Customer centricity in hospitality
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Customercentric digital transformation at Hapimag WRIT TEN BY
DA LE BENTON PRODUCED BY
M ANUEL NAVARRO
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Hassan Kadbi, CEO of Hapimag, explores how the company is embracing the digital world to attract a new generation of customer
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n today’s hospitality, travel and tourism industry, the destination is no longer the key differentiator between companies.
The modern-day guest has more diverse expectations and demands than ever before and industry 04
players have had to wake up to this shifting customer base, recognising that delivering the best possible guest experience, both in and out of the holiday facility, is proving to be the ultimate competitive advantage in a multi-billion-dollar market. For Hassan Kadbi, CEO at hospitality business Hapimag, the last 20 years have seen most businesses across the industry diversify “dramatically” in order to navigate this shifting customer base. At Hapimag, the key to succeeding across this changing landscape is continuous learning and improvement. “Historically, hospitality, accommodation and tourism were all about good service at a good price,” he says. “But over the years, so many elements have changed the game, and the speed at which this is happening is overwhelming for companies. The challenge then becomes ‘how can you
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CLICK TO WATCH : HOLIDAY BUT DIFFERENT 07 keep up with this, deliver what your
to simplify the Hapimag product and
customer expects and not lose that
make it more attractive to a younger
customer in the end?’”
generation of guests through the
Kadbi joined Hapimag back in 2005,
digitalisation of its business model.
having previously worked in senior
His biggest challenge was evolving
management positions for Hilton World-
the company as the industry around
wide across the United Kingdom and
it changed, and understanding and
Greece. Over the following years, he
responding to those various elements.
rose through the ranks of Hapimag,
Kadbi breaks this strategy down into
taking responsibility of various resorts
three key areas: destination; the mindset
across Greece, Turkey and North Africa,
of the modern travelling guest; and, of
finally being in charge of all Hapimag
course, the complexity of digitalisation.
facilities, before taking over the role of
“Competition started with the destina-
CEO in 2016. When appointed as CEO,
tion. It was the key selling point. However,
Kadbi was tasked with one clear vision:
looking at the industry today, there are w w w.ha pi m a g . com
“ We want employees to make decisions, make mistakes, learn from them and do the best for the customer” — Hassan Kadbi, CEO, Hapimag
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so many players that offer resorts and
supported by technology that enables
hotels in the same destination. So the
an entirely seamless experience, so
pressure began to pile onto the business
they can have that unique experience
itself,” he says. “As for the guest, trav-
at the destination.”
elling used to be for business or for
Hapimag was founded in 1963 with
a holiday. Today, one of the biggest
the idea of providing people who could
reasons for travel is the experience
not afford their own holiday home with
surrounding the destination. The youn-
the opportunity to spend their holidays
ger generation looks for experience
in a “place of their own” in various
before they even consider accommo-
locations around Europe. Fast forward
dation. We then have to look at our
to today and the firm has around 125,000
product offering, factor in this chang-
shareholders and members who can
ing landscape and ensure that it scra-
take advantage of stunning holiday exper-
tches that itch. It should also be
iences across 16 countries. While
E XE CU T I VE PRO FI LE
Hassan Kadbi Hassan Kadbi has worked at Hapimag since 2005. He started as a Resort Manager in Bodrum, then as an Area Manager for Greece, Morocco and Turkey, before assuming responsibility as Chief Resorts Officer for the operational management of the resorts. He has served as CEO of Hapimag since November 2016. Before joining Hapimag, he worked for Hilton in various positions globally. He has a Bachelor of Arts in International Hospitality and Tourism Management from the University of Bournemouth (GB) and a Higher Diploma in Hotel Management from the IHTTI School of Hotel Management in Neuchâtel (CH).
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“The days where the challenge was simply ‘does the place have a Wi-Fi connection and is it free of charge?’ are gone” — Hassan Kadbi, CEO, Hapimag
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Hapimag has enjoyed decades of un-
to attract and retain a younger gener-
deniable success, operating for more
ation of guests.”
than half a century has created what
For most companies, digitalisation
Kadbi describes as “something of
is the key to attracting the younger
a closed community” for the company.
customer or guest, but Kadbi is keen
“By closed community I mean regular
to stress that while digitalisation is im-
customers. All of our customers
portant, Hapimag doesn’t fall into the
across our 60 properties are regular
trap of overwhelming the customer
customers,” he says. “But our next
with digital services. Booking platforms,
generation of customers will be
customer service and online portals
younger and have different expecta-
are all instrumental in delivering the
tions and demands. We’re now chang-
best customer experience but Kadbi
ing what we’ve historically done and
believes that the area of focus should
transforming as a business in order
be a little more behind the scenes.
“The secret to our success in everything we do is data and what we do with it – everything we know about our customers and their behaviours and engagement with Hapimag,” he says. “The days where the challenge was simply ‘does the place have a Wi-Fi connection and is it free of charge?’ are gone. Now we have to ensure we have the right bandwidth to support the customer’s interests. They want to stream a movie, listen to music or browse on their personal devices. It’s about what we can do to make the
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customer’s life easier as they use our product unconsciously.” Hapimag’s shareholder base extends well beyond its 125,000 registered members. As Kadbi notes, their families and friends are also interacting with Hapimag, so the challenge of optimising and simplifying that interaction process is significant as the company looks to deliver the best possible customer experience. He points to Hapimag’s rewards system and how, across the industry, many hotels require 14
guests to use rewards gifted to them by a certain time or they expire. “The bottom line was that 50-60% of those rewards were lost because even though we remind members and shareholders, it’s not the first thing on their mind and they often forget they have them,” he says. “So, we automated our rewards
ensuring that the customer is driving
system. Customers spend their money,
the demand, not the technology.
they earn their rewards and those rew-
Hapimag looks to invest in technology
ards are automatically placed in their
where there is clear and tangible value
accounts. Just like that. I have always
to the customer. Wireless technology
believed that a company should offer
and connectivity, for example, are
a digital rewards system where the cust-
crucial to a seamless customer exper-
omer doesn’t have to do a thing.”
ience and across all of its locations. But
This represents the company’s smart
what of the biggest technology trends
approach to the digital conversation,
that are defining the global conversa-
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tion? Where do artificial intelligence
that steers the conversation. “At this
(AI) or blockchain fit into Hapimag’s
point for me, it’s a case of spending
transformation? “Right now, they are
€1mn on technology or spending €1mn
irrelevant for us as a direct investment,”
on putting better mattresses in all of
says Kadbi. “We are waiting to see
my resorts. I’ve got a view that the better
what is out there in the market and then
mattresses will make my customers far
we will decide if something like AI or
happier at this point.”
chatbots could bring added value to
The key to understanding just how
Hapimag and its customers.” Once
happy the customer is lies with effective
again, it’s the customer experience
communication, and Hapimag goes to w w w.ha pi m a g . com
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great lengths to ensure that its decision
programmes with its customers in
making is in line with the customer and
order to grow with its community
not the other way around. It does this
interests in mind and therefore better
through regular questionnaires and
serve them. A key example of this is the
surveys that allow Kadbi to ask the
honesty bar concept whereby Hapimag
questions: “Do our customers like our
allows guests to enjoy food and bever-
product? Are they happy? Where
ages within their room at their own
could we improve?�
leisure. Rather than a member of staff
As well as feedback surveys, Hapimag also runs a number of pilot
checking and adding an additional cost onto the experience, the guest pays on
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departure. “They simply enjoy the
To deliver an unrivalled customer
experience knowing that they don’t have
experience, Hapimag requires the right
to worry about paying then and there,
people and employees. After all, running
or waiting for us to place additional costs
a resort or a hotel is a complex process
onto them,” says Kadbi. Within just over
and a key part of what makes Hapimag
two years of starting the initiative,
successful is its company culture.
Hapimag now has honesty bars at more
Kadbi notes that it has to start from the
than 30% of its locations and has since
top. “We lead by example and this passes
been expanding this further and creating
down through the company and to the
honesty shops.
customer,” he says. “We believe that w w w.ha pi m a g . com
“ One thing we really do not mess around with is the experience, the authenticity, and being a true community” — Hassan Kadbi, CEO, Hapimag 18
you need to be inclusive of your employees and inclusive of your customers when moving forward.” Kadbi himself writes an internal blog that explores how the company is evolving, as well as an internal note that champions the success of his employees. “Our communication channels now represent empowerment projects for employees,” he says. “It’s part of a cultural change. We want employees to make their own decisions, achieve success and make mistakes. They will learn from this and better understand how they can do more for the customer.”
This culture of communication and empowerment forms a central part of what makes Hapimag truly unique: authenticity in delivering on its promise to provide individual holiday homes and experiences all over the world. Its customer base is changing dramatically, with its future target group being made up of the millennial generation and Kadbi believes that as the customer becomes more digitally enabled and more informed than ever before, the authenticity of Hapimag will stand the test of time. “Millennials are incredibly smart shoppers. They follow a cause more than the older generation, and at the same time they demand authenticity,” he says. “At Hapimag, we are learning, we are improving and we will continue to do that. There’s one thing we really do not mess around with and that’s the experience, the authenticity, being a true community.”
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Hapimag AG Sumpfstrasse 18 CH – 6312 Steinhausen T +41 58 733 70 10 www.hapimag.com