The Oak Bay Beach Hotel

BC Hotel Association
Summer 2012
PM40026059
PM40026059
The Oak Bay Beach Hotel
Online Reputation Management • Hotel Success Hinges on Rates
Customer Loyalty Strategies • F&B Trends in Hotels
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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
Mark Herron, Four Seasons Resort Whistler, 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
Up Front
The Oak Bay Beach Hotel, 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
Summer 2012
Northern BC Region
Steve Smith, Crest Hotel, Prince Rupert
Al McCreary, Hudson Bay Lodge, Smithers
Sam Mangalji, Inn on the Creek, Dawson Creek
Doug Andrews, Coast Inn of the North, Prince George
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
BCHA Staff
James Chase, Chief Executive Officer, Vancouver 604-443-4750
Cailey Murphy, Director, Communications & Business Relations, Vancouver 604-443-4751
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Features
Columns
Hotel Success Hinges on Rates
4
President’s Message
10 Dangers of Discounting Meeting Space
5
CEO’s Report
16 The Oak Bay Beach Hotel
9
Travel Marketing Trends
18 Social Media Tracking &
Online Reputation Management
14 Names in the News
22 Customer Loyalty Strategies
21 BCHA Member Benefits
6
26 F&B Trends in Hotels
29 Business Travel is Picking Up
30 Preparing for Canada’s New
Polymer Bank Notes
15 From the Front Line
28 BC Hospitality Foundation
28 What’s New?
InnFocus is published quarterly by EMC Publications - a division of EMC Executive Marketing Consultants Inc.
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President’s Message
by David Wetsch
Policy Developments at the Provincial Level
It has been a busy spring at the BC
Legislature. On February 21, the BC Minister
of Finance, Kevin Falcon, delivered the
2012/2013 Budget. Heralded amongst pundits as the most fiscally
conservative budget in the country, Minister Falcon’s budget reiterated
the government’s commitment to returning to a balanced budget by
2013/2014. Although we can expect continued belt-tightening across
industries, this does not mean that there aren’t any opportunities to move
our industry forward.
As you know, a number of prominent industry leaders have been meeting
regularly as representatives of the PDMO Task Force, which is developing
a new industry-led and formula-funded Provincial Destination Marketing
Organization (PDMO) for BC. The Task Force has been meeting regularly
with government and our Provincial Minister of Tourism, Pat Bell, to
discuss the best way forward. These efforts have been well received and
the PDMO Task Force has now evolved into a PDMO Transition Team,
comprised of the Task Force members as well as senior bureaucrats. This
team is leading the process for moving the PDMO outside of government.
On April 11th, the PDMO Transition Team met with Minister Pat Bell
and Deputy Minister Dana Hayden to continue discussions, and they
recently reported back that negotiations are moving in a very productive
and positive direction. These developments are exciting steps forward
for our industry!
Working with Deputy Minister Hayden and Assistant Deputy Minister
George Farkas, the team has spent significant time and effort developing
a range of options for a new PDMO, and comparing and contrasting
those options to ascertain a model that will truly meet the needs of our
industry. They have compared these against the old Tourism BC model
to ensure that we ultimately end up with an entity that is better than
existing or previous models. I am pleased to say that they, first and
foremost, have been dedicated to the common principles agreed upon
by industry stakeholders.
4 InnFocus
We understand that Minister Bell and Deputy Minister Hayden have
been very supportive of the team’s efforts, and the Transition Team is
now working to prepare a presentation on the work to-date for Cabinet.
There are many legislative, Treasury Board, and other decision-making
cycles that need to be kept in mind as this project rolls out.
The Task Force has been clear that accountability (to both industry and
government), leading edge governance, and an approach based on strong
business practices are all important components moving forward; and
they have always advocated that a new organization needs to be led by
the very best business minds, with the necessary collective set of skills to
take tourism in BC to greater levels of success.
I am pleased to say that this advice has been heard loud and clear by
Minister Bell, who announced at the Tourism Industry Association’s
Leaders’ Summit on April 26th that the government would be working
with the Transition Team to appoint the inaugural board of directors
for the new entity in the coming weeks. This is a positive development
that indicates the government’s very serious intentions to move forward
with the new PDMO, working closely with industry. It brings us one step
closer to our long anticipated goal of a new industry-led PDMO to work
on behalf of tourism in BC.
On behalf of the BC Hotel Association, I would like to extend a sincere
thank you to our industry colleagues on the PDMO Task Force and
Transition Team that have put in countless volunteer hours to advocate
on our behalf and represent the views and needs of industry stakeholders.
A sincere thank you to David Butler, who chaired the team, and to Kevin
Walker, Dan Stefanson, Ingrid Dilschneider, Ingrid Jarrett, Gordon
Johnson, Lana Denoni, Christine Stoneman, and James Terry for all of
their hard work and dedication to the betterment of our industry. It has
been a long road and it is not complete yet. They have our support and
gratitude as they continue to press forward.
CEO’s Report
by James Chase
Working Together to Help Our Own
As a founding
member of the
BC Hospitality Foundation (BCHF), the BCHA
has been a proud supporter of the work the
Foundation does to help individuals in our
industry who are in need of assistance during
difficult times. The Foundation was inspired
by the desire to financially assist longtime
wine agent Michael Willingham, who after a
successful career in the wine industry suffered
a debilitating stroke in February 2005, caused
by whiplash from a motor vehicle accident. A
group of people quickly banded together in an
effort to assist Michael with his costly medical
needs to help him reclaim his life. These people
were the founding board of what is now the BC
Hospitality Foundation.
Since that initial effort, the Foundation has
grown into an industry-wide charity aimed at
providing assistance for individuals who work
in hospitality professions in times of critical
medical need.
A quick visit to the BCHF website profiles
the incredible difference the Foundation has
made in the lives of so many, with a list of
recipients dating back to the Foundation’s
inception. The list is lengthy and inspiring.
It is pleasing to see that as the profile of the
BC Hospitality Foundation develops, the
number of applications for support continues
to increase, thereby empowering the BCHF to
grow and further help a number of our industry
colleagues.
If your business is fundraising for a colleague
or hospitality professional in your community
who is facing hardship due to medical
circumstances, the Foundation will match
up to $5,000 of your fundraising efforts. It’s
an easy way to turn $8,000 into $13,000 in
order to help a colleague in need. There are
also opportunities for individual grants up to
$50,000 for qualifying applicants.
The BC Hotel Association firmly believes in
the importance of the Foundation’s vision of
“working together to help our own”, and in the
spring of 2009 the BCHA decided to exclusively
support the BC Hospitality Foundation as
its charity of choice when BCHF included a
scholarship component as part of its mandate.
The BC Hotel Association believes very strongly
in the need to assist young people wanting
to join the hospitality profession; as we look
ahead, it is critical that we make investments
now in our future workforce.
Since 2009, the BCHF has awarded nearly
40 scholarships to outstanding students in
culinary and hospitality programs at postsecondary institutions across BC. In November
2011, 17 students received scholarships ranging
from $1,250 to $1,500, amounting to a $24,500
investment in culinary and tourism students
from all over BC. This included, for the first
time, four sommelier scholarships provided
through a program funded by Okanagan Crush
Pad winery, and three culinary scholarships
that resulted from a partnership with the Chef’s
Table Society of BC.
The tradition of supporting our future industry
leaders will continue with new award recipients
to be announced at the new HOST 2012,
tourism and hospitality conference, November
4-6th in Vancouver. I very much look forward
to this award ceremony every year, and I hope
that you are able to attend to see the amazing
potential that the next generation of hospitality
and tourism leaders has to offer.
For more information about the BCHF,
its scholarships, beneficiaries and
grant application process, please visit
www.bchospitalityfoundation.com. I encourage
you to get involved and help spread the word
about the good work being done at the BC
Hospitality Foundation.
InnFocus 5
Hotel Success Hinges on Rates
by Jillian McNamee
While 2011 may not have been a banner year for hotels in BC, recent trends indicate performance may
be looking up. Demand may have been the catalyst to drive performance in previous years, but rates will
have to follow in order to continue upward trends.
Although hotel performance in BC in 2010 seemed to suggest recovery
was finally beginning, the province is still struggling to achieve peak
performance. Limited supply growth and steadily increasing demand
served to mitigate downward trends in 2010, yet these factors alone were
not sufficient in creating positive year-over-year performance.
6 InnFocus
BC’s 1,471 hotels* make up 84,530 rooms (43% of which participate in
STR’s data reporting programs). Demand hit its peak in 2007, leading
to occupancy of 67.5%. Occupancy then experienced a steady decline in
2008 and 2009 but started to recover in 2010. Last year ended with 60.7%
occupancy in the province, down 0.3% from 2010.
The province is still struggling to achieve peak performance.
These combined factors led to low revenue
per available room in 2011, down 5.8% from
2010, making the year-end number $82.28,
exactly $10 below the 2007 peak.
Despite this, 2012 performance for the
province should be regarded with cautious
optimism. In line with the rest of the country,
BC experienced modest February year-to-date
increases in occupancy and ADR over last
year (4.4% and 1.1%, respectively), leading
to a 5.5% RevPAR increase (compared to the
overall Canadian increase of 4.6%).
Average daily rate in BC experienced modest
year-over-year gains throughout 2011, but
ended the year at $135.58, down 5.5% from
2010. In fact, 2010 was the peak year for ADR
in the province, which can be attributed, at
least in part, to Vancouver’s role as host of
the 2010 Winter Olympic Games.
In January, occupancy was the major driver
of positive RevPAR performance, up 6.2%
over the previous year, while ADR had no
change, remaining at $129. February saw a
slight increase in occupancy (3.1%) and ADR
went up to $130.77, a 1.6% increase.
Interestingly, this growth was not exhibited by
the key market of Vancouver in the February
year-to-date numbers. While occupancy was
up 2.8%, ADR did not follow (-1.2%) and
RevPAR increased only 1.5%.
Our capital city Victoria ended 2011 more
positively than the province as a whole, with
occupancy up 1.3% and RevPAR unchanged
from the previous year. However, Victoria
experienced significant declines in all three
February year-to-date performance metrics.
Occupancy was down 6.8% to 45.1%, ADR
went down 4.5% to $94.69 and RevPAR
suffered a staggering 11% decrease to $42.70.
On a positive note, limited incoming supply
should continue to benefit the province
as a whole. As of February, there are only
five projects under construction in BC,
representing 586 rooms. If occupancy
continues its growth, this relatively small
number of projects in the pipeline might serve
to bolster pricing power.
*STR defines “hotel” as a property with ten
or more rooms.
Editor’s note: All currency figures in this
article are in Canadian dollars.
Jillian McNamee is Business Development Executive,
Northeastern US and Canada, at STR. She can be
reached at 615.824.8664 ext. 3313.
InnFocus 7
Travel Marketing Trends
by Christopher Chong
It’s a Mad, Mad Mobile World
How often do you stop to think about your mobile device? Yes, it is
smaller, faster and exponentially smarter than the cell phones we started
using in the mid-80s. We have simply adapted and carry on without
stopping to think about the implications of these changes. However, if
there is one technological advance that is going to change how we do
business, it is mobile devices.
in almost every segment from luxury to extended stay want WiFi service
as the top amenity over free breakfast or bedding choices. Yet, the same
survey showed that only one of the segments offered WiFi as an amenity
to guests, highlighting the disparity between what consumers want and
what hoteliers provide. Also note that free WiFi is great, but when it is
painfully slow, frustration levels are just as high as $20 a day usage fees.
Analysts have been predicting that mobile devices will become the
primary access point to the Internet. The projections initially stated that
the tipping point would be reached in 2016, then changed it to 2015,
and now predict it will happen sometime between 2013 and 2014. If this
is the case, we better start re-thinking our digital strategies, or we are
going to miss the mark. If you don’t have a solid mobile strategy for your
organization, stop working on social media feeds and think mobile. After
all, the growth of Facebook and Twitter would not have been as dramatic
if it wasn’t for mobile.
The issue is compounded as many consumers now carry multiple devices
that strain an already limited resource within the property. A laptop,
tablet, and a smart phone are likely accompanying our guests, doing
different tasks at the same time.
There are approximately 28 million mobile subscribers in Canada.
Compared to the 6 billion mobile users worldwide, we are on par at just
over 80% of the population. However, we lag in the area of broadband
mobile compared to technically savvy societies such as Japan and Korea,
where 90% of their citizens have 3G or faster service. This gap has more
to do with how carriers in Canada charge and how the CRTC regulates
the tariffs, but that is a story we can save for another day. The point is
that with increasing competition, access fees will come down and more
Canadians will have broadband on their devices.
Why is mobile so exciting? Because, almost every one of our customers
has one in their pocket, purse, backpack, or briefcase that is most likely
turned on. It’s the first and last thing people check when they wake up or
go to bed. In fact, people have such a hard time parting company with their
devices that 56% of people admit to using them in the bathroom! Whether
it’s a great mobile site or useful apps, consumers can communicate and
create relationships with you at anytime and anywhere. The tremendous
opportunity to engage consumers using their mobile devices to research,
book, and share their experiences is easily within our reach.
But here is the catch. Mobile presents a problem when those guests are
under your roof. A recent TripAdvisor survey showed that 88% of users
expected WiFi service to be free. JD Powers also confirms that consumers
We can’t expect consumers to understand the challenges that are created
by the growing demand for fast, cheap (if not free) WiFi access in hotels.
The fact is, most hotels weren’t designed with this need in mind, and many
are tied into service contracts. To add to the dilemma, traditional revenue
streams such as in-room movies and telephone calls are decreasing,
thanks to services such as NetFlix and Skype.
Mobile will become a de facto for business to stay in the game. It may not
look like it right at this moment, but the wave is just above the horizon
and moving fast. If you are not ready, this is a good time to gather your
team around the table and start developing your strategies.
A mobile strategy should be designed not just with your guests in mind,
but also your staff. How could they use mobile technology to serve guests
better and be more effective? What should guests be able to do before,
during, and after their stay? These decisions must be made sooner than
later.
Connectivity challenges also need to be solved. It could be providing
free WiFi zones, a tiered service that offers a premium option with faster
speeds, or just getting out of an existing vendor contract.
Ultimately, your mobile success depends on the dialogue with your
customers and staff and choosing the right strategy. Start today.
Christopher Chong is an executive with over 25 years of experience in media,
technology, and web marketing for public and private companies including Chalk
Media, Blast Radius and VRX Studios.
InnFocus 9
Dangers of Discounting Meeting Space
by John Kearns
Meeting room occupancies - and consequently revenues from space rentals, food and beverage, and
event resource spend - have dropped considerably since the recession of 2008. An oversupply of meeting
space in Greater Vancouver is most definitely a contributing factor.
In 2008, the hotel, conference centre, and convention centre supply
level was 850,000 sq. ft. The additions to supply since January 2008
provided an additional 466,000 sq. ft., bringing the total at the end of
2011 to 1,316,000 sq. ft. This represents a 35% increase in the supply
of meeting room space inventory in this region. (This number excludes
the Olympic Oval Complex, and it’s repurposing further ramps up the
available exhibit space.
10 InnFocus
Through Vancouver’s abundant citywide convention business in the
months of May and September of 2011, we experienced peak guestroom
and meeting space demand. Although the city attained 2010 Olympic
year levels of occupancy, the remaining months of 2011 saw prevalent
discounting in guestrooms and meeting space.
According to the 2012 forecasted Tourism
Vancouver convention schedule, the market
will experience a 40% decline in delegate
room nights. Canada-wide, group association
and SMERFE market is experiencing a steady
decline in US-sourced business, as evidenced
in the 2012, 2013 citywide bookings in
the main Canadian convention markets of
Toronto, Montreal, and Vancouver. These
three key Canadian cities are simultaneously
experiencing a first time phenomena with
year-over-year steep declines in the number
of citywide conventions. The “buy American”
trend in the US is resulting in strong increases
in US domestic meetings, particularly in the
association market, while a significant decline
in group government meeting business has
been felt throughout North America. The
Recession has reduced the demand for group
guestrooms as well as demand for meeting
space.
With the excess supply situation now
manifesting itself in 2012 and on into 2013
and 2014, the consequence will be a bleak
picture. Hotels need to reconsider the effects
of meeting space discounting, which may
further damage hotels’ profitability.
Discounting in its purest form fails to recognize that function space
is perishable inventory.
Consider Your Selling Model
The traditional selling model for a hotel is
to withhold the availability of meeting space
from the day meeting market until 30 days
out from inventory expiry, in anticipation
of the sales team booking block group
guestrooms with conference or meeting space
requirements. The revenue management
model needs to change.
A number of hotel groups are using discounts
in the application of progressive revenue
management practices to function space. On
occasion, these have been integrated with
guestroom yield. In other cases, a “space
yielder” may be charged with meeting space
revenue management. The key with space
is to measure the occupancy of event space
and revenue performance of each room,
gather information on different segments’
booking patterns, and use this information to
determine the correct pricing and appropriate
yield fences.
When a hotel receives a third party RFP it
is more important than ever to ensure that
the past year’s performance is examined for
delegate attendance and guestroom night
production. I have spoken to a number of
hoteliers who aggressively offered 50% plus
discounts on signature meeting space, only to
discover later that the guestroom component
did not materialize within the booking
window. The attrition clause did not kick in
as the guestroom performance level was set
at 80%. The hotel then changed the meeting
room to a more appropriate size for a smaller
group. It was then difficult to resell the
largest ballroom space within 30 days, so the
decision was made to still accept a reduced
room block and the hotel was deprived of
per person charge revenue and incremental
spend. When hotels follow this scenario, it
reinforces guests’ behaviour in waiting to
book until the hotel demands have dropped.
InnFocus 11
Smaller Meetings are the Trend
Discounting group meeting space to build guestroom or meeting room
occupancy may similarly result in under yielding. The market has
shifted to small groups of 1-30 and 30-100 that are booking space with
very short lead times, so careful attention must be paid to finalization
of group numbers at time of booking versus allowing the meeting space
and guestrooms to flex up or down. Guarantees will assist in reducing
this guest attrition.
Given the trend of booking meetings with a smaller number of attendees,
managers need to determine if a function does not use all of the available
allocated space that the excess capacity does not go to waste. A solution
would be to divide the space into smaller rooms. Hotels with limited
availability to configure space with soundproof floating walls or room
partitions should analyze their turndown information to determine if
they could profit from the investment.
Flat Discounts
Flat discounts are often applied by catering sellers managing meeting
room space who do not understand market segment customer demand
based on time of year, week vs. weekends, day of week, and time of day.
While revenue management is connected with providing discounts,
management needs to consider more than just slow-season specials, and
develop methods for offering differential prices meeting the demand level
at a given time. Instead of offering a discount, offer a two-tier pricing
structure. If two prices are offered, revenue will increase because some of
12 InnFocus
the price-sensitive clients will purchase at a lower price, leaving the more
desirable dates and times available to those who are less price-driven.
Shift Demand from Peak to Need Periods
Broad scale discounting is a serious pitfall because price is only one
of the means that customers use to assess the experience or perceived
value of a service. An approach that we use is to forecast daily demand of
Revenue Available per Square Foot (REVPASF) for each function space
and designate the day as “Peak” - extremely busy, “Shoulder” - busy, or
“Need” - slow. We then focus on Peak to increase REVPASF through
offering higher prices and Need by placing efforts on increasing the
number of customers through a price inducement.
By having fences, demand can be shifted from Peak to Need periods
and targeted to schedule high margin business at the busiest times.
Consider creating a demand management program. I have observed
that event managers offer similar room rental, food and beverage, and
resources regardless of the meeting planner demand characteristics.
The question for hoteliers is, “Can you implement a type of systematic
pricing differential for Peak times and Need times, thereby creating a
demand management framework?”
The Value of Meeting Space
Discounting in its purest form fails to recognize that function space is
perishable inventory, and compromises the seller’s measurement of
efficiency, which should be based on REVPASF. Function space must
generate sufficient revenue to cover variable costs and offset a degree of
fixed overhead. Meeting space sellers need to develop an understanding
that meeting room rental has a flow through contribution of about 80%
vs. food and beverage service based events, which generate a contribution
margin of about 30%. For example, weddings typically consume food
and beverage services but usually require fewer guestrooms than a high
contribution business convention. The practice of offering free meeting
room rental to this social segment needs to be examined in light of the
desired contribution margin and time sensitivity of the date the event
is hosted.
Discounts are often provided to clients visiting the property to inquire
and plan an event in order to incentivize the sale. In reality, preferential
rates should be offered depending on the booking channel. A customer
who books through an event booking centre is costing the hotel less in
terms of selling time than the client attending the property.
The Impact of Meetings
There is a current demand in the marketplace for ROI-based
determinations on the impact of meetings. Often the measurement
applied is the discounted price of the meeting versus other more tangible
and available yardsticks. Corporations are viewing the virtual meetings
piece as time saving, cost constraining, and therefore more productive.
The need to create sufficient value in a meeting to justify having it occur
is more appropriately achieved by partnering with metrics companies
that specialize in pre-post strategic measurement to measure content
retention and supplemental education opportunities, rather than to offer
a steady diet of discounts.
Meeting Professionals International (MPI) believes the current
conditions in the rapidly changing North American business, economic,
social, and technological environment provides many new opportunities
and challenges for hotel and meeting space owners, and affects how
meetings are planned, perceived and executed. The long-term impact
of discounting, and how a hotel will return a value to its shareholders,
is of concern as meetings become increasingly more strategic in nature
with clients demanding higher quality. For hoteliers, the quality and
overall meeting experience will become a trademark, and trained and
experienced meeting professionals will become a competitive advantage
providing a distinct selling proposition in setting these operators apart
from others in the industry.
John Kearns, CHA,CHE, CMP is the Chief Experience Officer for the Sheraton
Vancouver Guildford Hotel and instructs in the Hospitality Degree - Bachelor of
Hospitality Management program at Vancouver Community College.
InnFocus 13
Names in the News
Welcome to the following new BCHA
members: Chalet Europe, Radium Hot
Springs; Times Square Suites Hotel,
Vancouver; Northwinds Lodge, Dawson
Creek; and Merritt Travelodge, Merritt.
New BCHA associates include Atel Solutions,
Richmond; MGC Construction, Kelowna;
Restonic Canada , Surrey; Western
Safety Surfacing , Summerland; and
WorldHost® Training Services, Victoria.
Congratulations to the new general managers
at the following properties: Suzanne
Allemeier , Residence Inn by Marriott
Vancouver Downtown; Bernd Bohl ,
Huntingdon Hotel & Suites, Victoria; Tanis
Clark , Anco Motel, Courtenay; Deejay
Dhillon , Best Western Maple Ridge
(previously the Travelodge Maple Ridge);
Joe Dias, Metropolitan Hotel Vancouver;
Barbara Hicks, Hotel Le Soleil, Vancouver;
Scott Hoadley, Best Western Plus Emerald
Isle, Sidney; Michelle Le Sage, Oak Bay
Beach Hotel, Victoria; Rob Lindskog ,
Fireside Inn, Castlegar; David Rooper,
Best Western Plus The Westerly Hotel &
Convention Centre, Courtenay; Navid
Sariolghalam, The Sutton Place Hotel,
Vancouver; Roger Soane, Nita Lake Lodge,
Whistler; and Kris Szylowski, Holiday Inn
& Suites Vancouver Downtown.
14 InnFocus
by Debbie Minke
The Travelodge - Vernon is now the Journey
Inn. The Coast Prince Rupert Hotel is now
the Prince Rupert Hotel.
Dean & Julie Johnson, of the Howard
Johnson Hotel - Port Alberni were named
General Manager(s) of the Year.
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.
Hero Parikh, owner and operator of the
Knights Inn Merritt, was awarded General
Manager of the Year by Knights Inn Canada.
The Knights Inn, Barriere received a Quality
Assurance “Excellence” award.
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, Managing Director of
Sales Canada, Latin America & International
Sales, Hilton Worldwide.
Howard Johnson Canada announced their
top performers of 2011. Howard Johnson
North Burnaby’s Boutique Hotel
captured two awards - Property of the Year
and Best Overall Customer Satisfaction, while
Congratulations to the Pemberton Valley
Lodge, which recently won the Best Green
Business award at the 2012 Small Business
BC’s Successful You Awards. The lodge
recycles its used soap through the Clean the
World program, and has greatly reduced its
water and energy consumption.
Pomeroy Lodging has added a number of new
properties to its Western Canada portfolio,
including the Stonebridge Hotel in
Fort St. John, which is a full service hotel
with 127 newly renovated rooms, including
kitchenettes, executive suites, high-speed
Internet, 42” flat panel HDTVs in every room,
and other amenities.
Executive Hotels Resorts has taken
over ownership and management of the
Mountainside Lodge in Whistler.
This property features the internationally
acclaimed Italian restaurant Trattoria.
If you have any noteworthy community
contributions, please email Debbie Minke at debbie@
emcmarketing.com.
From the Front Line
by Donna Horn
Creating a Service Culture
The customer service experienced by your guests is a key influencer on
the success of your property. Operationally, what strategies can you
implement to support a level of service that is impactful, authentic, and
self-sustaining?
Tigh-Na-Mara Seaside Spa Resort & Conference Centre, a licensed
WorldHost® property, has created an award-winning formula for
exceptional customer service, and it all begins with staff empowerment.
At Tigh-Na-Mara, stories such as the following are commonplace:
• A bride whose dress tragically rips moments before her wedding
ceremony begins is saved by a member of the staff who immediately
finds a needle and thread and sews her into her dress.
• A couple with a newborn baby has forgotten to reserve a crib for a
busy weekend and none are available. A staff member with her own
eight-month old child calls her husband who delivers their own crib to
the resort for the guests’ use.
• A guest forced to cancel her dinner reservation due to an upset stomach
finds Gravol and ginger ale delivered to her room after the staff member
who took the cancellation finished her shift.
• A local business owner, who enjoys his custom (not on the menu)
lunch two to three times a week, unknowingly has an influence on the
planning of upcoming wine list changes, adjusted to ensure his favourite
wine continues to be available.
The service philosophy of this Vancouver Island-based resort is so
integrated into its daily practices that guests experience the highest
standard of service with every employee interaction. What does TighNa-Mara’s management team do operationally to create their culture
of service? We recently interviewed Laurie Sagle, Director of Human
Resources at Tigh-Na-Mara, to learn the secrets to their success.
Direct Communication from the Front-line to the Top
At Tigh-Na-Mara, monthly face-to-face meetings known as “Rap
Sessions” are a key communication link between the GM and frontline employees. Sessions are booked into the GM’s schedule a year in
advance and given such a high priority that they are rarely rescheduled.
Six to eight employees attend each session, with a rep from each large
department and rotating representation from smaller departments. Prior
to each session, the GM and Laurie sit down and develop a couple of
questions to get the conversation started, such as “What went well for
your department this month?”, “What would you have done differently?”,
“What tools would make you more effective?”, or “What have you heard
from guests?”. The sessions provide an open forum for employees to
ask questions, make comments, and raise concerns. Topics range from
business projections over the next few months to guest comments
received, equipment purchases or feedback on recent events. In his
responses, the GM shares the thinking behind many of the operational
decisions made at the resort. Each session runs for about an hour and
communicates to front-line staff that management is approachable,
interested in their ideas, and committed to the culture of caring about
guests’ experiences. Minutes that summarize topics and responses are
posted after each meeting on the resort’s communication boards for all
employees to read.
The Care Committee is another direct link at Tigh-Na-Mara for staff to
provide input on business decisions. The committee is made up of seven
volunteers representing each department in the resort. When a business
decision needs to be made about something that affects employees,
Laurie puts together a set of survey questions that committee members
then use to interview the other members of their business area and
collect feedback in a written summary form. Committee members have
one month to collect responses and then meet to discuss them. The input
received influences decisions on topics including staff benefit plans,
recognition programs, and events. Committee members serve for at least
one year and collect feedback and input on seven or eight topics a year.
Make Staff Recognition a Priority, Not an After-thought
The Sea Star Program at Tigh-Na-Mara provides an opportunity to
recognize outstanding customer service. Employees can nominate their
fellow colleagues using a written form and the nominations must be
approved by a supervisor or team lead. Sea Star nominations are posted
on staff communication boards for everyone to see. Sea Star recipients
(from 40 to 120 in any given month) are acknowledged at monthly
recognition receptions along with team members achieving long service
milestones and service anniversaries. At each reception, 25 to 30 gifts
are awarded and several service stories are shared. Sea Star recipients
also accumulate bonus points to be used towards recognition gifts, such
as dinner or entertainment certificates. The emphasis on recognizing
staff supports the focus on customer service that permeates the resort.
Let’s sum up Tigh-Na-Mara’s formula: value your people. Fostering a
culture where your employees feel valued and recognized for the work
that they do generates amazing results in customer service, and positions
your property for success.
Donna Horn works with WorldHost® Training Services
www.WorldHosttraining.com.
Next Issue
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InnFocus 15
The Oak Bay Beach Hotel
A Five-Star Celebration of Memories and
21st-Century Hospitality
by Chris McBeath
The renaissance of the new Oak Bay Beach Hotel has been
one of the most anticipated comebacks in Victoria. For
owners Kevin and Shawna Walker, it is a hard-earned
reward for dreaming big, and navigating many near-death
challenges - including recessionary times, re-zoning
complications, and community tensions.
Realizing the Story
“Having just purchased the hotel from Kevin’s dad in 1996,
the BC seismic laws changed. Not only were we suddenly
faced with an outlay of $14 million for structural upgrades,
we also realized that the building, which was over 80 years
old, needed much more to take us into the future,” explains
Shawna. “Closing the hotel became our only option.”
Its demise, however, caused such local controversy,
that whether the Walkers were to develop a new hotel
or a condominium complex, their success depended on
16 InnFocus
community support. “Staying the course through the
collaborative, public process was not without its heartaches,
not least of which was operating a ‘dying’ hotel for four
years,” she admits. “In the end, though, we’ve ended up
with a better hotel, and have appreciated some very special
relationships along the way.”
Kevin continues, “We kept wondering what it was about the
building that evoked such emotion. But when comments
like: ‘the memories are in the bricks’ kept ricocheting off
the walls, we realized that the hotel had too many stories
for us to raze it to the ground.”
Adapt, Reuse, Recycle
From that moment on, “demolition” was reframed as
“deconstruction”. “Adaptive reuse is a conservation
principle used in many heritage restorations, and it changed
the whole context,” Kevin explains. “We were no longer
destroying anything, we were dismantling the hotel beam by beam, so that we
could give it new life in a very sustainable and sophisticated way.
The approach was pivotal in securing full public support. “Taking this route
probably added $3 million to our overall costs,” Kevin notes. “While demolition
would have taken about 10 days, deconstruction took nearer to six months.
We had to plan which elements were to be reused, and every piece had to be
numbered, stored, and refurbished during the construction period.”
Family Matters
The stories of the Oak Bay Beach Hotel reside also with the Walker family itself.
“When we were younger, we both worked at the hotel - Kevin for his dad and
me as a tea waitress - and it’s always been a part of our married life,” comments
Shawna. “As we see our kids getting ready to take the helm, we are so proud to
see how family values and hospitality have translated into the art of pure hoteling
through four generations. Now, with the new property, we’re deepening that
intrinsic value into ‘intentional hospitality’.”
Named after the Walker’s daughter, Kate’s Café incorporates many
refurbished features: 2,500 bricks (each cleaned by hand), wood beams,
leaded windows, and the former hotel’s front door.
For both Kevin and Shawna, tourism is a passion that fuels their industry
involvement. Kevin is past Chairman of the Boards of the Hotel Association of
Canada, and the Council of Tourism Associations of BC as well the BC Hotel
Association, and is the recipient of many awards including Hotelier of the Year,
Tourism Industry Leader of the Year, and Tourism Victoria’s Miracle Award.
Also recognized as a tourism leader, Shawna is Chair for the Oak Bay Tourism
Marketing consortium, and her expertise is evident in her development of
eco-tourism based adventure products, and more recently, the Discovery Club
Luxury Destinations.
Vision to Everyday Reality
With 25 years in the hotel industry on Vancouver Island, and a 1920 character
home in Oak Bay itself, Michelle Le Sage was recently appointed general manager,
and feels she has come home in more ways than one. “Our concepts of hospitality
are so aligned that when I joined the OBH team in February, I was able to hit
the ground running,” describes Michelle. “We’ve even gone through our first
renovation,” she jokes. “Initial choices were done five years ago, so we had to
revisit every fabric, floor covering, and piece of cutlery, all of which we selected
according to one key criteria: what was going to deliver the best guest experience.”
Intentional Hospitality
The process also integrated into what the OBH team refers to as ‘intentional
hospitality’, an empowering service ethic where beyond-the-call-of-duty is the
norm. Michelle explains, “If a staff member hears a guest remark about the
beautiful flowers in the garden, we expect them to take the initiative, perhaps to
cut a few flowers and have them placed in that guest’s room. We want our staff
to embody a five-star service attitude as a part of who they are.”
Kevin and Shawna Walker
A 10-year relationship with the David Foster Foundation underscores the
Walkers’ commitment to give back to the community they serve.
Tangible Memories
While the new hotel is clearly equipped for the 21st century, guests will discover
memory touchstones throughout the property. Not only has the iconic Snug Pub
been recreated, but hotel artifacts and pictures - from the original lead windows
to refurbished hardware and antique furnishings - have become integral design
elements inside and out.
“We never expected to be a development company, and although we might look
for other opportunities in the future, we are hoteliers at heart”, Kevin emphasizes.
“And right now, we have memories to share and a new story to begin.”
InnFocus 17
Social Media Tracking &
Online Reputation Management
by Teresa Soriano-Villaruz
Conversations about your brand are happening online whether you like it or not. The question is, are
you listening and joining in the conversation? With that in mind, this article focuses on the importance
of online reputation management and how social media can help improve your hotel’s online branding.
What Is Online Reputation Management,
and Why Is It So Important?
Online Reputation Management (ORM) is the act of monitoring online
conversations about your brand and executing online strategies to
highlight positive, quality content while suppressing damaging content
from the consumers’ view. In today’s social web, consumers who used
to share product information and service experiences during coffee
breaks or backyard get-togethers now turn to online channels to share
their thoughts and product ratings. Furthermore, search engines now
18 InnFocus
consider social channels and conversations in their results listings. If
a traveller performs online research on your hotel and finds that the
majority of online results are negative in nature, the likelihood of this
traveller booking a room at your hotel is slim to none. This is why online
reputation management should be a critical part of a hotel’s revenue
management/sales and marketing strategy.
There are three ongoing steps to online reputation management:
1. Monitor. According to research by the Opinion Research
Corporation (ORC), 80% of travellers perform research prior to booking,
while 84% of Americans say that their buying decisions are highly
influenced by online reviews. Therefore, as more travellers perform
diligent research prior to booking a room, it is important that GMs and
hotel owners know exactly what information consumers can find online
about their hotel.
Ignoring online social activity and hotel mentions, or responding
inappropriately, can have a negative effect on the hotel’s branding, which
can then be detrimental to its overall revenue. This is especially true if
negative reviews dominate the search engine results. There is, however,
an upside to this. Traditionally, happy clients are the best source of new/
referral business and online forums are the new and more powerful
word-of-mouth, which leads to the second step in online reputation
management: listen and learn.
2. Listen and Learn. In today’s world, consumer reviews come in
through a variety of different websites, blogs, and social media channels.
In a sense, the Internet is the modern day comment card. So it’s important
for hoteliers to be proactive in listening and understanding what people
are saying and sharing in various online channels. Monitoring what
guests say about the hotel allows the GM or owner to understand why the
hotel’s online reputation is as it is. Are most reviews positive or negative?
What are the issues that guests mention? What are the keywords that
they use to describe the hotel? By asking these simple questions, hoteliers
can learn what their target consumers are looking for, and the hotel staff
can then define steps on how to improve their services.
Narrow down your target market, identify the
social media venues that they are frequenting,
and make sure that your hotel has a presence in
these channels.
3. Manage and Engage. First things first - don’t ignore guest reviews,
especially negative ones. Instead, consider the following steps:
• Start by thanking the guest for their comments;
• Provide an explanation for her experience (whether good or bad);
• Provide a list of actions the hotel will be performing or has taken to
improve guest experience;
• Provide direct contact information to personalize the response; and
• Share guest reviews with hotel staff and assign tasks to improve
services.
By looking at bad reviews in a positive light, hoteliers can pinpoint
problems and improve services. By acknowledging the reviewer, showing
that management is listening and assuring their concerns are heard, an
angry guest can be converted into a loyal customer.
InnFocus 19
How Can Social Media Help Improve Your Hotel’s
Online Reputation?
Social media gives hotels the opportunity to reach out to their tech-savvy
customers online. The Internet is full of websites that provide tools and
applications to make smart purchasing decisions, and travel consumers
perform diligent research prior to booking. Below are several ways hotels
can use social media to improve their marketing strategies and manage
their online branding:
1. Brand Building. Social media channels offer a way for hotels to
create brand awareness. Narrow down your target market, identify the
social media venues that they are frequenting, and make sure that your
hotel has a presence in these channels.
2. Modern Day Comment Card. Online review channels, such as
TripAdvisor and Yelp, are today’s modern day comment card for hotels.
Travellers are now more vocal than ever when sharing their travel
experience. Brands can get valuable feedback about their properties by
examining the top hotel review sites.
3. Build and Improve Customer Relationships. Listening to what
your guests think about your hotel can help you improve your services by
understanding their issues or finding out what they like most about your
property. The next step is connecting with them directly and informing
them that their concerns are being taken care of. This action can turn a
disgruntled guest into a satisfied and loyal customer.
4. Using Social Channels as Real-Time Customer Support.
Social networking channels, such as Twitter and Facebook, allow for
hotels to provide real-time customer support for their guests.
5. Creating Brand Ambassadors. There’s no better brand
ambassadors than happy and satisfied guests. Ask cheerful guests to
leave favourable comments on review channels and share what they like
about your hotel with their online friends.
6. Position the Hotel as the Local Expert. Frequently sharing
upcoming events, local attractions, and things to do in your local market
can help position your hotel as the expert in your market and the go-to
profile for travellers looking to visit your area. Integrating social sharing
buttons such as Facebook’s “like” and Google’s “+1” on your website and
blog makes it easier for your guests to share your information with their
social circles.
7. Saturate Universal Search. Search engines place importance
on social media and reviews as ranking factors in search. Having welloptimized social media profiles and sharing quality and relevant content
can help your hotel saturate search results.
8. Drive Revenue. There’s a direct correlation between guest reviews
and revenue performance. Good hotel reviews will influence travellers
to book rooms at your hotel, while bad reviews will push them to your
competitors. We suggest hoteliers encourage happy guests to leave more
reviews on different online channels.
Social media and online reputation management should be part of a
hotel’s revenue management/sales and marketing strategy. Spending the
time to review these channels can help hoteliers understand consumer
behaviour, learn about their guests’ experiences, and spot customer
trends. By doing so, hoteliers can then make the necessary steps to
improve their services. In addition, hoteliers can also allocate marketing
efforts on these channels to help improve customer relationships and
overall consumer perception of the hotel, which can drive reservations
and increase revenue.
Teresa Soriano-Villaruz is a Senior Marketing Specialist at Milestone Internet
Marketing. Milestone Internet Marketing is a Silicon Valley-based digital media
company focused on lodging and drives over $550 million in revenue per year for
over 1000 hotels and resorts.
20 InnFocus
BCHA Member Benefits
by Louise Thompson
Cost Plus Processing
Earlier this year, we announced our
new credit card merchant discount
program through FastWater Payments,
in partnership with their global payment
processors. This program has seen a lot
of initial interest from our members wishing to cut their credit card
processing costs, given this program’s potential to drive significant
savings to our members. Initial analysis indicates that savings can range
up to $12,000 a year and beyond.
The new Cost Plus Program already has a great track record of providing
considerable savings to our members. Tim Rodgers of the Best Western
Plus Kamloops is savings thousands of dollars this year after making the
switch. “I was an early adopter of the Cost Plus Program and am very
pleased with the savings we have since incurred,” Rodgers commented.
This exclusive payment processing program was created by BCHA and
FastWater Payments in response to the concerns shared by industry
representatives about the need for a better payment processing option,
one that meets the needs of merchants, and importantly, that is a simple
and effective solution for reducing processing costs.
This program differs from other credit card merchant programs for a
host of reasons, including:
• It has the unique benefit of applying cost reduction strategies to both
qualified and non-qualified transactions.
• The rates offered by FastWater are guaranteed and locked in for the
full term of the contract.
• The program has a solution for each property’s individual needs. There
are options for fully PMS integrated, stand-alone and wireless
solutions.
• Participation in this program supports the BC Hospitality Foundation
(BCHF). The BCHF is the BC Hotel Association’s charity of choice and
plays an integral role in supporting our industry. We are proud to offer
a program that directly contributes to the BCHF’s important efforts.
This is truly a program that puts the needs of the hotel industry first.
“The tailored service and support to the BC Hospitality Foundation were
key in our decision-making process,” said Ross Dyck of the Sylvia Hotel
in Vancouver. “The credit card processing industry is highly competitive
and this company’s commitment to our industry and working on behalf
of hotels is what really set this program apart from the rest.”
For more information on the many value-added programs offered by the BC Hotel
Association, please contact Louise Thompson at 604-443-4756 or 1-800-663-3151
ext. 756.
InnFocus 21
Courtesy of Sun Peaks Lodge
Customer Loyalty Strategies
by Louise Hudson
Prospecting for new customers costs between five and seven times more than maintaining your current
clientele. With this in mind, savvy hoteliers everywhere have to invent ingenious strategies to keep their
customers loyal to their brand or destination. One of the ways hotels and businesses strive to impress
their customers these days is with rewards and loyalty programs that offer discounts and upgrades both
at their own establishments, and sometimes at neighbouring businesses. Such programs double up as
valuable market research engines, as guests usually have to give personal information in order to qualify
for the reward cards.
Wooing and Wowing Repeaters
Fairmont Hotels & Resorts is known all over the world for its luxurious
properties in spectacular settings. So, with guests already awed by the
architecture and the environment, how does Fairmont go the extra mile
to keep its clients coming back? One method is to get the guests to think
of Fairmont as a club in which they can become honoured members.
Jenny Dunbar, Regional Director, Public Relations, Mountain Region,
says the Fairmont President’s Club is “a recognition program designed
with individual travel preferences, passions, and interests in mind.”
22 InnFocus
Members’ benefits start on arrival at a Fairmont property with a special
private reception desk offering express check-in and check-out. The free
membership also includes free high-speed Internet and local phone
calls, Fairmont Fit, the complimentary use of golf clubs, and retail and
spa discounts. Anxious to harness social media networking, Fairmont
has also launched a website-based “Everyone’s an Original” program.
This is a platform for guests to share their experiences through social
media options such as Facebook and Twitter. This forum also contains
contests and special promotions for members.
Rewards Program
It’s not just the big hotels that can afford
to offer loyalty programs, a few smaller BC
properties are getting in on the act as well.
The Inn at Laurel Point is a locally-owned and
operated hotel in downtown Victoria that has
emulated the larger hotel chains in pioneering
a loyalty program. Members of the aptlynamed “Innsiders” program get early checkin, late check-out, room selection, choice of
delivered newspapers, penalty-free same-day
5:00 pm cancellation, storage of personal
belongings between visits, and rewards
based on number of stays. It’s a free service
available to any guest. The hotel started the
scheme a year ago and, according to Avril
Matthews, Director of Sales & Marketing, it
has been “wildly successful”. “We have over
1,000 guests registered in just one year,” she
notes. The hotel uses the data it compiles
from the registrations to help customize guest
experiences. “The best part is that guests
have to book direct in order to collect points
in the program,” explains Matthews. The
company works hard at staying connected
with their clientele, using social media such as
Facebook, Twitter, newsletters, and blogging
Courtesy of Accent Inns
to full advantage. Although it is usually
the larger hotel chains that utilize loyalty
programs, Matthews shares that management
felt that the scheme was a natural progression
for the property in recognizing their repeat
customers.
Creature Comforts
Accent Inns has upped the service stakes with
a pet loyalty program as well as its human
one. The unique pet program has attracted
national media coverage and Business
Development Manager, John Espley says it
InnFocus 23
has also positively impacted bookings. “Both in word-of-mouth and
bookings, the program has matched our expectations or even gone a
bit further. Any value-add you can offer a guest is appreciated by them,
but I believe even more so when you pay attention to their pets,” he
describes. “Pets are like children for a lot of people; they are indeed their
best friends, so recognizing their pet really means a lot.” Pets get five
nights for the price of four - and they don’t have to be consecutive. Since
launching the program in March 2011, the family-owned and operated
BC chain has offered designated pet rooms in its Vancouver Airport,
Victoria, Burnaby, Kelowna, and Kamloops hotels. A dollar of every pet
fee is donated to the BC SPCA and dog treats, pickup bags, and towels
are also provided as well as green space for dog walking.
Taking care of and remembering your repeat
customers… must go beyond just the computer
telling you they’ve stayed before.
The pet program was a natural progression from Accent Inns’ pet-friendly
policy. “We’ve done really well with our pet-friendly program in general,
have partnered with the BC SPCA and thought ‘What else can we do?’”
explains Espley. “The owners and staff are really pet lovers here so it’s
easy to give our four legged friends the focus they deserve.” When pet
owners use their rewards cards, the information is tracked to keep count
of pet nights booked and redemption rates. Around 25% of pet owner
guests have joined the scheme so far, and Espley says thousands of pet
room nights are recorded each year, with numbers growing.
Frequent guests (with or without pets) can pick up a free Frequent Guest
Card, which offers a gift after 8 nights and a night on the house after 14
nights. Espley, who has worked at Accent Inns for nearly 24 years, has
come to know repeat customers who have been loyal for 15 years and
more. “Customer loyalty is hard to earn these days, but when you do
[have it] it’s the Holy Grail,” he notes. “Taking care of and remembering
your repeat customers means so much to them, but it must go beyond
just the computer telling you they’ve stayed before.” With Accent Inn’s
reputation and success built on repeat business, Espley says it is vital to
interact with and really get to know the customers. “Many will request
their favourite staff member when they call to reserve a room.”
Referral Rewards
The best service is a combination of thoughtful observation, personal
attention, and savvy marketing whereby the guest feels like a cherished
friend or family member rather than a paying customer. Although it is
places that attract us, it is often people who inspire us to keep coming
back. Silvia and Mario Erler recognize this, running the Sun Peaks Lodge
& Steakhouse with a very personal touch. They befriend their customers
in the hope of creating repeat business. “The Sun Peaks Lodge is one of
the smaller hotels in Sun Peaks,” describes Silvia. “We have the advantage
of getting to know our guest quickly.” All guests meet the managers as
well as front-line staff as soon as they step into the hotel. “We help them
park their car, and offer assistance with luggage, information about
the village, tips on best restaurants, runs, and so on. We like to call it
personal service,” explains Silvia. Loyal customers are rewarded with free
upgrades and bottles of wine in their rooms. Guests who make referrals
are rewarded with a $50 voucher towards their next visit.
24 InnFocus
Double Rewards
Visitors at the can earn Dialus points with a free card. They earn one
point - worth 5 cents - per dollar spent, with no expiry date. By signing
up for the Sundial Boutique Hotel’s newsletter, they are notified of
opportunities to double their points and earn free nights. Points are
redeemable on room rates and tax, and referring a friend earns 500
extra points. Dialus members automatically receive exclusive discount
rates when their reservation is booked directly with the Sundial
Boutique Hotel. Membership is complimentary after the first stay at
the hotel. Jasmine Ashworth, Director of Sales & Marketing for Sundial
Management, says the program has been very successful since the hotel
opened in 2005. “Over 12% of the Sundial Boutique Hotel’s business
is from loyal repeat guests,” she shares. The company collects Dialus
comment cards and uses the feedback to improve both product and
services. The program has been invaluable in spreading awareness about
the boutique hotel. “Repeat business is a key factor in our success as we
continue to see this segment grow, and it is a testament to our mission
of always ensuring an exceptional, personal, and memorable experience
for each guest,” Ashworth explains.
Loyalty Budget
Mica Heliskiing, based in Revelstoke, has a big budget to woo and keep
its customers. “It’s easier to re-sell to them than to start looking for
more customers, as there is such a small pool of heliskiers - perhaps
10,000 in the world - and everyone is fighting for them,” explains Darryn
Shewchuk, Director of Sales & Marketing. Rather than discounting for
repeat bookings or early registrations, Mica gives loyalty gifts. “Last year
we spent close to $50,000 on loyalty gifts,” Shewchuk admits. Two years
ago, the top 180 guests received a 30-year-old Scotch inscribed with
their name on Mica’s private label and sent in a mahogany case direct
from Scotland. Other gifts have included remote control helicopters
emblazoned with Mica’s logo. Guests are also given small presents that
they find under their pillows each evening after skiing as well as a video
slide show of their trip set to music on a USB stick.
Loyalty Discounts
Bighorn Meadows is a ski and golf resort with 123 luxurious selfcontained one, two, and three bedroom suites. Its True Key Loyalty
Program entitles visitors in Radium Hot Springs to a 15% discount on
accommodation at Bighorn Meadows, Sunrise Ridge, and Harrison
Beach Hotel. It gives free parking and complimentary upgrades and
there are further discounts for card holders at spas, retailers, restaurants,
tours, golf courses, car clinics, etc.
Lifetime Value
Not every company can afford to research the lifetime value of repeat
customers or have the clout to inaugurate such schemes as Air Miles
deals. However, it is worthwhile adapting large-scale loyalty programs
to fit smaller establishments. For example, Fairmont introduced online
check-in and check-out last year to cater to time-pressed travellers.
Restaurants everywhere are moving towards online reservations these
days, and hotels of all sizes could emulate this. If such extras are offered
only to “club” or loyalty program members, there is an added bonus of
getting more people into the scheme and collecting valuable data for
future marketing programs.
InnFocus 25
F&B Trends in Hotels
by David Swanston
The role of food and beverage operations continues to take on greater prominence for lodging operators.
For mid-market properties, F&B can add value for guests and be a differentiating factor. For up-market
facilities, a well-executed program can enhance the guest experience, reinforce the brand position, and
become a drawing point for the property.
Creativity, innovative delivery, and a focus on healthy menu items that
reflect unique target customer needs are the overarching themes guiding
F&B menu planning for BC’s lodging operators. Fads pass as quickly as
they arrive. Culinary teams that are able to identify emerging trends,
fundamental shifts in consumer preferences, and become early movers
to create distinctive ways to satisfy these needs will gain a lasting market
advantage.
Although each property will require a unique approach to its menu
design, based on its guest profile, style of service, and geography, there
are a few universal conditions that must be addressed. Guests are
demanding greater value and are more conscious of price levels. Midmarket operators are addressing this by enhancing their complimentary
breakfast offerings, and creating new F&B services, such as 24-hour
snack stations and branded coffee bars. Fine dining restaurants and
up-market properties are relaxing the formality and launching menus
that provide price points that are more accessible.
At the same time, menus must be more dynamic, offer greater selection,
and satisfy an increasing range of dietary needs. F&B managers are under
pressure to deliver creative selections, specialized items, and high quality
26 InnFocus
offerings while controlling costs. It’s no easy task, yet many are rising
to the challenge. Interviews with managers at several BC properties
revealed that not only are they meeting these demands, but they are
continuing to evolve to meet the needs of tomorrow’s guests.
Grab and Go
Self-serve snack stations are becoming an attractive option for providing
enhanced F&B service to guests. Utilizing minimal real estate, these
kiosks require very little upkeep and can often be maintained by desk
staff. Guests help themselves when it’s most convenient, complimenting
or even replacing traditional foodservice options.
Popular options include selections of flavoured coffees, teas, and
specialty hot beverages using pod brewing technology for both kiosk
and in-room service. These can be presented along with fresh fruit,
snack bars, muffins, and chilled products such as individual yogurt or
bottled water. Finer options may include fresh baked cookies, gourmet
chocolates, bread crisps, cheeses, spreads, and infused distilled water
decanters.
Menus must be more dynamic, offer greater selection, and
satisfy an increasing range of dietary needs.
Multi-Ethnic Cuisine
Regional Flare
Guests in BC continue to expand their
international palates. Greater exposure to
new cuisine and the influx of new workers
is increasing ethnic diversity within the
province. Janis Goard, Director of Food &
Beverage for The Hotel Grand Pacific in
Victoria offers, “We also experience greater
demand for international dishes, especially
Asian meals, coming from tour groups.”
Menus need to reflect a broader array of
flavours and cooking styles to satisfy the
expectations of a more discerning clientele.
Local ingredient sourcing is not new, but
the coming year should see this movement
intensified. Visitors to your property
will value the opportunity to experience
regional food and beverages not available
elsewhere. The authenticity of these dishes,
created with fresh and sometimes unique
ingredients that are produced locally, will
add credibility to your operations.
Asian-inspired dishes including pork, whole
fish, and noodles will continue to grow in
popularity. Korean kimchy, spicy Thai, and
masala sauces are finding their way into many
mainstream menus. “On the weekends, our
chef prepares a Dim Sum menu using Ocean
Wise seafood that is quite popular,” adds
Goard. Modern variations on traditional South
American meals, particularly Peruvian, are
well received. These dishes use combinations
of commonly available ingredients such as
corn, tomatoes, chilies, lime, cilantro, nuts,
long-grain rice, fish, and chicken.
Like the countries themselves, these dishes
reflect the influences of many cultures
blended together to create some truly inspired
results. Fusion approaches to preparing many
authentic ethnic cuisines will allow chefs great
latitude in creating memorable dishes.
Go Bold
It’s all about flavour. Marinades, sauces, spice
rubs, herb blends, smoking, and the use of
exotic ingredients will help transform even
simple dishes into meals that stimulate and
excite. It doesn’t take much to add a level
of complexity to a recipe that will make it
extraordinary. Building on the international
cuisine and cooking styles mentioned
previously, menus should include a range of
flavour profiles to delight and surprise even
your most worldly clientele.
Steve Smith, of the Crest Hotel in Prince
Rupert, explains that although there is always
demand for fresh, locally caught fish and
seafood, “we try to add value to dishes by
enhancing even traditional menu items, such
as our BBQ Smoked Salmon Chowder or our
Japanese Mushroom Soup.”
Taking “buy local” to the extreme, operators
are now bringing production activities inhouse with rooftop greenhouses, honey bee
colonies, microbreweries, and wine made
on the premises. Even if purchased from
community suppliers, guests will embrace
artisan breads, meats, cheeses, produce, and
boutique spirits that reflect the local climate
and agriculture.
Alliances with regional producers encourage
customization of products, allowing for
greater menu differentiation. The Hotel Grand
Pacific offers a Charcuterie Plate featuring
locally produced salamis and house-made
terrines as well as locally handmade chèvre.
Special Menu Requirements
Guests want more than just a handful of menu
choices designated as “healthy”. Some study
estimates suggest that 30% to 50% of the
population suffers from some form of food
intolerance, and approximately 1 in every
13 people have a severe food allergy. Add
these to guests who follow strict diets such
as vegetarian, vegan, organic, kosher, and
Halal, and it can seem impossible to meet
everyone’s needs.
Goard explains, “We always maintain a large
selection of items on hand to meet last minute
requests of guests for vegetarian meals and
those with food allergies.” The frequency of
these requests appears to be increasing right
across the province.
Bombay Peggy’s Victorian Inn in Dawson
City is currently researching new glutenfree menu options in response to rising
demand. According to Night Manager Krissy
Hunter, “We are looking at both food and
beverage products that meet the needs of
those following gluten-free diets, but do not
sacrifice quality and taste.”
While providing menus that meet the
requirements of those on restricted diets
may not be the primary reason for a guest
choosing your facility, it may be the deciding
factor when choosing between comparable
operations. More importantly, offering
suitable dishes will enhance those guests’
experiences and increase the likelihood of
return visits.
Beverages
Many of the food trends mentioned seem to
be spreading to beverage menus as well. The
cocktail culture is on the rise, and customers
want to try something unique. For some this
means selecting drinks that are made from
locally-sourced ingredients, or are a regional
specialty. For others, retro cocktails such as
Whisky Sours and Manhattans are new again.
Operators are responding in creative
ways. “We use locally-grown mint in our
seasonal Mojito specials, and feature popular
selections from Yukon Brewery,” offers
Hunter. The Hotel Grand Pacific selects
indigenous teas to infuse into many of their
food and beverage selections. “Aside from our
popular afternoon tea, we also use the local
teas in several signature cocktails - along with
making our own bitters and sodas - to make
our beverages truly unique,” shares Goard.
Well-designed food and beverage programs
are becoming a necessity in all types of
properties, in order for lodging operators
to compete effectively. These trends are
not likely to pass anytime soon and those
operators who get ahead of the wave will find
the rewards are shown in the faces of many
very satisfied guests.
David Swanston is a Hospitality and Foodservice
Consultant, Principal of Focused Industry Training
Seminars and is an instructor at major Canadian
university business schools. Since 1997, he has helped
a wide variety of organizations develop and launch
new concepts, turn around troubled operations, and
improve sales, profits, controls and efficiency. To
learn more about how he can help you improve your
sales, profits and performance, contact him directly
at 905.331.6115, contactsmc@swanstonconsulting.
ca or [email protected]
InnFocus 27
BC Hospitality Foundation
BC golfers are out in full force now that
the weather has warmed up, and many are
gearing up for the very popular fourth annual
BC Hospitality Foundation Golf Tournament,
to be held July 16 at the spectacular Westwood
Plateau Golf and Country Club.
This fun event is always a sell-out, largely
because the BCHF is supported by the
BC Hotel Association, BC Restaurant &
Foodservice Association, the Alliance
of Beverage Licensees, BC Lodging and
Campgrounds Association, and the Canadian
Restaurant and Foodservices Association.
Golf registration and information is available
at www.bchfgolf.com.
The goal for this year’s golf tournament is to
raise $100,000 to support the foundation’s
mandate of “working together to help our
own”. Monies raised at various events go
to help people in the industry who find
themselves in dire financial straits due to
a medical situation. The BCHF also gives
scholarships each year to deserving students
who are studying to enter professions in the
hospitality industry.
Among the most recent beneficiaries of
BCHF funds is Teresa Acosta, a former
20-year employee of McDonald’s. Teresa,
who was born in the Philippines and came
to Vancouver in 1974, is the mother of two.
She is undergoing chemotherapy for breast
cancer and will not be able to work for at least
another year.
Board of Directors’ Treasurer and founding
board member Christine Coletta recently
presented the Acosta family with a cheque
by Renee Blackstone
for $5,000 to help cover everyday expenses
while Teresa is receiving treatments and
is in recovery. Upon receiving the cheque,
Teresa said, “I am so overwhelmed that your
foundation has picked a person like me to
[help] support my kids and family when I
don’t even get any help from the government,
even though I’ve worked [here] for 22 years.”
Teresa’s daughter Maricel added, “My mom
and our family really needed some help and
I just cannot say how much I’m thankful for
you guys for helping us. May God bless you.”
The most important fundraising initiative for
the BCHF is the Tip Out to Help campaign,
which was launched last fall and raised nearly
$120,000. “The campaign is aimed at getting
everybody in the industry involved and
supporting their own charity,” explains Alan
Sacks, Executive Director. “We hope to have
as many establishments involved as possible
by holding events such as Toonie Tuesdays,
Jeans Day, 50/50 ticket sales, bake sales, and
penny drives.
If we could collect $2 from each person
working in BC’s hospitality industry, we
would easily exceed our goal this year of
raising $200,000” describes Sacks, adding:
“We are looking for hotels, restaurants, and
pubs that want to get involved - especially to
develop awareness in areas outside the Lower
Mainland.”
For more information on the BCHF, go to
bchospitalityfoundation.com.
Renee Blackstone is a freelance editor and writer
who sits on the BCHF Advisory Board.
What’s New?
by Debbie Minke
Room Key is an innovative new hotel search
engine that offers consumers comprehensive
information and a simplified search
experience. Founded by six leading hotel
companies, Room Key provides consumers
with a breadth of choices while offering
flexibility, accuracy, and assurance. A unique
shortlist feature enables consumers to
compare properties across multiple locations,
share their top picks, and collaborate with
family and friends via email, Facebook and
Twitter. It features integrated consumer
reviews and has launched its own Facebook
page.
Mobile DECO Buffet Stations are
attractive and easy to move. Featuring the
latest induction cooking technology, each
unit has a quartz composite countertop and
a built-in plate shelf for guest convenience.
Warming, carving, food and beverage and bar
stations are also available.
From Enomatic comes a new product called
Flute , a sophisticated dispenser, which
serves champagne by the glass. The system
controls temperature, serve volume, and best
of all maintains the champagne in the same
state as it was when the bottle was opened.
The Get Youth Working! Program
has been extended to March 31, 2013.
Funded through the Canada-British Columbia
Labour Market Agreement, the program
offers employers a $2,800 hiring incentive
(up to three employees at $2,800 each) to
hire eligible youth 15 to 29 years of age.
Additionally, employers may request up to
$1,000 to purchase training for the newly
hired youth. To find out more about the
program, visit www.getyouthworking.ca or
call toll-free 1.877.866.3100.
28 InnFocus
Business Travel is Picking Up
by Anthony Pollard
Latest results from the 2012 HAC Canadian Travel Intentions Survey
show that business travel is projected to be up 4% in 2012, while leisure
travel is expected to be static. 80% of business travellers said they would
be doing more or the same amount of business travel in Canada in 2012
as they did in 2011, with the highest percentage coming from Ontario
and Quebec. 82% of leisure travellers said they will be travelling more
or the same for vacation this year.
While overall leisure travel is static, 26% of Quebeckers said they would
be travelling more for leisure, 3% more than the national average.
The most uncertainty regarding leisure travel is in Ontario, with 8%
indicating they did not know what their leisure travel plans will be
for 2012. Of those who said they would be travelling less for leisure in
2012, thirty seven percent said they were doing so because of financial
difficulties, while the cost of airfare has been identified as another leading
reason for travelling less.
Business travellers who said they would be travelling less this year
claimed the number one reason for doing so is the use of video
conferencing followed by the cost of airfare in Canada.
Staycation - New Trend
Travellers were asked how many times in 2011 they took a “staycation”
- where they stayed in a hotel in their home town and visited local
attractions, shopped, and ate at local restaurants. A solid 22% said
they did, with 6% having done so three or more times in 2011. 13% said
they would consider it in 2012. “Hoteliers have an emerging market
of ‘staycationers’ who are vacationing in their own town or city,” said
Tony Pollard, HAC President. “In challenging economic times people
still want a getaway but are choosing something closer to home that
may be more affordable.”
Smartphones
The survey looked at leisure and business travellers’ use of smartphones
when travelling. The majority (44%, up 5% from 2011) said they use
their smartphones to check the weather and are fearful about missing
connections or worried about flights being delayed, with 31% of travellers
checking departure and arrival times (up 4% from 2011). 37% of travellers
said they use GPS and/or get directions on their smartphones, an increase
of 5% over 2011.
Facebook is becoming more and more popular with 25% (up 5% over 2011)
saying they use their smartphones to check their messages and update
their status. 12% book hotels and 7% book air, train, or bus tickets on
their smartphones. 8% said that they use their mobile phones to Tweet.
Travellers were asked what they would like to see included in a hotel
mobile app. The top five preferences were finding a hotel’s location,
booking a hotel room, checking a reservation, calling for reservation
support or customer service, and linking to a hotel’s full website.
“The greatest percentage of travellers calling for these types of hotel
mobile apps is in the 25-34 age range. This is an opportunity to develop
something that meets the needs of the young traveller that will also be
part of his or her travel expectations,” noted Pollard.
Customer Service & Food and Beverage
Respondents were surveyed about hotel service. The majority of travellers
said that hotel service in 2011 was superior to that of the past. 41% said
hotel service in 2011 was better than hotel service in 2010, 45% said it was
better than two years ago, and 47% said it was better than five years ago.
The survey also looked at meals at hotel restaurants and room service. The
majority of respondents said meals were better now than five years ago.
Social Media and Travellers
Environment Still Important
78% of leisure and 66% of business travellers use only the Internet to
gather information before they book travel. All travellers use search
engines to get information, followed by hotel booking sites and websites.
In 2011, more than twice the number of business travellers used social
media sites to get travel information, but in 2012, leisure travellers
almost caught up in their social media usage. For the first time, 2% of
leisure travellers are using hotel apps as a source of travel information.
42% of business travellers (up 5% from 2011) said environmental
initiatives such as water recycling and energy efficiency are important to
them. 36% of leisure travellers and 34% of business travellers said it is
important for hotels to have green products. 25% of leisure travellers and
31% of business travellers said a hotel with an environmental certification
program is important to them.
The top five things leisure travellers are looking for on the Internet are
specials, photos, maps, amenities, and guest testimonials. Topping the
list for business travellers is hotel ratings, guest testimonials, videos,
travel blogs, and social media. 70% of business travellers (up 16% over
2011) and 72% of leisure travellers (up 13% over 2011) said that hotel
ratings on Internet booking services have the most influence on their
travel choices. 7% more leisure travellers (56%) and 6% more business
(52%) travellers than in 2011 said testimonials by previous travellers
influence their choice of a place to stay.
19% of business travellers and 15% of leisure travellers said the ability to
purchase carbon credits is very important to them. 43% of all travellers said
they would pay $1 or more to offset their stay at a property (carbon credits).
The survey of Canadian travellers is the eighth annual Canadian Travel
Intention study undertaken by the Hotel Association of Canada. This survey
was fielded by Opinion Search and defines a traveller as someone who will
stay at least one night in a hotel, motel, or resort. The online survey was
conducted in the last week of January and the first week of February 2012
among 1,518 “likely travellers” with a margin of error of +/- 2.5%.
Anthony Pollard is President of the Hotel Association of Canada.
InnFocus 29
Preparing for
Canada’s New
Polymer Bank Notes
Issue Dates
• $100s in circulation now
• $50s in circulation now
• $20s starting late 2012
• $10s and $5s by late 2013
Benefits - Polymer notes are more secure with leading-edge security
features that are easy to check and hard to counterfeit. They’re also very
durable, lasting at least 2.5 times longer than cotton-paper notes and
leaving a reduced impact on the environment.
How This Affects You - Check that your equipment is compatible
with polymer notes.
If your business uses equipment like cash counters, ABMs, self-serve
checkouts, or vending machines, they may need to be upgraded for
polymer notes, or in some cases, replaced. Contact your equipment
supplier or manufacturer for questions about machine compatibility
and plans for upgrades.
Note: The Bank of Canada offers manufacturers and suppliers an
opportunity to test each new note on their machines several months
before they go into circulation to allow for a smooth transition.
Separate polymer and paper notes - The Bank will work to remove
paper notes from circulation as more denominations become available on
polymer to minimize the amount of time that paper and polymer notes
co-circulate. You can facilitate the removal of paper notes by keeping
polymer and paper notes separated in your tills and bank deposits.
Note that polymer notes have no ultraviolet (UV) light feature While there is no UV feature on polymer bank notes, there are a variety
of new security features that you can easily check. Contact the Bank of
Canada for free training materials or to book a training session.
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