Attracting - BC Hotel Association
Transcription
Attracting - BC Hotel Association
BC Hotel Association Attracting GenY Guests > DIGITAL Marketing & Distribution Trends PM40026059 PM40026059 > BUDGETING Best Practices Fall 2012 Simmons Beautyrest . Preferred by 16 of the world’s top 20 hotel companies. © 2012 Simmons Canada Inc. All rights reserved. Source: Hotel Business Green Book, “Top 20 Hotels Based on Rooms,” December 2010. ® ® The bed that’s helped millions of hotel guests sleep comfortably since 1925. The Simmons Beautyrest mattress features Do Not Disturb™ Evolution ® ® NON-FLIP Pocketed Coil technology, providing the unique comfort ® and superior conformability that tired travelers love. A Beautyrest in ® your hotel room will provide your guests with a good night’s sleep. Simmons — the company that revolutionized hospitality bedding. ® EVOLUTION POCKET COIL Simmons Hospitality Group 2550 Meadowvale Blvd, Unit 1 Mississauga, Ontario L5N 8C2 Toll Free: 1.800.268.0112 Tel: 905.817.9669 Fax: 1.800.269.0960 www.simmonscanada.com/hosp 200-948 Howe Street, Vancouver, BC V6Z 1N9 T 604-681-7164 1-800-663-3153 F 604-681-7649 1-866-220-2032 www.bchotelassociation.com BCHA Board of Directors Vancouver, Coast & Mountains Region Taj Kassam, Sandman Hotel Group, Vancouver Craig Norris-Jones, Coast Hotels & Resorts, Vancouver Ken Svejkosky, Rosellen Suites at Stanley Park, Vancouver David Wetsch, Ramada Limited Downtown Vancouver, Vancouver Ross Dyck, Sylvia Hotel, Vancouver John Sandor, Sutton Place Hotel Vancouver, Vancouver Ian Lowe, Crystal Lodge, Whistler Yannick Simovic, Vancouver Airport Marriot, Richmond John Kearns, Sheraton Vancouver Guildford Hotel, Surrey Leonard Wiens, Comfort Inn Chilliwack, Chilliwack Vancouver Island, Victoria, and Gulf Islands Region Earl Wilde, Victoria Regent Waterfront Hotel & Suites, Victoria Reid James, Hotel Grand Pacific, Victoria Kevin Walker, Oak Bay Beach Hotel & Marine Resort, Victoria Ian Powell, Inn at Laurel Point, Victoria Rick Browning, Best Western Plus The Westerly Hotel, Courtenay Jonathan Cross, Hospitality Inn Hotel, Port Alberni Kurt Pyrch, Best Western Cowichan Valley, Duncan Featured Property Nita Lake Lodge, page 16 Thompson Okanagan Region Gavin Parry, Coast Capri Hotel, Kelowna John Douglas, Nancy Greene’s Cahilty Lodge, Sun Peaks Tim Rodgers, Best Western Plus Kamloops Hotel, Kamloops Don Brogan, Walnut Beach Resort, Osoyoos Ingrid Jarrett, Watermark Beach Resort, Osoyoos David Gibbs, Prestige Hotel & Conference Centre Vernon, Vernon Kootenay Rockies Region Don Lutzak, Elkford Motor Inn, Elkford Cariboo Chilcotin Region Pat Corbett, The Hills Health and Guest Ranch, 100 Mile House Fall 2012 Northern BC Region Steve Smith, Crest Hotel, Prince Rupert Al McCreary, Hudson Bay Lodge, Smithers Sam Mangalji, Inn on the Creek, Dawson Creek Features Columns Attracting GenY Guests 4 President’s Message 10 Digital Marketing & Distribution Trends 5 CEO’s Report 16 Nita Lake Lodge 21 Tourism Indicators 18 Successful Partnering with DMOs 25 BCHA Member Benefits 22 Best Practices in Budgeting 28 Names in the News BCHA Staff 26 Canada: The Place You Thought You Knew 29 BC Hospitality Foundation James Chase, Chief Executive Officer, Vancouver 604-443-4750 Cailey Murphy, Director of Comm. & Bus. Relations, Vancouver 604-443-4751 Louise Thompson, Member Services Coordinator, Vancouver 604-443-4756 30 Five Quick Scripts for Responding to Customer Complaints 29 What’s New? Executive Committee President, David Wetsch, Ramada Limited Downtown, Vancouver Past President, Kurt Pyrch, Best Western Cowichan Valley, Duncan Treasurer, Al McCreary, Hudson Bay Lodge, Smithers Vice President, Jonathan Cross, The Hospitality Inn, Port Alberni Vice President, Ingrid Jarrett, Watermark Beach Resort, Osoyoos Vice President, Gavin Parry, Coast Capri Hotel, Kelowna Vice President, Kevin Walker, Oak Bay Beach Hotel & Marine Resort, Victoria Vice President, Earl Wilde, Victoria Regent Waterfront Hotel & Suites, Victoria 6 Website: www.bchotelassociation.com PUBLICATIONS MAIL AGREEMENT NO. 40026059 RETURN UNDELIVERABLE CANADIAN ADDRESSES TO CIRCULATION DEPT EMC PUBLICATIONS 19073 63 AVENUE SURREY BC V3S 8G7 email: [email protected] InnFocus is published quarterly by EMC Publications - a division of EMC Executive Marketing Consultants Inc. 19073 63 Avenue, Surrey, BC, V3S 8G7 t 604-574-4577 1-800-667-0955 f 604-574-2196 [email protected] www.emcmarketing.com Publisher: Joyce Hayne Design & Layout: Krysta Furioso Copy Editor: Debbie Minke President’s Message by David Wetsch The Importance of Engaging our Local Representatives As we approach the fall season and our local representatives begin to leave the BBQ circuit and head for Victoria and Ottawa, we must again turn to you, our members, for help in delivering our message and ensuring that our interests are being represented by our elected officials. Much of our advocacy efforts as a provincial association depend largely on our ability to effectively deliver our message to the many representatives at each level of government. We are beginning to roll out our fall grassroots campaign and we need to use your voice, the voice of the operator, as our vehicle. The BC Hotel Association and our partners at the Hotel Association of Canada (HAC) maintain a strong lobbying presence, but the real power is in our members. Your knowledge of our sector gives you credibility and weight on issues that affect the hotel sector and broader tourism industry. Members of Parliament (MPs) appreciate insights that are based on their constituents’ real life experience and it is your knowledge and experience that makes you effective as a lobbyist for the lodging industry. Grassroots lobbying occurs when everyday citizens contact their local representatives, MPs, and MLAs to try to influence legislation and policy by informing these representatives of the implications in their local community. Grassroots lobbying is very effective because MPs are hearing directly from their constituents who will be voting the next time they are up for re-election. MPs are often the most interested in issues when they understand the local impact. Grassroots campaigns are your opportunity to be proactive and get involved before new demands on your business and bottom line are signed into law. The BCHA and HAC are calling on all members to meet with their MP to discuss issues of importance to the tourism and hospitality industry. 4 InnFocus How to Meet With Your Local Representatives When preparing to meet with your MP, take some time to review HAC’s background material online at www.hotelassociation.ca/grassroots. HAC has provided a number of resources for you, including a document entitled “The Hotel Lobby” as well as details on HAC’s proposed funding models for the Canadian Tourism Commission, “Driving Tourism Growth”. These documents will provide you with background and speaking notes on two key issues: 1) Funding support for the Canadian Tourism Commission, and 2) Access to workers through the federal Temporary Foreign Worker Program and an increase in the number of certificates provided to Provincial Nominee Programs. Arrange a meeting with your MP to discuss these issues. You may wish to have another hotel manager come with you. Before the meeting, be sure to check HAC’s MP Responsibility list to see if your MP has any other responsibilities, and take some time to think about how these issues affect your business and your employees. Be prepared to discuss these with your MP. Use the meeting as an opportunity to develop a mutual understanding, and offer solutions that are a win for government, business, and Canadians alike. Try to keep your messages short and to the point; delivering your message succinctly while respecting your MP’s time. Once you have briefed your representative on the issues and the impact on their community, your job is done! Do not expect a decision or commitment during the meeting - the purpose is leave the representative with information to take back to Ottawa to use as a reference when examining policy options to determine what best represents the interests of their constituency. When the sector comes together as a team, we can influence many political issues. We appreciate your efforts in assisting our industry to continue with a high degree of creditability in government. CEO’s Report by James Chase Member Communications: Striving for Balance and Value As part of our ongoing strategy to maximize our communications efforts with our members, we will be soliciting feedback on what you value in our strategy to date and on how we can improve the ways we communicate with you. You may have recently seen a survey from us asking for your feedback on our electronic communications and what you view as priorities. We hope that you will take time to fill it out, as it is your feedback that helps us create our communications strategies and membership outreach initiatives. Your feedback is the backbone of our deliberations when deciding the best course of action on behalf of our membership, and it helps ensure that we are delivering services to you that have an inherent value and benefit. In today’s technological age, there is no shortage of information being delivered to your inbox. Through all that noise the BCHA hopes to remain your go-to source for relevant information that is pertinent to the business environment you find yourself operating within. The goal of our member communications, whether it is through our newsletter, this magazine or another avenue, is to provide you with information and resources that benefit you as a BCHA member. We understand that your time is constrained and that it is our role to make sure industry updates that impact your business are delivered to you in a timely manner, while at the same time balancing the volume of communications with the ongoing demands on your time. The primary goal of our current outreach initiative is to discern what types of updates and information you find the most valuable to your operations. Are you interested in our government relations efforts, developments in public policy, cost-saving measures and/ or value added programs and benefits offered by us and our affiliates? We also want to know where to draw the line; tell us if we are communicating too much or too little. We would also like to hear how often you engage with the information and programs/ services we deliver. Do you read InnFocus when it lands on your desk or when it shows up in your inbox via email? How frequently do you browse the headlines of our InnTouch newsletter? Do you follow us on Twitter for daily updates on the sector’s performance and breaking industry news? Let us know if there is something you would like to see covered in these communications that has been missing or if there are particular issues that you would like to see more focus given to. Our office is working full time to develop new programs, reach out to members, develop relationships with government, and administer the host of services that we provide our member base. Maintaining value and benefit to our members is our highest priority. Please let us know how we are doing in communicating these efforts and updates to you. Thank you for taking the time to provide feedback. We will continue to work on your behalf to deliver information that helps you better navigate the BC business landscape as a hotel operator. InnFocus 5 Attracting Gen Y Guests by Chris McBeath As the tidal wave of Baby Boomers heads towards retirement, it is their offspring, the Gen-Yers, 34 years old and younger, who are now turning social mores inside out. Already comprising one third of all hotel guests, this youthful populace represents a tsunami of change. Everything about the Gen-Yer is about instant gratification, WOW factor, the quality of personalized experience, and the integrity of a company’s core values. Understand this concept and at least you’re in the game of unlocking the Gen Y potential. 6 InnFocus Instant Connectivity According to the research company, Media Monitors, 86% of Gen-Yers are online at some point during the day, catching up on the latest news from their favourite news sources, sharing social networks, and reading emails. The first generation to grow up with Mickey Mouse and a computer mouse each holding sway, a virtual world of information has always been at their fingertips. Social networks, global access, and hyper-connectivity are integral to their lifestyle, and they access them all with astonishing dexterity to learn, inform, effect change, and influence peers at lightning speed - often in less than 140 characters. This is the most impatient, advertising-skeptical, buyer-aware public we’ve ever known, and it has left most industries, including the hospitality sector, scrambling to keep up. Get it right, however, and strategically integrate Gen Y’s dependence on technology, and a company can win their loyalty and that of their 500 friends on Facebook. Future Shock With an eye on the horizon, Westcorp Properties was among the earlier hotel operators to start targeting this young, on-the-go consumer. Both its Metterra Hotel, which opened in 2005, and the Matrix Hotel that followed two years later, are geared to Gen Y preferences. Each is centrally located in Edmonton with easy access to social, cultural, and healthy options for recreation and business, and both provide guestrooms that are fully equipped with technology such as HDTV, iPod docking stations, modern coffee brewers, cordless phones, and most importantly, free WiFi. According to the research company Media Monitors, 86% of Gen-Yers are online at some point during the day, catching up on the latest news from their favourite news sources, sharing social networks, and reading emails. “Attracting Gen-Yers isn’t only about location and physical amenities, it’s about how personal you can make the experience,” says Jane Jess, who is the regional director of sales and marketing. “Marketing into their social media frameworks has become an essential component to the sales matrix. This consumer is internationally aware; they know they have a voice, and because they really want to make a difference, it’s equally important to be a company that echoes these values and demonstrates social responsibility.” In his book, High Tech High Touch, Micah Solomon comes across as a 21st century upgrade of Tom Peters, reframing traditional customer service tenets to cater to this new breed of guest. His chapters on social media provide the most food for thought for anyone wishing to connect with the Gen Y demographic. Solomon identifies how Gen Y has grown up to expect anticipatory technological behaviour and aggregated information - instantly - and then layers in examples of a hotel’s new competitive environment. Solomon writes, “…with a few thumb strokes, they can have the information they need served up for them concierge style, based on their IP address or satellite location and other useful clues. Then consider Hipmuck, which lists travel options along with warnings about long lay-overs and other agonies, and shows hotels with precise proximity to your actual destination. And Gogobot where your own Facebook/ Twitter pals have already rated potential trips for you. And of course TripAdvisor, with its user-generated ratings of nearly everything in the world of travel.” InnFocus 7 From a hotelier’s perspective, the reality of this landscape can feel as far removed from high touch as you can get. Ironically, though, Gen-Yers are all about experiences that are less predictable, hotels that are less traditional, and high tech amenities that provide choice. Fast Changing Realities This youth-prevailing attitude is driving hotel design, guest services, booking methods, and marketing at such a rapid pace that harnessing the psyche of Gen Y has become a specialty. In design, look for guestroom layouts where beds face oversized windows; large, flat screen TVs within one-stop connectivity entertainment centres for multiple electronic gadgetry such as PDAs, cell phones, mp3 players and laptops - where guests can watch a movie from their iPad or work on a PowerPoint presentation. Elsewhere, in-the-vibe elements include ever-busier lobbies with conversational, entertainment, and lounge areas alongside a range of self-serve options such as check-in kiosks (no more chest-high counters) as well as hotel apps that sell in-hotel services from spa to food and beverage specials. That same app can even enable Groupon-style, spur-of-the-moment offers to in-house guests. The Burrard Hotel, Vancouver, has been on the fast track ever since it launched its “shabby done chic” Gen Y brand in the summer of 2011. In spite of the physical limitations of an older building, the hotel’s central location and Gen Y specific amenities have created a hot value commodity in Twittersphere. 8 InnFocus “Gen Yers are looking more for a unique destination, and an exciting, central location which they can explore, so the fact that we don’t have a restaurant is of no consequence to them,” explains Dani Pretto, its general manager. “We do, however, offer as many in-room free services as possible. These include WiFi, an espresso machine, branded bottled water, HDTV, movie and sports channels (Gen Y does not “do” Pay for View) and 100% bio-degradable, branded bathroom amenities.” In terms of reaching these guests, The Burrard has created an edgier website, revamped its social media platforms (Blog, Facebook, Twitter and Foursquare), and invested in a separate mobile site so that browsing and booking a room is on-the-go easy. “We’ve had guests making a reservation as they’re walking through the door,” Pretto admits. “But it demonstrates how fast this medium works; lead times are very, very short.” Keeping up with the pace is an art unto itself. Like many hoteliers, Pretto is adding a social marketing specialist to her staff. Operationally, she is pursuing smart check-in services and is working with a provider to have tablets placed in every room. “Although the pads are equipped with GPS trackers in case of loss or theft, we prefer to contract this service rather than take on the financial risk ourselves.” iPad Concierge The Opus Hotels are joining the ranks of several leading chains in providing guests with tablets, placing customized v2 iPads in every guestroom. Each gadget is loaded with favourite apps and weblinks that reflect the personality of one of the hotel’s five virtual Lifestyle Concierges, pointing out their favorite places to shop, dine, exercise, relax, and spa. Every iPad 2 boasts GPS and mobile technology, encouraging guests to wander through Vancouver accompanied by their virtual lifestyle concierge. As new and different options become available, each virtual concierge suggestion will be updated, keeping content fresh and relevant. This move to self-service is very much part of the self-empowered Gen Y profile. Several third-party software developers are now on the scene, geared to helping hotels and airlines digitize their concierge services in a myriad of platforms be they iPhone, BlackBerry or Android systems. The result is high tech touch: hotels are introducing apps to browse hotel amenities and local attractions, order theatre tickets, request wake-up calls, schedule housekeeping, message other guests, and arrange car service. In some instances, the app direct-connect to the kitchen has seen room service orders climb almost 20%. Community Updates Most hotels are still in exploring this brave new world, and while chain brands such as the Starwood Group are focusing on website and iPhone apps to keep patrons brand loyal, it’s still largely left up to individual properties to have their Twitter, Facebook, and YouTube platforms current and fresh. For independent, rural destinations such as the Rockwater Secret Cove Resort on the Sunshine Coast, social media is now a vital link to building occupancies. “We tweet and Facebook most of our events,” says Ivan Mansanet, Front Office Manager. “We include weddings, guest comments, and special activities because most of those guests are Gen-Yers who relate to other Gen-Yers, and so help promote the resort to the same target market.” The power of social media is evident. TripAdvisor just awarded Rockwater with a Certificate of Excellence, in recognition of the resort’s “excellent” ratings that climbed from 55% to 98% since the start of the year. For all the exploding influence of online communities, there are those who still opt for “old-fashioned” hospitality and service standards to keep guests coming back. Although these properties tend to cater to the older crowd, the common wisdom is that within only a handful of years, the Gen Y demographic will dominate the marketplace. In today’s vernacular, if activities such as Tweeting, Blipping, Blogging, Bookmarking, Facebooking, Flickring, Linking-in, Yammering, and Yelping aren’t on your agenda, watch out. You’re about to be bypassed! Ideas at Work >>> When it renovated its 28 suites, Toronto’s Windsor Arms Hotel, Toronto, added musical instruments, baby grand pianos, acoustic guitars, and harps into the mix, all of which are playable. It also introduced comprehensive vegan menus to its regular F&B offerings, including room service. >>> In its 360° Package, several Luxe Hotels in Los Angeles, offer elements specifically for the Gen Y market, such as the use of an iPad 2 for the duration of a guest’s stay, a personal Town Car to get them to/from the airport, a luxurious room upgrade, and a complimentary bottle of Shiraz wine. >>> The Phoenician in Scottsdale, Arizona sells a “Dinner on the 9th Green” package through its app as well as spa specials at specific time slots that otherwise would go unbooked. >>> The recently opened Inn at the 5th, Eugene, Oregon, has no check-in lines. Hotel staff carrying iPads greet and deftly guide guests through the check-in process, customizing requests for preferred in-room mini bar stock, breakfast delivery as well as spa and restaurant reservations, all in one seamless experience. >>> MGM’s new program, M Life, has taken loyalty programs to the next level by tracking guest preferences to create individualized rewards. For example, if someone attends a Madonna concert, that guest may receive an offer to Lady Gaga, or the company may send out an entertainment coupon, rather than the traditional gambling offer. >>> Instead of traditional food groups like appetizer and entrée, Marriott’s 5-10-20 menu is organized by whether the food takes five, ten, or twenty minutes to prepare. This smart move speaks directly to on-the-go business travellers and lunch-breakers, and eliminates the server’s automatic (and not always accurate) “Oh, everything’s pretty quick.” InnFocus 9 Digital Marketing & Distribution Trends in Hospitality by Max Starkov Now is the perfect time to reflect on what digital marketing and distribution trends have made the greatest impact on the industry so far in 2012 and what action steps should be taken moving forward this fall and into 2013. So much is going on: from search engine algorithm updates and the explosion of the mobile channel to the emergence of SoLoMo (the convergence of local, social, mobile) and new social media platforms such as Google+ and Pinterest, myriad new headlines have emerged so far this year. Independent Hotels Are Overly OTA-Dependent With so many new “hot topics”, it is easy to overlook what really matters in hotel marketing and distribution in favour of marketing initiatives that do not produce much-needed revenues or distribution formats that erode the property’s price and brand integrity. Last year, more than 76% of online bookings for non-branded hotels came from the OTAs. Just 24% of online bookings came from the hotels’ own websites, based on research by STR and the HSMAI Foundation. Independent hotels have traditionally fallen prey to the OTAs due to 10 InnFocus Below are a number of industry trends - coupled with concrete action steps - I believe are of utmost importance at this time. a lack of focus on, and understanding of, the economics and cost-effectiveness of the direct online channel as well as their lack of negotiating power with the OTAs. Independent hoteliers must budget for a major expansion in their direct online channel efforts through the rest of 2012 and in 2013 if they want to decrease their over-dependence on the OTAs and the bottom-line killing flash sales sites such as Groupon, Living Social, etc. and last minute discounters such as HotelTonight.com. Branded Hotels Are Overly BrandDependent Major hotel brands are doing a fine job of brand building and online marketing at the global and national levels, but they simply do not have the bandwidth to cover regional, provincial, and local markets. Branded and franchised hotels that are over-reliant on their brands’ online marketing efforts are missing serious incremental online revenues from local, provincial, and regional initiatives. For example, HeBS Digital has a number of very Today it is not enough to merely have a hotel website. Most hoteliers who need a website already have one. The real question is, what kind of website do you need today? proactive franchised hotel clients that are consistently enjoying higher revenues from their vanity websites than from Brand.com. Hoteliers - branded or independent - must focus on the direct online channel; employ best practices in online distribution channels; increase direct online revenues via hotel website re-designs and enhancements (vanity websites for full-service and leisure traveldependent branded properties) - SEO, SEM, re-targeting, mobile marketing, etc.; and utilize the OTAs only as part of a balanced distribution strategy. Direct Online Channel Should Remain the Main Focus The explosion of mobile and social media channels and the emergence of the new tablet channel presents a major challenge to hotel marketers: creating and managing digital content across three distinct distribution and marketing channels - desktop, mobile, and tablet - as well as publishing the hotel’s latest special offers and promotions on the hotel’s social media profiles on Facebook, Twitter, Google+. First and foremost, your website must be “in good health” in order to comply with best practices in hotel distribution. Make sure your current website adheres to industry’s best practices for design, site architecture, and SEO. Most importantly, make sure it is compatible with the recent Google Panda and Freshness algorithm updates. Today it is not enough to merely have a hotel website. Most hoteliers who need a website already have one. The real question is, what kind of a website do you need today? The hotel website must: InnFocus 11 • accommodate new travel purchasing behaviour by the increasingly hyper-interactive travel consumers; • employ the latest website and digital marketing technology; channel, especially for drive-in and last-minute travel markets. The US hospitality industry is experiencing staggering growth rates in leisure and unmanaged business travel bookings via the mobile channel: 2010: $99 million • handle stringent new demands imposed by the search engines; 2011: $753 million • generate maximum revenues from the direct online channel; and 2012: $1,368 million • act as the hub of the hotel’s multi-channel digital marketing efforts. Many hoteliers are mistakenly led to believe that not investing in the property’s website re-design or optimization will save money. Wrong! Not investing in your website will lose money and severely damage the hotel’s bottom line. Be sure that all site content is engaging, unique, and branded. Create dedicated pages as well as specials and packages that appeal to key customer segments, including business travellers, extended stay guests, weekend travellers, and others. Bring SoLoMo (social, local, and mobile) initiatives to the forefront of your hotel’s targeted digital marketing strategy. The convergence of these three content and marketing platforms allows the hotel to deliver more personalized, relevant content to existing guests and customers in real-time like never before. Embrace the Mobile Channel The mobile marketing and distribution channel is exploding. It has already become a viable travel planning and hotel distribution 12 InnFocus 2013: $2,155 million Source: PhoCusWright HeBS Digital’s own data shows that having a hotel mobile website generates incremental revenue through mobile and voice reservations, which without a well-optimized, content-rich, property-specific mobile site, would have gone to the competition or the OTAs. So far this year, more than 5% of website visits and 5% of online bookings came from mobile devices across HeBS Digital’s hotel client portfolio. Hotel guests and travel consumers in general are already mobile-ready, and hoteliers and travel suppliers have to respond adequately to this growing demand for mobile travel services. Fifty percent of US adults and 80% of business travellers already have smartphones. Twentyfour percent of leisure travelers and 36% of business travellers have already purchased travel via their mobile devices, based on research by PhoCusWright. Consider a Major Push in the Tablet Channel Tablets are rapidly emerging as a separate device/channel category from desktop and mobile. According to eMarketer, global tablet sales are projected to exceed 232 million in 2016, growing from 64 million in 2011. Next year, there will be 75.6 million US tablet users vs. just 13 million in 2010. Search engines and many major media sites already consider tablets as a separate, distinct device category, characterized by its own unique user behaviour and best practices for user experience and content delivery. According to Google’s 2012 company data, 7% of all searches already come from tablets vs. 14% from mobile devices and 79% via desktops. Google also reports different search dynamics across the three device/channel categories and a dramatic increase in hotel queries in the mobile and tablet channels: • Overall (desktop/mobile/tablet): +34% • Mobile devices: +120% • Tablet devices: +306% Hotel and travel marketers should consider either enhancing their desktop website for the touch-screen tablet environment or building a tablet-only version of their website, in addition to their desktop and mobile sites, all managed via a single digital content depository-enabled CMS. Social Media is NOT a Distribution Channel Social media is not a distribution channel, and it was not designed as a sales platform to sell rooms. Use social media instead for consumer engagement, customer service, customer relationship management (CRM), branding, awareness, etc. Social media is best managed at the property level and needs to be monitored 24/7/365. Establish onsite champions who will speak with a consistent brand voice, provide exemplary customer service, and serve as models of the hotel’s product. Use a full-service digital marketing agency for training, auditing, recommendations and technical design and build-out for custom tabs, backgrounds, widgets, sweepstakes, etc. Post, tweet, respond, and repeat! Use the OTA Channel Correctly Use OTAs smartly and only for need periods: weekends, group cancellations, low season, etc., and not as a replacement for or alternative to the direct online channel. Any sale or promotion via an OTA should be used only as a last resource and should be promoted equally via the hotel website and support marketing (SEM, email, mobile, social). When 24- or 48-hour sales on OTAs are “necessary” to increase occupancy immediately, do not neglect the hotel’s own website. Sales on OTAs should be cross-promoted on your website and via the property’s direct marketing campaigns. InnFocus 13 Don’t Participate in Flash Sales/Social Buying Sites With heavily discounted rates out in the open, flash sales have inherently flawed business models, causing your hotel to rebuke the principles of rate parity (one of the do’s of hotel distribution!), to breach existing agreements with corporate accounts and OTAs, to diminish its brand integrity, and to create the perception that rooms are always on sale! The most powerful reason to forget flash sales and social buying sites is “The Law of Unintended Channel Share Loss.” Any booking via the most discounted channel (i.e. flash sale sites like Groupon, Living Social, BloomSpot, or OTAs) is one fewer booking for the same hotel via its own website, call center or GDS. These sites also lead to the cannibalization of the hotel’s existing loyal consumer base as 65% of daily deal buyers are already frequent (38%) or infrequent (27%) customers of that business, based on findings from ForeSee. 14 InnFocus Any sale or promotion via an OTA should be used only as a last resource and should be promoted equally via the hotel website and support marketing. Don’t Do Last-Minute Discounts via OTAs or Mobile Discounters Both hotels and airlines manage perishable inventory, so rather than launching a lastminute Groupon or sale with HotelTonight, why not take a cue from the airline industry? The closer to the date of departure or checkin at the hotel, the higher the rate - not the other way around. Mobile is, by nature, a last-minute distribution channel. Most hotel mobile bookings are for the same or following night; therefore, these bookings will occur in any case without discounting. Use mobile SEM and SMS marketing for last-minute reservations, but market your true best available rates and avoid the temptation to discount. For additional same-day bookings and lastminute sales, opaque sites such as Priceline and HotWire are preferable to flash sale sites as they maintain brand integrity until the booking is completed. Max Starkov is President & CEO of HeBS Digital, the hospitality industry’s leading full-service digital marketing and direct online channel strategy firm (www.HeBSdigital.com). HeBS Digital has pioneered many of the best practices in hotel Internet marketing, social and mobile marketing, and direct online channel distribution. The firm has won more than 200 prestigious industry awards for its digital marketing and website design services. A diverse client portfolio of top-tier major hotel brands, luxury and boutique hotel brands, resorts and casinos, hotel management companies, franchisees and independents, and CVBs are benefiting from HeBS Digital’s direct online channel strategy and digital marketing expertise. Contact HeBS Digital’s consultants at (212) 752-8186 or success@ hebsdigital.com. Set a new standard in room service. Give your clients the quality they deserve with HD TV service from Bell. It’s an affordable and reliable way to provide stunning HD picture quality to every room. Flexible solutions such as a customized programming guide and personalized hotel channels to advertise your services ensures your guests will experience the best you have to offer. Visit bell.ca/hotels or call 1 877-543-2069 Nita Lake Lodge A New Style of Excellence by Chris McBeath As the recently appointed general manager of the luxurious Nita Lake Lodge in Whistler, Roger Soane has found his nirvana. “This lodge is nothing short of spectacular,” boasts Roger, formerly the GM of The Fairmont Chateau Whistler. “The opportunity to manage a luxurious, boutique-style experience in a community that my family and I have come to love is truly a gift that doesn’t come along very often.” For a hotelier who has managed some 21 properties in his 38-year career, it’s a gift that is returning him to the concept he calls “pure hoteling”. As one of BC’s most respected general managers, not only does Roger Soane bring with him an extraordinary depth of experience to Nita Lake Lodge, he also exemplifies a style of collaborative leadership that puts the lodge front and centre in hospitality circles. For example, during his tenure at The Fairmont Empress, Roger served as Chairman of the Board of Tourism Victoria, and currently he is in his fourth year as Chairman of the Board of Tourism Whistler. 16 InnFocus Creating the Best For a comparatively small property, comprising 77 rooms and suites, Nita Lake Lodge has impressive facilities such as a small spa, steam room, hot tub, plunge pool, gym with professional coaching, a purpose built yoga studio, and access to water recreational activities. Don’t forget its top-draw destination restaurant Aura, which overlooks the shores of Nita Lake, and is arguably the best outdoor patio in the Whistler area. It’s a combination whereby TripAdvisor ranks the lodge number three of 57 Whistler hotels as well as a 2012 Travellers’ Choice. The vision, however, is for more. “We want to be recognized as one of the top boutique experiences in Canada,” explains Roger. “And in terms of making that a reality, it means creating a service culture, a responsive product, and an experience that is very Canadian, regionally authentic, and exceptionally welcoming without being pretentious.” Guided by these tenets, he’s already making his mark. Smart-yet-casual staff uniforms have replaced formal suits, the ashram-themed spa has been refocused to reflect a broader approach to wellness; and true to his earlier career in the kitchen, Roger and Michael Guy, the lodge’s executive chef, have streamlined the menus to incorporate a fresh take on regional cuisine, including using home-grown herbs and vegetables from the lodge’s rooftop garden. Emphasizing the Experience Roger Soane, General Manager Because Whistler has so many accommodation options, Nita Lake’s quieter location has made it an afterthought for many visitors, especially those looking for mountainside access. Yet contrary to perception, “we’re as far from Whistler Base - about 500 steps - as is the Four Seasons, so skiing, boarding and summer hiking are within very easy reach,” Roger describes. To further support the accessibility message, the hotel provides a complimentary shuttle into the village, and in summer offers courtesy cruiser bikes so guests can explore the Valley Trail. Stretching 35km through Whistler’s valley, the Valley Trail connects Nita Lake to all of Whistler’s neighbourhoods, lakes, and parks with a paved and scenic path that’s perfect for biking, jogging, rollerblading, walking, and sightseeing. The lodge also works closely with the Rocky Mountaineer. Since the hotel was specifically built to accommodate the train station, it is the natural stay-over spot for travellers en route to Jasper as well as other rail patrons and getaway guests from Vancouver. Summer overnight packages include a stunning rail journey along the Sea to Sky corridor aboard The Rocky Mountaineer’s new bi-level Dome Service, a food credit at the lodge’s Aura Restaurant, and lake activities such as a lake tour, or for the more adventurous, a stand-up paddleboard lesson. Shoulder Season Invitations Although winter is always on Whistler’s radar, the lodge’s unique mix of amenities lends itself to a range of packages, especially in the shoulder seasons. “We do exceptionally well with the wedding market, and have high appeal to youthful boomers and fit-aware Gen-Yers who want to be close to the action, but far enough away to enjoy some serenity. These key markets present real opportunities in the wellness area that can take advantage of our yoga studio, our Innovative Fitness program, and quality spa facilities.” Ideas include yoga-raw food retreats, and specialty winepairing programs as well as wellness walks, hikes, and spa-style cuisine. “These concepts are a natural fit for our type of property.“ With his experience managing hotels in city centres, on mountains, beside beaches, and with golf courses, it sounds as if Roger is well on his way to establishing nirvana at Nita Lake Lodge for more than just himself. InnFocus 17 Successfully Partnering with DMOs by Lacy Lauks and Ed Mansfield In BC there are over 40 Destination Marketing Organizations (DMOs) that each are dedicated to marketing regions and communities as destinations for leisure, meeting, and event travellers, and to increasing overall visitor activity and spending. In addition to attracting visitors, DMOs carry out a variety of initiatives aimed at local residents, encouraging them to participate in local tourism events and products. Due to the central role it occupies in the tourism industry, it is natural that the accommodation sector plays a prominent role in the activities of DMOs. Indeed, most DMOs would state that a strong partnership between a DMO and its accommodation sector is a key factor in being able to develop, implement, and deliver initiatives effectively. While many aspects may contribute to the establishment of a successful and ongoing partnership between DMOs and hotels, there are five 18 InnFocus principal areas that, if focused on, can help to provide a solid base for long-term success. · Alignment of marketing efforts. All members in the tourism industry ultimately share the same goal - to sell the destination. Given the vigorous competition for visitors, it is important for the accommodation sector and DMOs to work together, through a coordinated approach, to market a destination in a complementary fashion rather than by sending mixed and confusing messages. By maintaining relationships at various levels within DMOs, hotels can stay current on DMO marketing initiatives, can determine synergies between marketing plans, and can align their individual focus and associated efforts with the initiatives of DMOs. Within BC there are many examples of how this alignment can produce benefits. One such example is found in Whistler where Tourism Whistler leads a resort-wide packaging strategy that requires collaboration between the DMO, the accommodation sector, and other tourism related businesses. This “book early and save” strategy - which aligns the efforts of airlines, the Whistler Blackcomb ski resort, activity and adventure companies, and the accommodation sector - places Whistler in a prime position to attract early bookings. · C ombined marketing ef for ts. DMOs can coordinate and combine focused marketing efforts in a cost-effective way that produces the largest return on investment. With the limited marketing budgets that may be available to individual operators, the efforts of DMOs can be viewed as an extension of the By maintaining relationships at various levels within DMOs, hotels can stay current on DMO marketing initiatives, can determine synergies between marketing plans, and can align their individual focus and associated efforts with the initiatives of the DMO. accommodation sector’s individual sales and marketing efforts. This collaboration between both parties can result in an efficient and effective use of resources that avoids duplication of effort. As well, DMOs can be particularly helpful in coordinating marketing efforts in long-haul and emerging markets. This was illustrated recently by Tourism Richmond, which brought the knowledge, resources, and contacts to coordinated sales missions for Richmond-based hotels to three cities in China. · Data-driven decision making. The research done by DMOs provides information and statistics related to local and global trends in the tourism market, which is useful information for planning or operational purposes. This type of citywide or regional information can also be used by the DMO itself in formulating marketing and sales initiatives designed to maximize the growth of the tourism industry. A BC leader in this field has been Tourism Vancouver, which generates room demand forecasts, produces outlooks for overall visitor demand, and provides a wide variety of other industry and market information that helps to lead to informed data-based decision making. · Use of best practices. DMOs can provide the accommodation sector with upto-date information on the overall tourism competitive landscape, changes in the marketplace, and efforts made by other destinations with respect to increasing InnFocus 19 visitor activity. DMOs also share information and educate members through workshops and training sessions on a variety of topics including e-commerce, marketing, and industry updates. A good example of the information that can be provided through engaging workshops and training sessions is a recent workshop hosted by Tourism Richmond in collaboration with the Ministry of Jobs, Tourism and Innovation. Close to 80 members were provided with information related to ways in which members can work effectively with Chinese visitors. Finally, through the contact networks of DMOs, members are provided with additional sources of information. For instance, DMOs that are members of the Destination Marketing Association International (DMAI) are continuously updated on best practices in other destinations and share this information with individual properties, so that they can incorporate this knowledge into their own marketing plans. · Developing campaigns targeted at residents. DMOs can collaborate with the accommodation sector in launching initiatives aimed at increasing resident activity. For instance, Tourism Vancouver’s annual Dine Out Vancouver (DOV) program is a highly anticipated event designed to encourage locals as well as visitors to turn their attention to local food and drink. The program affects over 300 members in a variety of categories including restaurants and hotels. As part of the program, Tourism Vancouver works with the accommodation sector to create DOV hotel packages. Collaboration between DMOs and the accommodation sector is key to maximizing the benefit from the partnership. To help drive this collaboration and to produce the most benefit from the partnership, hotels can do the following: 20 InnFocus · Get close and get involved. Accommodation sector members that actively engage with DMOs derive the most value from their relationship with their DMO and, as a result, benefit from increased access to industry contacts, assistance with formulating strategies and planning, and access to best practices. Hotels can increase their level of engagement by participating in meetings, joining advisory boards, and hosting events. In addition, engagement levels can be increased by maintaining a good level of proactive communication. · Take advantage of DMO networks. DMOs can open doors to multiple contact networks. For example, DMOs work with convention centres and meeting planners to attract conferences and meetings to destinations, thereby generating room demand. Hotels have found that they would not have this same level of access to meeting planners without the assistance of the DMO. · Be patient. DMOs often focus on long-term strategies that are important in building a destination’s brand. It is important that members of the accommodation sector remain patient when working with DMOs that are working towards longer time frames and collaborate with DMOs on these initiatives. Lacy Lauks, MSc is a Consultant in the Advisory Services Practice in the Vancouver office of MNP LLP with several years of consulting experience for clients in the private and public sectors. She has managed studies relating to the tourism industry. Ed Mansfield, PhD is a Partner in MNP’s Vancouver office where he leads its economics practice. Ed has over 20 years of experience in consulting on economics and statistical issues, and has led many studies on the tourism and major event industries across Canada. Included in his past assignments are: development of a framework for multi-year study on the financial, economic and social impacts of the 2010 Winter Olympic Games (carried out for the Federal and BC Governments); a study on the economic, social and community impacts arising in 2011 from the activities and initiatives of Tourism Vancouver; and ongoing data collection and analysis for Tourism Vancouver, Tourism Whistler, and Tourism BC. Tourism Indicators BC Customs Entries Provincial Occupancy & ADR March 12 April 12 Year-to-date US Total % change 272,954 4.9% 285,548 -0.2% 1,026,262 1.6% US Overnight % change 159,145 8.7% 163,808 -1.3% 579,350 1.9% Asia/Pacific Overnight % change 46,331 17.9% 47,188 2.3% 186,758 9.6% Europe Overnight % change 23,932 14.6% 22,084 -12.4% 86,124 4.1% 236,430 11.7% 239,603 -2.0% 877,209 4.0% Total International Overnight % change Occupancy % change Avg. Daily Room Rate % change March 12 April 12 58.1% 2.9% 57.4% 1.3% Year-to-date 53.6% 1.8% $124.56 3.4% $124.51 3.7% $124.20 2.4% All percentage comparisons are versus the same period in 2011. Customs entries include international visitors who cross Canada Customs in BC. These figures do not account for all visitors to BC since domestic visitors are excluded as well as international visitors who cross Canada Customs outside BC yet still travel to BC. Likewise, customs entries include visitors that cross Canada Customs in BC, but who continue on to other provinces. Sources: Statistics Canada, PKF Consulting, and www.tourismbc.com Next Issue Fall 2012 • • • • Optimizing your Website Maximizing Potential Revenue Rating Sites Wrongful Dismissal Call 1-800-667-0955 to book your ad by Oct. 26 VISIT US ON THE WEB! • • • • Marketing Tips Past Issues Editorial Schedule Advertising Rates emcmarketing.com InnFocus 21 Best Practices in Budgeting by Romy Herrera Budgeting - the word alone is enough to strike fear and dread in the hearts of executives and managers in any industry, yet it’s the essential foundation of any successful business. Following are some best practices to develop an excellent financial plan for your property. Budgeting Defined Budgeting Processes and Function A budget can be defined as a plan by which the resources required to generate revenue are allotted. In larger hotels, the management or executive committee is usually responsible for budgeting, providing the financial framework within which all the departments operate. Typically, department managers take care of creating budgets for their areas and the financial controller and the general manager will give final approval. The budgeting process presents a formidable challenge to hotels, regardless of the size or the type of operation. Indeed, budgeting can cause stress and conflict, and often ends up requiring a lot of valuable hours to prepare. Most general and department managers have been through the drill of preparing budgets many times, and experiencing stress and tension is quite common. However, a realistic budget is certainly worth all the time and the energy put into the process. It is common knowledge that budgeting is a crucial element of financial management and is a tremendous indicator of a hotel’s success or insolvency. The budget provides an opportunity to take a critical look on the costs and expenses of the departments, review past history, and then plan to take appropriate actions to accomplish better results in the next financial year. In this way, a budget acts as a guide that provides standards to measure the success of the operation. In a nutshell, a budget serves as an instrument that can be used by management for controlling and directing activities, especially guiding managers in the purchasing of goods and services. 22 InnFocus Budgeting processes are very helpful in ensuring the flow between planning phases as well as identifying the most efficient procedures. Current spending should be evaluated and the setting of realistic goals should take into account the short and long-term financial objectives of the hotel. Explore Strategy Continual changes in the business climate challenge hotels to find more effective business strategies and plans. First a primary business objective must be set to take the hotel to the next business level. There are a number of business strategies that a hotel can use to identify non-essential costs and help the hotel focus. Flexibility, accuracy, and control are vital. Financial controllers need to get a better grasp of the big picture by having the flexibility to evaluate and understand the effect of all strategies by using complete and comprehensive financial data. Your Financial Plan Each company’s financial plan needs to include the following: • Key Performance Indicators (KPIs) • Historical Room Supply and Demand figures • Market Segment Reports Leading hotels use planning processes that can quickly adapt to external and ever-changing market conditions. • Comparative Monthly Occupancy and ADR • Summary of Profit and Loss and Departmental Statements • Cash Flow Analysis • Sales & Profit Forecasts KPIs are financial and non-financial metrics used to quantify objectives to reflect the strategic performance of the hotel. They also give a greater understanding of key business drivers, which can ultimately allow for effective financial investments. Examples of commonly used KPIs are revenue growth, earnings growth, debt reduction, and EBITDA margin. As a best practice, limit the KPIs to only those factors that are crucial for the hotel to reach its goals, and ensure they are measurable. With all departments of the hotel relying on the same benchmarks, the hotel improves internal inefficiencies and clarifies goals. Leading hotels use planning processes that can quickly adapt to external and everchanging market conditions. Businesses perform more efficiently with the ability to respond to the business climate, to consolidate financial data, and to analyze information, all in a timely manner. The key practices to develop flexible processes include the use of monthly re-forecasting, rolling forecasts, and what-if analyses. The forecast needs to be continually re-evaluated based on market conditions and the actions of your competitors. This will often necessitate changes to the budget. The ability to reforecast and revise the financial information is very important, especially in today’s market situation when actions may need to be taken on unexpected changes. Hotels gain more insight on variables and trends are easier to spot when the financial data is up-to-date, thorough, and readily InnFocus 23 available. More informed decisions in all areas are made possible by considering cash flow projections, price and product changes, and organizational changes. Marketing plans are like road maps. They not only show the destination, they indicate the stops on the way. Marketing Plan So which comes first, the financial budget or the marketing plan? In my opinion, it just makes sense to draft the budget first because the marketing plan should show how those numbers will be achieved. The general manager has to know the amount of investment needed to reach those goals. Opportunities need to be considered along with the company’s potential to capture that projected marketshare - especially in your competitive set. Marketing plans are like road maps. They not only show the destination, they indicate the stops on the way. In order to achieve your financial goals, your marketing plan should outline the steps in your concentrated effort to generate revenue in desired segments. These plans should be realistic and achievable. Following are some steps recommended for preparing an effective marketing plan: • Print the latest copy of the STAR Report • Complete a competitive analysis on the hotels that are in your STAR Report • Consider information on upcoming conventions in your area • Make a list of target transient accounts - this group pays the highest rates • Meet with your staff or regional office to discuss what they are expecting from the marketing plan • Forecast revenue by month from all market segments • Plot the strategies and action plans on a calendar Implementation Once the budget is finally approved, support and maintenance is necessary to keep the plan successful. Everyone is a visible participant of the budget, and adhering to the strategies and plan is vital. Be sure to communicate with every employee via email, newsletter, and/or open forums, gathering their valuable ideas and input. Providing a supportive and open environment improves the chance of creating a successful financial plan. Romy Herrera, CPA, is Financial Controller for Coast Coal Harbour Hotel and has over 25 years hospitality experience in management positions for hotels in Canada, the US, and Asia. He is a past president of Hotel Financial & Technical Professionals and a faculty member of Imperial Hotel Management College. 24 InnFocus BCHA Member Benefits Here at the BCHA, we are constantly striving to reach as many of our members as possible by email to ensure that everyone is kept updated on important industry issues, events, or new membership programs. Although we have a continually expanding database holding email addresses for our hotel members, associates, and potential members, as you can imagine, it needs constant monitoring to weed out any defunct email addresses. To ensure that your employees are kept current on industry issues with our e-newsletter InnTouch and membership alerts, we ask that you either login to update your membership listing yourself (and add as many employees as you like) or if you prefer, simply email me the names, titles, and direct email addresses and we will happily add them for you. Each record has a primary contact, and then either you or the BCHA can add as many additional contacts as you like. Some properties have added as many as 10. These can be editted at any time. by Louise Thompson has a circulation of 1,500 per edition and offers a great opportunity to promote your company. Feedback from our members for both options has been very positive. Our 150 associate members offer products/services that might apply to different co-workers at your property. For example, Housekeeping might be looking for newer, more efficient washing machines, or your front desk may be looking for options on a new PMS system. By having access to our online associate members directory as well as our online marketplace, everyone can quickly find what they’re looking for. If you know of any nearby hotels that are not currently BCHA members but may be interested in joining, just contact me by phone or email. Many of our hotels sign up due to “word of mouth”, or having attended a local hotel meeting where they heard about the BCHA. Additionally, if you know of any companies that would be great BCHA associates, just call or email us. If you’ve forgotten your login codes that enable you to immediately access the “Members Only” area of our website, please contact us. This year our annual conference has a new name - Host 2012 (wwwhostconferencebc.ca). This exciting event is being from November 4-6. As the conference will have a new look, we hope to reach as many prospective delegates as possible to make this the best conference ever. Our e-newsletter, InnTouch, often has articles of interest for various departments in your hotel or company. Remember, you can also place an ad in our e-newsletter or on our website for a small fee. The e-newsletter Please don’t hesitate to contact me at 1-800-663-3153 ext. 756 or 604-443-4756, or email me at [email protected] if I can assist you in any way. InnFocus 25 Canada The Place You Thought You Knew by John Wright In 1971, I was 13 years old and got my first dollar-a-day job as a Boy Scout pushing wheelchairs for visitors to the newly minted Ontario Place. Our country was mainly English and French, and very white. Our top 10 new immigrant countries were the UK, USA, West Indies, Italy, Portugal, Greece, Yugoslavia, India, China, and France. We were more rural with a focus on natural resources. We had national policies on railways, healthcare, energy, language, etc. The power base was run by white men in Toronto, Montreal, and Ottawa. The people were trusting of authorities and experts and were self-governed by the principles of peace, order, and good government. And as a nation, we could be characterized as fearful, paternalistic, conservative, judgmental, and reflexively anti-American. In 2012, a mere one and a half generations later, Canada is a totally different place. Our country is more urban and more multi-cultural: the top 10 immigrant countries of origin are the Philippines, India, China, UK, USA, France, Iran, UAE, Morocco, and South Korea. Just think, 45% of Toronto’s current population is foreign born and 39.6% in Vancouver, 26 InnFocus which compares to Los Angeles (34.7%), Sidney (31.7%) and New York (27.9%). We are world traders with a growing focus on services. We are older and more are female. As a people we are tolerant, opinionated, demanding, and difficult. We are post ideological Libertarian (neither left nor right), less engaged with our traditional institutions. And we’re aggressively Canadian. With this massive shift, there are five basic ground rules for any business in Canada, especially for the hospitality industry: 1. Pay attention to demographic market signals. Your business doesn’t operate in a vacuum. Statistical data on changing settlement patterns, ethnic origins, and the age of the consumer market is easily available from Statistics Canada and other sources. If you aren’t incorporating this data into your business planning, you run the risk of being swept aside by a major trend that your competitors spotted, but that you missed. As a people we are tolerant, opinionated, demanding, and difficult. We are post ideological Libertarian (neither left nor right), less engaged with our traditional institutions. And we’re aggressively Canadian. 2. Demography isn’t destiny. Demographic trends can be muted or revised by changing market reactions including attitudes, values, beliefs, and government actions. You need to be on top of all of this. One piece of federal legislation could drastically alter your long-term projections. Like demographic trends, public opinion can be measured and understood. There’s a lot of information available on public opinion that should be factored into your planning. 3. Learn from Canadian politics. All political strategies in Canada are geographic; business strategies should be geographic too. The game is ultimately won on the ground. Different parts of the country are aging at different rates, or are attracting more or fewer immigrants. Successful political parties factor all of this into their electoral strategy. Do you factor it into your business strategy? 4. Your biggest challenge will always be attracting and retaining talent. This includes competing for foreign workers. What are you doing to plan for your future workforce needs? For example, are you encouraging your local university or college to develop foreign affiliations? Are you fully informed about Canada’s new immigration laws and how they could work for your business? Senior executives should have these issues at the top of their to-do lists. 5. New Canadians are Canadians first. They want to buy into their adopted culture. While effective marketing to new Canadians will always need to be calibrated to have an appropriate “accent”, don’t shy away from Canadian cultural symbols and touchstones. Any sales representative, marketer, analyst or CEO steeped in the old assumptions of Canada won’t get, or at least deeply internalize, any of these key strategies and they will fall behind, drastically. Those who see the country and the world around them, as it is, and embrace the new realities will win the day. So, what’s your view of Canada and the world? This is just a snapshot of what my business partner, CEO Darrell Bricker, and I will be covering at the Host 2012 conference in November. On top of this, we’ll introduce you to a new, 24-country survey of tourism travel types that will help you calibrate your marketing muscle. John Wright is Senior Vice President of Ipsos Reid Public Affairs. InnFocus 27 Names in the News The BCHA welcomes Ian Lowe from the Crystal Lodge as the new director for Whistler. Welcome to the following new BCHA members: Brentwood Bay Resort & Spa, Victoria; Chateau Kimberley Hotel, Kimberley; Creston Ramada , Creston; Crown Resort Hotel, Penticton; Douglas Guest House, Vancouver; Edgewater Motel, Campbell River; Happy Day Inn, Burnaby; Piccadilly Motel, Radium Hot Springs; and Taylor Inn, Taylor. Welcome to the new BCHA associates, Colliers International Realty Advisors, Kelowna; It’s On Electric Company Inc., Surrey; ServiceMaster Clean, Surrey; and Willowest Enterprise Co., Richmond. Congratulations to the new general managers at the following properties: Bryce Beatty, The Westin Grand Vancouver; Garth Cairns, Dilworth Inn, Recreation Inn, Kelowna; Paul Dodds, Best Western Tin Wis, Tofino; Peter Huming , Four Seasons Resort Whistler; Jamie Lewis, Quality Inn - Victoria Downtown; Vito Romeo, Shangri-La Hotel, Vancouver; Robert Simpson, Adara Hotel, Whistler; and Karen Young, Travelodge Salmon Arm. Travis Greco is resort manager at the Ocean Resort in Campbell River. The Talisman Inn in Quesnel is now known as the Quality Inn & Suites. Leona Norn is the new manager. The Riviera Motor Inn is now known as the Riveria Suite Hotel. Athena Fan is the new manager. The Westwind Motel is now the Days Inn - Chetwynd. The Travelodge Kelowna has changed its name to the Abbott Villa on the Lake. 28 InnFocus be Debbie Minke Hank Stackhouse has been elected as the new Chair of the Hotel Association of Canada’s Board of Directors. Hank is an accomplished industry veteran with 30 years of experience in the Canadian hospitality industry. As the recently retired President and Chief Executive Officer of Delta Hotels and Resorts, he led a team of over 8,000 colleagues and oversaw a portfolio of 46 hotels and resorts with more than 13,000 guestrooms across Canada. Six new corporate board members have also been elected to serve as HAC corporate officers. They include: Robert Pratt , President, Coast Hotels & Resorts; Nora Duke, President & CEO, Fortis Properties; Irwin Prince, President & COO, Realstar Hospitality; Philippe Gadbois, Senior VP Sales & Marketing, Atlific Hotels & Resorts; Satinder Dhillon, Vice President Operations, Westmount Hospitality Group; and Vito Curalli , Executive Director, Canada, Latin America & International Sales, Hilton Worldwide. Kenneth M. Greene has been named President & Chief Executive Officer of Delta Hotels and Resorts. Based in Hong Kong, Ken was most recently President & Managing Director, Asia Pacific Region for the Wyndham Hotel Group. Faheem Adam has been named the 2012 Businessman of the Year by the CanadaPakistan Business Council. Faheem is CEO of Marina Textiles. Days Inn - Golden has just opened its doors, offering 81 newly renovated, spacious rooms. Amenities include an onsite restaurant, indoor pool with waterslide, free high-speed Internet, meeting facilities, and more. Four Points by Sheraton Kelowna Airport is scheduled to open in the spring of 2013. Located at the entrance to Kelowna’s expanding airport, it will offer 120 guestrooms, 4,500 sq. ft. of meeting space, indoor pool, 24-hour fitness facilities as well as other amenities. The Sooke Harbour House is up for sale. After more than 30 years of running the famous restaurant and 28-room boutique inn, Frederique and Sinclair Philips are moving on. This oceanfront property has received many awards, and is listed on Condé Nast Traveler’s 2012 Gold List of World’s Best Hotels and Resorts. The Inn at the Quay, New Westminster’s 126-room boutique hotel, was sold to Temple Real Estate Investment Trust. cascades® ultra soft bathroom tissue was voted Product of the Year 2012 by Canadian consumers. Unique in North America, ATMOS technology gives the ability to produce an ultrasoft tissue paper with recycled fibers, while consuming less energy and releasing 60% less greenhouse gases. Correction: Shell Vacations still owns and operates 42 of the 76 rooms at the Mountainside Lodge in Whistler, and is still doing business under the Mountainside Lodge name. Executive Hotels & Resorts purchased 34 of the rooms and operates them separately. If you have any noteworthy community contributions, please email the details to Debbie at debbie@ emcmarketing.com. BC Hospitality Foundation The annual BC Hospitality Golf Tournament, held on July 16 at the beautiful Westwood Plateau Golf and Country Club, was a rousing success. The sell-out crowd of 216 golfers enjoyed fantastic weather as well as a wellsupported silent auction and raffle. More than $80,000 was raised for the foundation’s work! “Those who attended had the opportunity to learn firsthand the importance of our work through the poignant case of Bruce James, a 2012 beneficiary of BCHF funds, as he told his story over dinner,” explained Alan Sacks, BCHF Executive Director. The BCHF was also thrilled to announce that it has joined forces with the Thompson Okanagan Tourism Association (TOTA), which named the foundation as its main charitable beneficiary and pledged to strongly promote the foundation’s charitable and fundraising initiatives to the 6,000 stakeholders involved in the Thompson Okanagan’s tourism industry. BCHF Chair Bing Smith and TOTA Chair Ingrid Jarrett signed the memorandum of understanding (MOU) in Coquitlam at the golf tournament. TOTA President & CEO Glenn Mandziuk said, “The MOU represents an exciting and significant step for the Thompson Okanagan’s tourism industry. We’re delighted to partner with the BCHF to promote awareness and foster development of its important work. We have a common interest with the foundation to support and help the people in our industry... We will work actively to promote awareness about the foundation to everyone in our region.” Meanwhile, Sysco Kelowna has announced that proceeds from its September 18th golf tournament will benefit the BCHF. The event by Renee Blackstone is being held at the Predator Ridge Golf course in Vernon. Entry forms are available for download on our website at http:// bchospitalityfoundation.com/wordpress/wpcontent/uploads/2012/07/Sysco-KelownaCustomer-Registration-Form.pdf. In other BCHF news, $10,500 was raised for the BCHF and Children’s Charities of the United Way of the South Okanagan as wine-lovers, film makers and media gathered in Osoyoos in mid-June for the 3rd Annual Vinos Wine Film Festival. The weekend marked the grand opening of the new $1 million Wine Experience Centre at Black Hills Estate Winery as the winery celebrated its annual Nota Bene Release Party. It’s part of the growing presence of the BCHF in the minds and hearts of those who support its mandate of “helping our own” in the hospitality industry, which this year includes the Tip Out to Help campaign that is held year-round but goes into high gear in the fall. Last year’s Tip Out to Help campaign was an outstanding success, raising nearly $120,000. This year’s goal is $200,000, and the foundation’s website has a full banquet of fundraising ideas - everything from coin and bottle drives to auction-your-chef contests and speed-dating nights. “The beauty of Tip Out to Help is that it is a simple campaign that allows everyone - from floor worker to CEO - to take part. BC has some 250,000 people employed in the food, wine, and hospitality industries. Imagine if each one gave just one toonie. We’d reach and exceed our goal in no time,” noted Sacks. What’s New? by Debbie Minke Crossover® CEE Tier 3 by Wascomat has qualified for the highest level of energy efficiency. There are three levels of CEE (Consortium for Energy Efficiency) tiers, with the highest number being the most energy efficient. Crossover, the world’s first and only commercial-standard small chassis washer, was introduced in June 2011 after four years of intensive development. Crossover products include a 22+ lb. stand-alone washer, dryer and stacked washer & dryer combo, all engineered specifically for the demanding laundry environment. Crossover is built to last 15,000+ cycles - more than double the life of appliancetype front loaders and top loaders. VingCard Elsafe and Lutron Electronics have developed a total guestroom control solution integrating Lutron’s lighting, drapery, and shade control modules with VingCard Elsafe’s Orion energy management system as well as guestroom door locks, electronic safes, and minibars. Using this solution, hotels can provide their guests with total in-room comfort and increase energy efficiency with the option to automatically turn lights on, adjust shades, and adjust the temperature when the room becomes occupied, and automatically turn lights off, adjust shades, and adjust the temperature when the room is vacant. Through advanced occupancysensing technology, the comprehensive solution is designed to address the industry’s growing need to implement energy-saving strategies. In addition to maximizing guest comfort, hotels can expect to experience a 20-30% reduction in energy expenditures through the combined savings produced by light and temperature controls in unoccupied rooms. Renee Blackstone is a freelance journalist who sits on the BCHF Advisory Board. Advertisers BC Hospitality Foundation 29 BCHA25 Bed Bug Mutts 26 Bell Satellite 15 Coinamatic Commercial Laundry 20 Coldstream Commercial Sales BC Colliers International Realty 14 Fortis BC 7 Gordon R. Williams 12 Host 2012 27 Host 2012 Expo Independent Supply Intirion Corp It’s On Electric Company Jordan Mattress/Restonic Kaba Ilco Landmark Dividend MGC Construction Ltd. MJB Law (Pulse) Northern Feather 23 22 13 4 10 5 IBC 11 28 24 Restwell Sleep Products 19 Rising Tide Consultants 18 Shaw Hospitality & Design Origins 24 Simmons Canada IFC Tex-Pro Western 14 Tricom9 Western Financial Group 30 Western Safety Surfacing 8 Worksafe BC 8 InnFocus 29 Five Quick Scripts for Responding to Customer Complaints by Ron Kaufman The last thing a customer with a complaint wants to hear you say is, “You’re wrong.” What they want to hear is that you understand them, appreciate them, and agree with them on the importance of the value they have cited in their complaint. • Too Slow - Your customer says: “I’ve been waiting forever. Why did it take you so long to help me?” Here are a few quick scripts to use when responding to customer complaints: • Bad Website - Your customer says, “Your website is terrible. I couldn’t find the information I needed.” • Rude Service - Your customer says, “Your staff was rude and totally unprofessional.” You say, “You’re right to expect courteous, respectful, and professional staff.” • Too Many Rules - Your customer says, “Your policies are rigid. Your company is so bureaucratic.” You say, “I agree that we should be as flexible and user-friendly as possible. Your suggestions can really help.” • Overpriced - Your customer says, “This isn’t anything like what I was promised. And your price is way too high!” You say, “I am on your side in this situation. You have a right to be satisfied with whatever you purchase from us. You deserve good value for your money. Let’s review what you have purchased and see if there’s a better option for you.” 30 InnFocus You say, “We understand that in today’s world speed counts. You deserve fast, friendly service.” You say, “You are right to want an informative, user-friendly website. What information couldn’t you find? Your suggestions on how to improve the site are a big help.” Notice how your responses make the customer feel right. We don’t argue over the facts: rude staff, stiff policies, or poor value. But we do actively agree on the importance of what they value most. Let’s face it - the customer is not always right. However, customers are always important, and we can make them feel much better by agreeing with them on the importance of the service dimensions they identify and value. Ron Kaufman is the author of Uplifting Service: The Proven Path to Delighting Your Customers, Colleagues, and Everyone Else You Meet www.UpliftingService.com. CONVERT YOUR CELLULAR LEASE INTO A LUMP-SUM CAPITAL PAYMENT Landmark Dividend is Canada’s leading investor in cellular leases. We enable hotel owners with cell tower leases to access immediate capital without incurring debt. 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