Hotel Operations

🏨 At the Hospitality Industry Technology Exposition and Conference (HITEC) last month in Charlotte, N.C., attendees prioritized hotel technology investment, focusing on platforms with Open APIs for centralized guest data and streamlined payment processing. Key trends include AI, machine learning, IoT integration in hotel management, smart rooms, and cloud-based property management systems (PMS). Modern PMS is essential for data accessibility, affecting third-party solutions and overall hotel operations. Embedded payments within PMS are gaining attention for improving transaction efficiency and reducing fraud, while advanced analytics dashboards are sought after for deeper operational insights.

🏨 The 2024 HOTREC European Hotel Distribution Study, analyzing 3,000 hotels in 2023, finds direct bookings at 50.9%, a decline from pre-pandemic levels. OTAs now hold 45.1% market share, with Booking Holdings leading at 71%, followed by Expedia Group at 14.4%, and HRS at 4.6%. OTA reliance is higher for hotels with fewer than 20 rooms. Unauthorized rate undercutting impacts 40% of hotels. Channel manager use rose to 62%, and direct bookings via hotel websites' IBEs increased to 12.3% from 7.4% in 2013.

🏡 Hilton expanded its luxury portfolio to approximately 400 boutique hotels by adding Small Luxury Hotels of the World (SLH). Hilton Honors members can earn and redeem points at participating SLH properties, which can now be booked on Hilton's platforms. Notable SLH hotels include Hermitage Bay in Antigua and Barbuda, Lanson Place in Hong Kong, and Nobu Hotel Marbella in Spain. Recently, Hilton also acquired Graduate Hotels for $210 million and partnered with outdoor hospitality brand AutoCamp, strengthening its market presence.

🏠 Christian Louboutin has acquired a stake in Experimental Group, joining Jean Moueix and Brookfield Asset Management as shareholders. Alexis Dyèvre is also taking a minority stake. The company plans openings in Val d’Isère, Rome, and Paris next year. Experimental Group owns 10 hotels across Europe and the US, and operates wine bars and cocktail clubs in New York, Paris, London, and other cities. The US expansion began in 2024 with a New York wine bar.

📈 All-day café and restaurant group Loungers reported a 24.7% increase in revenue to £353.5m and a 25.9% rise in adjusted EBITDA to £59.6m for the 53 weeks ending 21 April 2024. Profit before tax surged by 56% to £11.4m, while operating profit grew by 37.7% to £20.3m. In January 2024, Loungers opened its 250th site in Rochdale and launched 36 new venues throughout the year. The company created 1,200 jobs and invested approximately £39m across the UK, aiming to reach 665 sites. CEO Nick Collins cited consistent sales growth and improving margins for the record profits.

🏠 BWH Hotels launched @HOME by Best Western in 2022, responding to the demand in the extended stay market segment. As of 2024, they have a pipeline of more than 40 new-build hotels. Brad LeBlanc, senior vice president and chief development officer at BWH Hotels, emphasizes flexibility and user-friendly design, which allows for tailored decisions based on location and guest needs. The lean prototype model focuses on essential amenities, promoting a credible ROI and high guest satisfaction while reducing labor costs through efficient operations.

🌀 NOAA predicts an 85% chance of an above-normal 2024 Atlantic hurricane season with 17-25 named storms, 8-13 hurricanes, and 4-7 major hurricanes—averages are 14, 7, and 3, respectively. Hurricane Beryl, downgraded to a tropical storm, hit the Texas Gulf Coast causing power outages for over 2.5 million customers. The Texas Restaurant Association advises operators on disaster preparedness and recovery, offering resources from Ready.gov, Floodsmart.gov, and outlining pre-storm to post-storm strategies for business continuity.

🛠 Häfele, a provider of hardware solutions, has partnered with Like Magic to create 'Work and Sleep' hotel rooms, allowing operators to transform spaces using digitally-enabled furniture and advanced software. The concept reduces costs and increases room utility. Ibis Styles hotel in Nagold, Germany, pilots the technology, integrating keyless entry and personalized services. Like Magic's platform enables 80% of staff tasks to be handled from one system, offering a digital guest journey and reducing staff pressure.