I asked Bill Walshe, the celebrated hospitality leader, advisor, board member, TED speaker - and former CEO of Viceroy Hotels - what it will take to succeed for the rest of this year and into 2024. According to him, it will come down to two things: charging confidently and giving generously.

Charging Confidently

Let's start with the first thing: charging confidently. Bill advises us to take advantage of the demand we have.

Average rates are high pretty much everywhere. And we're a demand-led industry. A lot of people don't get that. A hotel room is perishable. It's as perishable as a banana. If a room is left vacant tonight, that particular room can never ever be sold again. So when demand is there, I think we should charge confidently. Bill Walshe

Hoteliers should not be embarrassed to charge confidently for the experiences they provide. As we all know, it takes a lot of money to provide a great guest experience, so we shouldn’t shy away from charging for that.

That said, charging confidently comes with an obligation to give generously. Bill is concerned that generous hospitality is missing too often.

Guests are looking at us and saying, ‘We see the charging confidently bit, but instead of giving generously, you’re gouging us. Bill Walshe

As we “charge confidently,” we must also ensure we’re providing exceptional service and delivering unexpected moments of kindness. This is where the second component, giving generously, comes into play.

Giving Generously

According to Bill, there has never been a more important time for hoteliers to commit to random acts of kindness and unexpected moments of generosity. In an industry that has too often become run from spreadsheets and P&L statements, hoteliers must not be afraid to go the extra mile for their guests.

Be a leader. Create an environment where it's okay to ask for forgiveness, not for permission. Why did you give that table a bottle of champagne last night and not charge them for it? ‘Because they deserved it. It's their 50th year in a row coming here. I just overheard them talking about the fact that it was an anniversary dinner. 25 years married. And I thought, you know what? I'm going to send them champagne because I can.’ And that's how you create customers for life.Bill Walshe

Bill also addressed the topic of resort fees, which have become controversial in hospitality. He urged hoteliers to ensure that any fees charged provide significant value to guests. Instead of tacking on miscellaneous charges that only benefit themselves, hoteliers should do better.

If you want to have a resort fee, have a resort fee. Call it a guest amenity fee. I don't care what you call it. But please, make sure it's significant. Make sure it has substance. Make sure that it's appreciated. Perhaps co-create it with the recipient, so it's actually something that is meaningful for them. Saying we're going to give you access to the gym, free wifi, a bottle of water, and a broken bicycle doesn't cut it anymore. Bill Walshe

In order to succeed this year and beyond, hoteliers must charge confidently and give generously. By doing so, they can maximize revenue while also building strong, lasting relationships with their guests.

Let's make 2024 the year where we evidence our compassion, creativity, humanity, and humility in the hospitality industry. Bill Walshe

This is adapted from a conversation with Bill Walshe on the Hospitality Daily Podcast.