IN THIS ISSUE HIGHER LEARNING TAKES CENTRE STAGE
MIDSCALE AND SELECTSERVICE BRANDS IN FOCUS
THE BUSINESS OF ACCOMMODATION IN ASIA-PACIFIC
HOTEL HYGIENE GOES HI-TECH
Vol.24 No.4 Bi-monthly August 2020
ACCOR’S ERA OF
EXTRAORDINARY How Accor is leading the Australasian hotel industry through growth, loyalty and its people.
ALSO INSIDE:
YOUR ESSENTIAL GUIDE TO AHICE 2020
HOT THIS MONTH New boutique brands, government investment, recovery plans and much more
Low admin fees Strong long-term returns More super for you
Hostplus. We go with you. Issued by Host-Plus Pty Limited ABN 79 008 634 704, AFSL 244392 as trustee for the Hostplus Superannuation Fund (the Fund) ABN 68 657 495 890, MySuper No 68 657 495 890 198. This information is general advice only and does not take into account your personal objectives, financial situation or needs. You should consider if this information is appropriate for you in light of your circumstances before acting on it. Please read the relevant Hostplus Product Disclosure Statement (PDS), available at www.hostplus.com. au before making a decision about Hostplus. Past performance is not a reliable indicator of future performance and should never be the sole factor considered when selecting a superannuation fund. INH 1217 0720
CONTENTS
August
38
2020
28 BACK TO SCHOOL
The pandemic has sent enrolments in short courses and career development programs skyrocketing.
30 THE RECOVERY STARTS NOW
Vol. 24 No.4
HMs inaugural webinar brought together 12 industry executives to share their views on the recovery of hospitality.
32
TECH EXPECTATIONS
HM talks technology with five leading industry IT gurus.
34 H OT TECHNOLOGY
HM identifies ten tech items, products and services to revolutionise the way your hotel operates.
38 CHANNEL SURFING
Leading in-room entertainment brands discuss the latest in hotel televisions.
42 BRAND IN HAND
Australia's preeminent hotel interior designers share their views on 'brand standards'.
44 FUTURE PROOFING CLEANLINESS With guest health and hygiene firmly in the spotlight, hotel groups are spending big in the latest cleaning technology.
50 S AFETY FIRST
HM identifies some key products and services to help your hotel maintain the edge on hygiene.
52 42
Midscale and select-service hotels are all the rage among investors
MIDSCALE MOVES AHEAD
The select-service and midscale sector is evolving, with customisation in demand among investors.
HM Q&A ARRIOTT'S SEAN HUNT 18 M
HM chats to Marriott International Area VP on the company's ‘Global Cleanliness Council’, new brands entering the market and more.
Regulars
04 EDITOR’S LETTER
James Wilkinson on AHICE and Accor's recent humanitarian efforts in bushfire recovery.
06 NEED TO KNOW
On the cover
Accor executives Simon McGrath, Renae Trimble and Sarah Derry at Sofitel Sydney Darling Harbour
The 13 essential news stories you need to know this month - spanning operations, development and tourism industry news.
26
16 COVER STORY
Presented this month by Accor. hotelmanagement.com.au 3
EDITOR’S LETTER
Accor comes to the rescue for those in need
Managing Director
I
Simon Grover
James Wilkinson Editor–In–Chief
ild
Ac co
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u eb
t has most certainly been a challenging year for the hotel industry during 2020, especially in Australia, which went through some of the worst bushfires in living memory to start the year ahead of the coronavirus pandemic. As someone who has had a family home destroyed by bushfires, the impact of this past fire season brought back many terrible memories. So, it was very pleasing to hear the news right as HM went to press that Accor raised AUD$404,000 through its Bushfire Disaster Relief Appeal, funds which will go to bushfire affected people and communities across Australia. Accor Pacific’s Chief Operating Officer Simon McGrath – who appears on the cover of this issue alongside SVP Commercial, Renae Trimble and SVP Talent and Culture, Sarah Derry – said the money was raised globally between January and March 2020, through Accor’s dedicated Gofundraise donation platform and through guest fundraising initiatives across Accor Australia’s apartments, hotels, resorts and corporate offices. “We hope these donations will enable each charity to source and distribute support and supplies, when and where they are most needed,” he said. “The impact of the bushfires was catastrophic in many states across Australia earlier this year. Since then, COVID-19 has become a national priority, however it’s important we continue to care for those many people and communities impacted by the bushfires across Australia. “We could not have raised these crucial funds without the incredible people we have in our business and the generosity of our guests.” In this issue of HM, we look at how Accor, the biggest hotel operator in Australia and New Zealand, will continue to extend its leadership position into 2021 and beyond. The cover story is one of many great features in this issue, which includes a preview of our 2020 AHICE and Design Inn Conferences, which we are very proud to be able to still host given the current circumstances. I hope you enjoy the issue and as always, I look forward to your feedback. Yours in hospitality, ith the ongoin help w g co will mm n tio un a n it y o d r ’s
Publisher
James Wells
Editor–In–Chief
James Wilkinson jwilkinson@intermedia.com.au
Deputy Editor
Matt Lennon mlennon@intermedia.com.au
National Sales Manager Tara Ducrou tducrou@intermedia.com.au
Contributing Writers
Michael Johnson, Dean Long, Sally Attfield and Peter McBrearty
Production Manager Jacqui Cooper jacqui@intermedia.com.au
Subscription enquiries
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41 Bridge Road, Glebe NSW 2037, Australia. (PO Box 55, Glebe NSW 2037, Australia) Tel: +61 (0) 2 9660 2113 Fax: +61 (0) 2 9660 4419 ABN 940 025 836 82
In association with
Accor Pacific Chief Operating Officer, Simon McGrath
MEET THE HM TEAM…
James Wells Publisher
Matt Lennon Deputy Editor
4 HM The Business of Accommodation
Tara Ducrou National Sales Manager
Adrian Tipper Creative Director
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13
Things You Need To Know The essential hotel and travel industry news and trends from across the globe. Read more at HotelManagement.com.au.
Inside a King Room at JW Marriott Gold Coast 01
JW Marriott brand bound for Surfers Paradise Luxury brand set to debut on the Gold Coast in December
MAJOR RENOVATIONS CURRENTLY underway at Surfers Paradise Marriott on the Gold Coast will see the hotel rebranded as JW Marriott Gold Coast Resort and Spa – marking the brand's debut in Australia. Every corner of the Surfers Paradise resort is being upgraded in an AUD$35 million top-to-toe project, which will position the property to capitalise on the growing luxury market in Australia. Marriott International has engaged the 223-room resort’s original
Ovolo’s team members are doing their bit to stop the spread
architects, DBI Design, to upgrade the hotel to its new luxury standard. Works will see the resort’s public spaces refined and modernised with the tropical gardens retained. New-look guest rooms have been upgraded with toned, natural timbers and locally-sourced stone, with guests now able to open up bathrooms to the bedrooms. For more on JW Marriott, check out HM’s exclusive interview with Marriott International Area Vice President, Sean Hunt, on page 28.
02
Ovolo staff to wear masks in Australian industry first Move made out of an abundance of caution and guest safety
FRONT-LINE GUEST-FACING staff at all Ovolo Group hotels in Australia will be required to wear face masks under a new directive from the company aimed at helping to stop the spread of COVID-19. The move is an extension of the company’s ‘OC/DC’ or ‘Obsessive Commitment to Deep Cleaning’ mantra and is based on documented research showing a significant reduction in the possibility of catching Coronavirus through wearing a mask. Masks will also be provided to guests along with information in-room about the OC/DC pledge in an effort to provide reassurance during their stay. Ovolo Group Founder and CEO, Girish Jhnujhnuwala, said that while he was disappointed guests won’t be able to see the beaming smiles of team members, it was the right thing to do. “It will not be forever, but for now, we all do our bit to help stop the spread. And when it’s all over and the masks come off – we’ll share a cheeky grin again,” he said.
6 HM The Business of Accommodation
THINGS YOU NEED TO KNOW 03
First look inside Crystalbrook's ‘Kingsley’ Will become the company’s third hotel in NSW once open in early 2021
canopy over guest tables. The hotel will also feature a lobby bar and café with an outdoor terrace along with two private meeting rooms. Led by EJE Architecture and designed by Suede Interior Design, the building’s revamped look has been inspired by Newcastle’s workingclass heritage and celebrates brutalist 1970s designs, with a colour scheme complementing the masonry edifice of the original structure.
The hotel’s name harks back to the area’s original name of Kingston, which dates back to 1804. Interior designs have drawn on curves and linear rhythm to fit within the circular building. Crystalbrook says the colour scheme is inspired by the “Black Canary” and the area’s coal mining history. The neutral palette has been broken up by bouts of yellow in various shades.
THE FIRST RENDERINGS inside ‘Kingsley’, which will become Newcastle’s first five-star hotel have been released by Crystalbrook Collection. What was once the city’s Council Administration Centre is nearly complete in its transformation into the 130-room hotel, which will become the group’s third in NSW behind Little Albion in Sydney and Byron at Byron Resort on the state’s northern coast. Guest facilities will include a rooftop restaurant and bar, designed after Newcastle’s olive groves, which will line the corridor and create a
Unique designs revealed inside circular Newcastle structure.
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THINGS YOU NEED TO KNOW 04
po ro
Company to continue its extensive AUD$2 billion Master Plan for Queensland
s
AMBITIONS FOR AN AUD$1 billion Global Tourism Hub in Cairns along with a new Gold Coast resort and integrated casino will no longer proceed after the Queensland Government opted to end exclusive negotiations with The Star Entertainment Group. Instead, the casino giant will continue with AUD$4.5 billion in previously committed
ed
investments including a major refurbishment of The Star Grand. At the same time, construction continues at The Dorsett, with progress also steaming ahead at the company’s redevelopment of Queen’s Wharf in Brisbane. Recently, The Star was one of three bidders expressing interest in a Global Tourism Hub (GTH) in Cairns, which would have been a
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The Star to go it alone on Queensland tourism
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waterfront site featuring multiple hotels, a casino, numerous entertainment and recreation facilities, conference spaces, retail and a plethora of restaurant concepts. The other two parties eager to develop the GTH were Hard Rock International and a joint venture involving Reef Casino.
06 05
Shovels in the ground at QT Parramatta
CPG Hotels launches boutique ‘Fable’ label Group of two hotels to grow to six within two years
Hotel will occupy 18 of the tower’s 55 storeys CONSTRUCTION HAS NOW commenced on a landmark 55-storey mixed-use tower in Parramatta which will include Western Sydney’s first QT Hotel alongside luxury residences. An official sod-turning ceremony took place at the site, attended by NSW Government dignitaries including state Parramatta MP, Dr Geoff Lee MP along with senior executives from developers Coronation Property and Karima Group. Event Hospitality Director of Hotels and Resorts, Norman Arundel, exclusively told HM he was thrilled to see the start of QT Parramatta. “Working alongside our partners, Coronation Property, this development – complete with a 250-room five-star QT hotel – is set be a spectacular addition to the capital of Western Sydney, with a justified claim of being Sydney’s second CBD. QT Parramatta reflects QT’s commitment and passion to celebrating individuality, delivering our hyper-individualised signature service and design-led quirk.” Located at 8 Phillip Street in the Parramatta CBD, the twisting rhomboid design and mesh-embedded glass cladding exterior is tipped to become a striking and iconic addition to the burgeoning Western Sydney skyline. Originally tipped to open in 2020, a delayed archaeological excavation and alignment of surrounding infrastructure has pushed back the project’s original opening in 2020 to a date yet to be determined. QT’s first foray into Western Sydney will offer 250 rooms
8 HM The Business of Accommodation
A NEW BOUTIQUE collection of five-star hotels has been launched in New Zealand by privately-owned accommodation operator, CPG Hotels, amid plans for the new label to grow to eight locations in the next two years across a variety of sub-brands designed to celebrate unique and indivdual features of the properties. The brand, introduced as ‘Fable Hotels and Resorts’ has kicked off with an initial two properties in the form of the 10-room Hotel Fitzroy Curated by Fable in Auckland and the 50-room Fable Dunedin on New Zealand’s South Island. Fable Dunedin will occupy a four-storey heritage-listed hotel, with each room featuring specially-commissioned tartan blankets to pay homage to the building’s original Scottish heritage. A further six properties across the country are in the middle of being refurbished and will soon relaunch under the new Fable collection. Hotel Fitzroy Curated by Fable will open in Auckland this month
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THINGS YOU NEED TO KNOW 07
Tower to sit above heritage 1895-built frontage
Sydney’s Tattersalls Club reveals new tower design Five major design firms were considered for the contract
AUSTRALIAN ARCHITECT FIRM BVN has been named as the successful entrant in an international design competition for a redeveloped City Tattersalls Club in Sydney which will include a hotel and residential apartments. Following the five-week contest, BVN’s design – featuring a crafted podium linking the existing club facilities below and a sleek, futuristic 49-storey tower above – was unanimously selected by a panel of six judges for the 194 Pitt Street site. The winning look was chosen for paying homage to the building’s heritage components while improving the overall look of the Sydney skyline. The new tower will include a 100-room boutique hotel and retail offerings aimed at offering a wide variety of facilities for its members, guests and both domestic and international travellers. Natural light will permeate the tower’s operations, aimed at maximising views and amplifying the guest and resident experience. BVN will collaborate closely with design firm FJMT, which has been selected to oversee the restoration and integration of the lower heritage levels.
08
Strong culinary lineup on offer at Crown Towers Sydney
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Internationally acclaimed Chef Nobu will open his third Australian restaurant at Crown Towers Sydney
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Crown Towers Sydney Culinary Director, Sarah Briegel
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AUSTRALIAN CHEF, SARAH BRIEGEL, has been named Culinary Director for Crown Towers Sydney and will lead a world-class suite of fine dining concepts which will delight local foodies. The line-up will be headlined by legendary Japanese restauranteur, Nobu Matsuhisa, who will open his first Sydney location and third in Australia. Nobu Sydney will host the brand’s iconic fusion of Japanese cuisine with South American flavour. Set within Nobu will be an additional 12-seat mini-restaurant known as Yoshii’s Omasake at Nobu, which will showcase the work of Chef Ryuichi Yoshii - one of Australia’s leading Omasake sushi masters - with a menu featuring finely cut and precise sushi, backed by a creative use of ingredients and preparation styles. Also on the culinary line-up at Crown Sydney will be ‘a’Mare by Alessandro Pavoni’, which
ut
Four new restaurants headlined by Nobu’s Sydney debut
will provide a classic and fine Italian epicurean experience. Finally, visitors and guests will also have the option of dining at Woodcut – a concept by Sydney-based restauranteurs Ross and Sunny Lusted which celebrates Australian cooking techniques using wood, charcoal and steam. 10 HM The Business of Accommodation
Amare’s menu features traditional dishes from each region of Italy
THINGS YOU NEED TO KNOW 09
WA spending big in state tourism skills shortages Mandurah’s new hospitality training centre will boost WA’s employable talent pool.
Hospitality training will aim to fill many long-standing vacancies
A NEW HOSPITALITY and tourism training centre will be built south of Perth, aimed at producing new job-ready candidates for front-of-house, F&B, events management and tourism roles and arresting the industry’s skills shortage. The centre, to be located at the Mandurah campus of South Metropolitan TAFE, is a result of an AUD$9.17 million investment by the McGowan state government – part of a wider AUD$229 million investment into vocational training and education to help the state rebuild after COVID-19. The Mandurah TAFE Hospitality and Tourism Training Centre will focus on training apprentice chefs and hospitality workers to provide skills necessary to secure roles in hotels, event management venues and other tourism businesses across the state. The centre will cultivate pathway programs with secondary school students, young people and the longterm unemployed. Further investment into TAFE training will see the government, either partially or wholly, cover TAFE fees to encourage youth engagement into training options which will address key skills shortages in a variety of industries.
hotelmanagement.com.au 11
THINGS YOU NEED TO KNOW 10
Major brands target new openings in Auckland DoubleTree by Hilton and Park Hyatt coming soon to NZ’s largest city
TWO MAJOR GLOBAL hotel firms – Hilton and Hyatt – will have new properties in Auckland, with the DoubleTree and Park Hyatt brands setting the course for future openings. For Hilton, DoubleTree Auckland will be its second group property, joining Hilton Auckland in the harbour city. The newbuild property, owned by Queen Fern Holdings Limited, will feature 229 rooms and two suites. Guest facilities will include a fitness centre and all-day restaurant and bar. Meetings and events will be well catered with 400 square metres of meeting space also featuring in the design. The
An artist rendering of DoubleTree by Hilton Auckland
A King Room at Pa
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hotel will be located close to the city’s Aotea train station, close to the waterfront and the Sky Tower and is on track to open in 2023. Before that however, Park Hyatt Auckland will open doors to guests as early as next month, boasting four restaurants and bars alongside its 195 guest rooms. Park Hyatt Auckland will overlook Waitematā Harbour, with rooms ranging in size from 47 square metres to the mammoth 245sqm Presidential Suite. All accommodations offers distinctive Maori features including locally-made tukutuku panels and rugs. Rooms also feature marble bathrooms with walk-in shower and deep-soaking tub with Le Labo bath amenities. The culinary line-up will consist of the hotel’s signature restaurant ‘Onemata’, which will specialise in local produce and a rotating menu based on seasonal ingredients. Guests will also have access to the more casual eatery, ‘The Pantry’, designed as a quick grab-and-go environment or a relaxed menu for those preferring to eat-in.
IHG will take control of the Grand Pacific Hotel in 2022
12
YHA Railway Square to expand into new 40-storey Atlassian HQ Flagship hostel to grow to 500 beds as part of Tech Central Tower
11
IHG to brand Fiji’s historic Grand Pacific Hotel Fiji’s highly revered hotel also appears on its currency
INTERCONTINENTAL HOTELS and Resorts will double its flagship brand presence in Fiji by 2022, signing a management agreement to operate the country’s colonial Grand Pacific Hotel. The historic Suva property is highly revered in Fiji, having been built in 1914 and reopening 100 years later with restored colonial architecture. The property will undergo a refurbishment before rebranding as InterContinental Grand Pacific Hotel Suva in 2022. Once open under its new branding, the hotel will become IHG’s fourth property in Fiji, joining InterContinental Fiji Golf Resort in Natadola Bay, Holiday Inn Suva and Six Senses Fiji on Malolo Island in the IHG stable. Located harbourside on Suva’s Victoria Parade, the hotel is owned by the Fiji National Provident Fund and features a variety of all-day and specialty dining restaurants and bars, a 600sqm ballroom, club lounge, meeting rooms, fitness centre, swimming pool and spa. 12 HM The Business of Accommodation
TECHNOLOGY GIANT ATLASSIAN will become the anchor tenant in a towering new 40-storey timber development which will include the restoration of YHA Railway Square. Once complete, the ‘Tech Central’ development will become a hub for IT innovation and technology, with the Australian-born IT giant Atlassian to base over 4,000 jobs at the site, which will become its new national headquarters. The tower will soar above Central Station and YHA Railway Square, which has occupied the nearly 120-year-old heritage-listed former Inward Parcels Shed since 2004. The youth hostel will relocate into the new development, creating an opportunity to expand its capacity to nearly 500 beds, which includes shared dorms and private rooms. Atlassian’s new tower will be the signature element of a significant redevelopment of the whole area, which will ultimately consist of 250,000 square metres of office space over an area stretching The new tower several blocks from Central will soar high Station to South Eveleigh. over Central NSW Premier, Gladys Railway Station Berejiklian, said the site will lure some of Australia's brightest IT innovators.
THINGS YOU NEED TO KNOW 13
minutes with...
ZED SANJANA HM's MATT LENNON sits down with Veriu Group CEO, ZED SANJANA, undoubtedly one of Australia’s foremost experts in the serviced apartment category.
How have the Veriu and Punthill brands performed during the COVID-19 pandemic?
We are not out of the woods yet, but we’ve managed to keep operating the majority of our portfolio and are in a reasonable position, given the circumstances. Fortunately, we have an incredible team of people who worked tirelessly to manage the constant changes and steer the hotels back in the right direction.
How is construction going on the group’s future properties in Victoria?
We know that this crisis will not last forever and as such, we are still committed to our growth pipeline. Punthill Caroline Springs is progressing well, with an anticipated opening date in mid-2021. Early works have commenced at Punthill Alphington, Veriu Queen Victoria
Market and Punthill Essendon North, with openings anticipated in late 2021 or early 2022.
Moving forward past the pandemic, are there any operational changes coming to Veriu and Punthill that will help the brands grow as the world returns to normal?
We have already begun to implement the ‘new normal’, with respect to enhanced cleaning procedures, contactless check-ins and other initiatives to bring our guests peace of mind and show them that we have adapted to the changes created by the pandemic. I imagine that this will continue to evolve as the global impact of the pandemic becomes clearer and the path to recovery is outlined by government and the industry.
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DYSON NEWS
PROMOTION
Dyson CLEANS UP WITH ACCOR The technology innovator and Accor are teaming up to revolutionise hotel housekeeping
The Dyson V11 Outsize is designed for use in large homes and commercial premises LAUNCHED THIS YEAR, the Dyson V11 Outsize cordless vacuum provides up to two hours of activity per charge and is designed for deep cleaning. The vacuum has been re-engineered and features a 150% larger collection bin, with a 25% increase in the cleaner head size catering to larger homes and commercial operations. It offers 40% more suction power than the Dyson Cyclone V10 vacuum, thanks to a powerful Dyson Hyperdymium motor and 18 Dyson cyclones which generate forces of more than 79,000g to direct
microscopic particles – such as pollen, dust and bacteria – into the bin. The machine’s fully-sealed filtration system traps 99.99% of particles as small as 0.3 microns and Dyson’s DLS technology intelligently optimises cleaning and runtime according to floor type. Through the Dyson V11 Outsize, Dyson has revolutionised the housekeeping department at Sydney’s Ibis World Square. In this special feature, we chat to two key Accor executives involved in the integration of the new technology within the hotel’s housekeeping team. n
SCOTT BOYES – ACCOR PACIFIC VICE PRESIDENT OPERATIONS, NSW/VIC
MICHELLE TAYLOR – GENERAL MANAGER, IBIS WORLD SQUARE SYDNEY
What are the main benefits Accor’s guests will enjoy from the Dyson Air Purifier?
How have the new Dyson V11 vacuums been received by your housekeeping teams?
We invest heavily in air handling units to deliver the best possible air quality to our guests. Dyson is a wonderful partner and addition to enhancing air quality in hotels.
How important is the need for cleaner air in hotels as part of Accor’s ALLSAFE program?
Extremely important - all elements of ALLSAFE are essential to providing consistency in our hotels. Clean air is an essential part of providing confidence.
What competitive advantage does Accor anticipate from being able to offer cleaner air in guest areas through the Dyson Air Purifier?
We are all looking for partners that have great products, are innovative and are innovative and come on the journey with us. We feel we have found that in Dyson.
They were very excited about the new Dyson V11 and cannot believe how efficient and time-saving they are.
What feedback have you received in terms of improved housekeeping efficiency?
Our rooms are cleaner. We no longer spend wasted time running the vacuums over and over due to the incredible suction.
What are the key differences you’ve noticed between the new Dyson V11 and what you formerly used?
On an OH&S level, our staff have found they no longer suffer back pain from bending as the Dyson allows a walking posture when vacuuming. A cordless vacuum saves time and the staff are able to move freely and get into difficult areas.
How does Dyson’s technology improve reporting on performance, such as runtime and optimising the machine?
The LCD screen shows the mode and run time remain of the battery, plus it can be set to all languages that show the user videos for cleaning. hotelmanagement.com.au 15
PROMOTION
Extraordinary ACCOR'S ERA OF
Accor, the biggest hotel operator in Australia and New Zealand, will continue to extend its leadership position and bounce forward into 2021 and beyond. To find out how, HM sits down with COO, Simon McGrath, SVP of Commercial, Renae Trimble and SVP of Talent & Culture, Sarah Derry.
Accor Pacific Chief Operating Officer, Simon McGrath; SVP Commercial, Renae Trimble and SVP Talent & Culture, Sarah Derry. 16 HM The Business of Accommodation
COVER STORY
S
What is Accor’s roadmap for growth over the next decade?
imon: There is no doubt that the decade ahead will be amongst the most competitive and challenging eras in the history of Australia’s and New Zealand’s hotel industries. Our partners want to take advantage of opportunities for investment, and to do so they need a good operator with a great portfolio of leading hotel brands, which we have. Most importantly, we’ve got an incredibly strong customer loyalty database that’s growing in excess of five million members. Our loyalty members also want new products which add and complement the current great product that’s in place.
Your loyalty customers have really taken to Accor Live Limitless (ALL). Is it a really strong brand?
Renae: Yes, it is. Today across the Pacific, we have over five million members and our membership continues to grow at pace. Accor Live Limitless is a lifestyle loyalty programme that goes beyond hotels and offers. We offer truly spectacular experiences and reward our members where they live, work and play. A few examples of how the programme is delivering on this is - broadening the program to reward our members when they’re dining in our restaurants, our new partnership with AEG to host and support members via events and purchasing of tickets at selected venues around the world and the access we provide to our members through ‘money can’t buy experiences’ such as the Australian Open Tennis. It’s about creating an emotional connection with our guests. ALL continues to drive our direct channels, allowing us to have a connection with our loyalty members.
“Every day, we receive messages telling us how this program has made a difference.” Sarah Derry, Accor What are Accor’s plans to stimulate the return of the corporate market?
Simon: Well, first and foremost, we are always closely connected with our corporate customers and partners and, throughout COVID-19, we have maintained this connection. We talk regularly with our customers and we have continued to share information with them through this time. Secondly, we’ve got a marketing plan – our ‘Era of Extraordinary’, that’s greater than we’ve ever seen before, it is ready to launch to a wide range of leisure and corporate bookers. We’re also working closely with all state tourism bodies to ensure that we have a strong and aligned program of activity. So pent up demand is going to be matched by the messaging we have ready to deliver for our customers.
Are you expecting any changes in the loyalty landscape or do you believe people are going to stay with what they know or try more brands within the Accor family?
Renae: There is no doubt that family household budgets will be impacted by COVID-19, however if we listen to research, one of the first expenditures is going to be the family holiday. And so I think [that] given the demand, it’s logically going to spread across a variety of new
experiences and hotel brands. Our customers are telling us they want a curated platform of great experiences and great choices across the Pacific.
Tell me more about your predictions for the recovery of the leisure sector?
Simon: The leisure sector is seeing early signs of encouraging activity and will pick up first, particularly in regional and leisure destinations. As the cities open up, the next phase of destination recovery will be a return of those weekend breaks in cities. The recovery of the market environment is resting on the containment and management of the pandemic, and both leisure and corporate sectors are being impacted by social distancing, governance, and restrictions. The travel industry will rebound well, and we will see a return of market segments such as corporate events, cultural events, sporting, government, educational tourism and international travel.
How has the employee culture dealt with the COVID lockdown and all the changes?
Sarah: To navigate this difficult situation successfully, an organisation must already have a strong culture embedded. The nature of this scenario and the dramatic impact on our people, their families and broader community meant that we had to rely even more heavily on the existing organisational culture and we also knew it would be tested. Over many years, Accor has been working to build a very strong culture - a culture which has, despite the impact of COVID, remained resilient, clear and strong. Our values are founded in being ‘HEARTIST’, which is simply the value of authentic human connection. What has most inspired me has been our people and the way they have embraced HEARTIST even more and in new ways. The heightened level of care for each other, our guests and all those impacted has been extraordinary. To support our valued people and partners, Accor acted quickly when we recognised the devastating impacts of COVID-19. The ALL HEARTIST Fund was established to provide vital aid for team members and partners in the midst of the COVID-19 crisis and will continue to support those in need into 2021.
That’s fantastic, and that would show your team that they’re genuinely cared for.
Sarah: Being genuine, creating belonging and understanding an individual’s personal story is intrinsic to our HEARTIST culture, and so the ability to provide this support has been some of the most rewarding work I have ever been part of. Understanding what our people are going through makes us even more determined to do what we can for our team now and into the future. In Australia and the Pacific, we have spent over $2 million on team members in a whole range of grants to community, which is quite remarkable.
What sort of changes are Accor implementing because of COVID-19?
Simon: We have introduced some of the most rigorous safety standards in the industry to ensure that people will have peace of mind when they stay with Accor. There are 16 additional protocols including an ALLSafe Officer in every hotel, additional training for our teams, enhanced cleaning protocols which include using products known to kill the virus. Guests will also have access to medical professionals via our global partnership with AXA. Everybody knows we’ll come through this pandemic. Everybody knows we’re a strong company, in a strong industry [and] in a strong region. What we’ve got to do is get people to the other side through care and culture. And if we can get people through to the other side, it’s a very bright future. n hotelmanagement.com.au 17
HM Q&A | LEADERSHIP
THE MARRIOTT WAY
MARRIOTT INTERNATIONAL’S AREA VICE PRESIDENT, AUSTRALIA, NEW ZEALAND AND THE PACIFIC, SEAN HUNT, IS READYING THE CHAIN'S NETWORK FOR THE RESUMPTION OF TRAVEL AND ADDING NEW PROPERTIES IN KEY LOCATIONS, AS MATT LENNON EXCLUSIVELY FINDS OUT.
Marriott International has been very active in recent months despite the pandemic. What has been the market response to upcoming additions in Western Sydney, Margaret River and now, the JW Marriott conversion on the Gold Coast?
E
xtremely positive. We’ll open eight hotels in the next 12 months, including some really iconic properties. The W Melbourne is going to be fabulous in the CBD of Melbourne. The Luxury Collection Hobart, the Tasman. The W Sydney down in Darling Harbour, which is an AUD$900 million build. The Ritz-Carlton Melbourne, complete with an 80-storey Sky Lobby check-in. The Marriott Melbourne Docklands. These are all going to open up the next 12 months. It’s really exciting because these hotels will generate another couple of thousand hotel rooms for us. Brand new hotel rooms, which will be state-of-the-art, not just from a luxury accommodation perspective, but also from a cleanliness perspective. And that’s news that customers will welcome. And it will also generate 1,500 new jobs, which I think is great news. And also, it’s encouraging that despite COVID-19 being really devastating to our industry, owners and investors are still seeing the hotel space as a viable option for investment. They see it as as a long-term play. Not just the new builds as well. We’ve had many of our iconic hotels renovated, including Sheraton Grand Sydney Hyde Park and Sydney Harbour Marriott. And of course, the Marriott Surfers Paradise, which is undergoing a $50 million renovation as we speak, and will be relaunched by year-end as JW Marriott Gold Coast. We’ve signed more hotels this year than any other year. And the enquiry rate about conversions has been really strong. So much so that Richard Crawford, our head of development, has been run off his feet with enquiries.
Marriott International Area Vice-President, Australia, New Zealand and Pacific, Sean Hunt
18 HM The Business of Accommodation
What trends are you seeing, in terms of hotel signings, regarding the desire, in the short-term at least, for holidays to be closer to home and to regional areas?
I think the regional centres have a part to play. And there will be more of a propensity to travel closer to home.
HM Q&A | LEADERSHIP
then when you’ve finished, it will be charged automatically to your room folio. When you check out, you check your mobile and exit the hotel. So you don’t have any contact if you don’t want to. That’s not everyone’s cup of tea, but at the moment with COVID-19, it’s something that we thought we needed to prioritise at Marriott. We’ll have it in effect by 2021 across the whole portfolio.
What sort of response have you seen among investors and owners to this cleanliness standard?
Sean Hunt (right) with Ravinder Dhesi, General Manager of the soon-to-be JW Marriott Gold Coast
I think that’s the logical growth. Basically, all the land is taken up in CBD locations. And so then you have to go to the outer rings of the CBD fringe and then
‟Richard Crawford, our head of development, has been run off his feet with enquiries.”
regional centres, whether that be the Hunter Valley, or Queensland, Sunshine Coast or Ipswich if you go west. I think these regional centres will become more and more in vogue. The Westin Coolum will be the only five-star beachfront resort in the whole of the Sunshine Coast. So this is a real draw card. Domestically, it will do incredibly well [in] the markets in the eastern seaboard of Sydney and Melbourne, plus the drive market of Brisbane. But also, with the second runway opening at Sunshine Coast Airport, you’ll soon see international flights on a regular basis with New Zealand.
Sean Hunt, Marriott International
Shifting to the Global Cleanliness Council, how visible is that going to be?
It’s part of the conversation of everything we do at the moment. We’ve got to make sure our guests are confident in the hygiene, cleanliness and security processes we have in our properties. So, it’s very visible. We’ve got more hand
Considering all the doom and gloom in the world, there’s very little of it on show here at Marriott, which is great.
I’m an optimist, and I’ve got a bias for action. I think, when you look at Australia, New Zealand and the Pacific Islands - remember, New Zealand and the Pacific Islands are essentially COVID-free. And I think Australia has done a fine job. We’ve had a few hiccups, but I think the government has worked very hard. The industry has worked very hard to try and get it right. But, If we can get this COVID-19 in the rear view mirror, I’m very confident that travel will pick up very quickly. n
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Marriott’s Global Cleanliness Council will use technology such as electrostatic spray guns, which emit hospital-grade disinfectant
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sanitising stations at the entrance, front desk, elevators, business centres and meeting spaces. We’ve stepped up frequent cleaning and disinfecting, with special focus on high-touch areas like elevator buttons, escalator hand rails, for example. And one of the things we’re doing is electrostatic spraying right across the properties. So that’s electrically charging up a disinfectant solution, which wraps around and clings to hard surfaces, like a magnet. Electrostatic spraying is the norm now across our properties. On the technology front, over half of our hotels in ANZP (Australia, New Zealand and Pacific) now have keyless check in. And all hotels will be keyless check-in or mobile key-ready by early 2021. So that means when you make a booking via
Owners [have been] overwhelmingly supportive. They’ve appreciated everything we’ve done with the right-sizing to assist them with cashflow. I think Job Keeper needs to be noted as an incredible initiative by the government. Without that, our industry would be in all sorts of trouble. And I think they should be congratulated. People are always quick to criticise the government, but I think what they’ve done is really helping the industry stay alive. On the hygiene and technology front, our owners have been incredibly supportive. They really see it as Marriott leading the way.
your mobile app, you’ll be sent your key. You come straight into the hotel and go straight to your room, use your mobile phone to check in. You go to the bar or the restaurant, we’ll take care of you with contactless F&B. You’ll be able to sit at a table, scan the QR code for your menus; order your bottle of wine, your cocktail, your food. And
hotelmanagement.com.au 19
PRESENTS
The long road to recovery lies ahead and can be tackled
Roadmap to Recovery The Accommodation Association has worked closely with industry to develop its ‘Roadmap to Recovery’.
WORKFORCE RETENTION, WELLBEING and the sustainable opening of hotels have been
identified as the three overarching principles of the Accommodation Association’s ‘Roadmap to Recovery’, to ensure we emerge a stronger and more competitive sector in the future. The industry has experienced revenue falls of -85% across the past four months and stimulation of future demand will only happen if governments lift current restrictions and business and consumer confidence returns. Until the industry is free to drive demand to stem the huge cashflow losses, government support measures are crucial for short to medium term viability. The Roadmap outlines the measures being undertaken by industry to ensure viability and has a very clear message for government– the extension of JobKeeper and Hospitality Industry General Award (HIGA) measures until March 2021 are essential to retaining our workforce and critical to industry survival. We have been active in communicating our message to Federal Treasury, the National COVID-19 Coordination Commission (NCCC), the Tourism Minister, various State governments and also in taking our case to the media.
COVID-19 resources The Accommodation Association is continually providing members resources to support hotels to navigate through these challenging times. NEW RESOURCES THAT are offered complementary to assist industry include: COVID Safe Hotel Recovery Guide A strategic recovery and operation guide for accommodation operators. This complimentary guide addresses both the strategic and operational requirements for recovery and will be supported by a series of webinars. The guide will be updated regularly to reflect any changes in Government advice. The next update went live in the first week of August. COVID products designed for hotels – The Accommodation Association has sourced a range of new reading material to assist operators with adapting to the new environment. Topics available include ‘COVID-19 Disinfection for
20 HM The Business of Accommodation
Hotel’, ‘LSPTRAK & Health Check Kiosk’, ‘Printing recovery items to be COVID-safe’, ‘Contactless technology’ and online short courses ‘COVID-19 Return to work’, ‘Mental Health Awareness’ and ‘Food Hygiene’. Visit our website to view the extensive range of COVID-19 products to assist hotels and online training courses https://www.aaoa.com.au/
Handy guides from Olive Learning can help members to adapt
New Plain Language Awards
Fair Work Commission makes awards easier for employers to understand. AS A PART of the four-yearly review of modern awards, the Fair Work Commission has re-drafted a number of awards in plain language with the aim of making it easier for employers and employees to understand. The plain language version of the Hospitality Industry (General) Award is now operative. The new version uses plain language principles without altering the legal effect, provides more detailed explanations, notes and examples and contains tables and schedules expressing values in actual terms. For example, where allowances were expressed as percentages, the actual monetary amounts are now provided. Although the provisions of the award have not substantially changed, it is recommended that employers reconfirm their understandings of the various provisions as it is possible the addition of information and clarity may change the understanding of provisions. The latest version also contains schedules that during the COVID-19 Pandemic provide temporary flexibility in the ways and times that permanent employees may be engaged, allows employers to request employees to take paid annual leave, allows employees to take unpaid pandemic leave if required to self-isolate or is prevented from working by order of medical or government authorities.
KEY NEWS
Meeting with Nev Power
The leaders of the largest employers of the Accommodation sector recently met with the National COVID-19 Coordination Committee (NCCC). TOPICS ON THE agenda included the needs of the sector for government assistance. The leaders spoke about the importance of the corporate market and their expectations of Australians changing their own travel behaviour from international to domestic. Attendees included: • Nev Power – NCCC Chair • Simon McGrath - COO, Accor Pacific • Matt Bekier - CEO, The Star • Chris Sedgwick - COO, TFE Hotels Entertainment Group • Barry Robinson - President and MD • Julian Clark – CEO, Lancemore Group International Operations, Wyndham • Leanne Harwood - MD Australasia • Dean Long – CEO, Accommodation and Japan, IHG Association. In these discussions, our leaders agreed that forecasted recovery for the regions will be faster than cities, which are expected to recover to nearly 50% of 2019 levels by the end of 2020. This recovery will be dependent on the continuation of bank relief, JobKeeper and the rental and leasing mandatory Code of Conduct, all of which have been fundamental in ensuring our sector can rebound in 2021. The Accommodation Association continues to lead the industry’s direct engagement with Government on our Road to Recovery plan to ensure the key decision-makers in the Prime Minister’s and Treasurer’s offices, along with the NCCC, ensure our industry is supported through the pandemic.
Chris Sedgwick
The guidebook aimed at the recovery is a ‘must have’ for hotel owners.
Barry Robinson
Robynne Berg, thinkplayact
Leanne Harwood
Dean Long
Ron de Wit, AHS Advisory
THIS E-BOOK CONTAINS seventy on how you can drive more loyalty, pages of Interviews, strategies, increase the guest experience and stories and suggestions drive greater revenue. from a worldwide team of Recommended sections innovative thinkers and include ‘Digital ordering experts in hospitality and post COVID-19’; ‘Augmented tourism. It’s a ‘must have’ if Reality - the way of the future’, you own or operate a hotel, ‘Greatest management skill of m ic restaurant, pub, club, bar, all’, ‘The ‘new norm’ cleaning at r, M Th i nking’ autho tavern or motel. Hilton’, ‘Robot restaurants in India’, The author, Max Hitchins, is known ‘World’s most unusual restaurant’, as The Hospitality Doctor. Max has shared ‘Increase profits with 2x2x2 strategy’ and many hospitality and tourism ideas with audiences more creative tips, tonics and remedies. around the globe. In compiling the book, Max The price of the eBook is AUD$28.00 - less sought out world experts, inviting them to than 35 cents per idea in the e-book! Now participate and provide thought-provoking advice that’s value! de an ‘Post P
PostPandemic Thinking - for Hospitality and Tourism
Julian Clark
RECENTLY, WE’VE HOSTED webinars on forecasting, hotel technology and travel sentiment which have been of great value to members. Other webinars to look out for include: • Hotel Market Outlook Series – Ron de Wit, AHS Advisory • Innovation & Customer Growth in the age of Covid-19 – Robynne Berg, thinkplayact
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Simon McGrath
Matt Bekier
The Accommodation Association has been hosting our own series of webinars to keep members informed on topics of interest.
ax
Neville Power
Accommodation Association Webinar Series
hotelmanagement.com.au 21
HM Q&A | GENERAL MANAGER
Four
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SEASONS IN A CAREER
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IN MORE THAN 25 YEARS WITH FOUR SEASONS HOTELS AND RESORTS, BAHRAM SEPAHI HAS SEEN THE WORLD THROUGH THE LUXURY PRISM. NOW SETTLED IN SYDNEY AS BOTH THE COMPANY’S SYDNEY GENERAL MANAGER AND REGIONAL VP, SEPAHI IS READY TO HELP AUSTRALIANS FALL IN LOVE WITH LUXURY ALL OVER AGAIN, AS MATT LENNON DISCOVERS..
The hotel has completed some exciting renovations recently. What can you tell us about the new rooms?
F
our Seasons Hotel Sydney’s new look rooms are very fitting for a luxury Sydney hotel of this calibre and capture the essence of Sydney itself. The rooms have been designed to be uplifting, with a local feel about them. Each has been designed to be uncluttered and contemporary, ideally suited to the needs of the modern traveller, leisure guest and business person alike. Features of the beautifully designed rooms include up-to-date technology to help guests relax and be entertained in privacy and complete comfort.
What can you tell us about the upgrades to F&B and other guest facilities?
A few years back, Four Seasons Hotel Sydney opened Lounge 32 - a private retreat for our guests. We launched a new design in our Grand Ballroom inclusive of a 12m by 3.5m LED screen as well as the opening of Mode Kitchen & Bar with Head Chef, Francesco Mannelli. Lounge 32 is an exclusive retreat with a luxurious yet homely look and feel, with a central kitchen with open bar, self-service fridges stocked with Australian wines, and gourmet, healthy homemade-style dishes. The venue also features plush armchairs and velvet lounges, designer homewares, a luxurious naturally-lit meeting room and sweeping views of Sydney city and harbour. Our Grand Ballroom features a stunning contemporary design and some of the most advanced technology available in Australasia. Taking centre-stage 22 HM The Business of Accommodation
of the renovation is the installation of a 12-metre-wide by 3.5-metre-high LED screen – four times larger than a traditional projector screen – which runs sharp 4K video and high resolution imagery with spectacular sound. Chef Hatted Mode Kitchen & Bar seats up to 200 guests across a mix of seating options including stools at the new central bar, a Chef’s Table, banquets, lounge seating and two private dining spaces.
What unique challenges are presented by being the only hotel under your brand in the country?
Whilst we are very happy to have a Four Seasons property in a key gateway city such as Sydney, many of our loyal travellers seek for us to be present in other locations within Australia. That may be an area they are already looking at travelling to or opening their eyes to an area they may not have envisioned themselves visiting but would have if a Four Seasons property was there. There are many other key cities in Australia as well as resort and getaway locations the brand would like to see a Four Seasons located in the future.
What message of support to the industry would you like to send as the recovery begins?
We are all in this together. I think it’s a beautiful idea that Australians are being encouraged to explore our backyard. It will undoubtedly be a journey filled with challenges that requires a level of creativity and flexibility in providing the opportunities for our guests and employees to get back to business and to the extraordinary experiences we can provide them. n
HM Q&A | GENERAL MANAGER
Mode Kitchen and Bar
HM checks in to Four Seasons It’s fair to say irregular travellers may take some time to adjust to the sight of hotel employees adorned with face masks, but these are irregular times. And while you may not be able to see the smile as easily as before, it is still very much there – bigger than ever - as guests walk through the doors at Four Seasons Hotel Sydney. That familiar warmth remains a hallmark and will take more than a pandemic to shake. Four Seasons Sydney has not been immune to the effects of the COVID pandemic, with occupancies falling as low as single digits during the national lockdown. But as the world emerges, the pent-up demand for travel has morphed into ‘staycations’ and Aussies are spending again, treating themselves and loved ones to a world of luxury and fine dining, driving guest levels back past halfway for most of the week. Four Seasons’ new rooms evoke a sense of tomorrow’s Sydney. None of the 517 rooms were left untouched, with light furnishings designed to maximise space and freedom of movement. Technology has been upgraded, each room fitted with a new flat-screen television with built-in streaming. Connecting to the system is an easy two-step authentication process before you can enjoy your personal content. A dining experience at Mode Kitchen & Bar is also the perfect accoutrement to a weekend pamper and despite the lower capacity due to distancing, delivers a wickedly divine epicurean feast which will linger on your lips for some time to come. Truffles are the ‘in thing’ at the moment, with the so-called ‘diamond of the kitchen’ featuring on dishes including baked camembert, Risotto Acquerello and multiple sides including wood-roasted cauliflower and Mode’s famous polenta chips. Make sure you conclude your meal with a taste of the restaurant's famous 'Truffle Tiramisu'.
SUPPLIER PROFILE
Cheers to Accolade HM catches-up with one of Australia’s premier winemakers, Accolade Wines' Regional MD Australia, NZ and Pacific, ANDREW CLARKE.
across the Australian market and the globe, and an offer for every occasion. Our key brands include Grant Burge and St Hallett from the Barossa; Hardys from McLaren Vale, Petaluma from the Adelaide Hills and Arras Sparkling from Tasmania. We have great loyalty across all of these brands and we sell every bottle of each year of our Tasmania portfolio, which includes Arras, Bay of Fires and Eddystone Point.
Tell us a bit about the volumes Accolade Wines distributes to the Australasian hotel industry?
Do you have any interesting stats or facts you can share on how far some of your wines travel?
Through the COVID shutdown, we have been selling minimal amounts to hotels, restaurants and cafes. With the re-opening in most parts of the country, and our ‘Your Venue, Our Shout’ support package, we look forward to resuming as a leading supplier to the hospitality industry. We believe that being able to get out of the house and socialise with family and friends is an important part of the social fabric of Australian society and our brands can help society’s revival from the lockdown.
How does the Accolade quality control process work in terms of getting the best products to hotels and restaurants?
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We have a large portfolio of brands that we sell
Accolade Wines is very proud to be a leading player in the Australian wine market and we see the hospitality industry as a vitally important sector to support. We know that hotels and restaurants have had a really tough time since March and so we are working closely with the industry to help support venues as they re-open and welcome patrons back. n
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What are some of the most popular labels and have any developed a cult following?
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What does the future hold for Accolade Wines in this market?
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We have a brand new, temperature-controlled automated warehouse in Berri, South Australia, which allows us to store our wines in an ideal environment. We then partner with Australia’s leading logistics providers to transport the wines direct to venues and have a first-class sales team working with customers to deliver the right wines for their patrons.
Accolade Wines is sold in over 132 countries in the world, so our wines travel far and wide. We recently found out that Hardys Tintara Claret was on the menu for the Antarctic researchers’ mid-winter feast in 1911.
PRESENTS
Regional Hotels like Emirates One&Only Wolgan Valley benefited from the school holiday mini-boom.
Rays of sunshine in cloudy months
It has been a grim few months for hotel operators across the country, but a few rays of light have begun to poke through the clouds.
THE ANNOUNCEMENT THAT Australia and New Zealand will host the 2023 FIFA Women’s World Cup was a rare victory for Australian accommodation hotels struggling to survive their worst period in living memory. TAA National CEO, Michael Johnson, said the event will bring thousands of visitors and millions of dollars into cities across the country. “The World Cup is great for women’s sport in this country and great for our industry,” he said. “The triple hit of drought, bushfires and the COVID-19 crisis has put our hotels in the worst position in history and any good news is welcome.” The FIFA Women’s World Cup 2023 will be the first ever to be co-confederation hosted and the first to be held in the Asia-Pacific region. It is scheduled to take place between 10 July and 10 August 2023 across 12 cities including Sydney, Melbourne, Brisbane, Perth, Adelaide, Newcastle and Launceston. The bid team estimates 1.5 million fans will pass through
the gates across those venues for an average of 24,000 spectators per game. Football Federation Australia is expecting to earn more than $250m in direct revenue from ticket sales, hospitality, broadcast deals and government contributions and the flow-on economic value has been estimated at $500m. Mr Johnson said the announcement was a reminder times will get better and things will eventually return to normal. “These huge international events are exactly the type of financial kick our industry needs to claw our way back to a strong position,” he said. There was also good news for many struggling regional operators during the July school holidays. Mr Johnson said a school holiday ‘mini- boom’ in domestic tourism was a shot in the arm for many struggling regional accommodation hotels, especially in NSW. “It’s too early to attach an exact dollar figure to the holiday boost, but TAA NSW members in holiday hotspots like the Blue Mountains, Port
Macquarie, Orange, Mudgee, Hunter Valley and the Shoalhaven reported visitor numbers similar to, or in excess of the traditionally busy Christmas holidays. “With interstate and international travel disrupted, it’s pretty clear the recovery across the nation will depend on intra-state visitors. It was great to see NSW residents supporting their own.” Mr Johnson said TAA members were aware of the heightened risk from COVID-19 outbreaks in Victoria and parts of Sydney and were managing the visitor increase appropriately. “Our members had plans in place to manage visitors in a safe way during this period,” he said. “Our members are strictly adhering to NSW Health guidelines.”
New GM at The Langham, Sydney TAA member, The Langham, Sydney has appointed Shane Jolly as its new General Manager. MR JOLLY OFFICIALLY took over the reins from Gaylord Lamy (previous GM and TAA Board member) on 1 July - just as the awardwinning boutique hotel re-opened its doors. TAA National CEO, Michael Johnson, said Mr Jolly brings more than two decades’ in hospitality and a wealth of knowledge to his new role. “I would like to thank Gaylord for his efforts on the TAA NSW board and also congratulate Shane on his appointment - I look forward to working with him,” said Mr Johnson. 24 HM The Business of Accommodation
“It is a tough time to take up the reins but, with our industry as a whole, we will work together to overcome obstacles and move ahead.” Shane Jolly moved to Australia from New Zealand to take up the role. In Auckland, he held the position as Hotel Manager at The Langham’s sister property, Cordis. In his time there, Mr Jolly successfully oversaw and completed a renovation of the property’s 240 rooms, event spaces and F&B outlets, as well as a complete hotel re-branding. Before working for The
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Langham Hotels and Resorts, Mr Jolly worked across many different departments, predominantly as Director of Rooms, at properties such as The Peninsula, Bangkok, The Peninsula, Beijing, Park Hyatt, Beijing and several Hyatt Regency hotels across Australia.
WORLD OF TAA
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TAA calls for FBT suspension
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With the continuation of JobKeeper assured, TAA is focused on other ways to assist the accommodation sector on its road to recovery.
Hotels have been boosted by the JobKeeper extension
TAA welcomes JobKeeper extension TAA welcomed the Federal Government’s announcement last month of an extension to the JobKeeper program. TAA NATIONAL CEO, Michael Johnson, said accommodation hotels across the country are barely holding on and the extension of JobKeeper will save businesses. “This will go a long way towards saving businesses and keeping our staff in jobs after September,” said Mr Johnson. “It is good to see the Government acknowledge sectors like ours are suffering more than others and will continue to suffer into the future. “With international travel uncertain for at least 12 months, domestic tourism will be our only way out. But until travel between all states and territories is possible, continuing JobKeeper is the only way to keep the sector viable.” Mr Johnson said the road to recovery for accommodation hotels has been one step forward and two back, with huge differences across each state. He said the Association had concerns JobKeeper will not be effective for businesses which have suffered long-term shutdowns like those in Victoria. “Given the length of forced shutdowns and our highly casualised workforce, there is a concern eligible staff will have moved on when these hotels are ready to re-open,” he said. “JobKeeper is only payable for employees who were with the employer on 1 March 2020, so this would decrease the assistance to businesses in places like Victoria which have recently been shut down for a second time.”
ON A NATIONAL level, TAA is now advocating for the suspension of the Fringe Benefits Tax (FBT) on accommodation, meal, beverage and entertainment expenses for three years. The call for the suspension of FBT was backed up by exclusive modelling released by TAA and the Australian Hotels Association (AHA) in July. The draft report from Ernst & Young (EY) titled ‘Economic Impacts of Stimulus for the Accommodation and Food Services Sector’ focused on two policies to support the sector – the extension of JobKeeper until March 2021 and the suspension of Fringe Benefits Tax. TAA National CEO, Michael Johnson, said the report was an important evidence base the industry took to Treasury and Government. “EY found accommodation, meal and beverage entertainment
only forms a relatively small portion of the total FBT collected by the Government but suspending FBT for our sector would produce economic returns ranging from 3.25 to 3.81 times the direct cost to Government.” Mr Johnson said some media reporting of the proposal focused on ‘boozy lunches of the 80s’ but he said the idea was far more wideranging than that. ”Suspending FBT could mean that a business could reward an employee with a weekend away and a meal and not be taxed on it,” he said. “This is a great initiative for our sector and also a way cash-strapped businesses can reward employees. It really would be a win for all parties.” Mr Johnson said the modelling found the need for additional stimulus is clear, particularly as several states deal with a second wave of COVID-19. “The EY report noted 84 per cent of businesses reported decreased revenue, with more than half (53 per cent) reporting revenue decreases of 50 per cent or greater - this is the highest proportion of any industry to report revenue decreases in this range,” Mr Johnson said. “The report also showed that female workforce participation in our sector is well above the national average with 60 per cent of workers being female, as well as high levels of employment for younger Australians, with 47 per cent of workers being under the age of 25. “TAA and AHA research showed a national average fall in accommodation hotel room revenue of 77 per cent and a plunge in occupancy rates of 66 per cent. “Forward booking pace data shows occupancy rates below 50 per cent of capacity based on current bookings over the 90-day period from 15 June to 12 September,” Mr Johnson added. The suspension of FBT would provide incentives for businesses to reward staff
Mr Johnson said TAA will ask the Government to provide a reset of JobKeeper employee eligibility for businesses which have extended periods of shutdown. “We will be working closely to refine existing economic responses to Covid-19 and promoting additional ideas to protect jobs and rebuild our industry.”
hotelmanagement.com.au 25
OPINION
The roadmap to Recovery
COVID-19 continues to bring unprecedented pressure to our families, industry and the economy, writes Dean Long.
JobKeeper a great win for industry Success has many fathers, while failure is an orphan, as Michael Johnson muses.
THIS PRESSURE WAS unfortunately demonstrated in Victoria with the recent outbreak leading to a lockdown of Melbourne and some regional areas of the state. With 25% of the country’s GDP now in lockdown, cut off from the rest of the country, the Accommodation Association’s advocacy efforts have never been more important. The Board of the Accommodation Association has been clear that our advocacy efforts need to assist in supporting the industry through COVID-19 with a strong focus on resilience, and the team continues to deliver on this goal. It is apparent, once we do emerge from COVID-19, the tourism industry will continue to be disrupted for many years and most markets will be in a hyper-competitive state. To assist in navigating this, our ‘Roadmap to Recovery’ focuses on two themes - the retention of our workforce and sustainable re-opening of our hotels. The Roadmap details how the extension of JobKeeper, the Rental Mandatory Code and banking relief measures until March 2021 will be critical to our survival. I am glad the Government has now committed to doing this. In the past, our industry was sometimes taken for granted by government, but in our recent discussions with Federal Treasury, the NCCC and our politicians, it is clear this is no longer the case. Our industry has experienced revenue falls between 75% - 85% in the past four months and stimulation of future demand will only happen if
IN THE HOURS after the government announced the continuation of the JobKeeper subsidy, I wasn’t surprised to hear - and read – a select few in our industry claiming part of the credit. The continuation of JobKeeper was crucial for our industry. It will keep business afloat and save jobs. It was a great win. In the grand scheme of things, as long as our industry lives to fight another day, I have no real problem with absent fathers knocking on the door for some of the credit after the heavy lifting has been done. But we do need to make sure those who did that heavy lifting are also recognised. Over the last few months, the AHA and TAA networks across the nation have worked tirelessly. Our national network and connections to governments at all levels are second to none – and it showed. Each state has its own unique set of circumstances and the differences between them widen each day. TAA and AHA’s state CEOs and Presidents have worked on localised responses in each state and territory and the whole organisation has been working toward nationwide solutions. Our efforts to open up hospitality venues, where possible, and gain extra support for those still bogged down in the COVID-19 quagmire have been critical. We worked directly with Federal Treasury on the
access support of the Rental Mandatory Code or the HIGA provisions. We look forward to working with government on the next stage of recovery, aimed at ensuring the improved viability of opening hotels and outlets and bringing back staff, whilst continuing to recognise the need for comprehensive hygiene measures.
for three years as a stimulus to assist our hotels recovery. There is no doubt we have a long road to return to profitability, but TAA and the AHA have the experience, relationships and resources to support our hotels and industry. And we will continue to do so.
governments lift current restrictions and both business and consumer confidence returns. Until then, the industry will need to drive demand in innovative ways to stem the cashflow losses and government support measures are crucial for short to medium term viability. The Accommodation Association continues to emphasize the critical role of JobKeeper in keeping our industry together through COVID-19. JobKeeper is the central pillar that activates all other stimulus measures. If a business is eligible for JobKeeper, the business can also
Dean Long is the Chief Executive Officer of the Accommodation Association. 26 HM The Business of Accommodation
extension of JobKeeper – not by just talking about it in the media the day before, but by providing solid, research-based evidence. We offered solutions, not just complaints. And backed it with the financial resources of our associations. The modelling done by Ernst & Young on behalf of AHA and TAA laid out the actual case for continued support in crystal clear terms, along with STR stats and forecasting, reiterating how far behind we are trading in all states. And now we are working on the exemption of FBT
Michael Johnson is the Chief Executive Officer for Tourism Accommodation Australia at both the National and NSW levels.
OPINION
Optimism for the rest of 2020
It's not all doom and gloom
Since lockdown ended, we have seen more activity than expected domestically, says Sally Attfield.
Not everything in hospitality is doom and gloom, as there's lots of positive news around, Peter McBrearty writes.
AT THE TIME of writing, we are in the midst of the school holidays. Hopefully, the trend of domestic travel will have continued, giving our sector a much-needed boost. Time will tell but I am optimistic. This won’t solve all our problems. With the domestic market accounting for around 60% of hotel occupancy, the numbers don’t add up that New Zealanders alone can make up this loss of revenue. We are starting to see meetings and executive teams travelling again, but with many organisations doing business differently in the wake of COVID-19, meetings are often being held by video conference. We must be ready to adapt if this becomes a long-term behaviour change. For the quarter ended June 2020, national occupancy had fallen to 22.1%—a drop of over 50 points. Across the TIA member hotels around New Zealand, this equates to a loss of rooms revenue of nearly $200 million. That does not include the loss of revenue from F&B, conference business, and other events hotels would typically host. Despite the Government’s provision of the wage subsidy being a huge help for hotels, job losses have been significant. The announcement that this support will not be continuing would have been devastating to many, but at least we have a definitive answer. TIA will continue to advocate for the Government to make a timely announcement of tailored support for the industry. A reduction of
THE ULTIMATE LONGER-TERM effects of COVID-19’s localised resurgence in Victoria and parts of New South Wales remain to be seen. Unfortunately for one of our members - Tatiana Balan of The Sofitel Sydney Wentworth - the pandemic has meant returning to Russia with her husband and daughter earlier than originally planned. While we are very sorry to farewell Tatiana, we wish her safe travels and feel confident she will soon be re-joining our compatriots at Les Clefs d’Or Russia. However, as we know in the hotel industry, the check outs are generally balanced by the check ins. We were recently very happy to congratulate our South Australian State Director, Adam Forth, and his lovely partner Alysha on the arrival of their daughter, Aspen Ann Forth. With a little luck, in only another 25 years or so, little Aspen will be just about ready for her own set of the golden keys. In further positive news, The Calile Hotel in Brisbane now has a Les Clefs d’Or member in residence, with the appointment of Jaime Lachs to the position of Chief Concierge. We have no doubt Jaime will thrive in his new role, and with his extensive knowledge of Brisbane’s many attractions, we are also sure Jaime’s guests will be making extensive use of his knowledge and contacts during their stay. Another very welcome development is the expected opening in September of the new Park Hyatt Auckland, where guests will be very
difficult time, so try to acknowledge that and to ask for help if you need it. Sharing the positives with each other will help us all to stay motivated. Hotels are playing a critical role in supporting New Zealand’s response to COVID-19 and we shouldn’t lose sight of that.
2021) already having begun to conduct early interviews, perhaps we can dare to hope that beyond the current stormy COVID-19 seas lie slightly calmer waters, and that with Spring we may even see the first tentative green shoots of a recovery in the hospitality and tourism industry.
fixed charges and council rates would also be a huge help. Without an extension to the wage subsidy, we need more clarity around what measures are coming and the trans-Tasman bubble. Remember to thank your front-line teams! They are continuing to provide excellent experiences despite working in incredibly difficult circumstances. It is important that we consider within all this the safety of our guests, staff, and suppliers as paramount. Don’t forget to be kind to yourselves too. This is an incredibly
Sally Attfield is the chief advocate for the accommodation industry as Hotel Sector Manager at Tourism Industry Aotearoa.
well looked after by Nikolas Adams - a former member of Les Clefs d’Or Australia. Nik is very much looking forward to proudly welcoming arrivals to Auckland’s newest waterfront property, and the opportunity to assist his guests in making the most of their time in Auckland, around New Zealand and in their further travels. With the first ever Les Clefs d’Or member at The Calile in Brisbane, another at the new Park Hyatt Auckland, and properties such as the new Hilton Little Queen Street in Melbourne (slated to open in February
Peter McBrearty is a former President of Les Clefs d’Or Australia and Chief Concierge at The Langham, Melbourne. hotelmanagement.com.au 27
HUMAN RESOURCES
IF ANY PROFESSIONAL POSITIVES CAN BE TAKEN FROM 2020 SO FAR, THE PANDEMIC HAS GIVEN RISE TO GREAT AMBITIONS AMONG HOTEL WORKERS ACROSS ASIA PACIFIC, WITH THOUSANDS EAGER TO UPSKILL AND TAKE THEIR CAREERS TO NEW HEIGHTS, AS MATT LENNON DISCOVERS.
Hotel workers are eager to take their careers to higher levels
28 HM The Business of Accommodation
Kate Ashby, Adina Apartment Hotel Melbourne
FEATURE/NEWS
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Australian and New Zealand businesses and brands – including NZ brands Think Education and Media Design School, to Strategic Education. The transaction is expected to be completed in early 2021. Strategic Education Chief Executive Officer, Karl McDonnell, said the Australasian acquisition was an exciting one. “We’re excited to be expanding our business into the Australian and New Zealand markets,” he said. “We have been impressed by the growth and impact the three Laureate institutions have made and look forward to welcoming Torrens University, Think Education and Media Design School into our network.” Another organisation opening its doors and books to industry personnel, especially those in the F&B discipline, is Le Cordon Bleu Australia – a division of Paris-based educator in gastronomy, culinary arts, hospitality management and tourism. With the local arm based in Brisbane, the institute has launched officially recognised qualifications to help hospitality professionals boost their careers. An online program featuring 13 Undergraduate and Graduate certificates has recently commenced, delivering subjects over a 10-week period either full or part-time. Le Cordon Bleu Executive Dean, Professor Alan Bowen-James, said the current challenges were an opportunity for innovation and reinvention in the sector. “Le Cordon Bleu is committed to supporting the revival and growth of Australia’s hospitality industry, and part of that is ensuring that our courses are accessible to everyone. Professor Bowen-James says the new qualifications will not only help hospitality professionals get back on their feet but will also encourage anyone with a love of food to turn their passion into a rewarding career. Interested students can enquire directly for the next intake dates. n
ns Univers Torre it y
housands of Australian hotel industry workers, including those furloughed and on reduced hours, have seized opportunity from the economic and operational lulls brought on by COVID-19. Since the pandemic took hold in Australia around March, more than 11,000 courses have been undertaken via a special offer from Torrens University, offering free access to 14 on-demand bite-sized short courses – most of which take anywhere from two hours to half a day to complete. Topics available as part of the suite of courses include project planning, leading in a crisis, emotional intelligence, content marketing and design thinking – areas critical to the needs of modern hospitality workforces. Five of the most popular courses cover elements such as leadership, social media marketing, emotional intelligence and agile project management methodologies. Courses have been developed by university academics in conjunction with industry professionals from companies including InterContinental Hotels Group as well as tech giant IBM and accounting firm Accenture. Coursework is highly interactive, featuring user-friendly content such as videos and quizzes as well as more traditional written content, which can be consumed at the student’s own pace. Certificates of achievement are issued to all students completing the courses. One student taking advantage of the content is Adina Apartment Hotel Melbourne Duty Manager, Kate Ashby, who to-date has completed 13 of the 14 mini curriculums. Applying her evenings and down time to the courses, Ashby said the content has been highly practical and has helped her refine her leadership skills and understanding of topics relevant to her organisation. “The leadership courses have been my favourite. They’ve allowed me to understand what it takes to not just be a good manager, but a good leader,” Ashby said. “They’ve helped me fine-tune my professional goals and identify my key strengths, as well as areas I want to improve. They’ve challenged me to think about the type of manager I want to be, by learning, through practical scenarios, on to make objective decisions that benefit both my team and the hotel.” Ashby says her ambition and confidence has been boosted through undertaking the courses, with her sights now set on higher goals in the form of a Master’s Degree. Torrens University Vice President Public Affairs, Bryce Ives, said the institute was committed to changing lives through education, with the industry impact calculated at around $1.5 million in free learning opportunities since the beginning of April. “We strongly believe in lifelong education because it can have such significant outcomes. At a time when many people are feeling disempowered, the simple act of learning can be powerful, because it can open up possibilities,” Ives said. Last month, Laureate Education – owner of both Torrens University and the Blue Mountains International Hotel Management School – announced it had sold its
“The courses have challenged me to think about the type of manager I want to be.” Kate Ashby, Adina Apartment Hotel Melbourne
hotelmanagement.com.au 29
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INDUSTRY EVENTS
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STARTS NOW OVER 1,700 INDUSTRY VIEWERS TUNED IN TO THE MAIDEN HM WEBINAR, ENTITLED ‘THE RECOVERY STARTS NOW’.
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cross twelve 7-8 minute interviews conducted by HM Editor-In-Chief, James Wilkinson, and sponsored by Hostplus and Intrust Super, many raw and honest opinions were aired, reflecting the state of the industry during the darkest days of the COVID-19 pandemic. Despite significant downturns and high levels of redundancies and furloughs, optimism at the turning point was high, with issues such as staff morale, interstate borders and government subsidies firmly at the industry’s heart. Proceedings began with the first Q&A session with Accor Chief Operating Officer – Pacific, Simon McGrath, who candidly labelled the last few months for the sector as “devastating” but that he had been highly impressed by the gathering momentum in New Zealand. “I’ve been impressed by New Zealand across the board from a government level and right down,” McGrath said. 30 HM The Business of Accommodation
“I wouldn’t underestimate how important they’ve been to the Australian Government’s decision-making and how they’ve gently prodded some of our thought, so I’m forever in debt to our New Zealand colleagues and the New Zealand Government. At the right time, they’ve shown strength and courage to make decisions. McGrath’s comments were backed by IHG Managing Director Australasia and Japan, Leanne Harwood – a proud Kiwi – who added she was delighted to see pentup demand for travel which has led to strong weekend business primarily among leisure markets. “It’s absolutely critical we get to a position where we start to see business travel come through mid-week and into our cities,” Harwood said. “I’m delighted to see the pent up demand and delighted to see everyone desperate to get out of their homes but desperate to see business travel moving again. Marriott International’s Group President – International, Craig Smith, said that a lot has been learned from how China has emerged from lockdown which can be applied across the rest of Asia. “We’ll probably finish this month at 50% occupancy,” Smith said. “I don’t know that ever in my career I was happy to see 50% occupancy but these days, it’s a good number. “In Australia we’re really proud. All 22 of our hotels are open and we have a phenomenal leader in Sean Hunt. He and his team have really done a superb job." HM's inaugural webinar was hailed as a resounding success, with plans underway for more. To watch the webinar in full, visit hotelmanagement.com.au.
The HM Awards are firmly recognised at the eminent awards night on the accommodation and hospitality industry calendar. Each year, more than 1,500 nominations are assessed to determine more than 40 category winners. The 18th edition of the HM Awards will once again recognise personal and company excellence across Australia, New Zealand and the Pacific.
Nominations Open Thursday 10 September, 2020 It is our intention to host an in-person event later in 2020, should current restrictions on event capacity be lifted.
BOOKING ENQUIRIES
Beth Tobin
T: 1300 789 739 E: bookings@hmawards.com.au
SPONSORSHIP ENQUIRIES Tara Ducrou
T: +61 (0)2 8586 6285 E: tducrou@intermedia.com.au
HMawards.com.au
TECHNOLOGY
CHANGE IS
Contactless travel should be available across hotels to suit customer needs, but not made mandatory, IT experts believe
E Horner and Associates
Ted Horner – Founder
We have to understand that in the post COVID-19 era that the entire guest to staff relationship will change, leading to minimisation of human touch and for hotels to run at lower staff counts as they build back up to full occupancy. I believe that ‘contactless’ will be the new currency in hospitality for the foreseeable future (or until a vaccine becomes readily and widely available). Any technology that will enable contactless check-in as well as zero interaction with door handles, locks or in-room controls will be the key. Until consumer confidence is back to pre-pandemic levels, I think people will feel more comfortable with more automation as opposed to the ‘high touch by hotel staff’ approach that properties in the past have typically gone with. Examples of new technologies are: Mobile Check-in: While this technology has been around for a few years with low take-up, in the postCOVID environment I believe many guests will move to this platform to provide a contactless check-in process. Artificial Intelligence (AI): Voice assistants in each guestroom, enabling utility controls, entertainment, communications with staff, virtual concierge etc. together with entertainment hubs able to sync with room TVs via a guest’s own streaming accounts. New Customer Relationship Management (CRM) will now be needed more than ever to engage, acquire and retain guests and build customer loyalty and boost repeat business, which is 10-15 times cheaper than acquiring new guests via Online Travel Agents (OTA’s). 32 HM The Business of Accommodation
FOUR LEADING IT GURUS SPECIALISING IN THE HOTEL INDUSTRY SHARE WITH HM THEIR CANDID THOUGHTS ON THE CURRENT ENVIRONMENT AS IT RELATES TO HOTEL TECHNOLOGY, SYSTEMS, GUEST PRACTICES AND IMPROVING OPERATIONAL EFFICENCIES.
Kiosks, chatbots and robots will also come into play. In summary, guests at your hotels will come with a heightened sense of hygiene and as such we can predict an increased demand for ‘touch free’ experiences across the entire guest journey.
InTouch Data
Peter Johnson – Chief Executive Officer
Is COVID-19 a watershed moment for hotel tech? The answer, in short, is no. The global pandemic has impacted hospitality particularly hard and there will be few other industries affected more as a result. Recent advances in hotel technology from bed design to business intelligence from room access to revenue management has counted for little when the guest flow is interrupted or stopped in its tracks. Like all crises, new ways to do business emerge, be it conducting meetings, mobilising food and beverage outlets or using the time to catch up on refurbishment, skills training or redeployment of resources. Postpandemic, the status quo will return, business will fall
TECHNOLOGY
back to familiar patterns and technology will continue to evolve. New players will emerge, consolidation among vendors will continue and debate around the pros and cons of groups and their brands versus boutique and stand-alone will continue. That said, this crisis has a long tail, with the potential to disrupt for several years (in some regions). Where technology and those embracing it will move will very much depend on regional variations based on travel restrictions, the access across borders and the confidence of travellers. Technology that can assist operators get back to the basics will rise to the top, and these will be guest-facing. Where are my next guests coming from and how can I target them in isolation? What will their needs be now that COVID-19 has created new paradigms for hygiene, social distancing and gathering and empathy and understanding of other’s needs? Traveller needs and wants will be different, at least in the short term, and the most important technologies will have to focus on these human traits first and foremost. Data will never be so important.
McLaren Technologies Matthew White – CEO
As hotels plan for the ‘new normal’ in the COVID world, much thought is going into the implementation of technology that enables contactless check-in, digital mobile key, mobile payment and service ordering. Regardless of your technology ecosystem preCOVID, it is now necessary and even critical for hotels to embrace new technology. Hotel guests have been looking for new and innovative technology for the past few years and now a health crisis is driving business there. Increasingly, travellers are looking to a fully digitalised customer journey from booking to departure. A preCOVID PWC 2019 study showed 70% of Millennials would rather book a hotel with tech amenities such as digital key and mobile payments. Travellers are now reliant upon their mobile devices to check-in for a flight, catch a ride, and order from their favourite restaurants. They want to have this same convenience when checking into their hotel. The challenge, however, is how to justify the expense now when the industry is faced with business volumes at crisis levels, an uncertain future and a recovery that may take years. The answer is to look at these technologies through the prism of long-term value rather than a short-term fix to a health crisis. It’s important to not only optimise your existing technology platforms but look at how introducing new solutions will drive your business forward through new revenue streams, enhancing guest experience and delivering operational efficiency and productivity beyond COVID. Providing new digital guest self-service options including in-room tablets, mobile apps and webbased platforms will provide your guests and staff with assurance that you have thought about their health and safety whilst also providing new ways to
communicate and provide service in a more socially distant environment. Additional forward-looking functions can be implemented along with mobile check-in, incorporating features such as mobile ID authentication and mobile payment allowing guests to have a completely digital, ‘Uber-like’ experience with your property, giving them the opportunity to engage through the channel they’re more comfortable with. This will in turn facilitate a better understanding of guest expectations and experience, higher levels of service and new opportunities for revenue generation and cost saving.
Technology 4 Hotels Brendon Granger – Chief Experience Officer
We are hearing the word ‘Contactless’ more and more every day. Many feel the word is being over-used. The fact is that when our industry starts moving again, our guests will be looking for visible signs of change. They will need to feel assured that our duty of care to their health and wellbeing is at the forefront of their guest experience. A large part of this will be to reduce the number of contact points for the guest with both staff and physical items. In rooms, the traditional compendium and room service menu will disappear. These will be replaced with either a QR code or NFC tag that the guest can scan, bringing up both items on their own device. Alternatively, there may be an in-room tablet with the menu on it or a chain app that allows the guest to communicate, make requests and order room service on their own Brendan Granger, Technology 4 Hotels device. Which will you choose? I strongly believe that we need to offer choice. A one-size-fits-all approach will not satisfy every guest, so let’s look at the options. Guest’s device (BYOD) versus in-room tablet: I have always been a fan of the guest’s own device. They know and trust it. If they are using their own device, they can also communicate with the hotel off property. There is no capital outlay or ongoing maintenance for the hardware and a BYOD option will suit a property of any size. I think it is also fine for a full service five-star property or resort to also offer the guest the option of an in-room tablet. Downloadable App versus Progressive Web App: Once again, I feel the answer is ‘choice’. Generally, if a guest is only staying for a night or two, they don’t want to download an app just to communicate with hotel staff. In this case, provide a link, an NFC tag or QR code that takes them to a progressive web app. This is a website that looks and feels like an app but doesn’t need to be downloaded. If the guest is a regular or a member of the hotel’s loyalty programme, then downloading the hotel app to their device won’t be an issue.n
“When our industry starts moving again, our guests will be looking for visible signs of change.”
hotelmanagement.com.au 33
TECHNOLOGY
TECHNOLOGY
THE WORLD MAY HAVE CHANGED, BUT TECHNOLOGY IN THE HOTEL AND TRAVEL SPHERE REMAINS A SHINING BEACON OF INNOVATION. MATT LENNON TAKES A LOOK AT TEN PIECES OF TECHNOLOGY THAT SHOULD BE ON EVERY HOTEL’S RADAR.
‘TRAVEL SAFE’ HEALTH AND SAFETY GUIDES
Following a customer survey which found 92% of travellers now rank cleanliness as the most important factor in choosing a hotel, TripAdvisor rolled out its new ‘Travel Safe’ online tools for hotel owners and managers. Properties can select all hygiene and guest safety practices in place, which can then be used by the public to filter search results and help them find a hotel to suit their cleanliness preferences. Reviews can also be posted to guide others and share first-hand details of just how clean their hotel stay was.
CLEANING ROBOTS
'The
Wh iz'
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Don’t be surprised to see ‘The Whiz’ rolling up and down hotel corridors or in empty ballrooms or conference rooms sometime soon. The handy little vacuum assistants are in advanced stages of testing with outsourcing firms such as AHS Hospitality. The Japanese-made devices are designed for large spaces, can run for up to three hours per charge and are loaded with sensors ages of test ing e d st to detect and move away from dangers anc no v d w a n such as stairs or walls. They can also i detect humans moving around them and swiftly move out of the way.
i erv Self-s ce o all
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SELF-SERVICE KIOSKS
As hotels continue the migration to concepts such as self-service and autonomous, the right technology is needed to give guests a smooth and hassle-free check-in and check-out. For travellers not as well versed with mobile apps, a self-service kiosk can provide that smooth run through check-in, issuing documentation, collecting guest information and dispensing room keys. Kiosks can be integrated with existing Property Management Systems and free up staff on reception desks for other tasks. 34 HM The Business of Accommodation
The new ‘Travel Safe’ protocols can help your hotel stand out
TECHNOLOGY
VIRTUAL PROPERTY TOURS
A virtual room-by-room tour of Tasmania’s Saffire Freycinet is available online
It’s the next step in digital marketing for your property. Images are no longer sufficient as the only way to promote your hotel to customers. A virtual property tour can make your hotel stand out and allow guests to take a complete tour of the public spaces and your rooms without leaving theirs. Tours can be designed room-byroom if needed for smaller properties, with interactivity allowing users to virtually walk around your hotel, exploring the kitchen, fitness centre, swimming pool and anywhere else you’d like them to go.
SOLAR PANELS
As more hotels work to gain a NABERS accreditation for their individual environmental efforts, solar panels are perhaps the easiest way a property can reduce its energy bills. For many hotels, installation is cost-effective, with panels effectively paying for themselves in a few years. With proper battery storage, panels can generate enough power to run your hotel and feed surplus energy back into the mains grid. A recent example of a major solar power project is the Dr Jerry Schwartz-owned Crowne Plaza Hunter Valley, which is now 100% powered by renewables in the form of an AUD$8.5 million project which went online in late 2019.
Jerry Schwartz with his new solar panel farm in the Hunter Valley
With our touchless technology your guests can • Stream their favourite show • Order their snacks • Pay their bill
All via their mobile device* With HoneyBadger Technologies they’ll feel right at home
www.honeybadger.tech *Some features described may require additional software, hardware, licensing and costs. HoneyBadger Technologies is an authorised reseller of SONIFI. SONIFI & STAYCAST are registered trademarks of SONIFI Solutions, Inc. Google Chromecast is a trademark of Google Inc. All other trademarks used are the property of their respective owner.
TECHNOLOGY
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Get ready for the return of international visitors by learning nearly every language under the sun. That might be a little extreme, but the technology exists to help businesses connect with foreign clientele by converting speech to text in various languages. Once converted into English or another native language of your team member, responses can be crafted and then sent, to be received in the language of your guest. So advanced are some of these software solutions, translation is instant and can allow for real-time communication. Best of all, your guest will be happy before arrival and may even become a loyal guest for future stays.
os t
MULTILINGUAL CHAT SERVICES
BLOCKCHAIN
The name may sound daunting, but Blockchain is the end-to-end data security structure your hotel should be on by now to ensure the safety of customer transactions, following a few high-profile breaches in recent years. Blockchain is the security backbone behind Bitcoin and works by verifying transactions and storing information relating
to that transaction across a network of secure computers, such as a digital signature coming solely from your computer. The security for Blockchain works by encrypting a user’s personal data and spreading it across a variety of blocks in a chain, each one protected by a unique ‘hash’. Data within a Block cannot be deleted and any time a hacker tries to modify data within a block, this ‘hash’ changes. The hacker must then decrypt the next block in the chain, and so on, and on – hundreds of thousands of times, making the task all but impossible. Even if it’s temporary, it’s the safest way to get diners back into your restaurants
36 HM The Business of Accommodation
ea k Sp
guest’s langua your ge a nd
Blockchain is the highly secure method of encryption which has protected Bitcoin data
CONTACTLESS DINING KITS
Restaurants have always been about personalised service – from making slight tweaks to a dish to get your perfect taste to the friendly banter with your helpful wait staff. In the new distance-based service environment, hotels have been forced to modify this dining staple with the help of technology. One such step sees menus converted to QR codes, which can be scanned and delivered directly to your phone screen. Orders can then be placed, including any special request or tweaks you may like, with the experience completed with contactless payment. Dietary preferences can even be set for future visits to the same venue. It may not be as comfortable or enjoyable as perusing a physical menu or interacting with the staff, however these are not the most comfortable of times.
DIGITAL COMPENDIUMS
Tablets are part of everyday life now and the days of flipping through a printed folder containing hotel information and details of local attractions are gone. Hotels can now integrate all of this information onto a tablet device which can be managed from a central back-office PC. Devices can be remotely updated to ensure guests are receiving the latest information, which is all stored in the cloud. Guests can contact different departments within your property, finalise check-out, book a table at your restaurant (or others nearby if your arrangements are in place), order room service, get the latest news, check the local weather and much more. Tablets are the way hotels are interacting with guests while in-house
IN-ROOM ASSISTANTS
Another way guests can interact with your hotel is via voice, with devices such as Amazon Alexa and its cousin Echo, along with Google Home steadily infiltrating the hotel environment to provide a world of information and guest services. After an installation and test period integrating the device with your rooms, guests can contact housekeeping, room service and front desk through the in-room assistant, booking restaurants and liaising with the concierge and even linking to a guest’s own personal music subscription services to provide access to their playlists. The systems can also be managed via a backoffice central PC, allowing hoteliers to change volume and delete guest data of previous recordings on check-out.
A world of information awaits at voice command
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hotelmanagement.com.au 37
TECHNOLOGY
CHANNEL
FOR MANY HOTELS, THE LAST FEW MONTHS HAVE PROVIDED AN OPPORTUNITY TO ASSESS THE WHOLE GUEST EXPERIENCE – TO REVIEW AND STRATEGISE FOR THE PATHWAY OUT, AS MATT LENNON DISCOVERS.
A
s guest volumes ride the un-natural dip brought on by the pandemic, many hotels have taken the chance to take stock and prepare for the equally volatile, but much more enjoyable, return to a degree of normality. One such area being assessed is in-room entertainment. For some hotels fortunate enough to have been essentially taken over by governments for guest quarantine, investment in how guests are able to pass the time was a critical step, leading to a spike in enquiries among leading entertainment and streaming providers. One such service fielding higher enquiries is Foxtel’s Business iQ. As one system capable of delivering not just streaming of guests’ personal content but access to live news, sport, first-run drama, movies and more, the company has been busy with dozens of new sales and installations since the pandemic began. For Foxtel National Accommodation Manager, Iain Nelson, there has been a keen interest in hotels making the move to invest and provide guests with a huge range of content for extended periods of time spent in-room. 38 HM The Business of Accommodation
“What they’re seeing as a plus for the Business iQ is that it’s a complete end-to-end technology platform [that] provides the full interactive content through our satellite channels, as well as access to the libraries of our back catalogues of On Demand movies and TV shows,” he said. “So it’s an entire platform and that includes streaming and access to live channels, along with the full on screen menu and program guide. “So I think the appeal is that it’s a one-stop shop for all of that. Whereas that’s never been available, not to that extent, because it is a cloud-based system that is infrastructure light, and truly future proof," he told HM. So with so much content available and more time available to watch it, what have guests been consuming? According to Nelson, those in quarantine have understandably been binging TV series, however many channels across the network have been reporting high viewership. “Drama, sport, our key Premiere, Action and Family movie channels, Sky News is getting very high viewership as you’d expect, especially keeping up to date
TECHNOLOGY
Many first-run and classic movies are on-demand with Foxtel’s Business iQ
Quest Robina has recently installed Beyond TV for its guests
“Our first run dramas and local dramas are all recording very, very high usage.” Iain Nelson, Foxtel The contactless feature of Sonifi allows guests to order extra toiletries as needed
with the current situation. But the escape is obviously important too. Our first run dramas and local dramas are all recording very, very high usage, as well as on demand catch up series like Game of Thrones and Chernobyl. “What we’re seeing is an appetite for a broader range of content, and the means to stream and cast what the guest wants on top of that, but for a single platform so it is easy for the guest and efficient for the hotel,” Nelson added. Another key element in managing in-room entertainment, like much of the new normal hotel experience, has been maximising contactless interaction. For Liveport Director, Jeff Rhode, this contactless capability has been a key driver in enquiries for the BeyondTV platform. “In addition to providing guests with content-casting abilities, BeyondTV is increasingly being adopted because it allows guests to request services or find out hotel information without having to leave their room and risk coming into close contact with others,” says Rhode. “These abilities can be performed either by television remote or by using BeyondTV’s voice-activated virtual assistant functionality.” Building on the contactless element, cleanliness and guest safety are key drivers behind systems such as Sonifi by HoneyBadger Technologies. For hotels, the company says a key consideration must be integrating touchless capabilities into an in-room entertainment system which can be driven from a guest’s device. According to Honeybadger Director, Heinrich Saayman, guests can access the hotel’s digital directory, in-room dining, their charge folio and even check-out through Sonifi. “By accessing the StayConnect App on their mobile device, guests can control the in-room television, order room service and guest requests. “Guests can also be kept informed of hotel health and safety protocols via the Hotel’s main menu and Welcome Channel videos,” he added. All up, now is the time for hotels experiencing a lull in occupancy to review their in-room guest entertainment offerings, with a myriad of options on the table. By investing into the connectivity of your hotel – even going so far as to integrate digital signage – the overall guest benefit will be worth the investment, delivering unique guest experiences which build loyalty, reinforce branding and drive additional revenue, says Exterity Regional Director Asia Pacific, Jamie Hind. “Communication is critical, and in addition to this, the same technology platform can be used to help in a post COVID-19 world with key features such as BYOD (Bring Your Own Device), check-out from the TV, [make] inroom purchases, book taxis and so much more.” n hotelmanagement.com.au 39
The world’s best guest engagement platform:
✓ Stream over 1,000
~
movies On Demand
✓ Cloud based platform with future proof technology
✓ Stream over 4,000
✓ User Interface
✓ ✓ ✓ ✓ ✓
✓ ✓ ✓ ✓ ✓
TV episodes On Demand Over 90 channels The best live sport Hotel branding Ultra High Definition* PMS integration
customisation
Digital compendium Add in your own content Digital signage Guest messaging Australia-wide support
*Requires Ultra High Definition compatible TVs. Not available until late 2020. ^Selected languages available. ~Only available with the Movie Vault add-on. Succession: 2019, 2020 ©️ Home Box Office, Inc. All rights reserved. HBO and all related service marks are the property of Home Box Office, Inc. Joker: TM & ©️ DC. ©️ 2020 Warner Bros. Entertainment Inc., Village Roadshow Films (BVI) Limited and BRON Creative USA, Corp. All Rights Reserved. Ad Astra: ©️ 2019 Twentieth Century Fox Film Corporation. All rights reserved. Hustlers: ©️ 2019 STX Financing, LLC. All Rights Reserved. Rocketman: ©️ 2019 Paramount Pictures. Abominable: ©️ 2019 UNIVERSAL STUDIOS and Shanghai Pearl Studio Film and Television Technology Co. All Rights Reserved. Gemini Man: ©️ 2019 Paramount Pictures. Instant Family: ©️ 2018 Paramount Pictures Corporation. All Rights Reserved All Rights Reserved. The Mule: ©️ 2018 Warner Bros. Entertainment Inc., Bron Creative, and Imperative Entertainment, LLC. The Wife: ©️ 2017 Meta Film London Limited. All Rights Reserved. BUS0452
For more information on how we can help build your business
Call 1300 736 104 Email foxtel.business@foxtel.com.au
Harness the power of your screens in three powerful ways with Business iQ Foxtel content live and On Demand
Guests can cast from their device
Display or insert your own content
Give your guests full access to Foxtel’s extensive Content Warehouse packed with entertainment, news and live sport. At their fingertips will be an extensive On Demand streaming service.
Your guests can simply cast content from their favourite streaming apps using compatible devices. While international guests will be able to navigate the interface in their own language^.
Foxtel also gives you the flexibility to add content that delivers a superior experience for your guests. Plus, easily promote bars, restaurants and other services within your hotel.
INTERIOR DESIGN
THE ENORMITY OF THE TASK AT HAND FOR HOTEL INTERIOR DESIGNERS CAN NEVER BE UNDERSTATED.
IN HAND
Chada
Juliet Ashworth – Creative Director / Owner
Hotel operators’ brand standards used to be the designer’s bible, but not anymore. Not because we designers are an unruly lot, but because many hotel owners don’t want to be hemmed in by a pre-ordained design. They don’t want the cookie-cutter approach and are increasingly educated and less compliant. With the proliferation of boutique properties, owners are allowing experienced designers to ensure quality and technical standards to make a hotel functional, as well as targeted to a guest demographic or, more aptly, a mindset. At Chada, we find ourselves increasingly trusted with brand creation and curation. That means taking a holistic approach to everything, from the naming of the hotel to the development of its brand personality through interiors, wayfinding, messaging and so on. We are currently designing such a property in Sydney’s CBD. The brief was chic, five star and contemporary flagship. The rest was left to the experienced consultancy team. Some well-seasoned clients with multiple big brand properties are accepting of technical advice from the operator to ensure delivery of quality and performance – in line with the brand’s promise – but push back when it comes to interference on design detail. Conversely, a handful of big brand operators are going in the opposite direction and homogenising to such a degree that brand standards now include a complete design package that 42 HM The Business of Accommodation
leaves little for a designer to do except document. This approach means a hotel guestroom in Fiji may look pretty similar to one in Atlantic City. The guest will know exactly what to expect wherever they travel! So what of brand standards in the age of a pandemic? Hotel brand custodians, like the rest of humankind, are adapting to the new world environment as it unfolds. Clearly, their business depends on how successful they are at attracting guests back into their properties by making them feel safe. But how temporary – or permanent – this duty of care will be remains to be seen.
Dalman Architects
Richard Dalman – Managing Director
As hotel architects and interior designers, we have spent a lot of time reading brand standard manuals, understanding the critical elements to encompass, and thumbing through what we can perhaps tweak to suit the location and specific guest profile of the hotel within the brand standard restrictions.
However, recently we have noticed a change in the way hotel companies approach their direction to us. There has been a trend to move away from specific and prescriptive standards to a more ephemeral description of the essence of a brand – how the operator seeks a hotel guest to feel and the atmosphere/sense of ambiance they will experience during their stay.
INTERIOR DESIGN Designers are being increasingly free reign to create really eyecatching space
Documents we receive now talk about brand concepts, and a brand’s DNA. This allows scope for us to work the particularities of a place and guest profile into the design of the hotel, more than in the past. So instead of trying to ‘sneak in’ some good design despite the brand standards, designers have now been let loose to strut their stuff. As both architects and interior designers, we enjoy this as we have more scope to be creative, and I believe the quality of hotel design and the aesthetic outcome has been enhanced as a result. In my view, this change in brand standards approach has arisen because the market is constantly moving and hotel companies are responding to what the market now wants. As a result, hotels have become more market driven products rather than following a cookie-cutter prescription of ‘must haves’. It remains to be seen the extent to which COVID-19 will impact on all of this, but the new approach to brand guidelines means we can easily adapt the design to meet operator and market expectations.
Suede Interior Design Clifford Rip – Principal
‟No two brand standards are the same.” Tracey Wiles, Woods Bagot
Brand standards are simply that – standards! When it comes to design, they can represent limitations and parameters – the antithesis of creativity, flow, and freedom. For the sake of innovation, the industry needs to change the term and its contents instead to ‘brand differentiators’, referring instead to a set of touch points that differentiate that brand from others. It’s important to understand that brands evolve, and trends and designers too – when working boldly – have the opportunity to become part of that evolution in a highly tangible way. As we move into the future with an overcrowded and ever-growing population of brands, the standards have begun to blur to the average guest, and a property’s aesthetics and location become the main driver and differentiator in their overall selection – rather than the brand itself. In my view, we are not going to see brand standards being permanently altered. Yes, there are changes that
need to be made to reduce hygiene management in the midst of a pandemic, however these measures will be temporary. I don’t see us moving into a new era where we will see spaces permanently minimised from here on. In my opinion, upscale and luxury brands will eventually need to return to their pre-pandemic state of luxe. At the same time, the current challenges represent an opportunity for operators to reassess and update their brand standards, without limiting their designer’s creativity by them. This will ensure they become more relevant to the way hotels are used in this modern society.
Woods Bagot
Tracey Wiles – Regional Hotel Design Leader
Disruption is often a catalyst for progression. Strategies administered during the height of COVID-19 will act as accelerators in implementing initiatives that have long been discussed by operators, owners and designers. It has always been the designer’s responsibility to recognise and elevate opportunities to be creative, and the current climate is no exception. However, creativity and imaginative responses need to be an intelligent acknowledgement of brand guidelines, brief and systematic approach to creative and considered solutions. There are always a variety of constraints affecting developer, operator and designer alike, so it is very much up to designers to innovate within them. Architects and designers that understand buildability, manufacturing, prefabrication, standardisation and tolerances can work within and maximise the opportunities of tight budgets. No two brand standards are the same – some are quite prescriptive, while others are more descriptive. It’s really up to designers to be creative because – by definition – standards are a measuring tool rather than a solution. Brand guidelines are fabulous because they communicate the needs of the clientele and therefore ensure each offer is distinct from the next – but it’s the responsibility of designers to find inspiration between the lines. n
Dalman Architects designed public spaces at Four Points by Sheraton, Auckland
hotelmanagement.com.au 43
HEALTH & HYGIENE
CLEANING AND HYGIENE GET
DURING THE PANDEMIC, CLEANING AND HYGIENE HAS BECOME AN ART FORM AND ANOTHER BASTION REVOLUTIONISED BY TECHNOLOGY AND INNOVATION. HM UNCOVERS SOME EXCITING TECHNOLOGY AND TOP PRODUCTS JAZZING UP THE JOB OF CLEANING.
F
rom small-batch distilleries to high quality amenities suppliers, hand sanitising has firmly gone stylish during the pandemic and producers have more than stepped up to the plate. One of the leading suppliers in the market, Vanity Group have consistently been known for their in-room amenities and many hotels are impressed with their new lemon verbena hand sanitiser, which is part of their Appelles Collection. “Providing a non-sticky finish with a soft citrus fragrance, ranged within the brands’ Classic collection, the Appelles Hand Sanitiser offers hotels a more luxurious hygiene solution,” Vanity Group says. From the team at Swisstrade, available now is the allnew ‘HygiaMEDIC’ hand sanitiser station and touch-free dispenser, which comes with alcohol plus sanitiser gel to suit. “You can choose from attractive, easy-to-assemble floor standing or desk-top dispenser stations, or a simple
HEALTH & HYGIENE
wall-mounted dispenser that you'll be proud to install in a prominent location of your property,” Swisstrade says. One of the world’s largest suppliers of smart sustainable solutions for cleaning and hygiene, Diversey are supplying some of Australasia’s leading properties and they have some high-demand products in the market. Leading the way is the ‘IntelliCare Hybrid Hand Care Dispenser’, which features the first hybrid automatic hand care dispenser with both touchless and manual activation. On the small batch scale, one of our favourite new products is Parrot Distilling’s hand sanitiser spray. The team from Orange, New South Wales, that are known for their top-quality gins, have a stylish spray complete with a delightful natural scent of rosemary.
UV LIGHTS AND GERMICIDAL LIGHTING
Designed for a comprehensive clean of a public area as opposed to hotel rooms, UV light and germicidal light technology is being hailed as a breakthrough for its adaptability to other professional fields after being used in medical and health circles for some time. The reason it has not been mooted as a hygiene solution for the hotel industry is because of the high rates of human traffic moving among the corridors and spaces and the potential for skin and eye damage to those exposed. However, following the addition of motion detection and automatic shutoff capability, the use of the device in areas able to be sealed off for an overnight disinfection is now back on the table. According to a Princeton study conducted earlier this year, the use of UV germicidal lighting has been found to be effective on both steel and fabric surfaces. Fully installed, the system can check for room occupancy and lock doors prior to activation. Germicidal light technology has been Aside from automated cycles, UV light sterilisation can also be deployed adapted for use in hotels through companies such as Swisstrade, which offers UV cleaning cases to suit smartphones, laptops and tablets and even as a torch for use by housekeeping teams. Hotels can also encourage guests to drop their room keys on check-out into a sterilising drop box, which uses ozone sterilisation to remove any harmful substances or residues. A must check out is the Hygiamedic UV sterilisation drop box, available from Swisstrade, which is an efficient and safe way to sterilise room key cards.
Have you been searching for the most hygienic amenity dispenser?
SmartCare protects your guests and staff from cross-contamination with a factory-sealed dispenser system.
Call us today for an obligation free trial. swisstrade.com.au | 02 9979 1500 | info@swisstrade.com.au
HEALTH & HYGIENE
DYSON AIR PURIFIER
Crowds can put people off at the best of times, but in a hotel lobby or exhibition floor, those extra steps to assure your guests of their health and safety can have potentially highly positive and long-term benefits in terms of customer retention. Devices such as Dyson’s Pure Hot+Cool fan heater can capture 99.95% of particle pollution and replace it with 290 litres of purified air every second projected to different corners of a room. The HEPA filters on the Dyson fan heater can capture particle pollution down to 0.1 micron including allergens, bacteria, pollen and mould spores. These Tris-coated filters remove gases from the air such as NO2, formaldehyde and benzene, as well as odours, domestic fumes and VOCs.
Potentially harmful gases such as formaldehyde and benzene can linger in the air
EFFECTIVE DISINFECTING
Disinfecting has thrust itself from an expectation in society to being the very basis of nearly every movement in the accommodation industry. As a result, hotels have spared no expense in revolutionising their cleanliness regime with new products, protocols, technology and greater levels of visibility for guests. One of the leaders in the space is Callington, who manufacture popular disinfectant Netbiokem DSAM, which is 100% Australian owned and formulated. Netbiokem DSAM Disinfectant cleaner is approved and suitable for use both in fogging machines and as a spray and
Netbiokem DSAM • Kills SARS-CoV-2 (COVID-19) in 2 minutes • Approved Disinfectant for COVID-19 claim (ARTG No.336972)
• Non-flammable and non-toxic formulation • Safe to use on all hard and soft surfaces • Suitable for fogging applications
Hand-sanitisers also available
Find out all you need to know at www.callington.com
46 HM The Business of Accommodation
Nanoparticles can leave every surface disinfected for up to 72 hours
HEALTH & HYGIENE
Stop COVID at the door Optical Solutions Australia’s Business Development Manager, Sean Serin, explains how hotels can stop Coronavirus from getting through the door. Once restrictions start to ease, more hotels will be eager to open up to desperate, but timid holiday travellers. One way a hotel can help alleviate these fears is by providing thermal screening upon entry into the building for both guests and staff. There are numerous solutions now available which can give hotels an early warning of a potentially infected person before entry into the building. Now these are by no means a one-stop-shop for detection but rather, they offer a quick no-touch detection of potential infection. Follow-up testing would be required to determine actual infection, however, if hotels are looking for a means to help prevent any possible spread or outbreak inside the hotel, this is one method that can be implemented at a relatively low cost. Most systems consist
of a CCTV camera and a reference heat source COVID has shaken the world to its core and placed within the camera’s field of view. forever altered our way of life, so the planning The heat source is a method of obtaining process must be conducted carefully to ensure thermal detection accuracy for the camera’s your hotel doesn’t become ground zero of a analytics engine. Other options are fashioned new outbreak. as a stylish portable pedestal that does not need a reference heat source and can be easily and quickly deployed as a stand-alone Thermal imaging can alert a hotel to a high system, with visual and audible warning on temperature as it comes detection. These thermal detection units can through the door be linked to existing CCTV systems or operate independently. They can emit a warning sound or send an alarm to a phone or desktop. They can even be set up to integrate with turnstiles or access gates/doors to prevent Minimal outlay entry upon positive detection. Now, for professional of course, there are installation, installation can result location and access considerations in a healthy hotel for to be aware of when investigating guests and staff. such a solution, and the expertise of a qualified and experienced advisor and installer can help to make the process as smooth as possible.
New
Antibacterial, non-sticky gel formulation
Kills 99.99% of germs
LUXE LEMON VERBENA HAND SANITISER Elevate your guest experience whilst maintaining safety in your hotel with the new APPELLES Hand Sanitiser. Available now for retail and wholesale purchases.
Contains 70% ethanol alcohol
Soft refreshing lemon verbena fragrance
appelles.com For enquiries please contact info@vanitygroup.com
Available in 50ml and 500ml sizes
hotelmanagement.com.au 47
HEALTH & HYGIENE
Marriott International has committed to a global rollout of electrostatic sprayers
Victoria is currently mandating the use of face masks for all people when out in public
wipe application. Netbiokem DSAM can kill the COVID-19 virus in two minutes with its spray and wipe application, with no additional PPE beyond gloves needed. For a fogging treatment, 30 minutes is advised for an effective application before people can re-enter the room safely, with additional PPE required for this process. “Hotel cleaning staff can use it safely, with a pair of gloves, which they’re using anyway. No other PPE is required. It is water-based, non-toxic, non-hazardous and safe to use,” says Callington Group Marketing Manager, Ivan Zrilic Zrilic. Global supplier Diversey offers a range of disinfectants that “meet every need in every area of your facility, from operating theatres, neo-natal units, and isolation rooms to reception desks,” according to the company. “With our understanding of industry guidelines, Diversey can ensure you have the right disinfectant solutions to meet the most rigorous standards, while providing the education and support you need to maintain them,” the company says.
OBTAINING THE SAFEGUARD TICK
The ‘new normal’ requires accommodation and hospitality operators to take actions so they can return to business in a safe manner and look forward to an eventual recovery. Enter the Bureau Veritas SafeGuard Assurance Program, which helps hotels and chains develop brand standards with a focus on protecting guests and employees. Bureau Veritas is one of the world’s leading testing, inspection and certification agencies and StayWell 48 HM The Business of Accommodation
‟Thermal detection units can be linked to existing CCTV systems or operate independently.” Sean Serin, Optical Solutions Australia
Holdings recently developed a set of brand standards for the company’s popular properties. The standards outline auditable measures that span front office, guestrooms and housekeeping, public areas, back of house including suppliers, restaurants and food outlets, functions and events, and human resources and training. Hospital grade cleaning features heavily in the new standards, including increased frequency of cleaning, and use of chemicals to kill COVID-19. Every property has installed sensor hand sanitisers within all public spaces including lifts, and will undertake management of social distancing across public spaces. StayWell Holdings President and Director, Simon Wan, says: “Being independently audited by Bureau Veritas to our new standards of hygiene and sanitation continues that tradition into the new world that we are all finding ourselves in."
ELECTROSTATIC SPRAY GUNS
Similar to the fogging technology, albeit handheld, the electrostatic spraying guns are great for cleaning fitness centres and swimming pool areas, including associated locker room areas. Marriott International is one hotel group which has already committed to deploying the devices across its 7,300-strong hotel network over the coming months.
PERSONAL PROTECTIVE EQUIPMENT (PPE) As a supplementary protective measure, some hotel groups, such as Ovolo, are requiring team members to don face masks to ensure both themselves and guests are safe from any possible transmission of the virus. n
WORLD LEADING HYGIENE SOLUTIONS CLEANING VS. SANITISING VS. DISINFECTING The COVID-19 pandemic has brought about a new standard for hotel hygiene. As the world recovers, businesses need to protect staff and guests during and after reopening.
CLEANING VS. SANITISING VS. DISINFECTING
Though these words are often used interchangeably, there are important differences between cleaning, sanitising, and disinfecting.: •
Cleaning removes soil from a surface but makes no specific claims about killing disease causing organisms. Cleaning assumes that the process will remove many of the organisms on the surface but assumes small numbers of organisms after cleaning would be acceptable.
•
Sanitising kills surface bacteria to help ensure that there are very low levels of disease-causing bacteria left on surfaces but makes no claims about fungi or viruses.
•
Disinfecting has the power to kill bacteria and fungi and inactivates viruses and at a much higher level than sanitising. Sanitising provides a 3-log reduction to bacteria and disinfecting provides a 6-log reduction, with each log being a factor of 10.
Anytime there is visible or “gross soil” on a surface, it must first be cleaned before disinfecting or sanitising. When disinfecting a surface, you can use a disinfectant to clean, but must apply it twice, first to clean and then to disinfect. Using a disinfectant that has been through a standardised test method allows you to clean and disinfect in one step when there is no visible soil on the surface and when allowed by the product label. Check the product label to confirm it is a one-step process. The same considerations also apply to sanitising non-food contact surfaces. Concentrates or ready to use disinfectants and sanitisers require a minimum concentration and contact time in order to be effective against the targeted microorganisms; check your product label use directions for this information. Knowing the nuances of how a certain product should be used to achieve a desired outcome is key to optimising the performance of sanitisers and disinfectants.
DIVERSEY BEST PRACTICES
When choosing a disinfectant, there are a number of features to consider: • Check the product is approved for the pathogens of concern. For COVID-19, look for disinfectants that can be used against COVID-19 listed in the Australian Register of Therapeutic Goods (ARTG) for legal supply in Australia.
•
•
•
Purchase a one-step disinfectant with a shorter contact time – preferably five minutes or less. Cleaning and disinfecting in one step will accomplish your goal without sacrificing performance and a short contact time helps ensure the product is used in compliance. Look for a product range that offers solutions in wipe, concentrate and ready-to-use formats to meet a variety of needs. Not all product forms are appropriate for all situations. Having flexibility in how the product is applied is important. The best products are gentle on skin and surfaces while tough on pathogens. Look for products with accelerated hydrogen peroxide that offer high efficacy and low toxicity.
CLEANING IN A NEW WORLD
Teams need to know how to properly clean, sanitise and disinfect surfaces, especially during and after the pandemic. When in the market for disinfectants, pick a product that is fastacting, effective, and less likely to cause irritation and surface damage. If you have questions about any aspect of Diversey Australia’s hygiene programs, services, products or infection prevention visit our website at diverseyvericlean. com or call 1800 647 779 to speak to our friendly Customer Service to and find out more.
10 Disinfectants APPROVED to kill SARS-CoV-2 (COVID-19 virus)* Oxivir Tb Wipes, Oxivir Tb, Oxivir Five 16, Virex II, Taskforce J-Fill, Taskforce, Shield Citrus & Spectrum.
Kills
SARS-CoV-2
(COVID-19 virus)
W4
Taskforce
D1 W9
Taskforce J-Fill™
Commercial Grade Disinfectant Cleaner
Commercial Grade Disinfectant
Active Ingredient: Benzalkonium chloride 1.5%w/w. Taskforce is a cleaner and disinfectant for use on all washroom hard surfaces. Taskforce provides a disinfecting action on both hard and semi porous surfaces when used as directed, as well as providing cleaning power.
Cleaner Active Ingredient: Benzalkonium Chloride 19.2%w/w. Taskforce J-Fill is a cleaner and disinfectant for use on all washroom hard surfaces. Taskforce J-Fill provides a disinfecting action on hard surfaces when used as directed, as well as providing cleaning power. Taskforce J-Fill leaves a pleasant long lasting fragrance for just cleaned freshness.
Kills SARS-CoV-2 (COVID-19 virus).
Kills SARS-CoV-2 (COVID-19 virus).
NET:
5L
SKU:
5687614
NET:
2.5L
390000222 Taskforce W4 AU | 5L FRONT | v03.indd 1
Diversey 072
BLACK
SKU:
HH15425 390000942
390000222
17/10/18 5:09 pm
PMS 2603
Diversey 072
BLACK
390000942 Taskforce J-Fill W9 AU | 2.5L FRONT | v06.indd 1
PMS 2603
24/10/19 5:13 pm
*ARTG 334780(Taskforce J-Fill), ARTG 153031(Virex II , J-flex/J-fill), ARTG 338310(Spectrum), ARTG 338290(Taskforce), ARTG 338592(Oxivir Tb Wipes Class llB), ARTG 164850 (Oxivir Tb Wipes), ARTG 286618 and ARTG 339807 (Oxivir Five 16), ARTG 339933(Shield Citrus) ARTG165058 (Oxivir Tb RTU).
Diversey Australia - 29 Chifley St, Smithfield NSW 2164 Australia
Customer Service: 1800 647 779
diverseyvericlean.com
DISCLAIMER: Please check local regulations and guidelines for any references provided. These materials are provided for general information purposes only and do not replace each user’s responsibility to assess the operational, legal and other requirements applicable to each facility. Confidential information, may not be copied or distributed without prior written permission of Diversey. © 2020 Diversey, Inc. All Rights Reserved. *ARTG registered List 25 July 2020. https://www.tga.gov.au/disinfectants-use-against-covid-19-artg-legal-supply-australia. Always read the label and product information before use. ABN: 92 080 527 117
HEALTH & HYGIENE PRODUCT SHOWCASE
FIRST! THE KEY PRODUCTS THAT SHOULD BE TOP OF YOUR AGENDA TO ENSURE A SAFE RETURN TO NORMAL BUSINESS AT THE END OF THE PANDEMIC.
DYSON HOT+COOL AIR PURIFIER
To simultaneously purify and heat your guest rooms properly, the Dyson Pure Hot+Cool purifier fan heater goes beyond standard tests. Using Air Multiplier technology, it automatically senses pollution, captures 99.95% of ultrafine pollutants and projects purified and heated air throughout your guest room. It is the only purifying heater designed and tested to do this. The 360-degree fully-sealed filtration system combines an activated carbon filter and a glass HEPA filter, working together to lock in gases and pollutants and preventing dirty air from leaking back into the guest room. View temperature and air quality reports – fast! The Dyson Link app allows you to monitor the air quality in your guest rooms, and outdoors. Quickly check your machine’s activity, past and present, as well as reports on temperature, humidity, and filter life. Save valuable time without having to check the room in person. www.dyson.com.au/for-business/overview/hotels or aucommercial@dyson.com
VANITY GROUP APPELLES HAND SANITISER
Vanity Group has introduced a new Lemon Verbena hand sanitiser to its Appelles collection for hospitality partners looking to elevate the guest experience. The anti-bacterial sanitiser is formulated to kill 99.99% of germs with a 70% ethanol content. Providing a non-sticky finish with a soft citrus fragrance, ranged within the brand’s Classic collection, the Appelles hand sanitiser offers hotels a more luxurious hygiene solution. Available in multi-use 500ml pumps, for front of house and food and beverage outlets, and for individual use, a mini 50ml bottle. Vanity Group worked quickly to develop
BUREAU VERITAS SAFEGUARD ASSURANCE PROGRAM
the product in response to partner demand looking to offer their guests a luxe yet efficacious solution.
Bureau Veritas, a global leader in Testing, Inspection and Certification, has developed a methodology branded “Safeguard” to mitigate the risk of COVID-19 and provide reassurance to your stakeholders by independently auditing your facilities against latest health and hygiene recommendation and good practice. Compliant sites are listed on a dedicated consumer website (restartwith.bureauveritas.com) for maximum exposure and to assist patrons making informed decisions on their destinations. Get a competitive advantage and join 1,500+ facilities already audited.
www.vanitygroup.com or info@vanitygroup.com
www.bureauveritas.com.au/safeguard-assurance-program or jeremy.leu@bureauveritas.com
50 HM The Business of Accommodation
SPONSORED CONTENT
DYSON V11 EXTRA & V11 OUTSIZE VACUUM Dyson’s two new cord-free vacuums, the new Dyson V11 Outsize and the Dyson V11 Absolute Extra, deliver the power, performance and intelligence of Dyson cord-free technology for up to two hours - perfect for hoteliers and staff needing a machine for that deeper clean or longer running times for their hotel cleaning regime. Optimised for deep cleaning, the Dyson V11 Outsize has been re-engineered to include a 150% larger bin, 25% bigger cleaner head and run for up to 120 minutes thanks to a click-in battery system for bigger and longer
cleans. It offers 40% more suction power than the Dyson Cyclone V10TM vacuum, thanks to a powerful Dyson Hyperdymium motor and 18 Dyson cyclones, which generate forces of more than 79,000g to fling microscopic particles – such as pollen, dust and bacteria – into the bin. The machine’s fully-sealed filtration system traps 99.97% 99.99% of particles as small as 0.3 microns, while Dyson’s DLS technology intelligently optimises cleaning and runtime according to floor type.
www.dyson.com.au/for-business/overview/hotels or aucommercial@dyson.com
SWISSTRADE HYGIAMEDIC UV STERILISATION DROP BOX
HygiaMedic UV Sterilisation from Swisstrade provides hotel operators with an environmentally friendly, chemical-free and highly effective way of killing harmful bacteria and viruses. Available as a UV Drop Box for hotel key cards, in-room UV Case for personal belongings or a laptop-size UV Chest. Sterilisation Drop Boxes are available as a desk-top model or with a reception area stand, removing the need for humanhandling to keep your staff and guests safe. www.swisstrade.com.au or p.weingartner@swisstrade.com.au
DIVERSEY INTELLICARE HYBRID HAND CARE DISPENSER
fixtures, doors, bathrooms, lifts and lobby areas. Netbiokem DSAM is also effective on bacteria (Salmonella, E.coli), fungi and mycobacteria, making the product even more suitable for the hotel and hospitality industry.
Does your facility need a helping hand with hand hygiene? The award-winning IntelliCare Hybrid Hand Care Dispenser features the first hybrid automatic hand care dispenser with both touchless and manual activation. The hybrid dispenser uses patented technology which allows a seamless shift from touchless to manual mode, delivering uninterrupted hand hygiene, even when the batteries deplete. The dispensers incorporate a large window to enable at-a-glance product and content level, with an ingenious nozzle designed to prevent clogging and dripping to reduce maintenance and wastage.
www.callingtonhaven.com/outbreak-solutions-netbiokem.php or izrilic@callington.com
www.diversey.com/en/solutions/personal-care/intellicarehand-hygiene or aucustserv@diversey.com
NETBIOKEM DSAM DISINFECTANT CLEANER Callington’s Netbiokem DSAM is a ready-to-use, 2-in1 high performance disinfectant cleaner for all hard and soft surfaces. Netbiokem DSAM kills SARS-CoV-2 (COVID-19 virus) in two minutes. The product is ideal for disinfecting and cleaning of high touch points within hotel establishments ranging from bars, restaurants, furniture,
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MIDSCALE MOVES AHEAD MIDSCALE AS IT WAS ONCE KNOWN HAS MORPHED INTO SELECT-SERVICE, WITH GUESTS GIVEN A STARTING POINT AND A NEAR-ENDLESS ARRAY OF ADD-ONS TO PERSONALISE THEIR STAY. THIS MODEL IS PROVING POPULAR AMONG INVESTORS AND IS SHOWING SIGNS OF EXPLOSIVE GROWTH. Select-service provides nearly endless ways to customise a stay
Accor
Lindsay Leeser – Senior Vice President Development & Franchise Pacific
In these uncertain times, there is great demand for hotel brands with strong brand awareness in the local domestic market. Mantra is Australia’s largest hotel brand with 75 properties across the country. The brand is renowned for specialising in the markets where Australians like to holiday – in our bustling cities and favourite leisure destinations. Since the brand was born in 2007, Mantra has experienced a great journey of strategic pipeline growth. The brand has achieved considerable success in the Australian market and, while the Mantra brand has expanded internationally, its core market is, and will remain, domestic. Even during these challenging times, we have experienced continued demand for Mantra as investors seek out the comfort and security that comes from an Australian brand of this scale, which is backed by the power of Accor’s 4.8 million ALL loyalty members in the Pacific and our global distribution channels, to capture domestic tourism. Since acquiring Mantra in 2018, Accor has continued to grow the brand with five new Australian hotels opening in the past two years, including the 146-room Mantra Albury Hotel, 214-room Mantra Epping Melbourne, 79-room Mantra Mackay, 41-room Mantra Melbourne Melton and 50-room Mantra Traralgon. 52 HM The Business of Accommodation
Accor continues to be a leader in the midscale market and currently boasts more than 160 midscale properties across our Mantra, Novotel, Mercure and Tribe brands in Australia, New Zealand and across the Pacific. And, with approximately 50% of Accor Pacific’s pipeline in the midscale sector, this will continue to be a focus for the Group.
BWH Hotel Group
Graham Perry – Managing Director
The Midscale and Select Service sectors are better placed than most to weather the current environment and emerge stronger as a rebound in occupancy gains momentum. Providing great value for money and being generally well placed in all the right locations across the country, midscale and select service segments meet the needs of a wide variety of guests – corporate, government and leisure travellers – balancing comfort and amenities with affordability and accessibility. At BWH Hotel Group, with the notable exception of Victoria, the pace of growth in occupancy rates and RevPAR has been accelerating in line with restrictions easing and states progressively opening their borders to interstate travellers. Our Best Western & Best Western Plus brands are already leading the way with strong recovery in occupancy and RevPAR recorded for June and July. We attribute this above-market performance to travellers’ preferences for known and trusted brands and a strong value proposition of having the right hotels in the right locations.
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We believe that domestic, foremost regional Australia, will continue to lead the recovery for the travel industry as travellers are looking to explore experiences closer to home while international borders remain closed. Reliable and trusted brands in these locations will be in the strongest position to capitalise on this business. Established brands have stood the test of time and provide a common understanding and a proven record of exceeding guest expectations. This is more important than ever in times of uncertainty. Importantly, they also provide guests with trusted confidence that they will be doing the right thing, including rolling out initiatives like BWH’s We Care Clean program to safeguard the health and wellness of guests and staff through enhanced hygiene measures and protocols. Owners, developers and investors are aware of the value of branded midscale and select service properties and remain highly engaged with us. They’re quick to see opportunity in adversity. Our first Australasian Aiden hotel, due to open in Sydney’s Darling Harbour in early 2021, continues on track, and we’re in discussions with other potential Aiden sites in Perth and Auckland as well. We are confident that the tides will turn, and the two segments that will emerge the fastest and the strongest will be midscale and select service.
Event Hospitality
Norman Arundel – Director of Hotels and Resorts
Midscale hotels have always been – and will always be – the backbone of our company. We are passionate and committed to delivering great value, quality and service aligned to the needs of our customers. We are committed to this segment and continuing to push the boundaries of what midscale brands can offer. Our Atura properties are a perfect example, offering a fresh approach to the mid-market travel experience combining high design with high value and first rate hospitality. Our focus in the current environment continues to be on delivering products and services in this space that attract and reflect both leisure and business travellers, who want quality and value for money. Any examination of the development pipeline would certainly indicate that many developers are focused on the premium end of the market. Looking at new hotels coming into the market, you can see it is weighted towards the luxury and upscale segments. However, as a company, we feel we have a more balanced approach. We are certainly actively involved in the Choice Hotels upscale market with Asia–Pac our very successful QT Tim Mayoh – product, but we are not Development Manager forgetting the other We’re truly in unchartered segments. Our focus in territory as we begin to the midscale market Tim Mayoh, Choice Hotels Asia-Pac emerge from the COVID-19 pandemic, therefore remains anchored in our predicting traveller markets will continue to core values – delivering provide a challenge. quality hotels, unique The economy, midscale and upper-midscale sectors account for and personal experiences and the finest service and hospitality for our approximately 72.4% of Australia’s hotel count and 55% of room guests, while driving commercial outcomes for our owners. It’s worth inventory, so the significance of these sectors for travellers is huge. saying we haven’t forgotten the budget segment either, with our recent These segments are vital to both corporate and leisure guests in a acquisition of a 50 per cent share in Jucy Snooze. recession where reduced spending capacity impacts accommodation Guests have always demanded value, no matter what segment of the selection. Our sectors will absorb the impact of this and border closures, market they are in. Demand for value and true local experiences will while catering to the rate conscious traveller. only increase post COVID-19, and this is where strong and established While enquiries and interest have both increased for independent domestically based midscale brands like Rydges and Atura will thrive. properties looking to reposition their hotel with a group that can provide These brands have always focused on the domestic market, so in many the support they require, the rate among developers looking to engage ways we feel like we have a head start as restrictions continue to ease in new ventures in the past three months has slowed due to economic and we move into a new normal. uncertainty and tightening of lending. We anticipate the end of 2020 will see a rise in hotel transactions and Hilton perhaps some discounted development opportunities. Tushar Raniga Trusted brands in all sectors will be important to travellers, – Director of Development, Australasia particularly midscale. Further to the familiarity and comfort a brand Prior to the COVID-19 pandemic, Hilton was seeing a brings, the safety of all guests is paramount and the rollout of cleaning shift in both traveller and developer interest towards programs such as the Choice Hotels ‘Commitment to Clean’ will provide mid and upper-midscale brands. Now considering that sense of security. our current business environment and the ‘new normal’, we are finding We are already experiencing some wonderful stories from our current there is even greater focus on midscale brands in Australasia. portfolio – one property experienced their best May revenue in history, Due to the rise of the middle-class traveller, now our largest segment while others are filling over the weekends and seeing a steady flow of of business, we see immense opportunity with our award-winning corporates mid-week. Our strong belief is that the midscale and select and fastest growing upper-midscale brand, Hilton Garden Inn, which service sectors will thrive in the coming years as brands prove their welcomes guests to more than 860 hotels in 49 countries globally. capacity to support owners through conditions that previously we could We know that travellers have varying needs and wants when only have imagined. considering accommodation. Many are looking for value for money With reduced operating expenses compared to higher sectors, the while also remaining loyal to the brands in which they trust – so much midscale and select service sectors provide a great option for owners so that Hilton Honors members account for 40% of business at Hilton looking to maximise returns. Garden Inn properties across the region. The great thing about Hilton
“Enquiries and interest have grown for independent hotels looking to reposition.”
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Garden Inn is that the brand is targeted to serve travellers seeking a fullservice experience without the full-service price. From a development perspective, we are seeing increased interest from owners in the mid to upper-midscale sector as cost control and flexibility are now more paramount than ever before. Hilton Garden Inn offers an efficient prototype set-up which has been developed specifically for Australasia – this means more certainty over costs, allowing developers to efficiently adapt to evolving guest preferences with a number of enhancements such as increased natural light, podstyle check-in areas and meeting spaces with multi-functional features. We are focused on delivering intelligent spaces that are laid back, sensibly sophisticated and positive. Developers can therefore costefficiently expand their portfolios whilst also maximising revenue. In the current climate, all hotel companies need to alter their target audience toward local and domestic markets while international travel rebuilds. When considering the target audience for Hilton Garden Inn properties, we believe the brand will have the most success in key cities and in secondary business centres. In addition, we also see opportunity in tertiary locations that offer both leisure and corporate business. In terms of expansion, we have an ambition to double Hilton Garden Inn in Australasia over the next five years, with over 15 projects in planning or under construction in Australia, New Zealand and Fiji. The first Hilton Garden Inn property in this region will open in Albany in Q1 2021, followed by Hilton Garden Inn Suva later in the year.
Hyatt Hotels Corporation
Monika Dubaj – Vice President Development
The select service category has been a major growth driver for Hyatt since the launch of Hyatt Place in 2005. Hyatt has four distinct select service brands focused on the premium end of the upscale traveller – Hyatt Place, Hyatt House, Joie de Vivre (acquired from Two Roads Hospitality) and our newly-launched lifestyle brand, Caption by Hyatt. The uncomplicated design and efficient operating model of our select service hotels and the inherent ability to adapt and flex to the challenges of the current environment make this hotel category more relevant than ever going forward. Our experience at Hyatt Place Melbourne Essendon Fields show that the focus on essential facilities, low staff ratios and 54 HM The Business of Accommodation
Travelodge has always had strong appeal with investors, says TFE Hotels
multi-skilled employees have been a key performance driver, generating positive cash flows in an extremely unpredictable business environment. We believe that our select service brands will continue to be strong growth drivers domestically in Australia and internationally in urban and suburban markets, regional centres and mixed-use developments. In times of crisis, safety and cleanliness are paramount factors to consumers when making choices, especially when it comes to hotel stays. Established brands have the advantage of greater internal resources to create, implement and communicate rigorous hygiene practices, further augmented through accreditation processes with respected and trusted organisations such as Hyatt’s alliance with the Global Bio-risk Advisory Council and Cleveland Clinic. Hyatt’s select brands in Australia, by virtue of their locations in suburban locations such as Hyatt Place Melbourne Essendon Fields or Hyatt Place Melbourne Caribbean Park (opening in 2021) are inherently focused on the domestic traveller. This focus will be ever more important as global travel is expected to remain constrained in the short term. Our Hyatt Place brand is on a strong growth trajectory in Australia. Essendon Fields, our first Hyatt Place in Australia which opened in 2017, is a fantastic representation of the select service category, both from a guest satisfaction and operational performance perspective. We have four Hyatt Place hotels in our pipeline in Melbourne and Brisbane and are actively pursuing a number of exciting opportunities with Hyatt Place, Caption by Hyatt and Joie de Vivre brands in CBD, regional and airport locations across Australia and New Zealand. We believe we can more than double the number of select service hotels in this region in the next five years.
InterContinental Hotels Group
Abhijay Sandilya – Vice President, Development – Australasia, Japan and Pacific
The midscale and select service segments generally prove to be very resilient after a crisis, and the most likely to bounce back quickly. This puts IHG in a relatively fortunate position, as we are the global leader in this segment. In fact, Holiday Inn is the largest brand family in the world, with more than 4,100 hotels (and over 1,000 in the pipeline), making up around 70% of IHG’s current estate. In times like these, globally-branded hotels tend to become more attractive to owners, not just for the power of the system, but also for the reassurance and peace of mind they bring around cleanliness, loyalty, and operational efficiency. It’s no secret that, over the past couple of years, we’ve been signing Holiday Inn brand family hotels like never before, and we now have 15 hotels in the Australasian pipeline – which means we are almost doubling our portfolio in this space. Some owners, like Pelligra Group, have invested in a significant way, signing Holiday Inn properties in Werribee and Richmond, and taking on ownership of Holiday Inn Melbourne Airport. Of course, our franchise partner Pro-invest Group continues the rapid growth of the Holiday Inn Express brand in Australia and New Zealand, with Queenstown and Sydney Airport both opening in 2020, and more on the way. We have been working with owners on investment in the refurbishment of our existing estate, and some examples of refreshed product include Holiday Inn Melbourne on Flinders, Holiday Inn Darling Harbour, Holiday Inn Perth and Holiday Inn Auckland Airport. We continue to see a steady and growing interest for the Holiday Inn brand in city, suburban and regional destinations, often where there is a lack of quality, branded hotels. With its focus on a design-led product
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and operational efficiency, Holiday Inn is ideal for these locations – catering to both the leisure and business traveller.
Marriott International
Richard Crawford – Senior Director of Hotel Development, Australia, NZ, Pacific
As the world’s largest hotel company, Marriott International manages and franchises hotels across all tiers of accommodation. We are, however, experiencing global momentum that is seeing our historic dominance in the upper upscale and luxury segments balanced by a surging pipeline of new build select service hotels. Numerous factors are driving this shifting landscape, although our industry correctly points to ‘the changing needs of today’s travellers’ and ‘historically high costs of land and construction’ as the dominant reasons for the proliferation of hotels characterised by smaller rooms, fewer facilities, and non-CBD locations. Despite the current operational challenges presented by COVID-19, Marriott International has not closed any hotels in Australia and we are experiencing a record period of growth, with 20 new-build hotels under planning or construction, and negotiations well progressed on a dozen more. This period of expansion will be remembered as a transformative time for our company, not only for our growth, but also for the way our hotels have changed – because more than half of our pipeline projects are select service hotels. Distinctive select service brands including Moxy and AC Hotels by Marriott will soon make their debuts in Australia, each with multiple hotels in Melbourne, then elsewhere in Australia and New Zealand. These design-led contemporary lodgings will be certain to challenge traditional rivals in their respective 20m² and 25m² room size markets. Meanwhile, expansion is also confirmed for our flagship classic select service brands, Four Points by Sheraton and Courtyard by Marriott, which today is our company’s largest global brand with more than 1,200 hotels. Crucial in our near-term operating environment (with international markets paused), select service brands are best placed to thrive in metropolitan and regional markets, where domestic travellers will always be the primary source markets.
Minor Hotel Group
Craig Hooley – Chief Operating Officer
There’s a defined role for full service hotels and a defined role for select service. The appeal of a midscale and select service hotel is that guests want to be in an environment that feels like home but offers them all the convenience of a typical hotel. For example, they want a fully equipped kitchen and laundry in their room, but also want the option to order room service. Oaks Hotels is in partnership with Deliveroo and Coles to facilitate in-room dining and grocery delivery services, while a number of Oaks’ city centre hotels also offer chargeback service with top local restaurants. There are four things we’ve found are really important. Guests want safety and security, particularly with respect to hygiene and cleanliness protocols. They want customised services – they want good service, but they want it in their style. They want flexible booking policies so that they can book with confidence. And lastly, they want high-speed internet – whether to facilitate remote working or leisure-related use. They want to check-in and have everything at their fingertips. Midscale and select service are among the strongest performing sectors of the accommodation market currently due to their value for
“In times likes these, globally branded hotels tend to be more attractive to owners.” Abhijay Sandilya, IHG money providing a broad reaching appeal to the market, and their ability to stay open and operate during challenging times due to their lower cost operating model. As we move into the new normal, these two components will be key in a brand’s success. Oaks has implemented the Oaks ‘SureStay’ program, which delivers an elevated standard of safety and hygiene across all properties and utilises the highest grade of infection control policies and procedures, developed in line with World Health Organisation guidelines and all Australian and New Zealand Government COVID-19 recommendations. We also know that given the current travel climate, travellers will choose hotel brands that can offer flexible booking policies, should circumstances unexpectantly change at the time of their trip. Oaks is offering extra flexibility and support on all bookings, so that travellers can book ahead with confidence. For the next two years, all hotels are going to have to focus on domestic markets, which could include travel bubbles with New Zealand and the South Pacific while we wait to see what international travel will look like in the future. The numbers are going to be different.
Ovolo Group
Tim Alpe – Chief Operating Officer
It’s a challenging time for the industry. However, with our midscale properties – Mojo Nomad By Ovolo (Hong Kong), The Sheung Wan By Ovolo (Hong Kong), Nishi Apartments By Ovolo (Canberra) and Mamaka By Ovolo (Bali, opening Q4 2020), we see opportunities in the current environment. The operating model and costs of this segment are more flexible, allowing us to pivot quicker and be more agile in these challenging circumstances. Typically, there may not be such a large footprint to monitor by way of public spaces, therefore control procedures and costs of implementing new initiatives are not prohibitive compared to other market segments. Brand equity levels are positioned to do better coming out of recovery as long as they don’t rest on their laurels and expect it to return without a solid effort on property and in the sales and marketing functions. Successful brands hold the value of transparency in the highest regard, so operators need to be looking into hygiene and smart business protocols whilst effectively conveying that level of trust to consumers and putting on a somewhat undisturbed experience of past in order to be ahead of the recovery curve. There will be an overhaul in the feasibility on what is really necessary when building new midscale properties. What is considered ‘nice to have’ may drop from the list more often than not in the coming five years unless there is a clear ROI in a revenue or brand experience perspective. This will be apparent for new projects on the horizon. A typical third year stabilisation may be revisited depending on scale and location of sites, but those with nationwide coverage will benefit from marketing synergies and brand awareness. It is likely that this segment will recover faster and due to generally more modest key counts at times, may be a preferred accommodation provider of choice. hotelmanagement.com.au 55
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Pro–invest Group
Ronald Barrott – Chief Executive Officer and Chairman
While we expect to see a downwards shift in new supply over the next few years as a result of less certainty in the sector and economy more broadly, I believe developments with strong fundamentals, appropriately scaled to the location and market are more likely to move forward. Once the hurdles of safety, logistics and economic uncertainty are overcome, it’s highly probable we will see strong returns in hospitality and related development.
Midscale and select service hotels have historically performed well in times of economic downturn, with COVID-19 being no exception. In Australia, these property types are under-represented, with new supply forecast to be little more than 10%. Given consumer behaviour shifts postCOVID-19, coupled with rising demands to champion economically Radisson Hotel Group viable and resilient business models, midscale and select service hotels Mark Bullock – Managing Director, are expected to grow in demand. Australasia Business Unit Pro-invest has commenced altering its hotel developments’ design The Midscale and Select Service sectors have been features to cater to the market’s changing needs post-COVID, in areas growing steadily and is a trend that is likely to such as the redesign of common areas to limit guest crowding and continue, and even strengthen, in future. contact around the breakfast buffet area. Similar efforts are being seen For owners, these sectors are especially appealing in high-cost across the industry – both within design and operation – as hoteliers markets like Australia and New Zealand, and Radisson Hotel Group move to amend their product offerings to being COVID-safe. continues to explore opportunities for several Radisson RED conversion Due to select service hotels’ lean product offering business models – projects across the region. both in design and operations – select As travel resumes, there will be service hotels are considered to be a growing preference for known favoured in current circumstances. and trusted brands. Guests will Pro-invest will continue growing seek peace-of-mind and the its select service and lifestyle branded Radisson Hotels Safety Protocol – a hotels via Pro-invest Australian programme of in-depth cleanliness Hospitality Opportunity Fund II, which and disinfection procedures will leverage off the success of Fund I launched in partnership with SGS James Shields, Quest Apartment Hotels which holds eight select service Holiday will provide this. Inn Express hotels across Australia In the short to medium term, the and New Zealand (six of which are operational). The first four sites in target audience may see some change. International travel is likely to Fund II have been secured, accounting for 900 rooms across Auckland remain subdued, even as borders start to reopen. Fortunately, Australia CBD, Sydney/Parramatta and the Sunshine Coast. In parallel, Proand New Zealand are markets with strong domestic tourism. Australia invest also continues its focus on the repositioning of existing assets recorded 117.4 million overnight trips and AUD$80.7 billion in spending or redevelopment opportunities, with Pro-invest already scouting for in 2019, while New Zealanders made 45 million domestic trips and off-market opportunities with a focus on good quality assets with strong spent NZD$23.7 billion. Both countries’ NTOs are focusing on domestic investment potential that have become available from distressed owners tourism, and the trans-Tasman ‘tourism bubble’ will help to restore due to COVID-19. cross-border travel. These trends indicate that Australasia is well-placed to make a Quest Apartment Hotels strong recovery, with midscale and select service brands playing James Shields – General Manager – Growth a key factor in this rebound. Radisson Hotel Group continues to As Australia’s largest serviced apartment provider, drive its growth in the (upper midscale) Park Inn by Radisson and Quest Apartment Hotels has not been immune to (select service lifestyle) Radisson RED brands. The company foresees the enormous challenges brought upon the hotel opportunities for the expansion of both brands across a wide range industry due to the global pandemic. However, we of markets, including tier-two cities, regional gateways and suburban believe our product is well placed to support guests right now and in a areas of primary destinations. world post COVID-19. Now more than ever, guests are seeking space, reassurance and trust StayWell Hospitality Group – something we believe is perfectly aligned to the sizeable yet separate Jip Van Driest – Director of living spaces combined with consistency provided by a household Development APAC brand like Quest Apartment Hotels. Guests will favour more in-house, The hospitality sector has been one of the most self-contained offerings in their accommodation facilities as they face heavily hit industries, however we are expecting greater uncertainty in the external environment. the midscale and select services sector to rebound Established, trusted brands such as Quest have been able to develop sooner than luxury due to the fact this market is more driven by robust, well-tested safety protocols which have been rolled out across domestic travel than the luxury market. Similarly, we anticipate that our network, helping our guests feel comfortable. It hasn’t just been select services hotels may have an advantage in the near future over fullhotels that have been hard hit in recent months, with the development service hotels, which will need to examine their F&B offerings and may and construction sector facing great financial and logistical challenges. need to restrict the number of outlets to reduce costs. This will make Developers are now looking to minimise risk and get back to select service brands more appealing to owners and developers as costs fundamentals, such as location, scale, quality, consumer demand and will be lower, thus less risky and will also have higher returns. brand in order to secure long term returns. As people return to travel, trusted brands are likely to be one of
“Now more than ever, guests are seeking space, reassurance and trust.”
56 HM The Business of Accommodation
DEVELOPMENT
the first groups to benefit as travellers look for known ‘safe’ options. It will be crucial for every hotel operator to focus on ongoing engagement with guests. It is critical that guests feel appreciated, reassured and are given the confidence to travel and book hotels when restrictions ease. Hotel operators should demonstrate how they are responding to the pandemic and how they are ensuring their business is ready when the market rebounds. Given it is unlikely that Australians will be able to travel internationally until the later part of next year, the focus of all hotels will be the domestic market. When international travel does return, we believe that Australia will be positioned as a highly desirable destination given the comparatively low levels of infection and our robust health and safety programs. It will be highly advantageous as we shift our strategies from domestic to international to capture groups and FIT travellers to drive occupancy and rate. We predict some normalisation of rate and occupancy by the end of 2020. However, we will likely see some growth in key gateway cities from mid-2021 onwards with RevPAR more or less in line with prior COVID-19 performance in a minimum of three years from now (2023).
TFE Hotels
Chris Sedgwick – Chief Operating Officer
Economy and midscale brands such as Travelodge Hotels have evolved significantly in recent times with a fundamental shift towards interior design, service signatures and overall product offering, including guest technology. The shift in focus in this sector will enable those brands who are at the forefront of this evolution to capitalise, throughout the recovery and beyond, based on this sector’s alreadystrong value proposition and consumer appeal. This sector has always appealed to investors given the style of hotels and brands that reside within it. These hotels are extremely efficient from a design and development perspective. If anything, the move towards contemporary design, combined with smart product innovation, will further increase its investor appeal. Established and trusted brands, such as Travelodge, have always provided travellers with a high level of reassurance and comfort over the years, however this is more important than ever in the current climate. Our Travelodge hotels throughout Australia and New Zealand were quick to implement the ‘Clean Touch’ program in the early stages of the COVID-19 pandemic. This ensured our already stringent approach to health, hygiene and cleanliness was enhanced to exceed new global standards, therefore providing travellers with higher levels of safety and comfort. Travelodge Hotels is one of Australia’s longest-established and most trusted accommodation brands, having been in the Australian market for almost 50 years. Therefore, TFE Hotels’ focus across the majority of hotels will not differ significantly based on the domestic reputation and customer loyalty we have worked tirelessly to develop over the years. The sector itself in the most part has developed a wider appeal in recent years as the product and service continues to evolve, however those hotels and brands that have had a weighted dependency on the international market will need to adopt a revised approach, especially in
LQ Hotel by Wyndham Remarkables Park, Queenstown
the short to mid-term. TFE Hotels currently has five Travelodge hotels under construction or in the final stages of planning across ANZ, and we are looking forward to adding these to our existing portfolio of 17 hotels. Future growth across the entire hotel sector will be, to a large degree, dependent on the recovery curve and how quickly markets can return to pre-COVID-19 levels. The demand has to be at a level to also absorb the significant supply increases that will occur across certain markets in the near future.
Wyndham Hotels and Resorts Matt Holmes – Director of Development, Australasia
As the travel industry picks up in the Australasia region, the select service and midscale sectors are expected to outperform the market in the immediate recovery phase – being strong in the FIT, transient business and driveto segments, which have been the first to rebound. This is in line with trends we’re seeing both across the region and internationally as well. To me, the smart money has always been in the upper-mid to midscale and select service segment. If anything, I think this crisis has reinforced this position. Owners have continued to express interest in Wyndham Hotels & Resorts’ midscale and select service brands as they provide greater control over operational costs without the high overheads that may come with upscale or higher. This enables hotels to maximise profitability in good times and in downturns. Apart from our existing brands in the market, like Ramada by Wyndham, Ramada Encore by Wyndham, Wyndham Garden and Days Inn by Wyndham, we’ve also announced the launch of our midscale LQ Hotel by Wyndham brand in New Zealand, with two hotels signed in Queenstown and Auckland. This is a strong sign of continued confidence from our owners and partners in Wyndham Hotels & Resorts and our family of brands. Our new construction pipeline is looking healthy, but we also see a great opportunity for existing independent hotels to convert to our brand systems as well. In particular, we see a great opportunity for our ‘soft’ brand, Trademark Collection by Wyndham. This collection allows independent hotel owners of midscale and above properties to retain their independence and identity while leveraging the power of Wyndham Hotels & Resorts, including our unmatched scale and distribution, a wide array of services and our world-class loyalty programme. n hotelmanagement.com.au 57
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ON THE MOVE Your update on the latest key personnel movements across the hotel industry
Several senior personnel changes have taken place at CBRE Hotels in the past few months, headlined by the arrival of Michael Simpson, who recently joined the team after more than seven years with Savills Hotels. He was joined by Tim Gibson, who returned to a new role as Director after a previous stint with JLL Hotels and Hospitality. Also joining as a Director is Louise Venables, who has been welcomed to the Valuation and Advisory Services team. Over at the Capital Markets Investment Sales team, Raymond Tran has come on board as a Director. Highly acclaimed chef and Brisbane native, Andrew Gunn, has signed on at The Calile Hotel’s new Head Chef, hitting the ground running by redesigning the property’s Lobby Bar menu. Gunn also plans on maximising the hotel’s future plans for a rooftop garden and beehive to provide fresh produce for the Lobby Bar kitchen. As part of its ongoing growth and to cement its position among the luxury market, Skye Suites has recruited Ari Foo as its new Sales Director. Over 25 years in the property and hotel sector, Foo has held high-profile sales, strategy and operational roles. Most recently, he was Director of Global Sales at Hyatt Sales Force. In his new position, Foo will drive sales and operational strategies for all three Skye Suites properties in the Sydney CBD, Parramatta and Green Square.
Former Tourism Australia Country Manager for New Zealand, Jenny Aitken, will turn her attention specifically to Visit Sunshine Coast, joining the organisation as its New Zealand Representative. In her 12 years with Tourism Australia, Aitken played an instrumental role in driving leisure and business visitation ‘across the ditch’, driving high-visibility initiatives and spearheading seasonal flight schedules by Air New Zealand directly between Auckland and Maroochydore. Luxury Brisbane property, Emporium Hotel South Bank, has tapped long-serving hospitality industry veteran John McIlwain to take control of the property as General Manager. Making the move back to his Queensland homeland after more than 20 years in hospitality around the world, McIlwain brings more than 20 years in hotel leadership positions and 30 years overall in the industry to his new title. Most recently, he served as General Manager of Operations at Event Hospitality, looking after the Rydges, QT and Atura brands in QLD, NSW and the NT. Building from a recent internship, Grace Anderson has graduated to full-time employment with Accor, joining the Talent and Culture team. Anderson joined the hotel giant following her completion of an Advanced Diploma of Management (Human Resources) at TAFE NSW. In her new role, she has been active in supporting Accor’s efforts to provide aid to frontline health workers via food drops at local hospitals as well as for vulnerable families, domestic abuse survivors and quarantined Australians. Highly respected hotelier, Bob van den Oord has relocated from London to Hong Kong to take up the newly-created Chief Operating Officer role with Langham Hospitality Group. Van den Oord’s new duties will see him supporting the company’s overall operations and business functions across four continents, reporting directly to CEO Stefan Leser. For the role, Van den Oord returns to Hong Kong, where he once served as Managing Director at The Langham, Hong Kong – a role he combined with Vice President of Brands for the group. 58 HM The Business of Accommodation
Former Tourism Australia Managing Director, John O’Sullivan, will bring his expertise to the Tourism Western Australia Board of Commissioners for a one-year term. O’Sullivan was the chief architect behind some of Australia’s most memorable promotional campaigns, including the mock Crocodile Dundee sequel which aired during the 2018 Super Bowl. He led Tourism Australia for five years prior to his 2019 departure, during which time Australia saw record inbound arrivals. Lani Strathearn has been appointed by Tourism Tropical North Queensland to drive the rollout of the ‘Cairns and Great Barrier Reef’ marketing brand. Strathearn has worked in Melbourne and Adelaide in recent years, with brands including APT and the South Australian Tourism Commission. Following an epic relocation drive from Melbourne to Cairns, Strathearn says she sees many opportunities for the brand across many niche and mainstream markets. Following the recent reopening at The Langham, Sydney, the hotel has appointed Shane Jolly as its new General Manager. Jolly moved across to Sydney from his previous role as Hotel Manager at Cordis, Auckland, where he managed the delivery of a major construction and renovation project which increased the hotel’s inventory and created exciting new F&B concepts. Over more than two decades in hospitality, Jolly brings experience with Peninsula Hotels and several Hyatt properties across Asia and Australia.
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