Mr. Belmonte

Executive Leadership

Employing Charitable Causes: Build a Better World and a Better Business

By Steven Belmonte, CEO, Vimana Franchise Systems LLC

In the never ending quest to gain market share in a highly competitive business, hoteliers are, unfortunately, being seduced into what I call the "amenity game" to build and secure a form of loyalty with customers. An example of this game is when Hotel Brand X puts coffee makers in every room, then Hotel Brand Y feels the need to 'up the ante' with automatic pant pressers. While the seduction for fancy gadgets or basic amenities is an enticing lure, customers today are still not fully satisfied with self-indulgent benefits. According to studies, they feel a need to do more - to make a difference in the world.

The global and information community is getting smaller via the Internet, travel, and abundance of media outlets. As a result, the awareness of the plight of the needy, sick, environment, and endangered species is more acute. Therefore, it's not surprising that many times when a customer is deciding between hotels that offer similar products, the tie-breaker most often isn't the state-of-the-art fitness center but the hotel's program that is making a difference in the world. An example would be those that are directly supporting global welfare initiatives, green issues, and/or health research programs.

The consumer marketplace is being transformed by a generation of socially-aware individuals who would like to see companies they patronize and work for take the lead in making the world a better place. Surveys have long validated the growing power of the baby boomer generation, and businesses should not dismiss those unique wants and needs. On top of that, the younger Generation Y members are voicing their desire to embrace causes they are passionate about. To the hotelier, this means that guests and employees want a promise of social vision and to be a part of a brand that advocates social improvement.

That promise is generally referred to as strategic philanthropy, or, corporate giving; that is, when a company makes a long term investment in the cause that not only does good in society, but also enhances the company's reputation with key audiences. Some forms of strategic philanthropies are already engrained in the public's consciousness - such as the eponymous Ronald McDonald House and McDonalds Restaurants; environmental causes and Ben and Jerry's Ice Cream; and Home Depot's involvement with Habitat for Humanity. Those carefully selected charities are a logical extension to those companies' primary businesses.

The megahit Hollywood movie, Field of Dreams, provided us with the cherished line "if you build it, they will come." In many instances, the adage is dubious at best. We all know that building a hotel or restaurant does not mean people will instantly start flocking to it. However, in the cases where businesses are already built and established, the movie line couldn't be truer. Many hotels that have embraced a form of strategic philanthropy are not only building a better business, but a better world at the same time.

Joining forces with a charity and putting the weight of the brand behind the philanthropic mission should be a no-brainer for hoteliers. I truly believe that 99.99% of guests can relate to charitable endeavors, regardless of the cause. Here's an example of how interconnected consumers are with charitable causes:

• For global welfare initiatives, almost everyone has seen a picture or television commercial or news report of starving children in undeveloped countries.
• For health issues, according to studies, one out of three people have a close relative or friend who has battled cancer or heart disease.
• For housing issues, the devastation Hurricane Katrina and the 2006 tsunami left millions of people homeless. Those stories of loss and destruction have been broadcasted and reported on nearly every major media platform.
• For animal issues, it is well documented that over 1,000 species are on the endangered species list.
• For green and environmental issues, these are so popular that they have become focus points in the upcoming Presidential election. These are just a few of the many causes that have become front-and-center in our collective social consciousness.

I have always stated that the hospitality industry has long been defined as a 'people' business - one that puts the needs of the guests before all else. But today, we can take it a step further. Our industry is also in the 'hope' business. We have the corporate weight and muscle to provide enormous backing for the charity of choice. Each of us have a continual flow of customers, a well-planned national marketing/communications/advertising agenda that could be used to showcase our partnership with charities, a host of employees that would welcome an opportunity to volunteer for organized charity events, and a location to host events. In return for providing these elements to the charity of choice, you are building a solid reputation with the public as a business with heart.

There is a plethora of causes hoteliers can embrace as a charity of choice. I would recommend one that makes smart business sense as it relates to its brand and community. For independently owned and operated hotels, a wise consideration would be partnering with or lending support to a cause that benefits the local community.

I would also encourage hoteliers to make their involvement with a charity a part of their marketing and advertising plans. The more the public knows about it, the more likely they are to join you in making a difference.

And finally, I would encourage the participation of employees. Getting them involved in a project that makes a difference in the world can provide a renewed sense of corporate pride, which in turn is reflected on the guests.

As a cautionary note, there is the reality of corporate-giving overload. That's why it's important to find only a handful, or just one, charities to lend your name, energy, funds, and efforts. By giving them 100% of your commitment, you'll easily see that, indeed, you really can make a difference in the world - whether it's just to one person, an entire community, or the planet - it's a difference that wasn't there before. And customers will respond positively to that.

Vimana Franchise Systems LLC is a hotel franchise company owned by CEO Steve Belmonte, President Neal Jackson and Vice President Cory Jackson Jr. In May 2011, Vimana Franchise Systems launched the Centerstone brand as a three-segment franchise designed to create a fair and cost effective model for the hospitality industry. In November 2011, Key West Inns was re-launched under the Vimana Franchise ownership umbrella as a fun and uniquely themed leisure brand. For more information on Vimana Franchise Systems LLC, contact Steve Belmonte at (407) 654-5540 steve@vimanafs.com. Visit Vimana Franchise Systems online at www.VimanaFS.com. Visit Centerstone online at www.centerstonehotels.com, on Twitter at @Centerstonehtls, or on Facebook at www.facebook.com/Centerstonehotels. Visit Key West Inns online at www.staykeywesthotels.com, on Twitter at @StayKeyWest, or on Facebook at http://www.facebook.com/staykeywest. Mr. Belmonte can be contacted at 407-654-5540 or steve@centerstonehotels.com Extended Bio...

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