Hotel ADR Could Climb, Renovations At Record Levels | NEW YORK--According to PicewaterhouseCoopers' atest forecast, average daily rates (ADR) per occupied room at U.S. hotels will rise by 5.6 percent this year. "Although the national average rate of increase of 5.6 percent is high, the increases in many cities will be even higher--7 to more than 10 percent," said Bjorn Hanson, Ph.D., and partner, PricewaterhouseCoopers Hospitality and Leisure practice. "Also, guests will see even larger increases during peak periods."
     The increase is a result of rapidly increasing occupancy, Hanson said, adding that hotel owners are recovering record levels of investment in renovations and enhancements, including improved beds, flat-screen TVs, high-speed Internet connections and other enhancements, like irons and ironing boards at limited service hotels; 24-hour business center services; triple draping window treatments; kiosks and in-room check-out options; enhanced quality bath amenities, such as status branded items and larger soap bars; cordless telephones; quality sound systems (radios and CD players); easy-to-use clock radios; and in-room exercise equipment (treadmills, exercise bikes, stair climbers).


Labor Union President Hints At Nationwide Strike | LAS VEGAS--In a conference call last month sponsored by investment house Bear Stearns, UNITE HERE President John Wilhelm told stock analysts and portfolio managers who follow the hotel industry that a nationwide strike by hotel workers could wipe out all the financial gains lodging companies have achieved in the past few years, according to a report in the Las Vegas Review-Journal.
     Labor contracts at almost 200 hotels in six cities, operated by such national companies as Hilton Hotels Corp., Starwood Hotels and Resorts Worldwide, Marriott International, and Fairmont Hotels and Resorts, will expire this year, Wilhelm said, adding that not much has happened yet in the way of negotiations.


Flight-Related Complaints On The Rise | WASHINGTON--U.S. airlines experienced a higher rate of flight delays, more reports of mishandled baggage and a higher number of complaints about airline service in 2005 than in 2004, according to the U.S. Department of Transportation's (DOT) Air Travel Consumer Report released in February.
     According to information filed with the Bureau of Transportation Statistics (BTS), a part of DOT's Research and Innovative Technology Administration (RITA), the 20 airlines reporting on-time performance with DOT recorded an on-time arrival rate of 77.4 percent in 2005, down from the 78.1 percent mark of 2004. These carriers also recorded a rate of 6.04 reports of mishandled baggage per 1,000 passengers last year, up from the 2004 rate of 4.91. The department received 8,735 complaints from consumers about airline service last year, up 17.2 percent from the 2004 total of 7,452 complaints.


Hilton Corp. Merges, Launches e-Events & Branding Campaign | BEVERLY HILLS, Calif.--Hilton Hotels Corporation (HHC) has announced an agreement to acquire Hilton International, said Stephen F. Bollenbach, HHC co-chairman/CEO. He said the acquisition makes HHC the largest and most geographically diverse lodging company in the world, with nearly 2,800 hotels in 80 countries. "This transaction represents the final and logical step in a process that began in 1997 with the signing of our strategic alliance and is a unique opportunity to once again position HHC as a global lodging industry leader for the first time in more than 40 years," Bollenbach said.
     In other news, officials with the Hilton Family of Hotels announced the launch of e-Events Small Group Product and Guest List Manager on several of its websites, including hiltonmeetings.com, doubletreemeetings.com, embassysuitesmeetings.com, hamptoninnmeetings.com and homewoodsuitesmeetings.com, said Bob Dirks, HHC senior vice president, sales strategy and development.
     The e-Events Small Group Product enables meeting planners to go online and book anywhere from five to 25 guest rooms with real-time, instant confirmation on a booking. No RFP (request for proposal) is required for meetings of 25 rooms or less, Dirks said. 
     Separately, the new Guest List Manager tool allows meeting planners to book multiple reservations online, view and manage guest lists, and view room count summaries for an established group block at any of the Hilton family of hotels. "Demand has been high for group booking functionality that puts more ease and control in the hands of the small-functions organizer and attendee," Dirks said. HHC is also in the midst of a $1 billion branding campaign, according to Jeff Diskin, senior vice president of Hilton Brand Performance. The campaign focuses on three core elements: physical enhancements to its properties; an advertising campaign capturing the concept that travel should facilitate meaningful experiences and that Hilton is committed to helping fulfill that notion; and the development of partnerships with other market leaders.


Meetings Quest 2006 Series Planned, New Chairman Elected | WASHINGTON--Attendance levels increased at all 2005 Hospitality Sales and Marketing Association Industry (HSMAI) Meetings Quest Fall Tradeshow Series, rising 10 percent from previous years to 55 percent, said HSMAI President/CEO Robert Gilbert, CHME, CHA.
     The Meetings Quest shows will be returning for the 2006 fall series in Atlanta, Dallas, Washington, Chicago, Boston, St. Louis, Minneapolis and Anaheim, Calif., Gilbert said.
     In other news, Jack Schmidt, chief marketing officer of Benchmark Hospitality, has been elected chairman of the Americas board for HSMAI. In this role, Schmidt will guide the organization's executive committee and board of directors for a two-year term, January 2006­-2008, Gilbert said. "Through Jack's long-standing career in the hospitality sales and marketing industry, he has seen first-hand the quickness in which the industry evolves. His constant ability to stay focused on the future and ahead of the trends will have a tremendous impact on HSMAI's direction and mission to grow into one of the industry's most powerful brands."


Survey Reveals Best Luxury Hotel Brands | NEW YORK--A new Luxury Customer Experience Index survey (LCEI) from Luxury Institute finds the Mandarin Oriental earning top honors as the luxury hotel brand that delivers "the best customer experience" as rated by their own customers. Ritz-Carlton and Four Seasons tied for second; St. Regis was a close third. 
     "Ritz-Carlton had the highest number of wealthy consumers reporting stays in the past 18 months (26.9 percent), with Four Seasons second (21.6 percent). However, Mandarin Oriental, with only 5.1 percent reported stays, received the highest Customer Experience Index score, 89, edging out Ritz-Carlton and Four Seasons, both at 87," said Milton Pedraza, CEO of the Luxury Institute.
     Customers rated 11 leading luxury hotels based on their individual experiences: Fairmont, Four Seasons, Inter-Continental, Leading Hotels, Le Meridien, Loews, Mandarin Oriental, Park Hyatt, Ritz-Carlton, St. Regis and W Hotels. Mandarin Oriental achieved the highest scores in brand effectiveness, brand attitude, brand environment, price worthiness, and customer retention and customer referral indexes. Four Seasons had a near-perfect score in the problem-resolution index, thanks to a very low incidence of problems encountered by guests.


ACOM Elects New President | PRINCETON JUNCTION, N.J.--The Association for Convention Operations Management (ACOM) recently elected a new president, Larry Wilson, SMG's general manager for the future John Paul Jones Arena at the University of Virginia. 
     "I have been with ACOM for many years and am truly honored to be elected as the new president," Wilson said. "Together, ACOM and its membership have accomplished a great deal and helped many convention service professionals achieve success professionally and personally. I plan to continue this
growing momentum and look forward to leading the association in what is a very exciting time for the industry."
     Wilson succeeds Janice Telstar, CMP, of the Philadelphia Convention and Visitors Bureau. At the John Paul Jones Arena, Wilson is responsible for construction, marketing, operations, finance, food and beverage, and event services. The new 16,000-seat arena is scheduled to open in July.


Conference To Unveil Guest Room Technology | AUSTIN, Texas--The Hospitality Industry Technology Exposition and Conference (HITEC), produced by Hospitality Financial and Technology Professionals (HFTP), will be held June 19-22 at the Minneapolis Convention Center in Minneapolis.
     The 2006 conference will unveil Guestroom 2010, a display that will feature a guest room prototype with the latest and near-future technologies for the modern hotel room. The concept was originally conceived at the HITEC 2006 Advisory Council meeting in November 2005, said HFTP International Secretary Jules Sieburgh. "Guestroom 2010 will be a realistic model demonstrating the numerous concepts that circulate at HITEC, viewed by HITEC."
     Based in Austin, HFTP is the professional association for financial and technological personnel working in hotels, resorts, clubs, casinos, restaurants and other hospitality-related businesses. The association provides continuing education and networking opportunities to more than 4,500 HITEC members around the world.


Small, Upscale Hotel Brands In High Demand | NEW YORK--Small Luxury Hotels of the World (SLH), a luxury brand of 359 independently owned hotels in 59 countries, announced that it finished 2005 with a 10 percent increase in reservations revenue over the previous year.
     "There is no arguing that luxury travel is on the rise," said SLH Joint-Managing Director Paul Kerr. "As illustrated by our consistent growth throughout 2005, there is high demand for the very best accommodations. And, not only will we continue to offer the best properties globally, we will strive to make the booking process much easier and more efficient through our online advancements--always delivering to our guests exactly what they want."
     A 26 percent increase in online bookings via SLH's website, www.slh.com, is seen as a key contributor to the growth in total reservations revenue, Kerr said.


Embassy Suites Design Geared For Conventions | MEMPHIS, Tenn.--Embassy Suites Hotels officials recently unveiled a new prototype design that will give developers another option when deciding where to build new Embassy properties.
     The design focuses on enhancing the Embassy Suites physical traits and amenities, such as state-of-the-art fitness centers, registration kiosks and expanded business centers, said David Greydanus, senior vice president of brand management for Embassy Suites Hotels.
     "While providing our guests with an exciting new design layout and still maintaining the innovations business and leisure travelers have come to expect from the Embassy Suites brand, Design Option III meets the needs of developers looking to build in secondary and convention center markets," he said.
     Embassy Suites Hotels, a member of Hilton Hotel Corporation's family of hotels, was created in 1983 and is the nation's largest brand of upscale, all-suite hotels with more total suites than any other brand and 170 locations in North America. 


TIA Chairman Calls For New Strategies To Compete In World Tourism Market | WASHINGTON--James "Jay" Rasulo, national chair for the Travel Industry Association of America (TIA), warned a gathering of more than 500 travel and tourism industry executives that the United States risks missing out on enormous growth opportunities if it doesn't adopt a new strategy to compete in the growing global tourism market.
     Rasulo, who serves as chairman of Walt Disney Parks and Resorts, formally assumed the role of TIA national chair in January during the annual State of the Travel Industry luncheon in Washington.
     In his remarks, Rasulo said 2006 will be a pivotal year for the industry. "We must understand and acknowledge that there¹s a revolution going on in the global tourism market; the way people travel, where they travel, how they travel and their expectations are all changing," Rasulo said. "And, in terms of attracting international visitors, the U.S. is in danger of falling behind other countries in this new marketplace."
     According to industry research, the United States' share of international travel has dropped 35 percent since 1992. In order to compete in this new world, Rasulo identified three actions that must occur for the United States to regain its competitive edge:
1. Develop a nationally coordinated marketing campaign.
2. Give travelers the path of least resistance.
3. Get a better seat at the table in government, equal to that accorded other industries such as manufacturing and technology.


DMCs Report Business Increases, Challenges | WASHINGTON--A report by Global Events Partners (GEP) shows that its membership, which is composed of destination marketing companies (DMC), predicts better business in 2006 than in 2005. Furthermore, partner DMCs in the United States are slightly more optimistic than international partners, especially for "big events," said GEP Chairman/CEO Chris White. "As we close 2005, a year that saw strong results for the destination management industry worldwide, 2006 looks like it will be even better."
     The survey polled the organization¹s more than 70 DMCs worldwide, and approximately two-thirds responded to the survey. Nearly 40 countries were represented. Results were as follows:

More than 80 percent of all respondents expected revenues for corporate events to increase in 2006 versus 2005. 

More than 90 percent of all respondents expected to see more money spent by meeting planners for corporate events in 2006. 

Approximately two-thirds of all respondents expect that the number of "big events" will increase in 2006.

In addition, GEP partner DMCs were asked to summarize the most pressing challenges facing their DMC businesses. The following were the most frequently cited challenges: 

Short turnaround times for responding to RFPs and proposals.

Increasing operating costs, including employee health care. 

Locating, training and retaining qualified staff. 

Continued pressures on profit margins as meeting planners and procurement specialists become even more careful about allocating resources.


Convention Industry Council Names 2 New Officers | MCLEAN, Va.--Officials with the Convention Industry Council (CIC) have announced the appointment of two officers to its board of directors. John H. Graham IV, CAE, president/CEO of American Society of Association Executives (ASAE), has been named vice-chair. Eric Allen, executive vice president of Healthcare Convention and Exhibitors Association (HCEA) and vice president of the Kellen Company, joins the leadership team as delegate at large. Thomas M. Mobley, Jr., senior vice president, convention centers of Global-Spectrum returns as chair for a second term.
     "We take seriously the challenges ahead in unifying the meetings industry behind a set of accepted practices, as well as our other responsibilities, and we understand the vital need for a healthy, cohesive and successful industry moving forward," said John H. Graham IV, CAE.
     "CIC has accomplished some great things in the past few years, especially with the accepted practices initiative, and I will certainly do everything I can to help CIC bring its development to completion, as well as continue its many other activities," said Allen. "This is a challenging time for CIC, but also a time of great potential."