No significant changes were introduced in the way business was conducted within the Hospitality industry during the 60s, 70s and 80s, i.e., operations remained quite homogeneous, from the way services were offered to the manner in which guests’ needs were satisfied. However, major social changes affected the industry during the 90s -globalization and the development of new technologies, for example-, modifying traveler’s needs, behavior and characteristics. Guests became more demanding and developed a taste for quality services.
For companies planning to launch new initiatives during uncertain times, it’s important ‘to know from the start that the plan is wrong,’ according to Ian MacMillan, Wharton professor of innovation and entrepreneurship and co-leader of Wharton Entrepreneurial Programs.
As a member of the revenue management team, you are no doubt aware of the impact that your central reservations office or independent 800 voice representation service has on your property’s bottom-line profits. Depending on your market mix, the contribution from central reservations offices (CRO’s) might be anywhere from 10% to more than 35% of your overall transient business. So it only makes sense to give them every available tool for maximizing call conversions.
A lesson I have learned in my career is that blending high tech with high touch is required today for optimal results. Using guest history is not high tech – it is the fundamentals of many successful hoteliers today, ranging from Bed & Breakfast operators to gaming to resorts to business oriented properties.
Any hotel sales person and revenue manager can tell you demand patterns are different than they have been in the past. The question then becomes — will this pass at some point and demand patterns of the past ‘snap’ back into place or have been demand patterns been permanently or semi permanently altered? The question is important as it is the difference between ‘hanging on’ until things resume their previous demand streams or developing new processes and paradigms.
Hotel Lawyers on Innkeepers’ legal duties in dealing with Swine Flu and other infectious diseases. There is a lot of great information available about what Swine Flu is, how it is caused, and precautions people should take to avoid becoming infected. But there is very little guidance so far telling lodging operators what the legal and liability questions that apply to their operations.
Kudos to hotel and tourism industry leadership for its aggressive lobbying efforts at the White House and on Capitol Hill – along with a timely and smart advertising, public relations, war room response and letter-writing campaign – in the wake of the AIG fallout and the fact that our industry was not included in the U.S. Government’s $780 Billion stimulus package.
‘The beer is always colder after a win.’ – A former colleague of mine used to incorporate that one-liner into client meetings regularly. I would cringe every time.
Building revenues is a challenge facing almost all businesses today. Success in building revenues is not the only reason to discuss the concept of ACCOUNTABILITY, but it is a logical place to consider in times of economic uncertainty.