Top Ten Largest Travel and Tourism Businesses

The travel and tourism industry was thriving through the end of 2018, making it the eighth straight year of sustained industry growth. More than 1.4 billion people arrived at international ports around the world

 In 2019, the United Nations World Tourism Organization estimated that one out of every ten jobs globally was linked to the travel and tourism industry.

This growth trend was projected to continue through 2022 until Covid-19 changed everything.To get an overview of what the Travel and Tourism industry looked like before this unprecedented disruption, we’ve compiled a list of the top 10 Largest Travel and Tourism Businesses in the World, arranged in order of 2018 total revenue. Two of the ten on our list are family-owned.

10. Travel Leaders Group

Country of Origin: USA

Revenue: 7.12 billion

Number of Employees: 4,000

Founded in 2008 and headquartered in New York, Travel Leaders Group is a relatively new company that caters primarily to upscale and corporate clientele. 

In 2018, 71 per cent of revenue came from business travel, 25 per cent came from leisure travel, while four per cent came from other categories. Its network of hosted agents generated approximately $436.6 million in sales. Recent estimations suggest more than a third of all agents in North America work under the Travel Leaders Group umbrella either directly or indirectly

9. Royal Caribbean Cruises

Country of Origin: USA

Revenue: 9.49 billion

Number of Employees: 77,000

Royal Caribbean Cruises is one of just two cruise lines to make our list of top tourism businesses in the world. Founded in 1968 in Miami as Royal Caribbean International, the business has grown to become the world’s second-largest cruise line.

8. Walt Disney Parks, Resorts & Leisure

Country of Origin: USA

Revenue: 20.29 billion

No of Employees: 170,000

Disney Park’s 2018 total of $20.29 billion marks its ninth straight year of increases and nearly doubles the 2009 total of $10.67. Disney’s most attended Park is the Magic Kingdom in Florida with just under 21 million visitors in 2018

In total, Disney boasts six resort destinations with 12 theme parks and 53 resorts in the United States, Europe, and Asia. They also run a successful cruise line with four ships and plans for three more to be completed in 2021, 2022, and 2023.

7. Carnival Corporation & PLC

Country of Origin: USA

Revenue: 20.83 billion

Number of Employees: 120,000

Carnival Corporation & PLC holds the distinction of being the world’s largest leisure cruise line with a combined fleet of 102 ships visiting more than 700 ports all around the world. Carnival is a family-owned business

These cruise lines attract nearly 11.5 million guests annually – approximately half of the total global cruise market. With 225,000 daily cruise guests and 100,000 shipboard employees, an estimated 325,000+ people are sailing aboard the Carnival Corporation fleet every single day.

6. Flight Centre Travel Group

Country of Origin: Australia

Revenue: 21.8 billion

Number of Employees: 20,600

Flight Centre Travel Group was founded in Sydney in 1982 and currently stands as the largest retail travel agency in Australia

In 2018, Flight Centre Travel Group sold travel valued at approximately $60 million every day.  Flight Centre travel group is currently headquartered in Brisbane. It operates more than 2,800 retail outlets in Australia, New Zealand, the United States, Canada, the United Kingdom, South Africa, Hong Kong, India, China, Singapore, the United Arab Emirates and Mexico with licence agreements in another 80 countries.

5. CWT

Country of Origin: USA

Revenue: 25 billion

Number of Employees: 18,000

CWT is a Minnesota-based, family-controlled travel management company perhaps best known by its former name Carlson Wagonlit Travel, which was rebranded as CWT in February 2019

4. BCD Travel

Country of Origin: Netherlands

Revenue: 27.1 billion

Number of Employees: 13,800

BCD Travel is a travel management company headquartered in Atlanta but is a subsidiary of the BCD Group located in the Netherlands. BCD Travel operates travel management services such as travel bookings, consulting and meetings and events in 109 countries around the world

3. Global Business Travel

Country of Origin: Netherlands

Unit Sales: 33.7 billion

No of Employees: 17,400

Initially American Express Global Business Travel, GBT is a world leader in business travel planning and management. The business is incorporated in the Netherlands but is headquartered out of New Jersey.

In 2018, Global Business Travel acquired Hogg Robinson Group, a travel company with roots that trace back to the 19th Century.

2. Booking Holdings

Country of Origin: USA

Revenue: 92.7 billion

Number of Employees: 24,500

Booking Holdings is one of the largest online search and booking platforms for flights, lodging, dining, car rentals and other travel-related services.

In 2017, travellers booked 673.1 million room nights of accommodation, 73.0 million rental car days, and 6.9 million aeroplane tickets using websites owned by Booking Holdings. That year, 93.4 per cent Booking Holdings’ revenues were from commissions, while 6.6 per cent of revenues came from advertising.

1. Expedia Group

Country of Origin:USA

2018 Revenue: 99 billion

Number of Employees: 24,000

One of the most recognisable brand names in the tourism industry fell just short of $100 billion in total revenue to top our list of tourism businesses. The Expedia Group provides an online platform for various travel-related needs  In 2018, the business changed its corporate name from Expedia, Inc. to Expedia Group, Inc.

Just under 69 per cent of Expedia Group’s 2018 revenue came from lodging, 8 per cent from airline bookings, 9.7 per cent from advertising and media, and 13 per cent from other sources.

 

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American Airlines, Hyatt Hotels offer free vacations to NYC healthcare workers after pandemic

New York City healthcare workers on the frontline of the coronavirus battle are being treated to complimentary vacations courtesy of American Airlines and Hyatt hotels.

More than 4,000 employees at NYC Health + Hospitals/Elmhurst in Queens will get three-day trips to a variety of destinations in the U.S. and the Caribbean once COVID-19 subsides and they're able to take time off.

Doctors, nurses, physician assistants and even food-service workers are among those receiving the thank-you gift.

“We are extremely grateful to Hyatt and American Airlines for this generous gift to our healthcare workers, who have been at the epicenter of the COVID-19 pandemic,” Israel Rocha, the CEO of NYC Health + Hospitals' Elmhurst facility, said in a news release. “Our doctors, nurses, and other staff on the front lines of this unprecedented healthcare crisis really appreciate the outpouring of support from two of America’s major companies, and we look forward to taking advantage of these well-earned vacations in the near future.”

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IHCL exceeds 1 million meals offered to healthcare providers and migrant workers

Indian Hotels Company (IHCL) announced that it had crossed the milestone of over 1 million meals distributed to healthcare providers and migrant workers affected by the spread of COVID-19 in Mumbai, New Delhi, Bangalore, Coimbatore and Agra.

The initiative which began on March 23 has been spearheaded by the Taj Public Service Welfare Trust (TPSWT), with majority of the meals being prepared by its airline catering company TajSATS.

Puneet Chhatwal, MD and CEO at IHC  said the milestone of 1 million meals distributed over the last 36 days of lockdown is a testament of the community’s trust in the company.

"We are grateful to have been given this opportunity to assist the medical fraternity, who make sacrifices every day to keep our country and citizens safe and help migrant workers who are facing one of the biggest humanitarian crises ever."

Through its programme, IHCL has partnered with BMC in Mumbai to offer over 3,30,000 meals to the medical fraternity at seven key hospitals/COVID-19 centres. In Bangalore, the company has provided over 9,500 meals to staff at Victoria Hospital and Epidemic Diseases Hospital in partnership with the Taj West End. While in New Delhi, IHCL has served over 85,000 meals to eight hospitals.

Since March 31, 2020, in partnership with Tata Son's - TPSWT has also provided over 5,75,000 meals to migrant workers in Mumbai

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Vande Bharat Mission: Authorities seek hotel rooms across the country

India begins its biggest repatriation exercise to bring back 14,800 nationals stuck in 12 countries, the government is earmarking a range of hotel rooms across the spectrum, from one star properties to plush five-stars, for quarantining these travellers who will be landing in different cities
Hotels newly earmarked in Delhi include the Taj Palace Hotel, Shangri-La’s Eros Hotel and Le Meridien, according to people aware of the matter. Besides Taj Palace, the Indian Hotels Company Limited ..
(IHCL) has earmarked rooms in five of its hotels in Bengaluru for the exercise, including in Taj MG Road, Taj West End and the Vivanta hotel in Whitefield.


“We are glad to be able to offer support and care for our community,” said a Shangri-La spokesperson. “The hotel will accommodate some of these returning travellers as and when required. During this period, we will take all necessary precautions and strictly abide by the guidelines provided by the Ministry of Health and Family Welfare,”.


“We have got 200 rooms. The Delhi government had approached us. As per the instructions that we have received, all the guests are supposed to pay for the rooms. The government is not footing the bill. In our case it’s Rs 4,000 for a single room and Rs 4,800 for a double room, inclusive of meals plus taxes,” said Tarun Thakral, Chief Operating Officer at Le Meridien. “I think they are giving options to arriving passengers to choose from hotel categories and rates.”
The Delhi government has reportedly allocated 1,200 rooms in Delhi and National Capital Region for the purpose.


The Hotel and Restaurant Association of Western India (HRAWI) said it has been in constant touch with the authorities in Maharashtra and has arranged more than 1,500 rooms at discounted rates in Mumbai across categories
At IBIS New Delhi Aerocity, there are 200 rooms which have been committed for the repatriation exercise
Lemon Tree Hotels said it has been approached by different state authorities on room availability and quotation in locations like Delhi, Mumbai, Bengaluru, Hyderabad, Chennai, Alleppey, Kochi, Amritsar and Lucknow.
Besides IHCL, hotel chains such as Lemon Tree, Accor and Radisson Hotels have been offering quarantining services for asymptomatic people during the lockdown.

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‌Lorraine‌ ‌Sinclair Appointed Executive Chef At Pan‌ ‌Pacific‌ ‌London‌, United Kingdom

Pan‌ ‌Pacific‌ ‌London‌ ‌announce‌d‌ ‌the‌ ‌appointment‌ ‌of‌ ‌Lorraine‌ ‌Sinclair‌ ‌as‌ ‌Executive‌ ‌Chef.‌ ‌Located‌ ‌in‌ ‌London's‌ ‌new‌ ‌landmark‌ ‌tower,‌ ‌One‌ ‌Bishopsgate‌ ‌Plaza,‌ ‌this‌ ‌multi-award-winning‌ ‌chef‌ ‌returns‌ ‌to‌ ‌her‌ ‌home‌ ‌country,‌ ‌following‌ ‌years‌ ‌honing‌ ‌her‌ ‌craft‌ ‌at‌ ‌Sheraton‌ ‌Saigon‌ ‌Hotel‌ ‌&‌ ‌Towers,‌ ‌where‌ ‌she‌ ‌was‌ ‌Director‌ ‌of‌ ‌Culinary‌ ‌Operations‌ ‌for‌ ‌four‌ ‌years.‌ ‌

On‌ ‌joining‌ ‌the‌ ‌hotel,‌ ‌Lorraine‌ ‌will‌ ‌be‌ ‌responsible‌ ‌for‌ ‌the‌ ‌entire‌ ‌food‌ ‌and‌ ‌chef‌ ‌operations.‌ ‌Widely‌ ‌recognised‌ ‌as‌ ‌one‌ ‌of‌ ‌the‌ ‌top‌ ‌female‌ ‌chefs‌ ‌in‌ ‌the‌ ‌world,‌ ‌She ‌will‌ ‌lead‌ ‌the‌ ‌hotel‌ ‌brigade‌ ‌and‌ ‌will‌ ‌be‌ ‌putting‌ ‌her‌ ‌own‌ ‌stamp‌ ‌on‌ ‌restaurants‌ ‌and‌ ‌menus.‌ ‌

Her‌ ‌nearly‌ ‌thirty‌ ‌years'‌ ‌experience‌ ‌in‌ ‌top‌ ‌kitchens‌ ‌in‌ ‌Europe,‌ ‌Asia‌ ‌and‌ ‌the‌ ‌Middle‌ ‌East,‌ ‌has‌ ‌seen‌ ‌Lorraine‌ ‌hold‌ ‌eight‌ ‌Executive‌ ‌Chef‌ ‌positions.‌ ‌She‌ ‌was‌ ‌selected‌ ‌as‌ ‌the‌ ‌first‌ ‌female‌ ‌Executive‌ ‌Chef‌ ‌in‌ ‌a‌ ‌number‌ ‌of‌ ‌different‌ ‌locations‌ ‌including‌ ‌Bahrain,‌ ‌Istanbul‌ ‌and‌ ‌Hong‌ ‌Kong,‌ ‌and‌ ‌most‌ ‌recently‌ ‌in‌ ‌Dubai,‌ ‌in‌ ‌her‌ ‌position‌ ‌at‌ ‌the‌ ‌Fairmont‌ ‌Hotel.

‌ ‌While‌ ‌in‌ ‌Hong‌ ‌Kong,‌ ‌two‌ ‌restaurants‌ ‌under‌ ‌Sinclair's‌ ‌direction‌ ‌were‌ ‌awarded‌ ‌Michelin‌ ‌Stars.‌ ‌She‌ ‌was‌ ‌nominated‌ ‌as‌ ‌a‌ ‌"Les‌ ‌Toques‌ ‌Blanches"‌ ‌Board‌ ‌Member‌ ‌and‌ ‌has‌ ‌published‌ ‌a‌ ‌charity‌ ‌cookbook.‌ ‌This‌ ‌is‌ ‌in‌ ‌addition‌ ‌to‌ ‌her‌ ‌receiving‌ ‌multiple‌ ‌accolades‌ ‌including‌ ‌the‌ ‌BBC‌ ‌Good‌ ‌Food‌ ‌award,‌ ‌Time‌ ‌Out's‌ ‌Best‌ ‌Steak‌ ‌House‌ ‌and‌ ‌being‌ ‌placed‌ ‌third‌ ‌in‌ ‌Best‌ ‌Restaurants‌ ‌in‌ ‌2013‌ ‌by‌ ‌Esquire.

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The Art of War, Post-Covid19, and the New Sales and Revenue Managers by Robert Hernandez

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Whether the recovery of the hospitality industry is fast or slow is completely out of our hands. The only thing we can all do is prepare for the comeback. It’s almost as is if we need to adopt, for lack of a less cringy word, a warrior mindset. And that’s exactly what led me to write this post.

Sun Tzu was a general in a time where war was neverending and his people were under constant attack. Yet, unlike his enemies and counterparts, Tzu preferred to win by using intelligence instead of force. To prepare for the unprecedented business environment that all Sales and Revenue Managers will soon have to navigate, I found some ideas in Tzu’s timeless book, Art of War, that can provide us with some wisdom as to how to best maneuver through a Post-Covid19 world.

“Plan for what is difficult while it is easy, do what is great while it is small.”

The New Sales and Revenue Manager should always be strategizing. As horrible as this crisis is, it presents a pause that can be used to become smarter about your work. Whether you are digging into reports that you never had the time to analyze, playing with data that you never had the time to explore, or learning new concepts which you never had the time to engage in, you should be getting better at your profession. You should be growing in knowledge and always thinking about what you will do when your company re-opens. Do this and by the time you get back to work, the crisis will seem less overwhelming.

“The general who wins the battle makes many calculations in his temple before the battle is fought. The general who loses makes but few calculations beforehand.”

The New Sales and Revenue Manager should be more analytical than ever before. It is through a deep understanding of guest behaviour, spending patterns, and demand curves, that you will be able to construct a multifaceted plan of attack. Those who only know their data on a superficial level will be caught at a serious disadvantage when they are flying blind in the face of constant changes. You have a world of information that you need to re-examine to be ready for the post-Covid19 market. These include data from previous Pace Reports, Forecasts, Comp Set reports, P&Ls, Google Analytics data, etc.

“Victorious warriors win first and then go to war, while defeated warriors go to war first and then seek to win”

The New Sales and Revenue Manager needs to be prepared for anything. No one really knows what is about to happen with the economy and the travel industry, but you should know what tactics you are going to use depending on how the situation plays out. Get together a comprehensive list of all your discounts and promotions and decide from now what you will try and under what scenario. Before you try these RM tactics, you should have a reasonable expectation of what the likely outcome will be. You should be digging into your rate code data to model the potential impact of different tactics.

“In the midst of chaos, there is also opportunity”

The New Sales and Revenue Manager needs to forget the pre-Covid19 world. When there is an economic reset, all the old rules are discarded, at least for a while. Accounts that you could never reach, will now be open to speaking with you. People who would have never accepted your invite on Linkedin are more likely to accept now. Dig into your PMS or CRM and extract your old contact file. If you have data on old bid requests, begin to segment them by group size first since you will not be able to bring large groups for now. Then segment these contacts by as many dimensions as your system has and attack that list with no recollection of when they last rejected your offer.

“If quick, I survive. If not quick, I am lost..”

The New Sales and Revenue Manager needs to act fast and decisively. In this new world, you won’t really know what will work and what won’t until you try it. To minimize the risk associated with failure you need to try out ideas before your competitor does and be ready to abort very quickly. If you try a new discount, put it out there before anybody else does, but be sure that you can easily get out of it before it erodes your profit. Analytics on discounts performance will be critical. Knowing when a discount’s performance is statistically significant will help you quickly judge whether it is working in this new world. Obviously, most discounts will underperform last year’s results, but if you can put their performance in some historical context, then you can better explain your decision to open or close them.

“Do not repeat the tactics which have gained you one victory, but let your methods be regulated by the infinite variety of circumstances.”

The New Sales and Revenue Manager needs to be creative. The vast majority of hotels will reopen their operations offering only a slightly more relaxed version of the same old cancellation policy, contract terms, and rewards policies. That’s not going to cut it. You need to rethink your norms from the point-of-view of a traveler that is scared to make a decision that may cost them more than just money. To create more flexible terms, you need to understand your cancellation data, your group wash numbers, and any other data on business that did not materialize. This information is waiting for you in your PMS.

“Know yourself and you will win all battles”

The New Sales and Revenue Manager needs to understand their position. All hotels will reopen from a position of weakness because they will be begging for business. However, you can leverage your data so that you know more about your guests and competitors than they know about you. Understand your value position in your market. Know your weaknesses from past guest reviews and surveys. Be very clear about how you are perceived so that you have a better chance of pricing correctly and attracting the right guest. If you can, figure out your cross-price elasticity, then you can estimate the impact on your demand when your competitors lower their rates.

“Thus the expert in battle moves the enemy, and is not moved by him.”

The New Sales and Revenue Manager needs to be proactive. When times are good, we can be reactive and not lose much. However, under crisis mode, only those that are ready for anything, will thrive. You have to get to a position where you are satisfied that you have done all the analysis that you need to do so that you are confident in your decision. Trust me, your bosses are just as confused as you are, and they will be looking to you for insight. If you have done your homework, and have all the deep analytics, and can clearly explain your thinking, they will believe in you even if you fail.

“The art of war teaches us to rely not on the likelihood of the enemy’s not coming, but on our own readiness to receive him; not on the chance of his not attacking, but rather on the fact that we have made our position unassailable.”

The New Sales and Revenue Manager needs to be ready to lower rates. I know that these days you will read many articles and studies that implore you not to lower your rates. You should know the flow impact on your P&L of different pricing levels. In other words, you need to understand your break-even pricing. Most Sales and Revenue Managers have never had to think about the rest of the P&L, but in a world where occupancy levels may be limited to less than 50% for a while, you will have to be able to model how rate decisions impact profit. Using a combination of PMS and General Ledger analytics, you can build an understanding of how much you can resist an all-out price war.

“He will win who knows when to fight and when not to fight”

The New Sales and Revenue Manager needs to stay calm. Again, the first reaction of the market will be to lower rates. Hotel owners are just under too much financial pressure right now to stand their ground. However, while you may have to make adjustments, you don’t have to show all your cards at once. You can limit the number of promotions and discounts that you offer until you see that there is enough occupancy, web traffic, and reservations inquiries to justify experimenting with more aggressive rate tactics. To accomplish this, you would have to have a clear understanding of the performance of each of your rate codes to know when and where to release them into the wild. You have all this data, don’t be afraid to use it.

“We are not fit to lead an army on the march unless we are familiar with the face of the country-its mountains and forests, its pitfalls and precipices, its marshes and swamps.”

The New Sales and Revenue Manager needs to think like the competition. Look back at your old STR reports to see what your competition did when demand was slow. How far did they lower their rates? It’s very likely that they will run the same playbook. Know what to expect so you can plan how you will react. The last thing you need is to adopt the old attitude that you are smarter than your competition or that they have different motivations than you do. Everyone is now in the same boat trying to get to the same destination. Your competition is just as eager as you are, but you can be way more prepared.

“Therefore, just as water retains no constant shape, so in warfare there are no constant conditions.”

The New Sales and Revenue Manager needs to embrace the unknown. Everyone in the hospitality business is now in learning mode. There are no experts, just people who are willing to do the work and make adjustments as they go along. Don’t be afraid to give your opinion and then take it back the next day. Have a flexible mindset and don’t get frustrated if management is constantly changing the rules, they are winging this just like the rest of us. We are all taking this one day at a time. Leverage your data and let it give you peace in the knowledge that it provides. And that is, that we always get past the crisis and onto better times.

Robert Hernandez | Statistical Analysis and Data Mining for Revenue Growth | robert@originworld.com
Robert is an expert in the field of Mathematical Pricing and Optimization. He has spent the last 17 years building data-driven forecasting and optimization models for companies in over 20 different industries, from tech to tourism

The Amsterdam Restaurant Using Individual Greenhouses For Social Distancing

Mediamatic ETEN, part of a larger arts and entrepreneurship center focusing on sustainability, is a vegan restaurant located on the Dijksgracht in the Oosterdok neighborhood of Amsterdam. From May 21, the restaurant will begin taking in guests, only this time they will be seated inside Serres Séparées ('separated greenhouses'), enclosed glass structures each equipped with a table for two or three diners.

“This was one of the most feasible ideas from a large list of ideas we had when brainstorming,” Mediamatic's founding partner Willem Velthoven said .Initially, no more than three guests will be allowed to dine inside each greenhouse, even though there is the capacity for more.

"We have other, bigger greenhouses, but using them depends on how everything ends up going. Bigger groups could [come] now but then they should be families. For now, bigger groups are being discouraged because, from our experience, they are just louder and then you get the excited behavior causing spittle to fly and so on, and that's the kind of behavior that would make the virus spread faster," Velthoven said.

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6 Tactics We Can Learn from Hotels in Sweden Who Remain Open During COVID-19

In today's challenging environment, many hotels in Sweden have turned to their direct booking channel and communication strategy, seeking to increase online conversions with guests, and putting themselves in an advantageous position for recovery. Here are six strategies Swedish hotels are employing now that could help inspire your marketing plan of attack as mobility starts to recover in your markets.

1. Providing peace of mind

The first step to capturing online bookings should be to reassure visitors, and doing so boils down to the two words: communication and flexibility

Making sure your online visitors know that you have implemented a worry-free booking policy can inspire trust and increase the probability of them moving forward with a booking. Ligula Hotels were quick to take action by grabbing the attention of users arriving on their website using a Layer to display such a message, guaranteeing customers a safe booking thanks to their flexible cancellation and rebooking policies.

2. Promoting staycations to attract local travelers today

Creating a package for guests to feel pampered, the hotel offers the perfect staycation for those who need a break from everything going on at home. By using targeting options within The Hotels Network tool, the Layer message on the homepage is only displayed to visitors within Stockholm, enabling the hotel to show a personalized message to appeal to their local market.

3. Encouraging guests to book longer stays

Hotel Kungstradgarden launched a series of Smart Notes within their booking engine targeting visitors booking for 2 nights. The messages highlight the benefits of staying an extra one or two nights exclusively to those visitors, giving them motive to extend their booking. By using targeted messaging, hotels in Sweden are nudging guests that are already likely to convert to increase their booking value.

4. Driving immediate revenue through gift vouchers

Making hotel vouchers available to visitors is a clever way to generate immediate revenue while current demand remains low. Using our Hotel Voucher tool, Hotel Kungstradgarden launched a Layer with an integrated voucher feature, encouraging guests to purchase a gift card today. Aiming to attract potential guests who are thinking about traveling after restrictions have loosened, promoting your hotel vouchers will enable you to capture extra revenue while providing visitors with the incentive to stay with you in the future.

5. Leveraging technology to make smart pricing decisions

One tactic is to leverage AI technology, such as The Hotels Network machine learning product Oraculo, so you can segment your hotel website traffic in real time based on purchase intent, ranging from low-intent users (those who are unlikely to convert) to high-intent users (those who are most likely to convert).

The technology enables you to automatically personalise the website experience for each visitor with the strongest and most relevant messaging and offer. This means that you can decide to only show offers to users who really need an extra incentive to make a booking, generating savings in promotional costs. Conversely, instead of offering discounts to high-intent users who are likely to make a booking anyway, you can communicate upselling messages such as promoting a higher room category or longer stay to boost average booking value.

6. Building a strong community of followers

In Sweden, hotel website booking conversion rates have taken a hit these past weeks, albeit slightly less than in other markets. With increased uncertainty in the minds of visitors, many are not ready to confirm a reservation today, but hotels are finding other ways to generate engagement with their website visitors. The above example shows how Hotel C Stockholm is taking advantage of The Hotel Network's subscription feature to launch an integrated Layer to capture emails and grow their base of newsletter subscribers. Given the current situation, it makes sense to collect opt-in subscribers to be able to keep visitors updated by email about any developments at your hotel or exclusive offers. By continuing to nurture followers in this way, moving forward you can hopefully convert more website visitors into loyal brand advocates.

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COVID-19: How is the Foodservice Industry Coping?

The world's latest crisis - COVID-19 - has taken over our lives, irreversibly shifting our economy, society and lifestyle. But how has it affected the foodservice industry - and what big changes are on the horizon? Find out more about how coronavirus has impacted our industry and what foodservice operators should consider when adapting their business to life as our 'new normal'.

How is the industry changing?

Though the pandemic is still in its early stages, we've already seen a considerable shift in how consumers are getting their food, and how local restaurants and foodservice providers are responding.

1. Local farm shops are booming

One of the biggest shifts has been that of consumers turning to local farms for their fruit, vegetables, meat and dairy produce. While grocery stores have experienced severe shortages in supply, farms shops have been able to offer local shoppers a steady stream of fresh goods.

Another big advantage of local produce is that people know where their food is coming from, which not only helps them feel more secure about avoiding shortages from hard-hit countries, but also helps them contribute to the local economy, supporting local businesses that otherwise might not have been able to ride out the storm.

2. Restaurants are shifting to take-away or delivery models

Restaurateurs have been quick to adapt their business model to offer their customers more flexible, pandemic-friendly dining options. This has caused a surge in take-away and delivery service options, not only from quick service or fast-casual restaurants but also from higher-end restaurants.

While the commission fees of delivery service providers can be off-putting for many restaurateurs, there's good news on the horizon. Many delivery services are adapting their business models by reducing or eliminating their fees or opting for a flat-rate, subscription option so restaurants can get a better return on their margins.

But what about food safety concerns? Most restaurants have implemented stringent health & safety regulations to protect both their staff and their patrons - covering everything from sourcing, to preparation and service. In China, foodservice operators like McDonald's have responded with contactless pick-up options where customers don't have to make any contact with the staff.

3. Independent businesses are seizing the day

As many international chains such as McDonald's, Subway, KFC and Burger King have decided to close stores altogether, there's a growing opportunity for small, independent businesses to fill the gap. These businesses are more agile and flexible as they employ fewer staff and are therefore able to react quicker to serve local customers. These customers are likely to spread the word throughout their local communities, further boosting the success of these businesses and building a loyal customer base that's likely to stick around well after the dust has settled.

Food & workforce safety tips

Here are the key factors that any foodservice business should consider.

  • Set up clear protocols for your establishment and communicate these to all of your partners, suppliers, employees and customers.

  • Employees handling food should wash their hands for at least 20 seconds and wear gloves, a mask and/or hairnet as recommended.

  • Employees should stay at least 2 meters away from customers and coworkers, to comply with social distancing recommendations. 

  • While 'open food' areas such as buffets do not pose an increased risk, customers and employees should continue to behave in a hygienic manner. Where possible, food should be pre-packaged

    For restaurants offering a delivery service:

  • Delivery staff should be well-trained and adhere to public health advice regarding the collection and delivery of orders.

  • Drivers should wear clean (and when necessary, protective) clothing, and sanitize their hands before and after every transaction.

  • Delivery vehicles should be kept clean, in good condition and free from sources of contamination. They should be disinfected regularly.

  • Where possible, 'contactless delivery' options should be offered - where food can be left at the front door or on the porch.

  • You may want to consider limiting the range of menu items on offer to simplify the production process and streamline your operation.

  • Food packaging should be controlled, to make sure that it is suitable for different food types (some packaging is not suitable for hot food).

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Commingle:Engage Offers Hotel Business Recovery Marketing Services

Commingle:Engage, the hospitality industry's premier provider of full-service social media marketing and guest reputation management services ,announced the launch of its hotel business recovery marketing services aimed to assist hotels with their re-opening and recovery stages. Commingle:Engage is providing 'done for you' multifaceted hotel business recovery marketing services for even the smallest of properties with plans starting at just $525 per month.

The hotel business recovery marketing services include comprehensive and multi-faceted approaches to leverage the enormous consumer reach of social media, email marketing, Facebook advertising and proprietary Messenger marketing services developed by the Company.

The hotel business recovery plan starts with team creating a unique Stay.Play.Explore landing page designed to highlight local attributes of the property, destination, kid-friendly attractions, staycation/getaway/spa packages and amenities

From there we create social media and email marketing campaigns that drive consumers back to the property's Stay.Play.Explore page where they can pass through to the booking engine for reservations.

On top of this, we deploy geo-targeted Facebook advertising and our proprietary Facebook Messenger services to capture future wedding sales leads."

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Luxury Hotel Group Caves to Pressure, Returns $59 Million in Relief Funds

Three publicly traded Texas-based hospitality firms that collectively received nearly $59 million in coronavirus relief funding and are tied to hotelier Monty Bennett announced that they would return the funds after Bennett earlier said he would not turn back the money.

Ashford Inc., Ashford Hospitality Trust, and Braemar Hotels & Resorts released a statement saying the return of Paycheck Protection Program loans under the $2 trillion coronavirus economic relief package stemmed from “the agency’s recently changed rules and inconsistent federal guidance that put the companies at compliance risk.” 

The trio of luxury hotel real estate firms garnered scrutiny for receiving funds, one of the largest amounts delivered by the program, at a time when tens of thousands of small businesses are still locked out from receiving government assistance. Large companies like Shake Shack and Ruth’s Chris Steak House received, and later agreed to return, PPP funding

The Ashford Group of Companies still maintained they would keep the funds, part of a $660 billion program meant for small businesses to maintain payrolls through the ongoing economic crisis.

The group of companies asserted the nature of the hotel industry, where smaller ownership groups typically operate under the flag of a global brand like Marriott or Hilton, qualified them for PPP funds. Since mid-March, the companies have furloughed or laid off 90 percent of their workforce due to coronavirus hindering business. The Small Business Administration has not publicly released a list of PPP loan recipients, but Ashford claimed the hotel industry received less than 3 percent of the initial $350 billion round of PPP loans.

The promise to return the PPP funding comes after travel industry groups like the U.S. Travel Association and the American Hotel & Lodging Association called for the government to discourage unaffected businesses from applying for PPP loans. U.S. Treasury Secretary Steven Mnuchin said that the government will perform a full audit on any company taking out more than $2 million in the small business loan program.

The Ashford companies stated they would return all PPP funds by May 7.

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Hotel Industry 2020 – The New Normal

 The "light and warmth of hospitality," coined by Conrad Hilton, will not be apparent upon entrance to a hotel post COVID-19. Expect acrylic covered front desks, masks and gloves, signage advising guests to use caution, frequent disinfecting of public spaces, wide open lobbies with limited seating and restaurants and bars that have six feet of separation in every direction. The good news is that we are approaching the re-opening of the economy!

According to the top prognosticators in the hotel industry, here is what we are looking at from an occupancy, average rate (ADR), RevPAR perspective:

The best case seems to point to a drop in occupancy from 66% in 2019 to 50% in 2020 and a drop in ADR from $133 to $107 resulting in a RevPAR drop of over 30% from $88 to $55. Worst case scenarios have us dropping well below 50% in RevPAR, close to Armageddon. Once STR releases an April forecast, the overall average should increase. These firms have done a tremendous job of analysis given the completely different demand generators—the bad news here is that even in the best scenarios, there are no net profits forecast for 2020.

Operations

Profits will be gone in 2020 with hopes of a return to closer to normal revenues and profits in 2021 or 2022. The implementation of completely new protocols including hospital grade sanitization, masks and thermometers will be fairly expensive relative to supply costs.

Valuation

We can expect values to decline in line with net income, but with less deals done. The real question will be when will values come back to 2019 levels and will it be a buyer's or seller's market. The latter depends on how long it will take for this destabilized market to bounce back. Over-leveraged sellers will be at risk as short-term values will take a precipitous drop. However, lenders will only foreclose on operators who do not engage in a sincere way. They do not want to own hotels. Transaction volumes will be down according to an April, 2020 Lodging Industry Investment Council survey.

Supply

Airbnb and short-term rentals will continue to impact hotels. With unemployment numbers at new highs, millions of Americans will need to find a way to supplement their income and home sharing may be people's means to do so. New supply for those accommodations could surge and have a negative impact on hotel room rates in general. But many cities have sued Airbnb and our original prediction was that they would become an online travel agency (OTA) by 2020. Well, only time will tell, but they have postponed their 2020 IPO.

Demand

We will start to see two separate groups emerge - those who feel they can travel freely, and those who are still susceptible to the virus. The first group is made up of individuals who have tested positive for the virus anti-bodies - meaning they had the virus and lived and those who believe they are not at significant risk. This group will be our primary source of demand, while others may continue to quarantine and limit travel. This summer, we can expect to see "pent up" demand. After being stuck at home for eight or more weeks, consumers will be itching to travel.

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How Each Hotel Department Can Start Preparing for A "New Normal"​ Re-opening

The re-opening of hotels will likely be gradual, done by risk assessment, and it will probably include many restrictions

By the way, this list is based on the scientific process of baseless, wild speculation, while waiting out the quarantine.

F&B and Restaurant

  • Re-do your shift schedule for different % of the usual business. In other words, one schedule each for 30% of last year's business, 50%, 80%, etc. You'll be able to explain to your staff why they are getting only a fraction of last year's hours.

  • Research which food costs will increase when you order less volume.

  • Move kitchen stations (if at all possible) to create more space.

  • Create a re-opening menu with items that limit the number of cooks in the kitchen.

    Front Office/Reservations

  • In expectation of occupancy restrictions, add "Covid19 Out-of-Order" designation in your PMS system. These rooms will be tracked differently than regular OOO rooms.

  • Decide which rooms you will take out-of-order to ensure social distancing and limit elevator use.

  • You may have to read the temperature of all guests when they check-in so decide on whether that will happen at the front door or front desk. You may want to start writing an SOP for this.

  • Start talking to your GM about the possibility of requiring a Covid19 affidavit to be signed at the front desk where guests confirm that they have not been close to anyone with virus symptoms.

  • Start crafting a Covid19 disclosure for Phone Reservations to read to each guest and to post on the website (with an electronic "Agree" button).

Finance/Revenue Management

  • Add a new line for "Covid19 Out-of-Order" rooms to your Pace, Forecast, and Yield reports. This will allow you to better compare Year-over-Year results this year and next year. If you bundle all the OOOs together you will affect the variances.

  • Find alternate years to Pace against, maybe 2009. All Pace reports will be negative this year and positive next year so you have to put the number in a different context.

  • If there are occupancy limitations, you may be sold out every night, so you have to find alternative metrics to track the strength of the market. Try putting together data from your POS or CRM to track KPIs like average guest spend for all outlets year-over-year.

Operations/Engineering

  • Establish process for changing room access and locker distribution for social distancing.

  • Simulate common area distancing scenarios, furniture distribution, common bathroom usage rules.

  • Do you allow access to the pool by reservation only? If you do, you will need a process for that.

Marketing/Sales

  • Practically every page on your website will need a pop-up advisory so might as well start loading those now.

  • Compile "Best Guests" list from your CRM to send personalized messages. A simple email blast will be lost in everyone else's email blast.

  • Redraw your meeting space floor plans for social distancing requirements. Load the new floor plans to your website.

Spa/Valet/Parking

  • Publish your temporary limited menu of spa services.

  • Determine bag handling procedures. Is the bellman allowed into the rooms when they are exposed to common areas of the hotel?.

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SG Clean Quality Mark Extended to Tourism and Lifestyle Businesses as part of Nationwide Efforts to Uplift Sanitation and Hygiene

 In light of the on-going Coronavirus Disease (COVID-19) situation, Enterprise Singapore (ESG) and the Singapore Tourism Board (STB) have rolled out the SG Clean quality mark to the tourism and lifestyle sectors. Among the first to be certified are those along the popular Orchard Road shopping belt, which include food and retail businesses in malls such as Plaza Singapura and ION Orchard; Grand Hyatt Singapore; and the Singapore Visitor Centre 

 Establishments like Charles & Keith, Golden Village, Jean Yip Hub, Jumbo Seafood, McDonald’s and TungLok are on board SG Clean

Two other hotels outside of Orchard Road have also been certified – Village Hotel Sentosa and Shangri-La’s Rasa Sentosa Resort & Spa.

Grand Hyatt Singapore and several businesses at Plaza Singapura received their SG Clean quality mark from Mr Chee Hong Tat, Senior Minister of State for Trade and Industry, and Education – following a visit to the premises.

ESG and STB will encourage more than 37,000 businesses within the tourism and lifestyle sectors to sign up for the SG Clean certification programme.  

To be certified, businesses have to go through a seven-point checklist tailored to the requirements and operations in the various sectors

ESG and STB have appointed qualified, independent assessment organisations to certify that participating establishments have met these requirements, and continue to maintain these practices. Businesses assessed to have met the criteria will be awarded the SG Clean quality mark. Assessment and certification are complimentary for businesses.

For further details :

(Refer to Annex A: List of certified establishments to-date)

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Accor and Bureau Veritas launch a label based on sanitary measures

Accor, a global leader in augmented hospitality, and Bureau Veritas, a world-leading provider in testing, inspection and certification, have joined forces to develop a label designed to certify that the appropriate safety standards and cleaning protocols have been achieved to allow businesses to reopen

The label will cover both accommodation and catering, and will set the sanitary standards applicable to all the Group's hotels as well as to other chains and independent hotels. The project was carried out in partnership with doctors and epidemiologists, and has been developed in collaboration with Accor owners and trade associations, such as UMIH, GNC, and GNI.

The project will be shared within Alliance France Tourisme as well as with the relevant ministries (French Ministries of Tourism, Health and Labor) so that they are actively involved in - and validate - the recommended standards. 

European customers will be able to check on a dedicated Bureau Veritas website, before they book their next stay whether any hotel or restaurant has been certified or not by Bureau Veritas.

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Hospitality Industry United for “Buy One, Give One” Campaign to Jumpstart Travel, Support Hotels and Provide Thank You to Healthcare Workers

To help Jumpstart Leisure Travel, the hospitality industry has united to launch Buy One, Give One, a "vacay layaway" program designed to generate immediate revenue for hotels, while simultaneously providing a "thank you" to healthcare workers who have been tirelessly working on the front lines.

Available at BuyOneGiveOneStay.com through June 30, the initiative incentives consumers to purchase future travel now with special offers ranging from discounted stays to gift cards to loyalty points for redemption prior to travel.

In return, participating hospitality brands/hotels will donate room nights, gift cards, or loyalty points to organizations, including the American Nurses Association and NewYork-Presbyterian, among others of their choice, to distribute to medical professionals who can use them toward future leisure stays.

 MMGY Global, the largest integrated marketing company specializing in the travel, tourism, and hospitality industry, and the Hospitality Sales & Marketing Association International (HSMAI) partnered to launch the effort.

Hospitality has been one of the industries most impacted by the coronavirus pandemic with 70% of hotel employees laid off or furloughed and eight in 10 hotel rooms empty, according to data released by the American Hotel & Lodging Association (AHLA).

From the comfort of their homes, travelers can explore enticing offers from more than 30 participating hospitality brands and hotels and counting. They can also take comfort in knowing that their purchases will result in meaningful donations by the participants.

"In these unprecedented times, it is more important than ever for all of us to join together to fuel recovery," said Bob Gilbert, CHME, CHBA, President & CEO of HSMAI. "With Buy One, Give One, we offer a collective charitable response to the pandemic across the hospitality industry, providing immediate funds to hotels in addition to a much-deserved respite in the future for those who have put their lives on the line to care for the sick."

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HOSPA opens up educational courses to help furloughed hospitality colleagues

HOSPA, the Hospitality Professionals Association, has opened up its educational courses, welcoming a fresh intake of learners and waiving the usual twice annual registration process in a move that will enable furloughed colleagues to learn and enhance their hospitality careers during lockdown

Learners can only enrol on HOSPA courses in March and August

Course tutors, who deliver online learning, are ready to receive applicants with revised coursework timetables, while HOSPA, which usually requires course payments up front, is allowing those on furlough to pay in instalments.

HOSPA offers a variety of educational courses across finance and revenue management; courses which furnish participants with the relevant tools to excel in their hospitality careers

As part of enrolment, applicants get access to a wealth of online learning with over 5,000 titles in HOSPA's online journal entries, along with guides to various aspects of hospitality learning. The courses start from £820+VAT.

Jane Pendlebury, CEO of HOSPA, said: "Hospitality is going through an incredibly tough time at present, with many colleagues currently furloughed. Usually, with our HOSPA courses, applicants are juggling coursework with their day job.

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Centara Hotels & Resorts launches ‘Help the Heroes’ campaign with donations to support healthcare workers and communities in need

Bangkok, Thailand - Centara Hotels & Resorts, Thailand's leading hotel operator, has launched 'Help the Heroes', a campaign aimed at supporting those in need during COVID-19, with donations going to the Chaipattana COVID-19 Aid Fund (and other pandemics) and Thai Red Cross Society.

'Help the Heroes' is an initiative designed to directly benefit health workers and vulnerable communities impacted by COVID-19. When a consumer buys a Centara cash voucher for a future escape, Centara will add a further 50% value to the purchase. Half will go to the buyer, with the value of the voucher being increased by 25% to help them get more out of their next adventure, when it is safe to travel again. And the other half will be made as a donation to those in need, with the customer able to choose which of the two charities Centara donates to.

Both selected charities support the fight against COVID-19. The Chaipattana COVID-19 Aid Fund (and other pandemics) provides support for under-resourced hospitals with items such as personal protective equipment and other essential medical supplies. The Red Cross Society provides medical supplies to hospitals and masks to the most vulnerable people.

To help Thailand's heroes, people can visit the company's website and buy Centara cash vouchers. Valid from now until 31 October 2021 and with a value starting at THB1,000, the vouchers can be redeemed for hotel stays or spending in the hotel whilst staying at any Centara Hotels & Resorts' properties in Thailand and overseas.

The company is also providing complimentary hotel accommodation and meals to healthcare workers while flagship property

Has hosted doctors, nurses and other healthcare staff from the Police Hospital since 1st April 2020. The company is also poised to launch a social media campaign to thank the healthcare heroes from Thailand and around the world.

Centara Hotels & Resorts supports social distancing and the Thai government and global initiatives to stay at home. The company also recently introduced a high-quality delivery service to take food to people's homes during the crisis.

In addition, thermal scanners check the temperature of guests and visitors; those with high fever or other symptoms may undergo additional screening. When checking in, all hotel guests are also asked to fill out a questionnaire enquiring about their prior trips.

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Exclusive Interview | Shalabh Verma, General Manager, HYATT PLACE HAMPI

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Editor: Tell us about your journey. How did it all start?

SV: The journey has been very interesting, it started way back in 1996 when I joined the Institute of Advance Management, Kolkata for doing my Hotel Management. In 1999 post passing out did not have a job at hand for close to 03 months post which I started as a Asst Steward with a stand-alone restaurant in Kala Ghoda (Mumbai). Got my first break in Sales & Marketing after a period of 09 months at Hotel Parle International and then never looked back. Worked with various hotels like Alcon Victor, Intercontinental The Grand, Fariyas, Leela Palaces, Hotels & Resorts and finally joining Hyatt in Aug 2008 as Director of Sales for Park Hyatt Goa Resort & Spa. Post which I moved as Director of Sales & Marketing to Hyatt Regency Kolkata followed by Park Hyatt Chennai and then Grand Hyatt Mumbai before moving as General Manager to Hyatt Place Hampi

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'Hilton CleanStay with Lysol Protection' to Launch June 2020

Hilton announced a new program to deliver a standard of cleanliness and disinfection in Hilton properties around the world. In a first for the hospitality business, Hilton will collaborate with RB, maker of Lysol and Dettol, and consult with Mayo Clinic to develop elevated processes and Team Member training to help Hilton guests enjoy an even cleaner and safer stay from check-in to check-out

Hilton CleanStay with Lysol protection, as the program will be called in North America, will be a rigorous system that incorporates RB’s trusted know-how and scientific approach to cleaning practices and product offerings. Experts from Mayo Clinic’s Infection Prevention and Control team will advise and assist in enhancing Hilton’s cleaning and disinfection protocols.

 The goal of Hilton CleanStay is to provide guests with assurance and peace of mind when they stay at any of Hilton’s more than 6,100 properties representing 18 brands

Hilton CleanStay was developed to meet evolving consumer expectations during the COVID-19 pandemic. Research indicates that consumers have heightened concerns regarding hygiene on their journey, and trust in cleanliness standards will be critical to restarting travel

RB will bring key talent and Lysol experts in hygiene and disinfection to the multi-year partnership, leveraging over 130 years of science-based research and thought leadership to support awareness, training and education, and product delivery and systems. RB and Hilton are also exploring opportunities to expand the program into a global partnership.

While full details for the program are still in development and expected to be announced soon, hotel brand standards under consideration include:

  • Hilton CleanStay Room Seal: Add an extra measure of assurance by placing a room seal on doors to indicate to guests that their room has not been accessed since being thoroughly cleaned.

  • 10 High-Touch, Deep Clean Areas: Extra disinfection of the most frequently touched guests room areas – light switches, door handles, TV remotes, thermostats and more.

  • De-clutter Paper Amenities: Remove pen, paper and guest directory; supplement with digital or available upon request.

  • Focus on Fitness Centers: Improved guidelines for disinfecting the hotel Fitness Center, possibly closing for cleaning multiple times daily and limiting the number of guests allowed in at one time.

  • Clean and Clean Again: Increase the frequency of cleaning public areas.

  • Guest-Accessible Disinfecting Wipes: Provide stations at primary entrances and key high traffic areas, for instance, a station to allow guests to wipe the elevator button before pressing.

  • Contactless Check-In: Hilton will double-down on its award-winning Digital Key technology for guests who desire to have a contactless arrival experience. Guests can check-in, choose their room, access their room with a digital room key and check-out using their mobile devices through the Hilton Honors mobile app at participating hotels. Hilton will continue to expand its Digital Key capabilities to common doors and access points throughout the hotels.

  • Innovative Disinfection Technologies: Hilton is exploring the addition of new technologies, like electrostatic sprayers – which use an electrostatically charged disinfecting mist – and ultraviolet light to sanitize surfaces and objects.

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