Using the Labor Data from Hotel Effectiveness to Minimize Costs and Turnover
Adam and Larry Mogelonsky | January 11th, 2023
Four Creatively Destructive Forces for the Hotel Industry
Larry and Adam Mogelonsky | July 13th, 2022
Hotel Marketing – What Separates Winners From Losers?
Ines Barreiros | July 19, 2021
By Ines Barreiros In an economic recession, many Hoteliers may be hesitant to risk jeopardizing their revenue post-crisis by investing in marketing campaigns. If you are part of this crowd, we have one question: “Do you want prospective customers to remember you when ‘Revenge Travel’ strikes?” As our CEO Pedro Colaco says, “Hotel Marketing is not about selling, but generating demand”, history tells us that periods of low demand give hotels the opportunity to ramp up marketing in preparation for the upturn. When looking back at the crises of the past, it’s important to understand which strategies hotels implement...
Success in the Summer of ‘21
Robert Rauch | July 19, 2021
How To Welcome Post-Pandemic Travelers Back Into Hotels By Robert Rauch The venerable hotel industry has been completely overturned during the past 15 months. We will have to create a very different strategy to outperform the competition this summer. What are the dynamics of hospitality industry competition today and how can we put together a winning plan in time for the Summer of 2021? Today, a digital marketing strategy is an industry imperative and critical business solution in this digital age. Platforms including Facebook, Instagram, and Twitter allow hotels and restaurants to engage guests and offer a highly personalized level of...
Bleisure as Usual and Five Other Factors to Boost the Groups Segment
Larry and Adam Mogelonsky | July 14, 2021
By Larry and Adam Mogelonsky Now firmly in summer and it’s safe to say that the leisure segment is back online from the druthers of 2020 – groups, not so much. While every hotelier wants meetings and events to strike back in a similar fashion, there are a few almost irreversible considerations for the post-pandemic groups landscape. Rather than try to make it 2019 again, the wise hotelier will accept these changes and pivot operations to meet the new types of demand that are emerging. For meetings and events, this will mean fewer large-scale conventions and open-for-all receptions, and more limited, invitation-only gatherings. Start...
Mythbusters: Recovery Edition – Part Two
Vertical Booking USA | July 14, 2021
By Mark Lewis-Brown As I mentioned in Part One of this article, there are many mixed messages floating around in the hospitality industry today about how/what hoteliers need to do/buy in order to be profitable in the “new normal” that we’re all facing. (If you missed Part One, stop reading immediately – no, seriously… immediately! – and read it first.) Lucky for you, I’m here to help bust three more common myths that hoteliers are being told/believing about the industry, as we move into the recovery phase of the pandemic: Myth #1 - Guests do still want their rooms cleaned, maybe even more so than normal. Given how ...
The Post-Pandemic Hard Reset
Vikram Singh | July 13, 2021
By Vikram Singh I wrote two articles during the pandemic, one around the beginning and one in the middle. It’s time to complete the trilogy. Our industry has been given a once-in-a-lifetime chance to fundamentally change itself. How we market, price and operate hotel assets needs to evolve to meet the changing market landscape. Here are my thoughts on how to make real changes in order to embrace the tremendous opportunities that lie ahead. Embrace the Hard Reset The hotel and travel industry was ground zero for the impact of global lockdowns: the hard reset button on the entire industry was pressed. A hard reset on an electronic ...
Australia’s Latest COVID-19 Lockdowns Take Their Toll on Hotel Bookings
STR | July 9, 2021
Australia has been one of the highest performing hotel occupancy markets with improving midweek demand alongside continued strength across weekends. Amid recent COVID-19 outbreaks and lockdowns, however, key markets in the country are showing noticeably lower levels of occupancy on the books for the coming weeks. When comparing the Forward STAR data updates of 28 June 2021 vs. 21 June 2021, Sydney’s average decline in occupancy on the books for the coming weeks and months was 13.8%. For the week of 27 June-3 July, Sydney’s hotel occupancy was not expected to exceed 20%, which would be a greater than 50% drop from previous weeks. The...
Vaccines and Digital Solutions to Ease Travel Restrictions
UNWTO | July 7, 2021
The global vaccination rollout and increased adoption of digital solutions for safe travel should lead to a rise in international mobility over the weeks and months ahead, the latest data from the World Tourism Organization (UNWTO) indicates. According to the newest edition of the Travel Restrictions Report from the United Nations specialized agency for tourism, as of 1 June, 29% of all destinations worldwide have their borders completely closed to international tourism. Of these, more than half have been completely closed to tourists for since May 2020 or longer, with the majority of these belonging to the Small Island Development States of...
What Exhibitions Tell Us About MICE Recovery
Larry and Adam Mogelonsky | July 7, 2021
By Larry and Adam Mogelonsky Freeman (www.freeman.com) is the global leader in exhibition management. Family-owned and operated, they are the ‘go to’ folks behind numerous convention centers with a bevy of services to create memorable, large-scale events. If you’ve ever had the opportunity to stay behind at the end of a tradeshow, or for that matter set up a booth, you’ll be amazed at the speed and capabilities of their team members. I recently had an opportunity to chat with Mickey McClay Wilson, the company’s Chief Marketing Officer. My interest was simple: can Freeman shine a light on the recovery of a business inextricably...
China: A Look Back and a Look Forward
STR | July 7, 2021
After the outbreak of the epidemic in Guangdong at the end of May, the occupancy rates of the two major cities in Guangdong—Guangzhou, Shenzhen, and other parts of the province—have fallen to the bottom. As the center of this epidemic, Guangzhou hotels have been more severely affected. With the implementation of anti-epidemic measures and accelerated vaccination, the Guangzhou epidemic has gradually improved in mid-June. Not only has Fangcun been unblocked, high-risk areas have been downgraded, and the occupancy rate of Guangzhou hotels has also improved. In Shenzhen, affected by the new cases in the Bao'an District on 14 June, it may tak...
Report: 21 of Top 25 U.S. Hotel Markets in Depression or Recession
AHLA | July 1, 2021
WASHINGTON – July 1, 2021 – Despite an uptick in leisure travel, a new report released by the American Hotel & Lodging Association (AHLA) shows that the road to recovery for the hotel industry is long with 21 of the top 25 U.S. hotel markets remaining in a depression or recession. The new data shows urban hotels are still in a “depression” cycle while the overall U.S. hotel industry remains in a “recession.” Urban markets, which rely heavily on business from events and group meetings, continue to face a severe financial crisis as they have been disproportionately impacted by the pandemic. Urban hotels were down 52% i...
Hospitality’s Second Act: Capitalizing on the Enchantment Economy
Thomas Mielke | June 30, 2021
By Thomas Mielke The successful vaccine rollouts mean global economies are now generally rebounding from the sustained social and travel restrictions of the past year. Consequently, service-hospitality organizations are seeing consumer activity like so-called ‘revenge tourism’ further speed up the recovery. Although demand will undoubtedly be high, so too will customers’ expectations. Having longed for entertainment, enrichment, and escapism, guests will not want to be disappointed. Operators should therefore be hypervigilant ‘wooing, and wowing’ consumers. At a recent expert forum, organized by Seatrade Cruise and AETHOS, pan...
The Next Normal: Hotel Benchmarking Post-Pandemic
STR | June 30, 2021
After record-breaking disruptions to the global hotel industry, traditional year-over-year comparisons have been rendered far less actionable when benchmarking hotel performance data. During the Hotel Data Conference: Global Edition, on 25 March, STR’s Jesper Palmqvist and Isaac Collazo presented their top tips for how to benchmark most effectively as the industry recovers from the global pandemic. Index to an anchor point Go beyond last year and pick a pre-pandemic time as your benchmark comparable. For example, you could compare May 2021 data to May 2019 to look at what percentage of RevPAR you have recovered. ...
U.S. Market Recovery Monitor – 19 June 2021
STR | June 25, 2021
Are you tracking the Market Recovery Monitor each week? Utilizing data and benchmarking to navigate recovery will be a key focus of the 2021 Hotel Data Conference. Click here for registration, with both in-person and virtual options available for our 13th annual event in Nashville. Previous MRM versions: 5 June | 12 June The “summer travel surge” continued this past week as U.S. hotel occupancy hit an 85-week high at 68.0% for the week ending 19 June 2021. That is the country’s highest level since the week ending 9 November 2019. The turnaround in occupancy is above expectations. Recall, at the start of the year, occupancy wa...
Exploring Luxury Tourism Market Trends in 2021 and Beyond
Hrishikesh Kadam | June 25, 2021
By Hrishikesh Kadam From cruising, yachting, and customized private vacations to multigenerational travel, new trends in the luxury tourism industry are emerging from the global shutdown triggered by the COVID-19 crisis. As travel restrictions ease and borders reopen, travel at any level will be more precious and more exotic among people. Evidently, 2020 has been a challenging year for everyone, and in 2021, travelers are likely to plan future trips as a way to unwind, whether through celebration journeys with families and friends, wellness focused experiences, or culinary explorations. Worldwide, there is a pent-up demand for travel wi...
Mythbusters: Recovery Edition – Part One
Mark Lewis-Brown | June 25, 2021
By Mark Lewis-Brown There are lots of messages out there, in the hospitality industry now, about what hotels need to do, or what technology they need to buy, to reach recovery more quickly. Some of these messages are accurate and others… questionable. But don’t you worry… I’ve got you covered. Get ready for a thorough debunking of three common “myths” related to COVID recovery strategies. MYTH #1: Business and/or city-center hotels are dead. Truth: There is no type of hotel that can’t reach profitability, even if corporate travel and MICE business doesn’t pick back up again for years. Full stop. The road to s...
Longer Trips Look Set to Boom Post-COVID-19
GlobalData | June 24, 2021
Longer trips of more than ten nights are increasingly in demand post-COVID-19, according to a poll by GlobalData. The leading data and analytics company notes that, with accidental savers on the rise and working from home making longer trips a possibility, lengthier holidays look set to boom post-pandemic. Opting for an extended trip has become increasingly inviting. A live GlobalData poll* revealed that over one in four (26%) of respondents now prefer to take a leisure trip of ten-plus nights – the second-most popular length of trip behind stays of between four and six nights (28%). Gus Gardner, Associate Travel and Tourism Analyst a...
Hotel Industry: A Wave of Bankruptcies Remains Possible in Switzerland
Benoît Perrier | June 23, 2021
With a 40% drop in the number of overnight stays in 2020, the Swiss hotel sector is on the verge of suffocation. An exceptional season this summer, however, could limit the damage. By Benoît Perrier Hotels on pause The phone rings desperately in the void. Since September 2020, employees of Hotel Le Richemond have been sent home. The health crisis got the better of the 5-star hotel and its 150 years of history of the Geneva institution. Management had no choice but to put hotel activity on hold until further notice. This dramatic situation is far from being an isolated case. In Lausanne, the Royal Savoy has been at forced rest si...
As Pandemic Concerns Fade, 76% of North Americans Plan to Travel Soon
Oracle | June 22, 2021
Oracle Survey respondents are ready to spend more on hospitality perks beyond the room charges, hoteliers add new services to extend the customer experience AUSTIN, Texas – June 22, 2021 – After more than a year in lockdown, 76% of consumers in North America plan to travel within the next six months. According to a new Oracle Hospitality survey, 24% of respondents in the US and Canada plan to travel immediately, 31% in the next one to three months, and 21% by the end of the year. People are largely traveling regionally, but venturing further from home. Domestic travel will account for 61% of travel plans (vs. 44% last year), 19% of ...
STR: U.S. Hotel Performance for May 2021 Shows Highest Levels Since Before Pandemic
STR | June 21, 2021
HENDERSONVILLE, Tennessee—The U.S. hotel industry recorded its highest monthly performance levels since before the beginning of the pandemic, according to May 2021 data from STR. May 2021: Occupancy: 59.3% Average daily rate (ADR): US$117.69 Revenue per available room (RevPAR): US$69.81 Each of the three key performance metrics were the highest for any month since February 2020. While year-over-year percentage changes show significant increases because of comparison with a pandemic-affected period in 2020, the country’s performance levels remained well below the pre-pandemic comparable of May 2019: occupancy (-13.5%), A...
Hotel Labor Costs Are Up Across the Globe. Here’s How to Cope.
HotStats | June 21, 2021
The U.S. isn’t the only country having issues filling hotel positions. In the wake of pandemic-induced layoffs and furloughs, properties around the globe are having trouble staffing up. That’s a troubling trend not only in terms of hoteliers’ service goals, but also in terms of managing labor expenses, which have been rising. In Europe, total labor costs on a per-available-room basis in April 2021 were $18.94, according to HotStats data, versus $15.75 at the same time last year. In Asia, labor costs rose to $37.63 in April from $25.67 in April 2020. Like in the U.S., where some former hotel workers have left the sector and migrate...
U.S. Travel Reacts to State Reopenings from Virus Restrictions
U.S. Travel Association | June 17, 2021
WASHINGTON — June 17, 2021 — U.S. Travel Association President and CEO Roger Dow issued the following statement: “The lifting of COVID restrictions in several of the largest U.S. states removes critical barriers to the return of our pre-pandemic economy and livelihoods. “States with delayed reopenings must recognize they’re at a competitive disadvantage to those open for business, requiring focused efforts to encourage the safe return of both business and leisure travelers. Similarly, companies that continue to restrict business travel and attendance at in-person professional meetings and events will delay their own economic r...
New Forecast Signals Long Road to Recovery for Business Travel
U.S. Travel Association | June 15, 2021
WASHINGTON — June 15, 2021 — Lingering COVID restrictions and a patchwork approach to reopening across the country will prevent the economically crucial business travel segment from recovering until at least 2024, according to a Tourism Economics analysis released Tuesday by the U.S. Travel Association. Travel overall is by far the U.S. industry hardest hit by the ongoing fallout of the COVID-19 pandemic. Spending on travel for large, in-person professional meetings and events (PMEs) declined by 76% last year—a $97 billion loss in spending. With vaccinations and infection rates in the U.S. trending favorably, restrictions low...
Travelers Prefer Booking Directly With Providers Amid Uncertainty
GlobalData | June 11, 2021
A recent GlobalData poll has revealed a shift in consumer preference towards booking holidays directly, instead of going through an online travel agency (OTA). A total 39%* of respondents said they would typically book directly, followed by 17% that opted for OTAs and price comparison sites. The leading data and analytics company notes that this shift is no surprise, given the flexible cancellation and straightforward refund policies offered by direct booking. Gus Gardner, Associate Travel and Tourism Analyst at GlobalData, comments: “The pandemic has caused a significant shift in consumer booking habits. A previous survey in Q3 2019** s...
Tourism Tidbits: Site Beautification and Security Protocols
Peter Tarlow | June 11, 2021
With the rebirth of travel, using site beautification to enhance your marketing and security protocols is more important than ever By Dr. Peter Tarlow This June people from around the world will be seeking new ways to break away from the consistent quarantines and lockdowns and once again experience the beauty of travel. In this world of wanting to break free, a locale’s physical appearance will be more important than ever. Communities that hope to use travel and tourism as economic development tools might do well to consider some of the following points and then work at not only greening their communities but also their bottom lines....
