HOTEL BUSINESS REVIEW

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Brenda Fields

Small, independent hotels have the added challenge of limited marketing resources as they are typically established as a percentage of revenues. Therefore, each dollar spent and each strategy implemented must be efficient and produce the greatest ROI. This article addresses the key components to establish a plan; how to effectively evaluate its effectiveness; and how and when to change course, without "knee-jerk reactions". READ MORE

Brenda Fields

Boutique hotels are a relatively new concept to the hotel industry. Until the early 90s, the standard model had typically been a large full-service hotel with numerous banquet and meeting rooms. The large size and its economies of scale, helped insure greater profitability. Along came the concept of boutique hotels which was contrary to that formula. The typical boutique hotel is less than 100 guest rooms, limited service, zero to one boardroom, and any food and beverage outlets are generally outsourced. The emphasis in boutique hotels is on selling guest rooms (where the profit margins are significantly higher than in banquets and meetings) by enticing a guest with its high design, the promise of a unique experience, and lower rates. READ MORE

Brenda Fields

Hotels are performing well despite service and product issues, and in many cases, despite poor sales department work habits. So, when we know that the supply/demand dynamics can change and do change, then why be complacent with short term results and accept work habits that would not be acceptable in any other department? A few simple tips can help protect your investment as an owner and insure optimum performance as a manager. READ MORE

Brenda Fields

Technology has brought numerous advantages to conducting business, including servicing existing customers and in reaching new markets. But as a service industry, it is important to ensure that technology is used to enhance guest satisfaction, especially in the case of free-standing boutique hotels. One key factor that differentiates boutique hotels from large or chain affiliated hotels is its personalized service. Therefore, in order to benefit from the many applications of technology (i.e. reducing expenses, generating demand, and increasing guest satisfaction), and to simultaneously maintain the personalized services characteristic of boutique hotels, it is important for owners and managers to re-think and evaluate the following key areas... READ MORE

Brenda Fields

Catering sales in small, boutique hotels can conservatively, represent 50% of the total food and beverage revenues. So achieving catering revenues can make the difference between food and beverage profitability and food and beverage loss, and can significantly impact total GOP. One of the biggest challenges in small hotels is to clearly define catering responsibilities. Does it belong with Food and Beverage or does it belong with Sales? Is it an operations function or a direct sales function? Over the years, customer needs and tastes have evolved, and new competition has emerged with demand for free standing restaurants, lofts and penthouses, and tourist attractions. With the many venue choices for customers, it is important to understand how to drive business into your venue. And with the impact on GOP, it is important to maximize those revenues generated. READ MORE

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