The hotel sector is most certainly managing its way through the trough of the current downcycle, and a tough winter lies ahead for the U.S. lodging industry, although brighter skies should emerge next year.
2020 will undeniably be a year to remember. Unfortunately, not for great reasons. The hospitality industry is going through arguably the worst crisis it has experienced in a generation. Every day we are inundated with news about COVID-19: case numbers, vaccine trials, lockdown restrictions and its impact on travel, tourism and the wider economy.
Food & Beverage (F&B) has always been a significant component of hotel operations and revenue. Several hotel chains have created their own iconic in-house restaurant brands over the last few decades. Dining at these hotel restaurants, known for their high-quality cuisine and celebrated chefs, had a novelty factor that was missing from the options available outside of hotels.
China and Australia Visitors Allowed Entry into Singapore from 6 November, Japan Eases COVID-19 Travel Curbs for Nine Countries and Regions, RedDoorz Launches New Design-led Hotel Brand, SANS, Azumi Brand by Aman Founder to Debut in Japan.
Amid a worldwide pandemic, the lodging industry is facing a downturn that is greater than the past two lodging-market declines combined. During the Great Recession, the greater San Diego area's occupancy fell roughly six points from 70% in 2008 to 63% in 2009; this year, we forecast occupancy to drop from the 2019 benchmark of roughly 77% to 49%, reflecting a 36-point decline.
Pre-COVID, the hospitality sector had successfully adopted technology at the first point of customer contact with increasing number of bookings being done online. However, technology adoption during the other phases of the customer journey was still lagging as hotel rooms followed the standard practices using nearly defunct tech in rooms.
Singapore Eases Local Tour Restrictions from 1 November, Indonesia Government to Disburse IDR3.3 Trillion Grant to Tourism Industry, Ratanakorn Asset Appointed ONYX Hospitality Group for Three Developments in Pattaya, Singapore and Germany to Set Up Reciprocal Green Lane for Business and Official Travel.
Asset-light operating models have become the main stay for growth of many of the major hotel companies in India, with Management Agreements being the preferred structure. The other major asset-light model - Franchising - though is yet to gain significant traction in the country.
Capitol Square Hotel Sold for AUD26 Million in Sydney, Australia, Novotel Brisbane Acquired for AUD67.9 Million in Brisbane, Australia, Destination Capital Set to Acquire Hotels, Sunway Resort Hotel & Spa to Spend USD60 Million on Major Facelift.