Pivoting Your Labor Management System to Optimize F&B Revenue

By Mark Heymann Chairman & CEO, Unifocus | August 26, 2018

Hotel owners and operators have long valued use of a labor management system as a smart and efficient way to understand, control and contain its largest cost. What fewer realize however, is that an effective LMS, properly deployed, can double as a revenue optimizer in their food and beverage outlets (as well as other revenue centers). Understanding the peaks and valleys of demand and using predictive scheduling can circumvent the likelihood of queues at the door that result in would-be guests turning away in frustration. This is particularly true in competitive urban markets, where guests have other dining options nearby and are less likely to be willing to wait for service. 

Revenue-Building F&B Strategies

Historically, hotel operators have relied on several proven approaches to increase revenue in their food and beverage outlets:

  • Increasing the length of the service demand period; for example, opening early for seniors to fill open tables at low demand times.
  • Increasing prices.
  • Implementing programs that focus on increasing average check or average revenue per purchasing customer.
  • Developing a cuisine offering that draws local as well as hotel-oriented business.
  • Providing the best customer service possible, creating demand by inspiring people to return and recommend the business to others.

To that last point, delivering high-quality service is driven by an establishment's ability to have the right staff in place at the time people want to be served.  That's where an LMS with the capacity to identify and adjust staffing to high-demand periods provides a key advantage.

Optimize Your Share

Chef's Table at 3800 Ocean, Palm Beach Marriott Singer Island Beach Resort & Spa
3800 Ocean at Palm Beach Marriott Singer Island Beach Resort & Spa
Eleven Waters at Marriott Syracuse Downtown
Breakfast service at Eleven Waters, Marriott Syracuse Downtown
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Coming up in January 2019...

Mobile Technology: The Future is Now

Mobile Technology continues to advance at a relentless pace and the hotel industry continues to adapt. Hotel guests have shown a strong preference for mobile self-service - from checking-in/out at a hotel kiosk, to ordering room service, making dinner reservations, booking spa treatments, and managing laundry/dry cleaning services. And they also enjoy the convenience of paying for these services with smart phone mobile payments. In addition, some hotels have adopted a “concierge in your pocket” concept. Through a proprietary hotel app, guests can access useful information such as local entertainment venues, tourist attractions, event calendars, and medical facilities and services. In-room entertainment continues to be a key factor, as guests insist on the capacity to plug in their own mobile devices to customize their entertainment choices. Mobile technology also allows for greater marketing opportunities. For example, many hotels have adopted the use of “push notifications” - sending promotions, discounts and special event messages to guests based on their property location, purchase history, profiles, etc. Near field communication (NFC) technology is also being utilized to support applications such as opening room doors, earning loyalty points, renting a bike, accessing a rental car, and more. Finally, some hotels have adopted more futuristic technology. Robots are in use that have the ability to move between floors to deliver room service requests for all kinds of items - food, beverages, towels, toothbrushes, chargers and snacks. And infrared scanners are being used by housekeeping staff that can detect body heat within a room, alerting staff that the room is occupied and they should come back at a later time. The January Hotel Business Review will report on what some hotels are doing to maximize their opportunities in this exciting mobile technology space.