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  Broadband is More than Just Incremental Revenue for Hotels; 
It Will be Ubiquitous � as Important as the Telephone
EURHOTEC 2001
Paris, March 2001- High-speed Internet access will be the �next essential guestroom amenity,� and to make it happen, �tomorrow�s hotels will feature broadband connectivity as much as anything else,� predicted Larry Birenbaum, VP Ethernet Access Group, Cisco Systems, keynoting the recent European Hospitality Technology Conference, EURHOTEC 2001, (19-21 February) in
Paris. 

Business travellers are increasingly dependent on Internet-based resources while on the road.  Already, 75% of business travellers use laptops all the time, he said, and over 62% access the Internet from hotel with an average log-on time of 30 minutes. Total Internet users worldwide are anticipated to reach 1.17 billion by 2005, up from 407 million in 2000.
 
Increasingly, travellers expect more than just an e-mail connection, said Birenbaum. Many would like access to corporate intranets while on the road but find the data too heavy to download over a telephone line � the most widespread form of Internet connection currently used. Broadband access solves the problems associated with data transmission over the phone � except one: if the corporate intranet is security-protected, the traveller will resort to Virtual Private Networking (VPN) to get through the firewall. 
 

Broadband�s applications extend well beyond guest communications. From the service point of view, it can be used for video-on-demand connectivity, virtual concierge services, inter-active gaming, and IP telephony. It can also enhance the services available at the hotel�s meetings facility in areas such as training, video-conferencing, webcasting, and wireless technology. And it can power-up back-office capabilities such as roving check-in/out, mobile staff communications, supply chain 
EURHOTEC 2001
Attracts 1,850 Visitors

The sixth edition of EURHOTEC, the European Hospitality Technology Exhibition & Conference, held at the Palais de Congrès in Paris from 19-21 February 2001, attracted 1,850 visitors from 54 countries and 81 exhibitors on 1000m2 of floor-space. Held annually since 1996 by the Paris-based International Hotel and Restaurant Association (IH&RA), the event � hosted in the French capital for the first time � attracted a record turn-out with visitor levels rising by more than 50% on previous years.

management (extranet), and web-based training.
 
�Broadband is more than just incremental revenue � it�s strategic,� he insisted. �It will be ubiquitous � as important as the telephone.�
 
In a subsequent session entitled, �In-Room Internet Access: Necessity Or Hype?�  telecom consultant Derek Wood, and Kirsten Limbacher, Senior Manager Hotel Communications EMEA, Bass Hotels & Resorts, advised hoteliers not to add on high-speed Internet access as a service isolation - �It should be a strategic decision to put the cabling in,� they agreed. Hoteliers contemplating this in the guestroom have this advice from Limbacher: 
  1. Ask  the customers what they want � both now and in the future � then estimate how your property can best meet that need. 
  2. Remember, customer demand for very new technology is very small � and therefore so is the profit opportunity 
  3. If you do decide to invest in the technology, look at the vendor�s reputation. Have they worked with hotels before, do they provide training and support, Will they share the cost of advertising? 
  4. Estimate the payback time on the investment. 
  5. Ensure contracts with vendors will accommodate future changes in customer tastes. 
  6. Make sure front desk and meetings facility vendors know how to sell the benefits of the new technology to potential guests. 
  7. Data transmission requires new charging patterns � establish a value proposition. 
  8. Monitor the impact of Internet on the hotel�s telephone margins � protect revenue. 
Above all, she emphasized, any new technology must be user-friendly. �It doesn�t matter why the guest can�t make the technology work � it will reflect badly on the hotel.� 

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Contact:
Nicola Pogson 
IH&RA 
Director of Programme Development 
[email protected]
www.eurhotec.com

Also See Results of the IH&RA Summit Debate Set Priorities for Industry Action to Meet the Challenges of e-hospitality � go to
The Human and Business Dimensions at the Heart of a IH&RA Hi-Tech Think Tank / Mar 2001 


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