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Nowadays, there is a trend that sees hotels and even hotel chains being purchased by private equity firms. These firms hire third parties to operate the hotels. Everything is being outsourced to a diverse selection of firms. Even though one may think they are staying at a certain brand of hotel, it may be owned by a third party who hires say five other companies to do the service, catering, spa treatments, management, and bar. It is becoming increasingly complicated from a strategic to an operational point of view.
This is all done to save money, and ultimately, to generate more profits for the private equity firms and their stakeholders. There are still private hotels left, though, and most of them provide arrangements throughout the hotel with of design continuity. This is the total opposite of boring hotel chains owned by private equity firms who save money instead of delivering a quality design and experience.
The hotels that provide or strive to provide something with design continuity and a common theme in mind are usually boutique hotels. Nowadays, however, corporate chains are also creating their own boutique hotels. One could say that is diminishes the love and attention to detail that make boutique hotels unique.
The Total Consumer Experience (TCE) starts with the first impression and perfectly incorporates integration of design into every detail in, for example:
• Strategic Branding
• Communication Design
• Branding Applications Design
• Streamlined Service Design
• Online Design and Development
• Interior Design
Together, this ends up leaving a lasting impression. People come to hotels for many reasons and from many cultural backgrounds, but a well designed hotel will generate its own business once its image has made a solid, positive impact.
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Companies take the savest road, the one which gives them the best result on the shortest term.
I am happy to work for a company who oversees the long term vision and dares to take risks, because this gives them the authenticity and the way to be different than others taking the save road.
I try to get restaurants and hotels interested in my products, but it is a different market because they always want to minimalise the risk and do not understand the importance of small design.
Maybe with more companies who understand the power of design, the future will bring some succes….
Dear Ingeborg,
first of all, thank you for sharing your thoughts with the rest of us.
I fully agree with your comment and I can guarantee you that we are working towards the direction of “educating” our clients in order to understand the power of design in terms of business but also the power of the Total Consumer Experience approach.
Again, great to have your comments and I am looking forward to hear more from you soon.
Best,
Thomas C. Mylonas
Dear Ingeborg,
I would also like to thank you for sharing your insights into the industry.
I am happy to read that you work for a company that that takes risks and has a long term strategy and that you enjoy it. I also agree that companies often take the safest road. That’s how chains start. When a unique formula works, companies franchise it and then you lose the authenticity, like you pointed out.
Furthermore, like Thomas mentioned, companies must be educated to see the value of design. Many times, managers focus too much on the bottom line and only see design as a cost whereas we know that it adds value to the company in the long run.
It was nice to hear from you now and I’m looking forward to reading more of your comments in the future.
Kind Regards,
Stef Vloet