Down Market: Growth is Still Possible

By Kristi White Director of Revenue Optimization, TravelCLICK, Inc. | January 27, 2012

Recent statistics from the hospitality industry are grim. Occupancy declines range from a low of 9.8% in Europe to a high of 14.4% in Asia Pacific, average daily rate (ADR) declines range from 3.0% in the Middle East to 17.9% in Asia Pacific, and revenue per available room (RevPAR) declines range from 14.9% in the Middle East to 29.7% in Asia Pacific. What can your hotel do to buck this trend and recover-sooner rather than later?

Two opportunities are apparent for recovery:

  • look for business outside of your normal comfort zone, and

  • protect one of your most precious assets, ADR, to position your hotel to recover more rapidly when demand levels begin to rebound.

Your Comfort Zone

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Coming up in March 2019...

Human Resources: An Era of Transition

Traditionally, the human resource department administers five key areas within a hotel operation - compliance, compensation and benefits, organizational dynamics, selection and retention, and training and development. However, HR professionals are also presently involved in culture-building activities, as well as implementing new employee on-boarding practices and engagement initiatives. As a result, HR professionals have been elevated to senior leadership status, creating value and profit within their organization. Still, they continue to face some intractable issues, including a shrinking talent pool and the need to recruit top-notch employees who are empowered to provide outstanding customer service. In order to attract top-tier talent, one option is to take advantage of recruitment opportunities offered through colleges and universities, especially if they have a hospitality major. This pool of prospective employees is likely to be better educated and more enthusiastic than walk-in hires. Also, once hired, there could be additional training and development opportunities that stem from an association with a college or university. Continuing education courses, business conferences, seminars and online instruction - all can be a valuable source of employee development opportunities. In addition to meeting recruitment demands in the present, HR professionals must also be forward-thinking, anticipating the skills that will be needed in the future to meet guest expectations. One such skill that is becoming increasingly valued is “resilience”, the ability to “go with the flow” and not become overwhelmed by the disruptive influences  of change and reinvention. In an era of transition—new technologies, expanding markets, consolidation of brands and businesses, and modifications in people's values and lifestyles - the capacity to remain flexible, nimble and resilient is a valuable skill to possess. The March Hotel Business Review will examine some of the strategies that HR professionals are employing to ensure that their hotel operations continue to thrive.