Hotel Yearbook Articles

It’s the end of the brand as we know it

Hospitality Strategist Matthias Huettebraeuker discusses the convergence of brands in the lifestyle segments and how shared ideals lead to lost appeals. He propagates a return to the „personality brand“ as a radically human approach to hospitality, citing places like La Granja or Berlins Michelberger as examples of commitment and connection. He then moves on to dissect another concept, the „hybrid brand“, laying out where it currently underperforms, which brands are getting it right, and why it’s a growth vehicle for big players and newcomers alike. The author suggests a more network-oriented, neighborhood approach instead of overloading single assets, a focus on the job to be done, and explains how this could revive the idea of subscription and help in building communities around a brand.

Instilling ¶Company Culture ¶into Business Operations

In this article, Remington Hotels President Chris Green explains that integrity in business is essential for building a positive reputation and fostering strong relationships with guests and employees. To achieve this, the best management companies align with five guiding principles: ethics, profit, tenacity, innovation, and engagement. One way to stay aligned with these principles is to filter out anything that does not align with the company's values and mission, similar to how a coffee filter separates grinds from coffee. This can be achieved through constant communication, training, and reevaluation of goals, as well as creating a company culture where every employee has mission buy-in. 

Implementing ¶ESG in 2023: ¶Less talk, ¶more action

The environmental dimension (E) is taking precedence as the hotel industry joins the race to reach net zero carbon emissions. Sustainability programs are evolving quickly as customers and asset owners demand green credentials and make net zero commitments. Despite good intentions, emissions from real estate are at an all-time high and hotels face a greater challenge to reach net zero goals due to their high energy use intensity. Making hotels more energy efficient, switching to renewable energy, and filling a skills gap in teams are important steps to close the gap between intent and action. Consumers and employees want sustainability initiatives to go faster and further, and hotels must also consider the social dimension (S) such as fair pay, labor rights, and diversity, equity, and inclusion. A joined-up ESG strategy provides accountability for driving and managing the strategy, and reporting transparently on outcomes.

It is time to rethink loyalty in travel and hospitality

Hospitality loyalty programs are still a key tool for customer retention and incentivization but with the recent shift in customer mix and changes in business travel due to the pandemic, hospitality loyalty programs need to evolve to remain relevant to current customer needs. Several hospitality companies have already taken steps to revamp their loyalty programs to better meet the needs of travelers. Companies should focus on three areas: "the power of now," which is about creating a real-time program, "flexibility, my way," which involves expanding the program's reach and increasing flexibility, and "tried and true experiences," which emphasizes delivering memorable experiences that reinforce the quality of the guest experience.

Will Traditional Hotel Operators Ditch Beds for ¶Data Banks?

The hotel industry has undergone significant changes in recent years with the growth of franchise models, allowing hotel companies to grow faster, but with lower returns as compared to management fees model. This shift has made the branded sector easier to value and has resulted in higher stock values and returns for hotel companies. However, as they move away from the property, they risk losing their brand standards. The role of asset managers will become critical as the operations of the hotel must happen closer to home. The move to distribution-focused tech platforms will result in a division in the sector between high-volume brands and curated, emotional brands, and the loyalty programs will have to compete more directly with online travel agencies. Hotel companies will need to work on becoming true recognizable consumer brands in the way Airbnb has, drawing on their decades of customer data and heritage.

The Evolution of Consumption and the Future of Reporting Standards in Lodging

HFTP CEO Frank Wolfe writes that his association, in partnership with AHLA and the Global Finance Committee (GFC), is modernizing the Uniform System of Accounts for the Lodging Industry (USALI®) to its 12th edition to address evolutions in information consumption and energy/resources use. This requires a shift from traditional learning methods to an interactive, online platform accessible on digital devices, making use of cloud-based publishing and multimedia-enhanced e-books.

Five steps ¶towards ¶AI Maturity in travel & hospitality

The travel and hospitality industry is using data and AI to maximize value from micro-moments and respond to real-time trends. Accenture's research found that AI-influenced revenue for travel companies more than doubled between 2018 and 2021 and is projected to triple by 2024. However, only 13% of travel companies surveyed by Accenture were considered AI "achievers" who are significantly ahead of the rest in using AI to reinvent core parts of the business. The majority of the industry, up to two-thirds, was underdeveloped in AI strategy and practice. Accenture identified five priority actions to build AI maturity in the industry: making AI a C-level priority, investing in AI training, building an AI core, championing responsibility, and looking at both the long- and short-term.

Above the clouds: Taming multicloud chaos

The growth of cloud computing has led to a complex and redundant web of cloud tools and platforms. Despite the benefits of a multicloud strategy such as specialized capabilities and optimized pricing, complexity and interoperability issues make it challenging for companies to fully realize all the benefits of their cloud investments. To simplify this management, enterprises are turning to a layer of abstraction and automation known as metacloud, supercloud, or sky computing. This concept puts a compatibility layer on top of multiple clouds and is gaining popularity, although it still has important considerations for businesses to take into account. Today, the majority of enterprises are using two or more cloud platforms and are unlikely to consolidate operations within a single cloud vendor. Multicloud is likely to remain a dominant trend in the future.

Beyond zero – moving our industry along the pathway to net positive hospitality

Glenn Mandziuk, CEO at the Sustainable Hospitality Alliance, writes that the travel and tourism industry are seeing a rebound in occupancy levels after the pandemic, proving the industry's resilience and ability to adapt to changing situations. However, negative impacts such as damage to the environment and cultural disconnection must also be considered. With a projected 1.8 billion international tourists by 2030 and 2.5 million hotel rooms in development, it is crucial for the industry to prioritize sustainability. Despite this, less than 1% of companies have set science-based targets for carbon reduction and only 28% have a climate strategy in place. 

The Rising Importance of Sustainability in Hotel Valuation - In 2023 and Beyond

In this article, CBRE's Alan Jutte provides insights on a study of hotel operating statements from CBRE's Trends in the Hotel Industry which showed that new properties with energy-efficient features resulted in substantial energy savings compared to older or less efficient properties. The study concluded that while sustainability efforts can lead to reduced costs, the extent of these savings may depend on various factors such as room size, building size, amenities, building materials, etc.

Engaging customers with themed hospitality experiences

Designing experiences for emotional outcomes is not a new idea, but harnessing the best in hospitality concepts for accessing those emotions has recently become a growing trend with established brands. Tesla is planning a 24-hour diner in Los Angeles with a drive-in theater. FILA and Hello Kitty are teaming up with Hyatt to open themed hotels in China. Porsche Design and Steigenberger are building 15 luxury lifestyle hotels in Germany. Ralph Lauren has opened a café in Malaysia. Elle, the fashion magazine, will open a boutique hotel in Paris and expand to 15 hotels soon. In the meantime, Bulgari and Armani are also expanding their footprint in the hotel industry.

Keg wine: Tradition meets innovation

As more and more consumers are opting for a sustainability-oriented lifestyle, F&B industries are compelled to explore innovative ways to deliver sustainable production, distribution and consumption solutions. The wine industry is no exception. Growing concerns about the impact of global warming and environmental challenges on wine production-related activities is pushing the industry to search for alternative sustainable solutions. In line with both the International Organisation of Vine and Wine and the International Federation of Wine and Spirits which define sustainable viniculture as one with a triple economic, ecologic and social purpose, a sustainable wine industry should incorporate management of product quality, waste and carbon footprint, and human resource into all of its processes from production to distribution and consumption.

Here’s why ¶2023 needs hotel employee wellness

Every hotel company has some form of employee health or wellness program in place, but we argue that it won’t be enough as cyclical and secular forces converge this year. While we start by stating these trends to paint a broad picture of the future of hospitality labor, the ironic yet obvious cure is ultimately a further deepening of your organization’s commitment to your employees’ wellbeing.

Solving sustainability challenges: The role of digital technologies and tech startups

Sustainability is becoming a crucial aspect of business operations and models, but the service sector has been slower to adopt sustainable practices. In this article, EHL Associate Professor Carlos Martin-Rios explains the industry is showing interest in resource management but lacks direction on how to link it to a competitive advantage. Digital technologies and their associated startup ecosystems hold a key to supporting the sustainable transformation of the service sector. 

ESG and Hospitality: ¶An Evolving Sustainability Context

This article discusses the importance of understanding the relationship between sustainability and hospitality in the current global context, which is characterized by a convergence of global risks linked to climate change and biodiversity collapse. The hospitality industry operates in a volatile, uncertain, complex and ambiguous environment, which makes it difficult to devise a resilient path that considers environmental, social and governance risks. In his article, Professor Willy Legrand argues that it is crucial for business leaders to understand both sides of sustainability and hospitality and build connections between them. This means considering global goals and initiatives, as well as national and supranational guidelines and legislations that affect a business's ESG reporting strategy. By taking a holistic approach, the hospitality industry has the opportunity to advance sustainability overall.

Are hotels ¶ready for their ¶tech-destined future?

The global COVID-19 pandemic has accelerated the need for the adoption of technology in the hospitality industry, leading to an increase in the deployment of contactless and self-service solutions in the guest journey and the automation of business processes. However, the industry's readiness for technology investment and transformation, and the guests' readiness for use and adoption, is still in question. The role of technology in transformation goes beyond automation and optimization and requires a rethink of how hotels operate, restructure teams, and leverage technology. The process of readiness is a shared responsibility between hotel operators, owners, vendors, and consultants, and requires collaboration and interoperability. 

Hotel-tech in overdrive - How to onboard a hotel ¶in a day

Accor, a global hotel company, has set an ambitious goal to become the first hotel company to enable owners to onboard a hotel in 24 hours. The company recognizes the challenges of the traditional onboarding process, including the need for quick technology deployment, reduction of repetitive tasks, cyber security, and easy training for staff. Accor plans to address these challenges by maximizing the use of cloud technology, automation, and establishing a 'zero trust' security environment. The company aims to move all of its applications and assets to the cloud in the next few years for better cost efficiency, security, and streamlining. Automation will also help reduce administrative tasks, and biometrics will simplify the check-in process. The final challenge for Accor is the hiring and retention of staff, which is becoming increasingly difficult in the hospitality industry.

Tackling the Hotel Talent Shortage - A paradigm shift

The labor shortage in the hospitality industry post-COVID is caused by a combination of factors such as layoffs, changes in the job market, and increased demand for travel and tourism. The pandemic led many workers in the industry to lose their jobs or to leave the industry for better opportunities. In this article, EHL Associate Professor Stefano Borzillo describes how technology, flexibility, upskilling, and above all, a paradigm shift can bring about change in the hotel industry.

Hotel Yearbook Article

HFTP Member Spotlight: Sal Spano

This week's Member Spotlight centers on 1980-81 Global President and 1990 International Hospitality Technology Hall of Fame inductee Sal Spano, CHA, CHAE of West Palm Beach, Florida.