The Refinishing Touch Blog

Recession has taken a toll on a number of industries, including, as we’ve touched upon here, the hotel business. Companies that have weathered the storm have found unique ways to maintain customer loyalty. Among the businesses that have managed to stay afloat? The modern day jam band.

Bands like Phish and moe. have established a business model that is almost entirely different than other artists. They don’t sell many records, they keep concert prices low and they encourage taping at their show. Although this might seem to hinder the band’s success, when Phish announced a tour in March 2009, it had 10 million requests for 400,000 tickets at $50 each. By keeping tickets relatively inexpensive, Phish promotes a community concert experience. Devoted fans can travel to shows at a fairly low cost, and do it alongside their peers. This experience keeps Phish fans coming back.

Hotels are charged with the same task: generating loyalty amongst travelers. By giving customers what they want, they will return, and what more and more travelers want are environmentally-friendly facilities. If hotels are trying to meet customer demand, establishing green practices isn’t a bad place to start. Battling unfavorable economic conditions requires thinking about more than short-term gain, but about cultivating long-term relationships and financial viability. Taking steps to become environmentally conscious sounds like it fits the bill.

‘Widespread Panic’ is a jam band, not a prognosis for the hospitality industry. Hotels, like jam bands, can learn to appeal to customers and keep them coming back.

Labels: consumer trends, economy, Environment, Going Green, Hotel Industry

As December comes to a close, we say goodbye to the holiday season and a decade that has ushered in (and out) events that have changed the lives of millions for better and worse.

The second half of 2008 brought a sequence of events that would set the tone for challenges that would carry through 2009 and ripple throughout the country and world for the foreseeable future. The riches of the earlier part of the decade were wiped away almost instantly. But, even in the bleakest of times, Americans found ways to live and do business while coping with tighter budgets and limited resources. As a nation and a member of the global society, we hope that each of us has learned invaluable lessons in the need for resourcefulness, conservancy, efficiency and restraint.

Recently, 4Hoteliers posted the top global consumer trends expected for 2010, according to Mintel, an international market research firm, which seems to agree that 2010 will see global citizens making decisions armed with the experience gained throughout the course of the past decade’s events.

Along with resilience as a means to recover from the changes that effected so many people’s lives, consumers are anticipated to re-evaluate and review their decision-making. When they do make a decision to purchase, they will expect a greater level of accountability from companies as a means of rebuilding consumer trust.

According to Mintel, consumers in the new year will have a tendency to lean towards escapism in contrast to the value culture seen in 2008 and 2009 as a way to tap in to new experiences, while consumers will continue to embrace the “media evolution” of social networking and interactive media as a part of everyday lives. The research firm also believes that we can expect to see a return to focusing on ethical responsibility and stability. “If a business is to rebuild its brands with ethical efforts,” they say, “they’ll need to connect with consumers by giving them an emotional reason to buy.” And finally, consumers are expected to make a return to stable decision-making by seeking balance, readjusting and making conservative decisions when it comes to spending.

We look forward to 2010 and a new decade that will surely bring a whole new set of lessons to be learned and a wealth of opportunities for advancement. On behalf of each of us here at The Refinishing Touch, we look forward to continued successes with our friends, new and old, and wish you all a happy, healthy and prosperous new year.

Labels: 2010, consumer trends, market research