What are the major trends in sustainability and CSR in the Middle East hotel industry for 2015?
I believe that all organisations should run their business responsibly. For a hospitality company, and particularly for Carlson Rezidor, it is essential to give back. We become stronger if our local communities become stronger. As a hospitality organisation we are fortunate that we can do this through local employment, through long lasting contributions, through charitable giving all of which we practice through our employment and people development programmes and through successful campaigns such as the Box Appeal.
The hotel industry is already taking measures to reduce the consumption of water and the generation of waste very day and I see this as a key focus for 2015, particularly in areas where water scarcity is a big issue. We are launching a company-wide Think Planet Water campaign. Earlier this year we joined the United Nations led UN CEO Water Mandate and have set up a new water task force that, going forward, will look at ways to maximise water sustainability from room and building design, to bathroom fixtures, kitchen, pumps and maintenance of the systems.
What is your company doing to maintain profit levels with pressure on rates as higher booking volumes pass through intermediaries and how do you see this evolving in 2015?
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We can see a softening of the Middle East markets, especially Saudi Arabia and UAE, mainly due to the increased supply over the demand level. The other key countries are going strong.
We secure the base business through committed segments and follow the market pricing through our rate optimisation tool. Our focus is to drive business to our own brand website and directly to our hotels, although we still continue to work through third parties.
How do you see loyalty programmes evolving in 2015?
There are a number of trends that are expected to impact loyalty programmes in the year ahead. The biggest one, I believe, is big data which is definitely a big trend moving forward.
Companies are looking for more customer engagement, which means a deeper emotional connection with the brand and so data that allows us to understand customers better, will in turn allow us to provide a more meaningful experience.
It is only by managing customer interaction better and arming ourselves with in-depth knowledge of our guests that we are in turn able to communicate with them better. Data such as that from online communications, social media and email correspondence is all vital in building a picture of the guest to enable us to determine the needs of that guest to drive loyalty.
The gamification of loyalty programmes is also going to be another big trend for 2015. Giving guests goals to work towards, the ability to earn badges as they progress and a community of people to compete with or collaborate with, can all help drive and motivate loyalty and purchasing behaviour.
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