

Breaffy Resort

Providing marketing representation for predominantly 4 star hotels and resorts alongside deluxe 3 star properties including a range of outsourcing services such as reservations and distribution, and more recently group purchasing, Great National has been delivering nothing short of staggering growth to its member hotels both in Ireland and the UK despite challenging marketing conditions. In line with its targeted growth plans, the Irish-owned brand continues to move from strength to strength with recent additions to its portfolio of hotels including the Breaffy Resort in Co. Mayo and the Creggan Court Hotel outside Athlone whilst the 4-star Riverside Park Hotel and Leisure Club in Enniscorthy has recently completed a major refurbishment programme including the addition of 20 luxury air-conditioned bedrooms. Located outside Castlebar, the renowned Breaffy Resort already boasts an enviable reputation as a leading holiday, events, conference and banqueting centre located in 90 acres of

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Riverside Park Hotel & Leisure Club

landscaped parkland comprising two hotels, 148 bedrooms and suites, leisure club and spa. Uniquely, the resort also features a 30,000 sq ft multi- purpose indoor sports arena including an Indoor Soccer Pitch, Basketball, Badminton and Tennis courts, 60m indoor running tracks, and 8 muscle recovery ice baths. The hotel is being operated under the Great National Hotels and Resorts brand under a long-term franchise agreement and is currently undergoing an extensive investment programme.


BRANDS

Stoke Rochford Hall

Waterford Castle and Golf Resort

David Byrne, CEO for Great National, commented: “we’re delighted to welcome the Breaffy Resort to Great National given the hotel’s reputation and prominence as one of Ireland’s leading hotel resorts. The Resort’s immediate plans will include a refurbishment throughout key areas of the hotel as well extensive staff training so as to copper-fasten the hotel within the weddings, events and domestic leisure markets.” The Creggan Court will also be operated under a Great National franchise agreement by way of the group’s ‘Express Inn’ brand and similarly is due to undergo an extensive investment and refurbishment programme. Commenting on the Creggan Court, David Byrne said: “we’re very excited about this opportunity as the hotel joins the Express Inn we have already in Cork which has proved to be particularly successful. Similar to Cork, the ‘Express Inn Athlone by Great National’ as it will become known, is superbly located off the N6, 2 miles from Athlone City Centre, and this is a key factor in our selection of potential sites.” In fact, our research indicates that the budget sector is set to grow in Ireland and in the UK, and to this end, we’ve been developing an Express Inn brand standard including super-speed Wifi and in-room guest features aimed at re-defining comfort in addition to co-branded ground-floor services which when combined with our economy class pricing, will more than exceed guest expectations.” “Our business is founded on excellence. We are significantly accelerating growth, reducing costs and improving market reach for the hotels we represent, and we look forward to continuing to bring this same impact for all our hotels, our aim being to become the largest independently owned hotel brand in Ireland and the UK.”

Adding to Byrne’s comments, cofounder and Marketing Director David Collins says: “Since our commencement in 2010, Great National has consistently delivered on our mission to make a difference to our members. Our choice of brand affiliation programmes allows hotels to compete more effectively without the associated costs or long term commitments of traditional hotel brands. Uniquely transparent and quantifiable, we deliver direct results in increased revenues and reduced marketing and distribution costs for the hotels we work with.” “We offer much more than any other international brand or marketing association with a low cost of entry, high performance solution. In working with the hotels we support, our services not only enable group economies of scale but also accelerated occupancy, RevPar and ARR through proven revenue management solutions.” With its head office in Ennis and regional offices in Dublin and Rotherham, the Great National Hotels and Resorts brand now comprises 36 hotels, including 12 in the UK and 24 in Ireland with nearly 2,400 bedrooms: it has added 8 new hotels to its UK division since January 2014 spearheaded by UK Sales Director Paul Abson. Leo Dempsey, ex-Area Manager for Booking.com, is also set to join the board of Great National from 1st November 2014; and joins ex-Hastings Hotels director John D. Toner as non-executive consultative director. Commenting on his pending appointment, Dempsey said: “Great National in short has re-written the rule book by delivering consistent growth to independent hotels in one of the worst global recessions on record. That’s what attracted me as it’s a similar story to Booking.com: being the best in the market, and I hope to help Great National continue along this path in becoming the leading hotel brand in Ireland and the UK.” David Byrne added: “We’re delighted to be welcoming Leo to Great National; Leo was employed by Booking.com as Area Manager for Ireland from 2005 until 2014 and more recently in the UK. Booking.com, part of the Priceline Group is now the world’s largest online travel agent site representing over 533,000 properties globally. He also managed some of their Nordic markets during his tenure there and is extensively accredited as a driving force behind the success of Booking.com in these markets.” With all this expansion backed up by consistent growth in room revenues for its member hotels, Great National is certainly emerging as one of the most important brands of our time. If not the most important.

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IFSA NEWS

IFSA supports RAI in their VAT 9 campaign & calls for the crisis shortage of chefs to be tackled Restaurants Association of Ireland calls for the crisis shortage of chefs to be tackled in Budget 2015 The Restaurants Association of Ireland submit their Pre-Budget Submission 2015 to the Department of Finance. As the number of jobs created by the industry increases, the shortage of chef’s crisis needs to be tackled in Budget 2015. Since the VAT cut, employment in the restaurant and tourism sector increased by approximately 23, 324 direct jobs with an additional 10, 728 indirect jobs which gives a total employment increase of 34.052. “This growth will continue if VAT at 9% remains in effect,” said Adrian Cummins.

Congratulations to our IFSA golf outing winners The annual IFSA Golf Outing took place on Friday 29th August 2014 with over 70 foodservice professionals taking to Newlands Golf Course throughout the day. The golf was followed by awards and an evening meal. Our 3 winners on the day were: IFSA Contract Caterers Challenge Cup - Compass Group IFSA Trade Association Challenge Cup - Irish Hospitality Institute (IHI) Overall Singles Winner on the day - Billy Brenner from Stephen’s Catering

IFSA Munster chapter developments IFSA held the first in a series of regional chapter meetings on Friday 26th September in the Limerick Strand Hotel, aimed at creating IFSA chapters in each province of the country. The aim of this is to create an IFSA hub in each of the 4 provinces whereby local IFSA members can take on the responsibility of organising local IFSA events and meetings. If you missed the initial Munster Meeting and would like to register your interest for future meetings, please email: garret.buckley@ifsa.eu.com

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IFSA NEWS

Bord Bia foodservice seminar: preferential rates for IFSA members Online registration for the 2014 annual BordBia Foodservice Seminar is now open! Preferential IFSA Members Rate is available for all IFSA Members Please contact Caoimhe Gleeson – Caoimhe.gleeson@eventhaus.ie for further details.

Out-of-Home Opportunities - Food Service Seminar Date: 04/11/2014 Location: Crowne Plaza Hotel, Blanchardstown, Dublin

BordBia’s annual foodservice seminar is taking place in the Crowne Plaza Hotel, Blanchardstown, Dublin on Tuesday, 4th November from 8:30am Speakers and Presentations include: • Irish Foodservice Channel Insights - Maureen Gahan, Foodservice Specialist, Bord Bia • International eating out trends and drivers, learnings for the Irish market - David Henkes, Managing Director, Technomic • Insight & Innovation, Fresh Thinking in Compass - Mark Lee, Commercial Director, Compass Ireland & David Tester, Marketing Manager Insight, Compass Group Ireland & UK • Delivering a Route to Market for the Irish foodservice market - Peter Foley, SVP Finance, Procurement & Marketing, Pallas Food • The Millennial Consumer - Grace Binchy, Insights & Innovation Specialist, Bord Bia • The changing face of Forecourt Convenience, Food-to-Go for today’s consumer - Derek Murphy, Foodservice Manager, TOPAZ • Building a Gluten Free foodservice business - Geraldine O’Shea, Sales & Marketing Manager Goodness Grains

50 years serving the Irish catering industry: we need your pictures! February 2015 will see the 50th Anniversary of both the CEA and CATEX. To mark this momentous occasion, IFSA has commissioned the publication of a book entitled “Serving the Caterers” which will take a look back at the last 50 years of the Industry...However, we need your help - any images of the previous 50 years from the catering industry would be extremely helpful. Please email any images that you feel may be suitable to Caoimhe.gleeson@eventhaus.ie

From Our Members Caterquotes - over 600 brands & over 150,000 products CaterQuotes is the award winning referencing and product sourcing data base for the Catering and Hospitality professional, with over 600 brands in our catalogue and hosts over 150,000 products. These include the products of 95% of all heavy equipment manufacturers from the both the UK and Europe, together with an ever increasing number of small wares suppliers and equipment used in the catering industry, covering every type of requirement and location. The programme provides users with instant access to our complete product catalogue plus extensive product specification information and support literature such as Images, Specification sheets, Operations Manuals, CAD Blocks, BIM Families and YouTube Demonstration videos. This information is used to create

tailored and fully detailed quotes in a fraction of the time of traditional methods. Our programme also enables users to utilise numerous business tracking and sales monitoring facilities and also create bespoke sales literature. CaterQuotes is accessed via the internet on our cloud based servers so you are able to log in from any location using your secure log in details and also has a free iPad app available from the iTunes store; CaterQuotes is perfect for working whilst off site and synchronizing with the office. For a free 30 day trial of CaterQuotes, please visit our website at www.caterquotes.co.uk or if you have any questions, please contact the office on 01564820190 and a member of our team will be happy to help.

Date for your Diary Following the success of last year’s IFSA family Christmas event - we are delighted to announce that we are all off to Paddington Bears Christmas Adventure at the Odeon Cinema on Saturday 13th December. Treat family, staff, and customers to a fun day out - reserve your tickets now - contact Caoimhe.gleeson@eventhaus.ie

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ONLINE MARKETING

Acquisition costs and achieving distribution balance Dr. Des O’Mahony Achieving the correct balance between direct bookings on your hotel website and indirect bookings via third party channels such as travel agents, tour operators, GDS and online travel agents (OTA) is essential to your hotel business’s profitability and long-term growth. But often it is difficult to determine exactly what “balance” means. One reason it is difficult is that multiple key performance indicators (KPIs) are used to assess the situation. Often, those seeking to win the argument will use the most suitable KPI for their case, and the least suitable for yours, comparing apples with oranges. Booking numbers is a simple approach but may be misleading. Cost is often focused on as the driver for reducing third party acquisition, the cost of commission in the case of the OTA versus the cost on your own website. But cost of acquisition is certainly far more complex than the headline commission charge and is worth going into in more detail. Acquisition cost elements for indirect and direct business In assessing performance, hotels often look at ADR and RevPAR, but RevPAR in particular is increasingly dangerous in the modern online world. Filling your hotel is no longer difficult - just drop your rates and put all your availability on the large OTAs and you’ll fill quickly. The issue is achieving good occupancy with good margin. More useful KPIs for today’s market are RevPOR (revenue per occupied room), or even better MPOR (margin per occupied room) which is what we assess in Bookassist. A focus on revenue without an assessment of margin or gross profit is really pointless today. In assessing acquisition costs, hotels often make gross oversimplifications. The OTA cost is a simple commission, the direct cost is a mix of booking engine costs and digital marketing. But it’s really not that simple at all and a good analysis of it in your hotel can be very revealing, and often worrying. Let’s look at just a few elements associated with calculating true acquisition cost for your direct business.

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Social media and reputation management Social media is a promotional cost for a hotel that is a brand reinforcer. It impacts indirectly on hotel bookings. Social media is free, but the time spent doing it is not. At the very least, your organisation should be clocking time on social media and converting the salaried employee time into a marketing cost contributor. This social media cost should not be levied against direct online bookings alone however. Your online brand building is well known to also improve your OTA bookings via brand reinforcement and recognition. So assign a portion of this cost to your direct acquisition costs but also some to your OTA. How to decide the proportional split? Perhaps assign it in proportion to the number of bookings received in each channel? Or at least consider a majority share towards direct bookings and a minority contribution towards indirect. Likewise, we now spend time and money on online reputation management. Tools you buy or subscribe to, and the time spent managing them and analysing them, are all real costs. You should estimate this ongoing cost and assign a portion to direct bookings. But online reputation is a major influence on OTA bookings too, so proportionately add to your OTA cost also. Probably, the influence is equal in both camps. Generally, social media and reputation costs overall are pretty much a fixed annual cost. Divide the direct portion by the total number of direct bookings annually to get your contribution to acquisition cost per direct booking. Do the same for the OTA portion. Website costs The build, search engine optimisation, ongoing hosting and ongoing time management of your website is a substantial investment. Thousands of Euro per year. It should be relatively straightforward to calculate the total annual cost of these elements. It is again a well known fact that your website presence is a significant boost to OTA bookings. Potential customers frequently flick between OTA and hotel websites to assess hotel quality, but often then return to book on the OTA that they trust. The result is that your website strongly influences the first-time visitor’s OTA booking. The more you spend on your website, the more you are helping that process. What would you consider a fair split for this cost between direct and indirect? Generally, like your social media costs, website costs overall are pretty much fixed annually. Divide the direct portion by the total number of direct bookings annually to get your contribution to acquisition cost per direct booking. Do the same for the OTA portion. Booking engine or OTA fulfilment Booking engine costs are usually worked also on a per booking basis and transparent to assess on a cost per booking basis. OTA costs are a transparent charge also. The cost per booking here is straightforward. Pay per Click, remarketing, meta search As an acquisition cost, this also seems easy. The ad costs and the management costs should be assigned against direct bookings made in a standard return on investment calculation. But wait. Running pay per click advertising is actually also a brand enforcer and for sure it will influence brand recognition, therefore helping OTA bookings too.


ONLINE MARKETING

A list (albeit incomplete) of elements that contribute to direct and indirect acquisition costs per booking.

Also, the OTA presence in advertising on your brand name is actually forcing your own bid cost up, so a portion of that pay per click and management cost must be assigned against their bookings. After all, if OTAs weren’t bidding on your name, your bids would be cheaper! How much to assign between direct and indirect is difficult to assess, but the total cost of pay per click, remarketing, meta search and other online advertising tactics cannot be truly assigned against direct bookings only. Perhaps 90% of it should be applied to direct. More work would be needed to identify this split better. Divide your direct portion of PPC and digital marketing costs by the total number of direct bookings annually to get your contribution to acquisition cost per direct booking. Do the same for the smaller OTA portion. Managing distribution All your channels, direct and indirect, attract a cost of management. Software like revenue management systems and channel managers are all clear costs, but salaried employees working the systems are the larger costs. Consider calculating these costs out and assigning them in proportion to the bookings received per channel. Then, determine the cost per booking contribution they make towards direct and indirect costs. CRM and reach Operating a customer relationship management system in order to maximise your reach to past customers is a very wise move. But it comes at a cost - software, people, probably cost per email in a delivery system. In this case, the system is entirely about generating non-OTA bookings, so these costs are against follow-up direct bookings and resultant phone bookings etc. If you’re doing this properly, your direct bookings from mail shots are probably being tracked by your mailing system, or by Google Analytics, so this simplifies things. Calculate these costs out and assign them in proportion to the bookings received per tracked channel. Then, determine the cost per booking contribution. Getting it right Figure 1 gives a back-of-the-envelope view of these contributing factors. There are certainly plenty of other elements to consider for a full acquisition model, but the elements above are a good starting point for looking at acquisition costs per booking. The conclusions are that (1) the OTA cost per booking is NOT just the commission being charged as most OTAs would have you believe - a lot of your effort on branding and management needs to be considered for OTA success and is a very real cost contributor. Likewise, (2) direct booking has many elements that contribute to the final cost per booking, and calculating these may actually get you worried about your concept of “balance” between direct and indirect.

The fact is that failure to execute a strong strategy that builds and grows direct bookings means that your acquisition cost calculations may actually result in the rather scary scenario of your OTA costs being comparable to direct. This is where you may see the true imbalance, despite the booking numbers seeming to indicate that you are in control. But there is a clear direction to take. Many elements that contribute to direct booking success are actually fixed costs. Therefore the key to driving down acquisition cost per booking is to raise the number of direct bookings against those fixed costs. Continuing to push for more direct bookings will continually drive down the acquisition cost and properly redress the balance with third party bookings. It’s the data Focusing on acquisition cost per booking is a critical task, but don’t lose sight of the overall picture relating to booking data. The real value you are handing to third parties is not just the booking itself but the potential in the data relating to the booking. This is not factored in our model at all. Large OTAs are extremely successful at marketing to their user lists, and every OTA booker to your hotel will be relentlessly targeted with similar properties at better prices. The long term value to third parties is the data they keep from you - and they are charging you commission for that privilege.

Dr Des O’Mahony is CEO and Founder at Bookassist (http://www.bookassist.com), the technology and digital strategy partner for hotels worldwide.

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INDUSTRY SUPPLIERS

Classic whiteware from BUNZL McLaughlin

With a number of cleaning and non-food retail businesses, as well as over 2,500 items in stock available for next day delivery and access to over 50,000 more from the world’s leading catering and cleaning manufacturers, Armaghbased Bunzl McLaughlin is a key player in the Irish catering supplies industry.

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Now Bunzl McLaughlin is launching a brand new range of crockery and cutlery set to fill a gap in the market, and Hotel and Restaurant Times met with Sean Martin, Sales Director of Bunzl McLaughlin’s and chair of The Irish Foodservice Suppliers Alliance (IFSA) to talk about the new collection and what it can offer the hospitality industry. The crockery range, comprised of 114 pieces of Classic whiteware in various shapes and sizes, includes plates, deep bowls, salad bowls, soup bowls, teacups,


INDUSTRY SUPPLIERS

saucers cappuccino cups, mugs and salt and pepper shakers. All pieces are industry standard and vitrified, with heat resistant and thermal shock resistant properties. The cutlery range features eight modern designs, six of which contain 10% nickel and 18% chrome and two economy designs without the nickel. The gauges are industry standard ranging from a minimum of 3mm to 3.5mm. “It’s an affordable product and a quality product,” Sean explains. “What we’ve identified in the market is a gap between the high branded products - they’re fabulous products which we continue to sell and do very well - but people who aren’t able to afford that immediately drop right down to the cheap products. What we’re filling the gap with now is something people can step up a little bit with and step down a little bit with. “The target market for the collection is mid-range restaurants and gastro pubs. Businesses that aren’t looking for a top dollar fork but want to show and serve their food well in a fashionable and modern way. The industry is blessed with young and enthusiastic chefs who want to express themselves differently and this range lets them do that.” Quality is of the utmost importance to Bunzl McLaughlin and to this end the company’s development team work constantly on their product line. This new range of crockery comes with a lifetime chip warranty - something Sean says cannot be underestimated. In fact the team are so confident in the product they aren’t afraid to put it to the test! He says: “We are working with brand leaders to provide this range, which will include a lifetime chip warranty, and to prove this we demonstrate all the time by taking a plate and giving it a good knocking around, banging it off tables - it just will

not break. We’re giving customers that confidence because from a safety point they can’t afford to give chipped products to customers. If a product chips in a dishwasher or food prep and someone misses it a little piece of crockery could end up in a salad or stew. It also saves money fewer replacements. “Then with the cutlery - the nickel and chrome content is critical. The chrome gives the product the shine and the gleam and it means it shines as well in year five as year one. On top of that there are six designs that have 10% nickel which prevents corrosion - we have two products with no nickel but they’re just an affordable product; they will still have the shine.” The range, available online, is stocked in Bunzl McLaughlin’s Armagh warehouse and can be delivered ‘next-day’, while it will also feature in Bunzl McLaughlin’s sales brochure from October 25th right through to December 31st where it can be purchased as part of a ‘Buy More Save More’ launch offer at a cheaper price. The range will also be featured in daily blogs and on the company’s Facebook and on Twitter. And Sean is confident about bringing the range to the marketplace: “We’re looking forward to Catex in February. We already have plans well underway and we will be featuring quite a lot of the products there. We’re encouraged by the marketplace. We like to think we’re helping drive on the pace of the market and we’re very encouraged by our customers’ enthusiasm - they want to spend some money to improve their own business. It is slow beginnings but they are coming and they are looking for ideas. The future is bright.”

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GMIT NEWS

The Future is Food new Transition Year unit makes it on school curriculum The TASTE Council of Ireland is a voluntary representative group of the smaller food business sector made up largely of local, artisan and speciality food producers and formally established in October 2003. The current Chair of this group is Kevin Sheridan from Sheridan Cheeses. The TASTE Council work in a voluntary capacity to address issues that affect the speciality foods sector and to provide national and international expertise to enable the Irish speciality food sector to maximise its potential contribution to Ireland’s economy, environment, culture and society. Each summer the organisation hosts a College of Tourism & Arts Summer School and this GMIT year the venue was Dublin Road Brooklodge in Macreddin Galway Village in Co. Wicklow. Tel: +353 (0)91 742343 Hosting such an event in Web: www.gmit.ie/cta the wonderful surroundings of Brooklodge not only Cait Noone showcases the best of Irish Head of College produce and hospitality but T: +353 (0)91 742236 also reminded me how E: Cait.Noone@gmit.ie lucky we are in GMIT to have students complete Gerry Talbot their work experience in Head of Department: this fantastic learning Culinary Arts environment surrounded by Service Industries a dedicated, highly T: +353 (0)91 742320 professional and generous E: Gerry.Talbot@gmit.ie hard-working colleagues. This year’s Summer Gerry O’Neill School in late August Head of Department: included the themes of the Heritage & Tourism economics of the artisan, Humanities & Languages educating the next T: +353 (0)91 742294 generation for the artisan, E: Gerry.ONeill@gmit.ie growth in the artisan sector and finally a midterm Sarah Searson examination of Harvest Head of Centre 2020. Panel discussions Centre of Creative Arts & Media focused on the Irish artisan, T: +353 (0)91 745418 the Irish consumer and the E: Sarah.Searson@gmit.ie Irish Kitchen. Over the last twenty two Date for your Diary months I have been The College of Tourism and privileged to work Arts Annual Careers Fair alongside colleagues in the Wednesday March the 11th Taste Council on another 2015-1.30pm-4.30pm. exciting project that came To register for this free event: to fruition at this year’s Contact Bernie Merry Summer School. We in the E: Bernie.Merry@gmit.ie Taste Council have T: +353(0)91 742565 developed a unit for

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Cait Noone presenting at TCSS 2014

Transition Year students called The Future is Food. We piloted the unit last year in eight different secondary schools and the unit is now fully complete and available to all schools nationwide. Teachers interested in offering the unit can find it at http://www.ncca.ie/en/Curriculum_and_Assessment/PostPrimary_Education/Senior_Cycle/Transition_Year/Transition_Units /Sample_Transition_Units.html. As an educator, I recognise how little free time teachers have to engage with new developments, so in order to support my colleagues in secondary schools we have developed all the learning material required to deliver the unit. These documents include interactive student toolkits and a workbook for teachers with weekly lesson plans, templates, access to online resources and other key material. All of this material is available free and on the Taste Council website at: http://www.tastecouncilofireland.com/schools-ty-unit.html Finally I would like to thank my colleagues in the IOT sector and in GMIT for their support and guidance during this development. Many took time out to read the work and provide guidance and for this I am so grateful. In addition the Association of Home Economics Teachers in Ireland has been incredibly generous with their support and I look forward to presenting the final work to them at their Autumn conference in a couple of weeks. Let’s hope this development is the starting point of seeing more food education on our school curriculum in the near future.


GMIT NEWS

Two GMIT lecturers win National Teaching Hero Awards Richie Hoare (Business School) and John Carty (College of Tourism & Arts) nominated by GMIT students GMIT lecturers John Carty and Richie Hoare have been awarded Teaching Hero Awards by the National Forum for the Enhancement of Teaching and Learning in Higher Education in partnership with the Union of Students in Ireland (USI). John from Lisacul, Castlerea, Co Roscommon, lectures in Marketing, Management and Public Relations in the GMIT College of Tourism & Arts, and Richie from Derrane, Co Roscommon, is a senior lecturer in Accountancy in the GMIT School of Business. They are among 53 teachers from 27 higher education institutions who received their accolades at the National Teaching Hero Awards in Dublin Castle on Tuesday (30th September). The awards were determined by students who made the nominations based on their own perspectives of what great teaching means to them. The process was informed by guidelines focusing on merit and learning impact. The teaching hero award is the first of its kind in higher education in Ireland. Prof Sarah Moore, Chair of the National Forum, says: “Outstanding teaching often happens quietly under the radar. With all our commitments to improvement and developing teaching and learning, these awards aim to shed more light on the kinds of teaching that students say they value most.” Sam O’Neil, President of the GMIT Students Union says: “As a representative of our student body, I get feedback from students on a day to day basis about the amazing work carried out by most lecturers within the Institute. It is great to see two shining examples getting recognition on a national level for their dedication to improving students’ educational experiences. They raise the bar when it comes to working hard, supporting students and going that extra mile - they truly are teaching heroes.” Speaking about John Carty, Cáit Noone, Head College of Tourism and Arts, says: “John is a consummate professional and

John Carty receiving his Teaching Hero Award with LtoR, USI President Laura Harmon, Minister for Education, Jan O’Sullivan TD, the Patron of the National Forum, Prof. Mary McEleese, and Prof. Sarah Moore, Forum Chair

provides pastoral support and guidance to students in addition to a busy working load. He participates in a number of crossInstitute committees and still finds time to work with professional bodies, engage with his PhD studies and support work placement provision across the Tourism industry. This award recognises John’s personable manner, supportive approach and engaging teaching style.” GMIT Registrar Michael Hannon paid tribute to the two GMIT lecturers, saying: “I congratulate both Richie and John on their outstanding achievements. We are all delighted for them. Their skills and talents as teachers have been rightly recognised by students through this new awards programme.”

The College of Tourism & Arts Classroom travels to China Susanne O’Reilly and Tom Edwards from GMIT travelled to China in April to present lectures to Chinese students on the Higher Certificate in Business with Tourism Management Programme. This exciting opportunity for the College of Tourism & Arts lecturers was due to on-going collaboration between Nanchang University and GMIT. Also travelling were Dr Gabriel Hicks and Vlad Telenca from the department of Computing and Mathematics whom were presenting work in the field of software engineering. The lecturers spent two weeks in Nanchang. There were nearly forty students in each class, mostly in their late teens, very similar profile to students at GMIT.The students enjoyed the presentations and were especially appreciative of the opportunity to experience a European perspective on tourism. They particularly liked a video clip of field trips by Irish students to Bunratty, Brigit’s Gardens, the Aran Islands and the Burren. The students also watched a video presentation of the Wild Atlantic Way created by second year students. Tourism students in GMIT read the travel section of the weekend Irish Times. Copies of the Irish Times were brought to Nanchang and the attached photo shows the Chinese students reading the week end supplement. This was a tremendous experience in which Susanne and Tom learnt as much about China, as the students did about tourism in the west.

Lecturers LtoR Vlad Teleanca, Susanne O’Reilly, Dr. Gabriel Hicks and Tom Edwards in Nanchang, China

Tourism Students at Nanchang University reading the Irish Times

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DIT

Hospitality management and tourism research at Dublin Institute of Technology DIT’s School of Hospitality Management and Tourism are hosting more and more opportunities for researchers to explore independent research into the hospitality and tourism industries. Many of the academic staff have become supervisors to budding researchers in the field of hospitality and tourism. Here you can read about some of the research which is either ongoing or has been completed through DIT’s School of Hospitality Management and Tourism. How can productivity and efficiency be improved in the Irish hospitality sector?

approach that has traditionally been adopted by large organisations. The lean training and mentoring programme will provide a powerful means by which operational staff can be mentored and empowered, to enhance both efficiency and productivity in their work environments in a self-directed manner. On successful implementation of the training and mentoring programme the knowledge gained will be leveraged to develop a lean services framework of those tools, techniques and management approaches best suited to service operations such as hotels, with a view to supporting the implementation of this lean training and mentoring within the broader Irish hospitality industry. This project will also benefit the wider hospitality industry by encouraging independent Irish hotel operators to improve their operational efficiency and productivity through adopting lean approaches. If you are interested in participating in this study or require any further information, please contact: emma.Reardon@mydit.ie / 00353 (0)1 402 4374 What do customers really think of self-service technology? PhD Researcher: Petranka Kelly Supervisors: DIT lecturer Dr Jennifer Lawlor and Dr Michael Mulvey

PhD Researcher: Emma Reardon Supervisor: DIT lecturer Dr John Ryan Co-Supervisor: Prof Stephen Wanhill, University of Limerick, Emeritus Professor of Tourism Research, Bournemouth University, Editor of Tourism Economics Emma Reardon is at the beginning of this research project which aims to bring together leading academics and industry practitioners to support the development and implementation of a lean services framework within the Irish Hospitality Sector. DIT is delighted to be partnering with Alex McDonnell of Xpertivity Ltd. for this research study. Xpertivity Ltd. specialise in lean operational excellence, design and deliver systemic solutions for building and sustaining enterprise excellence. Evidence suggests that lean training and mentoring programmes have improved efficiencies in many organisations across the international hospitality sector, but has not yet been applied across Irish hotel operations. The development of such a training approach for Irish hotels will offer the opportunity to enhance productivity and efficiency through leveraging a proven

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The travel, tourism and hospitality sectors are increasingly providing customers with a wide range of technology-enabled services or self-service technologies (SSTs), e.g. online reservations, selfcheck-in and ‘bag and tag’ facilities at airports. The benefits of customers’ usage of SSTs to the organisation are manifold, ranging from cost effectiveness to allowing employees to be redeployed elsewhere. However, the customer’s perspective on these technologies has received relatively less attention. What exactly are customers’ motivations for SST usage and indeed, what are their experiences of using SSTs? Petranka conducted two waves of research, including 133 short interviews with passengers at an international Irish airport, who were in a position to discuss their SST usage in the travel, tourism and hospitality sectors. Specifically, Petranka invited passengers to provide examples of their SST usage, and they were encouraged to discuss particularly memorable experiences (positive or negative) with an SST. The findings suggest that customers are expressing opposing experiences and motivations for SST usage. At one level, customers are surprisingly enthusiastic to engage with SSTs because they provide them with benefits in terms of convenience, control, lower price and enjoyment. On another level, customers engage with SSTs obediently and unwillingly because the service provider offers them no better alternatives for accessing the service. Furthermore, the findings suggest that SSTs present yet unutilised opportunities for building lasting relationships with customers and providing enhanced tourism experiences. This research provides critical knowledge for marketers, managers and policy makers in ensuring successful implementation of SSTs in the travel, tourism and hospitality sectors, and indeed, the broader services sector.


DIT Is strategic market planning really happening? Masters Researcher: John Fareed Supervisors: DIT lecturers Dr Gerry Dunne and Alex Gibson John Fareed, CHME ISHC is a US based hospitality marketing consultant and industry thought-leader who has a focus on independent upscale resorts. In his M.Sc. dissertation John explored the use of strategic market planning processes among independent hospitality resorts. Reviewing the theoretical bases of strategic marketing, he compared these against the practices used by marketing managers across ten large independent resorts located in North America and the Caribbean. Significantly, the research identified that the day-today practices of market planning are not reflected in the way it is expressed through academic theories and literature. John found that the marketing managers working within independent resorts faced two types of challenges. Either they were overwhelmed by the perceived necessary rigor of developing and implementing a proper strategic market plan for their organisation, or they did not have a practical understanding of the differences between a strategic market plan and an annual marketing plan, which traditionally focuses on short-term tactical marketing issues. The research identified that there is a need for a simplified strategic marketing planning process model-one that, while theoretically designed according to best practices, is more appropriate and specific to marketing managers of independent resorts. As a result of the research process, John proposed a set of theoretical best practices models for strategic market planning, and an audit tool for use by independent resorts. John considers that an integrated approach to strategic market planning, such as the one he proposed, will aid in solidifying the resort

management team while increasing overall participation and support, aid in product development, make marketing tools much more effective and timely, create stronger with clearer more believable messages, and give the organisation greater return on investment. John Fareed is an internationally recognized marketing expert, speaking at industry events around the world. John holds an M.Sc. degree in Hospitality Management from DIT School of Hospitality Management, also where he is currently pursuing a PhD. To learn more visit http://www.johnfareed.com.

For more information about research in the fields of hospitality and tourism please contact the DIT Graduate Research School or directly approach DIT’s School of Hospitality Management and Tourism. Graduate Research School: 01 402 3370 or research@dit.ie DIT School of Hospitality Management and Tourism: 01 402 43 52 or tourism.hospitality@dit.ie

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TOURISM

Taxing the tourist In advance of Budget 2014, Frank Corr argues for lower taxation of visitors.

If perchance, Finance Minister Michael Noonan decides in Budget 2014 to end the ‘temporary preferential VAT rate’ on tourism services, he will be doing an injustice not just to the tourism sector, but to the wider economy and his own beloved Exchequer. Not that this course of action is likely. Over the past few months, Ministers have been talking up the prospects of a further acceleration in tourism growth and the importance of the 9% VAT rate in stimulating the economy. None have been more effusive in their praise than Paschal Donohoe, the new(ish) Minister for Transport, Tourism and Sport, who had high praise for the industry’s response to the concession when he spoke at the AA Hotel Awards a few weeks ago. The Minister welcomed the continued recovery of tourism and praised operators for passing on the benefits of the concessionary tax rates to consumers. In doing so, he was echoing the findings of accountants Deloitte who published a report on the impact of the 9% VAT rate in July of last year. The key element of that report for Minister Noonan is that the tax he has foregone as a result of the concession is more than compensated by higher VAT and Excise returns. In a word it is a good deal in fiscal term.

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Initially it was estimated that the concession would cost the Exchequer €350m in a full year. In the period surveyed by Deloitte Actual VAT receipts in the 9% categories fell by €107 million in the first 12 months following the introduction of the reduced rate and €15 million in the subsequent 6 months. Adjusting the VAT take decline in the 9% category for the overall fall in VAT receipts in the economy suggests that there was an estimated net reduction in VAT receipts for the 9% categories of €88 million for the first 12 months of the measure. Since then VAT receipts have not only stabilised but have bounced back with vigour and current income from the ‘9%’ sector comfortably The concession has also balances the ‘foregone taxation’ cost. brought many other The concession has also brought benefits. Hundreds, or even many other benefits. Hundreds, or even thousands of debt-laden thousands of debt-laden tourism-related tourism-related businesses businesses have been struggling to survive in recent years and the 9% VAT have been struggling to has gone some way towards alleviating survive in recent years and their situation. Such businesses need to the 9% VAT has gone some generate substantial operating profits if way towards alleviating they are to cope with their debt burden their situation. and there is little doubt that many more would have succumbed to receivership or would have been welcomed into the bosom of NAMA, only for the benefit of lower VAT. ‘Brand Tourism Ireland’ has also been a beneficiary of the concessionary rate. Prior to its introduction, this country had developed an unenviable reputation for offering poor value for money to visitors. As recently as 2005, some 35% of all visitors rated their Irish holiday as offering ‘poor’ or ‘very poor’ value for money- a truly terrifying statistic. Since then however the picture has changed very significantly with just 16% giving their Irish holiday a ‘poor’ or ‘very poor’ value for money rating in 2012. It may well be argued that this level of dissatisfaction remains unacceptable, but at least the situation is improving. Intense competition in the accommodation and dining out sectors probably accounts for much of the


TOURISM

improvement but operators can well argue that the 9% VAT is also playing a role in keeping prices down. The number of new jobs created by tourism since the VAT reduction is also significant. At the height of the boom in 2007 it is estimated that 250,000 people worked in jobs directly or indirectly related to tourism. When the Celtic Tiger While the 9% VAT rate on expired that number fell rapidly to tourism services is indeed a around 140,000. Almost co-incidentally positive initiative, it should not with the introduction of 9% VAT, job mask the fact that visitors to numbers began to rise again. The Ireland are in fact very heavily Restaurant Association of Ireland taxed while they are in this claimed in August of this year that country. Like most destinations, our philosophy seems to be 21,600 direct new tourism jobs were ‘Céad Míle Fáilte’- but be created since Budget 2011 together prepared to be taxed as if you with 10,000 jobs elsewhere in the are a citizen’. Economy. Current indications are that tourism is now supporting close on 200,000 jobs, directly and indirectly. Minister Noonan will be well aware that every job creation means one less Social Welfare recipient and may look appreciatively at the €433m in Social Welfare savings which the RAI says have resulted in the tourism employment recovery. While the 9% VAT rate on tourism services is indeed a positive initiative, it should not mask the fact that visitors to Ireland are in fact very heavily taxed while they are in this country. Like most destinations, our philosophy seems to be ‘Céad Míle Fáilte’- but be prepared to be taxed as if you are a citizen’. Visitors therefore pay some of the highest rates of excise duty levied anywhere in the EU on petrol, alcohol and tobacco and this impacts directly on the cost of their holiday. Renting a car in Ireland, for instance, is an expensive exercise with the high cost cropping up frequently in comments from North American visitors who are accustomed to exceptionally low priced motoring. Excise duty and VAT certainly play a part in the high cost of car rental, but so too does Vehicle Registration Tax which adds significantly to the cost of putting a car on the road. Car rental companies are particularly affected by VRT. Because of the seasonality of their business they must ramp up their fleet in late Spring and then dispose of most of those vehicles in the Autumn. If the local market cannot absorb this level of currentyear vehicles, the only option is to sell them on export markets, mainly in the UK. High VRT means however that this would result in selling at a loss. The EU Commission looked at this issue a few years ago from the viewpoint of non-Irish car renters operating here and they told the Irish Government to introduce a VRT Refund scheme which was introduced in the 2010 Budget. In a sly move however the Government imposed a €500 ‘administration fee’ for processing the refund,

which eliminated the benefit for many ‘export’ sales. The recovery in the Irish motor market has however somewhat eased the problem, but the issue of high car rental costs remains an issue for tourism. In the run-up to the Budget, much will again be said about Irish excise duties on alcohol and tobacco. Apart from health or moral issues, these high rates push up the cost of dining out and socialising in Ireland and have played their part in the unfortunate decline of the Irish pub. It would probably be unrealistic to expect Minister Noonan to reduce duty on the pint or cigarettes, but surely he could look at the outlandish excise duty which we apply to sparkling wines. Nobody will argue about paying duty on a bottle of Dom Perignon, but the penal excise duty on that particular luxury beverage also applies to a humble bottle of Prosecco or Cava. The duty was introduced in the 1980s as a political statement and despite arguments from the EU, the Irish drinks industry and tourism organisations, it remains in force. The ‘bubbly tax’ earns virtually no appreciable revenue for the Government, but it greatly annoys European visitors who can buy sparkling wine in their local supermarket for a few euro. Charlie McCreevy was said to be favourably disposed to scrapping this tax, but worried about being dubbed ‘Champagne Charlie’. Minister Noonan need not worry about earning such a nick-name and should have the courage to ditch a tax which is basically ridiculous. The Budget is of course not all about taxation. On the other side of the ledger it provides for Government spending for the year ahead and allocations to various Departments. With a 2013 allocation of €1.65bn, the Department of Transport, Tourism and Sport is among the lowestspending of the Government Departments. Social Protection, for instance has an annual budget of around €20bn, Health has €14bn and Education gets €8bn. Of the €1.65bn allocated to DTTS, some €141m is invested in tourism. It is almost all given to Failte Ireland which then passes on around €52m to Tourism Ireland which in turn gets another €18m from Northern Ireland Tourist Board. These allocations have been cut in recent Budgets- not severely but nevertheless by around 8m over the past few years. No doubt this has been done in the interests of parity between Departments and for overall optics. Given the success of tourism since 2011 and more significantly its potential for further growth in the immediate future, it would make more sense for Minister Noonan to increase funding for marketing and product development rather than chip away at these budgets. But I wouldn’t bet on this happening.

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ENERGY

Understand your energy consumption & costs Energy is a Hot Topic these days with the ongoing crisis in the Ukraine and the Middle East featuring in all daily news reports. Hotel managers must decide on the best course of action to take to combat rising energy prices, security of supply issues and government energy efficiency support schemes. Caraghbridge Technologies energy expert, Technical Director Fergus Foley, takes us through practical ways that can help organisations to protect themselves against an uncertain future.

1. Understand your energy consumption & costs - reduce your energy consumption now and plan for the future Employing this methodology enables organisations to develop a structured approach to managing energy use, he explains. It involves metering, setting objectives and targets, and then producing an action plan showing how these targets will be met. “The action plan helps to focus attention on the quick wins initially, whilst building a foundation to address the more complex issues further down the line.” Ongoing monitoring and measuring is necessary to ensure reductions are sustained and new opportunities for further reductions are constantly identified and assessed. Reducing your energy use is not just a one-off saving - it has lasting benefits, particularly as energy prices continue to rise, Fergus adds. “Managing a Hotel that is 160 years old is always a challenge and Energy is a key cost to our business. In 2011 we engaged the services of Caraghbridge Technologies to manage and advise us on all energy related aspects of our business. The results delivered very significant savings in energy consumption and reduced CO2 omissions. Its simply good business” - Conor Hennigan

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2. Reducing your energy spend goes directly to the bottom line “Reducing your energy use reduces your energy bill and reduces your base costs. Every €100 saved in energy is a €100 on the bottom line. Reducing your base costs gives you an advantage over your competitors” says Fergus.Money spent on wasted energy must be recovered from somewhere - and invariably it’s paid for by


ENERGY

your customers. Installing a proven effective Energy Management System willsubstantiallycut your overheads and make your organisation more profitable. 3. The green image & free energy The Public are more aware of climate change and the impacts on the environment, as well as the importance of saving energy. “Being able to demonstrate to your staff and customers that you are taking energy management seriously can only be a good thing,” says Fergus. “We are experiencing incredible success in alternative new technologies in areas of Wind, Wave, Solar, LED, Biomass, Heat pumps etc. which would have seemedlike Science fiction a decade ago. Developing long term targets and action planswill help organisations to carry out a full cost benefit analysis of implementing appropriate new technologies,” explains Fergus.These may seem expensive now but if you get commitment from your company that some, if not all, of the cost savings seen from the initial quick win opportunities can be invested back into funding the longer term opportunitie, bigger projects can become affordable. “With so much competition out there, differentiating yourselves from your competitors is vital. Implementing an effective energy management program not only gives you the assurance that what you’re doing is right but also reassures your clients and business associates that you are managing the enterprise efficiently.” Whilst no one can predict the future, an effective energy management program can at least help you to be prepared for it.

“Over the past twelve months we have worked closely with Caraghbridge Technologies to better understand and manage our energy usage here at Luttrellstown Castle Golf and Country Club. The management tools and solutions delivered by Caraghbridge Technologies have allowed us to yield significant savings across gas, water and electricity usages”. - Anthony Smiddy, General Manager, Luttrellstown Castle Golf & Country Club.

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CONFERENCE

Green Hospitality annual conference Presentation of the 2014 Responsible Travel & Tourism Awards The place to be will be The Marker Hotel, Dublin, on Thursday 16th October for Green Hospitality’s annual conference. The theme is “Making Responsible Tourism Pay” with a focus on Responsible Tourism as a Competitive Advantage within Ireland. Joining the excellent panel of speakers will be Paschal Donohoe TD, Minister for Transport, Tourism & Sport. Other main speakers will include Tina Roche, CEO, Business in the Community Ireland and Kevin McGillycuddy, Managing Director, Brehon Capital Partners. The conference will have three main parts: • Identifying how Sustainable & Responsible activities are embedded within Irish & International companies and organisations thereby creating competitive opportunities for hospitality businesses • Lessons from Industry - Best Practice from some of Irelands leading Hospitality practitioners of sustainability and responsible tourism • The Green Economy and the Environment. Minister Donohoe, Dara Lynott - EPA, Paddy Mathews - Fáilte Ireland and Kevin McGillycuddy - Brehon Capital Partners will give their take on how Irish Tourism accepts its role in the new Green Economy and what more we could do. Maurice Bergin, MD of Green Hospitality noted “Ireland is promoted as a destination that has a wonderful natural environment and recent surveys show that the key attractions for overseas visitors are our beautiful scenery and countryside and the natural environment. We sell Ireland as a “Green” destination. But is Tourism walking the talk? What are our policies and strategies with respect to the environment? Is it tourism’s responsibility or some other government department? What tourism organisations champion the environment? How does tourism step up to the Green Economy challenges and opportunities adopted by the government and other business sectors? The recent Chambers Ireland CSR Awards shortlisted 70 applications and came up with 15 winners. There was not a single travel or tourism business amongst them. If the business sector regards these issues as important - suppliers (hospitality amongst them) should take heed and align their values with their customers. In the Food Manufacturing sector Bord Bia have launched their Origin Green Programme with an ambition - “To make Ireland a world leader in sustainably produced food & drink” The intent is that 100% of Ireland’s food & drink exports will be on the road to sustainability by 2016. Bord Bia Origin Green companies travel

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Maurice Bergin, Green Hospitality - Duncan Stewart, environmentalist and award judge and Charlie Sheils, General Manager, The Marker

extensively within Ireland and partake of accommodation, meals, meetings & events. Is the Hospitality sector falling behind on the road to sustainability and responsible business practices? Can we afford to fall behind? Are we providing the leadership for the sector that we could be providing? Green Hospitality is doing its bit - with a huge thank you to the Environmental Protection Agency which has enabled GHP to exist. As part of our process to drive change within the industry we will also be presenting the 2014 Responsible Travel & Tourism Awards to hospitality and supplier businesses that demonstrate how they have incorporated Responsible Business practices into their day-to-day operations.” Often the concept of “Going Green” is seen as a Corporate Social Responsibility issue and one for large companies with big budgets and lots of PR advisers. Being Green is also often seen as an expensive luxury with poor, if any, paybacks and by others as a recipe for meanness. Many businesses, hospitality ones amongst them, can also take a simplistic approach and only implement the low-hanging fruit options with very short paybacks and then “pretend” that this makes them Green. Green Hospitality contends that Going Green is a sound business decision based on good business management principles which focus on the Triple Bottom Line or 3 P’s - People, Planet & Profit. A Responsible business is a business that pays attention to all three - and reaps the reward from these combined actions. Many GHP members have made substantial savings on their utility bills with some simple actions - some of these will be telling their story in the Lessons from Industry section of the conference. The conference aims to address these key issues and create an active and informed debate on the topics and show delegates the benefits and competitive advantage open to them by becoming Green Businesses and engaging with the Green Economy. The conference is a half-day event followed by a light lunch. Bookings can be made through the GHP website www.greenhospitality.ie A small trade exhibition area will also showcase some suppliers who can assist hospitality businesses in implementing environmental and cost saving improvements. The conference is approved as an IHI CPD Event and is supported by Fáilte Ireland and The Marker Hotel. Hotel & Restaurant Times is the Media Partner for the Conference.


Show your business off to 10,000 customers CATEX 2015 promises to be bigger and better than ever as we celebrate 50 years of serving up Ireland’s biggest foodservice show. At the 2013 show 75% of visitors placed a trade order. Don’t miss out!

Book your stand now! RDS, Dublin, 17 - 19 Feb 2015 catexexhibition.com

An IFSA Event


“In my kitchen, there are certain things I just can’t live without – my knife and my bouillon.” Marc Gysling, Chef Patron, Harvey’s Point Hotel, Donegal

*Source: Ireland Aggregated Distributor Value Sales YTD June 2013

nd’s Irela One ber Num llon* Boui

CP12562_Knorr_Bouillon_Ire_Ad.indd 1

13/10/2014 14:37


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