How Can Hoteliers Use Online Reviews to Turn Feedback into Profit?
Years ago, people asked friends, family, or even co-workers for recommendations on the best hotels. Those days, however, are over. Most people turn to online reviews to read what other guests have to say, and they take that feedback seriously. A less-than-stellar review can wreak havoc on a hotel’s reputation, while a long list of […]
Hotel Renovations: Key Areas to Focus On
When was the last time you renovated your hotel? Even if your property has recently been refreshed, you may have missed some important areas. Hotel renovation is an integral part of successful hotel management and maintenance, but it is often expensive. That’s why understanding which areas need your attention the most is key to staying […]
The role of supply and demand in the hotel industry
Every market in the world is ruled by the law of supply and demand. Prices are set based on the inverse ratio between the two. When supply is low or demand is high, prices are high. When supply is high or demand is low, prices are low. Greater demand leads to growth, and meeting that […]
Trouble With Your Property Taxes?
Falling behind on property taxes can be a stressful situation. However, there are steps you can take to address the issue and prevent further consequences with your hotel property. Here’s a guide to help you navigate this situation: 1. Understand the Consequences: Tax Liens: If you don’t pay your property taxes, the government can place […]
Hotel Industry’s EBITDA declined since COVID-19
The impacts of the COVID-19 pandemic cut across industries and sectors. However, the hotel industry bore the greatest brunt of the pandemic. From travel restrictions to misconceptions about the spread of the virus, hotel managers had to grapple with unprecedented business downturns. But how did these events impact the EBITDA of hotels? EBITDA and its […]
How To Elevate Food and Beverage Trends in the Hotel Industry
With the summer months approaching, hotels everywhere are looking to accommodate guests properly during the rising temperatures. Food and beverage trends in the hotel industry are shifting, so guests staying with the hotel decide to keep their dining experiences closer to their rooms and have more time for activities in the area. This is vital […]
Finding the Right Broker
5 qualities that make for an effective partnership by Suraj Bhakta, CEO of NewGen Advisory Published May 2024 Understanding what you need from your hotel broker is paramount to securing a smooth transaction at an optimal price. Essentially, your broker is the captain of your transaction ship, and finding the right one can make or […]
Navigating the Rising Costs of Hotel Insurance
In the complex world of hospitality, hotel insurance stands as a crucial but often burdensome expense. With a variety of risks ranging from natural disasters to liability claims, understanding and managing the costs of hotel insurance is vital for hotel owners and operators. This article delves into the intricacies of hotel insurance coverage, the challenges […]
Why Food & Beverage Is Important in the Hotel Business
The hospitality industry has seen a transformative shift in the role of food and beverage (F&B) services, evolving from a secondary amenity to a primary attraction for guests. This article explores the significance of F&B in the hotel business, catering to hotel owners, buyers, sellers, and investors seeking to understand its impact on profitability, guest […]
Understanding the True Cost of Running a Hotel Franchise
The decision to enter the hotel industry through franchising opens a world of opportunities, yet it’s accompanied by an array of financial commitments that demand careful consideration. The allure of leveraging a recognized brand, along with the comprehensive operational support a franchise offers, large loyalty programs, and brand recognition is undeniably attractive to aspiring hoteliers. […]
Navigating CRE Challenges: FDIC Issues Advisory Letter for Financial Institutions
FDIC cautions financial institutions in new advisory letter. The Federal Deposit Insurance Corporation (FDIC) has released a crucial advisory for banks, highlighting the need for robust risk management in commercial real estate (CRE) lending. This letter replaces the 2008 version, Managing Commercial Real Estate Concentrations in a Challenging Environment, underscoring the significance of strong capital, appropriate […]
The Impact of a Hotel’s Location
A hotel’s location is a crucial determinant in the overall success of a hotel. A hotel based in a favorable location tends to attract more clients compared to one that is located in an area that is less desirable. This translates to increased revenues. This article will examine how surrounding attractions and environment play a […]
Human Trafficking in the Hotel Industry
Hotels have become a familiar scene of human trafficking crimes across the country. According to the Polaris Project, 75% of those who survive these crimes state that they have been involved in human trafficking in the hotel industry. The National Human Trafficking Resource Center (NHTRC) also reports that hotels are frequently referenced in potential human […]
What Hotel Employees Find Most Important
As any service company will attest, employees are your biggest asset. It can be difficult in today’s culture to hire and retain good employees. So, you must look beyond the salary to those additional perks that lead to employee satisfaction. After all, your hotel employees from the concierge to the housekeeping staff are the face […]
The Importance of Curb Appeal
Renovations play a crucial role in improving a hotel’s occupancy rates and overall revenue. However, upgrading the interiors may have a minimal impact if you do not aim to impress guests even before they step through your front door. Most owners typically prioritize decorating the lobbies, meeting areas, guestrooms, and restaurants, while overlooking the exterior […]
Importance of Cap Rates in the Hotel Industry
Classified as income-producing assets, hotels are mainly valued based on their recurrent income-generating potential. Similar to other forms of commercial real estate, one fundamental indicator of their percentage profit is the capitalization rate (cap rate). So, is a higher cap rate always the sign of a great deal? Not entirely. What Are Cap Rates? A […]