News Briefs
- 7/24/2024
Retail Vet Joins Zaxbys as CDO
Chris Kung has joined Zaxby's as its new Chief Digital Officer. He will lead the transformation and acceleration of the company's Loyalty and e-Commerce initiatives.
"Zaxbys rapid expansion requires the investment of world-class leaders and resources," said Bernard Acoca, Zaxbys CEO. "Chris's expertise in e-Commerce and loyalty programs will help drive incremental growth and enhance the Zaxbys experience as digital touchpoints continue to proliferate throughout the customer journey. His arrival will help us build stronger relationships with our guests by deepening our understanding of their needs and rewarding their patronage with personalized experiences."
Growing Loyalty
Kung brings over 20 years of innovation and strategy experience to Zaxbys and most recently served as Chief Digital Officer at Dollar General, where he led initiatives that transformed the company into a digital innovator. Kung played a central role in creating the myDG loyalty program. Under his leadership, the company's e-Commerce sales grew 40x in three years, app usage surged from 1.8 million to 7 million monthly active users, and the DG App earned the distinction of the #1 couponing app in America.
Prior to Dollar General, Kung held key leadership positions at Macy's Inc., where he drove omnichannel technology and innovation.
Zaxbys is establishing a new Loyalty & e-Commerce Team, which will report to Kung. This new team will spearhead efforts to make Loyalty and e-Commerce significant contributors to its growth. The creation of the Chief Digital Officer role will open capacity and drive focus for Mike Nettles, Chief Technology Officer, and Patrick Schwing, Chief Marketing and Strategy Officer, who both previously oversaw a portion of this role.
- 8/14/2024
Meet Chick-fil-A's New President
Susannah Frost has been named President of Chick-fil-A, Inc., effective Oct. 1.
She will be the sixth person to hold the leadership role since the company’s founding in 1967.
“Susannah has demonstrated tremendous leadership throughout the business and has the range of expertise that will help the company continue growing with care and confidence,” said Chief Executive Officer, Andrew T. Cathy and grandson of founder Truett Cathy. “Having served as the CEO for three years, the timing is right to expand our leadership capabilities to include a president who will work closely with me and our executive committee to steward our domestic and global expansion.”
Executives on the Move
Frost's move to president marks a notable week of restaurant executives on the move. Brian Niccol is leaving his top post at Chipotle to lead Starbucks. Laxman Narasimhan stepped down as CEO and as a director of Starbucks effective immediately.
As CEO, Frost will continue to focus on the overall strategic direction for the enterprise and culture while Frost, as President, will focus on providing strategic clarity and alignment in the core business so that Chick-fil-A can sustain healthy growth and maintain market leadership. She will also lead the Executive Committee. Frost currently leads Restaurant Development and Field Operations for Chick-fil-A, Inc. overseeing the company’s real estate portfolio and leading field operations for more than 3,000 restaurants domestically.
In related news, Cliff Robinson is being named Chick-fil-A's Chief Operating Officer (COO). Robinson currently serves as Chief People Officer and his responsibilities will expand to include leading Field Operations and Restaurant Development. As COO he will continue to ensure talent remains a competitive advantage, while overseeing operations and the company’s continued expansion. Robinson began working at Chick-fil-A at a young age as the son of a Chick-fil-A restaurant Owner-Operator. He joined the company corporate Support Center staff in 1990 and has held increasing roles of responsibility, including various roles leading Field Operations, Restaurant Development and most recently as Chief People Officer.
Robinson will assume his new role Oct. 1. - 8/15/2024
Knowland and Amadeus Report U.S. Group Business Delivers Seven Consecutive Quarters of Growth
Knowland, a provider of data-as-a-service insights on meetings and events for hospitality, and Amadeus, a technology provider for the travel industry, present the metrics from the companies’ Hospitality Group and Business Performance Index (the “Index”). For the second quarter of 2024, the Index shows overall health of 105.5 percent year-over-year (YOY.) This is the first time the overall Index has exceeded 100 percent, reflecting continued industry health across all reported indices. In addition, 22 of the top 25 U.S. markets have achieved 100 percent or more in overall performance compared to the same time in 2023.
- Las Vegas 117.9 Percent
- Seattle 117.6 Percent
- Nashville 114.2 Percent
- Detroit 110.2 Percent
- Houston 108.9 Percent
- Miami 108.2 Percent
- Washington DC 108.0 Percent
- Philadelphia 107.4 Percent
- Tampa 107.0 Percent
- New York City 106.6 Percent
- Dallas 106.2 Percent
- San Francisco 105.9 Percent
- Boston 105.6 Percent
- Phoenix 104.5 Percent
- Denver 104.4 Percent
- Minneapolis 104.3 Percent
- San Diego 103.9 Percent
- Chicago 103.8 Percent
- Atlanta 103.7 Percent
- St. Louis 103.6 Percent
- San Antonio 102.9 Percent
- Austin 102.7 Percent
While these were the top growth markets overall, 21 of the top 25 markets achieved 100 percent or more growth in the Group segment for 2Q2024 compared to the same period last year. This reflects continued growth for seven consecutive quarters. The top Group growth markets were Las Vegas (125.7 percent), Detroit (122.2 percent), and Seattle (117.8 percent).
The Index combines event data from the Knowland platform with hotel booking data from Amadeus’ Demand360® business intelligence solution to provide aggregate views of the key drivers of hotel performance. The aggregated index reflects performance or “health” for all segments – Group, Corporate Negotiated, Global Distribution System (GDS), and Events. It offers filters for event market segments and booking industries, empowering hoteliers, destinations, and convention and visitor bureaus to adapt strategies effectively.
Key insights from the Index are as follows:
- Strong group growth with Northeast and Midwest regions leading the charge. The Group Index has achieved seven consecutive quarters of year-over-year growth, reaching 108 percent. This includes 103.4 percent of last year’s room nights and a 4.4 percent increase in the average daily rate. The Northeast and Midwest regions were standout performers, experiencing double-digit growth in group nights.
- Performance of indirect distribution rallies beyond 2023 levels, leading all segments in growth. The GDS Index scored 112 percent overall, with room night production at 109.1 percent of last year and a 2.4 percent increase in average daily rate (ADR). The most significant growth in GDS room nights booked occurred in the Northeastern region, with New Jersey, Maine, and Rhode Island experiencing more than 25 percent YOY growth.
- Negotiated performance remains stable compared to last year. The Negotiated Index score was 102 percent with 98.5 percent of the 2023 room nights and a 3.8 percent increase in ADR. Eighteen of the top 25 markets achieved 100 percent or more versus the same period last year.
- Event volume is steady as meetings get bigger. Events remained consistent in 2024 compared to 2023. With the reduction of one-day meetings, some of those events have been moved to multi-day events that may be held less frequently. Growth continues in the Top 25 markets, which continue to attract events with their versatility and range of experiences. However, the higher ADR for these markets ($229/night in Q2) may have caused a share of events to transition to non-Top 25 markets, which averaged $185/night in Q2.
- Meetings continue to provide stability for hotels after the 2023 boom year. Average attendee size held steady at 145 guests. Nashville rose to 131.6 percent, Detroit was 120.3 percent, and Miami was 113.7 percent. Eleven of the top 25 markets achieved 100 percent or more for Q2 2024 versus the same period last year. The average space used was consistent with Q1 moving slightly from 3,981 to 4,025 sq. ft.
- The normalization of business segments is evident. The comprehensive health index has demonstrated improvement, rising from 99.9 percent in Q1 2024 to 105.5 in Q2 2024, indicating consistency and robustness across all sectors as organic growth gains prominence.
Go here to download the full report.
By using industry-leading data from the Knowland platform and trusted sales & catering solutions like Amadeus' Delphi®, hoteliers can develop precise, data-driven strategies to boost group sales and efficiently manage the entire process from lead to event execution.
ABOUT THE HOSPITALITY GROUP & BUSINESS PERFORMANCE INDEX METHODOLOGY
The Hospitality Group & Business Performance Index uses a multi-factor weighting system that balances metrics such as group, corporate transient, and GDS room nights with average daily rate (ADR) performance. Each factor is averaged to provide a final index score, ensuring a more accurate overall performance assessment. - 8/15/2024
Like Magic Available on Oracle Cloud Marketplace
Like Magic, an employee and guest experience platform and a member of Oracle PartnerNetwork (OPN), today announced it is available on Oracle Cloud Marketplace and can be deployed on Oracle Cloud Infrastructure (OCI) and integrated with OPERA Cloud via the Oracle Hospitality Integration Platform (OHIP). Oracle Cloud Marketplace is a centralized repository of enterprise applications offered by Oracle and Oracle partners.The collaboration means that hoteliers using OPERA Cloud can now sync with Like Magic’s platform, which brings a booking engine, guest platform, employee interface and monitoring tools all into one place–creating a center of operations for hotel management. This unlocks a completely digital guest journey for guests if they prefer.With this integration, customers can leverage new advancements in service optimization software to significantly improve operational efficiency while simultaneously elevating the guest experience with self-service functionalities, enabling guests to carry out a range of actions without staff assistance. These range from checking in, ordering food, requesting additional linen or pillows, and creating keyless room passes – requiring only a smartphone.Like Magic’s integration with OPERA Cloud also includes an employee platform that allows staff to perform 80% of their daily tasks from one single system. The platform enables staff to run operations using a traffic light system of notifications and recommended actions, making the whole process of customer service and property management much more automated.Oracle Cloud Marketplace is a one-stop shop for Oracle customers seeking trusted business applications and services offering unique solutions, including ones that extend Oracle Fusion Cloud Applications.OCI is a deep and broad platform of cloud infrastructure services that enables customers to build and run a wide range of applications in a scalable, secure, highly available, and high-performance environment. From application development and business analytics to data management, integration, security, AI, and infrastructure services including Kubernetes and VMware, OCI delivers comprehensive security, performance, and cost savings. In addition, with multicloud, hybrid cloud, public cloud, and dedicated cloud options, OCI’s distributed cloud offers customers the benefits of cloud with greater control over data residency, locality, and authority, even across multiple clouds. As a result, customers can bring enterprise workloads to the cloud quickly and efficiently while addressing the strictest regulatory compliance requirements.“By combining Like Magic's innovative guest and employee experience tools with Oracle's powerhouse property management software, we are poised to deliver efficiency, service quality and satisfaction for both guests and hotel staff. Like Magic’s participation in Oracle Cloud Marketplace further extends our commitment to the Oracle community and enables customers to easily reap the benefits of our technology. We look forward to leveraging the power of OCI to help us achieve our business goals,” said Markus Feller, CEO of Like Magic. - 8/15/2024
Otelier, Stayntouch Partner to Enhance Data Access for Hoteliers
Otelier, the hospitality performance optimization platform that puts data and efficiency at the heart of hotel operations, announces a new integration with Stayntouch, a global leader in cloud hotel property management systems (PMS) and guest-centric technology. Through the integration, hoteliers can access detailed reservations, guest and financial transaction data from Stayntouch into IntelliSight, Otelier’s business intelligence software.
Integrating with Stayntouch PMS allows Otelier to aggregate property-level data to empower companies with the insights and efficiencies they need to get back to delivering exceptional hospitality. In IntelliSight, Otelier’s business intelligence software, Stayntouch customers can normalize data from systems across their entire property and portfolio, providing leadership across all departments with the analytics they need to make more informed decisions.
“Our customers rely on Otelier integrations with leading industry partners to ensure their data is timely and accurate,” said Vic Chynoweth, CEO of Otelier. “Stayntouch’s modern approach to cloud-based property management software is in high demand, and they will be a valuable partner as we continue to extend data elements into the Otelier platform and deliver actionable insights to our customers.”
Stayntouch’s cloud PMS solution provides a flexible platform to deliver a digital welcome experience for guests, as well as an intuitive and mobile user interface to streamline operations and allow staff to engage guests anywhere on property.
“Otelier and Stayntouch are aligned on a goal to provide hoteliers with easy access to the data they need to make smarter business decisions,” said Reid Webster, Stayntouch’s VP of Partnerships & Strategic Growth. “Our full-featured cloud PMS empowers hoteliers to stay ahead of market trends and respond to changes from anywhere with internet access. Through this integration, hotels can overlay their critical PMS data from each property with additional data sources to build strategies that drive both revenue and profits.”
Otelier optimizes performance for hotel owners and operators by harnessing data, easing decision-making, and automating the mundane to release hoteliers back into hospitality. The Otelier product suite comprises:
- DigiAudit: A night audit compliance software that allows hoteliers to centralize and store nightly reports, automate signature workflows, and stay in audit compliance while reducing operating expenses.
- TruePlan: A budgeting and forecasting software that allows hoteliers to simplify and streamline budgeting processes and forecast with confidence.
- IntelliSight: A business intelligence software that allows hoteliers to aggregate cross-functional data for powerful analysis and insights.
- DigiPay: An accounts payable automation software that moves supplier payment workflows into a digital environment to manage, verify, authorize, and pay invoices.
- Rec: An automated financial reconciliation software to automatically detect accounting discrepancies for bank and OTA reconciliations and income audit journaling.
- 8/13/2024
Flybuy's Newest Tech Prevents Pickup Location Mistakes
Flybuy unveiled its "Course Correct" solution to prevent pickup mistakes. Flybuy’s Course Correct detects when an order-ahead customer or delivery driver is heading to or arriving at the wrong pickup location and offers a friendly redirection message to guide them to the correct pickup address. The Course Correct notification helps ensure customer satisfaction, minimizes the need for costly remakes or refunds and eliminates staff confusion.
Flybuy’s flagship product, Flybuy Pickup, enhances the pickup experience for some of the world’s largest restaurants, grocers, and retailers using precise AI-powered ETAs to determine the location of incoming customers to deliver a seamless order handoff. However, surprisingly, over 1% of customers arrive at the wrong location to pick up their food orders. For many brands, this can result in millions of dollars wasted annually, in addition to causing frustration for both customers and staff. Given that 89% of consumers are likely to make repeat purchases only after a positive experience, these mishaps not only incur costs for remaking or refunding orders but also risk losing future repeat business.
'Eye-Opening' Number of Mistakes
“It was eye-opening to see how often order-ahead customers were going to the wrong location to pick up their order,” said Five Guys, VP of Digital Strategy, Steve Teller. “When this happens, customers are frustrated, staff is confused, and we usually end up having to remake the order and throw an order away at the correct pickup location. With Course Correct, our customers are getting notified before they are frustrated and before the staff is disrupted, which yields a much better experience for everyone.
Course Correct allows restaurants to proactively address the challenge of customers arriving at the wrong pickup location without the need for operational changes, thereby delivering a frictionless and satisfying experience for customers and staff. On average, restaurant brands that have already been using Course Correct have reduced their wrong location errors by over 50%, leading to substantial reductions in refunds and saving hundreds of thousands to millions of dollars, depending on the brand.
"We quickly realized how important it is for businesses to be able to proactively address customer needs before they even notice a mistake, thereby providing exceptional service," said SVP of Product at Flybuy, Alonso Vargas. "We understand the significant impact customer loyalty has on profitability, and Course Correct is an invaluable tool to drive repeat business and boost profits for our partner brands.”