HOTEL BUSINESS REVIEW

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Gary Henkin

In Part I of our series on spa development, the importance of planning, the value of feasibility studies and avoiding design pitfalls was discussed. As mentioned previously, it is crucial to proceed cautiously when planning your spa and to ensure that there has been enough due diligence to make the most appropriate decisions regarding size, scope and potential location. As critical as it is to offer the most aesthetically pleasing and functional space through a thoughtful and comprehensive design process, it is equally important to "stage" your spa for a smooth and successful launch. This requires a focus on what the ultimate objectives will be and a definition of how the spa will ultimately operate in presenting itself for guest and public use. Questions such as how to maximize revenue and profits, and how the spa can best impact room nights and yield should be addressed. READ MORE

Gary Henkin

In order to ensure that a hotel or resort spa will offer a truly memorable experience while maximizing revenue and potential for a positive bottom line, one item is of critical importance. Perhaps the most important decision that will influence the success or failure of a spa operation is to select staff that will "make a difference". Putting it another way, will guests and other spa patrons remember their experience as one that is delineative and memorable in some way, and one they wish to share with spouses, friends or colleagues? Spas may be beautifully designed and have a wonderful and diverse menu of services; however, if the staff aren't really attuned to their customers, friendly in their demeanor and well trained, the entire spa experience can be ruined before it ever starts. In our view, staff selection and training is the make or break decision for most spas and leisure facilities. Yet, in many cases, not enough time, effort or emphasis is placed on this crucial area. READ MORE

Kevin Batters

Most, if not all, of the major hotel companies have restaurants in their hotels. This allows for a fantastic opportunity and advantage when creating a unique banquet menu. The attitude my team has taken, is to reflect the theme of the restaurants at each property and allow this style to flow into banquets. Food and beverage directors must take great care and place major emphasis on not offering generic fare and items that seem to be on so many catering menus. READ MORE

Steven Ferry

Kiss goodbye to the products your spa sells, or even vitamins from the supermarket. Codex Alimentarius is Latin for "laws governing what people may put down their throats" - and by extension, manufacture, sell, discuss, and possess on the subject. The requirements of Codex Alimentarius will come into full force worldwide on 31 December, 2009. Each country involved in a trade dispute under the aegis of the World Trade Organizaton, will automatically lose its case if it is not compliant with Codex Alimentarius, irrespective of the merits of the case it is disputing. This is forcing every country to align its national/state laws with Codex. READ MORE

Gini Dietrich

How many hotel trade shows do you attend each year? I'm willing to bet you attend the big ones - NYU Investment Outlook, ALIS, and the Lodging Conference. Some of you probably even attend NABHOOD and the specific brand shows. So how do you get visibility for yourself and your company among the thousands of people who attend each year? READ MORE

Bill Morrissey

There are many external factors that can unexpectedly and negatively affect the business and brand, such as a food borne illness outbreak, labor dispute, or traumatic newsworthy event. Acts or situations that oftentimes happen outside the control of hotel management can have long-lasting damaging effects on the property. How the management team and brand respond to such issues when they happen is critical, and having a trained team with a crisis or issues management preparedness plan at the ready can be the difference between defending the brand versus seeing it destroyed when under attack. READ MORE

Scott B. Brickman

One of the first things guests notice upon arriving at a hotel is its landscaping. It is also one of the most crucial - and overlooked - aspects of building customer satisfaction. Since repeat guests are your best customers, it is important to maintain a fresh new look that will keep them entertained and returning for years to come. But keeping your landscape fresh and up to date with changing seasonal aesthetics is challenging for many hotel executives - especially in areas like Southern California and Texas where there is little seasonal variation to the landscape. Color, climate and different light exposures all factor into the design and maintenance of an interesting landscape with a year-round aesthetic interest. READ MORE

Richard D. Hanks

Chances are you're familiar with early 20th-century Italian economist Vilfredo Federico Damaso Pareto. Doesn't sound too familiar? Perhaps the "Pareto Principle" rings a bell? Maybe you recognize it as the "80/20 rule." Pareto discovered that 80 percent of the land in Italy was owned by 20 percent of the population. That ratio seemed to manifest itself in other areas too, and today is widely adopted by businesses as a rule of thumb in many areas. For example, more often than not, roughly 80 percent of your sales will come from 20 percent of your client base. For the lodging industry, this is a critical rule. Your loyal customers will look for your brand in every city they visit. If you really treat them right, they will go out of their way to find your hotel, even if it's in an inconvenient location. READ MORE

Georgi Bohrod

Think about your last hospitality design and construction challenge. Where did you start? Was it budget-driven? Was it program driven? Was it customer driven? Investor driven? HOA Board driven? Was it the same place as your previous deal? Will the next project be the same? Ask yourself? Is it time to make a change? From a public relations perspective, it is not all about the sticks and bricks. It is all about delivering on the promise. So, from the marketing perspective it makes sense to coordinate all the functions of hospitality, design, operations and development to offer the most comprehensive guest experience. READ MORE

William A. Brewer III

Today's business is sophisticated, complicated, and dependent on the legal system. Gentlemen's agreements have given way to written contracts devised by law firms, and the hotel industry is a prime example. Business transactions are generally arm's-length affairs where each side bargains in their own self-interest. Agency relationships, however, are entirely different. Many hotel managers drive hard bargains to include a provision in their management contract that expressly disclaims the existence of an agency relationship. READ MORE

Jane Segerberg

Is your property's spa capture rate growing? Of course, higher capture rates deliver higher revenues and more happy and loyal guests. During your hotel/resort's budget process each year it becomes more apparent that in order to increase the spa's revenues, the property and spa need to seek opportunities to capture more business. READ MORE

Dee Dee Dochen

Picture this: you are an established hotel owner, management company or general manager facing a threat to your business reputation that necessitates your putting everything aside. All that time and money you spent on establishing a justifiably terrific image...all the great goodwill and positivity you created... where did it go? A reputation "hit" to an abundant image bucket stands the chance of puncturing a hole so gashing that you have no idea how you're going to keep all that positive reputation from draining completely away. Business could plunge. Your company's or your hotel's reputation could be dangerously on the line. READ MORE

Peter Goldmann

"Ethics" means doing the right thing every day - even when no one is watching. So you think you're ethical? If you own the company, do you run personal expenses through the company? If you're an executive, do you turn in padded expense reports? If you do, these thefts will inevitably become common knowledge among all of your employees. And employees take their cues about what's acceptable behavior, and what's not, from those above them. READ MORE

Maurice Martin

Today's savvy consumers not only compare your brand and your online offerings with your competitors; they compare you against every other site on the Internet. New capabilities are emerging every day on the big consumer sites that the hospitality industry will soon have to emulate. Hotel brands must produce and maintain an integrated offering that neatly presents all properties and services, while providing a best-in-class user experience. Customers expect that offering to include advanced features: online reservations, loyalty program redemption, local restaurant recommendations, tickets to attractions, smart profiles and much more. The demands on IT organizations are rising dramatically yet few hoteliers maintain the internal resources to stay competitive on a rapidly changing e-commerce playing field. In fact, many IT budgets remain flat or are in decline, forcing companies to turn to lower cost delivery models like offshore development as a cost-effective way to augment staff. But is this model really viable? READ MORE

Amy Locke

"Design" is the new buzz word in hotel FF&E, but exactly how does an interior designer add value? The textbook definition tells us that an interior designer enhances a hotel with better space planning, more stylish decorating, and more effective furniture placement. The property is worth more and guests rate their visits more highly. That should probably be enough to consider using the skills of an interior designer in your next hotel project. However, the marketplace reality goes much further - in today's crowded hospitality environment, an interior designer is vital in helping your hotel not just stay competitive but actually increase market share. A more up-to-date property generates more return visits and can achieve higher room rates. READ MORE

Coming up in March 1970...