HOTEL BUSINESS REVIEW

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Jane Segerberg

Thirteen years ago, when I entered the Spa Industry as the manager of a new Resort Spa, the number of spas and spa-goers were few and having a spa at a hotel or resort was a novel amenity that was not expected to be profitable. Soon it was realized that there was a demand for the spa experience along with greater expectations. Hotels and resorts then began to take the bull by the horns and realize that not unlike their other retail outlets; good concept planning, management and marketing were important to the spa's success. With the change in the spa's financial expectations came spas that were managed and marketed with increasing know-how. READ MORE

Jane Segerberg

As everyone in the Hospitality Industry knows, our guests arrive with more than their luggage - - they also have their own personal baggage, which in turn interferes with their immediate enjoyment of their hotel-resort experience. Your hotel-resort spa is one of the quickest ways to help guests shed themselves of their stresses and begin to relax and appreciate the hotel-resort and its amenities. Spas are no longer a frivolous amenity to a hotel-resort. According to the International Spa Association's Spa Industry Survey conducted by Pricewaterhouse Coopers, spas are a booming industry that will continue to grow. READ MORE

Jane Segerberg

You are probably reading this because you are anticipating building a spa within your hotel/resort property or you currently have a spa that could improve its performance. In the short history of spas in hotels and resorts, the definition of success has changed dramatically from a hotel amenity that should break even to an amenity that adds to the resort/hotel's market appeal, guest satisfaction and profit. Spas remain a very small portion of the overall hotel/resort gross sales, however, spa sales have risen and overall resort/hotel spa profits have risen dramatically. READ MORE

Arthur Weissman

The biggest obstacle to greening the hospitality industry - that is, trying to make its operations (including purchases) more environmentally sustainable - appears to be its presumption that being green has no real business benefit. In previous articles in this series, we have made a number of points to show ways in which greening can increase business revenue and reduce costs, but a more formal business case still needs to be made. In this article, we will discuss why such a business case is needed; what does and does not constitute a business case for greening; efforts to date to make the case; and what still needs to be done. READ MORE

Jane Renton

"Never relinquish clothing to a hotel valet without first specifically telling him that you want it back." Wits and wags throughout the ages have made much fun at the expense of hotels, usually for their failings. Oscar Wilde, while lying in a Parisian hotel, famously said, "Either that wallpaper goes, or I do." He died before the d'ecor was changed, or so the story goes. But, it is rare to find a joke about the failure of training. In suggesting that a hotel valet might need reminding to bring her clothes back, the American writer Fran Lebowitz may have made the only one about a subject that can be, after all, dreadfully dry. Or is it? Beyond someone simply looking for a bed for the night, the number one desire of most hotel guests, I believe, is to feel good. That may mean different things for different people but, overwhelmingly, it means, first and foremost, to be treated well, not by things but by people. READ MORE

Steven Ferry

How does one turn individuals from no matter what culture, country, familial and social background, who follow certain moral codes or not, into the epitome of a British butler and the quintessential service provider? Not a question most people ask, but it is one that has challenged trainers at the International Institute of Modern Butlers and which parallels the task facing trainers around the world trying to bring about some standardized level of high-quality service by employees in their hotels. We look for those with a service heart, with service experience, with some starting point upon which to hang the service culture established by corporate. And the result is generally mixed, ranging from very good to passable, more often the latter. Perhaps nowhere is it more important to think globally and act locally than in the hospitality industry of a global economy. READ MORE

John Tess

Recently, HVS International completed a nationwide study of over 120 historic hotel properties with a total of 27,935 rooms, comparing their operating performance against national averages. Their findings: Historic properties have outperformed national averages in both occupancy and average rate levels. This performance is particularly evident in superior revenue per available room levels. HVS ascribes this result in part to the more affluent nature of the patrons of historic hotels. Of particular value is providing a hotel alternative to "cookie-cutter" lodging experiences, often supported with added value by leveraging the historic character of the property with unique interpretive programs. This perspective is supported by a Travel Industry Association of America 2003 market study that noted a general increase in the travelers' desire to experience cultural, art, historic and heritage activities. The study revealed that 81% of travels who took a trip away from home in 2002 included at least one such activity in their trip. READ MORE

Peter Goldmann

Hotels, restaurants, casinos and resorts are notoriously desirable targets for thieves and con artists, mainly because of the large sums of cash flowing through these businesses. And, indeed, statistics do show that theft and fraud take a serious financial toll on the bottom lines of most hospitality entities. According to industry statistics, as much as 5% of annual food and beverage revenue is lost to fraud by hospitality companies. The good news is that there is a lot that hotel management can do to prevent and detect illegal activity that they're not doing now. READ MORE

Lynn McCullough

More often than not, your meeting planner clients will come to you with a set budget for their event-with set parameters for what they want in terms of food and beverage, decor and logistics. While it is good when clients know what they want, it is also good to suggest ways to enhance their event so that they look even better-and equally as important, these enhancements can improve a facility's bottom line. That is where upselling comes in. READ MORE

Steve Kiesner

With the cost of all energy supplies rising, the nation's electric power industry is committed to ensuring that electricity, one of our most versatile energy sources, remains affordable and reliable. We are investing in the nation's electricity system today. And we are advocating public policy positions to ensure that the supply of electricity can meet the country's ever-growing demand tomorrow. These supply-side measures will take time, but they are essential to keeping electricity affordable and reliable. In the meantime, hotels, and indeed all electricity customers, can help by making sure that they are getting the most value they can from each dollar they spend on electricity. READ MORE

Jane Segerberg

During the current era of "infatuation with anything spa", it seems contradictory to mention the possibility of the implosion of spa businesses. After all, spas are still the "hot topic" and a highly desired and sought after travel and vacation experience. The reality is the Spa Industry has crossed the bridge from "build it and they will come" to consumer accountability, internal controls and business sustainability. Spas are more prolific now than five years ago. Spa consumers are increasing in numbers and spa consumer expectations are rising. With more spas and more savvy spa consumers, it is a time in the Spa Industry in which the cream will rise to the top and all others will fall by the wayside. READ MORE

Laura K. Christa

Across the United States municipalities are suing Internet travel companies including Orbitz, Expedia, and Travelocity over hotel bookings. The reason? What they claim is a substantial underpayment of occupancy taxes. Cities like Los Angeles claim that the online sites pay occupancy taxes to the hotels based on the discounted rate at which they purchase or arrange rooms for the hotel, not at the alleged "retail" rate that they charge the customer. They claim the difference can amount to millions that rightfully belong in city coffers. Are the lawsuits a slam dunk? Not according to the Internet companies. They claim they merely add a service fee to the room rate and pass that charge on to the customer. READ MORE

Bruce Fears

Are your company's training sessions designed to inspire maximum creativity, innovation and productivity? In a successful session, participants are actively engaged, groups are collaborating successfully and energy levels are high. A successful meeting or training can help improve overall quality and produce results that ultimately contribute to the bottom line of your organization. Don't expect this article to give you the usual dry academic concepts. My goal is to share with you ideas that have sprung from real-life situations where goals have been met in new and exciting-and sometimes unconventional-ways. READ MORE

Peter Anderson

Medical spas today are highly inclusive and are anchored in various health care modalities, best described as something that is "more significant than" the traditional fluff and buff spas (i.e., small pores, great hair and perfect nails), and "less serious than" medical procedures that manually redistribute ones fat cells. "Medical Spas" and "Wellness" are first cousins with some very interesting family ties. Simply put, the definition of "spa" and "medicine" are both developing into areas that have a huge amount of tangible overlap. A savvy resort operator and hotelier can use this trend to his or her advantage to extend demand during low and shoulder periods, increase rate premiums with minimal capital expenses, enhance revenue from other profit centers at the hotel or resort, and double or even triple the average length of stay. READ MORE

Lynn McCullough

No matter how organized you are, or how much advance preparation you put into a show or how much attention to detail you apply, sometimes it is impossible to avoid the proverbial operations snafu. Or is it? As a fellow show organizer, I follow virtually the same routine as you do when planning a meeting and it's a safe bet that we use a similar checklist. However, whether you have five years of experience or 25, when it comes to show operations, everyone can use some help avoiding simple and possibly costly mistakes. In this article, members of the Association for Convention Operations Management (ACOM) share a few seemingly obvious but often overlooked tips which you can use when planning your next event. READ MORE

Coming up in March 1970...