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More Than 20,000 Volunteer to Sail on RCCL Test Cruise

Whoa.

We all know cruising has a devoted, passionate fan base, but this is wild.

More than 20,000 people asked to be passengers on Royal Caribbean Cruise Lines’ test cruises before it resumes full service again, after the cruise line put out the call for volunteers.

Uh, that’s 20,000+ in the first 24 hours, according to a fun post by Matt Hochberg on the Royal Caribbean blog.

Royal Caribbean knew earlier this week that it had something along the lines of lightning in a bottle based on some of the response that was coming in for the initial call for help. The cruise line received more than 3,000 emails from people asking how they could volunteer. When RCCL responded by opening a Facebook group page and sign-up form, it saw that more than 22,000 people joined.

As Hochberg noted, part of the process for any cruise line to receive approval to restart cruises from the U.S. Centers for Disease Control and Prevention (CDC) is to conduct a series of test sailings that have volunteer passengers onboard.

In a statement, Royal Caribbean said, “This group will serve the community of adventurers who are excited and ready to be the first back at sea. Get ready to dust off your suitcase and get back to adventure!”

RCCL has not announced any plans when the test sailings will start nor how it would pick volunteers to join the cruises. The only stipulation is that guests must be at least 18 years old.

“We are still reviewing the CDC framework and do not have details on our simulated sailings,” the company said.

“While we review the requirements proposed by the CDC and consider when we can host our simulated trial sailings, we are gathering information from those who have shown interest on our Facebook group and will be in touch with them when we have more details. Our priority is to ensure that we can exercise our comprehensive set of measures in a safe and healthy manner while making sure we provide a memorable vacation experience.”

Source: https://www.travelpulse.com/news/cruise/more-than-20000-volunteer-to-sail-on-rccl-test-cruise.html

Cruise Lines Continue to See Strong Bookings for Future Cruises

Cruises remain popular for the traveling public, and many cruise lines are reporting strong interest among travelers for sailings in 2021 and beyond.

Seabourn recently reported a lot of interest in its 2022 World Cruise: Extraordinary Horizons, which is already more than 50 percent booked for segments through its halfway point in Shanghai.

“We are really encouraged by the tremendous amount of positive interest and bookings for our 2022 World Cruise, which clearly demonstrates that now is the time to consider a booking rather than later on when suite availability may be limited or even sold out,” said Steve Smotrys, vice president of global sales for Seabourn. “The past few months has given travelers time to consider when they are ready to explore the world again and know that when they travel with Seabourn, they’ll visit some of the world’s most fascinating destinations while experiencing the personalized, intuitive service we are known for.”

Oceania has also seen record bookings for its upcoming 2021 and 2022 seasons.

The cruise line launched a Labor Day sale and saw record-setting booking numbers with nearly half of the new reservations from first-time guests, and less than five percent of those reservations were from future cruise credits.

The cruise line followed its successful Labor Day event with the launch of its 2022 Europe & North America Collection of voyages and experienced a record-setting day for a summer season launch.

“The tremendous response from our loyal repeat guests, our travel partners and first-time guests underscores the tremendous pent-up demand for immersive, destination-focused cruises and our acclaimed small-ship experience that features The Finest Cuisine at Sea,” said Bob Binder, president and CEO of Oceania Cruises.

Another cruise line that is seeing big booking days is Regent Seven Seas Cruises (RSSC), which set a new record with its largest booking day in the cruise line’s 28-year history. That took place the day Regent opened its 2022-2023 Voyage Collection.

“The staggering response to our 2022-2023 Voyage Collection demonstrates the incredible future demand for the unrivaled Regent experience. Luxury travelers simply cannot wait to get back on the oceans to see the world again, while enjoying impeccable, personalized service on luxurious and spacious ships,” said Jason Montague, RSSC’s president and CEO. “Our loyal guests wasted no time in securing their perfect itinerary and suite with last year’s Voyage Collection launch day total eclipsed after only 90 minutes of being on sale.”

Royal Caribbean Group CEO Richard Fain has said that the cruise line is experiencing strong bookings and, in its most recent business update, Royal Caribbean said new bookings in 2021 have continued to improve.

Demand is definitely there, with a strong response among travelers eager to volunteer to sail on test cruises for which dates haven’t even been announced.

Royal, Caribbean, International

Frequent cruisers are not the only ones excited to sail, either.

In its most recent earnings call, Carnival noted that, while repeat passengers make up 55 percent of bookings for 2021, 45 percent were new to the brand.

One major motivator for cruise bookings—and perhaps travel bookings on the whole—is the announcement of a potential vaccine.

While the lifting of the CDC No Sail order didn’t bump up NCL cruise bookings much, Norwegian Cruise Line Holdings brands, CEO Frank Del Rio noted that the vaccine may have provided the cruise line with a bounce.

“Over the last 24 hours, bookings were pretty good, better than the previous four or five Mondays,” Del Rio said. “I think that’s attributable to the vaccine news, since we don’t have any promotion or marketing. I do think that was positive news.”

If ocean cruising is strong, river cruising may be even stronger.

Cruise Planners, which recently hosted a river cruise-themed webinar noted that savvy consumers are booking their 2021 river cruises now—before they sell out.

“Most of our future bookings (25 percent) are coming from river cruises and the pent-up consumer demand is trending high in this area and with limited inventory, even into late 2021. Savvy travelers are working with their travel advisor to get the best possible sailings, secure their cabins and lock in the best rates,” said Michelle Fee, CEO and founder, Cruise Planners.

Fee also noted that it’s a good time to be shopping for cruises as a whole.

“I do think people should start looking and if they’re even planning on traveling next year, especially to Alaska, and I gotta tell you, Europe is leading the pack as well we’ve been having amazing weeks selling Europe for next summer and beyond,” said Fee. “So you know, again, it’s supply and demand right, so if the demand is there and there’s limited supply you’re going to see a little bit higher price point but at this point we’re not necessarily seeing that.”

Path on the water from a large cruise ship

For travel advisors, the demand is slowly coming back for cruises.

Valerie Dorsey, of Cruise Planners, said that she is still seeing more land requests than requests for cruises.

“All-inclusive properties are the strongest right now for Mexico and the rest of the Caribbean,” Dorsey said. “Day-to-day the challenges change with Covid-19 requirements and so requests don’t always turn into current bookings. I do have large ship bookings outweighing my small ship bookings right now, but I must say that my customers on luxury small ships were the longest holdout for canceling their cruises and they all want to go again when the ships start to sail after the vaccine.”

Jeremy Hall of Cruise Vacations International noted that cruise bookings are up and down but that most interest is for later in 2021 and 2022.

“It’s been a bit of a rollercoaster in regards to new cruise bookings,” he said. “Some weeks are better than others but nonetheless, travelers are planning their 2021 cruises though mostly for spring through winter. We are seeing mostly premium and luxury ocean bookings as well as river. The phrase I hear most often from our most eager clients is ‘It has to be over by then.’ I agree with that thought and am anxiously awaiting it to be proven.”

Scott Lara of The Cruise Genius has found avid interest in cruising with clients anxious to get back out there.

“I’ve been getting overwhelmed with calls regarding new cruises for 2021,” said Lara. “Some interest in river cruises, but mostly new and repeat clients are anxious to sail on Carnival and a few other cruise lines. I’ve also received many calls about all-inclusive resorts in Cancun, specifically TRS Yucatán and Grand Palladium Costa Mujeres.”

Lawton Roberts, CEO of Country Place Travel, said that many people are hopeful but are seeking assurances.

“At this point, we are still not seeing “strong” future bookings for ocean cruises,” said Roberts. “The preference still remains smaller vessels, mostly river cruises. Clients are now wanting to learn more about the ‘passenger protocol’ on ocean cruises during the phased start-up guidelines from the CDC before committing to another ocean cruise. Everyone wants to go on a vacation, but they don’t want it to be a laboratory environment where you can seldom if ever truly relax.”

Meliá Hotels International Launches An Incentive Travel Programme For The COVID-19 Era: Individual And 100% Flexible

This Christmas, companies can include hotel stays among their Christmas gifts to customers or partners

The COVID-19 pandemic and travel restrictions have caused numerous changes in the travel industry, forcing the MICE segment to completely reinvent itself and look for new ways to reactivate business travel. According to forecasts made by GEBTA and BRAINTRUST, travel for professional reasons at the end of 2020 will still be 50% below the previous year.

One of the segments that has been most affected is that of incentive trips, a traditional motivational tool that companies use to reward their best customers, employees or partners. For Meliá Hotels International, incentive trips represented 10% of all MICE revenues in 2019, and it has also been an important segment for travel agencies over recent years.

Given the current situation, the leading hotel company in Spain has taken a step forward in making incentive travel viable in the COVID-19 era, distancing itself from the more traditional concept of organised group travel and creating a new format in which flexibility and personalisation of the journey by the end user are key. The new individual incentive programme is linked to the MeliáRewards loyalty programme and offers companies the chance to give a stay to their customers, employees or partners as a gift, with each recipient able to choose the time, destination, type of hotel and duration of their trip. This is possible through the purchase of MeliáRewards points to share out among the people the company chooses which can be used whenever they wish.

“Offering individual incentive trips is the best option at a time in which travelling in groups may be subject to certain restrictions. That’s why we are seeing a clear trend for companies to include hotel stays among their Christmas gifts to employees or partners, given that it’s a very flexible incentive for the times we are living in” confirms José Miguel Moreno, Global B2B Sales & Marketing Senior Director at Meliá Hotels International.

This is one of the many activities the hotel company is currently carrying out to stimulate the MICE segment, adapting to the current market conditions under the Stay Safe with Meliá programme created by the company to reinforce health and safety in its services and facilities, and certified by Bureau Veritas.

About Melia Hotels International

Founded in 1956 in Palma de Mallorca (Spain), Meliá Hotels International is one of the largest hotel companies worldwide, as well as the absolute leader within the Spanish market, with more than 380 hotels (current portfolio and pipeline) throughout more than 40 countries and four continents, operated under the brands: Gran Meliá Hotels & Resorts, Paradisus by Meliá, ME by Meliá, Meliá Hotels & Resorts, INNSIDE by Meliá, Sol by Meliá and TRYP by Wyndham. The strategic focus on international growth has allowed Meliá Hotels International to be the first Spanish hotel company with presence in key markets such as China, the Arabian Gulf or the US, as well as maintaining its leadership in traditional markets such as Europe, Latin America or the Caribbean. Its high degree of globalization, a diversified business model, the consistent growth plan supported by strategic alliances with major investors and its commitment to responsible tourism are the major strengths of Meliá Hotels International, being the Spanish Hotel leader in Corporate Reputation (Merco Ranking) and one of the most attractive to work worldwide. Meliá Hotels International is included in the IBEX 35 Spanish stock market index. Follow Meliá Hotels International on Twitter @MeliaHotelsInt and Facebook meliahotelsinternational.

Source: https://www.hospitalitynet.org/news/4101451.html

The Latest Developments and Trends in Hospitality for 2020 & 2021

Fundamentally it has been a completely different year from any other – many referring to a “new normal” – bringing a plethora of contrasts to the industry when comparing hospitality to pre-COVID-times. This urges the need to review what trends have come and go, and put any concerns into perspective.

Of course, COVID-19 has scrambled things up causing ripples in the hospitality pond, just as we have seen with previous crises. Regardless of the negative effects that came into being, there are always new opportunities that arise as a result. In this article we will be covering everything from shifts in consumer behaviour and expectations to hotel concept trends, bringing you up to speed on the latest hotel developments and hospitality trends.

In this article:

  • Need for Higher Level Customer Service
    • Safety as the New Luxury & Cleanliness First
    • Personalization
    • Tech-savvy Hotels
    • Health & Wellness Stays
    • Luxury Nature Travel
    • Personal Connections & Experiences
    • Next Level Vacation Rentals
    • Unique Experiences
  • Consumer Trends
    • Local Travel
    • Changing Booking Trends
    • Transformation of Corporate & Group Travel
    • Growing Middle-class in Developing Countries
    • Millennials & Aging population
  • Concept Trends
    • Sustainability
    • Hybrid Hotels
    • Merging Nature into Hotels
    • Home Away from Home
    • Mixing History and Modern Architecture

Accelerated Need of Higher Customer Experience

From stuffy – uninspiring hotel concepts and operating procedures to ancient hotel systems, there was always a need of improvement rather than seeing consistent high quality of services and products being offered across the board.

Then COVID-19 came – and now that time is over…

People’s needs and wants have been fundamentally shifted, creating the need for the hotel industry to shape towards the traits of the “new normal”.

Which hotel trends should we be looking out for, and what are the best ways to navigate the myriad of developments in the market. Let’s break it down…

“Safety as the New Luxury”

“Going above and beyond” is the typical phrase used in hotels in order to provide excellent service. But how does this translate into practical terms when it comes to health and safety measures? How can we meet expectations and deliver unmatched customer experience during these challenging times during COVID19.

Xotels´ Tips: Implement well developed protocols making your guest feel safe and not preoccupied with thinking of their health. Steps that you can take directly include:

Be there every step of the way, outlining every step of the customer journey from when the booking is made until they arrive home safely again. For example:

  • Booking confirmation email (containing all the safety measures taken at the hotel). Include any relevant information from check-in information to cleaning protocols, and even activities that guests can safely do around your hotel.

Understand that any doubts on your safety standards could mean the difference between a cancellation or successful hotel stay, at any point after the booking has been confirmed.

Creating an elevated experience of security throughout the hotel. Go for a small scale approach in your pursuit to make guests feel secure. Build a personal connection to become part of the customer journey, introducing possibilities to make a positive impact on the customer journey without being too intrusive.

  • Be prepared to cater to new needs and wants of guests, whether it is organizing corona-proof events and activities, or more generally, making sure the guest experiences a perfectly safe and clean environment.

Make information clearly visible. Efforts shown by the hotel should be brought to light. The last thing you want is guests having to look for information when everything is right at hand. Do not let your efforts go to waste – make it available wherever you think guests might need it! Our tips include:

  • Prevent any doubts by providing as much information as possible before arrival
  • Utilize QR codes pointing to your protocols
  • Ask during the check-in if guest are interested in additional information per email (read more on guest email collection opportunities)

What fits your property type/service level. Make sure sufficient value is created in the eyes of the guest within your price range/hotel positioning. For instance, ask yourself – does a hotel qualify as “luxury” if one cannot ensure health and safety measures are equally matched to the same level of service and product expected from a property of higher caliber.

Attention to detail makes the above efforts even better. Your efforts will be fruitful when you go beyond only covering the basics, and go the extra mile for guests.

Cleanliness First

Clearly, people are prioritizing their health during this pandemic, and will likely continue to do so for quite some time. Recent articles such as from the New York Times claiming the most important word in the hospitality industry right now is “clean.”, and a survey by Oliver Wyman that found that improved health and cleaning is a primary factor impacting the decision to stay at a specific hotel.

The meaning and association with the word clean has been turned around. To make sure what was once taken for granted (a “clean” room), it is needed to step up your game in order to live up to the customer´s completely new different definition of cleanliness (a “virus-free” room).

Xotels´ Tip: Technology

  • Killer lamps a.k.a. disinfectant lights using UV-light to sanitize surfaces (portable light modules, robots etc.)

Communication – how to get the (right) information across

  • Chat services, whether automatic (chatbots) or not (instant messaging with staff such as Whatsapp) allow for more swift and accurate ways to communicate information to guest
  • Hotel app, all protocols and initiatives should be listed. Referring to the app´s readily available information primes guests to make use of the app before reaching for an alternative such as calling to the reception.

Marketing message, make sure to include the initiatives in your marketing message.

  • Clearly display them on your website in various ways:
    • Concise short-list of your steps to tackle any concerns guest might have
    • Similarly, a pop-up message can be used to bring the information to guests attention
    • Do not overlook other departments. Promoting F&B specific measures such as food safety or convenient delivery options you might have should take away any doubts
  • Let your guest experience talk for itself. Be sure to include it in your marketing efforts across your hotel website, email campaigns, social media, and on OTAs. Highlight positive reviews and customer success stories about your outstanding health and safety measures.

Nothing is worse than putting in the efforts and money without the guest having the knowledge of what was actually done. Following the above examples and making sure the message is clearly visible throughout the guest journey will maximize potential results.

Personalization

Creating unique experiences has always been a major part of hospitality. However, for guests to qualify their stay as exceptional takes more than just covering the basics. Focusing specifically on their needs and wants and tailoring the provided services accordingly is where the difference can be made.

On a more fundamental level, it is evermore important not to lose the human touch to your services during these times. For both reasons, we believe personalization should always be front of mind.

Xotels´ Tip: In-room features examples

  • Selection of pillows and blankets, lighting color/intensity, choice of food and beverages available, curation of guest activities)
  • Personal turndown gift/note

Personalization of communication. Ask upon check in questions like “what kind of activities they have planned” and “what they would really like to do before they head back home”. This information allows you to receive detailed feedback of their interest and provide detailed suggestions to make their stay truly special. This can be included on many places including:

  • Hotel app: activities and packages bookable through the app streamlines the experience and allows for automatically created content suggestions based on previous choices
  • Complementary tablet/smartphone during the stay: make an individually curated selection of activities which can be pre-downloaded onto the device and given to the guests
  • Personal chat and telephone operators, keeping track of what has been asked and ordered is essential here. This input should always inserted into the system if relevant for future personalization

Leverage your PMS and CRM systems, personalization can become complicated very quickly especially for larger properties. Managing data in this case could become impossible without the support of a good PMS and CRM system. The loss of valuable information could be devastating for any hotel.

  • Sustainability, bring sustainable choices to your guests. Give them options such as the frequency of towel and linen changes. Showing not only that you care about the environment but also at the same time adding an extra level of personalization and value to your service.
  • Get your staff on board, they are at the center of your success to elevate personalization in your hotel. Overcoming the issue of undedicated staff should not be overlooked, as it is the most-cited hurdle when it comes to harnessing the potential of personalization (74%, BCG).

Thinking of holding off on the personalization of your services during current times? First, consider how easy it is to lose customers. Most (80% of consumers, Qubit) are open to switching their choice if they find services better catering to their needs. The same applies to marketing, with 25% of consumers (Netimperative) would be more loyal to a travel brand that shows an understanding of their needs through marketing, avoiding what they feel are irrelevant offers such specific periods/seasons they would never travel in, or types of vacations they would never book.

In short, switch into a higher gear when it comes to personalization and start asking yourself what can be done to take your services to the next level, otherwise it might be too late!

Tech-savvy / Smart hotels

Zoku – Smartly designed, offering a contactless experience with express self service check-in/out through self service and automated billing via email

The world is becoming more involved in technology, and will have to follow suit to provide to the needs of the already tech-savvy guests. In current times, technology in the hotel industry aids both the customer experience and, importantly, the need of a safe and clean setting. A great example is stepping into a fully contactless hotel, which seems like a simple feature to offer, but goes a long way in making the guest feel secure and comfortable.

Xotels´ Tip: Try finding what tech suits your brand best if you want to go big. More specifically, in case of luxury properties, you want to make sure human touch points are kept allowing the elevated guest experience expected in such properties to take place. On the opposite end are hotels and hostels characterized by simplicity and streamlined operational processes. Here, tech is THE facilitator for exactly what is nowadays expected by this target group. Chiefly, things such as mobile check in/out, an integrated hotel app, all in a contactless environment, are the essentials to elevate your customer experience, which is likely to become the standard in the industry sooner rather than later.

Health, Exercise & Wellness Stays

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People find sports as a way to unwind and improve quality of life, with recommendations pointing to exercise at least 30 to 40 minutes a day. Also, many feel the need to relax and are willing to spend, with estimates going from a $639 billion market, to $919.4 billion by the end of 2020 (Global Wellness Institute).

Offering unique ways for people to stay active and healthy, such as yoga in the swimming pool in the image above, can really make you stand out from the crowd. Especially offering extended services such as exercise and nutrition plans can make you go the extra mile in personalization creating a personal bond and making the guest feel extra special.

Xotels´ Tip: Willing to invest in healthy activities or wellness facilities? Start building your strategy first, researching your competitors thoroughly to come up with ways to stand out. Keep in mind that this does not necessarily have to translate into large amounts of time and money to broaden your service offerings. Below are listed a few initiates fit for any hotel wanting to expand on their health and wellness services.+

  • Follow the latest hotel trends and spa tech. Consider if it fits your brand first, and if it truly adds value. Not every initiative is for every hotel.
  • Look into partnerships with well-established spa product providers to create additional value. Possible, even leveraging their marketing power to your benefit. Be picky though – make sure the brand fits the image you want to portray (e.g. luxury hotels should only partner with top-level brands known for their exceptional quality).
  • Be vocal on social media even if you implement simple initiatives. The activities make up for great content, so be sure to take advantage of it.
  • Externalise– fitness and other activities such as yoga, tai chi, and meditation can all be outsourced with minimal costs involved. The activities do not even have to take place within the walls of your property.

final tip to consider is how well any of the above offerings fit your brand, and where the line between cost and value-add ends. Although resources might be available, sometimes going for smaller implementations can pay off big time and your valuable time and resources can be better spent on other initiatives.

Reconnecting with Mother Nature in Luxury

Nihiwatu Hotel, everything can be said with their motto: Socially Distant, Wildly Connected

Beautifully located in nature emerges guests in the natural setting, allowing guests to be one with nature. Curating special experiences fully embracing local culture and unique features of the hotel’s surroundings forms the go-to approach. To qualify as “luxury”, services should focus on tailoring the experience to the guests individual needs and wants, and deliver an experience unlike something they have ever seen before.

Some inspiration from Nihi Sumba involves hikes into local villages, bird watching in the midst of the jungle, or a guided tour to hidden lakes combining a swim with a delightful personalized lunch.

Xotels´ Tip: Unfortunately, not any hotel can just copy paste these views onto their backdrop. However, activities can be offered in the same way to fully experience what the destination has to offer. Whether it is cultural experiences or natural attractions around your hotel, try showing the beauty of what is out there. It can widely broaden your offerings and attract guests that are in the market for something special.

Extra Tip: build a wide range of packages special to your area, and put the effort by tailoring the service to each guest for a personal twist. And do not forget to include what your destination has to offer on your hotel blog to entice people to book and capture traffic on popular keywords.

Experiences & Building Personal Connections

Casa Vaganto, BarcelonaTapas & Cava on the House! A Perfect Moment to Connect with Guests and Meet New People

Despite the implications COVID-19 has on social interactions and activities, people are still looking to experience new things. Those willing to go out there might still be craving the personal attention and special care that hospitality is known for. Taking back that personal connection and interaction in current times could be more important than ever before. Things like offering complimentary tapas and drinks just like provided at Casa Vaganto, Barcelona can be just that occasion where you can truly take advantage of a moment to connect with guests.

Xotels´ Tip:

  • Invest in small scale moments to create memorable guest experiences. The guest’s experience will overreach anything tangible that can be produced (Cornell).
  • Increase your chances to rectify negative experiences. Tackling any issues personally before check out will prevent negative sentiment in many cases, subsequently protecting your review score..
  • Do not set any boundaries to time. The setting should be unforced with ample time for any guest to make use of the service.

Bringing Vacation Rental to the Next Level: Design and Unique Local Experiences

Kabano Vacation Rentals, El Tarter, Andorra, caters to all needs and excels in delivering unique experiences

Design

If we are honest, the vacation rental business has proved to be a laggard in the hospitality industry when it comes to concept design, missing the consistency and product quality we find in hotels. But why? Especially considering the fact that the product makes up for a much larger part of the overall experience in comparison to hotels, where service is typically more central.

So why not stand out from the crowd in a largely aesthetically indifferent pool of rentals out there? A great example of concept development is Kabano Rentals, a brainchild of Vojo Ventures, shown in the above image. Distancing itself from the herd with its own character, custom design, premium finishings, and curated local experiences. Let’s go through some design inspiration taken from Kabano that can make you stand out:

  • Premium furnishing, designed and equipped to the highest standards
    • Unique furniture, handcrafted in Bali, Indonesia
    • Premium linen, giving that extra comfort and luxury feeling
    • Individually designed spaces, with a little design twist to each room
  • Functionality front of mind, considering functionality across every possible touchpoint throughout the property (e.g. specially allocated area in the private parking made to get changed in comfort after a day of skiing, outfitted with a washing basin, ski equipment and clothing storage/drying rack, and sitting area). In case of Kabano, which is right in front of the ski pistes, the services are catered towards the specific needs of customers booking in that area. Look for similar ways to implement features to make guests feel comfortable.
  • Seamless experiences, contactless check in/out and availability of information (concierge and tablet providing everything you need)

Local & Unique Experiences

The majority of travellers find local experiences important, with only 3%: finding it not important at all (85%). Shifting focus to highlighting local experiences at your property is therefore essential to attract guests to your property.

Xotels´ Tip: We suggest you dive deeper into the following actions:

  • Generate as many ideas as you can to promote to your audience
    • Local food: cooking classes, food packages (e.g. fonduing with local cheeses in the chalet), local drink tastings
  • Creating the VIP experience, taking all the effort out of travelling (everything is pre-arranged). Think of:
    • Suggest a full plan of activities ranging from ski rental and restaurants bookings, to transportation to all the locations.
    • Take the opportunity to curate it to the guest´s preferences – personalize it
    • Go the extra mile when it comes to special experiences. Do not fall into the same category as everyone else with generic offerings that will not impress anybody.
  • Promote your activities, posting it in on your social media and hotel blog page
  • Inform the guest as much beforehand, and get them excited about all the possibilities. It allows you to start earlier with planning and gives guests more time to decide on their choices.
    • Watch out: most guest book experiences on spot so be prepared (hospitality. Starting with introducing options as early as possible might help you to bring this number down.
  • Revenue opportunity: build on your online strategy. Only 20% of experiences are available bookable online!

Consumer Hospitality Trends

Local Travel

Increase of the query “near me” in Google Trends clearly showing the heightened traffic on local searches over the past years (October, Google Trends)

Despite a dip from March until June for obvious reasons, we have seen an increase in traffic for local searches being performed.

Shift in Destinations Popular destinations seem to have shifted as well. According to a recent Booking.com article, six of the top 10 had never been in the top 10 before (globally), such as the Baltic Sea and Rügen region in Germany.

Previously, lists of popular destinations shown on OTAs and hotel chain websites would typically consist of various trending cities spread across multiple countries. Today, however, showing local destinations, within driving distance, would make more sense.

Challenges for hotels that arise from this include lower visibility of your otherwise “popular” destination, resulting in less impressions and clicks.

Xotels´ Tip: In practical terms, this means that we should be on top of local search trends by focusing on regional opportunities. Think of:

  • What the “new” consumers might be searching for when discovering different destinations beyond major cities and large tourist destinations. Possibly, these guests are completely unfamiliar with the city/destination itself, and this is where you can stand out and gain direct traffic. Think of:
    • Blogging: target local activities and the unique characteristics of your surroundings
    • Social media: has always been a great tool to display your hotel to a wide audience. Similarly to blogging, make sure to inform your audience about the possibilities at both your hotel as well as the city/region as much as possible to draw them in. This also allows you to curate content from different sources to expand your content strategy.

In other words, if the traffic is there you must be strategizing to capture as much of it as you can! We cover this more in our article about revenue management in a crisis or economic downturn.

Changing Booking Trends

Since COVID-19 started to show its impact on the hospitality industry, we have seen significant changes in consumer behaviour. Uncertainty being the main driver of how guests are searching and deciding on their travel plans. With travel restrictions in place, people are looking for safer ways to travel leading them to book closer to home, avoiding the risk of moving through high traffic areas. Another implication of uncertainty is the delayed moment of booking, meaning a shorter booking window.

Xotels´ Tip: In the same way the situation keeps changing, we can anticipate that booking behaviour will follow along. Our recommendation is to keep an eye on your data and take actions accordingly. Be sure to follow any changes in your on the books data, utilizing metrics provided by OTAs and by talking with your direct competition for additional insights. We advise to take the following action:

  • Build marketing campaigns according to the characteristics of the target segment. Furthermore, metrics such as lead time and feeder market can give you insight into when campaigns could be launched to maximize effectiveness.
  • Promotions and packages, both will help you to tackle low demand and target price sensitive customers. Aim not only to offer cheap deals, but also create value at the same time when prices are bottoming out. Add value without increasing the overall price too much can simply be achieved by including add-ons at cost-price. Whether it is a free dinner, breakfast or a welcome package, anything can help to sell rooms as long as the price is right for the customer.

Transformation of Corporate & Group Travel

This one might pose the obvious, since people are shying away from leisure travel let alone taking a trip for work…

As some companies choose teleworking- and communication instead of putting their employees at risk by making them travel for business, it is a logical outcome that corporate travel is impacted negatively.

Xotels´ Tip: Put your sales hat on and focus to maximize business from local markets as well as driving ancillary revenue. Making up for the loss of revenue otherwise coming from your corporate segment will not be easy, but the multitude of opportunities must give you the chance to diversify your revenue streams. Our tips include using your current customer database for retargeting, building marketing campaigns hyper-focused on the benefits of travelling locally, and introducing new packages and services catering specifically to the needs of consumers in the “new normal”.

Growing Middle-class & Emerging Markets

A prime example of a country showing prospering middle class growth is, of course, China.
Taking into consideration the steep incline of China’s middle class over the past years (4% of China’s urban population, to over 30% in 2018), which is expected to hit 75% by 2022 (McKinsey & Company), means a large number of consumer buying power that can be funneled into your hotel business with the right strategy.

From another perspective, entire regions can be expected to show strong growth figures. Take for example the African population, which is expected to account for approximately 40% of the world’s population by the end of this century (UNPF, 2015; World Tourism Organization, 2010; York, 2014). We know, speaking about an entire continent typically asks for some extent of generalisation. However, we use this example on purpose, being that it’s worth paying close attention to your data to possibly pick up on any trend happening in your market, hopefully a little bit earlier than your competition!

Xotels´ Tip:

  • Own your data, and be on top of any trends that might seem to appear from specific regions or countries.
  • Gather data from your direct channels, OTAs and anywhere else you might be able to find additional data on where travellers are coming from (i.e. municipality and regional databases).

Aging Population & Millennials

Focusing on specific segments based on age group might help you gather insights on what services and products you might be able to offer to drive revenue.
Take for example the aging population trend. The population over 60 is expected to grow at the fastest pace ever, with a growth rate of 58% over the next four decades in the developed world, well surpassed by developing countries clocking in at numbers more triple the amount of what it used to be in 2009 by 2050 (Nella & Evangelos, 2016).

Xotels´ Tip: Looking at the above statistics must prompt the urge to start thinking about the best ways to cater to the needs of this segment. The same applies to Millenials and other age groups, whether the numbers show such significant growth or not, there are always opportunities to drive revenue!

Also, read our article on how to get Millennials to Book at your hotel, for a detailed approach to get this consumer demographic to your hotel.

Hotel Concept Trends

Sustainable Lifestyle & Accommodation

Urnatur, Sweden, Secluded in the Swedish Countryside and Built with the Utmost Respect for Nature

Sustainable accommodation seems to become more popular by the day, showing 73% of global travellers intend to stay at least once in an eco-friendly or “green” accommodation when looking to book their next trip. In addition, another 70% of travellers are more likely to book an accommodation knowing it was eco-friendly, whether they were looking for a sustainable stay or not (Booking.com, 2019). Also, giving back to the community and planet is shown to be of importance, as indicated by a survey conducted by Condé Nast Traveler, that showed 58% of travellers said they choose a hotel on whether it gives back to local people and the planet.

Xotels´ Tip:

  • The road towards becoming more sustainable does not always have to be complicated. Of course, no matter how beautifully implemented with every aspect of sustainability in mind the above example is, there are other ways for hotels to positively impact the environment. Creating a concept built on a sustainable foundation does pose significant benefits if well-planned and marketed in the right way. Before taking action, make sure to consider the following first:
  • Market research, this should tell you whether there are options to diversify yourself, or if there is the need to follow the market which is already moving into sustainable solutions
  • Cost vs value calculation, depending on your budget and willingness to implement solutions, you should start discarding ideas based on your resources when it comes to time and money.
  • Small vs Big, evaluate simple steps can be taken towards a more sustainable property. Start by partnering locally with food producers and organizations focusing on improving sustainability in your area. Together you might be able to effectively provide value to the community. Anything from serving fresh local produce to using sustainably made decoration in rooms and public areas can make a big difference. Make these items available for sale to support the local economy as well.
  • Involve your staff in creating sustainable solutions that are easy to implement and are supported by your team from the get go.

In summary, do not go overboard in your efforts without a proper feasibility study and commitment from your team! However, choosing not to follow the sustainable path could translate into missed opportunities and loss of revenue.

Hybrid Concepts

The Green Elephant Hostel, Maastricht, The perfect execution of a ¨Glostel¨

Combining the words “Glamourous” and “Hostel” defines what has been brought to life at The Green Elephant, Maastricht (TGE). The concept brings luxury facilities, such as a full spa, to more affordable hotel types such as hostels. TGE has managed to tastefully merge more upscale amenities with the economical benefits of shared sleeping facilities, elevating the whole hostel experience to a new level.

Xotels´ Tip:

  • Mixing two concepts widens the audience, still attracting guests whose limited budget prevents them from visiting “luxury” properties with upscale amenities, as well as guests with higher budgets where a bunk bed suffices as long as extensive facilities are on offer.
  • Do it the right way, which is neither too trendy nor overly swanky, establishing a comfortable atmosphere for every guest. Otherwise, it will just not make sense!

Merging Nature and Urban Life

BUNK Utrecht, Creating a Sense of Nature Throughout the Hotel

Apart from sustainable solutions, hotels can implement other ways to bring a sense of “nature” to the hotel. Using plants can give a fresh and vibrant vibe, offering the possibility to be creative with the use of plants by blending them harmoniously with the rest of the decor.
Providing a splash of green in the hotel can prove to be beneficial to the overall guest experience, as green spaces are shown to have health-promoting and stress relieving purposes in residential environments (Beyer et al., 2014). Similarly, introducing sounds of nature can provide corresponding results, promoting relaxation and wellbeing amongst guests (Cassandra et. al., 2017)

Xotels´ Tip: Great results can be achieved with only little investment and smart placement of greenery. Various solutions can be found depending on the climate and your budget. The key here, again, is to make it fit your concept in order to guarantee a successful implementation. Anything could work from self-sustaining ecosystems to virtually maintenance free choice of plants (e.g. cacti and succulents), as long as it fits your style and concept.

(Long)-Stay away from Home & Remote Working

Zoku Amsterdam, Offering Unique In-room Facilities Increasing the Comfort of Being away from Home for Work

Offering simple and effective design centered around a balance between work and life is what Zoku does exceptionally well. Creativity is what sets them apart. Take for example the seamlessly integrated section hiding the sleeping area from the living room, and for a little bit of extra fun – gymnastics rings (as shown in the room image above) installed for those craving a little workout during their stay.

Xotels´ Tip: Before conducting any research into implementations, make sure you understand the fundamentals of this segment. Specifically, what are their needs and wants, and maybe even more importantly, how can you most effectively cater to those desires.

  • No skipping, meaning taking no shortcuts when it comes to making your entire hotel ready to accommodate the needs of this segment. Anywhere from public areas (lobby, breakfast area, cafe), and meeting areas (function spaces, breakrooms) to the rooms should be covered when it comes to offering comfort and accessibility to create a comfortable working environment.
  • Keep it fun, bringing a touch of playfulness to the implementation, just like Zoku does with the gymnastic rings. Also, community managers can fulfil an important role in establishing a balanced environment that fits every guest well.

Mixing Historic and Modern Architecture

Hotel Mariënhage, Eindhoven, Combining breathtaking modern architecture with the beauty of an old monastery

Mixing heritage sites with new and exciting architecture, such as the example above, allows for ways to repurpose old buildings and create new and inspiring concepts. Planning and execution of these kinds of projects usually can rack up a fair bit in additional costs, but will make you stand out more from the crowd and give people an extra reason to visit your property.

Xotels´ Tip: Embracing the concept in a well thought through marketing strategy is vital to the success for this kind of venue. Associate other amenities such as your meeting rooms and restaurant in your marketing message to complete the package and overall experience

Will Hospitality Get Its Talent Back When The Pandemic Is Over?

If you have never been a writer like me, and all of a sudden you have to improvise yourself one, you start thinking about what style you should use, who you should target, and most importantly what your approach should be.

When I started working on the blog and writing, the main goal I set for myself was to always maintain a positive approach, and even when talking about difficult topics or about things that are not going so well, I wanted to always try and find a way to turn it around and bring up a positive message. In other words, the silver lining is my goal.

This is particularly hard when you try and write in 2020, when most of the discussions we are having are surrounded by a negative connotation and unfortunately multiple things are not going well.

Something I have been thinking about lately – that worries me on one side, and that makes me curious on the other – has to do with how our industry will recover in terms of workforce. The fact is that myself and many colleagues in hospitality are now faced with a heavy reality and we have reached the point when we have to ask ourselves the toughest questions of all: “Is it time to leave the industry and make a career switch?”.

Some of us have been considering this for some time now and are in front of new opportunities, so we need to make a choice. Most of us unfortunately don’t have a choice. We need to work and bring home some income, and if our industry offers no chances at the moment, then we have no choice but to look elsewhere.

We know this is happening and we have all come to accept it. However, what worries me now is this question: when the pandemic is over, and hospitality has recovered from all this, will people come back to it, or will they stay where they are?

Restaurants, hotels, airlines and all service companies are forced to lay people off daily, and are therefore giving up a lot of talent. But when they will be ready to rehire and bring them back, will that talent be ready as well to return, or will it be lost to other businesses?

Consider this: hospitality talents are some of the most compassionate, charismatic and flexible people you can find. We know service and experiences better than anyone else, so we will be able to please customers in whichever industry we will end up. We know and value people above all, so we will be warm and humane leaders wherever we end up. We work under a huge amount of pressure and a constant fast pace, and we have to be extremely flexible to succeed at our job, so we will be strong and we will easily adapt to any new challenge.

We will most likely be successful in other industries because of the skills we have learnt in hospitality.

On the other end the reality is that hospitality staff is unfortunately underpaid compared to other industries. So when the workforce will be exposed to a higher pay, a better schedule, and a more regular lifestyle, will it be willing to give that up and come back?

Even in a situation where companies have no choice and they are doing the only thing they can do, should they keep this aspect into consideration and find a way to guarantee their return? Should they worry about losing that talent forever? Should they be proactive and prepared on how to regain them?

I have asked the question to my friends and colleagues in the hotel business, because we are the talents that might or might not come back, and I am interested in knowing what their thoughts and plans are.

I asked two questions:

  • “How is the pandemic making you think about leaving hospitality and switching industry?”
  • “If you are considering a switch, would that be temporary or could it be permanent?”

I am quoting some of their answers here below – and respecting the privacy of those who prefer to stay anonymous.

Caroline – Room Division Manager – in the industry for 17 years

“I am not really thinking about leaving (yet) since hospitality is really the industry which I love the most and at the moment switching is not a must for me (again, not yet). If I was to make a change it would be only temporary, as I said I love this job and I believe things will pick up again when this is all over.

Former colleague – Sales Manager – in the industry for 12 years, says:

“The pandemic has created a very uncertain future for us and I don’t know when the situation will be back to normal. Of course this triggers me to look for opportunities outside of hospitality, but I’m also doubting if right now it’s a good time to switch as a lot of industries are affected. Of course I would consider a job opportunity in another industry if an employer provides a growth opportunity. If I was to make a switch I would definitely give it a full chance and adjust my career goals. Unless I am unhappy in the new role and business, I would stay. But if that was the case I would most likely move back to hotels. At this stage I am not thinking about a permanent switch as I am quite comfortable and protected in my role and company.”

Chris – Director of Sales & Marketing – in the industry for over 30 years – says:

“I have all the confidence that the industry will recover. I think it’s going to be slower and that it will take longer to get back to the great numbers of 2019, then it took after the 2008/2009 dip. I see continuous consolidation in the business, and a consistent trend of fewer people doing more work and wearing more hats.

I have no plans to leave the industry, in my current DOSM role at an independent boutique hotel, I think I will be working harder than ever to build and maintain relationships to differentiate our hotel and restaurant, fill seats and rooms and make sure our guests really feel the love. This won’t be easy until our city moves into phase 3, until a workable vaccine is in circulation, and people are more comfortable around strangers once again.”

Silvia – Spa Manager – in the industry for 13 years – says:

“Let’s start by saying that the pandemic has made me rethink and reconsider everything. So yes, the idea of leaving the industry has crossed my mind. However, I feel that even if I give it my best, I am not excited about jobs that are not in hospitality. I also feel like I am not being excited during the interview process for the same reason, as it’s obvious that my real passion is not there.”

Friend – former F&B Director – in the industry for 15 years, says:

“Pivoting during these times is crucial to one’s success. A lot of what we’ve learned by working in hotels can be applied to a multitude of different industries due to the empathetic nature of our job and to our ability to handle stressful situations. If a job requires dealing with people in any shape or form – hotel people are naturally able to excel in those roles.

Personally I do not see myself staying away from hospitality, however I have come to realize that when looking for a position I will need to broaden my search and think of how I can add value to an organization or a brand with my existing knowledge and experience, and this may be outside of my comfort zone.

I have spent the last 10-12 years going from a restaurant server to a hotel executive, I feel I will manage to do the same in another capacity. But will my work environment be upbeat, fun and filled with the joys that come from engaging with guests and hospitality colleagues?

The biggest fear is of an unknown model of work, but if I enjoy it – will I come back to hotels?

There is no answer to that question, however I know many people who left hotels to pursue a different path; many ended up liking their new careers and did not come back. Same for those who left other jobs and ended up finding happiness working in hotels.

Consistency can lead to a dull life. Unless we try and pivot we will never know, it may not be what we know best, but it will be a unique and different experience.

And if you fail, you can always think of 2020 as a year of interesting experiences and go back to your comfort zone. No one will judge you for your actions. Hospitality does not judge people for their background, choices and lifestyle. If you work hard and show your added value, you will be accepted back with open arms.”

Ilka – former Sales Manager – in the industry for 28 years, says:

“In the near term it feels like there is not much of a choice but to seek employment outside of hospitality. I’ve spent years building relationships and a reputation as a trusted partner and advisor for my customers and I don’t want all that work to be lost. I would certainly consider returning at the right time and for the right opportunity. It will be interesting to see how everything continues to morph in order to meet the current restrictions, while finding new and innovative means to meet and exceed clients expectations under the new normal.”

Ryan – former Sales Manager and F&B operations manager – in the industry for 15 years.

“Yes, the pandemic is making me consider leaving the industry, or if anything getting into a hospitality support industry. With new opportunities I can’t be sure that the switch would be permanent. In an ideal world I would return, but if a position allows me to learn new skills within an industry I enjoy then yes, the switch could be permanent. Hospitality has taught me many skills that can be utilized in many other industries so if a change is positive then it may be permanent, if not I would look into returning to hospitality in the future.”

What about me?

Well, at the moment I am waiting for my residency paperwork to be processed. In the meantime I’m obviously deeply thinking about what to do when I will be able to work again. I have to be completely honest and admit that, even though it might not be very smart thinking, the thought of leaving the hotel business has not crossed my mind, at least not yet. Is it foolish? Perhaps it is, but for better or for worse, I simply haven’t given up on it.

When I think about applying again – when I finally will be able to, I can’t think about anything but roles in hotels. I strongly feel and hope that the industry will recover sooner than later. If the circumstances don’t improve in the short term, I will have to look for something else because I need to work. And if that will be the case, it will for sure be temporary, and I will be anxiously waiting for the time to come back.

I really am a loyal and passionate hotelier, I love my job and my industry and I am a huge advocate for it, I miss it deeply and I just can’t wait to return.

There seem to be many thoughts going through people’s minds right now, but there are also some consistencies with that.

People who were already considering a switch before the pandemic (and therefore for unrelated reasons) will hopefully find a job elsewhere, and will most likely not return; for them the pandemic has just been the necessary push they needed to finally make the move.

People who were and are unsure seem to be considering anything at the moment simply because they have to work and they don’t have a choice, some will enjoy the benefits of their new job, and will make the switch permanent; some will eventually miss hospitality and will return anyway.

Many are not going very far: by looking at jobs not in our industry – but related to it – they can allow themselves to apply the skills and knowledge they already have without making a drastic change.

Finally, people who still feel strong about the industry, might or might not make a switch depending on their personal situation, but if they do, no doubt it will be temporary. Those are people like me who are looking forward to returning as soon as possible and who can’t devote themselves to anything but hospitality.

The bottom line is that the industry will lose some percentage of its workforce, big or small will depend on many circumstances, but for sure some talent will be lost.

Is this necessarily a negative factor? At first sight it sounds like it, but let’s look at it from a different perspective: we know there are people in hospitality who would be better suited for – and much happier in – a different industry, they just haven’t had the necessary push yet. We know there are people in hospitality who are just not charismatic and people oriented enough to succeed in it. We know there are people in hospitality who are not there for the passion, but just for the paycheck.

All those are the people who will most likely leave for good, so what will we be left with? With those who are passionate, loyal and well suited for the industry.

Maybe we will lose in numbers, but we will gain in talent.

Maybe when we are ready to start again, we will have a smaller pool to hire from, but we will have a higher level of loyalty, devotion, and enthusiasm.

So maybe there is a silver lining after all: that the pandemic is going to leave us with the workforce that really belongs to hospitality.

Source: https://www.hospitalitynet.org/opinion/4101245.html

Redefine Your Revenue Management Strategy

‘We started the year in 2020 and ended it in 2030’

Advertorial by Kevin Duncan, Senior Director, Strategic Commercial Initiatives at The Rainmaker Group, a Cendyn company

This quote from Inspired Capital co-founder Alexa von Tobel perfectly encapsulates the realities of the hospitality industry today. Trends have accelerated and we seem to have jumped ahead a decade, with transformative change happening seemingly overnight.

So, what is next for revenue management? We have an exciting opportunity to hit the reset button and rethink systems while demand is constrained. As we look ahead to the post-pandemic landscape, now is the time to build a revenue management discipline that maximizes revenue during both good times and bad.

Data delivers forever

As data-driven marketers and revenue managers, we have long been converts to the power of data. That’s not to undervalue professional instinct; it’s just that data, when collected accurately and interpreted correctly, does not lie. Data is necessary to determine performance and provide both comparative and key metrics that help decision-making.

This year, the complexities of COVID have leveled the playing field. We are all starting with a blank slate – and not just as historical data is concerned. We are navigating a whole new world, which requires a clear data-driven approach that mines every piece of data held by your organization for relevant insights. Travelers processes and ways of doing business have changed. What travelers deem important for travel today, may not be what it was pre-COVID, therefore the data that marketers and revenue management once considered valuable, may not be as useful as it once was.

One thing is for certain: those that analyze their data the most effectively – and act the most decisively – will be ahead of the rest.

Data-driven creativity is the secret sauce

Data is not necessarily the savior, and in some instances, data has even taken a backseat to creativity. Understanding the right data and utilizing it along with balancing creativity in marketing, will provide hoteliers the edge to perform at their greatest potential.

There is a need to relentlessly experiment and try new things. Conducting A/B testing and becoming a master at it is a must-have skill for revenue managers. Offers that may have performed well in the past, may not provide the same performance today. Therefore, put it all on the table – offers, promotions, segmentation, ancillaries, upsells, packages, room types, amenities – conduct experiments and evaluate the results. Today, it is really all about the survival of the most creative!

Micro-trends: future of forecasting

While it may be true that forecasting is forever changed – after all, you can’t always rely on long-term historical data to predict future performance – it is still incredibly useful. You just have to be faster! Rapid forecasting adjusts in real-time to microtrends, such as new pockets of demand.

Within your forecasting, it is important to keep a keen eye on projections at both the property and market levels. As we have experienced the global impact of COVID and how it influences travel patterns, you will want to have broader insight of global demand patterns in perspective as well.

As the situation is constantly evolving, you will need a system or the ability to re-forecast and adjust to shifting demand and bright spots quickly. Constant calibration of your revenue management system is necessary to quickly identify change and capitalize on new segments of demand.

Micro-trends: new rules of segmentation

Simple segmentation no longer works because demand has shifted so much. You must go micro: narrow in on the microtrends and microsegments that are the bright spots of demand.

Matching ancillaries, upsells and bundles to each segment opens the door of possibilities. When such level of granularity exists, you will be able to more easily identify microsegments and channels that can drive revenue. There is also the opportunity to leverage AI/machine learning to further segment your audiences automatically and intelligently.

Convergence reigns

The other major trend accelerated by COVID is the convergence of sales, distribution, marketing, and revenue management functions. This was already happening before the pandemic but the dramatic drop in business has eliminated positions and put more emphasis on doing more with less.

Time is a commodity for all. If strategy teams are spending extensive time gathering and merging data, they are missing the opportunity to analyze and be strategic. Automated revenue management tools can handle the data crunching so that you can better allocate your time and work on the soft skills that strengthen your teams: collaboration, communication, creativity.

Data-driven revenue management requires both the right data inputs and the right tools to analyze and act on that data. The revenue manager of 2021 will need to be an adaptable systems manager and a clever analytical thinker willing to take calculated risks. By fully harnessing the power of creativity and convergence, hotels will be able to compete in a year of unknowns. Revenue managers will need to move fast, stay flexible, be nimble, and lean into both automation and creativity.

How Does the Cruise Industry Begin to Attract New Customers?

When cruising does restart, die-hard fans will be first in line to board. But – for an industry that has long depended on new customers to fuel its growth – will those who have never cruised before be willing to embark?

Or will months of headlines about quarantines, positive onboard tests, and sensationalism about “floating petri dishes” scare off newbies?

Michelle Fee, CEO and founder of Cruise Planners, an American Express Travel Representative, said first-timers won’t be the primary focus when cruising initially resumes.

“With the early signs of pent-up demand, and the fact that most ships will be sailing at a reduced capacity, first-time cruisers are not going to be the focal point – the obvious choice will be past passengers,” Fee said. “They know how safe it is to travel on a ship and will have the confidence to board, fully knowing that the cruise lines have taken extraordinary precautions. I will say, our 2021-2022 cruise business has a solid foundation, so it doesn’t look like we’re going to have a hard time filling ships again, once this pandemic is behind us.”

First-timers will start booking again once life returns to normal, she predicted.

“Once things settle down, and finally get back to more normal, a first-time cruiser will be just as attracted, if not more, than they were before,” Fee wrote in an email. “With all the new protocols and changes, ships will be even more attractive than even before the pandemic. From seamless embarkations, new crowd-less muster drills, sanitation at its highest and more – the rumours, myths and negative perceptions will all be proven wrong and go away.”

“Travel advisors will need to focus on inspirational marketing along with presenting the health and safety protocols that the cruise industry is rolling out,” said Drew Daly, senior vice president and general manager of Dream Vacations, CruiseOne and Cruises Inc. “Advisors should become experts in the measures being taken as all consumers want to be informed as to what protocols are being implemented in all aspects of the vacation experience – including flights, pre- and post-cruise hotels, tours and onboard.”

Fee and Daly also said relaxed cancellation policies will reassure new-to-cruise clients.

“Yes, this has definitely helped our advisors close sales, so as long as there is the fear of contracting the virus, vacation companies should extend their flexible cancellation policies,” Fee said.

Daly agrees: “I do think more flexible cancellation policies will allow consumers the peace of mind they need when planning their cruise vacations in the short and long term.”

Both said a campaign, perhaps led by the Cruise Lines International Association (CLIA), is necessary to spread the word about safety measures.

“The industry absolutely has some damage control to do and needs to get the good word out about the stringent protocols the cruise lines will be following to keep cruising as safe as possible. We have been publicly speaking out and advocating for the CDC to back off of the cruise industry as it is negatively impacting consumer confidence in cruising and travelling in general,” Fee said. “Cruise Planners’ loyal customer base is already driving future travel sales. To reach new-to-cruise, we need the public perception to be safe to help our beloved industry to fully recover and rebuild. At Cruise Planners, we have not stopped our proactive marketing efforts, but have pivoted to a more supportive, educational and informative approach. One thing that has been wildly successful is our new Where2Next virtual series” for travel advisors’ clients.

Concluded Daly: “Yes, the safety and health protocols that will be implemented definitely need to be promoted heavily to consumers. Cruise lines, CLIA and travel agencies all need to collectively be talking about the measures and sharing what it looks like onboard. Consumers will want to see what life is like onboard and envision how their experience will unfold.”

Source: https://www.travelpulse.com/news/cruise/how-does-the-cruise-industry-begin-to-attract-new-customers.html

Hawaii Officials Optimistic About First Days of Tourism Reopening

On the first day of Hawaii’s less restrictive COVID-19 testing program, the state’s airports were overwhelmed with more than 10,000 visitors in a single day.

And that’s a good thing.

Because you can always hire more staff, but you can’t pull in the tourist numbers like Hawaii is used to, and certainly hasn’t experienced over the last seven months since the coronavirus pandemic first hit.

That has made officials in the Islands optimistic for a return to normal.

“I think we’re gonna see a daily average of roughly at around 5,000. I think it will even itself out. I think in the early days you have this pent-up demand,” Hawaii Tourism Association President and CEO John De Fries told KHON.

In order to boost tourism, Hawaii decided to end its mandatory 14-day quarantine for all visitors and instead has partnered with several airlines to do virus screenings. Travellers who provide written confirmation from a state-approved COVID-19 testing partner of a negative result from a test administered within 72 hours of the final leg of departure are now allowed to bypass the quarantine, according to the Honolulu Star-Advertiser.

The head of the hotel industry says that the hotels operating now have been dealing with quarantine rules since they began, so the hotels are prepared.

“So they were very used to the quarantine policy, how to go forward and execute that, as well as the cooperation that’s needed with law enforcement officials for anyone that wants to observe the quarantine rules,” said Mufi Hannemann, who is the president of the Hawaii Lodging and Tourism Association.

Hannemann said that the hotels are at about 20 percent occupancy right now.

All passengers must also take a post-arrival test once in Hawaii, and on the first day of reopening, only one traveller tested positive for COVID-19, Hawaii island Mayor Harry Kim said.

Testing got backed up at Ellison Onizuka Kona International Airport.

“Every island was caught off guard by the number of people who came in — not only by the number (of passengers), but by the airlines switching the number of flights and their schedules. Flights were coming in belly-to-belly,” Kim said.

But it’s certainly an issue that can be fixed.

“In spite of the fact that we had thousands more (visitors) than we expected, we thought the (state’s) processing at the airport went well,” Gov. David Ige said. “We were prepared. We had physical distancing markers, and we had adequate space to work through to keep the passenger flow. And we (worked) through the issues that came up upon arrival. So overall, I thought it went well for the first day.”

Source: https://www.travelpulse.com/news/destinations/hawaii-officials-optimistic-about-first-days-of-tourism-reopening.html

Food Waste Management Innovations In The Foodservice Industry

By Carlos Martin-Rios, Associate Professor at Ecole hôtelière de Lausanne (EHL)

An insight into what food waste really means and the processes that create it. Reducing food loss is a global, multidimensional challenge, so what can the foodservice industry specifically do to be more mindful of its role in the food value chain?

The current state of food wastage

On September 29, the world celebrated the 1st International Day of the Food Loss and Waste. This was a good opportunity to emphasize the importance of reducing food waste (FW) as a key sustainability challenge for the hospitality and foodservice industry. FW epitomizes an unsustainable system of food production and consumption. A recent report by the Boston Consulting Group (BCG) calculates that the amount of food wasted each year will rise by a third by 2030, “when 2.1 billion tons will either be lost or thrown away, equivalent to 66 tons per second”.

Food wastage appears to be higher in developed countries, while on the other hand, there are an estimated 842 million people in poor countries experiencing chronic hunger. According to Oxfam, the current pandemic has deepened the hunger crisis and “by the end of the year, 12,000 people per day could die from hunger linked to COVID-19, potentially more than will die from the disease itself”. Ten countries top the list of hunger spots (Figure) accounting for 65% people living in crisis level hunger.

Food Waste Management Innovations In The Foodservice Industry
Figure 1: Countries and regions where the food crisis is most severe (Oxfam, 2020) — Photo: EHL

According to the Food and Agriculture Organization of the United Nations (FAO), FW is defined as food which is fit for consumption but discarded by choice or because has been left to spoil or expire, with ‘food’ referring to “whether processed, semi-processed or raw edible products going to human consumption.”

Food Waste Management Innovations In The Foodservice Industry
Food loss/waste — Photo: EHL

The fact that FW is perceived as amounting, yet avoidable, the challenge has driven the United Nations to adopt target 12.3 as part of the 17 Sustainable Development Goals to:

By 2030, halve per capita global food waste at the retail and consumer levels and reduce food losses along production and supply chains, including post-harvest losses.

Food Waste Management Innovations In The Foodservice Industry
The sustainable Development Goals Report 2020 — https://unstats.un.org/sdgs/report/2020/

The how and where of food wastage

Food loss and waste occur at each stage of the global food value chain, from agricultural production to final consumption. Food production is linked to land conversion and biodiversity loss, energy consumption and greenhouse gas emissions, water and pesticide use. At the post-harvest and processing stages, there is also waste in each step of the transport, storage, processing and distribution stages. At the end of the food value chain, final consumption (including commercial and household) accounts for as much as 40% of total food losses. Evidence shows that in developed countries, food is mainly wasted at the final consumer stage of the supply chain.

FW management has thus become a key priority, referring to all the activities related to avoiding, reducing or recycling waste throughout the production and consumption chain. This raises the question as to whether food wastage could also be reduced along the food supply chains.

The FW challenge in tourism and foodservice

Tourism, as a global foodservice industry, is implicated in food consumption and waste generation. Consumer foodservices include restaurants, fast food chains, cafés, cafeterias, canteens and dining halls, as well as event catering. This sector employs more people than any single other retail business, including 14 million in the USA and 8 million in Europe (Euromonitor International) and serves billions of meals every year. The Figure shows the average annual food away-from-home expenditure of U.S. households from 2010 to 2019. In 2019, average food away-from-home expenditure of U.S. households amounted to about 3,526 U.S. dollars, compared to 2,505 dollars in 2010. Therefore, the activity has a critical role in the global FW challenge.

Food Waste Management Innovations In The Foodservice Industry
Figure 2: Average annual food away-from-home expenditures of United States households from 2010 to 2019 (in U.S. dollars) (Source: Statista, 2020) — Photo: EHL
  • Producers: Collaborating with local farmers, e.g. sourcing locally can boost FW source reduction and turn FW into animal feed.
  • Suppliers: Partnering with suppliers that are ready to participate in sustainable initiatives (e.g. oil suppliers that collect used oil).
  • Retailers: Bargaining an off-spec protocol that consider FW reduction, e.g. acquiring imperfect or off-grade produce before is thrown away.
  • Employees: Providing with training for purchasing inventory management, production planning and menu planning & service.
  • Consumers: Increasing awareness and engagement of customers (dining out) and households (dining in).
  • Collaborative platforms: Partnering with food donation recovery partners, e.g. Too good to go.
  • Technology providers: Data feeding restaurants with FW information, e.g. Kitro technology (article).

Study findings

Despite the significance of this issue to the global foodservice industry, the link between innovation practices and FW management has received limited attention. An exception is Martin-Rios et al. (article) recent research on the interrelationships of foodservice provisions and innovations in FW management through the lenses of innovation theory.

The study presents a range of waste management initiatives using the distinction between incremental innovations (those revolving around work processes and technologies) and radical innovations (innovations exploring opportunities to significantly change waste management approaches). The study also points out different approaches to FW based on FW characterization, management practices and management’s beliefs, knowledge and awareness to identify practices that suggest some type of innovation.

Food Waste Management Innovations In The Foodservice Industry
Table: Summary of FW innovations for the hospitality and commercial foodservice — Photo: EHL

The main objectives

The concepts discussed in this research could help practitioners to become more aware of the factors that drive the adoption of FW innovations. Any initiative towards FW minimization and management must necessarily address the following two objectives:

  1. Customization: Identity which innovative food management practices contribute to the avoidance (reducing and rethinking), re-use or recycling of food waste in each particular foodservice establishment.
  2. Awareness: Evaluate foodservice managers’ perspectives regarding the opportunities, challenges, costs and benefits of various FW innovations.

A traditional waste management program that ignores the social aspects of management and professional skills can be a barrier to the effective implementation of FW innovations. Results also show that interest in innovation as a systematic process to minimize waste and facilitate waste management is limited.

Foodservice providers implement innovations based on a cost-saving analysis. Interviews highlighted a general lack of concern and knowledge about FW management. Food industry professionals face an array of daily organizational and financial challenges linked to waste sorting, storage and disposal, and they mostly count on the standard recycling/waste procedures their local councils make available to cope with them. Professionals tend to approach waste reduction from a practical, experience-based approach, but there is no systematic implementation of waste reduction strategies based on forms of institutional knowledge. What they really need is proper training and achievable goals to be set by governments.

A key finding is that many companies are not actively innovating in the waste domain. They are however increasingly aware of the economic and social importance of waste management. The foodservice industry is not leading the way when it comes to innovation. There are only a few low- or zero-waste restaurants, and just a few chefs who are creating meals out of food scraps.

Conclusion

One important finding academic research highlights are the importance of developing partnerships between foodservice providers and other businesses, non-for-profits, and institutional players. Closer collaboration underlines the importance of bringing together different (and sometimes competing) stakeholders and combining between them innovation types and innovation generation and adoption with greater efficiency. This calls for more research, tools and concepts to design the innovative practices supporting the next generation of FW management systems if the situation is to ever improve.

Foodservice, as a labor-intensive activity where innovation has tended to be slow, can benefit from other firms and institutions sharing knowledge, insights and experiences, helping the industry get on track to hit the goal of halving food waste by 2030.

Source: https://www.hospitalitynet.org/opinion/4100958.html

Europe’s Recovery From the Last Recession

Major economies in Europe, including the U.K. and those in the Eurozone, recently confirmed what we already suspected. Economies across the continent have entered an economic recession because of the impact of COVID-19—an impact that has been devastating for the hospitality industry.

The short-term effects of the COVID-19 recession are evident as hotel demand across Europe was down 55.3% for the August year-to-date period. However, even with negative projections in place, the depth of the long-term impact remains in question.

To help develop answers, we look back at a lesser crisis, which may point to how hotel markets will recover in the coming years. The 2007-08 global financial crisis (GFC), caused by the bursting of the U.S. housing bubble, impacted financial institutions globally and led to the subprime mortgage crisis, European debt crisis and the Great Recession. During the Great Recession, the global economy witnessed its steepest declines since the Great Depression.

For this analysis, we indexed revenue per available room (RevPAR) to 2007 for various key markets across Europe. This can be used to understand how markets were impacted in the short-term during the crisis, in the aftermath of the crisis and even further in the long-term to understand when markets recovered.

So how did hotel markets around Europe react?

London weathered the storm

London showed strong fundamentals and proved to be resilient. In fact, RevPAR increased in 2008 before dipping slightly in 2009 but did not look back from there with strong year-over-year growth through 2019.

Hotel demand in the U.K. capital is currently at an all-time low as the market suffers due to a reliance on international travel, which is nearly non-existent due to restrictions and lockdown measures. However, once international travel does return, we can perhaps expect a quicker long-term recovery in London as the city has proven it can weather a storm.

German markets dipped but recovered quickly

While other countries in Europe were being pulled further into crisis, Germany benefitted from its economic strength even during the crisis as well as being a mostly domestic market, which allowed hotel performance to recover quicker than others in Europe.

Economically, Germany remains a powerhouse in Europe, and its large domestic market has helped in boosting demand relative to other countries in Europe during this COVID period, so some optimism in a recovery can be taken regarding German markets.

Markets in weaker economies were more impacted

By 2009, hotels in Madrid and Dublin were among the most impacted. In the latter part of 2009, Spain and Ireland went through a debt crisis lasting several years leading to subdued economic growth in both countries as well as an increase in unemployment in Spain.

RevPAR in Madrid stagnated in the subsequent years following the GFC, and five years on from the crisis in 2012, RevPAR was almost 30% lower than pre-crisis levels. As the capital of Spain, Madrid sees substantial demand coming in the domestic corporate and leisure segment. A strong run of six consecutive years of RevPAR growth began in 2014 as Madrid benefitted from an increase in international arrivals and from hosting high-profile events, including the Champions League Final and COP 25 in 2019.

Madrid has stronger fundamentals and is more diversified than it was back in 2008, however, it will need to rely on a return of these lucrative segments to recover to pre-COVID levels.

RevPAR in Dublin five years on from the crisis in 2012 was just over 20% lower than it was pre-GFC as Ireland battled with suppressed economic growth domestically. Suppressed economic growth around the world impacted Dublin also as it is a market reliant on visitors from overseas.

RevPAR increased for eight years consecutively from 2011 through to 2018 as Dublin benefitted from substantial increases in international arrivals around the world, from the U.S. in particular, as well as close to no supply growth.

Future supply growth is expected to rise substantially as Dublin boasts a large pipeline of projects to enter the market. How Dublin responds to a current lack of demand as well as absorbing this new supply will be telling of its recovery. Dublin remains an attractive market for international visitors, and with plenty of new hotel offerings, it may recover from this current crisis quicker than it did during the GFC.

Conclusion

COVID-19 is a different crisis than what hotels faced during the GFC, as restrictions on travel and lockdown measures are severely impacting hotel demand. The GFC impacted performance, at a lesser rate, but key markets across Europe all eventually recovered. Some recovered faster than others due to a stronger economy or being domestic markets.

For markets to begin recovery, the threat of COVID-19 needs to be significantly mitigated. Once that happens, and destinations can begin to welcome to travellers to their hotels, we will see recoveries at different paces