TOP NEWS

🏢 Phoenix, Arizona led the top 25 markets in year-over-year growth at 19.7% according to Cendyn's Sales Intelligence, with Las Vegas, Nevada close behind at 17.7%. The data from October 2024 showed Phoenix's event volume growth driven by sectors like national association, technology, healthcare, and financial/banking, with an average event size of 5,612 square feet and 174 attendees. Secondary markets showed significant growth with South Michigan at 99.2% and Kauai, Hawaii at 72%, with the former likely boosted by football-related activities and the latter by weddings among other events. The top secondary markets had an average space usage of 3,841 square feet and an average of 128 attendees per event.

🏨 U.S. hotel industry saw occupancy rise to 60.8% (up 1.9%) with an ADR of $154.99 (up 1.2%) and RevPAR of $94.22 (up 3.1%) in the week of October 27-November 2, 2024. Tampa experienced a 34.7% occupancy increase to 80.5% due to Hurricane Milton. New Orleans reported ADR and RevPAR spikes of 27.7% to $222.51 and 53.3% to $169.73, respectively, attributed to Taylor Swift's tour and a major conference. Las Vegas and San Francisco faced RevPAR drops of 28.8% to $151.47 and 14.9% to $123.16, respectively.

🍴 Northcote's Obsession, a gourmet festival in Europe, marks its 25th year from January 24th to February 9th, 2025. Featuring 21 chefs with a combined 27 Michelin stars, the event will unfold over 17 nights at the luxury Lancashire hotel, Northcote. Chefs from around the world, including Singapore and South Africa, will participate. Obsession began in 2001 and continues to offer guests memorable culinary experiences. Tickets for Obsession25 go on sale on November 13th, priced at £220 per person, with optional wine flights from £70.

🏨 Global hotel RevPAR rose 13% in Q3 2024 compared to Q3 2019, attributed to events like Taylor Swift’s Eras Tour and the Paris Olympics according to JLL. Asia Pacific demand was unstable, influenced by China's economic slowdown. Cross-border investment surged, with U.S. private equity focusing on Europe and Asia. International travel nears full recovery, urban RevPAR outperforms 2019. Transactions in Q3 2024 reached $42.1 billion, 953 in total, with luxury trades exceeding $2 million each. Top markets were London ($2.1 billion), New York ($1.6 billion), and Osaka ($1.4 billion).

🔔 Gianni Di Fede, Senior Vice President at Radisson Hotel Group since 2017, aimed to enhance revenue operations. Radisson has structured global revenue management that extends from global to local levels. The Revenue Club, with technology partner Duetto, held its first post-pandemic meeting in Gran Canaria in June. Radisson's Corporate Support Office comprises teams for revenue management, distribution, and business intelligence, with specialized units like rate loading, five-year planning, and revenue operations. Madri, St Petersburg, and Dubai serve as Global Centres of Excellence for their respective regions. EMMA, Radisson's technology platform, integrates core functions and utilizes Duetto. Cluster operations help manage revenue in multi-hotel cities by applying unified strategies, while local input involves flexibility and empowerment at the hotel level.

📦 Restaurants must meet customer expectations with efficient ordering systems across online, mobile, and phone channels. In-house delivery control ensures quality and standards are met, while statistical data shows that 67% of consumers avoid third-party apps due to fees, 23% desire better delivery tracking, and 51% are influenced by coupons and promotions. Investing in technology like advanced POS systems and integrated online ordering can maximize profits, reduce errors, and increase customer loyalty.

🏨 Ashley Dora, VP of operations at Valor Hospitality, identifies opportunities for automating hotel operations, especially in food and beverage departments, to save time and costs. Implementation is property dependent, with ROI varying based on time saved in communication and processes. Richard Valtr, founder of Mews, advises defining clear goals and integrating modern technology, while Adam Tuttle of Yipy emphasizes the importance of user-friendly platforms and upfront work to simplify staff usage. Beta testing and anticipating learning curves are crucial for successful implementation. According to an IDC analysis, Mews’ technology saved 5,000 administrative hours and increased front-desk staff efficiency by 24% in the summer, equal to the workload of around 12 full-time employees.

🍕 Hoteliers, including Steve Palmer of The Indigo Road Hospitality Group with 35 restaurants, are reimagining the traditional food and beverage model to boost profitability. Palmer's hotel restaurants aim to resonate with the local community and have managed to generate 50% of the revenue in four hotels. Guy Reinbold from Meyer Jabara emphasizes profitability through banquet catering which offers the highest return. Jack Paul of Twenty Four Seven Hotels adopts a "beverage forward" model for higher ROI. To reduce labor costs and waste, executive chefs like Ysaac Ramirez of Drift Hotels utilize cross-utilization of ingredients and serve smaller portion sizes. Menu engineering and technology play roles in cost management, with software like Margin Edge assisting in controlling expenses. Hospitality leaders suggest flexible staffing approaches, like employing part-time students and cross-training employees, to adjust to fluctuating occupancy and F&B demands.

💸 Independent hotels grapple with OTA dependency versus direct bookings for revenue maximization. OTAs like Booking.com, Expedia, and Airbnb charge commissions of 15-30%, yet offer increased visibility, marketing clout, and trust. Direct bookings ensure higher profit margins, data ownership, and guest loyalty but require marketing investment and have limited reach. Strategies include enhancing direct booking channels, offering exclusive benefits for direct bookings, leveraging guest data, using OTAs strategically, targeted marketing, and a rate parity strategy. Balancing both channels is crucial for sustainable growth and reducing OTA reliance.

🏖️ The global market for travel experiences is valued over $1 trillion, with destination visitors spending approximately $1.1 to $1.3 trillion on experiences, representing about 30% of the market. Paid, structured tourist activities total $250 to $310 billion annually, growing more than 14% per year by 2025. Despite this, nearly half (47%) of experience bookings still occur offline. A McKinsey survey highlighted that 52% of Gen Zers splurge on experiences, contrasting with 29% of baby boomers. By June 2024, 78% of experience operators receive at least half of their bookings through platforms. However, challenges persist, including the frustration of over 47% of the experience bookings still not being digitized.