#getting food from restaurants delivered via these services has always been super expensive
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It's pretty crazy to me that people think that food delivery services have gotten expensive recently. Like?? I tried it before the pandemic and I was charged twice the cost of the meal and thought it was way too expensive so when people say that NOW it's too expensive, I realize that we're just in two completely different worlds
#food delivery#getting food from restaurants delivered via these services has always been super expensive#and if you disagree then we are just in different socioeconomic classes#on a related note#the biggest grift these tech startups that disrupt the industries they undercut manage to pull off#is convincing us that they are essential once they have taken over#like we don't remember that before they existed you could get free delivery if you lived within a mile of the restaurant
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Once A Fine Dining Experience, Then A Bad Joke, Could Airline Food Be Primed For A Comeback?
New Post has been published on https://perfectirishgifts.com/once-a-fine-dining-experience-then-a-bad-joke-could-airline-food-be-primed-for-a-comeback/
Once A Fine Dining Experience, Then A Bad Joke, Could Airline Food Be Primed For A Comeback?
Industrial scale meal preparation like this at an airline catering facility at Charles de Gaulle … [] International Airport outside Paris may be efficient but it creates big challenges to delivering great tasting meals that travelers will love in the low pressure/low humidity environment aboard a plane at 35,000 feet. (LIONEL BONAVENTURE/AFP via Getty Images)
Go figure: At a time when air travel demand is down globally by about 70%, Singaporeans are booking reservations weeks in advance for the chance to pay $40 to $525 to dine inside a parked Singapore Airlines Airbus 380 super widebody.
In Pattaya, Thailand, business at Thai Airways headquarters’ café has exploded in the months since the company chopped up one of its narrow body planes and rebuilt it, with some slight modifications, inside the company’s former commissary.
And people have been flocking since 2013 to the world’s largest “aviation movie set” inside a warehouse in the blue-collar Los Angeles suburb of Pacoima. Once there, they pay $475 to $875 a person to enjoy everything from a conventional 1970s economy class inflight meal served on plastic trays to a lavish first class feast served on fine airline china and crystal. And what makes the meal, and an accompanying movie, so special is that it is served inside a giant Boeing 747 “set” by beautiful actors dressed in 1970s airline uniforms. The dinner theatre-style production is called the Pan Am Experience because it seeks to replicate what it was like to fly – and eat while doing so – in the 1970s.
In the real, Covid-19-infested world today, few airlines are serving their few passengers any food or drinks at all. And when they eventually begin doing so again, you can bet that travelers will complain loudly about the quality of the food.
Yet, to some airline and travel aficionados, the opportunity not only to eat airline food but to do it aboard a real or replica airliner has become almost a bucket list item, or else decadent pleasure they allow themselves every now and again.
Over the last 80 years airline food has evolved from a novel idea and technology to:
A high-status experience about which people bragged
The brunt of endless jokes and complaints
Almost non-existent.
But, if a Irish-British historian whose intriguing new book on the history of airline food hits the shelves today is right, airline food is likely to make a limited comeback over the next few years as passenger demand and the industry slowly recovers from near-collapse due to the pandemic.
“I don’t think we’ll ever get back to the point of there being cocktail lounges on 747s; to the Frank Sinatra Come Fly With Me marketing approach, to experiencing what it’s like to have white-gloved stewards working from silver service trolleys carving chateaubriand right at your seat and serving you fine wines,” says Bryce Evans, an associate professor of history at Liverpool Hope University in the United Kingdom.
“However, I can see – and I really think more international airlines are doing this already – carriers once again are concentrating on food service as a critical piece of their marketing, of their brand and service experience,” says Evans, author of Food and Aviation in the 20th Century. Published by Bloomsbury, it goes on the shelves in North America and the U.K. today.
“Even now, with the pandemic still going on, several top international airlines like Emirates, Thai, Singapore and Turkish really take pride in their food. That’s something that U.S. carriers used to take great pride in, too. I wish I could say that British Airways, which always used to be quite good with their food service, was still good. It has fallen off some in recent years, but it’s still pretty good and I believe that as part of such airlines’ efforts to attract travelers, especially premium class travelers back to their planes they will once again begin trying to distinguish themselves by their food service in the premium classes.”
Alas, Evans says he does not expect airlines to focus a lot of attention and effort on improving what food they will be serving again to their economy class passengers. Such travelers’ overwhelming preference for low fares will preclude airlines from spending much more on coach class food than they were spending prior to the pandemic’s arrival.
Higher-quality airline food, he says, “is always something you’re going to have to pay more” to receive, whether that cost is embedded in a higher, premium class fare, charged as an extra fee, or presented as an a la carte/buy-on board offering.
Evans, an Irishman teaching at a British university, got interested in the subject of airline food via his research as a historian into how leading historical political leaders used food and sources of food to manipulate key political or historical developments. In particular, he studied how British Prime Minister Sir Winston Churchill tried to pressure an independent and neutral Ireland into supporting Britain’s World War II efforts through the constriction of the smaller island’s access to food supplies. And it was during that research that he happened upon the character William Maxson, a Minnesota engineer and inventor who at the end of the war essentially invented the process still used today for preparing airline meals many hours in advance and then heating them up in flight right before serving them.
“In 1946 Pan Am signed a contract with Maxson to introduce hot airline food,” Evans explained. “He had created a multi-compartment convection oven that could reheat meals made and frozen well in advance.
You read that right. Singapore Airlines has turned one of its Airbus A380s into a static restaurant … [] during the pandemic at Changi International Airport there. Customers willing pay up to $900 are flocking to experience what it’s like to eat a gourmet meal in the premium sections of the world’s largest passenger plane. (ROSLAN RAHMAN/AFP via Getty Images)
Maxson had teamed with Birds Eye, the American company that perfected the process for freezing vegetables for sale via modern grocery stores, to develop a way of thawing those vegetables, preparing inflight meals using them, and then freezing those meals for service hours later on planes.
The only problem, Evans, noted, was the “Pan Am’s people realized very quickly that Maxson’s meals were quite bad tasting. Others did, too. The New Yorker wrote that they were ‘meals prepared for doomsday.’”
Pan Am, though adjusted quickly by breaking its contract with Maxson and began working with famous chefs, a practice that airlines still engage in today, to come up with more appealing recipes. That, however, is easier said than done.
Noise and motion actually have a negative impact on a person’s ability to taste and enjoy food. So in the piston-engine era airline food departments and their big-name chef advisors had to find ways to overcome those taste challenges. Salt – lots of it – helped. Then the problem got worse with the coming of jets. High altitude, low humidity, and reduced air pressure all have a deleterious effect on the sense of taste. The answer? More salt. And sauces. Lots of them. The thicker the better.
Whether it was intentional or happenstance, carriers in the ‘50s and ‘60s worked with lots of famous French chefs, or others like the American Julia Child who were expert in the French style of cooking. The emphasis on sauces and ingredients with strong flavors, such as curry, helped overcome the degraded sense of taste issue related to eating at altitude. Carriers also switched away from “finer” wines to more full-bodied, fruity – and, lucky for them – usually less expensive wines. Their stronger taste could be more readily sensed by passengers, many of whom actually had been complaining that the very fine wines previously served by airlines didn’t seem to have much taste to them at all.
“Airline food in the ‘50s and ‘60s was actually quite good,” Evans says. “They actually changed Americans’ palettes in those days by popularizing French style cooking before the era of chefs having their own cooking shows on TV.”
The industry gets credit for actually inventing a what is – or at least used to be – a popular lunch menu item at upscale restaurants; the open-face steak sandwich. Airlines regularly engaged in “top this” competitions with their in-flight menus. At one point arguments about over-the-top offerings focused on several carriers that had begun serving steak for lunch on its planes. To calm things down, the International Air Transport Association, the industry’s global lobby organization, established a rule that airlines could not serve steak at lunch. But to get around the rule someone came up with the idea of placing a small steak on piece of toasted bread, with another piece of toast laying next to it. Walla; the open face steak sandwich.
It wasn’t until the early ‘70s, as the widebodies like the 747 had begun entering service and airline costs began rising very high that airline food began to get a reputation for not being very good.”
The famous story of American Airlines President Robert Crandall in the late ‘1970s ordering the removal of the single olive in the carrier’s in-flight dinner salads is the perfect example of why airline food service began to fall in quality. Crandall’s seemingly nit-picky olive order saved his airline an amazing $40,000 annually on the purchase of food at a time when it was in deep financial trouble and looking under the coach cushion for change to stay in business.
Evans said Crandall was right in that consumers didn’t notice or complain about the lack of an olive in their salads. But the lesson learned by the industry was that carriers could save lots of money by cutting back on lots of small items, including various aspects of food delivery and preparation. So, gradually, the quality of food – like the quality of other service features – declined as carriers cut further and further at a time when deregulation was forcing formerly regulated carriers to dramatically cut costs so they could, for the first time ever, compete for the first time on the basis of low fares and low costs.
Now, though, Evans expects at least some carriers, especially those heavily dependent on long-haul international flying, to make the quality of their food a more prominent aspect of their brand identities and they try to coax business travelers and the wealthy to buy more premium class fares.
“With Pan Am back in the day it was about the quality of the food, but also about making a statement about the entire cultural experience of the carrier and its home country, with food being the feature attraction,” Evans said. “Of course, back in those days food became a distraction from the fact that there wasn’t much to do but sit in a seat and read or sleep. There weren’t any movies to watch, at least not early on. The dining experience actually served as a form of entertainment and distraction. Now travelers have seat back videos, their phones and other devices and so much else to occupy their time in flight that maybe food isn’t quite as important.”
Additionally, after adjusting in the ‘90s, ��00s and ‘10s to meet new market trends related to eating healthier – which included more emphasis on cold pastas, salads and generally less tasty (and cheaper) foods – Evans says that even before the pandemic began, a new trend was emerging to include some more flavorful menu items.
“I don’t think we’ll be going back to lots of heavily salted and sauced foods,” he added. “But I think we’ll be seeing more strongly flavored meats like beef and exotic poultry rather than rather blander meats like chicken being featured in airline meals. People’s tastes and attitudes change over time and that seems to be happening now, at least in the international [air travel] market.
“But in domestic markets, especially very large domestic markets like America’s, there may be a small comeback and improvement in airline meals,” Evans said. “But with the continued emphasis on low fares I’m afraid we won’t be seeing a lot change or improvement in airline food there.”
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Interview: Marriott CEO on Politics, Technology and Loyalty
Arne Sorenson (right) was interviewed on stage by Rebecca Jarvis at the NYU Hospitality Industry Investment Conference on June 5. Mark McQueen / NYUSPS
Skift Take: Despite the challenges facing the industry, Sorenson remains optimistic and determined to make sure Marriott's $13.3 billion bet on loyalty pays off.
— Deanna Ting
Arne Sorenson is not the kind of hotel CEO who likes to stay quiet about the most pressing issues impacting not only the hotel business, but travel overall.
Most recently, the Marriott International CEO penned a piece urging governments to implement smarter ways to deal with safety and security in travel. And before that, he also wrote an open letter to then President-Elect Trump.
Skift spoke to Sorenson while he attended the New York University Hospitality Industry Investment conference in New York on June 5 to ask him for his thoughts on the industry. What follows also includes excerpts from his conversation on stage with Rebecca Jarvis at the same conference.
Skift Editor’s Note: Sorenson’s quotes have been edited for clarity and length.
The Current Climate
“I think one of the challenges we’ve got today is when we look at the events in London or we look at the travel ban tweets this morning, or we look at some attributes of the world we live in, it could feel a little negative,” Sorenson said. “I actually think we’ve got to be careful about that because we’ve got significantly growing global travel. We’ve got [this], both in domestic travel in the United States and maybe in the markets surrounding it, and because of this move toward wanting experiences — including travel — because of this move of a growing mobile middle class, there is a lot about the future which is really positive.”
“The best thing we can do for laptops is if, in the entire world, we’ve got TSA-like security where people are looking at your bags, or going through every item, and it can be a burden in some airports and some countries, but it’s a burden that applies to everyone, and by and large it means that we’ve all as travelers learned to just put up with it,” he noted. “I think, similarly, in the laptop space, or other spaces around technology, the more these can be decisions that are made with other countries involved, I think the less unique impact it would have on the United States. So, if there was a laptop ban for inbound U.S. business only, it would simply be yet another reason why somebody might not continue to come to the United States. And that’s where it starts to have the possibility of hurting us.”
Investing in Experiences
Earlier this year, Marriott announced its investment in PlacePass, a tours-and-activities metasearch platform, and it’s clear that Marriott, like its peers, is seeing the increasing importance of playing a bigger role in the entire, end-to-end travel journey for customers.
“I think we [as a society] are broadly much more interested in collecting experiences than material things,” Sorenson said. “And that maybe could be said uniquely about Millennials but I truly think it could be said about people like me too, and it’s how do we how do we take a trip or how do we have a meal which is really memorable, and then we could share it.”
“Our entire business is experiences,” he added. “We’re in a really good place to be because all around the world we see people say ‘I want to go see Paris and New York or you know, the parks, or whatever, fill in the blank. And I want to do those things as a higher priority than 10 or 20 years ago.’ Now, in the PlacePass context, that is a little bit more finally focused, which is how do you make it easy for folks, given what broader experience of travel there is to find these unique activities that they can engage in when they’re traveling. PlacePass is a way of doing that with hundreds of thousands of options already.”
Shifts in Hotel Design
Sorenson said that although Marriott currently has 30 brands in its portfolio, each with very different styles and designs, he’s seen a few universal trends among each — and again, none of them is going away anytime soon.
“Some trends are really basic and obvious: big TVs. I toured a number of hotels last week, and every one of them they had 55-inch TVs. And if you were back just a few years ago, you know, you felt great if you got a 42-inch TV, because often you might get a 32- or a 37-inch and so you see that now … and with it you see the technology evolving. So, on that big TV we can watch through our own Netflix account or we can cast it on from our devices that we are carrying with us. And so that technology, particularly around entertainment, is pretty powerful for the guest experience and the way we’re designing hotels.”
“I think secondly, the hard-surface floor in the guest room is getting to be more and more standard,” Sorenson added. “I think that it will not be the case in every brand because that fact is it is getting more expensive on the front end.”
“The third thing I talk about is food and beverage,” Sorenson said. “I want to localize food/beverage experience. That might be a concept that we own and operate ourselves, it might be, let’s say a license that we have with a third party, or it might be an outsourced arrangement, but how do we get in the position where we’re bringing life back into the food and beverage offering, particularly at lunch and dinner? With breakfast, obviously, you’ve got a captive audience that you could sell breakfast to but pulling people in at dinner is what really demonstrates the power of the restaurant.
The Front Desk Will Be a Thing of the Past
Marriott’s app on iOS allows check-in and mobile keys, depending on properties.
While speaking on stage, Sorenson predicted the hotel front desk may soon be a thing of the past, thanks to the growth of services that can be facilitated via mobile devices. While keyless entry has seen wider adoption in recent years thanks first to Starwood, then to Marriott’s adoption of the technology, it has yet to go wide with consumers.
“Think about opening your guestroom door with your phone and not having to stop at the front desk,” he explained. “Think about that as having room service waiting in your room when you arrive. Think about that as being at the beach in front of the hotel and wanting lunch and being able to get on the app and have the lunch brought as opposed to waiting for the waiter who’s trudging through the sand to try and take orders as well as deliver orders. This collection of mobile services is available now but the penetration is growing dramatically. I would think within a very few number of years, overwhelmingly, when we’re on business travel, we’re going to have the ability and probable likelihood of bypassing the front desk.”
Merging Starwood and Marriott Through Technology
In May, discussing Marriott’s first quarter earnings, Sorenson said the biggest risk involved in the integration between Marriott and Starwood involved technology and at the NYU conference, he elaborated further.
“So far, all things evolving the integration are going great. We feel it’s going as well as we could’ve anticipated actually and even better. Technology is the thing that seems to take time, which is what I mentioned in the earliest call. Think about the property management system. There are a number of variants revolving to the next generation before we combine Starwood, so how do you get to the right number of property management systems to make sure they’re compatible? How do you make sure you have a functionality you need to have which is dealing with multiple currencies and cost effectiveness because you could have a super high-end luxury hotel that’s big or you could have a relatively small boutique hotel that really needs the efficiencies. So, we’ve gone through those depths. And similarly, as we’re looking at the property management systems, how do you take the two that were there which are both about technology and about people. Where are they located? How are they interacting with the customers? How are they interacting with the online booking?”
“And of course, then you’ve got the stuff that is yet to come around: automation and artificial intelligence,” he said. “A lot of that is going to be about getting to know our customers better and how do we without going too far we make sure that we’re using the information.”
A Loyalty Update
“I think the loyalty programs are enormously powerful and have been for many years the most powerful platform for us to have relationships with our customers. And I think, if anything, they’re getting more powerful not just for us but for everyone,” Sorenson said.
Sorenson also said one thing that surprised him was how passionate Starwood Preferred Guest (SPG) members were about their program. “I think early on, the thing we maybe didn’t appreciate quite as much as we should have was how rabid the SPG elite’s needs were about their program. Maybe that shouldn’t have been that surprising, but they were. They said, ‘Oh my God, what’s going to happen to our program? What are you going to do with my points?’ So we’ve engaged and entered into that conversation with them.”
He added, “[For the] legacy [Marriott] brand it’s worth well over 50 percent to 60 percent of our business which is rewards related. Starwood was a bit lower than that, but a piece of that was that the distribution was smaller, and another piece of that is also that the distributions can be a little bit more in non-business markets where your percentages are always going to be a little bit higher.”
“But you know I think so far so good. I think the connection of the two platforms from the beginning [with account linking], which we’ve talked about before, was absolutely huge and I think we still get great compliments from our customers who say I love the fact that I got the benefits of both programs from the beginning. Maybe it was not as simple as I’d like it to be in some point in time, but we’ll be moving now with a goal of fully integrating all three programs by the second half of 2018.”
He also noted, “I think a number of us in the industry are seeing that our loyalty penetration is nearing 60 percent today of all business, so it gives you a sense of how powerful these loyalty platforms are.”
Will There Be More Mergers and Acquisitions?
Having participated in what is arguably the largest acquisition in the hospitality industry in recent years with the tumultuous $13.3-billion purchase of Starwood Hotels & Resorts, Sorenson said he thinks another transaction of that magnitude may not be as likely going forward.
“The challenge on the M&A [mergers and acquisitions] side, in predicting it, is companies are not always for sale and the big advantage we have is that Starwood was first and so we could step in, which we did at the last minute, and be successful in buying the company,” he said. “But if Starwood hadn’t been for sale and we went and knocked on their door in Stamford, my guess is they would’ve said, or maybe not even answered the door, but they may have said, ‘We’re not interested in this.'”
“I do think, in the fullness of time, people understand that there are advantages around size and they’re about loyalty programs, they’re about investing in technology, they’re about distribution: who are you selling, how do you sell to them, and so I think we’ll see that [consolidation] continuing.”
On Direct Booking
The other big story dominating many conversations within the hospitality industry last year involved direct bookings, or the proliferation of member rates for customers who book direct with the hotel brands instead of booking through third parties like online travel agencies (OTAs) like Priceline and Expedia.
Sorenson said he expects a focus on direct bookings will continue this year.
“I think the direct booking thing will also continue to be a priority for the industry because the more we can have our business encapsulated within our loyalty program, there are customers coming to us directly therefore there’s less frictional cost associated, there’s real cost associated with it, we can know our customers better, provide better service — that’s a much better place for us to be,” he said.
When asked about a recent CBRE report that noted that the amount of commissions paid to third parties rose last year, Sorenson said, “Yes, that’s industry wide, and I think the OTAs are continuing to grow well. Obviously, their contribution is much higher with independents because they don’t have loyalty programming in their platforms. And those companies continue to do well, and by the way, even if we got to an ideal world, it doesn’t mean that there are no reservations coming to us from some of these other platforms, because they serve a customer that doesn’t travel that frequently. And we are not likely to know that customer, and but that’s okay, and they might continue to grow. But I think we will continue to see our loyalty penetration grow as well and that’s a long-term goal.”
On stage, following a luncheon where he sat at the same table as Expedia CEO Dara Khosrowshahi, Sorenson joked, “Well, there’s Dara sitting right there and we didn’t negotiate once during lunch. Neither of us [Marriott and Starwood] have experienced negotiations [with the OTAs] since we closed the deal … I think, if I remember right and I think, whether it’s with Expedia or with other online travel agents, we have each got areas where we want to grow our businesses and maybe a little bit to the exclusion of the other, and we each have areas where there’s work we can do together.”
He added, “Where the OTAs are most additive to us is with the occasional leisure traveler who’s not a member of our loyalty program, who may not know that much about hotel brands, who’s going to look not just for the kind of choice that we’ve got in our system but for even broader choice, someplace else. If we can sell rooms to those folks and obviously then try to press upon them through service and product, that they should be customers of ours, that’s a good thing for us.”
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Interview: Marriott CEO on Politics, Technology and Loyalty
Arne Sorenson (right) was interviewed on stage by Rebecca Jarvis at the NYU Hospitality Industry Investment Conference on June 5. Mark McQueen / NYUSPS
Skift Take: Despite the challenges facing the industry, Sorenson remains optimistic and determined to make sure Marriott's $13.3 billion bet on loyalty pays off.
— Deanna Ting
Arne Sorenson is not the kind of hotel CEO who likes to stay quiet about the most pressing issues impacting not only the hotel business, but travel overall.
Most recently, the Marriott International CEO penned a piece urging governments to implement smarter ways to deal with safety and security in travel. And before that, he also wrote an open letter to then President-Elect Trump.
Skift spoke to Sorenson while he attended the New York University Hospitality Industry Investment conference in New York on June 5 to ask him for his thoughts on the industry. What follows also includes excerpts from his conversation on stage with Rebecca Jarvis at the same conference.
Skift Editor’s Note: Sorenson’s quotes have been edited for clarity and length.
The Current Climate
“I think one of the challenges we’ve got today is when we look at the events in London or we look at the travel ban tweets this morning, or we look at some attributes of the world we live in, it could feel a little negative,” Sorenson said. “I actually think we’ve got to be careful about that because we’ve got significantly growing global travel. We’ve got [this], both in domestic travel in the United States and maybe in the markets surrounding it, and because of this move toward wanting experiences — including travel — because of this move of a growing mobile middle class, there is a lot about the future which is really positive.”
“The best thing we can do for laptops is if, in the entire world, we’ve got TSA-like security where people are looking at your bags, or going through every item, and it can be a burden in some airports and some countries, but it’s a burden that applies to everyone, and by and large it means that we’ve all as travelers learned to just put up with it,” he noted. “I think, similarly, in the laptop space, or other spaces around technology, the more these can be decisions that are made with other countries involved, I think the less unique impact it would have on the United States. So, if there was a laptop ban for inbound U.S. business only, it would simply be yet another reason why somebody might not continue to come to the United States. And that’s where it starts to have the possibility of hurting us.”
Investing in Experiences
Earlier this year, Marriott announced its investment in PlacePass, a tours-and-activities metasearch platform, and it’s clear that Marriott, like its peers, is seeing the increasing importance of playing a bigger role in the entire, end-to-end travel journey for customers.
“I think we [as a society] are broadly much more interested in collecting experiences than material things,” Sorenson said. “And that maybe could be said uniquely about Millennials but I truly think it could be said about people like me too, and it’s how do we how do we take a trip or how do we have a meal which is really memorable, and then we could share it.”
“Our entire business is experiences,” he added. “We’re in a really good place to be because all around the world we see people say ‘I want to go see Paris and New York or you know, the parks, or whatever, fill in the blank. And I want to do those things as a higher priority than 10 or 20 years ago.’ Now, in the PlacePass context, that is a little bit more finally focused, which is how do you make it easy for folks, given what broader experience of travel there is to find these unique activities that they can engage in when they’re traveling. PlacePass is a way of doing that with hundreds of thousands of options already.”
Shifts in Hotel Design
Sorenson said that although Marriott currently has 30 brands in its portfolio, each with very different styles and designs, he’s seen a few universal trends among each — and again, none of them is going away anytime soon.
“Some trends are really basic and obvious: big TVs. I toured a number of hotels last week, and every one of them they had 55-inch TVs. And if you were back just a few years ago, you know, you felt great if you got a 42-inch TV, because often you might get a 32- or a 37-inch and so you see that now … and with it you see the technology evolving. So, on that big TV we can watch through our own Netflix account or we can cast it on from our devices that we are carrying with us. And so that technology, particularly around entertainment, is pretty powerful for the guest experience and the way we’re designing hotels.”
“I think secondly, the hard-surface floor in the guest room is getting to be more and more standard,” Sorenson added. “I think that it will not be the case in every brand because that fact is it is getting more expensive on the front end.”
“The third thing I talk about is food and beverage,” Sorenson said. “I want to localize food/beverage experience. That might be a concept that we own and operate ourselves, it might be, let’s say a license that we have with a third party, or it might be an outsourced arrangement, but how do we get in the position where we’re bringing life back into the food and beverage offering, particularly at lunch and dinner? With breakfast, obviously, you’ve got a captive audience that you could sell breakfast to but pulling people in at dinner is what really demonstrates the power of the restaurant.
The Front Desk Will Be a Thing of the Past
Marriott’s app on iOS allows check-in and mobile keys, depending on properties.
While speaking on stage, Sorenson predicted the hotel front desk may soon be a thing of the past, thanks to the growth of services that can be facilitated via mobile devices. While keyless entry has seen wider adoption in recent years thanks first to Starwood, then to Marriott’s adoption of the technology, it has yet to go wide with consumers.
“Think about opening your guestroom door with your phone and not having to stop at the front desk,” he explained. “Think about that as having room service waiting in your room when you arrive. Think about that as being at the beach in front of the hotel and wanting lunch and being able to get on the app and have the lunch brought as opposed to waiting for the waiter who’s trudging through the sand to try and take orders as well as deliver orders. This collection of mobile services is available now but the penetration is growing dramatically. I would think within a very few number of years, overwhelmingly, when we’re on business travel, we’re going to have the ability and probable likelihood of bypassing the front desk.”
Merging Starwood and Marriott Through Technology
In May, discussing Marriott’s first quarter earnings, Sorenson said the biggest risk involved in the integration between Marriott and Starwood involved technology and at the NYU conference, he elaborated further.
“So far, all things evolving the integration are going great. We feel it’s going as well as we could’ve anticipated actually and even better. Technology is the thing that seems to take time, which is what I mentioned in the earliest call. Think about the property management system. There are a number of variants revolving to the next generation before we combine Starwood, so how do you get to the right number of property management systems to make sure they’re compatible? How do you make sure you have a functionality you need to have which is dealing with multiple currencies and cost effectiveness because you could have a super high-end luxury hotel that’s big or you could have a relatively small boutique hotel that really needs the efficiencies. So, we’ve gone through those depths. And similarly, as we’re looking at the property management systems, how do you take the two that were there which are both about technology and about people. Where are they located? How are they interacting with the customers? How are they interacting with the online booking?”
“And of course, then you’ve got the stuff that is yet to come around: automation and artificial intelligence,” he said. “A lot of that is going to be about getting to know our customers better and how do we without going too far we make sure that we’re using the information.”
A Loyalty Update
“I think the loyalty programs are enormously powerful and have been for many years the most powerful platform for us to have relationships with our customers. And I think, if anything, they’re getting more powerful not just for us but for everyone,” Sorenson said.
Sorenson also said one thing that surprised him was how passionate Starwood Preferred Guest (SPG) members were about their program. “I think early on, the thing we maybe didn’t appreciate quite as much as we should have was how rabid the SPG elite’s needs were about their program. Maybe that shouldn’t have been that surprising, but they were. They said, ‘Oh my God, what’s going to happen to our program? What are you going to do with my points?’ So we’ve engaged and entered into that conversation with them.”
He added, “[For the] legacy [Marriott] brand it’s worth well over 50 percent to 60 percent of our business which is rewards related. Starwood was a bit lower than that, but a piece of that was that the distribution was smaller, and another piece of that is also that the distributions can be a little bit more in non-business markets where your percentages are always going to be a little bit higher.”
“But you know I think so far so good. I think the connection of the two platforms from the beginning [with account linking], which we’ve talked about before, was absolutely huge and I think we still get great compliments from our customers who say I love the fact that I got the benefits of both programs from the beginning. Maybe it was not as simple as I’d like it to be in some point in time, but we’ll be moving now with a goal of fully integrating all three programs by the second half of 2018.”
He also noted, “I think a number of us in the industry are seeing that our loyalty penetration is nearing 60 percent today of all business, so it gives you a sense of how powerful these loyalty platforms are.”
Will There Be More Mergers and Acquisitions?
Having participated in what is arguably the largest acquisition in the hospitality industry in recent years with the tumultuous $13.3-billion purchase of Starwood Hotels & Resorts, Sorenson said he thinks another transaction of that magnitude may not be as likely going forward.
“The challenge on the M&A [mergers and acquisitions] side, in predicting it, is companies are not always for sale and the big advantage we have is that Starwood was first and so we could step in, which we did at the last minute, and be successful in buying the company,” he said. “But if Starwood hadn’t been for sale and we went and knocked on their door in Stamford, my guess is they would’ve said, or maybe not even answered the door, but they may have said, ‘We’re not interested in this.'”
“I do think, in the fullness of time, people understand that there are advantages around size and they’re about loyalty programs, they’re about investing in technology, they’re about distribution: who are you selling, how do you sell to them, and so I think we’ll see that [consolidation] continuing.”
On Direct Booking
The other big story dominating many conversations within the hospitality industry last year involved direct bookings, or the proliferation of member rates for customers who book direct with the hotel brands instead of booking through third parties like online travel agencies (OTAs) like Priceline and Expedia.
Sorenson said he expects a focus on direct bookings will continue this year.
“I think the direct booking thing will also continue to be a priority for the industry because the more we can have our business encapsulated within our loyalty program, there are customers coming to us directly therefore there’s less frictional cost associated, there’s real cost associated with it, we can know our customers better, provide better service — that’s a much better place for us to be,” he said.
When asked about a recent CBRE report that noted that the amount of commissions paid to third parties rose last year, Sorenson said, “Yes, that’s industry wide, and I think the OTAs are continuing to grow well. Obviously, their contribution is much higher with independents because they don’t have loyalty programming in their platforms. And those companies continue to do well, and by the way, even if we got to an ideal world, it doesn’t mean that there are no reservations coming to us from some of these other platforms, because they serve a customer that doesn’t travel that frequently. And we are not likely to know that customer, and but that’s okay, and they might continue to grow. But I think we will continue to see our loyalty penetration grow as well and that’s a long-term goal.”
On stage, following a luncheon where he sat at the same table as Expedia CEO Dara Khosrowshahi, Sorenson joked, “Well, there’s Dara sitting right there and we didn’t negotiate once during lunch. Neither of us [Marriott and Starwood] have experienced negotiations [with the OTAs] since we closed the deal … I think, if I remember right and I think, whether it’s with Expedia or with other online travel agents, we have each got areas where we want to grow our businesses and maybe a little bit to the exclusion of the other, and we each have areas where there’s work we can do together.”
He added, “Where the OTAs are most additive to us is with the occasional leisure traveler who’s not a member of our loyalty program, who may not know that much about hotel brands, who’s going to look not just for the kind of choice that we’ve got in our system but for even broader choice, someplace else. If we can sell rooms to those folks and obviously then try to press upon them through service and product, that they should be customers of ours, that’s a good thing for us.”
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Inside beauty & Essex, Hollywood's Glitzy New Dining Palace
If there was ever an eating place that becomes a whole lot higher than it needed it to be, it’s Beauty & Essex, a wonderful new Dining corridor inside the coronary heart of Hollywood from the TAO Group. It’s the first shot throughout Tinseltown for the nicely-mounted nightlife and ‘vibe Eating’ Group from New york Metropolis that’s additionally starting Luchini, TAO, Street, and Highlight Room within the giant complicated in which the Dream Motel may be located.
Hollywood’s Glitzy
But Beauty & Essex comes first (although TAO had a quick preview two weeks in the past in advance of a complete establishing). Beauty opens Tuesday, March 28 in a significant 10,000 square foot complex that encapsulates the quality aspects of its Lower East Facet authentic (with the grandeur of its 2nd Las Vegas outlet). Up the front, a real stay collector’s keep with expensive rings and musical instruments that act as a sort of trompe l’oeil entrance that opens up into various lounges and Eating rooms.
The menu, conceived by Chris Santos, includes snackable bites like grilled cheese and tomato soup dumplings, tomato tartare, oven-braised meatballs, and tuna poke wonton tacos. Everyone acquainted with the earlier and modern-day variations of Faith & Flower will see lots of notion here, with the faux vintage decor to the club stay rant fare (note that Beauty & Essex was a form of the original right here). Nevertheless, TAO Institution’s effort in Hollywood is possibly even more ambitious, more breathtaking in its scope, and in the long run greater of a strike to the coronary heart of celebrity and nightlife tradition in La. Expect it to be poppin’ from day one.
Reasons to use the Expert Gutter Cleaning Services in Essex
In case you are one of the fortunate men and women who personal a house inside the stunning Essex County within the south of England, then you possibly realize how lovely and well maintained the houses on this location are. greater than 14,000 suitable homes are listed in this county and they are all a sight for sore eyes. Furthermore, you have got possibly seen your associates getting to their houses or yards and making them look today’s and smooth all the time. But, there are some troubles which are higher left on the shoulders of people who are experienced and trained in Cleaning homes. It is not anything to be ashamed of In case you motel to experts every so often. There is no reason not to name in professionals, particularly if the venture to hand is a treacherous and doubtlessly dangerous one. Have you ever wondered about the one’s persons you notice on top of the houses? Surely, they can not all be residents of that specific home, However, as a substitute, some specialized gutter cleaners doing their task every unmarried day and assisting all the appropriate and vintage Essex homes return to their glory days.
Gutter Cleansing in Essex has in no way been optionally available, But many house owners used to take care of this messy and unsightly mission on their very own inside the beyond. But, this isn’t always beneficial as it is able to be extremely risky at instances and offer to be a reasonably extenuating chore, to say the least. Therefore, here are a number of the principle Motives that push humans in the direction of hiring specialists in the field of Cleansing. On the only hand, the experts can do it better and faster, due to the fact that is their activity. They have the device wanted, the ladders, the substances, the unique tools and all the wanted accessories to complete the gutter cleaning very quickly. Then again, their method is usually a secure and skilled one. With such a lot of comparable jobs done in the past, you can ensure that the dedicated group individuals you lease from specialized firms are constantly prepared to address any Essex building, irrespective of how vintage or new it might be. Remember that the county of Essex is one of the oldest in Britain and most of the homes right here are in particular tall, making the procedure of accomplishing the gutters a complex and treacherous one. Do no longer try and clean them for your personal, specifically If you just purchased the house or do no longer recognize how strong or reliable the gutter device without a doubt is.
Any other motive to leave the professionals to deal with this is the fact that the gutter Cleaning Services in Essex have grown to be so inexpensive that few men or women truly want to do that untidy chore on their very own. Why now not relax and take a visit to the close by points of interest and substantially preserved pieces of English history, together with the Hedingham Fort, in preference to spending the entire weekend to get rid of all the leaves and dirt from the top of your house? you can certainly name in the experts and have the job executed very quickly, at the same time as you have got enough spare time left to go to the Upminster Windmill or the Epping Ongar Railway. The options that stunning and rural Essex has to provide are clearly incredible, as long as you understand the way to make your lifestyles less difficult with Professional gutter cleaning Services.
Why Cross Self-Catering in Southend-on-Sea, Essex?
Five of the various True Motives for Journeying Southend-on-Sea in Essex
1) The Beaches
The coastline has several Seashores at nearby Shoeburyness, Thorpe Bay, Westcliff-on-Sea, Leigh-on-Sea and Chalkwell as well as the primary one in Southend-on-Sea. right here you may discover the longest leisure pier within the international in which you can walk or seize a educate one and 1 / 4 miles to the give up. that is also the beginning of the Golden Mile with many eating places, bars, and amusements. Subsequent to the Pier is the sector famous Journey Island, an ought to for all of the youngsters with its many rides.
2) vintage Leigh
A quick distance away (2/three miles) is old Leigh (the antique city of Leigh-on-Sea) in which you can pattern the services of five exceptional pubs in a single street, the Crooked Billet, the Peterboat, The Smack, The Deliver and the Mayflower in addition to the world over famed Boatyard restaurant and These days opened clearly Seafood eating place. There is also, a teashop, fish in chips, fresh fish stalls as well as the world well-known Leigh Cockle Sheds.
3) Hadleigh Fortress
A little similarly along the coast, you may discover the historic Hadleigh Fortress, built with the aid of King Henry 111 in 1232. A portray via John Constable of Hadleigh Fort is now exhibited at the Yale Centre of British Artwork at Newhaven within the U.S.A. One of his earlier sketches is currently displayed in the Tate Gallery. This ancient shape is considered to be the most vital past due-medieval Fortress in Essex and is preserved with the aid of English Background as a Grade I listed building. The ruins of the Fort are the most prominent historic landmark within the local surrounding vicinity and furnished part of the name for the borough of Fortress Point in 1974.
4) London
If you wish to visit London, Southend-on-Sea makes a super base. a lot of site visitors take the opportunity to go to London with the aid of teaching. It takes simply 45 – 55 minutes to leave Southend Critical Station and arrive at Fenchurch road Station, just a few yards from the Tower of London, in which you’re a brief bus or tube train ride to the whole lot London has to offer. There is constantly unique family offers at the railway, making it a viable alternative to clearly staying in London.
5) The lovely Essex Geographical region
Pressure for simply 10 – 15 mins and you’re inside the stunning Essex Countryside with its many awards triumphing villages. A touch in addition and you are inside the historic city of Colchester and then Constable us of a and East Anglia and a number of the maximum picturesque landscapes inside the united states of America.
The poet Laureate Sir John Betjeman become a frequent tourist to Southend-on-Sea and stated the top notch sea air he breathed following the fast train journey from his home in London. He wrote
A bronze bust of Sir John is on permanent exhibition at the Beecroft Art Gallery in Westcliff and one of the famous Southend Pier trains is known as after him.
In case you are Journeying Southend-on-Sea in Essex, the closest seaside metropolis to London, self-catering is a first-rate concept whether or not for, households, couples or friends. As compared to staying in a Motel, self-catering lodging gives you a lot of flexibility whilst you are away from domestic. you could come and Go as you need, you can cook dinner your personal food or have a snack on every occasion you want, PLUS you’ve got your personal residing area with separate lounge and bedrooms as well as a outfitted kitchen and bathroom.
The Everhome (Self-Catering) Apartments are only mins walk from the stunning gardens within the historic Clifftown Conservation area and the Cliffs Pavillion complex with its theater, eating places and bars. They make a perfect base for excursion makers or business those who require accommodation in Southend-on-Sea.
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