Newsletter -August 7, 2002
Bidders
line up for Travelodge
London Times -
Financial bidders
are lining up to take part in Compass Group's Pounds 600 million auction of
Travelodge and Little Chef with a view to pursuing a securitisation of the two
roadside businesses.
Whitbread, the owner of the rival Travel Inn budget hotel
chain, is also known to be running a sliderule over the assets, although the
leisure group's unwillingness to pay a premium for brands it does not need
makes a move less likely.
Analysts believe that the auction, which is being handled by
Schroder Salomon Smith Barney, will be dominated by financial bidders, with
Societe Generale, the French banking group, known to be among those
considering a bid. An information memorandum was sent to prospective buyers
about ten days ago.
Although the hotel industry has been badly hit since
September 11, roadside lodges have proved remarkably resilient. One analyst
said: "Budget hotels are not subject to the industry's traditional
cyclicality. These businesses have strong and reliable cashflows that would
make them ideal for securitisation."
In addition to SocGen, the likes of Candover and Charterhouse
Development Capital, the new owner of the bookmaker Coral, are tipped as
potential bidders alongside principal finance specialists such as WestLB's
Robin Saunders and Guy Hands, who recently decamped from Nomura to set up his
own firm, Terra Firma Capital Partners.
Mr Hands, who also masterminded Nomura's acquisition of the
Meridien hotel chain from Compass, is reported to have secured almost a third
of the Euro 3 billion (Pounds 1.9 billion) he is hoping to raise for Terra
Firma despite turbulent financial markets. However, the Travelodge auction may
have come a little too soon for him to bid.
Although buying Travelodge would give Whitbread a stranglehold
on the roadside market, observers believe that it would be unwilling to pay
anywhere near as high a price as financial players. There is also a risk that
a merger of Travel Inn and Travelodge, with a combined total of 460 hotels and
28,000 rooms, could prompt an inquiry by the Office of Fair Trading.
A spokesman for Whitbread said: "We never comment on
market speculation."
BIL
denies agreeing to sell stake in Thistle hotels
AFP - BIL International Ltd. on Monday denied
reports it had agreed to sell its stake in British chain Thistle Hotels plc.
"The Board of BIL International Ltd. notes the widespread
press speculation over the weekend regarding its stake in Thistle Hotels plc
and advises that it is not true that the company has agreed to dispose (of)
its 46 percent stake in Thistle," BIL said in a statement.
Shares of BIL, previously known as Brierley Investments,
closed four cents or 8.16 percent higher at 53 Singapore cents (30 US cents)
ahead of the denial.
Earlier, the Business newspaper in London reported BIL
International, Thistle's biggest shareholder, was set to sell its holding to
the highest bidder for as much as 720 million pounds.
News@PATA
PATA DROPS WTM STAND PRICE
The PATA Europe Division is making a special offer for
participation in the PATA Stand at WTM 2002 (November 11-14, London). PATA is
offering a special registration fee of US$2,900 for registration before
September 6, 2002. This is US$200 less than registration for WTM 2001. The
cost covers fully-furnished space in the PATA open-space stand which is in a
strategic location in the Pacific Asia area. The fee includes: one counter,
one table plus chairs, company banner, lighting, registration for two
delegates, delegates' badges and catalogue listing. To receive a WTM 2002 PATA
Stand registration form, e-mail europe@pata.mc. Fax: (377) 92 05 61 33.
NEW PATA STUDY ON ASIAN E-FARE DISPARITIES
PATA has released its latest E-Fare Barometer which shows the
disparity in ex-Frankfurt air fares for 10 Asian destinations booked via the
Internet on e-bookers.com. The report, written by acclaimed aviation expert,
Mr. James Reinnoldt of Axess Asia, is useful for tourism operators to
understand the differences which consumers are finding in the increasingly
important online marketplace. Copies of the latest report are available from
PATA at US$100 for PATA members and US$250 for PATA Chapters and non-members.
To order a copy, e-mail publications@pata.th.com. Or fax: (66-2) 658-2010.
PATA TASK FORCE APPRAISES HANGZHOU
A PATA Task Force inspected Hangzhou, China (PRC) July 15-20,
and will deliver its assessment of Hangzhou’s international tourism
prospects by mid-September 2002. The Task Force is chaired by Mr. Tim
Robinson, a Consultant for London-based law firm, Nicholson, Graham &
Jones. Other members include: Mr. Glenn McCartney, Lecturer, Institute for
Tourism Studies, Northern Ireland; Dr. Zadok S. Lempert, CEO, The Panorama
Group, Zurich; and Mr. Stephen Yong, Director-Northeast Asia, PATA. Copies of
previous task force reports are US$25 each for PATA members and US$35 for
non-members. For a list of PATA task force reports, e-mail: publications@pata.th.com.
A PATA destination can request a task force by writing to PATA headquarters at
TaskForce@pata.th.com.
ADVERTISING OPPORTUNITIES WITH PATA
PATA is inviting travel industry members to reach nearly
2,000 PATA members by advertising in the 2002/2003 PATA Member Directory. The
directory’s booklet advertisements start at US$500, while banners on its
interactive CD-ROM begin at US$150. Reservations and materials must be
received by August 15, 2002. You can also advertise in this weekly News@PATA
e-newsletter, starting at US$150 for 100 words, with discounts for multiple
insertions. Banner advertisements on PATAnet (20,000 users per month) start at
US$500 for three months. To request an advertising rate sheet, contact PATA
Manager-Communications, Ms. Paveena Olansuksakul. E-mail: paveena@pata.th.com.
IN MEMORIAM: JUDITH McGILVRAY
PATA regrets to announce that Ms. Judith McGilvray of
Southern Cross University (SCU) passed away on July 31, 2002 following a horse
riding accident at her home in NSW, Australia. Ms. McGilvray was from Iowa,
USA, but moved to Australia in the mid-1980s. She joined the staff in the
School of Tourism & Hospitality Management at SCU as a tutor in 1991. She
initiated the school's internship programme and helped establish the North
Coast Tourism Awards. From its inception in 1993 Ms. McGilvray organised the
SCU-PATA Tourism Executive Development Programme, which celebrated its 10th
anniversary in June this year. "Judith was a great inspiration to us all,
and will be greatly missed by her colleagues at SCU," said Mr. Perry
Hobson, Head of SCU's School of Tourism & Hospitality Management. Ms.
McGilvray is survived by husband Bill, son Tony and daughters Tracey and
Holly. The funeral will be held August 7 in Lismore, NSW. E-mail jglass@scu.edu.au
or tel (61-2) 6620-3257 for details.
IMPROVE MEKONG TOURISM
Former delegates at the PATA Mekong Tourism Forum and all
people interested in the future development of travel in Yunnan, Cambodia,
Myanmar, Lao PDR, Thailand and Vietnam are invited to fill out an online
survey on the future subject matter and direction of the Forum. Access the
survey at http://www.allaboutaccess.net/9thmtfsurvey.htm.
WELCOME PATA RIO CHAPTER
PATA welcomes the PATA Rio de Janeiro Chapter, which started
operations last month. Officers include: Mr. Eduardo Bocchino de Almeida,
Chairman; Mr. Bruno Mattos Linhares Jr., Vice-Chairman; Mr. Gilberto Bocchino
de Almeida, Treasurer and Secretary.
REACH THE GERMAN-SPEAKING MARKET
PATA will expand the "See You in Pacific Asia"
advertising campaign into the German-speaking marketplace in March-April 2003
with a 16-page full-colour editorial supplement in Business Traveller Germany
and inAsien, a consumer travel publication. The titles have a combined
readership of 360,000. PATA will print an additional 140,000 overrun copies to
be distributed at ITB 2003 and via the PATA Germany, Bavaria and Switzerland
chapters. Advertising space is limited and for PATA members only on a
first-come, first-served basis. For full advertising information contact PATA
Managing Director Europe & The Americas Mr. Bill Hastings at bill@pata.org.
Or Ms. Gerhild Burchardt, Publisher, Business Traveller Germany at burchardt@businesstraveller.de.
ALL ON BOARD FOR AMERICAS MEET
The 14th PATA Americas Division Meeting will take place
October 29-November 3, 2002 on board the 2,000-berth NCL Norwegian Sky. The
cruise departs Miami, Florida, October 29 stopping in Philipsburg, St. Maarten,
November 1, St. Thomas, US Virgin Islands, November 2, with final
disembarkation in San Juan, Puerto Rico, November 3. Delegates can join
sessions such as the PATA outlook for the North American outbound market 2003
and promoting special interest travel such as cruises, culture/heritage and
adventure. There will be an interactive session on chapter development.
Keynote speaker is Ms. Sue Shapiro of Shapiro Travel Resources. For a list of
registration fees and further information tel: (1-510) 625-2055. Fax: (1-510)
625-2044. E-mail: bill@pata.org.
SEMINAR ON ONLINE STRATEGIES
The PATA Thailand Chapter will run a one-day seminar on
September 6 called "Online Strategy for the Travel Industry." Topics
include transaction costs in international sales, upselling, skills variety
and sales negotiation techniques, case studies, and an analysis of supply
chain management. The event will take place at the Sofitel Central Plaza
Bangkok. For full programme details and a registration form tel: (66-2)
237-5195/9. Fax: (66-2) 237-5190. E-mail: pata@asiaaccess.net.th.
PATA STRATEGIC INFORMATION CENTRE WORLDWATCH
More than 270 million Chinese, a fifth of the country’s
population, are named either Li, Wang or Zhang, making them the three most
popular names in the world. Li, Wang and Zhang make up 7.9 percent, 7.4
percent and 7.1 percent of China (PRC)’s population respectively.
* United Airlines will begin interline electronic ticketing
with Delta Air Lines on August 14, allowing customers to use a single
electronic ticket when their itineraries include travel on both carriers.
Customers of both airlines will benefit from this new agreement if a need
arises for them to be re-booked from one airline to the other. Previously,
customers ticketed electronically had to convert tickets to paper before
transferring between carriers.
* Air arrivals traffic to Tonga climbed +11.4 percent during the
April-June 2002 quarter compared to the same period last year, with Australia
(+25.0 percent), the USA (+16.7 percent) and New Zealand (+11.4 percent)
leading the growth.
* The Economist August 3 edition reports a recent study by
Mr. Richard Florida of Carnegie Mellon University that says there is a close
correlation between a region’s openness to artists and its prosperity. A
large and visible population of creative types and of homosexuals, says Mr.
Florida points to a tolerant and diverse society of the sort that appeals
to the wider class of knowledge-workers who drive modern economies.
* British Airways has cancelled 26 of its 80 transatlantic
flights for September 11, 2002. A spokesperson said bookings were
"understandably" low.
Singapore
to open graduate school in hotel management
AFX - Singapore will open a school next year
offering post-graduate and executive development courses to raise
professionalism in the tourism industry, the city-state's tourism board said
Monday.
The International Hotel Management School is owned by a
consortium that includes the Singapore Tourism Board and leading hoteliers
such as Raffles International Ltd, HPL Leisure Holdings Pte. Ltd. and
Millennium and Copthorne Hotels plc.
It is part of Singapore's goal to become a centre for
education services and tourism, the tourism board said in a statement.
"To raise the professionalism of our tourism industry and
build on Singapore's status as an education hub, we will further develop
tourism education in Singapore," senior minister of state for trade and
industry Tharman Shanmugaratnam said.
Singapore currently offers diploma-level courses but it still
lacks post-graduate and executive development programmes in tourism and
hospitality management, said Tharman, who announced the formation of the new
school.
Enrolment will start in the third quarter of next year. The
school will negotiate with the world's top hotel schools in the US and Europe
to set up training programmes relevant to Singapore and Asia.
Travel
agents try to outflank the Web
MSNBC
- With so many Web sites
offering consumers discount airfares and low-cost hotel rooms, you’d be
forgiven for thinking that garden-variety travel agents all have one-way
tickets to Dinosaur Land. But travel agents are still a force to be reckoned
with, despite increased competition from the likes of Expedia, Orbitz and
Travelocity.
The Sept. 11 attacks fears of more terrorism and the
struggling economy have all put a crimp on consumers’ travel plans, and they
have also made life harder for your average travel agent.
"
What’s more, a growing number of Web sites offer consumers an easy way to
hunt for discounted flights, cruises, hotel rooms and rental cars. And earlier
this year, the airlines cut to zero the commissions they have traditionally
paid out to travel agents for selling their tickets.
But despite the setbacks, the travel agent has yet to go follow the same path
as the dodo bird.
According to Jupiter Research, agents remain an important part of the travel
industry, selling about 80 percent of all airline tickets purchased in the
United States and accounting for around 70 percent of all the travel bookings
made.
Agents still sell over 90 percent of the cruises, package
tours and about half of the hotel rooms booked in the United States, according
to the American Society of Travel Agents, which represents about 13,000 travel
agencies. And while the airlines might have cut their commissions, agents
still receive healthy commissions for sales of cruises and hotel rooms.
“A lot of the talk in the press has been about the imminent
demise of the travel agent and the rise of the online travel business, but I
think that’s a bit premature,” said Jared Blank, a travel analyst at
Jupiter.
While the elimination of commissions by the major airlines
has hurt some smaller mom-and-pop travel businesses, larger firms have
diversified and consolidated says Blank, adding that although traffic to
online travel sites is growing, the Web doesn’t pose a significant threat to
agents’ dominance in the travel business.
n 2002, 13 percent of all U.S. travel will be booked using
the Web, according to Blank. That number is projected to grow to 22 percent by
2007, he added. “So even in five years’ time the vast majority of all
travel booked will be done through the offline channel.”
But as competition grows, travel agents are finding they must specialize,
or focus on selling more lucrative travel products, in order to survive.
A good travel agent understands the intricacies of the travel business,
analysts and agents argue. For this reason, many are focusing on niche
markets, seeing their service as selling expertise rather than simply selling
products.
“Increasingly, we’re seeing travel agents becoming specialists in
certain areas, like vacations in France or Caribbean cruises,” said
Jupiter’s Blank. “They have a depth of knowledge about a destination or a
type of vacation. That’s something that a Web site still can’t offer and
people are still willing to pay for that expertise.”
PRYING OPEN THE CABIN DOOR
For John Dekker, a travel agent in Huntington Beach, Calif.,
good service is necessary for doing good business. When two of Dekker’s
clients called him recently, requesting seats on a sold-out flight to London,
he worked the phone and found the spaces.
“The flight was completely full, but because of my
partnerships in the travel business I was able to call the station manager at
LAX and get those seats for my clients,” said Dekker, who runs a franchise
of Carlson Wagonlit Travel. “Providing that level of service to my clients
has been a key to the growth of my business,” he said.
Dekker concedes that business has been difficult in recent
years, but he says he has adapted by working to develop alliances with a
handful of major airlines, from which he derives large incentive commissions
for selling tickets to his clients.
“If I can sell my preferred carriers, I make more money from the
commissions,” Dekker added.
Henry Harteveldt, a travel analyst at Forrester Research, says he thinks that
economic difficulties will cause the number of travel agencies in the United
States to decline by about 20 percent over the next 3 to 5 years.
“I don’t think travel agents will become extinct, but I do think they
might become an endangered species,” Harteveldt said. “The agents who
survive will need to be sharp to survive. They’ll be accredited travel
professionals and not just ticket sellers. You’ll pay them for a service the
same way you pay an attorney for advice or pay an accountant to do your taxes.
Sacramento
Market Overview
Written By: George
A. Comitos HVS
International
The state capital of the nation’s most populous state,
Sacramento has long enjoyed a degree of economic stability in terms of hotel
demand. The Sacramento hotel market includes approximately 11,800 rooms
located in what are commonly considered to be four primary submarkets,
including downtown Sacramento, Natomas, the Arden/Cal Expo area, and the
Highway 50 corridor (or Rancho Cordova). Hotels achieving the highest rates
tend to be the upscale, full-service properties in downtown Sacramento and
commercial transient hotels located in South Natomas.
Although downtown Sacramento has realized significant
redevelopment and transformation in the most recent 10 years, the major
commercial growth occurring in the metropolitan Sacramento area is taking
place in the Roseville/Rocklin submarket, along the Interstate 80 corridor
(not discussed herein), and in Rancho Cordova and Folsom, along the U.S.
Highway 50 corridor. Each of the four submarkets are defined by several
factors, among the most important is type of visitation.
The 503-unit Sheraton Grand opened in downtown Sacramento in
April 2001, followed by the 242-unit Embassy Suites Sacramento
Riverfront-Promenade in June 2002. Although the shortage of full-service hotel
rooms in downtown Sacramento have limited the number of attendees at
convention center functions, these two properties represent a 22% increase in
the number of hotel rooms located in downtown Sacramento. Historically, larger
downtown conventions resulted in compression to the Arden/Cal Expo and South
Natomas submarkets.
Given the addition of the latter two properties, decreased
compression to these markets is anticipated, although efforts were made in
2001 by the Sacramento Convention and Visitors Bureau to increase convention
business. Efforts included increasing the transient occupancy tax (and an
estimated $3.0 million CVB budget), the opening of an East Coast convention
sales office, increasing the marketing presence in Chicago, and an increase in
CVB marketing staff. The 504-unit Sheraton Grand opened in downtown Sacramento
in 2001. The Rancho Cordova hotel market increased by 385 limited-service and
extended-stay rooms from 1999 to 2002 and a 154-unit Hilton Garden Inn opened
in South Natomas in May 1999.
Situated along one of California’s primary transportation
arteries (Interstate 5 or I-5), downtown Sacramento contains the state Capitol
and is a viable location for significant conventions. High-rated state
government legislative and lobbyist visitation occurs downtown between the
months of March and October. Commercial transient demand is also generated by
private contractors conducting business with state government agencies such as
the Cal EPA and the Department of Health Services.
In 1996, downtown Sacramento’s convention center underwent
an $80-million expansion, and offers ±134,000 square feet of exhibition
space, a ±24,000-square-foot ballroom, and 21 meeting rooms containing over
±32,000 square feet of space. According to the convention and visitor’s
bureau, the convention center is marketed as California’s Gold Country, a
value destination relative to San Francisco or San Diego. This convention
market competes for demand with Long Beach, Santa Clara, Phoenix, Albuquerque,
and Reno. Downtown Sacramento is located proximate to Old Sacramento, which
generates leisure demand.
Properties in the Cal Expo/Arden area contain significant
amounts of ballroom and meeting space, thus benefiting from self-contained
meeting and group demand. Additionally, meeting and group demand results from
the presence of the Cal Expo Center, which is located in the Arden
neighborhood. Office development located along Watt Avenue (in the Point West
Neighborhood) generates higher-rated commercial transient demand Monday
through Thursday. Hotels located in the Arden/Cal Expo area are accommodating
large shares of airline demand due to less compression from downtown.
The South Natomas submarket is typified by Class A suburban
office parks such as those contained within River Plaza and Gateway Oaks.
Prominent tenants in these business parks include: US Grenier, MCI Worldcom
(now filed for bankruptcy), Honeywell, Nortel, and IBM. The El Camino Avenue
corridor, west of I-5, provides access to several industrial parks. Hotels in
this submarket are limited- or focused-service in orientation and benefit from
strong Monday through Thursday commercial transient demand. Additionally,
these properties capture demand from North Natomas, which is near the Arco
Arena, home of the NBA’s Sacramento Kings. Excluding airport properties,
North Natomas currently contains no hotel rooms.
Finally, hotels in Rancho Cordova typically accommodate
commercial transient demand generated by the recently developed office and
corporate parks located along the Highway 50 corridor, or those at the
previous Mather Air Force Base, currently Mather Commerce Center and Airport.
Some degree of leisure demand is captured from motorists traveling Highway 50
and Interstate 5 through Sacramento on their way to various California or
Nevada destinations.
At the end of 2001 there was approximately 34.9 million square
feet of office space in the aforementioned submarkets, with an additional 2.9
million square feet under construction and due to enter the market in 2002 and
2003. Following a record year in terms of office market performance in 2000,
vacancy rates among office these submarkets ranged from 5.4% in the Campus
Commons submarket to 29.9% in the North Natomas submarket; the average vacancy
rate at the end of the first quarter of 2002 was approximately 9%. Demand for
office space softened in 2001 and the first quarter of 2002 due to the
slowdown of the national economy; however, the decrease was not as steep or as
sudden as San Francisco’s.
Vacancy rates at the end of the first quarter of 2002 are
expected to increase throughout Sacramento, as new construction enters the
market. Sacramento’s historically strong industrial space market has
experienced trends similar to those of the office market, though with less
volatility. Vacancy rates increased only slightly in the first quarter of
2001.
The following data represent hotels located in the
aforementioned submarkets, with the exception being those properties located
in the Highway 50/Rancho Cordova submarket.
In 2000 occupancy and average rate were 74.0% and $83.14,
respectively. Demand for hotel rooms decreased in 2001, following economic
retrenchment, although properties located along Interstate 5 benefited from
increased motorist traffic following the events of September 11. Downtown
hotels realized what could be considered a healthy convention year in 2000/01.
Hotel occupancies in the South Natomas and Rancho Cordova submarkets were
impacted by a decrease in telecommunications- and high-tech-related activity.
Strong increases in hotel supply and a slight decrease in demand in 2001
resulted in a city-wide occupancy of 70.1% in 2001. Despite this, hotel
operators were able to increase average rate in 2001, which resulted from room
rates that were negotiated in late 2000 being carried over into the first
quarter of 2001.
Year-to-date results through May 2001 and 2002 reveal a
continued decrease in market-wide occupancy; however, this resulted from
continued absorption of new hotel rooms. Market-wide demand for hotels
increased slightly, by 0.4%, for the comparable year-to-date periods through
May 2001 and 2002. In the aforementioned year-to-date periods, average rate
decreased by only 0.4%. This indicates that a small rebound in the market has
occurred in terms of demand. Supply-side economics continue to have an impact
on Sacramento hotel market performance.
On the supply side, a proposed 200-room Westin (at the north
side of Capitol Mall), 80-100-room expansion of the Hyatt Regency, 220-room
Marriott Residence Inn, and another hotel of undetermined room count are
planned for development in downtown Sacramento. Management of the Radisson
Hotel (included within the Arden/Cal Expo submarket) has been planning a
120-room expansion. Together, these projects constitute an increase in room
supply of roundly 18%, based on the total room count of 2,500 in downtown
Sacramento. Along the Highway 50 corridor, a proposed Staybridge Suites is
currently identified as speculative at Cal Center Drive. In the near-term,
future supply additions are expected to be minimal due to the lack of
available financing for hotels.
The Sacramento hotel market enjoys greater stability in terms
of overall occupancy than large, aggregate markets such as the San Francisco
Bay Area. Sacramento’s hotel submarkets are each supported by diverse,
high-quality demand generators that are interspersed throughout the city.
Following a lack of real estate activity in downtown Sacramento, the last five
years have brought significant new convention center, office, hotel, and
residential development. Hotel operators in downtown Sacramento reported that
the neighborhood’s shortfall was the lack of sufficient hotel rooms
following the convention center expansion.
New hotel rooms have been added to the downtown hotel market,
which will allow for greater convention center visitation. We note that
Sacramento International Airport expanded in 1998 and the convention bureau
has enhanced its marketing efforts. Thus, city infrastructure and marketing
are in place for increased hotel visitation resulting from growth in
convention demand. The additions to hotel supply in the short term may result
in less compression to other submarkets, such as Arden/Cal Expo and South
Natomas. This will be particularly important in the immediate future, pending
national and regional economic recovery. In terms of the mid- to long-term
outlook, we anticipate recovering occupancy paired with continued average rate
increases.
For further information, please contact:
George
A. Comitos
HVS
International
Zero
Hotel Commission? Another commission debacle for travel agents ensues
AS
AntiTrust Travel Agency Compensation (ATTAC) readies their fight with the
airline industry for implementing the zero commission rule, another situation
has emerged wherein travel agents deal with commission woes anew. In what some
travel agents are calling as yet another ploy to rid of travel agents their
commission shares. "Every month, when I receive my commissions check
through Pegasus, I am coming across more of these," said Nick Amin who
has brought his concerns to eTurbo News regarding what he claims as a new
tactic employed by Marriott Hotels and their related properties to do away
with commissions payable to them. Amin has presented some information which
documents his compliant for what he claims to be "unethical business
practice."
The
tactic, Amin told eTurbo News, is Marriott converting his company's
reservations from commissionable rates to non-commissionable rates. Amin
claims that he is certain that this is ongoing because "it has happened
to our agency's personnel on multiple occasions." According to Amin, the
conversion occurs at the time of check-in where Marriott's front desk
personnel "makes small talk" with guests and then subsequently
adjusting from the rate to a lower rate which was neither asked for nor
discussed. Amin's complaint to Miller clearly indicates very specific
reservation details, including names and dates. The situation has so
frustrated Amin that he has taken his complaint to Marriott even further by
contacting International Global Sales Vice President Fred Miller via email.
Amin's email details specific reservations where Marriott employed the
conversion tactic leaving travel agents "to get the short end of the
deal."
In
response, Miller stated, "we pride ourselves on having the best travel
agency programs in the industry- the best commission payment system, no
web-only based rates, single image inventory giving travel agents the same
rates and rooms availability that the hotel has, and the best GDS connectivity
in the business." "We know that travel agents work very hard for
their clients and we appreciate the business they bring in to our
hotels," admitted Miller to Amin. Miller also pointed to Marriott's
Travel Agent Pledge of Allegiance to travel agents, which stipulates that
Marriott never initiate with the guest the changing of the rate originally
confirmed by a travel agent. This policy also maintains that if a guest
requests a change in the rate and the new rate is commissionable; commission
will be paid to the travel agency that booked the reservation. "We will
never change the rate that the travel agent has booked to a different rate,
unless it is guest driven," wrote Miller.
However,
Amin is not amused by Miller's response and replied, "you may as well rip
it up and flush it down the toilet because it is not worth the ink it is
written with," referring to Marriott's Travel Agent Pledge of Allegiance.
Amin exchange with Marriott has been ongoing since July 26 and had recently
brought it to eTurbo News. In response, eTurbo News has contacted Miller who
insists Marriott has done nothing wrong. "Marriott pays commission on all
rates, including corporate rates, except for some few contracts negotiated
with companies like AT&T or the government," disclosed Miller in a
telephone interview. When asked specifically about Amin's complaint, Miller
stated that he didn't feel comfortable discussing this issue any further
because "the complainer went around and published his internal memos to
everyone."
New
designer hotel for Bangkok
TravelWeeklyEast.com -
Bangkok will have a ‘designer’ hotel by late this year. The Davis,
owned by Khun Chuvit Kamolvisit, will be managed by Amari Hotels and Resorts.
Design was a key element in the creation of the hotel and Khun
Chuvit used the resources of many well-known designers for the interior. The
Davis aims to serve the corporate market.
In addition to the main hotel building, The Davis project also
incorporates 10 Thai houses and a retail centre. The Thai village will be
marketed as ‘The Residences at The Davis’ while the retail center, ‘Camp
Davis’ will feature mainly restaurants and cafes plus several speciality
boutiques.
Feel
calm enough for a career in hotel and catering?
Whatever you do, don't mention Fawlty Towers
Mention a career in the hotel and catering and up pops the image of Basil
Fawlty, that competitive, aggressive and impatient hotel manager who made his
guests wish that they weren't there.
Yet in
today's hotel and catering industry, which now straddles careers in
hospitality, leisure and tourism, someone like Mr Fawlty would not get house
room.
The
hospitality industry has recognised the need for graduates with a disposition
more akin to that of Sven Goran Eriksson - calm and unruffled personalities
who rarely get wound up.
Enter the
School of Hotel and Restaurant Management at Oxford Brookes University, which
has helped thousands of students prepare for careers in hotel and restaurants
management for more than 50 years.
The
Oxford Brookes Master of Science Degree in, International Hotel & Tourism
Management which normally involves one year of full-time study, helps students
to develop a more advanced understanding of hotel and tourism management in an
international context.
Unlike
other universities, it does not try to cover the international aspects of the
industry in a single module - its entire programme is dedicated to the global
perspective. Its one-year full-time programme offers aspiring managers an
ideal way to pick up not only the academic credential but also a high level of
professional expertise.
Esa
Ruotsalainen, from the class of 1999, says: "The MSC in International
Hotel & Tourism Management has given me confidence in my ability to
operate at a professional level in the hospitality industry. On completion of
the programme I secured a position as food services manager for Moat House
Hotels, an opportunity that would not have been available to me without the
skills and knowledge that I gained as a student at Oxford Brookes."
If you
have not had the opportunity to undertake work experience in the hotel and
tourism industry, don't worry as the university will arrange and supervise a
period of paid work experience needed to enroll on the programme.
Key areas
covered by the programme include managerial decision-making by reflective and
critical evaluation, the application of strategic and tactical methods to
business problems and evaluation of external influences in the international
hotel and tourism industry.
Alternatively
the university offers a dedicated Master of Business Administration(MBA)
course devoted to the hospitality sector that is delivered by open learning.
The programme provides managers with the opportunity to benefit from personal
and professional development, boosting their work performance and promotion
prospects.
The MBA
programme takes full account of the developing nature of the hotel and
restaurant industry, and the changing roles of the people who work in it. The
three-year open learning programme comprises three stages, building
step-by-step to an internationally recognised MBA.
After
each stage has been successfully completed a management qualification is
awarded starting from a Certificate in Management (Hospitality); a Diploma in
Management Studies and finally a Master of Business Administration
(Hospitality).
The MBA
scheme is designed with the needs of working managers in mind and uses a range
of learning materials. Students are continually assessed and assignments are
based on their workplace, which serves as a learning laboratory.
The
programme is designed to help develop the personal, analytical and management
skills necessary for hospitality managers working in a complex, changing and
developing industry around the world.
Elsewhere,
the Masters in Tourism Programme is run by the International Centre for
Tourism and Hospitality Research, based at the University of Bournemouth, is
worth considering.
The
centre has the cachet of being recognised by the World Tourism Organisation (WTO)
as one of only 15 educational institutions worldwide.
The
International Centre for Tourism and Hospitality Research provides a variety
of courses including the MSc programme, which offers seven distinct pathways
to a masters degree.
Most
courses are delivered through team mechanisms where two or more key staff
discuss issues with students, with the emphasis on creating a learning rather
than a teaching environment
Source: The
Guardian
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