Though the 2014 Americas Lodging Investment Summit kicked off on a jubilant note—quite literally, as several hoteliers joined a gospel choir on stage to sing a hotel-jargon-infused parody of Diana Ross’ “I’m coming out”—the conference more accurately would be characterized by its nonchalance.
Indeed, all was good in laidback Los Angeles. The mood was upbeat; attendance was at near-record levels; and panelists painted a picture of disciplined prosperity. The void of breaking news was filled with a healthy buzz of activity from all sides of the deal-making table.
The narrative that did emerge focused on “friction,” or how to remove it from both the churn of investment as well as the guest experience.
“We just have to focus on a friction-free stay,” said John Wallis, global head of marketing and brand strategy for Hyatt Hotels Corporation, during a panel on millennial loyalty.
Technology became something of a panacea in these discussions. Guests are more connected than ever before, and the hotel industry needs to respond by offering products and experiences that seamlessly integrate personal preferences scraped from online personas, panelists said.
But few were ready to address the nuts and bolts of that equation. Yes, Facebook can tell you more about a would-be guest than you might ever care to know, but how do you leverage that profile at the property level? What’s more, how do you do that for millions of guests across millions of rooms and hundreds of millions of roomnights?
We can hypothesize all we want about the hotel experience of the future—plenty of which was done this year from some of the industry’s senior-ranking executives—but actual execution is a different beast entirely.
Flying cars were once the measure of future technological know-how, but I still drove to work this morning with four tires planted firmly on the road.
I know the major chains are working feverishly to bridge that gap. I just hope they do so responsibly, being mindful of the costs of implementation and the costs of personal privacy.
When Starwood Hotels & Resorts Worldwide’s Frits van Paasschen described a future in which a front desk associate could physically track a guest’s arrival from the airport to the hotel lobby with GPS-enabled precision, I heard a number of attendees tug uncomfortably at their shirt collars, Big Brother breathing down their necks.
The assumption is that millennials want this kind of immediacy of attention. That might be true—for some. What’s giving me pause is the way hoteliers are a) so franticly trying to address the needs of this single demographic and b) assuming that all millennials are alike.
Regarding the first point, the focus on millennials comes at the expense of lost attention elsewhere, mainly the baby boomers who still comprise the lion’s share of hotel demand.
With regard to the second, it’s difficult to pinpoint who actually comprise this cohort. (Some are beginning to argue “millennial” is a better psychographic label than demographic.) And even if you were to settle on the perfect definition, there would still exist incredible variation of specific behaviors within.
During one panel, for instance, a self-described millennial said in-room telephones were archaic devices that needed to go. “We never use them,” she said of her kin.
I would disagree. As a millennial myself, I would go on to use my in-room phone three times that very day—once to order breakfast, once to set a wake-up call and again to check on a package delivery at the front desk.
But forget my preferences. Just consider how the millennial generation will evolve as it begins to travel more, ascend the career ladder and develop families of their own. To mold the future hotel experience based on the observations of a fledgling demo still in its maturation phase seems a bit short sighted.
I’m not defending the status quo. The industry needs to change to meet the changing needs of its guests. We just shouldn’t ignore the needs of today to fulfill a pipedream.
The basics still matter. Focus on the low-hanging fruit: intuitive online bookings, fast Internet, accessible plugs for every device, friendly service, speedy check-in, clean bathrooms and comfortable beds.
That’s where most of the friction comes anyway, and they’re areas that matter to each and every guest.
Now on to the usual goodies …
What’s making me happy this week
ALIS! I realize that’s a bit general, but I walked away from this year’s investment conference feeling confident about the hotel industry’s medium-term prosperity. It doesn’t hurt when everyone’s in a great mood either. Or when you’ve escaped a polar vortex to enjoy sunny, 70-degree weather.
Stat(s) of the week
5.3% and 6.6%: 2014 RevPAR growth projections from STR and PKF, respectively.
After years of marching in lockstep with their projections, the two data firms are finally beginning to diverge, which makes for some good conversation. HNN’s Shawn A. Turner delves into their respective rationales in “Data firms differ on hotels outlook.”
Quote of the week I
“We make a lot of mistakes.”
—Hyatt’s John Wallis admitting during an ALIS breakout session how failure is an important part of the innovation process.
Quote of the week II
“As technology moves from the back of the house to the front desk, the real trick is to use technology for what we’ve always been doing … (and that is) people serving people.”
—Starwood Hotels’ Frits van Paasschen explaining during the ALIS opening session the utility of technology.
Reader comment of the week
“The speed dial button results in many accidental dials to 911. It is best to program the system to allow a guest to dial either way. In other words, program the system where either 9+911 or 911 direct dial will route the call to emergency services.”
—Reader “Howard@Comlink Networks in TX” sharing his thoughts after reading about the recent murder of a young mother whose children were unable to call 911 from their hotel room because they were unaware they needed to dial “9” first to reach an outside line.
Email Patrick Mayock or find him on Twitter.
The opinions expressed in this column do not necessarily reflect the opinions of Hotel News Now or its parent company, STR and its affiliated companies. Bloggers published on this site are given the freedom to express views that may be controversial, but our goal is to provoke thought and constructive discussion within our reader community. Please feel free to comment or contact an editor with any questions or concerns.