First Quarter 2010 Report-Default, Up 10.4% from Q4 2009

First Quarter 2010 Report Shows 106 San Francisco Bay Area Hotels
in Default, Up 10.4% from Q4 2009

By George Avalos, Contra Costa Times, Walnut Creek, Calif.McClatchy-Tribune Regional News Apr. 13, 2010--More than 100 hotels in the Bay Area are now suffering from problem mortgages, according to a new report that sketches ongoing woes for the lodging industry.

Keys to Success - A Fresh Look at the 4 Ps of Marketing or An Unlikely Salute to Collin Raye

Hotel Online 

News for the Hospitality Executive

Keys to Success - A Fresh Look at the 4 Ps of Marketing or An Unlikely Salute to Collin Raye

by Dr. John Hogan, March 22, 2010 Readers of my writing over the years have likely noted my consistent message about the need to keep the balance between “high tech” and “high touch” in the hospitality industry. If we make too many guest interactions function on automated systems, we will run the danger of changing from an industry known for its service and unique hospitality to one that has little distinction other than price
For years now, businesses globally have recognized and used a fundamental approach in marketing, called The Marketing Mix model. Informally labeled “the 4 P’s”, they were included in business and hotel school classes beginning a generation or more ago and remain in use today, although in an evolved fashion as technology has progressed.

U.S. Hotels Should Enjoy Double-digit Revenue Growth by 2012 According to PKF Hospitality Research

Hotel Online  
News for the Hospitality Executive 
U.S. Hotels Should Enjoy Double-digit Revenue Growth

by 2012 According to PKF Hospitality Research

ATLANTA, Ga., March 22, 2010 – PKF Hospitality Research (PKF-HR) today announced that, according to the March 2010 edition of Hotel Horizons®, U.S. hotels should enjoy double-digit revenue growth by 2012.   PKF-HR is forecasting hotel rooms revenue to grow 10.5 percent on a per-available-room basis (RevPAR) in 2012.  “The U.S. lodging industry has not seen double-digit growth in RevPAR since the inflationary days of the late 1970s and early 1980s,” said R. Mark Woodworth, president of PKF Hospitality Research.  “The strong growth in RevPAR is driven by Moody’s Economy.com’s forecasts for income and employment.  In 2012, Moody’s is projecting income to grow at a 4.4 percent pace, something we have not seen since 2006.  In addition, the 3.2 percent forecast growth for employment that year is an all-time high since 1988.”

Maximizing Labor Productivity

 Hotel Online
News for the Hospitality Executive
Maximizing Labor Productivity

By Paul West, April 2010 It may be that the current economic situation will not change as quickly as one would hope, particularly for the hospitality industry. In fact, it could be more necessary than ever to continue adjusting expenses to account for the continued change in revenues. More importantly in an industry where labor is the biggest operating expense, the challenges are still greater than in other industries as productivity is tied more conspicuously to quality of service and consequently, to overall guest satisfaction.

Certainly, while operators continue to adjust rates and struggle with business, one thing that remains is that the labor expense is still the single largest operating expense for hotels and hotel companies. Consequently, with changes in one there should be reciprocally appropriate changes in the other. More simply stated, companies simply cannot continue to operate with the same labor expenses for what should be a longer than expected time period of decreased revenues. 

Sales Leadership Tips for Hotel Managers

Hotel Online
News for the Hospitality Executive
Sales Leadership Tips for Hotel Managers

By Daniel Edward Craig, April 6, 2010

In the battle for market share, hotel managers with a background in sales have a distinct advantage. For managers who worked their way up through other departments, keeping the sales team productive and motivated can be a daunting task. Here are a few tips for ensuring your property is sales driven from the top down.

Be an advocate. Years ago, when I transferred to sales from the front desk, I became “one of them”: prancing around in designer suits and swilling cocktails with “clients” in the hotel lounge. If I wasn’t harassing my long-suffering colleagues on the front desk for last-minute showrooms, I was tossing around upgrades like confetti at an Italian wedding.