"Finance ought to make sense… so lets get blogging… join the fun!"
Wednesday, September 18, 2013
Financial performance of several hospitality companies was reported recently. Do you see any trends? Any value creating activities? Other noticeable issues? Lets discuss!
After reading this article it is good to see hospitality companies doing well. It seems many companies have added value through incentives, contests, and rewards programs. Expedia's value creating activities include the Sleep, Dream. Win. Sweepstakes where guests can win a dream-like vacation and become part of the welcome rewards program. Starwood announced plans to expand to the India market. They are adapting and accommodating guests by providing amenities such as slippers and Masala tea. Hyatt is also following the trend of expanding into new markets. They have opened new 24 hour hotels in India, France, China and South Korea. Hotels are maximizing revenue by taking advantage of growth opportunities.
Three companies in the article reported to be doing better financially. Intercontinental reported their revenue to be $936 million which is an increase of 6.6%, and their operating profit to be $338 million. Hyatt increased their revenue to $1.1 billion, which was a 7.7% increase. They are attracting new markets by opening 24 hotels in the United States, France, India, South Korea, and China. Ctrip.com increased their revenue to 27.8% to $188.1 million. Expedia is making value with their new Sleep. Dream. Win. Sweepstakes. were customers enter to win a night of their dreams. There are also other prizes that include two free hotel nights. Starwood has created Starwood Personalized Travel Program. They are offering new features for Indian travelers that include slippers and tea kettles. Overall, all the hospitality groups in the article were doing well financially and creating value.
After reading this article it is apparent that the three hotel mentioned ; Starwood, Hyatt, and Intercontinental Hotels are all doing financially better. It seems to me that these three hotel are offering trends such as incentives, contest, and reward programs to achieve this great financial success. I also noticed that hotel websites like Hotels.com and Ctrip.com have also adapted to these trends to make their websites more successful. For example, Ctrip.com has had a revenue increase of 27.8%. While Hotels.com are offering contest like their Sleep. Dream. Win promotion that are offering customers a "dream" vacation. I believe by continuing these trends that all of these companies are not only going to create value, but also create customer loyalty.
Starwood, Intercontinental, and Hyatt all seem to be doing financially well. They are also offering a lot of incentive programs to customers. They all seem to be partnering with Ctrip.com and Hotels.com which is probably a good idea because it will bring in more business. I think it is great that businesses are really listening to what the customer wants and are trying to do just that. I think it would really be of benefit to the customer if they had the winners right up a review so it looks like being a winner is actually attainable. Neat concept of the vacations though!
The different companies in the article have seen financial gains. They are adding value through rewards programs and incentives. Hyatt is raising revenue through expansion in the US and foreign countries. Expedia is adding value by offering their Sleep. Dream. Win. Sweepstakes. Starwood is offering amenities towards their guests from India by offering slippers and tea.
Expedia created value with their contest. Although they were giving away prizes to customers and technically "wasting resources" it promotes the company. The amount of money that they "wasted" is minimal compared to the new profits of the company. All of the companies mentioned are creating value and in return making more profit. If a company spends a little more money and feeds into what the customer wants, it will increase profits.
After reading this article, it makes me excited for the future of the hospitality industry. From the looks of these reports, it appears that the industry is doing much better than in recent years. I was intrigued to know Expedia owns Hotels.com. I didn't realize they had more than one business venture. I think they created a great value for their customers by providing more websites for travelers to compare prices of different hotels. With the creative Sleep, Dream, Win sweepstakes, I believe Expedia brought attention to Hotels.com and invited customers to participate in a fun contest. It appears a lot of the major hotel companies are expanding and even opening hotels internationally. This is a great sign for the industry. If major companies are willing to invest money into new buildings, then this must mean that the sales in those particular companies are up.
While reading this article I've noticed that not only the hotel business is making their way back up, but especially the way they do it. By following the (upcoming) trends and looking at new markets (such as India), they are creating more value for new and existing customers. It's not only important to see what these companies offer, but also how they are offering them. By using the mobile internet (such as Ctrip.com) they can reach their customers fast and easily. Like Jake mentioned before, I also believe that by following the trends and the upcoming markets, these companies can not only create extra value but also create customer loyalty.
From this article it seems that the hotel industry is trending towards growth. Hotels companies will forever attempt innovation to draw more customers through programs like incentives and rewards programs. It has worked wonderfully for years in Marriott, but these companies should think about possible consequences of these programs. While they do add value to the company, they must be ready for customers to gain a sense of entitlement by becoming brand loyal and earning "free" incentives. Starwood's strategy of attracting specific markets is a wise move that can increase value by creating more loyalty among areas with increasing travel interests. They must also be wise to not alienate current markets through neglect. Hopefully the economy will thrive in the near future to help grow the travel industry as a whole and continue the current growth for some time.
This article shows the hotel industries initiative to increase profits while creating value. A trend from this article shows how companies such as Hyatt and Starwood are targeting the flourishing markets in India. These companies hope that by catering to their individual needs, these customers will become loyal to their brands. In addition, Expedia's "Sleep. Dream. Win" contest was a smart way to gain customers attention. As we all know, people love the chance to win anything for free and this contest was a smart marketing tool to gain attention. In addition, the concept of mobile applications has become a driving force for companies such as Ctrip. The easy accessibility of this application has driven sales dramatically. By following trends and upcoming markets, you are anticipating the customers wants and needs while simultaneously creating value and increasing market shares.
I think this article highlights the fact that the online booking agencies are taking over in the travel industry. All that's left is for them to compete with each other through a series of sweepstakes and promotions that will get users excited about travel and therefore create much more value for the companies respectively. Not only are the booking agencies gaining from these but also the hotels themselves are seeing rises in occupancy and Revpar.
I believe you are right that online booking agencies have become a powerful force in the hospitality industry. Whether this is a good or a bad thing, it is a reality. Hotel companies must choose whether to compete against, or work with these websites. I believe hotel companies must educate people on why room prices vary so much and can change on a day to day basis. Also, hotel companies must give excellent service and provide the best experiences for the guest that they can. In this way, they can gain return customers and possibly cut out the online booking agencies.
In this article, the biggest trend I see is that all of these companies had growth. That is good for the college students who are going into hotels because it shows that the industry seems to be in a boom period right now. Also, more than one of them are announcing programs or incentives to boost revenue even more. Finally, at least two of them brought up trying to get more people to use them in the overseas market, which is pretty smart. The overseas travel market is rapidly growing, and companies, especially hotels, should be getting into it as quick as possible.
The article showed partially why I became a Hospitality major, the industry is growing and if a person wants they can work anywhere in the world. Hotel companies are creating jobs in new markets such as India and Asia. By looking at the culture of these new hotel destinations hotels can not only bring in tourist but also people from within the country. The other major point the articles was the need to be thinking towards the future for technology in a world that allows us to make a hotel reservation in the blink of an eye without talking to anyone with a smartphone. All companies in the hospitality industry need to stay alert to what new technology is out there and how to make that technology create more profit for the company.
Financial performance for all of the companies mentioned in this article have improved substantially. A common trend in this article is growth of each company. Whether it's a sweepstakes that Hotels.com created to give consumers a chance of their dream vacation; providing particular accommodations based on the guests preferences such as in-room amenities; building hotels in new markets or staying up to date with technology trends. All of these value creating actives are utilized by companies in the hospitality industry. Knowing what the guests wants and needs are can be crucial for success, loyalty and profitability.
This article just reiterates the fact that the hotel industry is, in fact, growing. People will always have a need for travel, vacations, and business trips even when the economy is down. Starwood, Hyatt, and Intercontinental are just coming up with incentive programs to help their market continue to grow. These companies need to create these programs because it seems that booking agencies like Expedia are taking a part of companies profits. Other agencies not mentioned in this article like Kayak even offer package deals between flights, rental cars, and hotels. Hotels need to step their games up if they want to have the upper hand. This could be a reason that the companies are branching out to foreign markets- China seems to have a rapid growing business market.
This article shows some of the clear trends developing in the hospitality industry and how hotels are creating value. For one thing, all of the hotels are catering to the needs of their guests. Starwood is meeting the needs of travelers from India. They have recognized this is the fastest growing segment. The company has not only launched a program which caters to the unique preferences of Indian travelers (slippers, tea kettles, and popular beverages) but has already discussed plans of expanding the promotion. Hotels.com has launched a similar promotion, guests who tell the company about their dreams are qualified to win a similar dream stay. both companies have gotten the guest involved and made it clear of the payoff to the guest. Also every company in this article reported revenue gains for the quarter. All of this shows catering your hotel to fit the needs of your guest will increase revenue.
In regards to value creating, I think Expedia is making headway with their "Sleep. Dream. Win. Sweepstakes." I think it will give incentives for new customers to book with Expedia, expanding their market. It also will help keep their loyal customers happy and make sure they keep booking with them. In addition, Starwood is creating value for their new transient customers from India by putting ethnic amenities in the rooms; for example, slippers and teas are placed in the rooms. A booming cash flow and higher profit seem to be the trend for the rest of the companies. For instance, Hyatt Hotels Corporation increased their profit by having a higher ADR.
Upon reading this article, it's refreshing to see that various companies in our field are finally doing well. It has been a tough 5-6 years for the hospitality industry, and as someone who is graduating in December, this is comforting. The three companies are creating value by utilizing incentive programs, such as reward programs (also, by catering to various market demographics, such as Starwood use of slippers and tea in their India properties.)
In the article I think Expedia has the right idea about its contest that is going on will do well with all of the others that are showing they are remaining above the water. It is literally all about the promotions yeah we may be giving away things but it is attracting people who may not of known about the companies. They are getting their name out there. The biggest trend right now is growth trying to be the biggest and the best which is health compition which dives sales. Another point in the article is the take off of technology in industries. It can make in check in faster and reservations. But on the other hand it is kind of taking out the hospitality the one on one interaction with a person. Hotels are becoming where you barely come in contact with someone which is taking away jobs. Hotels are going to do everything possible to increase rev and ADR and all of those other major rates.
After reading the articles it was clear that the hotel companies main goal was to drive RevPar up as high as possible. Some hotels did this buy giving promotions and giveaways. I am glad to see big hotels doing good like the Intercontinental and the Hyatt, that means more jobs in the future. I also like that Starwood is focusing more on foreign popular travel and expanding their business that way. Hopefully other companies will follow and do the same.
After reading this article, it seems that the hospitality industry is back on the rise. The demand for travel is fairly high and large hotel corporations are benefiting. I especially like Starwood's idea to meet certain travelers special needs. Starwood excels in breaking down cultural barriers to better accommodate travelers which in turn gives them a leg up from their competitors. By targeting expanding regions, they are creating value for their company through international travelers. Starwood follows the trend that many other companies in the hospital industry are catching onto. By entering new markets, offering incentives and reward programs, companies ensure new customer demographics and customer loyalty. This in turn is increasing their overall revenue. It will be interesting to see ,as the industry continues to grow, what new features will be introduced.
It is great to see the hospitality industry is doing better financially. Hyatt Hotels Corporation reported a $1.1 billion financial increase on their revenue. At the same time, Intercontinental Hotels Group PLC reported a 6.6% increase on their revenue which is $936 million. Its operation profit was also increased to $338 million. According to the article, many hospitality companies went out of their way to provide better service to satisfy their guest and maximize their profit at the same time. Expedia’s value creating activities offer guests to win a dream-line vacation. Starwood Hotel is planning to expend its India market by accommodation guests more amenities such as slippers and Masala tea. Hyatt is planning to open new 24 hour hotels in India, France, China and South Korea. It is hard to increase profit in mature market. However, these companies can still be able to achieve this goal by creating value and service. Hopefully this trend can continuously grow both for the benefits for hospitality industry and guests.
Due to an increase in travel hotel companies are doing financially well which is very exciting for everyone in the hospitality industry. I think companies who have put incentive and loyalty programs into place such as Starwood and Expedia will see much more customer loyalty and in turn create value while keeping company expenses low. I like Expedia's Sweepstakes program because I feel it will get customers excited about traveling as well as bringing in new customers. The cost to the company will be minimal compared to the payoffs from the sweepstakes. Getting customers excited about travel and establishing creative programs will continue the industries growth.
I agree with Victoria. Expedia will see many benefits from their sweepstakes because it is getting their name out in the media. This exposure is priceless and the more people who enter and continue to talk about it, the better it will be for the company. The sweepstakes will be very cost effective because an advertisement campaign would be very costly to have the same effect as this program.
It was interesting to see that 3 of these hospitality businesses were able to have significant increases on revenues and profits and they all did it in different ways. Ctrip was able to forecast trends of more people using mobile devices for internet internet. Hyatt chose to expand it's name both in the US and internationally by opening new locations and rebranding existing locations. Intercontinental decided to focus on RevPar, which is not always the best method because it only takes top line into account and does not focus on bottom line. I believe Starwood will see growth with their strategy of offering amenities that appeal to growing nations. Many people are pleased when they see little things, like tea they enjoy, are conveniently available. This should help bring these customers back in the future.
After reading this article it made me realize that the hospitality industry is headed in the right direction. Companies like Starwood and Expedia are really doing things right. Expedia’s Sleep Dream Win Sweepstakes is a great idea to keep their customers happy and will keep them coming back. It also attracts new customers that see Expedia treating their loyal customers like they want to be treated. As for Starwood, they are meetings the needs of their clientele from India with their Personalized Travel Program. It offers things that most companies don’t think about – the small things – which of course mean everything to a customer. The slippers and tea kettles are a great touch, and most companies aren’t doing this. The fact that it is spreading to different locations across the world just proves that it is raising their numbers and is working. By adding incentive and reward programs these companies are adding more value to the company as a whole.
This seems to be a strong endorsement that the hospitality industry is doing well. Hotel companies such as Hyatt, Starwood, and Intercontinental hotels have all reported growth in revenue and profits.. they are also reinvesting in the business by opening new or expanding existing hotels. This expansion is taking place in the United States, but it is also taking place in quickly rowing travel markets such as india and China. Hotel Booking sites such as Expedia and Ctrip have also experienced growth. Expedia is hosted an "Sleep. Dream. Win." sweepstakes. People who posted their dream vacation on their website had the chance to win a trip to their dream hotel. This creates value because it gets people to go to their website and start thinking about traveling and booking hotels. Starwood was focusing on their Indian market. They include "simple, yet meaningful" touches that are important to indian customers. things such as slippers, tea pots, malsa tea, Dosa, Poori and Paratha. This creates values because these simple amenities please Indian customers and they are more likely to return.
Expedia collaborated with Hotel.com to conduct a sweepstakes online. This effort is a smart way of letting the public gain exposure to these online brand names. In fact, by enticing them to join this contest, Expedia and Hotels.com can gain insights into what guests really want out of their traveling experience. Often times the best ideas are those that comes from the users themselves. Moreover, this contest can also pull in new potential customers. These traveling rewards given to the winners will also generate more revenue for the tourism industry because although the hotel nights are free, the winners would still have to spend more to travel there as well as on food and visiting the attractions nearby.
Starwood is constantly making good on their promise of innovation by taking into account the vast cultural variety that exists among its clienteles. In this particular case, travelers from India were made to feel at home with in-room amenities and popular beverages and breakfast items that they are more familiar with. It is a good way to delight guests as having things from home will lead customers to build an association between the brand and home which might be a good strategy on Starwood’s part to ensure that they are the choice of foreign travelers.
Ctrip is a mainland China-focused travel agency, which runs the eponymous Ctrip.com travel website (http://en.wikipedia.org/wiki/Ctrip). Their growth is rather expected as many Chinese travelers vacation in foreign countries. As Generation Y age, they have more disposable income to spend. The fact that they are tech savvy contribute to Ctrip.com’s success as this generation is constantly on the Internet, searching for the best deals while planning vacations on their own. Online travel tools have given the younger generation the power to choose and pick options that they want regarding their traveling plans, hence eliminating the need for a travel agent.
Hyatt also seeks to continue its growth with international ventures, expanding within the country as well as at foreign locations in light of recent favorable financial reporting.
These efforts are all done in an effort to capture more customers that are in the existing market by attracting them with various offers. This will ensure a healthy competition in the hospitality industry and a wider variety of choices for consumer to pick from that suits their needs.
I do agree with Carolyn but I also wanted to add a little more about Ctrip.com commands. Ctrip.com is Chinese people's number one choice when comes to on line travel agency. The launch of mobile app is just made it more convenient to use.
This article shows that the hospitality industry is finding great success through global expansion. Intercontinental noted that the global scale of the company is one of the main reasons that the company is thriving. Hyatt Hotels Corporation also noted that they have recently been able to expand and open new hotels not only in the United States but as in China, India, France, and South Korea. Ctrip.com is also finding success through expansion programs in China. Starwood Hotels follows the same trend of expansion with many global locations including one in Barcelona and one in Florence. This global expansion is proving to be very good for business and we can expect to see more hospitality firms following suits in the future.
It's encouraging for me and my fellow students to see a resurgence of business in our field of hospitality. Another refreshing point raised in this article, is the idea of hoteliers and hotel reservation websites rewarding customers for acts as simple as use of their website or bringing their return business. Thankfully our peers in the field of hospitality are trained to put the customer first. If it wasn't for forward-thinking plans (such as Expedia's Think. Dream. Win. Sweepstakes, and Starwood's specific catering to international clients) these hotel companies might have been suffering the same dire financial straits as other American companies.
After reading this article, I noticed that all the companies excluding Expedia have really been focusing on the international market. According to the article, this focus on the international market has really helped out in increasing revenues. I think that it is awesome how much the international hospitality market has boomed in the recent years and I cannot wait to see how far this success goes. When I think about myself going into the industry, It makes me excited to think that there will more than likely be abroad opportunities for me in my future.
As far as value creating plans, Starwood stood out to me because of how they are adding amenities to their hotels that cater to the market that the hotels are in. This makes the customers feel that the hotel really knows what they want and cares about their likes and needs, which in turn creates value.
I agree that implementing more reward and loyalty programs are very good ideas. By setting up programs like that customers will tend to stay with you more often because of familiarity. I also like the expansion of other companies. Companies are now opening up to new markets all over. One thing that really stuck out was the contest by Expedia. I think they will see more success from this since it gives customers access to a number of opportunities.
Certainly the economy globally has spiked after a long recession. Despite some markets in Europe still being in really bad conditions we can see how companies are making more and more profits in emerging markets like South America, China and the more stabilized countries in the middle east. Additionally to this, companies all over the place are starting to take more advantage of the internet and have been able to create an experience for the customer that is more interactive each time and more personalized for each individual. This has made customers able to identify faster with the company or brand that suits his or hers special needs. Let's hope that the investments made in foreign countries help develop those emerging economies and that the economic recovery in the United States is as strong as expected so the balance sheets of these companies stay healthy after the business cycle goes from to another stage.
as i am majoring in hospitality industry, it is great to hear that hotel company such as hyatt, starwood, intercontinental doing various programs which are Sleep. Dream. Win;Sweepstakes, that offers a chance to travelers to go on a dream-like vacation of their own, and offer a variety of simple, yet meaningful touches that matter most to the international guests. since the hospitality industry is a trillion dollar service sector within the global economy. the industry covers a broad variety of service industries including, but not limited to, hotels, food service, and tourism. overall,all the hotel industry companies mentioned on journal are doing great both financially and increasing great revenue.
I think it is amazing to see that so many hotels and companies are doing well financially. Sometimes in this major I feel like we talk about specific hotels and their operations and how we can turn them around from bad times and losing money. It is refreshing seeing that as a whole companies are really working hard to bring back the industry in a positive way. I also loved in this article the fact that it shows that many different businesses are finding strategies and ways to expand on and make them more market segment oriented.
It is apparent that these three hotel companies are doing a lot better financially and it also seems that these rewards, contests, etc are actually really working for the and I think that if they continue to do it as they do then they will continue to benefit as a company financially. These hotels are making it more of a personal experience which is what I think what people want when it comes to hospitality. To relate and feel welcomed. Therefore why these three companies are doing so well
This information provided through this article demonstrated how some hotel companies are doing well financially within the last year. I believe that if these companies offer more rewards for their customers, they will ultimately make more money in the end. If these companies continue to keep up with current trends and market, they will continue to increase revenue. I also think expedia is doing a great job with offering rewards and sweepstakes to their customers. Therefore, the hotel industry will continue to profit from these providing customers with a more personalized experience.
From the article, the hospitality industry has been growing. According to report in the article, it showed us the sales of many hotel companies have been jumped. As we know, people have a need for a trip on their vacation. Hotel companies offer many deals such as package deal to encourage to people to come. Hyatt and Intercontinental hotels are trying to expand the market all over the world and that is great decision I think. From my point of view, the season is also really important fact for recent growth and seasonal deal would be helpful to increase the sales. I hope that this positive situation should keep going as a student studying about hospitality.
This article highlighted a few of the major hotel companies in the market today. With so many changing dynamics in the economy, the demographics of those who are now traveling is ever changing. Many companies realized the only way to stay competitive was to meet the needs of those travelers. For example, Starwood is offering amenities in the rooms for guests traveling from India. Another way they are adapting is by offering rewards programs. Not only does this bring in loyal guests and more revenue, but also it forces guests to choose your brands over others. This in turn has been very successful. The article demonstrated how many of the hotels net income and operating profits are significantly increasing. When companies can properly identify their target markets and adapt to their needs guests will be happy which is crucial for the bottom line. I first hand have seen some of these changes. Recently, Westin hotels started the “Westin Workout.” All the properties have full size gyms, classes, and offer workout shoes and clothes for those who didn’t bring their own. I think this was genius. This can be useful for business travelers who often don’t have room in their small bags for workout clothes. They now can depend on these properties to supply them workout clothes and shoes if they choose to workout. This new concept goes great with the trend of being fit and taking care of yourself.
As China's biggest travel site, Ctrip.com has launched its wireless mobile website m.ctrip.com that enables consumers log on to the site via their mobile phones to book hotel rooms, buy airline tickets, and manage personal information. According to the CEO and Chairman of Ctrip.com, Mobile Internet is changing the travel industry rapidly in China. Transactions from Ctrip mobile channels tripled year-over-year in the second quarter and contributed to over 20% of hotel booking and approximately 15% of air ticket booking. Ctrip.com has done a great job of creating value for its stakeholder. This company has great potential and I recommend its stock.
After reading this article it is good to see hospitality companies doing well. It seems many companies have added value through incentives, contests, and rewards programs. Expedia's value creating activities include the Sleep, Dream. Win. Sweepstakes where guests can win a dream-like vacation and become part of the welcome rewards program. Starwood announced plans to expand to the India market. They are adapting and accommodating guests by providing amenities such as slippers and Masala tea. Hyatt is also following the trend of expanding into new markets. They have opened new 24 hour hotels in India, France, China and South Korea. Hotels are maximizing revenue by taking advantage of growth opportunities.
ReplyDeleteThree companies in the article reported to be doing better financially. Intercontinental reported their revenue to be $936 million which is an increase of 6.6%, and their operating profit to be $338 million. Hyatt increased their revenue to $1.1 billion, which was a 7.7% increase. They are attracting new markets by opening 24 hotels in the United States, France, India, South Korea, and China. Ctrip.com increased their revenue to 27.8% to $188.1 million. Expedia is making value with their new Sleep. Dream. Win. Sweepstakes. were customers enter to win a night of their dreams. There are also other prizes that include two free hotel nights. Starwood has created Starwood Personalized Travel Program. They are offering new features for Indian travelers that include slippers and tea kettles. Overall, all the hospitality groups in the article were doing well financially and creating value.
ReplyDeleteAfter reading this article it is apparent that the three hotel mentioned ; Starwood, Hyatt, and Intercontinental Hotels are all doing financially better. It seems to me that these three hotel are offering trends such as incentives, contest, and reward programs to achieve this great financial success. I also noticed that hotel websites like Hotels.com and Ctrip.com have also adapted to these trends to make their websites more successful. For example, Ctrip.com has had a revenue increase of 27.8%. While Hotels.com are offering contest like their Sleep. Dream. Win promotion that are offering customers a "dream" vacation. I believe by continuing these trends that all of these companies are not only going to create value, but also create customer loyalty.
ReplyDeleteStarwood, Intercontinental, and Hyatt all seem to be doing financially well. They are also offering a lot of incentive programs to customers. They all seem to be partnering with Ctrip.com and Hotels.com which is probably a good idea because it will bring in more business. I think it is great that businesses are really listening to what the customer wants and are trying to do just that. I think it would really be of benefit to the customer if they had the winners right up a review so it looks like being a winner is actually attainable. Neat concept of the vacations though!
ReplyDeleteThe different companies in the article have seen financial gains. They are adding value through rewards programs and incentives. Hyatt is raising revenue through expansion in the US and foreign countries. Expedia is adding value by offering their Sleep. Dream. Win. Sweepstakes. Starwood is offering amenities towards their guests from India by offering slippers and tea.
ReplyDeleteExpedia created value with their contest. Although they were giving away prizes to customers and technically "wasting resources" it promotes the company. The amount of money that they "wasted" is minimal compared to the new profits of the company. All of the companies mentioned are creating value and in return making more profit. If a company spends a little more money and feeds into what the customer wants, it will increase profits.
ReplyDeleteAfter reading this article, it makes me excited for the future of the hospitality industry. From the looks of these reports, it appears that the industry is doing much better than in recent years. I was intrigued to know Expedia owns Hotels.com. I didn't realize they had more than one business venture. I think they created a great value for their customers by providing more websites for travelers to compare prices of different hotels. With the creative Sleep, Dream, Win sweepstakes, I believe Expedia brought attention to Hotels.com and invited customers to participate in a fun contest. It appears a lot of the major hotel companies are expanding and even opening hotels internationally. This is a great sign for the industry. If major companies are willing to invest money into new buildings, then this must mean that the sales in those particular companies are up.
ReplyDeleteWhile reading this article I've noticed that not only the hotel business is making their way back up, but especially the way they do it. By following the (upcoming) trends and looking at new markets (such as India), they are creating more value for new and existing customers. It's not only important to see what these companies offer, but also how they are offering them. By using the mobile internet (such as Ctrip.com) they can reach their customers fast and easily. Like Jake mentioned before, I also believe that by following the trends and the upcoming markets, these companies can not only create extra value but also create customer loyalty.
ReplyDeleteFrom this article it seems that the hotel industry is trending towards growth. Hotels companies will forever attempt innovation to draw more customers through programs like incentives and rewards programs. It has worked wonderfully for years in Marriott, but these companies should think about possible consequences of these programs. While they do add value to the company, they must be ready for customers to gain a sense of entitlement by becoming brand loyal and earning "free" incentives. Starwood's strategy of attracting specific markets is a wise move that can increase value by creating more loyalty among areas with increasing travel interests. They must also be wise to not alienate current markets through neglect. Hopefully the economy will thrive in the near future to help grow the travel industry as a whole and continue the current growth for some time.
ReplyDeleteThis article shows the hotel industries initiative to increase profits while creating value. A trend from this article shows how companies such as Hyatt and Starwood are targeting the flourishing markets in India. These companies hope that by catering to their individual needs, these customers will become loyal to their brands. In addition, Expedia's "Sleep. Dream. Win" contest was a smart way to gain customers attention. As we all know, people love the chance to win anything for free and this contest was a smart marketing tool to gain attention. In addition, the concept of mobile applications has become a driving force for companies such as Ctrip. The easy accessibility of this application has driven sales dramatically. By following trends and upcoming markets, you are anticipating the customers wants and needs while simultaneously creating value and increasing market shares.
ReplyDeleteI think this article highlights the fact that the online booking agencies are taking over in the travel industry. All that's left is for them to compete with each other through a series of sweepstakes and promotions that will get users excited about travel and therefore create much more value for the companies respectively. Not only are the booking agencies gaining from these but also the hotels themselves are seeing rises in occupancy and Revpar.
ReplyDeleteI believe you are right that online booking agencies have become a powerful force in the hospitality industry. Whether this is a good or a bad thing, it is a reality. Hotel companies must choose whether to compete against, or work with these websites. I believe hotel companies must educate people on why room prices vary so much and can change on a day to day basis. Also, hotel companies must give excellent service and provide the best experiences for the guest that they can. In this way, they can gain return customers and possibly cut out the online booking agencies.
DeleteIn this article, the biggest trend I see is that all of these companies had growth. That is good for the college students who are going into hotels because it shows that the industry seems to be in a boom period right now. Also, more than one of them are announcing programs or incentives to boost revenue even more. Finally, at least two of them brought up trying to get more people to use them in the overseas market, which is pretty smart. The overseas travel market is rapidly growing, and companies, especially hotels, should be getting into it as quick as possible.
ReplyDeleteThe article showed partially why I became a Hospitality major, the industry is growing and if a person wants they can work anywhere in the world. Hotel companies are creating jobs in new markets such as India and Asia. By looking at the culture of these new hotel destinations hotels can not only bring in tourist but also people from within the country. The other major point the articles was the need to be thinking towards the future for technology in a world that allows us to make a hotel reservation in the blink of an eye without talking to anyone with a smartphone. All companies in the hospitality industry need to stay alert to what new technology is out there and how to make that technology create more profit for the company.
ReplyDeleteFinancial performance for all of the companies mentioned in this article have improved substantially. A common trend in this article is growth of each company. Whether it's a sweepstakes that Hotels.com created to give consumers a chance of their dream vacation; providing particular accommodations based on the guests preferences such as in-room amenities; building hotels in new markets or staying up to date with technology trends. All of these value creating actives are utilized by companies in the hospitality industry. Knowing what the guests wants and needs are can be crucial for success, loyalty and profitability.
ReplyDeleteThis article just reiterates the fact that the hotel industry is, in fact, growing. People will always have a need for travel, vacations, and business trips even when the economy is down. Starwood, Hyatt, and Intercontinental are just coming up with incentive programs to help their market continue to grow. These companies need to create these programs because it seems that booking agencies like Expedia are taking a part of companies profits. Other agencies not mentioned in this article like Kayak even offer package deals between flights, rental cars, and hotels. Hotels need to step their games up if they want to have the upper hand. This could be a reason that the companies are branching out to foreign markets- China seems to have a rapid growing business market.
ReplyDeleteThis article shows some of the clear trends developing in the hospitality industry and how hotels are creating value. For one thing, all of the hotels are catering to the needs of their guests. Starwood is meeting the needs of travelers from India. They have recognized this is the fastest growing segment. The company has not only launched a program which caters to the unique preferences of Indian travelers (slippers, tea kettles, and popular beverages) but has already discussed plans of expanding the promotion. Hotels.com has launched a similar promotion, guests who tell the company about their dreams are qualified to win a similar dream stay. both companies have gotten the guest involved and made it clear of the payoff to the guest. Also every company in this article reported revenue gains for the quarter. All of this shows catering your hotel to fit the needs of your guest will increase revenue.
ReplyDeleteIn regards to value creating, I think Expedia is making headway with their "Sleep. Dream. Win. Sweepstakes." I think it will give incentives for new customers to book with Expedia, expanding their market. It also will help keep their loyal customers happy and make sure they keep booking with them. In addition, Starwood is creating value for their new transient customers from India by putting ethnic amenities in the rooms; for example, slippers and teas are placed in the rooms.
ReplyDeleteA booming cash flow and higher profit seem to be the trend for the rest of the companies. For instance, Hyatt Hotels Corporation increased their profit by having a higher ADR.
Upon reading this article, it's refreshing to see that various companies in our field are finally doing well. It has been a tough 5-6 years for the hospitality industry, and as someone who is graduating in December, this is comforting. The three companies are creating value by utilizing incentive programs, such as reward programs (also, by catering to various market demographics, such as Starwood use of slippers and tea in their India properties.)
ReplyDeleteIn the article I think Expedia has the right idea about its contest that is going on will do well with all of the others that are showing they are remaining above the water. It is literally all about the promotions yeah we may be giving away things but it is attracting people who may not of known about the companies. They are getting their name out there. The biggest trend right now is growth trying to be the biggest and the best which is health compition which dives sales. Another point in the article is the take off of technology in industries. It can make in check in faster and reservations. But on the other hand it is kind of taking out the hospitality the one on one interaction with a person. Hotels are becoming where you barely come in contact with someone which is taking away jobs. Hotels are going to do everything possible to increase rev and ADR and all of those other major rates.
ReplyDeleteAfter reading the articles it was clear that the hotel companies main goal was to drive RevPar up as high as possible. Some hotels did this buy giving promotions and giveaways. I am glad to see big hotels doing good like the Intercontinental and the Hyatt, that means more jobs in the future. I also like that Starwood is focusing more on foreign popular travel and expanding their business that way. Hopefully other companies will follow and do the same.
ReplyDeleteAfter reading this article, it seems that the hospitality industry is back on the rise. The demand for travel is fairly high and large hotel corporations are benefiting. I especially like Starwood's idea to meet certain travelers special needs. Starwood excels in breaking down cultural barriers to better accommodate travelers which in turn gives them a leg up from their competitors. By targeting expanding regions, they are creating value for their company through international travelers. Starwood follows the trend that many other companies in the hospital industry are catching onto. By entering new markets, offering incentives and reward programs, companies ensure new customer demographics and customer loyalty. This in turn is increasing their overall revenue. It will be interesting to see ,as the industry continues to grow, what new features will be introduced.
ReplyDeleteIt is great to see the hospitality industry is doing better financially. Hyatt Hotels Corporation reported a $1.1 billion financial increase on their revenue. At the same time, Intercontinental Hotels Group PLC reported a 6.6% increase on their revenue which is $936 million. Its operation profit was also increased to $338 million. According to the article, many hospitality companies went out of their way to provide better service to satisfy their guest and maximize their profit at the same time. Expedia’s value creating activities offer guests to win a dream-line vacation. Starwood Hotel is planning to expend its India market by accommodation guests more amenities such as slippers and Masala tea. Hyatt is planning to open new 24 hour hotels in India, France, China and South Korea. It is hard to increase profit in mature market. However, these companies can still be able to achieve this goal by creating value and service. Hopefully this trend can continuously grow both for the benefits for hospitality industry and guests.
ReplyDeleteDue to an increase in travel hotel companies are doing financially well which is very exciting for everyone in the hospitality industry. I think companies who have put incentive and loyalty programs into place such as Starwood and Expedia will see much more customer loyalty and in turn create value while keeping company expenses low. I like Expedia's Sweepstakes program because I feel it will get customers excited about traveling as well as bringing in new customers. The cost to the company will be minimal compared to the payoffs from the sweepstakes. Getting customers excited about travel and establishing creative programs will continue the industries growth.
ReplyDeleteI agree with Victoria. Expedia will see many benefits from their sweepstakes because it is getting their name out in the media. This exposure is priceless and the more people who enter and continue to talk about it, the better it will be for the company. The sweepstakes will be very cost effective because an advertisement campaign would be very costly to have the same effect as this program.
DeleteIt was interesting to see that 3 of these hospitality businesses were able to have significant increases on revenues and profits and they all did it in different ways. Ctrip was able to forecast trends of more people using mobile devices for internet internet. Hyatt chose to expand it's name both in the US and internationally by opening new locations and rebranding existing locations. Intercontinental decided to focus on RevPar, which is not always the best method because it only takes top line into account and does not focus on bottom line. I believe Starwood will see growth with their strategy of offering amenities that appeal to growing nations. Many people are pleased when they see little things, like tea they enjoy, are conveniently available. This should help bring these customers back in the future.
ReplyDeleteAfter reading this article it made me realize that the hospitality industry is headed in the right direction. Companies like Starwood and Expedia are really doing things right. Expedia’s Sleep Dream Win Sweepstakes is a great idea to keep their customers happy and will keep them coming back. It also attracts new customers that see Expedia treating their loyal customers like they want to be treated. As for Starwood, they are meetings the needs of their clientele from India with their Personalized Travel Program. It offers things that most companies don’t think about – the small things – which of course mean everything to a customer. The slippers and tea kettles are a great touch, and most companies aren’t doing this. The fact that it is spreading to different locations across the world just proves that it is raising their numbers and is working. By adding incentive and reward programs these companies are adding more value to the company as a whole.
ReplyDeleteThis seems to be a strong endorsement that the hospitality industry is doing well. Hotel companies such as Hyatt, Starwood, and Intercontinental hotels have all reported growth in revenue and profits.. they are also reinvesting in the business by opening new or expanding existing hotels. This expansion is taking place in the United States, but it is also taking place in quickly rowing travel markets such as india and China. Hotel Booking sites such as Expedia and Ctrip have also experienced growth. Expedia is hosted an "Sleep. Dream. Win." sweepstakes. People who posted their dream vacation on their website had the chance to win a trip to their dream hotel. This creates value because it gets people to go to their website and start thinking about traveling and booking hotels. Starwood was focusing on their Indian market. They include "simple, yet meaningful" touches that are important to indian customers. things such as slippers, tea pots, malsa tea, Dosa, Poori and Paratha. This creates values because these simple amenities please Indian customers and they are more likely to return.
ReplyDeleteExpedia collaborated with Hotel.com to conduct a sweepstakes online. This effort is a smart way of letting the public gain exposure to these online brand names. In fact, by enticing them to join this contest, Expedia and Hotels.com can gain insights into what guests really want out of their traveling experience. Often times the best ideas are those that comes from the users themselves. Moreover, this contest can also pull in new potential customers. These traveling rewards given to the winners will also generate more revenue for the tourism industry because although the hotel nights are free, the winners would still have to spend more to travel there as well as on food and visiting the attractions nearby.
ReplyDeleteStarwood is constantly making good on their promise of innovation by taking into account the vast cultural variety that exists among its clienteles. In this particular case, travelers from India were made to feel at home with in-room amenities and popular beverages and breakfast items that they are more familiar with. It is a good way to delight guests as having things from home will lead customers to build an association between the brand and home which might be a good strategy on Starwood’s part to ensure that they are the choice of foreign travelers.
Ctrip is a mainland China-focused travel agency, which runs the eponymous Ctrip.com travel website (http://en.wikipedia.org/wiki/Ctrip). Their growth is rather expected as many Chinese travelers vacation in foreign countries. As Generation Y age, they have more disposable income to spend. The fact that they are tech savvy contribute to Ctrip.com’s success as this generation is constantly on the Internet, searching for the best deals while planning vacations on their own. Online travel tools have given the younger generation the power to choose and pick options that they want regarding their traveling plans, hence eliminating the need for a travel agent.
Hyatt also seeks to continue its growth with international ventures, expanding within the country as well as at foreign locations in light of recent favorable financial reporting.
These efforts are all done in an effort to capture more customers that are in the existing market by attracting them with various offers. This will ensure a healthy competition in the hospitality industry and a wider variety of choices for consumer to pick from that suits their needs.
I do agree with Carolyn but I also wanted to add a little more about Ctrip.com commands. Ctrip.com is Chinese people's number one choice when comes to on line travel agency. The launch of mobile app is just made it more convenient to use.
DeleteThis article shows that the hospitality industry is finding great success through global expansion. Intercontinental noted that the global scale of the company is one of the main reasons that the company is thriving. Hyatt Hotels Corporation also noted that they have recently been able to expand and open new hotels not only in the United States but as in China, India, France, and South Korea. Ctrip.com is also finding success through expansion programs in China. Starwood Hotels follows the same trend of expansion with many global locations including one in Barcelona and one in Florence. This global expansion is proving to be very good for business and we can expect to see more hospitality firms following suits in the future.
ReplyDeleteIt's encouraging for me and my fellow students to see a resurgence of business in our field of hospitality. Another refreshing point raised in this article, is the idea of hoteliers and hotel reservation websites rewarding customers for acts as simple as use of their website or bringing their return business. Thankfully our peers in the field of hospitality are trained to put the customer first. If it wasn't for forward-thinking plans (such as Expedia's Think. Dream. Win. Sweepstakes, and Starwood's specific catering to international clients) these hotel companies might have been suffering the same dire financial straits as other American companies.
ReplyDeleteAfter reading this article, I noticed that all the companies excluding Expedia have really been focusing on the international market. According to the article, this focus on the international market has really helped out in increasing revenues. I think that it is awesome how much the international hospitality market has boomed in the recent years and I cannot wait to see how far this success goes. When I think about myself going into the industry, It makes me excited to think that there will more than likely be abroad opportunities for me in my future.
ReplyDeleteAs far as value creating plans, Starwood stood out to me because of how they are adding amenities to their hotels that cater to the market that the hotels are in. This makes the customers feel that the hotel really knows what they want and cares about their likes and needs, which in turn creates value.
I agree that implementing more reward and loyalty programs are very good ideas. By setting up programs like that customers will tend to stay with you more often because of familiarity. I also like the expansion of other companies. Companies are now opening up to new markets all over. One thing that really stuck out was the contest by Expedia. I think they will see more success from this since it gives customers access to a number of opportunities.
ReplyDeleteCertainly the economy globally has spiked after a long recession. Despite some markets in Europe still being in really bad conditions we can see how companies are making more and more profits in emerging markets like South America, China and the more stabilized countries in the middle east. Additionally to this, companies all over the place are starting to take more advantage of the internet and have been able to create an experience for the customer that is more interactive each time and more personalized for each individual. This has made customers able to identify faster with the company or brand that suits his or hers special needs. Let's hope that the investments made in foreign countries help develop those emerging economies and that the economic recovery in the United States is as strong as expected so the balance sheets of these companies stay healthy after the business cycle goes from to another stage.
ReplyDeleteas i am majoring in hospitality industry, it is great to hear that hotel company such as hyatt, starwood, intercontinental doing various programs which are Sleep. Dream. Win;Sweepstakes, that offers a chance to travelers to go on a dream-like vacation of their own, and offer a variety of simple, yet meaningful touches that matter most to the international guests. since the hospitality industry is a trillion dollar service sector within the global economy. the industry covers a broad variety of service industries including, but not limited to, hotels, food service, and tourism. overall,all the hotel industry companies mentioned on journal are doing great both financially and increasing great revenue.
ReplyDeleteI think it is amazing to see that so many hotels and companies are doing well financially. Sometimes in this major I feel like we talk about specific hotels and their operations and how we can turn them around from bad times and losing money. It is refreshing seeing that as a whole companies are really working hard to bring back the industry in a positive way. I also loved in this article the fact that it shows that many different businesses are finding strategies and ways to expand on and make them more market segment oriented.
ReplyDeleteIt is apparent that these three hotel companies are doing a lot better financially and it also seems that these rewards, contests, etc are actually really working for the and I think that if they continue to do it as they do then they will continue to benefit as a company financially. These hotels are making it more of a personal experience which is what I think what people want when it comes to hospitality. To relate and feel welcomed. Therefore why these three companies are doing so well
ReplyDeleteThis information provided through this article demonstrated how some hotel companies are doing well financially within the last year. I believe that if these companies offer more rewards for their customers, they will ultimately make more money in the end. If these companies continue to keep up with current trends and market, they will continue to increase revenue. I also think expedia is doing a great job with offering rewards and sweepstakes to their customers. Therefore, the hotel industry will continue to profit from these providing customers with a more personalized experience.
ReplyDeleteFrom the article, the hospitality industry has been growing. According to report in the article, it showed us the sales of many hotel companies have been jumped. As we know, people have a need for a trip on their vacation. Hotel companies offer many deals such as package deal to encourage to people to come. Hyatt and Intercontinental hotels are trying to expand the market all over the world and that is great decision I think. From my point of view, the season is also really important fact for recent growth and seasonal deal would be helpful to increase the sales. I hope that this positive situation should keep going as a student studying about hospitality.
ReplyDeleteThis article highlighted a few of the major hotel companies in the market today. With so many changing dynamics in the economy, the demographics of those who are now traveling is ever changing. Many companies realized the only way to stay competitive was to meet the needs of those travelers. For example, Starwood is offering amenities in the rooms for guests traveling from India. Another way they are adapting is by offering rewards programs. Not only does this bring in loyal guests and more revenue, but also it forces guests to choose your brands over others. This in turn has been very successful. The article demonstrated how many of the hotels net income and operating profits are significantly increasing. When companies can properly identify their target markets and adapt to their needs guests will be happy which is crucial for the bottom line. I first hand have seen some of these changes. Recently, Westin hotels started the “Westin Workout.” All the properties have full size gyms, classes, and offer workout shoes and clothes for those who didn’t bring their own. I think this was genius. This can be useful for business travelers who often don’t have room in their small bags for workout clothes. They now can depend on these properties to supply them workout clothes and shoes if they choose to workout. This new concept goes great with the trend of being fit and taking care of yourself.
ReplyDeleteAs China's biggest travel site, Ctrip.com has launched its wireless mobile website m.ctrip.com that enables consumers log on to the site via their mobile phones to book hotel rooms, buy airline tickets, and manage personal information. According to the CEO and Chairman of Ctrip.com, Mobile Internet is changing the travel industry rapidly in China. Transactions from Ctrip mobile channels tripled year-over-year in the second quarter and contributed to over 20% of hotel booking and approximately 15% of air ticket booking. Ctrip.com has done a great job of creating value for its stakeholder. This company has great potential and I recommend its stock.
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