Ms. Locke

Architecture & Design

Professional Design & Purchasing Is a Wise Investment

By Amy Locke, Director, Interior Design, Hatchett Hospitality

In the hotel industry, good design is good business - a more stylish property generates more return visits, so it's worth more now and at the time of re-sale. However, too many owners still resist hiring a professional designer and purchasing firm because they want to save money by handling the design themselves.

Yes, working with experienced FF&E specialists costs - but more importantly, it pays. Here's how.

The Designer

An interior designer can be one of an owner's most valuable weapons in the "hotel wars" because today's travelers want more than a hotel stay - they expect a hotel "experience" from check-in through check-out.

For example, amenities that were considered luxuries just a few years ago are now "must have's" even in mid-priced hotels - things such as flat panel TV's, granite countertops, designer furniture, high speed internet service, high-quality bedding, high tech gadgets, and bathrooms many extras.

However, it takes an interior designer to put these special amenities into a proper context and an attractive look which achieves a balance between ambience and functionality, as well as between design innovation and brand consistency.

That is why most hotel chains now realize that the feelings evoked by the look of a hotel property are as much a part of corporate branding as a nice logo and catchy taglines. For franchisers, like for an increasing number of hotel owners, "interior design" is much more than "interior decorating."

Interior designers are, of course, familiar with fabrics, colors, lighting, and textures - the elements that make up "decorating" - but they also must know about a wide variety of structural aspects such as architecture, building codes, plus electrical and HVAC systems. They're part artist and part engineer.

All this makes interior design a very specialized and very holistic function - it encompasses a "whole building process," especially as hotels become more sophisticated, as government regulations become more demanding, and as owners want properties to reflect their tastes and values.

So exactly how do designers and their FF&E initiatives add value to a hotel? Consider these four significant contributions:

1. They bring an objective "outside" viewpoint to the assignment - they have a vested interest in the project, but they can be less emotional in making observations, recommendations, and decisions

2. They contribute their unique experience and perspective - they've seen many problems and solutions similar to yours, so they can apply this knowledge for your benefit

3. They have the expertise to "get it right" the first time - perhaps that means ordering the proper furniture to save you time, money, and most importantly, down time or perhaps its adding an architectural element to create a "wow" effect

4. They have established relationships and ongoing conversations with franchisers as well as with vendors - this means you can get the answers you need when you need them for that special problem or request

Beyond these qualities - which some may consider intangible - there are several specific tangible aspects of a hotel which interior designers can and should address in order to demonstrate their professional insight and to add value, both to the job and to the property:

• Comfort - by selecting furniture and lighting plus by creating space and acoustic configurations that maximize comfort

• Health - by providing an environmentally-sensitive area that ensures good air quality and a clean look

• Security and safety - by assuring that a property protects guests from man-made and natural hazards

• Reliability - by supporting the hotel with efficient, state-of-the-art heating, ventilating, air-conditioning (HVAC) systems, plus other equipment that requires little maintenance, experiences minimal loss of service, and uses less energy

• Technological connectivity - by facilitating easy and complete communication for all guests in multiple hotel locations, from public space to guest rooms, while having the flexibility to adapt the property to future technology improvements

Since you're going to partner with your interior designer for hundreds of decisions and thousands of dollars in expenditures, how do you choose someone you're comfortable working with?

The single most important qualification is reputation - be sure to check credentials with your franchisers as well as by conducting an internet search to determine what kind of media coverage the person has received.

In addition, ask the designer about a portfolio of recent projects, references from the owners and vendors associated with these projects, and length of time in the hospitality business.

The Purchasing Firm

If you consider having an in-house staff person handle your FF&E purchasing, you must carefully evaluate (1) whether that person has the appropriate experience and expertise, and (2) to what degree the person's other responsibilities will be impacted or neglected.

More and more hoteliers are coming to the conclusion that they want their staff people to concentrate on operations, on marketing, and on enhancing the guest experience - while having a professional purchasing company devote its time and skills to managing the multiple details, special nuances, and tedious paperwork of the FF&E process.

Perhaps most importantly, if you buy directly from a manufacturer, you won't get the pricing benefits and purchasing power that comes from volume buying - so you simply won't get the lower price that a purchasing company can negotiate for you.

When selecting a purchasing company, remember that every hotel brand focuses on slightly different details and requirements in its FF&E package. You want a purchasing agent who is familiar with your flag, but who will represent your interests as the owner.

Also, be aware that some FF&E companies are more full-service than others. Most just do purchasing - only about one-third can enhance the purchasing function with in-house design services, and fewer still can also coordinate the logistics of your FF&E installation and transportation.

Clearly, a full-service FF company will get you the most "bang for the buck" because design, purchasing, installation, and transportation are all centralized in one contact person. Think of this as a "safety net" or "layer of value" that you don't want your FF&E project to be without.

Perhaps you're beginning to see exactly how an outside purchasing firm adds value.

First, by helping to choose the right product for every application - and then finding the best source for that product. Experienced professionals look not only at initial price of a product, but also how well the product will hold up under active hotel usage.

For example, purchasing a table or chair or bed or other item may seem simple. However, there are literally dozens of manufacturers for every type of hotel product - not just in the United States, but in Canada and Mexico, and even in Europe, Asia, and South America.

A professional purchasing agent knows the advantages and disadvantages of these various manufacturers - including but not limited to reliability, shipping costs, craftsmanship, durability, and pricing.

As your partner in the purchasing process, your FF&E agent should explain to you the difference in "hard" costs between various manufacturers - namely, price. However, you and your FF&E agent should also review the difference in "soft" costs - namely, poor quality or late delivery - which can quickly eat up any price savings and which can actually double or triple the real cost of a product over its usable life.

There is no hard rule of thumb, but a good purchasing professional can extend your original budget by 10% to 20% - plus considerably reduce your headaches and sleepless nights.

Clearly, you want a purchasing agent who has a rapport with vendors in many different product categories - but as importantly, you want a purchasing firm who has a credit line with vendors. This is important for two reasons:

• You want to ensure that the purchasing company doesn't experience financial troubles which would put your job and your purchases in jeopardy, and

• By using the purchasing company's credit line, you can keep your credit limits available for other business purposes.

Still another question to consider when selecting an FF&E supplier is - what type of service staff does the company have?

Some companies have sales managers strategically located throughout the country who are responsible for providing customer service in their respective territory. This arrangement lets you know your service representative - and that person knows you - so you can work together closely and effectively to make timely decisions about products, prices, terms, and shipping.

The FF&E supplier you select should have an inside customer support staff that does nothing but provide service and assistance to customers. These should be detail-oriented purchasing professionals so every order, every request, and every situation receives immediate and undivided attention.

We've all heard horror stories about hotel owners who have paid for FF&E that was never delivered or that didn't meet specified quality. They probably listened to people who over-promised and under-delivered.

Don't be one of those owners - ask tough questions, then check out the answers for yourself. Reputable FF&E companies have nothing to hide and everything to be proud of - specifically, a track record of results, attention to detail, and dependable service.

After you're done with design and purchasing, don't forget transportation and installation.

Unfortunately, poor scheduling and shipping logistics can undo all the benefits of a cost effective purchase. If orders do not arrive on time and in the proper sequence, your rooms may be held out of inventory longer than necessary. And that's why you're in business - to rent rooms.

Hatchett Hospitality is one of the few FF&E companies that operates its own fleet of trucks and trailers. The benefits to hoteliers include direct pick-up from manufacturers, then staging products at a central warehouse for consolidated delivery, if necessary.

This reduces truck traffic at the job site, and also means that products are delivered exactly when they are needed for installation, not early so they can get damaged and not late so they will delay a job. Still other benefits of using an FF&E supplier with integrated transportation are reduced handling of goods and therefore reduced damage.

Installation is the final step of FF&E - and too often it's overlooked or is an afterthought. The reality is that a product is of no value to you and your guests until it is properly installed and ready to use.

Most FF&E companies don't deal with installation. A few will sub-contract the work to outside vendors. Only a very few have their own team of installers on staff and it's these firms that offer you the most advantages.

Summary

The FF&E process can bring with it considerable hassle, confusion, and frustration - but professional design and purchasing can minimize problems and get your project completed faster, simpler, and more affordably.

Amy Locke is director of interior design at Hatchett Hospitality. She works with franchisers and franchisees on a wide variety of hotel brands, styles, and themes – from economy to luxury, from resort to business conference, and from traditional to modern. Previous to joining Hatchett, she held a position in interior design with Ethan Allen Interiors. Ms. Locke earned a bachelor of fine arts degree from the Art Institute of Atlanta. She is completing a degree in feng shuiand is an allied member of the American Society of Interior Designers (ASID). Ms. Locke can be contacted at 770-227-5232 or Amy@HatchettHospitality.com Extended Bio...

HotelExecutive.com retains the copyright to the articles published in the Hotel Business Review. Articles cannot be republished without prior written consent by HotelExecutive.com.