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Friday, July 18, 2008

Hotels splurge on pools to make a bigger splash with guests

Hotel pools are going off the deep end when it comes to luxury, novelty and entertainment.
Ever seen one lined with Swarovski crystals? Guests at the new Thompson Beverly Hills can check out the rooftop watering hole with the glittery baubles embedded in glass, emitting what Thompson Hotels chief Jason Pomeranc calls a "shimmery" effect. "It's one-of-a-kind … very Hollywood," he says.
The guests-and-friends-only pool at Thompson's new Donovan House boutique hotel in Washington, D.C., by contrast, is more subdued, but arty, too, with a design on the bottom. "I see pools as palettes," Pomeranc says.
Other hoteliers — especially those catering to the party crowd — are making waves with swimming holes:
•Just-opened The Joule, A Luxury Collection Hotel, in Dallas has an architectural jewel of a pool with one translucent end that juts out over the street, 10 stories up. It and its lounge open to the public from 5 until midnight Thursday through Sunday. Unlike many upscale pools that allow visitors, there's no entry fee or velvet rope.FIND MORE STORIES IN: Washington Internet Florida Dallas San Diego Hollywood Puerto Rico Broadway DVDs TVs iPods Xbox South Beach MGM Grand Rio Lincoln Center Swarovski Bjorn Hanson Borgata Water Club Sapphire Peninsula Beverly Hills Thompson Hotels Ivy Hotel Gansevoort Hotel Group Jason Pomeranc Wet Republic
•The new Gansevoort South in Florida's South Beach boasts what's billed as the USA's longest rooftop pool (110 feet). Lined by palm trees, it's designed with underwater lights and music and a window where bar patrons can watch swimmers' underwater moves.
It's "an economic drain" because of the cost to build, run and staff it, Gansevoort Hotel Group president Mike Achenbaum says. "But it's a marketing tool … an opportunity to generate a buzz about the hotel."
That tactic worked for the first Gansevoort in the trendy Meatpacking District of Manhattan, where models and actresses cavort. The hotel built "a tremendous following of people who rent rooms just so they can sit by the pool," Achenbaum says.
•The renovated El San Juan Hotel & Casino in Puerto Rico has turned its oceanfront pool into an ultra lounge, with white-curtained sunbeds, deejay, massage pavilion and luxe furnished tiki-hut-style cabanas that include flat-screen TVs and minibars that rent for $500 and up a day this time of year. When not spinning, the deejay will customize hotel guests' iPods with personal poolside faves.
•Las Vegas hotels are going bananas for cabanas with electronic bells and whistles. You'll find them at most upscale casino resorts. Recent additions include the new Wet Republic adults-only party pool at the MGM Grand, where revelers watch DVDs, play Xbox games and order from their cabana's bikini-clad hostess. The Rio's new tops-optional splash-atorium is affiliated with the Sapphire strip club.
•The new guests-only Pooldeck at the renovated Empire Hotel across from Lincoln Center in Manhattan has cabanas with ceiling fans, telephone, flat-screen TV, wireless Internet and daybeds. Plus there are bird's-eye views of bustling Broadway below.
Atlantic City — not known for over-the-top luxury — is getting into the swim with five pools at brand-new The Water Club. An adults-only swimming area at the 800-room non-gaming sister hotel to the Borgata has 400 jets that keep the 80-degree water bubbling. There's a sandy beach area and cabanas, of course, plus a kids' pool and a "Sunroom" with water cascading along a curved stone wall into a pool. At night, it becomes a bar and lounge.
Across the country, boutique hotels in perpetually sunny locales such as San Diego host riotous pool parties open to anyone who can get past the velvet rope. The Ivy Hotel's pool and bar is hot there. In Beverly Hills, the newly renovated pool area at The Peninsula Beverly Hills — created as an urban oasis by designer Cheryl Rowley — caters to a quieter crowd. There, a celeb might be getting a manicure next to you in a cabana (non-guests can rent them for $250 if any are available).
Less than 10% of hotel guests actually go into the pool, veteran hotel analyst Bjorn Hanson says. But "many make their (hotel) decision" based on whether it has one. "There's competition for higher-end travelers," he says. "And if they can have a 'wow' experience (poolside)," it's a competitive edge.
In some cases, pools have become the "modern version of singles bars," he says. "There's a 'beautiful people' association. Instead of going to the bar, you go out to the pool."

U.S. hotel industry posts record revenue, pre-tax profits

Pre-tax income for the United States hotel industry in 2007 increased 5.3 percent to a record $28 billion, according to the recently released 2008 Hotel Operating Statistics (HOST) Study issued by Smith Travel Research (STR).
The industry posted an all-time best $139.4 billion in revenue in 2007—which is over $6 billion more than it generated in 2006 ($133.4 billion)—and for the second consecutive year, gross operating profit as a percentage of revenue came in at 41.3.
- 2007 was another excellent year for the U.S. hotel industry with record revenues and record profits,” said Mark Lomanno, STR’s president.
- However, as the American economy slows, we are expecting a tougher operating climate for U.S. hotels in 2008.”
The HOST Study is the most extensive and definitive database on U.S. hotel industry revenues and expenses. The 2008 version is derived from the operating statements of more than 5,200 hotels.
The HOST Study contains information on hotel revenues and expenses, and presents information by department including rooms, food & beverage, marketing, utility costs, property and maintenance, administrative and general costs, as well as selected fixed charges.
Year-over-year Gross Operating Profit (GOP) during 2007 increased for full-service hotels in the United States and decreased for limited-service hotels in the United States, according to the study.
Collected data indicates that GOP (before Management Fees and Franchise Royalty Fees) for full-service hotels increased 3.8 percent to 35.7 percent of total revenue in 2007 from 34.4 percent in 2006. Meanwhile, GOP for limited-service hotels in 2007 decreased to 52.0 percent of total revenue from 55.4 percent in 2006.
Other highlights of the 2008 HOST Study include:
• Full-service hotels used 3.5 percent (down from 3.6 percent in 2006) of total sales for franchise fees (royalty), while limited-service hotels paid 5.0 percent (up from 4.7 percent in 2006).
• Full-service hotels paid 3.7 percent (level with 2006) of total sales for management fees, while limited-service hotels used 4.2 percent (up from 3.9 percent in 2006).
• Limited-service chain-affiliated hotels reported a higher ratio to sales for Income Before Fixed Charges (47.3 percent) than Independent hotels (40.6 percent). But Independents posted a higher amount per occupied room night, with $72.37 compared to Chain-Affiliated hotels at $44.79.
• After franchise fees, management fees, taxes, insurance, and capital replacement, full-service hotels recorded an Amount Available for Debt Service & Other Fixed Charges of $17,003 per available room in 2007, up from $15,307 in 2006. This equates to 25.3% of total revenue.

Instant Overview of the Spanish Hotels Industry for 2008

DUBLIN, Ireland, Jul 18, 2008 (BUSINESS WIRE) -- Research and Markets ( http://www.researchandmarkets.com/research/5652a1/snapshots_spain_ho) has announced the addition of the "Snapshots Spain Hotels 2008" report to their offering.Snapdatas Snapshots Spain Hotels 2008 provides 2007 year-end market size data, with 2008 estimates, 5 years of historical data and five-year forecasts. The Snapshots report gives an instant overview of the Spanish hotel market and covers 1 star hostels, 2 and 3 star hostels, 1 star hotels, 2 star hotels, 3 star hotels, 4 star hotels and 5 star hotels. Market volume is based on the number of hotels in activity. The data is supplied in both graphical and tabular format for ease of interpretation and analysis. The Snapshots Spain Hotels 2008 forms part of Snapdatas Catering & Hotels industry coverage.Executive SummaryThe Executive Summary within a Snapshots report outlines the main findings of the report (market size, market shares and market forecasts)Market sizeMarket size is the measure of the total value or volume of a particular product sold in a particular length of time. In our case it is the total amount of the market covered by a title in the last whole year, for example, in UK Beer 2005, all the beer consumed in the UK in 2004. The aim of the report is to tell how much of the product was consumed in the country discussed by value and by volume.Market SegmentationMarket Segmentation is a segmentation of the market by key product categories, ideally by value and volume. For example: the yoghurt market can be segmented into: drinking yoghurt, flavoured yoghurt and natural yoghurt.Market ShareMarket Share is the share of each competitor in the market place and can be expressed in value or volume terms.Market Share by Volume - each competitor's share of the total Market VolumeMarket Share by Value - each competitor's share of the total Market ValueDistributionThis measure of the market relates to the different distribution channels to market for each product. The distribution can include the following channels:Consumer Goods example:- Supermarket- Hypermarket- Discount Store- Corner shop- Internet- EtcSocio-Economic dataThe key socio-economic indicators in each report will be:Size of populationGDP - Gross Domestic ProductInflation rateExchange rateForecastsAll market forecasts are based on statistical forecasting techniques based on historic performance (linear extrapolation of the market size, based on the five-year historical growth). These statistical tools are supplemented with qualitative parameters such as: industry expectation/opinion. Socio-economic drivers, new product development, technological advances, expected levels of market saturation etc.Key Topics Covered:- Snapshots Executive Summary- Category Definitions- Market Size (Number of Hotels) by Volume (2003-2007)- Market Segmentation (Number of Hotels) by Volume- Market Size (Number of Rooms) by Volume (2003-2007)- Market Segmentation (Number of Rooms) by Volume- Market Shares (Number of Hotels) by Volume- Market Shares (Number of Rooms) by Volume- Company Websites (Main Players)- Market Forecast by Volume (2008-2012)- Socio-Economic Data for Spain- Snapshots Sources for Further ResearchFor more information visit http://www.researchandmarkets.com/research/5652a1/snapshots_spain_hoSOURCE: Research and Markets Ltd.

4 More hotels face strikes

Unionized members of four more Montreal area hotels have given their leaders a strike mandate. Employees of the Maritime Hotel, voted 90 per cent in favour of a 72-hour strike on Tuesday. On Wednesday, the unionized workers at the Hilton Laval, Ruby Foo's and the Nouvel Hotel voted 96 per cent, 93 per cent and 72 per cent respectively in favour of giving their union leaders permission to declare a strike. These 72-hour strikes can occur in a block of three days or piecemeal. Eight other hotels in the greater Montreal area have already voted on or taken some strike action,, including the Delta Centre-Ville and the Regency Hyatt. Unionized employees at 41 hotels are currently negotiating for new contracts. Hours of work, a better retirement package, a better balance of work and family time and the elimination of management using personnel agencies to hire outside the union are the key points in the employees demands.