Interests in the hotel industry are bought and sold. Contracts in furtherance of the sale of those interests may contain restrictive covenants. In some cases, restrictive covenants might take the form of contractual provisions that, among other things, restrict competition from a new owner or prevent certain uses. Use of a restrictive covenant may lead to litigation when one party contends that another party is in violation of a restrictive covenant. Hospitality industry players should be aware of the risks associated with restrictive covenants, and aware of the hospitality-related litigation that can result from them. READ MORE

Hospitality has always provided a great entryway to the world of work for younger individuals, while also attracting older individuals who wish to embark on a new career in an exciting service-driven industry. This is fortunate at a time when the industry faces a labor shortage, especially in areas like housekeeping. This article discusses how available technologies, including today's best hotel task optimization software platforms, can help bring newcomers to hospitality on board and up to speed quickly, and propelling those inclined on to a rewarding career path. READ MORE

Profit maximizing is the goal of the hotel owner; however, incentives or lack of information may lead the revenue manager to revenue-maximize instead. This paper examines a theoretical model of the differences in the approaches and suggests a simple statistical model to estimate the outer bounds of premia or discounts that should be applied to the revenue-maximizing ADR to achieve profit-maximizing. The model is applied to hotel statements, and I find that the amount charged in extended stay and limited-service hotels should be higher, full-service somewhat higher, and resort hotels the same or lower to maximize profit. READ MORE

Regardless of the number of employment law best practices a hotel successfully embraces, one factor can be a strong indicator for future litigation – a problematic, underperforming employee. Therefore, one the best ways to protect your hotel from litigation is to hire right at the outset. In the chaos of peak season, it may be tempting to impulsively hire the first application for help received; however, hiring is a process that should not be rushed. An employee who fails to meet performance expectations or mesh with the hotel's company culture, not only can create a toxic environment at work for other employees but will likely harbor resentment which frequently motivates litigation. READ MORE

Your property's bottom line is defined and measured for success if you as the property revenue manager implement a good revenue management strategy with the help of other departments in your property. The strategy of implementing good revenue management has been tried and approved of success is true through the regular revenue management measurement, but there is another and more efficient way to influence your property's yields. We call the strategy profit management which determines a property's net revenue after taking into consideration the costs of acquisition by channel, opportunity costs, and target audiences. READ MORE

A surefire way to drive additional revenue and profit is to include Value Add Packages as part of Hotel Revenue Strategy. Value Add Packages are a unique way to pique guest attention, provide them with an experience that is more than just your typical overnight stay and create a perception of value. Additionally, it drives guests to our own more profitable website that has fewer associated costs than an OTA or other more costly channels. In this article we explore the concept of Value-Add Packages and review some really effective packages that will work for your hotel. READ MORE

More often now the term 'revenue strategy' is being used to describe the process of creating, capturing and managing demand. It's a broader, all-encompassing expression than 'revenue management' and implies a more comprehensive approach to optimizing revenues and profit. But in changing the nomenclature, are hotels really changing the way they do business? Some are, most are not. And why is that? Well, the hard truth is that the industry faces many barriers to fully adopting a total revenue management approach; however, articulating and acknowledging those barriers is a good first step to overcoming them. READ MORE

Today, some of the foremost hotel security threats are crimes on which insurers have started to tighten the reigns. These include abuse (both sexual and physical), battery and molestation. Adding to the mix is the despicable global crime of human trafficking. Each of these emerging threats brings new questions for hotels and their employees, including how employees can identify this type of deviant activity. This article walks you through each of these emerging threats and explores the risks, the potential solutions, the value of getting it right, and the ever-expanding costs of allowing this type of activity at your hotel. READ MORE

Illinois hotels and their restaurant, banquet and spa outlets are – more than ever – dedicating resources to establish eco-friendly practices that aim to preserve our environment. There is an abundance of ways hotels are being mindful in their everyday business practices, including initiatives ranging from monitoring for energy and water efficiency to reducing plastics, crafting sustainable wine lists and even placing used furniture with those in need. As one of the Illinois Hotel & Lodging Association's core platforms, we explore how hotels nationwide can implement thoughtful, sustainable and turnkey practices as exemplified by others leading the way in this critical effort. READ MORE

Remember when rooftop bars and cool restaurants were novel? What was once unique enough to rile up crowds and delight hotel guests has now become the norm. Fortunately, hoteliers are now looking for fresh ways to connect with – and inspire – the communities that surround them. David Ashen, president & CEO of interior design and brand consulting firm dash design, examines what's behind this shift and some top ways today's brands are answering the call for connection, from art installations that excite to socially-conscious initiatives and more, hotels are more than a mere place for heads in beds. READ MORE

As people continue to take more interest in their pet's well-being, pet travel has become increasingly popular. In fact, according to the 2017-2018 APPA National Pet Owners Survey, 37% of pet owners travel with their pets every year, which is a nearly 20% increase from a decade ago. Savvy hoteliers know how to capitalize on this and stay relevant among the competition. In fact, more than half of US hotels now allow pets, according to the 2018 American Hotel & Lodging Association Hotel Trends Survey. This case study explores the ways in which the Inn at East Beach, managed by broughtonHOTELS, used operational and promotional strategies to ensure the hotel was set up for success in becoming a dog-friendly hotel. READ MORE

Modern-day revenue management already relies on substantial number crunching, including sophisticated predictive analyses that help determine the optimal room mix and pricing-with the goal of achieving maximal RevPAR. Now, advanced metrics are pushing the revenue management envelope even farther, focusing on determining the complete costs of acquiring any given reservation. At the same time, advanced operational benchmarks are giving revenue managers, property general managers and the entire executive team a better handle on whether a given quoted rate is supportable in the overall quest for profitability and return on investment. READ MORE

Balanced Scorecards have been a widely used strategic management system, namely in large-scale corporations and institutions in the last 30 years. They were designed to align short-term practices with long-term vision and strategies. That alignment is a kind of cement between the corporate and operations level in any organization, holding the two levels together and increasing the organization's efficiency and effectiveness. Transparent and results-driven reward systems come as a consequence. This methodology is now ripe to go into new depths, by applying it to data-intensive and reward-prone operations, at a tactical and day-to-day level. Revenue Management qualifies perfectly! READ MORE

The amount of internal and external channels a hotel revenue manager has to juggle to make a profit is no joke these days. As Marriot, Hilton and Intercontinental Hotels Groups advance management tools to battle this constant operational nightmare. The franchisors need to start connecting systems that will save on expenses. Managers must manually check these systems daily and it's a daunting task to complete this all in a day. Why isn't there a computer program that will connect all revenue management tasks automatically without switching screens to increase productivity & profit? Let's take a look... READ MORE

It's hard to imagine a time when revenue management wasn't the key to running a successful hotel. As a profession, revenue management is continuing to develop and evolve at a frantic pace with Occupancy Rate, ADR and RevPAR as the most widely used key performance indicators and measures of success. However, none of these metrics actually measure business success. Profit is the reason why investors build hotels. This article explores how revenue management is evolving to include a focus on developing revenue strategies such as Gross Operating Profit Per Available Room (GOPPAR) to measure business success. READ MORE