News for the Hospitality Executive
|Lessons from the Field
A Common Sense Approach to Success in the Hospitality Industry
|By Dr. John Hogan, CHA MHS CHE, July 10, 2009|
Lessons on Brands and Discounting
(with a touch of humor)
|By Dr. John Hogan, CHE CHA MHS, July 10, 2009
As a columnist, an educator, an entrepreneur and a hotelier, I have learned to seek out as many ideas and options as possible to improve my rate of success. In LESSONS FROM THE FIELD, the book on hotel sales that Howard Feiertag and I co-authored, we used as many examples and lessons from as many different people as possible to explain different ways to succeed in hospitality.
Nothing focuses the mind better than the constant sight of a competitor
who wants to wipe you off the map.
This is a slightly unusual approach to my regular columns, but it addresses two topics that seem to be getting increasing attention the past 12 months or so. Those topics are
I just read a recent article by Ram Badrinathan, General Manager-Asia of PhoCusWright Inc who wrote about what he feels is a substantive move from brand value to intrinsic value. His article, “Death of the Travel Brands”, provided a very solid background on how brands in business came to be significant. He offered details ranging from the time of the Industrial Revolution and mass production and added his insights from his professional experience in advertising on the need to differentiate between products.
He also offered the perspective that many products didn’t really have much difference, and then emotional discriminators were introduced to induce or maneuver consumers to purchase the product. He opined that fast moving consumer goods were “masters in the promotional game and categories like tobacco, soap, beverages, and snacks invested heavily in advertising campaigns to build ‘brands’”.
Mr. Badrinathan’s article is well-written and I urge you to read it and glean his full intent from his methodology. I do not believe he is criticizing brands per se, but rather is expressing a warning to managers and owners that there is a need to make certain that your business is examining all approaches to finding your success.
Mr. Badrinathan’s background information in his article included the Interbrand Corporation’s 2008 annual audit of most valuable brands. Using their database of global brands, populated with critical information over the past 20 years of valuing brands and more than 30 years of consulting with organizations, Interbrand has formed an initial consideration set. All brands were then subject to the following criteria that narrowed candidates significantly:
Interbrand Corporation’s 2008 top 10 global brands are:
1. United States- Beverages Coca-Cola has once again retained its status as the world’s most valuable brand. Proving that it still has a few tricks up its sleeve, current trends toward healthier diets have seen Coke shift focus to better-for-you drinks in the last year, with the launch of products like the vitamin and mineral enriched Diet Coke Plus and the continued push behind Coke Zero, which is now available in more than 80 countries.Only Google differs from the previous year, as it replaced Mercedes Benz, which dropped one spot.
I initially found it surprising that there is not a travel or hospitality company in this list. When I gave it more thought, I realized what I suspect many readers already know – the hospitality industry may be one of the world’s largest, but it consists of many small businesses and organizations that all contribute to the total.
Brands and Discounting
I have worked in both independent and branded hospitality businesses and found advantages and limitations in both at times. The reality is that brands can offer tremendous resources to participants if everyone acts as partners and not antagonists.
The owners and managers of each individual hotel and hospitality business need to be aware and involved in the pricing levels offered by their business. I sincerely believe adding VALUE and creating synergy with other businesses is a much better way of reaching both ongoing and long-term success. Contact me for examples or ideas.
Lessons on Brands and Discounting (with a touch of humor)
I mentioned in the opening that I have learned to seek out as many ideas and options as possible to improve my rate of success. As someone who is regularly involved in the learning process in workshops in corporate, academic and association settings, I have also learned to maintain a sense of humor and perspective.
The following was sent to me about 20 years ago, and I have used it regularly as a focal point for reminding all of us that size alone of a company does mean it will always be successful in its efforts.
I hope you enjoy :
The Top 10 Most Brilliant Marketing Screw Ups (Author unknown)
1. Coors Beer put its slogan, "Turn it loose," into Spanish, where it was read as "Suffer from diarrhea."
Feel free to share an idea for a column at email@example.com
anytime or contact me regarding consulting, customized workshops, speaking
Autographed copies of LESSONS FROM THE FIELD – a COMMON SENSE APPROACH TO EFFECTIVE HOTEL SALES can be obtained from THE ROOMS CHRONICLE www.roomschronicle.com and other industry sources.
All rights reserved by John Hogan and this column may be included in an upcoming book on hotel management. The opinions expressed in this article are those of the author and do not necessarily reflect the views of this publication
John Hogan, a career hotelier and educator, is frequently invited to participate at franchise meetings, management company and hospitality association industry events. He is a successful senior executive with a record of accomplishment in leading hospitality industry organizations at multiple levels, with demonstrated competencies as a strong leader, relationship builder, problem solver and mentor. He conducts mystery-shopping reviews of quality in operations and marketing, including repositioning of hotels.
Expertise and Research Interest
He writes weekly columns for a number of global online services and has published more than 400 articles & columns on the hotel industry. He co-authored (with Howard Feiertag, CHA CMP) LESSONS FROM THE FIELD – a COMMON SENSE APPROACH TO EFFECTIVE HOTEL SALES, which is available from firstname.lastname@example.org, ROOMS CHRONICLE www.roomschronicle.com and other industry sources. He resides in Phoenix, Arizona and expects to publish in 2009 his 2nd book based on his dissertation – The Top 100 People of All Time Who Most Dramatically Affected the Hotel Industry.
Hogan’s professional experience includes over 35 years in hotel operations, food & beverage, sales & marketing, training, management development and asset management on both a single and multi-property basis, including service as Senior Vice President of Operations in a specialty hotel brand for six years.
He holds a number of industry certifications (CHA, CHE, MHS, ACI) and is a past recipient of the American Hotel & Lodging Association’s Pearson Award for Excellence in Lodging Journalism, as well as operational and marketing awards from international brands. He has served as President of both city and state hotel associations.
John’s background includes teaching college level courses as an adjunct professor at three different colleges and universities over a 20-year period, while managing with Sheraton, Hilton, Omni and independent hotels. He was the principal in an independent training & consulting group for more than 12 years serving associations, management groups, convention & visitors’ bureaus, academic institutions and as an expert witness. He joined Best Western International in spring of 2000, where over the next 8 years he created and developed a blended learning system as the Director of Education & Cultural Diversity for the world’s largest hotel chain.
He has served on several industry boards that deal with education and/or cultural diversity and as brand liaison to the NAACP and the Asian American Hotel Owners’ Association with his long-term involvement in the Certified Hotel Owner program. He has conducted an estimated 3,200 workshops and classes in his career.
Service to the Industry and Hospitality Education includes working with the Educational Institute Certification Commission of the AH&LA, the Hospitality Industry Diversity Institute, the AH&LA Multicultural Advisory Council, the Accreditation Commission for Programs in Hospitality Administration, the Commission for Accreditation on Hospitality Management Programs, the AH&LA and AAHOA Education and Training Committees, the Council of Hotel, Restaurant and Institutional Educators (CHRIE), the International Hotel Show and the Certified Hotel Owner program for the Asian American Hotel Owners’ Association.
Dr. John Hogan, CHA MHS CHE
|Also See:||A Common Sense Review Process for Capital Investments / Dr John Hogan / July 2009|
|Understanding Values: The Challenge to Identify and Keep Them During Tough Economic Times / Dr John Hogan / June 2009|
|Personal Stories of Delivering Hospitality and Pride / Dr John Hogan / June 2009|
|What is Your Definition of Leadership? / Dr John Hogan / June 2009|
|Examining Why Do We Really Do What We Do? / Dr John Hogan / June 2009|
|Delivering Hospitality and Pride / Dr John Hogan / May 2009|
|Act As if You Are Number Two / Dr John Hogan / May 2009|
|A Baker’s Dozen of Fundamentals for Retaining Quality Staff / Dr John Hogan / May 2009|
|Customer Relationship Management Requires a Blending of High Tech and High Touch for Optimal Results / Dr John Hogan / May 2009|
|Do You Know Where Your Customer Is? Or Knowing Where Your Business Originates / Dr John Hogan / April 2009|
|Understanding what we measure and making it count! Strategies for Hotel Controllers / Dr John Hogan / April 2009|
|“A Bakers Dozen” of Strategies for Hotel Controllers / Dr John Hogan / April 2009|
|A Different Appraisal of Our Biggest Challenges in 2009 / Dr John Hogan / April 2009|
|Reflections: Mentors and Friends - Vermont Hoteliers Borden and Louise Avery and their Son Allen / Dr John Hogan / March 2009|
|Remember to Embrace the Essentials in Sales; Revenue and net profits can often depend on how one of the most fundamental practices in sales- how incoming phone calls are handled / Dr. John Hogan / March 2009|
|Getting the Most Out of Your Hotel Franchise Investment; Working With Your Hotel Franchisor for Everyone’s Success / Dr. John Hogan / March 2009|
|Getting the Most Out of Your Hotel Franchise Investment; Evaluating the franchise business model as a potential franchisee / Dr. John Hogan / March 2009|
|Getting the Most Out of Your Hotel Franchise Investment / Dr. John Hogan / Dr. John Hogan / March 2009|
|Four Steps: How to Make More Sales Calls than Any Other Way Or Trade Shows Can Be Invaluable If. . . / Dr. John Hogan / February 2009|
|A Baker’s Dozen of Strategies for Hotel Chief Engineers / Dr. John Hogan / February 2009|
|"A Baker's Dozen" of Strategies for Hotel Banquet Managers / Dr. John Hogan / February 2009|
|Making New Year's Sales and Marketing Resolutions Real and Practical / Dr. John Hogan / January 2009|
|Planning in a Challenging Economy - Probing Hotel Expenses / Dr. John Hogan / December 2008|
|Planning in a Challenging Economy - Fundamentals of Hotel Sales Planning / Dr. John Hogan / December 2008|
|A Message for Hoteliers: Giving Thanks - and Not Just One Day Each Year! / Dr John Hogan / November 2008|
|Hoteliers Must Remember the Lessons of Reasonable Care! / John Hogan / November 2008|
|Enthusiastic and Sincere Attitudes Will Pay Off For Hotel Salespeople / Hotel Common Sense / John Hogan / November 2008|
|Unleash the Potential! Recognize the True Value of Your Front Line Sales People / Hotel Common Sense / John Hogan / November 2008|
|Defining Hospitality - Readers Respond with their Insights / Hotel Common Sense / John Hogan / October 2008|
|Understanding the Value and Power of Breakfast / Hotel Common Sense / John Hogan / October 2008|
|A Bakers Dozen of Strategies for Hotel Restaurant Managers / Hotel Common Sense / John Hogan / October 2008|
|A Bakers Dozen of Strategies for Hotel Food and Beverage Directors / Hotel Common Sense / John Hoganv/ September 2008|
|My Definition of Hospitality. What’s Yours? / Dr. John Hogan / September 2008|
|Principles for Success as a Hotel Manager: 6 Observations on Finding and Employing Problem Solvers / Dr. John Hogan / September 2008|
|10 Hotel Sales Action Steps to Succeed in Today’s Competitive Marketplace / Dr. John Hogan / September 2008|
|10 Hotel Sales Mistakes to Avoid in Today’s Competitive Marketplace / Dr. John Hogan / August 2008|
|Ways to Identify and Build Repeat Guests / Dr John Hogan / August 2008|
|Principles for Success As a Hotel Manager - Maintaining Relationships Throughout the Organization / Dr John Hogan / August 2008|
|Principles for Success As a Hotel Manager - Part four: Communicating with Clarity and Candor / Dr. John Hogan / July 2008|
|Principles for Success As a Hotel Manager - Part three: Using your management style effectively / Dr. John Hogan / July 2008|
|Principles for Success As a Hotel Manager - Part Two: Motivating the Team / Dr. John Hogan / July 2008|
|Principles for Success As a Hotel Manager Part One: Understanding the Organization / Dr. John Hogan / July 2008|
|Updating Hotel Marketing and Sales Strategies Mid Year NOW Is Essential / Dr. John Hogan / June 2008|
|Don’t Underestimate the Impact of the Hotel Sales Office / Dr. John Hogan / June 2008|
|Factors for Successful Interviewing Potential Hotel Sales Candidates / Dr. John Hogan / June 2008|
|The Importance of Meaningful Sales Team Job Descriptions / Dr. John Hogan / May 2008|
|For Hotels with Limited Service, Fewer than 100 Rooms - How Do You Determine if You Need a Person Dedicated to Selling / Dr. John Hogan / May 2008|
|Extending Your Sales Team or Make Travel Agents A Regular Part of Your Sales Programs / Dr. John Hogan / May 2008|
|Finding Business Leads Can Be Easier Than You Think / Dr. John Hogan / May 2008|
|Understanding the Differences Between Marketing and Sales / Dr. John Hogan / April 2008|
|Identifying Your Customers / Lessons from the Field A Common Sense Approach to Success in the Hospitality Industry / Dr. John Hogan / April 2008|