Winter 2018 Small-minded Brands bet big on micro rooms Private matters Behind the Marriott data breach

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Deutsche Hospitality.indd 1 19/12/2018 09:34 From the editor

On the web... Keep up with the latest developments across the hotel industry by visiting www.hmi-online.com Phin Foster, editor Great expectations

ravel has long been prescribed as speak to some of the biggest names in a cure for life’s ills, but even the the industry, including Rosewood’s Niamh most evangelical jetsetter could O’Connell about the challenge of rising to Hotel Management International T not have foreseen the extent to which ever-increasing guest expectations and Winter 2018 wellness tourism would rise to prominence how operators are positioning themselves EDITORIAL over recent years. According to the Global to leverage the benefits that this booming Editor Phin Foster [email protected] Wellness Institute, the $639-billion wellness market has to offer. Chief sub-editor Thom Atkinson travel market’s annual growth rate of 6.5% Booming markets are something Sub-editor Dale Hogan Senior feature writer Greg Noone during 2015–17 is more than double the European hoteliers can never get enough Feature writers Grace Allen, Tim Gunn Production controller Steve Buchanan figure for tourism overall. World travellers of, but in many cases, things have been Group art director Henrik Williams made 830 million wellness trips last year, so good for so long, a number of investors Designers Sandra Boucher, Martin Faulkner 139 million more than in 2015 – and these and operators are starting to give far more COMMERCIAL trips represent 17% of total expenditures. thought to exactly where we sit in the Copy coordinator Melissa Parkinson Publication manager Richard Pollard While the US and Europe continue to current cycle. We travelled to Deloitte’s Subscriptions marketing manager enjoy record revenues, wellness tourism European Hotel Investment Conference Dorothy Musariri Publisher William Crocker growth is also a tale of developing markets, to hear industry leaders, including Keith with Asia-Pacific, Latin America-Caribbean, Barr of IHG and ’s Middle East-North Africa and sub-Saharan Federico González, debate how current

Hotel Management International is published quarterly Africa all clocking robust gains, and success can be sustained, as well as by Compelo, which is a member of the Audit Bureau of Circulations, and is an official publication of the accounting for 57% of the increase in what lies further down the road. European Hotel Managers Association. wellness over the past three years. Over But as well as looking at the big picture, Registered in England No. 09901510. the past five years, Asia has proved the sometimes it’s good to think small. Global John Carpenter House, John Carpenter Street , EC4Y 0AN, UK number one gainer in wellness tourism brands are placing major bets on micro Tel: +44 207 936 6400 Fax: +44 207 411 9800 trips and revenues. hotel rooms in an effort to appeal to the www.compelo.com www.hmi-online.com At the heart of this trend sits the hotel, younger generation of travellers who ISSN 2041-2452 © 2018 which is now the fastest-growing spa want an affordable experience that doesn’t Published in association with: segment worldwide. Operators are offering sacrifice comfort or privacy. We discuss All rights reserved. No part of this publication may be unprecedented options when it comes to this trend with Hilton’s Tripp McLaughlin, reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, photocopying or otherwise, treatments and programmes, but are also ’s Carlo Del Mistro and Pod without prior permission of the publisher and copyright owner. While every effort has been made to ensure the accuracy of the coming to understand that wellness is, Hotels’ Richard Born. information in this publication, the publisher accepts no responsibility for errors or omissions. The products and services in many cases, an extension of guests’ Those are just some of the highlights advertised are those of individual authors and are not necessarily endorsed by or connected with the publisher. The opinions daily health regimes, which may include contained within. As always, I hope you expressed in the articles within this publication are those of individual authors and not necessarily those of the publisher. consciousness and mindfulness techniques, enjoy our latest edition and greatly look The 2018 US annual subscription price for Hotel Management International is $164. Airfreight and mailing in the US by agent named Air Business, c/o WorldNet Shipping Inc, 156–15, or personal trainers. For our cover story, we forward to hearing your thoughts. 146th Avenue, 2nd Floor, Jamaica, New York, NY11434, US. Periodicals postage pending at Jamaica NY 11431. US Postmaster: Send address changes to Hotel Management On the cover: Four Seasons Resort Bora Bora, French Polynesia International c/o Air Business, c/o WorldNet Shipping Inc, 156– 15, 146th Avenue, 2nd Floor, Jamaica, New York NY 11434 US. Subscription records are maintained at Compelo, 40–42 Hatton Garden, London, EC1N 8EB, UK. Also in this issue Air Business Ltd is acting as our mailing agent. Page 32: Patrick Kingsland speaks to industry SUBSCRIPTIONS executives about independent midscale hoteliers. Single issue price: UK £31 EU €47 US $62 RoW $80 One year: UK £80 EU €125 US $164. RoW $167 Page 39: Experts discuss the Instagram effect Two year: UK £127 EU €198 US $261 RoW $266 and the ways designers are adapting to best Tel: +44 (0)845 073 9607 (local rate) employ the platform. Fax: +44 (0)207 458 4032 Email: [email protected] Page 44: Chloe Scott-Moncrieff speaks with Peggy Address: Compelo, Riverbridge House, Ground Floor, South Tower, Anchor Boulevard. Crossways, Kent DA2 6SL Chan about her plant-based hospitality empire that currently spans three continents. Printed by Stephens & George Print Group Visit www.hmi-online.com

Hotel Management International | www.hmi-online.com 3

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SDI.indd 1 19/12/2018 09:37 Contents

Cover story 48 20

A look towards the future at EHIC.

35

The ‘software approach’ operators in the spa industry are implementing to stay ahead of market demands. Why big brands are looking at small hotel rooms.

17 The perfect balance of caution is now creeping in The intelligence between business with signs of slowing growth and leisure and a shift in the profile of 8 News & vital statistics Meliá Hotels International investors. Andreas Scriven, lead partner, hospitality and 10 Middle Eastern promise 19 Innovation in hospitality leisure at Deloitte, and Peter The Israeli hotel market is going Worldline Szabo, associate at HVS Hodges through something of a boom period, Ward Elliott, give Patrick with performance hitting impressive 20 The bigger picture Kingsland their insights. levels in both city and resort Deloitte’s European Hotel destinations. Hotel Management Investment Conference 26 Push it forward International’s partners at STR break encouraged delegates to consider Hotels president of down the figures. the long view in an environment Europe Franck Gervais, COO where it can be all too easy and founder of citizenM Michael EHMA to become distracted by more Levie, Hilton president of immediate concerns. Hotel EMEA Simon Vincent, and Andrea 12 The finer details Management International Jones, senior vice-president Hans Koch discusses the travelled to the Dorchester of international development at importance of creating a hotel in London to hear some of the Marriott, discuss the ways their restaurant that can stand as sector’s biggest names, including brands remain focused on the its own unique endeavour, while IHG and Radisson Hotel Group operations of the future. maintaining the ambience. CEOs Keith Barr and Federico González, look beyond Regional focus the current cycle and debate Business management & development challenges and opportunities coming over the horizon. 29 In the face of adversity Despite ongoing political and 14 A lighting control 23 Proceed with caution financial instability within the partner for hospitality After another strong year of hotel country at large, the numbers Simon performance in Europe, a sense for the Italian hotel market

Hotel Management International | www.hmi-online.com 5

HMI077_102_Contents_USE THIS ONE.indd 5 19/12/2018 16:07 Contents

continue to look relatively striking and unique design to collectively account for 6,000 healthy. However, with attract customers. We hear from properties in more than 100 transaction volumes down experts on the Instagram effect countries and employ 220,000 this year on 2017 levels, how is and the steps designers need to people globally. Meenal Sachdev, the investor profile changing, take to maximise this new source founder and director of the where are they looking to get of exposure. Shiva Foundation, outlines deals done and how attractive is the network’s formation, the hospitality segment compared 43 LED is a light that and highlights its ten to other real-estate opportunities? never goes out recommendations for With the help of Colliers Visive Group combatting modern slavery International, Hotel Management in the hospitality sector. International takes stock. Food & beverage Technology Special report 44 Healthy profits For chefs at all levels, 55 Into the breach 32 Soft sells vegetarianism and sustainability has fallen Soft brands have enjoyed can no longer be considered victim to the second-largest significant success in the luxury niche concerns. Chloe Scott- data breach ever recorded. In segment in recent years, but a Moncrieff talks to restaurateur this paradigm-shifting moment number of operators are switching and activist, Peggy Chan, about for the hospitality industry, their focus to independent blazing a trail for plant-based Tim Gunn brings together midscale hoteliers, launching eating, and a hospitality career what we know so far to assess new offerings that promise the spanning three continents and a what hoteliers need to learn retention of independence and number of different incarnations. from the hack and how they the ability to leverage global can balance data security scale. What accounts for this 47 Better by design with more traditional customer- shift and how can the concept Sleep + Eat facing goals. be adapted for a segment more associated with consistency Guest amenities 58 Ready, set, go and standardisation? Patrick LG Kingsland speaks to Philippe Bijaoui of Wyndham, Hilton’s 48 All’s well that starts well Directory Mark Nogal and hotel consultant The wellness industry is Bjorn Hanson. booming and hotels at all levels are looking to benefit. However, 60 Product showcase Operations increased opportunities also mean an increasingly savvy 61 Index guest demographic demanding 35 Size does matter something genuinely new and Global brands are betting big on different. Paul King speaks to The insider small hotel rooms in an effort to global spa leaders about the appeal to the younger generation challenges of meeting those 62 Further afield of travellers who want an demands and why operators After almost 50 years in affordable experience that doesn’t must adopt a ‘software the hotel industry, finishing sacrifice comfort or privacy. approach’ when it comes his career as GM of The Hilton’s Tripp McLaughlin, to devising and delivering Churchill in London, and Premier Inn’s Carlo Del Mistro appropriate programming. International’s VP for UK and and Pod Hotels’ Richard Born Ireland, Michael Gray retired make small talk with Elly Earls. from front-line service in March Security 2016. However, he remains the Design UK and Ireland national delegate 51 Break the system for EHMA, is committed to In 2016, Shiva Foundation growing membership beyond 39 Under the influence brought together a diverse group the UK capital and will be The rising popularity and of hospitality players to create visiting hoteliers across the influence of Instagram has the Stop Slavery Hotel Industry region throughout 2019 in an required hotels to invest in Network, whose members effort to promote its benefits.

6 Hotel Management International | www.hmi-online.com

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LG Page 1.indd 1 19/12/2018 09:39 The intelligence > News

News

EXPANSION Orbis’s growth in , then managing director of Europe, is to in the next four years, under the Accor looks to across Central Europe since step down from her position at the auspices of brands such as Ritz- buy out Orbis 2014, where Orbis has become end of March 2019. McPherson has Carlton, St. Regis and W. More today a formidable leader. The been with the company for 32 than 60 projects are planned, AccorHotels has launched a bid proposed transaction will enable years and was appointed to her with 17 signed in 2017 alone – the to buy all the shares of Polish AccorHotels to accelerate its current role in 2010. She will be company already has 90 residential hotel operator Obis it does development in the region. replaced by Liam Brown, currently properties open. “As the number not already own, numbering In addition, it will enable president, select brands and of residential condominium 21.8 million and 47.31% of AccorHotels to further owner and franchise services, buyers grows globally, Marriott the share capital. Obis is the implement its active North America. International’s well-known brands exclusive master franchisee of asset management policy.” “Amy leaves an impressive track are ready to welcome them ‘home’ a number of AccorHotels brands Hotel Warszawa record of accomplishment,” said and deliver a distinct experience,” in central and eastern Europe, Grand, Poland. Marriott International’s president said Tony Capuano, executive and operates 128 hotels in 16 and CEO, Arne Sorenson. “Under vice-president and global countries. Accor’s offer is her leadership, Marriott has moved chief development officer unconditional and worth from number ten in total rooms at Marriott International. €442 million, and opens from distribution in Europe to number the 17 December 2018 until 19 two today – an achievement made BRAND IDENTITY January 2019. all the more impactful because it IHG launches voco “AccorHotels and Orbis have happened against the backdrop hotel in Dubai built a long-term partnership of some of the most complicated since their first business economic and geopolitical times IHG has added a Middle East agreement 45 years ago,” said in Europe’s history. Amy has been property to the expanding portfolio Sebastien Bazin, chairman and a remarkable leader for Marriott in of its new upscale voco brand, CEO of AccorHotels. “As its Europe – an incredible steward rebranding the Nassima Royal largest shareholder since 2000, of our culture, the driving force Hotel as voco Dubai. “IHG has AccorHotels has fully supported behind our growth and innovation identified significant growth and a consummate professional. opportunities in upscale

DEVELOPMENT She will be missed.” hospitality,” said Pascal Gauvin, Luxury openings Sense Spa, as well as meeting In other news, Marriott IHG’s managing director for India, from Radisson and events facilities. International brand Courtyard Middle East and Africa. “The “The opening of Rosewood by Marriott has announced the signing of voco Dubai is a and Rosewood Venice will mark a significant intention to open nearly 30 new significant step in this direction.” The Radisson Hotel Group has moment for the Rosewood brand hotels in Europe, almost doubling The development follows added two new properties to the as we continue to build out a the brand’s presence on the the opening of the first voco, luxury brand Radisson Collection. prominent presence in Europe,” continent. The UK is a key location, on Australia’s Gold Coast, and In , the Radisson said Radha Arora, president of with five new hotels set to open the rebranding of the Principal Collection Basilica will feature a Rosewood Hotels and Resorts. “We in cities such as London, Glasgow St David’s in Cardiff. Another rooftop bar overlooking the city are excited to bring our Sense of and Oxford. New markets include transformation to voco is set for and will open in 2020. In , Place philosophy to this landmark Georgia, Finland, Iceland and the Kirkton Park Hunter Valley the Radisson Royal Hotel has 501 property so as to provide new , where hotels will in New South Wales, Australia, in rooms and suites, and an Olympic- opportunities of exploration not open in Cluj-Napoca and 2019. “We are very proud to bring sized swimming pool, as well as only for affluent explorers visiting Floreasca. this amazing property to life as its own fleet of yachts that provide from afar, but also for members voco Kirkton Park Hunter Valley, cruises on the river. of the local community who are EXPANSION and to further build on our In addition, 2020 is set to see looking to experience their city Marriott personal passion for sustainable the opening of luxury brand in a fresh way.” International’s stays,” said general manager of Rosewood’s first hotel in Venice. residential Kirkton Park Hunter Valley Penny APPOINTMENTS Housed in the 15th-century portfolio grows Crossley. “We look forward to Palazzo Dona’ Giovannelli, in the Amy McPherson continuing to offer the charming, city’s Cannaregio sestiere, the hotel to leave Marriott Marriott International is set memorable and distinctive will feature around 50 rooms and Amy McPherson, Marriott to expand its portfolio of hallmarks we are famous for, suites, two dining rooms and a International’s president and residential properties by 70% with a dash of the voco flair.”

8 Hotel Management International | www.hmi-online.com

HMI077_103_News and stats_v2.indd 8 19/12/2018 13:35 The intelligence > Vital statistics

Vital statistics

Travel to cities growth, 2007–27 Tourism destination cities by GDP in 2017

Analysis of arrivals to 300 cities sees a steady projected percentage increase as a share of In the top ten largest destination cities, only Bangkok and Paris have a larger proportion of all destinations. tourism GDP coming from international rather than domestic visitors. 47% Tourism GDP split by international International contribution and domestic, US$bn Domestic contribution 46% Shanghai 4.3 30.7 Beijing 4.1 28.4 45% Paris 19.3 8.6

44% Orlando 3.4 21.4

New York 11.7 13.1 43% Tokyo 7.6 14.1 42% Bangkok 18.2 3.0

41% Mexico City 2.2 17.5 Las Vegas 2.6 16.9 40% 7.1 11.9 2007 2009 2011 2013 2015 2017 2019 2021 2023 2025 2027 Shenzhen 0 10 20 30 40 Source: World Travel and Tourism City Travel and Tourism Impact 2018

September 2018 YTD RevPAR (%) change in Europe

Overall, Europe has seen 5% growth, with the highest increase in .

Edinburgh -1 Warsaw -3 4

Amsterdam 7 Kiev 13 -1 3 20 Dublin 8 -1 Prague 60 London 1 Budapest 7 8 7 5 -3 Brussels 12 1 Vienna 5 13 Zurich 6 12 -1 Bucharest 4 7 Paris 17 6 Belgrade 0 17 5 Madrid 1 Istanbul 77 4 Barcelona -9 Athens 6 Lisbon 10 -9 4 0 Helsinki 4 1 77 Rome 4 10 3 St. Petersburg 20 6

Berlin 5 Moscow 60 Source: STR

Movers and shakers

A slew of vice-president of global loyalty vice-president of well-being for Chairman for 2019. Klok was high-level and partnerships. Hempall has the group’s luxury and upscale first elected to the Board of appointments worked at IHG since 2003, when brands. Brown has over 20 years’ Directors in 2013 and has at IHG have he joined as the UK-based experience in this area and joins over 15 years’ experience seen Brian director of global strategy. from a position as global design in the hospitality industry. Brian McGuinness. McGuinness In addition, Josh Litmann director at Resense Spas. Four Seasons Hotels and join as the group’s senior vice- has moved to the group as Tommy Lei has become Resorts has hired fitness guru president of global guest head of luxury development, CEO of the luxury hotel group and author Harley Pasternak experience shared services. Europe. He leaves a position GHM, which has properties as global fitness adviser. McGuinness previously worked as vice-president and head of across Europe, Asia and the Pasternak will oversee as global brand leader and senior development in the EMEA Middle East. He moves from refinements and enhancements vice-president for Marriott, region at Hard Rock Hotels six years spent at Onyx of Four Seasons’ facilities as and . and Casinos. Hospitality Group. well as creating a video series. IHG has also promoted At AccorHotels, Emlyn has elected “Together, we’ll take a holistic Christian Hempell to senior Brown has been appointed as Anthony Klok as Board approach to fitness,” he said.

Hotel Management International | www.hmi-online.com 9

HMI077_103_News and stats_v2.indd 9 19/12/2018 13:37 The intelligence > STR

The Israeli hotel market is going through something of Middle a boom period, with performance hitting impressive levels in both city and resort destinations. Eastern Hotel Management International’s partners at STR break down promise the fi gures.

occupancy level was the second highest for As a result, RevPAR jumped 18.9%. In the October year-to-date time period, while absolute values, Tel Aviv has shown the the RevPAR level was the highest. highest absolute occupancy (73.9%) and ADR (ILS939.40/£196.62). Key market growth “Jerusalem and Tel Aviv are the At the market and submarket levels, two cities outperforming the national Jerusalem has been the top performer average, but as another indicator of the in terms of growth. Through the first ten health of the country’s hotel industry, we srael’s hotel industry is on pace for months of 2018, the market’s occupancy are also seeing growth across Haifa, Eliat a record-breaking year with average was up 5.3%, and ADR increased 12.9%. and the Dead Sea,” Emanuel said. daily rate (ADR) as the main driver of The intelligence > STR I Figure 1. Record year-to-date RevPAR performance performance, according to data from STR. Through the first ten months of 2018, Israel, October YTD (2013-18) Israel posted an ADR of ILS806.28 ADR RevPAR OCC 900 - 71% (£168.75), a 7.8% increase compared with 800 - the same period in 2017. Additionally, 70% 700 - that absolute ADR level was the highest 69% 600 - ILS565 for any October year-to-date time period ILS535 ILS518 ILS518 ILS494 ILS ILS483 in STR’s Israel database. 500 - 68% “Solid growth in demand that began 400 - 67% in 2016 has given hoteliers in the country 300 - 66% the confidence to push room rates – 200 - even as the presence of the sharing 100 - 65% economy continues to broaden,” says 0 - 64% Thomas Emanuel, STR’s director of 2013 2014 2015 2016 2017 2018 business development. “Occupancy comparisons have been Figure 2. Panelist responses fairly flat thus far in 2018, but ADR Visited Heard of and interested in visiting 70% - increases continue to drive positive year- 63 60% - over-year developments in RevPAR 55 55 51 [revenue per available room]. Over the 50% - past two years, both occupancy and ADR have been maintained at roughly 40% - 10% above the previous performance 30% - 23 peak in the country. All of this points to 20% - a healthy marketplace overall.” 10% - 7 7 Israel’s occupancy was 70.1% through 6 4 4 October (-0.4% year over year), while 0% - RevPAR reached ILS565.26 (£118.31), Jerusalem Dead Sea Tel Aviv Haifa Sea of Galilee (+7.4% year over year). The absolute Source: STR

10 Hotel Management International | www.hmi-online.com

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Raddison2.inddHMI Ad_210x286_OPT 1 4.indd 1 19/12/201826/11/2018 09:4211:00 Insight > EHMA The finer details Hans Koch discusses the importance of creating a hotel restaurant that can stand as its own unique endeavour, while maintaining the overall ambience of the wider establishment.

t is time hoteliers realised that

travellers, and untapped local Hans Koch potential, are tired of the same stuffy Hans Koch is president of EHMA and offi cial delegate for EHMA’s Swiss I chapter. Throughout his 35-year career, he has worked for hotel operators dining rooms and never-ending multicourse all around the world, ranging from Hilton International to ITC Hotels. He is meals in hotels. Their restaurants are also managing director of Hans E Koch Hospitality Solutions. notorious for being overpriced and underwhelming; they disappoint travellers impress guests and locals. People also like restaurant industry around hotels has looking for a social atmosphere or a taste talking on social media about the good grown exponentially in the past decade of home while on the road. meals they had (and also the bad) and and shows no signs of slowing down. At the same time, local diners often have raising a restaurant's quality will result in Also, in hotels with two or more outlets, a perception that hotel restaurants are poor more positive exposure on social media. one of those should simply be a bar-lounge quality, catering to travellers that don't have Another way for hotels to create with food, as it is relevant to the way people the time to find somewhere more 'local'. attractive stand-alone restaurants is by eat and drink today. We’re currently looking How this affects a hotel’s reputation partnering with well-known restaurant at millennials and Generation X, but the depends on the prevalence of dissatisfied operators or celebrity chefs to create a baby boomers also want to socialise with and angry diners who take to TripAdvisor, buzz. Today’s travellers and locals are younger people. Hotel lobbies and bars are Yelp or other social media to abrade both always looking for experiences that coming back in vogue. the restaurant and the hotel that houses it. offer something more. The ones that get Rather than creating a unique concept, it right are being acclaimed nationally Room key to success hotel restaurants have often ended up as a and internationally as go-to destinations. Finally, I would say the biggest last-minute addition to the larger enterprise. In this respect, a big but not impossible challenge a hotel restaurant faces today For them to be fresh and well received, challenge for hoteliers is the need to is drawing the line between being a they need to be conceptualised and treated convince owners to invest in attractive destination where locals and travellers as separate business entities, yet remain concepts, and talented restaurant and want to visit, while accommodating compatible with the hotel’s concept. bar professionals, and to give these in-house guests that expect good This can be applied to anything from professionals the power and room to and reliable dining on-property. Hotels the restaurant’s design to its social media operate, create and practice their skills. It that can successfully manage these presence. The most successful are those is currently implausible to be a top hotel challenges are boutique concepts and that also bring in local flavours and design with a mediocre restaurant – the modern brands that are creating winning hotel elements authentic to the destination. guest is too savvy and will ultimately hold restaurant concepts. it against you. Restaurants need to be conceptualised Positive reinforcement Another challenge is that while the hotel and treated as business entities, separate A number of individual hotels, as well as industry is focused on localised fine-dining to, but compatible with, the hotel. And some of today’s successful hotel chains, trends, little attention is paid to the growing they need to make sure concepts are such as Hyatt, Four Seasons and Rosewood popularity of fast-casual dining, the hybrid authentic and comfortable, celebrating Hotels, have made a strategic shift to only concept that blends fast-food or quick- local ingredients and a local atmosphere work with specialised restaurant designers, service restaurants with casual dining. in unique ways. rather than having hotel designers do their Though fine dining will always have a place Restaurants must appeal to travellers restaurants. Their new concepts cater to at upscale properties, hotel guests expect and locals. When communicating internally people's appetites for restaurants, lounges variety, especially if they’re spending and externally, be open, true and honest; and bars that are authentic, casual and multiple nights at a hotel. decide what you want to be known best comfortable. They’re looking to celebrate People want to have an approachable for. Focus on the pursuit of excellence, local ingredients and a local atmosphere experience, as well as more formal choices and give your professionals the power in a unique and unpretentious way. – how many times do you want to go out and room they need to perform. The latest trends indicate that there is and spend £120 a head on food and wine? And finally, get serious about a rising interest in upping the quality of So in addition to fine dining, chefs are reputation management, especially on hotel food, both because it can create great increasingly exploring a quick-service social media channels like TripAdvisor, profits but also because this is a key way to space in a hotel, as the fast-casual Yelp and OpenTable.

12 Hotel Management International | www.hmi-online.com

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HD Fragrances | RE SOURCE | Hotel Management Ad 2019 | 178mm x 124mm | December 5, 2018 Company insight > Business management & development A lighting control partner for hospitality After taking into account the new requirements of the hotel sector, and carefully listening to professionals in the hospitality arena, Simon, through its technology and design, has an answer to the new, specific demands required for the different areas of a hotel.

imon understands that in individual spaces, such as A custom experience in every room guest rooms, more control, features and experiences The Sense series communicates directly with the guest, S for guests are required. These are obtainable through independent of their age or culture. ‘Sense’ has a modular easy-to-use keypads from its ‘Sense’ collection, and simplified and flexible touch interface for controlling the lighting, integration in upgrade processes with traditionally installed temperature and even for accessing all types of hotel devices that also offer connectivity potential through the services – by way of a simple and user-friendly device Simon 100 app. For the needs of group spaces, such as that integrates into the design of the room. event rooms and lobbies, connectivity solutions are provided ‘Sense’ gives users a feeling of control from first for those who need to work during their stay, and biodynamic contact, thanks to the feedback response provided by lighting to make long gatherings comfortable. the keypad, which comes in three languages to ensure Simon can offer new lighting designs for the urban setting communication with the guests. The device vibrates of the building, as well as the chance to make the hotel stand when it is turned on, emits a sound and lights up when out in regard to energy efficiency, thanks to electric vehicle activated. This feedback is adjustable and lets the user charging posts for environmentally conscious clients. An know that the device was pressed correctly, and whether example of this feature can be found at the Hotel MiM in the desired feature has been activated or not. The LED Sitges, Spain, the first in Europe to be LEED Platinum- light also indicates constantly if a feature is on or not, certified, and that offers vehicle charging stations. as shown by the light on the associated icon. ‘Sense’ keypads can be customised with a series of symbols to indicate the assigned function. Also of note is the Simon 100 series, with its technological, appealing design. This series of switches was created to celebrate the company’s centenary, and draws its inspiration from the internet of things (IoT). ‘Simon 100’ can be used to digitise a space through a master device (iO HUB), which features a Wi-Fi connection. This hub connects to a smartphone application, which offers features such as being able to program the devices and outlets in each space. This eliminates the need for complex remotes and displays for guests, maintaining a minimalist design and expanding the potential functionality. The Simon 100 series recently incorporated customisable kits, offering, for example, an outlet, rocker and USB charger in a compact design that adds the element of connectivity to a reduced space. Not only that, it also ensures the guest’s mobile will be charged as fast as possible, as it is capable of detecting the type of device that is connected.

The importance of common areas Hotel occupancy intended for congresses and conferences has taken hold in recent years to become an area with a large financial impact in the sector. Hotels now have to offer common areas that live up to the same standards as the rooms. In an effort to make these spaces both appealing and The ‘Simon 100’ series boasts an unassuming and elegant design. profitable, Simon created ‘Scena’, a control system that allows

14 Hotel Management International | www.hmi-online.com

HMI077_Simon Sau.indd 14 19/12/2018 10:15 Company insight > Business management & development

With guests spending more time in communal areas, the connectivity Lighting presets have been formulated to capture the correct atmosphere of these arenas needs to match that of individual rooms. for a speci c guest or occasion.

setting up different lighting types, or ‘scenes’. This companies thanks to its compact design, which is feature can be used to add diversity to a space, and easily integrated into different decorative styles, also to adapt it to the needs of congresses and meetings. and also because it has been designed to boost the During the same session, the light can be focused on connectivity with the portable versions of today’s new the speaker or it can be moved to a specific product work tools. ‘Simon 400’ has received the prestigious IF when talking about its features. Design Award in the product design category, from the Diffuse lighting and colour changes can be used during IF International Forum Design. the same session. This guarantees the audience’s attention and enhances the sales pitch or the training that is Exteriors that build brands being provided. Outdoor products have been adapted to meet the needs A biodynamic luminaire can also help to prevent of hotel and resort complexes. These solutions feature fatigue during long sessions, and thus make the refined appearance, such as the Merak and Altair lines, congress or meeting more productive for those in which can be finished in graphite, for example, to cover attendance. Scena calculates the position of the sun the route taken by guests arriving by car to the hotel’s based on the time and the geolocation of where it is car park or entrance. being used. With this information, it can recreate the In addition, Simon is a pioneer in charging solutions lighting that would be present if a closed room were for electric vehicles, where it offers customisable options. exposed to natural light. This helps the audience to These charging stations are also highly customisable regulate their circadian rhythms, that is, the physiological and can be adapted to various needs depending on functions associated with our biological clock, thereby the specific hotel that offers this service as a courtesy avoiding fatigue and enhancing brain activity. and which can track the electricity use by means of a personal card that identifies the guest, turns on Come one, come communal the charger and allows the vehicle to be charged. Guests, even those who are not attending congresses Simon’s electrical vehicle charging solutions or professional meetings, are spending more time in stand out because they are simple to use, robust, common areas. It is essential that halls, cafeterias and easy to install, flexible, can be integrated with third- bars offer connectivity options, since more and more party systems and have the official certification of professionals want to stay connected so they can run various electric vehicle manufacturers: Renault, Nissan, their business or do work, even when travelling. Hotels Mitsubishi and Hyundai. must meet this new need as much as possible by offering compact solutions that allow professionals to find all the connections they need, whether it’s to charge devices or go online. Further information Simon The Simon 400 series, although intended for work www.simonelectric.com spaces, has been enthusiastically received by hotel

Hotel Management International | www.hmi-online.com 15

HMI077_Simon Sau.indd 15 19/12/2018 10:16 You want to invest in a company with a healthy ROI. So do we.

With over 60 years of experience and more than 375 hotels in 43 countries on four continents, Meliá Hotels International is one of the world’s leading hospitality companies. An opportunity to invest in a company with great ROI. An opportunity to invest in a relationship that’s mutually rewarding.

30 consecutive quarters of RevPAR growth and a 5.6% increase in annual RevPAR in 2017 compared to 2016.

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Melia.indd 1 19/12/2018 09:45 Company insight > Business management & development The perfect balance between business and leisure Founded in 1956, Meliá Hotels International is the leading hotel company in Spain and the third largest in Europe, with more than 380 hotels in four continents and an ambitious long-term project that will take the group to new destinations worldwide.

eliá is currently unrivalled in the resort hotel business Two can play at that game in southern Europe and the Caribbean, where it Meliá has a dual focus on the region, with China as the most M continues to achieve selective and consistent challenging market for the company, and the South Pacific area, growth. However, it was in Bali, Indonesia, where the company where it has been operating for over 30 years now. As a family- opened its first hotel outside of Spain, in 1985. This venture run company, it has created strong business links and a deep marked the beginning of its rampant international growth. friendship with several hotel owners and business groups, with And now, the company’s development plan is again focused whom it shares common ground on values, a similar long-term on Asia-Pacific, a market that in the medium term is expected to vision and a liking for the sustainable tourism development. make a similar contribution to the US and Caribbean, and where “We always aim to achieve a ‘win-win’ solution with every 40% of its current growth is concentrated. Meliá has quadrupled single investor we deal with, because our goal is clearly to create its portfolio in the region in just five years, operating in countries strong partnerships based on trust and common empowerment,” such as China, Vietnam, Indonesia, Thailand, Malaysia and states María Zarraluqui, global development managing director. Myanmar, with a current portfolio of 50 hotels (open and pipeline). “Meliá has an attractive value proposition for hotel owners and It aims to become the strongest and best-positioned company investors, thanks to its know-how, extensive portfolio of leading in the increasingly leisure-inspired urban market. The company brands, and family values and service culture, which increase its aims to make an impact on the growing segment of urban hotels appeal in such a demanding market as Asia.” that promote business and leisure (‘bleisure’) experiences, as its The company’s commitment to the region goes beyond expertise and Mediterranean lifestyle are integrated throughout growth, as it has partnered with strategic local players such its brands. Said brands are strategically positioned to address as Greenland in China, TCC-Land in Thailand, or PTSAI in different, well-defined customer psychographics. Indonesia, to ensure sustainable growth that is fully integrated and respectful of the local culture and values.

Expand the experience Meliá set the APAC headquarters in Shanghai over ten years ago. Since then, it has taken a long time to study the market, and gained knowledge and experience about Chinese travellers. Now, the company boasts four hotels in Shanghai, Xian, Jinan and Zhengzou, and five more in the pipeline, with three different brands: Gran Meliá, the Spanish timeless luxury brand; Meliá Hotels & Resorts, with a distinctive passion for service and the well-being of its guests, and Innside Meliá Hotels International promises urban hotels that embody the by Meliá, with European design-led environments that weave a Mediterranian lifestyle. taste of the unexpected. In South East Asia, the company is committed to the development of these three brands, plus Sol by Meliá and Paradisus, which are dedicated to the leisure segment. Countries such as Vietnam, Indonesia, Thailand, Sri Lanka, Singapore, Malaysia or the Philippines are its main priorities, and it already has plans to open new hotels in popular destinations such as Bangkok, Phuket, Koh Samui, Chiang Mai, Phu Quoc, Ho Tram and Cam Ranh Bay, among others.

Further information Meliá Hotels International www.melia.com The company’s hotels are positioned within luxury destinations.

Hotel Management International | www.hmi-online.com 17

HMI077_Havas Management.indd 17 19/12/2018 10:17 Empowering seamless and unforgettable experiences

Payment is a crucial step in the booking process and if you’re thinking about it as a simple transaction utility, you’re missing out on an opportunity to engage your customers digitally and di ferentiate yourself from the competition. To be successful in the hospitality industry, you must o fer a seamless and frictionless experience for your guests, also from a payment perspective, while avoiding unnecessary risks and costs. Worldline is a payment service provider with a long history of working with travel industry leaders and growing businesses alike. Whether your company is targeting new markets or improving processes where you already are, we tailor your payment programs to meet your unique business requirements, growth plans and goals.

Wordline.indd 1 19/12/2018 09:46 Company insight > Business management & development Innovation in hospitality Worldline, the European leader in payment services, is changing how people pay for hospitality. Chris Lanckbeen, global sales manager corporate accounts travel for the company’s new travel vertical, explains how Worldline’s comprehensive capabilities are empowering hoteliers to be successful now and in the years to come.

otel payments can be bewildering. The hospitality its ‘PSP Connect’ system we’re able to charge customers for sector is beset by acquirers, terminal suppliers, online their bookings immediately,” explains Lanckbeen. What’s H payment gateways and dynamic currency conversion more, Worldline’s end-to-end service means they can facilitate providers. With no easy way of tracking transactions across it without asking for anything extra from hotels. the board, it is rarely cost-efficient. “What they need is a “This is a strategy-changer for the hospitality world,” centralised, end-to-end solution,” says Worldline’s Chris he continues. “Often, if you buy goods online you need to Lanckbeen. “There aren’t many suppliers in the world who pay immediately. I haven’t heard a real explanation for why can offer that, but we’re one of them.” His company supports it should be different for hotels. Almost all customers think 175 currencies, enabling more than 200 payment methods and they’ve already paid when they arrive, so what is there to over 40 local acquiring bank connections across every continent. lose by simplifying the process? In short, a Worldline customer does not need to rely By charging the card you’re verifying it immediately: on third parties for any service regarding payments and “You’re preventing no-shows as well as chargebacks, transactions. Since 2015, the company, part of the Atos and minimising transactional costs,” Lanckbeen adds. Group, has managed AccorHotels’ reservation system (TARS), which handles an average of 40 million queries We have the know-how and the and 120,000 bookings a day. It’s only in the past year, knowledge, and like to share this however, that Worldline has reached the position from with our customers. which it believes it can truly impact the travel industry. The skyline is the limit Specialist knowledge At London’s 2018 World Travel Market, Worldline announced “We already had hospitality customers in our portfolio,” explains its collaboration with HotelsPro, the world’s leading hospitality Lanckbeen, “but we didn’t have a dedicated vertical until last marketplace, and payment platform Paytrek. HotelsPro now year. It took a huge investment in time, knowledge and people resells Worldline payment terminals and acquiring services to launch it. We have the know-how and the knowledge and across its network of more than 600,000 hotels and 34,000 like to share this with our customers.” travel agencies. Furthermore, HotelsPro customers are now At the same time, a number of strategic acquisitions, most able to pay using Worldline’s dynamic currency conversion notably of Digital River World Payments, have enabled Worldline to tool, helping hoteliers expand into new markets. Mustafa work on a truly global scale. In fact the acquisition of Six Payments, Korkmaz, managing director of HotelsPro, said the partnership a strong European acquirer, makes that Worldline becomes the provides customers with a “complete omnichannel payment Europe’s largest full end to end payment service provider. platform that is seamless, secure and cost-effective”. Worldline has been able to partner with Availpro Fastbooking As Lanckbeen sees it, this is just the start of an omnichannel to improve their reservation channel manager, which distributes digital transformation in the hospitality sector. With its availability data for 11,500 hotels across more than 300 sales connected hotel solution, the company is on track to feed a channels. Until they joined with Worldline, Availpro could only digital transformation. This provides the possibility to make a manage pre-authorisations. “Pre-authorisations have a low reservation, payment, speed up check-in and check-out, ordering value and put hotels in a weak position regarding the certainty services and open doors with the smartkey solution. This of reservation, as the hospitality industry is facing a lot of technology can also allow the finetuning of room temperature. no-show situations,” says Lanckbeen. If visitors don’t like the Barcelona skyline, they can put Pre-authorisation can be an expensive process. The fact that their rooms in New York, or, if they don’t like any skylines, Visa and MasterCard only pre-authorise cards for a very limited an aquarium. Altogether, this promises the customers a seamless time undermines hoteliers while exposing them to possible and unforgettable experience in the hotel, and make any task misuse fees, and the latter charges extra for the privilege. easy for the hotel staff. Differences between the pre-authorised amount and the final bill can lead to extra charges, as can currency and card changes. Booking engines can sometimes misindentify fake Further information Worldline cards, and often pile on extra expenses by creating virtual https://onlinepaymentacceptance.worldline.com ones. “But working with AvailPro Fastbooking, and thanks to

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HMI077_Worldline.indd 19 19/12/2018 10:20 Insight > Business management & development

Deloitte’s European Hotel Investment Conference encouraged delegates to consider the long view when it The can be all too easy to become distracted by more immediate concerns. Hotel Management International travelled to the Dorchester in London to hear bigger some of the sector’s biggest names debate challenges and opportunities coming picture over the horizon. eloitte’s 30th European Hotel CEOs, esteemed economists, investors, we are in the cycle generally comes Investment Conference (EHIC) operators and Deloitte’s aforementioned down to where you are on the continent D may have invited delegates to head of hospitality and leisure, the truth (and whether you generally consider “Experience the Future”, but, despite was evident if somewhat frustrating: your glass half full or empty). our best efforts, it can be difficult to nobody really knows. In the 2018 Deloitte European Hotel see beyond the here and now. Counterintuitively, that is the problem Investment Survey conducted prior “Since we gathered in London last with a booming market and sustained to November’s event, almost 50% of year, the question I have been most upticks; there’s always a nagging respondents said that the UK was at frequently asked is, ‘are we there yet?’” thought at the back of one’s mind – or the peak of the investment cycle, commented Andreas Scriven in his at least there should be – that the party while 25% diagnosed it as already introduction to proceedings. And by the has got to end at some point. Consensus experiencing a downturn. Greece, end of the day, having heard from global is hard to come by and where one thinks France and Spain, meanwhile, were

The panel debated gender disparity in the upper echelons of the industry in a talk entitled ‘Workforce 4.0: Empowering and agile’.

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HMI077_107_Deloitte.indd 20 19/12/2018 16:09 Insight > Business management & development

all perceived to be on the upturn. All Andreas Scriven, Federico J González and Keith Barr were the same, London was still cited as among the industry experts in conversation at the 2018 event. the second-most attractive city for investment – behind only Amsterdam, which retained its number one spot from 2017. Spain might be looking good, but Barcelona had fallen down to sixth in the list. Clarity of any form was hard to come by. As we have seen in later stages of previous cycles, Scriven also acknowledged, 2018 has witnessed the return of more exotic deal structures, which some investors see as unlocking previously untapped value, while others interpret it as introducing new, unnecessary risk to the market. Nevertheless, there remains a great deal of capital swashing about and pricing metrics have continued in an “Everything comes down to RevPAR, everyone is capable of anything.” upward trend. Scriven foresaw a number but never to revenue per available Looking at the difficulties of of portfolios and single assets coming customer,” said Julie Fawcett, recruitment more generally, Kate to market in 2019, events that would managing director of Qbic Hotels. Nicholls, CEO of UKHospitality, truly test the depth and strength of the “Yes, we might hint at it, but we need argued that the segment sometimes transactional market over the coming to change our thinking.” ran the risk of talking its prospects months. Until then, we’d all have to Karan Khanna, managing director for down and overstating the extent guess and argue. the UK and Ireland at IHG, argued that of a skills shortage. new platforms had a significant role to “What we have is a labour shortage,” Eschewing short-termism play in delivering growth in that area, she countered. “60% of our workforce is The hotel market has always been a though the fundamentals of what under 24, and there is a record level of long-term game, but it is these more equated to a good hotel experience employment. We do not have a skills immediate concerns that can bog down would remain in place. shortage in the industry because you investors and distract their gaze from the “That will come from customer service can train [anyone to do] anything.” bigger picture. Acknowledgement of the and experience,” he said. “Of course it Other sessions included presentations dangers of such a mindset prompted is absolutely mandatory for brands to from STR managing director Robin the 2018 iteration of EHIC to challenge invest in IT, and it has been this way for Rossmann and the founder of TW its participants to think beyond those quite some time. It is non-negotiable for Consultancy Trevor Williams, as well next few months and consider how us to invest in our own infrastructure, as panel discussions on the investment the industry might change more but the challenge is keeping up with the opportunities of tomorrow and future permanently over the next five pace of change. And then you can start consumer trends. years and beyond. Technological to focus on what unlocks value, and do advancements, fundamental that for 5,500 hotels, not just the 15 View from the top demographic shifts, geopolitical launched that month.” The blockbuster ticket, however, trends and shrinking talent pools now a firmly established highlight were all subjects open for discussion. Diversity in recruitment of this annual event, was “view “Those who don’t look to the Elsewhere, a panel titled 'Workforce 4.0: from the top”, which traditionally future and start preparing now face Empowered and agile' sought to tackle sees Scriven in conversation with a significant risk of obsolescence and recruitment challenges, particularly the a global hotel leader. irrelevance as existing and new entrants acute gender disparity evident in the This year, delegates got two for the look to disrupt the market,” Scriven higher echelons of the industry. price of one, with both IHG CEO Keith cautioned the assembled delegates. “If it is only women talking about Barr and Federico J González, president During a panel discussion on staying women, then that’s a problem,” said Julia and CEO of Radisson Hotel Group, relevant to the guest, much of the Ingall, chief people and culture officer taking to the stage. From Brexit debate surrounded how the ways in at Ennismore. “I am an employee first, to Trump to trade wars, the chief which operators view and leverage a woman second. It is incumbent to go executives agreed that a major challenge technology needed to change. out to schools and show everyone that for anybody making key business

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HMI077_107_Deloitte.indd 21 19/12/2018 16:09 Insight > Business management & development

decisions on behalf of a multinational operator was to cut through all the distractions and attempt to see the bigger picture. “It would be easy to convince yourself not to get out of bed in the morning with all the noise out there,” said Barr. “You have to be intelligent as to how you go forward, but do not be paralysed by the noise.” And the bigger picture, as far as Barr can see it, is one of dramatic transformation already under way and rapidly gathering pace. “A lot of what underpins our conversations internally are these great demographic shifts taking place,” he revealed. “50% of the world is now middle class. The middle class in China outnumber the entire population of the US. That’s what will shape our industry moving forward and it’s what will enable the big hotel groups to get even bigger. “It’s a question of getting into the right markets at the right time. The growth of wealth in emerging markets will dictate events for the next ten to 20 Andreas Scriven addressed the audience with a speech highlighting the importance of hoteliers planning for the future, or they risk losing their position in the industry. years. To be completely honest, I don’t know whether we, as an industry, are portfolio to increase operational explained. “It was confusing to me and quite ready for it yet.” efficiencies, all before you even go that means it must be confusing for González, who worked in the to your consumer with technology.” the consumer. “Ultimately, what that consumer goods sector prior to brand stands for should have wider entering the hotel market, agreed Appeal to millennials appeal than only to one age group and that new wealth was already having One tech-savvy group that has you must be able to articulate what a dramatic impact, arguing that an generated much excitement in recent that is and what differentiates it.” unprecedented ability to get close to years is the much feted millennial, with Clarity was a theme both executives the guest, delivered by technology, an unprecedented number of new brand turned to time and again, though both could help operators fully benefit from launches and guest concepts introduced agreed that delivering such a message opportunities arising from such a shift. that have sought to speak, in some cases was challenging when being buffeted “The question is that, with the global exclusively, to a demographic upon by events thrown up in day-to-day population getting wealthier, how can whom so many hopes have been pinned. operations across a global footprint. hotels and brands satisfy that increase Both leaders agreed, however, that much In fact, the sheer unpredictability in travellers?” he began. “As an industry, of the industry had failed to appreciate of geopolitical and socio-economic for many years we have survived on out that they should be targeting a developments over the last few years have of date technology, but we now have mindset which, in many cases, arguably made forecasting across longer much more direct contact and that transcended generation. time periods less of a challenge than trying allows us to do many more things. We “We misplayed the whole millennial to predict in the short and medium terms. must create brands and experiences card for too long,” Barr acknowledged. Attempting to foresee what will be up for that speak to these groups.” “They now have kids and a mortgage. discussion at EHIC in 2019 is therefore Back office investment has also Designing a brand around a generation unadvisable, but we should at least be been necessary, he continued. “We are is certainly not the way to go.” better positioned when it comes to spending a lot of money on property González reflected upon the Radisson gauging where we currently sit in the management systems and reservation Red brand he inherited upon his arrival investment and performance cycles. systems,” González said. “There is a at RHG. “People kept telling me it was Whether everyone can agree on what huge effort on technology to make sure all about millennials, but they were less that will mean for the market as a whole all these systems travel fast across your able to say exactly what that meant,” he remains to be seen.

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HMI077_107_Deloitte.indd 22 19/12/2018 16:10 Insight > Business management & development Proceed withcaution After another strong year of hotel performance in Europe, a sense of caution is now creeping in with signs of slowing growth and a shift in the profi le of investors. Andreas Scriven, lead partner, hospitality and leisure at Deloitte, and Peter Szabo, associate at HVS Hodges Ward Elliott, give Patrick Kingsland their insights.

here was a time, early last year, uncertainty, in 2017 Europe enjoyed the Peter Szabo, associate at HVS Hodges when the outlook for Europe and highest levels of occupancy, ADR and Ward Elliott. “Overall, Europe is still a T its vibrant hotel industry started RevPAR ever recorded by STR, the hotel very positive picture.” to look rather less rosy. A series of benchmarking company. Terrorism, it bellwether elections in key countries seemed, would not stop tourists from Strong transaction market like France and the Netherlands had travelling – and neither would the steady As fears surrounding terrorism put leading continental populists rise of nationalist, protectionist politics. become more muted, French hotels on the cusp of power – and a long- It is a mood that has, by and large, have witnessed a resurgence, particularly established era of globalisation continued through 2018, with the market in Paris, where strong growth has been under threat. enjoying steady (albeit slower) growth than reported in RevPAR and occupancy. The elections came in the wake of a before. According to STR’s latest figures for Russia did not win the 2018 World string of terrorist atrocities in gateway September, ADR and RevPAR are both up Cup but enjoyed record-breaking European cities including London, on the year before, with occupancy only ADR and RevPAR performance, Paris and Barcelona, revealing a world slightly down. European hotel transaction while strong performance far more hostile and far less welcoming volumes, meanwhile, have grown by 5.8% has also been than it perhaps once was. Forecasts of in the 12 months to Q2, according to recorded in southern long-term growth in tourism and travel research from Deloitte and CBRE. Europe due to could no longer be taken for granted. “2017 obviously was a very strong year, temporary shifts in But despite the economic and political but 2018 has been similarly strong,” says market dynamics.

London has long been seen as a signi er of the wider market; a slowing down in the city is re ective of a wider issue.

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HMI077_108_Investor.indd 23 19/12/2018 13:41 Insight > Business management & development

“Mediterranean countries have remaining Amaris hospitality portfolio and hedge funds, then by traditional obviously benefited from fallout in other and operating platform to LRC Europe. private equity. markets, be that the turmoil in , “Investors still feel very bullish about Now analysts say institutional or in Egypt and Tunisia,” says Andreas Europe,” says Szabo. money is expected to become the Scriven, lead partner, hospitality and dominant source of equity in the leisure at Deloitte. The rapid rise of hotel market. Despite recurring fears that the era of institutional investors “The type of capital, the cost of cheap credit is coming to a close, interest But while there are many reasons that capital and the risk that capital is rates have remained low, with debt easy to be cheerful, analysts say there are willing to take has shifted a little bit,” to find and available from a number of also causes for caution. According to a says Scriven. “And so have the return different sources. recent HVS report, European banks are requirements and the hold periods “I have not worked on a deal where now lending less for new developments that they are looking at. It all feeds anybody has raised the issue of securing and average loan sizes have decreased. into the narrative that we are close to, if not at the top of, the cycle.”

When the pound lost its value compared to The skilled labour shortage other currencies, Asian investors saw a chance Ten years on from the collapse of Lehman to get a discount buying hotels in the UK. Brothers, a few of the deals being done are also raising “red and amber warning – Peter Szabo signs”, according to Scriven. “From an investment standpoint, some appropriate levels of debt finance as Interest in hotels as an asset class of financial engineering that is going on an issue in completing that deal,” says remains significant, but transaction makes me a bit nervous,” he says. “In Scriven. “It simply doesn't come up at volumes are not growing at quite certain deals, there are some who are trying the moment. But we are seeing slightly the same rate as in previous years, to extract additional value which may or different approaches to lending into the suggesting that while the market is not may not be [there]. That certainly brings market. In the run up to the past recession in decline it is beginning to slow down. back hints of memories of 2007 where it was with more traditional banks. Now “If you look at Europe as a whole in we saw this exact same thing. It would I would argue that has been diversified. the first half of 2018 and on a rolling suggest there is going to be a realignment You've got new entrances, one example 12 month basis, we saw just under in terms of where we see deals and also being the book that Metro Bank created.” 6% growth in terms of transactional the performance of those assets.” The availability of debt has helped fuel volumes,” notes Scriven. “That is Despite a relatively strong year for a strong transaction market in Europe materially down from full-year transactions, London, which sets the through 2018. Notable deals include: 2017 over 2016, which was about tone for the wider market, has seen a Vivion Capital’s £742 million acquisition 22% growth.” slowdown in performance this year. of Project Ribbon, a pan-UK portfolio The profile of investors has also In Deloitte’s 2018 European Hotel of mainly hotels; Starwood changed, indicating again that the Investment Survey, more than half of Capital Group’s sale of a portfolio of 14 market is nearing its peak. Coming out respondents expressed belief that UK hotels to Foncière des Régions; and of the downturn, the industry was the UK has now hit the peak of the Lone Star’s £600-million disposal of its dominated first by opportunity funds market, with 25% saying it is already entering a downturn. Unsurprisingly, Risks to the European hotel industry in the next five years respondents ranked Brexit as the 2018 2017 biggest risk to the market over the 38% next five years. Lack of economic growth - 50% “The closer we get to key deadlines without any resolution, the more 34% Terrorist attacks - uncertainty there will be,” says Scriven. 67% “People defer their spend and UK 27% residents may potentially start cutting Black and grey swans - 28% back a little bit.” Respondents to the Deloitte Survey 25% Political tension - listed their second biggest concern as 27% absence of skilled labour. Last year, the 21% number of EU citizens coming to the Local resentment towards tourists - UK dropped by 12%, according to the Source: 2018 Deloitte European Hotel Investment Survey Office of National Statistics, with the EU

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HMI077_108_Investor.indd 24 19/12/2018 13:41 Insight > Business management & development

referendum cited as a key driver. Asian investors saw a chance to get unravel some of those issues. The first According to KPMG’s Labour Migration a discount buying hotels in the UK.” hotel non-performing loans have been in the Hospitality Sector study, the UK’s brought to market in Greece, for example.” hotel industry could face a recruitment Market forecasts Even in more mature markets shortfall of more than 60,000 workers Which markets perform well in 2019 is like the UK there are still plenty of per annum from 2019. likely to depend on where they are at opportunities to be found, Szabo adds, in the economic cycle. While the UK is so long as investors have the right Cost pressures and oversupply clearly at a more advanced stage, other mentality and correct expectations. The acute shortage of labour comes European markets still have some way “Many investors are not trying to amid a “perfect storm of cost pressures”, to go before they reach the peak. find the perfect time in the cycle but are according to Scriven, who cites the “These are some of the markets that looking at individual investments on a national living wage, apprenticeship levy, saw more significant stress in the last deal-by-deal basis,” he says. “If the deal rising business rates and the cost of downturn,” says Scriven. “Certain places and their underwriting makes sense, labour as major challenges facing UK are actually now only just starting to they will go for it.” hotels moving forward. “The cost pressures are going to make it difficult for some players,” he says. Barcelona, one of Europe’s great PROFESSIONAL success stories over the last decade, has also struggled in 2018 following a DEVELOPMENT moratorium over hotel development and last year’s Catalan PROGRAM independence referendum. PDP Cornell University | Ithaca, NY, USA Early signs of recovery in Turkey, June 24 - July 6, 2019 Egypt and elsewhere may also have a negative impact on leisure segments in Spain as well as Italy and Greece going forward, adds Scriven. “People are going back to Turkey and part of that is price-driven,” he says. “It is obviously cheap to go there and the same is true for a number of other markets, assuming there are no additional shocks.” Some markets are also facing oversupply issues that are likely to become more of a problem going forward into 2019. “There is some significant supply going into markets like Copenhagen and if you look at the pipeline for Edinburgh there is a huge number going in there too,” states Scriven. Experience the professional development highlight of your career at PDP. Engage “But it remains very market-specific.” with world-renowned, Ivy League faculty, as well as your industry peers from Of course, as always it is hard to across the globe. Choose from more than 25 distinct course oˆerings, across generalise in such a diverse market. eight ‰elds of study. Courses are three days long, and participants may choose Investors have different risk profiles and a single course or complete a multi-course certi‰cation. some see opportunities where others get cold feet. Brexit, for example, may look like CONTACT US: [email protected] | +1.607.255.4919 an unmitigated disaster as things currently LEARN MORE: sha.cornell.edu/execed/pdphmi stand but Szabo says it has actually worked to the advantage of some investors. “Asian investors in particular see a buying opportunity,” he says. “A couple of transactions in the past year have shown that when the pound lost its value compared to other currencies,

Hotel Management International | www.hmi-online.com 25

HMI077_108_Investor.indd 25 19/12/2018 13:42 Insight > Business management & development Push it

The prioritiesforward and requirements of guests change rapidly, and hoteliers need to stay alert in order to provide for their needs. Accor Hotels president of Europe Franck Gervais, COO and founder of citizenM Michael Levie, Hilton president of EMEA Simon Vincent, and Andrea Jones, senior vice-president of international development at Marriott, discuss the ways their brands remain focused on the operations of the future.

he precise identity of the hotel screen displayed to the citizenM Brand loyalty of the future may be difficult ambassador when a repeat customer Loyalty and the programmes that frame T to predict, but operators cannot checks in is a slightly lighter shade of them have a huge part to play in this veer too far wrong if they pay attention the regulation grey. This is unlikely to space; specifically, how loyal guests are to their customers – in terms of placing be noticed by the guest, but provides a to individual brands. Andrea Jones, them at the heart of a hotel’s processes signal that allows the ambassador to senior vice-president of international and making use of information provided personalise their greeting. “They could development at Marriott, and her by guests in refining their offerings. simply come back and say 'hey, welcome colleagues assumed the answer to that For Michael Levie, founder and COO back, good to see you',” Levie says. question was ‘not very’. The results of a of citizenM, technology can have a role to It’s a simple refinement but one which questionnaire released by the operator play in elevating and improving a personal, makes a big difference to the customer after its acquisition of Starwood took human approach to making loyal customers by displaying appreciation for their them by surprise. feel rewarded. He explains that, at loyalty. “We sometimes try to be very the desk, the sophisticated about everything,” Levie says. “Sometimes, it’s in the little details.”

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HMI077_121_Levie.indd 26 19/12/2018 16:10 Insight > Business management & development

“We thought there might be a 50% overlap,” explains Jones. Specifically, that a Starwood customer might also be part of the Marriott loyalty programme. In fact, the overlap was just over 11%. What the data did indicate was that loyalty to a single brand among its customers was, in many cases, intense. “And what that really told us was that it was really important to get this right when we unified the programmes during the takeover," Jones says. Again, the Marriott team was caught napping by the scale of concern among its global customer base as to how the new arrangement would affect their loyalty benefits. “We’ve got 120 million members, which, if you made that into a country and population, it would be just behind Mexico,” says Jones. Even after Marriott set up dedicated customer engagement centres to field customers’ calls and emails about the new plans, the operator was inundated. “We had to employ extra people, and pull people away from what they were doing around integration to answer their questions.” When it came to understanding brand loyalty from the point of view of segmentation by age, occupation or travel needs, Marriott had done its homework. Jones makes it very Mama Shelter, in Belgrade, which is part of AccorHotels, has a more off-beat vibe. clear that anyone who wanted to discuss precisely who the travelling, and how well brands meet looking at a customer need for ‘customer of the future’ was had their expectations,” she says. “That something edgy, cheekier, more fun. You to provide documentation. enables us to understand what a new don’t have to be – I’m going to use the “I want proof,” she explains. “How generation of travellers’ needs and ‘M’ word – a millennial to want that.” are you really identifying that customer wants will be.” This intensive period of research and of the future? Is it through studies analysis into customer loyalty led or talking to your customers after Fill white space directly to the creation of the ‘Moxy’ they’ve been with you? But that’s the Crucially, this research helped Marriott brand to meet that customer need. customer of today, not necessarily the identify what Jones refers to as ‘white “It was the first brand that Marriott customer of the future.” space’ – those areas where no single created, not bought, outside of the US,” As Jones points out, Marriott has brand is catering for a specific set of says Jones. The new chain was created attempted to get around this problem customer demands. Most of the time in Europe for European guests. It took by commissioning extensive research that leads the operator to tinker with a lot of persuading to convince the and data analysis – both internally and their offerings around the edges. In one owner that the creation of a new brand from outside sources – through the notable case, the creation of a whole was the right step to take. lens of brand segmentation. new brand was deemed necessary. “Mr Marriott is quite a conservative “We would look at how our “One of these external brand gentleman, and when we presented brands position, within key customer segmentation studies really identified this idea – edgy, fun, risqué – he wasn’t segments, what guests want to get out massive white space in the affordable awfully comfortable with it,” Jones says. of travel, what they need while they’re lifestyle space,” Jones says. “It was Eventually, he was persuaded.

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HMI077_121_Levie.indd 27 19/12/2018 16:11 Insight > Business management & development

“It was all about the European hostel-style dorms and apartments. “A lot of feedback coming from customer, what they were looking for, This raises the question, however, customers is that they love the concept, and that customer of the future. And it of how these niche, lifestyle-focused they love the accessibility, but people was all this customer-centric data that hotels fit in alongside Accor’s more don't want to share,” he says. “There’s a convinced him to do it.” traditional offerings, such as . degree of privacy that customers want.” This approach, which hones in on Franck Gervais, Accor’s president the specific details that a customer of Europe, explains that the group Driven by technology looks for in a city hotel and eschews is focusing on innovation – not just The conversation returns to the role outdated or extraneous features, is through investment in boutique of technology, with Vincent pointing to familiar to Levie, whose citizenM brand offerings but in terms of updating their its significance in the creation of hotel was pioneering in the ‘affordable long-standing brands. “We try to work rooms that answer to current and lifestyle’ hotel space. A focus on very fast and to modernise ourselves,” future guest needs. modern and arresting design, flexible he says, pointing to the Canary Wharf “It's going to be all technology- public areas, feature bars and the use Novotel, where the award-winning driven,” he says. “Smart-room of technology presents the hotels as restaurant Bokan serves fashionable technology and our connected-room representative of a lifestyle, not just bottomless brunches. technology, in terms of heating, lighting, a place to sleep. Hilton’s approach is different, and TV channels, everything is going “I think that it’s clear the brands as EMEA president Simon Vincent to be driven out of the smartphone.” are focusing and narrowing in on outlines. “We're very much about The pervasive growth and success certain lifestyles or certain groups,” growing our brands organically,” of technology companies can light a he says. “Because of that we see he says, pointing to the success path for hoteliers looking to tap into more relevance and we see a little of as an example. the zeitgeist. Levie reveals how they bit more definition.” Hilton’s recent focus on targeting provide inspiration for citizenM. This positioning of the hotel as the the customer of the future has been in “Technology comes up a lot,” he round-the-clock epicentre of a hip the development of Motto, the recently says. “We're always saying we want neighbourhood and the manifestation announced micro hotel brand that to be sticky like Facebook and easy of an aspirational, adventurous lifestyle provides compact rooms that can like Uber, you know? Try to log out of characterises a number of Accor’s be connected for larger groups. Facebook: it's impossible. It logs itself acquisitions. The group has focused on Vincent also highlights the role of back in. And you know, we're all used investing in existing brands, such as customer research in the development to Uber because it's so easy.” the offbeat Mama Shelter – founded by, of Motto, explaining that guest The challenge for hotels in among others, Philippe Starck – and Jo comments had led them to explore and occupying the lifestyle space of the & Joe, which caters for a range of develop this alternative to sharing and future, perhaps, is to achieve this level travellers by offering private rooms, Airbnb-style accommodation. of familiarity and accessibility.

Accor is focusing on its existing brands, like Jo & Joe (Paris, pictured), which has a more relaxed, communal approach to hospitality.

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HMI077_121_Levie.indd 28 19/12/2018 16:11 Regional focus > Italy In the face of adversity Despite ongoing political and fi nancial instability within the country at large, the numbers for the Italian hotel market continue to look relatively healthy. However, with transaction volumes down this year compared with 2017 levels, how is the investor profi le changing, where are they looking to get deals done and how attractive is the hospitality segment compared to other real-estate opportunities? With the help of Colliers International, Hotel Management International takes stock.

n conjunction with the higher €346 million in transactions was recorded, hotels from BNP Paribas REIM, the 250- volumes invested in Italy, interest in equal to 8% of the market. room Hotel Milan and I the hotel sector outperformed and Of the 21 hotel transactions recorded, the 208-room Novotel Milan Malpensa, outgrew all other investment segments three stood out in particular. The largest representing the company’s first South between 2015 and 2017 accounting for transaction regarded the sale of the European hotel acquisitions. 13% of the real-estate market, mainly for future hotel, La Lama, in the EUR zone Looking at the geographical two reasons. On the one hand, given the – a residential and business district in distribution of hotel investments, the scenario of high liquidity and lack Rome, located south of the city centre – country’s capital maintains its position of ‘traditional’ products, investors were in shell and core condition. In fact, at the top of the table, achieving seeking new products to acquire. On the the real-estate market in the EUR is approximately €130 million – equal to other, the Italian tourism sector’s strong undergoing a positive phase in terms 39% of volume. Conversely, activity performance highlighted the lack of an of real-estate investment, as well as in the other cities is at lower levels. adequate supply of hotels able to meet the letting of office spaces. One should Investors are taking into existing the new requirements of tourists make mention of the sale of Castello hotels into consideration, partly During the first nine months of 2018, di Casole in the province of Siena, to refurbish, as well as properties however, investments in hotels declined to purchased by a foreign luxury operator. to be converted, particularly in a greater extent than the overall decrease In Milan, Swiss Life AM Real Estate historic centres. The non- in the Italian market; consequently, only acquired a portfolio of two Italian performing trend in the

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HMI077_009_Italy.indd 29 19/12/2018 13:44 Regional focus > Italy

Figure 1. Hotel investment volume by scale (stars) would maintain an investor logic with a long-term time horizon, given the 5*L 5* 4* <4* Share of hotel duration of hotel rents. 1.600 - - 16% 1.400 - - 14% On demand 1.200 - - 12% Tourism flows have recorded interesting

1.000 - - 10% percent variations over the last few years, with an increase in total arrivals of about 800 - - 8% 19% between 2013 and 2017, and a 12% € million 600 - - 6% increase in overnight stays. This trend in 400 - - 4% flows led to a decline in the average stay: 200 - - 2% the 2013 figure amounted to 3.6 overnight 0 - - 0% stays, while in 2017 it dropped to 3.4 2013 2014 2015 2016 2017 Q1–Q3 2018 nights. Also of interest is the analysis

Source: Colliers International of source of the flows. The international component played the greatest role in Figure 2. Hotel investment volume by macroregion supporting this increase in flows: the number of stays by Italian tourists Rome North-west North-east increased by 9% between 2013–17, Centre out of Rome South and islands Mixed portfolio compared to an increase of approximately 1,600 - 14% for international ones. 1,400 - The gap between domestic and international tourism is present with 1,200 - regard to arrivals, although it is not as 1,000 - evident (17 and 20%, respectively). 800 - The analysis of flows by € million 600 - accommodation facility highlights that, 400 - from 2013 to 2017, non-hotel facilities

200 - attracted an increasingly higher number of tourists (39% in arrivals and 19% 0 - 2013 2014 2015 2016 2017 Q1–Q3 2018 in stays), with the rental properties category standing out in particular. Source: Colliers International Of particular mention among hotel

Figure 3. Hotel investment volume by investors origin facilities, on the other hand, is the growing number of tourists that Italy Quatar US seek a five-star and luxury hotel, a France Others trend particularly evident in terms 1,600 - of arrivals, among Italians (18%

1,400 - in arrivals and 6% in stays) but especially international tourists 1,200 - (33% in arrivals and 28% in stays). 1,000 - 800 - Room for more € million 600 - There was a considerable increase in 400 - the number of hotel facilities between 2016 and 2017 (around 15%). Among 200 - hotels, which were constant during 0 - 2013 2014 2015 2016 2017 Q1–Q3 2018 the two-year period in terms of number of establishments as well as number of Source: Colliers International rooms, the five-star segment showed the office market outside of Milan is driving strategy would involve a split sale, highest growth, with a percent variation investors to seek alternatives for these which is not in line with the investor of over 8% in terms of number of hotels buildings. If they are not positioned mindset. In fact, the residential and over 6% in terms of rooms. Conversely, on the major shopping streets, their leasehold market managed by hotels in the lower segments (one and two conversion into residential or hotel use institutional investors has not yet star) decreased by about 3% in terms of can be evaluated. In the first case, the developed. However, the second case number of establishments and number of

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Castello di Casole, Siena: this hotel was recently purchased by a foreign luxury operator.

rooms. Non-hotel facilities increased as well, particularly in terms of number of establishments (around 18%). Rental properties showed the highest growth, up by about 30% between 2016 and 2017.

Prime real estate Across the Italian property market more generally, investment volumes recorded extremely positive results in the third quarter. In fact, investment volume achieved the best ever result, equalling €1.6 billion – a 7% increase compared to the same period of 2017. Consequently, the annual total volume reached €4.6 billion. As a result, the year’s trend is still lower than the record levels of 2017, albeit in line Novotel Milan Malpensa: Swiss Life AM Real Estate acquired this hotel from BNP Paribas REIM. with the 2013–16 average. The real-estate market remains active, The two main markets of Rome and Offices continue to be the preferred although the lack of product is pushing Milan totalled 57% of the investment asset class, thanks to the excellent investors to rate other asset classes, volumes. The Milanese market performance of the rental market, such as retail, logistics and healthcare. succeeded in attracting €664 million which could reach a take-up record Indeed, investments in offices have investments in the third quarter, level at the end of the year. The halved, as have those in the hotel sector. reaching a total of €1.8 billion since the market trend of the capital is in line In both cases, the lack of product is beginning of the year. These results are with what has been observed over truly felt. The operators’ interest in hotels lower than the record volumes of the the last five quarters, with quarterly remains high, though the timing is rather past three years. If compared to other volumes approaching €300 million. long due to the value-added operations Italian areas, the city remains attractive Unlike Milan, where the market is that need to be carried out. but the products sought by investors mainly linked to offices, investors Interest in logistics and retail confirms are hard to find. Indeed, the available in Rome contemplate all the other that investors are confident in the Italian properties are limited, which reduces asset classes. The most important families’ consumption trend. the transactions volume. However, transaction concerned a healthcare Positive results in the healthcare sector competition to secure the best core portfolio, whereas it’s worth show a will to diversify in other asset products keeps yields at very low levels, mentioning retail transactions in classes over a longer time span, ideal for even during a rise of the government the area of Via del Corso with very pension funds that are interested more bonds rates. This reveals that investors high values in terms of price per in cash flows and less in capital gains. are still trusting in the Italian market. square metre.

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HMI077_009_Italy.indd 31 19/12/2018 13:45 Special report > Soft brands Soft sells Soft brands have enjoyed signifi cant success in the luxury segment in recent years, but a number of operators are switching their focus to independent midscale hoteliers, launching new offerings that promise the retention of independence and the ability to leverage global scale. What accounts for this shift, and how can the concept be adapted for a segment more associated with consistency and standardisation? Patrick Kingsland speaks to Philippe Bijaoui of Wyndham, Hilton’s Mark Nogal and hotel consultant Bjorn Hanson.

n the current operating climate, international operators spied significant to leverage global platforms and what does independence truly opportunities within this landscape, delivery systems. I mean? The growth of OTAs, an launching new brands and initiatives Initially, the vast majority of this increasingly globalised market, shrinking that promised selected properties activity took place in the upmarket margins and the all-pervasive significance the ability to maintain a large degree and luxury spheres, segments where of scale have made it ever more difficult of independence – minimal or zero individuality and personality are for hoteliers to go it fully alone. branding, no standardised room sizes, a long-cherished values and the idea of In an effort to quickly expand hands-off corporate approach form head cookie-cutter branding an anathema. portfolios through minimal investment, office – while benefitting from being able However, this still left a huge amount

INFINITY Hotel & Conference Resort , an example of the unique, upscale elegance that travellers look for.

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HMI077_110_hostels.indd 32 19/12/2018 13:46 Special report > Soft brands

IHG expects to open more than 200 of its upscale voco hotels (voco Gold Coast, pictured) in the coming decade.

of independent stock lower down the upscale market segment, and “While numerous brands compete in the chain, properties that perhaps Wyndham Hotel Group’s Trademark the luxury and upper-upscale segments, didn’t fit neatly within – or were Hotel Collection, which was designed Hilton’s extensive consumer feedback and unwilling to compromise for – the for ‘savvy and autonomous owners’ competitive data analysis have revealed stringent brand standards employed in the upper-midscale segment seeking a white-space opportunity in the upscale by international operators. independence on their terms, are market segment, especially for a collection Traditionally, there has been an cases in point. For both operators, the brand,” explains Mark Nogal, global head acceptance within the industry that those launch of a soft brand in the three to of Collection and Tapestry Collection, looking towards the midscale segment four-star price point was a no-brainer. adding that the company’s proven prioritise consistency and reliability; “We saw an opportunity to expand experience of launching a successful “The best surprise is no surprise,” went our portfolio while advocating for upper- collection brand – Curio Collection – gave the Holiday Inn slogan. This is changing. midscale independent hoteliers with the team confidence that it would be able Locality, individuality and authenticity are no existing soft brand options available to balance each hotel’s individual identity now becoming key drivers at most tiers to them,” says Philippe Bijaoui, chief with the strength and reliability offered of the sector, amid a growing acceptance development officer for Wyndham Hotel by Hilton and, as a consequence, drive that a cookie-cutter approach lacks Group (EMEA). “Demand for soft brands “organic net unit growth”. appeal for a new generation of guests has grown at a rate of nearly 20% in the who are enjoying an unprecedented past several years.” Brand-new strategy range of hospitality options. The group already supports nearly The appeal of upper-midscale and A change in circumstance has also 5,000 franchise owners across its upscale soft brands is clear from a reshaped the playing field for those portfolio and announced the launch consumer perspective. As Nogal independent hoteliers who value their of Trademark, its first soft brand, in explains: “These hotels cater to guests freedom, but have been somewhat left June of last year. Incredibly, Trademark seeking reliability and value in their behind by an increasingly scale and passed 100 properties at the end independent hotel choices. You’ll never brand-dominated market. Buoyed by of November. see the same thing twice and every the success of upscale soft brands such “This collection targets an untapped experience will be uncommon, backed as Hilton’s Curio Collection, and growing pool of hoteliers across the upper- by the reassurance of the Hilton name demand from owners and consumers midscale segment and above,” Bijoui and award-winning Hilton Honors for a slightly lower-end version of says. “The traditional segmentation of programme – providing guests the the same concept, soft branding is our industry typically sees only luxury best of both worlds.” slowly infiltrating the three to four-star hoteliers maintain independence. It’s all part of the wider evolution of segment, offering hoteliers and travellers Trademark goes beyond this to broaden what constitutes a brand, according to on a slightly less-than-luxury budget a and redefine the scope of a soft brand.” Bjorn Hanson, a clinical professor at blend of independence and reassurance It’s an opportunity Hilton has the NYU Jonathan M. Tisch Center for that was hitherto out of reach. also identified, resulting in the launch Hospitality and Tourism. Tapestry Collection, a Hilton brand of its 14th brand, Tapestry Collection, “A brand used to be absolute targeting independent hoteliers in back in January. uniformity,” he says. “It didn’t matter if a

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hotel was in Oregon, Hawaii or New York of more than 52 million members who current portfolio includes properties in City, the brand had a standard, and the are part of the Wyndham Rewards loyalty the US, Canada, Austria, Germany and furniture and the fabrics would all be programme; gain significant cross-selling Switzerland. With the global supply of identical, even down to the art on the wall. opportunities, as Wyndham Hotel independent properties in the upscale “Holiday Inn’s old slogan used to be Group’s hotels are distributed through market estimated to be more than a positive, but it’s becoming a negative. at least 10,000 affiliate partners and 15,000, the scope for significant, rapid More travellers are looking for something in global call centres handling more expansion is enormous. genuine and authentic, and that’s what than nine million calls annually; take “While the first opportunities Hilton these collections offer – the opposite of advantage of the group’s buying power has identified are in the US, we will the old, rigid brand uniformity.” with negotiated OTA rates, and a mix- continue to carefully evaluate and The name Tapestry was chosen shift in reservations away from third- expand the collection in additional by Hilton because it is a ‘one of a party intermediaries towards Wyndham markets that align strategically for kind’ element and the collection’s first Rewards and other direct channels, such the brand,” Nogal says. property, Hotel Skyler Syracuse (named as website and call centres; and rely on The immediate focus of the after its owner’s one-year-old grandson) Wyndham’s experienced global sales, company will be on growing the fits the bill perfectly. First built in marketing and operational teams. brand in distinctive markets. the 1920s to house the Temple Adath Yeshurun congregation, and later used Demand for soft brands has grown at a rate as the home of the Salt City Center for the Performing Arts, the eco-conscious of nearly 20% in the past several years. property opened in 2011. – Philippe Bijaoui Today, Syracuse’s first LEED Platinum Hotel features an eclectic mix of retro Hoteliers that opt to join Tapestry “We’ve set a high bar to add historic, and contemporary decor across 58 Collection gain access to more than 50 iconic or landmark hotels, which unique rooms. million Hilton Honors members and a truly represent the individuality At the time of writing, Tapestry has global distribution network, and thanks and personality the Trademark Hotel 13 operating hotels in its portfolio and to the soft brand’s flexible standards, Collection stands for,” Bijaoui says. more than 40 in the pipeline, although, only need to make minimal changes to as with so many of these soft brands, their operations. Swanson, for example, The end of independents? those numbers are changing by the day. had to increase the speed of the Hanson appreciates that it is only a “This model is a way for brands to property’s wireless internet network, matter of time before other groups follow get great ideas from developers and upgrade its 24-hour fitness centre suit. Deutsche Hospitality’s unveiling of owners that have found ways to operate and install a system that allows guests MAXX by Steigenberger, earlier this year, in their local market,” says Hanson. to unlock the door to their rooms with is a case in point, and IHG expects to “Whether they are in design, marketing, a smartphone app. open more than 200 upscale voco hotels operations or staffing, there are creative For Hanson, the biggest challenge over the next ten years. ideas that brands could incorporate of the model will be that owners of “This is an evolving trend that will into their systems or across collections. more traditional brands may start to continue and expand in the worldwide It’s kind of an intellectual capital in want some of the flexibility they see lodging industry,” he says. “There are so addition to the scale and inventory offered in the collections. many mid-priced hotels, whether they’re capital that’s gained.” “They may even start to resent the boutique or lifestyle, that don’t meet the brands,” he says. “All of a sudden, if traditional brand standards of a 14×27ft The economy of scale other brands at the same price level room, or might have different public For the likes of Hotel Skyler owner Norm that they’re competing with, perhaps space configurations. Swanson, the draw to join a collection like even affiliated with the same hotel “For brands to grow, they have to Tapestry or Trademark is the fact that it company, are given the ability to accept hotels that might not have can maintain its own independent spirit make the decision not to comply qualified under old brand standards.” and identity – thanks to more flexible with brand standards, the owner of One can see the benefits for operators, standards than a traditional brand – the more traditional brand could feel but, with the trend still in its infancy, but also take advantage of the scale, very disadvantaged.” it remains to be seen whether hoteliers global distribution and internationally The team at Trademark is actively who are used to complete independence recognised loyalty programmes that come working with a number of individual remain fully on board. It may not be with affiliating with one of the world’s owners and large developers all over that the meaning of independence is largest hotel operators. the world, including owners of existing changing, more that, for owners wanting Trademark hoteliers, for example, will hotels, and exploring new construction to maximise exposure and turnover, it be able to gain access to a growing base opportunities in urban markets. The could soon cease to exist altogether.

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HMI077_110_hostels.indd 34 19/12/2018 13:47 Insight > Operations

A Murphy queen room – the bed can be folded away.

Sizedoes

Global brands arematter betting big on small hotel rooms in an effort to appeal to the younger generation of travellers who want an affordable experience that doesn’t sacrifi ce comfort or privacy. Hilton’s Tripp McLaughlin, Premier Inn’s Carlo Del Mistro and Pod Hotels’ Richard Born make small talk with Elly Earls.

ize isn’t everything to the Debuting in 2019 – the year Hilton Motto hotels will focus heavily younger generation of travellers, celebrates its 100th anniversary – Motto’s on social spaces, new tech and F&B S who tend to value quality over average room will measure only 163ft² operations, all in an effort to fill the quantity and a buzzing community vibe compared to 340ft² for an average midscale ‘white space’ the Hilton team has over unnecessary square footage – if hotel and 230ft² for a Tru by Hilton property. identified for lifestyle properties in city the price is right. Guests will be able to choose between centres at an affordable price point. This was certainly the reasoning a solo king or queen bedroom, a Murphy behind the launch of Hilton’s new bedroom, where the bed will fold up to Brains of the operation affordable lifestyle brand Motto, which provide desk space and a couch for The brain trust behind Motto has will feature ‘micro-hotel’ design with meetings or workspace, and a queen identified, defined and targeted an urban vibe in prime global locations. bed/bunk bed combo. ‘connected and confident’ travellers who

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Hilton’s Murphy rooms contain an optional solo or queen bed room, with a desk that can be adapted into a workspace. Additionally, a queen bed/bunk bed combination is also present, allowing space and comfort for multiple guests.

“create shareable moments in key urban don’t need. ZIP will be able to offer a brand that introduced the micro-hotel locations, whether traveling for work or an appealing proposition to these model to New York City in 2007. play, in a group or solo,” says Hilton vice- guests and give them a clean, safe “Community spaces are very president and global head of Motto, Tripp and comfortable accommodation important in a micro-hotel model, McLaughlin. “Ultimately, guests think option at a great price.” because guests will inevitably spend experience is everything and they look a majority of their time outside of to make smart trade-offs to experience Spacious and sociable their room,” says BD Hotels co-founder higher-quality meals, authentic local Although Motto and ZIP are different in Richard Born, whose Pod Hotel brand culture, moments and memories. many ways – Motto hotels are midscale has now expanded to five properties, “For example, these guests are and in the heart of the action while ZIP four in New York and one in willing to trade off smaller room sizes is super-budget and will house its guests Washington, DC. to be in prime urban locations with out in the suburbs – there are a several “The Pod culture has been accommodations that have authentic common denominators, not least the organically shaped by independent, and comfortable ‘lifestyle’ design, focus on providing spacious and sociable social travellers drawn to a hotel that provide flexibility for groups, have public spaces. encourages interaction and discovery. great F&B and include amenities that ZIP’s first property in Cardiff, for Our intention with communal focus on social/communal spaces.” example, will have a spacious communal areas was to create a playful, open Hilton isn’t the only global hotel area split into different zones to cater to environment that would enhance company betting big on smaller rooms. different customers’ needs. While guests this travel community’s experience In the same week Motto’s launch was who need to get some work done and encourage guests to connect announced, Premier Inn revealed details on their laptops will have access to and socialise.” of its new ‘super-budget’ brand, ZIP, comfortable working stations with plenty which is aimed at the “ultra-price- of power points and free Wi-fi, those that Maximise functionality sensitive customer looking to zip in just want to relax can sit in the chill-out When it comes to the tiny hotel and out”. Its £19-a-night rooms are area or at the fully serviced bar. rooms themselves, scrimping on square even more diminutive than Motto’s “We are very keen to provide a footage doesn’t have to mean sacrificing at just over 90ft², less than half the comfortable and spacious public space functionality or comfort – if designers are size of a standard Premier Inn room. to offset the small private space,” says clever with dual-purpose amenities. As Premier Inn’s head of innovation, Del Mistro. In Pod Hotel rooms, which start at Carlo Del Mistro explains, “our Similarly, Hilton’s Motto Commons just 72ft², bed frames have hidden storage extensive market research has identified lobby area, which will function as a options and closets have been swapped a large segment of very price sensitive cafe by day and a bar by night, will out for hanging racks that store a safe. customers who are not normally offer casual hangout space, free Wi-Fi The brand offers bunk bed style staying in a Premier Inn. These guests and power outlets aplenty. By designing rooms that allow for extra space but do not are people spending time on the road the public areas in a way that captures compromise on privacy as each bed has its for work, often on limited budget and the essence of the neighbourhood, own television and charging amenities. functional leisure travellers who are McLaughlin says, the hope is that they Meanwhile at ZIP, it took 12 different travelling to attend an event. will appeal to hotel guests and locals, room iterations over the course of several “The two customer groups look for ‘inviting in the neighborhood to activate months to reach the final room layout, a clean, safe place to spend the night that space.’ Hilton and Premier Inn which features two single beds that can without paying for extras they appear to have taken their cues from be converted into a double by pushing

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them together, a 24in television, a small great lighting and easy access to power “This means guests can use the bathroom with a power shower and outlets is to ensure the properties Honors app to manage most things overhead storage and hangers. deliver a reprieve from the busy and they would traditionally do manually, “At each stage we’ve tested the activated neighbourhoods in which from controlling the temperature and design and functionality with guests, they will be located. lighting to the channels on the TV,” collected their feedback and built it into “To us, this means having an says McLaughlin. “We will have the next room iteration,” says Del Mistro. elevated sleep experience with sound streaming functionality with One feature he’s keen to mention is dampening materials to reduce overall partnerships with Netflix, the lightbox. “As part of our effort to room noise, great blackout curtains, Showtime and others.” minimise wasted space, some of our quality mattress and pillows, and other Pod and ZIP count cutting-edge rooms are not facing the exterior of sleep amenities,” McLaughlin explains. technology as a key part of their the building and therefore don’t have But it’s the brand’s focus on enabling offering too, with ZIP set to speed a traditional window,” he explains. its guests to book two, three, four or check-in with kiosks and Pod “To improve guest comfort, our even five connecting rooms that really providing iPads in the lobby for designer has developed a feature light sets it apart from other affordable guests to surf the web and discover box, mimicking the look and feel of a options on the market. the surrounding neighbourhood. traditional window and adding a fun “Whether travellers are on a business In 2007, the concept of The Pod element by using a colour changing stay and need a room for a meeting Hotels came from the need to cater LED strip. This will allow our guests not space or a group of friends are traveling to savvy, ‘young-minded’ travellers, only to select the intensity of the light together, this room functionality makes who valued quality and affordability coming from the lightbox, but also for an easy stay,” McLaughlin says. “Our over quantity, and wanted a sleek, no its colour, giving them control of the goal is to allow guests to confirm these frills experience that didn’t sacrifice room mood.” unique room configurations at time of comfort or privacy, according to Born. booking, which will address one of the Over ten years later, the hospitality Small rooms at small hours top requests from our guests and will industry at large is beginning to tap At Motto, which has initial plans to be an industry first.” into the same mindset. “The micro- open in London, Dublin, Lima and And speaking of firsts, Motto hotel trend is gaining speed, and with Washington, DC, among other major will be the first Hilton brand to more and more young people travelling, cities, the main priority in the rooms – fully adopt the company’s new we believe this model will only become on top of providing a great shower, ‘Connected Room’ technology. more popular,” Born predicts.

ZIP’s rooms boast two single beds, with the option to combine them to create one double.

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LG Page 2.indd 1 19/12/2018 09:39 Insight > Design Under the influence The rising popularity and infl uence of Instagram means hotels must invest in striking and unique design to attract customers. Hotel Management International hears from experts on the Instagram effect and the steps designers need to take to maximise this new source of exposure.

s the popularity of Instagram Instagram-friendly is more than just “Instagram is influencing conversions continues to grow, so too simply being photogenic – it has for many of our hotels, appearing in the A does the need for hotels to to be design-led, envy-inspiring and conversion path at some stage – mostly have the most picture-worthy interiors. have a level of cool that shows off within the early stages of the flow, where Competition in the now social media- the poster’s taste. potential guests familiarise themselves obsessed tourism industry is rife, and The UP Hotel Agency works with the hotel brand, and other guest design can provide a vital edge. with a number of operators, including experiences from checking in at that Some hotels are going to extreme Firmdale Hotels in London, which location,” says UP Hotel Agency’s head lengths to provide memorable and feature distinctive Kit Kemp interiors. of digital, Richard Plant. photo-friendly interiors as the hotel The company says it has noticed a trend The Charlotte Street Hotel in London, market faces added pressure from the of travellers opting to stay in the more part of the Firmdale group, is popular on popularity of players in the rental market, ‘instagrammable’ hotels over options Instagram for its elegant facade, where such as Airbnb. What makes a place with less striking interiors. soft sage paintwork is complemented by

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HMI077_112_David.indd 39 19/12/2018 13:50 Insight > Design

dark foliage and the building’s striking red-tiled pool, a touch echoed distinctive London-stock brickwork. in the hotel’s red parasols. At London’s It is symmetrical, stylish and picture- St Pancras Renaissance Hotel, opulent perfect. Inside, the murals in the Oscar gothic Victoriana sets the stage for Bar and Restaurant provide a striking images by influencers such as Italian backdrop. It’s a world away from an Eleonora Rocchini (950,000 followers). identikit chain hotel. “In essence, I think there is a new breed of traveller looking Instant gratification for something different,” Plant explains. The St Pancras Renaissance leant into “Experience is everything.” its social media popularity, installing This trend is not limited to leisure. a kiosk for visitors to print their “Business travel has changed,” Plant Instagram photos in 2016. “Social says. “Many industries realise that the media is a huge part of our marketing big chain hotels, like and strategy, and something that is Holiday Inn, are an antithesis to the becoming more important as we see creativity and productivity that they more returns,” Madeleine Duxbury, the require, so are looking for creative hotel’s marketing manager at the time, places for their staff to stay at – and told Digiday UK. “The idea behind Hotels are now partnering with Instagram to snap on Instagram.” in uencers to make booking easier. this is to incentivise our guests to Owain Powell, also of UP Hotel become influencers.” Agency, notes that hotels need to beachfront. A beautiful view is a The role of influencers in the embrace the Instagram trend if they guaranteed draw – but it’s no good travel industry is growing, and want to appeal to today’s generation. if the hotel itself doesn’t feature in some hoteliers have expressed “They are prepared to pay a little more the image. Bold colours, luxurious disgruntlement concerning the often for a unique experience and take a risk materials, and quirky and individual numerous requests they receive for in the search of something special, elements are all popular. In hotel free stays. In early 2018, the owner of rather than booking in at hotels with bathrooms, spa-like marble interiors, the Charleville Lodge in Dublin posted rooms that tend to all look the same,” good lighting and deep baths are a a diatribe on Facebook and announced he argues. “These places were must, while colourful walls decorated a ban on bloggers after receiving a a niche in the industry but for many with slogans provide great photo pitch for accommodation in return for travellers and business bookers they opportunities. At the Red Dot Hotel in exposure from a YouTuber. While some are becoming a staple in reinvigorating Taichung City, Taiwan, refurbished by might consider this an underestimation the pleasure and creativity of travel.” Steven Wu and Wang Pe-Jen, a slide of the value an influencer can add, it Certain hotel design features are loops its way into the lobby. It’s no certainly led to internet notoriety and Instagram catnip. The majority of posts surprise that this is a popular post significant exposure for both the by @beautifulhotels, an account with on Instagram. vlogger, who posted a tearful response, 3.1 million followers, feature azure-blue Unusual hotel design is a ticket to and the hotel, which was mentioned in water: a shimmering private pool, or Instagram success. Many posts of the write-ups from news outlets across a palm tree and parasol-decked Library Hotel in Koh Samui feature its the world.

With over three million followers, the instagram account @beautifulhotels can in uence a hotel’s success.

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This is not the only example of hoteliers pushing back against the rise of influencers; a piece by The Atlantic featured luxury resorts bemoaning the deluge of unsolicited requests for freebies they received. “Everyone with a Facebook account these days is an influencer,” Kate Jones, marketing and communications manager at Dusit Thani’s Maldives resort, told the publication.

Infinite reach Nevertheless, the reach from a well-received post by a popular Instagrammer can be enormous. An image of US travel influencer Jay Alvarrez in a dramatic infinity pool

overhanging a cliff at The Edge resort, The elegance of Charlotte Street Hotel, in London's Fitzrovia, makes it an Instagram favourite. Bali, has been liked over half a million times. His caption to the post includes appeasing Instagram users is the rooms. They are an elegant subject the hotel’s own Instagram handle, unavoidable future for the hotel for a photograph in their own right, directing followers to a carefully industry. “You either love it or you especially when paired with turquoise curated feed brimming with images hate it when people are on holiday water and palm fronds; they are also of attractive guests, including and all they're doing is sharing the an ideal backdrop for the kind of other influencers. photos they've just taken in the lobby, stylised portrait that has given rise to the phenomenon of the ‘Instagram boyfriend’ (a significant other willing Today’s generation are prepared to pay a to take the numerous snaps required little more for a unique experience and take a for the perfect post). risk in the search of something unique, rather However, Worrall believes the next hotel interior trend will than booking in at hotels with rooms that be a greater emphasis tend to all look the same. on technology. “One of the next big trends, in – Owain Powell, UP Hotel Agency my opinion, will be the digital walls. We've seen products like the wallpaper While in the past Instagram served the room, the bathroom, balcony and TVs. This is essentially a TV that as initial inspiration, planting a seed much more,” he says. “While they can can be stuck to your wall with in a follower’s mind that might be a bit excessive, it presents a great tape – although it isn't advised,” months later become a definite trip, marketing opportunity so you're going says Worrall. the distance between ‘liking’ and to have to step it up a little, make sure “LG’s version is only 6mm thick and booking is reducing rapidly. On The your decor isn't out of date, and that has a slight bend tolerance too. This Edge in Bali’s feed, Instagram’s the style or theme you've gone for means that it can be attached to the addition of action buttons mean that works well. wall without having a big effect on just one click can put through a call “A timeless design is key. Most the surrounding areas.” to the hotel. Influencer Christina will want to stay in a hotel that Sadly for the hotels currently trying Vidal (@jetsetchristina) has partnered evokes style and luxury while to enter the Instagram-obsessed with platform TRILL, meaning being affordable. And if they go on market, competition is stiff. Many of reservations can be made directly Instagram and see that you haven't the most popular hotels on Instagram from her posts, while easyJet has got this, they won't stay with you.” already had elaborate and picturesque recently got in on the action with its A strong sense of place evoked interiors even before the rise of social Look&Book app. through design is a popular feature. At media. For architects and interior Charlie Worrall, a digital marketing the Riad BE in Marrakesh, colourfully designers, then, there is significant executive for contemporary interior patterned tiles, typical of the region’s pressure to produce stand-out designs company NGI Designs, agrees that artistic heritage, line the pool area and in order to catch up.

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HMI077_112_David.indd 41 19/12/2018 14:57 Illuminating hotel facades across the globe with innovative, energy efficient LED contour lighting

Visive Group Limited, Ash Road South, Wrexham Industrial Estate, Wrexham UK LL13 9UG T: +44 (0)1978 660181 www.visivegroup.com

Visive_HMI_advert.indd 1 07/11/2018 14:47

p42.indd 1 19/12/2018 09:51 Company insight > Design LED is a light that never goes out LED lighting adds style and excitement as well as visibility to hotel buildings. Charles Tweed, chairman and marketing director at Visive Group, outlines the innovations and new technology available, and emphasises a commitment to quality and design.

he appearance of a hotel at night requires as much compared to previous models, while retaining the patented careful thought and design as how it looks during intelligent safety circuit that continuously monitors the T daylight hours. While it is important for hotels to condition of an entire installation. Additions to the solid colour be visible, lighting can be used to accentuate architectural illumination are under development, using smart technology features, provide a vivid and exciting display and reinforce to provide myriad changing colours and moving light. a cohesive brand identity. The clean lines and creative The striking features of the LED contour tube have been possibilities offered by LED lighting make it an ideal option. utilised to great effect on the facades of hotels including the Visive Group designs and manufactures quality, robust and Marriott Hotel, Kensington, and the Holiday Inn, London West. efficient LED contour acrylic tubes, as well as specialising in Visive has the capability to match brand colours, offering electronic design and the manufacturing of electronic smart custom solutions to the industry. Furthermore, low-energy monitoring components. Visive’s key LED contour tube consumption – at less than 5Wp/m – and a long life make LED products, Hi-Lite and Hi-Brow, are extensively used on service contour lighting a particularly appealing option. All Visive’s LED stations, shopping centres, casinos, restaurant facilities and contour tube products are easily to install, safe to touch, require hotel buildings around the world, and can provide an aria of minimum maintenance and have long-term warranties. visually impressive light displays. These include pure solid Visive has been designing and supplying LED colour, multicoloured or moving and changing colour, or contour tube for multinational global brands since 2000, cascading light flowing down an elevation. combining UK-based design with a global reach. The creative design, assembly and manufacturing of Visive Full of bright ideas products have been conducted at the company’s head office Visive introduced the latest LED contour solid tube, Hi-Lite 30, facility in Wrexham under ISO9001:2015-accredited quality earlier in 2018. The Hi-Lite 30 has several enhanced features as procedures since 2000. In November 2017, Visive created a joint venture company, Visive Group () Visive supplies high-quality LED Commercial Lighting, to manufacture and sell products xtures to worldwide hotel chains. in China and the Asia-Pacific region.

Shine a light in every corner of the world Visive is committed to offering its products globally, and in May 2018, signed a ‘partnership agreement’ with Bever Innovations for it to sell a self-branded LED contour tube across Europe, Africa, Australasia and South America. Furthermore, Visive has a ‘Manufacturing Supply Agreement’ with DK LED to manufacture a unique dual-extrusion acrylic LED tube for a global oil company that can now be seen on service stations in several countries. In September 2018, Visive signed a further ‘manufacturing supply agreement’ with Petrol Sign NL to supply its LED contour tube product ‘Hi-Brow’, which is now being rolled out for a global oil company. Visive remains focused to its guiding principles: innovation, quality, reliability, collaboration and fulfilment. The company’s culture of continuous improvement ensures all components, finished products and service standards are industry leading.

Further information Visive Group www.visivegroup.com

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HMI077_Visive Group.indd 43 19/12/2018 10:19 Insight > Food & beverage

Healthy profits For chefs at all levels, vegetarianism and sustainability can no longer be considered niche concerns. Chloe Scott-Moncrieff talks to restaurateur and activist Peggy Chan about blazing a trail for plant-based eating, and a hospitality career spanning three continents and a number of different incarnations.

eggy Chan – vegetarian chef, is on a mission to change the world, For her though, there’s restaurateur, TED speaker – isn’t albeit one small step at a time. no time for resting on P afraid of cutting to the chase. She Her virtually vegan restaurant, laurels. Yes, she’s got Asia – has just flown in from Rene Redzepi’s Grassroots Pantry, opened in 2012 in Hong , specifically – MAD symposium in Copenhagen. Kong. It blazed a trail by championing ruminating over food waste “It was fascinating and plant matter and ethical eating at a time and environmental issues in the thought-provoking,” she says. “There were when it was considered niche. kitchen, but there’s the rest of the talks about inner issues, internal pain, “When I moved to Hong Kong, I noticed planet to consider. This year, she has suicide in the industry. Chefs also need to the lack of foods I’d eaten growing up in a launched pop-up, the Collective’s be healthy mentally – it is time to learn all Canada,” remembers Chan. “Buying a tub Table, where she challenges chefs to the characteristics of sustainability.” of miso would cost me a fortune.” cook more sustainably, and she’s taking We’re in Essence, a vegan raw food them worldwide to raise awareness. joint, just off London’s Old Street, a place Sustainable dining “We’ve already had one in Shanghai, Chan has chosen to meet. As we plunge These days, plant-based menus Manila and Australia, where we worked into intense conversation about food and the debate surrounding intensive with Nick Stanton from Ramblr; we’ve politics, mental health and female chefs farming are prolific. But back then, had one in Vietnam in November with over breakfast, you sense this 34-year-old Chan’s voice was prescient. [US-Vietnamese chef] Peter Franklin, and

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HMI077_014_F&B.indd 44 19/12/2018 13:57 Insight > Food & beverage

we are hoping to lock down LA “Gourmet had an article about “He was so forward and progressive, for October,” Chan says. genetically modified organisms,” says I wanted to learn,” she says. “I said I’d Likewise, I’m meeting Chan in London Chan. “I hadn’t understood the effects of do any job and offered to be a server.” today because she’s been in talks with Monsanto culture on a social justice level For a shy person it could have been Cub, a nearby zero-waste restaurant – the patenting of seeds is outrageous to a disaster. Not for Chan. Her serving established by up-and-coming British me, you can’t buy what nature created. experience set her on a trajectory. Not only chef Dougie McMaster. Because of capitalism, greed and money, was she bowled over by the attention to “The timings weren’t quite right, but ownership had been applied. I was angry detail and strong leadership she witnessed I thought I’d come over anyhow, check and emotional about it. I wanted to know at Robuchon’s, but it wasn’t long before out the scene,” she says. more and do something.” she was poached by the Four Seasons Her career is soaring, but Chan says Hotel for a two-year traineeship. she’s not always been such a force to be Driven to succeed In spite of, or more precisely because reckoned with. Chan completed her diploma, then of, her drive and work ethic, problems “At school, I was an introvert,” she recalls headed to Switzerland to start a erupted towards the end. of her childhood in Montreal, as she nibbles bachelor’s degree in restaurant and “I was expecting a promotion after the on a breakfast of scrambled chickpeas, kale, hotel management. Why did she leave two years, but it wasn’t happening – I green harissa and portobello mushrooms. the kitchen so soon after qualifying? grew increasingly frustrated,” she recalls. “Then as a teen I became naughty, “I had an injury from pushing myself too Her hair started falling out, she developed smoking and drinking; my parents were hard in yoga and carrying 25L stockpots gastroenteritis and lost 10lbs, “I wanted to splitting up and I felt a lot of guilt for it.” and decided I needed something to fall be moving faster in my career; I’d never “A fast learner,” by 20, Chan was over back on,” she explains. “The Swiss are had a day off. Not getting what I was it. “I wanted to focus on being a better renowned for their hospitality courses.” waiting for was difficult; it was work person.” It’s no coincidence that was The school was set in the mountains politics, of course,” she says. Yet returning when life took a culinary turn. near Lausanne, and the last semester to run the pass didn’t cross her mind. “I’d been starting my path to focused on environmentalism and ethical “When you have mentors saying you’re vegetarianism at 16, initially cutting out business. “It made me want to wake doing a great job, you don’t think about red meat,” she recalls. “And I’d always people up,” says Chan. cooking,” she says. “Also, this was cooked with my mum as a child, she is Next, she sought out California’s self-maintenance. I wanted to prove culinary trained, but it never occurred vibrant food scene. something to myself. I was learning about to me to go into the industry, even “My boyfriend and I were heading to leadership, emotional intelligence, how to though I loved food. But then my San Francisco – I wanted to work with handle situations with colleagues. My guidance counsellor suggested Alice Waters, who was an inspiration,” short-term goal was assistant manager.” something – he showed empathy and she says. As they were viewing A natural self-starter, Chan likes real love – so I listened and enrolled at apartments, they split up. creating fresh opportunities. Her next Cordon Bleu in Ottawa for nine months.” Far from reeling from the abrupt job, in the Peninsula, Tokyo, Japan – It was there, in 2004, she had a change of plans, Chan thought she’d an establishment she embraced for Damascene moment, thanks to the try Hong Kong, her birthplace, and its hardworking culture – helped now-defunct Gourmet magazine. approached L’Atelier de Joël Robuchon. kickstart a whole new journey.

Chan describes Grassroots Pantry as “not just a restaurant, but also a workshop, a place for plant-based experimentation”.

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HMI077_014_F&B.indd 45 19/12/2018 13:58 Insight > Food & beverage

“I had a good time, I thought I did Grassroots cooking ordeal. To me, the restaurant is a very well while I was there,” she says, The rest, of course, is history. These days, platform for us to do our work.” laughing. “But again politics appeared. her imaginative dishes like scrambled tofu Nor does she seek a Michelin It inspired me as that’s when I realised with sautéed mushrooms, slaw, pickled star. “If I was a chef striving for that this isn’t for me.” kohlrabi with coriander for breakfast, and accolade, I couldn’t focus on what’s So she hung up her order pad for what à la carte menu of Hunan dumplings important,” she states. she calls an Eat, Pray, Love moment (said and jackfruit nachos, thrill Hong Kongers A more savvy approach, she says, is with tongue in cheek) in Dharamshala and the international community alike. moving her endeavours beyond bricks in India, where she taught Tibetan nuns, Not only does her menu at Grassroots and mortar. monks and refugees English, and in return, Pantry reflect her life across three “I am making Grassroots not just learned about compassion and gratitude. continents – you’ll find everything from a restaurant, but also a workshop, a place “The experience, how to channel Hawaiian poke to Italian gnocchi in for plant-based experimentation,” she says. suffering and turn it into a positive her repertoire – she is increasingly Additionally, she works at schools mindset, was a lesson,” she recalls. “I was in demand internationally for public and is expanding her consultancy arm with people who live their lives so simply, speaking and dinners. “to share knowledge” so people can and were so content and grateful.” This year she was invited to cook replicate her ethos. Chan had plenty to meditate over. the exclusive dinner for International “What’s important,” Chan concludes, She’d been offered a major role in helping Women’s Day at the James Beard House “is creating change. We want to inspire launch a vegetarian restaurant back in in Manhattan, and talk at the esteemed other people. Are we sharing enough Hong Kong and was going to put her own Melbourne Food & Wine Festival. knowledge? Are we getting people to savings into it. She was wondering if she She is often asked if she’d consider a question what’s on the menu? To think shouldn’t just go it alone. franchise. As far as Chan is concerned about compassion? These things mean “I kept thinking, women don’t set up it’s a waste of energy, detrimental even. more to me.” their own restaurants. But in India I “I don’t need five restaurants,” she became more assured and knowing of says. “It doesn’t make me more powerful. This article was first published in FCSI’s my intentions. I left thinking, 'OK, I’m Running a restaurant isn’t that easy. Food Service Consultant magazine – doing this',” she says. We’ve 25 staff, training them is a huge www.fcsi.org.

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Wanzl.inddAnz_Hotelmanagement-network_Mundus_178x124_1118.indd 3 1 20/11/201809.11.18 08:5508:55 46 Hotel Management International | www.hmi-online.com

HMI077_014_F&B.indd 46 19/12/2018 13:58 Company insight > Food & beverage Better by design Eat Sets, a collection of concept rooms based on restaurant and bar spaces new for 2018, helped to cement the reputation of Sleep + Eat as Europe’s leading hotel design and development event.

leep + Eat was greeted with widespread plaudits earlier this month when it was staged for the first S time at London Olympia, introducing a restaurant and bar component to its highly respected hotel design focus. The event enjoyed a 24% increase in international visitors while, yet again, being applauded by exhibitors for maintaining the quality of its delegates. Commenting on the feedback, Sleep + Eat’s brand director, Mark Gordon, says, “Sleep + Eat 2018 was a pivotal moment in the show’s 13-year history. I am delighted with the tremendous feedback we have received from the entire hospitality design community and look forward to building on the show’s amazing success for 2019.”

Influential voices With the addition of a two-day Eat Conference running The 2018 event saw 150 international companies come together to debut and exhibit esteemed new collections. alongside the well-established Sleep Conference, visitors were able to hear from a broad range of the hospitality Four international design companies took on the challenge industry’s most influential voices. of designing guest rooms for well-known, non-hotel brands, Speakers included directors and creatives from renowned joined by two leading practices that pushed the boundaries companies such as Conran & Partners, Gorgeous Group, of restaurant and nightclub design. These included HBA Muza Lab, the Park Hotels’ Priya Paul, Starwood Capital London with Ahsap Ürün and Robin’s Design, who took and Sydell Group. Delegates learned about the science of on the challenge of creating a guest room inspired by the sleep, heard the background to several of London’s most Natural History Museum, taking their cues from the beauty headline-grabbing hotel and restaurant openings and had of the natural world and our connection with it. the exclusive opportunity to talk one-on-one with industry Yasmine Mahmoudieh, with Artisan Collective and JD influencers, including Felicity Black-Roberts of Hyatt, Harry Interior Solutions, explored the heart and soul of Penguin Harris of SUSD, Peter Heule from YAYS Concierged Boutique Books to design a multisensory sanctuary combining sound, Apartments and Roundhill Capitals’s Max Rodman. scent, materials and lighting, while 3Stories created a “It was wonderful to attend Sleep + Eat… to meet old fantasy restaurant in collaboration with Different and friends and discover many new connections,” said Priya Fileturn, encouraging visitors to experience the future of Paul. “I found the seminar topics extremely enriching at dining though virtual-reality Oculus glasses. both the Sleep and Eat Conferences. In fact, I had a tough Michael Ingemann, chairman of Claus Meyer Holding, time choosing what to attend.” summed up reaction to the event, saying, “This was my first With more than 150 international exhibitors, the event Sleep + Eat, and I was impressed by the breadth and depth saw the launch of over 50 new collections from high-quality of what I saw – both when it came to exhibitors and the international suppliers. This year’s theme of ‘Recognisable participants. I had several interesting first talks with and New’ featured iconic brands, newcomers, intricately hoteliers and designers, and I’m convinced those crafted items and cutting-edge products. initial meetings have the potential to develop into Lighting company Quasar, for example, presented long-lasting contacts.” Universe Square alongside its debuting Apple Mood Sleep + Eat will return to London Olympia range, Dornbracht showcased a mesmerising shower on 19–20 November 2019. Those looking to installation, and fabric specialists Dedar Milano presented attend can register interest on the event’s its Supernatural Collection, inspired by historical tapestries. website now.

A truly immersive experience However, the show has always been about more than Further information Sleep + Eat simply displaying products and ranges, and the interactive www.sleepandeatevent.com and immersive aspect was as important as ever this year.

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HMI077_Sleep+Eat.indd 47 19/12/2018 10:18 Insight > Guest amenities All’s well that starts well The wellness industry is booming and hotels at all levels are looking to benefi t. However, increased opportunities also mean an increasingly savvy guest demographic demanding something genuinely new and different. Paul King speaks to global spa leaders about the challenges of meeting those demands and why operators must adopt a ‘software approach’ when it comes to devising and delivering appropriate programming.

n November 2018, the Global profusion of ever-more creative Succeed or secede Wellness Institute (GWI) published destinations, retreats and tours. The stats certainly back that up. Wellness I its 2018 'Global Wellness Tourism The wellness concept is transforming tourism grew from a $563-billion market Economy' report. It found that almost every aspect of travel and wellness in 2015 to $639 billion in 2017, or 6.5% wellness, hospitality and travel are now tourism, GWI concluded, and “will only annually, more than twice as fast as converging in unprecedented ways, grow faster in years ahead as it lies at tourism overall (3.2%). It’s forecast to from the ‘healthy hotel’ concept going the powerful intersection of two massive, grow even faster through 2022 (7.5% mainstream to airports, airlines and booming industries: the $2.6-trillion yearly), to reach $919 billion. The US cruises injecting unprecedented levels tourism industry and the $4.2-trillion still leads the way in terms of wellness of associated programming, to the wellness market”. tourism revenues ($242 billion annually),

The pool at the Rosewood Hotel Georgia.

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HMI077_113_CoLiving_v2.indd 48 19/12/2018 13:53 Insight > Guest amenities

but Europe accounts for the most Rosewood Hotel Group’s property in Phuket, Thailand, launched an 'integrative wellness concept' in 2017. wellness trips, with $292 million. Nobody, however, can match Asia-Pacific in terms of growth, with wellness trips growing a staggering 33% in the last two years. This is a truly global trend. Once the preserve of the elite, hotels of all types and in all segments are therefore now looking towards leveraging the growth in wellness travel to generate increased revenues. A rise in activity does not necessarily equate to a rise in quality, however, and Susan Harmsworth has been in the game long enough to have seen her fair share of failed ventures. “One should and rituals, enriching fitness and lifestyle Gibson, who has more than 30 years’ either do a spa well or not do it at all,” activities, healthy eating plans, a dedication experience in the spa sector, cites the says one of the most influential individuals to pure, authentic ingredients and specially 'halo effect' spas can have on today’s in the sector, who set up ESPA in 1993. designed social spaces for relaxation and operators. According to research Merely offering a couple of massage tables reflection with a membership programme conducted by Accor, spa users spend and a sauna simply won’t cut it amid so that aims to build a sense of community double on food and beverage, and stay much competition. for local residents and hotel guests. more than half a day longer on average Today’s guests expect extensive The concept is based on a 'software' than other guests. wellness programmes and spas have approach to guests, explains O’Connell. “They have a higher overall spend in become bona fide revenue spinners, but it’s “Operators are more savvy now, so it’s every area of the hotel,” he says. “Our difficult to maximise those opportunities if not about simply building a facility – the conclusion is that the high spenders you don’t involve experts from the get go. hardware,” she says. “They are spending are likely to use a spa.” “It must be built as a revenue- more time on analysing and planning what O’Connell and Gibson are generation operation,” insists Niamh goes into fulfilling a guest journey in order excited by the trends they are O’Connell, group vice-president of guest to provide a flawless experience.” observing. According to O’Connell, experiences and wellness at Rosewood However, the definition of wellness – “Hotels are identifying deeper and Hotel Group. “That means, normally, a still a relatively novel term in Europe in this more diverse layers in the market.” feasibility study needs to be done by the particular context – is also expanding, says For instance, operators that offer the operator, together with an assessment Harmsworth. Operators need to be aware best facilities tend to understand that to determine whether or not the spa of changing guest expectations, rather wellness is often an extension of guests’ should be built.” than just sticking to buzzwords. daily health regimes, which may include O’Connell has overseen the launch of “We have seen a change in attitude consciousness and mindfulness Rosewood’s new ‘integrative wellness towards wellness over the past ten years, techniques, or personal trainers. concept’, which debuted in 2017 at but I advise our spas to use ‘wellness’ with “Consciously and unconsciously, the group’s Phuket property. Known as caution,” she says. “We are finding hotel wellness is becoming more significant ‘Asaya’, the idea is to “fuse alternative operators are either taking well-being, in our day-to-day lives, in the ways we therapies; lifestyle and nutrition wellness and lifestyle issues much more work, eat, sleep and socialise,” she says. coaching; educational wellness seriously, or it’s being driven more by “Operators must be able to appeal programming; fitness activities; marketing and terminology. to diverse lifestyles. This includes specialised healing treatments; “The danger is that it doesn’t always consciousness and mindfulness products and a dedication to pure, authentic meet guests’ expectations. I believe we and services. Other important elements ingredients; and thoughtful design”. shouldn’t overpromise, and should always might be environmental aspects, animal- be able to deliver.” friendly awareness, and food-related Savvy software savants There is some contention over whether aspects such as organic foods, or Rosewood Hong Kong, opening in March the spa should be considered an amenity. sustainably harvested food with less 2019, will host the first urban outpost. For Andrew Gibson, vice-president of a carbon footprint.” Translated from Sanskrit, the term mean of well-being for Accor Luxury, it’s setting an intention or hope, to propel self- terminology that sells the spa short. Take holistic orders change and transformation. Set over two “It is certainly not an amenity,” he says. In Gibson’s eyes, the holistic approach dedicated floors, the Hong Kong spa will “If designed and located intelligently, favoured by many of today’s leading revolve around specific individual wellness a spa and its related services can be hotels means the spa is not just limited goals, supported by alternative therapies a valuable attraction for a hotel.” to a single physical space. Wellness

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can encapsulate several features leave the hotel feeling better than when expectations, whereas just over a simultaneously, from water and lighting they walked in.” decade ago they were still being to the aroma of one’s room. “The most Above all else, hotels are improving built based on comparisons with the exciting trend by far is the development their wellness offerings for the right competitive set, or on ego.” of wellness into every aspect of hotel reasons. In addition to staying abreast “We went through an era of quick fix, operations,” he says. of guest demands and trends, this where time-poor guests were looking for “Guest room design is changing entails paying heed to financial viability shorter treatments and instant results,” dramatically, with different companies – which hasn’t always been the case reflects Harmsworth. “However, we are taking a variety of interpretations of in the past, says Gibson. already seeing a move away from this what this means. “In the past 20 years, knowledge as a result of our modern lifestyles.” “Technology and robotics will also on design, positioning and performance While technology and robotics will play a part in the development and of the spa has improved,” he explains. undoubtedly play a significant role in the improvements of wellness services in the “With some exceptions, most development of wellness services, there hotel. Our vision is to have our guests spas are built with realistic financial will always be guests who regard spas as a means of temporarily escaping smartphones and social media. “Overuse of technology seems to be Sustainability having negative short and long-term effects on our health, so we need to InnovationSatisfaction address that in our hotel spas in Quality particular,” says Harmsworth. Nouveau niche Perhaps the biggest decision for operators to make is whether they carve out a niche for their well-being offering, or strive for something with more universal appeal. “Traditional luxury hotel spas will continue to have their place in the market, as many guests will continue to seek a restful and relaxing destination,” says O’Connell, “but if operators can execute them authentically, there is a place for wellness facilities in the market. Once an operator identifies its place in the market, it will find the space and clientele that are right for it.” The one thing operators can’t afford to do, says Harmsworth, is offer a spa programme that is neither one thing nor the other. Fragrances for steam Sauna, spa and wellness Cleaner / conditioner “We see the market segmenting now, baths, saunas, whirl- technology: Technology for for sauna, spa and pool, hot tubs and experience showers, saunas, wellness facilities. which I think is a good thing for clarity experience showers hammam, steam baths and Disinfectant and cleaner for the guests,” she says. “If you’re going to rhassoul, dosage systems, for whirlpools and Jacuzzis carve out a niche, it must produce results. If inhalation systems, light technology it’s nutrition-led, for weight-loss or a health- related programme, it really must work; Kemitron, is manufacturer of high-quality products for the spa-, sauna-, and many of those on offer are just tokenistic. wellness market (technology, fragrances, cleaners, cosmetic). The company’s The most revenue will still be from focus is on best quality and workmanship. All items are “made in Germany”. massages, facials and general spa Kemitron’s products are sold on the international spa and wellness market and can be purchased via our webshop on our homepage. www.kemitron.com treatments. In the wellness sector, you have very specialist areas, such as complementary health, acupuncture, E-Mail: [email protected] Telefon: + 49 (0) 70 24 / 9 50 60 osteopathy, nutrition and cancer treatments, www.kemitron.com so you need to have the market to make it profitable. It’s not something you can compromise on,” Harmsworth concludes.

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HMI077_113_CoLiving_v2.indd 50 19/12/2018 13:54 Insight > Security Break In 2016, Shiva Foundation the brought together a diverse group of hospitality players to create the Stop Slavery Hotel Industry Network, whose members collectively system account for 6,000 properties s someone who knows the experiences, the challenges we faced in more than 100 countries hotel industry, I can tell you and good practice we were implementing. and employ 220,000 people A that collaborative efforts are The conclusion was clear: to tackle this globally. Meenal Sachdev, the only way we will be able to make problem we needed to collaborate and founder and director of any real impact on the risk of modern facilitate communication between the Shiva Foundation, outlines the slavery within our sector. complex layers of the industry. The industry is vast and multilayered. As a result of these discussions, the story behind the network’s Shiva Hotels made a public commitment Stop Slavery Hotel Industry Network was formation and highlights its to tackle human trafficking and modern founded – the first ever industry-wide ten recommendations for slavery in 2016, after which it rolled out body that brings together corporate and combatting modern slavery practical training materials and tools operational levels to tackle modern slavery. in the hospitality sector. across its business, and put in place We were adamant that the group be policies and protocols that sought to cover action-oriented and practically useful. everything from hiring to remediation. As an industry that employs one in ten Yet we know that as just one owner in a complex matrix that includes management companies, brands, recruitment agencies and suppliers, among many others, we cannot tackle it alone. In November 2016, Shiva Foundation hosted a roundtable discussion in partnership with Thomson Reuters Foundation. We brought together key players within the hotel industry for an open discussion about each of our

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people in the world, we reach almost (responsible, accountable, consulted, and The Consumer Goods Forum provides everyone in one way or another. informed) exercise, a tool used to break a stellar example of how a group of For this reason, we are asking all key down complex processes with multiple collaborators and competitors in the stakeholders, whether government, stakeholders and clarify the roles of each same industry can come together to business, civil society or consumer, to actor, step by step. produce simple, strong and forceful get involved in this fight. As an industry We looked at three activities identified standards on slavery that resonate we are working hard to address the as particularly challenging with regard to with CEOs and CSR leaders. The issue, but to truly make an impact, supply chains: recruiting subcontracted network calls on the industry bodies collaboration must extend further. staff through a third-party agency; within the hospitality and hotel sector The UK Government has identified contracting to construct a new property; to work towards creating a focused modern slavery as the greatest human and procuring goods. working group on slavery in the rights issue of our time. Fuelled by the By understanding when and how to industry, particularly one that engages demand for cheap labour, the human consult and inform each other, the network smaller hotel companies and includes trafficking market is formed of global developed a clearer understanding of how their voices. Collective advocacy has networks of criminals that are deeply members could better work together to already demonstrated its ability to embedded in the global economy. address challenges quickly, or spot global create change in other spaces – it is The International Labour Organization trends or risk indicators. Ensuring that time to come together and do the estimates that there are 40.3 million expectations among business partners same on this critical issue. people trapped in forced labour are clear and that roles in the process of worldwide. Of those, 21 million are victims contracting suppliers are defined can go 2. Stronger, targeted action of labour exploitation and a quarter of a long way to ensuring risk is minimised from labour market regulators all modern slavery victims are children. throughout the entire process. Licensing labour providers has been From the very beginning, the network Our discussions also highlighted demonstrated to work in tackling set itself a challenge: can it attempt the value of having a safe space where labour abuses in other industries, such to tackle this problem collectively, company representatives could come and as the Gangmasters and Labour Abuse challenging the industry status quo? As a speak honestly and generally about where Authority’s licensing scheme for result, a number of recommendations for their challenges lie. Often professionals businesses that provide workers for groups at any stage have been elucidated. focused on modern slavery may be the the fresh produce supply chain. Done Firstly, know what you don’t know. only person, or one of a small team, properly in consultation with the In name and ethos, collective action working on these issues within a much industry and enforced accordingly, is about taking action – and it can be larger company. There is significant value regulation can help move progress tempting to embark on a collective plan in learning from others in the industry in a along more quickly and ensure labour immediately. However, ensuring challenges non-judgmental environment. Furthermore, providers are meeting basic guidelines and context are clear is a critical first step. working and taking action collectively can around slavery and trafficking. Issues that rely on an individual company remove the risk of one company going it to make change, such as staff training, don’t alone and reduce worries about sharing 3. Engage models that share require the agreement and cooperation of too much with the competition. responsibility across brands, multiple stakeholders, whereas others, managers and owners such as dealing with a shared supply Ten steps for change In the network’s RACI exercise, chain, might. After prioritising a number One key learning of the network’s participants identified inherent of different issues, the group honed in first phase was that there is much that challenges in the way liability is on two key challenges most member collective action can accomplish, but to distributed among the numerous companies were individually facing: truly tackle the issue of slavery, action must actors in one particular property. recruitment and retention of staff, and occur far beyond the walls of a boardroom: For example, when a property or communicating reputational risk. government, industry bodies, unions, media, construction project seeks suppliers The core commonality between both civil society and customers themselves all or contractors, brands are rarely of these is that they deal with the supply have a role to play in the fight: involved. However, when a problem of people and goods into hotels, and the arises, it is usually the brand that risks they bring. With this understanding, 1. Strengthen leadership from faces the greatest public reputational addressing slavery in the supply chain industry membership bodies: risk. Shared accountability could became the network’s core focus. advocate for change within mitigate this risk, address challenges companies and governments more quickly or spot global trends. A need for clarity on slavery To address the multilayered, often opaque When industry bodies marshal the 4. Change the discourse: instead of roles and responsibilities along multiple forces of their members to create thinking about the risk involved actors, the network undertook a RACI change, the results can be staggering. with addressing slavery head

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on, consider how it could in advance of an incident, to 9. Leverage and understand the be an opportunity ensure timely and thoughtful value of purchasing power on Slavery and other human rights issues remedy protocols creating change in supply chains tend to sit firmly in the risk department Local police and victim support Increasingly, large and small companies of most companies. However, some providers can be strong allies if an across industries are coming together have found success in tackling the incident occurs. Relationships should to leverage their collective purchasing problem head on, and sharing that be built early and maintained often. power to make changes in their supply progress with their clients and These advisors can input into an chain. Some good practice in recent customers. Guests in most hotels internal incident reporting protocol, years, spurred on by the reporting already see a company’s environmental ensuring it is victim-centred, in line requirements of the Modern Slavery or sustainability policies on display; with national practice, and is clear Act, has trickled down to suppliers – why not showcase their work on and simple to follow. but these efforts are not happening fast human rights? Shiva Hotels worked enough. Companies could be doing with one of its London properties to 7. Reframe the conversation more to share data on responsible develop a commitment that could be about incidents suppliers, rewarding those who address shared publicly. “This has acted as a Incidents of slavery are devastating the issues of slavery head on. Beyond motivator and actually a point of pride when they occur; historically, the the corporate sector, government has a for many of the staff and even for natural inclination of some companies great deal of power to address slavery guests too,” says Nishma Jethwa, was to run from them. This is already through its own procurement of hotel innovation and strategy lead for Shiva changing, with many companies rooms and other hospitality needs. With Foundation. “We even received a shifting to take ownership and widespread purchasing power in the positive review on TripAdvisor noting responsibility, and working to remedy industry, if the government asked about the messaging as a highlight of the situation. Increased reporting of companies’ responses to modern the guest’s stay.” Shiva Hotels’ incidents is immediately assumed to slavery in its requests for proposals, commitment is currently displayed in be bad – but it doesn’t necessarily there could be far-reaching effects the lobbies of each of its properties. mean slavery is increasing. On the throughout its own supply chain. contrary, companies can use the fact 5. Make slavery a cross-functional as reassurance that their policies and 10. Collaborate: more often, issue and develop a broad processes are working. more honestly and with approach within a company more organisations Diverse business units including 8. Put transparency at the forefront Countless networks have been created HR, procurement, finance, legal and – even when it’s not mandatory among peers within industries in the communications all have roles to play One of the network’s first activities for and not for profit sectors to address in the fight against slavery – yet it is was to compile a resource hub many intractable issues, but most often a CSR person working on the featuring standards and best practice have been challenged on moving issue alone. One network member has guidelines. Drafting the framework from discussion to output and action. created a cross-functional working meant members had to input on Bringing together diverse actors group to come together quarterly to their own policies and practices. with multiple priorities, exceedingly discuss their work and these issues. We encourage sharing of materials, full schedules and different lines of The group requires senior level even among companies who could be accountability is a significant barrier to membership or support from the considered competitors, as they can creating collective action. Yet this is the highest levels in the company in order be integral towards creating collective only way change can truly be achieved. for it to be sustainable and effective. solutions. The Modern Slavery Act It is not only the responsibility of Each function should have a clear requires large companies to report companies and civil society to understanding of its own role in on their efforts they are undertaking to join together. The network has the process and its responsibility address slavery in their supply chains. demonstrated that progress can be to communicate this within its own Smaller companies, even those under made in a small group of like-minded function. Most companies use cross- the reporting threshold, should also companies, but there is much more to functional committees to manage risks be sharing with their stakeholders be achieved. Government has a leading like bribery, corruption and money how they are working to combat role to play in bringing key actors laundering. Treating slavery as a these challenges. By being open together – not just companies, but priority will help spot trends, gaps and and honest with successes and regulators, civil society, elected officials, create a better working environment. challenges, companies can ensure unions, media, hospitality colleges and solutions are shared more quickly, others. By offering to facilitate these 6. Foster relationships with law pitfalls are avoided and collectively conversations, the scale of collective enforcement and victim support their efforts are more effective. action could be multiplied.

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HMI077_015_Human Trafficking 2.indd 53 19/12/2018 14:00 Hiring made easy.

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p54.indd 1 19/12/2018 10:01 Insight > Technology

Into the breach Marriott International has fallen victim to the second-largest data breach ever recorded. In this paradigm-shifting moment for the hospitality industry, Tim Gunn brings together what we know so far to assess what hoteliers need to learn from the hack and how they can balance data security with more traditional customer-facing goals.

n 30 November, Marriott Within Europe, Marriott is likely to be Security. Nevertheless, the company’s International announced that held liable under the EU’s General Data dedicated incident website indicates that O the accounts of up to 500 million Protection Regulation (GDPR), and could for approximately 327 million of the 500 guests of former Starwood hotels had been face financial penalties of up to 4% of million customers whose data is stored in hacked. The data breach, which started in its annual global revenue, or close to the Starwood guest reservation database, 2014, over a year before Marriott acquired $1 billion. A number of class action hackers gained access to some Starwood and became the world’s largest lawsuits have already been filed, and combination of their name, mailing hotel operator, is the most severe and along with facing $200 million in US address, phone number, email address, extensive in the industry’s history. Outside fines and litigation expenses, Marriott passport number, Starwood Preferred of hospitality, only Yahoo has had more could end up spending as much as Guest (SPG) account information, date private customer data compromised. $1 per customer notifying victims and of birth, gender, arrival and departure “We deeply regret this incident providing free data-monitoring services, information, reservation date and happened,” said Arne Sorenson, Marriott’s according to Morgan Stanley. In the communication preferences. president and chief executive officer, aftermath of the hack, US lawmakers Some of these guests’ payment in a press release accompanying the have also called for a nationwide version card numbers and expiration dates announcement. “We fell short of what of California’s GDPR-equivalent, the were also copied and encrypted. our guests deserve and what we expect Consumer Privacy Act. Although Marriott uses the advanced of ourselves. We are doing everything At the time of writing, Marriott has encryption standard AES-128 to protect we can to support our guests, and released scant information about the payment card numbers, it is possible using lessons learned to be better attack, which investigators believe is that both elements required to decrypt moving forward.” linked to the Chinese Ministry of State the information were also taken.

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For other guests who made understand the impacts of data breaches possible failings, but his points show just reservations at former Starwood like these.” At present, the hospitality how many questions Marriott has yet to properties on or before 10 September giant is showing little sign of publicly answer. 2018, the information was limited to improvement in any of these three areas. Not that Starwood had the best track names and possibly addresses. In fact, back in 2016, James Rashleigh, record in digital security either. In 2015, Cybersecurity experts have expressed a director of PricewaterhouseCooper’s the operator announced that malware shock and opprobrium at the failings cybersecurity business, told this designed to steal credit and debit card that made the breach possible. Mike magazine that, “The organisations that data had been installed on point of sale Ianiri, director of telecoms company are better at this… have got the board terminals across 54 of its hotels in the Equinox, is cutting in his assessment. in a room and have done a crisis episode US and Canada for up to seven months. “Data breaches unfortunately do in which they’ve said, ‘We have just been Then, shortly after Marriott announced happen,” he admits, “but to give access hacked and have lost our most sensitive this four-year mega-breach, cybersecurity to a hacker since 2014 is unacceptable customer data. What are we going to expert Alex Holden sent Forbes for such a large corporation that holds do about it?’” “screenshots that appeared to show huge amounts of data on their clients. Clearly, Marriott could have listened cybercriminal access to Starwood It seems no one was taking the chain’s more closely. corporate portals”, and detailed issues security seriously.” with the company’s use of a weak Sam Curry, chief security officer at Warning signs password for its cloud computing service. Cybereason, speaks in terms of death A breach of this scale and duration is Holden also told the US publication that, and penance. certainly shocking, but it’s hardly the in 2014, Starwood’s website had a bug that “Saying you are sorry isn't falling on a first cybersecurity incident to affect could have been exploited to gain access sword or issuing a mea culpa,” he says. the company. to its databases. He alleges that the “It has to have meaning. And I don't Back in June 2017, independent vulnerability was even publicised among care about the result but rather the action cybersecurity experts identified that hackers on the dark web. or inaction. It is less about bayoneting Marriott’s Computer Incident Response In response to Holden’s claims, a the wounded and a lot more about Team (CIRT) had been compromised by a Marriott spokesperson told Forbes how Marriott makes sure this never piece of malware. Although the issue was that such scenarios are dealt with by most happens again.” quickly addressed, the hotel group could retail, restaurant and hospitality companies Given Marriott’s response so far, Curry – and arguably should – have used the “on an ongoing basis”, and that they is unlikely to tone down his language incident to trigger a thorough review are often beyond companies’ control soon. The hotel group has been notifying of its security situation and identify the as they happen outside of their networks. guests that they may have been affected breach in the Starwood guest reservation According to this representative, thorough by the breach with emails from the database. As it is, the hotel group investigations have not shown any suspicious-looking third-party address remained unaware of the issue until an connections between Holden’s allegations [email protected]. internal security tool issued an alert about and the latest incident. Unhelpfully, the domain email-marriott. an attempt to access Starwood’s data. That may well be true, but questions are com does not load and has no certificates Observers, including former Starwood bound to be asked after such a spectacular proving its legitimacy. The only way technology vice-president Israel del Rio, security failing, particularly when it to tell that it can be trusted is by have pointed out how unusual this is. It persisted through a $13-billion merger clicking on a note at the bottom is unclear why an alert would be issued that should, in theory, have required an of the dedicated incident site at after four years of unauthorised access, extensive cyber-risk assessment. answers.kroll.com, itself a confusing unless the security tool was brand and largely unexplained domain. new. Furthermore, del Rio, writing on Wake-up calls Equally, Marriott failed to secure similar Phocuswire, argues that it is unlikely that In practice, however, the difficulty of email addresses (email-mariott.com or the reservation database would include merging and homogenising Starwood email-marriot.com), opening concerned 500 million records, “given the practice and Marriott’s data platforms and storage customers up to the risk of phishing. All to remove booking records a number may actually have worked to obscure of these issues could have been avoided of days after checkout”. His highest the issue. Given the value of Starwood’s if Marriott had used its own website to estimate for the number of items in that customer records, particularly those coordinate its response to the breach. database is 200 million. Instead, he posits in its esteemed SPG loyalty scheme, it’s “There are plenty of ways hotels that it was Starwood’s data warehouse possible that Marriott was too concerned can beef-up their security and ensure that was compromised. with accessing the data itself to ensure it their guests’ data is protected,” says Del Rio, who worked on the ‘Valhalla’ was properly protected. Ianiri. “Failing to do so shows either technology platform that others have That’s not an uncommon issue. As incompetence, a lack of respect for blamed for the breach, may not be the Andy Barratt, managing director of guest privacy or a complete failure to most impartial commentator on its cybersecurity company Coalfire’s UK arm,

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says, “Any operation that doesn’t points out Barratt, “a greater focus immediately provide a service for a on digital infrastructure is not only guest is often pushed to the bottom of a security necessity but also key to the pile, but data security is a fundamental achieving commercial success in a expectation and needs to be viewed as quickly changing industry.” part of the service offered to customers.” Even in the aftermath of this titanic Hard questions hack, digital security may continue to be Nick Wyatt, head of tourism at a hard sell. Risk mitigation is far less likely GlobalData, has specific advice for to get a service industry excited than Marriott in the aftermath of the hack. attracting and delighting customers. 500 million Starwood’s SPG loyalty scheme “Marriott must show that it is For hotels in particular, whose complex accounts were compromised in the 2018 hack. employing post-breach consultants and distributed IT systems call for anti-virus software simply aren’t to help take all actions possible to sophisticated and expensive multilevel sufficient. If a reaction speed of four protect critical digital assets,” he urges. security measures, it’s hard to focus the years shows anything, it’s that companies “Such companies will also look to requisite time, money, and attention onto need to rethink their security procedures. identify the characteristics of the hackers a difficult and continually evolving task. For security experts like Ianiri, the hack in a bid to pre-empt further attacks. Even so, the apparent links between “shows the importance of penetration If Marriott can demonstrate that it this hack and the Chinese Government testing on a regular basis. If this was being is using such services, its claims of make the value of the data hotels hold done – as it should be – then the breach reducing future data security risks clear for all to see. The information would have been detected years ago”. will have far more credibility. that was illegally accessed by hackers included passport numbers, and could Data breaches unfortunately do happen, be useful for espionage and counter- but to give access to a hacker since 2014 is intelligence purposes. “It’s big-data hoovering,” Dmitri unacceptable for such a large corporation that Alperovitch, chief technology officer holds huge amounts of data on their clients. at information security company – Mike Ianiri, Equinox CrowdStrike, told the New York Times. “This data is all going back to a data lake A penetration test is a simulated ‘‘Marriott has a chance to repair the that can be used for counterintelligence, cyberattack carried out to identify as reputational damage inflicted by shaping recruiting new assets, anticorruption many security weaknesses as possible. the future for the better, and being seen campaigns, or future targeting of It’s a vital tool for ensuring a company’s as the catalyst for improved industry- individuals or organisations. digital defences are resilient to a range standard systems would be a great fillip. “One thing is very clear to me, and it of unauthorised approaches, but it It must seize this opportunity to turn a is that they are not going to stop this. should not to be mistaken for a solution. great negative into a positive.” This is what any nation-state intelligence In fact, advanced companies now mix But even the most sophisticated agency would do. No nation-state is penetration tests with “red teaming”, a and multifaceted implementation of going to handcuff themselves and say, more intensive type of attack simulation penetration testing, red teams, perimeter ‘You can’t do this’, because they all that focuses specifically on exploiting the defences, alert technologies and data leak engage in similar detection.” Alperovitch weakness that will best enable the red prevention techniques (such as including speaks from experience, as he first team to achieve a defined goal. Red and monitoring factitious database records identified the threat of Chinese hacking teams can model social engineering that are never meant to be accessed) as vice-president of threat research at attacks (by, for instance, posing as is no guarantee that a system won’t be McAfee in 2011. Worryingly for Marriott, employees or contractors) and zero-day breached. As such, companies need to its failure to account for the value of its exploits (weaknesses to which even the think carefully about why they are holding data could inspire the US Government to software provider is oblivious) to keep on to so much customer data, how they pick a new preferred hospitality provider. security teams on their toes. are doing so, and what they can do to There is a real competitive advantage secure it. Competitive advantage to having the strongest possible defences. The whole industry needs to ask itself Even the most integrated and up-to-date Hacks are becoming more commonplace, the hard questions that Marriott didn’t, hotel operators are comprised of an array and proving you know how to defend because loyalty is meaningless without of local and global networks operating against and deal with them is going to trust. Data might be stored in ones across a variety of terminals and devices. be a vital differentiator for companies. and zeroes, but its impacts are far from The security perimeter is vast, and “At a time when a lot of the disruptors abstract; there are few bigger betrayals traditional defences like firewalls and in the hotel sector are cloud-based,” than letting it be compromised.

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HMI077_116_BlockChain_Technology.indd 57 19/12/2018 14:02 Company insight > Technology Ready, set, go Televisions form the centrepiece of many hotel rooms. Even so, guests often find themselves contending with devices that are difficult to use. The new LG Pro:Centric suite provides an interface for guests that is not only easy to understand but also easily-tailored to individual needs.

here are certain amenities all guests expect in to premium film channels, or simply search for on-site their hotel rooms. The first is a bed, followed by amenities. In-house IT technicians may well breathe a sigh T a bathroom and interior lighting. What transforms of relief upon learning that a Pro:Centric television has been a place to sleep and wash into a hotel room, however, installed in every room. Its plethora of available content and is the addition of a television. This basic technological practical interface eliminates the possibility of being called amenity allows guests to destress and helps hoteliers to instruct guests on how to use their television. offer not just a room, but a home away from home. Personalised options In-house IT technicians may Founded in 1958, LG Electronics originally made its name supplying consumer electronics to post-war households in well breathe a sigh of relief Korea. Since then, it has developed a formidable portfolio upon learning that a Pro:Centric of cutting-edge televisions for a range of markets, including the hospitality sector. LG’s commitment to television has been installed in research and development in this space led to a variety every room. of solutions tailored to the hospitality industry. The range of products includes OLED hotel televisions for luxury It’s not enough to simply offer a television, however. The suites, desktop IPS monitors for front desks and back units also have to be easy for guests to use. This hasn’t offices, professional displays such as video walls for always proved to be the case. Increasingly, guests must common areas, and software platforms designed to go through incomprehensible interfaces to reach entertainment meet hospitality needs. options that prove to be limited at best. Few things dent a Pro:Centric is the latest manifestation of this drive to guest’s impression of a seamless stay more than being forced perfect hotels’ entertainment offerings according to the to call reception just to find out how to change the channel. evolving needs of guests and operators. It is with the latter LG developed its new Pro:Centric hospitality content in mind that LG included its Remote Management System management suite with these problems in mind. The system in each Pro:Centric TV. By connecting the individual unit acts as a kind of digital concierge for guests. They are to a local network, hoteliers are now able to run diagnostics greeted upon entry by a custom-branded interface and of malfunctioning televisions from their offices. Problems interactive electronic programme guide. They can use it arising from malfunctioning software can be monitored, to access anything from local news and weather information identified and solved with a few clicks of a mouse several

The LG Pro:Centric hospitality content management suite boasts dazzling modern technology and a user-friendly interface.

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HMI077_LG Electronics.indd 58 19/12/2018 10:06 Company insight > Technology

floors away. The individual guest may never even know there was a problem. Remote Management System also permits hoteliers to configure room channels according to the purpose of the guest’s visit. A businessperson staying at the property for a single night could be furnished with information on local restaurants and bars. A family with small children in tow might find the latest children’s films or childcare arrangements placed front and centre on the television’s home screen. Guests are also able to stream wireless content from each unit thanks to built-in Miracast and WiDi services. Pro:Centric is also, at its core, a malleable system. Its software is friendly to developers who wish to tailor the content of anything from an individual LG television to an entire roster of them. Either IP or Coax-based integration allows for the provision of customised services and eliminates the need for the hardware pairing of a set- top box, resulting in significant cost savings. Pro:Centric also supports the installation of Java, Flash and HTML 5-based applications. Developers are also now able to include site-relevant apps in each unit, making it unique in the hotel television marketplace. Indeed, the potential of the suite is not limited to hotel televisions alone. Equipped to service a wide variety of display screen options, Pro:Centric-enabled TVs are easy to install in The Pro:Centric suite is not only limited to televisions. The interface is also attainable through a wide variety of display options. electronic billboards that can further promote local amenities and on-site services. Controlled from a single, compact server design options when it comes to user interfaces and within the hotel, this allows further savings to be made in welcome screens. They can also interface with their own printing and other associated advertising costs. network services so that guests can stream and pair content from iOS and Chromecast-compatible devices. A direct solution This has recently been made even easier with the Pro:Centric comes in three versions, each catering to introduction of the PCS400R server, which allows different emphases in hotelier’s needs: Pro:Centric Smart, hoteliers to implement Pro:Centric Direct regardless of Pro:Centric Value and Pro:Centric Direct. The latter focuses whether they are using an IP or radio frequency (coaxial) on making it even easier for operators to design a unique infrastructure. The combination of the Pro:Centric Direct hotel television user interface (UI). It also provides services and the PCS400R allows hoteliers to communicate directly such as network-based remote management. Pro:Centric with their guests and lets guests contact hotel staff. Direct comes with intuitive, stylish templates and offers Through this interactive solution, guests can order room simple tools so hotels can create their own. This way, service, check out, or even ask for more towels via the operators can fully customise and tailor their content hotel television. Hoteliers can also send messages to to suit the needs of their guests. guests via the server. Messages can be personalised to include the guest’s name, share the latest promotions, Pro:Centric Direct features an or communicate breakfast options. The release of the PCS400R server and the Pro:Centric all-new authoring tool, allowing Direct system is a testament to LG’s deep commitment the streaming of internet content to research and development in the hospitality content from sites like YouTube and provision space. Needless to say, the company has and will continue to strive to offer operators and guests an BBC iPlayer. accommodating, friendly and – above all – stress-free experience through cutting-edge televisions and their The Pro:Centric Direct suite builds on previous iterations supporting software. by featuring an all-new authoring tool. Programmers can drag and drop widgets onto the unit’s home screen, as well as integrating new ‘over-the-top’, or OTT, streaming Further information LG of internet content from sites like YouTube and BBC iPlayer. www.lg.com/b2b Systems integrators are also permitted virtually unlimited

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HMI077_LG Electronics.indd 59 19/12/2018 10:06 Directory > Product showcase Product showcase

Hire temporary the perfect addition to your hiring  human resource management The suggested ranges are hospitality staff methods to help with the seasonal  leadership certi ably the smart way influx of staffing needs within  marketing eco-friendly. hotels and hospitality, as well as  property-asset management What started all year-round temp recruitment. and real estate with drinking Adia takes the stress away  revenue management straws and has from temp hospitality hiring by  strategic management. resulted in a making the process simple, quick change of law; and reliable. Courses are taught by the single-use By channelling all temporary Cornell faculty, which brings plastics are on Adia makes hospitality recruitment recruitment needs into one academic excellence and the way out. as stress-free as possible. platform, hotels can now save outstanding knowledge in By riding the Adia is Adecco’s online time and capital by focusing on the field of hospitality to the subsequent recruitment platform that’s the running of their businesses. classroom, ensuring access wave of support for alternatives, changing the face of temporary to forward-thinking research Anyah’s recyclable packaging Further information places it firmly ahead of staffing in the hospitality industry Adia Technology and techniques. by taking the most effective ww.adia.com/uk With more than 90 years of the pack. elements of traditional recruitment excellence, and more than 13,000 Anyah’s labelling lists its and streamlining them. Imagine Advance your participants so far, from 170 green attributes prominently: opening an app on your phone career in hospitality different countries, you could walk it does not contain parabens; and being able to hire high-quality To further your career, you need away from PDP with an extensive it is formaldehyde-free, and the temporary staff with the click of a to first invest in yourself. Through and powerful network of industry bottles even bear an ‘Ecocert’ button. Having been successful its Professional Development connections and friendships. stamp and life-cycle assessment for hotel giant Marriott, the Programme (PDP), the Cornell (LCA) number. It is also low in hospitality industry is now taking School of Hotel Administration in Further information other unpopular chemicals, as Cornell University note of how an online 24/7 New York State, in the US, offers www.cornell.edu it contains no phenoxyethanol platform is adding value to premier hospitality courses or petrolatum. Perhaps most businesses nationwide. Adia is designed for busy professionals Flush with famously, Anyah is available free, simple and easy. All a user to effectively understand and ample opportunity in soft 30ml pouches. This has to do is: incorporate cutting-edge best The world is changing. With the style not only communicates  create an Adia account online practices into your organisation. growing concern for products and the quality of the brand, but  post the roles you’re looking This intensive, interactive learning services to be eco-friendly, clients has also served to make to fill – for example, hostess, experience helps enable people are increasingly demanding it instantly recognisable. housekeeper or waiting staff to explore the latest industry green alternatives. Communicating its nature-  create one-off shifts or trends, gain in-demand skills and As a result, many hotel friendly properties with pastel plan in advance for knowledge, and engage with managers are reporting growing and amber tones, guests will at seasonal fluctuations. world-renowned faculty experts demand for environmentally once recognise Prija as a solid and hospitality peers. sound toiletries. Hotel Buyer eco-friendly choice. Adia’s smart-match algorithm So why choose Cornell for is here to help, with some The time is fast-approaching then creates a list of available your personalised curriculum suggestions for those new to when green practices will be candidates based on job role, and classroom experience? PDP the green way. adopted as standard – not location, experience and provides you with the opportunity Two brands that live up to only in the scope of toiletries, availability, so you only see to tailor your learning journey and the expectations of the growing but in the approach to everyday relevant profiles – for you to earn a Cornell credential to meet concern for eco-friendly considerations, such as laundry review and shortlist, after which your professional goals. With more products are the ever-popular and energy consumption. There you simply hire the most suitable than 25 distinct three-day course Anyah and Prija. On a practical will be plenty to consider in the jobseekers with a click of a button offerings, you may complete an level, these natural-smelling coming years, but by starting Because Adia is the employer, it individual area of study or pursue ranges come in a variety of sizes, small with eco-friendly bathroom ensures that every candidate has a four-course certification. from charming one-per-stay offerings, customers can make their right to work verified, Fields of study offered miniatures, up to big-value their first foray into the green and that they are the right by Cornell include: pump bottles and even budget- world of tomorrow. candidate for your business. With  financial management friendly refill packs. For the instantly visible prior employer  food, beverage, and comfort and reassurance of all Further information Hotel Buyer ratings on all candidates, Adia is restaurant management guests, both are vegan-friendly. www.hotel-buyer-store.co.uk

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HMI077_Product Showcase.indd 60 19/12/2018 10:12 Directory > Index

Index Adia ...... 54 Meliá Hotels International ...... 16 www.adia.com www.meliadevelopment.com

Alfred Karcher ...... IBC www.kaercher.com Radisson Hotel Group ...... 11, OBC www.radissonhotelgroup.com/development

Cornell University ...... 25 www.cornell.edu SDI Technologies ...... 4 www.hoteltechnologies.com

Deutsche Hospitality ...... IFC www.deutschehospitality.com StayNTouch ...... 54 www.stayntouch.com Electrolux ...... 13 www.professional.electrolux.com

Visive Group ...... 42

HD Fragrances ...... 13 www.visivegroup.com www.hdfragrances.com

Wanzl ...... 46 Kemitron ...... 50 www.wanzl.com www.kemitron.com

LG Business Solutions...... 7, 38 Worldline ...... 18 www.lg.com/b2b www. onlinepaymentacceptance.worldline.com

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HMI077_Product Showcase.indd 61 19/12/2018 10:13 Insight > The insider Further afield After almost 50 years in the hotel industry, fi nishing his career as GM of The Churchill in London, and Hyatt International’s VP for UK and Ireland, Michael Gray retired from front-line service in March 2016. However, he remains the UK and Ireland national delegate for EHMA, is committed to growing membership beyond the UK capital and will be visiting hoteliers across the region throughout 2019 in an effort to promote its benefi ts.

s far as I am concerned, there the seventh annual conference was Know the goals could not be a more interesting held in London – a stunning event. I Personal development and future-proofing A (or valuable) time for UK and Irish was resident manager with the Carlton our industry is an added key objective, with hoteliers to join a Europe-wide organisation Tower back then, which was a Hyatt the Young EHMA programme now a key for general managers than right now. hotel at the time. I later went overseas – feature of the EHMA Annual Conference, Embarking on a campaign to build to Singapore and Australia – but which is held in the spring of each year in UK and Irish membership of the European remained an EHMA member throughout. a member country and to which younger Hotel Managers Association (EHMA) at a Membership keeps you in touch with rising-star managers are invited. time when our countries are in the midst your contemporaries and what’s going And as EHMA changes and evolves, of potential disruption to our decades-old, on in the market. It provides entry into so too must our membership. The UK and comfortable, trading patterns, can be a fantastic network across a raft of and Ireland delegation has historically viewed as something of a challenge, but European countries where even the big been somewhat London-centric, but now I see it as a truly golden opportunity. brands might not have a presence. Over we feel the time is right to expand our Here is the prospect. Take 400 like- the years, I found that tremendously horizons beyond the M25. minded and like-standard leaders of valuable when seeking help for either a So, while we will always welcome four and five-star hotels spread across client or member of staff who needed more London members, we will also the continent, and make them and assistance in a European city. Joining seek to attract colleague hoteliers in their properties accessible to their fellow the association has had an extremely Ireland, Scotland and Wales – and in the members for support, cooperation, joint positive impact on my career and it’s provincial cities – so that we can open business development, advice, team something I’d recommend any the European gateway to hoteliers across member exposure and development, ambitious young hotelier consider. the region. I look forward to visiting help with recruitment, job opportunities While there are many industry and meeting many of these potential and anything that one hotelier would associations in the UK and Ireland members in person so that I can make need of another. In our industry, that seeking the attention of ambitious our case, because joining EHMA offers surely is unique – a situation in which hoteliers – each offering a different so many opportunities, not least the arch-competitors actually help one another. important dimension, such as immediate support of 400-plus hoteliers Over the years, my EHMA marketing support, promoting career across Europe from a like-minded, membership has been incredibly development, or industry-related willing and can-do membership. valuable in terms of staying on top of charitable objectives – EHMA is I hope we can welcome a new the latest trends and changes, while unique in providing a fully European generation of EHMA members and at the same time not losing sight of the perspective and offering such reach further consolidate the European synergies core responsibilities of a successful GM. into European markets, independent in our industry that has always served I joined all the way back in 1980, when of brand or corporate affiliations. us so well.

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HMI077_017_The insider.indd 62 19/12/2018 14:04 DISCOVER INDEPENDENCE The most powerful of their kind: the battery-operated dry vacuum cleaners

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Radisson.indd 1 19/12/2018 09:43