The recession is not quite over. But after almost two years of a downward spiral, PKF Hospitality Research (PKF-HR) recently forecast that the decline in U.S. hotel demand will be over in the second quarter of 2010. Whether that happens in the next few months is yet to be seen, but a long road to recovery is imminent. There's one channel, however, that seems undaunted and is growing at a rapid pace again -- online marketing.
Although PKF-HR's research shows that RevPAR will drop another 1.1% in 2010, and occupancy will basically remain even, they're also optimistic that online marketing will continue to grow. Their research shows Internet bookings for the top 30 hotel brands grew by 6.6% in 2009's third quarter, compared to 2008. With constantly evolving search marketing, increased social media popularity and the advent of mobile marketing, sound strategies will keep direct online bookings on the rise.
Wednesday, March 31, 2010
Monday, March 29, 2010
Is your hotel getting it's fair market share?
Do you use KPI like MPI, ARI, RGI to benchmark the results of your hotel performance. What is your market penetration index?
Compare regional arrivals statistics with yours. Stats can be obtained from airport, tourism boards.
Are you getting your part or fair share of the pie?
Are you getting your part or fair share of the pie?
Patrick has some great insights...Enjoy...
ADA defense lawyers: When disabled hotel guests' needs go beyond the norm for typical guests, what do hotel owners and managers have to do?
Hoteliers can face certain extreme situations that are not addressed in plain language of Title III of the Americans with Disabilities Act (ADA). In relevant part, it provides that, among other requirements, places of "public accommodation" must provide certain "auxiliary aides and services". In these unusual cases, the counsel of an experienced ADA lawyer like Marty Orlick, a senior member of JMBM's Global Hospitality Group®, is invaluable. He has helped numerous hotels and restaurant clients establish compliance with all aspects of the ADA and resolve more than 300 ADA claims.
Friday, March 19, 2010
Economist: Worst is over, but still pain ahead
I'm not sure that I quite agree with this...........
ATLANTA—The festive nature of St. Patrick’s Day provided a perfect backdrop for economist Rajeev Dhawan on Wednesday during the opening session of the 22nd annual Hunter Hotel Investment Conference.
“A simple fact of life is that all hangovers are lousy,” Dhawan said as he explained the current global financial situation to the hotel-industry executives in attendance
Dhawan, the director and associate professor of the Economic Forecasting Center, J. Mack Robinson College of Business at Georgia State University, said the overhang of toxic debt in the banking system will continue to be a headache for economies worldwide, and the United States might be one of the lead dogs on that runaway sled.
ATLANTA—The festive nature of St. Patrick’s Day provided a perfect backdrop for economist Rajeev Dhawan on Wednesday during the opening session of the 22nd annual Hunter Hotel Investment Conference.
“A simple fact of life is that all hangovers are lousy,” Dhawan said as he explained the current global financial situation to the hotel-industry executives in attendance
Dhawan, the director and associate professor of the Economic Forecasting Center, J. Mack Robinson College of Business at Georgia State University, said the overhang of toxic debt in the banking system will continue to be a headache for economies worldwide, and the United States might be one of the lead dogs on that runaway sled.
Hard times send hotel industry into 'survival mode'
Neil Cornelssen says he misses the free cookies in the evening at one hotel and the daily newspaper outside his door at others.
He's also noticing that bath towels in a growing number of hotel rooms are shabby and need to be replaced.
Cornelssen, a sales manager in Marlton, N.J., is one of many frequent travelers who say they see the tangible effect that the recession has had on the nation's hotel industry. Among them: run-down rooms with fewer bathroom amenities, closed club lounges, fewer concierge staffers, slow room service, reduced hours at restaurants and bars, and infrequent airport shuttles.
"The unfortunate reality of today's marketplace," says Hotels magazine Editor-in-Chief Jeff Weinstein, is hotels are "more focused on saving cash than delivering the best service."
Hit by a declining demand for rooms, low room rates and plummeting revenue, hotel companies have laid off hundreds of thousands of employees and are struggling to maintain quality. A record number of hotels are defaulting on mortgage payments. Hundreds have been taken over in foreclosures, and some have closed or are about to.
"Because of the recession and the credit bust," says Ed Watkins, editor of the trade publication Lodging Hospitality, "it's the worst downturn in decades — perhaps ever."
As a result, says Robert Habeeb, president of Chicago's First Hospitality Group, which operates 40 hotels in eight states, "The industry is in survival mode."
He's also noticing that bath towels in a growing number of hotel rooms are shabby and need to be replaced.
Cornelssen, a sales manager in Marlton, N.J., is one of many frequent travelers who say they see the tangible effect that the recession has had on the nation's hotel industry. Among them: run-down rooms with fewer bathroom amenities, closed club lounges, fewer concierge staffers, slow room service, reduced hours at restaurants and bars, and infrequent airport shuttles.
"The unfortunate reality of today's marketplace," says Hotels magazine Editor-in-Chief Jeff Weinstein, is hotels are "more focused on saving cash than delivering the best service."
Hit by a declining demand for rooms, low room rates and plummeting revenue, hotel companies have laid off hundreds of thousands of employees and are struggling to maintain quality. A record number of hotels are defaulting on mortgage payments. Hundreds have been taken over in foreclosures, and some have closed or are about to.
"Because of the recession and the credit bust," says Ed Watkins, editor of the trade publication Lodging Hospitality, "it's the worst downturn in decades — perhaps ever."
As a result, says Robert Habeeb, president of Chicago's First Hospitality Group, which operates 40 hotels in eight states, "The industry is in survival mode."
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