TOP NEWS

📊 The RTN community, formed five years ago, aimed to simplify integration in the restaurant industry. It has since established three main data standards: RTN Menu Synchronization, RTN Transactional Data, and RTN Customer Record Data Standards. The standards are designed to allow systems to consistently access and exchange data. RTN's Object Model Repository now makes these standards more accessible by providing visual attributes and enabling JSON or XML message generation. Industry leaders like Jim Clagett from Jack in the Box, Russel Cotter from Chipotle, and Shelly Rupel from Devour acknowledge the positive impact of these standards. These efforts are likened to the "Rosetta Stone for Business and IT" and the "DNA for application integration." Sandy Angel of AHLA relates over 20 years of similar work in the hotel industry. Christopher Sebes and Robert Peterson, both RTN Industry Champions, emphasize the ease of building integrations with these standards. A case study with Cacy Bedoka-Merrifield from Jack in the Box and Del Taco demonstrates the practical benefits of the Object Model Repository for standardizing menu data.

🔔 Stayntouch, a leader in cloud hotel PMS and guest-centric technology, introduced UpsellPRO, enabling hotels to market room features individually during booking. Partnering with NYU SPS Jonathan M. Tisch Center of Hospitality, they found that roughly 50% of respondents with over a month booking window would pay more for ABS. The panel, including experts Flo Lugli, George Roukas, John Burns, Klaus Kohlmayr, and Nichole Dehler, discussed ABS benefits like expanded booking control, increased visibility for upselling, and enhanced personalization. ABS offers insights into guest preferences, creating opportunities for higher satisfaction and revenue. The industry, influenced by the airline's unbundling approach, seeks a unified definition of ABS to avoid consumer dissatisfaction and an overload of choices.

🍴 Thomas Straker plans to open a second café-style eatery in Notting Hill at 60 Golborne Road. The UK Government, with the Employment (Allocation of Tips) Act received in May last year, will enforce new tipping measures in October 2024. John and Desiree Chantarasak are set to open AngloThai, a 50-cover restaurant in Marylebone this autumn. Turtle Bay's '4 days at the Bay' initiative has seen a 'phenomenal' response, improving 90% of staff well-being. Philip Warren's Native Burger opened in Launceston, offering a 20-cover space with nine burger options.

🍴 Restaurant365's midyear industry survey of nearly 3,700 QSR and dining locations reveals top 2024 challenges: labor cost increases (80% of operators, with 64% noting a 1-5% rise), food cost increases (80% reported, 51% seeing 1-5%, 40% noting 6-14%), and sales concerns (38%). Despite challenges, 49% experienced sales growth. Investment shifts towards back-of-house tech, marketing, and staff training with 37% focusing on staff enhancements, and 55% allocating 1-2 hours weekly for training. Sustainability measures are adopted by 68%, including food waste tracking (39%).

🏅 Paris Olympics designed for TV viewing, but facing lower hotel occupancy in 2023; hotel rates increased by 500% despite past lessons from London and Milan. Booking.com perceived as lacking hotelier-friendly services; marketing and storytelling in hotel industry highlighted as crucial for guest connection. American travel intent at an all-time high, with 20% planning to travel abroad. Biometric technology in hotels expected to rise in adoption by 2024-2025, although GDPR concerns linger. Hotel industry needs data cleanup before AI implementation can be effective. Sales and Marketing discussed as fundamentally similar, with different communication channels.

📈 Room revenue is the main income for hotels, with KPIs like occupancy percentage, RevPAR, ADR, MPI, ARI, and RGI being critical. Other revenue, such as F&B sales, spa services, event hosting, and additional amenities, can significantly increase profitability. Customer acquisition costs can range from 15% to 25% according to Kalibri Labs. Variables costs include housekeeping, utilities, room amenities, and wear and tear. The contribution margin, calculated as Contribution/Gross Revenue, is key to profitability analysis, with examples illustrating the importance of balancing total contribution and percentage. Strategic management requires comprehensive revenue analysis, cost control, and informed decision-making to maximize profit and ensure sustainable hotel growth.

💸 Attribute-based selling (ABS) revolutionizes hotel booking by offering guests the choice to select room features and amenities during reservation. ABS enhances guest satisfaction, increases average daily rates (ADR), and optimizes revenue per available room (RevPAR). Peter Waters of Amadeus predicts hotels moving from room-sellers to merchandisers. For implementation, ABS complexity and the potential revenue benefit must be weighed, advises Andrew Rubinacci of FLYR. Priya Rajamani of Stayntouch emphasizes ABS can be integrated with existing technology. Hoteliers should evaluate tech capabilities, understand their property's unique attributes, assess market demand, consider staff impact, perform cost-benefit analyses, pilot the program, and be patient with adoption, following the crawl-walk-run approach.

📈 Dishoom, a UK restaurant group, is set to debut in the US in August through a collaboration at Pastis in New York City. JKS, another London-based group, is eyeing New York, Los Angeles, and Las Vegas for expansion. San Carlo Group plans a Miami launch as a testbed for further US growth. Sexy Fish launched in Miami in 2022, while Chotto Matte established a Miami presence in 2018, expanding to San Francisco with more cities planned. Hawksmoor opened in NYC in 2021, followed by Chicago, signaling more North American openings. UK brands face a competitive US market, with Carluccio’s, Pizza Express, and YO! having struggled previously. Despite challenges, the US market presents significant opportunities for successful UK restaurant brands.

📱 W Sydney, a five-star hotel with 588 rooms, chose IRIS for digital guest experience solutions. The IRIS app enhances the guest experience with mobile ordering and information on hotel amenities, local weather, and attractions. B&F Director Anand Prabeer reported a significant increase in room service orders and ancillary revenue within the first 6 months. The app's integration into the hotel's operations has led to optimized staff workflows and reduced costs. IRIS VP Sales and Marketing Graham Rushin expressed excitement about the partnership's success in meeting guest demands.

🏨 AI in the hospitality industry enhances hotel searches, online reservations, and customer service. Conversational bots like ChatGPT simplify booking processes and improve customer interactions. By leveraging AI for SEO, predictive analytics, and personalized services, hotels can increase visibility and revenue. However, challenges remain, such as high implementation costs, integration difficulties, and maintaining high-quality, ethical AI-generated content. AI-driven strategies include creating user-friendly websites, influencer marketing, social media engagement, and direct bookings to optimize user experience and drive sales. Nadav, co-founder of Virdee, has extensive software engineering and product team leadership experience.