What people who live longer and livelier want from a hotel experience


As asset management consultants, most of our work is focused on operations with financial horizons of 12 months or less. While short-term performance is key, we must keep a watchful eye on trends that will impact demand, room rates and commensurate asset values ​​over the long term: the next five years up to two decades. . Therefore, the impetus for this ongoing column is to explain how the concept of “longevity” will gradually affect hotels and, most importantly, what you can do to increase revenue now.

Before looking to the year ahead, definitions and caveats are in order. By longevity, we mean the notion of human beings living much longer than current actuarial mortality tables. This is particularly poignant for wealthy people – your clients – as they have chosen healthier eating habits, appropriate forms of exercise and a good night’s sleep. This long life is further fueled by widespread access and knowledge of supplements, effective ways to quit smoking, the value of meditation and yoga, as well as breathing techniques and many other habits now scientifically proven. that prolong life. All of this is in concert with advanced drugs, prescription drugs as well as medical treatments.

It’s not just about lengthening lifespan, but about “lifespan” – lengthening the youthful, conscious, fully mobile years one has on this planet. Basically, longevity, anti-aging, or biohacking encompasses much more than the current designation of the wellness industry or a spa program. In hospitality parlance, the latter terms often connote a siled operation within a larger organization whose primary focus is secondary revenue capture or a resort brand targeting part of the total travel market.

During this column, we will argue that the concept of longevity permeates all hotel operations and has an extensive customer base willing to pay high prices. In direct response to Queen’s powerful and bittersweet ballad for the Highlander soundtrack, who wouldn’t want to live forever, or at least another decade, without joint problems, sagging skin, chronic heartburn or Memory ?

Anti-aging programs will be the backbone of hotel experiences in 2040. Great, but it’s 2022 and your bondholders probably aren’t inclined to extend interest forbearance until then. . What can you do today to generate income?

The actions you take over the next year should reflect some of the most profound macroeconomic changes that have resulted and continue to occur as a result of the pandemic. Here are three trends:

  • The rich are richer. All this money printing has eroded the future value of cash, forcing investors to turn their deposits into assets and making asset owners correspondingly wealthier. Those who can afford now have far more money to spend on luxuries, including lavish hotel stays and services that will allow them to live life to the fullest. In a society where money is cheap, time becomes the most precious commodity.
  • Expect early retirements due to COVID-19. Evidence has overwhelmingly shown that age, around 60+, is a key comorbidity factor in turning a flu-like infection into an intensive care stay. Why risk going back to the office? Many seasoned executives, already burdened with a stockpile of cash from years in a cushy salaried position, have consequently advanced their retirement schedule. This produced a glut of wealthy and elderly people who had only free time and were chomping at the bit for safe travel opportunities.
  • Confinement insights. No doubt this one hit home in a very personal yet universal way. Shelter in place has led many to reflect on life and how to derive meaning from the daily work of a pre-pandemic work commute. People have learned to cook and eat healthier or have started working out at home. Others occupied their minds with books and new skills. Taken together, there’s been something of a big wake-up call as the shutdowns have forced us to reconsider what’s truly valuable and how to achieve a work-life balance where ‘life’ is the heaviest weight on that scale. .

A common thread in these is a burgeoning appreciation of the concept of time as a limiting factor in human life as well as a new appetite for maximizing one’s time. Marketers know very well that consumers only buy what they remember, and so this increase in longevity awareness increases both the total addressable market as well as the relative price inelasticity for products of wellness or anti-aging.

The obvious applicability is in the luxury segment where discretionary income abounds by building spa, room and activity programs that incorporate longevity goods and services. But trends indicate that it is much more ubiquitous despite its skewed accessibility for those with means.

An immediate action any hotel brand can take is to designate a manager or committee to develop plans for the continued deployment of new standard operating procedures and upgrades that will gradually enrich the guest experience toward this long-term goal. .

For example, you can start in the bedrooms by making it your primary goal to establish a sleep schedule, a sleep-inducing herbal tea schedule, more breathable linens, a pillow concierge, nighttime noise reduction, units lavender-scented air filtration units, IoT thermostats that slightly lower room temperatures after midnight, and smart lighting that changes from blue to amber in the evening.

A similar exercise can be undertaken for your spa where you look at your budgets to see what “low hanging fruits” you can take right now versus projects that require future CapEx spending. And, of course, a big part of anti-aging is diet, where a few menu items properly advertised as health-promoting can serve as the opening salvo for a holistic food and drink overhaul.

It barely scratches the surface of what’s possible and what’s yet to come in the realm of hotel longevity. Set a personal goal to deepen your knowledge in this area during 2022, because everything you learn will be relevant to the long-term health of your brand.

Larry and Adam Mogelonsky are partners at Hotel Mogel Consulting Limited, a Toronto-based consulting firm.

The views expressed in this column do not necessarily reflect the views of Hotel News Now or the CoStar Group and its affiliates. Bloggers posted on this site are free to express opinions which may be controversial, but our aim is to provoke thought and constructive discussion within our community of readers. Feel free to contact an editor with any questions or concerns.

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