Tag Archives: Security

by | February 29, 2016 · 5:02 pm

Congress Cracks Down on Hotel Scams

congress

Imagine you’ve been planning all year for your family vacation at the beach. You find the perfect hotel—a spacious room with a view of the ocean and a big pool for the kids—and book the room using an online travel site. The whole family is excited for a week of surf, sand, and relaxation.

Everything is going great until you arrive at the hotel. After a few minutes of clicking around on the computer, the front desk woman asks you to spell your name again. Her brow furrows, and you start to worry. You are exhausted and just want to crawl into a clean bed and get some sleep. What is going on with this hotel room?

Now the manager arrives to help. “When did you make this reservation?” she asks. You tell her and you hear her typing some more. “Could it be under another name?” You feel a sense of panic as you shake your head no. What could be happening?

Finally, the bad news: There is no reservation. The website where you made your booking was a fraud, and now your dream vacation has become a nightmare. Many vacationers, and hoteliers, find themselves in this exact situation. According to the American Hotel & Lodging Association, millions of fraudulent bookings are made every year as these deceptive websites and call centers mislead vacationers by giving the appearance of being connected to a hotel, but actually have no legal relation to the brand or lodging property.

For consumers, the fraud takes several different forms. Unassuming guests could be charged additional hidden fees when they arrive, fail to get the accommodations they requested, lose expected loyalty points, or worse, they could learn that their reservation was never actually made. In the last year alone, close to 15 million reservations were made on such deceptive sites, resulting in hotel guests finding themselves out hundreds of dollars for either a worthless reservation or one that delivered much less than promised. It is estimated that these scams have cost upward of $1.3 billion per year in lost reservations, extra fees or charges, lost rooms, and costly inconveniences.

As you know, hotels are often mistakenly blamed for these fake reservations. Though they do all they can to assist swindled travelers, their reputation suffers as these stories are shared online or by word of mouth.

For these reasons, I have introduced bipartisan legislation with U.S. Reps. Ileana Ros-Lehtinen (R-Fla.) and Bill Shuster (R-Pa.) in Congress to help crack down on call center and online hotel scams. First, our legislation would require all third-party hotel booking websites to disclose, clearly and conspicuously, that they are not affiliated with the hotel for which the traveler is ultimately making the reservation. This new requirement would help consumers tell the difference between name-brand hotel websites and fraudulent ones masquerading as name-brand sites.

Second, our legislation would give state Attorneys General the ability to go after perpetrators in federal court with the same remedies available to the Federal Trade Commission (FTC). Today, only federal authorities can fully penalize individuals who commit online hotel booking fraud. If the offense is small, federal authorities may forgo prosecution to go after more expansive crimes. Giving state Attorneys General the ability to pursue damages and restitution for victims will leverage the power of all 50 states to hold fraudsters of all levels accountable and deter criminals.

Our bill would also require two provisions to help illuminate the true extent of these crimes. It requires the FTC to produce a report on the impact of these fraudulent sites on consumers and it encourages the FTC to simplify its online complaint procedure for reporting hotel booking scams, a request we have recently made in a letter to FTC Chairwoman Edith Ramirez.

My colleagues and I understand that online fraud is a serious problem for not only consumers, but also the entire lodging industry. It is also an especially significant issue for Florida, which is the top travel destination in the United States. With that said, I look forward to continuing to work with the AH&LA to move this important legislation forward to Congress, and tackle these scams. This way, travelers can get back to their vacations and hotels can focus on providing the world-class services that the American hotel industry is known for.

 

For more: http://bit.ly/1Qgrg7k

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by | February 17, 2016 · 6:54 pm

How to Ramp Up Employee Cybersecurity Training

employee

In 2015, the hotel industry suffered unprecedented cyberattacks. In one month alone, Hyatt Hotels Corporation, Starwood Hotels & Resorts Worldwide and Hilton Worldwide Holdings all fell prey to savvy cyber thievery.

Hyatt confirmed hackers used malware to collect cardholder names, card numbers, expiration dates and verification codes from at least 250 hotels globally. Just a few days after the company announced its planned merger with Marriott International, Starwood Hotels also stated malware had been used to steal credit and debit card data that was found on point-of-sale cash registers.

Hilton also began investigating credit card breaches at several of its properties, including its Hilton, Embassy Suites, DoubleTree, Hampton Inn and Suites, and Waldorf Astoria Hotels & Resorts brands. Hilton confirmed the breach and, much like Hyatt and Starwood, cited unauthorized malware that targeted payment card information in point-of-sale systems as the cause of the breach. Additional hotels targeted by hackers in 2015 included The Trump Hotel Collection, Mandarin Oriental and White Lodging Services Corporation.

To help prevent breaches, management should take steps to clearly define employee policies and procedures, which include:

Create protocols for access and transfer of sensitive information

Once a hotel has its IT network secure, only certain individuals should have access to the data. Further, user activity should be monitored using insider threat detection solutions that notify management of suspicious activities, both externally and internally. This includes monitoring applications for phones or computers that have access to sensitive data.

Hoteliers should tighten all network security. Simple ways to help accomplish that include:

  • ensure logins expire after short periods of inactivity;
  • require strong passwords that are never written down in public or unsecured locations; and
  • scan devices for malware every time they are plugged in.

Confirm that off-site technology is secure

Data housed off-site should be routinely backed up, and hoteliers should ensure that Web application firewalls are cloud-based solutions that are secure and encrypted. Hoteliers also should use top-notch anti-malware software and update it routinely.

Securing paper files that might include personal information

Employee files are a major target area for data breaches by way of paper files. They are typically easy to access (particularly in smaller hotels) and provide a significant source of data for a low-tech inside job.

Employee files also might include medical information protected by HIPAA. According to the Department of Health and Human Services, hacking has been involved in the HIPAA breaches of nearly 3 million patient records since 2009. Employees across all industries, including hospitality, should be aware that this highly sensitive information needs to be protected.

For more: http://bit.ly/1mHKrMn

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by | February 12, 2016 · 8:01 pm

Enhancing Check-in and Loyalty with ID Verification Solutions

Loyalty

There’s no weariness quite like the fatigue and impatience that sets in at the end of a long day of travel. You’ve made it through security gauntlets, cramped seats, noisy kids, and traffic to arrive at your destination. What’s next, a long line of your fellow crabby travelers, or a quick trip straight to your comfy room and minibar? As an hotelier, you know which of these customer experiences translates into greater loyalty, advocacy, and revenue.

 

When it comes to business and personal travel, customer expectations have always been high; customers increasingly expect more convenience, personalization, and flexibility from hospitality brands. Online booking options, mobile technology, and social media reviews have made the market intensely competitive. Customer loyalty is a key driver for revenue growth and competitive advantage. In fact, a recent Forrester study commissioned by Sabre Hospitality found that a 1-point score increase on their Customer Experience Index provides $6.52 in annual incremental revenue per customer—a significant cumulative impact, especially for larger brands.

The same study found that two-thirds of leisure travelers and more than half of business travelers claim they are not loyal to any hotel brand. The study’s findings point to intelligent applications of technology and data as primary avenues for improving customer experience and loyalty, with an emphasis on integrated enterprise solutions. Feel-good experiences engender loyalty more surely than cost or convenience, and loyalty translates directly to good news for the bottom line. How can we begin to incorporate technology that leaves customers raving about their experience and returning for more the next time they travel?

One of the big pain points for customers—the dreaded check-in process—presents a huge opportunity for hotels that extends well past what happens at the front desk. Solutions for scanning and verifying IDs and passports, including mobile scanning and self-service kiosks, are transforming the check-in process and providing a key link between customers and data-driven, integrated hospitality platforms. With mobile scanning, check-in can begin anywhere (even remotely) and be completed in less time with fewer errors. Advanced scanning solutions quickly and accurately read all data off drivers’ licenses, passports, and other official identity cards, automatically populate data records and store a digital replica of the ID for regulatory and security purposes.

Once a guest’s ID data has been scanned into records, it can then be cross-checked with other databases (DMV, credit bureaus, etc.) to verify the customer’s identity. The data can also be connected with the hotel’s enterprise systems for security, billing, and customer service management, as well as personalization and loyalty programs. The ability to quickly and accurately gather this data at the point of entry eases and enriches all the subsequent processes and interactions that rely on such data. These days, customers expect that you have their information and will use it to provide them with a more polished and personal experience. The information scanned at check-in can also be used for seamless sign-up to loyalty programs. Hotels and casinos have found that insights and information gleaned from this data allow them to tailor rewards to guests’ preferences and analyze guest spending patterns in response to various promotions.

A recent Software Advice study of hotel guest preferences found that 60 percent of respondents would be more likely to choose a hotel that allows check-in and keyless entry via smartphone, and 37 percent are more likely to choose a hotel with lobby technology such as self-service kiosks. This follows the general preference of Millennials for automated customer service options. It’s also reassuringly good news for hotels striving to deliver better customer service while controlling staffing costs. Front desk agents can spend more time on personal greetings, solving exceptions, and addressing complaints when they are freed from manual data entry tasks. A serene, smoothly run lobby makes for a more welcoming space than one crammed with guests waiting to check-in.

For more: http://bit.ly/1QcmxGI

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by | February 1, 2016 · 6:34 pm

5 Questions, Answers About ADA Compliance

ADA

Hotel News Now has run numerous stories about compliance with the Americans with Disabilities Act(ADA), with topics ranging from how to handle service animals to providing equal access to guests.

 

However, sometimes those articles inspired more questions from you. We asked two legal sources to provide some insights on your questions.

1. If someone comes in and asks me for a handicap room, can I ask them for proof they are disabled or handicapped at that point (such as a handicap sticker)?

Minh N. Vu of Seyfarth Shaw: “No. A hotel should not inquire about or require proof of disability when a person requests an accessible room. However, it would be appropriate to say something like: ‘The room you are requesting has features for guests with mobility and/or hearing disabilities. Would you like to continue booking this room?’ This clarification point is helpful to ensure that the person booking the room knows what type of room he or she is booking.”

2. If a hotel does charge more for an ADA room, what recourse is there? 

Minh N. Vu of Seyfarth Shaw: “Hotels cannot charge more for a room just because it is accessible. The rates for comparable accessible and non-accessible rooms must be the same. A person who has been charged more for an accessible room can claim an ADA Title III violation and bring a private lawsuit. He or she can also file a complaint with the Department of Justice.”

3. If a hotel must provide equal access to everyone and not charge an additional amount for service animals, then logic would follow that they cannot charge extra for a refrigerator to keep medication refrigerated. Can you comment on the legalities of this? 

Taylor Burras of Michelman & Robinson: “Hoteliers must make ‘reasonable modifications’ to their standard policies when accommodating a person with a disability. Section 36.301(c) of the Americans with Disabilities Act states: ‘A public accommodation may not impose a surcharge on a particular individual with a disability or any group of individuals with disabilities to cover the costs of measures, such as the provision of auxiliary aids, barrier removal, alternatives to barrier removal, and reasonable modifications in policies, practices, or procedures, that are required to provide that individual or group with the nondiscriminatory treatment required by the Act.’ Thus, it would stand to reason that a hotel cannot charge extra for a refrigerator to keep medication refrigerated.”

4. Are therapy dogs classified as a “Service Dog”? We have seen a recent influx of travelers and they carry a tag that said “Certified Therapy Dog.”

Taylor Burras of Michelman & Robinson: “The ADA defines a ‘service animal’ as ‘any dog that is individually trained to do work or perform tasks for the benefit of an individual with a disability, including a physical, sensory, psychiatric, intellectual or other mental disability.’ However, dogs with the sole function of providing comfort or emotional support do not qualify as service animals under the ADA definition. Since they have not been trained to perform a specific job or task, such therapy dogs do not qualify as service animals under the ADA.

“It’s important to note that the ADA makes a distinction between psychiatric service animals and emotional support animals. If the dog has been trained to sense that a neurological event or episode is about to happen and take a specific action that will help prevent, or lessen the impact, that dog would qualify as a service animal. However, if the dog’s mere presence provides comfort or emotional support, that would not be considered a service animal under the ADA.

“Notably, however, some state or local governments have laws that allow people to take emotional support animals into public places, so hotels should check with their state or local government agencies to find out if they may be subject to such a regulation.”

5. Is there an appropriate way to handle a situation where the dog is a service dog but not apparently working? (For example, there was a guest who had to carry the dog who was on chemotherapy and had arthritis in its back legs. He was trained, but it seemed he was retired and it was seemingly more of a rescue situation for a dog that had been in service.)

Minh N. Vu of Seyfarth Shaw: “When a hotel has reason to believe that a dog may not be a service dog, it can ask two questions: ‘Do you need this dog because of a disability?’ If the answer is yes, then the second question that can be asked is: ‘What work or tasks has this animal been trained to perform?’ If the owner cannot identify the work or tasks that the dog has been trained to perform for the person with a disability, the dog is not a service animal.”

For more: http://bit.ly/1ParGsU

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by | January 29, 2016 · 5:15 pm

The 2016 Hospitality Law Conference

hospitality

Intensive Hospitality Education. Exceptional Networking. It’s Not Just for Lawyers.

From development deals to management agreements, from food and beverage liability to labor and employment, and from claims management to anti-trust issues, the latest cases, trends and challenges in compliance, finance, law, risk, safety, and security are up for exploration at the 14th Annual Hospitality Law Conference, February 22-24, 2016.

The Owner Management Summit, co-located with The Hospitality Law Conference – 2016, intersects legal, finance and technology and includes sessions on: who owns the data, who is responsible for the data, development and unwinding management contracts.

The Hospitality Insurance and Loss Prevention Summit, co-located with the Hospitality Law Conference, includes sessions on risk management, the top claims in 2015, and coverages for cyber & data breaches.

Hotel and Restaurant Corporate Counsel have several opportunities to meet with their peers in facilitated conversations to explore common challenges, solutions and law department management.

Also featured during The Hospitality Law Conference – 2016, are break-out sessions and roundtables in Food & Beverage, Lodging, and Human Resources & Labor Relations.

Join Petra Risk Solutions’ very own Todd Seiders for, “Discussion of Most Frequent Claims and How to Prevent Them”

 

Todd Seiders - Petra Risk SolutionsSlips, falls, breaks, disruptions.  If you are involved in the hospitality industry, you face very real threats to your financial well-being and your reputation.  A security breach at your property, a slip by a patron, a defect in construction, or a natural disaster are examples of problems that could and should be addressed by your risk management program and your insurance.  In this session, Todd Seiders, Director of Loss Control at Petra Risk Solutions, and Allen Wolff, Insurance Recovery Attorney with Anderson Kill, will identify and analyze some of the most frequent claims that arise in hospitality industry and will offer analysis and insight for managing the risk of such claims, mitigating the losses caused by them, and obtaining insurance coverage for them.

Click here for more infomation on: TODD SEIDERS
And for more info on the conference: http://bit.ly/1KfrDiI

 

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by | January 25, 2016 · 5:28 pm

Embassy Suites Let Attacker Into Woman’s Room

Embassy

A New Jersey woman who was sexually assaulted while staying at the Embassy Suites in downtown Des Moines has filed a lawsuit claiming staff members unwittingly let her attacker into her seventh-floor room.

Cheri Marchionda is suing both Embassy Suites and Hilton Worldwide, as well as Atrium Finance III, the company that owns the Des Moines hotel.

She was staying at the East Village hotel during a business trip when she awoke sometime after midnight on April 11, 2014, to find Christopher Edward LaPointe standing at the foot of her bed and touching her leg.

LaPointe, 31, a New York resident also staying at the hotel, is now serving a 20-year prison sentence at the Iowa Medical and Classification Center after pleading guilty to burglary and sexual abuse charges in December 2014.

In a federal lawsuit on track to go to trial in Des Moines, lawyers from a Pennsylvania firm representing Marchionda wrote that a manager, a desk clerk and a maintenance man all helped LaPointe get into the woman’s room without asking Marchionda whether he had permission to be there.

Though the Des Moines Register does not typically identify sexual assault victims in criminal cases, it does publish plaintiffs’ names in reporting on civil lawsuits. Reached by phone Wednesday, Marchionda’s lawyers said she did not currently want to speak publicly about the case.

“Each defendant owed a special duty of care to her, including a duty to provide for and assure her safety and security while at the hotel,” attorneys Paul Brandes and Michael Hanamirian wrote in the lawsuit. “To not expose her to burglary, assaults or attacks by others … and to not assist others in burglarizing, assaulting or attacking her.”

The negligence lawsuit was filed in a New Jersey federal court district in June, but was moved Tuesday to Iowa after lawyers couldn’t agree on a settlement during nonbinding mediation earlier in December. None of the defendants have filed an answer in court to the lawsuit, though a motion to dismiss over jurisdictional issues was denied by a judge.

The general manager at the Des Moines hotel did not immediately return a reporter’s phone call this week. Maggie Giddens, a public relations director for the hotel chain, said the company could not publicly comment because of the ongoing litigation.

The claims in Marchionda’s lawsuit are similar to those from another that Los Angeles attorney Gloria Allred filed against Embassy Suites and its parent company, Hilton Worldwide, on behalf of a woman who was sexually assaulted while staying at one of their hotels in North Charleston, S.C.

For more: http://dmreg.co/1njFwCb

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by | January 20, 2016 · 6:46 pm

Use a Lack of Confidence in OTA Sites to Your Advantage

OTA

A recent report from the Association of British Travel Agents (ABTA) revealed an increase in complaints about false OTA websites created by fraudulent travel companies.  Many customers have lost money to these sites, while others are calling hotels directly to ensure that they are indeed making a reservation at the hotel as intended.

This apparent trend of dwindling consumer confidence matches the booming growth of the online travel sector. While customers now have unparalleled choice and freedom to compare a range of deals, they’re also faced with uncertainty when dealing with unknown companies.

Common questions: Is this deal too good to be true? Is my payment secure? Who exactly am I dealing with here? With answers to these questions unclear at times, customers are increasingly cautious.

For a legitimate OTA, this clearly presents a challenge. How can an online business give people a sense that it can truly be trusted?  Having a quality website that has well-written copy, that features up-to-date content, and has a unique tone of voice can all help give off a sense of added professionalism and authenticity.

But the ABTA report shines a light on arguably the most important way people seek assurances: they pick up the phone.   In the end, nothing replaces the human voice. As a travel company, making sure customers can talk to you day or night offers your clients an instant way to check your credentials.

No doubt, investing in a quality website can convey an extra level of trustworthiness. But many customers will always want a more immediate and reliable way of making sure your company is legitimate.

So, at a time when online shoppers are becoming less trusting and more savvy about who they deal with, having a phone number clearly listed on your website and a system to ensure every call gets answered can safeguard potential bookings from cautious customers.

For more: http://bit.ly/1PhGonk

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by | January 15, 2016 · 6:24 pm

Booking Scams: Helping Guests Helps Hoteliers

Scams

Although online booking scams are a problem that should be resolved by the hotel industry as a whole, they also can cause headaches for individual front-desk employees at properties.

 

According to research from the American Hotel & Lodging Association, 15 million deceptive bookings were made in 2015 at a cost of roughly $1.3 billion.

So what should you do when prospective guests walk through your front door believing they’ve booked and paid for a stay only to find out they’ve been scammed? Sources said the answer to that question can be a difficult one, but it requires a delicate balance of education, compassion and long-term thinking.

Maryam Khan Cope, VP of government affairs for AH&LA, said one way these rogue websites operate is by taking photos from a hotel’s website and claiming to offer bookings to that particular property.

“We’re seeing this spike (in booking scams) and hearing from hotels that they essentially had their identities replicated on these scam sites,” Cope said.

Accommodating a scammed guest

Even though hoteliers did nothing wrong to cause a would-be guest walking onto their property with a sham booking, there is a lot on the line depending on how the situation is handled.

Roger Bloss, CEO of Vantage Hospitality Group, said his directive to owner-operators of his company’s brands is to honor stays of “a night or two” and charge it to the corporate office.

“We’ve got to think about the people booking in the economy lodging segment,” Bloss said. “(Scam bookings) can be a dramatic hardship on them. As hoteliers, we don’t want to see that happen. So, we’ve instructed our hotels to be hospitable.”

Bloss said covering stays for scammed customers benefits the company in terms of reputation management. Even though the hotel isn’t the source of the scam, leaving a would-be guest out in the cold can lead to a negative association with brands and possibly negative reviews and backlash online.

“At the end of the day, it always comes back to the brand, the property and the company,” Bloss said. “I don’t want to put our members in the position that they have to make a financial decision that affects the brand as a whole. In the days of social media, it’s a lot less expensive to keep a customer than attract new ones.”

Bloss said he sees this as a common sense approach.

“You have to think about all the money spent to attract guests to hotels,” Bloss said. “Would you destroy all that over a couple hundred bucks?”

Cope said AH&LA suggests taking a similar tact to what Bloss described.

“We suggest, because they’re in the business of guest service, that they do whatever they can to accommodate,” she said. “That might mean identifying an alternative at your hotel in your area.”

Cope said GMs try to “bend over backwards” to help scammed guests, but sometimes they’re caught in situations where no solution presents itself, such as if no rooms are available. But hoteliers should keep in mind that all efforts to help a scammed guest are positive.

“They should offer any additional support they can provide the guest especially because negative experiences often reflect on the hotel,” Cope said.

Chris Harvey, GM of the Crowne Plaza Charleston Airport & Convention Center, said he has been lucky enough to not encounter scammed guests at his hotel, but if it were to occur he’d instruct staff to offer a room at a reduced rate.

“You have to make sure you’re doing something for them and help them to keep the situation from getting worse,” Harvey said.

For more: http://bit.ly/1NbJKAJ

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by | December 21, 2015 · 7:34 pm

16 Hotel Marketing Trends for 2016

Marketing

2016 is right around the corner, and this past year has seen a slew of changes to the digital marketing landscape. The growth isn’t over, though – mobile is exploding and technology is expanding. That means that digital marketing, still a relatively young and swiftly-growing field, is rapidly growing and changing along with it.

Here’s an what we’re predicting:

  1. Mobile Dominates: Mobile has contributed over 94% of year-on-year growth in e-commerce traffic. On average, 21% of hotel bookings take place on Mobile devices. Make sure you’re ready for the future. (Learn More)
  2. Content is the New SEO: With an average of 30-40% of a hotel’s revenue deriving from Organic traffic, having a content strategy that goes beyond typical ‘hotel information’ is extremely valuable. Whether it’s a blog about local events or an innovative social presence now is the time to get creative.
  3. Relationship Marketing: It’s vital to market to real people, and market to therightpeople. Insights from persona marketing, machine learning, programmatic marketing and Google’s customer match will all help you talk to your guests in 2016. (Learn More)
  4. The Rise of Ad Blocking: With Ad Blocking on the rise, other methods of driving traffic to your site need to step up. Ad blocking grew globally by 41% in the past 12 months, and is expected to cost the industry $41B globally in 2016. (Learn More)
  5. Video Everywhere: Video is taking over, with auto-play clips appearing on Facebook, Instagram and elsewhere. It’s no longer restricted to your website and YouTube – in 2016, there will be more channels than ever to promote your hotel’s videos on.
  6. Buy Buttons Taking Over: Social E-Commerce is on the rise! Buy buttons on Facebook, Pinterest & other social channels will become standard as the line thins between social media and e-commerce sites. (Learn More)
  7. In-the-Moment Marketing: Being “in the moment” matters for hotels. Showing up at the right place and the right time and having a strong presence on all channels where your personas hang out is crucial, so nail down guest personas and strengthen your strategy.
  8. New Payment Methods: New ways of completing a payment, particularly on mobile are growing. Companies like Stripe are starting to change the market. 2016 will see fingerprint payment grow, more mobile payments and simplified checkout flows. (Learn More)

For more: http://bit.ly/1IkuczB

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by | December 18, 2015 · 6:55 pm

Impacting the Bottom Line in 2016

2016

2016 promises to be the most profitable year our industry has ever seen due to strong rate growth, minimal supply impact, low interest rates and oil prices, and a somewhat minimal impact from disruptors like Airbnb, living wage bills, and health care costs. As we do every year, following are the trends that will help you maximize your business opportunities in the year ahead.

Analytics rule:

Everything is trackable now. Not only can we see how much attention a certain ad campaign is getting, but we can see the geographic location of the users interacting with it, their age, and a general idea on their income. Use this information to target your marketing efforts to your specific buyer persona and watch your ROI skyrocket. Also, arm yourself when looking into digital advertising campaigns. Do you know how much one visit to your website is worth in dollars? Knowledge is power and you have it all available at your fingertips.

Consolidation is only just beginning:

The Marriott acquisition of Starwood and the Expedia acquisition of Orbitz are harbingers of a consolidation coming in the hotel industry. While it is too soon to determine what other brands or companies will decide to come together, it is clear that we are entering the age of consolidation as the economy enters the mature stage. The impact on guests and hoteliers will only be determined as this wave of consolidations plays out, but for the immediate future, bigger is better.

2016 Digital marketing is dominated by mobile and video:

The average user consumes more than 65 minutes of live video a day and this number is growing fast. Periscope alone averages 2 million daily active users with over 10 million total accounts created as of August 2015—barely 5 months after it launched. Millennials look at live streaming video the same way past generations viewed television.

Invest in capex immediately:

While the money is available and cheap, take advantage now of major expenditures including renovations that may not only be required by the brand, but will also revitalize your hotel now and through the next downturn. Remember, new supply is coming and a tired hotel loses twice—in 2016 when rates can be pushed to pay for the capital expense and in the future when demand drops and those who have renovated win! Moreover, the sharing economy could have a material impact on lodging demand by 2017.

Millennial mindset trends toward group settings:

Millennials and those who have the “millennial mindset” are looking for John Naisbitt’s high-tech, high-touch experience. They like a personalized, gourmet experience for a reasonable price and this has produced all new lobby designs in the hotel sector. Lobby bars and hotel restaurants are wide open with combination work, play and eat/drink spaces designed with this youthful customer in mind. So give them what they want—personalized experiences that create value. This group is quick to criticize via social media, so “wow” customer service is your best protection here.

Optimal channel mix:

Online travel agencies (OTAs) are having a tremendous impact on distribution. They are responsible for incremental demand and the OTA’s extensive marketing campaigns and sophisticated platforms reach travelers who might not find your hotel any other way. Owners still view OTAs as an expensive channel, but it’s a channel we most definitely need going into the next downturn. Find ways to use OTAs without relying on them as your primary resource—and get more eyeballs to your own web site.

For more: http://bit.ly/1OcwrRp

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