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Travel buyers not impressed with new technology

Travel buyers are yet to be convinced by next generation technology, according to new Business Travel Show research.

More than half of the 134 European buyers polled believe that bots, Blockchain and alternative realities – such as augmented and virtual reality – will have minimal to no impact on the industry over the next three years. And just one fifth of buyers believe the technology will ‘significantly improve booking, saving time and money’ by 2022.

There appears to be marginally more faith in the opportunities presented by artificial intelligence (AI): 17 per cent believe it has the potential to ‘revolutionise’ the travel industry by 2022, one quarter feel it will ‘significantly enhance the traveller experience’ in that time, and just 39 per cent reckon it will have little or no impact.

Interestingly, the survey – which is part of the Business Travel Show’s ‘Travel 2022’ theme – also asked buyers how the industry will best survive the next three years. Despite the apparent nonchalance surrounding new technology, two thirds of those polled claim its survival will depend on innovation; 30 per cent believe it will be through evolution. Just 4 per cent think the sector needs a total reboot.

We Build Bots founder Paul Shepherd, who is taking part in a panel session about bots at the show, said: “When built and used correctly, chatbots can transform customer service, increase efficiencies and even help companies to save and make money. Multinational airlines and online travel sites would offer a competitive advantage if they were to offer a full integrated chatbot using AI and machine learning combined with customer service agent support in order to deliver a 24/7/365 intuitive service.”

Over the next three years, he said, “Natural Language Processing (NLP) will continue to improve, which means that chatbots will become easier and more intuitive to interact with. As well as this, the rise in voice will continue to have a huge impact. The possibilities of using voice are endless. Imagine asking your smart home device to check you into your next flight and receiving your boarding pass directly into your inbox. Or alternatively, ask it to search for a holiday that meets your needs, whether that be in school holidays, a particular temperature or less than a four-hour flight away. Chatbots use of voice is improving and evolving consistently and going forward, we’re sure to see huge developments in this space.”

The Business Travel Show is taking place on 20- 21 February 2019 at Olympia London.

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Second UK Voco Hotel opens in Solihull

The second UK hotel to operate under Voco – the new upscale brand from InterContinental Hotels Group (IHG) – has opened in Solihull in the West Midlands. It joins the first Voco in the UK, the Voco St David’s, Cardiff.

The 180-bedroom Voco St John’s, Solihull, features 13 event spaces and a health club with indoor swimming pool and has recently undergone a major refurbishment to introduce Voco’s bold and distinctive interior design . It joins the first Voco in the UK, the Voco St David’s, Cardiff.

Further Voco openings this year will include the rebranding of three hotels from the Principal and De Vere brands. They include Oxford Thames and Oxford Spires, which will both join Voco in May, and Grand Central Glasgow (July).

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New HBAA Executive Committee train to be Mental Health First Aiders

As the first step in the HBAA’s 2019 major initiative to encourage action on mental health issues in the event industry, the new HBAA Executive Committee members have been trained to be Mental Health First Aiders.

The two-day course at Wyboston Lakes Resort gave the Committee members many valuable practical skills and increased their awareness and understanding of what affects mental wellbeing. The course taught them how to spot triggers and signs of mental health issues and gave them enhanced non-judgemental interpersonal skills. They also learnt how to reassure and support a person in distress and how to help someone recover their health.

The HBAA is arranging for this course to be available to members, setting up open courses to take place in April and June.

After completing the course Angie Mason, HBAA Chair said: “The last two days have been so enlightening. It totally reinforced in my mind what a vital issue this is and how important our campaign is. There is so much that most of us don’t know about mental health issues so we want as many people as possible to sign up for these courses. Anyone could save a life.”

The HBAA Executive Committee, which comprises the Committee Chairs and Past Chairs, has three new members for 2019.

Alexis Moreau is the new HBAA Tech & Innovation Chair and Lex Butler is the new HBAA Events Committee Chair for 2019 while Nick Scott of ArrangeMY now chairs the Business Accommodation Committee.

Nick Scott joined ArrangeMY in 2004 and has been Managing Director since 2008.

Alexis Moreau - Head of Conference and Catering Services at Robinson College at the University of Cambridge.

Alexis Moreau is the Head of Conference and Catering Services at Robinson College at the University of Cambridge.
Lex Butler - Creative Director and Owner of Wolf & White.

Lex Butler is the Creative Director and Owner of Wolf & White.
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Challenges ahead warns Millennium & Copthorne

Millennium and Copthorne Hotels has warned investors that the hospitality industry faces ‘intensifying’ challenges in the near future in the form of staff shortages and competition from the growth of Airbnb and serviced apartments.

The company’s chairman Kwek Leng Beng made the comments as it revealed a drop in pre-tax profit for 2018 to £106 million – down 28 per cent on 2017 in constant currency. The fourth quarter was particularly hard, with profits falling 76 per cent to £7 million.

Beng blamed “a range of geopolitical and global economic headwinds”, including US and China trade relations, Brexit and increasing minimum wage levels in several markets.

The company also saw revenue per available room fall 7.4 per cent in London, mostly driven by the closure of its Mayfair hotel for refurbishment. Excluding that property, revenue grew 3.3 per cent. The hotel is set to reopen as the Biltmore, Mayfair in the second quarter of this year (new bedroom pictured).

Millennium and Copthorne says a particular challenge in the UK is the effect of Brexit. It claims to be struggling to recruit EU workers, “which currently comprise more than half of the London workforce”. Minimum wage increases in the UK have also reportedly added to cost pressures for the group.

Looking ahead, Beng said: “The board’s priority is to evaluate and develop new and innovative strategic plans to meet the challenges facing our fast-changing operating environment. The shortage of talent – from rank and file to senior management – is intensifying with many new hotels being built around the world, not to mention the growth of Airbnb and serviced apartments. Any hospitality business that wants to progress will need to evolve and embrace these changes to stay relevant and profitable in the immediate and medium term. Restoring profitability in our New York hotels also remains at the top of the board’s objectives.

“Meanwhile, we continue to invest in and reposition our hotels. We look forward to our Mayfair hotel being rebranded and opened as the Biltmore, Mayfair in the second quarter of this year. This is the first opening under Hilton’s new LXR Hotels & Resorts collection in Europe. This also will mark the group’s debut in the London five-star deluxe market and it is our aim to fast-track our lost earnings growth at this hotel after it re-opens.

“2019 will be another challenging year for the group, with significant capital projects underway and several large hotels earmarked for major renovations. These investments will be carefully managed and phased to deliver the right returns to shareholder and underline the group’s intention to maintain strict control of costs throughout the business.”

Millennium and Copthorne Hotels operates the Leng’s Collection, M Social, Studio M, Millennium, Grand Millennium, M Hotel, Copthorne and Kingsgate brands.

In September 2018, the group’s CEO Jennifer Fox stepped down after just three months in the role.

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First Staybridge Suites property for Scotland

A former abandoned linen mill in Dundee has been converted into the first Staybridge Suites property in Scotland. The IHG property is adjacent to sister-property Hotel Indigo Dundee which opened last July.

Many of the 85 one bedroom and studio suites include original features including brick ceilings and iron beams. The suites are designed to cater for guests making extended stays with living areas, kitchens and flexible work spaces.

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RBH properties boosted by customer service recognition

Several properties operated by UK independent hotel management company, RBH, have been given the BVA BDRC seal of approval following glowing customer service feedback.

Nine hotels within the RBH portfolio were named among BVA BDRC’s VenueVerdict Gold Standard Accreditations, with a further nine properties commended for their performance in 2018.

The recognition comes from the only meetings accreditation programme driven solely by the voice of the customer, with scores generated following event feedback from meeting bookers and event hosts between January and December 2018.

The hotels which have achieved BVA BDRC Gold Standard Accreditations for 2018 are:

Ashford International Hotel, Chesford Grange Hotel, Crowne Plaza London – Docklands, Crowne Plaza Reading, DoubleTree by Hilton Glasgow Westerwood Spa & Golf Resort, Dunston Hall, The Cheltenham Chase Hotel, Doubletree by Hilton Oxford Belfry and The Queens.

Rob Ledson, group director of Sales at RBH, said: “Our properties have consistently produced exceptional VenueVerdict scores over recent years, and 2018 was no exception.

“It goes without saying that we’re thrilled to see our teams’ hard work and commitment to providing first class service and facilities for meetings and events clients recognised. Our focus is to ensure these standards are maintained in 2019.”

BVA BDRC is the UK’s largest independent research consultancy and BVA BDRC VenueVerdict accreditations are based entirely on genuine, verified customer feedback, reflecting the cream of the nation’s meetings providers.

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W Dubai – The Palm

W Hotels Worldwide has announced the opening of W Dubai – The Palm, located on the Palm Jumeirah, the largest man-made island in the world.

W Dubai – The Palm is the newest W Escape, the W brand’s playful spin on the traditional resort experience.

The breath-taking design of W Dubai – The Palm celebrates the evolution of one of the most dynamic cities in the world. The hotel features 350 guest rooms and suites which offer uninterrupted views.

With over 2,000 square meters of event space, W Dubai sets the stage for any elaborate occasion, the W Dubai – The Palm adopts a bold approach to take events from ordinary to extraordinary.

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Kenwood Hall Hotel & Spa Re-brands to Mercure Hotels

Sheffield’s historic Kenwood Hall Hotel is re-branding to the Mercure Kenwood Hall Hotel & Spa in March 2019, with a significant investment in the Hotel’s facilities over the next two years. The 114-bedroom hotel is currently operating under the Best Western brand and is rebranding to Mercure in late March.  

As part of the investment, work is nearing completion on a contemporary face-lift to the changing areas and reception of the Hotel’s spa, and additionally a luxurious new bedroom suite is being created, every bedroom in the Hotel will benefit from new Topbrass beds and a mini fridge, plus an additional 40 bedrooms will have air conditioning added.

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IHG acquires Six Senses for £232m

InterContinental Hotels Group (IHG) has acquired Six Senses Hotels Resorts Spas for $300m (£232m) from Pegasus Capital Advisors.

The cash acquisition includes all of Six Senses’ brands and operating companies but not real estate assets.

Six Senses manages 16 hotels and resorts, with 18 management contracts signed into its pipeline, and more than 50 further deals under active discussion, adding to IHG’s luxury portfolio.

Six Senses will sit at the top of IHG’s luxury portfolio, complementing its InterContinental Hotels & Resorts brand; the recently acquired and repositioned Regent Hotels & Resorts and Kimpton Hotels & Restaurants. The acquisition takes IHG’s portfolio of open and pipeline luxury properties to 400 hotels (108,000 rooms) globally.

IHG has revealed plans to grow the Six Senses estate to more than 60 properties globally over the next 10 years, including bringing Six Senses to urban markets, with a property already under construction in Manhattan, New York City.

Keith Barr, chief executive of IHG, said: “Six Senses is an outstanding brand in the top-tier of luxury and one we’ve admired for some time. You only have to look at its iconic hotels and resorts to see how this acquisition will further round out our luxury offer.

“This acquisition continues the progress we’ve made against the strategic initiatives we outlined a year ago, which included a commitment to adding new brands in the fast-growing $60b (£46b) luxury segment.”

Neil Jacobs, chief executive of Six Senses Hotels Resorts Spas, said: “An outstanding business has been built over the past 20 years, and a respected portfolio of hotels and resorts, with wellness and sustainability at their heart. This distinct proposition and the popularity of our award-winning estate, combined with IHG’s scale, systems and expertise gives us the opportunity to accelerate Six Senses’ global growth.”

David Cogut, principal, Pegasus Capital Advisors, added: “Six Senses fit well with our core themes of investing in sustainability and wellness with a focus on ESG (Environmental, Social and Governance) integration, and we’re proud of the work we have done to build it into one of the world’s best luxury hotel brands. Since acquiring the brand in 2012, we have taken the Six Senses experience to some of the world’s most select locations. IHG shares many of our values and will protect what’s special about the brand as it drives Six Senses’ next phase of growth.”