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LEADING VIEW: BHA’S UFI IBRAHIM ON 2013
AUTUMN 2012
CEO INTERVIEW:
DAVID GUILE OF MACDONALD HOTELS
HOTEL TECH: EMERGING TRENDS
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2 HOTEL INDUSTRY MAGAZINE | AUTUMN 2012
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CONTENTS QUARTERLY REVIEW 8
SHORT VIEW
9
LONG VIEW
An Olympic summer for hoteliers.
Euro knockout! How is the UK hotel market holding up against europe?
IN-DEPTH 12 ROUNDTABLE
The luxury guest experience.
5 QUARTERLY REVIEW
LEADING VIEW: BHA’S UFI IBRAHIM ON 2013
18 IN-DEPTH
BOUTIQUE!:
ENTER THE BOUTIQUE DEBATE
EXPERT VIEWS 22 THE POWER OF PERSONAL TOUCHES Caroline Cooper gets personal about the guest experience.
23 DAVID OR GOLIATH?
24 EXPERT VIEWS
CEO INTERVIEW:
DAVID GUILE OF MACDONALD HOTELS
Conor Kenny challenges boutique hoteliers.
INNOVATION 26 HOW SoLoMo IS YOUR HOTEL?
Ioannis S. Pantelidis urges you to conduct a SoLoMo audit.
28 INNOVATION
HOTEL TECH: EMERGING TRENDS
ON THE MARKET 16 LUXURY & BOUTIQUE
We review some of the latest products to hit the market for luxury and boutique hotels.
AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 3
HOTEL INDUSTRY MAGAZINE
HOTEL INDUSTRY MAGAZINE Hotel Industry Magazine Volume 1, Number 1 – ISSN 2051-0632 Editorial Editor: Lee Jamieson -Email: editor@hotel-industry.co.uk Editorial Contributors: Caroline Cooper, Michelle Grant, Lee Jamieson, Victoria Jamieson, Conor Kenny, Ufi Ibrahim, Ioannis S Pantelidis Hotel Data Partner: Euromonitor International Commercial Advertising Sales: Andrew Schofield -Telephone: 0161 408 3912 -Email: andrew@spotonmedia.co.uk Production Graphic Design: Matthew Chilton (I Made This Design) Printing: Emmerson Press Digital Web: www.hotel-industry.co.uk Supplier Directory: www.hotel-industry.co.uk/directory Twitter: @hotel_industry Facebook: www.facebook.com/hotel.industry Jamieson Media Hotel Industry Magazine and hotel-industry.co.uk are published by Jamieson Media, a UK Registered Partnership Website: www.jamiesonmedia.co.uk Email: contact@jamiesonmedia.co.uk VAT Registration No: 127 7969 65 The opinions and views contained in this publication are not necessarily those of the publisher. The publishers regret that they cannot accept liability for error or omissions in this publication, however caused. All information in this publication is provided for general use. The publishers advise all readers to seek specialist advice before acting on any information contained in this publication. Readers are also advised to directly contact advertisers and companies mentioned in this publication in order to qualify the claims made, adherence to regulation and financial security. No material in this publication may be reproduced in any form without the prior written permission of the publisher. © Copyright 2012, Jamieson Media
4 HOTEL INDUSTRY MAGAZINE | AUTUMN 2012
WELCOME WELL, WE FINALLY DID IT!
Two years after introducing our online brand, hotel-industry.co.uk, we’ve listened to our readers and developed a print version of the magazine. The Hotel Industry brand has always had the same core mission at its heart: to provide actionable intelligence for hoteliers – and our quarterly print edition will continue to deliver on this. But, the magazine you hold in your hands is a more distilled version of our online mission. Every feature that follows is designed for you to benchmark, strategise and build your hotel business. My rule of thumb is “if you can’t action the content, it doesn’t go in!” To achieve this, we’ve been busy partnering and interviewing industry experts; after all, who really cares what a hospitality journalist has to say? Our job is to ask the right people the right questions. Therefore, in this issue you will find Ufi Ibrahim (Chief Executive, British Hospitality Association) setting her priorities for the hotel sector in 2013, our data partner, Euromonitor International, reviewing how the UK market is benchmarking against Europe in the continuing crisis, and business-critical advice from our “Leading Light”, David Guile (CEO, Macdonald Hotels and Resorts).
Loyal readers of hotel-industry.co.uk will also be pleased to see some of our expert columnists joining the print edition: Caroline Cooper, Conor Kenny and Ioannis S Pantelidis. These people are the real industry experts; not journalists. Our job is simply to connect them with you through business-transforming features! In a nutshell, Hotel Industry Magazine is designed to transform how you and your hotel perform in this competitive sector. Why else should a hotel business magazine exist? Lee Jamieson Editor, Hotel Industry Magazine editor@hotel-industry.co.uk
“EVERY FEATURE IS DESIGNED FOR YOU TO BENCHMARK, STRATEGISE AND BUILD YOUR HOTEL BUSINESS”
LEADING VIEW QUARTERLY REVIEW
BHA’S UFI IBRAHIM “WHERE NEXT IN 2013?”
2012 HAS BEEN AN AMAZING YEAR FOR UK HOTELIERS. BUT WHERE SHOULD THE INDUSTRY GO NEXT? WE INVITE BHA CHIEF EXECUTIVE, UFI IBRAHIM, TO GUEST WRITE THIS ISSUE’S “LEADING VIEW” AND SET OUT HER PRIORITIES FOR SUCCESS IN 2013
Image: Ufi Ibrahim Next page image: John Penrose MP, Former Minister for Tourism and Heritage, addressing the BHA’s Hospitality and Tourism Summit in June 2012
AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 5
QUARTERLY REVIEW LEADING VIEW
ACTIONABLE INTELLIGENCE
UFI IBRAHIM’S FIVE ACTIONS FOR 2013 1. Put pressure on the UK government to reduce VAT for the UK hospitality industry in order to make it competitive with the rest of the EU 2. Put pressure on the government to ease its tourist visa policies so that they are less costly and more easily accessible 3. Urge the government to agree a policy for airport expansion, so that the UK does not get left behind as a major tourism and business destination 4. Urge hospitality employers to recruit and train the young unemployed through structured work placements and apprenticeships 5. Urge government to take note of the recommendations of the Tourism Regulation Taskforce and so reduce the burden of red tape on businesses
With the Olympic and Paralympic Games now firmly behind us, the time has come to reflect on their impact. The hospitality industry really appreciates the long-term benefits of the Games. From infrastructure investment to heightened visibility as an international destination, the Olympics have made a solid investment in the future of hospitality, travel and tourism for the UK. Let us reap the benefit of this raised profile – the key factor that I think will be the true legacy of the 2012 Games to UK tourism. Olympic Setbacks Yes – there have been some short-term drawbacks. It is clear that the Games totally disrupted normal hotel booking patterns during July and August. While occupancy levels were healthy during
6 HOTEL INDUSTRY MAGAZINE | AUTUMN 2012
the two-week period of the Olympics, the weeks between the Games and Paralympics saw plenty of availability. Demand was dislocated by the fact that many typical visitors to London had decided to stay away because of the Games. There was very little corporate demand and demand from leisure travellers to London, outside the Olympic Games, was weak. Of the 110,000 rooms in London, 40,000 rooms were originally offered by London hoteliers at discounted rates to the Olympic family to ensure the success of the Games; up to half of these rooms were returned, increasing supply and impacting on room rates. The BHA discussed this downturn with the Mayor’s Office, Transport for London, Greater London Authority and VisitBritain and agreed more aggressive promotions to get local, domestic and international traffic flowing again. These included free parking at street level on weekends immediately after the Olympics and an active campaign, both at home and abroad, to boost business for the rest of the year and to maintain the UK’s high tourism profile. These discussions were aimed at coordinating concerted campaigns to keep London (and the UK) firmly positioned on the global tourism map. London is one of the greatest tourist cities in the world and we are determined to keep it that way.
2013 and Beyond The Olympic Games has overshadowed most other activities in 2012, though two BHA events – the Hospitality and Tourism Summit in June and the Big Conversation in July – focused on two ongoing issues that we must take into 2013 and beyond: the industry’s relationship with government. In particular, this relates to the high level of VAT in the UK, the need to ease visa controls and industry’s ability to recruit and retain a skilled workforce. At the Summit, major employers pledged to reduce unemployment by offering thousands of work placements, apprenticeships and job opportunities during the next three years to the young unemployed – a pledge that was reinforced by the Big Conversation, held a few weeks later. VAT Rate The UK has the third highest level of VAT for hotel accommodation and entry to attractions in the whole of the EU, making the UK uncompetitive with most of Europe. Out of the 27 EU member states, only four (Denmark, Lithuania, Slovakia, and the UK) do not take advantage of a reduced rate of VAT on visitor accommodation, while the UK is one of only 13 EU countries that apply full rate of VAT on admissions to amusement parks and one of only ten countries that
LEADING VIEW QUARTERLY REVIEW
applies full rate VAT on admissions to cultural attractions. 14 countries have a reduced rate for restaurant meals. Of our principal competitors, France and Germany charge seven per cent on hotel accommodation, Spain eight per cent and Italy ten per cent. Reducing the rate of VAT for hospitality and tourism services has been proved to work. The track record across Europe shows that a reduction in VAT stimulates investment, creates employment and boosts growth. In Britain, we believe that a reduction in VAT would lead to lower prices, encourage more British residents to holiday at home and increase the number of foreign visitors. A survey of BHA members showed that over 95 per cent would pass on all or some of the cut in VAT, if achieved, while 82 per cent would invest more in
their product and facilities, while 67 per cent would employ more people. All of this would lead to a virtuous cycle of increased demand, quality and employment. We shall be continuing our campaign into 2013. Red Tape Renewed pressure on government is also required to recognise that the complexities of obtaining a tourist visa is a major deterrent for potential visitors from key source markets like Brazil, Russia, India and China (BRIC). Because the UK is not part of the Schengen Agreement, if visitors from these countries want to add the UK to their itinerary on a European tour they must obtain both a UK visa and a Schengen visa. This more than doubles the cost of visas and adds additional bureaucracy to the
organisation of their trip. All our main competitors, including France, Spain and Italy, are part of the Schengen Agreement. Our campaign to ease visa policy gained added impetus during the year after the US announced its own plans to reform its own visa policy as a direct result of an intervention from President Obama. The US has now set a goal of attracting 100 million visitors by 2021, which will bring US$250 billion in visitor spending each year. If tourism is to act as an engine of growth for the UK economy, the government must follow the US example by easing its visa policy. It should also reduce VAT for hospitality services. These are two of the main barriers to growth for UK tourism and in 2013 we shall be continuing to put pressure on the government to remove them.
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AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 7
QUARTERLY REVIEW HOTEL PERFORMANCE - SHORT VIEW
QUARTERLY REVIEW:
AN OLYMPIC SUMMER FOR HOTELIERS It has been a mixed summer for hoteliers operating in both the capital and the regions, as a review of Q3 data from PKF Hotel Consultancy Services reveals. August exceeded expectations with one of the most impressive set of results in recent history – a year-on-year increase of RevPAR of almost 50%. Yet, in July we witnessed occupancy tumble by 14.9% in London and 5.7% outside the capital. This drop was not entirely unexpected, with room rate increases and concerns from domestic tourists over transport, overcrowding and high prices in London during the Olympic period. August: An Olympic Month In August, London hotels posted a record-breaking 48.5% increase in RevPAR to £135.35, up from £91.12 in
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Key:
Regional Hotels 2012 Regional Hotels 2011 London Hotels 2012 London Hotels 2011
Source: PKF Hotel Consultancy Services
August 2011. This was the result of a 49.8% year-on-year rise in room rate from £110.22 to £165.05 and a 0.8% drop in occupancy from 82.6% a year ago to 82.0%. Hoteliers outside the capital also faired well in this month. Room rate rose by 5.7% from £59.22 to £62.61 and RevPAR improved by 3.2%, perhaps thanks to the recent “staycation” trend that is fuelling growth in the otherwise still-stagnant regional market. In the coming months, the resilience
of the UK hotel market will really be put to the test. The legacy of the Olympic Games for UK tourism is yet to be proved, and many pundits point to the so-called “post-event hangover” experienced by many previous host cities. Scaremongering aside, the industry has performed well this quarter and hoteliers should be proud of what was achieved over the Olympic summer. But was it enough to sustain UK tourism in the long term?
HOTEL PERFORMANCE - LONG VIEW QUARTERLY REVIEW
EURO KNOCKOUT! HOW IS THE UK HOTEL MARKET HOLDING UP AGAINST EUROPE?
HOTEL INDUSTRY MAGAZINE’S OFFICIAL DATA PARTNER, EUROMONITOR INTERNATIONAL, DIGS DEEP INTO LAST YEAR’S DATA TO EXPLAIN WHY THE UK MARKET IS LAGGING BEHIND OUR EUROPEAN COUNTERPARTS IN 2012 AND BEYOND The UK hotel industry is expected to underperform over the next five years, growing by just 2% through 2016 to end with £6.4 billion. Stagnation last year saw sales fall flat at £6.2 billion. Zero-growth in 2011 significantly underperformed the Western European hotel industry as a whole, which grew by 4% to reach £91.3 billion in the same year. 2011: A Year to Forget! The UK’s VAT rate increase from 17.5% to 20% and the sluggish economic recovery hindered further increase of occupancy rates and hotel pricing remained flat. Regardless of the attention and increased number of visitors attracted by the Royal Wedding
in April 2011, the hotels in London did not register a major increase in reservations due to the event. The UK continued to experience polarisation within the hotel market in 2011 as well. Luxury and five-star hotels kept their market share, suffering some minor losses, while budget hotels remained popular thanks to their lower rates. The three-star hotels, however, were hit the hardest, losing the majority of their customers to budget hotels due to high unemployment levels and an uncertain economic climate. All Eyes on London London continued to have the highest occupancy rate in the country with more than 80% in 2011 – significantly higher
than the national average of 65%. The national average daily rates (ADR) in 2011 remained flat compared to 2010 with, again, the exception of London, which not only delivered the highest ADR in the country, with prices close to £120, but also measured the highest growth (7%) compared to 2010. London has benefited from a growth in foreign arrivals, up 3% in 2011, thanks to its strong tourist attractions and the weaker pound. The city also benefited from growth in domestic trips, which also grew by 3%. The shaky economy inspired Britons to vacation at home instead of going abroad. Western Europe Triumphs over UK Italy, France, Spain and Germany are
AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 9
QUARTERLY REVIEW HOTEL PERFORMANCE - LONG VIEW
the largest countries for hotel sales, accounting for 65% of the Western European market (the UK ranks as fifth behind Germany). All experienced stronger growth than the UK market, although performances varied. France: 2011 was a stellar year for France, growing by 7% to reach £14.8 billion. The return of business travellers, as well as strong growth in high spending travellers from emerging markets, helped boost hotels in France. Germany: the strong popularity of city trips among German travellers and the increasing number of foreign visitors to cities such as Berlin, Frankfurt, Hamburg and Munich led to an increase of 4% in hotel sales to end 2011 with £9.5 billion in sales. Spain: despite the economic crisis in Spain, the hotel industry benefited from Europeans avoiding the instability of North Africa and opting for Spanish coasts and islands instead. These tourists were mostly of European origin, with the majority coming from the UK, Germany and France. Totalling £14.1
billion, the Spanish hotel industry grew by 3% in 2011. Italy: as the largest Western European market, Italy is relatively mature. Hotel sales totalled £20.7 billion in 2011 and only grew by 2%. This growth was driven mostly by foreign visitors to Italy, as domestic tourists opted for other types of accommodation to conserve spending. Additionally, various cities in the country levied a new tax on overnight visitors. Rome was the first city that had the possibility to charge such a tax for visitors staying overnight in the city. The tax is applied in line with some criteria (for example, type of accommodation outlet and season) and cannot be more than €10 per night. The income of the tax can be used to finance any kind of expense; however, the city of Rome decided to allocate at least 5% of the total income from the tax to increase the promotion of the city to tourists.
“THE FUTURE IS NOT BRIGHT FOR THE UK HOTEL INDUSTRY”
2016: Looking Ahead Sadly, the future is not bright for the UK hotel industry and it is likely to continue to lag behind Europe. In the next five years, it is forecast to grow by just 2% through 2016 to end with £6.4 billion. This is below the growth rate of 6% for Western Europe as a whole, which will reach £96.6 billion. Even though London hosted the Queen’s Jubilee in June and the London 2012 Olympic and Paralympic Games in July and August, these events are not expected to have a significant impact in the long term. Instead, economic uncertainty, increases in Air Passenger Duty and the VAT increase will likely provide serious challenges to inbound tourism, domestic leisure travel and the hotel industry itself. Looking for Growth It is likely that growth will be found elsewhere in Europe. The Turkish market is expected to boost the Western European region with £1.1 billion in additional value sales
TOP 10 WESTERN EUROPEAN HOTEL MARKETS AND PERFORMANCE IN 2016 2016
2011
Value sales (£ Millions)
Value sales (£ Millions)
Absolute value sales growth
ITALY
20,580.6
20,691.0
378.3
FRANCE
15,304.0
14,841.9
718.0
SPAIN
14,607.1
14,072.6
704.8
GERMANY
9,931.1
9,474.9
467.6
UNITED KINGDOM
6,337.9
6,243.4
128.6
AUSTRIA
4,823.0
4,635.8
198.2
SWITZERLAND
3,886.2
3,804.4
131.8
TURKEY
3,515.2
2,672.2
1146.3
GREECE
2,593.6
2,323.6
322.1
SWEDEN
2,422.5
2,045.2
451.9
Source: Euromonitor International
10 HOTEL INDUSTRY MAGAZINE | AUTUMN 2012
HOTEL PERFORMANCE - LONG VIEW QUARTERLY REVIEW
ACTIONABLE INTELLIGENCE expected to be generated from 2011 to 2016. Europeans, facing great uncertainty regarding their disposable income due to the economic crisis, are more likely to visit Turkey because of its proximity, relative low costs and relative stability. As a result, the hotel industry is expected to experience strong growth in sales. France is likely to be the second fastest growing hotel market over the next five years. Its hotel market is expected to grow by £720 million thanks to stronger demand by domestic leisure tourists. Spain is not far beyond with projected growth of £705 million. This will be driven by foreign tourists due to the expected poor performance of the Spanish economy, which will likely continue to dampen domestic demand. However, if the political situation stabilises in North Africa in the short term, it could mean that European tourists
opt to go to North Africa instead, which would undermine growth in the Spanish hotel industry. The German hotel industry is expected to grow by £470 million through 2016. However, if the German economy is hit hard by the Eurozone debt crisis, this could have a negative impact on hotels in the short- to mid-term. If consumers are afraid of being affected by a double-dip recession, they might cut down on holiday expenditure as well as on their number of trips, which would curb city tourism and international travel. The good news is that Germans are resilient travellers and prioritise their holidays, so the economy would have to perform considerably worse for them to cut back. If the Eurozone crisis turns out to last longer than expected, inbound flows could also be affected with any decline in
KEY DATA UK HOTELS IN 2016: The UK hotel market is forecast to underperform against Western Europe. •
UK ranks fifth in top western uropean hotel markets for 2016
•
£6.4 Billion value sale
•
2% Growth
this area also negatively impacting on the hotel industry. Our Analyst: Michelle Grant, Travel and Tourism Analyst at Euromonitor International.
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AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 11
IN-DEPTH ROUNDTABLE
THE LUXURY GUEST EXPERIENCE
WITH LUXURY AND BOUTIQUE CONCEPTS ON THE RISE, HIGH-END HOTELIERS ARE FORCED TO CONTINUALLY RAISE THE BAR IN ORDER TO REMAIN CURRENT AND COMPETITIVE
Mitzi Gaskins - JW Marriott Hotels and Resorts, vice president and global brand manager
Anthony Saint Claire - Ruthin Castle, owner
Anne Blackburn - Sidona Group, customer experience director
In this fast-growing segment, how should hoteliers nurture their guest experience? Victoria Jamieson catches up with three experts and asks them to share their advice.
thread of these experiences, each one of our hotels is unique and offers a distinct sense of place that represents the “flavour” of the destination.
Anne Blackburn: Certainly, the economic crisis has hit everyone at every level, and so a desire for value has emerged out of this. We are in the middle of a guest-led revolution in which customers feel that everything is up for renegotiation.
Hotel Industry Magazine: What is your strategy surrounding the luxury guest experience? Mitzi Gaskins: JW Marriott strives to offer an environment of simple elegance. We work hard to provide approachable luxury through intuitive service, refined design and an integration of well-being into many of the guest touch points. While we want each JW to have a consistent
12 HOTEL INDUSTRY MAGAZINE | AUTUMN 2012
Anthony Saint Claire: Our strategy is to combine all of the expected luxury hotel offerings with a first-class service at all stages of a guest’s journey with us. We strongly believe that investing heavily in our staff and the overall service offering is the vital ingredient to achieving an unrivalled experience.
Hotel Industry Magazine: Has the economic climate impacted upon guest experience strategies?
Hotel Industry Magazine: So, how should luxury hoteliers respond to this guest-led revolution? Anne Blackburn: Well, the dynamics are changing in three key areas. Firstly, new technology is driving change and it enables hotels to deliver great service. Secondly, personalisation is a factor. Guests now expect a high degree of
ROUNDTABLE IN-DEPTH
Above image: JW Marriott Hotels and Resorts, deluxe suite
personalised experience from a wide range of touch points and guest-staff interactions. Finally, value is important. Even for the most affluent guests, value for money is important – although, granted, that value is relative. Some luxury hotels are finding it tough in the current climate with customers demanding more value from their packages than ever before. Anthony Saint Claire: Yes value for money is essential. Speed and convenience are also playing increasingly important roles. Our hotel guests are also looking for something different in their experience. No longer is a finely appointed room and award-winning cuisine enough; it’s now
about the added extras and introducing new and exciting experiences to ensure guests have a memorable stay.
Hotel Industry Magazine: What distinguishes you from other luxury brands? Anthony Saint Claire: We recently introduced the UK’s first log-fired sauna tent and outdoor spa experience in a castle moat. This is an exclusive wellbeing innovation that gives us a sought after USP in the luxury arena. Mitzi Gaskins: We work hard to offer diverse cultural experiences through
innovative menus, unique wine programs, balanced well-being initiatives and much more. Anne Blackburn: Discretion and confidentiality are currently emerging as a strong theme in high-end hotels. High profile guests expect a high degree of discretion and they, more than ever, desire to be invisible. It is not uncommon for the valet to take the car on arrival and the guests to not know where it is on checkout. They’ve been in the hotel, using the facilities and enjoying the experience – they have not had the inclination to leave! Luxury hotels are also investing heavily in their bathrooms, a trend I think
AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 13
IN-DEPTH ROUNDTABLE
ACTIONABLE INTELLIGENCE
ADVICE FROM OUR PANEL: “Listen to your guests. They will tell you what they want. If you are accommodating, responsive and always dedicated to raising the bar, they will keep coming back.” Mitzi Gaskins, JW Marriott Hotels and Resorts “Have the highest possible level of staff training and reward those who excel.” Anthony Saint Claire, Ruthin Castle “If you’ve done your research and really listened to your customers’ needs, then there are choices to be made. If you focus on the customer, then there will be a financial payback.” Anne Blackburn, Sidona Group
comes from the guest expectation for uniqueness. This is especially true in boutique hotels, where every room must be different. It’s important for guests to know that “Suite A” is completely different to “Suite B”, and that the people staying next door are having a completely different experience. In this respect, high-end bathrooms offer a competitive differentiator.
Hotel Industry Magazine: Where does the guest experience begin and end? Mitzi Gaskins: We believe the experience begins the moment a guest visits our website or calls one of our hotels to make a reservation. The process should be simple, accommodating and, most importantly, make guests feel excited about their visit – whether that’s for the first or hundredth time, for business or for pleasure. Anthony Saint Claire: I think that the guest experience starts from the moment a
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guest hears or reads about Ruthin Castle. From the moment a guest starts to make an enquiry, we try to provide a personal and attentive service which make the booking process efficient and convenient and which continues through the booking period, throughout the entire stay and afterwards when we keep in touch. Anne Blackburn: Over the phone you can identify if the trip is for business or pleasure and deliver on that experience. It might shape the tone or nature of the correspondence, a glass of bubbly to celebrate something on arrival, romantic music playing in the room, a gift like a silver photo frame for a silver wedding anniversary, and so on. How many places ask your needs before you arrive? Lots of hotels think they’re good at this, but most are not in reality.
Hotel Industry Magazine: With this in mind, is it becoming more or less complex to capture and act upon guest preferences? Anthony Saint Claire: Technology makes it much easier to record guest details and preferences, but the level of detail and widening range of preferences increases the complexity of the overall process. Anne Blackburn: Yes, technology should be making this easier. The trick is to ensure you are asking the right questions and sharing this information across the organisation in a useful, actionable way. It’s important to ask what you are going to do with all that information. What are you asking your guests and how will it help you to understand them and deliver an experience? It’s a waste of time collecting mounds of data if it’s of no use. So, the technology is in place, but it all falls back to a human element in the end. Anthony Saint Claire: We encourage and welcome guests’ direct feedback and react to it where appropriate. For example, we offer comment cards in guestrooms and try to elicit verbal
feedback during the stay and at checkout. We also monitor indirect feedback on the many social media and internet review sites now available – although these are often less constructive than direct feedback. One of the most difficult challenges is the tendency – particularly in the British – to internalise feelings instead of expressing them openly and constructively. Guests sometimes comment negatively by simply not returning, without expressing any dissatisfaction in a way that could be addressed. Our team work towards overcoming this by encouraging guests to express themselves whilst at the hotel.
Hotel Industry Magazine: Looking ahead, how do you think the luxury guest experience will evolve in the next five to ten years? Mitzi Gaskins: Overall, the customer base is shifting from the once dominant Baby Boomer generation to a mix of Boomers and GenX and Y. This change will be a factor in the evolving luxury market, bringing with it different perceptions and tastes for décor, service style, and technology. Think less formality, and more self-service options. Travellers want everything from their itineraries and restaurant choices, to their turndown service and honour bar items to be special. To that end, we will continue to grow our partnership strategy – as we have with incredible brands like Christie’s, Aromatherapy Associates and Keri Glassman – to create exclusive experiences for our guests. There is a trend around being both globally relevant while also “local”. While we cater to a global luxury traveller, we are also attuned to creating indigenous property experiences. Anthony Saint Claire: Throughout the industry, not just in the luxury segment, there is a intensifying demand for higher quality, faster service and lower prices. Apart from this I believe that in the luxury segment, guests will search more for a
ROUNDTABLE IN-DEPTH
richer and more distinctive experience. We are seeing an increasing number of people looking for something different that is much more emotionally fulfilling. This is one of the reasons we have built on our ancient Royal Welsh heritage and location to bring our guests an experience that is unattainable elsewhere. In addition, with people continuing to travel widely, we are now incorporating service cultures from other territories, but trying to interpret these with a degree of Welsh character which adds to the guest experience.
Top image: JW Marriott Hotels and Resorts, bathroom Left image: Ruthin Castle, bedroom Far left image: Ruthin Castle, sauna tent
CONNECT GUESTS TO WHAT THEY SEEK on-site amenities or on-the-go
The most frequent request of front desk staff is for local recommendations including local restaurant suggestions, directions and hotel amenities. Monscierge connects hotels to their guests, providing trusted local recommendations and travel information through lobby touch screens, tablet and phone. And, yes, you say our name like “concierge.” But think of it as making what your guests seek – clear.
www.Monscierge.com
UNITED STATES
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UK
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ASIA
AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 15
ON THE MARKET
LUXURY & BOUTIQUE WE REVIEW SOME OF THE LATEST PRODUCTS TO HIT THE MARKET FOR LUXURY AND BOUTIQUE HOTELS
BAYLIS & HARDING BOUTIQUE COLLECTION BESPOKE BOUTIQUE FURNITURE
SHANGHAI TANG Sysco Guest Supply has partnered with haute couture brand Shanghai Tang for the five star guest amenity market. The range of luxury formulations include hair and skin products designed to give a beautifully silky and moisturised finish. The range promises Oriental fragrances with crisp mandarin and grapefruit scents imparting a long-lasting freshness, grounded with the essence of green tea and a warm musk base. 0118 9817377 www.guestsupply.co.uk
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Thanks to recent investment in cutting edge technology, Curtis Interiors can now offer full service from conception to production for prices in line with larger chains who buy larger quantities. Recognising the need for room-by-room individuality in the boutique segment, the company can produce hand-picked, one off bespoke furniture for luxury and boutique hotels. 0113 24 0605 www.curtisinteriors.co.uk
The newly launched Boutique Collection from Baylis & Harding is a unique assortment of guest amenities comprising 30 ml sizes of bath and shower gels, body lotion, shampoo and conditioner and pure vegetable soap, available in the brand’s signature fragrance of sweet mandarin and grapefruit. A mending kit, shower cap, shaving kit and dental kit are also available as part of the range. 01527 505000 www.baylisandharding.com
BRAMLEY BATH AND BODY PRODUCTS Nature is the inspiration behind the Bramley range of bath and body products aimed at the restaurant and boutique hotel sector. The products contain high-grade pure essential oils, 100% natural botanicals and rich cocoa and shea butters. The company also prides itself on not using any parabens, petrochemicals, sulphates, artificial colours or fragrances. Refillable bottles re-enforce the company’s ecological sensibilities. 01747 870385 www.beckfordarms.com/shop
ON THE MARKET
HACEKA RANGE Aqualux have launched the Haceka range of bathroom accessories providing classic and contemporary styles to compliment any bathroom. With five distinctive collections offering a variety of designs, products include; towel rails, cup holders, glass shelves, bottle holders, soap dispensers, toilet roll holders, toilet brush holders, wall or door hooks and a shaving mirror. Haceka accessories offer the choice of wall mounted or freestanding options providing practical solutions. Products come with a ten year guarantee. 0870 2416131 www.aqualux.co.uk
AMOX RANGE OF STAINLESS STEEL TAPS Aston Matthews have introduced a range of stainless steel bathroom taps to its already extensive collection. The Amox range, in tactile brushed steel, includes wall and surface mounted basin taps, bath fillers, shower heads and thermostatic shower controls. The minimalist design is intended for contemporary settings – and as stainless steel is lead free, the company also boasts of health benefits. 020 72267220 www.astonmatthews.co.uk
SYLKA SYLKA has recently launched a costeffective and durable alternative to silk. Replicating the aesthetic qualities of silk, this new product withstands spillages, sun damage and heavy foot traffic, making it ideal for use in luxury hotels settings. Unlike silk it retains its lustre after cleaning and can be spot cleaned without leaving a watermark. The products come in a range of modern colours and are endorsed by interior designers Kelly Hoppen and Nicky Haslam who have extensively used the new product for many of their clients. 0208 3142477 www.sylkacarpets.com
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IN-DEPTH
REWRITING “BOUTIQUE”
WITH THE LAUNCH OF INDEPENDENT HOTEL 12, THE FIRST DEDICATED EVENT TO THE INDEPENDENT, LUXURY AND BOUTIQUE HOTEL SEGMENTS, LEE JAMIESON EXPLORES HOW PHENOMENAL GROWTH AT THE TOP END OF THE MARKET IS REWRITING THE MEANING OF “BOUTIQUE”
Despite the current economic climate, luxury and boutique hotels are booming. HVS forecasts the boutique sector to double in size by 2013, prompting many hoteliers, both independent and chained, to up-brand existing properties or launch new boutique concepts. With the middle market stalling, luxury and boutique properties have become particularly attractive to investors – the segment has proved resilient in the face of economic uncertainty.
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“I think the middle market has been squeezed in the past few years, in part due to the current financial climate,” confirmed Aurora Hotel Collection chief executive, Steven McLeod. “Many operators have had to re-think their strategy – myself included – and have realigned their products to target either the budget or the luxury market.” The market is in the process of rebalancing, forcing existing high-end operators to innovate to stay ahead of the snowballing competition.
The result is a greater emphasis on differentiating the hospitality product from that of rival hotels by tailoring individual, personalised experiences around the needs of guests and the local community. “The current boutique trend is kicking against the cookie cutter approach of 10 to 15 years ago when it was all about big brands and big groups,” explained Eden Hotel Collection managing director, Mark Chambers. “But, of course, these things are always cyclical and eventually they
IN-DEPTH
begin to fail. These brands that once dominated get broken up and companies like ours buy up the properties and turn them into boutique hotels!” Redefining Boutique “Boutique” is a slippery word that resists categorisation. A clear, shared definition is almost impossible to elicit from hoteliers because its breadth of meaning bleeds into other concepts like “luxury”, “lifestyle” and “design-led”. In fact, many of these terms are used
interchangeably by hoteliers. A key issue is that the “boutique” label is often hijacked by non-boutique operators to add cachet to their property. “Boutique is becoming an increasingly well-worn and boring description used by hotel owners for smaller properties,” continued McLeod, “and that’s not necessarily a good thing. “Boutique should signify the individuality and quirkiness of a hotel, matched by an outstanding service. A small hotel is not necessarily boutique,
but if hoteliers continue to overuse this term, we risk diluting the image and understanding of boutique amongst customers.” Boutique Bandwagon To complicate the market further, many of the big hotel operators have introduced branded boutique concepts. The growth of big brands in this segment has provoked lively debate over the past five years. Can “brand” and “boutique” really co-exist?
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IN-DEPTH
ACTIONABLE INTELLIGENCE
VIEWS: THE FUTURE OF BOUTIQUE “I think there is still scope for growth, especially for boutique hotels in the three and four star range.” Penny Holland, Moddershall Oaks “We will see more properties being developed and rebranded to hit more tightly targeted customers. Lots of new boutique developments in the South West of England are pulling a new market segment into the region. This is good news for the region and no doubt will be a trend mirrored elsewhere in the UK.” Rob Baldry, Flexis Hospitality Solutions “We will see more innovation in technology, design and collaborative experiences with complementary luxury brands across multiple sectors.” Arnaud de Saint Exupery, Andaz Liverpool Street “We need to innovate and be more outward looking. Technology plays an important part in how we appear to the market, so I think innovations in digital marketing will play a more important role in the future.” Mark Chambers, Eden Hotel Collection “There will always be a market for people looking for an experience, so I think the boutique market will expand to meet this demand. But the industry must be careful not to simply label all small hotels as boutique.” Steven McLeod, Aurora Hotel Collection “I think we will start seeing more boutique hotels in less prominent cities. Also, many boutique hotels will work hard to keep themselves fresh by constantly reinventing themselves.” Jalal Al-Yawer, Hotel Xanadu
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“The larger hotel brands are investing in new properties,” explained Flexis Hospitality Solutions director, Rob Baldry. “But, I would argue that, by definition, a boutique hotel must be unique. If a hotel operator rolled out a small chain of boutique hotels in a single region, they cannot be boutique by definition. “However, a global chain of boutique hotels is much more workable: the branding gives an overall promise of what to expect from the hotel in London, New York and Paris, whilst also communicating that each property will be unique. This becomes more difficult nationally or regionally, where the differences are less.” Birth of the Branded Boutique This concept of a global boutique brand capable of delivering core brand values internationally and offering a unique experience locally has underpinned the development of Hyatt’s Andaz, which established a market standard for branddriven boutique hotels when it opened its UK property in 2007. “The last five years has seen luxury hotel groups like us recognising the demand for a more boutique, lifestyle approach to hospitality,” explained Andaz Liverpool Street general manager, Arnaud de Saint Exupery. “Brands such as Andaz are in the fortunate position of being able to offer a more personalised service whilst simultaneously tapping into Hyatt’s corporate initiatives which support our hotel brand’s DNA of cultural connectivity.
“BY DEFINITION, A BOUTIQUE HOTEL MUST BE UNIQUE” “On a local level, Andaz is thoroughly tapped into the surrounding East End arts scene and has established itself as a platform to support emerging designers and talents.” The powerful group resources behind the growing number of boutique
brands and the economies of scale that they offer are proving to be a winning business model for big group operators. Certainly, their aggressive development in the segment over the past five years has changed the consumer’s view of boutique. The definition has broadened on both sides of the spectrum: in some cases boutique has become more accessible; in other cases, more exclusive. Bending the Rules As the market dynamics evolve, existing independent and small-chain hoteliers must adapt their strategies to maintain market share. “Big brand operators are helping to drive the competition,” explains Moddershall Oaks director, Penny Holland. “They use their expertise in the mass market to roll out their version of boutique hotels and tap into their existing customer base to drive sales. “Yes, smaller groups and independent boutique hotels have to work harder to capture market share, but I believe they can provide a better boutique experience.
“BIG BRAND OPERATORS ARE HELPING TO DRIVE THE COMPETITION” “Many of the larger operators claim to offer an indigenous experience at each property. However, they can never escape the extensive brand guidelines that they must adhere to. A true boutique hotel can be flexible and adapt their service offering in line with trends and changing customer demands.” Developing a workable set of brand guidelines for branded boutique operations is a real challenge, and may only be possible if a significant level of operational autonomy is handed over to the local team … something that does not come easy to big group operators. “There are lots of big operators moving into this segment, but inevitably they are policy driven and their
IN-DEPTH
Main Image: A bedroom at The Cairn Lodge & Hotel Top left image: Koobla Xanadu - restaurant Top right image: Andaz - lounge-desk Bottom left image: The bar at The Cairn Lodge & Hotel Bottom right image: Moddershall Oaks restaurant
INDEPENDENT BOUTIQUES: A CASE STUDY With independent boutique hotel openings on the rise, we explore the business case behind the newly opened Hotel Xanadu in Ealing. Owner and designer Jalal Al-Yawer explains more: “We owned a property, which had office space and a restaurant on the ground floor, which was sub-let. When the leases expired, it was really clear to us that the best business model for this building was to renovate it into a boutique hotel. The biggest challenge we have faced is with planning. Although the council have been very supportive, there have been many time restrictions which have slowed down the process. I am hoping to use Hotel Xanadu, my first venture, as a platform to create another sister hotel inspired by the rich culture of another ancient city. Whilst there will be this theme running through my properties, my next project will have a completely new design style!”
corporate approach to management filters through,” explained Eden Hotel Collection’s Chambers. “We are owned outright, creating a flat line management structure. So, if a general manager wants to change something, we can make that decision. This simply isn’t the case with bigger global brands. Through the many layers of management, the message of delivering customer success gets lost.” The response of big brands is that customers are at the heart of what they do. More than any other factor, it is this that has enabled them to grow into large, successful groups. The bottom line is that after many years of relative calm, the market dynamics of the boutique segment are rapidly changing; forever! There are new players, new rules and new guest expectations – and everyone has a role to play in shaping the boutique segment in the medium term. “As the meaning of boutique widens and the bar continues to rise, properties must respond to the growing consumer demand for personalised luxury, cultural connectivity, and innovation in design and service,” concluded Andaz’s Exupery. “Those able to respond will succeed. Partnerships and collaborations with complementary luxury brands also have a part to play in rewriting the boutique hotel experience.” The meaning of “boutique” is being rewritten, but the final definition is yet to mature.
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EXPERT VIEWS COLUMNIST
THE POWER OF PERSONAL TOUCHES CAROLINE COOPER GETS PERSONAL ABOUT THE GUEST EXPERIENCE
The chances are if someone chooses a boutique hotel in preference to a chain, they are looking for that element of individuality, personality and warmth. It’s certainly the personal touches that can transform an average stay into a truly memorable one. People want to be made to feel at home and it’s the personal touches that count. These might start before guests have even arrived. Send a Google route plan from the guest’s home postcode to their hotel. Forward an events calendar for the period of their visit. Ask in advance if they would like restaurant, golf or theatre reservations to be made for them. Forewarn them by text of known travel delays (and tips on how to avoid them) on the day of their arrival.
“IT’S THE EXCEPTIONAL AND UNEXPECTED THAT GETS YOU REMEMBERED” Engage in conversation. Not only does this show the guest you’re interested in them, but it may also flag up opportunities for further ways to please your guest; if not today, then for a future stay. Be attentive to your guests’ needs. Train your team to listen and be observant to what
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CAROLINE COOPER Caroline Cooper works with hospitality and leisure businesses, helping them get more of the customers they love, and keep them. She is also author of the Hotel Success Handbook. Discover more: www.zealcoaching.com
guests are looking for, whether it’s help with the stairs or a last minute birthday card and stamp. Ensure your team are well informed when a guest asks for recommendations. What’s the quickest way to get to “x”, or the best place to go for “y”? Empower them to take the initiative to help the guest when they can. Identify the little finishing touches that you can give guests at the end of their stay to leave them with that “wow” factor. Picking up on an earlier conversation you’ve had with the guest enables you to give them a personalised memento of their stay. If they raved about a particular dessert, get your chef to write down the recipe for them and where they can find the unusual ingredients. If they’ve been away on business and missed their wife’s birthday, you could assemble and gift wrap a selection of your luxurious toiletries for them. What do you do, have or use that is unique to your brand? Homemade preserves, gifts made by local craftsmen, branded toiletries? What could present to the guest as a gift to keep your property in their mind? If nothing else, a simple hand-written “thank you” note after their stay will keep you in mind for their next visit or when making recommendations to friends and family. It’s the exceptional and unexpected that gets you noticed, remembered and, most importantly, brings you repeat or referral business.
COLUMNIST EXPERT VIEWS
DAVID OR GOLIATH?
CONOR KENNY
CONOR KENNY CHALLENGES BOUTIQUE HOTELIERS The recession has increased our innate desire to understand value, leading to the need for expertise, niche and trust in business. The challenge of being noticed has never been greater – and there is plentiful opportunity for clever visionaries. The independent and boutique sectors are at the forefront of this challenge. Get it right and you can sail with the wind; get it wrong and you’ll go over the edge. It’s a fine line. However, with a little resetting of the compass, success will come. So let’s consider the practical questions a boutique hotelier should be asking of their business: What do you mean by “boutique”? The definition of a boutique hotel is confused and inconsistent. That means your market already has an idea and that is dangerous. Your first step is to define clearly what you mean by boutique. Is it small and intimate? Is it luxury? Is it design? Is it truly different?
“BOUTIQUE HOTELS MUST DO WHAT BIG BRANDS FAIL TO DELIVER” Who are you talking to? If the answer is “everyone”, you will fail. A boutique hotel is a niche market and you must identify who you are talking to and how you will communicate with them. The real question a guest is asking is, “why should I stay with you?” If you anticipate that, you are half-way to success. But remember, great food, great
Conor Kenny and Associates are experts in sales, marketing, sales training and people development. They help you to get the most out of your people and your business. Companies don’t innovate; people do. Discover more: www.conorkenny.com
service and great people remain the fundamentals. Boutique hotels promise difference. Great boutique hotels deliver decidedly different signatures. Do you? If so, what are they? Boutique hotels must do what big brands fail to deliver – and smaller operators have agility on their side. You can move faster, be more responsive, take risks and implement with speed. This must be your culture and attitude – something which must come from the top. Design, by its very nature, is transient. Boutique hotels need to reinvent regularly. If you don’t, you date. If you date, you die. The devil is, of course, in the detail. A really good boutique hotel is full of eye-catching innovation. It makes us smile and it makes you memorable. The very essence of boutique hotels is to be at the leading or cutting edge. Is your online presence doing that or, if you’re honest, are you “more of the same”? Finally, I would like to leave you with three questions: 1. Are there elements of fun? There should be. Think of how Sir Richard Branson built Virgin. 2. Are you value? Not price, but a price the guest is willing to pay for the service they received. 3. Are you really challenging the competition? If so, great. If not, isn’t it worth walking away from the crowd?
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EXPERT VIEWS LEADING LIGHT
DAVID GUILE OF MACDONALD HOTELS AND RESORTS
2012 HAS BEEN AN EXCELLENT YEAR FOR MACDONALD HOTELS AND RESORTS WITH A RAFT OF HIGH-PROFILE INDUSTRY AWARDS AND AN AMBITIOUS INVESTMENT PROGRAMME ALREADY UNDERWAY. CEO DAVID GUILE SPEAKS EXCLUSIVELY TO HOTEL INDUSTRY MAGAZINE ABOUT HOW HE INTENDS TO LEAD THE GROUP INTO 2013 AND BEYOND As CEO of the UK’s largest privately owned hotel group, David Guile is responsible for more than 45 hotels and employs over 4,400 members of staff. Strategic, unflappable and determined, Guile has grown Macdonald Hotels into one of the most recognisable brands in the five star and red four star segments. On a recent visit to the luxurious Royal Garden Hotel, he took time out to speak with the editor of Hotel Industry Magazine. “I like to think of myself as an inclusive leader able to empower my team,” said Guile. “I have surrounded myself with good people, and this enables us to achieve a one-team approach. I think this can then flow down into the business and reach hotel level more effectively.” The importance of the people that make up the organisation’s various teams was a reoccurring theme throughout the interview. Interestingly, when described as the man who turned around the public perception of Macdonald Hotels, Guile immediately asserted that this was a team effort. “Five years ago, when I took over as CEO, we set a strategy as a team that focused on the key elements that will grow the business and drive profitability: service, people and quality. “We are still on that journey today and
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there is lots more I want to achieve! We have a plan for every one of our hotels in areas like developing and investing in the product, guest rooms, conference, leisure and spa facilities.”
BUSINESS MANTRA!
DAVID GUILE’S BUSINESS MANTRA: Surround yourself with the best people and empower them to become successful.
Green Pioneer Guile’s tenure as leader has been marked by his green credentials. Last year, the group achieved the Carbon Trust Standard and in September this year it scooped the Eco-Hotel Group of the Year Award at the AA Annual Hospitality Awards. “Our green agenda started life five years ago when we realised that we had a great responsibility for our impact on the community and the wider environment. But when we put together our Corporate Social Responsibility
policy, we found it to be a very weighty, word-heavy document. “Instead, we wanted to launch something simpler; something everyone throughout our entire organisation could get behind. That’s when we introduced our Room 15 initiative.” Room 15 identifies 15 commitments that the hotel group can make to reduce its impact by 15% by 2015. For example, one of the commitments reads: Improve electricity, heat and water efficiency by 15% by 2015. “We recognised that it is essential to get buy-in at hotel level for Room 15 to work, so we placed a Green Ambassador in every department in every hotel – they then became green champions for their respective departments. “This is a self-selecting process, and I have found that when we talk to our employees about sustainability, many are already passionate about the issue. Therefore, we have seen lots of people stepping forward to lead on this who you otherwise wouldn’t expect to.” To keep the initiative alive, Guile has launched league tables and Best Practice Awards to keep team members engaged. Developing the Team At the heart of Macdonald Hotel’s success is its training and development programme, which is linked to
LEADING LIGHT EXPERT VIEWS
succession planning. “We called it Stairway to Success because is provides a progression stairway to anyone, anywhere in our business, whether they are at craft, supervisory or management level. “We also run ILM and mentoring schemes. A good example of this is the operations manager mentoring we launched last year. My team and I each mentor someone within the organisation that we believe has the potential for general manager. Out of the 12 that started, two were just recently promoted to general manager!” Investing for the Future Guile recently announced a £5 million investment across the hotel, conference and meeting space
portfolio. Despite the sales challenge on the meetings side of the business in recent years, Guile is keen to make a strategic investment into conference facilities. “It is certainly true that the conference segment has been in decline over the past two or three years, but I think business is slowly coming back. So, now is the best time to invest for two reasons: “Firstly, to steal market share and attract conference business into our units; secondly, to be in the best position to capitalise when that business does comes back.” And, if recent investment levels are anything to go by, then it seems that Guile has no intention of letting this key opportunity slip through his fingers.
ACTIONABLE INTELLIGENCE
DAVID GUILE’S ADVICE TO HOTEL GROUP LEADERS IN 2013: 1. Retain and develop your best people 2. Challenge the way your business operates to achieve profit growth despite the current sales challenge 3. Retain existing customers and win new ones by focusing on delivering the best guest experience
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INNOVATION HOTELIER 3.0
HOW SoLoMo IS YOUR HOTEL?
IOANNIS S. PANTELIDIS URGES YOU TO CONDUCT A SoLoMo AUDIT
The speed by which consumers adopt social networks (So-cial), combined by the dramatic increase of locationbased applications (Lo-cation) for mobile phones and speed and ease of information access through smartphones (Mo-bile) have established SoLoMo as the key focus of technological innovation this year. The mobile and digital industries lead the way, but the UK hospitality industry does not show any signs of interest apart from the odd innovative hotelier. SoLoMo may have become a buzzword, but the essence of what SoLoMo is about and its potential to increase a hotel’s bottom line is lost on many UK hoteliers.
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Moving in SoLoMo SoLoMo signifies a dramatic change of online behaviour. It also suggests that issues of privacy and security may not be as much a priority for the newer generation of consumers as it was for the older one. Perhaps security and privacy technology has improved or mobilebrowser security appears to be more advanced than desktop-browser security. I do have my reservations about that, but I do not seem to share them with the average consumer. This is good news for hoteliers who have been early adopters of social media opportunities. If you already have a solid online reputation strategy then adapting it to fit location-based apps and increasing content friendliness for mobile devices are the easy stages for achieving a solid SoLoMo status for your brand. SoLoMo Audit Before you even think about investing more time and effort, you ought to consider completing a SoLoMo audit. Such an audit can be as easy as you want it to be. You can complete an audit yourself or you can engage your employees and your customers by creating a straightforward survey that allows participants to rate your property on the three elements of SoLoMo. Social: A simple survey question that asks participants to rate your property on your activity in key social networks (Facebook, Twitter, LinkedIn,
IOANNIS S. PANTELIDIS Ioannis S. Pantelidis is a senior lecturer in Hospitality and Culinary Arts at the University of Brighton. He is co-author of the bestselling book, Food and Beverage Management, and has published and presented papers in numerous international conferences and academic journals including the Cornell Hospitality Quarterly.
Google+, YouTube, Pinterest). Do not create a question for each network you use, rather group them together and include key social networks that you are not active in. This would give you a more balanced score; it is the overall perception of the participants you are after, so don’t set up the questionnaire to obtain the most desirable result. Local: A similar question to the above that deals with location-based social networks such as Foursquare and mobile apps like Google Places API – Yes, it’s still experimental but the audit is meant to stretch you not make you feel comfortable about your SoLoMo achievements.
HOTELIER 3.0 INNOVATION
ACTIONABLE INTELLIGENCE Mobile: A question about the easeof-access of information about your hotel via their website and a separate question that rates user-friendliness of your hotel mobile website (what do you mean you don’t have one?) You may feel that your property does not need to be expending resources on such an audit as it does not attract generation X guests and perhaps not a single guest from generation Y. If you think this way, you forget that a couple of years ago the world of marketers woke up to the fact that silver surfers were one of the fastest growing group of internet users. Mobile and internet are sharing similar symptoms of adoption and, as
mobile prices decrease, adoption occurs faster at all demographics. If you are still unconvinced about the value of mobile, then check out the Hotel Tonight (www.hoteltonight.com) mobile application. I hear that it has been doing wonders for hotels the other side of the Atlantic and it has recently launched coverage of a number of UK cities. As for the value of SoLoMo, check early adopters like Starwood Hotels and their use of Jiepang, or Starbucks and their use of Foursquare. If maximizing occupancy is at the top of your agenda then SoLoMo should be embedded in your online strategy … not an afterthought.
CONDUCT A SoLoMo AUDIT Engage your employees and customers to participate in a SoLoMo audit of your hotel. 1. Social: Rate the hotel’s activity across all social networks – even those you do not use 2. Local: Rate the hotel’s activity on location-based social networks like Foursquare and Google Places API 3. Mobile: Rate the hotel’s mobile website on accessibility and userfriendliness Are you behind or ahead of this emerging trend? Image: SoLoMo from Hotel Tonight
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INNOVATION TECHNOLOGY TRENDS
HOTEL TECHNOLOGY IN 2013 AS WE ENTER THE FINAL MONTHS OF 2012, WE LOOK AHEAD AT THE HOTEL TECHNOLOGY TRENDS LIKELY TO DOMINATE 2013
TECH TREND #1: MULTI-CHANNEL GUEST EXPERIENCES The modern, tech-savvy hotel guest expects their physical and online experience to be of equal quality right across the pre-stay, in-stay and post-stay phases of the experience. Furthermore, thanks to the BYOD (Bring Your Own Device) trend, they expect to be able to achieve a consistent experience through their own mobile devices. “Our software is compatible with a wide range of devices, from Apple to
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Android, from laptops to televisions, and it also integrates with a large number of systems,” explained David Adelson, CEO at Intelity, the company behind the guest management software solution, ICE. “What’s important to us is making access to guest services convenient and simple for any guest.” In this age of expanding technological solutions, simplicity is the key. Guests expect to be engaged on their own terms and hotel employees expect the technology to streamline and facilitate a high-quality guest experience … not complicate it. For interactive guest experience experts, Monscierge, the simplicity of use relies on a deeper understanding of how guests interact with information through different channels and devices. “People interact with different devices in unique ways,” explained
managing director EMEA, Liam Walsh. “Smartphones, tablets, laptops and interactive lobby systems are all used slightly differently, as is the type of information guests consume. Therefore, we work with hoteliers to identify trends on the different platforms and develop a holistic approach to these different channels.”
SUPPLIERS YOU SHOULD KNOW Monscierge 0845 004 6661 www.monscierge.com Intelity +1 888 738 7271 www.intelitycorp.com
TECHNOLOGY TRENDS INNOVATION
TECH TREND #2: LONE-WORKER SECURITY Lone working has now become commonplace in many hotels, especially following growth in the budget and some areas of the independent segments. 2013 will see the risks of lone working in hotels more effectively managed through technology. One solution recently adopted by Travelodge has seen the hotel chain short-listed for November’s Risk Management Awards. Connexion2’s Identicom looks like an ordinary ID badge, but it allows the employee to request monitoring or assistance through a live audio feed to a response centre. The police may be called and the captured audio used in court if necessary. Some hotels are implementing biometric locking systems to increase security in back-of-house locations like bar cellars, luggage stores and housekeeping stores. By scanning the fingerprint of the employee, biometric locks reduce the risk of unauthorised access in a hotel’s prime lone-working areas.
“The biometric lock system is relatively new to the stand alone lock market,” explained TillSecure Systems engineering manager, David Jones. “Our biometric locks need no wiring and are self-contained, battery-operated units. The locks are designed to match the look of our main RFiD locks to give a uniform appearance throughout the hotel.”
SUPPLIERS YOU SHOULD KNOW TillSecure Systems 0844 993 3253 www.tillsecure.co.uk Connexion2 0844 856 6606 www.connexion2.com
TECH TREND #3: BIOMASS BOILERS The introduction of Government’s Renewable Heat Incentive (RHI) will encourage the installation of biomass boilers and other renewable heat equipment. Effectively, the RHI scheme is a cash back incentive for businesses generating their own heat. The £860 million fund is allocated on a first come first served basis, so a spike in biomass technology is expected in 2013. According to Constant Energy, a
190kW biomass boiler, which can serve the heating and hot water needs of up to a 100 room hotel, costs in the region of £99,000 to install and commission. It will generate £20,000+ per annum from the RHI; £500,000 over the 20 year term, and save up to 40% on fuel costs against current oil prices.
SUPPLIERS YOU SHOULD KNOW Constant Energy 0845 680 5395 www.constantenergy.co.uk
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Got vision? Use sound.
it’s time to sound as good as you look
Providing a first-class service doesn’t have to wait until your guests reach the reception desk. On-Hold Marketing entertains and informs callers as they are put on hold or transferred; improving caller experience – whether they’re hotel guests or potential clients.
On-Hold Marketing offers a range of benefits, including: Driving traffic to your website to increase online bookings and enquiries Promoting new products, seasonal deals and special offers Enhancing your brand identity with a consistent marketing presence
PH Media’s On-Hold Marketing is fully bespoke, allowing you to furnish your phone system with a service as finely polished as your hotel lobby. To discover how good you could sound, freephone 0808 159 8205, or visit phmg.com for further information.
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MEDIA GROUP
ME
Got vision? Use sound.
Go
The application that delivers the personal touch. (before, during and after their stay)
Let your guests order breakfast, book a massage, rent a car, reserve a table, and much more at any time during their stay. All this through your hotel’s very own branded iPad® application.
iPad® is a trademark of Apple Inc., registered in the U.S. and other countries.
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AUTUMN 2012 | HOTEL INDUSTRY MAGAZINE 31
MEDIA PARTNER TO INDEPENDENT HOTEL 12
ACTIONABLE INTELLIGENCE FOR HOTELIERS
MAGAZINE MEDIA KIT
NEXT ISSUE: HOTEL TECHNOLOGY SPECIAL ISSUE DATE: FEBRUARY 2013 We will be taking the Hotel Technology special issue to Hospitality Technology Expo, the premier event for the European hospitality technology industry. Issue Highlights: February 2013 Special Feature: Channel, Yield and Revenue Management Leading Light: Guoman & Thistle Hotel’s Managing Director, Heiko Figge provides industry insight Roundtable: Managing Social Media Products: Revolutionary In-Room Technology Innovation: CRM and online booking trends Industry Data: Intelligence from Euromonitor International
RATE CARD Advert (Print) Price Full Page: £1300 + VAT Half Page: £750 + VAT Special Positions and Issue Sponsorship: £POA SALES Andrew Schofield T: 0161 408 3912 E: andrew@spotonmedia.co.uk WWW.HOTEL-INDUSTRY.CO.UK
ACTIONABLE INTELLIGENCE Described as “The Economist for hoteliers”, Hotel Industry Magazine provides actionable sector intelligence to its readers every quarter. Our strategy is to steer clear of news and other content with a limited “shelf life”, instead focusing concisely on what hoteliers need to know to lead their businesses. This approach is designed to increase the readers’ average time of consumption and increase exposure for advertisers.
OUR READERS Hotel Industry Magazine has a highlytargeted readership and attracts key decision makers from all sectors of the UK hotel industry from small, privately owned hotels to large, corporate hotel operators.