Mr. Belmonte

Executive Leadership

Hotel Check Up: Is Your Hotel Out of Tune?

By Steven Belmonte, CEO, Vimana Franchise Systems LLC

I'd like to preface my article with a story about Count Basie, the great jazz pianist. He once told an owner that he would never play in his night club again because the piano was so badly out of tune. A month later the owner called Basie and said come back, it's fixed. Basie showed up, sat down, played a few bars and slammed the key cover down in disgust. He said, "This is worse. What did you do to this piano?" "I had it fixed," said the indignant club owner. "What do you mean you had it fixed? What did you do to it?" asked the Count. "I had it painted" was the answer.

Suffice it to say, a lot of hotel owners can probably identify with this story. No matter how much paint is used or the color of the paint, it doesn't help if the hotel is out of tune. I'd like to elaborate a bit about what I consider to be the two greatest broken components that need to be tuned in our industry - personnel and marketing.

Putting an End to the Revolving Door Syndrome

I'm amazed at the current turn-over rate at a majority of hotels. It's almost as though the personnel department is like a revolving door. Instead of offering career development for leaders, hotels tend to be offering jobs for lackeys. It's my opinion that there seems to be a real disconnect between hotel owners and their staff. Throughout my career I have been approached by a multitude of owners who would brag to me that they hired a general manager for a pittance wage. On top of that, they would be tickled pink because they were able to schedule the GM to pull a shift or two at the front desk.

It is mind-boggling to hear of these situations where those hired to be the face of the hotel are treated with little respect. The low wage may be a cost-saving method in the beginning, but in the long haul, it will end up being very costly for the owners. The old adage 'you get what you pay for' couldn't ring any truer in this case. Without a true investment in a general manager, the potential for poor customer service becomes a real threat. Hotel owners and their general managers set the culture of their hotel. In essence, they establish the tone and the environment in which the employees operate. Without a positive vibe to be sent out to guests and patrons, the hotel is destined to be a shell of its potential.

While a quick paint job in this case is the constant hiring of general managers at a low wage, the real problem, in my opinion, that needs to be tuned is the reminder and realization that we are in the people business. Without a general manager that is fully-invested in creating solutions, all the expenditures and marketing and sales efforts will not give hotel owners a full return on their investment.

In many cases, hotel owners are their own worst enemies. They are sitting on a real opportunity to increase revenue, cut costs, and bump profits by just investing in their staff. It's a quid pro quo situation.

Smart business owners are realizing the full potential of providing their workforce with a lifestyle instead of just a job. By creating a balance between work and family life, employees are apt to invest more in their jobs.

Here are a few proven lifestyle incentives that employees are responding to:

• Summer jobs for children of employees
• No lay-off policy
• Flexible work schedule. Some companies are creating a four-day work week or three 12-hour shifts with every other Sunday.
• A telephone hot-line, anonymous for people to offer opinions, suggestions
• Employees donating time to fill in for co-workers with emergencies
• A savings bond as a baby gift for employees who become parents
• A cash payment for recommending new employees who last through the probationary period
• 40 paid hours a year for volunteer service to an approved non-profit organization
• 40 paid hours a year for expanded industry-related training
• Providing an instructor to teach English as a second language
• Benefits for part-time employees These are all suggestions to help fine tune the off-key piano. The proverbial paint job would have been to keep hiring employees that stay for less than a year, thus perpetuating the 'revolving door' syndrome.

On Track with Online Tuning

While employees are the key focus on keeping a well-tuned property, there are other areas that need an occasional check-up as well. With the ever-evolving technological advances taking place in the online realm, it is vital for hotel owners to ensure that their property is adopting new tools to reach a broader market. Guests have become more proactive in selecting hotels to meet their needs. They research properties online prior to booking, do comparative shopping for better bargains, and seek out ways to get rewarded for their patronage. These avenues have thrust marketing-savvy owners into the high-tech and online social networking realm to reach consumers and win their loyalty.

It is now more important than ever for hotel owners to fine tune their marketing strategies to incorporate social networking into their plans. Some owners are reaching out to the so-called MySpace generation with specialized pages on MySpace, YouTube, Blogger, FaceBook, and viral marketing on YouTube and other online share-sites. According to recent data, these social networking sites have the capability to reach larger markets than the television and print mediums combined. In addition, they provide interactivity with the user via contests, chats, videos, and comments - to name a few. These platforms provide hotel owners the opportunities to not only interact with potential guests but to keep their fingers on the pulse of what guests want from a hotel experience. By engaging web users and encouraging them to opt-in for eNewsletters, hotel owners are elevating their name in the psyche of online users.

Many hotels outsource their websites to web management companies. This can be a cost-saving method but unless someone from the property is on top of providing updated information, the pennies saved could come back to bite, especially if outdated information and prices are listed.

Making sure the hotel's website is up-to-date with updated photos and news releases is a surefire way to let the public know what is going on at a hotel. If hotel owners are not on top of their websites, they are certain to suffer from a loss of business. I would strongly recommend that someone at the hotel be given the responsibility of keeping the hotel's website up-to-date and emails and comments be answered promptly.

Keeping the Piano Tuned

I hope I have helped identify and solve the two biggest problems that face our industry for the foreseeable future - a committed, trained, aggressive, knowledgeable work force that wants to build a career in the lodging industry and an online presence that encourages interactivity and user loyalty. While both subjects are separate from each other, they most definitely play a role in keeping hotels healthy and finely tuned. A dedicated and committed staff is going to keep the workplace morale in good standing and a robust online presence will let the public know that the hotel is continuously generating promotions, special web deals, and updated news about the property to better serve them.

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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