Key Trends and Issues in Hotel Operations Report 2019
The hotel sector is now an mainstream asset class, providing a growing number of investors with revenues as well as appreciating assets at a time when returns elsewhere are hard to find. With a raised profile comes increased scrutiny, as owners want transparency on the cost of the brands, the cost of distribution, the cost of staffing, of the technology to run the property, of what they are paying for and why.
It also looks at the evolution of bricks, brains and brawns, where the institutions, looking for yield, have moved up the risk curve and into management and studies the ways in which the operators are training and retaining staff, as well as picking apart the PMSs from the APIs as hotels attempt to claw efficiencies where they may.
It also looks to the future. The sector is evolving and pulling in new players from all over the world. Enter OYO, which counts Airbnb amongst its investors and has bought a ‘platform plus’ model into the market, combining branding, distribution and management in a fashion which sets in apart from the traditional players and has allowed it to grow rapidly in Asia, with designs on the rest of the world. How will the established players respond?