Hotels have always played a fundamental role in the economy. Because business travel is critical to the success of any business, traditional hotels welcome their employees when they leave to meet new clients, attend conferences, or wine and dine with important partners.
Previously, these rooms had a simple purpose. Business travelers love to find a comfortable pillow at the end of a long day. Hotels that offer decent fitness centers or bars and restaurants get ahead of the crowd.
But the advent of the Covid-19 pandemic changed the future of work forever. Today, 74% of US companies have adopted or are considering transitioning to a hybrid business model, and their teams are more distributed than ever.
This new approach has advantages. Employees have a better work-life balance, with surveys showing that 83% of American workers prefer hybrid arrangements. At the same time, companies are no longer tied to a specific location when looking for top talent.
But with employees away from the office (at least for a while), companies are rethinking how they build their teams. Whether for corporate retreats or to change the environment for creative brainstorming sessions, outdoor venues are on the rise. Depending on the location of the grantee, it may be more appropriate for the team to assemble from headquarters for the training and onboarding processes.
With the growing list of reasons for business travel, hotels will continue to be important. But how can this aspect of hospitality be adapted to the needs of hybrid workers?
1. You have changed your room properties
As the world slowly comes out of lockdown, hotels are making huge changes to create a safer stay. The hotel is redesigning guest rooms to include more in-room amenities and providing fitness equipment and musical instruments to enhance the experience while avoiding unnecessary contact with other guests.
While travelers' wanderlust has waned, hotels are sticking to the idea of well-appointed rooms. European chain Zoku aims to transform the hotel room concept with a pioneering loft design. Designed with the business traveler in mind, this junior suite features elegant decor that guests can customize. Each room has a fully equipped kitchen with a four-seater table, a comfortable seating area and a separate desk with stationery.
2. They are targeting the third space market
Although the main office has facilities, it can also be isolated. As humans, we crave interaction, and without interaction we lose motivation. But in the world of hybrid work, it's not always possible or preferable to go into another company's headquarters or headquarters.
Employees may want the benefits of space away from the attention of other colleagues. But maybe they prefer to be in the common area rather than the quiet confines of their kitchen. Here, hotels have the power to dominate the so-called third world market to fulfill that desire.
The idea of the "Third Space" was originally embodied in the coffee shop culture, which was defined as a place that functions between the home and the office. As more hotel chains realize the value of providing a welcoming, functional and inspiring place for hybrid workers, the type of visitors they seek to attract is changing. Rather than attracting corporate clients from long distances, the third room concept also reaches out to local communities tired of the isolation that can occur at home.
In light of this new market, many hotels are incorporating quality co-working spaces into their offerings. Wyndham, for example, opened a NEST business center in its property in Dubai. Open to hotel guests and non-hotel guests, visitors can book by hour, day or month.
Where hotels can differentiate themselves from traditional co-working spaces are the various additional amenities they already have. Some properties in Bangkok have gotten a creative makeover and are offering day passes to remote workers to make up for the lack of tourism in recent years. The Holiday Inn offers free tea and coffee and free use of the spa for employees looking for an alternative environment. Meanwhile, Siam Kempinski offers a 12-hour round-the-clock package that includes a private suite, complimentary minibar and three-course lunch at the hotel's restaurant.
3. Stand out as an alternative foundation
While larger organizations may still have physical office space, smaller mixed-use companies may forego real estate entirely. As telecommuting for employees spreads across the country or even the world, companies may increasingly consider hotel conference rooms as a new co-working space for their employees.
Unlike traditional co-working spaces, hotels can offer more flexibility in pricing. Skipping monthly or weekly subscription models, companies can rent meeting rooms for as long as they need, while enjoying comfortable rooms and a central location for their team.
In the past, business facilities in hotels were often uninspiring and usually limited to large conference rooms. As business needs grow, hotels are also adding more flexible workspaces. Following the concept of co-working, hoteliers focus on functionality and create brainstorming spaces with multiple whiteboards where teams can work together and solve creative challenges together. Gone are the days of meetings in the hotel lobby. A private lounge is now available for job interviews or orientation interviews.
4. They offer subscription services for added benefits
In the next iteration of hosting, brands can offer monthly subscription services that offer users various rewards. It remains to be seen whether this initiative will provide enough additional benefits to compete with traditional points-based loyalty programs, but it's an exciting development in the hospitality industry.
For example, CitizenM introduced the mycitizenM+ plan, which guarantees users rooms when they book more than 48 hours in advance, plus free upgrades, late payments and discounted rates. MycitizenM+ members can also skip the line with customer service representatives and enjoy exclusive events and experiences.
5. They promote longer time
75% of millennials consider the ability to travel an important feature of their job, and 65% consider business travel a status symbol. Because the opportunity to explore new destinations is a major motivator for many employees, many companies have become more flexible by allowing employees to extend business trips for leisure.
As a result, more than 40% of business travel plans have now expanded to include leisure travel. To capitalize on the latest travel trends, hotel chains have announced special offers to entice business travelers to extend their stays. An example of this is the world-famous Hayat, which initiated the "Work for Life" initiative.
For stays of five nights or more, guests can take advantage of a number of amenities, including:
- Guaranteed private workspace or free second bedroom for guests to use as an office.
- No resort fees.
- Free fast WiFi.
- Free or discounted laundry service.
- Daily food and beverage credit.
- Free parking.
- You can pay for packages and earn additional loyalty points for World of Hyatt members.
In contrast, boutique brand Selena took a different approach. With properties on four continents, Celina is frequented by employers, freelancers and remote workers for its innovative pricing models. Customers can pay per use or opt for a global subscription.
Starting at $360 per month , the Nomad Passport offers travelers 30 nights of stay over three months. While guests must commit to a three-night minimum stay at each hotel, they can take their laptops with them and wander around Selena's various destinations.
In addition to attracting digital nomads with flexible pricing, Selena has another advantage. Instead of selling their services as comfortable accommodations with the added benefit of a hotel co-working space, they promote their properties as an all-inclusive experience. In addition to on-site networking events, travelers can book weekend events or volunteer at local NGOs.
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