in 2000 and 2017 at 38.8 %. During 2020 this dwindled to 15.5 % as occupancy levels dropped to historic lows . The industry implemented extraordinary cost-cutting measures to reduce the blow from a worldwide travel freeze . In 2021 , GOP margin rebounded to 34 % while RevPAR was at 81 % of 2019 levels . Since March 2022 , GOP margins are exceeding 2019 , driven by higher ADR , continued lack of available labor , modifications to operating standards and fewer low-margin departments ( i . e ., room service ) in full operation .
Hotels want to hire more associates . The industry is still 1.3 million workers short of 2019 levels , while RevPAR has fully recovered despite hotel wage growth being the highest in 40 years and outpacing all other industries .
Hotels aspire to offer guests a wide selection of amenity choices , but supply chain and associate limitations are affecting menu options and hours of operation .
Overall guest satisfaction has declined 8 points as consumers recognize they are paying more , but not getting as much in return . This is especially apparent in the gold standard metric , Intent to Recommend , which measures the likelihood a guest would return to the property . When surveying over 25 hotels across different geographic regions , brands and service levels , the top five guest detractors were :
• Inadequate or poorly trained staff
• F & B choice / F & B hours of operation
• Daily housekeeping / guestroom cleanliness
• Concierge lounge
• Value proposition Hotels are very much in tune with the importance of guest satisfaction . However , travel and meeting planners are also expressing that hotel staffing and service levels are their top concern along with travel budgets and higher costs , according to recent research . Implementing and tracking specific feedback from customers will allow for operation and service modifications that are impactful to the guest experience .
Due to the labor shortage , it is impractical to plan a return to the traditional pre-COVID staffing models . Instead , hotels can leverage technology for “ transactional services .” The utilization of smart technology requires less staffing and results in an enhanced guest experience . Automated services , such as mobile check-in , online concierge and chatbots , allow customers to interact with hotels in new and more efficient ways . These services aggregate data and provide hoteliers with actionable information to reduce common guest complaints .
Almost all 2023 hotel budgets include training and enhanced quality assurance protocols as many hotel associates are new to the industry since COVID . Hotels are also addressing value proposition through greater amenity offerings . In this manner , hotels can provide the service levels expected by the modern consumer while managing the available staffing available and the balance with profitability .
ALMOST ALL 2023 HOTEL BUDGETS INCLUDE TRAINING AND ENHANCED QUALITY ASSURANCE PROTOCOLS AS MANY HOTEL ASSOCIATES ARE NEW TO THE INDUSTRY SINCE COVID . HOTELS ARE ALSO ADDRESSING VALUE PROPOSITION BY GREATER AMENITY OFFERINGS .
– ELIOT LAMB
Jan / Feb 2023 hotelsmag . com 27