News Briefs

  • 6/20/2023

    NYU SPS Jonathan M. Tisch Center of Hospitality and Ernst & Young LLP Present Findings from Their 2023 Hospitality Executive Financial Survey

    NYU Tisch Center for Hospitality logo

     At this month’s 45th Annual NYU International Hospitality Industry Investment Conference, NYU School of Professional Studies Jonathan M. Tisch Center of Hospitality and Ernst & Young LLP (EY US) presented findings from the NYU and EY 2023 Hospitality Executive Financial Survey. The NYU SPS Tisch Center and EY US gleaned responses from chief financial officers at 30 leading travel and hospitality companies for the survey.

     

    “Our work with EY US on this year’s survey shows that while the hotel industry has been nimble in reacting to outside pressures to get its financial performance back on track, more challenges lie ahead, and the industry will need even more creativity to continue its recovery post-pandemic,” said Bruno Eeckels, clinical associate professor and academic director at the NYU SPS Tisch Center and contributor to the report. “The three top concerns for hospitality CFOs and senior management include interest rates, the looming recession fears, and the state of the hospitality labor market.”

     

    Sean Hennessey, associate professor at the NYU SPS Tisch Center of Hospitality and a contributor to the report, added, “Although recessionary fears and unfavorable interest rates may dampen transaction activity, survey respondents remained confident that the improving operational trends will sustain the lodging sector’s trend of profit improvement.”

     

    “Working alongside NYU SPS has helped us better understand where the hospitality industry is experiencing friction,” said Umar Riaz, EY Americas Real Estate, Hospitality & Construction Consulting Leader and EY Americas Hospitality Sector Leader. “Recognizing that pent-up demand is still a major factor in play for consumers — despite hurdles like an economic downturn and inflation — hospitality CFOs finding solutions to their problems today will be worthwhile long term.”

     

    Survey Highlights

    The NYU and EY 2023 Hospitality Executive Financial Survey was created to gauge the perspectives of leading hospitality CFOs on the industry’s outlook, key growth drivers, and challenges and opportunities for industry stakeholders. Here are some survey highlights:

     

    • Top-line performance: While consumers confront higher average daily rates (ADRs) and even fewer amenities that now come at a price, there still seems to be a steadily growing pent-up demand for travel:
    • Nearly half of hotel CFOs expect the key driver of revenue per available room (RevPAR) growth in 2023 to be a combination of ADR and occupancy.
    • The top three factors driving RevPAR performance in 2023 are:
    1. Leisure travel
    2. Group travel
    3. Business travel
    • Operational: Even though revenue per available room recovery exceeds expectations, labor shortages still create challenges for hotels. The industry is adapting to meet challenges by adjusting amenities, outsourcing more and increasing reliance on technology.
    • Top two industry trends causing the most strain on hotel net operating income:
    1. Labor shortage
    2. Interest rates/financing
    • Tactics that companies are implementing to mitigate the impact of challenges:
    • 35% of respondents say they are raising pay to attract talent.
    • 20% of respondents say they are going to have a greater reliance on technology.
    • 20% of respondents say they are going to adjust the amenities offered to customers.
    • Brand standards:
    • 100% of respondents say they will reinstitute all brand standards, including requirements to complete deferred CapEx, by 2025.
    • Transactions and capital markets: Hotel transaction activity is forecast to slow down in 2023 due to inflationary impacts and the rising cost of debt due to interest rate increases. In addition to making deals more expensive, rising interest rates could boost pricing expectations for sellers, potentially putting deals out of reach for prospective buyers:
    • Nearly two-thirds (63%) of survey respondents expect hotel transaction volume (number of transactions) to be below 2022 sales volume, 23% expect it to be at 2022 levels and 13% anticipate it to be above last year’s volume.
    • Top three factors impacting transactions in 2023:
    1. Interest rates
    2. Valuations/pricing expectations
    3. Ability to secure financing
    • Two-thirds (66%) of respondents said they expect limited hospitality platform or entity transaction activity due to interest rates and economic factors in 2023.

     

    View the complete NYU SPS Tisch Center/EY Survey Results

  • 6/1/2023

    Tim Hortons Expands EV Charging Stations

    EV charging

    For electric vehicle owners in British Columbia, Tim Hortons is now fueling road trips in more ways than one.  The company has announced the expansion of its electric vehicle charging station pilot launched earlier this year in Oakville, Ontario, by unveiling six new charging stations at restaurants throughout  British Columbia.

    Tim Hortons announced the pilot in February in an effort to study the technology, its usage and opportunities.

    "We have been thrilled with the results of the pilot so far.  Usage of the charging station in Oakville has surpassed our expectations and we received many calls with requests to expand the pilot," said Paulo Ferreira, Senior Director, International Strategic Restaurant Design and Building Standards, Tim Hortons. "With more than 3,300 eligible restaurants across the country, we continue to look for opportunities to expand the pilot and contribute to the EV infrastructure."

    The BC expansion, supported by the Province of BC's Community Charging Infrastructure Fund and Koben Systems Inc. (KSI), placed charging stations strategically in Nanaimo, Langford, North Vancouver, Burnaby, Abbotsford and Coquitlam to create paths within the province, allowing guests to travel from restaurant to restaurant strictly on electric power.

    Tim Hortons offers charging stations as a courtesy to guests at six locations.  As of March 31st, 2013, Tim Hortons had 4,288 system-wide restaurants, including 3,453 in Canada, 808 in the United States and 27 in the Gulf Cooperation Council. 

  • 6/20/2023

    Josh Kern Named CEO of SPB Hospitality

    Krystal logo

    SPB Hospitality announced today the appointment of Josh Kern as Chief Executive Officer. He was named interim CEO in August of 2022. SPB Hospitality encompasses a wide array of brands in the casual, fast casual, quick service and fine dining categories, as well as bars and breweries. 

    Kern steered the company’s merger with Krystal, the original quick-service slider concept in the south. Furthermore, he has blended the companies while streamlining costs and launched the first major refranchising effort for the Krystal brand.

    “By fostering an environment that encourages collaboration and open communication, we can leverage the collective expertise and diverse perspectives within our organization to achieve extraordinary results,” Kern said in an open letter to employees and franchisees, thanking them for their continued belief in his leadership. “I am truly honored and excited to lead this incredible team and look forward to a future filled with limitless possibilities.”

    Kern noted that his people-first vision for SPB Hospitality remains centered on three core principles: collaboration, innovation and customer-centricity.

    Kern joined SPB Hospitality in 2018 as Chief Marketing Officer before taking on the President of Concepts role, overseeing marketing, culinary, beverage, supply chain and information technology. Kern’s other restaurant experience includes serving as Chief Marketing Officer for Cerca Trova Restaurant Concepts (largest Outback Franchise system), Chief Marketing Officer for Smashburger and Vice President of Marketing for Quiznos.

    To learn more about SPB Hospitality’s brands and locations, visit www.spbhospitality.com.

  • 6/20/2023

    Clootrack Analysis Reveals Hotel Guests’ Biggest Concerns

    man sitting in a hotel lobby

    Clootrack, an intelligent customer experience analytics platform, has released an extensive study analyzing 35k customer reviews of 29 leading four-star and five-star US hotels.

    According to the study, the biggest concern for hotel guests is the pricing and the possibility of hidden charges. The study found that many hotel guests are concerned that they may be charged for things they did not use or want, leading to frustration and dissatisfaction. These hidden charges can include fees for in-room amenities, additional services, and even taxes and resort fees.

    The study highlights the importance of transparent pricing practices and clear communication about fees and charges. Hoteliers can benefit greatly from addressing these concerns and ensuring their pricing policies are fair and transparent, providing a more positive guest experience.

    Parking is also highlighted as a significant source of frustration for hotel guests in the study. The key concerns that US hotel guests have regarding parking include a shortage of spaces, vehicles parked in non-designated areas, high parking fees, difficulty finding a parking spot, and inadequate instructions upon check-in. Guests have also reported being unable to drop off their luggage at the lobby due to parked cars and have criticized the high prices for street parking. Interestingly, parking was a bigger concern for guests in four-star hotels than those in five-star properties.

    Clootrack's analysis revealed that hotels in different US cities have varying guest experiences. Hotels in New York and San Diego scored lower for staff behavior and cleanliness than those in Boston, Chicago, and San Francisco.

    The study delved into the experiences of popular customer profiles and found some interesting trends. According to the study, group customers are more satisfied with hotel services than other customer profiles. In fact, they were found to be more optimistic about food standards and restaurant service than other customers. Interestingly, the study also found that a "good breakfast" influenced group customers the most compared to other profiles.

    Clootrack's study provides valuable insights into the preferences and trends shaping the US hospitality industry. The report concludes that maintaining pricing transparency, attention to detail throughout the guest experience, and implementing best practices from other high-performing hotels are vital for delivering exceptional customer experiences.

    Hotels mentioned by customers in the Clootrack study include Hilton, Hyatt Regency, Paris Las Vegas, Omni, Rio, Hyatt Grand, InterContinental, Marriott Marquis, Sheraton, Loews, Crowne Plaza, Hotel Indigo, Royal Sonesta, DoubleTree, Marriott, Four Seasons, The Ritz-Carlton, Pendry, The Westin, JW Marriott, Hyatt Centric, The Langham, Renaissance, Sonesta ES Suites, Harrah's Sonesta, Thompson, Conard, and W Miami.

    For more information, visit: https://www.clootrack.com/insights/travel-hospitality/insights-report-of-us-hotels

    These insights were the topics of a discussion in the https://www.youtube.com/watch?v=I4gTqyc1iLQ  hosted by Dan Gingiss, an international CX keynote speaker.

     

  • 6/20/2023

    Curator Hotel & Resort Collection Selects Oaky as a Preferred Upselling Tool for Member Properties

    oaky and curator hotels logos

    Oaky, the hyper-personalized hotel upselling solution, is pleased to announce its collaboration with Curator Hotel & Resort Collection, a vibrant and expanding collection of 90+ fiercely independent small brands, lifestyle hotels, and resorts spread across the United States. By coming together, Curator members can maintain the distinct identity of each property while harnessing the power of scale.

    Curator Hotel & Resort Collection, renowned for its quality and variety of independent hotels, embarked on a meticulous selection process to identify a partner that could meet their rigorous criteria for automation, innovation, integration, and overall excellence. Oaky's unwavering commitment to these values and its proven track record as the top hotel upselling software, as recognized by Hotel Tech Report for 6 years in a row, made it a stand-out in the competitive landscape. Continuous innovation such as the integration with leading RMS provider Duetto - also a preferred vendor for Curator- was also a deciding factor. In this collaboration, Curator Hotel & Resort Collection will recommend Oaky as a preferred upselling tool for their members.

    "We are honored to have been chosen by Curator Hotel & Resort Collection," said Erik Tengen, co-founder and CEO at Oaky. "Having been vetted as a preferred upsell software demonstrates the trust Curator has placed in us to deliver outstanding guest experiences while maximizing operational efficiency. We are proud to be part of Curator's vision for curating hotels, curating unique experiences, and now curating a cutting-edge tech stack."

     “Curator is focused on providing our members with the most innovative tech solutions and operational opportunities to grow revenue and service their guests,” said Brent Hayhurst, Director of Program Development at Curator.  “Oaky has proven to be a prominent player in the upsell solution category.  Solution enhancements such as the integration with revenue management systems, like Duetto, and the recent launch of a front desk upsell product is expected to add incremental value to member hotels that choose to adopt Oaky as part of their guest journey.”

    Furthermore, Oaky's strategic alliance with Curator opens up new avenues for business growth, particularly in the United States market. With a strong network that includes renowned industry players such as Sage Hospitality Group, Davidson Hospitality Group, Pebblebrook Hotel Trust, and other esteemed partners, Curator Hotel & Resort Collection is well-positioned to amplify the exposure and visibility of Oaky to independent hotels across the United States.

    As a testament to the mutual benefits of this alliance, Oaky and Curator have formed a preferred agreement that provides substantial cost savings for member properties when they opt in for the comprehensive solutions offered by Oaky.

  • 6/20/2023

    Nomadix Introduces its Next Generation Nomadix Cloud

    nomadix cloud

    Nomadix® Inc​., bringing connected experiences to life, today announced the next generation of its Nomadix Cloud platform, giving partners and property managers more visibility and management capabilities for their Nomadix solutions. The expanded Nomadix Cloud leverages a “better together” approach, whereby users can view their entire fleet of Nomadix equipment and solutions across all of their properties, via a single pane of glass. It offers increased intelligence, management and monitoring capabilities, as well as improved functionality to not only understand the health of the network but also take proactive measures to ensure that solutions have the latest software releases, firmware upgrades and license updates. 

    The next generation Nomadix Cloud is in response to the addition of several new solutions brought to market by the company in the last 12-18 months. To provide property managers and managed service providers a full picture on one centralized platform for their entire technology estate, Nomadix Cloud encompasses internet gateways, Nomadix Networks (wireless access points, controllers, and switches), Cloud Telephony, PMS integration, TV Casting, Nomadix Passpoint, Angie e-concierge and Nomadix Alerts. Nomadix Cloud provides an organized management view and APIs to make support and development more cost-effective for partners and property managers. 

    “As Nomadix brings connected experiences to life across industries such as hospitality and multi-tenant communities, we are focused on creating reliable technology solutions and tools to increase value and reduce support costs for partners and customers,” said David Hulse, chief technical officer for cloud products at Nomadix. “Our ‘better together’ approach for the next generation of the Nomadix Cloud will become an essential management component for service providers to help them effectively support one to thousands of properties and technology assets around the globe.”

    The Nomadix Cloud also includes new features:

    • Single Sign On: Easily log into products in the Nomadix portfolio through the Nomadix Cloud.
    • License Management: See the status of licenses across the whole fleet of Nomadix products so properties or groups of properties can always ensure everything is up to date.
    • Gateway status: View the current connectivity status, firmware version and feature licensing for each gateway in the fleet.
    • Gateway backup to the cloud: Back up the gateway flash file system securely to the cloud on a regular schedule or as required.
    • APIs: For service providers and properties working with technology outside of Nomadix, APIs can connect those products, creating overarching control over all property technology. 

    For more information and live demonstrations, visit booth #419 at The Hospitality Show in Las Vegas and booth #231 at HITEC Toronto.

  • Show MoreShow More
X
This ad will auto-close in 10 seconds