HM June 2021

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IN THIS ISSUE

FULL DEVELOPMENT REVIEW: INVESTOR CONFIDENCE HIGH IN AUSTRALASIA DESIGNING FURNITURE TO CUSTOM SPECIFICATIONS SCALING BACK UP ON STAFF THROUGH OUTSOURCING THE BUSINESS OF ACCOMMODATION IN ASIA-PACIFIC Vol.25 No.3 Bi-monthly June 2021

AHICE rocks Adelaide

See inside for your full recap of another smash hit AHICE

As the hospitality industry recovers from a disruptive year, the skills shortage and demand for quality talent has come into sharp focus.

NEXT GENERATION HOTEL LEADERS

HOT THIS MONTH New brands landing, sustainability pacts, merger plans, skills crisis help and more


At just $1.50 per week the Hostplus admin fee is the lowest of the top 20 industry super funds.1 Combine that with top 3 returns for our default Balanced investment option over 5, 7, 10, 15 and 20 years to 28 February 20212 and it adds up to more super for you. Find out more at hostplus.com.au/low-fees www.hostplus.com.au/low-fees

Hostplus. We go with you. 1. Source: APRA Annual fund-level Superannuation Statistics June 2020, issued 16 December 2020. Top 20 industry super funds (not for profit) based on total assets under management. Administration fees comparison using APRA Quarterly MySuper Statistics September 2020 (Issued 24 November 2020 based on a super account balance of $50,000). 2. Source: SuperRatings Fund Crediting Rate Survey SR50 Balanced (60- 76) Index as at 28 February 2021. 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. HP1541



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CONTENTS

June 2021

Vol. 25 No.3

AHEAD 28 TOurHEfullROAD annual review into the development spectrum. ESTAURANTS ON TAP 36 ROrder your new restaurant from Event Hospitality’s on-trend menu.

ULL AHICE RECAP AND REVIEW 40 FAHICE 2021 provided concrete evidence the industry was on its way back.

ESIGN INN REVIEW 52 DLeading interior designers shared their most innovative projects at Design Inn 2021.

YOUR WAY 56 CQRAST codes are everywhere these days and now connect devices to each other.

ORKERS PLIGHTS 58 W Efforts to address the skills shortage include revitalising the brand of hospitality.

EAMWORK MAKES GREEN WORK 62 TDesigners are pushing long-term sustainability returns over short-term costs.

ESIGN TO INSPIRE 64 DWhat does your furniture selection say about your hotel?

LAVOUR IN FAVOUR 66 FSparkling water is getting a shakeup with a burst of flavour.

ANITISING TO SCALE 68 SHand sanitisers have always been here, but never in such voluminous quantity.

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AHICE was another highenergy affair

MATTERS 70 LEGAL Our legal experts weigh in on the complexities of HMAs.

72 END OF FINANCIAL YEAR Leading industry super funds reflect on the costs from the pandemic.

Event Hospitality's mouth-watering new restaurants

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HM Q&A JEFF WAGONER 22 From sunny Hawaii, the Outrigger Hospitality Group President and CEO shares his insights.

Regulars EDITOR’S LETTER 06 James Wilkinson on the success of AHICE 2021. NEED TO KNOW 07 The 16 essential stories you need to

know this month – spanning operations, development and tourism industry news.

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On the cover

BMIHMS graduates and students at Little National Hotel Sydney.

Lancemore Mansion Hotel Werribee Park

COVER STORY

Presented this month by Blue Mountains International Hotel Management School.

N THE MOVE 74 A Olook at who is moving where this month. hotelmanagement.com.au 5


EDITOR’S LETTER

AHICE shines in Adelaide

I

Managing Director

t was a pleasure to convene, chair and host the 2021 Australasian Hotel Industry Conference and Exhibition in Adelaide in early May, an event that saw a record turnout of over 900 people across three events. One of our keys goals for AHICE in 2021 was bringing together the Australasian accommodation industry in person and happy to say that we exceeded our initial target of 400 people. In doing so, we became the largest hotel conference to be held in-person anywhere in the world since preCOVID, the largest interstate conference of any industry to be held in Australia since March 2020 and the first conference in Australia since pre-COVID to have international delegates. AHICE also provided a significant economic boost to Adelaide with most CBD hotels completely full for the event (850 flew in for the event) and for business tourism, with full flights to many Australian cities before and after. Our premise here at HM magazine is to push on with hosting as many in-person events as we can, to help boost the industry in multiple ways and to increase networking and dialogue as the sector recovers. As I penned my editor’s letter, Melbourne was back in lockdown and the ripple effect across the country saw millions of dollars in lost revenue for the hotel sector, just when it looked like things were coming good. Hopefully we will again see a fast rebound of travel after the latest lockdown and continued record numbers of vaccinations across the nation to help get the national border re-opened. The messages at AHICE could not be any clearer than now and you can read about all the thoughts, ideas and news from the event from page xx. We look forward to returning to Adelaide in May 2022, thanks to fantastic support from the Premier of South Australia, Steven Marshall, and the team at the SA Tourism Commission, led by Chair Andrew Bullock, CEO Rodney Harrex and Executive Director of Destination Development, Nick Jones. Enjoy the latest issue and I look forward to your feedback. Yours in hospitality, Over 900 delegates attended AHICE over the three days James Wilkinson Editor–In–Chief

Simon Grover

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 and Peter McBrearty

Production Manager Jacqui Cooper jacqui@intermedia.com.au

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HM’s James Wilkinson and South Australian Premier Steven Marshall

MEET THE HM TEAM…

James Wells Publisher

Matt Lennon Deputy Editor

6 HM The Business of Accommodation

Tara Ducrou National Sales Manager

Adrian Tipper Creative Director

DISCLAIMER This publication is published by FAB Media Pty Ltd (the “Publisher”). Materials in this publication have been created by a variety of different entities and, to the extent permitted by law, the Publisher accepts no liability for materials created by others. All materials should be considered protected by Australian and international intellectual property laws. Unless you are authorised by law or the copyright owner to do so, you may not copy any of the materials. The mention of a product or service, person or company in this publication does not indicate the Publisher’s endorsement. The views expressed in this publication do not necessarily represent the opinion of the Publisher, its agents, company officers or employees. Any use of the information contained in this publication is at the sole risk of the person using that information. The user should make independent enquiries as to the accuracy of the information before relying on that information. All express or implied terms, conditions, warranties, statements, assurances and representations in relation to the Publisher, its publications and its services are expressly excluded save for those conditions and warranties which must be implied under the laws of any State of Australia or the provisions of Division 2 of Part V of the Trade Practices Act 1974 and any statutory modification or re–enactment thereof. To the extent permitted by law, the Publisher will not be liable for any damages including special, exemplary, punitive or consequential damages (including but not limited to economic loss or loss of profit or revenue or loss of opportunity) or indirect loss or damage of any kind arising in contract, tort or otherwise, even if advised of the possibility of such loss of profits or damages. While we use our best endeavours to ensure accuracy of the materials we create, to the extent permitted by law, the Publisher excludes all liability for loss resulting from any inaccuracies or false or misleading statements that may appear in this publication. Copyright © 2021 – Travel Business Media Pty Ltd.


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Things You Need To Know The essential hotel and travel industry news and trends from across the globe. Read more at HotelManagement.com.au.

Hayman Island makes for a pretty good office 01

Industry praise for Queensland jobs incentive Hotel executives urge other states to launch similar enticements

LEADING AUSTRALIAN AND Pacific hoteliers have applauded the move by the Queensland Government to incentivise job seekers to relocate to the state and claim jobs in the hospitality and tourism industry and urged other states to follow suit. IHG Hotels and Resorts Managing Director Australasia and Japan, Leanne Harwood, said the talent shortage has accommodation operators in crisis, with the company desperately seeking to fill 600 positions across its Australian network. “It’s so heartening to see Australians

getting out to ‘holiday here’ in droves, but this extraordinary demand has exacerbated our talent challenge, and there simply aren’t enough people to provide hospitality – from front line staff to the experts in other diverse and critical roles required to run a hotel.” Accor Pacific CEO, Simon McGrath, said the possibilities are endless for those willing to make their mark and build a career in hospitality. “Federal government initiatives which encourage people to join our exciting and dynamic industry are fantastic. A career in hospitality brings extraordinary development

and learning opportunities,” McGrath said. Marriott International Area VP ANZP, Sean Hunt, added the company welcomed all activity that boosts the sector overall, particularly as it relates to staff shortages. “At Marriott, we are experiencing staff shortages, particularly for line managers. “Staff training and retention is a high priority for us and we continue to promote internally. However, as we promote, the result is gaps that are difficult to fill at the moment.” For more, check out HM’s exclusive interview with Leanne Harwood on Page 17.

Queensland’s incentive in play The Sunshine State's 'Work in Paradise' incentive is tempting workers to head north

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tour guides and deckhands on the Great Barrier Reef, there are plenty of great jobs up for grabs,” said Queensland Premier, Annastacia Palaszczuk. Coupled with the Queensland Government’s ‘Good To Go’ and ‘Holiday Dollars’ campaigns coinciding with the winter months, Australians have been flocking to tourist hotspots in North Queensland to find businesses desperately understaffed and operating at lower capacity.

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CASH INCENTIVES OF AUD$1,500 along with an AUD$250 travel allowance and housing assistance are being offered by the Queensland government to encourage unemployed Australians to move to the state and seek out jobs in regional tourism. The new ‘Work in Paradise’ is an AUD$7.5 million campaign designed to address the critical shortage of tourism workers in the state. “From chefs, waiters and bartenders through to

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THINGS YOU NEED TO KNOW

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TAA Chairman, Martin Ferguson and Accommodation Association Chairman, Julian Clark, share the stage at AHICE 2021

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Associations set 12-month course for unification Progress being made towards long-awaited merger

AUSTRALIA’S TWO LEADING hotel and

hospitality industry representation bodies – Tourism Accommodation Australia (TAA) and the Accommodation Association – have revealed plans are underway to amalgamate and merge into one voice. Speaking together at AHICE in May, TAA Chairman Martin Ferguson and Accommodation Association Chairman Julian Clark took the stage together to say that the respective boards of both had reached agreement to come together and that the process was now underway.

“The fact is that Australia’s accommodation

sector deserves and wants one united voice,” Ferguson said. Accommodation Association Chairman, Julian Clark, said a huge amount of work has been conducted on the governance framework required via the legal and regulatory processes that apply as part of the amalgamation. “We have now lodged the draft rules with the Fair Work Commission for informal review,” he said. Clark added that while work was still needed, much had already been done and over the next 12 months, the process is expected to be reaching its conclusion.

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MARRIOTT INTERNATIONAL WILL open doors to the much-anticipated W Sydney in the third quarter of 2022, the company has announced, with experienced luxury hotelier Craig Seaward named to take charge of the property. W Sydney will be housed inside the ‘Ribbon’ building, one of Sydney’s most striking architectural developments, which remains under construction in the Sydney CBD between two elevated corridors of the Western Distributor roadway at Darling Harbour. Prior to his arrival in Sydney, Seaward spent 11 years as General Manager at W Seminyak in Bali. He brings more than 25 years in the hotel industry to his new role, primarily with the former Starwood Hotels and Resorts organisation which merged with Marriott International in 2016. Along with overseeing the final construction and fit-out of W Sydney, Seaward will also be tasked with recruitment and training of more than 500 new staff at the new property.

8 HM The Business of Accommodation

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Boutique brand The Standard readies for Melbourne Global label eyes new development in eclectic Melbourne pocket

MELBOURNE’S INNER-CITY suburb of Fitzroy will soon play host to the Australian debut of global boutique brand, The Standard Hotels. Part of an AUD$60 million collaboration with private Melbourne developer, DealCorp, the Woods Bagot-designed site will see The Standard, Fitzroy come to life as a 127-room hotel built over seven levels, with design cues inspired heavily by the local area and its longstanding industrial heritage. The site on Rose Street, Fitzroy, was acquired by DealCorp in 2018, with planning approval for a hotel granted a year later. Local hotel advisory analysis and asset managers, Minett Prime Square, assisted the owners in the brand selection process. One of the world’s fastest growing boutique brands, The Standard prides itself on shaking up the establishment and defying convention to deliver a unique experience. The company says its careful consideration of design, detail and service has allowed it to cultivate a strong reputation for irreverent, playful sensibility.



THINGS YOU NEED TO KNOW

Quest Collingwood is due to open in late 2022

05

Quest doubles down on Collingwood

Quest’s newest location will sit close to another Ascott brand entry

The perfect storm in Vic By Dean Long CEO, Accommodation Association

AS I WRITE this column, the Victorian Government has announced an extension of the lockdown for an additional seven days. It was just seven days ago we thought we were well and truly on the road to recovery, with the return of major events and signs of life in the corporate market. However, Melbourne has again been stricken by a COVID-19 induced lockdown which is a confidence killer for our sector and the whole economy. We have once again been caught in the middle of the federal and state government seeking to strike the right balance between economic recovery, public health and safety and who will fund critical support measures. While the overall economy is recovering well, our sector continues to be held back by no clarity on border policy, a stalled vaccination program and a shortage of staff. Each of these issues alone is terrible for our sector and when all three are present, it is a perfect storm. The Accommodation Association and all leading industry groups have repeatedly emphasised the importance of consistent standards across local, state and national jurisdictions, aligned with a common roadmap for domestic and international borders that supports our communities. While we continue this effort, there is one thing we as individuals can and must do to protect our industry from this public health

response, which is to get vaccinated. If you haven’t already, make sure you register for your vaccination and once you have had your shot, take a photo and share it across your socials. A successful vaccination rollout is the key to our industry’s recovery.

10 HM The Business of Accommodation

GROWING CORPORATE DEMAND in the inner-city Melbourne suburb of Collingwood has prompted Quest Apartment Hotels to sign a lease on a new mixed-use development which will see it open a new hotel at the end of 2022. The property will be ten storeys in height, with the upper eight levels to be occupied by Quest Collingwood and its 83-apartment hotel. Accommodations will comprise a mix of studio, one, two and three-bedroom apartments along with customary Quest hallmarks including a business centre, meeting facilities, fitness centre and front-of-house facilities. Below that will be two levels of office space, a ground floor café and two levels of basement parking beneath the ground. The new development will be built by Centreland Group and CHT Architects, with construction due to begin at the new site in July this year and completion currently scheduled for November 2022.

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Marriott’s M Club to make Australian debut Executive lounge concept will feature at Melbourne Marriott Docklands MARRIOTT INTERNATIONAL WILL open its first M Club lounge in the Australasia region as part of the 189-room Melbourne Marriott Hotel Docklands – the first newbuild Marriott in more than 20 years. The exclusive lounge concept, which serves as a homely retreat for Platinum and Titanium Marriott Bonvoy and executive floor guests, is open 24/7 and features a range of dining options, lounges and private spaces for guests to socialise, relax or conduct business. Guests staying in M Club rooms can also gain access to the lounge as part of their reservation. M Clubs offer guests access to a residential dining room and interactive kitchens with live cooking demonstrations each morning and evening. Regularly rotated breakfast and light snack items are brought out intermittently, with premium beverages and canapes offered in the evening. A library also offers a space for guests to read or relax. M Club Melbourne Docklands will also include an al fresco terrace for guests to enjoy some fresh air and panoramic views over the Melbourne skyline.

Melbourne Marriott Docklands will be the first newbuild Marriott in 20 years


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THINGS YOU NEED TO KNOW

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InterContinental Adelaide set for major refurb

Thai-based owners to spend AUD$32 million on upgrade

INTERCONTINENTAL ADELAIDE WILL go under the designer’s knife from late 2021 as part of a major AUD$32 million refurbishment which will see the hotel virtually redesigned from the ground up. The building will see all 367 guest rooms completely reimagined, with work to take place over a period of between 15-18 months ahead of its full reopening in early 2023. It marks the hotel’s first major renovation since IHG took over management rights in 2009, with the property owned by Thailand-based asset management firm, TCC Land International. All public spaces will also be modernised and refreshed, with upgrades to be rolled out to meeting rooms and event spaces. A newly designed all-day restaurant will be introduced, while the hotel’s popular Shiki Teppanyaki restaurant will also be redesigned. A new InterContinental Club Lounge will be unveiled, with all hallways, elevators and the lobby also undergoing a makeover. New technology to bring the hotel in line with brand-mates around Australia will also be installed.

InterContinental assumed management of the building in 2009 12 HM The Business of Accommodation

Four Points by Sheraton Sydney Central Park opened in 2018

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Four Points by Sheraton Sydney now in U.S. hands KSL Capital Partners signs to acquire Sydney hotel JLL HOTELS AND Hospitality has facilitated a binding agreement between Dr Jerry Schwartz and a US private equity firm, understood to be KSL Capital Partners, for the purchase of Four Points by Sheraton Sydney Central Park. Managed by JLL Hotels and Hospitality Managing Director, Mark Durran, the hotel sale is understood to be in the area of AUD$150 million. The acquisition by KSL further bolsters the firm’s investment portfolio in Australia, which also includes a majority stake in luxury lodge operator, Baillie Lodges.

Having first opened in late 2018, the 297room Four Points by Sheraton Sydney Central Park is part of a major mixed-use development across the road from the University of Technology in Sydney. In its first full year of operation in 2019, the hotel achieved a yearlong average occupancy of 85%, backed by strong corporate and leisure demand. The hotel also features a restaurant and bar, meeting and event facilities and a fitness centre. Approvals have also been granted for the hotel to add 11 new rooms and a distillery along with an outdoor terrace.

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Novotel introduces four new sets of brand standards

Design templates can be customised by owners and franchisees to suit destinations OWNERS AND FRANCHISEES of Accor’s Novotel brand will be able to select from four new design themes aimed at moving the brand from a standardised format to a destination-focused midscale leader. The four winning concepts were selected from a pool of entries submitted as part of an international design competition aimed at evolving the Novotel style into a modern example of 21st Century style. Each style offers a baseline template but can be customised by owners and investors to suit a particular destination or its local market. The four brand designs selected include ‘RF Studio’, which delivers a homely feeling and unexpected atmosphere, to ‘Metro’ and its modern designs, natural tones and raw materials. Another is ‘Sundukovy Sisters’ which blends business with pleasure and mixes well-being among unique ‘co-living’ spaces, while ‘Hypothesis’ helps guests achieve their desired balance with a focus on reducing not only physical waste, but also reducing wasted space and time.

The Metro style features designs based on raw materials


IHG NEWS

PROMOTION

A stylish and sophisticated bar awaits travellers at voco Melbourne Central

WHY W HELLO THERE Step into voco and experience something different.

e are proud that voco started its life on Australia’s Gold Coast in 2018 and - as it continues its journey as IHG Hotels & Resorts’ fastest ever global expansion voco Brisbane City Centre marks another important milestone as our 50th signed or open hotel globally. A voco experience is reliably different, surprisingly individual and consistently bright. They are unstuffy hotels, designed to stand out from the crowd, giving people a different choice: hotels to count on, but different enough to be fun. Combining the reassurance of one of the world’s largest hotel operators with a highly flexible brand and the informality and charm of a boutique hotel, voco makes it easy to stand out, easy to love, easy to connect, and easy on our planet, with innovative thinking such as bedding made from 100% recycled materials. With two amazing voco hotels already open, the Gold Coast and Kirkton Park Hunter Valley, and our first new-build properties opening in Melbourne and Auckland this year, it’s easy to see how the flexible voco brand makes any hotel stand out from the crowd. n If you would like to find out more, contact Jael Fischer, Senior Manager, Development Australasia and South Pacific on 0411 798 913 or Jael.Fischer@ihg.com.


THINGS YOU NEED TO KNOW

A by Adina Sydney features Australia’s first Sky Lobby 10

Staffing not a new problem By Michael Johnson CEO, Tourism Accommodation Australia

THE HOSPITALITY SKILLS shortage is not new. Anybody who has worked in a hotel in the last decade knows getting and retaining good staff has long been a problem. But the global pandemic has created a unique set of conditions which made an already difficult problem much worse. As we know all too well in the last 15 months, our industry has endured shutdowns, lockdowns, border closures and capacity restrictions. Many long-term, valued and skilled employees left altogether. They found alternative employment in industries less exposed to the impacts of COVID. At the same time, we lost international students, working holiday makers and temporary skilled visa holders. These workers were the backbone of our industry. Many hotels in regional areas are crying out for chefs and cooks, while in capitals, many hotels do not even have enough housekeeping staff to turn over rooms. The streamlining of visa requirements to permit student visa holders to work more than 40 hours a fortnight will make a real difference in the short-term. In the long term, TAA is pushing for cooks and chefs to be added to the Priority Migration Skilled Occupation List. This would allow them pathways to permanent residency. The federal government needs to be planning with state governments to allow international students and working holiday makers to be among the first to re-enter the country as soon as it is safe. We are also working with TAFE and the Dept of Employment on ways to increase the amount of young people choosing our industry. In the end, a home-grown talent pool will be the best way to ensure our industry has the staff we need to thrive.

14 HM The Business of Accommodation

A by Adina Sydney glams up for opening soiree Invited guests gather over the city to toast Sydney’s newest hotel

TFE HOTELS’ NEW A by Adina hotel living concept showed what it was capable of in redefining the premium hotel landscape by hosting an elegant grand opening high atop the Sydney CBD, with invited attendees representing the city's social, cultural and industry elite. Held in the property’s shiny new Sky Lobby and 1950s-inspired cocktail bar, Dean and Nancy on 22, the evening showcased some of the amazing mixology talents at its disposal, based on expertise from award-winning venue, Maybe Sammy. The new hotel marks what TFE Hotels describes as “the crowning glory of an ‘elevated’ suite of apartment hotel properties”. It features Australia’s first Sky Lobby which is perched 100 metres above street level and encased on the building’s exterior by a golden crown. A by Adina’s new flagship offering in the Sydney CBD features 194 apartments, made up of 82 studios, 104 one-bedroom offerings and eight two-bedroom units.

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Crown Sydney makes concessions to reach full operation An Independent Monitor has been appointed to oversee the company’s corporate reform AGREEMENT HAS BEEN reached between Crown Sydney and the NSW Independent Liquor and Gaming Authority (ILGA) on a range of measures to help the city’s new casino and entertainment precinct scale up to full operational capacity. In an effort to secure its gaming licence and following discussions with the regulator, Crown Sydney has agreed to a number of steps including beginning annual AUD$5 million payments to the Casino Supervisory Levy and phasing out indoor smoking at all of its Australian properties by the end of 2022. In addition, Crown has reiterated a previous commitment not to operate any international junkets which aim to bring high-rolling gamblers on luxury all-expenses-paid trips to play in its casinos. Further, Crown says it will introduce cashless payment technology in its casinos,

with all cards linked to individual identities and recognised financial institutions. Its cross-harbour rival, The Star Entertainment Group, followed suit with its own pledge to introduce cashless gaming and cease all international junket operations as part of its own discussions with the ILGA. Crown Sydney is currently operating all non-gaming services


One of the new Superior King rooms

THINGS YOU NEED TO KNOW

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Upgrades unveiled at Holiday Inn Sydney Airport

Half of the hotel’s room inventory has been refurbished A NEW ROOM category and new colour schemes have been introduced at Holiday Inn Sydney Airport as part of a major overhaul to 50% of the property’s accommodations. The hotel has spent AUD$4 million on the renovation project to half of its room capacity, which has seen new bronze light fixtures, leather headboards, wooden panels and an earthy colour scheme installed. Bathrooms have also been upgraded with a new luxury grey marble, white circular vanities and the option of an overhead or handheld shower output. Renamed as Superior Rooms, guest accommodations have been fitted with new ergonomic armchairs and marble tables alongside new workstations for business travellers as well as in-room espresso coffee machines and large smart TVs. The hotel has also introduced a new Junior Suite category as a premium option. The refurbishment has extended to the hotel’s dining facilities, with Biggles Bar and Grill receiving a makeover with new tiled flooring, seating layout, fresh artwork and dining menu. Guests can also take advantage of a new airport shuttle vehicle every 30 minutes in peak times.

A Deluxe Corner King room at Parkroyal Monash Melbourne 13

Parkroyal opens second location in Melbourne Brand sets up in new M-City mixed-use development MELBOURNE HAS BECOME home to a second hotel from Parkroyal, with the brand bolstering its presence in the Victorian capital with a new property in the city’s south eastern fringe suburb of Clayton. The new Parkroyal Monash Melbourne takes up residence in the new M-City mixeduse development from the Schiavello Group, which comprises a 250-room hotel and 664 apartments across four towers, with an additional nine-storey commercial tower featuring retail and dining options, office space, entertainment and recreation facilities. Guests will soon be able to enjoy an all-day restaurant and bar themed in the style of the Australian landscape, with the eatery serving Australian modern fusion cuisine in an elegant setting with socially spaced seating allowing opportunities to meet and relax. The works of Gippsland-based landscape artist, Aidan Weichard, showcasing Australian landscapes, flora and fauna, are also on show. Guests can enjoy the convergence of all of these elements, with the complex featuring a new Village cinema, outdoor swimming pool with landscaped gardens, 24-hour fitness centre, pilates studio, nail salon, masseuse and hairdresser.

Bed tax experiment should gather dust By James Doolan Strategic Director, Hotel Council Aotearoa

For any experiment to succeed, you must do the groundwork. Incredibly after COVID, Queenstown Lakes District Council (QLDC) continues to advocate for a 5% bed tax on short term accommodation in its latest Ten-Year Plan. Auckland Council has suspended its own ‘targeted rate’ until mid-2022, but not yet removed it permanently. Taxes on accommodation are the wrong solution, to the wrong problem, at the wrong time. There has been no robust economic analysis showing how bed taxes help the recovery after a global pandemic. No comparable destinations globally impose 20 per cent tax on the cost of overnight accommodation, yet that is what councillors want for Queenstown (15 per cent GST plus the proposed 5 per cent bed tax) and Auckland. QLDC and Auckland Council have argued that bed taxes are ‘normal and expected’ overseas. Visitors to Aspen pay 11.3% in taxes. In Whistler, it’s 16%, and visitors to Australia pay just 10% (GST and no bed tax). Australian accommodation providers – especially those focusing on MICE – would love New Zealand to introduce a 5% bed tax in key destinations. Australian accommodation providers would enjoy a built-in 10% price advantage over its closest competitor. Aussies might need a headstart on the rugby field, but not in business! HCA understands and has sympathy for the funding problem faced by Auckland Council and QLDC. Councillors should show visionary leadership and work with the accommodation sector on real solutions that will endure. New Zealand needs a fair, reasoned and nationally endorsed funding model for the tourism economy, not on a faulty tax experiment that should have been left in the Bunsen burner long ago.

hotelmanagement.com.au 15


THINGS YOU NEED TO KNOW Peppers Marysville is Accor's first property in Victoria's Yarra Valley

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Accor debuts in Yarra Valley New Peppers Marysville marks Accor’s debut in Victorian wine country

ACCOR HAS OPENED its first hotel in Victoria’s Yarra Valley, opening the doors to Peppers Marysville in a new partnership with The Shakespeare Property Group. The country Victoria hotel is located 90 minutes from Melbourne and features 101 rooms and suites. Guest facilities include a conference centre, five meeting rooms, an onsite restaurant and bar, fitness and wellness centre, tennis court, heated outdoor swimming pool, sauna and day spa. Formerly the Vibe Marysville, the hotel was originally developed in collaboration with the Victorian Government to help stimulate the Marysville area following the devastating 2009 Black Saturday bushfires. The hotel opened in 2015 and has cultivated a strong client base of domestic and international guests who enjoy the picturesque landscapes, riverside tranquillity, outdoor adventure lifestyle and proximity to the Great Dividing Range. The opening of the property as Peppers Marysville follows its sale to The Shakespeare Property Group, which currently owns three other hotels operating under Accor brands including Novotel Sunshine Coast, Pullman Cairns International and Novotel Cairns Oasis Resort.

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THINGS YOU NEED TO KNOW 15

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From a tourism perspective, IHG’s network of hotels is enjoying the resurgence that comes from pent-up demand among Australian Di travellers eager to treat themselves to a spot of L rec n, to r pa luxury. Providing that luxury however is proving Austra ia and Ja las ever more difficult thanks to a dire shortage of workers, as IHG Hotels and Resorts' Australasian MD, LEANNE HARWOOD, explains to HM. g

Leanne, tell me why the Queensland Government’s incentive to draw workers to the state resonated so highly with you specifically?

Because our industry is in an extremely challenging position right now when it comes to trying to attract talent for us to operate our resorts and our hotels and experiences that our guests are desperate to have now that they’re actually out and about and travelling again. So to see the government recognise the fact that our industry has been challenged over the COVID period and actually lean in to give us some support by trying to encourage people to come and work in our industry, was just a delight and an exciting moment for us.

Do you believe other states and territories should follow Queensland’s lead and do they have the ability and capacity to do so?

I absolutely think Queensland is leading the way by doing this initiative and I would love to see other states following the lead and encourage people to return to the industry, or even take up an opportunity to go and work in a new, exciting industry. I think there’s a great opportunity for other states to follow the initiative. Do they have the capacity? That’s beyond me and they’re going to have to look whether they can do that or not. I would hope that they could, noting that tourism is such a critical element.

As we know, students are in short supply in Australia at the moment, as are working holiday makers, and unemployment is also quite low. So with recruiters crying out for more people and before borders reopen, is it safe to say it must be a delicate balancing act in terms of not just attracting people, but attracting quality people?

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working with different agencies, like the Accommodation Association, which has a programme in place and is working with local governments to take unemployed people and train them up to give them the skills they need to come into our industry. This is a time when all of us are coming together to work across the industry to attract people back. This is not an IHG problem. This is an industry-wide problem. And really now is the time that we come together to attract people to the industry, not just to our own internal brands.

What messages should we be sending at a school level to encourage young people into a career in hospitality and accommodation?

We have to change the perception of the hospitality industry. It’s critical that parents support their children coming into our industry and understand that their child comes into an industry that is not just traditional frontline workers. There are opportunities to work in so many parts of a hotel, from engineering to IT, sales and marketing, human resources and so many arms that are available to it. That’s the misconception. They believe it is just food and beverage or just housekeeping. They think of long hours and hard work and there is absolutely an element of this, but what other industry lets you travel the world and have an opportunity to work in the Maldives or in Paris or New York and everywhere else. I mean, it really is quite unique. And you can do that, not just being a frontline worker working in a restaurant, but also in sales and marketing or other areas.

IHG’s InterContinental Hotels flagship brand has signed to debut in Parramatta

You’re absolutely right. The critical element is bringing people back that we’ve lost in the industry over the critical time that we unfortunately had our doors closed and attracting those talented individuals back to an industry they love. We are also

hotelmanagement.com.au 17


L-R Mary Rose Esperida, BMIHMS; Wen Chen Jen, BMIHMS; Hairul Syazwan Kamoordin, BMIHMS; Daniel Pearce, Little National Hotel; Winnie Ho, Haven Glebe and Marcus Chan, IHG Hotels and Resorts

As the hospitality industry recovers from a disruptive year, the skills shortage and demand for quality talent has come into sharp focus.

NEXT GENERATION HOTEL LEADERS T his year, Blue Mountains International Hotel Management School (BMIHMS) at Torrens University Australia marks a significant milestone, celebrating 30 years of a rich legacy and 30 years of producing world-class graduates. BMIHMS would

like to reflect on the pivotal role education plays in shaping the next generation of industry leaders and turn our focus to the next decade. From its conception, BMIHMS was founded on a commitment to drive hotel education forward, pioneering one of the first immersive hotel education experiences in Australia. Over the past three decades, pedagogy, culture, industry and technology have rapidly evolved. Alongside this, BMIHMS has adapted to meet the need. 18 HM The Business of Accommodation

EDUCATION DRIVING THE INDUSTRY FORWARD

In the wake of a transformative year, the hotel industry now faces its next greatest challenge – a drastic shortage of skilled talent. Now is the time to refocus on building the next generation and ensuring talent within the industry are equipped with the skills to lead, adapt and thrive. “The urgency of addressing skill gaps is clear—and especially in the hospitality industry, this is more important than ever to do,” said Jerome Casteigt, General Manager, Business and Hospitality, BMIHMS at Torrens University Australia. “Skills building (more than hiring, contracting, or redeploying employees) is the best way to close gaps. The hospitality industry, in


COVER STORY

PROMOTION

Free short courses BMIHMS is offering Creative and Critical Thinking short courses completely free for a limited time. Learn more about this special offer at ahice.torrensonline.com

partnership with hospitality education, needs to double down on the efforts to reskill and upskill employees.” In times of exponential change, quality education becomes a nonnegotiable. It’s the responsibility of educators to shape aspiring leaders in the essential skills they’ll need to navigate the future. “Education plays a pivotal role in building our future leaders. It bridges borders, creates equal opportunities and empowers us,” said Marcus Chan, Director of Sales and Marketing, IHG Hotels and Resorts, who graduated in 2017 with a Master of International Hotel Management. “We have to attract young professionals and inspire them to see that the hotel industry remains a vibrant, innovative and exciting industry that still provides incredibly rewarding long-term careers,” said Associate Professor Simon Pawson, Associate Dean of Hospitality at BMIHMS. In an era of rapid change and constant technological evolution, it’s crucial that hotel professionals can upskill quickly to be able to adapt at speed. This mindset of lifelong learning is now a normal characteristic of virtually every career. Globally, short, online courses are a critical tool to facilitate regular, flexible training. “The rapid rise of digitisation and remote work requires employees to adapt to the significant changes to how work gets done and to the business priorities their companies are setting. Employees also require help from their employers to develop those skills gaps and make them future-ready,” said Casteigt. It’s also why BMIHMS has reimagined applied learning by developing a virtual reality environment, which opens up a new frontier to immersive, enriching hotel education. “These innovative developments will ensure the school remains the premier hotel school in our region and continues to graduate highly employable students with knowledge and skills critical to the effectiveness of the global hotel sector of today and tomorrow,” said Associate Professor Simon Pawson.

NEXT GENERATION LEADERS DISCUSS THE FUTURE

As we fix our eyes to the industry’s future, BMIHMS alumni along with current students share their ideas on leadership, education and the future of the industry. “Automation and the adaptation of artificial intelligence will be the new norm of hotel operations in the future,” said Mary Rose Esperida, a second year student studying her Masters of International Hotel Management. “The future of the hotel industry will be driven by an everincreasing pace of disruption brought about by the challenges posed by technology, innovation, changing guest demands, climate change and ‘black swan’ events, such as the current pandemic,” said Hairul Syazwan Kamoordin, a second year student undertaking his Masters of International Hotel Management. “Only those hotels which are capable of readily adapting to the emerging environment will be assured of success,” he said. These next generation leaders are culturally savvy global citizens – fluent in new tech, and socially and environmentally aware. They are increasingly cognisant of all the challenges their generation is going to face.

A WORLD OF EXPERTISE

BMIHMS’ future leaders come from diverse backgrounds and perspectives, ready to bring fresh ideas as well as globally recognised hospitality training to any hotel brand. “To me, the hotel industry is heading into a new era in which customers demand changes at every moment,” said Winnie Ho, General Manager at Haven Glebe and BMIHMS graduate, holding a Masters of International Hotel Management. “Hoteliers have to not only be able to keep applying new technologies and new ways of operating, but also to keep the warmth and comfort of humanity,” she said. These up-and-coming leaders offer important insights into the future of their industry, shaped by their experience as well as their education. They are also aware of what it will take for them to reach their goals and become trailblazers in this new economy.

“Skills building is the best way to close gaps.” Jerome Casteigt, BMIHMS WHAT IT TAKES TO BE A NEXT GENERATION LEADER

What skills and characteristics exactly will it take to be a great hotel leader in the future? Some of our BMIHMS leaders have shared their thoughts on this important question. “A great hotel leader is one who creates an inspiring vision of the future and motivates their team to engage with that vision,” said Chan. “The past year has taught me a lot, personally and professionally. Being strategic, creative and, more importantly, resilient are some of the many qualities of a great hotel leader,” he added. “Enthusiasm, confidence and empathy are characteristics I consider the most basic elements of leadership,” said Wen Chien, a current student undertaking her Bachelor of Business International Hotel and Resort Management. “Improving yourself and knowing who you are before you have people follow you is what I believe it will take to be a good leader in the future,” she added. “The current condition of the world changes so rapidly, we will never be able to predict what the ‘new normal’ will exactly be,” Ho added. “Therefore, being flexible, able to think out of the box and keep trying any possibilities to bring my hotel in a new direction, would be the key for me to lead my hotel to success.” n

BMIHMS is continuing to supply the hotel industry with a world-class skilled workforce

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PRESENTS

Accommodation Association welcomes Minor Hotels The Accommodation Association is pleased to welcome Minor Hotels as a member.

THE ADDITION OF MINOR HOTELS further strengthens the Accommodation Association’s sector coverage, given the company’s national footprint of over 60 hotels. Minor Hotels is an international hotel owner, operator and investor with more than 520 hotels in operation. The company passionately explores new possibilities in hospitality with a diverse portfolio of properties designed intelligently to appeal to different kinds of travellers, serving new passions as well as personal needs. Through its Anantara, Avani, Oaks, NH Hotels, NH Collection, nhow Hotels, Elewana and Tivoli properties, Minor Hotels operates in 52 countries across Asia Pacific, the Middle East, Africa, the Indian Ocean, Europe and South America. Accommodation Association CEO, Dean Long, said: “This is a critical time for our industry and it’s important that we are all working together to offset the devastating impact of the international travel ban on Australia’s skilled workforce and support personnel as well as occupancy levels in metropolitan properties. “We are thrilled to welcome Minor Hotels to the Accommodation Association and to our fight for greater support for our sector and a common sense approach to international and domestic borders.” Head of Commercial for Minor, John Thompson, added: “We are very pleased to continue to advance our industry advocacy agenda, whilst developing business relationship and championing initiatives which benefit Minor Hotels and the industry. “The Accommodation Association’s proactive approach to industry advocacy includes representation on tourism boards and industry committees, legislative updates and government advocacy on reopening the economy, employment shortages and demand programs, which we can contribute to and from which we will both benefit.”

Minor will bring its NH Hotels brand to Wollongong in 2023

Brisbane Hotel Market Update The Association update saw hundreds pack the Sofitel Brisbane Central.

Attendees heard important market insights at the update

20 HM The Business of Accommodation

THE ACCOMMODATION ASSOCIATION recently gathered its Brisbane members and colleagues, joining nearly 100 industry leaders who all came together for our Queensland and Brisbane Hotel Market Update Event, hosted by Sofitel Brisbane Central. Attendees received data insights from Paul Hammond, STR whilst Damien Little, AHS Advisory presented an outlook for the Brisbane market. Michael Branagh from Tourism and Events Queensland (TEQ) also spoke about TEQ’s strategic priorities and campaigns.


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Dean Long, Accommodation Association; Leanne Harwood, IHG Hotels and Resorts; Chris Sedgwick, TFE Hotels; Stephen Halmarick, Commonwealth Bank and Simon McGrath, Accor.

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Andrew’s journey on the PaTH program

everyone in my workplace, as well as travelling around the world when the borders open up again. But for now, all I want to do is get more experience every day, so that I can be able to move higher up the ladder, aiming for the top! I would always be happy to teach anyone new how to work in a hotel.”

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WITH RECOVERY MEASURES on everyone’s mind, our speakers Paul Hammond from STR presented current data analysis into hotel performance as well as the pipeline of new supply and future investments. Stephen Halmarick, Chief Economist and Head of Global Economic and Markets Research for Commonwealth Bank, provided insights into the economic recovery on a global and national level during what was described as ‘the weirdest recession ever’. This was followed by an industry leaders panel session which included IHG Managing Director Australasia, Leanne Harwood; Accor Pacific CEO, Simon McGrath AM and TFE Hotels COO, Chris Sedgwick. Our panellists covered key topics including the growth of the luxury hotel market, the importance of having a strong team and driving staff re-engagement, elevating the guest experience through hotel investments and mixed-use space and the role of the vaccination program in the reopening of international borders. m Ha

“It has changed my life because I had the two most awesome teachers for the course – Ester and Jordan. They both helped me out when I needed it and they were always pushing me to succeed to do my best and pass the course. I cannot thank them enough. I also want to make a special mention to Glenda and Cass for doing everything they did to get me into this hotel. If it were not for Glenda, Cass, Ester and Jordan, I would never have had this opportunity. “This is just the start of my journey, and I am looking forward to learning more and more from

A packed room of more than 100 accommodation and tourism professionals attended our Queensland Economic & Hotel Market Update, hosted by voco Hotels Gold Coast.

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THE ASSOCIATION’S PaTH program will, over the coming months, support over 300 Australians into our industry and will lower our reliance on the international workers. One such success story is Andrew, who recounts his story through the Academy. “I was unemployed for three months because of COVID-19. It was very hard not being able to work. I love working and I get bored when I do not have a job to go to. When this opportunity came up through my job provider, I jumped on it straight away. It is a role that I really wanted, and without this program, I do not think I would ever have had the chance to work in a hotel as I don’t have the experience. “What I have learned through my journey was how to work in Food and Beverage in a hotel. For example, I learned how to do room service, work behind a bar and serve guests of the hotel or customers who walk in to have drinks and food. I also learned how to set up, pack down and provide for any of the conference rooms, as well as how to lock up the bar by myself.

Gold Coast Hotel Market Update

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The Accommodation Association Academy continues to actively recruit more than 50 people each month into our industry.

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Mark Hodge, The Star Gold Coast; Michael Branagh, Tourism and Events Queensland; Damien Little, AHS Advisory, Paul Hammond, STR and Laura Younger, Accommodation Association

hotelmanagement.com.au 21


HM Q&A | LEADERSHIP

Outrigger Hospitality Group President and CEO, Jeff Wagoner

OUTRIGGER’S OPTIMISM THE SOUTH PACIFIC'S TOURISM SECTOR IS REFRESHED AND AWAITING THE RETURN OF TRAVELLERS, AS OUTRIGGER CEO JEFF WAGONER TELLS JAMES WILKINSON

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he 2021 Australasian Hotel Industry Conference and Exhibition (AHICE) in Adelaide featured dial-ins from over a dozen of the world’s leading hoteliers, including Outrigger Hospitality Group’s President and CEO, Jeff Wagoner, live from Honolulu, Hawaii. Following the event, he spoke to James Wilkinson about the challenges and bounce-back his leisure-driven company has faced.

Jeff, it has been a challenging 12 months for the global industry. What were some of the initiatives Outrigger took to weather the storm and future-proof as much of the business as possible?

Last year, 2020, was certainly a year of adjusting our sails. When the pandemic hit – we immediately focused on three priorities: protecting our people, conserving cash and preserving future opportunities. ‘#OutriggerCARES’ was launched in April 2020 to provide support for our internal team and the communities we operate. Initiatives ranged from organising food drives to donating half-a-million dollars’ worth of rooms to nurses and respiratory therapists. In consultation with healthcare leaders and in partnership with Ecolab, we introduced Outrigger’s

Clean Commitment to help regain consumer confidence and keep both guests and hosts safe. Every inch of our business was re-assessed to meet the needs of a post-pandemic world while also uncovering innovative solutions for deferring expenses and cost savings. For an industry that doesn’t sleep, we took full advantage of the low occupancies and suspended 22 HM The Business of Accommodation

operations to refresh and renovate our properties and to be well-positioned to emerge from the pandemic stronger than ever.

The leisure segment was hit hard, especially in holiday focused destinations like Hawaii and Fiji. What are some the initiatives you put in place for travellers to inspire to want to stay with you? With various travel restrictions and quarantines in place, our business survival initially hinged on enticing local residents for staycation opportunities. In Fiji, our ‘Love our Locals’ campaign was hugely successful and in Hawaii, we offered kamaaina (local resident) rates as low as US$99. We also offered attractive weekly rates, which appealed to the trend of working remotely from hotels. We launched an industry first with The Outrigger Promise; the bold pledge is that guests will love their Hawaii holiday with Outrigger and if not, we’ll credit them for a future stay, on the house – up to 14 days. We also partnered with Kualoa Ranch – a 4,000 acre nature preserve for a Malama Hawaii Experience. Malama in Hawaiian means ‘to care for’ and guests who book this two-hour voluntourism experience receive every third night free. The goal is for our guests to have an eco-adventure that leaves them inspired and invigorated, with a deeper connection to Hawaii.

What kind of rebound are you expecting for your properties given the massive pentup demand for holidays at present?

There’s certainly no online equivalent to a beach holiday and we look forward to having our friends from Australia


LEADERSHIP | HM Q&A

In your main market of Hawaii, the state closed borders and now requires negative tests to visit. What kind of travel rebound have you seen since the state started opening again?

The Safe Travels Hawaii platform that requires a negative COVID test within 72 hours of boarding a flight to the islands has been very successful in keeping case counts low and enabling tourism to restart. Last weekend, we had our highest three-day tourism streak since the pandemic started – so things are looking up.

You have just completed a major makeover of the Outrigger Reef, one of my favourite hotels. Tell us about that.

We have re-opened our flagship resort, Outrigger Reef Waikiki Beach Resort following a top-to-bottom transformation. This US$80 million investment fuses barefoot luxury with Hawaiian culture to create a contemporary beachfront retreat. The location is historically a place of healing and rejuvenation for Hawaiian Royalty and we want to provide this sense of wellness to all of our guests. Sophisticated property enhancements include upscale residential-style rooms and suites, stylish poolside experiences and a new wellness wing with a fitness centre and spa treatment rooms. We’ve added 23 brand new deluxe rooms to the oceanfront Diamond Head Tower, raising the key count to 658. We also just announced that Monkeypod Kitchen by Merriman, led by culinary pioneer and a Hawai‘i Regional Cuisine founder – Chef Peter Merriman – will be our anchor restaurant.

We’re eager to grow the Outrigger brand and currently looking at properties in Australia, Thailand and French Polynesia – including Tahiti and Bora Bora.

Watching the groundswell of grit, determination and flexibility from our team was nothing short of inspirational. We all worked together with a sense of shared sacrifice and respect for each other. Similar to how some brands light up their buildings with hearts, we spelled out the word HUI – which means ‘team’ in Hawaiian. Outrigger is a resilient company in a resilient industry – focusing on our long-term goals made the short-term challenges easier to endure.

You’ve had a very successful career in the hotel industry. What tips do you have for rising stars who aspire to be in roles like yours?

The most successful people in this industry have a genuine desire to take care of others – they have hospitality in their soul. With this base, I recommend digging into every position possible within the hotel sphere. The more you listen and learn about each discipline, the better equipped you will be to manage a property or portfolio. Additionally, find a great leader who understands your energy and heart to help coach you and offer honest feedback as you grow in your career. Having people who believe in you and provide guidance through inevitable ups and downs makes a world of difference. For me, this person was Eric Danziger, and for this – I am eternally grateful. n

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From an expansion perspective, where would you like to add new properties over the coming 2-3 years?

business. How did you make that happen both professionally and personally?

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“Watching the groundswell of grit, determination and flexibility from our team was nothing short of inspirational.”

Jeff Wagoner, Outrigger Hospitality Group

A traditional blessing ceremony took place at Outrigger Reef to mark its reopening

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back at Outrigger. For Hawaii – the destination is now running at approximate 30% occupancy. This is all coming from the U.S. domestic market where there’s increased airlift with great value. We’re cautiously optimistic that all of our properties will pick up pace, but the wild card is with borders opening and quarantines being dropped for international markets – especially Australia, New Zealand, Canada and Japan.

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As you say, Australia is firmly on your radar. Where are your ideal locations to add properties? Outrigger is a definitive beach resort brand. Surf, sand, sun and fun is what we look for in a location. We’re keenly interested in acquiring properties in coastal communities including all of Australia’s beach destinations – specifically, the Gold Coast.

The last 12 months were mentally draining for so many people and it has taken strong leadership to see companies stay in

A major transformation was carried out to Outrigger Reef Waikiki Beach Resort

hotelmanagement.com.au 23


PROMOTION

Mövenpick Hotel Hobart features 221 guest rooms

A SCOOP OF

MÖVENPICK HOTELS Accor’s premium Swiss-born hospitality brand, Mövenpick Hotels, made its Australian debut this year with the opening of Mövenpick Hotel Hobart in January and Mövenpick Hotel Melbourne on Spencer in June.

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övenpick Hotels, a brand that has been synonymous with culinary and hospitality excellence for more than seven decades, offers a unique blend of contemporary city and resort hotels in more than 90 locations across Africa, Asia Pacific, Europe and the Middle East. Mövenpick Hotel Hobart and Mövenpick Hotel Melbourne on Spencer join some of the world’s finest hotels including Mövenpick Resort & Spa Jimbaran Bali, Mövenpick Resort Kuredhivaru Maldives, Mövenpick Resort & Spa Dead Sea, Mövenpick Hotel Sukhumvit 15 Bangkok, Grand Plaza Mövenpick Dubai Media City UAE and Mövenpick Hotel Istanbul Golden Horn. All Mövenpick Hotels are passionate about ‘making moments’ and recognising that small gestures make a big difference to guests, owners and team members. The brand is renowned for doing ordinary things in an extraordinary way – a philosophy that has defined Mövenpick Hotels’ success from the very start. “Mövenpick Hotels have a unique place within our collection as they transcend the traditional hotel experience by masterfully blending the 24 HM The Business of Accommodation

Mövenpick is growing fast in Australia, with two locations open in the first half of 2021

“Australian travellers are overwhelmingly embracing Mövenpick Hotels’ inherent Swiss heritage ” Simon McGrath, Accor


ACCOR NEWS

Restaurant at Mövenpick Hote Tesoro l Ho bar t.

Two sites and counting Mövenpick Hotels has recently opened its second Australian site.

MÖVENPICK HOTEL HOBART

Located on Elizabeth Street, one of Hobart’s principal heritage streetscapes, and close to the bustling Hobart waterfront, Mövenpick Hotel Hobart is within close reach of the city’s key commercial, retail and leisure attractions. The hotel features 221 guestrooms and suites with spectacular views of Hobart’s historical city and harbour, a gymnasium, meeting facilities and the hotel’s Tesoro Modern Italian restaurant – one of Hobart’s premium food and wine

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experiences – offering guests and visitors the very finest in modern Italian cuisine as well as locally inspired signature dishes. A range of Mövenpick Hotels brand signatures are offered at the hotel, such as a daily Chocolate Hour.

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brand’s Swiss heritage with a premium hospitality experience,” said Accor Pacific Chief Executive Officer, Simon McGrath. “Since launching Mövenpick Hotels in Australia, the brand has already gained recognition for its culinary and service excellence in the Australian hotel market. “Australian travellers are overwhelmingly embracing Mövenpick Hotels’ inherent Swiss heritage – its Swiss sensibility and quality. Our Mövenpick Hotels brand signatures, such as our daily Chocolate Hour, perfectly encapsulate the brand’s passion for gastronomy and innovation and generate immense talkability,” McGrath added. These brand signatures are offered at every Mövenpick Hotels property across the globe and focus on culinary experiences and convenience-boosting technology, while simultaneously delivering on the brand’s ‘we make moments’ philosophy. Mr McGrath said: “The introduction of unique tourism offerings and new international hotel brands, like Mövenpick Hotels, has the capacity to completely revitalise a destination. It provides a compelling reason for people to travel and visit our capital cities. “As the global leader in the premium segment, we are focused on expanding our premium presence and bringing some of the most prestigious brands in the world to Australia. We are actively planning more locations for the Mövenpick Hotels brand across the Pacific. It’s a very exciting time.” With a growing footprint, all Mövenpick Hotels take a sustainable and responsible approach, caring for local communities and protecting the environment in the destinations where they operate. n

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MÖVENPICK HOTEL MELBOURNE ON SPENCER

Situated at the meeting point of Melbourne’s iconic Spencer and Bourke Streets in the CBD, the 172-room Mövenpick Hotel Melbourne on Spencer delights guests with its contemporary design and boutique interiors. The hotel offers a dedicated cafe serving the brand’s signature ice cream, an exotic blend of modern Pan-Asian cuisine at its very own Miss Mi restaurant and bar, a daily Chocolate Hour and an assortment of other Mövenpick brand signature offerings. A dedicated recreation floor features a 25m swimming pool, sauna, and gymnasium. Mövenpick Hotel Melbourne on Spencer forms the six-level podium of the striking 78-storey Premier Tower development.

Mövenpick Hotel Melbourne on Spencer opened in June 2021

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PRESENTS

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TAA National CEO, Michael Johnson, addresses the Senate Select Committee

TAA Chair to lead expert tourism panel Industry leaders to consult on economic recovery

Visa changes to ease dire worker shortage TAA was recently front and centre in Canberra, outlining the industry’s critical worker shortages. THE FEDERAL GOVERNMENT’S recently announced changes to visa holder conditions will help alleviate workforce shortages in Australia’s accommodation hotels. TAA CEO Michael Johnson said the changes were a great sign the Federal Government is listening to industry about the growing problems associated with labour force shortages and had responded with common-sense measures. TAA has long been working on solutions to the skills shortage in hospitality. In the last few months alone, TAA CEO Michael Johnson and AHA CEO Stephen Ferguson have appeared before the Joint Select Committee on Migration, the Select Senate Committee on Migration and the Select Senate Committee on COVID-19. Mr Johnson told the committee that Sydney CBD hotels stopped selling rooms over Easter as they didn’t have enough staff to clean and prepare them. He said traditionally busy periods were now dreaded by some operators as they could not attract enough staff to service their operations. “The announcement follows long-term advocacy by TAA and the AHA, with the two visa amendments reflecting what our associations had requested on behalf of our members,” Mr Johnson said. “COVID-19 has underscored something we already knew – Australia’s accommodation, hospitality and tourism sector relies heavily on overseas workers to fill workforce shortages and seasonality in our industry. “The changes will hopefully take some of the current pressure off hotels and their 26 HM The Business of Accommodation

hard-working employees and secure the necessary workforce support they require to trade at full capacity.” Mr Johnson said permitting student visa holders to work more hours and allowing temporary visa holders to work in the tourism and hospitality sector under the COVID-19 Pandemic Event Visa will help ensure tourism and hospitality businesses across Australia have access to the workforce they need. “We have had reports hotels have been reducing hours or even closing on certain days due to a lack of available staff,” he said. “The surge we have seen in domestic tourism is fantastic, however, for it to continue we need to have enough people to service the business – providing flexibility to allow visa holders to do this work is essential. Mr Johnson said the Federal Government had worked closely with the Association, resulting in sensible and practical amendments to visa conditions which will deliver immediate benefits for Australian accommodation hotels. “This was a problem before COVID and it is even worse now due to the lack of international students, working holiday makers and temporary visa holders.” Mr Johnson said some of our most successful hotel groups are currently more than 50% down on job applications for the same time last year – this is at the same time as we have an unemployment rate of more than 5%.

Tourism Accommodation Australia National Chair, Martin Ferguson, has been appointed to lead an expert panel to provide advice to government on the economic recovery of the tourism industry. Federal Minister for Trade, Tourism

and Investment, Dan Tehan, said Mr Ferguson had been appointed to lead the ‘Reimagining the Visitor Economy Expert Panel’ over the next six months. The five-member panel will provide advice on the visitor economy, which encompasses domestic and international tourism, including international students, business and leisure travellers, business and major events and short-term overseas workers, as well as associated industries such as hospitality, aviation, and accommodation. TAA CEO Michael Johnson said the appointment was recognition of Mr Ferguson’s breadth of experience and respect in the industry. “Martin’s skills and experience have been crucial to the work TAA has been doing during the worst crisis to hit our industry in living memory and I can think of no one better to lead this panel,” he said. “This panel has been tasked with a crucial role, helping Australia chart a course to long-term success as we emerge from COVID-19. “Martin has a unique insight into both business and politics, and his contribution to the panel will ensure our views and the experiences of our members are heard at the highest levels of government. I wish Martin and his panel every success.” Mr Ferguson, a former federal Tourism Minister, welcomed the opportunity to lead this important work. “We have an opportunity to imagine a new future for the sector, which is more resilient, sustainable and competitive,” he said.


WORLD OF TAA

Regional recovery hampered by staff shortage

The domestic visitor-led recovery in regions across the country has been one of the few good news stories for the hotel industry in the last year.

TAA National CEO, Michael Johnson, with NSW Tourism Minister, Stuart Ayres and Crown Sydney CEO, Peter Crinis

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TAA CEO Michael Johnson says recent trips to regional NSW to meet with hotel industry leaders showed the post-COVID hospitality recovery is being held back by chronic staff shortages. Mr Johnson met with General Managers from leading accommodation hotels across the yd Blue Mountains, Newcastle and the Hunter region. He said the regions were doing much g ne in yG ak better in comparison to this time last year, but were being hamstrung by a lack of staff. e M, p Glenn Caldwell, s “The overall story in the regions is good when you compare it to last year, but it could be better,” said Mr Johnson. “This time in 2020, just after the bushfires and in the middle of lockdown, hotel occupancy in the Blue Mountains region was at just seven per cent. “Hotel occupancy in the area is now up to about 70 per cent but it has stalled because hotels simply don’t have enough staff to accommodate all the bookings.” Mr Johnson said the story was similar north of Sydney. “This time last year, hotel occupancy in Newcastle was at just fifteen per cent,” he said. “Occupancies in the area are now back above 76 per cent, but with the new hotel – Kingsley by Crystalbrook to come online in June – there are concerns with the current staff shortages in the regions. “With no international students or working holiday makers hotels are struggling to find housekeepers, food and beverage workers, chefs and other skilled staff. “They have had to turn back much-needed bookings and forgo revenue because M s ich they simply can’t handle the capacity at the moment.” M ae l Jo el G t o h Mr Johnson said he was hopeful streamlined visa requirements announced in the May h nso ins n add resses Blue Mounta Federal Budget would go some way towards easing the problem.

Federal Budget welcomed

There was much to welcome in the 2021 Federal Budget, including measures directly aimed at easing the chronic worker shortage in the hospitality sector. TAA CEO MICHAEL JOHNSON said the streamlining of visa requirements to permit student visa holders to work more than 40 hours a fortnight would make a real difference. “What we need now is for the states and territories to support the road to recovery by ensuring Australians have confidence to travel within our own country without fear of sudden border closures and lockdowns,” Mr Johnson said. The TAA CEO said the measures would help alleviate the labour force shortage impacting accommodation hotels nationwide. “This is a temporary, targeted, common sense measure we have been pushing for,” he said. Mr Johnson said the industry would also benefit from the AUD$10 million in spending on regulatory technology solutions for modern award obligations.

“Anything which makes it easier for employees and employers alike to navigate the 126-page Hospitality Award is a welcome move. “This measure will make it easier and cheaper to navigate complex awards, make it easier to hire and reduce unintended payment errors.” Mr Johnson said the Association was pleased with several other measures. The temporary full expensing extended for 12 months to allow eligible businesses with aggregated annual turnover or total income of less than $5b, to deduct the full cost of eligible depreciable assets of any value was good news for the industry. The Budget also included a 12-month extension of the temporary loss carry-back, the continued support of aviation, extension of JobTrainer and the extension of the Australian Commencement wage subsidy. hotelmanagement.com.au 27


DEVELOPMENT Lancemore Mansion Hotel Werribee Park is basking in the regional tourism boom

THE

AHEAD LOCKDOWNS HURT HOTEL DEMAND IN 2020, BUT THE SUCCESS IN DEALING WITH THE PANDEMIC HAS HELPED RETAIN INVESTOR CONFIDENCE IN THIS REGION AND ITS SHORT TO MEDIUM TERM VISITOR FUTURE.

ACCOR

Lindsay Leeser – Senior Vice President Development and Franchise

Tourism in this region has long been an exciting and dynamic industry, and the good news is that this is going to continue. Our region is leading the way out and we are seeing interest across the board in all hotel segments with a particular interest in lifestyle hotels. The domestic market is showing a clear preference for hotels which offer deeper, local experiences, from a quality F&B offer to a lively local bar. Before the pandemic, people were seeking out new experiences and locations, and this type of travel was growing exponentially. Post pandemic, this trend has been accelerated. As people have been starved of connection, we expect lifestyle properties will hold a very strong appeal. We are seeing demand across all segments. Noticeably, there is a renewed interest in apartments, as people like to ‘stay their own way’ and make the most of increased work flexibility. In the absence of overseas travel, regional destinations and city staycations are booming. Franchise is an important offering which continues to grow as investors seek out to work with our well known global brands and have access to our significant loyalty distribution capability. In the current 28 HM The Business of Accommodation

environment investors are opting for the security afforded by wellknown brands, working with a dedicated team of experts, with instant access to an incredibly strong customer loyalty database. Over the next 12 months, we expect increased interest in investment and new build projects, particularly in regional areas as the domestic market rediscovers its backyard. There are huge opportunities as Australians and New Zealanders simply love to travel.

THE ASCOTT LIMITED David Mansfield – Managing Director Australia

Australia’s handling of the pandemic and the relative strength of our domestic market has given Quest and our development partners confidence as we move ahead with an ambitious growth pipeline, primarily focused on regional and suburban areas, where demand remains clear. The strength of regional tourism is particularly uplifting. The early performance of our new properties in Wangaratta and Ballarat and recent refurbishment of Quest Echuca demonstrate that where quality product meets vibrant regional towns and cities, success will be found. Throughout the pandemic, our guests have taken particular comfort in


DEVELOPMENT

a spacious and autonomous serviced apartment environment. People spent a lot of time confined throughout 2020, so being able to provide this to the end consumer has clear merit. The strength of our brand and unique proposition is not only evident to us, but to prospective franchisees too. We continue to have a talented line-up of new and existing candidates rearing to step into Greenfield and Brownfield properties ahead of what we are confident will be a slow but strong return for the tourism sector. Australia is currently viewed as a ‘safe’ destination on the global stage, so when international borders eventually open, we are confident our sector as a whole, across all scales, will reap the rewards of our hardwon battle against the virus.

BWH HOTEL GROUP

Graham Perry – Managing Director Australasia

Going into the pandemic, the brand image of Australia was in damage control due to the world's perception of how we had handled the bushfires, but this has been more than made up for by the way Australia (and New Zealand) has managed and minimised the pandemic. Once we get the vaccination component right and once international borders open, we will see a strong rebound from overseas markets wanting to travel overseas again and particularly to regions considered safe. Australia will be top of the list. Australians have also woken up to what they have in their backyard and the domestic tourism honeymoon will continue. Regional Australia will be the major beneficiary with both international and domestic tourism looking for new experiences beyond capital cities. For decades leading up to the pandemic, tourism has been underestimated by governments at every level and by the regional communities themselves, which in turn influenced investors to overlook regional opportunities, focusing in the main on capital cities where there is now an increasing oversupply of rooms at the luxury end of the market impacting profits and RevPAR. However, because of the pandemic, all stakeholders are finally waking up to the huge opportunity that is regional Australia, and now is the time to act as there is significant distressed stock that can be acquired at affordable prices and whose performance can be transformed through professional operational and revenue management in partnership with companies like BWH Hotel Group. These investments will coincide with increased government investment in regional areas to support recovery and expansion of regional economies. This not only leads to opportunity within the midscale (Economy and Premium Economy sectors) but within upper midscale and beyond in the major regional hubs which are supported by growing populations, regional airports, hospitals, universities, mining and other industry sectors. However, not all the opportunities are distressed as there are also strategic acquisition opportunities plus new build development and conversion opportunities, particularly in the regional centres.

“As people have been starved of connection, we expect lifestyle properties will hold a very strong appeal.” Lindsay Leeser, Accor

BWH Hotel Group is well placed to cater for this upsurge through its core Best Western midscale brands, its new award winning SureStay economy brands and through Sadie and Aiden at the upscale lifestyle end of the market.

CHOICE HOTELS ASIA-PAC

Cameron Burke – Director of Investment & Portfolio Growth

Australia and New Zealand remain positioned as attractive investment propositions for hotel investors, which is underpinned not only by each country’s respective responses to the pandemic, but also the strength of domestic demand profiles, low interest rates, and political stability. Notwithstanding, the development landscape continues to evolve with the recovery cycle. Investors are becoming more focused on reducing their total cost of ownership, and increasingly agnostic on operating models as market conditions remain challenging. Lifestyle and luxury assets in key leisure and drive destinations have clearly been the primary beneficiaries of capturing the experiential travel market in the absence of outbound international tourism. The surge of enquiries regarding our Ascend Hotel Collection soft brand is certainly reflective of such shifting demand drivers for experiential properties throughout Australia. Guests are now craving experience as much as convenience, and luxe-leisure demand has seen exponential growth as a result. The economy and midscale segments, in which we are well represented through our Econo Lodge, Comfort and Quality brands, have proven resilient in the face of domestic market volatility. However, for as long as domestic demand is sustained, we expect the nature of the recovery to be less contingent on asset class and more subject to location. The fact that there appears to be a muted correlation between ADR and occupancy suggests that demand will continue to be driven by guests with increased discretionary leisure spend in the shortto medium-term. Working with white label management partners allows us to better service this demand in Tier 1 and Tier 2 markets, and affords us greater flexibility in considering strategic investment and acquisition opportunities throughout the Asia-Pacific region.

EVENT HOSPITALITY

Norman Arundel – Director of Hotels and Resorts

The confluence of a generational increase in new hotel supply and the recovery challenges posed by COVID-19 mean that the coming years will be challenging and exciting in equal measure for hotel development. Adding to this dynamic environment is a flood of new international brands seeking to enter the Australian and New Zealand markets. While the boom market we enjoyed until 2018/2019 meant that results from one hotel to another were often very similar. It was a case of ‘a rising tide lifts all boats’. Currently, we are seeing the opposite with varied results and an opening up between the success and results of competing hotels. The difference in results can often be attributed to local operational management expertise, local distribution and marketing prowess and access to quality staff and management talent – something that is currently in short supply. What we’ve learnt over the last year is that our industry needs international borders open to access staff, more than it does to access customers. While we want borders open and a robust >> hotelmanagement.com.au 29


DEVELOPMENT Marriott International has signed to develop the Westin Margaret River Resort and Spa

for partners such as Hilton, which has a strong commercial engine to drive luxury performance and understands affluent travellers who seek exceptional experiences in an authentic and personalised way.

IHG HOTELS AND RESORTS

Abhijay Sandilya – IHG Vice President Development – Australasia, Pacific, Japan

post-pandemic recovery for the industry, we have seen that many styles of accommodation, in many locations, can achieve strong occupancy without international guests. But what we’ve also seen is that all hotels are struggling without access to international staff. Good people who have the ability to run great hotels need to be the core of any successful development strategy. In fact, a recent AHS Advisory Hotel Performance Study showed QT, Rydges and Atura hotels outpacing their competitors in terms of profitability and margin – and these results are driven by our people. So, while brand will continue to be important, local management and know-how will be the key driver to determining success in an increasingly competitive market. At Event, we have the brands and a range of contract options available to hotel owners and developers like many hotel chains, but critically, we have a locally based team to back it up.

HILTON

Tushar Raniga – Director Development, Australasia

At Hilton, we have made a commitment to double our footprint across Australasia within the next five years through an organic growth strategy, and we remain on track to do so. Our aim is to add depth and breadth to our existing estate of 28 operating and 12 pipeline hotels, choosing the right brands – particularly luxury, lifestyle and focused service – in the right locations, at the right time. As we plan for a post-pandemic recovery, in the midterm, the rise of the middle class traveller across Asia-Pacific will have a strong positive impact on our business. There is interest from developers and consumers for brands such as Hilton Garden Inn, our award winning focused service brand, designed for travellers who seek a comfortable convenient stay and a base from which to explore. We have four in the pipeline and look forward to opening our first later this year when Hilton Garden Inn Albany joins our portfolio, located in the beautiful south-west of Western Australia. The trend towards guests seeking authentic experiences when they travel will grow, for both business and leisure. We will continue to lead with our core full service brands Hilton Hotels and Resorts and DoubleTree by Hilton and their warm-hearted hospitality. We are encouraged to see attention from developers in our luxury brands Conrad Hotels and Resorts, LXR, and Waldorf Astoria for key gateway city locations and niche markets, particularly in Australia. Luxury comes with significant investment, which leads owners to look 30 HM The Business of Accommodation

Without a doubt, investors in our region have regained confidence faster than anywhere else in the world. Given we are seen as such a safe haven with COVID-19 largely under control, Australia is bound to become a very popular destination once people can travel more freely, and investors are making moves now so they can be prepared to take advantage of the boom when it happens. Additionally, with the domestic boom that we’re currently experiencing, owners with regional hotels that are soon to open or rebrand are in a perfect position to capitalise on the demand. The benefits our franchise model offers for private investors have been ten-fold and we are actually seeing a notable rise in interest in this segment, which is most likely due to the security an internationally recognised hotel company can bring to a private operator in times like these. Whether it’s through brand recognition, standard operating procedures (cleanliness programs have been critical here), access to talent or best practice in revenue management, sales and marketing, the knowledge and resources that come with our franchise model have never been more appealing. From what we’re seeing at the moment, post-pandemic recovery will very much favour all segments. We’re seeing what we dub ‘revenge travel’ in the luxury sector, where couples and families are having these no-expense-spared holiday experiences simply because they haven’t been able to travel for 12 months. The luxury sector will remain strong as we go through post-pandemic recovery. Then there are the travellers that really want to immerse themselves in a new destination and have unique experiences after being confined to their homes. This is where lifestyle and boutique hotels will really come into their own. But in saying all of this, midscale and upper midscale hotels have proven to be the most resilient during economic downturns, and we’re seeing this once again as they’re set to lead the recovery. They were the first to re-open after COVID lockdowns with housing frontline workers and they will continue to remain a steady and reliable investment for owners and operators, particularly given the strong demand from more price sensitive travellers.

LANCEMORE HOTELS

Julian Clark – Chief Executive Officer

All things being equal, the fact Australia and New Zealand have dealt so well with COVID-19 should make us more attractive due to greater hotel occupancy and profits. But it’s not as simple as that. On the plus side, AU/NZ looks like a beacon with strong economic prospects, some hotels and markets are already doing well in this COVID-normal world and the future post-COVID looks very bright. On the flip side, international investors can’t come and visit the assets they want to buy, many hotels are trading poorly relative to pre-COVID levels, debt funding is harder to come by and there are few distressed sales. So they probably balance each other out and we will muddle through in terms of hotel investment. What will be interesting to see is how investors rate Australia in the medium term on the risk front and as a well-managed economy – a ‘blue chip’ country to invest in for their portfolio. We saw this sentiment preCOVID and I expect we will see even more of it in the coming years so long as we keep our health and economic success intact.


DEVELOPMENT

“We are energised by the buoyancy of regional tourism” Sean Hunt, Marriott International As to which market segment performs the best in terms of Australia’s post-pandemic recovery, I think it differs by location a little. It’s more about what market segments that hotel or hotel class is servicing. Anything to do with domestic leisure is clearly benefiting, especially drive destinations, many of which are doing record numbers. On the flipside, if you were reliant on international visitation or major events as a market or hotel class, then clearly you are struggling right now. As a result I think most STR data is suggesting that hotel segments all are travelling at similar levels in their specific locations. We have most of our hotels in the upper upscale and luxury segments and I think there is some evidence to say that luxury and boutique hotels are doing better in resort markets as there is more disposable income in the higher Australian income earners as they have been least affected by job losses, enjoy greater benefits from lower interest rates and no longer can go on international holidays. It’s definite that investors are looking more closely at regional areas. We are already seeing evidence of that already. Hopefully, we will see educated and disciplined investment and not a boom or bust cycle. The reality is some regional leisure markets are frothy right now and

BUSINESS

experiencing top of the cycle demand and profits. Canny investors realise that these don’t last forever and thus don’t build hotels unless the fundamentals were sound in 2019. Some regional markets absolutely should be invested in while others quite frankly should not.

MARRIOTT INTERNATIONAL

Sean Hunt – Area Vice President Australasia, New Zealand and Pacific

Despite the turbulent times of the past year, Australia remains of a key market for the strategic growth of Marriott International. As the world’s largest hotelier, we are confident in the domestic hotel industry, particularly given how well Australia has responded to the global pandemic, but now with a renewed focus on regional tourism. At Marriott, our plan is to almost double our presence in Australia with 19 new properties (4,302 rooms) in the pipeline, bringing our total number of properties to 43 (10,557 rooms). We have already opened two hotels this year, including the brand new W Melbourne, with another six expected to start trading before the end of 2022. Today, more than ever before, we are eager to secure aspirational new footholds in each state’s favoured playgrounds, particularly within a four hour drive of capital cities. However, we do recognise that our regional hotels will be smaller than our city portfolio, and that they will be high-end properties with authentic local experiences at their core. Our pipeline of hotels including The Tasman, The Westin Margaret >>

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hotelmanagement.com.au 31


DEVELOPMENT

“In the recovery phase, we can expect to see rising demand in a range of segments, particularly luxury and lifestyle”

32 HM The Business of Accommodation

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River, The Westin Darwin and The Westin Coolum are ideally positioned to meet the surging uc demand for regional experiences rb ar fu ec e r e as they are gateway hotels to popular n n tl llio y en joyed an AUD$1 mi tourism hot spots. Pleasingly, the hotel investment community is responding to the changing landscape, and entrepreneurial forward- thinkers are pivoting to now consider investing in regional markets, instead of the historic safe havens of Australian LQ CBDs. This will hopefully lead to a swathe of exciting new products by wn Wy sto and a prosperous time for regional tourism, which suffered from the ndh een u am Re Q k r markables Pa constrained dispersal of Australia’s visitation boom prior to COVID-19. New benchmarks in domestic ADR’s will be achievable, as affluent Australian travellers choose to travel at home instead of overseas. We already producing high yields for existing hotel investors. I believe that are energised by the buoyancy of regional tourism, which has been the many hotel investors will take a fresh look at these locations, and we will shining light post-COVID, and we are already seeing this trend at our likely see significant development in these areas in coming years. regional properties in Port Douglas and Canberra. We know there is a lot of work to do, but we are already seeing NEXT STORY GROUP positive recovery in the first quarter this year, with our Australian hotel Chris Ely – Vice President, Business occupancies at more than 50%, so we remain positive. Development and Asset Management Relative to the rest of the world, Australia MINOR HOTELS continues to do well through this COVID period, Craig Hooley – Chief Operating Officer and ultimately, we believe markets with a strong Australia and New Zealand’s success in keeping domestic penetration will be best positioned for the fastest recovery. community transmission of COVID-19 at low levels Leisure destinations, and more regional markets, are already seeing has allowed our economy to continue to function a material rebound in business. In some of our more leisure driven and fuelled the hotel business for both leisure and properties, we are already reporting top line revenue recoveries to 2019 business. With most hotels now cash flow positive, this is the time to levels with strong flow-throughs to the bottom line. restructure and recalibrate, exiting COVID-19 stronger than ever. Hotel At Next Story Group, we kick started 2021 with the opening of our investment will reach a new level of interest as these trends lead to new Next Hotel flagship property at the 80 Collins Street Melbourne fast growing opportunities, particularly in the leisure market, with the precinct. Since opening, the property has outperformed expectations perception that Australia and New Zealand are easily accessible ‘safe’ in all metrics and continues to attract extremely positive reviews. destinations. The current success for Next Melbourne and all our other properties While all segments are going strong, at Minor Hotels Australia and New is largely underpinned by the leisure market segment, given the slow Zealand, we have identified great opportunity in the luxury market, which recovery of the corporate market in the major cities. We believe our will be the quickest segment to mobilise once restrictions are lifted. We brands which address both the lifestyle and corporate markets will continue to focus on growing our luxury footprint in Australia, including rebound quicker focusing on the mid to upper-upscale positioning. the upcoming launch of NH Collection in Sydney in 2023. With a number of new hotels opening in Melbourne recently, we find Having said this, all categories of our hotels have received equal share it imperative to offer a more bespoke service delivery that in the end of interest due to the impact of constrained travel across all consumers. differentiates us from the conforms of the traditional hotel offerings. We Our midscale properties have been very popular with families who may strive to create offerings that stand on their own merits, such as exciting not traditionally travel regularly, while those with more disposable and creative food and beverage offerings, and by partnering up with income look to lifestyle or luxury hotel experiences. home-grown talents that will challenge the norm. From a business growth perspective, we have seen an increase in We are delighted with our teams on the ground, who continue to focus enquiries for franchising, and expect to sign a number of franchise and deliver on highly customised guest offerings. This is reflected in our agreements this year. Owners are looking for ways to recover faster very strong guest sentiment metrics. We are excited about the growth of by growing top-line revenue through a strong brand and distribution our pipeline in 2021 and beyond, across all our brands. Given the current system. This is particularly evident in regional destinations such as investment climate, we are seeing particular interest from developers Hervey Bay, South Australia’s wine regions and Broome, which are towards our mid to upscale, limited service, lifestyle Ink brand, which is associated with lower build and conversion costs and higher operational returns. Having said this, with the very successful opening of Next Melbourne, and the property setting the benchmark for our premium Next brand moving forward, we have seen a sharp increase in interest and opportunities our Next brand. Australia is a key market destination for Next Hotels and Resorts, with which we have had a long-term association. Supported by our Australian office and team, our commitment to the Australian region is unwavering and we look forward to making some very exciting announcements Mark Bullock, Radisson Hotels Group


DEVELOPMENT

regarding our growth in the region very soon. Similarly, we are focusing our growth strategy in other parts of Southeast Asia, including Thailand, Vietnam, Indonesia and other destinations.

RADISSON HOTEL GROUP Mark Bullock – Managing Director, Australasia Business Unit

Australia and New Zealand have always had a reputation as a safe haven for foreign capital, and this is likely to be strengthened in the postpandemic era. Effective management of COVID-19 in both countries, the launch of the trans-Tasman travel bubble and strong domestic demand will boost investor confidence in the second half of 2021, before strengthening further as international borders reopen. In the recovery phase, we can expect to see rising demand in a range of segments, particularly luxury and lifestyle. Lack of international travel opportunities will see travellers seek out five-star properties to meet their personal needs. With health concerns still fresh in people’s minds, we also foresee a desire for experiences that offer personal space and privacy. As a result, high-end hotels and resorts in regional leisure destinations will benefit. Prior to COVID-19, Radisson Hotel Group had already commenced a push into this sector with the signing of the Imperial Hotel, a Radisson Collection Hotel in the Blue Mountains and the Radisson Collection Hotel, Queenstown. The rise of regional travel is also likely to spur more franchising inquiries. Franchised properties tend to be smaller, regional hotels so we expect this business model to expand as travellers explore their own backyards. Investors in the franchise sector are likely to seek expert support and a global distribution reach, while also wanting greater flexibility. With its portfolio of industry-leading brands, including intuitive soft brands like Radisson Individuals, Radisson Hotel Group offers the perfect balance of independence and world-class support.

TFE HOTELS

John Sutcliffe – Development Manager

complementary to our hotel operations and thus allow us to create hubs or venues where guests and locals can eat, sleep, work and socialise in the same location – whilst also often providing fixed rent returns to owners.

WYNDHAM HOTELS AND RESORTS

Matt Holmes – Head of Development SEAPR

Wyndham Hotels & Resorts is emerging from COVID-19 with confidence. We continue to be encouraged by the progress that our predominantly midscale brands have been presenting both in terms of new deal signings and in hotel performance. Our hotels in regional areas have been performing best – largely off the back of a robust midscale network. Our midscale hotels are able to attract a wider portion of the market, with lean operating costs. This is especially important in times when the market has tapered and the ability to appeal to as many customers as possible has never been more important. Australia and New Zealand’s handling of the pandemic has helped put the region in a strong position and is inspiring confidence for investors and hoteliers. Wyndham Hotels & Resorts has continued to launch new hotels and brands into the Australasian market – including the opening of three new properties under the Ramada by Wyndham, LQ by Wyndham and Wyndham Garden in New Zealand this year. We’ve also seen a gradual uptick in trading across the board for the APAC region with Australia and New Zealand the real shining light in the region in terms of hotel performance. This should continue to encourage investors that the region will continue to be a solid option for hotel investment now and in the future. As the world’s largest hotel franchisor, our franchise model has proven very resilient, and we continue to demonstrate the Wyndham Advantage for our owners and partners. We believe that there will continue to be significant opportunity and demand for franchise conversions where hotel owners can benefit from our distribution platforms, loyalty program, preferred supplier arrangements and marketing campaigns in an environment where cash flows are under as much pressure as they have ever been. >>

Whilst TFE Hotels’ strategy hasn’t fundamentally changed as a result of COVID-19, some plans have The Quality Hotel Downtowner in Melbourne certainly been accelerated to meet the expectations of guests and, more importantly, to keep them and our teams safe. For example, technology enhancements – in particular, mobile technology – has been implemented across all brands, which has eliminated the number of high contact areas throughout the guest journey. Compendiums are now online; traditional buffet services have been replaced by a la carte menus and mobile ordering options have been well received by guests. We are also seeing more opportunities in the suburbs surrounding CBDs, and also within developments that were previously planned for residential use, which are well suited to our Adina apartment hotel brand. A shift in travel patterns has also enabled us to include strategic partners within hotel plans. Again, this is a little earlier than anticipated as a result of changing guest experience requirements due to the pandemic. These partners offer services that are

hotelmanagement.com.au 33


DEVELOPMENT

The Sebel Melbourne Ringwood is enjoying strong bookings as a city ‘Staycation’ We pride ourselves on taking an owner-friendly approach to conversions and are confident in our network and distribution to help navigate through what has been the most challenging period for our industry in history.

COLLIERS INTERNATIONAL

Karen Wales – National Director, Hotel Transaction Services

Whilst the expansion of Australia’s accommodation market looked set to continue for some years to come, COVID-19 has brought an abrupt halt to the expansionary phase of the hotel market cycle. In 2020, the interruptions to global supply chains, lockdowns, closed international and state borders, the introduction of social distancing on construction sites and capital inertia all impacted the delivery of new accommodation rooms. Some owners also made the difficult decision to delay openings of new hotel properties through this low period of room night demand. This, along with the closure of some existing hotel supply, has caused a shift in Australia’s accommodation supply base. We highlight that although many owners chose to delay the opening of new hotels, other projects did in fact proceed to open in 2020, with approximately 4,000 new rooms opening throughout the year across the 10 major accommodation markets. This year is anticipated to be the next supply peak, with approximately 5,900 rooms to open across the 10 major accommodation markets throughout the year. Adelaide, Brisbane, Canberra, Gold Coast, Hobart, Perth and Sydney will each see a quantum of new rooms, though Melbourne tops the list with over 1,700 new keys anticipated in the CBD alone. These include projects that were already under construction when COVID -19 hit and hence are proceeding. The developments that are not yet under construction are now deemed less likely to proceed in the near to medium term given the impact of COVID-19 and the lower demand environment that currently exists.

HTL PROPERTY

Andrew Jolliffe – Director of Asia Pacific Region

In the first instance, I think we need to acknowledge the role of comparative geographical isolation, but then overlay this with what has undoubtedly been a proactive and very effective performance from both governments at the international vanguard of mitigation strategies regarding COVID-19 business and lifestyle disruption. 34 HM The Business of Accommodation

In terms of where this might position the region as a downstream recipient of hotel investment, we believe the lens through which we are now viewed internationally enjoys a much sharper focus from both family and institutional investors. Already the beneficiary of a stable and well-regulated economy and political footprint, our collective ability to ameliorate this worldwide challenge in the way Australia and New Zealand has, provides great confidence and a consequent enhanced magnetism from off-shore investment vehicles. Australia’s post-pandemic recovery will record success across all accommodation product categories. However, product such as four star upscale, regional luxury, lifestyle and experiential applications will enjoy a chronological advantage over all others. Once the international borders reopen, our leading five-star assets will return to visitation popularity in a manner that, for the most part, they have been unaccustomed to previously. The delta between the chronological differential referred to above could be 12-18 months before this happens. Domestic travellers are showing patent preference for regional luxury and experienced based accommodation offerings, as well as four-star upscale. As such, we have advised many of the firm’s clients with current development opportunities to consider this phenomenon with respect to deployment of capital, as we’re on record as advocating a continuum of domestic market strength after international borders reopen. Our discussions with both investors and brand managers all record concurrence with the need to match demand with supply in sub-metro markets. For so long, Australians – by comparison to U.S. or British citizens, have been lacklustre participants in domestic tourism pursuits in their own backyard. The reengagement Australians have enjoyed with truly world class regional destinations at home over the past 12 months has quite rightly demanded commensurate attention from investors and those seeking sustainable brand augmentation opportunities.

JLL HOTELS AND HOSPITALITY Peter Harper – Managing Director, JLL Hotels and Hospitality

The Australian hotel investment market has long been sought after by international investors and this is clear with the proportion of institutional ownership amongst global groups. There is no doubt that Australia has always been considered as a quality investment destination and this reputation has most certainly been enhanced over the past 12 months. There is currently a significant volume of traditional and nontraditional offshore capital sources seeking hotel investments, with a particular focus on scale or trophy like offerings. We are also seeing a number of these groups looking for indirect investment by backing several of the country’s most successful domestic investment managers. We’ve seen hotels right across the chain scale benefit from the recovery; however, those that were traditionally positioned towards inbound source markets will most likely lag the general market recovery. One clear trend that has emerged following the onset of COVID-19 is domestic staycation business. We are seeing many five-star and luxury hotels across all of the major capital cities achieving incredibly high occupancy rates on weekends as domestic travellers look to treat themselves in the absence of their historical desire to travel overseas. The regional markets that are of most interest to investors are those that have a diverse range of demand generators and won’t be overly vulnerable to any reduction in domestic tourism once international borders reopen and Australians can travel more freely. Such markets include Newcastle, Wollongong, Mornington Peninsula, Margaret River and the Sunshine Coast. n


BESPOKE LUXURY IN THE HEART OF ADELAIDE www.mayfairhotel.com.au 45 King William Street, Adelaide


FOOD AND BEVERAGE

ON TAP

You’ll find The George at Rydges Canberra

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36 HM The Business of Accommodation

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here are many elements which go into a successful hotel restaurant. Aside from the menu itself, careful consideration must go into brand development, its appeal to the local community and how it fits into the rest of your hotel. If not done right, the process can leave behind a sour taste. Event Hospitality has developed a new collection of tantalising dining concepts which it says serve as readymade master brand templates on which a Rydges or Atura hotel can either adopt in full or apply careful tweaks to suit their client base. The end result is a ready-made, tried and tested, experience-led and on-trend dining offering which will leave diners coming back for seconds. On the menu is The George Bar & Grill, a homely and comfortable brand featuring tables nestled around a warm and inviting fire. Locanda Restaurant and Bar celebrates local produce with a hint of Italia in a luxurious yet relaxed setting. As the name suggests, Nautica Pool Bar and Kitchen features a summery vibe with a strong seafood focus designed for long lunches and celebrations. Further, Event has crafted a dining concept around the most important meal of the day in Parlour Lane Roasters – a breakfast concept that channels a contemporary café and offers a menu of indulgent breakfast favourites amidst an energising and aromatic coffee culture. In line with the launch of the new collection, HM chatted with Event Hospitality Group Director of Culinary, Adam Petta, to learn more about the master brand concepts on offer.

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Nautica Pool Bar and Kitchen can be found at Rydges Geelong

Is the general intention with each dining concept to maintain a similar menu across each location? How flexible is each concept and is there a limit before the owner starts moving away from what is intended?

Each of the concepts have been developed based on a consistent framework, that allows for local produce to be utilised. The successful rollout of the concept relies heavily on our relationship and collaboration with the local team at site, to ensure that while the menus remain consistent overall, there is flexibility to ensure it can also be localised.

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DEVELOPING AN APPEALING, ENGAGING AND ULTIMATELY DELICIOUS RESTAURANT CONCEPT CAN BE A DIFFICULT TASK FOR ANY RYDGES HOTEL OWNER. ENTER EVENT HOSPITALITY, WHICH HAS COME TO THE PARTY WITH A MENU OF TASTY IDEAS.

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FOOD AND BEVERAGE Locanda Restaurant is currently in place at Rydges Melbourne and can be adapted to any Rydges or Atura property

How was the menu developed for each brand concept? Who was involved and what sort of experimentation and expertise was utilised?

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Tasting at The George

HM recently sampled a variety of menu highlights at The George in Rydges Canberra. While the weather outside was chilly to say the least,

the warmth of the fire inside made for an inviting and comfortable dining environment. While the menu may not take long to read in full, the selection is strong and appetising, with a curious mix of fine dining and classic favourites. There are not many restaurants where you can get ultra-fresh oysters coupled with a chicken parmigiana or gourmet beef pie. Whether you’re in the mood for a burger, fish, steak, chicken, beef or even pasta, there’s something available at The George. As Adam Petta explains, this menu variety was not by mistake. “This is very much intentional. This was built into The George to offer something for everyone. It’s inspired by a New York grill, with the menu designed to offer breadth to accommodate an urban hub or restaurant site with guests on the move. This is reflected in Canberra where there is a mix of corporate travellers, guests enjoying a weekend getaway as well as travellers enroute between Sydney and Thredbo. And if that doesn’t fill you up, the desserts are quite literally ‘the bombe’.

The primary concepts were designed by the Event culinary team, with input and insight from our extensive food and beverage portfolio across the entire group. We took the best of what we know works and commercialised this, amplifying the most successful elements to create restaurant brands that we know reflect the latest trends, are geographically relevant and stand out against the competition. We considered what worked in a city location or by the water, for example, and looked for where we saw opportunities to create Adam Petta, Event Hospitality a complementary food and beverage offer. As an example, the Nautica Pool Bar and Kitchen is currently located poolside at Rydges Geelong, but we believe we can take this concept and place it oceanside in the right hotel, offering fresh locally-sourced produce in an environment that celebrates relaxed long lunches.

“We’ve had positive feedback from both our owners and new business coming into the group.”

What response have you had among your ownership community? Are the majority eager to take these on or are owners more interested in developing their own concepts?

We’ve had positive feedback from both our owners and new business coming into the group. We know that for some hotels, utilising a tried and tested brand will offer a sense of confidence that is also underpinned by the expertise of the Event Group.

Are there more dining brands and concepts still to come or is this the defined range?

While we are always looking to maximise opportunities to innovate and deliver the best in hospitality, we will concentrate on the current brands and focus on getting velocity out of the great concepts we’ve already got in market.

Is Nautica only intended for hotels with pools? Yes, Nautica is intended for pool or seaside locales.

Are these concepts only for properties under the Rydges label or are they available to QT, Atura or even Jucy?

The concepts are predominantly designed for Rydges and Atura at the moment. n hotelmanagement.com.au 37


HM Q&A | SUPPLIER PROFILE

SHAPE

YOUR WORLD What began as a small office fit-out firm has grown over three decades to become an eminent leader in the field of construction, refurbishment and design. HM chats with DAVID WOOD from Shape Australia to unpack the company’s design philosophies.

and work hard to protect the hotel’s reputation. We join the hotel operations team to form an extended family and we find that our best projects are where the hotel staff embrace Shape in the same way.

Shape has played a key role in several of the biggest hotel refurbishments to take place over the last few years. What helps the company stand out over its competitors?

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hape’s focus is our clients. We like to think that Shape is the ‘Hotelier’ of the construction industry. We look after our hotel clients as they do for their guests. Just as customer experience is paramount within the hotel and hospitality industry, Shape takes great pride in its customer experience. On a national level, our teams are on the ground ready to support quickly, quietly, and considerately without compromising quality. Working with Shape is like having an extension of an existing team. The quality of the build is always unrivalled, and we deliver this by involving clients every step of the way.

What do you believe is the key working element that helps Shape achieve its stunning successes?

Shape is very people focused. Just as clients are a priority, we also place a high focus on our people, subcontractors, and Shape team members. Over many years, it is this focus that has created the Shape culture we enjoy today. While our people are happy and well supported, they are armed and ready to tackle any issue or challenge as they arise on a project. Our core team has been with Shape for many years and combined with over 20 years’ experience, this creates the perfect platform for Shape to deliver complex and high-quality hotel fit outs.

What are some of the most common challenges in hotel refurbs and how do you overcome them?

Hotel refurbishments are generally undertaken within live operational environments. Shape understands that hotels are an operating business where guest experience is of utmost importance. As such, Shape focuses on minimising disruption and maximising the guest experience. Our building works are second priority. We also push to maximise hotel revenue through tailored construction programmes aligning with occupancies. The Shape team go beyond just ‘building’ 38 HM The Business of Accommodation

How important is sustainability to Shape in the materials sourced and the works it carries out?

“One trend we’re noticing is clients placing a bigger emphasis on materiality.” David Wood, Shape Australia

Sustainability is extremely important at Shape. We place a great emphasis on delivering sustainable outcomes for our hotel clients and believe that being environmentally friendly will soon be an important criteria for guests when booking a hotel. Shape is also a founding member of the Green Building Council and we’ve delivered many Greenstar projects in the commercial sector. When it comes to the build process for hotel projects, all new timber used is FSC certified and local materials are always favoured above overseas alternatives. We also sort and recycle all possible remaining elements of demolished hotel rooms or waste generated during construction. Whenever possible, Shape facilitates the re-use of salvaged furniture to directly benefit charities. Not only does this help charities in need, but it also saves materials and eliminates waste that would otherwise end up in a landfill.

What are some of the most popular design trends your hotel clients are loving at the moment? One trend we’re noticing is clients placing a bigger emphasis on materiality, such as the grain feel of timber, the touch and smell of leather, cold and smooth stonework. Likewise, metalwork is very popular with more clients requesting coloured metals in gold, copper, and brass colours to add a rustic feel. What is also great about metalware is that it’s both durable and green, meaning it’s fully recyclable without losing its quality. We’ve also had more clients become more playful with colours. Pops of big bold colours within design are no longer the exception. It’s great to see our clients embracing bold pieces like a bright orange chair, an emerald couch or a red lamp. n


CONCIERGE CORNER

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New kid in town HM meets EOS by SkyCity Adelaide Chief Concierge, SIDDHARTH KAUL.

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yCity

Opening Adelaide’s newest luxury property late last year must have been quite an experience – and perhaps also a challenging one, given the ongoing impact of the COVID situation on hospitality and tourism?

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es, it was very exciting to be a part of EOS by SkyCity and to open a new luxury hotel in Adelaide. EOS by SkyCity has redefined luxury in the Adelaide market with its great product and Signature offerings to deliver unparalleled guest experience. Indeed, it was challenging with unexpected lockdowns that delayed our opening by a week. And then finding the right talent to join the hotel team was not an easy one.

With the restrictions on international travel, have you found domestic travellers are embracing the concept of a luxury ‘staycation’ in the centre of Adelaide?

We have seen hotel occupancy in the CBD as well as regional areas driven largely by domestic leisure travellers. With international borders closed, it is encouraging to see the local community’s support leading to full occupancy over the weekends. With several food and beverage outlets, a world class spa and our Signature experiences like an on-call mixologist on offer, our guests are embracing staycations in the heart of the city. EOS by SkyCity is a residential sanctuary and guests are enjoying every bit of their time with us.

International visitors have long been drawn to Adelaide’s renowned winery regions, vibrant arts scene, cultural and sporting events. Have domestic travellers been showing similar interests or do they have different interests and itineraries? Locals are now willing to explore their own backyard and they are happy being a tourist in their city. It is heartening to see the whole community come together to support local businesses and contribute towards its growth. Over the last few months, I have met many guests from other states who have never visited Adelaide in their lives. They are utilising concierge services as they want us to create immersive experiences that are unique and differentiated. The great news is that these guests are coming back again and again.

As the hotel and tourism industry navigates the challenges presented by COVID, how are you helping to develop promising Concierge staff in Adelaide’s hotels? As experiential travel is on the rise these days, both local and international guests are looking at experiences that are memorable and authentic. Hence, it is an enormous advantage for luxury hotels to have a dedicated concierge in their team as they bring in local know-how and insider knowledge to the role. With a pipeline of more luxury hotels coming up in Adelaide in the next few years, I will definitely encourage such talents and shall play my role to coach and mentor them where needed.

There’s no doubt it has been a particularly unusual and challenging 12 months for the hotel industry, but even so – is there anything you’d rather be doing right now? I have been privileged to have worked for properties that have supported concierge as part of their brand promise. Every day I look forward to creating enchanting and memorable experiences for my guests. However, like many others, I cannot wait to travel internationally. n

Movement at the station

By Peter McBrearty, Les Clefs d’Or

RECENTLY WE WERE delighted to welcome our two newest members to the ranks of Les Clefs d’Or Australia. The successful application of Ms Wisky Wing Yi Lai – Concierge at The Star Gold Coast – has brought The Star its first Les Clefs d’Or member. Further, the transfer from Les Clefs d’Or Great Britain of Mr Riccardo Oliva Farrarons (previously of the Park Plaza Westminster Bridge in London) to Crown Towers Sydney now sees the ‘Golden Keys’ gleaming behind Sydney’s newest Concierge desk. We feel confident both Wisky and Riccardo will prove to be invaluable assets to their respective properties. Meanwhile over in Perth, our Western Australian members were joined by promising prospective member Mark Nicholas of Crown Towers Perth for a tour of the gardens of Government House, hosted by none other than WA State Governor, Mr Kim Beazley AC. A quick survey of our members in each state has shown a similar pattern around the country, whereby weekend occupancy continues to be generally quite high, while weekday occupancy is lower, but relatively steady. Corporate travel seems to be slowly ramping up, albeit still primarily consisting of more senior business people, perhaps as companies wait until they’re a little more confident that interstate travel won’t result in their staff being quarantined. Our Kiwi friends are showing up as a result of the travel bubble – although some were looking a little nervous in light of the small numbers of positive COVID results on both

sides of the Tasman. Overall, things do seem to be improving, although we’re all still very much looking forward to the eventual return of more of our international visitors, even if only as a result of some form of expanded regional travel bubble.

hotelmanagement.com.au 39


CONFERENCES The Luxury development landscape was moderated by Roy Melick, Baker McKenzie (centre) and debated at AHICE 2021 by, from left, Tushar Raniga, Hilton; Lindsay Leeser, Accor; Abhijay Sandilya, IHG; Richard Crawford, Marriott International and Monika Dubaj, Hyatt.

40 HM The Business of Accommodation


CONFERENCES

INDUSTRY ON THE REBOUND ADELAIDE WAS THE CENTRE OF THE ACCOMMODATION AND HOSPITALITY UNIVERSE LAST MONTH AS THE 2021 EDITIONS OF DESIGN INN AND AHICE TOOK OVER EOS BY SKYCITY ADELAIDE AND THE ADELAIDE OVAL.

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arge scale face-to-face gatherings made a triumphant return last month as the hotel sector’s leaders and decision-makers caught up on significant lost time together at the 2021 Australian Hotel Industry Conference and Exhibition (AHICE), headline sponsored by Principal Partners, Hostplus and Intrust Super. After the pandemic-induced, dialled-down version late last year – itself a record for the time and the global circumstances – AHICE 2021 was emblematic of the recovery trajectory path that domestic tourism was carving out for the wider industry. Over 900 executives and leaders from Australia and, thanks to the recent travel bubble, New Zealand – flocked to South Australia for the three day extravaganza. Coupled with the ‘Taste of Australia’ food festival taking place concurrently, hoteliers across the city dusted off their ‘House Full’ signs as occupancies soared to levels not seen since before the pandemic in late 2019. Together, the congregations at Design Inn and AHICE radiated energy, motivation and positivity. Hundreds of regional CEOs, Managing Directors, Country Managers, General Managers and Heads of Department collectively rallied the sector to shine once again and power on into a new era of prosperity. It was a mood widely shared and endorsed by all in attendance. Since its early days, AHICE has cultivated a reputation for itself as an event ‘where deals get done’ and this delivered again in 2021 as several new hotels were announced for Australia. IHG Hotels and Resorts had hotelmanagement.com.au 41


CONFERENCES

a field day, unveiling the regional arrival of its luxury lifestyle brand, Kimpton Hotels and Restaurants, which will move into Sydney’s former Water Board Building in the CBD. The hotel, operating as Primus Hotel Sydney and recently purchased by Pro-invest Group, will be comprehensively refurbished and will reopen as Kimpton Sydney in the second half of 2021. “We are so proud to have such a great long-term partnership with Pro-invest that already includes 13 open or pipeline hotels across three IHG brands, and we look forward to continuing that growth together,” said IHG MD Australasia and Japan, Leanne Harwood. That wasn’t all for IHG. Its flagship and namesake brand, InterContinental Hotels, joined the line of luxury brands moving into Western Sydney, with Parramatta to become part of the global portfolio from 2025. The label will take up residence within a new mixed-use development currently in progress on the corner of Church and Macquarie Streets, co-located with offices and ground-floor retail options and a stone’s throw away from a smorgasbord of exciting restaurants and cafes. Over at Marriott International, plans were introduced for the colourful Moxy Hotels brand to add Sydney to its rapidly growing global network. Due to open in early 2023, the newbuild property near Sydney Airport

Kimpton Sydney Opening later this year, IHG’s luxury boutique brand will take over the historic Sydney Water Board building in a deal struck with the site’s new owners, Pro-invest Group. The 172-room Kimpton Sydney will follow a refurbishment of the property which will retain the building’s striking red pillars.

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Kimpton Sydney Exterior

42 HM The Business of Accommodation

Kurt Fearnley AO told captivating stories about his never-say-die attitude to life

“The fact is that Australia’s accommodation sector deserves and wants one united voice.” Martin Ferguson, Tourism Accommodation Australia marks the fifth Moxy in the regional pipeline, joining Melbourne, Perth, Queenstown and Auckland. “The scale of this project, and its prominent location at the entrance to Sydney Airport is set to position the hotel as an icon for the Moxy brand in Asia Pacific,” said Marriott International Senior Director, Hotel Development Australia, Richard Crawford. Event Hospitality was next to arrive at the party, introducing three new members of its Independent Collection, all located in Adelaide. Properties currently operating as The Sage, South Terrace Motel and The Chifley will be reintroduced as members of Event’s new brand over the next year, each with new operating brands to be unveiled in the coming months. The properties – the latter two undergoing full renovations and refurbishments – will join a stable that consists of properties including Sydney’s Tank Stream Hotel, Oval Hotel Adelaide, Yarra Valley Lodge and more. Each will come online progressively as upgrades are completed. Next to put their hand up with news was Ovolo Group, which launched its ‘By Ovolo’ sub-brand at properties exuding unique levels of charm and character. The first property to be rebranded under the new label is located in Brisbane, now known as The Inchcolm by Ovolo. The new moniker allows


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InterContinental Parramatta

44 HM The Business of Accommodation

wi t

Food and beverage trends were a hot topic for debate

for individual stories and histories associated with each property to be celebrated. The other major element of AHICE each year is the popular exhibition and show floor, which provides an opportunity for dozens of leading industry suppliers to showcase their developments, products and services directly to delegates. Held in the Ian McLachlan room, the exhibition was abuzz with activity during each morning tea, lunch and afternoon tea break as delegates wandered among the suppliers, discussing the various products and services and setting up meetings for potential future integration. AHICE featured a number of major keynote speakers, headlined by Australian Paralympian, Kurt Fearnley. While he may have been born without the lower portion of his spine, Fearnley is anything but confined to a wheelchair. With the audience firmly hanging on every

Adelaide media personality, Jess Adamson, performed admirably as AHICE emcee

Artists Impression InterContinental Parramatta Skyline

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A new mixed-use tower in the booming Western Sydney metropolis of Parramatta will see InterContinental Hotels and Resorts debut in Sydney’s second CBD. Joining a cavalcade of premium brands setting up shop in Western Sydney, InterContinental Parramatta will feature 200 guest rooms, restaurant, rooftop bar and expansive meeting spaces.

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word, Fearnley shared his story and some of his most notable achievements, including Paralympic gold medal winning performances and his epic 97km journey crawling the Kokoda Track in Papua New Guinea. His story of perseverance, grit and determination earned him a thunderous ovation from the crowd and was widely viewed as the highlight of the event. Fearnley also took time to mingle with delegates in the exhibition zone, happily posing for photos and engaging warmly with attendees. Perhaps the biggest news to come from AHICE came right from the opening bell, with Tourism Accommodation Australia and the Accommodation Association taking the stage together. Building on last year’s news that high-level talks had resumed as to a potential merger, the two associations’ respective chairs declared talks were well advanced and both Boards had committed to work together and unify under one voice over the next


CONFERENCES

12 months. Exactly how the combined entity will look once the dust has settled remains to be seen, however the accommodation and hospitality sector will once again be campaigning at the doors of government decision-makers with one voice instead of two. The move has been long anticipated and after several false starts, the sense of achievement and agreement permeated the room. “The fact is that Australia’s accommodation sector deserves and wants one united voice,” said Tourism Accommodation Australia Chairman, Martin Ferguson. “We have successfully got to this point as a result of both organisations working together constructively and with the intent of doing what’s right and in the best interests for all members of both organisations,” concurred Accommodation Association Chairman, Julian Clark. One key issue not up for debate and unanimously in agreement was the skills and labour shortage across Australia, which the associations upgraded in seriousness from ‘crisis’ to ‘catastrophe’. Some alarming research was revealed by the Accommodation Association. In late 2020, a survey of 6,000 long-term unemployed people aged 25 years and under returned a positive score of 205 – just 3.4% of respondents – who said they would like a job in the hospitality and accommodation sector.

“73% of hotels reported their business is suffering financially because of a shortage of skills.” TAA and AHA nationwide member survey

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Accommodation Association CEO, Dean Long, said the industry as a whole had a brand reputation issue that urgently needed fixing. “If that is not the largest, most significant challenge facing our industry, I don’t know what is,” Long said. Prior to the pandemic, a glut of new rooms was in the pipeline to help major cities deal with a rapidly approaching capacity ceiling. Between 2017 and 2019, the pipeline for major cities was hovering around the 50,000 mark for new rooms coming online over that two year period. TAA said in that time, it predicted that nationwide, there would be a need for nearly 17,000 new chefs alone. At the same time, the number of people starting apprenticeships in the food industry dropped 43.5%. “In a recently-conducted nationwide survey of AHA and TAA members, 73% of hotels reported their business is suffering financially because of a shortage of skills. Across NSW alone, TAA estimates a labour shortage in


CONFERENCES

hotels of 3800 workers right now,” said TAA National CEO, Michael Johnson. Another string in the AHICE bow each year is the event’s appeal to the hotel industry’s global leadership. In 2021, more than a dozen of these overseas-based leaders dialled in for a virtual interview with HM Editor-in-Chief, James Wilkinson. In all, 13 live interviews were conducted with Adelaide crossing to 11 different cities – Chicago, Washington D.C., Honolulu, Dubai, Singapore, Hong Kong, Shanghai, Paris, London, Vancouver and Christchurch. Marriott International President – International, Craig Smith, dialled in from Washington DC. Recently promoted to the role, Smith spoke from the heart on the sombre mood that permeated the organisation in the wake of the recent passing of CEO, Arne Sorenson, while praising the leadership abilities of Tony Capuano, who has now been installed in the role. Other global leaders who dropped in to say hello included BWH Hotel Group President and CEO, David Kong; Pro-invest Group Managing Partner, Dr Sabine Schaffer; Outrigger Hospitality CEO, Jeff Wagoner; Radisson Hotel Group Asia-Pacific President, Katerina Giannouka; Ovolo Group Founder, Girish Jhunjhnuwala; Accor Chairman and CEO, Sebastien Bazin; IHG Hotels EMEAA CEO, Kenneth Macpherson; Hotel Council Aotearoa Director, James Doolan; former Hilton Chief Brand Officer, Martin Rinck; Hilton Asia-Pacific President, Alan Watts; Wyndham Hotels and Resorts President The 'Drinks with the Bosses' panel session, moderated by Robert Williams from Watson Farley and Williams, featured from left, Heidi Kunkel, Hilton; Leanne Harwood, IHG; Simon McGrath, Accor; Marianne Ossovani, Elanor Investors and David Mansfield, The Ascott Limited

46 HM The Business of Accommodation

Robert Williams, Watson Farley and Williams; Sam McVay, McVay Real Estate, South Australian Premier, Steven Marshall and Mark Bullock, Radisson Hotel Group

Asia-Pacific, Joon Aun Ooi; Next Hotels and Resorts CEO, Darren Edmonstone and Hyatt Asia-Pacific President, David Udell. AHICE is known for flipping the script

from time to time and in another segment which debuted last year, the traditional interviewees have an opportunity to take charge of their own interview and shine the spotlight on another member of the industry fraternity. The CEO Sessions for 2021 delivered some fascinating insights in three parts as Accor Pacific CEO, Simon McGrath, put the hard questions on Experience Co CEO, John O’Sullivan. A second session featured The Ascott Limited

Accor Pacific CEO, Simon McGrath


AHICE SPONSOR MESSAGE

mic Director, As so c cade iat dA n eP a n ro ea

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The vision of the Blue Mountains International Hotel Management School (BMIHMS) founders’ was to provide world-class hotel management education here in Australia.

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he unique educational philosophy developed by Max Player, Fritz Gubler and Gavin Faull 30 years ago, known as the Three Pillars Approach, remains at the heart of BMIHMS’ training every day. This strong foundation helps to shape exceptional world leaders who become part of the school's illustrious alumni network that is globally connected and extremely active with over 7000 members. Now in its 30th year, BMIHMS continues to go from strength to strength. BMIHMS Associate Dean and Academic Director, Associate Professor Simon Pawson said: “While we celebrate the successes of the past 30 years, our focus is very much on the next 30 years. We see our continuing mission as preparing the next generation of hotel leaders, equipping them with skills critical for the global hotel sector today and into the future.” BMIHMS’ strong foundations, particularly its focus on applied, immersive and industry training, has influenced the development of a future focused strategy, with significant advancements in online, digital and virtual reality learning. BMIHMS at Torrens University Australia has also launched on‐demand micro modules and short courses. These courses have been specifically designed for industry and offer an

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exceedingly flexible approach to learning; they can be completed within just 45 minutes while travelling to work. Eoghan Hogan, the University’s Director of Product Innovation, commented that: “Over the past 12 months, we have seen 35,000 people complete a micro‐module. That’s the equivalent of 40,000 hours of learning. Digital technologies help us fulfil our mission of graduating highly employable students.” At BMIHMS’s recent industry advisory board meeting, the board highlighted the issue that the Australian hospitality industry has taken a huge hit to its image, particularly given the events of 2020 commenting that our industry is becoming less attractive to young Australians. In response to this, Pawson said: “In partnership with industry and other hotel schools, it’s imperative that we all work together to attract young Australians back into our industry. We need to show them that our industry remains vibrant, dynamic and innovative and that it still provides incredibly rewarding long‐term careers. This must be our primary mission in the weeks, months and perhaps years ahead.” n

“It’s imperative that we all work together to attract young Australians back into our industry.” Associate Professor Simon Pawson, BMIHMS hotelmanagement.com.au 47


FEATURE/NEWS

Virgin Australia CEO, Jayne Hrdlicka, on the couch at AHICE

NSW 24-Hour Economy Commissioner, Michael Rodrigues, hosts a panel on Food and Beverage trends

“Culture eats strategy for breakfast every day of the week, and probably lunch and dinner too.” Jayne Hrdlicka, Virgin Australia

48 HM The Business of Accommodation

focus for the panel was all about securing capital and the tactics employed by smart and well informed investors which help them get ahead of the curve. “In the cities, we’re saying to buyers that it isn’t great right now but it will come back. In regional areas, we’re saying it’s fantastic now,” said Gus Moors from Colliers International, who highlighted the very real crest of the wave that regional Australia was currently riding. A pair of special breakfast panel discussions began each day, with the first hosted by CBRE Hotels, which included a discussion on how the wider investment market

Moxy Sydney Airport Marriott’s colourful and energetic brand, Moxy Hotels, had added a fifth city to its Australasian pipeline in the form of 301-room Moxy Sydney Airport. All of the brand hallmarks will be in play, including customisable guest rooms, a vibrant ground floor bar and lobby, industrial-themed café, fitness centre, self-serve laundry and several coworking and meeting spaces. Moxy Sydney interior - artist impression

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Australia Managing Director, David Mansfield with Voyages CEO, Matt Cameron-Smith. The third CEO Session featured a very special guest as IHG Managing Director Australasia and Japan, Leanne Harwood, welcomed to the stage Virgin Australia CEO, Jayne Hrdlicka. Recently installed as the head of the revamped carrier, Hrdlicka spoke of Virgin’s place in the middle of the market between premium and lowcost and also heaped praise on her cabin crew teams, who suffered untold hardship through no fault of their own while planes were grounded during the pandemic. Despite this, from Day 1 back in the sky, the smiles were back and the entire team was thrilled to be welcoming guests back onboard and playing its part in the recovery of tourism, which for now is limited to domestic but will return to New Zealand from September. Hrdlicka said she was proud to see Virgin Australia steadily climbing back to pre-COVID levels, with new aircraft joining the fray, lounges reopening and passengers eagerly getting back onboard. “Our people are so passionate about what they do every single day and they do everything they can to make sure your journey is a special one. It’s my job to set them up to make sure they’re successful at doing that,” Hrdlicka said. “Culture eats strategy for breakfast every day of the week, and probably lunch and dinner too.” “I can only see positive times ahead,” Hrdlicka added. Since the first AHICE, panel discussions have been a staple in the annual line-up, allowing for a variety of opinions to be debated on stage. Alongside hotel industry issues, real estate and market investment views made for some compelling interactions as the key legalities and forecasts were dissected at length. Executives from CBRE Hotels, JLL, Colliers International, HTL Property and McVay Real Estate shared the stage to discuss the real estate outlook for Australasia with moderator, Dean Dransfield from Dransfield Hotels and Resorts. The key


CONFERENCES

was looking in a post-COVID world. The second day began with a panel on the impact of the pandemic, including reflections and predictions, sponsored and hosted by Baker McKenzie, with morning coffee sponsored by Lavazza. Further panels focusing on hotel technology, sustainability, human resources, interior design, food and beverage and branding were all held over the course of AHICE, alongside two themes returning by hot demand – the popular ‘What Owners Want’ and ‘Drinks with the Bosses’ fireside chats. A keynote presentation from Westpac Chief Economist, Bill Evans, was a particular highlight, as one of the nation’s premier forecasters took delegates through some of the latest market surveys showing where Australians were spending, what they deemed important and how this was expected to evolve before international borders reopen. And with that, another AHICE was in the books, with universal praise conveyed by delegates for the event’s organisers and hosts and anticipation already building for the 2022 event, which will return to Adelaide next year. n

Adelaide’s share in Event Hospitality’s Independent Collection has spiked with three new properties to be added to the portfolio in the coming year. The Sage, South Terrace Motel and The Chifley are all set to be progressively introduced, with the latter two undergoing an extensive AUD$15 million renovation program. New brands will be introduced for all three prior to relaunch and entry into the prized collection. South Terrace Properties – design renders of new motel due to come online following renovations in mid-2021

Quest Apartment Hotels has confirmed opening dates for seven new properties in New Zealand over the next 14 months.

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Five of the seven new properties are situated on the North Island and two in the South Island, with Quest to open the first four before the end of 2021. Openings will take place in Takapuna, Mt Eden, Queenstown, Christchurch, Lambton, Hastings and Mt Maunganui, with the final opening to take place in July 2022.

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Quest commits to NZ

Three new Independent Collection members

The Regional Tourism Spotlight panel, moderated by Rodger Powell from Tourism and Hospitality Services Australasia, featured from left, Andrew Bullock, 1834 Hotels; James Shields, Quest Apartment Hotels; Sean Hunt, Marriott International; Shaizeen Contractor, Hilton and Pat Lonergan, Doma Group

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australia | hong kong | macau


“Katalyst Group is the proud Sponsor of AHICE 2021”


CONFERENCES EOS by SkyCity General Manager, Jodi Brown, hosts a Masterclass at Design Inn 2021 with Mark Berlangieri, Walter Brooke; Scott Brumfield, Hansen Yuncken; Paul Harrison, Buchan and Scott Bell, SkyCity Adelaide

CLEARING COST BARRIERS MAINTAINING A CORE ETHOS FOR SUSTAINABILITY AND INNOVATION, DESPITE THE HIGHER ASSOCIATED COSTS, WAS ONE OF MANY INTERESTING VIEWS TO EMERGE FROM DESIGN INN 2021 AT EOS BY SKYCITY IN ADELAIDE.

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s far as design goes, the setting couldn’t have been better. Overlooking Adelaide’s Torrens River, the crème of the interior design crop from both Australia and New Zealand gathered in the South Australian capital to share ideas and applaud the work of their peers at the 2021 edition of Design Inn. 52 HM The Business of Accommodation

Headline sponsored by Principal Partners, Shape Australia and Hansen Yuncken in the property they built, EOS by SkyCity, the ‘Next Normal’ was the overarching agenda topic, with a series of panel discussions and presentations showcasing the face of hotels in 2021 providing inspiration and engaging talking points. Delegates then ventured out for their afternoons for tours of more of Adelaide’s most exciting new hotels including Crowne Plaza Adelaide and Oval Hotel Adelaide. Before that though, the current economic climate as it relates to interior design was explored in detail, with panel discussions focusing on the role of hotels as placemakers in today’s society. Guest wellbeing was another key topic explored, along with the business of design, refurbishment trends and tactics involved in designing beyond the brief. Panellists raised topics including managing the careful balance between nurturing the relationship with hotel owners, managing brands and how to raise key issues including costs. The day saw three Design Inn Masterclasses conducted, each focusing on the various design principles and challenges associated with a particular hotel. Up first was the host venue, EOS by SkyCity, with General Manager Jodi Brown leading a panel discussion with four key figures in the decade-long transformation of Adelaide’s former casino, with talks on the project dating all the way back to the company’s acquisition of the site in 2000. The second Masterclass, hosted by Chada Director Juliet Ashworth, took delegates deep inside the workings >>


2021

The HM Awards are firmly recognised as the leading 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 19th edition of the HM Awards will once again recognise personal and company excellence across Australia, New Zealand and the Pacific.

Friday 19 November 2021 Sydney Town Hall BOOKING ENQUIRIES HM Awards Bookings

T: 1300 789 739 E: bookings@hmawards.com.au

SPONSORSHIP ENQUIRIES Tara Ducrou

T: +61 (0)2 8586 6285 E: tducrou@intermedia.com.au

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CONFERENCES

behind one of Australia’s most innovative properties – The Wildlife Retreat at Taronga Zoo in Sydney. Backed by enthralling imagery and drawings, Ashworth shared the unique story of being asked to envisage a hotel within an operating zoo and surrounding a range of animal enclosures. “Our client’s brief was an upscale boutique accommodation as an addition to [the existing] ‘Roar and Snore’ – 62 retreat guestrooms and suites to be located within the existing native Australian wildlife sanctuary,” Ashworth said. “Guests were literally in amongst the animals”. Facilities required included “a lobby, a reception and bar and extensions to the existing function centre to incorporate a rooftop bar and meeting and function areas, which will happen at a later stage. “The idea was to offer a unique immersive experience, embracing the zoo’s ethos of celebrating their native fauna, sustainable design to a five star green star rating standard with the Green Building Council of Australia and orientation of the design to maximise views across the harbour.” In a job lasting multiple years, Ashworth showed how the site is elevated and nestled within a native tree canopy. Her presentation also covered two major challenges faced, including how to create a sense of exclusivity for guests paying a premium to be separated from the everyday hustle and bustle of the zoo, along with how to incorporate a working hotel within a defined animal precinct. The consensus in the room was that this must have been no tall order. “The retreat itself actually wraps around the Australian habitat sanctuary, which is home to wallabies, echidnas, bandicoots, platypus, koala and freshwater eels,” Ashworth added.

Recognised for excellence

Design Inn recognised two winners for excellence in the annual Paul Davis Hotel Design Awards for 2021. EXPANDED FOR 2021, the Paul Davis Hotel Design Awards this year recognised excellence in interior design for both a newbuild property and a refurbishment project. Dozens of entries were rigorously assessed by an esteemed panel of judges, who determined the Little National Hotel in Sydney as the best newbuild and QT Auckland as the best refurbishment project. Highly commended runners-up awards were also presented to EOS by SkyCity Adelaide and Crowne Plaza Melbourne in the two respective categories. Congratulations to all winners and runners-up and to their respective design teams for amazing work.

54 HM The Business of Accommodation

Dalman Architects Director, Richard Dalman, hosts a panel on ‘Designing beyond the brief’.

Andrew Pickering from Shape Australia hosts a panel discussion at Design Inn

The brightest minds in interior design packed the EOS by SkyCity ballroom for Design Inn 2021

Little National Hotel Sydney won the Paul Davis Hotel Design Award for Best Newbuild QT Auckland claimed the Best Refurbishment category


CONFERENCES

Finally, guests were introduced to the design inspiration behind Stillwater Seven in Launceston, which has claimed several awards for its innovative use of former grain silos and corrugated iron dating back more than a century. Hosted by Cumulus Studio Director and Architect, Todd Henderson, the story of how an old flour mill was gradually developed following a purchase in the 1990s which saw a café introduced on-site, followed by a hairdresser, restaurant and a variety of other spaces before it was considered as a viable option for residences and short-term boutique accommodation. To close the day, Scott Carver Director, Angela Biddle, took the stage for a special keynote interview with Four Seasons Hotels and Resorts SVP Design and Innovation, Isabel Pintado, who was dialling in from New York City in the middle of the night local time. The glamorous Pintado delved into some of the curious luxury elements that the Four Seasons brand has employed in recent years to really elevate its game ahead of its luxury rivals. “I think innovation comes from, for us, digging in deeper to put together the design briefs, trying to make them even more unique and trying to assist our partners to have that first initial thought,” Pintado said.

“The retreat itself actually wraps around the Australian habitat sanctuary.” Juliet Ashworth, Chada “Sustainability is a massive aspect. We are discussing daily how we bring it to the table and how we’d really make a difference and not just through the products that we use. “We now have a department and we’re all so intertwined to seize our social responsibility. It’s governance, its environment, all of those aspects from water management, resource management, eliminating plastic and the things that sounds very easy to do and they are, but they’re costly. So it’s really putting things in place to make sure that they happen. “As, you know, we operate the properties, but we don’t own them. So many times, we need to create a relationship and convince ownerships that it’s truly an investment that’s worth doing.” With innovation and sustainability at the forefront of the room’s collective minds, the conclusion of Design Inn for 2021 brought about a renewed mindset among designers in attendance to push harder for cleaner and greener outcomes for longer-term benefit despite the cost, and not being swayed because of it. n

FROM VISION TO REALITY Ramler partners with prestigious developers, builders, designers and architects to bring extraordinary projects to life. We pride ourselves on taking our partners’ creative visions and turning them into reality. We’re thrilled to have brought our expertise to the creation of five exceptional luxury Australian hotels in the past 12 months in addition to major projects across the globe. “The final product is exceptional and looks spectacular” - Carmine Iommazzo, GM, Westin Anaheim.

“Working with Ramler’s sales and fulfilment teams has been seamless and the products delivered are of the high standard expected” - Ron McAnaugh, Area GM, JW Marriott, Tampa.

Call us today.

CONTACT: ROBG@RAMLER.COM | TEL: 0439 638 151 CUSTOM CASEGOODS AND JOINERY, HOTEL INDIGO, ADELAIDE MARKET


TECHNOLOGY There are thousands of streaming platforms which can connect to hotel TVs

YOUR WAY FOR HOTELS ASSESSING THE IN-ROOM CASTING AND STREAMING SYSTEM MARKET, THERE ARE SOME COMMON CONCERNS TO ADDRESS BEFORE MAKING YOUR SELECTION.

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erhaps exacerbated by the pandemic, usage of the humble QR code, or ‘Quick Response Code’, has exploded in the past year or so thanks to government contact tracing protocols. QR codes have been in Australia for many years but prior to the pandemic, were largely used as augmented reality came to the fore, with codes appearing on magazines and other visual materials so customers could access more information about what they were viewing. Since the pandemic and contact tracing requirements grew, adoption and use of QR codes is now part of everyday life and as such, the public’s aptitude with them is significantly higher. QR codes are more secure, with around 7,000 contact characters available in each code as opposed to around 20 in a traditional barcode. QR codes use four encoding modes to store data – numeric, alphanumeric, binary and kanji. As well as being able to tell authorities where you’ve been and when you were there, QR codes have also evolved to be able to connect one device to another and it is this use that has facilitated the development of casting technology. Guests have embraced the offering and casting is now must have tech for hotels. Once a guest is connected to a hotel’s WiFi, which is necessary in order to stream their content by being on the same network as the Chromecast device, QR codes can instantly link the guest’s device to that specific television, preventing content from being accidentally 56 HM The Business of Accommodation

or maliciously streamed to a guest in another room. Hotels need to make sure that, beyond scanning the QR code, guests should not be forced to undertake any cumbersome processes in order to connect their devices, such as filling out extra digital forms, taking surveys or signing up to any mailing lists. Liveport Director, Jeff Rhode, said hotels need to make sure the connection process is as easy as possible, or guests will abandon the system and revert to watching their content on their device screen itself. “Whether catering to tech-savvy millennials or an older, less technologically-inclined demographic, hotels need to prevent guests from experiencing a cumbersome device pairing and casting process,” he said. “Otherwise, what was meant to enhance guest satisfaction and experience personalisation will simply become a frequent source of frustration that can affect a hotel’s reputation.” Security of guest data is an important consideration for all casting system vendors, including Exterity and its ArtioGuest in-room system. Utilising its own QR code mechanism, guests can ensure their content only appears on the television in their room and doesn’t interrupt casting that may be happening in an adjacent or nearby room. When guests check out, the QR code changes, unpairing their device in case they didn’t do so manually. Exterity Country Manager ANZ, Miguel Mendoza, said the company has seen a strong uptake of its system

The humble QR code helps devices connect to each other


TECHNOLOGY

across hotels in Australia and New Zealand. “Exterity’s Chromecast solution includes a reporting function which provides the hotel with statistics on guest usage which will remain anonymous,” he said. “The feedback from hotels is that the in-room casting solution has seen very good uptake. In hotels that have both in-room casting and Video on Demand capabilities, the usage for the in-room casting is higher than the Video on Demand usage.” Streamvision says there is a lot of confusion in the market over exactly what streaming is as opposed to screen mirroring. According to CEO Greg Bassine, many TV panels still in use by hotels incorporate a native system known as Miracast, which unlike a casting system, simply relays what is on a guest’s phone screen onto the television. So for example, if a guest is watching a movie and a phone call comes in, the phone call is also relayed onto the television screen. “Casting differs from Miracast in that it actually directs the casted content from the guest’s personal device directly to the TV, leaving the personal device more as a remote than anything else, being able to pause, fast forward and change the content on screen,” he said. “All while still allowing their personal device to receive calls, browse or cast content to another screen.”

Another key issue regarding the adoption of a casting service are the initial and ongoing operational costs, which must be weighed up against the impact on the guest experience and the improvement on the hotel’s Miguel Mendoza, Exterity reputation and marketability. For HoneyBadger technologies, this ROI is boosted by extra services it provides including a 24/7 technical help line for guests to call if they are have problems connecting, which negates the need for on-site staff to double as technical support. “We are able to cut GRE costs by up to 60% in some instances. This not only improves the cashflow of the property, but also ensures that they are not paying for services that guest do not use.” said HoneyBadger Director, Heinrich Saayman. “The upfront and ongoing costs play a significant role, but all vendors are not created equal in this regard. Once the client understands our true value add and our level of personal attention to their needs, we are then able to establish long term relationships built on trust and our high level of service,” he added. n

“The feedback from hotels is that the in-room casting solution has seen very good uptake.”

With over 300,000 installed rooms, we deliver access to 2000+ Apps, touchless integrations, personal support and provide a high ROI on your investment.

Distributed by HoneyBadger Technologies

Your guests can choose what they want to watch, when they want to watch it! With HoneyBadger Technologies they’ll feel right at home. For more information contact us 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 LLC. All other trademarks used are the property of their respective owner.

hotelmanagement.com.au 57


HUMAN RESOURCES Relaxation of temporary visa rules now allow holders to work more than 40 hours per fortnight

PLIGHTS DEMAND FOR WORKERS IS FAR SURPASSING THE SUPPLY LINES AND IT’S A FAMILIAR NARRATIVE WE’VE ALL SEEN BEFORE. BUT HELP COULD BE ON THE HORIZON.

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s more hotel rooms join the pipeline and the operating inventory around Australia, so too will more workers be needed to manage and service them, from the asset managers down to operational roles at the front desk, in the

restaurant and through various departments including housekeeping. The recent AHICE event in Adelaide helped to expose some grim realities facing the sector in terms of its workforce. Accommodation Association CEO, Dean Long, said the industry has a brand and image problem that urgently needs to be addressed before any meaningful action can take place. “For the last 12 months while people were locked down, we were unfortunately letting people go and making hard decisions to ensure our businesses could get through to where they needed to be,” Long said. “However in that time, we have done an immense harm to our industry both in terms of brand and also to 58 HM The Business of Accommodation

our ability of teams being able to flex back up in those moments where we need to.” In terms of improving the brand image of hospitality careers, Long said the Association would soon be kicking off a major campaign on social media “to rebuild our brand and to make sure people are aware of why it’s a good thing to work in our industry”. For Australia’s leading workforce outsourcing companies, the pandemic threw up a number of instant challenges which led to something of a mass departure of labour from the industry. These included the ineligibility of JobKeeper for many casuals and visa holders who had not been employed for 12 months – leading to as much as 50% of the workforce fleeing to seek more reliable work. For the latter, many of these people returned to their home countries or instead sought work in sectors with more immediately reliable hours including agriculture, aged care and health care, in roles such as cleaning nursing homes and hospitals. “Local governments are paying higher wages than the Federal Hospitality Industry General Award (2020) and hence these staff are now unwilling to return for similar work on less pay,” said Luxxe Outsourced Hotel Services CEO, Craig Coughlin. The absence of international student visa holders also did untold damage, with many returning to their home countries to continue their study remotely and abandoning their part-time and casual hospitality jobs. After significant lobbying from industry associations, the Federal Government recently relaxed restrictions for temporary visa holders, allowing them to work more than the previous limit of 40 hours per fortnight. For many, this resulted in several extra shifts per week.


Housekeeping roles are the hardest to fill due to irregular hours and inconsistent wages

HUMAN RESOURCES

“With a good part of our workforce based on students, the federal government needs to work on a safe plan to allow students back into the country to assist with increasing the talent pool across the country,” said ahs Hospitality General Manager, Business Development, Justin Jones. Perhaps unsurprisingly, the hardest positions for ahs Hospitality, Luxxe and Silk Hospitality to fill have been entry-level roles including room attendants, linen runners, public area attendants and general housekeeping duties. “Our two core challenges are: the volume of candidates in the market and the quality of those candidates in our industry, specifically referring to experience,” said Lauren Anderson, CEO of Silk Hospitality. Anderson touches on two other problems facing not just outsourcing and recruitment firms but the wider industry. The virtual smokebombing of corporate travel during the pandemic and drip-speed return, coupled with the explosive boom in weekend leisure travel, has left hotels with vastly different occupancy levels over the course of a seven-day week. For recruiters, this meant their clients required starkly different workforces day to day, with

www.ahshospitality.com.au


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skeleton crews during the week and all-hands-on-deck from Friday to Sunday. “This places hotels into positions where they need volumes of staff inconsistently, which effectively leads to a drop in loyalty and trust as staff members no longer receive a consistent pay cheque,” said Jones. “The solution ahs hospitality provides is the use of technology to maximise team member utilisation, provide consistency of shifts, and flexibility to work hours that suit their schedule. “We’re navigating the challenges that come with large last-minute changes in occupancy to try and create stability for our workforce in an everchanging environment,” Anderson added. “We’ve made significant improvements and adjustments and introduced a wide range of processes and systems to ensure we’re able to attract and more importantly retain quality candidates.” The second and far more surprising of the two issues in play for outsourcing companies remains the steady

“We believe there needs to be a review by the Federal Government into policy and processes for welfare payments.” Justin Jones, ahs Hospitality 60 HM The Business of Accommodation

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Efforts to get more Aussies into hospitality roles while borders are closed are progressing

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stream of non-genuine job applications being submitted either from people based overseas physically unable to commit to the roles or from foreign actors posting bogus or automatic applications. Further, some applicants are progressing through recruitment applications and accepting positions, only to not turn up on orientation day – a source of high frustration for ahs Hospitality. “We continue to face challenges whereby applicants are successful on application for a position, however on the day of orientation the majority do not attend,” Jones said. “We believe there needs to be a review by the Federal Government into policy and processes for welfare payments. Like many, we want to see Australians who are able to get back to work, start getting back to work.” Dean Long from the Accommodation Association added that if the hospitality industry didn’t have a readymade Australian workforce that’s trained and enjoys working in the industry, recovery and growth will be significantly stunted for the next 3-5 years. “We have to be sure we get a balance right though, because we can’t go back to an era where we have a total reliance on international workforces,” Long said at AHICE. “If you can’t get skilled people into our industry, you can’t run your hotels and your businesses as well as

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Skilled chefs and cooks are in particularly hot demand


HUMAN RESOURCES

you need to. We need to rebalance that and make sure we have Australians doing these jobs that will also help us absolutely in having discussions with both sides of politics about how we’re supporting Australians into the workforce while giving them the political cover to move on visa restrictions.” For now though, the mood remains optimistic and the outlook bright. “As a business, Silk is committed to industry best practice, innovation and continuous improvement to ensure we’re consistently reviewing and enhancing the ways that we work, even within a nation-wide labour crisis,” Lauren Anderson said. “Our team members are working hard, reassuring and inspiring those entering into hospitality that we are on the path to rebuilding our thriving industry,” Jones added. Continued efforts by Tourism Accommodation Australia to push for the Federal Government’s JobTrainer and JobMaker programs also paid dividends in the recent 2021 Federal Budget, with the program extended along with associated wage subsidies. Further advocacy will continue as industry associations continue to highlight ongoing issues of hotels and hospitality businesses and push for further reforms prior to the reopening of international borders. n


INTERIOR DESIGN The Wildlife Retreat at Taronga was designed by Chada

TEAMWORK MAKES DESPITE THE COST INCREASES ASSOCIATED WITH SUSTAINABILITY, THE MAJORITY OF HOTEL OWNERS SEE THE BENEFIT IN THE LONGER-TERM RETURNS BY BEING GREEN. IT’S THIS TEAMWORK THAT INTERIOR DESIGNERS ARE CRAVING TO MAKE THEIR JOBS EASIER.

CHADA

Juliet Ashworth – Creative Director / Owner

Sustainability in hotel design is an important and relevant topic of our times but how it can be achieved is still a little opaque. We recently received a brief from a new player in the boutique hotel market in this region to develop a brand which has at its core, sustainability, inclusivity and community building. It’s exciting to be at the conception of a hotel brand which is so people and planet centric. The tricky part is that the owners want to convert existing buildings with interesting heritage. So how do you plan a hotel to be energy efficient, incorporate eco base materials and use recycled water in a built-up urban setting? The reality is that the refurbishment budget is going to be even steeper than usual and most overseas investors grossly underestimate the cost 62 HM The Business of Accommodation

of development in Australia to begin with. We know that savings come later with energy efficiency (not to mention investment in the future of the planet) but the return on expenditure can become too unachievable. Our high build costs present a big eco-challenge. A good example of a way forward is our recent project, The Wildlife Retreat at Taronga, which is well on the way to its five Green Star rating. This was a new build though, so a different proposition. From the outset, all stakeholders were committed to a sustainable outcome and the wish list was long and costly. Not every green initiative could be implemented, some compromises had to be made. From an interiors point of view, we used many green rated products but also learned how to source others. It isn’t just a question of checking a swing tag! We went to suppliers and beyond to factories to understand how products were produced in terms of energy efficiency, clean manufacturing practices and human rights. Green comes in many shades if you look closely enough.

DALMAN ARCHITECTS

Richard Dalman – Managing Director

The refurbishment design and delivery process is a great opportunity to improve the environmental sustainability of your hotel and enhance the experience for your guests. The specification of materials and products by the architect and interior designer is a critical aspect of refurbishing in a sustainable manner. Working alongside hotel owners and operators who are focused on achieving positive environmental outcomes, we often make suggestions including to recycle materials. What can you give a second


INTERIOR DESIGN

life to and incorporate into your refurbishment? Many products these days can be recycled after their first economic life is complete. What can you keep and what can you re-use or re-imagine rather than sending to the landfill? The longer a product lasts, the less you need to refurbish. Specify high quality and durable products that will not only last the distance but be timeless and look fabulous. Check where your products and materials are made and that they are from renewable and sustainable resources. It’s also prudent to use low or no VOC (Volatile Organic Compound) materials to enhance the health of your guests. Also, we advise to buy locally made where possible. Look at what is made well in your local area and use it to reduce transport costs and carbon emissions and to support your local community.

SCOTT CARVER

“Repurposing a building is a healthier way to create a new space.” Clifford Rip, Suede Interior Design that investment, design elements exist as ‘features’ that can easily be refreshed with minimal cost or physical impact to the hotel. This strategy allows us as designers to provide ‘good bones’ for a hotel, assisting the owners and operators we work with in extending their refurbishment cycle and reducing their future investment requirements.

SUEDE INTERIOR DESIGN Clifford Rip – Principal

Angela Biddle – Director

Imagine designing a sustainable space and being constrained only by the limits of the materials and products? This would only make sense however if the operation of that property was also run sustainably. It wouldn’t then just be marketing. Repurposing a building is a healthier way to create a new space, however we are not seeing all our refurbishment projects seeking the same sustainable outcome. This is not our clients’ fault though. Sustainability comes at a cost and the return on investment by going that route can often just be a romantic idea. Our aim as designers is to be sustainably responsible wherever we can, to be clean as we can and push our clients as much as we can to be too, but there is only so much we can do without our clients being on board. However those that are, are doing it properly. Ideas of eliminating plastics, i.e. no plastic bottles or wrappers within wrappers, eliminating myriad of mini toiletries and going with one large refillable bottle, recycling aluminium, recycling water usage, growing their own produce, doing onsite laundry etc are all being practiced. We on the design side of things are trying to use as much undyed fabrics and wool carpets as we can, using locally manufactured earth-ware products such as tiles and accessories, and reclaiming timbers which are being stained and sealing using vinegars, minerals, vegetable oils and beeswax. I don’t see why these are trends though. Surely we should all be considering these by now and aiming to leave as little unturned as possible along the way, right? n Dalman Architecture recently refurbished the Ramada Hamilton

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One would imagine incorporating sustainability into a hotel design to be a simple task, as one would be hard-pressed to find a hotel brand without a sustainability programme. However, as hotels rarely own their assets, sustainability programmes within a brand are often limited to operational considerations, such as reducing single use plastics or encouraging guests to reduce their housekeeping needs. Favouring a more integrated approach, however, involves upfront investment in sustainable architectural and interior design solutions, and as such they as hotel operators and we as designers must illustrate the benefit to the owner to invest in such initiatives. At Scott Carver, we are committed to effecting positive change through the integration of sustainable design choices throughout the projects we are involved with. In the case of our hotel clients in particular, this might include material selection, energy and resource conservation, sourcing locally, wellbeing and social enterprise. What we know from our position is this – we make some of the greatest sustainability impacts to a refurbishment by limiting the scope of what needs refurbishing. When we embark on a new hotel design, we are already putting a strategy in place for its future refurbishment. As we develop the design, we identify which elements will have permanence and design these with timelessness and longevity in mind, prioritising our budget here to ensure quality materials are used. To offset As a brand, IHG’s v oc o l ab el h as su st a in a l it

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ROOMS DIVISION

TO INSPIRE LIKE ITS INTERIOR DESIGN COUSIN, FURNITURE CAN GIVE A HOTEL THE ABILITY TO SPEAK TO ITS GUESTS WITHOUT USING WORDS. WHAT IT SAYS IS REALLY UP TO THE OWNER OR MANAGER.

Raffles Singapore has opted for plush coverings on cast iron for its outdoor bar area

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or decades, a stay at a hotel – particularly a luxury hotel – has been all about enjoying creature comforts outside your regular purview. Sinking into that luxurious armchair or recliner, settling in to an ergonomic seat to work or setting yourself up at an indoor or outdoor dining table can send so many different messages to guests, depending on the specific selection of the chair that will be positioned in that space. Does plush cushioning indicate a desire to make you relax or even fall asleep? Does firm make you want to sit up and make use of your time, or could it be anything in between? There are many different elements to making furniture really ‘work’ within a room and in most cases, it is based on the built environment and the overall décor of the room which in turn links to the standards as set by the managing brand. Is it luxury, boutique, industrial chic, contemporary, ultra-modern, economical or something else entirely? Speak to Ramler International Sales Director Oceania, Rob Gilshenan, and he’ll tell you hotels are really trying to make their mark, showcase their personality and attitude and use furniture as the key touch points that will shape their guest experience. “Furniture and bedding are where humans physically connect to the built environment, design, comfort and mood play a central role in developing then executing the 64 HM The Business of Accommodation

LIKE ITS INTERIOR DESIGN COUSIN, FURNITURE CAN GIVE A HOTEL THE ABILITY TO SPEAK TO ITS GUESTS WITHOUT USING WORDS. WHAT IT SAYS IS REALLY UP TO THE OWNER OR MANAGER.

customers experience and enjoyment during their stay,” Gilshenan said. “Ramler recently worked closely with both the design team and operators of the new Ovolo South Yarra to produce highly detailed custom furniture and joinery pieces across three different design colour palettes and numerous guest room types and sizes. The result is an eclectic and dynamic property where no two rooms are the same. For some hotels, furniture acts as a visual cue point that serves both a functional purpose and gives that ‘wow’ factor. “Today, we’re seeing more hotels take on a bespoke approach when it comes to furniture,” said Shape Australia Commercial Manager NSW, Andrew Pickering. “It’s increasingly the expectation of upscale and luxury hotels to have custom designed furniture. High quality hotels want to offer their guests a unique experience in


ROOMS DIVISION

every way and that includes having furniture that is bespoke to that brand or individual property.” As any interior designer will tell you, each project – whether newbuild or interior design – requires some delicate tightropewalking between design Andrew Pickering, Shape Australia briefs provided by an owner or managing brand and the limitations imposed by cost or practicality. The expertise provided by a furniture specialist and a designer’s vision brings to the forefront the actual limitations of any single item, particularly when a brief is highly specific. “Any catalogue item has its limitations, especially when dealing with highly specific design briefs which means clients often must compromise their project vision,” says Katalyst Group Director, Grant Jarvie. “Bespoke design has an infinite number of variables and guarantees that whatever the concept is, the brief can be met. A guest wants to feel like their entire experience is tailored and is specifically curated. When you’re not looking for the specific details, It’s not always noticeable but when finishes are consistent amongst joinery, FF&E and lighting, the space feels infinitely more refined.” On the matter of bespoke furniture, there are a few misconceptions that are often overlooked, headlined by the all-too-sobering fact that custom furnishings are more expensive than the off-the-shelf counterparts, with longer manufacturing times as tooling creates the individual pieces needed to put each piece together. “Hotel operators have design standards that must be met, and hotel owners generally have their own interpretation of design intent,” Jarvie commented. “Katalyst has refined and streamlined the design process through 3D modelling technology and extensive collaboration via face to face workshops with all

“It’s increasingly the expectation of upscale and luxury hotels to have custom designed furniture.”

stakeholders in order to comprehensively understand the project requirements.” That said, there are many significant benefits and upsides to taking the gamble on a customised item, where an owner or operator may have intentions to fit a piece that suits a space against a variety of factors including dimensionally, mobility, hard-wearing or fit-for-purpose. “One of the primary benefits for hotels purchasing custom-made furniture is the opportunity to create tailored pieces that are truly distinctive to the space that their customers experience. As a point of difference, tailor-made furniture allows hotels to stand out amongst competing hotel chains that may otherwise have basic or unimagined pieces,” Jarvie says. “Custom furniture also provides hotel designers the opportunity to blend cohesive finishes and detailing throughout all elements of a room or hotel. An advantage of this is the ability to match the furniture setting to the room’s functionality or purpose and to create an atmosphere that’s warm and inviting for guests to enjoy.” According to Rob Gilshenan however, the appeal of custom-designed furnishings, which may be more in-line with the residential or homely feel that a hotel may be looking to achieve, may provide the look but aren’t up the task of handling prolonged, high-traffic use. “Hotel and resort properties often have busy food and beverage areas, conferencing and meeting spaces and obviously are looking to have guests stay 365 nights per year. Furniture and the finishes applied to furniture, such as fabrics, metal surfaces, timber stains and polishes, must be able to achieve the 5-10 year-plus lifecycle that developers and operators require.” As hotel operators and investors continue to put money into lifestyle and boutique properties, it will be interesting to see which direction trends go as modern hotel designs continue to evolve. Will guests revert back to the more traditional and familiar or continue to embrace the eccentric? n

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Shape Australia coordinated the furniture selection at JW Marriott Gold Coast

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FOOD AND BEVERAGE Experimentation is the mother of innovation, with great beverages always the outcome

FLAVOUR IN FAVOUR VERSATILITY IS AN OBVIOUS QUALITY IN A SPARKLING OR MINERAL WATER AS A TONIC WHICH, WHEN COMBINED WITH A FLAVOUR OF CHOICE, CAN BE CRAFTED INTO AN EXOTIC BLEND PERFECT FOR A REFRESHING BEVERAGE AT ANY TIME OF THE DAY.

Aranciata by S.Pellegrino

66 HM The Business of Accommodation

S

ummer may be gone for another year but for hotels and restaurants, now is the time for an evaluation and refresh of your range of flavoured sparkling waters before the warmer months return. The annual mid-year move towards comfort drinks also makes for the perfect opportunity for your bartenders and mixologists to experiment and discover the variety and universal application sparkling water can have in some highly energetic and colourful beverages to liven up your drinks menus. The applicability of both traditional, sparkling and flavoured waters opens a world of experimentation that bartenders and drink designers love. Like a carefully concocted potion, the opportunity to mix and test various flavours can lead to all kinds of new tastes that then only need a name. The trial and error can be arduous but when that perfect mix is found, it is highly exciting. It’s this level of experimentation that is relished by leading mineral water brands, Santa Vittoria and S.Pellegrino. Already carefully refined and loved for generations, that familiar Santa Vittoria taste blended with a variety of natural fruit essences, coupled with no sugar, preservatives or artificial flavours can add a spark to both alcoholic and non-alcoholic creations. Santa Vittoria National Channel Manager, Mark Haj, said its new range of flavoured sparkling water, which went to market only in the past few weeks, has been well received and is seeing hotels revamp their mini-bar and events ranges to incorporate the beverage, which is available in Orange & Mango, Grapefruit, Pomegranate and Lemon flavours. “Feedback so far is positive in that it is a good locally sourced product and because they’re sugar free, they hit a certain spot in the market where people are looking for a good alternative to your regular soft drinks,” Haj said.


o Lim

n at a

by S.Pellegrin o

Aranciata Rossa by S.Pellegrino

“Hotels have been seeking out the S.Pellegrino mix-art as inspiration to make their guests′ time extra special.” Damian Georgini, S.Pellegrino

“I see them as a regular feature in mini bars. We have already had some good uptake through hotels from that standpoint. “It’s very important that we support the market with what it is demanding at the moment and they’re looking to move away from the typical soft drinks that are high in calories or sugar for something quite natural. The flavours that we infuse are all natural, with no sugar and I believe they’re really going to hit a mark in hospitality. Haj added that another important element for the company was its shift away from Polyethylene Terephthalate (PET) or plastic distribution vessels in favour of the more recyclable alternatives of aluminium cans and glass bottles. “Our Santa Vittoria range are all carbon neutral which is a big plus for us,” Haj said. “Not only are we launching with the flavoured drinks, we also have our sparkling in a can as well. We have already started to see a shift away from our PET range to glass and I think the fact we’ve got our regular sparkling in a can; it helps to support that move away from PET.” Over at S.Pellegrino, another of Italy’s most famous exports, they have done the experimentation for you, with more than a dozen delectable and citrusy beverages – some with alcohol, some without – well worth

FOOD AND BEVERAGE

trying and each incorporating its range of flavoured sparkling waters. S.Pellegrino Brand Manager, Damian Georgini, said the company has seen hotels using its flavoured waters to create beverages suited to different times of the day. “For example, from 10am – 6pm, hotels have identified the ‘Refreshing Break’ period. During this time, they’re mainly serving out drinks naked or unmixed, eventually mixing drinks with low alcohol for mid-day aperitifs, mainly combined with brunch and snacking,” he said. “From 6pm-8pm is the ‘Aperitif’ period - mixed drinks mainly combined with small snacks and small dishes. Chinotto, Limonata and Pompelmo are the perfect coadjutant to propose innovative and creative cocktails. “From 8pm to late, we enter the ‘After Dinner Reward’ period. Strong, mixed drinks are offered here, usually not paired with any food. Tonic waters and ginger beer are the best propositions to add a twist to the mixed drinks proportion. Limonata, Pompelmo and Chinotto are also used here to create crafted and unusual cocktails with the addition of a refined taste.” In turn, Georgini said hotels have noticed the suggested drinks and recommended combinations on its website and incorporated these suggestions into other menu items. “Hotels have been seeking out the S.Pellegrino mix-art as inspiration to make their guests′ time extra special during their stay. “They’re using our selection of both cocktails and mocktails, made with San Pellegrino quality sparkling drinks which can be perfectly mixed for any occasion. The recipes have been created by expert mixologists from around the world.” Those warm summer days and endless summer nights can’t come soon enough. n

The new range of Santa Vittoria flavoured sparkling water, with its original blend in a can

hotelmanagement.com.au 67


HEALTH AND HYGIENE

Even before COVID, Australia’s hand sanitiser demand exceeded supply

T

hroughout the pandemic, hand hygiene through regular washing and sanitising has been front and centre as an easy. everyday weapon against contamination and ‘stopping the spread’. Prior to the pandemic, Australians used around 20 million litres of hand sanitiser each year, according to the Australian Government’s Department of Industry, Science, Energy and Resources. This data shows that even then, estimated demand was already dwarfing supply, with records showing 70 million litres were needed each year to satisfy market needs. Enter the pandemic. Almost overnight, hand sanitisers went from something you might have had to look hard for or ask for to being everywhere and boosted by highly visible signage encouraging its use. This skyrocketing demand, coupled with international supply chain disruptions, was more than current supply could handle. This resulted 68 HM The Business of Accommodation

TO SCALE THE ONSET OF COVID-19 RAPIDLY AND UNEXPECTEDLY SENT DEMAND FOR HAND SANITISERS THROUGH THE ROOF, NOT HELPED BY DISRUPTED INTERNATIONAL SUPPLY CHAINS.

in many businesses in distant-cousin fields – such as cosmetics, distillers, paint manufacturers and packaging companies – retool their supply lines and machinery to make sanitising gels, face masks, sprays and various other forms of PPE in a collective effort to protect the population. Estimated production in April 2020, right in the thick of the pandemic albeit during national lockdown, was at 54 million litres annually – still well below the pre-COVID demand.


HEALTH AND HYGIENE

Assisted somewhat by flexibility from the Therapeutic Goods Administration (TGA) in streamlining its approvals process, many new brands of sanitiser appeared in market very quickly. Every customerVal Houston, International Interior Images facing business in the country was also required to carry significant quantities to ensure they were never without. This put enormous pressure on the supply chains, transport and freight companies to keep up. Now, as the pandemic has largely played out in Australia – albeit with minor spot fires popping up from time to time – temporary manufacturers have largely returned to their former activities, supply lines have steadied and delivery times returning to normal. Demand is expected to remain high for the foreseeable future and for several of Australia’s leading sanitiser suppliers, describing the last 12 months as a rollercoaster would be an understatement. “The uncertainty caused by travel restrictions and Antibacterial the breakdown of supply chains presented the biggest Hand Sanitiser challenges we’ve faced in our 23 years, but we also Spray from Sukin experienced incredible highs,” said International Interior Images Founder, Val Houston. “Whilst our regular hotel partners were closed, we worked non-stop through lockdown on some spectacular new openings, like Crown Sydney and EOS by SkyCity Adelaide. We also completely reimagined our product portfolio to focus on locallymade brands and products, leaving us perfectly positioned once the rebound hit.” Vanity Group Founder and CEO, Paul Tsalikis, said the company had

“Even before COVID and

the sanitiser rush hit, we

were already boosting our

network of local suppliers.”

plans to develop its own luxury hand sanitiser and the onset of the pandemic expedited this charge. “We identified a gap in the market for a high-end sanitisation solution and created the Appelles Lemon Verbena Hand Sanitiser,” he said. “It was one of the first brands to market, and quickly met the needs of our partners.” Elsewhere, many Australian brands had plentiful stock of trusted and locally-made sanitisers ready to go, which saved Interior Images from needing to place potentially heavily delayed orders from overseas suppliers. “Another initiative that has been very successful for us is providing custom-branded, locally-produced hand sanitisers to our larger clients,” said Houston. “Even before COVID and the sanitiser rush hit, we were already boosting our network of local suppliers and investing in a new warehousing system. “We knew that relying less on foreign imports and championing local business was the right way forward economically, environmentally and ethically. The pandemic has only reinforced that we’re on the right track.” Domestic producers of hand sanitiser have reported that they are capable of scaling up production to 200 million litres per year, however this is currently hampered by poor availability of some imported products such as thickeners, bottles and pump closures. The mix between domestic production and imports is expected to sit at around 70/30 respectively for the medium term, however as overseas stock returns in larger volumes, matters such as cost competitiveness will creep back into play and dictate market demands. n

The Lemon Verbena Hand Sanitiser from Appelles

hotelmanagement.com.au 69


LEGAL MATTERS

ART OF THE

A WELL-CONSTRUCTED HOTEL MANAGEMENT AGREEMENT IS, TO SOME, A WORK OF ART. HIGHLY COMPLEX TO SOME AND PERFECT SENSE TO OTHERS, HAVING THE RIGHT LEGAL CONSIDERATIONS AND EXPERTISE BEHIND YOU IS AS CRITICAL AS THE FINISHED PRODUCT. 70 HM The Business of Accommodation

BAKER MCKENZIE

Graeme Dickson - Partner

Hotel management agreements (‘HMAs’) have been evolving with the changing times ever since professional hotel operating companies arrived on the scene many decades ago. That said, the nature and extent of such evolution since the onset of the pandemic especially in relation to newbuild hotels has been profound. HMAs typically last for at least 10 years and in some instances much longer. This means that deep thought needs to be given to how the uncertainties associated with unforeseen circumstances are to be properly addressed and the associated risk appropriately apportioned between each contracting party. The pandemic is a stark reminder that the impact of unforeseen circumstances can be severe. Owners and operators are increasingly spending extended periods seeking to come to terms with the impact of uncertainty on fundamental issues.

These include construction obligations. How strict should an owner’s construction obligations be? To what extent should factors beyond the owner’s control impact


LEGAL MATTERS Robust legal expertise is an essential part of every hotel deal

“HMAs typically last for at least 10 years and in some instances much longer.” Graeme Dixon, Baker McKenzie

otherwise stringent obligations? And, how should any compensation payable to an operator be calculated if the owner is unable or unwilling to construct the hotel as originally promised? Debt is another key factor. What controls, if any, should an operator have in relation to the debt an owner needs to construct and operate a hotel? Furthermore, as it relates to assignment and sale of a hotel, should the traditional controls which an operator has over an owner’s unfettered ability to sell continue to apply, and how should any compensation be calculated if these controls are relaxed and a hotel is sold to a party that the operator is not prepared to work with? All of these factors carry significant operational risk. Should this be reassessed to take into account the heightened uncertainty impacting hotel operations? These are some of the many issues that owners, operators and their advisers are seeking to grapple with every day in an ever changing and fast moving post pandemic world.

WATSON FARLEY AND WILLIAMS

Robert Williams – Head of Hotels and Hospitality Asia-Pacific

The hotel supply chain has continued through the pandemic, with thousands of new rooms coming online

Hotel development is continuing at pace, even in these most challenging times. CBD and regional are seeing plenty of new-build activity, with developers looking to exploit gaps in the market, and operators filling out their networks. Across the board, the global operators are less inclined to bend on a range of core issues. The all-important Y1-Y3 underwrites of any substance are reserved only for the most attractive deals. Owners who do not access market intelligence through the right expert support are finding negotiations tough going. That said, the volume of transactions that groups like Marriott are announcing demonstrates investors are nonetheless betting on big brands and their distribution. Of course, this presents an opportunity for those who can offer more flexibility. Expect to see more from smaller groups like Langham, Swire, Ovolo and Ace, as well as domestic white-label operators. An exciting shift we are seeing locally is increased interest in branded residential, as the luxury and lifestyle and city-resort trends converge. Well established in North America, the Middle East and elsewhere in Asia, there is only one hotel-branded project currently in Australia – the Mondrian Gold Coast, currently under development at Burleigh. Our team advised the owner. The structuring required presents a hurdle for developers and operators, but this model is compelling for both parties. It brings scale with diversity, a premium on residential sales and enhanced sales velocity. For the operators, the sales royalties deliver upfront revenue, and an enhanced and usually premium product to manage in an environment where standalone luxury hotels are hard to get up. Watch out for more. n hotelmanagement.com.au 71


FINANCE Super funds paid out billions in 2020 to members severely impacted by the pandemic

FOR CHANGE INTRUST SUPER

Brendan O’Farrell – Chief Executive Officer

This year has already been an incredible year for innovation in the accommodation industry. Hotels across the country (and the globe) are introducing contactless solutions, providing customisable experiences and rooms and pivoting marketing strategies toward domestic audiences. Right now, the last thing the industry wants to focus on is additional super administration. But come the new financial year, new super legislation is taking effect. These changes could end up occupying much more of your time than you’d like. To avoid this, read on! From 1 July 2021, super obligations may be changing significantly. For every new staff member you hire after this date, you’ll need to find the details of their current super fund through an ATO portal and pay their contributions into their existing fund. A new account can only be set up with a business’ default fund if an 72 HM The Business of Accommodation

WITH EVERY NEW FINANCIAL YEAR COMES CHANGE, SOME MORE COMPLICATED THAN OTHERS. AUSTRALIA’S TWO LEADING HOSPITALITY SUPERANNUATION FUNDS DISCUSS THESE CHANGES AS THE CALENDAR TICKS OVER TO 1 JULY.

employee doesn’t already have a super account (for example, if they are new to the workforce). This default fund could end up being the Fund they use for the rest of their life. The ATO is going to help you and your staff choose an appropriate super fund with an interactive comparison tool called ‘YourSuper’. This will rank MySuper products by fees and investment returns, and determine which super funds are underperforming. These underperforming funds – that is, those funds that have


FINANCE

received two consecutive underperformance results – won’t be able to accept new members. This makes the decision of an appropriate default fund even David Elia, Hostplus more important. The Super Guarantee (SG) rate, currently 9.5 per cent, is scheduled to increase by 0.5 per cent to 10 per cent on 1 July 2021. The rate is then due to increase by 0.5 per cent each financial year thereafter until it reaches 12 per cent in July 2025. The good news is that Intrust Super can help. We can smooth your onboarding processes in light of your new super obligations and prepare your payroll systems for changes to the SG rate. We understand that you need to focus on your business recovery in 2021, so let us help you with your super admin. Our Relationship Managers can discuss stapling and everything else super, to help ensure the least possible impact on your business. Contact us to book in a free Business Super Health Check. With a quick 15-minute discussion, we can help you prepare for new super obligations, streamline your administration, identify your super pain points and assess your super clearing house. Email service@intrust. com.au to book in your health check today!

“Superannuation is by design a long-term investment.”

HOSTPLUS

David Elia – Chief Executive Officer

In 2020, more than 300,000 Hostplus members made the difficult decision to access their super through the Federal Government’s Superannuation Early Release Scheme. We’re glad to have been able to support them, collectively paying over AUD$3.1 billion to assist them during a time of particular difficulty, and I’m proud to say our help didn’t stop there. While super funds like Hostplus helped their members in their time of need, especially in the hospitality, tourism and accommodation sectors, this assistance would not have been possible without our world-class superannuation system. The mutual efforts of employers and employees meant that these savings were available as an emergency source of funds to help people in a period of unprecedented crisis. With the early release scheme and JobKeeper now ended, and businesses hopefully on the road to recovery, Hostplus looks forward to playing another important role - helping our members to rebuild their super so they can look forward to a dignified retirement. Our short and long-term investment returns are strong. Over the past year, our MySuper Balanced option (our default option in which most of our 1.25 million members are invested) has rebounded strongly, delivering a return of 23.33%. I’m also pleased to report that over rolling 10 and 20 year periods, our MySuper Balanced option has outperformed its investment objective and peer funds and is ranked second over 10

years and the market leader over 20 years, according to leading independent superannuation researcher, SuperRatings. Superannuation is by design a long-term investment, as is our investment strategy. While our recent performance has been particularly pleasing, the longer-term resilience and diversification of our investment portfolio has allowed Hostplus to ride out much of the recent market volatility and other economic challenges to deliver market-leading, long-term, results for our members. Support for members goes beyond delivering good returns. Over the last year, we’ve extended our superannuation, retirement and financial wellbeing education and support services to give timely guidance and information. Thousands of members attended our webinars throughout 2020. Topics focused on JobKeeper, redundancies, insurance, women and super, and how to maximise your super post-COVID. Throughout 2020, we also continued our longstanding support for our vital accommodation and allied tourism and hospitality sectors through our partnerships with the industry’s key peak bodies and associations, and we look forward to continuing to do so in 2021 and beyond. As we collectively work towards a post-COVID recovery, we at Hostplus are committed to helping grow our members’ retirement savings through maintaining low administration fees, delivering consistently good investment returns, and providing valued services, guidance, and advice. n

New rules come into force for new employees hired after 1 July

hotelmanagement.com.au 73


Crys talb roo k

PEOPLE

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Co lle

,G EO York eoff

People on the Move The latest key HR movements across the hotel industry

Ahead of its opening, The Langham Gold Coast and The Jewel Residences Gold Coast will build its workforce with Briony Low at the helm as Human Resources Director. Low brings more than a decade in the industry to her new role, moving from a leading HR role at Hilton Surfers Paradise.

Getting To Know....

Geoff York

HM RECENTLY MET UP with Crystalbrook Collection CEO, Geoff York, where he recounted a great tale in customer recovery.

What was your first job in the accommodation industry?

Shortly after graduating hotel school, l landed my first full time role as a Duty Manager in a 180-room hotel in Melbourne. Prior to that, l had the usual casual jobs in hospitality learning how to pull beers, wait tables, cashiering, basic finance, customer service and wash dishes. The best part of this time was to instil with me a humility and understanding on what it takes for people to do those jobs day in, day out and to keep them motivated and proud in what they were doing. Two and a half years later, l was General Manager of that hotel but decided to move on, having learnt an incredible amount on what to do and not to do and developing an early understanding on what leadership, building pride and motivation are really all about.

Can you tell us a funny, embarrassing or memorable story from the early part of your career?

I remember one where I was trying to console an irate guest who was complaining about the condition of the guest rooms. Two years prior, when considering whether to book the hotel for a major conference, he had been promised by the person he booked with that a full refurbishment was planned and would be completed by the time of their event. This was all news to me on the day the guest arrived and of course no full refurbishment had occurred! Despite me saying what a great time they would still have and how great our marvellous hotel team was, he wouldn’t stop shouting. So, attempting to calm things down, l invited him into my office just off the lobby. He walked in, sat down on one side of my desk, at which moment the chair collapsed under him. To this day l have no idea why it did. I remember rushing around, him looking up surrounded by broken chair pieces, at which point he walked out without saying a word. Their conference ended up going extremely well with the hotel team in recovery mode the whole time.

What’s the best piece of advice you can give to young people assessing whether hospitality or tourism is right for them as a career?

You have to love being around people, being comfortable in a fast-moving environment and being ready to take on responsibility. That you will work when others aren’t. That hospitality is a business where balancing profits against service delivery and customer expectations is never ending but immensely rewarding.n 74 HM The Business of Accommodation

Returning to his homeland of the NSW Central Coast, Ben Hislop has commenced as the new Director of Sales and Marketing at Crowne Plaza Terrigal Pacific. Hislop has held similar roles at various other IHG hotels over the past decade. As construction continues on its two new towers, The Star Gold Coast has hired Mark Hodge as its new General Manager for Hotels and Residences. The former Accor Apartments and Leases executive brings three decades in hospitality to his new role including the past 15 with Accor and Mantra Group. Hospitality NZ has welcomed Jonathan Alve as its new Operations Manager. Bringing more than a decade in the industry with DB Breweries, Alve brings skills to his new role involved with creating new hospitality experiences and helping operators to refine existing business features. Hotel advisory service, ProVision, has appointed veteran industry tech expert, Ted Horner, to lead its technology assessments and advice division. Horner is widely regarded as one of the premier tech consultants anywhere in the world. Travel tech platform, Vacaay, has welcomed industry stalwart, Tristan Freedman, to its ranks as Regional Director, who will oversee the company’s growing domestic and short-haul marketing strategy. Freedman is well known in the travel industry, having spent 12 years at marketing agency, Gate 7. Visit Sunshine Coast has appointed Kelly Ryan as its new Head of Marketing. Ryan swaps her former home of Canberra for the ‘Sunny Coast’, during which time she held roles including Director of Strategy and Insights and Director of Marketing at Visit Canberra. She moves north from her most recent position at the National Portrait Gallery. Experienced hotelier Ryan South has moved into holiday homes, taking the role of General Manager at Belle Escapes Central Coast. South spent two decades previously with IHG Hotels and Resorts, most recently as GM at Crowne Plaza Terrigal Pacific.


EVE A CONF FULL DINVESTOR USTRALASI A N I O T E HIGH TUR FURNIICATIONS G N I N DESIG OM SPECIF STAFF CUST UP ON RCING K C A B U NG TSO SCALIR GH OU TH OU

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No.3 Vol. 25

HM, now in its 25th year, is the leading accommodation trade magazine in the region and is distributed to most large accommodation properties in Australia, Fiji, New Zealand, Noumea, Vanuatu and Tahiti.

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We have been helping Australian hotels throughout uncertainty and into recovery. For a FREE Super Health Check for you and your business, contact our service team: service@intrust.com.au I 0448 528 647

www.intrust.com.au The Super Health Check service is available even if you’re not an Intrust Super client.

2021

Issued by IS Industry Fund Pty Ltd | MySuper Unique Identifier: 65704511371601 | ABN: 45 010 814 623 | AFSL No: 238051 | RSE Licence No: L0001298 | Intrust Super ABN 65 704 511 371 | SPIN: HPP0100AU | RSE Registration No: R1004397


The world’s best guest engagement technology with an unrivalled entertainment experience.

Give your guests everything they want, all in one place. Contact Foxtel today Get Business iQ Call 1300 763 297  Visit foxtel.com.au/biq


Discover a limitless future and harness the potential of your screens. The revolutionary Foxtel Business iQ is a cloud-based, interactive information and entertainment system designed to make your property even better. Not only will it give your guests access to a vast range of entertainment options, but our leading-edge technology allows you to customise the platform to promote your hotel better.

Bespoke content and messages from your brand;

All fully managed via an easy-to-use online portal, complete with remote monitoring and troubleshooting capabilities.

✓ S end messages to individuals or groups of guests

Keep your guests entertained and happy during their stay.

✓ D igital concierge featuring news, weather, local attractions and hotel information+ ✓ C ustom content insertion that integrates welcome videos, promos or niche interest channels

Ability to cast guests’ own devices; ✓ I ntegrated casting allowing guests to stream from their own devices

Access to Foxtel’s world-class entertainment library; ✓ H uge video On Demand library with 1,000+ movies^ ✓ Over 20,000 hours of TV shows ✓ 4,000+ episodes ✓ 90 live channels# ✓ 50+ live sports ✓ 24/7 news Some channels not available in public viewing areas. This product is available to business subscribers only and based on a purchase of 100% of screens within the property. Requires internet and compatible device. ^Movies included when you take the Movie Vault add-on pack. #78 channels in the Content Warehouse pack, 12 additional channels included with the Movie Vault package. +Local attractions and hotel information included when you take the Enterprise Technology pack. Foxtel marks are used under licence by Foxtel Management Pty Ltd, ACN 068671938, 5 Thomas Holt Drive, North Ryde NSW 2113. Trolls: © 2020 DreamWorks Animation LLC. All Rights Reserved. Flight Attendant and Let Them All Talk: © 2020 WarnerMedia Direct, LLC. All Rights Reserved. HBO Max™ is used under license. Wahl Street and Justice League: © 2021 WarnerMedia Direct, LLC. All Rights Reserved. HBO Max™ is used under license. Tiger, Succession and Mare of Easttown: 2021 © Home Box Office, Inc. All rights reserved. HBO and all related service marks are the property of Home Box Office, Inc. Devils: © 2019 SKY ITALIA S.R.L. – LUX VIDE S.P.A. All Rights Reserved. Blinded by the light: © 2019 BIF Bruce Limited. Emma.: © 2020 Focus Features. ALL RIGHTS RESERVED. Just Mercy: © 2019 Warner Bros. Entertainment Inc. All Rights Reserved. Young Rock: © 2021 UTV ALL RIGHTS RESERVED. PAW Patrol: © 2019 Spin Master PAW Productions Inc. © 2019 Viacom International Inc. All Rights Reserved. Bluey: TM and Bluey characters logo TM & © Ludo Studio Pty Ltd 2018. Ready Player One: © 2018 Warner Bros. Entertainment Inc., Village Roadshow Films North America Inc., RatPac-Dune Entertainment LLC. and Village Roadshow Films (BVI) Limited. A Teacher: © 2020 FX Productions, LLC. All rights reserved. Ford V Ferrari: © 2019 Twentieth Century Fox Film Corporation. All rights reserved. Tina: © TFD Films Limited 2020. ALL RIGHTS RESERVED.

Discover Foxtel’s content


“The level of support from the team at Foxtel has been excellent.” Bruce McAleer, The R Hotel Geelong

“We’ve been seen to have invested in our property at a time when most aren’t.” Vincent Bellerose, Quest Portland

“Business iQ was a natural extension of our intuitive in-room technology.” Bodelle Francis, Oval Hotel Adelaide

“We are now able to match whatever entertainment system our guests might have at home.” Peter Tudehope, Radisson Blu Plaza Hotel Sydney


Peter Tudehope General Manager, Radisson Blu Plaza Hotel Sydney

What were the key reasons why you decided to upgrade your current entertainment system to Business iQ?

It offers the complete package. From the technically advanced to guests who turn up with none of their own technology, we now have an entertainment system that caters to everyone, and as a minimum, we are now able to match whatever entertainment system our guests might have at home.

What made the Business iQ stand out from other options?

Its flexibility, its ease of operation, the amount of choice it gives you and the other features outside of entertainment. It also enables us to meet all our brand standards on entertainment systems.

issues, they work as a team to resolve them. They have also been regularly following up to see if we are happy with the system. My pet response is no news is good news.

What else are you doing to make your property stand out?

We have been able to put the system under enormous pressure while we were looking after long stay guests. It didn’t fail us.

With QR codes being so popular now, we are now also making use of them via the entertainment platform. By loading artwork, including a QR code via the hotel information tabs, we can now almost link any information between the entertainment system and our guests. From links to our website, to video content to our social media channels.

Since installation, how have you found the level of support from Foxtel?

Do you think Business iQ is helping your guests recommend your property, and to stay again?

What features of the Business iQ are your guests telling you they appreciate/use the most?

This system requires the cooperation of the internet provider and Foxtel working together. The teamwork between AMPs (our Internet provider) and Foxtel has been the principal reason we have been so successful in getting this system working so well. When we do have

The entertainment system is not a reason for people to select a hotel but it is a reason to complain about a hotel if it is substandard. What we have now is a system that no one is complaining about. Subconsciously it is having a positive impact on why guests want to return to the hotel. n


Vincent Bellerose Franchisee, Quest Portland

What were the key reasons why you decided on Business iQ for your entertainment system?

Quest Portland is located along the west coast of Victoria

I’ve always supported having a broad offering of channels in our rooms, especially the sport which I know our regular guests enjoy. The Business iQ took guest entertainment to another level and is much more like what they have at home.

What made the Business iQ stand out from other options?

It’s a one stop shop. The compendium, on-demand movies, guest information and the TV channels are all together, and our guests can use the casting as well if they want. I like that it is all part of the one service.

What features of the Business iQ are your guests telling you they appreciate/use the most?

Most seem to like searching through all the TV channels. There’s something for every taste there, along with the on-demand shows and movies. But once they are using the TV system itself, it means they are seeing all the property features and local sights that we’re promoting, so it’s a win-win.

Since installation, how have you found the level of support from Foxtel?

We were Foxtel’s first install of Business iQ, and it was right before

Quest Portland has 49 apartments ranging in size from studio to three-bedrooms

COVID hit back in March last year, so we had a great team here on site and everyone was excited to be a part of it. We had terrific support at the install and ever since.

What else are you doing to make your property stand out?

In 2019/2020 we went through a refurbishment of all our rooms – new paint, carpet, curtains, artwork, bedside tables, lamps, bed runners, cushions and upgraded the WiFi network. This year we are replacing all of the beds and outdoor furniture.

Do you think Business iQ is helping your guests recommend your property, and to stay again?

I think our long-stay and regular guests are really appreciating the service. Now that business is coming back, we’ve been seen to have invested in our property at a time when most aren’t, so I’m really confident that our guests are appreciating this, so will be helping to increase loyalty. n


Bruce McAleer General Manager, The R Hotel Geelong

What were the key reasons why you decided on Business iQ for your entertainment system?

We reviewed a number of different options when it came time to make decisions with the in-room entertainment. We found the Foxtel Business iQ system offered a far superior product when compared against the standard Foxtel packages available and competitor set.

Guests are commenting on the ease of use of Foxtel’s Business iQ

What made the Business iQ stand out from other options?

The ease of operation was one of our major concerns when looking at different options currently available. The Foxtel Business iQ package stood out as a very user friendly system with literally anyone being able to pick up the remote and navigate their way through channel selection, on demand and hotel compendium.

What features of the Business iQ are your guests telling you they appreciate/use the most?

The on-demand function certainly gets the thumbs up, live sport and the casting functions all come to mind as getting constant feedback from our guests.

Since installation, how have you found the level of support from Foxtel?

The level of support from the team at Foxtel has been excellent. Being new

technology, we expected some teething problems in getting the system up and running plus potential issues around reliability, but we have found the experience all positive. The installation team worked like the welloiled machine they are in exceeding our expectations with the install.

What else are you doing to make your property stand out?

Being a brand new property, we have looked for points of difference in all areas of our business. From individual check-out times to Geelong’s first dog friendly Hotel, the R Hotel Geelong is all about exceeding expectations.

Do you think Business IQ is helping your guests recommend your property, and to stay again?

Absolutely it is. Feedback on the system has all been positive and we could not be happier with the decision we made. n


Bodelle Francis Ad e

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General Manager, Oval Hotel Adelaide

What were the key reasons why you decided on Business iQ for your entertainment system?

Every touchpoint of the Oval Hotel has been carefully considered to enhance the guest experience, and our in-room entertainment offering is no different. We were looking for a premium product, and Business iQ was a natural extension of our intuitive in-room technology, offering our guests more choices and a seamless user experience.

What made the Business iQ stand out from other options?

We can confidently say that we are offering our guests the very best in in-room entertainment, with thoughtful extras such as movies on demand and casting included. The comprehensive nature of Business iQ allows guests to unwind their way, and that’s what Oval Hotel is all about.

What features of the Business iQ are your guests telling you they appreciate/use the most?

Oval Hotel is a destination hotel for everyone from corporate travellers to those looking for a weekend escape or a South Australian adventure. Business iQ has something for all of these guests and more – we get particularly good feedback about the movies on demand and casting features. Of course, as Australia’s first stadium hotel we welcome plenty of sporting fans, so the full suite of sports channels is also popular.

l te Ho l va at O m A Park o o r land King

Since installation, how have you found the level of support from Foxtel?

It’s really valuable to have an Adelaide-based support team to rely on – the level of support both over the phone and on site has been great.

What else are you doing to make your property stand out?

Oval Hotel sets a new benchmark in premium boutique accommodation. Guests can expect beautifully appointed guest rooms that feature sweeping views of the Adelaide parklands, premium finishes and fixtures and the best in South Australian food and wine. Each room is enhanced with intuitive technology including digital compendiums and electronic room controls, allowing guests to customise climate, lighting and ambiance, gently open curtains or order room service, all at the touch of a button.

Do you think Business iQ is helping your guests recommend your property, and to stay again?

We encourage our guests to experience their Oval Hotel moment in their own way, and for many that means retreating to their room for total escape and relaxation. Ensuring guests have access to a full suite of movies and entertainment extras is an important part of completing that experience. n


The world’s best guest engagement platform:

Industry-recognised Hoteliers share their experience of the new Foxtel platform

Radisson Blu

Get Business iQ Call 1300 763 297  Visit foxtel.com.au/biq

Quest Portland

R Hotel Geelong

The Oval


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