Friday, August 28, 2009

FDLE Hotel & Lodging Advisory Poster

The Florida Department of Law Enforcement, Office of Domestic Security, based in Tallahassee has passed along the following information regarding a “Hotel & Lodging Advisory Poster” which is a tool that provides the U.S. Lodging Industry with an increased awareness of the following:
· A property’s potential to be used for illicit purposes.
· Suspicious behavior and items.
· The appropriate actions to take if employees notice suspicious activity.

The intended audience is all hospitality staff at a property, from housekeeping to security, and is intended to be displayed in those areas of the hotel restricted to the public where employees congregate, commonly referred to in the hospitality industry as the “back of the house.”

This product was designed in coordination with DHS private sector partners working closely with the Commercial Facilities Sector Coordinating Council’s Lodging Sub-council to produce a product tailored to meet the specific needs of the U.S. Lodging Industry. Thus, it is applicable to, and easily understandable, by all employees of a hotel; Dual-sided, with a Spanish translation to accommodate Limited English Proficiency (LEP), Spanish-speaking employees. Dimensions: 16” x 24”

To learn how your facility can obtain the DHS Hotel & Lodging Advisory Poster, please contact the Commercial Facilities Sector-Specific Agency representatives at CFSTeam@hq.dhs.gov

Julie Wernick, HSMAInsider

Thursday, August 27, 2009

“Selling the Sunshine”: The 2009 Florida Governor’s Conference on Tourism – 42nd Annual

This year’s conference held at the Fontainebleau in Miami Beach had something we have not seen in a few years – an appearance by the Governor. Although his talk to the 500 or so attendees was short, and politically convenient, it was still a positive visual affirmation of the importance of tourism to our state.

The hotel outdid itself in the service provided, the attention to detail, and the innovative and outstanding quality of the food at all the meal functions. Kudos to the Fontainebleau and its staff for impressing everyone who attended! It will be a hard act to follow at next year’s event to be held in Orlando.

The conference was a shortened version of those held in previous years with the object of saving attendees money on hotel stays. It remains debatable whether or not it was the economy, or the switch in format, but there were a lot less people in attendance. All sessions were done en masse and were a bit more generic than in the past.

Interesting to hear was a presentation on the history of tourism to Florida -- traced by the increased number of visitors through the years from 2 million visitors to Florida in 1929 to 84 million in 2008. And the statistics show this currently means $65.2 billion dollars in taxable sales to our state. As an industry, however, we need to do a better job of educating our legislators and fellow residents of the importance of tourism to our state’s economy.

One positive note in the otherwise negative facts on declining demands and low occupancy rates, et al, is that there is some slight improvement and we are not down as much as the rest of the country. Another positive aspect is that the perceived affordability of travel is up with more leisure sales than business sales. In one survey Florida ranked as the number one destination of where people want to go on their “dream vacation”.

In other travel trends cited, it was noted that consumers in the next 18 months will be working to spend less money by bundling (booking packages), comparison shopping online, and staying fewer nights. It was suggested that we invest our money on getting our guests (who are planning to come anyway) to stay longer at our destinations and in our hotels.

One of the panelists suggested that the smart money is in strategic discounting – in other words, only discount in low periods of demand when you need the business and wouldn’t have gotten it anyway. Especially make sure you focus on where you offer any promotion.

With Visit Florida, the state tourism agency, losing $10 million from state budget cuts, about $8 million has been eliminated from Florida's usual program to bring vacationers into the Sunshine State, leaving $9 million for the task. They have a new advertising agency, DDB Miami who will be concentrating more on radio ads than TV. Since the agency was only recently selected, no sample ads or campaign highlights were presented at the conference.

Plan on being at our next meeting September 16th at the Broward Convention Center. Best, Julie Wernick, HSMAInsider, and HSMAI-South Florida Managing Director.

Friday, August 21, 2009

Recap: August 19th HSMAI-South Florida Meeting on Revenue Management

“Table of Eight” – Our occasional column with comments about our events.

We were so very pleased with the turn out and the response to our August meeting held Wednesday at the Hyatt Coral Gables. We wish to thank: Our Revenue Managers Committee under the leadership of Board Member, Christopher Crenshaw, for putting this together; Mike Hampton (Dean, College of Hospitality Management, Lynn University) for moderating; and our Panel Members for their insights, contributions, and keen observations – Bonnie Amato (VP, Revenue Strategy, Eastern Region, Marriott Hotels), Dave Atkins (Principal, Digital DNA Infusion),Terri Burke (SVP Relationship Marketing, Cruise Planners – America Express) and Doug Hesley (Director Revenue Management, Norwegian Cruise Lines).

Special thank yous to: Haydee Casanova from our Programs Committee for arranging and overseeing the venue, the able staff of the Hyatt, and to Susan Spencer with ChannelRUSH for the sponsorship of our meeting.

As always, with a panel program there will be different things that people will remember that may apply to their specific hotel/company. I asked the panelists to give me one or two items that they think the attendees should take away from our meeting.

Terri Burke said: (the importance of) “Pricing transparency” and the “Paradigm shift on how to sell/market via social media.” (Another area that didn’t come up, but could be a whole other panel topic per Terri is “price protection”).

Dave Atkins agreed with Terri and but also added that: “The customer/consumer (not always the same) is in control and we must behave accordingly if we want their business. Start with the basics as always and deliver outstanding service and value to your customer/consumer in ways that matter to them. View your operations from a consumer/customer perspective and behave accordingly.

There is a need for strategic alignment of Revenue Management, Marketing, Sales, Distribution, eCommerce, Digital and Operations, which requires having concrete strategies not just reacting to the marketplace. Without strategic alignment of all your internal stakeholders you are at a competitive disadvantage. The pace of market change compounded by difficult economic environment requires empowerment of your teams in new and meaningful ways which requires a strategic alignment so they can work within appropriate frameworks.

Discounting in the abstract even if "just to fill rooms" can have long term (6+ years) impact to your business, make sure your stakeholders understand the impact that short term discounting can have to your long term revpar and overall business economics.
Clarifying Terri's Social Media comment- it is a true game changer and not just a shift. This is a whole new method, means, type and channel at the same time however it is not one where traditional sales, marketing or revenue management tactics may be appropriate.”

Hope to see you next month at our Meeting Planners Panel at the Broward Convention Center on September 16th. Registration is now open at www.hsmaisouthflorida.org
Best, Julie Wernick, HSMAInsider, and Managing Director, HSMAI-South Florida

Wednesday, August 19, 2009

The Tourism Industry is Saying Thank You to our Military Personnel…

…by spreading the word about this Youtube video and passing it along. This isn’t political and the message will make more sense once you see it.

I got this message from Bud Nocera, former head of VISIT Florida. He says he: “received this link from Elaine McLaughlin today. Take two minutes and watch it. We all travel and we all have been in this situation where we have wanted to express our thanks to military men and women we see at the many airports we visit. For my Facebook friends in the tourism industry, let’s spread this far and wide. We can start a movement of expressing thanks and gratitude with this simple gesture.We can start with a movement of expressing thanks and gratitude with this simple gesture. How cool is that?”

So copy and paste the link below and view the video, “the gratitude campaign”. And you’ll want to pass it along….Best, Julie Wernick, HSMAInsider.

http://www.youtube.com/watch?v=MSfFYxSdKdo

Thursday, August 13, 2009

The Interdependence of Marketing and Revenue Management

Marketing pros know their customers – their buying behavior and their product preferences. To begin the revenue management process, most hotels start with market segmentation -- what types of business can your hotel serve? Most properties typically segment their markets into a set of categories. The most recognizable categories – ones that almost every property identifies no matter the size – are the basic: business traveler vs. the vacation traveler.

Based upon market conditions, room supply vs. room demand, the question to ask is: What rates can you charge? Or from another perspective, what rates is each segment willing to pay?

Managing revenue in hotels requires accurate forecasts. Bottom line: there is a heightened interdependence between hotel marketers and revenue management.

Want to learn more? Our Revenue Managers Committee has organized an informative panel program for our August 19th meeting at the Hyatt Coral Gables.

Come hear the experts – representing various parts of our industry – ask questions, and network with your fellow hospitality members. Registration online closes soon, so visit www.hsmaisouthflorida.org for more info and our registration link.

Hope to see you there!
Best, Julie Wernick, HSMAInsider, Managing Director, HSMAI-South Florida chapter.

Monday, August 10, 2009

“Selling Rooms and Services at the Right Price…

at the right time to the right people” is how Wikipedia defines revenue management which it notes is also called yield management. The trick or key, of course, is making informed decisions to come up with this “right” price.

Why are so many people afraid of the term “Revenue Management”?
Why do so many sales and marketing people shy away from the topic?
Everyone has probably balanced a check book; may be even set up a household budget. Haven’t you ever decided the best time to get your air conditioner replaced based on the relatives coming to visit? That’s a form of revenue management – deciding when to spend your money and how to do so. If you’ve ever worked as a consultant or looked for a job and decided what base salary you are able to accept, you’ve also figured out what to charge your future employer for your services at that time. Yes, I’m oversimplifying, but you get the idea.

They say that revenue management began with the airline industry – selling seats at various prices to maximize their revenue. In some cases, demand-based pricing is underused in service industries because some perceive it to be unfair. Studies have shown that if you frame this pricing as a discount or coupon they’re received in a better light.

So, if you’re trying to make informed decisions about pricing strategies; or need to develop a better history of demands including your past groups, past events, etc. or just trying to analyze your market…

Of if you are in sales/marketing and want to find out why these RM’s are requesting certain data from you…

find out some of the answers to these questions and more, come to our informative event, created by our Revenue Management committee, on August 19th at the Hyatt Coral Gables. Register online at www.hsmaisouthflorida.org

Hope to see you there! Best, Julie Wernick, HSMAInsider, and Managing Director, HSMAI-South Florida chapter.

Friday, August 7, 2009

Bits And Pieces from Around the Travel Websites…

South Florida appeared in two very different lists recently in an article by TripAdvisor about “Swimsuit or No Swimsuit”. In the survey of their members, the “Top 5 Clothing-Optional Beach Destinations” included the Sea View Hotel, Haulover Beach, Bal Harbor (at #2); And in the “Top 5 Members’ Favorite Beach Hotels (Clothing Required)” list, the LaPlaya Beach & Golf Resort, Naples (at #4)

In TripAdvisor’s “Top 10 July Destinations”, Miami was in the number four spot (after Orlando #3; Las Vegas was #1). Some recently reviewed hotels in their Fort Lauderdale Trip Watch have included the Ocean Sky Hotel, The Atlantic Resort, and the TropiRock Resort.

Sorry to say that none of our South Florida beaches appeared in concierge.comConde Nast Traveler’s newsletter – on the 2009 “World’s Sexiest Beaches” list. However, Miami was highlighted in their recent videos of exciting cities. You can watch the video online or download it as a podcast. It also has an interactive map and accompanying guide on “Miami from A to Z”. Hotels featured in the video include the Shore Club, The Delano. And The Mansion.

And awhile back on hotels.com, the latest figures from Hotel Price Index were released about average room prices. According to their numbers, prices of a hotel room around the world fell by 12 percent last year. It should be noted that they track actual prices paid per hotel room rather than just advertised rates. In other findings, they noted that New York was the most expensive U.S. destination but topped American traveler's lists as the most popular domestic city destination (Orlando was 3rd btw); For international travelers visiting the US, Miami came in third (after NY and Vegas) in the last quarter of 2008.

Wednesday, August 5, 2009

Marketing “Cheap Chic”

According to a recent article in BusinessWeek, the shrinking economy is being severely affected by the boomer generation (approximately 1/3 of Americans) who are spending less and trying to save more.

As other population segments won’t be picking up the slack from these boomers, we will need these people to fill our hotel rooms and buy our products for some time to come.

That said, how do you meet the needs of a generation that is used to being catered to, but is now on a budget? The answer is: “cheap chic”.

Most associated with the Target Department stores, companies are developing products that still cater to boomer creature comforts but are offered at a good price or value.

Starwood Hotels was ahead of the crowd in anticipating this trend. The company developed two different hotel chains to tap into the desire for value while still offering some ambiance. The two chains are: Aloft (loft apartments) and Element (low-cost suites). Each chain is offering a lower rate than their traditional brands, a few less services, but is not totally barebones.
Right now there are 25 Aloft Hotels opened so far – in Florida there are 2: one in Jacksonville; and one in Tallahassee. In 2010 to 2011, there will be 3 more in our area of Florida: Aventura, Bay Harbor, and West Palm Beach. No Element hotels are open in Florida now, but they expect in 2011 to have 2 in Orlando and one in Tampa.

Realistically, most current properties are not going to build an entirely new chain. But there are ways to participate in this trend. You just need to be creative – maybe a separate floor; building wing; travel time period, etc.? -- that can appeal to those boomers now making a virtue out of value shopping. “Cheap chic” here we come!