TOP NEWS

🏢 Brookfield invested $1.6 billion in Japan's real estate, acquiring a stake in Tokyo's Gajoen complex and a land plot in Greater Nagoya. Gajoen features a luxury hotel, two office towers, and retail spaces with 1.5 million square feet. The Nagoya plot will become a 2.4 million-square-foot multi-tenant warehouse, with construction starting in 2025 and completion by 2027. Japan’s real estate attracts foreign investment due to low interest rates, tourism, and rental yields, with cities like Tokyo, Osaka, and Niseko as prime locations.

🏨 According to STR, 70% of US hotel rooms belong to brands or chains. Deflagging, a growing trend, allows hotels to escape royalty fees of 4-6% of gross revenue, gaining financial and operational autonomy. Independent hotels leverage local experiences, which is important as 52% of Gen Z travelers prioritize unique experiences. Deflagging can lead to reclaimed revenue, such as saving $100,000 a year on a $2 million revenue with a 5% fee, and higher profit margins by eliminating franchise fees, flexible revenue management, and creating new revenue streams. Successful deflagging involves cost-benefit analysis, technology investments, direct booking strategies, brand identity redefinition, and robust marketing efforts.

🏠 Michiel Bakker, President and CEO of the Culinary Institute of America, shared his hospitality industry journey on Jan. 27, 2025. He discussed pivotal career moments and lessons learned, with support from the technology provider Shiji Group, known for streamlining hotel operations and enhancing guest experiences. The episode featured music by Clay Bassford of Bespoke Sound, specializing in Music Identity Design for Hospitality Brands.

📊 Starbucks shifted focus from average transaction value to customer loyalty, engagement, and lifetime value metrics. Their rewards program accounts for 40% of US sales, with members spending 2-3 times more than non-members. The article stresses the importance of general managers in hospitality tracking metrics like space utilization, daily guest spend, guest lifetime value (LTV), guest acquisition cost (GAC), net promoter score (NPS), sustainability, average length of stay (ALOS), user disengagement, staff turnover rate and cost, and employee net promoter score (eNPS) for competitive success and long-term growth.

🏨 68% of guests pay for a preferred view, while 78% prioritize room views, 75% balconies, and 76% better layouts. Upsell timing is crucial; guests are 24% more likely to accept a room upgrade and 48% more inclined for a different floor at check-in. Loyalty members, representing 83% who recently bought add-ons, expect personalized rewards. Communication preferences vary, with 51% opting for email and 40% in the US favor text messages. Offering control over stay details increases trust and likelihood of repeat bookings. Sources: Plusgrade Hospitality & Rail Study, 2024; Global Travel Segmentation Study, 2024.

🏨 In 2025, hotels prioritize TRevPAR (Total Revenue Per Available Room) over traditional KPIs like RevPAR and ADR, recognizing the need to measure all revenue streams, including room, food and beverage, spa, events, and ancillary services. TRevPAR offers a comprehensive view of hotel profitability by including non-room revenue, which is crucial as guest spending patterns shift towards experiences beyond accommodations. A formula example shows TRevPAR calculated as €500,000 of total revenue divided by 200 available rooms, resulting in €2,500 TRevPAR. Strategies for improving TRevPAR include enhancing F&B revenue, maximizing ancillary services, leveraging data for personalization, optimizing distribution channels, and merging revenue with marketing strategies.

📱 Global social commerce sales hit $992 billion in 2023, forecasted to triple by 2026. 98% of consumers may shop via social media within a year. Travel industry sees 87% of travelers seeking inspiration on social media, with 55% booking directly via these platforms. Instagram and Facebook facilitate direct hotel bookings, with features like Instagram’s Shop and Facebook’s Shops. Four Seasons saw a 23% boost in social media bookings through influencer partnerships. User-generated content (UGC) drives conversions, with Marriott’s UGC seeing 2.5x higher rates than brand content. Mobile shopping accounts for 79% of social transactions, and video content doubles conversion rates compared to images.

📈 📈 For years, brands have utilized travel influencers for marketing. Traditional campaigns on platforms like Instagram or TikTok last 3-9 days, focusing on "reach" and "engagement". The aim is to boost brand searches and direct website visits over time, usually assessed through year-over-year (YoY) comparisons. Videreo extends campaign lifespans indefinitely, linking influencer videos to product sales on a searchable map. This allows for measurable Return on Influencer Spend (ROIS). Contiki, G Adventures, & Globus are examples of brands sold through Videreo's method. Kayak predicts AI travel agents by 2030 while OpenAI releases booking agents today. Grindr introduces AI features, including an "AI wingman" for chat summaries, and displays user concentrations in city neighborhoods aiding travel community connections. A 2025 hotel industry survey shows 61% believe AI impact is imminent, with automation and guest preference prediction as key benefits. Privacy concerns emerge as Apple scraps AI summaries after BBC's complaint, and reports suggest Microsoft uses all typed content in Word to train AI models. Yonder, an AI chatbot, offers 24/7 customer service for tourism businesses. Sarawak launches an AI-powered event impact system, a first in legacy management. AI is transforming SEO, with experts like Tahnee Perry and Kevin Indig offering insights. Perry suggests using AI for drafts and details, while Indig provides a master

🏨 Monthip has 8+ years in hospitality, with 4 years in hotel operations and 4 years in Sales & Marketing. She moved to tech, working 2 years in Thailand as a Sales & Marketing Specialist for a SaaS company offering cloud-based PMS solutions. Currently at STAAH, Monthip leverages her hospitality/tech expertise to aid hoteliers. She values STAAH's collaborative culture and practices a success mantra of striving for excellence and continuous learning. Her interests include staying current with industry trends and travel.