Carl Weldon, Chief Executive of HOSPA here gives H&C News readers his insights into some recent events across the hospitality sector, and how they indicate a reviving, growing industry that is tackling both its opportunities and its problems:
In the past month or so I have attended a number of Industry events, including:
- The BHA Hospitality & Tourism Summit
- HITEC – USA including a Financial Executives Exchange
- HOSPA’s Revenue Management Debate
- The Boutique Hotel Summit
- The Serviced Apartment Summit
These are not necessarily in chronological order but I have developed a number of views as a result of attending these events.
Upward economic curve leading to investment
The Industry is definitely on an upward economic curve with STR global showing a healthy new Pipeline of hotels in the works.
The Industry itself is enthusiastic about its own developments (most noticeably the Tourism Council), and is also driving some of its own agenda such as the Cutting VAT Campaign (www.cuttourismvat.co.uk) which was picked up by The Sun newspaper – where you can in fact sign a petition.
As a result the industry is starting to invest – or starting again to re-invest – in its Technology Solutions to compete with the OTA’s and provide the now expected service or amenity levels of Fast Free WiFi.
We are of course still a fractured industry in this regards but we are starting to get there. HITEC experienced its highest ever attendance outside Orlando (as the location) with almost 5,800 delegates over its three days and over 500 Exhibitors – nearly all of whom reported doing excellent business this year.
An interesting item to experience was Google Glass and how it may impact Hospitality. Myself and Acting Chair Chris Upton both tried it out…but to find out more join in the IT Community review of HITEC on 22nd September. HOSPA are offering 10 Free attendances at this event to H&C News readers – contact jenny.rose@hospa.org to request your place.
Increasing segmentation
The Industry is starting to segment itself and recognise the different aspects of itself – if you look at the last two on the list above, there are events specifically for Boutique Hotels and Serviced Apartments. Both these events attracted great attendance by separate sets of attendees with very different agendas.
The Serviced Apartment Summit event was packed with attendees with a varying set of challenges even within itself (and segmenting not just on Product level but by “Average length of stay” and by Consumer or B2B led businesses) – but still all with a similar set of Technology Standards.
The Serviced Apartment sector also struggles for a good set of data: this segment is not yet sharing its data with the Benchmarking companies to the extent that Hotels do, and is consequently struggling to obtain funding due to a lack of research and data. Interestingly enough, the STR Global data that is available in this segment shows some clear differences in trends to the current Hotel trends – in terms of numbers but also regional and London.
Revenue Management Debate
HOSPA’s Revenue Management Debate listened to a great Panel discussing the challenge for Hotels in terms of their use of Big Data and how to use it and what its benefits may be.
Clearly, with Expedia reporting their investment of £360M in Technology last year (without even owning a hotel asset), the challenge is there for Hotels to analyse and learn from their own information and trends – not least, in order to avoid the use of OTA’s and their costs.
It’s not easy and it requires some investment and Team work, which was echoed in another session I experienced at HITEC.
CMO vs CIO
I attended an Education Session at HITEC entitled CMO (Chief Marketing Officer) vs CIO (Chief Information Officer)
There were three sets of each from Red Roof Inns, Schneider Company, and Destination Hotels & Resorts in the US, and some interesting quotations or sound bites were delivered out of this session (via my Twitter Freed @CarlWel) such as:
- Red Roof Inns (CMO) say that as hoteliers we really have moved towards becoming publishers of content – for example, providing guests with useful local and current information and events with links – rather than just listing room rates
- Red Roof Inns CMO says that the more effort a guest has to put in to book in, the less loyal they are likely to be
- Destination Hotels & Resorts CMO says it is as if she has 42 children but none of them have her last name – each child or hotel needing its own individual care and attention. They have identified for their business the 7 key touch guest points that are crucial.
- Finally and at last a Hotel Group – Destination Hotels & Resorts – CMO suggests bundling the WiFi for guests into the room rate.
- “The art challenges the technology, and the technology inspires the art” – John Lasseter. Surely this must apply to hotels tech vs marketing?
The key to this discussion was Teamwork between CMO, CIO and indeed Revenue Manager.
In conclusion
I felt time and time again through these events that here is an industry coming alive again, adapting itself and growing in some areas, but struggling in others.
Wherever I went, however, I was most pleased to discover how many people were now well aware of HOSPA and HOSPACE – with great interest in our Educational programmes, especially in Revenue Management.
Carl Weldon is Chief Executive of HOSPA.
Contact Carl on @CarlWel or carl.weldon@hospa.org
About HOSPA
HOSPA is the Association that helps hospitality’s Finance, Revenue Management and IT professionals to develop their careers, network with colleagues and keep up-to-date with industry trends and developments. It offers a wide and growing range of opportunities for members, from meetings addressing specific topics to webinars; from extensive professional resources to the latest industry data through HOSPA’s monthly magazine The Overview.
Contact:
Jane Pendlebury | Membership & Events
HOSPA, Longdene House, Haslemere, Surrey, GU27 2PH
Contact:
Jane Pendlebury | Membership & Events
HOSPA, Longdene House, Haslemere, Surrey, GU27 2PH
T + 44 (0) 203 418 8196
E jane.pendlebury@hospa.org
M +44 (0) 7773 362770
www.hospa.org
@HOSPATweets
HOSPACE
HOSPACE is on Thursday 20th November this year at Sofitel T5 – last year’s short video here
For this year’s programme click here
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