New boutique brands, the Blackstone acquisition of Hilton, new franchise models, and strong internet-based bookings indicate industry and organizational change in 2008.
The key hospitality performance markers include RevPAR (Revenue per available room), ADR (average daily rates – room revenue divided by rooms sold), Occupancy rates, guest satisfaction, brand recognition, and add-on revenue (such as food & beverage and spa & wellness).
xPM initiatives in the hospitality industry include occupancy models (using volume, pricing, seasonality, and market demographics), RevPAR forecasting by property, and “one view of the customer.”
A particular focus of the 2008 budget will be internet marketing and distribution spend. 60% of all travel bookings and up to 40% of all hotel bookings in North America will be generated from the Internet. (The PhoCusWright Consumer Travel Trends Survey, Ninth Edition, 2007)
BROADSHEET SNEAK-PEEK: HOSPITALITY
POTENTIAL INITIATIVES THAT CAN BE STARTED FROM THE DISCOVERY ANALYSIS
PEER BENCHMARKS: HOSPITALITY PERFORMANCE MARKERS