Mixed-Use Properties Are Gaining Momentum…How Your Hotel Can Stay Competitive!
HOW HOTELS ARE IMPROVING LOYALTY PROGRAMS AND ENHANCING THE GUEST EXPERIENCE!
HOW HOTELS ARE IMPROVING LOYALTY PROGRAMS AND ENHANCING THE GUEST EXPERIENCE!
Today’s discerning traveler is seeking more than just a room to sleep in, they want an experience – a great experience, as a matter of fact. Experiential luxury is what guests require but a component of that overall experience package includes the hotel perks and benefits of being a repeat guest. Hotels understand how critical it is to incentivize and give more than expected. But isn’t hospitality all about giving your guests more than what is expected, first and foremost? Hospitality starts before you walk into the hotel. But enhancing these loyalty programs adds value for members throughout their travel experience by adding more relevancy and connectivity before, during and after their stays.
Photo Credit: Always5star recommended hotel programs
Some immediate benefits for guests when they join a hotel rewards program may include perks such as:
1. Discounted Room Rates
2. Free Cancellations
3. In Room Perks such as Free or enhanced Wi-fi, complimentary bottled water and breakfasts.
4. Points Earned for Free Stays
5. Early Check-in
6. Late Check-Out
7. Free Parking
Whether you are a Discoverist, an Explorist, or a Globalist as defined by Hilton Honors Program, hotels want to encourage guests to join their programs on many levels without a doubt.
Just recently, Best Western Rewards (BWR®), earned a top five ranking in the U.S. News & World Report’s Best Hotel Rewards Programs list. This marks the seventh consecutive year that BWR has received this coveted recognition, honoring the tremendous value it brings to the program’s members.
Included in the BWR refresh, members receive instant rewards on every stay including the Status Match – No Catch® program which instantly allows members to have their status matched with other hotel loyalty program when they enroll. Elite members receive Elite Rewards such as a “Thank You” gift when they arrive or bonus points.
Dorothy Dowling, Senior Vice President and Chief Marketing Officer for BWR stated, “we are committed to providing travelers with a rich rewards program that delivers real value. As part of this commitment we are constantly evolving the program, offering new redemption options and superior benefits to our members. We are proud to see that these enhancements are delivering the perks that today’s travelers are looking for.”
Earlier in the year, Marriott International combined their loyalty programs of Marriott Rewards, Ritz-Carlton Rewards and Starwood Rewards into a single offering called “Marriott Bonvoy” and created a new app for the program. Their different levels of Silver Elite, Gold Elite, Platinum Elite, Titanium Elite and Ambassador Elite provide increasing benefits such as a welcome gift, lounge access, 48-hour guarantee and ambassador service and more.
Recently, Radisson Hotel Group launched a platform and Radisson Hotels App for Radisson Rewards members called Radissonhotels.com, a new multi-brand and mobile-first global website.
This week, Hyatt Hotels Corporation “relaunched” their Guest Loyalty Rewards App with new features that provide their loyalty members customization in their stay providing a more seamless experience overall.
Some of the new features include:
1.Access and stream personal content directly to the in-room TV through Chromecast without the need to enter additional credentials.
2. Unlock guestrooms and public spaces via Hyatt mobile entry.
3. Quickly make requests directly to the hotel and receive feedback in real-time via a new chat option.
4. Request items directly to guestrooms.
5. Access the schedule of meetings and events happening at the hotel during the member’s stay.
“For some members, maintaining their routine while traveling is dependent on knowing more about the hotels’ workout facilities or simply being able to watch their favorite shows via Chromecast. For others, they want to easily navigate the destination and the hotel that they are visiting from, dining to transportation to local activities,” states Amy Weinberg, SVP World of Hyatt.
Hoteliers, at the end of the day, you simply want to provide guests with a great experience and that includes great service, great rewards, and a great room. The Refinishing Touch® rewards hoteliers with providing great savings of at least 50% up to as much as 80% while adding sustainability back into the hotel. When you choose to refinish your existing casegoods and not replace them, you are making a positive, dramatic impact on the environment. The chart below literally displays more than a “ton” of reasons why refinishing is the smarter choice.
Photo Credit: www.carbonfootprint.com
Learn more about other operational areas within your hotel that you can implement additional sustainability with our Go Green: Green Ideas for Hotels and Resorts Guide.
Our clients experience incredible savings by choosing to refinish their FF&E with us and not replace it. These savings can be reinvested into areas of your hotel that are exponentially changing at a faster pace like security upgrades for guests, technology upgrades in the rooms, more efficient lighting, HVAC improvements, and important additional employee training.
Photo Credit: The Refinishing Touch®
With all the cost-saving benefits The Refinishing Touch® provides to help hoteliers maximize their ROI, it is worth a phone call and discussion with our team. There are many hidden costs that may not readily come to mind when considering FF&E replacement. We encourage hoteliers to contact us early in their design and project specification. Hidden real costs such as shipping, storage, disposal, moving, and taxes and tariffs must all be considered. Our community of on-site services at The Refinishing Touch® includes refinishing, re-engineering and reupholstering that save time and money. In many cases, the room can be put back into service later that same day, which decreases additional downtime!
Photo Credit: The Refinishing Touch®
We are the trusted and Preferred Supplier of HILTON, Host Hotels and Resorts and many more!
Our Principal, Mario Insenga, has been providing excellence in asset management for hoteliers for over 42 years and more than 7,000 completed renovation projects. His expertise and innovative sustainable solutions will provide the knowledge that can help you maximize your hotel’s ROI. Why choose anyone with less experience to handle such an important part of your hotel asset management?
Photo Credit: The Refinishing Touch®
Contact our Sales Manager, Erek Schwartz at 1.800.523.9448 for more information and email [email protected] to request an online quote for your upcoming renovation project. Whether you’re experiencing a PIP, CAPEX, or rebranding, our team can increase your sustainability while saving your hotel an incredible amount of money. We invite you to learn more about our community of services at www.therefinishingtouch.com
RESOURCES:
Best Western® Hotels & Resorts’ Loyalty Program Earns Number Five Spot in List of Best Hotel Rewards Programs, PRNewswire
Hyatt Relaunches It’s Loyalty App by Esther Hertzfeld, Hotel Management Magazine
5 Benefits of Joining a Hotel Reward Program, www.always5star.com
Carbonfootprint.com
TODAY’S HOTEL GUESTS WANT EXPERIENTIAL LUXURY… WHAT DOES THAT REALLY MEAN TO HOTELIERS!
TODAY’S HOTEL GUESTS WANT EXPERIENTIAL LUXURY… WHAT DOES THAT REALLY MEAN TO HOTELIERS!
Today’s traveler provides a unique platform to redefine for hoteliers what luxury really means to their guests. Luxury brands are experiencing a crisis because the old meaning of luxury does not apply in all cases. But how does that new meaning translate and how do hoteliers make their hotels relevant and continue to be a value creator? Much of today’s travelers are looking for a place that creates a state of feeling luxurious rather than a specific thing defined as a luxury item. “Successful luxury brands are realizing that by advocating for social and cultural values their customers care about, they can grow their business organically while remaining authentic to their inner essence,” says Dr. Martina Olbertova of Meaning.Global
Photo Credit: Omni Bedford Springs, PA Spa and Resort
Most Luxury Hotels provide as standard, items such as 24-hour concierge, bar service, room service, Housekeeping and Laundry Service, Fitness Center and baby-sitting services. Additionally, they provide complimentary services such as bottled water, coffee makers, coffee served in the lobby, and Wi-Fi. A key offering is an excellent restaurant and bar for the guests dining experience on the property, as well.
But first and foremost, authenticity is the new currency and guests and consumers are looking for that in everything, up front. Today’s guests, millennials especially, do not want to own “things” because they perceive those things as eventually owning them in the long-term. That means moving away from tangible elements to the intangibles such as more customized unique and personal experiences because they provide more of a transformational quality to your life.
While 82% of millennials stated a preference for experiencing a new hotel each year, a significant 42% will return for an impressive design. The research revealed that an overwhelming 87% of respondents cited the interior design as important when booking a hotel, with 81% identified a “cool bar” as a critical factor in their choice. Design truly is at the heart of hotel sustainability!
Photo Credit: The Refinishing Touch®
Photo Credit: Juniper and Kin Bar
Millennials expect their hotel stays to be as convenient as using their phones. They expect a customized experience, digital convenience and relevant information on social media. They want an “immersive destination” and while many plan their trips in ad hoc fashion, they book their hotel before arriving and rely on their hotel as an information resource when they get there. Every guest is different and so are their interests.
The common area with shared spaces is a prime example of how room-service that was considered a value-add, has been replaced with high-end technology wired common areas that everyone can enjoy together as an experience, whether sharing a drink, meal or working on a business proposal. The idea is that of sharing economy rather than owning economy.
Hotels that are investing more money creating those “Instagram-worthy” spaces understand that guests want to create an unforgettable and customized experience thus creating a richer life. There is a drive for fewer but better things of lasting quality – a new minimalism.
If your hotel guest rooms and FF&E need to be refreshed and updated but your common areas need that as well, consider the sustainable and affordable choice of refinishing your furniture instead of replacing it. The Refinishing Touch® services will provide substantial cost-savings and you can reinvest those dollars into updating your lobby, restaurant and bar, outdoor areas as well. You can also reinvest those dollars into upgrading your technology, lighting, HVAC, and so much more that will benefit your guests. Here are just a few examples of how actual clients saved between 70% to over 80% by choosing our environmentally friendly refinishing services.
Photo Credit: The Refinishing Touch®
That drives hotels to also focus on providing guests with “Immersive Destination” experiences. Technology such as the digital concierge platforms provide community information, events, flight tracking and even selfie cameras for guests to capture, connect and experience the culture around them during their stay. Being able to provide this type of technology is an added value for hotel guests and Instagram worthy moments. This ties into an entire marketing program for hotels that want to be immersed into their community as well as their guests. As the saying goes, if it’s not on Instagram, it didn’t happen. “It’s important to look for digital touchpoints with consumers and turn those into experiential activations, perhaps a VIP experience at your restaurant, tickets to a local event, or a personalized message from a celebrity spokesperson,” states Daniel Ramirez, VP of Porter24.
Photo Credit: Porter 24
Hilton announced it is projected for a historic year due to its new luxury hotels. It has opened four locations and has seven more on the way before the year’s close to put Hilton on track to open more luxury properties in 2019 than in any previous year of its 100-year history. The openings this year are through Hilton’s luxury brands; Waldorf Astoria Hotels & Resorts, LXR Hotels & Resorts & Conrad Hotels & Resorts in Dubai, London & New York.
Experiential luxury also translates into wellness and the betterment of the quality of life. Investment in wellness in the hospitality industry is a prime focus. “For full-service brands, health-conscious travelers spend as much as 130% more on hotel amenities than other guests,” stated Danica Boyd-Hartenfels, Brand Leader and VP of Operations – Wyndham Garden at Wyndham Hotels and Resorts.”
Photo Credit: Hotel Milo, Santa Barbara
The Global Wellness Institute cited Marriott International’s upper-upscale Westin brand which began focusing on wellness in 2011, incorporated amenities like a health-focused breakfast, saline swimming pools, fitness centers, a bike-share program and electric vehicle charging stations. “A lot of hotel chains are jumping onto the wellness wagon in order to cobrand or associate their products with wellness,” stated Ingo Schweder, founder and managing director of health and wellness at Horwath.
Photo Credits: Montage Resort, Deer Valley UT, The Carillon Miami, FL, The Four Seasons, LA.
If you want to travel and get fit at the same time, there may be no better place to stay than The Carillon in Miami, Florida. The hotel offers more than 300 fitness classes every week including bootcamp, TRX, and more. At Montage Resort in Deer Valley, Utah, guests can use holistic nutritionist, celebrity health coach, menu to stay on track and maintain a healthy nutrition plan while on vacation. And the Four Seasons Hotel Los Angeles at Beverly Hills launched what it’s calling its “Wellness Rooms.” The five wellness-themed guest rooms and two suites were created to optimize guests physical and emotional well-being while traveling.
Hotel brands such as Hilton, Marriott, IHG and many more understand the critical importance of sustainability and are making major declarations to reduce using plastic, water, electricity, harmful detergents, and more. Afterall, sustainability used to be a luxury, but it is now a necessity! Minimizing your hotel’s CO2 footprint will produce a positive impact on the environment and refinishing your FF&E will dramatically poise your hotel for success with travelers who are looking for exactly that before booking their travel. The chart below shows just how much of an impact making the sustainable choice to refinish your guestroom furniture instead of replacing it will make.
Photo Credit: The Refinishing Touch®
Overall, consumers today are rejecting the materialistic foundation of the consumerist lifestyle, or what is described as a waste culture. If your hotel is looking to increase sustainability in all areas of operations, then begin with your FF&E. It is one of the largest components to hotel asset management.
Also, for other ways to incorporate more sustainability into your hotel operations, be sure and review our Go Green Hotels; Go Green Ideas Guide!
Hoteliers, for you to invest in providing the level of Experiential Luxury guests are expecting today, look at incorporating our sustainable, safe, on-site refinishing, re-engineering and reupholstering community of services into your room refresh. As a trusted and Preferred Supplier for HILTON, Host Hotels and Resorts and many more, you will be receiving 42 years of experience and over 7,000 completed renovation projects knowledge when you choose The Refinishing Touch®.
Call Erek Schwartz at The Refinishing Touch for your free, online quote today. Call 1.800.523.9448 or email [email protected]. We invite you to learn more at www.therefinishingtouch.com
RESOURCES:
Luxury’ Has Lost Its Meaning—Here’s How to Get It Back, by Pamela N. Danziger Contributor -The American Affluent
The Top 5 Wellness Hotels Around the Globe
U.S. EPA Design for The Environment
Carbonfootprint.com
Porter 24
How Hotel Room Functionality Drives Change for Brand Standards and The Design Process!
How Hotel Room Functionality Drives Change for Brand Standards and The Design Process!
In the hotel room design process, functionality is the key. Of course, the aesthetic appeal is very important for designers and hoteliers. But understanding how guests will use the room actually feeds the direction that the brand standards take to meet guest expectations.
In a Hotel Management Magazine article, Kip Vreeland, SVP of Full Service Franchising for Marriott International, stated “We have to understand what a room is for, and how brand standards can be pulled through, For example, guests have made it clear that showers are a better use of bathroom space than tubs, and the brand standards have evolved to reflect the new expectation. That is the standard, whether in a Fairfield or a Westin,” … “Customers are driving that, rather than Marriott.”
Here are some important areas discussed to keep in focus through your hotel room design process:
1.Defining The “Long Term” Purpose:
For Hoteliers, investing in solid-surface elements is cost effective but also providing budget-friendly, efficient soft-goods upgrades can make a big impact.
With a recent investment for Cambria Hotel & Suites, White Plains NY – Justin Jabara, VP of Development at Meyer Jabara Hotels said “We’re able to change pops of colors and other features with soft-goods renovations. It’s more cost-effective that way. This strategy is good for long-term investors who expect to get regular revenue from a property. Limiting the case goods in a guestroom can also reduce the time in between soft goods renovations. It’s cheaper for the owner, and it’s better for longevity.”
At The Refinishing Touch®, we meet the needs of Hoteliers everyday by changing solid surfaces with beautiful stone, glass or laminate options and extending the life of the FF&E. We can also upgrade decorative hardware for a quick refresh of hotel FF&E.
Photo Credit: The Refinishing Touch®
Photo Credit: The Refinishing Touch®
In a recent article by Chris Matyszczyk, he discusses the hotel direction of “limiting the case goods in a guestroom” by sharing that some hotels have started turning their reception areas into workspaces and that desks within the hotel rooms are disappearing because guests are not staying long enough to use them. Traditional closets are also disappearing because many guests don’t bother to unpack. And the complaint from guests who used the traditional closets stated that they forgot their clothes hanging in the closet and leave without them. So many hotels are now keeping closets as open spaces, no doors, within the room design.
Photo Credit: ARC Hotel
Additionally, minibars are also disappearing because most people do not want to pay high prices and would rather go to the hotel bar or bring their own back to the room.
These are the drivers that steer the brand standards to change. Of course, not every hotel is eliminating the desks, mini bars and closets. Upperscale, Luxury hotels continue to include these with their design.
2.Think About the Multi-Purpose Function of the Room:
Public spaces within hotels are becoming more utilized because many select-service hotel designs are creating more relaxed and inviting communal areas, especially when space limitation is a factor in the design process. “A communal table can be a breakfast bar or dinner table at night,” Lisa Knight, President of Design. “Breakfast bar buffets are great at high-volume times, but on shoulder days, they’re not very efficient,” Jabara said. “How do you build a buffet so it can have different uses? At the The Hilton Wilmington – Christiana, the breakfast bar can “disappear” when not in use, freeing up the space for other needs”, Jabara noted.
The Refinishing Touch® specializes in “Re-Imagining” your FF&E to increase function and sustainability. We can re-engineer desks, cabinets into more functional pieces that extend the use of your FF&E and dramatically minimize the cost of buying new furniture.
Photo Credit: The Refinishing Touch®
3.Consider High-Tech and Minimal Room Design Elements:
As real estate becomes increasingly valuable guestrooms are becoming smaller—which presents both a challenge and an opportunity for designers. “Everything is sleek; there’s no extraneous furniture,” Lisa Knight said. “I think the guestroom will become more personalized. The room is like a blank canvas. You can personalize the space.”
Customizing the guest room experience allows guests to choose everything from: bedding selection, bathroom toiletries, custom channel and movie packages, temperature and lighting control via phone applications, even digital artwork to appeal to their taste. Hotels are creating these customized guest profiles with loyalty programs for guests who stay frequently. Hilton’s Innovation Gallery and their “Connected Room” and Marriott’s Innovation Lab are constant incubators for providing exciting technology and out-of-the-box ideas for guests.
Photo Credit: Smart Mirrors and mobile Seura
At The Refinishing Touch®, we focus on being innovative with what is inside the box (the room). We re-engineer hotel FF&E, add jack-packs to provide updated technology without incurring the high-cost of buying new furniture.
Vito Lotta, VP of architecture & design for Hilton’s full-service brands, stated “while hotels schedule renovations for every six or eight years, most technological devices get upgrades every six or eight months, making any in-room installation obsolete within a year. A room’s lifespan is in years, but tech is in months. You cannot keep pace. The solution, is to design the room to support a guest’s devices rather than incorporate any devices that will not be useful in just a few years,” he said.
4.Consider the Individual when Creating a Unique Stay Experience:
Jabara discussed that guests, especially millennials, want to connect with the local flavor of where they are staying. Authenticity is key. He stated, “When I stay at a hotel and I’m in Pennsylvania, New York or New Jersey, I want to feel local. That sense of location could be reflected in the property’s food, or in the guestroom artwork. Our feeling is that you need a local aspect, and we’re pushing that trend in design.” With branded hotels now competing with Airbnb, providing a unique experience for guests is always top-of-mind in the design process.
Photo Credit: Hotel Sugo Soho New York
The Refinishing Touch® provides customized design and development packages for our clients. We want every project to be an excellent and unique experience. We provide our clients with design consultation, pre-production samples, on-site project management, and financing depending on the scope of their project.
Photo Credit: The Refinishing Touch®
5. Differentiation – How to Set Your Hotel Design Apart from the Competition:
In a recent Hotel Management article, Vreeland acknowledged that “We’re living with legacy issues,” and wondered aloud if Marriott’s current roster of 30 brands is too much. “Our brand teams are good at defining what they mean. Marriott is different from Sheraton, and that’s different from Delta.” The designs of these hotels will reflect those differences…You have to find unique ways to activate the space. The whole feel of room should be differentiated. Westin hotels, are using lighting in new ways, while Renaissance hotels are putting artwork on the ceilings. We’ve created a cool way to make the room new and exciting.”
When you have hotels with so many brands, financing can be a challenge. Some hotel room designs are minimalistic, some are traditional, and some are luxury. With all of these differences and being able to compete with the market for that specific brand, you must have options and flexibility.
At The Refinishing Touch®, we are your PIP Advisor, FF&E solution provider and your partner in profit. With over 7,000 completed projects nationwide, we give you many options, flexibility and extend the life of your assets. We are a Preferred Supplier for Hilton Worldwide, Host Hotels and Resorts and many brands across the U.S. With over 41 years of experience serving the hospitality industry, and providing above brand standard service, that differentiates us.
Tell us about your renovation project! We invite you to visit our website to learn more about our community of services at www.therefinishingtouch.com or call us at 1.800.523.9448. Email Erek Schwartz, Sales Manager for your free online quote at [email protected]
How Hotels Balance Profitability and Sustainability…The Key To Matching Go-Green Goals with Investor Expectations!
How Hotels Balance Profitability and Sustainability…The Key To Matching Go-Green Goals with Investor Expectations!
Concern for our environment and planet have been top-of-mind for many years. Even with the launch of Earth Day back in 1970, sustainability began as a luxury for hotels and businesses but not quite a necessity. Fast forwarding today, sustainability has become an important focus and a necessity for many businesses and consumers, including hotel guests deciding what hotel they will book. Wellness for guests is another focus for hotels these days. But “hotel wellness” is just as important for the environment. Sweden’s teen activist Greta Thunberg’s call for action on climate change has helped put sustainability in sharper focus for everyone, including hospitality investors.
Large hospitality groups continue promoting their sustainability programs such as: Marriott’s Serve 360 program, Hilton’s Lightstay platform and Accor’s Planet 21 program.
Photo Credit: Hilton Newsroom
LightStay is Hilton Worldwide’s proprietary corporate responsibility performance measurement platform. It was developed to calculate and analyze the environmental and societal impact of every Hilton Worldwide branded hotel in their communities. The platform measures energy use, water use, waste output, and carbon output at every Hilton Worldwide hotel around the globe.
Each Hilton hotel is required to track and complete improvement projects throughout the year. The LightStay environmental and energy management system simplifies energy, water, and waste performance into simple scores, and also provides information on trending and benchmarking. The tool allows hotels to track their goals and progress against those goals. Although it makes complex calculations in the background, LightStay’s simplified user interface makes it accessible to team members.
The platform measures across more than 200 building and operating sustainability best practices. It manages energy and water modeling for every hotel, and calculates energy, water, and waste efficiency performance. LightStay is available on laptops and mobile devices and can aggregate data and share insights from more than 4,800 energy efficiency projects.
The platform has helped Hilton Worldwide aggregate information across more than 4,600 hotels in 102 countries. LightStay has allowed every Hilton hotel to be certified to the ISO 14001 environmental management standard and the ISO 50001 energy management standard. In the six years since LightStay was initially launched as a brand standard, Hilton Worldwide has reduced energy consumption by 14.5%, water consumption by 14.1%, and waste output by 27.6%. LightStay has also allowed Hilton Worldwide to save $550 million during that time.
Hotel sustainability goals are encouraged by customer demand and to reduce some of their operational costs. “Kike Sarasola, Founder of Room Mate Hotels, made this point at the International Hotel Investment Forum (IHIF) in Berlin last March. He argued hotel groups need to take more significant initiatives than token ones such as banning plastic straws. He noted long gone are the days when asking guests to reuse their bathroom towels was enough—and was it ever?”
But we can note some great efforts from programs in the past such as The W Hotels bed linen program in North America. They launched a new range of bed linens made from recycled plastic bottles. Early May saw the hotel launch the Ekocycle range of bedlinen, designed in a partnership between Will.i.am from the Black-Eyed Peas, and Coca Cola. Each king size Ekocycle sheet contains around 31 recycled 600ml plastic bottles. It’s an excellent example of making sustainability seem cool while designing waste out of a system.
Photo Credit: World Travel Market
Or Radisson Blu, previously launched a towel reuse campaign with water charity “Just a Drop.” For every 250 towels that guests reuse, the hotel chain will donate enough money to Just a Drop to provide clean water for a child for life. Guests will learn how many children were provided with drinking water through the hotel’s in bathroom cards, with Radisson Blu hoping to ensure 12,000 children have access to fresh drinking water each year.
But the bottom-line for hotels is a consistent, cost-effective sustainability policy that encompasses the complete operational strategy including all facets of the hotel from paper straws to recycled fabrics for the staff uniforms. Check out our GO-GREEN HOTELS Resource Guide by The Refinishing Touch®. It reviews many areas of hotel operations and provides ways to incorporate more sustainable measures throughout the property.
During the IHIF meetings, many CEOs supported a longer-term sustainability approach to become more prevalent in the industry–something the larger hospitality groups may struggle with as their shareholders or private-equity owners focus on year-over-year results. Smaller hotel operators may have an easier implementation for incorporating sustainability into their overall operations and make it a differentiator that will help reach their target audience.
CEO of International Campus Rainer Nonnengässer, Room Mate Hotels Founder Kike Sarasola and A&O Hostels Founder Oliver Winter discuss sustainability at IHIF. Photo credit: Mark Green
When an operation review is in motion, that is the time to take an in-depth look at sustainability improvements and make recommendations for an existing hotel. That includes the largest asset which is the hotel FF&E. What is the condition of the guestrooms, the furniture, the bathrooms, the public spaces? It is easier with new construction because sustainability begins with the design specification process.
Photo Credit: The Refinishing Touch®
For existing hotels that need to review their sustainability and balance their profitability, it occurs generally when a hotel is experiencing a PIP, CAPEX or rebranding renovation process. Let’s talk about real costs when it includes the hotel FF&E. Upon a closer look at the REAL costs for a U.S. average-sized hotel, in 2017, according to Smith Travel Research (STR), FF&E costs averaged $10,000 per room per year. Not addressing the obvious FF&E wear and tear issues for a moment, if just one-half of one percent of those rented rooms had a “serious” maintenance-related failure, approximately 139 room nights per year would be detrimentally impacted! With an average-sized 115 room hotel, if those rooms were out of service for just one day, using 2017’s average room rate of $127 per night, the hotel could face $17,653 in lost revenue. If a room is out of order for more than one day, that lost revenue figure quickly grows higher.” During a renovation, The Refinishing Touch® understands the critical importance of getting rooms back into service, as soon as possible, for your guests. With our on-site refinishing, we’re able to return hotel rooms back for occupancy that same day saving tremendous amounts of money with no downtime!
Photo Credit: The Refinishing Touch®
At an event in London in April, Portugal’s Minister of Tourism Ana Mendes Godinho explained how her government is setting up environmental goals for its hotel sector, supported by financial instruments, regulation and encouraging links with relevant technology companies. What is clear is the hospitality industry needs support to work toward clear and effective sustainability objectives. Lacking clear and consistent support, it is often down to individual companies to design their own sustainability programs, which may vary considerably and may only be affordable for luxury properties.
This month at the IHIF Advisory Board meeting, private-equity firms stated that sustainability is increasingly being taken into account by investment committees. Included in operational and real estate reports, a considerable number remain skeptical about the investors’ intentions. “As much as sustainability is accepted as a goal to satisfy consumer demands, the main concern remains the impact it will have on profitability. At the development stage, investors and developers are not likely to be paying more for an environmentally friendly building; at most an investor may go for an environmental certification—but not to the highest level. The main idea is: “What is the minimum we can do to be perceived as being sustainable without adding costs?”
But when you look at the incredible environmental impact just one hotel can make in a community, it is not difficult to consider implementing sustainable measures that benefit the guests, the community and the employees and their families. For example, look at the incredible CO2 impact that a 100-room hotel can make by simply refinishing the FF&E and not replacing it. Choosing between adding over 125 tons of CO2 into the environment versus adding a little over 1 ton of CO2…seems like an easy decision when it comes to helping the environment and the community for the hotel.
Photo Credit: The Refinishing Touch®
For hoteliers, it is quite the balancing act of passing PIP inspections, keeping rooms refreshed, creating loyalty with great amenities and rewards, developing social experiences within the hotel, all while maintaining functional, efficient operating systems and providing a great work environment for employees who will always treat guests well and look forward to being of service and…be a profitable and sustainable hotel.
At The Refinishing Touch®, we can help provide the sustainable FF&E Solutions whether it requires refinishing, re-engineering or reupholstering. All work is done on-site and is clean and non-toxic. For over 41 years and 7,000 completed projects nationwide, we have been helping hotels manage assets and stay compliant with their brand standards with our sustainable solutions.
Photo Credit: The Refinishing Touch®
We are a trusted and Preferred Supplier for Hilton and Host Hotels and Resorts and many more.
If your hotel FF&E needs updating and refreshing, keep it simple and simply refinish it, don’t replace it. Call us today at 1.800.523.9448 and talk with our team about all of your sustainable options for your renovation project. Email [email protected] for your online quote. We invite you to learn more at www.therefinishingtouch.com .
RESOURCES:
Five steps to a successful towel and linen reuse scheme, by Jeremy Smith, Carbon & Water, Responsible Tourism Blog
Hilton shows small actions add up to a big responsible business by Siobhan O’Neill, Green Hotelier.org
Hotel investors look to balance sustainability, profitability, by Julie Rey-Gore, Hotel Management Magazine
Hilton Worldwide: LightStay; Environmentalleader.com; News and Best Practices for Commercial & Industrial Environmental Professionals
Hoteliers, The Key to Saving Capital is Planned Preventative Maintenance! Here’s How You Implement It
Hoteliers, The Key to Saving Capital is Planned Preventative Maintenance! Here’s How You Implement It…
Hoteliers, do you know how critical it is to have planned preventative maintenance built-in to your asset management? Keeping track of your contractors and having preventative maintenance schedules on a weekly, monthly, quarterly and annual basis will save your hotel a tremendous amount of money in preventable repairs. Here are the keys to effectively implementing a planned preventative maintenance program for your hotel!
1. Keep Track of Your Contractors
When a contractor fails to do the job, typically, a hotel manager or engineer immediately brings in a new contractor. The new contractor fixes the issues, points out all of missteps and maintenance failures of the last contractor and charges the hotel for the corrective actions. This added expense can easily be avoided if the manager follows up and makes sure contractors are following preventive maintenance schedules on a weekly, monthly, quarterly and annual basis.
2. Schedule and Follow Up!
Even with a maintenance contract, it’s up to General Managers, Operation Managers, Chief Engineers, to ensure the contracted tasks are being completed. Every major piece of equipment comes with a manufacturer’s manual detailing which components should be changed and when. The manager is responsible to be aware of those preventative maintenance guidelines and not leave it solely to the contractor.
Preventative maintenance for hotels is more than just spring cleaning. There should be a continual, around-the-clock program to safeguard the hotel’s most valuable assets and support great customer service. Not having an effective preventative maintenance plan will cost your hotel in the long run.
Let’s look at a great example with Hilton Santa Fe – Buffalo Thunder. According to Rafael Avalos, Director of Housekeeping, machines breaking down is one of the largest challenges hotels face when maintaining a consistent and effective laundry operation. “Machines breaking down is a big deal, especially with a large tunnel washer,” Avalos said. “It does 85 percent of all our laundry. Without it, you start to worry a little bit.” In order to stay on top of maintenance concerns, Avalos suggested maintaining close contact with chemical companies to stay informed of what is going into these machines and what sort of effects to expect. This also helps to maximize the machine’s efficiency. “Education is important, but some people let things be just because that is the way they’ve always been done,” Avalos said. “You want to be on the cutting edge, and vendors are there to help. If you ask them a question, they may not know the answer— but then again, they might. And the way I’ve learned everything is by asking, and talking to other hotels, too.”
Educating our clients about the benefits of our process is key for us at The Refinishing Touch®, especially on the difference between a “touch up” versus our full refinishing process for your guestroom FF&E. This is where your long-term savings combined with planned preventative maintenance can really make a difference in extending the life and use of your FF&E. Why? Because touch ups do not provide consistent coverage and they generally will not meet brand standard guidelines or pass a PIP approval.
Photo Credit: The Refinishing Touch® – Before Full Refinishing Process
Photo Credit: The Refinishing Touch® – After Full Refinishing Process
Our team at The Refinishing Touch® provides constant communication with the Project Manager at every level of your FF&E project from providing your quote, research and development, all the way through to project completion. Through our community of services, we provide many levels of preventative maintenance solutions for maintaining and updating your hotel FF&E including providing pre-production samples, research and development for your guest room renovation, and on-site project management.
Photo Credit: The Refinishing Touch®
3. Know Your Preventative Maintenance Budget
Depending upon the size of your hotel, maintenance accounts for between 4% and 6% of the hotel’s operating budget. That’s a fixed expense that includes personnel, equipment and supplies. On average, a hotel’s CapEx spending is approximately 8 percent of the total revenue!
This includes your hotel’s FF&E. The furniture in your hotel is one of the largest components of asset management. The Refinishing Touch® has been partnering with hotels for over 41 years and 7,000 completed projects, to provide sustainable, on-site refinishing, re-engineering and reupholstering for the hospitality industry. We are the trusted and Preferred Supplier for Hilton, Host Hotels and Resorts and many more!
Our solutions are non-toxic, environmentally safe and affordable, 50% to as much as 80% savings! Even better, our refinishing process for your furniture extends the life of your FF&E and provides your hotel with additional savings for several more years. You can reinvest those savings into updating your HVAC systems, Plumbing, Elevators, Security Systems, Technology Services and much more.
Photo Credit: The Refinishing Touch®
Be sure and download our Go-Green Hotels: Green Ideas Guide for sustainable and cost-saving measures for all of your hotel operations.
Making the decision to refinish your FF&E is not only great preventative maintenance but also positively impacts the environment and community around your hotel. Look at the difference in your hotel CO2 impact when you sustainably choose to refinish! That translates into wellness for your hotel, your guests, your employees and your community.
Photo Credit: The Refinishing Touch®
Call us today for your hotel’s FF&E Wellness Checkup at 1-800.523.9448 or email [email protected] for your free, online quote. When your guest rooms have a great checkup… your guests have an even greater check-in!
CASE STUDY: Jerry Harlan, Jr.
When Jerry Harlan, Jr., currently VP Construction Management at The Procaccianti Group, has major renovation projects, he turns to The Refinishing Touch. For him, in many instances, reinventing furniture rather than replacing it shaves time from a major renovation while lowering overall costs. Plus, it keeps guests extremely satisfied.
Take a project he spearheaded several years ago on multiple Hilton owned assets, where Harlan first discovered The Refinishing Touch. The property needed to do something with those bulky armoires that were frequently used to hide those old tube televisions.
“The Refinishing Touch had great capability and were priced right. The company came into the properties, cut the tops off, refinished the wood, and put on a new stone top. They turned an outdated piece of furniture into a modern looking dresser,” said Harlan.
Harlan noted the job was done quickly and efficiently as The Refinishing Touch brought in teams to do the job in each guestroom, returning each room to the hotel’s inventory that very same day.
“The work was invisible to the hotel guest, and they didn’t take any rooms out of service over night. So, we didn’t lose any revenue.”
At another full-service hotel, the Doubletree San Jose Airport, Harlan said The Refinishing Touch was a successful partner in keeping the lounge’s renovation on time and on schedule. In that space, the hotel had some outdated heavy wood lounge bar chairs that were beaten up from plenty of wear and tear. “They were pretty abused, beaten, banged around. They refinished them and put them back in service looking like new. The Refinishing Touch is a great and efficient service,” said Harlan.
Harlan explained when he begins a hotel renovation project, they look at what must be refreshed in appearance, either because of style changes or wear and tear of the pieces. Take a bureau, for example. “If it is still solid and the drawers work, and just looks old fashioned; that piece can be saved,” he said, noting he works with The Refinishing Touch and his interior design team to put together some samples that modernize and update the piece’s appearance.
He’ll change the finish, and potentially make some modifications to detailing which might require a stone top, or taking off molding or trim, or even adding something distinctive to the piece. Many times, they change out case goods too to create something looking brand new.
“We can actually be reusing the vast majority of the material and structure. It’s also a green thing because we do not have to buy new, and throw away old furniture. Plus, new case goods are typically imported from overseas and that can take three to four months. The Refinishing Touch can remanufacture the case goods as quickly as we can line up the finishes and get the team to the property,” said Harlan.
“It makes a property refresh move very quickly. It’s a very competitive market out there and guests perceive the condition of the room as part of their experience that makes them prefer to stay with us rather than competitor. Plus, this is smart way to increase ADR and potentially occupancy too, which increases revenue and net proceeds,” he added.
Finally, Harlan says that working with The Refinishing Touch is good for conversions and rebranding hotels too. “They are very service oriented, wanting to please and easy to work with in the way they get the job done. And when inevitable problems arise on a job – they always do – they handle things very quickly. Working with [company founder] Mario Insenga and his people is wonderful.”
Hotel Industry Experts Share ROI Increasing Secrets
There’s a new series of one day events, and they’re changing how hoteliers get information regarding their home markets. They’re called Hotel ROI, and we attended this intimate up and close event in Los Angeles where we got lots of exciting information and relevant in-market insight.
But while lots of secrets were exposed for the greater Los Angeles area, there was also plenty of goodies relevant to all hoteliers around the country. Here’s what we learned:
Grab Those Guests
Having a branded hotel still pays. Sure, there’s a move toward an increasing desire to operate independent hotels – especially with the rise of soft brands — but mainstream brands such as Red Roof Inns are delivering as much as 66% of customers every single night, on average, according to Matt Hostetler, an SVP with Red Roof. Other major factors that get guests to make a reservation are: Quality, rate, brand familiarity and rewards program, said industry experts.
Increase Your Hotel’s Income
Let your employees help you make more money. No, we don’t mean carry guests to the room, we mean leveraging their great ideas. Create a culture of success by incentivizing staff to provide great ideas that make money. Train staff to convert OTA guests to return guests, and upsell those folks newly renovated rooms. Also, most industry experts at Hotel ROI believe there’s not a lot of room to keep pushing rate higher. That means it’s becoming a game of increasing on property revenue outside room rate. One area that returns great profits is selling alcohol.
Massive Room Count Flooding Mid-Market
“Upper Midscale inventory will exceed 1 million rooms, no other scale has this,” says Bruce Ford, SVP of Lodging Econometrics, which tracks the new hotel construction pipeline. Other relevant data points; In Q117, there were 513 projects announced totaling 57,1278 rooms. Plus, 212 hotels with 24,122 rooms opened in the U.S. during the first quarter, with the majority of hotels located in suburban locations. Almost half have between 100-200 rooms. For the remainder of the year, LE forecasts another 868 hotels to open, representing a 22% increase over the total number of openings compared to 2016.
Lower Your Hotel’s Operational Costs
This is an industry where people look to each other for success, so share best practices with fellow hotel owners, or simply seek their advice. That network is filled with experienced and smart professionals that will provide smart ideas, such as ways to lower costs through installing energy efficient products, and available environmental tax incentives.
Here’s another idea: In Los Angeles, and around the country, many hoteliers are focused on renovations. Did you know older furniture can be reinvented and repurposed at the fraction of the cost of buying new, saving as much as 80%. The Refinishing Touch specializes in reimagining furniture in ways that reinvent pieces to make them more functional, durable and unique. Styles change, technology presses forward, and sometimes the need for a specific piece of furniture becomes outmoded. So, refinish or repurpose, don’t replace. The Refinishing Touch creates factory fresh looking pieces by changing color, adding stone, laminate or glass elements, and changing the hardware. Plus, it’ll help protect you against any loss in pricing power for your hotel.
Global Wellness is Big Business for Hotels
Global wellness is turning into big business within the lodging industry. While wellness is still bubbling below the surface of industry conversation, it’s already become big business. And hoteliers ignoring this opportunity are missing out on grabbing some of the big bucks being generated by this explosive trend.
“The wellness industry is certainly something that has grown, and we have seen a huge groundswell of people traveling for wellness, surgery, recuperation, and even to run a marathon,” explained Larry Traxler, SVP Global Design, Hilton Hotels & Resorts.
Look at these startling facts, according to the most recent numbers from the Global Wellness Institute:
- The global wellness industry is a $3.7 trillion market.
- Global wellness tourism revenues grew from $494.1 billion in 2013 to $563.2 billion in 2015 – or 14%. A growth rate more than twice as fast as overall tourism expenditures (6.9%).
- World travelers made 691 million wellness trips in 2015, 104.4 million more than in 2013.
- The global spa market grew from $94 billion in 2013 to $98.6 billion in 2015.
- World spa locations jumped from 105,591 in 2013 to 121,595 in 2015.
- Since 2013, the spa industry added 16,000 spas, more than 230,000 workers (to reach 2.1 million), and $3.5 billion in revenue.
It’s no surprise hotel companies are looking for ways to maximize opportunity in this segment with brands such as InterContinental Hotel Group’s EVEN Hotels, and Miraval Resorts, which was recently purchased by Hyatt Corporation. This points to big potential here.
Growing focus on this category means hoteliers should look to compete with wellness related offerings. While Traxler says Hilton is not looking to create a wellness focused brand such as IHG’s EVEN, he does think there is opportunity to take guestroom space in selected rooms to activate the wellness aspect of them because they run higher occupancy and command premium rates.
Plus, their looking to expanding to expand fitness center size at hotels, with daylight elements, while placing them in new locations that include outdoor space too for yoga and functional fitness.
Hoteliers can get their rooms ready for this opportunity without having to buy all new furniture. In fact, existing pieces can be reengineered at a savings of up to 80% compared to buying new.
Existing pieces can be reconfigured or entirely reinvented. The Refinishing Touch has myriad solutions that create factory fresh looking pieces by changing color, adding stone, laminate or glass elements, and changing the hardware, to name a few options. Then that saved money can be invested into your wellness initiatives.
“I do not think it is a fad a trend,” said Fern Kanter, managing director/ EVP, CHM Warnick, a leading hospitality asset management company overseeing $15 billion in real estate.
Get ahead of the competition now and focus on wellness.
Learn more about how The Refinishing Touch can help you reconfigure your hotel rooms. Call Today for more information!
770-642-4169