HOTEL BUSINESS REVIEW

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Michael C.  Schmidt

In the first two installments of this “Employment Classification Trilogy,” the focus was on hotel employers who improperly (and, generally, inadvertently) classify workers as exempt employees for purposes of federal and state wage and hour laws, or classify workers as independent contractors rather than employees. However, there is a third classification to be considered, only this time a hotel employer will not be affirmatively classifying anyone itself. Instead, employers need to consider whether unintended liability may arise under particular circumstances when a court deems the company to be a “joint employer." READ MORE

Drew Rosser

There are so many ways to engage a potential customer or a repeat customer. Any Web site must combine technology, content and creative in order to lead the consumer into the Booking Tunnel. It is how you apply the integration of these to support a guest experience focused on conversion at every phase in the consumer buying cycle. I would work on creating more of a vortex than a tunnel. READ MORE

Jim  Holthouser

Embassy Suites Hotels is an award-winning hotel brand recognized industry-wide for its customer service, satisfaction and loyalty. To reach this level of success, the brand created and instituted effective employment programs; The "Circle of Leadership" and "Make a Difference" initiatives for team members serve as an example of what this brand and others have implemented to enhance their service culture and bring visibility to established, accomplished leaders within the brand. Effective employment programs are key to retaining a hotel's most valued asset, its team members. READ MORE

Carl Rizzo

To the great consternation of hotel owners, courts across the country have continually expressed a preference for the utilization of the Rushmore method to value hotel properties for real property tax assessment purposes. The values reached by this methodology typically result in higher values than if the other competing valuation approach, the Business Enterprise Approach, had been applied and thus yield higher tax bills. This is of special concern during difficult economic times. The disparity between approaches arises from the alternate treatment of critical hotel value components, which may very well be improperly included as part of the taxable real property value. Despite this seeming inequity, the Rushmore method will likely remain the favored approach in the context of hotel tax valuations. READ MORE

Michael McKean

How do you find the right people for your sales team? Not everyone is cut out for sales, especially cold calling. And the answer isn't in their job history. In this article, I break down the five key qualities to look for in every sales manager you hire to bring you the most success. While experience is obviously a factor, the people who exhibit the following traits naturally are the ones who will bring you the most success. READ MORE

Bonnie Knutson

It seems as if the world of technology is not only taking over our vocabulary, but is engulfing our lives, both personally and professionally. As someone in the hotel business, this means that you have to think about how your property can integrate digital communications into its promotional strategy. This is no easy task. But it is a task that must be done because the technological genie is out of the bottle...and it's not going back in. So in a hats off to David Letterman, this issues offers a "Half Top Ten" list of key areas to consider as you begin this integration job. READ MORE

Mike Kistner

Hotel transaction volumes in 2009 increased by nearly 50%. Did your hotel realize a 50% increase in bookings as a result? Odds are, you saw quite a different picture. Odds also are, not only did you see fewer guests, but you also saw even fewer guests willing to pay what they would have paid in 2008. Consumer behavior is radically different these days and we're seeing the consequences. Processing anywhere from three to five billion transactions per month last year, Pegasus Solutions handled 48% more shopping transactions in 2009 than in the travel heyday of 2008. The reason comes down to one issue: changing online consumer shopping behavior, which ultimately affect your look-to-book ratio. READ MORE

William A. Brewer III

Owners of luxury hotels and the branded management companies that operate them often find their interests in conflict. Because they bear all of the economic risk, hotel owners expect their operators to maximize revenue and minimize costs so that their hotels are operated profitably. Brand managers, on the other hand, typically earn the bulk of their fees on gross revenues, not profits. That is especially true in downturns when there is little prospect of incentive fees. The result of these "bottom versus top line" perspectives is that management companies are often reluctant to lower rates and cut costs because such measures will adversely affect the long-term value of their brands while providing no short-term financial benefit to them. READ MORE

Rani  Bhattacharyya

As a sector of the hospitality industry experiencing growth despite the recession, extended stay facilities may want to consider strengthening their environmental policies through improved housekeeping services for their guests. In this article I will try to outline a few important factors that extended stay property managers need to consider when providing housekeeping services to their guests, some resources available to learn more about environmentally responsible housekeeping services, and outline a list of policies and procedures that managers and owners can take to make their housekeeping more environmentally responsible. READ MORE

Robert  King

Challenges confronting travel and hospitality marketers intensify with the ongoing economic softness, and marketing budgets are under pressure. ROI is top of mind as marketers try to stretch their dollars for greater impact. Organizations make the mistake of segregating inbound marketing efforts (usually online marketing such as search engine marketing or search engine optimization) from outbound marketing (better known as database marketing). They lose a significant amount of synergy and opportunity that comes with integration. Learn more about integrating direct and online marketing to derive insights that can better steer digital advertising and search marketing as well as gather information for effective, personalized direct marketing efforts. READ MORE

Brenda Fields

The industry is just starting to wake up after a long, cold winter! And the good news is that industry experts are predicting better results for the remainder of 2010 and for 2011 than previously forecasted. Now that business is slowly coming back, why wait to ensure that your property is ready to compete for market share? To ensure that your property is poised for success when business demand returns, now is the time to address some key areas that will distinguish your product and services from the competitors. This article will provide a few reminders to make sure that your property is poised for success when business is back. READ MORE

Matthew Rosenberger

Are Rewards Clubs for kids a good idea? The answer is a resounding YES. But how elaborate does a “rewards club” have to be, and at what age do such programs really become effective. There are many examples in the hospitality industry of marketing programs designed for kids, the Camp Hyatt, Loews Loves Kids, and Omni Sensational Kids programs come to mind. Yet most of the marketing of these programs speaks to the parents not the kids. Creating a “rewards program” for kids is essential to attracting your share of the lucrative family travel business. READ MORE

Venkat Rajagopal

Corporate or business travelers, though fewer in numbers are a very lucrative segment of the accommodation sector. It is estimated that 34 to 35% of the hotel revenue is generated by corporate travelers. The accommodation managers must be able to understand this properly and use necessary sales and marketing tactics to attract this segment to the maximum extent possible, to achieve good yield per room occupied. This article has identified five (5) top tactics to attract this segment. READ MORE

Mark Johnson

Collaboration. It's a word that's getting a lot of play lately. And when it comes to marketing, it hits the nail on the head in terms of how hospitality companies should be approaching their customer loyalty initiatives. Developing collaborative loyalty programs give hotels the opportunity to garner the depth and breadth of meaningful data about their guests that they could not mine on their own. Being armed with this more comprehensive view of consumer's likes, dislikes, spending habits, etc. helps hotel marketers better understand their guests, communicate with them more effectively, and ultimately market to them in a way that more efficiently drives the desired behavior. READ MORE

Mike Paton

With so much business being conducted "online" today, you may be tempted to let technology do all the heavy lifting for your hotel. After all, you probably get plenty of transient reservations via brand websites or TPAs, and perhaps your sales staff can barely keep up with all of the electronic RFPs you receive. Certainly, you and your sales team have had to change the way you work to accommodate the increased role technology plays in business today. But, like champion athletes, you must make sure not to rely too heavily on automation and just "go through the motions." And you shouldn't drastically change the way you work just because you're more frequently connecting with people online. Technology just creates additional ways to link buyers and sellers -- it's not meant to replace basic sales skills and old-fashioned hard work. READ MORE

Coming up in March 1970...